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Fly News Breaks for January 27, 2020
Jan 27, 2020 | 07:56 EDT
Credit Suisse analyst Michael Binetti notes that the new coronavirus thus far is much less widespread and less lethal versus SARS, with confirmed cases largely in China. Nonetheless, retail stocks with significant China exposure such as Estee Lauder (EL), Nike (NKE), and Tapestry (TPR) have started to underperform, he adds. Binetti's checks suggest that retailers are bracing for a disappointing Chinese New Year, with China now having a much bigger input to revenues/EPS for global brands. If Coronavirus continues, it could be a 3%-5% hit to EPS for China-exposed stocks like Nike/Estee Lauder next quarter in a "reasonable base case scenario," the analyst contends, adding that media "fear factor" could potentially drive relative P/E's another 10%-15% lower as well.
News For EL;NKE;TPR From the Last 2 Days
Apr 20, 2021 | 10:03 EDT
Check out today's top analyst calls from around Wall Street, compiled by The Fly. BUY UBER: Nomura... To see the rest of the story go to See Story Here
Apr 20, 2021 | 09:58 EDT
Catch up on today's top five analyst downgrades with this list compiled by The Fly: 1. Nike (NKE) downgraded to Neutral from Buy at Citi with analyst Paul Lejuez saying he believes in Nike's long-term growth and margin expansion story but he sees near-term pressures due to a slowdown in demand in China related to the Xinjiang cotton issue. 2. Avis Budget (CAR) downgraded to Neutral from Buy at BofA with analyst John Murphy saying he is adjusting his U.S. auto sales and North American auto production forecasts, effectively raising year-over-year growth forecasts for U.S. sales in 2021, but lowering 2022, while simultaneously lowering year-over-year growth forecasts for North American production in 2021, but raising 2022. 3. Clean Energy (CLNE) downgraded to Underperform from Market Perform at Raymond James with analyst Pavel Molchanov citing Clean Energy's announcement that it plans to supply fuel to a modest number of Amazon (AMZN) trucks, the latest instance of sentiment-driven multiple expansion with "minimal read-through" for profitability. 4. Sterling Bancorp (STL) downgraded to Neutral from Buy at Janney Montgomery and B. Riley following the merger with Webster Financial (WBS). 5. Ovid Therapeutics (OVID) downgraded to Neutral from Overweight at Cantor Fitzgerald with analyst Charles Duncan saying the downgrade is driven by a lack of visibility on early-stage programs entering the clinic that would result in value creating events. This list is just a portion of The Fly's full analyst coverage. To see The Fly's full Street Research coverage, click here.