Below are the dividend stocks that were subject to analyst moves before the bell. Analysts weigh in with insight and commentary as to what you can expect going forward.
1. Southwest Airlines Upgraded by JP Morgan
Regional airline Southwest Airlines (LUV ) saw its stock upgraded to Overweight from Buy on Thursday, with JP Morgan increasing their price target to $50. Recently, the company announced a 47% rise in their Earnings Per Share, with operating margins also coming in better than expected. Finishing Wednesday’s session at $35.52 (down 1.5%), Southwest Airlines’ adjusted dividend yield is 0.84%, with an annual payout of $0.30 (paid quarterly). The stock is 24.70% from its 52-week high.
2. Choice Hotels Upgraded by JP Morgan
Choice Hotels (CHH ), the hotel and lodging chain, was upgraded by JP Morgan on Wednesday, with the bank putting the stock on their Neutral list. Their new price target is $51. The company confirmed better-than-expected earnings on the 29th, with an EPS of 62 cents and revenue of $232.2 million. Finishing Wednesday’s session at $50.80 (down 2.6%), Choice Hotels’ adjusted dividend yield is 1.54%, with an annual payout of $0.78 (paid quarterly). The stock is 22.22% from its 52-week high.
3. PG&E Downgraded by Credit Suisse
Diversified utilities company Pacific Gas & Electric (PCG ) saw its stock downgraded on Thursday, with Credit Suisse shifting their rating to Neutral. Their new price target is $58. Announcing a 6.7% rise in revenues for the quarter, the San Francisco-based company confirmed a softening in their earnings guidance for 2015. Finishing Wednesday’s session at $52.34 (up 0.1%), PG&E’s adjusted dividend yield is 3.48%, with an annual payout of $1.82 (paid quarterly). The stock is 13.07% from its 52-week high.
4. Whole Foods Market Downgraded by Morgan Stanley
Whole Foods Market (WFM) was downgraded by Morgan Stanley on Thursday, with the investment bank confirming an Equal Weight rating. Their new target price is $37. The grocer reported Q3 earnings of 43 cents per share yesterday, which was 2 cents below consensus forecasts. Gross margins fell to 35.6%, with revenue at $3.63 billion. Finishing Wednesday’s session at $40.82, Whole Foods’ adjusted dividend yield is 1.27% with an annual payout of $0.52. The stock is 29.10% from its 52-week high.
5. Garmin Downgraded by JP Morgan
Consumer technology supplier Garmin (GRMN ) saw its stock downgraded to Underweight by JP Morgan on Thursday, with a new price target of $40. Finishing Wednesday’s session at $42.69 (down 0.2%), Garmin’s adjusted dividend yield is 7.50%, with an annual payout of $3.20. The stock is 30.87% from its 52-week high.
