Analyst Downgrades: GoPro, Walt Disney, and Marvell

Analysts downwardly revised their ratings on GoPro Inc (NASDAQ:GPRO), Walt Disney Co (NYSE:DIS), and Marvell Technology Group Ltd. (NASDAQ:MRVL)

Sep 8, 2015 at 9:53 AM
facebook twitter linkedin

Analysts are weighing in on wearable camera maker GoPro Inc (NASDAQ:GPRO), blue chip Walt Disney Co (NYSE:DIS), and chipmaker Marvell Technology Group Ltd. (NASDAQ:MRVL). Here's a quick roundup of today's bearish brokerage notes on GPRO, DIS, and MRVL.

  • GPRO has jumped 1.3% out of the gate to $37.31, despite a price-target cut to $50 from $70 at Baird. Longer term, shares of GPRO have surrendered 43% since hitting their most recent high of $65.49 on Aug. 10. This negative analyst note just echoes the recent trend seen among the brokerage bunch, but there's plenty of room on GoPro Inc's bearish bandwagon, should the stock resume its longer-term downtrend. No fewer than 71% of analysts maintain a "buy" or better rating, with not a single "sell" to be found. Plus, the average 12-month price target of $73.71 sits in territory not charted since last December.

  • DIS is extending its lead north of the century mark -- a level surrendered by the stock during a recent pullback -- up 1.7% at $102.69. Reports of new streaming partnerships appear to be overshadowing a price-target cut to $104 at Moffett Nathanson, which also weighed in on one social media heavyweight. On the sentiment front, option traders have been buying to open puts over calls at a near-annual-high clip in recent months. Specifically, Walt Disney Co's 50-day International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) put/call volume ratio of 0.82 ranks in the 99th annual percentile.

  • J.P. Morgan Securities lowered its outlook on MRVL to "neutral" from "overweight," and cut its price target to $12 from $16.50 -- the second from the brokerage firm in recent weeks. At last check, MRVL is down 0.5% at $10.80, widening its year-to-date deficit to 26%. Meanwhile, in the options pits, short-term speculators are more put-heavy than usual, per Marvell Technology Group Ltd.'s Schaeffer's put/call open interest ratio (SOIR) of 0.36, which ranks higher than 87% of all comparable readings taken in the past year.
Get the skinny on all the biggest stories of the morning… Sign up now to get Schaeffer's Midday Market Check delivered straight to your inbox!

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 Investment Research Stock Pick Report


Special Offers from Schaeffer's Trading Partners