Stocks were indicated to open weak on Monday after the “sell in May” theme coincided with Friday’s start to a new month. There are many companies reporting earnings, and investors are trying to decide whether stocks rebounded too much from the March lows or if the gradual reopening of the economy and the trillions of dollars of stimulus are set to win the day. This is a time when investors need to be looking at new ideas to decide how to be best positioned for the summer and the rest of 2020.

24/7 Wall St. reviews dozens of analyst research reports each day of the week. Our goal is to find some of those new ideas for long-term investors and short-term traders alike. Some analyst reports cover stocks to buy, and others cover stocks to sell or avoid. Consensus analyst target prices are from Refinitiv.

Analysts are still making many upgrades, downgrades, reiterations and initiations ahead of and after key earnings reports. While some are still cutting price targets and earnings estimates for the coming quarters and the year, many are maintaining their prior official ratings. There are even many traditional upgrades and reiterations taking place as though things were close to normal. Remember that no single analyst report should be used as a sole basis for any buying or selling decision.

These are the top analyst calls seen on Monday, May 4, 2020.

AON PLC (NYSE: AON) was maintained as Buy but its price target was cut to $215 from $260 at MKM Partners.

Cognizant Technology Solutions Corp. (NASDAQ: CTSH) was downgraded to Market Perform from Outperform at BMO Capital Markets.

CoreLogic Inc. (NYSE: CLGX) was raised to Buy from Neutral with a $48 price target (versus a $40.59 prior close) at Compass Point.

CyrusOne Inc. (NASDAQ: CONE) was raised to Buy from Hold with an $81 price target (versus a $69.70 close) at Jefferies.

Dow Inc. (NYSE: DOW) was downgraded to Underperform from Buy at BofA Securities.

Honeywell International Inc. (NYSE: HON) was downgraded to Hold from Buy at Deutsche Bank.

Logitech International S.A. (NASDAQ: LOGI) was reiterated as Outperform and its price target was raised to $57 from $48 (versus a $46.70 close) at Wedbush Securities, which noted that it is undervalued in the new at-home economy.

LyondellBasell Industries N.V. (NYSE: LYO) was downgraded to Underperform from Buy at BofA Securities.

Nordic American Tankers Ltd. (NYSE: NAT) was downgraded to Underperform from In-Line at Evercore ISI.

PayPal Holdings Inc. (NASDAQ: PYPL) was reiterated as Overweight but the price target was raised to $140 from $115 (versus a $120.61 close) at KeyBanc Capital Markets.

PG&E Corp. (NYSE: PCG) was raised to Buy from Neutral at UBS.

Phillips 66 (NYSE: PSX) was raised to Buy from Neutral with a $95 price target (versus a $66.36 close) at Mizuho.

Planet Fitness Inc. (NYSE: PLNT) was named as the Zacks Bear of the Day stock. The firm said that staying fit at home gains momentum as the gym suffers. Shares last closed at $57.62 and have a consensus price target of $68.46.

PNC Financial Services Group Inc. (NYSE: PNC) was downgraded to Sell from Neutral at UBS.

Qualcomm Inc. (NASDAQ: QCOM) was started with an Underweight rating and a $70 price target (versus a $75.64 close) at Wells Fargo.

Range Resources Corp. (NYSE: RRC) was downgraded to Neutral from Buy at MKM Partners.

Realty Income Corp. (NYSE: O) was raised to Overweight from Equal Weight at Morgan Stanley.

Republic Services Inc. (NYSE: RSG) was maintained as Hold but its price target was cut to $82 from $102 at Deutsche Bank.

Shopify Inc. (NYSE: SHOP) was reiterated as Overweight but the price target was raised to $700 from $500 (versus a $613.64 close) at KeyBanc Capital Markets.

Sinclair Broadcast Group Inc. (NASDAQ: SBGI) was downgraded to Underweight from Equal Weight and its price target was cut to $11 from $16 at Wells Fargo.

Southern Co. (NYSE: SO) was raised to Neutral from Underperform at Credit Suisse.

Tesla Inc. (NASDAQ: TSLA) was maintained as Equal Weight and the price target was raised to $680 from $440 (versus a $701.32 close, after a 10.3% drop) at Morgan Stanley.

Valero Energy Corp. (NYSE: VLO) was raised to Buy from Neutral with an $85 price target (versus a $58.76 close) at Mizuho.

Walt Disney Co. (NYSE: DIS) was downgraded to Neutral from Buy at MoffettNathanson, which noted that the downturn will be longer than most anticipate and it has lowered estimates even out to 2021 and 2022.

Waste Management Inc. (NYSE: WM) was maintained as Hold but its price target was cut to $104 from $132 at Deutsche Bank.

Wayfair Inc. (NYSE: W) was named as the Bull of the Day at Zacks, which said that the company is seeing a benefit as consumers grow more comfortable with online shopping. Shares most recently closed at $122.50, with a consensus price target of $87.67.

Wells Fargo & Co. (NYSE: WFC) was downgraded to Sell from Neutral at UBS.

The huge roller-coaster ride of the markets has helped create a surge in volumes, and new investors have come into the markets while volatility continues to stay high. The Goldman Sachs team feels this bodes well for the capital markets stocks, those of the companies most directly involved in the mechanics of the markets.

Get Our Free Investment Newsletter

I have read, and agree to the Terms of Use

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.