WSJ : Vitamin Shoppe Owner Franchise Group Considers Going Private

Vitamin Shoppe Owner Franchise Group Considers Going Private
Franchise Group is also exploring deal to buy furniture chain Conn’s

Franchise Group Inc., FRG 0.70% the investment firm that owns retailers including Vitamin Shoppe, is considering going private in a so-called management buyout, people familiar with the matter said.

The company’s management, led by Chief Executive Officer Brian Kahn, could pay a price of between $30 and $35 a share, the people said. Franchise Group shares closed Monday at $29.92 after rising sharply in recent days.

The stock ended 2022 at $23.82—right as the deal talks kicked off, the people said—so a range of $30 to $35 would represent a premium of roughly 25% to 45% to that. The talks are at an early stage.

Franchise Group’s market capitalization is about $1.1 billion and it has more than $1.1 billion of debt.

The firm is separately eyeing a potential deal to acquire furniture chain Conn’s Inc., CONN 14.91% the people said. Conn’s had a market cap of roughly $215 million Tuesday afternoon.

It is possible neither transaction will come to pass, or that both will, the people said.

Franchise Group shares, which hit an all-time high of $55.10 in December of 2021, have fallen sharply since then as consumers have pulled back their spending on home goods and other discretionary items, sending retail valuations plummeting.

Mr. Kahn owned about 28% of Franchise Group’s overall voting power as of June, according to securities filings.

Franchise Group, which owns a handful of consumer-facing businesses including Vitamin Shoppe, discount-furniture and mattress supplier American Freight and Pet Supplies Plus, made headlines last year when it put in a bid for the department store chain Kohl’s Corp. Those talks fizzled, however, amid rising interest rates and an uncertain economic environment that had a chilling effect on deal making, especially in retail.

Franchise Group, which was founded in 2019, reported total revenue of $1.1 billion in the three-month period ended Sept. 24., with a net loss of $121.2 million.

WSJ : Fidelity Investments Buys Shoobx to Expand Private-Company Stock-Plan Busi

Fidelity Investments Buys Shoobx to Expand Private-Company Stock-Plan Business
Deal to acquire Shoobx is money manager’s first takeover since 2015

Fidelity Investments struck its first takeover in more than seven years, acquiring a stock-plan software company that caters to technology startups and other privately held firms.

Fidelity said Tuesday it bought closely held Shoobx Inc., which manages startups’ employee-equity plans and tracks their investors’ holdings from early stages to their initial public offerings. Terms weren’t disclosed.

Fidelity administers the stock plans of nearly 700 companies, most of which are publicly traded, and in 2021 forged a partnership with Shoobx to offer joint services to private companies.

“The acquisition was the logical next step,” said Kevin Barry, head of Fidelity’s Workplace Investing business. “We think this is going to be a key part of extending our capabilities and reach with private companies.”

Fidelity, one of the largest managers of corporate retirement accounts, is looking to extend its reach into a generation of companies in Silicon Valley and in other fast-growing industries that have stayed private longer and ballooned in value in recent years.

Big financial firms have viewed stock-plan administration as an early entry point in establishing relationships with those companies and their employees, who may turn to those banks and money managers for more lucrative services as their needs grow more complex.

In buying Shoobx, Fidelity joins other Wall Street heavyweights in looking to smaller upstarts to build out its stock-plan business.

Morgan Stanley acquired Solium Capital Inc. in 2019, adding a platform that specialized in privately held firms. It later bought E*Trade Financial Corp., which managed stock plans for hundreds of companies. In 2021, the bank struck a deal with Wilson Sonsini Goodrich & Rosati to take over the stock plans the law firm had managed for thousands of technology companies.

In 2019, Goldman Sachs Group Inc. participated in a $300 million funding round for Carta, another startup that provides record-keeping services to early-stage companies.

Fidelity, a private company itself, has rarely turned to acquisitions. Controlled by the Johnson family and run by the founder’s granddaughter, Abigail Johnson, the Boston firm has typically preferred to develop new businesses internally. Its last purchase, of wealth-management software developer eMoney Advisor, was in 2015.

The company’s latest deal comes as technology companies come to terms with a brutal selloff in growth stocks. The downturn has altered the IPO plans for late-stage startups and slashed the valuations of many more. “We’re taking a very long view on where the market is going and what the customer needs will be,” Mr. Barry said.

Founded in 2013, Shoobx has about 40 employees. The company has drawn investments from Scout Ventures and Atlas Ventures. The entire team will join Fidelity, said Jason Furtado, Shoobx’s chief executive and co-founder.

