Winning Trades Based on Analyst Ratings for June 25

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Eighteen stocks got new bullish or bearish analyst ratings today, and stocks showed reflection immediately after market open. Below we give three analyst ratings and respective stocks ranked by moves in price compared to today's open. These are moves that follow respective analyst ratings (
down
for new bearish ratings and
up
for new bullish ratings).
Morgan Stanley on Research In Motion
Morgan Stanley reduced its rating on Research In Motion
RIMM
from Equal-weight to Underweight, and reduced its price target on shares to $7. The stock opened at $9.92 and reached a low of $9.03 at 11:20, for an 8.97 percent move. Benzinga Professional reported this development at 5:59 AM. A preview with analyst comments is available
here
.
Bloom Burton on Theratechnologies
Bloom Burton cut its rating on Theratechnologies
THER
from Hold to Sell and lowered its price target from $2.50 to $0.75. Shares opened at $0.74 and reached a low of $0.65 at 10:13 AM, for a 12.16 percent move. Benzinga Professional reported on this at 7:42 AM. Read a preview of this report with analyst comments
here
.
Canaccord Genuity on Synageva BioPharma
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Canaccord Genuity initiated coverage on Synageva BioPharma
GEVA
with a Buy rating and a $90 price target. Trading on the stock opened at $38.66 a share. By 11:20 AM, price reached a high of $41.27, up 6.75 percent. Benzinga Professional reported on this initiation at 7 AM. A preview of the analyst report, with comments, is
here
.
The Rest of the Ratings
Six of the 18 new bearish (Sell or similar) and bullish (Buy or similar) ratings commanded the price movement for mere minutes before shares moved in the opposite direction. That said, collective moves in the direction of analyst ratings reached 2.33 percent before above stocks deviated. At the time of writing, the collective price move is still a favorable 0.87 percent in the direction of the analyst ratings (up for new Buy ratings and down for new Sell ratings).
Trading the Ratings
Had traders taken a maximum $5,000 position on each new rating - bought on new Buy ratings and sold on new Sell ratings - and exited near highs of the day on each of those positions, gross profits would have equaled over $2,250. On the other hand, if those positions were still active, the profit would be just over $795. Commission costs would have been $180. Funds needed to trade all positions would have been just under $90 thousand.
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Posted In: Analyst ColorDowngradesPrice TargetAnalyst RatingsMoversTrading IdeasBloom Burton & Co.CanaccordMorgan Stanley
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