Range Resources Corporation (NYSE: RRC) shares rose in value on Monday February 6 on lighter trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Investors turned cautious in early trading today with the Dow Jones Industrial Average DJIA, was off by 17 points, or 0.1%, to 20.054.
The S&P 500 SPX, -0.14% eased 5 points, or 0.2%, to 2,293, with seven of the 11 main sectors trading lower. Nearly all main sectors were trading lower, while materials and consumer staples led the losses.
The Nasdaq Composite COMP, -0.14% slipped 10 points, or 0.2%, at 5,144.
Analysts at Nomura upgraded shares of Range Resources Corporation (NYSE: RRC) from Neutral to Buy today. With a rating of Buy on the stock, Range Resources Corporation has a 52-week high of $46.96. As a means of comparison, a number of other analysts have spoken on the company in recent days, and the company has secured a consensus one-year price target of $47.44, above the opening price of $34.01, a difference of 13.77 percent. Stock prices often shift to the upside on recommendations and new price targets of professional analysts.
Yesterday Range Resources Corporation (NYSE: RRC) shares last traded at $34.45, which is a spike of $0.98 from the previous closing price. Opening at $34.01, they fluctuated from $34.01 and $34.93 throughout the day.
Range Resources Corporation (NYSE: RRC) now has a market cap of 8.40B.
Range Resources Corporation (NYSE: RRC) Average Daily Trading Volume
The stock’s average daily volume is 4,405,160 shares out of a total float 241,776,000 and some 914,629 shares traded hands yesterday, 1 percent below normal. lower than normal. Look for trading volume to pick up in the coming days as swing traders often use swings in trading volume to identify heavy volume accumulation or distribution by institutional investors.
While increased trading for short periods will not mean much will not mean much, however, a trend of heavy trading volume on the buy side over a period of days or weeks sends a positive signal to market traders that institutions may be moving in, so institutional sponsorship is very important.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These instituitional investors have substantial teams of analysts that investigate thousands of stocks, so it is good validation to see them taking a postion in a stock you’re considering.
Range Resources Corporation (NYSE: RRC) 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 successful trades.
With that in mind, Range Resources Corporation (NYSE: RRC) now has a 50-day MA of $33.86 and 200-day MA of $36.97. It has traded in a 52-week range between $21.69 – 46.96 and today’s last price is 26.64%% lower than the 52 week high of $46.96.
Earnings growth is a critical factor to consider when buying stocks and investors look for companies that have raised their earnings by at least 25% over the past 3 years.
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