Yahoo Inc. (NASDAQ: YHOO) shares rose in value early today on slower 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 Yahoo Inc. (NASDAQ: YHOO) from Hold to Buy today. With a rating of Buy on the stock, the company has a 52-week high of $44.92. As a means of comparison, a number of other analysts have commented on the company recently, and the company has earned a consensus one-year price target of $43.08, a decrease compared to the opening price of $43.34. Typically, after analysts assign an upgrade report on a stock, they will subsequently issue recurring updates, such as a price target change.
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
Shares of Yahoo Inc. (NASDAQ: YHOO) opened at $43.34 yesterday trading between $43.25 and $44.02, and last traded at $43.90, an increase of $0.68 or 0.02 over the previous closing price.
Yahoo Inc. (NASDAQ: YHOO) currently has a market cap of 41.78B.
Yahoo Inc.Trading Volume
1,041,301 shares crossed the trading desk yesterday, lower than the norm, out of a total float 807,635,000. Look for trading volume to pick up in the coming days as momentum traders often use swings in trading volume to pinpoint large volume accumulation or distribution by institutional investors.
However, one day of significant buy side trading is not enough to assert a trend. As such, market traders will continue to watch for institutional sponsorship as an indicator 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 professional investors have teams of analysts researching thousands of stocks. So watching their interests is a good way to make sure you are buying the right stocks.
Yahoo 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.
By spotting trends, moving averages allow investors to make those trends work in their favor and increase the number of successful trades.
With that in mind, Yahoo Inc. (NASDAQ: YHOO) now has a 50-day MA of $43.17 and 200-day MA of $38.95. It has traded in a 52-week range between $26.15 – 44.92 and today’s last price is 0.02% lower than the 52 week high of $44.92.
Indeed, earnings growth is among the most important things to look at in regards to stock investing and, accordingly, investors identify companies that have raised their earnings at least 25% or more over 3 consecutive years.
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