Hewlett-Packard (NYSE:HPQ): Following meetings with HP executives, Wells Fargo believes that investors’ fears over PC data points are overdone, noting that PCs account for less than 10 percent of HP’s profits. Wells expects the company’s operating earnings to rise in 2014 and keeps an Outperform rating on the shares.
Theravance (NASDAQ:THRX): Morgan Stanley has resumed coverage on Theravance with an Underweight rating and $13 price target, as the firm believes Relovair is insufficiently differentiated in a market that is crowded, has flat volumes and price competition, and is becoming increasingly generic. Additionally, the analyst believes Anoro has a more narrow addressable market and that pipeline drugs will not drive significant growth.
DreamWorks (NASDAQ:DWA): Piper Jaffray sees the potential for a $30 million to $50 million write-down from DreamWorks after Turbo failed to generate a decent return at the box office over the weekend with just $22 million in sales. The firm keeps a Neutral rating on the stock.
Actavis (NYSE:ACT): JPMorgan recommends adding to Actavis positions following the modest pullback over the past month. It believes that a generic version of Asacol being approved in 2013 is highly unlikely and sees upside to its 2014 and 2015 estimates. The firm has a $150 price target for shares and keeps an Overweight rating.