The futures were trading decidedly lower Wednesday morning as investors are digesting what has become a very overbought stock market, which included yet another intraday all-time high, this time on the S&P 500. Top analysts on Wall Street are starting to point to “bubble” type metrics and are urging caution. With fourth-quarter earnings reports continuing to stream in, most across Wall Street will not only be examining the results but also looking to see what guidance for the first quarter and the rest of 2021 looks like. With all the major indexes and the Russell 2000 still very close to all-time highs, it makes sense for investors to start building some cash reserves while repositioning portfolios for 2021.
24/7 Wall St. reviews dozens of analyst research reports each day of the week with a goal of finding new ideas for investors and traders alike. Some of these daily analyst calls cover stocks to buy. Other calls cover stocks to sell or avoid. Remember that no single analyst call should ever be used as a basis to buy or sell a stock. Consensus analyst target data is from Refinitiv.
These are the top analyst upgrades, downgrades and initiations seen on Wednesday, January 27, 2021.
Albertsons Companies Inc. (NYSE: ACI) was downgraded at Wells Fargo from Overweight to Equal Weight with a $19 price target. The consensus target price for the grocery store giant is $20.82. Tuesday’s final trade came in at $19.50 up almost 5%.
Bed Bath & Beyond Inc. (NASDAQ: BBBY) was downgraded to Neutral from Overweight at Baird, which raised the target price to $37. The lower consensus target is $24.63, and Tuesday’s close was at $36.87 a share.
Dick’s Sporting Goods Inc. (NYSE: DKS) was upgraded to Buy from Neutral at Citigroup, which also raised the target price to $90. The lower consensus target is $68.95. Shares closed trading on Tuesday at $68.55.
DoorDash Inc. (NYSE: DASH) was started at Wells Fargo with an Equal Weight rating and a $185 price objective. The posted consensus objective is $169.17. The last trade on Tuesday came in at $198.22, which was up over 3% on the day.
DraftKings Inc. (NASDAQ: DKNG) was started with an Outperform rating and a $71 price target at Bernstein. The consensus target is $61.38. The last trade on Tuesday hit the tape at $54.06.
Dycom Industries Inc. (NYSE: DY) was raised from Sector Weight to Overweight with a $104 price target at KeyBanc Capital Markets. The consensus target is $82.17, and the final trade for Tuesday came in at $87.81.
Five Below Inc. (NASDAQ: FIVE) was downgraded to Neutral from Buy at Citigroup, though the firm raised the target price to $205. The consensus target for the red-hot retailer is $204.83. The last trade for Tuesday was reported at $184.75.
Himax Technologies Inc. (NASDAQ: HIMX) was raised to Buy from Neutral at Nomura. It also was named as the Bull of the Day at Zacks, which said that after guiding higher, this stock has seen a big run that could continue with improved execution. The shares have traded in a 52-week range of $1.73 to $9.88, and have a consensus price objective of $6.96. The stock closed way above that level Tuesday at $9.76.
International Flavors & Fragrances Inc. (NYSE: IFF) was named as the Zacks Bear of the Day stock. The firm said that this stock has seen some small estimate revisions, so it has yet to be seen how the shares will respond. The stock last closed at $113.78 and has a consensus price target of $138.67.