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Analyst Downgrades: Qualcomm, AMAG, Keurig Green Mountain

Analysts downwardly revised their ratings on QUALCOMM, Inc. (QCOM), AMAG Pharmaceuticals, Inc. (AMAG), and Keurig Green Mountain Inc (GMCR)

Nov 19, 2015 at 9:50 AM
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Analysts are weighing in on telecom titan QUALCOMM, Inc. (NASDAQ:QCOM), drugmaker AMAG Pharmaceuticals, Inc. (NASDAQ:AMAG), and coffee concern Keurig Green Mountain Inc (NASDAQ:GMCR). Here's a quick roundup of today's bearish brokerage notes on QCOM, AMAG, and GMCR.

  • QCOM received an $11 price-target cut to $59 at Stifel, but is up 0.8% at $48.38 this morning -- just a day after getting smacked by overseas antitrust concerns. Of course, given that the stock's 14-day Relative Strength Index (RSI) registers in oversold territory at 28, a short-term bounce may have been in the cards. Longer term, QUALCOMM, Inc. has been a disaster on the charts, losing 35% year-to-date and touching a four-year low of $47.52 on Wednesday. Traders at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) see further downside ahead. QCOM's 50-day put/call volume ratio across those exchanges comes in at 0.59 -- higher than 70% of comparable readings from the past year.
  • AMAG has surrendered 8.4% to trade at $26.63 -- and earlier hit an annual low of $26.46 -- after the Food and Drug Administration (FDA) once again rejected the firm's single-dose hormone injection, Makena. Fanning the bearish flames, Raymond James slashed its price target to $55 from $73, while Deutsche Bank cut its target to $43 from $50. Short sellers are welcoming the AMAG Pharmaceuticals, Inc. bear gap with open arms. Over one-fifth of the stock's float is sold short, representing a week's worth of trading activity, at typical daily volumes.
  • GMCR is breaking out this morning on better-than-expected fiscal fourth-quarter earnings and sales, overshadowing a raft of negative notes from brokerage firms. Specifically, Cancaccord Genuity, Roth Capital, UBS, and Susquehanna each took an axe to their price targets, with the latter setting the lowest expectations, at $46. At last check, Keurig Green Mountain Inc shares are 17% higher at $47.39, and short sellers may be feeling the heat. A significant 13.5% of the equity's float is dedicated to short interest, and at GMCR's typical pace of trading, it would take seven sessions to repurchase these bearish positions. This morning's pop comes just a day after the stock touched a nearly three-year low of $39.80.
 

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