Now my take on this is that it is not based on any official information from the company. Two previous analysts have raised their price targets in the past 2 weeks. This particular downgrade appears to be based on surveys. It's possible this is a legit downgrade. On the other hand, it's also quite possible that this is some type of monkey business, or that this analyst's info is downright wrong.
The opportunity I see here is that one person moved the market downwards by over 8% in a single day. One of two things will happen: 1) He is right and the stock will drop like a stone at some point earnings release is on 1/19. 2) The majority of the analysts are right and someone will make a nice profit on this.
I am in this one. If 1) I have some time to trade out, and from a technical standpoint there is a clean gap that has a good chance of being at least partially filled. If 2) I'll be feeling pretty good.
On the downside, I don't like the way the stock dropped in the last 3o minutes of trading and there is also the possibility of another analyst downgrade serving as a negative catalyst to drive it further down. We'll see.
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