Q2 STOCKS TO BUY

Tilray Stock Price Target Cut by $90

AMZN also received a notable price-target adjustment

Sep 3, 2019 at 10:43 AM
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Looking through this morning's analyst updates on Wall Street, one of the most jarring is a huge bear note on marijuana stock Tilray Inc (NASDAQ:TLRY). Cowen just came with a monster price-target cut to $60 from $150, and even this is a major premium to the equity's current perch. At last check, it was quoted at $25.93, up 1% on the day.

TLRY has certainly earned the bearish attention, though. The shares have fallen steadily this year, and are down almost 44% since their mid-August high around $46. Plus, the stock hit an annual low of $25.15 out of the gate today. Pessimism is already elevated on the pot producer, with most Tilray analysts handing out "hold" or worse recommendations, and short interest running high.

As for options activity, peak open interest is at the September 35 call, followed by the September 33 call. Third on the list is the far-out-of-the-money September 80 call. On the put side, the January 2020 20 strike is the most populated.

Another big price-target adjustment came on Amazon.com, Inc. (NASDAQ:AMZN). The FAANG stock saw its price target upped to $2,600 from $2,250 at RBC. In response, the shares are up 0.9% at $1,792.42, overcoming early headwinds on the tech front, as they continue to test the 200-day moving average.

Of course, most analysts love AMZN, with 27 of 28 recommending to buy the e-commerce concern. However, there's been a notable uptick in bearish activity in the options pits. That is, the 10-day put/call volume ratio at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) is 0.93, and ranks in the 96th annual percentile. So while long calls have remained more popular than long puts, the rate of put buying relative to call buying has been quicker than normal in the past two weeks.

 

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