Post Holdings Inc. (NYSE: POST) Downgraded at BMO Capital Markets

Analysts at BMO Capital Markets downgraded shares of Post Holdings Inc. (NYSE: POST) from Outperform to Market Perform in a research note to investors today. With a rating of Market Perform on the shares, Post Holdings Inc. has a 52-week high of $89.00. The one-year price target of $97.38 is above the opening price of $77.52, causing a number of other analysts to comment on the company recently. Downgrades occur when analysts feel that the future prospects for the security have diminished from the initial recommendation, usually caused by an important and major change in the company’s actions, future vision 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.

Yesterday Post Holdings Inc. (NYSE: POST) shares last traded at $77.97, which represents a drop of $0.45 over the previous closing price. Opening at $77.52, they ranged from $75.52 and $78.05 throughout the day.

Post Holdings Inc. (NYSE: POST) now has a market cap of 5.04B.

1,481,258 shares crossed the trading desk yesterday, higher than the norm, out of a total float 57,164,000. Significant expansions in trading volume and price growth together could signal heavy volume accumulation by institutional investors.

While increased trading for short periods will not mean much, however, a trend of heavy trading volume on the buy side over a series of days or weeks sends a positive cue to market traders that institutions may be moving in, so institutional sponsorship is critical.

Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.

These instituitional investors retain substantial teams of analysts that investigate thousands of stocks, so it is good validation to see them buying a stock you are considering.

By identifying trends, moving averages allow investors to make those trends work in their favor and increase the number of successful trades.

With that in mind, Post Holdings Inc. (NYSE: POST) now has a 50-day MA of $83.45 and 200-day MA of $77.72. It has traded in a 52-week range between $50.93 – 89.00 and today’s last price is 0.12% lower than the 52 week high of $89.00.

Indeed, earnings growth is among the most crucial things to look at in regards to stock investing and, accordingly, investors watch for companies that have been successful at growing their earnings by at least 25% over a 3 year period.

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