Intel Takes the Hits as Banks Get Love

JP Morgan swept through the US banking sector on Friday, raising target prices on six names including WFC, USB, TFC, STT, RF, and PNC. Analyst Vivek Juneja lifted Wells Fargo's target to $92 from $91.50. The moves reflect improving sentiment on regional and money-centre banks as Q3 results flow in.

The bigger story is INTC. Three analysts slashed their targets on the $349B chipmaker. TD Cowen's Joshua Buchalter cut to $75 from $95. DA Davidson's Gil Luria went to $70 from $100. Rosenblatt's Kevin Cassidy took an even harder line, cutting to $70 from $80 with a Sell rating. Intel's short interest sits at just 3.1% of free float, suggesting bears are not yet piling in despite the analyst pessimism.

On the positive side, TD Cowen upgraded GILD to Buy with a $175 target, up from $160. The $212B biotech has low short interest at 1.6% of free float.

Scotiabank raised its target on LLY to $1,605 from $1,300, one of the largest target price moves in dollar terms this week. The pharma giant carries a $1.26 trillion market cap and minimal short interest at 0.8% of free float.

RSG also caught an upgrade: JP Morgan raised Republic Services to Hold with a target of $265, up sharply from $245.