The futures were up big Monday morning on the first trading day for February. After last week’s wild and crazy volatility ride, which saw the VIX surge to 37 on Thursday, hedge funds pounded by the Reddit retail army, and all the indexes closed down right at 2% Friday, hopefully things calm down some. Top analysts on Wall Street are starting to point to “bubble” type metrics, and the stunning gains and losses in the short interest plays are an example. Many are urging caution.
With fourth-quarter earnings reports slowing but still streaming in, most across Wall Street will not only be examining the results but looking to see what guidance for the first quarter and the rest of 2021 looks like. With all of the major indexes and the Russell 2000 still very close to all-time highs, despite Friday’s downturn, 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 Monday, February 1, 2021.
AMC Entertainment Holdings Inc. (NYSE: AMC) was downgraded from Neutral to Sell with a $1 price target at MKM Partners. The consensus target price is $2.44. The stock is one of the Reddit retail army targets, and it closed Friday at $13.26, up over 50% on the day. Shares were almost 20% higher in the premarket.
Bed, Bath & Beyond Inc. (NASDAQ: BBBY) was downgraded to Underweight from Sector Weight at KeyBanc Capital Markets, which has a $24 price target. The consensus target is $29.38. The stock closed Friday at $35.33, after rising over 5%, and this is another Reddit traders target. The shares were flat in the premarket.
Colgate-Palmolive Co. (NYSE: CL) was upgraded to Neutral from Underperform at Credit Suisse, which raised the price target on the consumer staples giant to $80. The consensus target is $54.45. The shares were last seen Friday at $78.00.
Deckers Outdoor Corp. (NYSE: DECK) saw its price target raised to $320 from $302 at Telsey Advisory Group, which kept an Outperform rating on the stock. The consensus price target is $337.31. The last trade on Friday hit the tape at $291.38.
Gatos Silver Inc. (NYSE: GATO) was downgraded to Market Perform from Outperform at BMO Capital Markets, which raised the price target to $14.50. The lower consensus target is $10. The stock closed Friday at $13.21. The Reddit traders are targeting silver stocks this week, and the shares are up almost 17% in the premarket.
GOGO Inc. (NASDAQ: GOGO) was downgraded at JPMorgan from Neutral to Underweight with a $10 price target. That compares with a higher $11.33 consensus target and Friday’s $13.40 close. The stock was trading over 3% lower in the premarket.
Halliburton Inc. (NYSE: HAL) was raised from Neutral to Overweight with a $22 price target at Piper Sandler. The consensus target for the oil services leader is $21.97. The stock closed trading on Friday at $17.63.
Intuit Inc. (NASDAQ: INTU) was named as the Zacks Bear of the Day stock. The firm said that the tax software giant’s biggest quarter keeps getting revised down after an epic run in the stock. Shares last closed at $361.23 and have a consensus price target of $416.38.
Moderna Inc. (NASDAQ: MRNA) was downgraded to Underperform from Neutral at BofA Securities. The pharmaceutical company has traded in a wide range over the past 52 weeks of $17.91 to $185.98 on the strength of a successful COVID-19 vaccination. The consensus target is $145.92, but shares closed way above that level on Friday at $173.16.