Biotech stocks ALDR and XENE have been struggling after disappointing drug data
Analysts are weighing in on e-commerce technology provider First Data Corp (NYSE:FDC), as well as biotechs Alder Biopharmaceuticals Inc (NASDAQ:ALDR) and Xenon Pharmaceuticals Inc (NASDAQ:XENE). Here's a quick roundup of today's bearish brokerage notes on shares of FDC, ALDR, and XENE.
First Data Stock Falls Beneath Notable Moving Average
First Data stock is set to end beneath its 20-day moving average for the first time since April, down 3.4% at $17.91. Weighing on the equity is a downgrade to "equal weight" from "overweight" at Morgan Stanley, though the brokerage firm also lifted its price target on FDC stock by $1 to $19. First Data has been a solid performer in 2017, up 26.2%, and just tagged a record high of $19.01 earlier this month. Still, short sellers continue to hammer this stock. In the last two reporting periods alone, short interest rose 26.5%, and now roughly one week's worth of buying power is sold short, going by FDC stock's average daily volumes.
ALDR Stock Bounces From Lows
Alder Biopharmaceuticals stock plummeted to a two-year low of $13.45 yesterday, following disappointing data for its migraine treatment. The stock is rebounding some today, up 1.3% at $13.65, despite a downgrade to "neutral" from "outperform" at Credit Suisse, which nearly halved its price target to $17 from $30. ALDR shares are in danger of additional bearish attention, too, should they keep struggling on the charts. As it stands now, seven of eight analysts say to "buy" Alder stock.
Xenon Stock Hits New Low
Xenon Pharmaceuticals stock also gapped lower yesterday, due to disappointing drug data of its own. This morning, Stifel followed up with a price-target cut to $7 from $11, prompting another 3.3% drop in XENE shares, which were last seen at $2.90, after earlier hitting a record low of $2.85. Also like its drug-making peer mentioned above, XENE stock runs the risk of getting hit with more downgrades. In fact, all four brokerage firms issuing coverage rate the shares a "strong buy.".