Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Stock Downgrades: What's the Mata With Manchester United?

By

Wall Street ratings agencies set the tone for today's stock market.

PrintPRINT
Lordy Lloyd, bite your tongue. As soon as Goldman's (NYSE:GS) guru says this could be "China's century," awful economic data out of Beijing sends US stock markets slumping. He thus followed a time-honored and predictable pattern. In the '80s, of course, Japan was about to eat America's lunch; the country just announced a record 18th straight monthly trade deficit. And a century ago, Argentina was all set to take over the world, according to several market sages. So much for that. Mind you, trying to predict the distant future is appealing when the immediate past is so poor. The Dow (INDEXDJX:.DJI) and S&P 500 Index (INDEXSP:.INX) each endured their worst week in years amid a global wall of worry. In technology, Yahoo (NASDAQ:YHOO), of all people, took Google (NASDAQ:GOOG) to task over the latter's email outage. Those in glass houses really shouldn't throw stones. Or snowblowers, in Apple's (NASDAQ:AAPL) case. And Mohamed El-Erian decided to quit Pimco so as to write a book. Hey, if an elevator can do it...

In terms of economic events that may move US stock markets today, December 2013 new home sales are expected to contract from the previous month's pace at 10:00 a.m. Eastern. Regarding specific stocks, American Electric Power (NYSE:AEP), Apple (NASDAQ:AAPL), Caterpillar (NYSE:CAT), Royal Caribbean Cruises (NYSE:RCL), Seagate (NASDAQ:STX), and US Steel (NYSE:X) are all due to release results.

ACCO Brands (NYSE:ACCO): SunTrust takes the office supply powerhouse to Neutral from Buy.

ANN INC. (NYSE:ANN): The retailer formerly known as AnnTaylor gets reduced to Neutral from Buy at Janney, whose concerns include weak consumer demand allied to negative foot traffic.

BioCryst Pharmaceuticals (NASDAQ:BCRX): Shares are moved to Market Perform from Outperform with Wells Fargo.

Cisco Systems (NASDAQ:CSCO): Cisco Systems, an important Dow stock, is now Underweight from Neutral at JPMorgan. Valuation issues are among the headwinds cited.

ConocoPhillips (NYSE:COP): The oil giant gets downgraded to Neutral from Buy at Guggenheim.

CSX Corp. (NYSE:CSX): Atlantic Equities cuts the company to Neutral from Overweight.

easyJet (OTCMKTS:ESYJY): The budget British air carrier is tumbling in London today after getting taken to Underweight from Neutral at HSBC Securities.

First Niagara Financial (NASDAQ:FNFG): Shares get downgraded to Hold from Buy at Jefferies. Its price objective, previously $12, is now $9.

Kansas City Southern (NYSE:KSU): The stock, which fell 15.17% on Friday, is reduced to Outperform from Strong Buy at Raymond James.

Lululemon Athletica (NASDAQ:LULU): Lululemon Athletica stock is now Neutral from Buy at Janney, which worries about the potential for negative comparative-store sales comparisons in upcoming quarters.

Manchester United (NYSE:MANU): Manchester United just signed Spanish playmaker Juan Mata for a club-record $61.2 million, but it is precisely such spiraling player costs that cause Deutsche Bank to downgrade this storied British soccer side to Hold from Buy. The 20-time English champions are currently languishing in seventh place in their league. Its stock price target is also taken lower, to $16 from $21.

Merck (OTCMKTS:MKGAY): Société Générale slashes to the stock to Sell from Hold. (Note that this Merck, a German company, should not be confused with America's Merck (NYSE:MRK), a Dow member that actually scores a separate broker boost today.)

MercadoLibre (NASDAQ:MELI): The Buenos Aires-based online auctioneer is often called "Latin America's eBay Inc. (NASDAQ:EBAY)" but you definitely don't want to have anything to do with Argentina at the moment. Accordingly, its stock is lowered to Underperform from Neutral by Bank of America-Merrill Lynch.

Mosaic (NYSE:MOS): Fertilizer firm Mosaic get moved to Equal Weight from Overweight by Barclays.

Nintendo (OTCMKTS:NTDOY): Nintendo stock is slashed to Sell from Neutral at Goldman Sachs. (You can read more on the Japanese company here.)

Pearson (NYSE:PSO): The Financial Times publisher, which just endured an awful week, is now Neutral from Overweight at JPMorgan.

Toll Brothers (NYSE:TOL): TOL is taken to Equal Weight from Overweight by Barclays.

VF Corp. (NYSE:VFC): The North Face owner is now Market Perform from Outperform at Cowen.

Xerox (NYSE:XRX): BMO Capital cuts the photocopy king to Perform from Outperform.

See also:

Stock Upgrades: Milk Honeywell for All It's Worth

New Stock Coverage: AMC Entertainment Starts With Hollywood Ending
No positions in stocks mentioned.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
PrintPRINT
 
Featured Videos

WHAT'S POPULAR IN THE VILLE