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Analyst Downgrades: CVS Health Corp, Dunkin Brands Group Inc, and Twitter Inc

Analysts downwardly revised their ratings and price targets on CVS Health Corp (CVS), Dunkin Brands Group Inc (DNKN), and Twitter Inc (TWTR)

Oct 17, 2016 at 9:43 AM
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Analysts are weighing in on pharmacy operator CVS Health Corp (NYSE:CVS), doughnut dealer Dunkin Brands Group Inc (NASDAQ:DNKN), and social media stock Twitter Inc (NYSE:TWTR). Here's a quick roundup of today's bearish brokerage notes on CVS, DNKN, and TWTR.

  • Deutsche Bank slashed its price target on CVS to $99 from $108. The stock is down 0.7% at $88.21, as it continues to fall ever since approaching $107 in early May. Given these losses, it would come as little surprise if CVS Health Corp were slapped with more negative analyst attention. Specifically, 80% of analysts rate the stock a "buy" or better, with not a single "sell" rating on the books. A round of downgrades could contribute to more selling pressure on CVS.
  • DNKN has been cruising higher in 2016, but has taken a step back this morning after RBC cut its rating to "sector perform" from "outperform," though it bumped its price target to $54 from $51. Specifically, the stock is down 1.1% at $50.75, but is still sitting on a 19.2% year-to-date lead. Dunkin Brands Group Inc shares could swing on Thursday, with the company slated to report earnings ahead of the open. Options traders have been betting on a post-earnings move higher, too. Over the past 20 sessions, speculators at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) have bought to open roughly 16 DNKN calls for every put.
  • Last week's M&A letdown drilled TWTR, and those technical troubles are continuing today. Specifically, the stock is off 1.6% at $16.61, pressured by a price-target cut to $26 from $27 at Pivotal Research. In fact, since hitting a near-term high of $25.25 less than two weeks ago, Twitter Inc has surrendered about one-third of its value. All the while, the brokerage crowd has established a decisively negative outlook on the shares. By the numbers, 22 of 26 analysts covering TWTR rate it a "hold" or worse.
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