Western Digital submitted another bid for Toshiba's chip unit
Analysts are weighing in on Chinese e-commerce stock Alibaba Group Holding Ltd (NYSE:BABA), luxury retailer Tiffany & Co. (NYSE:TIF), and data storage expert Western Digital Corp (NASDAQ:WDC). Here's a quick roundup of today's bullish brokerage notes on shares of BABA, TIF, and WDC.
BABA Stock Enjoys More Bullish Attention
Alibaba stock is up 0.6% ahead of the open, thanks to a price-target hike to $175 from $141 at Barclays. BABA shares hit a record high of $148.29 back on June 9, and closed last night at $142.73 -- up 62.5% year-to-date. Bullish analyst attention is nothing new for the Chinese juggernaut, as all 16 covering brokerage firms recommend buying its shares. This upbeat view has been shared by options traders at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). Alibaba has a 10-day call/put volume ratio of 2.99 across these exchanges, which ranks in the 82nd annual percentile, pointing toward an unusually strong call-buying bias.
TIF Stock Added to BofA-Merrill List
BofA-Merrill Lynch reportedly added Tiffany stock to its U.S. 1 list of best investment ideas, keeping its "buy" rating in place with a price target of $110 -- territory not seen since late 2014. These expectations are much more bullish than the Street consensus, where TIF shares have an average 12-month price target of just $94.67. At yesterday's close of $92.31, the stock is trading just above its 80-day moving average, a trendline that's offered nice support in 2017. On the other hand, the $95-$97 area -- site of the shares' mid-2015 highs -- has capped Tiffany's upside in recent months. TIF shares are pointed 2.9% higher ahead of the bell.
Cowen Sees 26% Upside for Western Digital Stock
It's been a busy morning for Western Digital shareholders. The company last night raised its current-quarter earnings outlook, and this morning submitted another bid for Toshiba's chip unit. Plus, Cowen upped its price target to $117 from $115 -- in record-high territory. WDC stock is down 1.2% in pre-market trading, but that would keep it above the round $90 level following its close at $92.66 yesterday. Year-over-year, the shares have nearly doubled, hitting a two-year high of $95 on June 23. Meanwhile, it could be a good time to target Western Digital options, since its Schaeffer's Volatility Index (SVI) of 35% ranks in the low 16th annual percentile. This points to relatively cheap near-term options, from a historical volatility viewpoint.