5 big analyst cuts: Coinbase gets another downgrade, Carvana cut at JPMorgan

Here is your Pro Recap of the biggest analyst cuts you may have missed since yesterday: downgrades at Coinbase Global, Carvana, Cisco, Silk Road Medical, and WW Grainger.

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Coinbase Global earns third downgrade this month

Barclays downgraded Coinbase Global (NASDAQ:COIN) to Underweight from Equalweight with a price target of $70.00 (from $61.00). This represents the company’s third downgrade this month.

Despite the company's positive performance in revenues and costs in recent quarters, Barclays believes the current low volumes and depressed USDC market cap, coupled with regulatory uncertainties and a recent surge in share prices, leave few near-term catalysts for growth.

Shares fell more than 1% premarket today.

Carvana falls on JPMorgan downgrade

Carvana (NYSE:CVNA) shares fell more than 3% premarket after JPMorgan downgraded the company to Underweight from Neutral with a price target of $10.00, as reported in real time on InvestingPro.

The firm believes that the company’s valuation has disconnected from its fundamentals, noting that the recent debate on Carvana shares has centered on liquidity and its ability to navigate a potential recession and sustained weakness in the used car market, rather than focusing on long-term business model fundamentals.

Carvana saw a 9% surge in its shares yesterday, driven by a favorable inflation report and JMP Securities’ price target raise.

Cisco cut to Neutral at BofA

Cisco Systems (NASDAQ:CSCO) shares fell more than 2% yesterday after BofA Securities downgraded the company to Neutral from Buy with a price target of $56.00.

The firm expressed concern regarding the product revenue estimates for the second half of 2024 and the fiscal year 2025, suggesting that the consensus estimates appear overly optimistic.

2 more downgrades

Silk Road Medical (NASDAQ:SILK) earned two downgrades following the proposed decision by CMS, which resulted in a share price drop of more than 28% yesterday.

BofA Securities downgraded the company to Underperform from Buy with a price target of $28.00 (from $51.00), while JPMorgan downgraded to Neutral from Overweight with a price target of $28.00 (from $50.00).

WW Grainger (NYSE:GWW) shares fell more than 2%yesterday after UBS downgraded the company to Neutral from Buy with a price target of $820.00 (from $815.00).

According to the firm, it no longer perceives a low-risk opportunity for EPS upside and believes the recent re-rating has already accounted for a sustained higher level of market outgrowth.

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