Nordstrom Inc. (JWN) Shares Active after Upgrade at Zacks Investment Research

Nordstrom Inc. (NYSE: JWN) shares rose in value Monday Nov 14 with heavier trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.

Meanwhile as investors continued to try and decipher policy proposals of President-elect Donald Trump’s administration, the Dow Jones Industrial Average DJIA, +0.11% rose 21.03 points, or 0.1%, to finish at 18,868.69, its third straight record close.
The blue-chip index had also touched a historic high of 18,934.05 during the session.

The S&P 500 index SPX, -0.01% fell 0.25 points to end at 2,164.20, and the Nasdaq Composite COMP, -0.36% dropped 18.72 points, or 0.4%, to close at 5,218.40.

Analysts at Zacks Investment Research upgraded shares of Nordstrom Inc. (NYSE: JWN) from Hold to Buy today. The company currently has a rating of Buy on the shares. As a means of comparison, a number of other analysts have commented on the stock recently, and Nordstrom Inc. has earned a consensus one-year price target of $49.50, a decrease compared to the opening price of $59.06. Nordstrom Inc. stock has a 52-week high of $62.82. Stock prices often shift to the upside on recommendations and new price targets of professional analysts.

Nordstrom Inc. (NYSE: JWN) shares last traded at $59.55, a jump of $0.83 or 1.41% from the previous closing price. Opening at $59.06, they ranged from $59.06 and $62.82 throughout the day.

Nordstrom Inc. (NYSE: JWN) now has a market cap of 10.31B.

Nordstrom Inc. (NYSE: JWN) Average Daily Trading Volume

The stock’s average daily volume is 3,226,440 shares out of a total float 116,546,000 and some 10,520,540 shares crossed the trading desk yesterday, higher than the norm. Considerable volume accumulation by institutional investors may be on the horizon as the combination of large increases in trading volume and price appreciation can be indicative components.

However, one day of high volume buy side trading is not enough to assert a trend. As such, market traders will continue to watch for institutional sponsorship as an indicator that financial institutions are moving forward.

Institutional sponsorship commonly refers to 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 research thousands of stocks, so it is good corroboration to see them buying a stock you are considering.

Nordstrom Inc. (NYSE: JWN) 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 Nordstrom Inc. (NYSE: JWN) have ranged from $35.01 – 62.82, and the stock now has a 50-day MA of $52.93 and 200-day MA of $46.42. Today’s last price is 5.21%% below the 52 week high of $62.82.

Earnings growth is an important factor to look at when buying stocks and investors identify companies that have raised their earnings by at least 25% over a 3 year period.

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