FT : $100 a barrel oil looms again, analysts say

$100 a barrel oil looms again, analysts say
A rally would threaten a weak global economy anew

Are we headed back to $100 oil?
Oil markets have been relatively calm of late compared with the wild ride through much of 2022.

Prices have been volatile but have mostly stayed at about $80 a barrel oil for the past couple months — high by historic standards but not high enough to menace the global economy or launch politicians into action like we saw over the past 12 months.

Few see the calm lasting. Wall Street’s top analysts see the makings of another price leap lurking in just about every important corner of the oil market. A run past $100 a barrel is likely in the coming months, they say, which would threaten a weak global economy anew and put energy prices back at the top of the agenda of many governments.


China’s big comeback
Foremost is China. The extended lockdowns of big cities across China last year sapped demand in the world’s largest oil importer and helped keep a lid on prices at a time when supplies were tight.

“The only reason that oil prices did not stay north of $130 a barrel is that China’s demand fell away,” Jan Stuart, an analyst at Piper Sandler, a Houston investment bank, wrote in a recent note outlining his case for a crude rally. The bank sees Brent crude averaging $110/barrel this year, up about 40 per cent from yesterday’s closing price.

Oil consumption is set to rise sharply after Beijing abruptly lifted its zero-Covid policy last month, analysts argue. More driving and flying will fuel an energy demand recovery similar to when pandemic restrictions were eased across the US and Europe.

China’s re-emergence from lockdowns will be enough to propel global crude demand above last year’s pace even as consumption growth across the US and Europe sputters, many analysts say.

“The most bullish piece of news to emerge over the holiday period has, in our view, been China’s rapid move towards reopening,” Goldman Sachs’s Jeff Currie wrote in a note to investors yesterday. He said it could add $5/barrel to Goldman’s expectations for oil to rally past $100 later this year.

War and sanctions weigh on Russia
At the same time that China gets thirstier for crude, analysts expect the effects of war and western sanctions to finally start hitting Russian output, which has remained remarkably resilient.

Fresh sanctions on imports of Russian oil products such as petrol and diesel into Europe will come into force in early February. That will add to existing bans on crude imports, restrictions on European companies’ ability to insure oil shipments, and the price cap western governments have tried to impose on Russian crude.

Western governments have tried to impose sanctions on Russia in a way that saps funds from Moscow while keeping the energy flowing through the global economy. But analysts say the sanctions are starting to take a toll on production.

“With sanctions raising legal risk around shipping, insurance and financing of oil trade flows, exports are increasingly struggling to find homes, with even China and India seeing sequential declines in imports recently,” said Goldman Sachs’s Currie.

If Russian output does slide, don’t count on other members of the Opec+ group of suppliers plugging the gap. Saudi Arabia did little to put a lid on prices during last year’s price surge and even if they wanted to lift output, there remains limited spare capacity within the group to respond to supply shortfalls.

American shale and SPR hemmed in
The US is also unlikely to push a whole lot more oil on to the market this year. The country’s shale juggernaut has been hemmed in by a combination of Wall Street pressure to limit spending on new output and real limits on the equipment and people that would be needed to spur high growth. The Energy Information Administration, part of the Department of Energy, sees US output slowing sharply to less than 400,000 barrels a day from January through the end of the year — far from shale’s boom years over the past decade.

The Biden administration helped boost US output last year, and cool prices, by tapping into the nation’s strategic stockpiles, pumping about 1mn barrels a day from government-held reserves for several months. But with stockpiles at their lowest levels since the early 1980s, and the administration under political pressure to rebuild the reserves, that effort would be hard to replicate if prices start to rise again in the coming months. Instead, the administration is now talking about replenishing the reserve.

Put together, it is a compelling case for another jump in oil prices as we move towards the summer and crude demand rises.

But that does not make it inevitable. China’s economic reopening will be complicated, especially if the number of Covid cases explode and the nation’s hospitals become stretched. Russia’s ability to continue pumping oil at high levels also should not be underestimated after what we’ve seen over the past year. It will also be hard to sustain an oil rally if the US and big economies in Europe tip into recession. Still, oil markets are not out of the woods yet.

FT : BioNTech buys UK AI start-up InstaDeep in £562mn deal

BioNTech buys UK AI start-up InstaDeep in £562mn deal
Covid vaccine maker looks to use machine learning to help discover new treatments

BioNTech has agreed to buy UK artificial intelligence start-up InstaDeep for up to £562mn in its biggest-ever deal, as the German company expands beyond the Covid-19 vaccine that transformed its fortunes.

