Analyst Upgrades: AT&T, Zillow Group, Wynn Resorts

Analysts upwardly revised their ratings and price targets on AT&T Inc. (NYSE:T), Zillow Group, Inc. - Class C (NASDAQ:Z), and Wynn Resorts, Limited (NASDAQ:WYNN)

Mar 22, 2016 at 9:26 AM
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Analysts are weighing in on telecommunications stock AT&T Inc. (NYSE:T), real estate firm Zillow Group, Inc. - Class C (NASDAQ:Z), and casino concern Wynn Resorts, Limited (NASDAQ:WYNN). Here's a quick roundup of today's bullish brokerage notes on T, Z, and WYNN.

  • Deutsche Bank raised its price target on T to $41 from $40, representing expected upside of 5.3% to last night's close at $38.92. The stock has had a standout year -- amid a number of new partnerships for AT&T Inc. -- up 13.1%, and fresh off last Friday's seven-year high of $39.26. Option traders, meanwhile, have been initiating long puts over long calls at a rapid-fire rate in recent months. Specifically, T's 50-day International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) put/call volume ratio of 1.93 sits just 1 percentage point from a 52-week peak.

  • Z saw its rating boosted to "outperform" from "sector perform" and its price target raised to $34 from $21 at RBC, sending the shares up 5.4% in electronic trading. Today's projected pop could run into trouble near Z's 120-day moving average, however, considering this trendline put a quick halt to the stock's recent rebound off its Feb. 8 all-time low of $15.36. On the sentiment front, skepticism is steep. Short interest, for example, jumped 8.2% in the two most recent reporting periods, and now accounts form 21.5% of Zillow Group, Inc. - Class C's available float. It would take more than three weeks to cover these shorted shares, at Z's average daily pace of trading.

  • WYNN is up nearly 2% ahead of the opening bell, as analysts continue to wax optimistic on the shares. Specifically, Morgan Stanley raised its rating to "overweight" from "equal weight," with a $120 price target -- a 29% premium to Monday's settlement at $92.74, and territory not charted since before last April's bear gap. On the charts, Wynn Resorts, Limited has been soaring since hitting a six-year low of $49.95 on Jan. 14, up 86%. More upside could be had, too, should short short sellers keep jumping ship. Short interest fell 11.1% in the most recent reporting period, but still accounts for almost one-fifth of WYNN's available float.
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