Pandora, Diplomat Pharmacy, Marriott Upgraded

Pandora, Diplomat Pharmacy, and Marriott stocks are on analysts' bullish radar today

May 9, 2017 at 9:51 AM
facebook X logo linkedin

Analysts are weighing in on streaming music stock Pandora Media Inc (NYSE:P), drug distributor Diplomat Pharmacy Inc (NYSE:DPLO), and hotel chain Marriott International Inc (NASDAQ:MAR). Here's a quick roundup of today's bullish brokerage notes on shares of P, DPLO, and MAR.

Pandora Stock Jumps After Earnings, Board Shake-Up

P stock is trading up 1.4% at $10.40 amid an onslaught of headlines this morning. Specifically, KKR will invest $150 million in Pandora Media Inc in exchange for new shares of preferred stock. The hedge fund will also gain a seat on the board, while two other board members, James Feuille and Peter Gotcher, will resign. The company said it is still exploring strategic alternatives -- including a possible sale -- after reporting mixed earnings results last night, and a decline in its active users. Nevertheless, William Blair said "there's more value in the ... active listeners than the market is ascribing," and notes "there is a potential midteens bid for Pandora."

Wells Fargo also had upbeat comments for Pandora, saying that while it's a "show-me stock ... patient investors will be rewarded," with the brokerage firm reiterating its "outperform" rating and $15 price target. Not all the post-earnings attention has been positive, though, with the stock receiving price-target cuts from at least four firms. Plus, today's pop does little to dent P stock's long-term deficit, with the shares off more than 24% from their mid-February high of $13.72. As such, short interest on P stock is at a record high, with nearly 40% of its float wrapped up in these bearish bets.

Diplomat Pharmacy Stock Attempts a Post-Earnings Breakout

DPLO stock saw its price target raised at Leerink (to $16), Cowen and Company (to $17), and Barclays (to $20), after the company's first-quarter earnings came in above the consensus estimate. DPLO shares are up 2.8% in early trading at $16.79, attempting to break out above the $16.00-$16.30 region that has contained the stock since an early November bear gap. Diplomat Pharmacy Inc is now up almost 30% year-to-date, and continued short covering could translate into stronger tailwinds. Though short interest dropped 7.5% in the most recent reporting period, it still accounts for 19.4% of DPLO's available float, or 12.1 times the stock's average pace of trading.

Marriott Stock at Record High After Earnings

MAR stock tapped a record high of $101.85 out of the gate, last seen trading up 5.7% at $101.45. Boosting the shares is Marriott International Inc's stronger-than-expected earnings report, as well as a price-target hike to $95 from $87 at Stifel. This is just more of the same for a stock that was up nearly 17% year-to-date heading into today's trading, yet analysts have largely been sitting on the sidelines. Despite MAR stock's outperformance, 10 of 16 brokerages maintain a tepid "hold" recommendation. A round of well-deserved upgrades could draw a fresh batch of buyers to MAR's table.


Unlock Weekend Profits with Chris Prybal's Favorite Strategy Up +487.5% in 2024

With the markets going left, right, and sideways, you need to have a plan now more than ever. 

Expert Trader Chris Prybal is no stranger to volatility, and has mastered finding big stock rallies while other traders aren't looking over the weekend. Rallies that produced gains like +207% on RTX calls, +236% on MARA calls, and +238% on NET calls.

A few simple moves on Sunday at 7pm could be the “Secret Sauce” your portfolio needs to not just stay afloat, but make unprecedented gains in this turbulent market.

Don’t sit on the sidelines, beat the market with Chris Prybal's strategy. Join him now!




Rainmaker Ads CGI