Analyst Downgrades: Twitter Inc, Lumber Liquidators Holdings Inc, and Trina Solar Limited

Analysts downwardly revised their ratings and price targets on Twitter Inc (TWTR), Lumber Liquidators Holdings Inc (LL), and Trina Solar Limited (ADR) (TSL)

May 24, 2016 at 9:28 AM
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Analysts are weighing in on microblogging concern Twitter Inc (NYSE:TWTR), flooring specialist Lumber Liquidators Holdings Inc (NYSE:LL), and solar energy stock Trina Solar Limited (ADR) (NYSE:TSL). Here's a quick roundup of today's bearish brokerage notes on TWTR, LL, and TSL.

  • TWTR is down 0.7% in electronic trading after Moffett Nathanson downgraded the stock to "sell" from "neutral" and lowered its price target to $12 from $15 -- in all-time-low territory. Monness Crespi Hardt also chimed in, cutting its price target to $18 from $22. Twitter Inc has been in a long-term downtrend, shedding 37.7% year-to-date as of Monday's close at $14.41. But that hasn't stopped options traders from placing bullish bets. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock's 10-day call/put volume ratio of 3.72 sits higher than 83% of all readings in the past year.

  • Topeka Capital began coverage on LL with a pessimistic "sell" rating, sending the shares down 1.3% ahead of the bell. Lumber Liquidators Holdings Inc has shed 46% year-over-year, finishing Monday at $11.90 -- and not a single analyst currently rates the stock better than a "hold." Meanwhile, short sellers have begun backing off, with short interest falling 11.4% over the last two reporting periods. Still, these bearish bets represent more than one-third of LL's available float. At the equity's daily pace of trading, it would take over seven sessions to cover all of these shorted shares.

  • TSL received a price-target cut from Deutsche Bank to $11 from $15 -- still a 30% premium over the shares' Monday close at $8.45. Trina Solar Limited is due to report first-quarter earnings on Thursday, and while short sellers have been hitting the bricks, options traders have been upping the bearish ante of late. The stock's 10-day put/call volume ratio on the ISE, CBOE, and PHLX stands in the 96th percentile of its annual range, at 3.28. On the charts, TSL has been struggling along with its sector peers, shedding 23% so far in 2016.
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