Before the market opened, several companies were making headlines due to stock upgrades and downgrades. Shockwave Medical saw a 1.6% increase in their stock price after Johnson & Johnson announced plans to acquire the company for $12.5 billion. This acquisition would bolster J & J’s range of cardiovascular disease treatment devices. Krispy Kreme experienced a 5% surge in premarket trading following an upgrade by Piper Sandler, who described the company as on the brink of significant growth after forming a nationwide partnership with McDonald’s. Cinemark also saw a nearly 5% increase in their stock price after receiving a double upgrade from Wells Fargo, with analyst Omar Mejias noting rising demand and positive industry trends as catalysts. Conversely, Altice USA’s stock dropped nearly 6% after being downgraded by Wells Fargo on concerns about the company’s M & A prospects.
Ollie’s and Public Storage both received positive upgrades, with Ollie’s gaining over 2% after Loop Capital upgraded the bargain retailer to buy from hold, citing its attractive valuation and growth potential. Public Storage moved up nearly 1% after Wells Fargo upgraded their rating to overweight, highlighting the company’s industry-leading growth metrics and strong position in navigating housing market uncertainties. Scotts Miracle-Gro, on the other hand, slipped 0.8% following a downgrade by Truist to hold from buy, with the firm suggesting that much of the near-term positive news is already priced into the stock. Fox Corporation Class A saw a 1% increase after an upgrade to buy from neutral by Seaport Research, who pointed to strong ad spending, the growth of Fox’s Tubi service, and the company’s solid ratings momentum as reasons for the upgrade.
Western Digital and Snowflake both experienced stock increases after upgrades by Rosenblatt Securities. Western Digital rose nearly 3.5% after being upgraded to buy from neutral, with the firm citing rising prices for a key type of memory chip that would benefit the company. Snowflake gained 1.4% following an upgrade to buy from neutral, with Rosenblatt Securities noting healthy customer interest in the cloud computing platform. Agilent Technologies also saw a more than 1% increase after receiving an upgrade to buy from hold at Stifel, who believes that strong instrument demand and appealing valuation will attract investors to the stock.
In summary, a range of companies saw movements in their stock prices before the market opened due to upgrades and downgrades from various investment firms. While some companies like Shockwave Medical and Krispy Kreme benefited from positive news and partnerships, others like Altice USA faced concerns about their prospects. Analysts highlighted reasons for their upgrades, such as industry trends, valuation, and growth potential, which impacted the stock prices of companies like Ollie’s and Public Storage. Overall, the upgrades and downgrades reflected the current market sentiment and outlook for these companies in various industries.
