Check out today's top analyst calls from around Wall Street, compiled by The Fly.
JPMORGAN UPGRADES GE TO NEUTRAL: JPMorgan analyst Stephen Tusa upgraded General Electric (GE) to Neutral from Underweight with an unchanged price target of $6. The analyst says he's less negative on the shares with the abating of "known unknowns." Tusa, however, increasingly assumes a "material equity raise could be necessary." While such an event would create near-term downside in GE shares, there "could be support at a lower level, and likely a benefit of the doubt for new management with a higher multiple on lower earnings" and free cash flow, Tusa said. The analyst, who has been the most prominent bear on Wall Street regarding GE, sees a more balanced risk/reward following the recent selloff in General Electric shares. In late morning trading, GE shares are higher by over 9% to $7.32.
BOFA UPGRADES P&G TO BUY: BofA Merrill Lynch analyst Olivia Tong upgraded Procter & Gamble (PG) to Buy from Neutral, stating that following meetings with CFO Jon Moeller she believes that the company's early momentum in Q1 of FY19 can be sustained. While Tong expects P&G's results to continue showing momentum, she also believes the defensive qualities of the stock should resonate, particularly with active fund managers, as investors seek stability. P&G currently trades at an 11% discount to large-cap HPC peers, added Tong, who expects that gap to peers should narrow. She raised her price target on the stock to $108 from $96. In late morning trading, P&G shares are higher by over 2.5% to $96.44
CREDIT SUISSE DOUBLE DOWNGRADES ALKERMES TO UNDERPERFORM: Credit Suisse analyst Vamil Divan double downgraded Alkermes (ALKS) to Underperform from Outperform and lowered his price target for the shares to $31 from $47. The analyst, who admitted to being a long time bull of the company, sees "limited drivers" in 2019 to turn the story around following a "series of disappointing or underwhelming pipeline catalysts." He removed sales of depression drug ALKS 5461 from his model and lowered expectations for schizophrenia drug ALKS 3831 after Phase 3 data indicated to him a "more limited commercial opportunity." In late morning trading, Alkermes shares are lower by almost 5.5% to $33.57.
UBS CUTS COCA-COLA TO NEUTRAL: UBS analyst Sean King downgraded Coca-Cola (KO) to Neutral from Buy while raising his price target for the shares to $51 from $50 after assuming coverage of the name. The analyst sees "moving parts" but says this is "not a new Coke."
CITI UPGRADES MARVELL, ADDS NVIDIA TO SHOPPING LIST: Citi analyst Atif Malik upgraded Marvell Technology Group (MRVL) to Buy from Neutral and raised his price target for the shares to $19 from $17.30. With the stock down 28% year-to-date, the risk/reward looks attractive in next 12-18 months, Malik said. The analyst expects increasing sales diversification and gross margin expansion from Cavium's networking business should help expand stock's historical storage weighted price-to-earnings multiple over time. Malik also added adding Nvidia (NVDA) to the "Citi Semis Christmas Shopping list on bottom picking." Gaming expectations have been de-risked in the January quarter, the analyst wrote. He kept a Buy rating on the shares with a $244 price target.
