The stock market had a solid week, and the notion of “sell
in May and go away” seems to have not prevailed so far in 2016. Investors keep
proving that they will buy the dips, even after the crazy selling in the first
six weeks of 2016. The Dow was up 400 points from its lows of the week at one
point on Friday, and the index is now positive for the year.
24/7 Wall St. reviews dozens of analyst research reports
each morning of the week. This ends up being hundreds of calls each week. Our
goal is to find new investing and trading ideas for our readers. Some of these
analyst reports cover stocks to buy, and other reports feature stocks to sell
or to avoid.
Of those reports with Buy ratings, many of these
analyst calls end up having upside targets or having opinions that are
just too big to ignore. The typical Dow or S&P 500 Index upgrade or new Buy
rating typically comes with upside projections of 10% to 15%, so you have
to consider that when an analyst is telling you to look for upside considerably
higher. Some of these analyst calls stood out because they were just different
from the consensus views.
Before chasing any analyst call, investors must understand
that this should be only a starting point rather than an end decision. After
all, analysts often have no more information than the rest of us. They also can
end up being seriously wrong in their assumptions. Other times predictions fail
just because things change or they just don’t work out.
These were seven top analyst upgrades, which mostly
came from blue-chip companies or industry leaders, for the week
ending May 27.
Source: 24/7 Wall St.