Stock upgrades and downgrades are a controversial part of Wall Street. Despite regulations, many banks and firms still have a positive bias toward current clients and companies desired as future clients. In addition, Wall Street analysts are straight-up biased to the buy side. The percentage of sell recommendations is normally below 15 percent!
Regardless, upgrades and downgrades move stocks in the short-term. They fall into our CHEAT SHEET framework category ‘C = Catalyst for a Stock?s Movement’. Here are catalysts you must know today:
BP (NYSE:BP): Investec downgraded its rating on this company from Buy to Hold.
Abaxis (NASDAQ:ABAX): Stifel Nicolaus downgraded its rating on this company from Buy to Hold.
Dominion Resources (NYSE:D): Davenport downgraded its rating on this company from Buy to Neutral and changed its price target to $50.00.
Investing Insights: Will Freeport-McMoRan Tank in 2013?