Analyst Upgrades: Endo International plc, Microchip Technology Inc., and Chevron Corporation

Analysts upwardly revised their ratings and price targets on Endo International plc - Ordinary Shares (NASDAQ:ENDP), Microchip Technology Inc. (NASDAQ:MCHP), and Chevron Corporation (NYSE:CVX)

Josh Selway

Aug 9, 2016 at 9:28 AM

Analysts are weighing in on biotech Endo International plc - Ordinary Shares (NASDAQ:ENDP), semiconductor stock Microchip Technology Inc. (NASDAQ:MCHP), and Dow component Chevron Corporation (NYSE:CVX). Here's a quick roundup of today's bullish brokerage notes on ENDP, MCHP, and CVX.

ENDP is up 12% ahead of the open, after the drugmaker posted better-than-expected second-quarter profit and revenue. Goldman Sachs and Deutsche Bank responded with respective price-target increases to $22 and $31, while Mizuho Securities added that "business now appears more stable and less risky ... which could lead to a stock rally." On the other hand, Leerink trimmed its price target to $22 from $23. This is still above Endo International plc's Monday close of $18.19, though, and more bullish notes could be forthcoming, since the majority of analysts rate the stock a "hold." Then again, this bearish outlook makes sense given ENDP's technical history.

Bullish analyst notes are pouring in on MCHP, following the company's impressive second-quarter earnings results and strong outlook. No fewer than 10 brokerage firms raised their price targets on the stock, with the highest mark of $74 coming from B. Riley. This represents all-time-high territory for Microchip Technology Inc., which closed last night at $56.63 -- 21.7% higher in 2016. This is all terrible news for short sellers, who control over 10% of the stock's float, which equates to 9.4 days' worth of buying power, going by MCHP's average daily trading volumes.

CVX is edging higher in electronic trading, thanks to news that Piper Jaffray upgraded the stock's rating to "overweight." Chevron Corporation has already added a solid 12.5% year-to-date, closing at $101.20 on Monday, and appears to be getting a lift from its rising 120-day moving average. Despite this positive technical setup, options traders have taken a decisively bearish stance on Chevron Corporation. For instance, the stock's 50-day put/call volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) comes in at 3.48, which is just 3 percentage points from an annual high. An unwinding of this pessimism could lift CVX shares even higher.

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