Simmons First National Corp. (NASDAQ: SFNC) shares rose in value Tuesday Nov 29 with lighter trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
U.S. stocks on Tuesday morning traded near break-even levels, with the main benchmarks switching in and out of negative territory
The Dow Jones Industrial Average DJIA, -0.09% was flat at 19,102. Meanwhile, the Nasdaq Composite COMP, +0.00% traded 18 points, or 0.1%, at 5,362.
The S&P 500 index SPX, -0.04% was off by 0.1%, or 2 points, at 2,199, with five of the 11 main sectors trading lower.
Analysts at Zacks Investment Research upgraded shares of Simmons First National Corp. (NASDAQ: SFNC) from Sell to Hold today. Zacks Investment Research currently has a rating of Hold on the stock. 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 $52.75, less than the opening price of $59.40, a difference of 8.83 percent. Simmons First National Corp. stock has a 52-week high of $60.60. Share prices often shift to the upside on recommendations and new price targets of professional analysts.
Simmons First National Corp. (NASDAQ: SFNC) shares last traded at $59.75, an increase of $0.45 or 0.76% from the previous closing price. Opening at $59.40, they fluctuated from $59.40 and $60.00 throughout the day.
Simmons First National Corp. (NASDAQ: SFNC) now has a market cap of 1.87B.
Simmons First National Corp. (NASDAQ: SFNC) Average Daily Trading Volume
14,998 shares crossed the trading desk yesterday, below the norm, out of a total float 28,830,000. Trading volume is likely to increase in the next few days as swing traders often use increases in trading volume to determine large volume accumulation or distribution by institutional investors.
As with all potential breakouts, investors look for volume to be at least 40%-50% above 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 have teams of analysts researching thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
Simmons First National Corp. (NASDAQ: SFNC) 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 winning trades.
Trades for Simmons First National Corp. (NASDAQ: SFNC) have ranged from $38.30 – 60.60, and the stock now has a 50-day MA of $52.75 and 200-day MA of $48.89. Today’s last price is 1.40%% under the 52 week high of $60.60.
Earnings growth is a critical factor to consider when buying stocks and investors look for companies that have raised their earnings at least 25% or more for a 3 year period.
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