Analysts downwardly revised their ratings and price targets on WTW, ORCL, and AGIO
Analysts are weighing in on weight loss specialist
Weight Watchers International, Inc. (NYSE:WTW), software stock
Oracle Corporation (NYSE:ORCL), and biotech issue
Agios Pharmaceuticals Inc (NASDAQ:AGIO). Here's a quick roundup of today's bearish brokerage notes on WTW, ORCL, and AGIO.
- WTW has dropped 6.5% to $10.14, after Morgan Stanley downgraded the stock to "underweight" from "equal weight," and cut its price target to $8 from $12 -- representing annual-low territory for the shares. Weight Watchers International, Inc. has been slumping through most of 2016, most recently running into trouble in the $10.50-$11 region, home to its 10- and 20-week moving averages. Some traders certainly seem to be betting on more losses ahead, too -- more than 50% of WTW's available float is currently sold short, representing almost five weeks' worth of buying power, at the stock's average daily volume.
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ORCL is off 4.3% at $39.12 -- paring its year-to-date lead to 7.1% -- after the company's quarterly revenue fell short of expectations. The stock has seen a mixed bag of analyst attention as a result -- Stifel and BMO cut their price targets on the stock to $44 and $45, respectively, while Wedbush and UBS increased their respective targets to $42 and $45. Still, more than half of the analysts following Oracle Corporation maintain a "buy" or better rating. Plus, the shares are so far holding on to a familiar foothold above the 50-day moving average.
- AGIO has given back 20.3% to trade at $44.56, after the company halted development on its troubled anemia treatment, AG-519, prompting Credit Suisse to cut its price target to $66 from $72 and Janney to slash its price target to $44 from $51. The shares have already surrendered nearly 31% of their value year-to-date, and could be in for more trouble after giving up their perch above the $46 level. Bearish options traders could be cheering this latest development, though. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), Agios Pharmaceuticals Inc's 10-day put/call volume ratio of 0.37 is higher than 71% of all readings from the past 12 months, indicating a healthier-than-usual appetite for long puts over calls of late.
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