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Analysts are weighing in today on athletic shoes retailer Foot Locker, Inc. (NYSE:FL), mining-equipment manufacturer Joy Global Inc. (NYSE:JOY), and meat producer Tyson Foods, Inc. (NYSE:TSN). Here's a quick roundup of today's bearish brokerage notes.
- Following Friday's disappointing earnings report, FL saw its price target sliced to $39 from $41 at Canaccord Genuity. Technically speaking, FL has fallen 8.5% in the last month to its current perch at $33.01. As such, FL now sits 3% lower on a year-over-year basis. In the options pits, open interest on FL puts outnumbers that on calls by a margin of more than 2-to-1 among options expiring in three months or less, according to the stock's Schaeffer's put/call open interest ratio (SOIR) of 2.14. This ratio ranks just 3 percentage points from an annual acme, indicating Foot Locker, Inc.'s short-term traders have rarely been more put-heavy throughout the past year.
- JOY saw its price target slashed to $55 from $60, and to $58.50 from $62.50, at J.P. Morgan Securities and Raymond James, respectively, ahead of its turn in the earnings confessional on Wednesday morning. On the charts, JOY has suffered a year-to-date loss of 17.8%, and was last seen at $52.45. Regardless, the majority of the brokerage bunch maintains an optimistic outlook. From the 18 analysts weighing in, JOY has received 10 "buy" or better endorsements, compared to eight "hold" ratings. Furthermore, the stock's 12-month price target of $66.18 stands in territory untouched since late February. Should JOY continue to disappoint on the charts, the door is wide open for another round of downgrades and/or price-target cuts, which could pressure the shares further south. Of note, Joy Global Inc. has dropped an average of 1.2% the day after its earnings reports during its previous eight turns in the confessional, and 3.2% the week following.
- TSN has been a technical standout over the past year, tacking on a whopping 108%. What's more, the stock hit an all-time high of $32.40 earlier this month, before consolidating near its current price of $31.48. Still, BofA-Merrill Lynch lowered its rating for TSN to "neutral" from "buy" ahead of today's session. Meanwhile, speculators at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) have bought to open more than seven calls for every put during the past 10 weeks. The resulting 50-day call/put volume ratio of 7.12 ranks higher than 97% of all other readings taken over the last year, conveying Tyson Foods, Inc. calls are being picked up over puts at a near-annual-high pace.