Western Digital Corp. (NASDAQ: WDC) shares rose on Friday Dec 2 with lower trade volume than normal after a number of analysts weighed in on the investing value of the stock and reiterated thier respective ratings.
Meanwhile, U.S. stocks edged lower on Friday, with major indexes on track for a weekly decline.
The Dow Jones Industrial Average DJIA, -0.14% fell 23 points, or 0.1%, to 19,169, while the S&P 500 SPX, +0.09% lost 1.2 point to 2,190, a move of less than 0.1%. The Nasdaq Composite COMP, -0.15% fell 5.3 points, or 0.1%, to 5,247.
Western Digital Corp. (NASDAQ: WDC) had its Buy rating reiterated by equities researchers at BTIG Research in a research note to investors. The company currently has a rating of Buy on the stock. As a means of comparison, a number of other analysts have issued reports on the stock in recent days, and Western Digital Corp. has earned a consensus one-year price target of $71.14, above the opening price of $61.51, a difference of 11.43 percent. Western Digital Corp. stock has a 52-week high of $64.73. Typically, after analysts issue a “reiterated rating” report on a stock, they will subsequently issue periodic revisions, such as a price target change.
Western Digital Corp. (NASDAQ: WDC) shares last traded at $62.26, which represents a jump of $0.65 or 1.06% from the previous closing price. Opening at $61.51, they ranged from $61.51 and $62.40 throughout the day.
Western Digital Corp. (NASDAQ: WDC) currently has a market cap of 17.77B.
Western Digital Corp. (NASDAQ: WDC) Average Daily Trading Volume
332,937 shares crossed the trading desk yesterday, below the norm, out of a total float 284,768,000. Trading volume is likely to increase in the next few days as swing traders often use swings in trading volume to determine heavy volume aggregation or circulation by institutional investors.
As with all potential breakouts, investors look for volume to be at least 40%-50% above normal on the breakout to demonstrate that fund managers and other professional investors are jumping in.
Institutional sponsorship just refers to 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. So watching their interests is a good way to make sure you are buying the right stocks.
Western Digital Corp. (NASDAQ: WDC) 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 investors to make those trends work in their favor and increase the number of successful trades.
With that in mind, Western Digital Corp. (NASDAQ: WDC) now has a 50-day MA of $57.36 and 200-day MA of $50.86. It has traded in a 52-week range between $34.99 – 64.73 and today’s last price is 3.82%% lower than the 52 week high of $64.73.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors identify companies that have increased their earnings by at least 25% for 3 consecutive years.
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