Zayo Group Holdings Inc. (NYSE: ZAYO) shares were down on Thursday Dec 1 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, U.S. stocks opened with slight gains on Thursday.
The Dow Jones Industrial Average DJIA, +0.31% rose 38.22 points, or 0.2%, to 19,174, while the S&P 500 SPX, +0.01% added 2.1 points to 2,202, a rise of 0.1%.
The Nasdaq Composite Index COMP, -0.32% rose less than 1 point to 5,323, essentially unchanged on the day.
Zayo Group Holdings Inc. (NYSE: ZAYO) had its price target raised by equities researchers at RBC Capital Markets from $34.00 to $38.00. With a rating of Outperform on the shares, the company has a 52-week high of $35.33. The one-year price target of $34.00 is less than the opening price of $34.66, resulting a fair amount of other analysts to comment on the company in recent days.
Zayo Group Holdings Inc. (NYSE: ZAYO) shares last traded at $33.90, which represents a decrease of $0.60 per share or -1.74% from the previous closing price. Opening at $34.66, they ranged from $33.81 and $34.76 throughout the day.
Zayo Group Holdings Inc. (NYSE: ZAYO) now has a market cap of 8.24B.
Zayo Group Holdings Inc. (NYSE: ZAYO) Average Daily Trading Volume
197,944 shares crossed the trading desk yesterday, lower than the norm, out of a total float 175,323,000. Trading volume is likely to increase in the next few days as swing traders often use upticks in trading volume to identify heavy volume growth or circulation by institutional investors.
While increased trading for short periods will not mean much, conversely, a trend of heavy trading volume on the buy side over a period of days or weeks expresses a positive cue to market traders that institutions may be moving in, so institutional sponsorship is critical.
Institutional sponsorship just refers to ownership of a stock by mutual funds, banks, pension funds and other large institutions.
Institutional investors such as these have 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.
Zayo Group Holdings Inc. (NYSE: ZAYO) 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 traders to make those trends work in their favor and increase the number of successful trades.
With that in mind, Zayo Group Holdings Inc. (NYSE: ZAYO) now has a 50-day MA of $32.55 and 200-day MA of $29.54. It has traded in a 52-week range between $19.59 – 35.33 and today’s last price is 4.05%% lower than the 52 week high of $35.33.
Earnings growth is a crucial factor to research when buying stocks and investors seek companies that have raised their earnings by at least 25% for 3 consecutive years.
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