Service Corp. International (NYSE: SCI) shares rose in value Tuesday Dec 13 with lower 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 DJIA, +0.47% climbed 106 points, or 0.6%, to 19,905. If the Dow finishes higher, it will notch its seventh straight gain.
The S&P 500 index SPX, +0.56% gained 10.45 points, or 0.5%, to 2,267 and the tech-heavy Nasdaq Composite Index COMP, +1.02% added 48 points, or 0.9%, to 5,461.
Both the S&P 500 index SPX, +0.56% and Nasdaq Composite COMP, +1.02% ended lower on Monday, with investors appearing reluctant to push shares higher ahead of the Fed meeting
Analysts at Zacks Investment Research upgraded shares of Service Corp. International (NYSE: SCI) from Sell to Hold today. Zacks Investment Research currently has a rating of Hold on the stock. A number of other analysts have issued reports on the stock recently, and Service Corp. International has earned a consensus one-year price target of $32.50, above the opening price of $26.90, a difference of 12.15 percent. Service Corp. International stock has a 52-week high of $28.81. Share prices sometimes get a bounce to the upside when analysts upgrade a stock.
Shares of Service Corp. International (NYSE: SCI) opened at $26.90 on Tuesday trading between $26.70 and $26.94, and last traded at $26.74, a jump of $0.06 or 0.22% from the previous closing price.
Service Corp. International (NYSE: SCI) currently has a market cap of 5.09B.
Service Corp. International (NYSE: SCI) Average Daily Trading Volume
77,983 shares crossed the trading desk yesterday, lower than the average, out of a total float 184,060,000. Momentum traders often use increases in trading volume to identify large volume growth or distribution by institutional investors, so look for trading volume to pick up in the coming days.
However, one day of high volume buy side trading is not enough to determine a trend. So market traders will continue to watch for institutional sponsorship as an indicator that financial institutions are moving forward.
Institutional sponsorship simply refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These instituitional investors have teams of analysts that investigate thousands of stocks. Thus, watching their interests is a good way to make sure you are buying the right stocks.
Service Corp. International (NYSE: SCI) 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.
Traders can make educated trades when they track the trading habits of professional investors.
Trades for Service Corp. International (NYSE: SCI) have ranged from $20.21 – 28.81, and the stock now has a 50-day MA of $26.25 and 200-day MA of $26.76. Today’s last price is 7.19%% below the 52 week high of $28.81.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors seek companies that have grown their earnings at least 25% or more for a 3 year period.
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