Yelp Inc. (NYSE: YELP) shares rose in value early today on lighter 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 Yelp Inc. (NYSE: YELP) from Hold to Buy today. Vetr Inc. currently has a rating of Buy on the stock. The one-year price target of $38.53 is a decrease compared to the opening price of $40.59, resulting a number of other analysts to issue statements on the company in recent days. Looking back over the last year, Yelp Inc. stock has a high of $43.36. Stock prices sometimes get a boost to the upside when analysts upgrade a stock.
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 Yelp Inc. (NYSE: YELP) opened at $40.59 yesterday trading between $40.59 and $41.30, and last traded at $41.23, which is a spike of $0.57 or 0.01 compared to the previous closing price.
Yelp Inc. (NYSE: YELP) currently has a market cap of 3.19B.
Yelp Inc.Trading Volume
191,954 shares traded hands yesterday, lower than the average, out of a total float 58,374,000. Look for trading volume to pick up in the coming days as investors often use upticks in trading volume to pinpoint heavy volume accumulation or distribution by institutional investors.
However, just a day of heavy buy side trading is not enough to affirm a trend. So market traders will continue to look for institutional sponsorship as a cue that financial institutions are moving forward.
Institutional sponsorship is defined by ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Institutional investors such as these retain teams of analysts researching thousands of stocks, so it is good confirmation to see them buying a stock you are researching.
Yelp 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 following the activity of these professional investors—and the moving averages they affect—it allows for traders to make more impactful choices on trades.
With that in mind, Yelp Inc. (NYSE: YELP) now has a 50-day MA of $39.03 and 200-day MA of $29.62. It has traded in a 52-week range between $14.53 – 43.36 and today’s last price is 0.05% lower than the 52 week high of $43.36.
Earnings growth is ann important factor to look at when buying stocks and investors identify companies that have raised their earnings at least 25% or more for the past 3 years.
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