Quest Diagnostics Inc. (NYSE: DGX) shares rose on Monday Nov 14 with heavier trade volume than normal after a number of analysts weighed in on the investing value of the stock and reiterated thier respective ratings.
Meanwhile as investors continued to try and decipher policy proposals of President-elect Donald Trump’s administration, the Dow Jones Industrial Average DJIA, +0.11% rose 21.03 points, or 0.1%, to finish at 18,868.69, its third straight record close. The blue-chip index had also touched a historic high of 18,934.05 during the session.
The S&P 500 index SPX, -0.01% fell 0.25 points to end at 2,164.20, and the Nasdaq Composite COMP, -0.36% dropped 18.72 points, or 0.4%, to close at 5,218.40.
Quest Diagnostics Inc. (NYSE: DGX) had its Sell rating reiterated by equities researchers at Bank of America Corp. in a research note to investors. Bank of America Corp. currently has a rating of Sell on the shares. A number of other analysts have commented on the company recently, and Quest Diagnostics Inc. has earned a consensus one-year price target of $83.53, above the opening price of $83.24. Quest Diagnostics Inc. stock has a 52-week high of $86.85. Stock prices sometimes get a spike to the upside when analysts reiterate coverage.
Shares of Quest Diagnostics Inc. (NYSE: DGX) opened at $83.24 on Monday trading between $83.03 and $85.62, and last traded at $85.10, a jump of $3.64 or 4.47% over the previous closing price.
Quest Diagnostics Inc. (NYSE: DGX) now has a market cap of 11.80B.
Quest Diagnostics Inc.Average Daily Trading Volume
3,625,311 shares crossed the trading desk yesterday, higher than normal, out of a total float 138,174,000. Large increases in trading volume and price appreciation together could indicate heavy volume aggregation by institutional investors.
However, one day of heavy buy side trading is not enough to affirm a trend. As such, market traders will continue to look for institutional sponsorship as a signal 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.
These professional investors retain teams of analysts that investigate thousands of stocks. So watching their interests is a good way to ensure you are buying the right stocks.
Quest Diagnostics 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 identifying trends, moving averages allow investors to make those trends work in their favor and increase the number of winning trades.
With that in mind, Quest Diagnostics Inc. (NYSE: DGX) now has a 50-day MA of $82.97 and 200-day MA of $81.40. It has traded in a 52-week range between $59.66 – 86.85 and today’s last price is 2.01%% lower than the 52 week high of $86.85.
Earnings growth is a crucial factor to research when investing in stocks and investors seek companies that have raised their earnings at least 25% or more over a 3 year period.
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