Analysts are starting coverage on Wall Street newcomer Sienna Biopharma
Analysts are weighing in on yoga apparel retailer Lululemon Athletica Inc. (NASDAQ:LULU), China-based e-commerce giant Alibaba Group Holding Ltd (NYSE:BABA), and dermatology specialist Sienna Biopharmaceuticals Inc (NASDAQ:SNNA). Here's a quick roundup of today's bullish brokerage notes on shares of LULU, BABA, and SNNA.
Lululemon Bounces on BofA-Merrill Upgrade
LULU stock is up 3% ahead of the bell after BofA-Merrill Lynch upgraded the apparel stock to "buy" from "underperform," and increased its price target to $70 from $49. The new target implies expected upside of about 20% from Friday's close at $58.13.
Last week, LULU shares were caught up in a
sector-wide sell-off, which resulted in the equity's first close below its 50-day moving average since early June. Given the stock's lackluster price action so far in 2017, it's no surprise to find a slim majority of analysts maintain a skeptical rating on Lululemon. The security sports 13 "hold" or "sell" ratings, compared to 11 "buy" or better endorsements.
Barclays Eyes New Record Highs for Alibaba
After last week's big
earnings beat, BABA today garnered an 11% price-target hike to $200 from Barclays. The stock's current record high, set just last Friday, stands at $169.50, and BABA ended the week at $167.50. Ahead of the open today, BABA has ticked fractionally higher, adding to its outsized year-to-date gain of nearly 91%.
Going forward, continued short-covering activity could help Alibaba stock extend its record-setting rally. Despite a 4.4% drop in short interest during the most recent reporting period, short interest still accounts for a healthy 8.6% of the stock's float, or 8.8 times BABA's average daily trading volume.
Wall Street Starts Coverage on Sienna
Analysts are starting to weigh in on Nasdaq newcomer SNNA, which made its public trading debut less than a month ago on July 27. J.P. Morgan Securities initiated the shares at "overweight" with a $28 price target, representing a premium of 44.5% to Friday's close at $19.38. Meanwhile, both BMO and Cowen and Company started SNNA at "outperform," but Cowen's $50 price target is considerably steeper than BMO's $30.
The SNNA IPO priced at $15 late last month, and the stock opened for trading at $19.25 -- but the shares have moved mostly sideways since that stellar start. The July 27 intraday high and low of $21.20 and $18.50, respectively, also still stand as SNNA's all-time high and low prices.