Latest news with #JessicaReifEhrlich
CNBC
2 days ago
- Business
- CNBC
Bank of America says buy these five stocks that are set to rally
Bank of America thinks there's a slate of stocks worth snapping up and still have room to run. The firm said buy-rated companies like Nvidia have plenty of upside heading into summer. Other names include Philip Morris, Boot Barn, Amazon and Netflix . Netflix The streaming giant is firing on all cylinders and well positioned for growth, according to the firm. Analyst Jessica Reif Ehrlich recently raised her price target on the stock to $1,490 per share from $1,175, reflecting on her bullish thesis. "Year-to-date, Netflix has been a top performer in our coverage driven by: sustained earnings momentum, positive subscriber trends and a defensive rotation related to tariffs," she wrote. There's more to come as the company ramps up its advertising technology ,which should help the bottom line, the analyst said. "We continue to view Netflix as well positioned given the company's unmatched scale in streaming, further runway for subscriber growth, significant opportunities in advertising and sports/live and continued earnings and [free cash flow] growth," Reif Ehrlich added. The stock is up 39% this year. Amazon Analyst Justin Post recently lifted his price target on the e-commerce giant to $248 per share from $230. The firm said that robotics are poised to play a key role in how Amazon operates and this should increase the company's already "competitive moats." Post said the use of drones along with robotics will help margins, as well further reduce delivery times. "Going forward, we expect Amazon to leverage robots to: 1) reduce labor dependency; 2) increase order accuracy; and 3) improve warehouse efficiency, driving material cost savings," he added. Meanwhile shares are up more than 15% over the past 12 months, and they have room for further growth, Post said. "We think Amazon is well positioned to capitalize on the global growth of eCommerce and other secular trends such as cloud computing, online advertising and connected devices," he added. Boot Barn The Western-themed footwear company is firing on all cylinders, according to Bank of America. Analyst Christopher Nardone recently raised his price target on the stock to $192 per share from $173 citing a slew of positive catalysts ahead. "We are encouraged that the acceleration in comp trends has been broad-based across major merchandise categories and geographies," he wrote. The firm said the company is a multi-year growth story with plenty more room to run. In addition, the pricing environment remains very friendly and could lead to share gains, Nardone added. "With larger scale comes better pricing, better selection, more exclusive brands, and better customer service," he said. The stock is up 8% this year. Netflix "Year-to-date, Netflix has been a top performer in our coverage driven by: sustained earnings momentum, positive subscriber trends and a defensive rotation related to tariffs. … We continue to view Netflix as well positioned given the company's unmatched scale in streaming, further runway for subscriber growth, significant opportunities in advertising and sports/live and continued earnings and FCF growth." Amazon "Going forward, we expect Amazon to leverage robots to: 1) reduce labor dependency; 2) increase order accuracy; and 3) improve warehouse efficiency, driving material cost savings. … Robotics could increase AMZN's competitive moats. … We think Amazon is well positioned to capitalize on the global growth of eCommerce and other secular trends such as cloud computing, online advertising and connected devices." Nvidia "AI demand/visibility remain strong, maintain Buy, top pick. … We maintain Buy, a top sector pick with a $180 PO as we believe NVDA remains best positioned to benefit from the ongoing AI tide, supported by a multi-year lead in performance (AI scaling), pipeline, incumbency, scale, and developer support." Boot Barn "We are encouraged that the acceleration in comp trends has been broad-based across major merchandise categories and geographies. This gives us confidence BOOT isn't overearning in a specific geography or category. … With larger scale comes better pricing, better selection, more exclusive brands, and better customer service." Philip Morris "PM has been a top performer in the US market this year, led by execution, improving profitability in smoke-free, ZYN/IQOS volumes and continued contribution from combustibles to support SF [smoke free] growth. Its lack of exposure to China, tariff swings and its defensive nature is also attractive. As we see PM as well positioned to navigate external volatility, we boost our PO by $18 to $200."
CNBC
17-05-2025
- Business
- CNBC
Here are five 'high quality' stocks with major upside, according to Bank of America
There's a slew of stocks that are firing on all cylinders, according to Bank of America. The firm said buy-rated stocks like Disney, Palantir Technologies , Cadence Design Systems, KLA Corp and Planet Fitness have plenty more room to run. CNBC Pro combed through Bank of America research to find names with upside. Disney Shares of the entertainment giant have room for upside following the company's recent earnings report, according to analyst Jessica Reif Ehrlich. "Resilient in the face of choppy macro trends," she wrote in a note to clients. The firm sees no shortage of positive catalysts in the months ahead including a robust slate of upcoming films, growth in direct-to-consumer and more investment in the parks business. The entertainment giant is also well positioned overseas as Disney announced a new park in the Middle East earlier this month. "International attendance remains strong, although per cap spending is weaker due to a challenged Chinese consumer," the analyst noted The stock is up almost 25% this month, and Reif Ehrlich said clients should buy shares now. Palantir The defense tech company is also going full throttle, according to Bank of America. Analyst Mariana Perez Mora and team raised their price target on the stock earlier this week to $150 per share from $125. The firm said Palantir continues to have a differentiated offering for investors. "We see PLTR as the market definer for organizations leveraging [artificial intelligence] to drive accelerated tangible results," she wrote. However, it's the company's growth potential that has the firm staying bullish. "The speed and scale at which PLTR can deploy products and convert customers is growing," Mora added. Meanwhile, shares are up 71% this year with plenty more room to run. "A blue-ribbon recipe for growth," she said. Planet Fitness Analyst Alexander Perry is standing by shares of the fitness giant following the company's recent earnings report. Planet Fitness is well positioned to benefit from a "generational shift," the firm said. That's because the Gen Z and millennial cohorts are prioritizing fitness and leisure activities, Perry wrote. "PLNT's strategy has aligned with the fastest growing fitness trends, as it was quick to identify the prioritization of strength by younger demographics and began tailoring its marketing and equipment approach accordingly," he said. Perry also said the company has a unique business model to go along with fast improving unit growth. The company also has relatively little tariff exposure, he added. Shares of the company are up 51% over the last 12 months. Cadence Design Systems "High quality compounder, resilient complexity leverage, low tariff risk. … We rate CDNS Buy. We like CDNS leading position in an EDA [electronic design automation] industry that is levered to the same secular trends as semis but with much more muted cyclicality. We think CDNS has defensiveness/scarcity value, and is a unique beneficiary of rising chip complexity." KLA Corporation "Best-in-class margins, high-quality compounder. … We believe KLAC's importance as a key enabler of new manufacturing technologies is underappreciated as it provides the equipment needed to inspect/monitor chips for defects. The necessity for its systems has made KLAC's business less cyclical and more profitable that its peers, resulting in more stable FCF and shareholder returns." Disney "Resilient in the face of choppy macro trends. … Strong trends in Experiences and continuing to invest. … Intl attendance remains strong, although per cap spending is weaker due to a challenged Chinese consumer. … Near term catalysts include: 1) profitability inflection in DTC, 2) reacceleration in the Parks business and 3) strong film slate which drives other businesses..." Palantir Technologies "We see PLTR as the market definer for organizations leveraging AI to drive accelerated tangible results. … The speed and scale at which PLTR can deploy products and convert customers is growing. … A blue-ribbon recipe for growth. … We see Palantir as a beneficiary of rapidly growing demand for Artificial Intelligence (AI)-platforms in both commercial and government end-markets." Planet Fitness "PLNT to benefit from generational shift to healthy habits. … PLNT's strategy has aligned with the fastest growing fitness trends, as it was quick to identify the prioritization of strength by younger demographics and began tailoring its marketing and equipment approach accordingly. … Better franchisee economics should accelerate unit growth."
Business Insider
12-05-2025
- Business
- Business Insider
Wells Fargo Remains a Sell on Altice Usa (ATUS)
In a report released on May 9, Steven Cahall from Wells Fargo maintained a Sell rating on Altice Usa (ATUS – Research Report), with a price target of $1.00. The company's shares closed last Friday at $2.62. Protect Your Portfolio Against Market Uncertainty Cahall covers the Communication Services sector, focusing on stocks such as Paramount Global Class B, Roku, and E. W. Scripps Company Class A. According to TipRanks, Cahall has an average return of 6.1% and a 52.35% success rate on recommended stocks. In addition to Wells Fargo, Altice Usa also received a Sell from Bank of America Securities's Jessica Reif Ehrlich in a report issued on May 9. However, on the same day, Morgan Stanley maintained a Hold rating on Altice Usa (NYSE: ATUS).
