Matrix Service Co. (NASDAQ: MTRX) shares rose in value Wednesday Nov 30 with lighter trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile, the Dow Jones Industrial Average hit an intraday record after opening higher Wednesday, led by the energy sector as hopes rose that the world’s major oil producers are near a deal on limiting output.
The benchmark S&P 500 and Dow were on track to post their largest monthly gains since March.
The S&P 500 SPX, +0.22% gained 5 points, or 0.2%, to 2,209. The Dow Jones Industrial Average DJIA, +0.41% added 62 points, or 0.3%, to 19,184, trading in record territory. The Nasdaq Composite COMP, -0.08% was 7 points, or 0.1%, higher at 5,386.
Analysts at Zacks Investment Research upgraded shares of Matrix Service Co. (NASDAQ: MTRX) from Sell to Hold today. Zacks Investment Research currently has a rating of Hold on the shares. As a means of comparison, a number of other analysts have issued reports on the stock recently, and Matrix Service Co. has earned a consensus one-year price target of $22.20, higher than the opening price of $20.85. Matrix Service Co. stock has a 52-week high of $23.55. Stock prices often trend to the upside on recommendations and new price targets of professional brokerage firms.
Matrix Service Co. (NASDAQ: MTRX) shares last traded at $21.15, which represents a spike of $0.85 or 4.19% compared to the previous closing price. Opening at $20.85, they fluctuated from $20.60 and $21.35 throughout the day.
Matrix Service Co. (NASDAQ: MTRX) now has a market cap of 561.17M.
Matrix Service Co. (NASDAQ: MTRX) Average Daily Trading Volume
The stock’s average daily volume is 176,608 shares out of a total float 25,979,000 and some 33,358 shares crossed the trading desk yesterday, lower than the norm. Look for trading volume to pick up in the coming days as investors often use increases in trading volume to determine substantial volume accumulation or dissemination by institutional investors.
As with all possible breakouts, investors look for volume to be at least 40%-50% above normal on the breakout to demonstrate that fund managers and other professional investors are jumping in.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors have substantial teams of analysts that investigate thousands of stocks. So watching their interests is a good way to make sure you are buying the right stocks.
Matrix Service Co. (NASDAQ: MTRX) 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 traders to make those trends work in their favor and increase the number of winning trades.
Trades for Matrix Service Co. (NASDAQ: MTRX) have ranged from $14.07 – 23.55, and the stock now has a 50-day MA of $18.67 and 200-day MA of $17.54. Today’s last price is 10.19%% under the 52 week high of $23.55.
Earnings growth is an important factor to research when buying stocks and investors seek companies that have grown their earnings at least 25% or more for a 3 year period.
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.