Barclays analyst Adrienne Yih downgraded Bath & Body Works (BBWI) to Underweight, citing concerns about rising inventory levels, promotional activity, and the deteriorating US consumer environment. Yih anticipates continued pressure on sales and margins in 2025, with potential declines in both. The analyst also highlighted the need for Bath & Body Works to invest in premium product offerings to shift away from its heavily promotional strategy and stay competitive.
A prominent cryptocurrency analyst, Ali Martinez, has expressed bullish sentiment on Ethereum (ETH/USD), citing an attractive risk-to-reward ratio despite bearish technical indicators. While Martinez sees potential in ETH, other analysts remain skeptical, highlighting concerns like declining staking yields and the growing influence of Solana (SOL/USD).
Starbucks shares are trading higher after a mixed fourth-quarter earnings report, with analysts offering mixed opinions on the company’s new strategy under CEO Brian Niccol. While some are bullish on the long-term prospects, others remain cautious due to near-term challenges and limited visibility.
B of A Securities analyst Tal Liani downgraded Check Point Software Technologies (CHKP) from Buy to Neutral, citing concerns about the company’s modest growth trajectory despite new product launches and market efforts. Liani expects a recovery in billings next quarter but notes that achieving double-digit growth is likely to be delayed until 2025.
Shares of Similarweb Ltd (SMWB) have surged nearly 77% year-to-date, driven by accelerating revenue growth and improving profitability. Analyst Scott Berg of Needham initiated coverage with a Buy rating and a $11 price target, citing the company’s strong market position and potential for sustained growth.
A prominent analyst, Mark Gurman, has expressed doubts about the upcoming launch of Apple Intelligence, Apple’s much-anticipated artificial intelligence system. He predicts that consumers may be disappointed or confused when the new AI feature is unveiled next week, saying there could be a sense of underwhelming response from users. Apple Intelligence is a collection of AI-driven features designed to improve user experience across Apple devices, combining generative AI technology with personal data to provide customized assistance. While initially planned for a beta release last month, the feature is now expected to launch before November, with developers and beta testers already granted access to preview versions.
Meta Platforms Inc (META) shares are trading higher on Thursday after multiple analysts raised price targets ahead of the company’s upcoming earnings report. The analysts cite strong ad spending and the potential for growth in messaging and AI as reasons for their bullish outlook.
Stephens & Co. analyst Jim Salera has initiated coverage on First Watch Restaurant Group (FWRG) with an Overweight rating and a $20 price target. Salera highlights the company’s strong position in the daytime dining market with its focus on fresh ingredients and chef-driven menu. He forecasts robust revenue growth fueled by unit expansion and positive same-store sales performance. While a challenging macro environment could pose near-term risks, Salera expects First Watch to maintain its growth trajectory.
Benchmark analyst Matthew Harrigan maintains a Sell rating on Netflix, citing concerns over member growth and potential price hikes. He forecasts 431 million global subscribers by 2033 but believes Netflix may struggle to reach that target due to competition and market saturation. Harrigan also highlights the importance of advertising revenue and Netflix’s new initiatives, such as AVOD and gaming, in driving future growth.
Goldman Sachs Group Inc. (GS) exceeded third-quarter earnings estimates, driven by strong client demand and a growing deal backlog. J.P. Morgan analyst Kian Abouhossein believes the results signal strength in core franchises and anticipates outperformance for GS shares. The analyst also expects modest EPS upgrades for 2024.
