Selloff or Market Correction? Either Way, Here's What to Do Next!See Overvalued Stocks

Today's most important downgrades

Published 02/03/2023, 00:32
© Reuters.
MNST
-
WF
-
UHS
-
AMBA
-
IHRT
-
MQ
-

By Davit Kirakosyan

JPMorgan and Barrington Research downgraded iHeartMedia (NASDAQ:IHRT) following the company’s reported mixed Q4 results and weaker-than-expected Q1/23 guidance.

JPMorgan downgraded the stock to Underweight from Neutral and cut its price target to $5.00 from $10.00, noting it is not surprised by the softer revenue guide given the uncertain macro backdrop and broad-based pullback on marketing budgets, but struggle with the company’s Q1 EBITDA/margin guide despite prior concerns that all revenue was not created equally.

The firm updated its estimates and now forecast Q1/23 revenue of $790 million (down 6% year-over-year) mainly on lower broadcast and digital revenue reflecting lower brand and national advertising.

Meanwhile, Barrington Research downgraded the stock to Market Perform from Outperform.

Shares plunged more than 23% today.

Several analysts, including Roth/MKM, Imperial Capital, and CFRA downgraded Ambarella (NASDAQ:AMBA) following the company’s announced weak Q1 guidance, despite both Q4 EPS and revenues coming in better than expected.

Roth/MKM downgraded the stock to Neutral from Buy with a price target of $95.00, while CFRA downgraded to Buy from Strong Buy with a price target of $105.00 (from $110.00). Imperial Capital downgraded the company to In-Line from Outperform with a price target of $95.00.

Shares dropped more than 11% today.

JPMorgan downgraded Marqeta (NASDAQ:MQ) to Neutral from Overweight and cut its price target to $6.00 from $9.00.

“While we like the strategic value and long-term operational improvements being put in place at Marqeta, we feel it is time to move to the sideline on the stock given trade-off of lower near-term growth with longer-term certainty due to stepped up renewals including Visa (NYSE:V) that surprised us to the downside,” the investment banking firm said.

Shares plunged more than 22% today following the company’s reported weaker-than-expected guidance, while Q4 results beat estimates.

Wolfe Research downgraded Universal Health Services (NYSE:UHS) to Peerperform from Outperform.

The company reported its Q4 results, with EPS/revenues coming in better than expected, but annual profit guidance missed the consensus estimates, resulting in a share price drop of more than 8% yesterday.

CFRA downgraded Monster Beverage (NASDAQ:MNST) to Hold from Buy and cut its price target to $100.00 from $110.00.

Shares fell more than 2% today after the company’s reported Q4 EPS and revenues missed consensus estimates.

BofA Securities downgraded Woori Financial Group (NYSE:WF) to Neutral from Buy.

 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.