The biotech company is trying to harness machine learning to improve the drug discovery process, including developing personalised treatments tailored to a patient’s cancer.

The deal follows a multiyear collaboration with London-based InstaDeep that created an early warning system to predict future variants of the Sars CoV-2 virus. BioNTech invested in a £100mn fundraising round by InstaDeep last year.

Uğur Şahin, BioNTech’s chief executive, said the German pharma group had been focused on using “computational solutions” to create personalised drugs that harnessed the power of the immune system, known as immunotherapies, since its inception.

“The acquisition of InstaDeep allows us to incorporate the rapidly evolving AI capabilities of the digital world into our technologies, research, drug discovery, manufacturing and deployment processes,” he said. “Our aim is to make BioNTech a technology company where AI is seamlessly integrated into all aspects of our work.”

Pharmaceutical companies are increasingly interested in how artificial intelligence can accelerate the laborious and costly process of discovering new drugs. Sanofi and Bristol Myers Squibb are among those that have struck partnerships with AI-focused start-ups but an acquisition is unusual.

BioNTech is reinvesting most of the proceeds from its bestselling Covid jab, developed with Pfizer, to pursue its original mission of transforming how cancer is treated. Until now, its acquisitions have been small bolt-on deals of under €100mn. At the end of the third quarter, BioNTech had €13.4bn in cash and cash equivalents.

The German drugmaker will pay about £362mn in cash and shares to acquire the remaining InstaDeep shares. InstaDeep shareholders will be entitled to performance-based milestone payments worth up to £200mn. 

InstaDeep was founded in 2014 to create artificial intelligence products for businesses. While headquartered in London, it has offices in Paris, Tunis, Lagos, Dubai and Cape Town, and employs 240 people.

The AI company has already helped BioNTech improve its algorithm to select which parts of a tumour to target to create the most effective therapy. Karim Beguir, chief executive and co-founder of InstaDeep, said it shared with BioNTech the same “culture of deep tech innovation and focus on positive human impact”.

“Together, we envision building a world leader that combines biopharmaceutical research and AI with the aim to design next-generation immunotherapies that enhance medical care — thus, helping fight cancer and other diseases,” he added.

The deal comes a week after BioNTech signed an agreement with the UK government, pledging to enrol up to 10,000 patients in clinical trials for so-called cancer vaccines, which try to teach a patient’s immune system how to tackle tumours.

FT : Misfiring war in Ukraine creates potential for Russia’s disintegration

Misfiring war in Ukraine creates potential for Russia’s disintegration
Fraught legacies of colonisation are returning to haunt a multinational state founded as an empire

As the cold war sped to its close, western observers bold enough to forecast the Soviet Union’s collapse were few in number and small in influence. The USSR’s territorial integrity was taken for granted. Those who thought otherwise — such as Daniel Patrick Moynihan, the US senator who predicted in 1980 that the Soviet break-up would be the “defining event of the decade” — were largely ignored.

As such, when the Soviet implosion began rippling across Eurasia, western governments were caught flat-footed. Instead of shaping the contours of the Soviet collapse, leaders such as President George HW Bush, who publicly cautioned against Ukrainian independence, scrambled to keep up with the pace of events.

In hindsight, it’s difficult to see how western policymakers could have been so myopic. Moscow was mired in a bungled war in Afghanistan, burdened with a stagnating economy and increasingly struggling to retain control of its continent-wide colonial empire. And yet, time and again, most western officials missed the widening cracks that were staring them in the face.

Now, with the Kremlin once more bleeding men and resources in a foreign war, and again sagging under a torpid economy, western policymakers risk being caught out a second time. Just as a failure of imagination blinded the west to the Soviet Union’s imminent demise, so the same failure — and an inability or reluctance to understand Russia as the colonial empire it remains — is blinding western policymakers to the potential for the Russian Federation’s dissolution.

None of this is to say that the Russian state’s territorial disintegration is inevitable, or even something over the immediate horizon. But with casualties continuing to pile up and no end in sight for President Vladimir Putin’s messianic revanchism, the eventual dissolution of the Russian Federation can no longer be dismissed out of hand. Western policymakers need to begin preparing for the possibility sooner rather than later.

There are, of course, differences between the Soviet Union and Putin’s Russia. Rather than emulate Mikhail Gorbachev’s democratic reforms, Putin has chosen repression and centralisation. And demographically, ethnic Russians remain the dominant nationality.

