News Corp. (NASDAQ: NWS) shares rose in value Tuesday Dec 13 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 DJIA, +0.47% climbed 106 points, or 0.6%, to 19,905. If the Dow finishes higher, it will notch its seventh straight gain.
The S&P 500 index SPX, +0.56% gained 10.45 points, or 0.5%, to 2,267 and the tech-heavy Nasdaq Composite Index COMP, +1.02% added 48 points, or 0.9%, to 5,461.
Both the S&P 500 index SPX, +0.56% and Nasdaq Composite COMP, +1.02% ended lower on Monday, with investors appearing reluctant to push shares higher ahead of the Fed meeting
Analysts at Zacks Investment Research upgraded shares of News Corp. (NASDAQ: NWS) 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 commented on the stock recently, and the company has secured a consensus one-year price target of $32.60, above the opening price of $12.35. News Corp. stock has a 52-week high of $15.22. Stock prices sometimes get a jump to the upside when analysts upgrade a stock.
News Corp. (NASDAQ: NWS) shares last traded at $12.38, a spike of $0.08 or 0.61% over the previous closing price. Opening at $12.35, they varied from $12.35 and $12.55 throughout the day.
News Corp. (NASDAQ: NWS) now has a market cap of 7.19B.
News Corp. (NASDAQ: NWS) Average Daily Trading Volume
The stock’s average daily volume is 1,517,680 shares out of a total float 499,921,000 and some 188,531 shares crossed the trading desk yesterday, below the average. Look for trading volume to pick up in the coming days as momentum traders often use upticks in trading volume to pinpoint large volume aggregation or distribution by institutional investors.
As with all possible breakouts, investors watch for volume to be at least 40%-50% greater than normal on the breakout to indicate that fund managers and other professional investors are jumping in.
Institutional sponsorship just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these have teams of analysts that investigate thousands of stocks, so it is good corroboration to see them buying a stock you’re researching.
News Corp. (NASDAQ: NWS) 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 investors to make those trends work in their favor and increase the number of winning trades.
Trades for News Corp. (NASDAQ: NWS) have ranged from $10.73 – 15.220, and the stock now has a 50-day MA of $12.30 and 200-day MA of $13.05. Today’s last price is 18.69%% under the 52 week high of $15.22.
Indeed, earnings growth is among the most critical things to look at in regards to stock investing and, accordingly, investors identify companies that have increased their earnings at least 25% or more for a 3 year period.
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