New York Post
08-05-2025
- Business
- New York Post
Warner Bros. Discovery shares climb as CNN parent weighs splitting company: report
Warner Bros Discovery is moving towards a potential breakup, CNBC reported Thursday, as media companies explore options for their struggling cable TV businesses and sharpen focus on their faster-growing streaming and studios divisions. The company's shares surged more than 4% on the news, rebounding from earlier losses of nearly 6% triggered by a dour quarterly report. Warner Bros Discovery missed first-quarter revenue estimates and posted a larger-than-expected loss earlier in the day due to a sluggish box office performance and ongoing declines in cable. Advertisement 3 Warner Bros Discovery missed first-quarter revenue estimates and posted a larger-than-expected loss earlier in the day due to a sluggish box office performance and ongoing declines in cable. REUTERS It did not immediately respond to a Reuters request for comment on the CNBC report, which cited unnamed sources. WBD laid the groundwork for a possible sale or spinoff of its declining cable TV assets in December by announcing a separation from its streaming and studio operations. It reported results under the new structure for the first time on Thursday. Advertisement A split would align WBD with Comcast, which is spinning off the fading NBCUniversal cable TV networks, including MSNBC and CNBC, to position itself for growth in the streaming era. Analysts have long speculated about a break-up of WBD, whose assets include CNN, HBO and the coveted Warner Bros studio. Bank of America research analyst Jessica Reif Ehrlich said last year that WBD's cable television assets are a 'very logical partner' for Comcast's new spin-off company. Advertisement Like others in the media business, Warner Bros Discovery is losing thousands of cable TV subscribers each year, putting pressure on the company to consistently produce hit content and boost profitability in its streaming business. The threat of US tariffs on foreign-made films has also added to the headaches of an industry whose biggest-budget films are often produced across several continents. 3 Analysts have long speculated about a break-up of WBD, whose assets include CNN, HBO and the coveted Warner Bros studio. Getty Images Studio weakness In the January-March quarter, WBD struggled to replicate the success of last year's 'Dune: Part Two,' which grossed more than $700 million. Advertisement The company's marquee release for the period, Bong Joon Ho's sci-fi dark comedy 'Mickey 17,' earned only slightly more than its reported budget at the box office. That meant studios revenue fell 18% to $2.31 billion, missing estimates of $2.73 billion, according to Visible Alpha. The company has, however, made a strong start to the second quarter with Ryan Coogler's horror film 'Sinners' and the blockbuster 'A Minecraft Movie,' which has raked in around $900 million globally, making it the biggest release of 2025 so far. Its summer lineup also looks strong with 'Superman,' directed by Marvel's long-time hitmaker James Gunn, set to release in July. 3 The blockbuster 'A Minecraft Movie' has raked in around $900 million globally, making it the biggest release of 2025 so far. AP Revenue at the TV networks segment, which includes CNN, Discovery Channel and Animal Planet, fell 7% in the quarter. Overall, revenue fell 10% to $8.98 billion, missing analysts' average estimate of $9.60 billion, according to data compiled by LSEG. Loss of 18 cents per share was also larger than expectations for a 13-cent loss. Advertisement Still, its streaming business was a bright spot. WBD added 5.3 million streaming subscribers in the quarter, compared with 3.1 million estimated by analysts, according to Visible Alpha, taking its total to 122.3 million. The quarter featured some strong content slate including the third season of HBO's 'The White Lotus' and the medical drama series 'The Pitt.'
CNA
08-05-2025
- Business
- CNA
Warner Bros Discovery moving towards splitting company, CNBC reports
Warner Bros Discovery is moving towards a potential breakup, CNBC reported on Thursday, as media companies explore options for their struggling cable TV businesses and sharpen focus on their faster-growing streaming and studios divisions. The company's shares surged more than 4 per cent on the news, rebounding from earlier losses of nearly 6 per cent triggered by a dour quarterly report. Warner Bros Discovery missed first-quarter revenue estimates and posted a larger-than-expected loss earlier in the day due to a sluggish box office performance and ongoing declines in cable. It did not immediately respond to a Reuters request for comment on the CNBC report, which cited unnamed sources. WBD laid the groundwork for a possible sale or spinoff of its declining cable TV assets in December by announcing a separation from its streaming and studio operations. It reported results under the new structure for the first time on Thursday. A split would align WBD with Comcast, which is spinning off the fading NBCUniversal cable TV networks, including MSNBC and CNBC, to position itself for growth in the streaming era. Analysts have long speculated about a break-up of WBD, whose assets include CNN, HBO and the coveted Warner Bros studio. Bank of America research analyst Jessica Reif Ehrlich said last year that WBD's cable television assets are a "very logical partner" for Comcast's new spin-off company. Like others in the media business, Warner Bros Discovery is losing thousands of cable TV subscribers each year, putting pressure on the company to consistently produce hit content and boost profitability in its streaming business. The threat of U.S. tariffs on foreign-made films has also added to the headaches of an industry whose biggest-budget films are often produced across several continents. STUDIO WEAKNESS In the January-March quarter, WBD struggled to replicate the success of last year's "Dune: Part Two," which grossed more than $700 million. The company's marquee release for the period, Bong Joon Ho's sci-fi dark comedy "Mickey 17," earned only slightly more than its reported budget at the box office. That meant studios revenue fell 18 per cent to $2.31 billion, missing estimates of $2.73 billion, according to Visible Alpha. The company has, however, made a strong start to the second quarter with Ryan Coogler's horror film "Sinners" and the blockbuster "A Minecraft Movie," which has raked in around $900 million globally, making it the biggest release of 2025 so far. Its summer lineup also looks strong with "Superman," directed by Marvel's long-time hitmaker James Gunn, set to release in July. Revenue at the TV networks segment, which includes CNN, Discovery Channel and Animal Planet, fell 7 per cent in the quarter. Overall, revenue fell 10 per cent to $8.98 billion, missing analysts' average estimate of $9.60 billion, according to data compiled by LSEG. Loss of 18 cents per share was also larger than expectations for a 13-cent loss. Still, its streaming business was a bright spot. WBD added 5.3 million streaming subscribers in the quarter, compared with 3.1 million estimated by analysts, according to Visible Alpha, taking its total to 122.3 million. The quarter featured some strong content slate including the third season of HBO's "The White Lotus" and the medical drama series "The Pitt".
