The futures were up across the board Monday, after a losing week that ended with a solid rally across all the major indexes and the transportation index on Friday. With earnings reporting all but over and the three-day Labor Day weekend right around the corner, trading volumes should continue to drop as investors get in final vacations and travel for the summer. Continued uncertainty over the economic impact of the Delta variant, the Federal Reserve’s taper timeline, China’s regulatory crackdown and COVID-19 booster shots, as well as the potential for further equity weakness, may continue to hover over a low-volume market.
Despite worries and the potential for a “taper tantrum” like we saw in 2013, the Federal Reserve is vowing to keep interest rates contained. Given the recent FOMC commentary it looks like the tapering of the $120 billion per month purchase of government and mortgage debt could indeed be in the works by the end of the year and purchases could be completed by the end of 2022.
With major Wall Street firms still warning of the potential for impending 5% to 10% correction across the board, which may have seen beginning last week, it makes sense for investors to continue building some cash reserves into any market strength while repositioning portfolios for the balance 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, August 23, 2021.
ACV Auctions Inc. (NASDAQ: ACVA): Citigroup upgraded the stock to Buy from Neutral but dropped the target price to $23 from $29. The consensus target is $36. The shares closed trading on Friday at $18.51.
Celsius Holdings Inc. (NASDAQ: CELH): Roth Capital resumed coverage with a Buy rating and an $85 price target. The consensus target is higher at $95.67. The final Friday trade was reported at $65.99.