Analyst Downgrades: Goldcorp Inc., Norfolk Southern Corp., and SAP SE

Analysts downwardly revised their ratings and price targets on Goldcorp Inc. (USA) (GG), Norfolk Southern Corp. (NSC), and SAP SE (ADR) (SAP)

Apr 11, 2016 at 10:12 AM
facebook X logo linkedin

Analysts are weighing in on precious metals stock Goldcorp Inc. (USA) (NYSE:GG), freight firm Norfolk Southern Corp. (NYSE:NSC), and enterprise software provider SAP SE (ADR) (NYSE:SAP). Here's a quick roundup of today's bearish brokerage notes on GG, NSC, and SAP.

  • Unlike this sector peer, GG was hit with negative attention from RBC. Specifically, the brokerage firm slashed its rating on the stock to "underperform" from "sector perform" -- though, at the same time, it raised its price target to $16.50 from $12. In early trading, Goldcorp Inc. is shaking off the downgrade, up 2.9% at $17.60, and has now advanced 52% year-to-date. Elsewhere, options traders keep buying to open puts over calls at a faster-than-usual clip, while short sellers have been piling on. During the most recent reporting period, short interest on GG spiked 65.8%, but still only accounts for 1.8% of the stock's total float.
  • NSC is down 2% at $79.84, after Canadian Pacific Railway Limited (USA) (NYSE:CP) ended its pursuit of a buyout. Making matters worse for shares of Norfolk Southern Corp., Barclays cut its price target by $2 to $88. This skepticism is par for the course, as 14 of 17 analysts covering NSC consider it a "hold" or worse, and its consensus 12-month price target of $84.10 is just a chip-shot away. On the charts, NSC's intraday losses are more of the same. The stock has shed almost 6% of its value on a year-to-date basis.
  • SAP was hit with a price-target cut to EUR 77 from EUR 78, after the company issued a profit warning, citing slower sales of software licenses to U.S. and Brazilian businesses. At last check, however, the stock was 1% higher at $77.49, putting it just south of its year-to-date breakeven mark. In recent months, traders at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) have been buying to open SAP SE puts over calls at an accelerated rate. Specifically, the stock's 50-day put/call volume ratio of 4.02 ranks in the 88th annual percentile, with long puts quadrupling calls.
Sign up now for Schaeffer's Opening View newsletter to get a head start on all the major pre-market news!

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI