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Analyst Upgrades: UnitedHealth Group Inc, Goldman Sachs Group Inc, and Splunk Inc

Analysts upwardly revised their ratings and price targets on UnitedHealth Group Inc (NYSE:UNH), Goldman Sachs Group Inc (NYSE:GS), and Splunk Inc (NASDAQ:SPLK)

Nov 30, 2016 at 9:27 AM
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Analysts are weighing in on insurance stock UnitedHealth Group Inc (NYSE:UNH), bank giant Goldman Sachs Group Inc (NYSE:GS), and software specialist Splunk Inc (NASDAQ:SPLK). Here's a quick roundup of today's bullish brokerage notes on UNH, GS, and SPLK.

  • A day after upbeat guidance sent the shares to all-time highsUNH is set to open in the black once again, as analysts upwardly revise their outlooks. For example, Mizuho upgraded the stock to "buy" from "neutral," while UBS was one of several brokerage firms to raise its price target, eyeing a move up to $193. This represents a 22.5% premium to UnitedHealth Group Inc's close yesterday at $157.59, and options traders are likely hoping for more upside. By the numbers, UNH's 50-day call/put volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) comes in at 1.67, which is only 1 percentage point from an annual high. 

  • Amid news the company's former partner Steven Mnuchin is expected to be named Donald Trump's Treasury secretaryGS stock is making moves of its own. The shares are up 1.6% in electronic trading, after Deutsche Bank raised its rating to "buy" from "hold," and boosted its price target to $255 from $180. Not only does this represent all-time-high territory for Goldman Sachs Group Inc, but it's also a call for the stock to rally over 20%, as it was last seen at $211.75. Of course, the equity has stormed 17.5% higher so far in 2016, and could benefit from an extended round of bullish analyst attention. At the moment, the majority of brokerage firms covering GS rate it a "hold" or a "strong sell." 

  • SPLK is on pace to open 7.8% higher, thanks to a better-than-expected full-year outlook, an earnings beat, and strong third-quarter revenue. Wedbush was one of at least five brokerage firms to raise its price target on the stock, moving it up to $75 from $72. After closing Tuesday at $57.38, today's pending rise should put Splunk Inc in a prime technical position, atop not only its year-to-date breakeven mark, but also its rising 160-day moving average, which has provided support since June. If short sellers continue to cover their positions, SPLK could explore even more upside. During the last reporting period, this figure declined by 5.7%, yet almost 10% of the stock's float is still sold short -- which equates to 7.2 days' worth of buying power, going by average daily volumes. 
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