Analyst Downgrades: Abbott Labs, Workday, and Avago

Analysts are weighing in on pharmaceutical firm Abbott Laboratories (NYSE:ABT), financial management firm Workday Inc (NYSE:WDAY), and semiconductor concern Avago Technologies Ltd (NASDAQ:AVGO). Here's a quick roundup of today's bearish brokerage notes on ABT, WDAY, and AVGO.

• ABT is making noise this morning, denying rumors that it's in pursuit of St. Jude Medical, Inc. (NYSE:STJ). What's more, Abbott Laboratories Inc is pointed 3.8% higher ahead of the bell, despite a price-target cut to $51 from $55 at Goldman Sachs. Most analysts are in ABT's corner, with 11 of 17 offering up "buy" or better endorsements. Until the past week's broad-market bloodshed, ABT was in the black year-to-date, and flirting with all-time highs north of $50, but ended yesterday at $43.98.

• WDAY is bracing for a 2.8% slump, as the analyst crowd reacts to a lackluster current-quarter billings outlook. Roughly a dozen brokerage firms slashed their price targets on Workday Inc, with UBS slicing its target by $31 to $85. Short sellers will likely be pleased, though, as short interest accounts for 9.1% of WDAY's total float, representing almost 12 sessions' worth of pent-up buying demand, at the stock's average daily trading volume. On Wednesday, WDAY ended at $72.40, down 11.3% in 2015.

• AVGO is having better luck in the earnings confessional, despite a pair of price-target cuts from Brean (to $170) and Raymond James (to $135). The shares are pointed 3.5% higher after ending at $116.20 yesterday, and a positive earnings reaction could spook the shorts. Short interest rose by 18.5% during the past two reporting periods, and would take about a week to buy back, at Avago Technologies Ltd's average pace of trading -- plenty of fuel for a short squeeze to help AVGO add to its 15% year-to-date advance. 

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