11 Noteworthy Downgrades

by: Ockham Research

Today, we are looking at some popular stocks that we downgraded in our most recent reports. Each of the 11 stocks featured in this post have crossed a strategic threshold in our methodology that makes them look less attractive to a value investor than they did last week. In our methodology, this is generally the case when a stock that have seen their price appreciate considerably over the week (Banco Santander as an example) or alternatively a stock that fundamentally look less appealing (downward estimates revisions, etc). Either of these situations would lower the attractiveness of a possible investment in any one of these stocks.

We are only looking at large cap stocks (over $10 billion market cap.) for this screen, and these stocks come from diverse sectors from basic materials to transport to financial, etc. Each of these stocks was rated as either Undervalued or Fairly Valued (neutral) a week ago, and we have put our current rating next to the stock for reference. As always, we have linked each one of the stocks listed below to its full equity report on our website for readers who want to get more information on the reason for our downgrade.


Ockham Recent Downgrades with Current Rating

  1. BHP Billiton PLC (NYSE:BBL) Overvalued
  2. Banco Santander (STD) Fairly Valued
  3. ConocoPhillips (NYSE:COP) Overvalued
  4. Kraft Foods (KFT) Fairly Valued
  5. Union Pacific (NYSE:UNP) Overvalued
  6. Nike Inc. (NYSE:NKE) Overvalued
  7. Blackrock (NYSE:BLK) Fairly Valued
  8. Southern Copper Corp. (NYSE:SCCO) Overvalued
  9. Norfolk Southern Corp (NYSE:NSC) Overvalued
  10. Sysco Corp (NYSE:SYY) Fairly Valued
  11. Salesforce.com (NYSE:CRM) Overvalued

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