Movado Group Inc. (NYSE: MOV) shares rose in value Tuesday Nov 29 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
U.S. stocks on Tuesday morning traded near break-even levels, with the main benchmarks switching in and out of negative territory
The Dow Jones Industrial Average DJIA, -0.09% was flat at 19,102. Meanwhile, the Nasdaq Composite COMP, +0.00% traded 18 points, or 0.1%, at 5,362.
The S&P 500 index SPX, -0.04% was off by 0.1%, or 2 points, at 2,199, with five of the 11 main sectors trading lower.
Analysts at Zacks Investment Research upgraded shares of Movado Group Inc. (NYSE: MOV) from Hold to Strong-Buy today. With a rating of Strong-Buy on the shares, the company has a 52-week high of $30.98. As a means of comparison, a number of other analysts have commented on the stock recently, and the company has earned a consensus one-year price target of $30.50, higher than the opening price of $29.60. Usually, after analysts issue an upgrade report on a stock, they will later issue other updates, such as a price target change.
Shares of Movado Group Inc. (NYSE: MOV) opened at $29.60 on Tuesday and has traded in a range between, $29.40 and $29.80, and last traded at $29.55, which is an increase of $0.20 or 0.68% from the previous closing price.
Movado Group Inc. (NYSE: MOV) currently has a market cap of 677.64M.
Movado Group Inc. (NYSE: MOV) Average Daily Trading Volume
The stock’s average daily volume is 133,583 shares out of a total float 15,800,000 and some 5,504 shares crossed the trading desk yesterday, below normal. Swing traders often use swings in trading volume to pinpoint large volume growth or dissemination by institutional investors, so look for trading volume to pick up in the coming days.
However, just a day of high volume buy side trading is not enough to assert a trend. So market traders will continue to look for institutional sponsorship as an indicator that financial institutions are moving forward.
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 that investigate thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
Movado Group Inc. (NYSE: MOV) 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.
Traders are able to make make more impactful judgments on trades when they track the activity of professional investors.
With that in mind, Movado Group Inc. (NYSE: MOV) now has a 50-day MA of $23.75 and 200-day MA of $22.52. It has traded in a 52-week range between $19.14 – 30.98 and today’s last price is 4.62%% lower than the 52 week high of $30.98.
Earnings growth is a crucial factor to consider when investing in stocks and investors identify companies that have grown their earnings at least 25% or more for the past 3 years.
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