Where is the V stock going? What is the 40 week average?

Question

Bought at 87 (high) and I'm watching it go down a little too quickly.

Answer 1

I think you must realize most stocks are getting beat up right now. Chances are Visa maybe beaten up below what its appropriate value. Without looking at value ratios, I would assume th elong term outlook is quite good since we are a convience and credit nation.

Answer 2

<<<Where is the V stock going?>>>

No one knows. The future price of a stock is always unknown. Brokerages hire people make estimates. Of the 18 brokerage firms that have published target prices the lowest target is $70 and the highest is target is $100. The average target is $84.33.

No one puts a lot of faith in these estimates, but they are the best guesses available.

http://finance.yahoo.com/q/ao?s=V

<<<What is the 40 week average?>>>

The stock only started trading on March 19, so it has not traded for 40 weeks yet. Since it started trading the average closing price is $76.44.

http://finance.yahoo.com/q/hp?s=V

<<<Bought at 87 (high) and I'm watching it go down a little too quickly.>>>

You need to consider why you bought the stock and if the reason(s) still exist(s).

If you bought it due to fundimentals I do not think there has been any substantial change in them.

If you bought it due to momentum, there has been a significant change.

If you bought due to a recommendation from a particular source, you need to find out what that source recommends now.

If I had purchased the stock I would not be happy about the drop, but I would not consider the drop as that significant since the fundimentals have not changed very much. (If I were a short term momentum trader I would be concerned and likely would have already sold my position, but I am not.)