Analyst Update: Solaredge, Valeant Pharma, TETRA Technologies

Analysts revised their ratings and price targets on Solaredge Technologies Inc (SEDG), Valeant Pharmaceuticals Intl Inc (VRX), and TETRA Technologies, Inc.(TTI)

Celeste Taylor
May 10, 2016 at 3:16 PM
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Analysts are weighing in on green energy company Solaredge Technologies Inc (NASDAQ:SEDG), biotech Valeant Pharmaceuticals Intl Inc (NYSE:VRX), and oil stock TETRA Technologies, Inc. (NYSE:TTI). Here's a quick roundup of today's brokerage notes on SEDG, VRX, and TTI.

  • SEDG is down 16% at $18.98, after forecasting lackluster fiscal fourth-quarter revenue -- similar to this sector peer. Goldman Sachs moved its price target to $25, cut the stock's rating from "buy" to "neutral," and removed SEDG from its Americas Conviction Buy list. "We see consistent mis-execution and de-rating in growth prospects at rooftop solar peers limiting near-term upside in shares," Goldman wrote. Echoing that, Deutsche Bank cut SEDG's price target to $27 from $36. Solaredge Technologies Inc is now down more than 34% in 2016, and is now trading south of support in the $22 region. Short sellers have been hot on the solar energy stock, with 19.5% of SEDG's float short-sold, an amount that would take eight days for traders to cover, given SEDG's normal trading volume. Today, however, SEDG is on the short-sale restricted list.
  • VRX is currently down 0.1%, at $28.04.The latest update in the VRX saga is a downgrade by J.P. Morgan Securities, which cut the biotech's price target to $60 from $70. VRX has had a rough year, with shares stair-stepping more than 87% lower since last May. More recently, the stock has struggled to recover from a mid-March bear gap, and touched a five-year low of $25.27 in early April. Options buyers still seem bullish, with Valeant Pharmaceuticals Intl Inc's 10-day call/put volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE) and NASDAQ OMX PHLX (PHLX) higher than 83% of all other readings from the past year.

  • TTI is up 8.1% at $5.48, a day after gapping roughly 20% lower on earnings. While no fewer than four brokerage firms cut their price targets on TTI, Johnson Rice upgraded the stock to "buy." The stock still has a ways to go before closing yesterday's bear gap, though, prior to which TTI was flirting with $6.20. TETRA Technologies, Inc. has now underperformed the larger S&P 500 Index (SPX) by 25.7 percentage points over the previous 20 sessions. However, its 14-day Relative Strength Index (RSI) sits at 26 -- in oversold territory, suggesting today's bounce may have been in the cards.

For other stocks in analysts' crosshairs, read Analyst Upgrades: Amazon.com, Inc., Baxter International Inc, and OvaScience Inc, and Analyst Downgrades: SolarCity Corp, Gap Inc, and NewLink Genetics Corp.

 


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