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Analysts: Buy the Pullback on This Chip Stock

Analysts think NVDA stock is a buying opportunity after last week's earnings drop

Managing Editor
Aug 14, 2017 at 10:27 AM
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Analysts are weighing in on electric car manufacturer Tesla Inc (NASDAQ:TSLA), chip concern NVIDIA Corporation (NASDAQ:NVDA), and biotech stock Soligenix, Inc. (NASDAQ:SNGX). Here's a quick roundup of today's bullish brokerage notes on shares of TSLA, NVDA, and SNGX.

Price-Target Hikes Help Tesla Stock Charge Higher

Tesla stock is up 2.6% to trade at $367.03, after Baird and Morgan Stanley raised their price targets on the stock, to $411 -- in uncharted territory -- and $317, respectively. The analysts waxed optimistic on the potential of the Model 3, with Morgan Stanley upping its volume and production estimates. Meanwhile, Tesla last week raised a bigger-than-expected $1.8 billion in its first junk-bond offering

TSLA stock has more than doubled in the past nine months, with recent pullbacks contained by its 100-day moving average. The shares are now back within striking distance of their June 23 all-time high of $386.99. Options traders have been call-skewed on TSLA for some time now. On the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock's 50-day call/put volume ratio of 1.16 ranks in the 79th percentile of its annual range.

Canaccord Genuity: Buy the NVDA Pullback

NVIDIA stock is up 3.5% to trade at $161.45, after Canaccord Genuity raised its price target to $190 from $180. Specifically, the analysts  said traders should buy the earnings pullback, which could "prove the entry point many investors have been looking for." Despite the short-term struggles, NVDA stock has tacked on over 155% year-over-year, and touched a new record high of $174.56 last Tuesday. 

However, there some analysts who remain skeptical. Of the 27 brokerages covering NVDA, 11 rate it a "hold" or worse. This means there is plenty of room for upgrades that could push NVDA stock to new heights, should the equity resume its quest for all-time highs. 

Increased Funding, Price-Target Hikes Boost SNGX

Soligenix stock is up 4.7% at $2.15, after the company said it received additional NIAID  funding for the development of its Ricin vaccine. In addition, SNGX stock received a price-target hike to $5 from $4 at Maxim Group. It's been a sluggish year for SNGX, which has lost 67% year-over-year, with rally attempts stalling at the equity's 200-day moving average. Analysts see something they like, however, as all three brokerages covering Soligenix shares rate them a "strong buy."
 
 
 

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