Analyst Upgrades: Lululemon Athletica inc., Opko Health Inc., and AT&T Inc.

Analysts upwardly revised their ratings on Lululemon Athletica inc. (NASDAQ:LULU), Opko Health Inc. (NYSE:OPK), and AT&T Inc. (NYSE:T)

Oct 16, 2015 at 9:25 AM
facebook twitter linkedin

Analysts are weighing in on yoga apparel giant Lululemon Athletica inc. (NASDAQ:LULU), diagnostics firm Opko Health Inc. (NYSE:OPK), and communications concern AT&T Inc. (NYSE:T). Here's a quick roundup of today's bullish brokerage notes on LULU, OPK, and T.

  • LULU is up 2.5% ahead of the open, thanks to a bullish note from Credit Suisse. The brokerage firm raised its opinion to "outperform" from "neutral," and its price target to $64 from $57. Looking back, the shares have advanced nearly 4% month-to-date to trade at $52.52. On the sentiment front, short sellers have burst onto the scene. Short interest on Lululemon Athletica inc. jumped 29% during the two most recent reporting periods, and now accounts for more than one-fourth of the stock's float. Considering it would take bears more than eight days to buy back their bets, there's plenty of sideline cash available to bolster a LULU rally. 

  • OPK has gained 3.5% in electronic trading, on the heels of a fresh "overweight" rating at J.P. Morgan Securities, which set its price target at $14. This marks a nearly 51% premium to the stock's Thursday close at $9.28. The shares have been struggling recently, but yesterday managed to close above their 20-day moving average for the first time since late July. If Opko Health Inc. can maintain this momentum, it could see additional bullish notes come down the pike. Half of the analysts currently covering OPK rate it only a "hold." 

  • Nomura this morning initiated coverage on the communications services sector, and for T, that brought a "buy" rating, plus a $39 price target. The note could be enough to erase the security's slim year-to-date hole, as it settled yesterday at $33.49 -- off 0.3% in 2015. Option traders are certainly hoping that's the case. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), AT&T Inc. sports a 10-day call/put volume ratio of 1.66, which outranks almost three-fourths of comparable readings from the past 12 months. To put it differently, traders have been buying to open T calls at an unusually fast pace recently. 
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!

Stop leaving money on the table with the same old broken options trading approach...

There is no options strategy that more perfectly capitalizes during earnings season better than this simple call and put buying strategy. Perfect for aggressive traders looking to recover their suffering portfolios so far in 2022. With the simplest possible options strategy, Schaeffer's team with 100+ years of options trading excellence, target 200% gains on every single trade. So many trades are being beaten down by the market, but don't be one of them! Don't waste another second... join us right now before the next trade is released! 

Schaeffer's Daily Bulletin Offer


Special Offers from Schaeffer's Trading Partners