Retail Earnings Fail to Rescue Broad Markets: Analysts Upgrade or Downgrade Nio, Salesforce, Target and More

Markets were crushed to start out Thursday, with the Nasdaq leading the charge lower, off nearly 1.5%. The S&P 500 and Dow Jones industrials were down 1.3% and 0.8%, respectively. All this comes despite a turnaround at some major retailers.

Target shares were crushed Wednesday following its much-less-than-stellar earnings report. This was in contrast to the U.S. Department of Commerce retail sales report that saw a 1% improvement month over month, suggesting a strengthening industry.

Since then, Macy’s shares jumped more than 7% after a fairly strong report. Kohl’s beat on earnings as well, but macro headwinds kept shares down about 3%. Walmart, Lowe’s and Home Depot all beat estimates as well. Bath & Body Works had the best showing, with shares up more than 26% to start the session. All this calls into question whether Target was an outlier and if the industry is due for recovery.

Here, 24/7 Wall St. is reviewing additional analyst calls seen on Thursday. We have included the latest call on each stock, as well as a recent trading history and the consensus targets among analysts. Note that analyst calls seen earlier in the day included Home Depot, Micron Technology, Qualcomm, Seagate Technology, Walmart and more.

Advance Auto Parts Inc. (NYSE: AAP): Truist downgraded the stock to Hold from Buy and cut its $228 price target to $147. Citigroup’s downgrade to Neutral from Buy included a price target cut to $161 from $216. The shares traded near $150 on Thursday. The 52-week range is $149.70 to $244.55.

Agios Pharmaceuticals Inc. (NASDAQ: AGIO): Goldman Sachs changed its Sell rating to Neutral and raised its $17 price target to $32. The 52-week trading range is $16.75 to $40.06. Shares changed hands near $27 apiece on Thursday.

AppLovin Corp. (NASDAQ: APP): J.P. Morgan’s downgrade was to Neutral from Overweight, and it slashed its $75 price target to $18. The shares traded near $14 on Thursday. The 52-week range is $13.20 to $102.80.

Nio Inc. (NYSE: NIO): UBS’s downgrade to Neutral from Buy included a price target cut to $13 from $32. The stock traded near $10 on Thursday, in a 52-week range of $8.38 to $43.12.

Norfolk Southern Corp. (NYSE: NSC): Wolfe Research cut its Outperform rating to Peer Perform. The stock has traded as high as $299.20 a share in the past year but was last seen near $245. That is down nearly 16% year to date.

Norwegian Cruise Line Holdings Ltd. (NYSE: NCLH): The Outperform rating at Credit Suisse is now Underperform, and the price target fell to $14 from $20. Shares traded near $16 on Thursday, in a 52-week range of $10.31 to $24.24.

Quest Diagnostics Inc. (NYSE: DGX): When Citigroup downgraded the shares to Sell from Neutral, it also reduced its $145 price target to $125. The stock traded near $143 on Thursday, in a 52-week range of $120.40 to $174.16.

Salesforce Inc. (NYSE: CRM): Monness Crespi & Hardt downgraded the stock to Neutral from Buy. The stock was last seen trading near $150, in a 52-week range of $136.04 to $306.99.

Sprouts Farmers Market Inc. (NASDAQ: SFM): The downgrade at Northcoast was to Neutral from Buy. Shares have traded as high as $35.34 in the past year but were changing hands near $33 on Thursday.

Target Corp. (NYSE: TGT): Piper Sandler’s upgrade was to Overweight from Neutral, and the analyst raised the $190 price target to $200. BMO Capital Markets cut its Outperform rating to Market Perform and lowered the $190 price target to $165. Deutsche Bank downgraded the shares to Hold from Buy and cut its $183 price target to $144. The stock has traded as high as $256 a share in the past year but was last seen trading around $154. That is down over 32% year to date.

Workday Inc. (NASDAQ: WDAY): The Buy rating at Monness Crespi & Hardt was lowered to Neutral. The 52-week trading range is $128.72 to $307.78. Shares changed hands near $150 apiece on Thursday.

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