Investing

Top Analyst Upgrades and Downgrades: Benefitfocus, Chubb, Dominion, Home Depot, Karyopharm, Mylan, Philip Morris, Weight Watchers and More

Karyopharm Therapeutics Inc. (NASDAQ: KPTI) was last seen trading down almost 15% at $4.15 after announcing the outcome of the FDA Advisory Committee over Selinexor as a treatment for patients with relapsed refractory multiple myeloma. Merrill Lynch downgraded it to Underperform from Neutral, while Wedbush maintained its Outperform rating and $6 price target.

Mylan N.V. (NASDAQ: MYL) was downgraded to Market Perform from Outperform at Bernstein. After closing down 1.1% at $30.62 on Tuesday, the shares were indicated down 8.75% at $27.95 on Wednesday after earnings disappointed. The 52-week trading range is $26.03 to $44.18.

New Relic Inc. (NASDAQ: NEWR) was reiterated as Outperform at Wedbush, but the firm added it to the Best Ideas List, based on growing enterprise penetration and a promising setup heading into 2020 as it has now penetrated over 50% of the Fortune 100 and is increasing its lead in the cloud.

Pegasystems Inc. (NASDAQ: PEGA) was reiterated as Outperform with an $84 price target (versus a $64.94 close) at Wedbush, but the firm added it to the Wedbush Best Ideas List as it transitions to the cloud and after its fourth-quarter earnings report represented its fifth consecutive quarter of strong results.

Philip Morris International Inc. (NYSE: PM) was raised to Buy from Neutral at UBS. It was indicated up 1.1% at $87.50 on Wednesday, in a 52-week range of $64.67 to $109.90 and with a consensus target price of $87.59.

Weight Watchers International Inc. (NASDAQ: WTW) was downgraded to Hold from Buy at Craig-Hallum after a 35% post-earnings drop down to $19.19. SunTrust Robinson Humphrey it downgraded to Hold from Buy, and Oppenheimer downgraded it to Perform from Outperform. KeyBanc cut its rating to Sector Weight from Overweight, and Merrill Lynch offered a two-notch downgrade to Underperform from Buy. The prior $29.57 close compared with a prior 52-week range of $27.10 to $105.73.

W.R. Berkley Corp. (NYSE: WRB) was raised to Outperform from Neutral and the target price was raised to $88.00 from $77.50 at Credit Suisse. The firm sees profit margin improvement over 2019 and 2020 in both the insurance and reinsurance segments, with hardening reinsurance pricing and an improvement in its expense ratio.

Goldman Sachs has raised its price targets on four stocks that have been on the move.

Investors need to pay attention to the new FTC Tech Task Force created to focus on large technology companies exhibiting antitrust behavior. This gives a more tuned power for breakups and can result in mergers being broken up even if they have already closed.

Credit Suisse’s global equity strategy team sees a rising risk of a bond market sell-off, driving yields higher, with a house view (12-month target) of 3.1% and 0.8% for U.S. and German 10-year bonds, respectively. The firm now remains cautious on U.S. utilities and has increased its overweight stance in Japanese equities.

RBC Capital Markets has four utilities that it thinks can soar if interest rates stay low and volatility comes back in the equities indexes.

Tuesday’s top analyst calls included Caterpillar, CenturyLink, Danaher, Dillard’s, Intel, Intelsat, Mattel, ONEOK, PG&E, Windstream and many more.