EARN25

NVDA, CMG Stocks Lifted By Ambitious Analyst Upgrades

Another NVDA analyst waxed optimistic on the company's gaming business

Aug 15, 2018 at 9:45 AM
facebook X logo linkedin


Sentiment in the options pits was already bullish on Nvidia Corporation (NASDAQ:NVDA) ahead of the company's post-close earnings release tomorrow, Aug. 16, and now there's upbeat attention coming from the analyst community. Wells Fargo issued a big upgrade on NVDA stock this morning, raising its rating on the semiconductor issue to "outperform" from "underperform," and boosting its price target to $315 from $140. The upgrade was based on the company's strong position in gaming and artificial intelligence -- familiar focal points of Wall Street.

There are still a number of Nvidia bears in the analyst community, illustrated by the equity's eight "hold" ratings. At the same time, the average 12-month price target stands all the way up at $295.67. NVDA shares have rallied more than 35% since the start of the year, last seen slightly higher at $261.80, not too far from their June 14 record high of $269.20.

Another stock receiving positive analyst attention is Chipotle Mexican Grill, Inc. (NYSE:CMG). Morgan Stanley upgraded CMG shares to "overweight" from "equal-weight" and set a $600 price target -- almost 22% above yesterday's close at $493.32. The brokerage firm said it's still early into the company's turnaround while also mentioning the new focus on digital initiatives. Meanwhile, Citigroup raised its price target on Chipotle to $573 from $506.

As such, the equity is up more than 2% today, trading above $500 for the first time since March 2016, topping out at $505.98 so far. There's a chance we could continue to see CMG bull notes trickle through, since 17 of 24 analysts have "hold" or worse ratings on the shares. Plus, volatility expectations remain unusually low.

 

You Don’t Need 25 Alerts -- You Need ONE You Can Trust!

That’s the idea behind Trade of the Week, Schaeffer’s newest trade alert.

Every Monday morning before the opening bell, you’ll receive a single, expertly researched trade recommendation -- built from the same proprietary research we’ve been using for over four decades.

It’s not just a signal.

It’s a plan designed for traders who are tired of jumping from alert to alert without ever finding their edge.

No juggling alerts. No switching directions mid-week. Just one clear, expertly researched trade idea -- delivered before the market even opens.

👉 JOIN RIGHT NOW FOR JUST $1 TO GET THE NEXT TRADE!