Analysts are intrested in these 5 stocks: ( (BDX) ), ( (SPOT) ), ( (ARVN) ), ( (TWLO) ) and ( (LUMN) ). Here is a breakdown of their recent ratings and the rationale behind them.
Becton Dickinson’s stock has been downgraded to ‘Hold’ by analyst Andrew Brackmann, following a disappointing fiscal second-quarter update. The company’s organic revenue guidance for fiscal 2025 was reduced, and a net tariff EPS headwind has further impacted earnings growth. Despite appearing undervalued, the lack of predictable revenue growth and market-driven challenges, such as funding headwinds in Biosciences and slower-than-expected recovery in Diagnostics, have led to a cautious outlook. Management remains optimistic about new product launches and internal initiatives potentially driving stronger growth in the latter part of the year.
Spotify’s stock has been downgraded to ‘Sell’ by analyst Helena Wang, despite the company’s strong revenue growth and expanding user base. The downgrade is attributed to the recent surge in share price, which has led to full valuations with limited upside potential. Spotify continues to lead in audio streaming, with successful monetization of its podcast segment and resilient demand even in challenging economic conditions. However, the extra social charges impacting PATMI and the unchanged DCF target price suggest a cautious stance on future growth prospects.
Arvinas Holding Company has seen its stock downgraded to ‘Hold’ by analyst Srikripa Devarakonda, primarily due to the deprioritization of its Vepdeg combo programs in breast cancer. While the company has a validated protein degrader platform and a robust cash runway, the lack of major catalysts and the narrower focus on ESR1 mutant populations have raised concerns about its long-term potential. Despite promising early-stage developments in other pipeline assets, the absence of significant near-term catalysts suggests a period of sideways trading for the stock.
Twilio’s stock has been upgraded to ‘Hold’ by analyst Stephen Bersey, following solid first-quarter results and an optimistic 2025 guidance. The company’s revenue growth has shown signs of revival, and its non-GAAP operating margin has improved significantly. However, concerns about long-term margin guidance and high share-based compensation remain. Twilio’s shares are considered fairly valued, with the potential for growth driven by cost-cutting measures and strategic partnerships, leading to a more favorable outlook.
Lumen Technologies has been upgraded to ‘Buy’ by analyst Frank Louthan, with expectations of significant equity value improvements in the coming months. The potential sale of its FTTH assets and customers is seen as a key catalyst, with proceeds expected to enhance leverage and drive financial recovery. The valuation is based on a favorable EV/EBITDA multiple, and despite ongoing risks, the anticipated asset sale and financial restructuring present a compelling opportunity for investors.