There can be a wide swing in the price of a stock when analysts upgrades & downgrades a stock. Investing in such stocks can provide short-term gains, but investors can also lose money if analysts are wrong about the stock.
Three tiers are commonly used by analysts to rate companies:
When a stock is rated as a “Buy” that means analysts believe it will do better than the market or its peers. Analysts may also use terms such as overweight and outperform when describing this rating.
A stock is rated as a “Hold” if analysts expect it to perform similarly to the market. Stocks with a Hold rating are not recommended for sale or purchase. Equal Weight and Market Perform are other terms for this rating.
Whenever an analyst expects a stock to underperform the market, they label it as “Sell”. It is rare for analysts to give a sell rating to stocks because most of them give positive ratings. When rating a stock as “Sell”, an analyst can also use the words Underweight and Underperform.
Looking at the support for Ecolab Inc (NYSE: ECL), a number of firms have released research notes about the stock. Barclays stated their Equal Weight rating for the stock in a research note on December 02, 2022, with the firm’s price target at $170-$160. Deutsche Bank coverage for the Ecolab Inc. (ECL) stock in a research note released on November 02, 2022, offered a Hold rating with a price target of $135. Seaport Research Partners was of a view on October 13, 2022, that the stock is Buy, while Northcoast gave the stock a Buy rating on September 06, 2022. Northcoast on their part issued a Neutral rating on July 15, 2022.
The shares of UDR Inc. (NYSE: UDR) have been pegged with a rating of Overweight by Morgan Stanley in its latest research note that was published on December 02, 2022. The Real Estate company has also assigned a $47 price target. Morgan Stanley wasn’t the only research firm that published a report on UDR Inc., with other equities research analysts also giving their opinion on the stock. Jefferies advised investors in its research note published on October 19, 2022, to “Buy,” the UDR stock while also putting a $46 price target. The stock earned a Neutral rating from Mizuho when it published its report on September 19, 2022. That day Mizuho set a price target on the stock to $46. The stock was given a Market Perform rating by BMO Capital Markets in its report released on August 19, 2022. Jefferies was of the view that UDR is Buying in its latest report on July 22, 2022. Credit Suisse thinks that UDR is worth Outperform rating. This was contained in the firm’s report on June 23, 2022, in which the stock’s price target was also moved to 50.
Investment analysts at Canaccord Genuity published a research note on December 02, 2022, where it informed investors and clients that The Toronto-Dominion Bank (NYSE: TD) is now rated as Buy. Keefe Bruyette also rated TD as upgraded on September 02, 2022. Even though the stock has been trading at $68.37/share, analysts expect it to up by 0.32% to reach $68.59/share.