Analyst Downgrades: Yandex, US Steel, Fossil Group

Analysts downwardly revised their ratings on Yandex NV (YNDX), United States Steel Corporation (X), and Fossil Group Inc (FOSL)

Feb 18, 2015 at 10:10 AM
facebook twitter linkedin


Analysts are weighing in on search engine specialist Yandex NV (NASDAQ:YNDX), steel producer United States Steel Corporation (NYSE:X), and fashion accessories issue Fossil Group Inc (NASDAQ:FOSL). Here's a quick roundup of today's bearish brokerage notes on YNDX, X, and FOSL.

  • YNDX jumped 6% out of the gate to trade at $17.69, after the company's strong fourth-quarter earnings report and upbeat current-quarter revenue outlook overshadowed a price-target cut to $24 from $45 at J.P. Morgan Securities. Longer term, YNDX has been a technical laggard, shedding roughly half its value over the past 52 weeks. In spite of this, options traders have shown a preference for long calls over puts in recent months. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), for example, Yandex NV's 50-day call/put volume ratio of 3.91 ranks higher than 86% of similar readings taken in the past year.

  • Citigroup cut its price target on X to $17 from $19, representing expected downside of 35% to the stock's current perch at $25.98 -- as well as a move to new annual-low territory. This negative outlook isn't surprising, considering the shares have shed more than 44% since hitting a three-year high of $46.55 in mid-September. However, it's not one shared by the options crowd. United States Steel Corporation's 10-day ISE/CBOE/PHLX call/put volume ratio of 1.95 ranks in the 90th annual percentile, meanings calls have been bought to open over puts with more rapidity just 10% of the time within the past year.

  • FOSL plunged nearly 18% out of the gate -- and to a new two-year low of $80.75 -- after its fourth-quarter earnings miss was met with a slew of bearish brokerage notes. Included in the bunch was a price-target cut to $86 from $106 at Sterne Agee, and a price-target reduction to $80 from $99 at Nomura. Both brokerage firms reiterated their "neutral" ratings. Should the shares extend this post-earnings decline, additional price-target cuts could be on the horizon. The average 12-month price target for Fossil Group Inc of $115.73 stands at a 42% premium to the equity's current perch at $81.59.
 

If you are not making money with options, you aren’t buying options like this…

There is no options strategy that more perfectly approaches trading the fastest moving and most volatile stocks available in the marketplace than this one. In fact, there is no strategy that better utilizes put options for optimal returns and a real trading edge over other traders in the exact same market. New options traders fail out at an incredible rate without proper trade research, execution timing, and option picking. Capitalize on Schaeffer’s 100+ years of options trading excellence with the most coveted product launch in company history. Don't waste another second... join us right now before the next round of trades are released!

SCHAEFFER'S JULY STOCKS REPORT AD
 


 


 
Special Offers from Schaeffer's Trading Partners