RealPage, Inc. (NASDAQ: RP) shares fell on Tuesday February 14 on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a downgraded rating.
Meanwhile U.S. stocks opened slightly lower on Tuesday. The main three benchmarks retreated after touching the latest in a series of record highs on Monday, with the S&P 500 index SPX, -0.09% down two points, or 0.1%, to 2,326.
The Dow Jones Industrial Average DJIA, -0.02% fell 34 points, or 0.2%, to 20,381. The Nasdaq Composite Index COMP, -0.13% shed eight points, or 0.1%, to 5,756.
Shares of RealPage, Inc. (NASDAQ: RP) were downgraded by analysts at Zacks Investment Research in a note to their investors today. With a rating of Hold on the stock, RealPage, Inc. has a 52-week high of $33.35. The one-year price target of $34.40 is higher than the opening price of $33.15, causing a fair amount of other analysts to report on the company recently. considerable and crucial digressions in the company’s operations, future ision or industry can cause downgrades as the analysts feel that the future prospects for the security have weakened from the initial recommendation.
Yesterday RealPage, Inc. (NASDAQ: RP) shares last traded at $32.90, which represents a dip of $0.25 over the previous closing price. Opening at $33.15, they ranged from $32.75 and $33.35 throughout the day.
RealPage, Inc. (NASDAQ: RP) now has a market cap of 2.65B.
RealPage, Inc. (NASDAQ: RP) Average Daily Trading Volume
The stock’s average daily volume is 398,819 shares out of a total float 55,916,000 and some 70,509 shares traded hands yesterday, 30 percent lower than the norm. 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.
As with all potential breakouts, investors look for volume to be at least 40%-50% higher than normal on the breakout to show that fund managers and other professional investors are jumping in.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these retain substantial teams of analysts researching thousands of stocks, so it is good corroboration to see them taking a postion in a stock you are considering.
RealPage, Inc. (NASDAQ: RP) 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 tracking the activity of these professional investors—and the moving averages they affect—it allows for traders to make more effective decisions on trades.
Trades for RealPage, Inc. (NASDAQ: RP) have ranged from $16.10 – 33.35, and the stock now has a 50-day MA of $30.19 and 200-day MA of $27.56. Today’s last price is 1.35%% below the 52 week high of $33.35.
Earnings growth is a crucial factor to look at when investing in stocks and investors watch for companies that have raised their earnings at least 25% or more over 3 consecutive years.
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