Investing

Top Analyst Upgrades and Downgrades: AIG, Boeing, GameStop, Gilead, Starbucks, CIGNA, Ciena, Ferrari and Many More

Acorda Therapeutics Inc. (NASDAQ: ACOR) was raised to Buy and the fair value estimate was raised to $38 from $23 at Janney. The call is after Acorda received a positive decision last week from the Patent Trial Appeal Board regarding the inter-partes review of four of its patents protecting Ampyra, which should go a long way toward keeping patent protection for Ampyra in place versus generic competition.

Ciena Corp. (NASDAQ: CIEN) was reiterated as Buy and with a $30 target price (versus a $23.66 close) at Argus. The firm noted that Ciena had light revenues but recently offered good guidance.

Embraer S.A. (NYSE: ERJ) was reiterated as Buy and the price objective was raised to $30 from $27 (versus a $23.80 close) at Merrill Lynch. The firm’s call was after Embraer Day in Brazil showed a strong portfolio in a cyclical upturn.

Ferrari N.V. (NYSE: RACE) was started as Buy with a $74 price target (versus a $65.73 close) at Jefferies. The firm feels that Ferrari should grow earnings at twice the pace of revenue in the coming five years, given mix trends and latent operating leverage.

GeoPark Ltd. (NYSE: GPRK) was raised to Overweight from Neutral at JPMorgan, and the price target was raised to $10 from $5 (versus a $6.11 close). GeoPark has a 52-week range of $1.90 to $7.24 and a market cap of only $366 million. This small oil and gas exploration and production company has reserves in Chile, Colombia, Brazil and Argentina.

Hologic Inc. (NASDAQ: HOLX) was reiterated as Buy and the price target was raised to $49 from $46 (versus a $42.23 close) at Jefferies. The firm feels that adoption of 3D mammography appears to be on the cusp of an inflection.

Mallinckrodt PLC (NYSE: MNK) was maintained as Buy at Jefferies, but the firm cut its price target to $80 from $96 (versus a $49.39 close). The firm feels that 2017 will be a transitional year but clearer skies will be ahead.

Oracle Corp. (NYSE: ORCL) was reiterated as Neutral with a $42 price target at Wedbush. The firm noted that Oracle continues to execute inconsistently relative to guidance, and also that consensus expectations for constant-currency organic growth of about 3% look too high.

Toronto-Dominion Bank (NYSE: TD) was downgraded to Sector Perform from Outperform at RBC Capital Markets. Merrill Lynch showed its view after recent allegations by noting that, while shares may take time to recover, TD’s risk/reward looks attractive for investors willing to ride out near-term volatility.

Additional calls with little or no expanded coverage:

  • Johnson Controls International PLC (NYSE: JCI) was downgraded to Neutral from Buy and the price target was cut to $44 from $48 at Goldman Sachs.
  • Rockwell Collins Inc. (NYSE: COL) was raised to Overweight from Equal Weight and the price target was raised to $120 from $94 (versus a $97.21 close) at Morgan Stanley.
  • Scorpio Bulkers Inc. (NYSE: SALT) was raised to Outperform from Neutral at Credit Suisse.
  • Targa Resources Corp. (NYSE: TRGP) was raised to Buy from Hold at Stifel.
  • Unum Group (NYSE: UNM) was downgraded to Neutral from Buy at Citigroup.