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Analyst Downgrades: Delek US Holdings, Inc., Express Scripts Holding Company, and Illumina, Inc.

Analysts downwardly revised their ratings and price targets on Delek US Holdings, Inc. (DK), Express Scripts Holding Company (ESRX), and Illumina, Inc. (ILMN)

Oct 11, 2016 at 9:39 AM
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Analysts are weighing in on energy stock Delek US Holdings, Inc. (NYSE:DK), drug distributor Express Scripts Holding Company (NASDAQ:ESRX), and genetic analysis expert Illumina, Inc. (NASDAQ:ILMN). Here's a quick roundup of today's bearish brokerage notes on DK, ESRX, and ILMN.

  • DK is down 0.2% at $17.81, after Credit Suisse offered up a mixed note -- downgrading its rating to "neutral" from "outperform," but raising its price target to $19.50 from $17. On the charts, the stock has been trading in a range between $16.50 and $18.50 for several weeks -- since receiving an M&A-induced boost -- but appears to have found a foothold at its rising 40-day moving average. Overall, Delek US Holdings, Inc.'s lackluster price action has failed to inspire confidence on Wall Street. Nine of 11 analysts rate the stock a "hold" or worse, while almost 11% of its float is sold short.
  • Evercore ISI cut its price target on ESRX to $74 from $79.50. Out of the gate, the stock is down 0.6% at $70.13, bringing its year-to-date loss to nearly 20%. Express Scripts Holding Comany options traders, nonetheless, are confident. According to data at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock has racked up a 50-day call/put volume ratio of 1.29 -- just 15 percentage points from a 52-week peak.
  • Fresh off an ugly third-quarter revenue forecast, ILMN has plunged 27% to $134.90 and landed on the short-sale restricted list. Making matters worse, Janney Capital downgraded its rating to "sell," Citigroup lowered its opinion to "neutral," and at least five other brokerage firms cut their price targets on the stock. Even heading into today's session, expectations for Illumina, Inc. were low on the Street. Specifically, two-thirds of covering analysts had dished out a "hold" or a "strong sell" rating on the shares.
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