Investing

Top Analyst Upgrades and Downgrades: AutoZone, Basic Energy Services, Discover Financial, McDonald's, Lending Tree, Shake Shack and More

Lee Jackson

Published: May 7, 2018 8:55 am

Last Updated: January 11, 2020 11:59 pm

The futures traded higher Monday morning as investors digested Friday’s massive market rally, which was driven in part by Warren Buffett announcing that Berkshire Hathaway had bought a stunning 75 million more shares of Apple in the first quarter. Some investors have reconsidered what the nine-year bull market may bring in 2018 and beyond. It has become clear that the multiyear trend of buying pullbacks is now more vulnerable to sellers, volatility and each major news headline. Many investors are finding it harder to decide how they want their assets positioned for the longer term.

24/7 Wall St. reviews dozens of analyst research reports each day of the week to find new investing and trading ideas for our readers. Some of the top analyst reports cover stocks to buy. Other analyst calls cover stocks to sell or to avoid.

Additional color and commentary have been added on some of these daily analyst calls. The consensus analyst price target data are from the Thomson Reuters sell-side research service.

These were the top analyst upgrades, downgrades and other research calls from Monday, May 7, 2018.

AutoZone Inc. (NYSE: AZO) was added to the Conviction Buy List at Goldman Sachs. The 52-week trading range for the auto parts giant is $491.13 to $797.89. The consensus price target on Wall Street is $777. The stock closed trading on Friday at $649.94.

Basic Energy Services Inc. (NYSE: BAS) was raised to Overweight from Neutral at Piper Jaffray. The 52-week trading range is $12.72 to $30. The consensus price target is $23.57, and the stock closed on Friday at $13.02.

BiliBili Inc. (NASDAQ: BILI) was started with a Buy rating and a $14 price objective at JPMorgan. The consensus target is $13.35. The shares have traded between $9.62 and $11.80, since the company’s IPO in late March. The stock closed Friday at $9.99 a share.

Cloudera Inc. (NYSE: CLDR) was started with a Buy rating and a $20 price target at Craig Hallum. That compares with the consensus target of $17.80. The 52-week trading range is $12.57 to $23.35. The stock closed Friday at $15.04.

Discover Financial Services Inc. (NYSE: DFS) was raised to Neutral from Sell at UBS. The 52-week trading range is $57.50 to $81.93, and the consensus price objective is $86.60. The stock closed Friday at $70.87.

Goldman Sachs BDC Inc. (NYSE GSBD) is raised to Strong Buy from Outperform at Raymond James. The 52-week range is $18.78 to $24.38. The consensus price target is $21.75, and the share price ended last week at $19.23.

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McDonald’s Inc. (NYSE: MCD) was added to the Conviction Buy List at Goldman Sachs. The 52-week trading range for the fast-food goliath is $143.40 to $178.70. The consensus price objective is $186.69. Shares closed Friday at $165.03.

Shake Shack Inc. (NYSE: SHAK) was downgraded to Underweight from Neutral at JPMorgan, which has a $49 price target. That compares with the consensus target of $42.10. The 52-week trading range is $30.12 to $58.98. The stock closed trading on Friday at $55.95.

Summit Midstream Partners L.P. (NYSE: SMLP) was downgraded to Market Perform from Outperform at Wells Fargo. The 52-week trading range is $13.10 to $24.75, and the consensus price target is $18.30. Shares ended on Friday trading at $14.50 apiece.

Zuora Inc. (NYSE: ZUO) was started with a Buy rating at Needham with a $24 price objective. Canaccord Genuity initiated coverage with a Hold rating and a $20 target, while Morgan Stanley started the shares at Equal Weight with a $19 price target. The consensus target was not available, perhaps as this was a new issue in April. The trading range for the shares since the IPO is $19.00 to $21.85. The stock closed Friday at $19.55.

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Other key analysts upgrades and downgrades were seen in the following.

Achaogen Inc. (NASDAQ: AKAO) was downgraded to Neutral from Guy at Guggenheim. The 52-week range is $9.83 to $27.49. The consensus price target is $21.56. The stock closed on Friday at $11.71.

CVR Refining L.P. (NYSE: CVRR) was raised to Buy from Neutral at Goldman Sachs. The 52-week range is $6.70 to $18.25, and the consensus price target is $15.58. The stock closed above that level on Friday at $17.35.

First Cash Inc. (NYSE: FCFS) was downgraded to Neutral from Outperform at Wedbush. The 52-week range is $51.63 to $91, and the consensus price target is $81. With the shares closing on Friday at $90.85 this could be a valuation call.

First Industrial Realty Trust (NYSE: FR) was raised to Buy from Hold at Mizuho. The 52-week range is $27.49 to $32.41. The consensus price target is $32.31, and the stock closed on Friday at $31.22.

Lending Tree Inc. (NASDAQ: TREE) was raised to Buy from Hold at UBS. The 52-week range is $144.10 to $404.40. The consensus price target is $341.58. Shares ended the day on Friday at $259.80.

Luminix Corp. (NASDAQ: LMNX) was raised to Neutral from Sell at Deutsche Bank. The stock has traded in a 52-week range of $18.62 to $22.59. The consensus price objective is $21.17, and the stock closed Friday at $21.40.

NiSource Inc. (NYSE: NI) was added to the conviction buy list at Goldman Sachs. The 52-week range is $22.44 to $27.76, and the consensus price target is $26.19. The shares closed Friday a $25.41.

Silgan Holdings Inc. (NASDAQ: SLGN) was raised to Sector Weight from Underweight at KeyBanc Capital Markets. The 52-week range is $26.49 to $32.50. The consensus price target is $31.17, and the stock closed Friday at $27.20.

In case you missed it, last Friday’s top analyst upgrades and downgrades included Amazon.com, Fortinet, Live Nation, Pandora Media, Sally Beauty, World Wrestling Entertainment and more.