Chico’s FAS Inc. (NYSE: CHS) shares rose in value Monday Nov 14 with heavier trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile as investors continued to try and decipher policy proposals of President-elect Donald Trump’s administration, the Dow Jones Industrial Average DJIA, +0.11% rose 21.03 points, or 0.1%, to finish at 18,868.69, its third straight record close.
The blue-chip index had also touched a historic high of 18,934.05 during the session.
The S&P 500 index SPX, -0.01% fell 0.25 points to end at 2,164.20, and the Nasdaq Composite COMP, -0.36% dropped 18.72 points, or 0.4%, to close at 5,218.40.
Analysts at Citigroup Inc. upgraded shares of Chico’s FAS Inc. (NYSE: CHS) from Neutral to Buy today. With a rating of Buy on the stock, the company has a 52-week high of $15.07. The one-year price target of $13.47 is a decrease compared to the opening price of $14.00, causing a number of other analysts to report on the stock in recent days. Stock prices often shift to the upside on recommendations and new price targets of professional analysts.
Shares of Chico’s FAS Inc. (NYSE: CHS) opened at $14.00 on Monday and traded in a range between, $13.99 and $15.07, and last traded at $14.79, which represents a jump of $1.09 or 7.96% over the previous closing price.
Chico’s FAS Inc. (NYSE: CHS) currently has a market cap of 1.91B.
Chico’s FAS Inc. (NYSE: CHS) Average Daily Trading Volume
5,808,254 shares traded hands yesterday, above the average, out of a total float 117,126,000. Considerable volume aggregation by institutional investors may be in the near future as the combination of significant expansions in trading volume and price inflation can be indicative components.
However, a single day of high volume buy side trading is not enough to affirm a trend. So market traders will continue to watch for institutional sponsorship as a signal that financial institutions are moving forward.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors retain teams of analysts that research thousands of stocks, so it is good corroboration to see them buying a stock you’re considering.
Chico’s FAS Inc. (NYSE: CHS) Moving Averages
A moving average can also act as support or resistance. In an uptrend a 50-day, 100-day or 200-day moving average may act as a support level, as shown in the figure below.
This is because the average acts like a floor (support), so the price bounces up off of it.
In a downtrend a moving average may act as resistance; like a ceiling, the price hits it and then starts to drop again.
By identifying trends, moving averages allow investors to make those trends work in their favor and increase the number of winning trades.
Trades for Chico’s FAS Inc. (NYSE: CHS) have ranged from $9.61 – 15.07, and the stock now has a 50-day MA of $12.07 and 200-day MA of $11.71. Today’s last price is 1.86%% under the 52 week high of $15.07.
Earnings growth is an important factor to look at when investing in stocks and investors watch for companies that have grown their earnings at least 25% or more for the past 3 years.
DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of the website. Readers should not consider statements made by the author as formal recommendations and should consult their financial adviser before making any investment decisions. To read our full disclosure, please see our terms and conditions page.