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Analyst Update: Relypsa Inc, Cray Inc., and Zillow Group, Inc.

Analysts revised their ratings and price targets on Relypsa Inc (RLYP), Cray Inc. (CRAY), and Zillow Group, Inc.- Class A (ZG)

May 4, 2016 at 2:47 PM
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Analysts are weighing in on biotech stock Relypsa Inc (NASDAQ:RLYP), computing interest Cray Inc. (NASDAQ:CRAY), and real estate specialist Zillow Group, Inc.- Class A (NASDAQ:ZG). Here's a quick roundup of today's brokerage notes on RLYP, CRAY, and ZG.

  • RLYP is plummeting 19.2% to $13.99 today, after the company announced a $150 million debt refinancing plan, which led Mizuho to downgrade the stock to "underperform" from "neutral," and lower its price target to $12 from $22. Year-to-date, the shares have given up about half of their value, and short sellers seem to be counting on more downside -- as nearly 40% of Relypsa Inc's available float is still wrapped up in short interest. Seven out of 10 analysts currently rate the equity a "strong buy," but more changes from the brokerage bunch could be forthcoming after the company releases its first-quarter earnings tonight.
  • CRAY is also getting hammered today, down 19.5% at $31.31, after the company reported lower-than-expected current-quarter and full-year forecasts, despite announcing a slimmer-than-anticipated loss for the previous quarter. As such, CRAY received downgrades to "hold" from "buy" at both Needham and Craig Hallum. Heading into earnings, all four analysts following Cray Inc. rated the stock a "buy" or better, but options traders weren't on board. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock's 50-day put/call volume ratio of 1.06 sits higher than three-fourths of the past year's readings. And with today's drop, the stock has lost the support of its 100-day moving average for the first time since October.
  • ZG is up 14.1% at $29.34, after the company reported higher-than-predicted first-quarter revenue and an upbeat full-year outlook. Cowen and Company upgraded the equity to "market perform" from "underperform," while at least nine brokerages have already increased their price targets to a range between $20 and $36 -- a level the shares haven't seen in over a year. But Zillow Group, Inc. could stand to benefit from a further unwinding of bearish sentiment among analysts and traders alike. Short interest on the security represents a full 14 sessions' worth of trading, at ZG's typical daily volume.
For other stocks in analysts' crosshairs, read Analyst Upgrades: CBS Corporation, Etsy Inc, and Oclaro, Inc. and Analyst Downgrades: Under Armour Inc, Glu Mobile Inc., and Illumina, Inc.
 

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