This morning, Goldman Sachs upgraded shares of Abercrombie & Fitch (NYSE:ANF) from Neutral to Buy as sales trends improve. The company is set to open more stores, increasing the pace of new stores opened since last year. With the upgrade, Goldman included Abercrombie on its Conviction Buy list and set a six month price target of $45 per share.
Shares opened higher following the upgrade, gaining more than seven percent so far today.
Also upgraded today by Goldman Sachs was Adobe Systems (NASDAQ:ADBE). The investment firm raised its rating from Netural to Buy as margins are expected to improve. Furthermore, the company should benefit from the refresh cycles created by the upgrades to the Apple and Microsoft operating systems released this fall. In its note to investors, Goldman set a price target of $42 per share.
In morning trading, shares of Adobe were trading higher, up nearly three and a half percent.
And Leerink Swann upgraded shares of Merck (NYSE:MRK) from Market Perform to Outperform as the current shares price fully reflects the risk of the Temodar patent challenge and the Remicade/Simponi arbitration with Johnson & Johnson. Industry contacts suggest that the arbitration should have a favorable outcome for Merck and the company's late-stage pipeline should fuel profits for quarters to come.
Shares of Merck were trading higher this morning, gaining nearly one and a half percent.
For MarketNewsVideo.com, I'm Angela Salvucci.
