MGIC Investment Corporation (NYSE: MTG) shares rose on Monday February 13 on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock, raising the price target of stock.
Meanwhile U.S. stock-market indexes opened higher on Monday, setting intraday all-time highs shortly after market open. The S&P 500 SPX, +0.35% opened up 6 points, or 0.2%, at 2,322.
The Nasdaq Composite COMP, +0.44% began the session up 18 points, or 0.3% higher at 5,752. The Dow Jones Industrial Average DJIA, +0.51% added 64 points or 0.3%, to 20,340 at the open.
MGIC Investment Corporation (NYSE: MTG) had its price target raised by equities researchers at FBR & Co from $12.00 to $13.00. With a rating of Outperform on the shares, MGIC Investment Corporation has a 52-week high of $11.27. The one-year price target of $11.83 is above the opening price of $11.20, resulting a number of other analysts to issue statements on the company recently.
Shares of MGIC Investment Corporation (NYSE: MTG) opened at $11.20 yesterday and traded in a range between, $11.16 and $11.27, and last traded at $11.25, which represents a spike of $0.05 compared to the previous closing price.
MGIC Investment Corporation (NYSE: MTG) now has a market cap of 3.83B.
MGIC Investment Corporation (NYSE: MTG) Average Daily Trading Volume
The stock’s average daily volume is 5,176,210 shares out of a total float 335,624,000 and some 982,047 shares traded hands yesterday, 15 percent below the average. lower than normal. Look for trading volume to pick up in the coming days as swing traders often use swings in trading volume to identify heavy volume accumulation or distribution by institutional investors.
As with all potential breakouts, investors look for volume to be at least 40%-50% higher than normal on the breakout to show 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.
Institutional investors such as these retain substantial teams of analysts researching thousands of stocks. Thus, watching their interests is a good way to ensure you are buying the right stocks.
MGIC Investment Corporation (NYSE: MTG) 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 successful trades.
Trades for MGIC Investment Corporation (NYSE: MTG) have ranged from $5.36 – 11.270, and the stock now has a 50-day MA of $10.53 and 200-day MA of $8.91. Today’s last price is 0.22%% under the 52 week high of $11.27.
Indeed, earnings growth is among the most critical things to look at in regards to stock investing and, accordingly, investors seek companies that have increased their earnings at least 25% or more for a 3 year period.
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