Progress Software Corp. (NASDAQ: PRGS) shares fell back in value Wednesday Nov 30 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 Jones Industrial Average hit an intraday record after opening higher Wednesday, led by the energy sector as hopes rose that the world’s major oil producers are near a deal on limiting output.
The benchmark S&P 500 and Dow were on track to post their largest monthly gains since March.
The S&P 500 SPX, +0.22% gained 5 points, or 0.2%, to 2,209. The Dow Jones Industrial Average DJIA, +0.41% added 62 points, or 0.3%, to 19,184, trading in record territory. The Nasdaq Composite COMP, -0.08% was 7 points, or 0.1%, higher at 5,386.
Analysts at Zacks Investment Research upgraded shares of Progress Software Corp. (NASDAQ: PRGS) from Strong Sell to Hold today. With a rating of Hold on the stock, the company has a 52-week high of $30.24. As a means of comparison, a number of other analysts have issued reports on the stock recently, and Progress Software Corp. has secured a consensus one-year price target of $27.50, lower than the opening price of $30.02, a difference of 9.25 percent. Share prices sometimes get a jump to the upside when analysts upgrade a stock.
Progress Software Corp. (NASDAQ: PRGS) shares last traded at $29.73, a drop of $0.13 per share or -0.44% from the previous closing price. Opening at $30.02, they fluctuated from $29.50 and $30.05 throughout the day.
Progress Software Corp. (NASDAQ: PRGS) now has a market cap of 1.44B.
Progress Software Corp. (NASDAQ: PRGS) Average Daily Trading Volume
The stock’s average daily volume is 255,664 shares out of a total float 41,696,000 and some 5,027 shares crossed the trading desk yesterday, below the average. Swing traders often use increases in trading volume to determine substantial volume accumulation or circulation by institutional investors, so trading volume is likely to increase in the next few days.
However, one day of high volume buy side trading is not enough to affirm a trend. So market traders will continue to watch for institutional sponsorship as a signal 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.
These professional investors retain teams of analysts that investigate thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
Progress Software Corp. (NASDAQ: PRGS) 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 spotting trends, moving averages allow traders to make those trends work in their favor and increase the number of successful trades.
With that in mind, Progress Software Corp. (NASDAQ: PRGS) now has a 50-day MA of $27.83 and 200-day MA of $27.72. It has traded in a 52-week range between $22.01 – 30.24 and today’s last price is 1.69%% lower than the 52 week high of $30.24.
Earnings growth is a critical factor to consider when buying stocks and investors identify companies that have been successful at growing their earnings by at least 25% for 3 consecutive years.
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