Crude futures are in the green today as investors look forward to today’s upcoming EIA data dump. Besides energy securities, traders are also closely watching Valeant Pharmaceuticals Intl Inc (NYSE:VRX), Nike Inc (NYSE:NKE), Oclaro, Inc. (NASDAQ:OCLR), AT&T Inc. (NYSE:T), and Time Warner Inc (NYSE:TWX). In this article, let’s analyze why the five stocks are trending and examine elite fund sentiment toward them using the latest 13F data.
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Traders are watching Valeant Pharmaceuticals Intl Inc (NYSE:VRX) after Neil Maruoka of Canaccord trimmed his price target on the pharmaceutical giant to $12 per share from the previous $17. Maruoka notes that Bill Ackman’s Pershing Square recent move to sell out of Valeant Pharmaceuticals Intl Inc (NYSE:VRX) gives credence to the thesis of slower growth for the company in the quarters ahead. The divestment of major assets at shareholder friendly prices could also be a challenge. If Valeant can’t grow fast enough or sell its assets at high enough prices, the company’s big debt burden could be a problem.
Nike Inc (NYSE:NKE) shares have opened in the green after UBS analyst Michael Beinetti bumped his price target on the sporting giant to $67 from $61. Beinettti thinks Nike’s guidance is conservative and believes the company’s futures orders will stabilize in the third quarter. The analyst has a ‘Buy’ rating on the stock. Of the around 742 top funds we track, 48 funds owned $2.84 billion of Nike Inc (NYSE:NKE) and accounted for 3.40% of the float on December 31, versus 55 funds and $3.72 billion respectively on September 30.
Oclaro, Inc. (NASDAQ:OCLR) is almost 4% in the green after Richard Shannon of Craig-Hallum termed the stock’s current levels as a ‘great buying opportunity’. Shannon thinks that trader concerns over Chinese inventory aren’t warranted and that Oclaro is the cheapest in the optical sector, suggesting good risk/reward. Needless to say Shannon has a ‘Buy’ rating on the name. 40 top funds were long Oclaro, Inc. (NASDAQ:OCLR) at the end of the fourth quarter, down one from the previous quarter.
On the next page, we examine why traders are buzzing about AT&T Inc, and Time Warner Inc.