Seattle Genetics, Inc. (NASDAQ: SGEN) shares rose in value on Monday February 13 on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Meanwhile U.S. stock-market indexes opened higher on Monday, setting intraday all-time highs shortly after market open. The S&P 500 SPX, +0.35% opened up 6 points, or 0.2%, at 2,322.
The Nasdaq Composite COMP, +0.44% began the session up 18 points, or 0.3% higher at 5,752. The Dow Jones Industrial Average DJIA, +0.51% added 64 points or 0.3%, to 20,340 at the open.
Analysts at Vetr Inc. upgraded shares of Seattle Genetics, Inc. (NASDAQ: SGEN) from Buy to Strong-Buy today. With a rating of Strong-Buy on the shares, Seattle Genetics, Inc. has a 52-week high of $75.36. As a means of comparison, a number of other analysts have commented on the stock in recent days, and the company has earned a consensus one-year price target of $60.14, a decrease compared to the opening price of $60.31. Usually, after analysts assign an upgrade report on a stock, they will subsequently issue periodic revisions, such as a price target change.
Shares of Seattle Genetics, Inc. (NASDAQ: SGEN) opened at $60.31 yesterday and traded in a range between, $60.02 and $62.90, and last traded at $62.87, which represents a spike of $2.71 over the previous closing price.
Seattle Genetics, Inc. (NASDAQ: SGEN) currently has a market cap of 8.92B.
Seattle Genetics, Inc. (NASDAQ: SGEN) Average Daily Trading Volume
143,832 shares crossed the trading desk yesterday, 45 percent below normal, out of a total float 94,656,000. lower than normal. Look for trading volume to pick up in the coming days as swing traders often use increases 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 simply refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Professional investors such as these have teams of analysts that investigate thousands of stocks, so it is good validation to see them buying a stock you are considering.
Seattle Genetics, Inc. (NASDAQ: SGEN) 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.
Trades for Seattle Genetics, Inc. (NASDAQ: SGEN) have ranged from $26.98 – 75.3600, and the stock now has a 50-day MA of $58.10 and 200-day MA of $56.04. Today’s last price is 16.57%% lower than the 52 week high of $75.36.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors look for companies that have grown their earnings by at least 25% for 3 consecutive years.
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