Spirit Airlines Inc. (NASDAQ: SAVE) shares rose in value early today on lower trade volume than normal after a number of analysts weighed in on the investing value of the stock with a upgraded rating.
Analysts at Vetr Inc. upgraded shares of Spirit Airlines Inc. (NASDAQ: SAVE) from Buy to Strong-Buy today. With a rating of Strong-Buy on the shares, Spirit Airlines Inc. has a 52-week high of $53.53. As a means of comparison, a number of other analysts have issued reports on the company recently, and Spirit Airlines Inc. has earned a consensus one-year price target of $53.67, higher than the opening price of $42.42, a difference of 12.54 percent. Share prices often move to the upside on recommendations and new price targets of professional analysts.
Meanwhile, U.S. stock futures on Monday pointed to a higher open, as investors prepared for the start of earnings season
S&P 500 futures ESZ6, +0.44% rose by 9 points, or 0.4%, to 2,155.50, while Dow Jones Industrial Average futures YMZ6, +0.40% gained 64 points, or 0.4%, to 18,221.
Nasdaq-100 futures NQZ6, +0.42% tacked on 17.75 points, or 0.4%, to 4,876.75.Meanwhile, U.S. stock futures on Monday pointed to a higher open, as investors prepared for the start of earnings season
Spirit Airlines Inc. (NASDAQ: SAVE) shares last traded at $42.81, a spike of $0.57 or 0.01 over the previous closing price. Opening at $42.42, they ranged from $42.29 and $42.89 throughout the day.
Spirit Airlines Inc. (NASDAQ: SAVE) currently has a market cap of 3.00B.
Spirit Airlines Inc.Trading Volume
102,856 shares traded hands yesterday, lower than normal, out of a total float 69,766,000. Look for trading volume to pick up in the coming days as momentum traders often use upticks in trading volume to pinpoint large volume aggregation or circulation by institutional investors.
As with all possible breakouts, investors watch for volume to be at least 40%-50% above normal on the breakout to indicate 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.
These instituitional investors retain teams of analysts that investigate thousands of stocks. Thus, watching their interests is a good way to ensure you are buying the right stocks.
Spirit Airlines Inc. 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 more useful judgments on trades when they track the activity of professional investors.
Trades for Spirit Airlines Inc. (NASDAQ: SAVE) have ranged from $32.73 – 53.53, and the stock now has a 50-day MA of $40.12 and 200-day MA of $43.22. Today’s last price is 0.20% below the 52 week high of $53.53.
Earnings growth is a critical factor to research when buying stocks and investors seek companies that have been successful at growing their earnings by at least 25% for 3 consecutive years.
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