The futures were higher on Monday as we start the final trading week of May before the Memorial Day holiday. Friday’s back and forth session ended with the Dow Jones industrials and the Russell 2000 both closing higher, while the S&P 500 and the Nasdaq both ended lower.
The same tailwind of stimulus and low rates continues to support the market, but the continuing inflation chatter and the worries over the Federal Reserve tapering the massive monthly purchases of debt designed to keep rates low remain a concern. Also 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 Monday, May 24, 2021.
Apollo Investment Corp. (NASDAQ: AINV): Wells Fargo downgraded the stock to Equal Weight from Overweight and has a $13.75 price target. The Wall Street consensus target is $13.97, and the stock ended trading Friday at $14.07, which was down almost 4% for the day.
Beyond Meat Inc. (NASDAQ: BYND): Bernstein raised its Underperform rating to Outperform with a $130 price target. The consensus target for the plant-based food company is $119.20, and the stock closed Friday at $106.59 per share.
Campbell Soup Co. (NYSE: CPB): Jefferies downgraded the legacy food giant to Hold from Buy and has a $54 price target. That compares with the consensus price objective of $51.10 and Friday’s closing print of $48.87.