BP, Farfetch, Lyft, Nike, Spirit AeroSystems, TotalEnergies, Unilever and more – 24/7 Wall St.

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Futures fell to start the week, with the S&P 500 posting the biggest loss among the major averages, down around 0.8%. Dow Jones Industrials and Nasdaq futures each fell 0.7%. This comes after Friday’s session, which saw each of the major markets hit new lows for 2022.

Much of this selling was precipitated by fears of recession following the Federal Reserve’s interest rate hike. More recently, the central bank raised rates by a total of 75 basis points, marking its third consecutive rate hike of this magnitude. However, some fear that in the future, the Fed could raise rates higher and faster if inflation does not slow fast enough.

The most recent print on consumer price index inflation failed to impress economists earlier this month. While part of the Fed’s dual mandate is to keep inflation at reasonable levels, its toolkit may not be enough or, at the very least, drastic action needs to be taken. Fed Chairman Powell’s comments reflect this sentiment, and interest rate hikes could be even higher, in the order of 100 basis points in the coming months.

24/7 Wall St. reviews dozens of analyst research reports each weekday in an effort to find new insights for investors and traders. Some of these daily analyst calls are covering stocks to buy. Other calls cover stocks to sell or avoid. Remember that no analyst call should ever be used as a basis for buying or selling a stock. Consensus analyst target data comes from Refinitiv.

These are the major analyst upgrades, downgrades and insiders observed on Monday, September 26, 2022.

Anheuser-Busch InBev SA/NV (NYSE:BUD): Jefferies downgraded the stock to Hold from Buy and lowered the price target from $68 to $54. The consensus target is $62.21. Shares closed Friday at $46.64.

Bank OZK (NASDAQ: OZK): Zacks named this regional bank as its Bull of the Day stock. The analyst points out that its dividend has been increased 20 times over the past five years. The shares last closed at $39.52 each, and the consensus price target of $46.71 represents a gain of around 18%.

BP PLC (NYSE: BP): JP Morgan’s rating was downgraded from overweight to neutral. The consensus target is $37.28. The stock closed nearly 9% lower on Friday at $28.08.

Chegg Inc. (NYSE:CHGG): Needham raised its Hold to Buy rating with a price target of $28. The consensus target is $23.64. The stock closed nearly 2% lower at $18.95 on Friday.

Core Laboratories NV (NYSE:CLB): Morgan Stanley downgraded stocks to equal weight underweight and has a price target of $20. The consensus target is $20.39. The stock closed Friday at $13.91, down 11% for the day.

Diana Shipping Inc. (NYSE:DSX): Jefferies’ downgrade to Hold from Buy included a price target reduced to $5 from $7. The stock closed Friday at $4.22, down nearly 8% on the day. The 52-week range is $3.31-$6.89.

DLocal Ltd. (NASDAQ:DLO): SMBC Nikko downgraded it to Underperform from Neutral and reduced the price target from $28 to $22. The consensus target is $33.22. On Friday, the stock closed nearly 3% lower at $22.62.

Farfetch Ltd. (NYSE: FTCH): Citigroup launched a hedge with a sell rating and a price target of $6. The consensus target is $16.30. The stock closed Friday at $8.57.

Golden Ocean Group Ltd. (NASDAQ: GOGL): Jefferies downgraded the stock to Hold from Buy. He also lowered his price target from $14 to $10. The consensus target is $144.80. The stock closed at $8.28 on Friday.

Darryl A. Chapin