Micron Technology Inc. (NASDAQ: MU) shares rose on Thursday Dec 22 with heavier trade volume than normal after a number of analysts weighed in on the investing value of the stock, increasing the price target of stock.
Meanwhile, U.S. stocks opened mostly flat on Thursday. The Dow Jones Industrial Average DJIA, -0.15% fell 15 points to 19,928, a drop of less than 0.1%. The S&P 500 SPX, -0.22% fell 1 point, or 0.05%, to 2,264. The Nasdaq Composite Index COMP, -0.23% fell 1 point to 5,470.21, essentially unchanged on the day.
Micron Technology Inc. (NASDAQ: MU) had its price target increased by equities researchers at Mizuho from $22.00 to $27.00. With a rating of Buy on the shares, the company has a 52-week high of $23.33. As a means of comparison, a number of other analysts have spoken on the stock recently, and Micron Technology Inc. has secured a consensus one-year price target of $22.17, a decrease compared to the opening price of $22.91.
Micron Technology Inc. (NASDAQ: MU) shares last traded at $23.30, which represents a spike of $2.72 or 13.22% compared to the previous closing price. Opening at $22.91, they fluctuated from $22.77 and $23.33 throughout the day.
Micron Technology Inc. (NASDAQ: MU) currently has a market cap of 24.27B.
Micron Technology Inc. (NASDAQ: MU) Average Daily Trading Volume
The stock’s average daily volume is 26,423,900 shares out of a total float 981,763,000 and some 31,219,658 shares crossed the trading desk yesterday, higher than the norm. Heavy volume accumulation by institutional investors may be on the horizon as the combination of significant gains in trading volume and price inflation can be determining components.
While higher trading for one day will not mean much, conversely, a trend of heavy trading volume on the buy side over a period of days or weeks sends a positive cue to market traders that institutions may be moving in, so institutional sponsorship is very important.
Institutional sponsorship simply refers to 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 it is good corroboration to see them buying a stock you’re considering.
Micron Technology Inc. (NASDAQ: MU) 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 winning trades.
Trades for Micron Technology Inc. (NASDAQ: MU) have ranged from $9.31 – 23.33, and the stock now has a 50-day MA of $19.03 and 200-day MA of $16.17. Today’s last price is 0.11%% below the 52 week high of $23.33.
Indeed, earnings growth is among the most critical things to look at in regards to stock investing and, accordingly, investors identify companies that have been successful at growing their earnings by at least 25% over 3 consecutive years.
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