SeaWorld Entertainment Inc. (NYSE: SEAS) shares rose in value Wednesday Dec 14 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, U.S. equities traded mostly lower on Wednesday as investors awaited the Federal Reserve’s latest decision regarding monetary policy.
The Dow Jones industrial average traded 35 points lower, with Goldman Sachs contributing the most losses. The S&P 500 traded 0.1 percent lower, with financials leading decliners. The Nasdaq composite, meanwhile, held flat.
Analysts at Macquarie upgraded shares of SeaWorld Entertainment Inc. (NYSE: SEAS) from Neutral to Outperform today. Macquarie currently has a rating of Outperform on the stock. The one-year price target of $16.60 is less than the opening price of $19.86, resulting a number of other analysts to issue statements on the stock recently. Looking back over the last year, SeaWorld Entertainment Inc. stock has a high of $21.84. Typically, after analysts assign an upgrade report on a stock, they will subsequently issue sporadic revisions, such as a price target change.
SeaWorld Entertainment Inc. (NYSE: SEAS) shares last traded at $19.51, which is a spike of $0.01 or 0.05% over the previous closing price. Opening at $19.86, they varied from $19.41 and $19.88 throughout the day.
SeaWorld Entertainment Inc. (NYSE: SEAS) now has a market cap of 1.66B.
SeaWorld Entertainment Inc. (NYSE: SEAS) Average Daily Trading Volume
184,062 shares crossed the trading desk yesterday, lower than the norm, out of a total float 63,624,000. Trading volume is likely to increase in the next few days as swing traders often use upticks in trading volume to pinpoint large volume aggregation or dissemination by institutional investors.
While an increase in 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 expresses a positive cue to market traders that institutions may be moving in, so institutional sponsorship is critical.
Institutional sponsorship just refers to 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 confirmation to see them buying a stock you’re researching.
SeaWorld Entertainment Inc. (NYSE: SEAS) 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 traders to make those trends work in their favor and increase the number of successful trades.
Trades for SeaWorld Entertainment Inc. (NYSE: SEAS) have ranged from $11.77 – 21.84, and the stock now has a 50-day MA of $16.47 and 200-day MA of $14.78. Today’s last price is 10.69%% lower than the 52 week high of $21.84.
Earnings growth is a critical factor to consider when investing in stocks and investors seek companies that have increased their earnings by at least 25% for 3 consecutive years.
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