Cooper Tire & Rubber Co. (CTB) stock starts with “Overweight” rating in note to investors by KeyCorp

Cooper Tire & Rubber Co. (NYSE: CTB) shares rose on Thursday Nov 17 with lighter trade volume than normal after more analysts initiated coverage on the stock.

Meanwhile, stocks opened flat this morning, struggling for direction in early trade ahead of congressional testimony by Federal Reserve Chairwoman Janet Yellen. Ahead of an appearance before the Joint Economic Committee, Yellen said an interest-rate hike could come “relatively soon,”

The S&P 500 SPX, +0.25% fell less than 0.1% to 2,176.85 while Dow Industrials DJIA, -0.05% fell 9 points to 18,858. The Nasdaq Composite COMP, +0.18% declined 0.1% to 5,291.48.

Analysts at KeyCorp initiated coverage on Cooper Tire & Rubber Co. (NYSE: CTB) stock, rating the company at Overweight. With a rating of Overweight on the stock, Cooper Tire & Rubber Co. has a 52-week high of $42.57. The one-year price target of $42.80 is above the opening price of $38.00, resulting a number of other analysts to issue statements on the stock recently. Analysts and brokerage firms will subsequently re periodic updates after initiating coverage,. Changes in price targets are not unheard of.

Cooper Tire & Rubber Co. (NYSE: CTB) shares last traded at $38.10, a spike of $0.25 or 0.66% from the previous closing price. Opening at $38.00, they ranged from $37.75 and $38.12 throughout the day.

Cooper Tire & Rubber Co. (NYSE: CTB) now has a market cap of 2.04B.

Cooper Tire & Rubber Co. (NYSE: CTB) Average Daily Trading Volume

The stock’s average daily volume is 562,778 shares out of a total float 51,652,000 and some 19,627 shares crossed the trading desk yesterday, below the average. Investors often use swings in trading volume to determine substantial volume aggregation or dissemination by institutional investors, so trading volume is likely to increase in the next few days.

While an increase in trading for one day will not mean much, however, a trend of heavy trading volume on the buy side over a period of days or weeks expresses a positive signal 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.

Institutional investors such as these have substantial teams of analysts researching thousands of stocks, so it is good validation to see them taking a postion in a stock you’re researching.

Cooper Tire & Rubber Co. (NYSE: CTB) 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 spotting trends, moving averages allow investors to make those trends work in their favor and increase the number of successful trades.

Trades for Cooper Tire & Rubber Co. (NYSE: CTB) have ranged from $29.29 – 42.57, and the stock now has a 50-day MA of $36.64 and 200-day MA of $33.62. Today’s last price is 10.50%% below the 52 week high of $42.57.

Earnings growth is an important factor to look at when buying stocks and investors seek companies that have raised their earnings by at least 25% over 3 consecutive years.

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