Analysts at Zacks Investment Research downgraded shares of Paragon Commercial Corp (NASDAQ: PBNC) from Buy to Hold in a research note to investors today. Zacks Investment Research currently has a rating of Hold on the shares. As a means of comparison, a number of other analysts have spoken on the stock recently, and Paragon Commercial Corp has secured a consensus one-year price target of $41.00, higher than the opening price of $37.45, a difference of 10.65 percent. Paragon Commercial Corp stock has a 52-week high of $39.28. Downgrades are more likely when analysts feel that the future prospects for the security have diminished from the original recommendation, usually caused by a considerable and fundamental change in the company’s procedures, future direction or industry.
The Fed stood pat on interest rates on Wednesday, helping stocks to mostly higher levels but Chairwoman Janet Yellen indicated an interest rate hike is likely by year’s end
On Wednesday, the S&P 500 SPX, +1.09% ended 1.1% higher, while the Dow DJIA, +0.90% jumped by 0.9%, or 164 points, as each exchange finished in positive territory for a second consecutive day.
The tech-heavy Nasdaq Composite COMP, +1.03% tacked on 1% and scored a record closing high.
S&P 500 futures ESZ6, +0.36% were up 6.55 points, or 0.3%, to 2,162.75 early Thursday, while Dow Jones Industrial Average futures YMZ6, +0.37% rose 58 points, or 0.3%, to 18,276. Nasdaq-100 futures NQZ6, +0.39% gained 16.25 points, or 0.3%, to 4,866.25.
Shares of Paragon Commercial Corp (NASDAQ: PBNC) opened at $37.45 yesterday trading between $37.15 and $38.99, and last traded at $38.50, which is an increase of $1.04 over the previous closing price.
Paragon Commercial Corp (NASDAQ: PBNC) currently has a market cap of 209.86M.
6,719 shares crossed the trading desk yesterday, below the norm, out of a total float 3,782,000. Swing traders often use swings in trading volume to pinpoint large volume accumulation or circulation by institutional investors, so look for trading volume to pick up in the coming days.
While higher trading for short periods will not mean much, conversely, a trend of heavy trading volume on the buy side over a period of days or weeks delivers a positive signal to market traders that institutions may be moving in, so institutional sponsorship is crucial.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these have substantial teams of analysts that research thousands of stocks, so it is good validation to see them buying a stock you’re considering.
Traders can make more effective judgments on trades when they track the activity of professional investors.
With that in mind, Paragon Commercial Corp (NASDAQ: PBNC) now has a 50-day MA of $36.86 and 200-day MA of $36.19. It has traded in a 52-week range between $33.65 – 39.28 and today’s last price is 0.02% lower than the 52 week high of $39.28.
Earnings growth is an important factor to look at when buying stocks and investors look for companies that have grown their earnings by at least 25% for a 3 year period.
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