The futures were mixed on Thursday after a dreadful day for investors on Wednesday, when all of the major indexes and the transportation index closed lower, with the Nasdaq taking the worst beating, down 2.67% on the day. The market was hammered after the Consumer Price Index reading showed that consumer prices jumped again in April and drove the rate of inflation to the highest level in nearly 13 years. With most first-quarter earnings reports released, investors are starting to factor in rising prices amid a continued tailwind for the market from low, but slowly rising interest rates.
Despite the concerns across Wall Street for tapering of the quantitative easing program and clear building inflationary pressures, the Federal Reserve is vowing to keep interest rates contained, which could be one reason for the continued moves higher in the equity markets, even after sell-offs. Note that money markets continue to see massive inflows, which is another big plus.
With major Wall Street firms still warning of the potential for impending 5% to 10% correction across the board, it makes sense for investors to continue building some cash reserves into the market strength while repositioning portfolios for the balance of the second quarter and the rest of 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 Thursday, May 13, 2021.
Albemarle Corp. (NYSE: ALB): RBC Capital Markets upgraded the stock to Sector Perform from Underperform and also raised the price target to $168. The consensus target is lower at $159.57. The stock was last seen on Wednesday at $154.60.
Array Technologies Inc. (NASDAQ: ARRY): Credit Suisse raised the shares to Outperform from Neutral and has a $31 price target. The consensus target for the solar equipment stock is $33.70. Shares tumbled an incredible 46% on Wednesday after the company posted solid results but halted further guidance due to massive increases in cost.
Atara Biotherapeutics Inc. (NASDAQ: ATRA): JPMorgan upgraded it to Overweight from Neutral and raised the price target to $29. The consensus target is higher at $35.29, and the stock closed trading on Wednesday at $13.83. Shares were up almost 6% in Thursday’s premarket action.