All articles tagged with #bofa securities
Bank of America’s latest data rank the 20 stocks hedge funds are most shorted; Moderna (MRNA) leads with about 18.3% of its float short, followed by names like SMCI, CHTR, APA, HPQ, BBY, WDC and MGM, illustrating broad bets against a wide mix of equities as the S&P 500 sits roughly 3% lower year-to-date.
BofA Securities advises investors to consider shorting bonds of hyperscalers like Amazon and Alphabet due to concerns over their cash flow, but recommends caution against shorting the broader AI market.
Nike stock rose after receiving an upgrade from BofA Securities, with the upcoming Paris Olympics cited as a catalyst. The company's estimates are seen as achievable, and its stock multiple had compressed during a recent pullback. Nike recently announced plans to reduce its workforce as part of a cost-cutting effort. The stock is trading around its lows from September, and other footwear stocks were mixed on Thursday.
Super Micro Computer's stock, SMCI, surged over 6% after BofA Securities initiated coverage with a buy rating and a $1,040 price target. The company's sales have soared due to increased demand for servers for artificial intelligence applications, with over 50% of its revenues tied to accelerators like GPUs. Analysts believe that the market for AI servers is larger than currently factored in Street models, and Supermicro is well-positioned to capture market share in this segment.
BofA Securities analyst Wamsi Mohan upgraded Apple's stock to buy from neutral, predicting a potential 25% surge with a price objective of $225, citing optimism about the iPhone business and a stronger multi-year iPhone upgrade cycle driven by generative artificial-intelligence features. Despite lagging behind the S&P 500, Mohan believes the stock's relative multiple to the index is poised to increase, and anticipates institutional investors to increase positions. This bullish call contrasts with recent cautious sentiment from other analysts.
BofA Securities analyst Vivek Arya has ended his negative call on Intel's stock, upgrading it to neutral from underperform and raising the price objective to $50. While concerns remain about limited upside in the PC market and Intel losing server market share to AMD and ARM Holdings, Arya is more encouraged about other areas of the business, such as the Mobileye autonomous-driving unit and its foundry plans. He believes Intel is undervalued on a sum-of-the-parts basis and anticipates a potential revaluation as the company separates its design and manufacturing financials. Arya also upgraded AMD's stock to buy, citing its potential to gain share in the accelerator market and make progress in server CPUs against Intel.
BofA Securities has identified six bullish stocks to consider by the end of the year. These stocks include Armstrong World (AWI), Chipotle (CMG), Gilead (GILD), Linde PLC (LIN), ServiceNow (NOW), and Walmart (WMT). Each stock has its own potential breakout patterns and upside targets, with factors such as technical indicators and moving averages taken into account.
BofA Securities analyst Curtis Nagle has downgraded Peloton shares to underperform, citing concerns about potential subscriber churn. Peloton's stock has already dropped 97% from its pandemic-era high, but Nagle believes there is further downside risk. The current stock price does not adequately reflect the possibility of significant customer attrition.