The broader indexes are in the red today as some traders take profits before Friday’s critical employment report. Among the stocks making some headlines include Tesla Motors Inc (NASDAQ:TSLA), ICU Medical, Incorporated (NASDAQ:ICUI), Pfizer Inc. (NYSE:PFE), Costco Wholesale Corporation (NASDAQ:COST), and Lowe’s Companies, Inc. (NYSE:LOW).
In this article, we will take a closer look at the catalysts behind each stock and will see how the investors from our database were positioned towards them at the end of the second quarter.
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Tesla Motors Inc (NASDAQ:TSLA) shares are off by more than 3.6% after Goldman Sachs downgraded Elon Musk’s company to ‘Neutral’ from ‘Buy’, citing the increasing risks due to the additional capital required for SolarCity Corp (NASDAQ:SCTY) M&A. The investment bank also thinks that increased R&D and sales expenditures, along with potentially slower-than-expected production of the Model 3 could cause Tesla’s bottom-line to fall substantially below the Street’s expectations between 2017 and 2019. The investment bank has a $185 target for the next six months, down from the previous $240. A total of 36 funds from our database were long Tesla Motors Inc (NASDAQ:TSLA) at the end of June, down by three funds from the previous quarter.
ICU Medical, Incorporated (NASDAQ:ICUI) has surged by 11% after the company agreed to buy Pfizer Inc. (NYSE:PFE)‘s global infusion therapy business, Hospira Infusion Systems, for $1 billion in cash and stock. Under the terms of the deal, Pfizer will receive $600 million in cash subject to an adjustment for net working capital, along with $400 million in newly-issued shares of ICU Medical common stock. Upon completion, which is expected to occur in the first quarter of 2017, Pfizer will own around 16.6% of ICU. In addition to the acquisition announcement, ICU Medical has also issued preliminary third quarter results, which included revenue of $96 million and adjusted EPS of $1.2. For the full year, ICU Medical expects the results to come in slightly above the high end of the previously announced guidance of $4.60 in adjusted diluted earnings per share, $131 million in adjusted EBITDA, and $370 million in sales. At the end of June, 16 funds tracked by us held shares of ICU Medical, Incorporated (NASDAQ:ICUI) and 94 funds were long Pfizer Inc. (NYSE:PFE).
On the next page, we examine Costco Wholesale Corporation, and Lowe’s Companies.