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On Wall Street, stocks are breathing a sigh of relief from this month’s rally. Despite encouraging updates on a potential coronavirus vaccine, disappointing unemployment data and a spike in coronavirus cases have shaken investors.
Not helping investor sentiment, New York City Mayor Bill de Blasio announced that schools would return to distance education to reduce the spread of the virus.
“The market has really been in a celebratory way since Election Day and rode through it again last week. I think the idea now is that people are starting to consider taking some profit beyond expectations that 2021 There may be an increase in taxes related to capital gains. I also think that COVID is considered after the change in COVID… Even with the revival, all the empty news is with us. [is] There is a CO-COVID ahead, ”said Oppenheimer chief investment strategist John Stoltzfus.
As a lot of question marks are moving forward, it is not easy to open stocks designed to improve the broader market. One approach is to have analysts take a cue with a track record of success. The TipRanks analyst forecasting service attempts to pinpoint Wall Street’s best-performing analysts. These are analysts with the highest success rates and average per rating.
Here are five favorite stocks of the best performing analysts right now:
In response to promising data from Pfizer and Modern’s coronavirus vaccine, investors have moved away from pandemic beneficiaries like Amazon. However, five-star analyst Laura Martin continues to take a stance on the e-commerce and computing giant. To this end, it reiterated a Buy rating and a $ 3,700 price target (19% upside potential) on 18 November.
Following the vaccine news, Martin conducted a survey to assess consumer shopping habits and upcoming plans. In a survey of about 330 consumers, 80% of respondents said they would shop the same or more online post-epidemic. “With AMZN being the e-commerce market share leader, we see it as the biggest beneficiary of this trend,” he commented.
When Martin asked if their shopping habits would change when the vaccine became available, about 69% indicated they would use Amazon in the same way they did during the epidemic, which increased Amazon’s demand, while Another 15% said they would shop the site even more.
For the upcoming holiday season, analysts wanted to find out when consumers would make their purchases. 44% of those polled said that 50% -100% of their holiday shopping has been completed.
“In our view, Amazon’s Prime Day in October pushed the shopping calendar forward. Given that it was the first mover advantage, we expect AMZN to be the biggest beneficiary of spending already on the calendar,” Martin explained. .
With a 66% success rate and 24.9% average return per rating, Martin ranks # 67 on the list of best performing analysts.
RBC Capital’s five-star analyst Matthew Hedberg upgraded software development company Bentley Systems to a hold on November 15. With a price target of $ 43, the analyst sees a 26% upside potential.
The upgrade comes on the heels of an impressive performance in its first quarter as a publicly traded company. In Hageberg’s opinion, combined with a pull-back since mid-October, makes the risk / reward profile more attractive, because now the stock is “close to peers and discounts to premium peers like Ans and Autodesk.”
During this quarter, Bentley generated revenue and EPS of $ 203 million and $ 0.17, respectively, by $ 197.3 million and $ 0.13 consensus estimates. Additionally, adjusted EBITDA landed at $ 73.6 million, beating Street’s $ 56.5 million call. The most notable for Hedberg, however, was a 9% ARR increase, higher than his 8% projection.
Looking ahead, Bentley’s guidance for CY20 also came in above consensus estimates.
Hedberg said, “Overall, we think a vaccine can benefit Bentley, and a Biden presidency can boost US infrastructure spending. Overall, we like the opportunity to own a long-term sustainable winner. We do.”
After reaching the top 25 spot in TipRanks’ rankings, Hedberg has claimed a 74% success rate and an average return of 27.2% per rating.
On November 17, PDF Solutions announced that it would acquire Symmetrix, a software interface company for capital equipment that enables data collection from manufacturing devices. For Gus Richard of Top Northland Capital, the deal confirms his rapid thesis with the analyst repeating a rating the next day. Along with the call, he continues to set a $ 30 price target, and suggests a 43% upside potential.
Per the terms of the agreement, PDF will pay $ 35 million in cash on CMSrix’s balance sheet, with the deal closing in Q4 2020.
