Each morning 24/7 Wall St. issues a list of some of the key analyst upgrades, downgrades, and initiations seen from Wall Street research firms. We review these and other calls from the week to see which stand out the most. Some are great calls that were greatly insightful. Other calls may be relevant well into the future. And then there are some calls which turned out to be total duds that were very painful for the analysts who made them and to the traders that listened.
After reviewing and filtering all of these research reports, we end up with the top analyst calls of the week. The top analyst calls of the week were in the following stocks: American Water Works Company, Inc. (NYSE: AWK); Annaly Capital Management, Inc. (NYSE: NLY); ARM Holdings PLC (NASDAQ: ARMH); Intel Corporation (NASDAQ: INTC); Bank of America Corporation (NYSE: BAC); Citigroup, Inc. (NYSE: C); J.P. Morgan Chase & Co. (NYSE: JPM); Caterpillar Inc. (NYSE: CAT); Delta Air Lines (NYSE: DAL); Dendreon Corporation (NASDAQ: DNDN); Diamond Foods, Inc. (NASDAQ: DMND); Human Genome Sciences Inc. (NASDAQ: HGSI); OpenTable, Inc. (NASDAQ: OPEN); SanDisk Corporation (NASDAQ: SNDK); Valero Energy Corporation (NYSE: VLO); Vical Inc. (NASDAQ: VICL); and YRC Worldwide Inc. (NASDAQ: YRCW).
American Water Works Company, Inc. (NYSE: AWK) was down on Friday, but earlier in the week it was added to the #1 Strong Buy List at Zacks. Despite its performance and valuations, we still see this one as a favorable stock for most investment portfolios.
Annaly Capital Management, Inc. (NYSE: NLY) saw shares slide this last week but we had an analyst duel. Wells Fargo raised Annaly to Outperform on Thursday, but Ladenburg Thalmann cut the rating to Neutral from Buy.
ARM Holdings PLC (NASDAQ: ARMH) was given a much better upside call against Intel Corporation (NASDAQ: INTC) by BMO Capital Markets mid-week, but this call goes against what the consensus analyst group is calling for. BMO raised ARM to Outperform and simultaneously downgraded Intel to Market Perform in the call.
Banking Sector Alert: On Tuesday afternoon came a bank sector downgrade by S&P Capital IQ, where Bank of America Corporation (NYSE: BAC), Citigroup, Inc. (NYSE: C) and J.P. Morgan Chase & Co. (NYSE: JPM) were both downgraded to “Hold” from “Buy.” On Wednesday morning Credit Suisse actually raised Citigroup, Inc. (NYSE: C) to “Outperform” and it gave a $48 price target.
Caterpillar Inc. (NYSE: CAT) was one of the few infrastructure players given a positive call by a new round of research calls by Morgan Stanley this last Wednesday. The firm started Caterpillar with an “Overweight” in a call which was cautious among many infrastructure and farming equipment makers.