Analysts are intrested in these 5 stocks: ( (ARR) ), ( (BCRX) ), ( (VKTX) ), ( (BLDR) ) and ( (HIMS) ). Here is a breakdown of their recent ratings and the rationale behind them.
ARMOUR Residential REIT (ARR) has caught the attention of analyst Jason Stewart, who has upgraded the stock to a ‘Buy’ with a price target of $18.00. Despite macroeconomic risks and a choppy outlook for agency mortgage spreads, Stewart sees compelling value in ARR’s current trading levels. The company’s first-quarter results missed expectations, but the valuation of its shares compensates for this, offering a total return opportunity of 31%. The mortgage portfolio has increased, while leverage has decreased, and the company has been actively raising capital through share issuance.
BioCryst Pharmaceuticals (BCRX) is making waves with its lead drug Orladeyo, as analyst Steven Seedhouse initiates coverage with an ‘Overweight’ rating and a $20 price target. Seedhouse is confident in Orladeyo’s market share in the hereditary angioedema (HAE) market, despite upcoming competition. The analyst is cautiously optimistic about BioCryst’s pipeline programs, particularly in Netherton syndrome, and sees potential in a strategic acquisition to enhance its product offerings.
Viking Therapeutics (VKTX) is being closely watched as analyst Steven Seedhouse initiates coverage with an ‘Overweight’ rating and a $104 price target. The focus is on Viking’s lead drug, VK2735, a GLP-1/GIP dual agonist for obesity, which is entering Phase 3 development. Seedhouse believes VK2735 is a more potent option compared to existing treatments and sees a large market opportunity for the drug. Viking’s development plan is aligned with FDA guidance, and the company is well-funded to bring VK2735 to market.
Builders Firstsource (BLDR) faces a downgrade from analyst W. Andrew Carter, who shifts his rating to ‘Hold’ with a reduced price target of $125. Carter cites near-term uncertainty in the residential construction market as a reason for the downgrade. While BLDR is well-positioned for long-term growth, the current challenges in the market, including weather impacts and inventory investments, are expected to weigh on the company’s performance in the short term.
Hims & Hers Health (HIMS) has been downgraded to ‘Hold’ by analyst Jonna Kim, with a revised price target of $30. Kim points to a lack of near-term catalysts and potential downside risks to the company’s weight loss revenue guidance. Despite a strong first-quarter performance, the competitive landscape and economic factors pose challenges. However, Kim remains optimistic about HIMS’s long-term potential to democratize healthcare and wellness, though immediate growth may be limited.