SunTrust Banks Inc. (NYSE: STI) shares rose on Wednesday Nov 30 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock, boosting the price target of stock.
Meanwhile, the Dow Jones Industrial Average hit an intraday record after opening higher Wednesday, led by the energy sector as hopes rose that the world’s major oil producers are near a deal on limiting output.
The benchmark S&P 500 and Dow were on track to post their largest monthly gains since March.
The S&P 500 SPX, +0.22% gained 5 points, or 0.2%, to 2,209. The Dow Jones Industrial Average DJIA, +0.41% added 62 points, or 0.3%, to 19,184, trading in record territory. The Nasdaq Composite COMP, -0.08% was 7 points, or 0.1%, higher at 5,386.
SunTrust Banks Inc. (NYSE: STI) had its price target boosted by equities researchers at Wedbush from $51.00 to $53.00. The company currently has a rating of Neutral on the stock. As a means of comparison, a number of other analysts have spoken on the company in recent days, and the company has earned a consensus one-year price target of $50.32, a decrease compared to the opening price of $51.98, a difference of 9.63 percent. SunTrust Banks Inc. stock has a 52-week high of $52.65.
Shares of SunTrust Banks Inc. (NYSE: STI) opened at $51.98 on Tuesday trading between $51.98 and $52.32, and last traded at $52.23, which represents a spike of $1.09 or 2.12% compared to the previous closing price.
SunTrust Banks Inc. (NYSE: STI) now has a market cap of 25.90B.
SunTrust Banks Inc. (NYSE: STI) Average Daily Trading Volume
The stock’s average daily volume is 3,828,960 shares out of a total float 494,278,000 and some 472,032 shares traded hands yesterday, below normal. Momentum traders often use upticks 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, just a day of heavy buy side trading is not enough to affirm a trend. As such, market traders will continue to watch for institutional sponsorship as a signal 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 retain substantial teams of analysts that investigate thousands of stocks, so it is good confirmation to see them taking a postion in a stock you’re researching.
SunTrust Banks Inc. (NYSE: STI) 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 investors to make those trends work in their favor and increase the number of winning trades.
Trades for SunTrust Banks Inc. (NYSE: STI) have ranged from $31.07 – 52.650, and the stock now has a 50-day MA of $47.63 and 200-day MA of $43.96. Today’s last price is 0.81%% under the 52 week high of $52.65.
Earnings growth is an important factor to consider when investing in stocks and investors seek companies that have raised their earnings by at least 25% over the past 3 years.
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