Analyst Downgrades: GoPro Inc, Buffalo Wild Wings, and Paypal Holdings Inc

Analysts downwardly revised their ratings on GoPro Inc (NASDAQ:GPRO), Buffalo Wild Wings (NASDAQ:BWLD), and Paypal Holdings Inc (NASDAQ:PYPL)

by Josh Selway

Published on Oct 29, 2015 at 9:23 AM
Updated on Oct 29, 2015 at 9:23 AM

Analysts are weighing in on camera maker GoPro Inc (NASDAQ:GPRO), restaurant chain Buffalo Wild Wings (NASDAQ:BWLD), and online payment platform Paypal Holdings Inc (NASDAQ:PYPL). Here's a quick roundup of today's bearish brokerage notes on GPRO, BWLD, and PYPL.

  • GPRO is set to open at its lowest point on record. The shares have given back 17% in electronic trading, after the company announced lackluster quarterly results. Cowen and Company, in response, lowered its opinion to "market perform" from "outperform," and was one of no fewer than nine brokerage firms to cut its price target on the stock, slashing its expectations to $24 from $60. At $30.21, GoPro Inc has already lost more than half its value in 2015, and additional losses could be in store if more analysts throw in the towel. Despite the stock's poor performance, 10 of 15 brokerage firms still rate it a "buy" or better, with not a single "sell" to be found. 

  • BWLD ​is having some troubles of its own this morning, in light of the company's third-quarter profit and revenue misses. The shares are looking at a 14.4% drop out of the gate, which would put them in territory not seen since early July. What's more, after settling at $184.40 last night, Buffalo Wild Wings was barely managing to hold a year-to-date lead -- and will almost certainly give it up today. Elsewhere, analysts are rubbing salt in the stock's wounds, with no fewer than nine brokerage firms reducing their price targets. Credit Suisse is apparently the most skeptical, setting its mark the lowest, at $152. This is all fine with BWLD option speculators, though. The equity's 50-day International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) put/call volume ratio of 1.62 indicates a healthier-than-usual preference for long puts over calls, as it falls in the 89th percentile of its annual range. 

  • Following mixed quarterly resultsPYPL is 5.5% lower ahead of the open -- certainly not the post-earnings reaction some on the Street were expecting. In the meantime, Citigroup and J.P. Morgan Securities both lowered their price targets to $44 -- though this still marks a big premium to Wednesday's close at $36.52, and territory never before charted -- while Canaccord Genuity raised its target to the same level. Looking to the options pits, Paypal Holdings Inc call buyers may be kicking themselves this morning. The stock's 10-day call/put volume ratio at the ISE, CBOE, and PHLX has jumped from 1.81 to 6.22 over the past week, suggesting a number of speculators have been upping the ante on post-event upside for PYPL. 
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!

A Schaeffer's exclusive

6 Sectors for Summer

Access your FREE insider report before it's too late!



NEW! Explore Schaeffer’s Partners' deals and get connected to top online brokerages with deals tailored exclusively for our readers.  Get answers to your questions regarding transfer fees, commission rates, programs and available discounts related to online trading services.

MORE | MARKETstories

Research Exposes Shortcut to Stock Market Wins
A simple way to stop picking losers, and start cashing in like Wall Street's elite.
Google Postpones Android Reveal, "Now is Not the Time to Celebrate"
"Now is not the time to celebrate," Google said in a message on its website
ZNGA Zooms to 8-Year High on Billion-Dollar Deal
ZNGA is planning to buy Peak for $1.8 billion
Huge New Legal Marijuana Market Has Shortage Crisis
250 million Europeans have access to medical marijuana. There's already a shortage....