Analyst Eyes New Record Highs for Apple Stock

Luxury retailer KORS is rallying after an upgrade

Sep 19, 2017 at 10:15 AM
facebook twitter linkedin

Analysts are weighing in on technology powerhouse Apple Inc. (NASDAQ:AAPL), chip stock Micron Technology, Inc. (NASDAQ:MU), and luxury retailer Michael Kors Holdings Ltd (NYSE:KORS). Here's a quick roundup of today's bullish brokerage notes on shares of AAPL, MU, and KORS.

Morgan Stanley Lifts AAPL Target Amid iPhone X Hype

Morgan Stanley raised its price target on Apple stock to $194 from $182, while backing an "overweight" rating. This bullish note comes just before the company's highly anticipated iPhone 8 and iPhone X are expected to be released. The Dow stock was last seen trading fractionally lower at $158.53, but sporting a year-to-date gain of almost 37%. The new price target from Morgan Stanley stands about 18% north of AAPL's current all-time high of $164.94, set back on Sept. 1.

Analysts following AAPL are broadly optimistic, with 25 of 32 carrying "buy" or "strong buy" recommendations. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock's 50-day call/put volume ratio of 2.26 ranks in the 84th percentile of its annual range, suggesting options traders are favoring bullish bets over bearish by a wider-than-usual margin.

Price-Target Hike Carries Micron to New Highs

Susquehanna raised its price target on MU stock to $50 from $40 this morning, shortly after a Reuters report showed Nanya Technology unloading its 1.8 million share stake in MU for $64.4 million. At last glance, MU is trading up 1.1% at $35.82 -- and earlier set a new two-year high of $35.97. Year-over-year, the semiconductor stock is up an impressive 112%, and of the 15 analysts following the stock, 14 hold confident "buy" or "strong buy" recommendations.

KORS Soars on Upgrade to "Outperform"

Oppenheimer upgraded KORS to "outperform" from "perform" before today's open, along with a price-target raise to $55 from $44. The luxury retailer was last seen trading up 4.2% at $46.52, in new year-to-date high territory. In early August, the stock staged a massive post-earnings bull gap, ending a roughly six-month stretch of choppy, sideways-to-lower price action. After that pop, KORS consolidated some gains, but has bounced again in recent sessions since meeting up with its rising 30-day moving average.

Short interest has increased nearly 24% over the past two reporting periods for KORS, and now accounts for more than 6% of the stock's available float. The stock's ability to hold up in the face of this increased selling pressure points to strong pent-up demand for the luxury retailer's shares.


If you are not making money with options, you aren’t buying options like this…

There is no options strategy that more perfectly approaches trading the fastest moving and most volatile stocks available in the marketplace than this one. In fact, there is no strategy that better utilizes put options for optimal returns and a real trading edge over other traders in the exact same market. New options traders fail out at an incredible rate without proper trade research, execution timing, and option picking. Capitalize on Schaeffer’s 100+ years of options trading excellence with the most coveted product launch in company history. Don't waste another second... join us right now before the next round of trades are released!

Schaeffer's Investment Research Master Portfolio Trial


Special Offers from Schaeffer's Trading Partners