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Top Analyst Upgrades and Downgrades: Altria, Apple, Discovery, DowDuPont, JPMorgan, Red Hat, T-Mobile and More

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Stocks were indicated marginally higher on Tuesday morning. Despite three days of selling, the markets did just hit all-time highs again last week. The primary trend that has dominated this eight-year bull market is that investors keep finding new reasons to buy stocks every time the market has sold off. Investors also are looking for new investing and trading ideas to generate gains and income.

24/7 Wall St. reviews dozens of analyst research reports each day of the week to find new investing and trading ideas for our readers. Some of these key analyst reports cover stocks to buy. Other analyst reports cover stocks to sell or to avoid.

Additional color and commentary has been added on some of these daily analyst calls. The consensus analyst price target data are from the Thomson Reuters sell-side research service.

These were the top analyst upgrades, downgrades and other research calls from Tuesday, September 26, 2017.

Altria Group Inc. (NYSE: MO) was raised to Outperform from Market Perform and the price target was raised to $71 from $64 (versus a $63.79 prior close) at Cowen. Its shares were indicated up 0.7% at $64.23 on Tuesday, versus a 52-week trading range of $60.01 to $77.79 and with a consensus analyst target price of $71.69.

Apple Inc. (NASDAQ: AAPL) was reiterated as Outperform and the price target was raised to $180 from $170 at Raymond James. Apple has a 52-week range of $104.08 to $164.94 and consensus price target of $172.69.

Discovery Communications Inc. (NASDAQ: DISCA) was raised to Neutral from Sell at UBS. It has a 52-week range of $20.14 to $30.25 and a consensus price target of $25.65.

DowDuPont Inc. (NYSE: DWDP) was started as Hold and assigned a $66 price target at HSBC Securities. The stock closed up 0.54% at $70.34 on Monday and its adjusted range of the past year is shown to be $51.60 to $70.70. The consensus price target is $77.89.

JPMorgan Chase & Co. (NYSE: JPM) was downgraded to Hold from Buy but the price target was raised to $96 from $90 at Deutsche Bank. Instinet raised its target price slightly to $87 from $86 in another bank sector call. JPMorgan has a 52-week range of $65.11 to $95.37 and a consensus price target of $95.12.

Red Hat Inc. (NYSE: RHT) was down 0.5% at $105.76 ahead of Monday’s earnings, but the stock was indicated up 4.5% at $110.50 on Tuesday morning. Many brokerages have raised their target prices but most ratings were already positive with a prior $111.32 consensus target price. Barclays raised target to $122 (Overweight), BMO Capital Markets raised its target to $128 (Outperform), Credit Suisse (Neutral) raised its target to $113, Cowen raised its target to $120 (Buy), Jefferies raised its target to $100 (Hold), JPMorgan raised its target to $117 (Overweight), Oppenheimer raised its target to $125 (Outperform), Robert W. Baird raised its target to $115 (Neutral) and Stifel raised its target to $125 (Buy).

T-Mobile US Inc. (NASDAQ: TMUS) was highlighted by Jefferies now after reports that it and Sprint have advanced with due diligence to create a much stronger number-three player with massive synergies. While regulatory remains uncertain (but not of the question), Jefferies feels that T-Mobile is valuable on a standalone basis as is, but it sees the combined company worth about $90 in a deal scenario — or about 43% above the current price.

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Other key analyst upgrades and downgrades were seen in the following:

Allergan PLC (NYSE: AGN) was up 3.4% at $211.61 on Monday and shares were indicated up another 1% at $213.95 on Tuesday. Credit Suisse maintained its Outperform rating but cut its target price to $266 from $286. Instinet maintained a positive call as well but lowered its target price down to $250 from $267.

Boston Beer Co. Inc. (NYSE: SAM) was raised to Neutral from Underperform and the price target was raised to $150 from $140 at Credit Suisse.

Cheesecake Factory Inc. (NASDAQ: CAKE) was downgraded to Neutral from Outperform and the price target was cut to $44 from $52 (versus a $41.52 close) at Wedbush Securities. The firm sees pressure on fast casual to the point that it is expecting comparable sales and margin to remain under pressure.

Cheniere Energy Inc. (NYSEMT: LNG) was started as Outperform with a $60 price target (versus a $44.12 close) at BMO Capital Markets.

Citigroup Inc. (NYSE: C) was maintained as Hold but the price target was raised to $67 from $61 at Deutsche Bank. Instinet lowered its price target to $80 from $81 despite a positive stance in a bank sector call. Citigroup shares were down 0.8% at $70.84 on Monday, in a 52-week range of $45.16 to $72.20 and with a consensus target price of $73.16.

Equinix Inc. (NASDAQ: EQIX) was started with a Buy rating and assigned a $550 price target (versus a $437.21 close) at Berenberg.

GrubHub Inc. (NYSE: GRUB) was maintained as Outperform but the target price was cut to $60 from $63 (versus a $51.69 close) at Wedbush. While it will win from the secular shift to digital in takeout and delivery, a number of risks (including hurricane impact) are likely to impact the third quarter.

Habit Restaurants Inc. (NASDAQ: HABT) was downgraded to Neutral from Outperform and the price target was cut to $14 from $19 (versus a $13.05 close) at Wedbush.

PNC Financial Services Group Inc. (NYSE: PNC) was downgraded to Hold from Buy but the price target was raised to $136 from $130 (versus a $133.52 close) at Deutsche Bank.

Shake Shack Inc. (NYSE: SHAK) was downgraded to Neutral from Outperform and the price target was lowered to $36 from $40 (versus a $33.27 close) at Wedbush. The firm noted that pressure on fast casual remains and that it is expecting comparable sales to remain under pressure to the point that margin pressure is likely.

Total S.A. (NYSE: TOT) was downgraded to Sector Perform from Outperform at RBC Capital markets.

Westlake Chemical Corp. (NYSE: WLK) was raised to Buy from Neutral and its target price was raised to $98 from $77 at Instinet.

World Fuel Services Corp. (NYSE: INT) was downgraded to Underperform from Neutral at Merrill Lynch. Its shares were indicated to open down 1.5% at $36.18 on Tuesday.

Macquarie started the airline sector with a mostly neutral stance. Southwest Airlines Co. (NYSE: LUV) was started as Outperform with a $62 price target, but American Airlines Group Inc. (NASDAQ: AAL), Jetblue Airways Corp. (NASDAQ: JBLU), Spirit Airlines Inc. (NASDAQ: SAVE) and United Continental Holdings Inc. (NYSE: UAL) were assigned Neutral ratings. Delta Air Lines Inc. (NYSE: DAL) and Alaska Air Group Inc. (NYSE: ALK) were given Outperform ratings.

Monday’s top analyst calls included Albermarle, Blue Apron, Box, Dish Network, General Motors, Transocean, Under Armour and many more.

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