Analysts Upgraded at Least Nine Tech Stocks Last Week

Risk Disclaimer >>
Ad disclosure StockHax is dedicated to helping you make informed financial decisions. To do so, we partner with professionals to bring you up-to-date news and information. By clicking on certain links, sponsored posts, products and/or services, transferring leads to brokers, or advertisements, we may receive compensation. We make sure that our users do not experience any disadvantages resulting from interacting with our website. Please be aware that none of the information provided on our website should be seen as legally binding, tax advice, investment advice, financial advice, or any other type of professional advice. Our Content is solely for informational purposes. If you have any doubts, we recommend you to seek the advice of an independent financial advisor. Read More >>

This website and its content are not intended to provide professional or financial advice. The views expressed here are based solely on the writer’s opinion, research, and personal experience, and should not be taken as factual information. The author is not a financial advisor and lacks relevant certifications in that regard. We highly recommend consulting a qualified financial advisor before making any investment decisions, as the information presented on this site is general in nature and may not be tailored to individual needs or circumstances.

Wall Street’s stocks closed mixed on Friday, with the S&P 500 and Nasdaq Composite dipping slightly while the Dow Jones Industrial Average remained green as the holiday-shortened week ended.

The tech-heavy Nasdaq Composite lost 0.52% to reach 11,226.36 after video game company Activision Blizzard’s shares fell 4%. The index was also toppled by tech giant Apple Inc., whose stocks plunged 2%.

The drop in Apple shares came after production at a Chinese facility of Foxconn, the major iPhone maker, was delayed due to Beijing’s strict Covid-19 restrictions, causing device shipments to plunge.

However, even as China’s renewed Covid-19 restrictions have hit the industry, some analysts have upgraded their ratings for technology stocks.

NVIDIA Corporation, Advanced Micro Devices, Inc., and Applied Materials, Inc. were among the stocks recently updated by analysts.

Research firm Summit Insights updated NVIDIA Corporation, saying the stock offered a favorable risk reward. Additionally, Baird upgraded the ratings for Advanced Micro Devices, Inc. based on the confidence expectations for its new CPU line.

SAP SE, a leading German-based software company, known for creating enterprise resource planning (ERP) software, was upgraded by Barclays. Its ratings were improved from “Equal-Weight” to “Overweight” early last week.

Barclays analyst Raimo Lenschow predicts that shifting to the cloud or subscription-based models would benefit SAP SE and other European software stocks.

Also last week, investment bank and asset management firm Needham gave Altair Engineering Inc a “Buy” rating. According to analyst Charles Shi, the software firm will show resilience as it leans on its core simulation business in a recessionary macro environment.

Mr. Shi said that Altair Engineering Inc. could report a CARG of 10% with an EBITDA margin expansion of 20%. Furthermore, he estimated that the price per share would rise from $47 to $60.

Needham analysts also reviewed ratings for NVIDIA Corporation, Applied Materials, Inc., and Advanced Micro Devices, Inc.

Northland analyst Donovan Schafer updated Shoals Technologies Group, Inc, a company that provides electrical balancing of system solutions for electric vehicle charging, energy storage, and solar power. The rating was upgraded from “Market Perform” to “Outperform” last week.

Analysts upgraded Shoals Technologies Group, Inc. after its share prices rose to a 52-week high following the company’s reports of impressive financial performance during this year’s third quarter.

The leading provider of electrical balance of system (EBOS) solutions for solar energy reported earnings of 10 cents per share, a slightly adjusted increase from 7 cents per share in the same period last year.

In addition, Shoals Technologies Group’s quarterly earnings increased 52% year-over-year, reaching $90.8 million.

The results beat median estimates from analysts, who predicted the company would report earnings of 8 cents a share for just $83.07 million in revenue.

Although it is in its early stages of growth, the company has gained momentum from its strategic moves, as it has signed agreements with new clients, increased its presence in the foreign market, and designed new products.

Shoals Technologies Group has also seen its shares rise almost 30% in 2022 alone despite the fact that the year has been challenging for the stock market.

Sensata Technologies Holding plc was also upgraded from “Hold” to “Buy” by Jefferies on November 22. Firm analyst David Kelly reported that the company’s heavy spending in megatrend growth areas had been one reason behind the improvement.

Mr. Kelley expects Sensata Technologies Holding plc to accelerate its margin expansion. Also, it raised the company’s share price target to $54 per share from the current $43.

Also, despite the company’s mixed financial results for the third quarter, Sensata Technologies Holding plc reported earnings of 85 cents per share. It was 2.3% less year-over-year but made revenue rise from $951 million for the same period in 2021 to $1.018 billion in 2022.

Another research firm, Susquehanna, raised the rating for ASML Holding NV from “Neutral” to “Positive” last week. According to analyst Mehdi Hosseini, the Dutch semiconductor equipment maker has a reliable long-term financial strategy.

Mr. Hosseini believes that ASML Holding NV can achieve an EBITDA CAGR of 30% from this fiscal year to 2025 and 20% to 2030.

Also, just days earlier, the manufacturer projected strong demand for the foreseeable future, expecting its sales to double to $41 billion by 2025, and suggested that some acquisitions might be on the way to meet the growing demand for advanced chips.

Risk Disclaimer

StockHax strives to provide unbiased and reliable information on cryptocurrency, finance, trading, and stocks. However, we cannot provide financial advice and urge users to do their own research and due diligence.

Read More