TIM Participacoes S.A. (NYSE: TSU) shares slid back in value on Monday February 13 on lower 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. stock-market indexes opened higher on Monday, setting intraday all-time highs shortly after market open. The S&P 500 SPX, +0.35% opened up 6 points, or 0.2%, at 2,322.
The Nasdaq Composite COMP, +0.44% began the session up 18 points, or 0.3% higher at 5,752. The Dow Jones Industrial Average DJIA, +0.51% added 64 points or 0.3%, to 20,340 at the open.
Analysts at Citigroup Inc. upgraded shares of TIM Participacoes S.A. (NYSE: TSU) from Neutral to Buy today. With a rating of Buy on the shares, TIM Participacoes S.A. has a 52-week high of $15.67. The one-year price target of $14.13 is lower than the opening price of $15.67, that has caused a fair amount of other analysts to comment on the company recently. Share prices often move to the upside on recommendations and new price targets of professional brokerage firms.
Shares of TIM Participacoes S.A. (NYSE: TSU) opened at $15.67 yesterday and traded in a range between, $15.41 and $15.67, and last traded at $15.41, which represents a dip of $0.03 over the previous closing price.
TIM Participacoes S.A. (NYSE: TSU) currently has a market cap of 7.46B.
TIM Participacoes S.A. (NYSE: TSU) Average Daily Trading Volume
261,090 shares traded hands yesterday, 84 percent below the average, out of a total float 484,047,000. lower than normal. Look for trading volume to pick up in the coming days as momentum traders often use upticks in trading volume to identify heavy volume accumulation or distribution by institutional investors.
As with all potential breakouts, investors look for volume to be at least 40%-50% higher than normal on the breakout to show that fund managers and other professional investors are jumping in.
Institutional sponsorship simply refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
These professional investors have substantial teams of analysts that investigate thousands of stocks, so it is good corroboration to see them taking a postion in a stock you’re researching.
TIM Participacoes S.A. (NYSE: TSU) 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 tracking the activity of these professional investors—and the moving averages they affect—it allows for traders to make more effective decisions on trades.
Trades for TIM Participacoes S.A. (NYSE: TSU) have ranged from $7.17 – 15.67, and the stock now has a 50-day MA of $13.56 and 200-day MA of $12.85. Today’s last price is 1.66%% lower than the 52 week high of $15.67.
Earnings growth is an important factor to consider when investing in stocks and investors watch for companies that have increased their earnings at least 25% or more for a 3 year period.
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