Analyst Upgrades: Amazon.com, Inc., Costco Wholesale Corporation, and QUALCOMM, Inc.

Analysts upwardly revised their ratings and price targets on Amazon.com, Inc. (AMZN), Costco Wholesale Corporation (COST), and QUALCOMM, Inc. (QCOM)

Sep 30, 2016 at 9:29 AM
facebook twitter linkedin


Analysts are weighing in on retail stocks Amazon.com, Inc. (NASDAQ:AMZN) and Costco Wholesale Corporation (NASDAQ:COST), as well as chipmaker QUALCOMM, Inc. (NASDAQ:QCOM). Here's a quick roundup of today's bullish brokerage notes on AMZN, COST, and QCOM.

  • Guggenheim initiated coverage on AMZN with an upbeat "buy" rating and a $950 price target -- well into record-high territory. Speaking of which, Amazon.com, Inc. hit a fresh all-time peak of $837.50 on Thursday, before settling at $829.05, and the shares are pointed 0.4% higher ahead of the bell. The stock has been on a tear since early February, tapping one new high after another, with its year-to-date lead approaching 23%. Plus, the shares have been getting support from the rising 50-day moving average. In the options pits, traders keep betting on more gains, too. AMZN's 10-day call/put volume ratio of 1.29 across the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) ranks higher than 92% of the past year's readings. 

  • COST reported better-than-expected earnings for its fiscal fourth quarter, prompting Goldman Sachs to bump up its price target by $1 to $183 -- representing never-before-seen territory for the shares. The stock has had a choppy 2016 so far, but is sitting on a year-over-year lead, as of Thursday's close at $147.49. The shares are up another 2.9% in electronic trading, and an unwinding of skepticism among options traders in light of today's earnings news could send Costco Wholesale Corporation even higher. Specifically, the stock's Schaeffer's put/call open interest ratio (SOIR) of 1.45 sits just 2 percentage points from an annual put-skewed peak.

  • QCOM is set to add 1.3% at the open following an upgrade to "buy" from "neutral" at Mizuho Securities, as well as a price-target hike to $74 from $62 at Cowen and Company. This bullish brokerage attention follows Thursday's M&A buzz alleging QUALCOMM, Inc. could be looking to acquire sector peer NXP Semiconductors NV (NASDAQ:NXPI) in a more than $30 billion deal. QCOM hit an annual high of $68.83 yesterday before finishing at $67.45 -- up 35% year-to-date. But the shares could be overdue for a breather after more than seven months of climbing the charts. The stock's 14-day Relative Strength Index (RSI) checks in at 73 -- in overbought territory.
Don't miss the market's next move! Sign up now for Schaeffer's Midday Market Check
 

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 

 

300x250 - Banner 3 - v1