Consolidated Edison Inc. (NYSE: ED) Downgraded at Zacks Investment Research

Shares of Consolidated Edison Inc. (NYSE: ED) were downgraded by analysts at Zacks Investment Research in a note to their investors today. With a rating of Sell on the shares, the company has a 52-week high of $81.88. The one-year price target of $74.89 is a decrease compared to the opening price of $76.46, causing a number of other analysts to report on the stock in recent days. Material and crucial digressions in the company’s operations, future outlook or industry can cause downgrades as the analysts feel that the future prospects for the security have dropped from the initial recommendation.

The Fed stood pat on interest rates on Wednesday, helping stocks to mostly higher levels but Chairwoman Janet Yellen indicated an interest rate hike is likely by year’s end

On Wednesday, the S&P 500 SPX, +1.09% ended 1.1% higher, while the Dow DJIA, +0.90% jumped by 0.9%, or 164 points, as each exchange finished in positive territory for a second consecutive day.

The tech-heavy Nasdaq Composite COMP, +1.03% tacked on 1% and scored a record closing high.

S&P 500 futures ESZ6, +0.36% were up 6.55 points, or 0.3%, to 2,162.75 early Thursday, while Dow Jones Industrial Average futures YMZ6, +0.37% rose 58 points, or 0.3%, to 18,276. Nasdaq-100 futures NQZ6, +0.39% gained 16.25 points, or 0.3%, to 4,866.25.

Shares of Consolidated Edison Inc. (NYSE: ED) opened at $76.46 yesterday trading between $76.36 and $78.09, and last traded at $78.06, a spike of $1.52 compared to the previous closing price.

Consolidated Edison Inc. (NYSE: ED) currently has a market cap of 23.76B.

2,023,471 shares traded hands yesterday, higher than normal, out of a total float 304,232,000. Significant gains in trading volume and price appreciation together could mean excessive volume aggregation by institutional investors.

While increased trading for short periods will not mean much, however, a trend of heavy trading volume on the buy side over a period of days or weeks delivers a positive cue to market traders that institutions may be moving in, so institutional sponsorship is crucial.

Institutional sponsorship commonly refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.

These instituitional investors have substantial teams of analysts that research thousands of stocks, so it is good validation to see them taking a postion in a stock you’re researching.

By spotting trends, moving averages allow traders to make those trends work in their favor and increase the number of successful trades.

With that in mind, Consolidated Edison Inc. (NYSE: ED) now has a 50-day MA of $76.24 and 200-day MA of $76.11. It has traded in a 52-week range between $60.30 – 81.88 and today’s last price is 0.05% lower than the 52 week high of $81.88.

Earnings growth is a crucial factor to research when buying stocks and investors look for companies that have increased their earnings by at least 25% over 3 consecutive years.

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