Analyst Update: Pacira Pharma, Applied Materials

Analysts revised their ratings and price targets on Pacira Pharmaceuticals Inc (PCRX), Sportsman's Warehouse Holdings Inc (SPWH), and Applied Materials, Inc. (AMAT)

May 25, 2016 at 2:11 PM
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Analysts are weighing in on biopharmaceutical stock Pacira Pharmaceuticals Inc (NASDAQ:PCRX), sporting goods retailer Sportsman's Warehouse Holdings Inc (NASDAQ:SPWH), and semiconductor stock Applied Materials, Inc. (NASDAQ:AMAT). Here's a quick roundup of today's brokerage notes on PCRX, SPWH, and AMAT.

  • PCRX is down 7.5% to $42.56, sitting out the broader biotech rally, after Wedbush cut its price target to $105 from $113. PCRX has lost almost 45% of its value year-to-date, and as of yesterday had underperformed the greater S&P 500 Index (SPX) by 19.8 percentage points over the last 20 sessions. The stock is now testing support in the $42 region. Despite its losses, Pacira Pharmaceuticals Inc calls are hot with options traders, and PCRX's 50-day call/put volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE) and NASDAQ OMX PHLX (PHLX) of 6.49 sits in the 99th percentile of annual readings. 

  • SPWH is trading at $8.91, down 9.1% -- and earlier tagged a new annual low of $8.65 -- following the company's poorly received earnings report. In addition, Goldman Sachs cut SPWH's price target to $15 from $16.50, while Baird lowered its price target to $15 from $16. The retailer is now down over 30% since the beginning of the year. While short interest in the stock has ebbed over the last two reporting periods, it would still take traders over a week, at SPWH's average daily volume, to cover the shorted shares. Today, though, SPWH is on the short-sale restricted list.

  • AMAT is up 0.6% at $23.63 -- and notched a new annual high of $23.88 earlier -- after Citigroup upgraded the stock to a "buy" from "neutral," and raised AMAT's price target to $28 from $20. AMAT hasn't been north of $28 in roughly 15 years. This is just the latest in a series of upgrades Applied Materials, Inc. has received in the days following its upbeat fiscal third-quarter forecast, and the stock shot higher yesterday during a broad semiconductor surge. Some options bears are certainly kicking rocks, since AMAT'S 50-day put/call volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE) and NASDAQ OMX PHLX (PHLX) sits in the 84th percentile of is annual range.

For other stocks in analysts' crosshairs, read Analyst Upgrades: Computer Sciences Corporation, Hewlett Packard Enterprise Co, and Monsanto Company and Analyst Downgrades: Tesla Motors Inc, Qorvo Inc, and Bonanza Creek Energy Inc


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