The move is part of PDF Solutions’ focus on accelerating its efforts with equipment suppliers as Cimetrix provides a sales channel to software development teams of equipment vendors, including Cimetrix Data “Feedstock of PDFS’s Accentio Big Datix Platform” Serving as. Richard’s opinion PDF’s platform has entered Fabs, Fabless and OSAT, but has limited exposure to equipment suppliers.
“PDFS / Cimetrix together may allow equipment suppliers to use PDFS big data analytics platform and AI to collect operational data from equipment and analyze equipment operation, performance and process control data. We believe that PDFS / Cimetrix will improve working with equipment suppliers. Process control, equipment uptime, and reduced MTBF. Acquisition moves Accentio closer to the de facto standard big data analytics platform for the semiconductor industry and provides the company with electronic manufacturing services, EMS, and Performance extends into manufacturing, ”said Richard.
Based on analyst estimates, the acquisition in CY21 could accelerate, yielding earnings of $ 0.02– $ 0.04.
TipRanks shows that the # 52-ranked analyst has a success rate of 72% and an average return of 28.2% per rating.
Cytokinetics, a biopharmaceutical company that develops muscle activations and muscle inhibitors as a potential treatment for people with debilitating diseases that compromise muscle performance, just a thumb from Joseph Pantginis of HC Wainwright Is obtained. In addition to maintaining a Buy rating on November 16, they set a $ 43 price target on the stock, with a 180% upside potential.
Pantginis tells clients that omecamtiv mecarbil, its selective cardiac myosin activation with a low ejection fraction (HFrEF) for possible treatment of heart failure, “continues to promise for large pre-specified populations.”
In October, CYTK and its partners, Amgen and Servier, stated that the therapy was found to be the primary overall efficacy endpoint of reducing CV death or HF incidence, but not the secondary endpoint of reduction in CV death. Said that, last week, Cytokinetics presented the results of GALACTIC-HF, a Phase 3 outcome study of OHKMT, in the AHA, demonstrating that the drug was potentially higher in a pre-designated group of patients with more severe HF. Shows greater treatment effect than the left ventricular ejection fraction (LVEF).
It should be noted that the “fate” of omecamtiv may depend on Amgen’s views on the drug, according to the data and the results of a market research analysis centered around the views of physicians and donors “. Pantginis. However, the analyst is optimistic Are made
“While a deeper analysis remains to be done and more details are needed to elucidate the actual opportunity for omecamtiv in HF, we believe these findings to be a definitive, important, applicability of its treatment to population treatment.” Aadhaar suggests a possible route for approval of omecamtiv, “explained Pantagini.
Pantaginis ranked # 169 out of 7,093 analysts tracked by TipRank.
For RBC analyst Shweta Khajuria, Yelp is one of her top stocks. In a sharp signal, the Five Star analyst raised the price target from $ 29 to $ 34 (7% upside potential), as well as repeating a Buy rating on 18 November.
Khajuria told customers that it considered Yelp “a vaccine stock for many quarters now”, and in this case the share price is the recent rally of Post Pfizer’s vaccine announcement.
Expanding on this, the analyst said, “There is a lot of uncertainty between now and the actual delivery of the vaccine, we believe that Yelp is well positioned to benefit from the recovery, given that we made improvements in Q3 Gone are the core principles. And based on our belief that snap-backs in restaurants and bars, beauty and fitness, health, and shopping categories will grow relatively quickly, as the economy improves. Product improvement and secular driven homes and In addition to improving local trends. Tailwinds. “
In the post-coronary virus environment, Khajuria believes Yelp may benefit from improving the economic economy, as the economy is open as ad spending is correlated to GDP growth. What’s more, product changes that have been a major focus for the company over the past year and, in the analyst’s opinion, should be half a good for Yelp.
Khajuria said, “The management hopes that Yelp can get the most out of improving its value proposition for advertisers, is supposed to take a greater share of advertisers’ budget and is genuine.”
When it talks about its two-market strategy, although Yelp’s local sales have fallen by 45%, the management hopes that according to Khajuria, its salesforce will also be retained as a post-coronavirus, Which is a positive.
Khajuria is currently tracking an 89% success rate and an average return of 80.3%.