Investing
Core CPI Hits Worst Level in 40 Years: Analysts Upgrade or Downgrade Comcast, Under Armour and More
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Markets were crushed on Thursday after the latest consumer price index (CPI) data showed that inflation does not appear to be slowing. The Nasdaq was getting the worst of it, down over 2%. The S&P 500 and Dow Jones industrials were down 1.3% and 0.9%, respectively.
The Bureau of Labor Statistics released CPI data early on Thursday that showed inflation increased by 8.2% year over year in September and 0.4% month over month. Economists were calling for 8.1% and 0.4%, respectively. However, the core CPI, which excludes food and energy, rose 6.6% from last year, compared to forecasts calling for 6.5%. This is the highest core CPI since 1982.
Considering this, and the producer price index data from earlier this week, the Federal Reserve has its work cut out for itself. The response we are seeing in the market reflects the sentiment that the Fed will continue hiking interest rates at historic levels.
Here, 24/7 Wall St. is reviewing additional analyst calls seen on Wednesday. We have included the latest call on each stock, as well as a recent trading history and the consensus targets among analysts. Note that analyst calls seen earlier in the day were on Caesars, Draftkings, Norwegian Cruise, Raytheon and more.
Air Product and Chemicals Inc. (NYSE: APD): Seaport Research Partners upgraded the stock from Neutral to Buy with a $300 price target. Shares have traded as high as $316.39 in the past year but were near $230 on Wednesday.
American Express Co. (NYSE: AXP): Citigroup’s downgrade to Sell from Neutral and included a price target cut to $130 from $159. Shares traded near $134 on Wednesday, in a 52-week range of $130.65 to $199.55.
BeiGene Ltd. (NASDAQ: BGNE): Guggenheim raised its Neutral rating to Buy with a $205 price target. SVB Leerink upgraded it to Outperform from Market Perform and raised its $177 price target to $200. Shares were last seen trading near $146. The 52-week range is $118.18 to $392.30.
Biogen Inc. (NASDAQ: BIIB): Stifel upgraded the shares to Buy from Hold but also cut its $87 price target to $66. Shares traded near $261 on Wednesday, in a 52-week range of $187.16 to $287.93.
Comcast Corp. (NASDAQ: CMCSA): Though Citigroup lifted its Neutral rating to Buy, it cut the $42 price target to $36. The stock was last seen trading near $30, in a 52-week range of $28.39 to $54.88.
Las Vegas Sands Corp. (NYSE: LVS): The Underperform rating at BofA Securities was lifted to Neutral. The shares traded near $36 on Wednesday. The 52-week range is $28.88 to $48.27.
Sherwin-Williams Co. (NYSE: SHW): The Seaport Research Partners upgrade was from Neutral to Buy with a $275 price target. The 52-week trading range is $195.24 to $354.15. Shares changed hands near $201 apiece on Wednesday.
Under Armour Inc. (NYSE: UAA): Raymond James initiated coverage with a Market Perform rating. The 52-week trading range is $6.38 to $27.28, and the share price was near $7 on Wednesday.
Five top BofA Securities value stock picks come with dependable dividends and should hold up better than the overall market if the inflation-induced decline continues.
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