Analyst Upgrades: Fitbit Inc, Xilinx, Inc., and Zafgen Inc

Analysts upwardly revised their ratings and price targets on Fitbit Inc (NYSE:FIT), Xilinx, Inc. (NASDAQ:XLNX), and Zafgen Inc (NASDAQ:ZFGN)

by Josh Selway

Published on Jan 21, 2016 at 9:18 AM

Analysts are weighing in on wearable device maker Fitbit Inc (NYSE:FIT), integrated circuit specialist Xilinx, Inc. (NASDAQ:XLNX), and biotech stock Zafgen Inc (NASDAQ:ZFGN). Here's a quick roundup of today's bullish brokerage notes on FIT, XLNX, and ZFGN.

  • FIT is positioned for a rare pop out of the gate, pointed 4.3% higher in electronic trading, after Stifel reiterated its "buy" assessment while waxing optimistic on the company's growth prospects and fundamentals, but cut its price target to $35 from $60. This comes the same morning that Raymond James upped its opinion to "outperform" from "market perform." Fitbit Inc is undoubtedly a favorite among analysts, with 70% calling it at least a "buy." As alluded to, however, the shares have struggled, even relative to the disappointing broader market. Specifically, FIT has trailed the S&P 500 Index (SPX) by a cringe-worthy 48 percentage points over the past three months, settling at $17.79 on Wednesday -- a session in which the shares touched an all-time low of $15.52. 

  • No fewer than six brokerage firms have raised their price targets on XLNX since yesterday's close -- boosting the stock over 9% higher ahead of the bell -- after the firm reported better-than-expected quarterly revenue, while its earnings and current-quarter guidance matched expectations. Among the bullish brokerages was BMO, which raised its rating to "outperform" from "market perform," and its price target to $57 from $44. However, Xilinx, Inc. was also hit with a price-target cut at Morgan Stanley to $45 from $46. At $43.08, the stock currently boasts a slight year-over-year lead, and option traders are betting on more upside. XLNX's 50-day call/put volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) stands at 3.77 -- in the 86th percentile of its annual range. 

  • Amid renewed hope for its experimental obesity drug, ZFGN is up 16.7% ahead of the open, as analysts weigh in. Specifically, FBR and RBC both raised their outlooks to "outperform," while setting their respective price targets at $20 and $21 -- both representing roughly 100% upside from Wednesday's close at $10.04. Recent call buyers are likely happy, too, as over twice as many Zafgen Inc calls have been bought to open for every put during the past two weeks at the ISE, CBOE, and PHLX. 
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