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Micron, Berkshire Hathaway, Triumph Group Downgraded

Micron Technology, Berkshire Hathaway, and Triumph Group stocks received bearish analyst attention

May 8, 2017 at 10:09 AM
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Analysts are weighing in on semiconductor stock Micron Technology, Inc. (NASDAQ:MU), Warren Buffett's Berkshire Hathaway Inc. (NYSE:BRK.A), and aircraft systems maker Triumph Group Inc (NYSE:TGI). Here's a quick roundup of today's bearish brokerage notes on shares of MU, BRK.A, and TGI.

Goldman Downgrades Micron Technology Stock

Goldman Sachs downgraded MU stock to "neutral" from "buy," and cut its price target by $2 to $30, with the brokerage firm saying "our catalyst has largely materialized." Against this backdrop, MU shares have dropped 2.3% to trade at $27.71, but remain well above their  year-to-date breakeven mark. In fact, MU stock has added more than 28% in 2017, and hit an annual high of $29.87 on March 24. Options traders, meanwhile, have rarely bought to open calls over puts on MU stock at a faster pace. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), MU's 10-day call/put volume ratio of 7.13 ranks just 8 percentage points from a 52-week peak.

Buffett's Berkshire In Focus After Annual Meeting

Barclays cut its price target on Berkshire Hathaway Inc's Class-A shares to $286,500 from $295,500, after the company's highly anticipated investor meeting in Omaha, where Buffett addressed a wide variety of topics, including Apple stock and its IBM stake. BRK.A was last seen trading down 1% at $247,500, though it remains the most expensive stock. Longer term, BRK.A stock is up 2.4% year-to-date, and roughly 15% year-over-year.

Triumph Group Stock Widens YoY Deficit

Jefferies cut its price target on TGI to $29 from $36, though still a premium to the stock's current perch at $24.15. The shares have been in a long-term downtrend, shedding nearly 31% in the past 12 months. As such, sentiment is largely stacked against Triumph Group Inc. The stock's Schaeffer's put/call open interest ratio (SOIR) is docked at an annual high 9.93, indicating short-term speculators are more put-heavy now toward TGI than at any other point over the past year. Elsewhere, nearly 16% of TGI's float is controlled by short sellers, or 11.7 times its average pace of trading.

 

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