Q2 STOCKS TO BUY

2 Stocks Slammed By Analyst Bear Notes

Meanwhile, Ford Motor announced a round of white-collar job cuts

Managing Editor
May 20, 2019 at 2:24 PM
facebook X logo linkedin


Technology and chip stocks are suffering a steep sell-off this afternoon, sending markets deep into the red. Three names also making noise today are electronics name Keysight Technologies Inc (NYSE:KEYS), car manufacturer Ford Motor Company (NYSE:F), and video game retailer GameStop Corp (NYSE:GME). Below, we will dive into what is moving the shares of KEYS, F, and GME.

Keysight Stock Eyes Worst Day Ever

Keysight Technologies stock has been sucked into the Huawei headwinds today, with Baird reportedly shoveling out a downgrade to "neutral" from "outperform" on the electronics maker, alongside a price-target cut to $82 from $90. The analyst said the potential losses from Huawei business could weigh on Keysight's growth rate. In response, KEYS was last seen down 10% at $74.04 -- set for its worst session ever.

Today's downgrade is a rare occurrence for the security. As of last night's close, all five covering brokerage firms carried "strong buy" ratings. A price-target cut may have been overdue, however, with KEYS' average 12-month price target of $96.33 standing at a 30% premium to current levels.

Ford Motor Signals Next Step in Restructuring Effort

Ford Motor stock is hovering just around breakeven this afternoon, last seen trading at $10.26, as investors digest the company's plans to cut 7,000 salaried jobs -- or about 10% of its global workforce -- as a part of its restructuring effort. All but about 2,300 pink slips will be generated overseas, with the cuts coming by August. F stock has already added more than 34% year-to-date, and since an April bull gap has been consolidating its gains atop the $10 level. 

Now looks to be an attractive time to speculate on Ford stock with near-term options. F's Schaeffer's Volatility Index (SVI) of 23% registers in just the 16th percentile of its annual range, meaning short-term options are pricing in relatively modest volatility expectations for the shares. 

GameStop Stock Sinks on Credit Suisse Critique

Shares of GameStop stock are down 6.4% at $8.06, after Credit Suisse cut GME's price target to $7 from $10 -- a discount to current levels -- while also reiterating an "underperform" rating. The analyst said the company's loyalty drivers will remain under pressure, and waxed pessimistic on the video game concern's efforts to improve profitability. Earlier today, GME marked a 14-year low of $7.98, bringing its year-to-date deficit to 36%. 

Such a bear note is not an abnormality for the video game retailer, however. Of the six analysts following GameStop stock, all but one carry a "hold" or worse rating. However, more price-target cuts could be in store; GME's average 12-month price target stands at $9.82 -- a 21.8% to current trading levels.
 
 

“Buy This Stock Now!” - Expert Who Called 11x On TSLA

He called a rare 11x on Tesla…

But now, thanks to Elon & Trump’s new alliance…

He says there’s a new opportunity that could be 1,000x BIGGER than Tesla – and it could completely revolutionize a $23 Trillion market.

It’s trading for less than $5 per share right now…

But it won’t be under the radar for long.

Discover The 1,000x Bigger Elon Opportunity Here

GRAND SLAM COUNTDOWN

 
 

Featured Articles from Trusted Partners:

👀Learn How Dividends Create Passive Income for Life
Receive $200 Off Motley Fool Epic. The Motley Fool Epic $299 discounted offer is based on $499/year list price. Introductory promotion for new members only. Take control of your money and your portfolio with Motley Fool Epic.

💵New Income System Could Pay You $4,243 Monthly
You could collect an average of $4,243 per month starting as early as next week with a new payout system for income investors. New registrations are being accepted for investors who want to be in a position to start with their first payout next week.

🚀Easy 92% Crypto Dividends (No Coins Required)
COIN stock doesn't pay a dividend... But there's actually a new way to collect a massive dividend that's indirectly based on the stock and offers a terrific monthly income (currently yielding nearly 92% on a forward basis).

🤝Free Advisor Match with Wiseradvisor.com
Don't leave your retirement to chance! Get matched with a trusted financial expert for FREE and make the most of your tax refund. Get started now.

⚠️Dennis Quaid's #1 Warning for Americans
Here's the thing: life doesn't come with guarantees. The economy shifts, markets stumble, and years of hard work could slip through your fingers like sand. But it doesn't have to be that way for you. So request a free copy of this Gold & Silver Guide that will arrive right to your doorstep when you act now.

 

 
 

Follow us on X, Follow us on Twitter