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Analyst Upgrades: Fitbit Inc, Myriad Genetics, Inc., and Nordstrom, Inc.

Analysts upwardly revised their ratings on Fitbit Inc (NYSE:FIT), Myriad Genetics, Inc. (NASDAQ:MYGN), and Nordstrom, Inc. (NYSE:JWN)

Sep 15, 2015 at 9:00 AM
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Analysts are weighing in on wearable fitness device maker Fitbit Inc (NYSE:FIT), molecular diagnostics specialist Myriad Genetics, Inc. (NASDAQ:MYGN), and department store chain Nordstrom, Inc. (NYSE:JWN). Here's a quick roundup of today's bullish brokerage notes on FIT, MYGN, and JWN.

  • FIT is ready to rally 3% out of the gate, thanks to another glowing recommendation from the brokerage bunch. Specifically, Pacific Crest initiated coverage on the stock with an "overweight" rating and a $47 price target -- representing expected upside of nearly 47% to last night's close at $32. Longer term, the shares have struggled since hitting a post-IPO high of $51.90 in early August -- down 38% -- and are currently staring up at their 10-day moving average. Nevertheless, option traders at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) have shown a preference for long calls over puts in recent weeks, per Fitbit Inc's top-heavy 10-day call/put volume ratio of 1.66.

  • MYGN received price-target hikes from Goldman Sachs (to $27), Jefferies (to $38), and Mizuho Securities (to $38), and it appears ready to capitalize on the bullish brokerage notes. At last check, the stock was up 1% in electronic trading, after settling last night at $39.27. Overall, the equity has performed well during the recent market turmoil -- thanks in no small part to upbeat analyst attention -- tacking on 30% since bottoming at an annual low of $30.30 on Aug. 7. Should the shares resume their uptrend, there's plenty of fuel for a short-covering rally to ensue. In fact, short interest accounts for almost half of Myriad Genetics, Inc.'s available float, and would take approximately 32 sessions to cover, at average daily trading volumes.

  • Stifel upgraded JWN to "buy" from "hold," sending the shares slightly higher in pre-market action. The stock could certainly use a boost, considering it's staring at a nearly 8% year-to-date deficit, and has spent the past several weeks churning beneath its 320-day moving average. In Nordstrom, Inc.'s options pits, put players have been active, as evidenced by the equity's 50-day ISE/CBOE/PHLX put/call volume ratio of 1.29 -- in the 72nd annual percentile. Echoing this is JWN's Schaeffer's put/call open interest ratio (SOIR) of 1.31, which ranks higher than 82% of all similar readings taken in the past year.
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