But like the Soviet Union, Russia today is a federal state, centred on a constellation of republics representing the homelands of titular nationalities colonised by the Kremlin. The legacies of Russian imperialism and colonisation have hardly disappeared in these areas — indeed they grow more pertinent, and more painful, by the day.

The invasion of Ukraine has effectively exploded the myth of Putin’s united Russia — not least because the Kremlin has targeted specific nationalities, such as Sakha, Tatars and Chechens, for conscription. Minority voices opposing the war are “more radical compared to the old conformities and silences”, as one activist put it. “They are talking about colonialism and imperialism, ethnic and racial discrimination.”

Often overlooked in western academic circles, Russian colonisation of these nationalities in the Caucasus, Siberia and elsewhere paralleled the brutality of European colonisation, leaving persistent societal scars and schisms. Even when it comes to places like Buryatia, which has seen a greater burst of anti-Kremlin agitation than almost anywhere else, the history of the Buryats’ colonisation — and how it took Russia a full century to fully subdue them — remains largely unknown in the west.

Now, Putin’s war has transformed these colonised nationalities into “cannon fodder” for the Kremlin. And the fractures originating in Russian imperialism are beginning to emerge in ways reminiscent of the late Soviet period.

Clearly, Russia’s ethnic minorities are not suddenly agitating for secession. As one official from Tatarstan’s government-in-exile recently said: “Our struggle for independence has not yet started.” Besides, any secessionist movements are hardly guaranteed success. As after the Bolshevik revolution and the Soviet collapse, the Kremlin has a history of snuffing out the sovereignty of colonised nationalities trying to break free.

This time may be different. Not only have these colonised nationalities watched the Kremlin’s pledges of federalism evaporate yet again, but western governments are more willing to recognise Russia for what it is: an unreconstructed empire, bent on reclaiming former colonies and adding them to the pile it still controls. Any movements emerging in opposition to this Russian colonialism are increasingly worth supporting.

Putin’s war in Ukraine risks turning Russia into a failed state with uncontrolled borders. This offers nationalities colonised by Russia and tossed into the maw of conflict the chance to claim sovereignty and freedom.

The west must, then, be ready for what comes next, including a possible Soviet-style disintegration. The historian Michael Khodarkovsky wrote in 2016: “We should not be taken by surprise if one day Russia itself implodes, as the [USSR] did.” All empires eventually splinter apart. Thinking Putin’s — and Russia’s — will be any different is just another failure of imagination.

FT : Hybrid bonds: Enel of a handy instrument with ratings at stake

Hybrid bonds: Enel of a handy instrument with ratings at stake
Investors who bought the Italian utility’s bonds are getting a handsome return

Hybrid bonds look a pretty good deal for debt investors — which may help explain why there is a queue to buy them. Italian utility Enel kicked off 2023 with a €1.75bn offering. There was initial demand for €15bn.

Investors who bought the bonds, which sit between equity and debt in the capital structure, are getting a handsome return. Enel’s hybrids pay something in the region of 6.5 per cent, or about 250 basis points higher than its senior debt of a similar maturity.

That is a lot less than the company would have had to pay last year. Back then, tough credit markets and a gloomy economic outlook drove up the yield on existing hybrid bonds above 8 per cent. Tighter yields reflects a more sanguine environment and greater faith in Enel’s prospects.

But 250bp is still quite a big spread, for limited additional risk. Enel’s credit default swap, which pays out if the company goes bust, is trading at levels which suggest a bust is improbable.

Hybrid bondholders are likely to be treated like the ordinary kind, unless the company’s fortunes deteriorate. That is when their subordinated status would matter. Issuers are allowed to defer interest payments and maturities without triggering defaults. They are unlikely to do so if they can help it. Banks have deferred maturities in the past, but it is hard to think of an example outside the financial sector.

There is a step-up in the coupons over time. As a counterweight to this benefit, credit rating agencies could stop giving the bonds partial equity credit, removing much of their raison d'être.

Despite that, companies have rushed to issue hybrids, especially utilities. The European market for corporate hybrid bonds has historically been about €30bn-€40bn a year. That figure will rise.

Issuers are not just keen on the flexibility these instruments provide when things go wrong. They also like being able to raise new debt without busting their credit metrics and risking ratings downgrades. That saves the issuer a lot of money on the rest of its debt. Hybrid investors are reaping the benefit.

>>> US Research Calls

Research Calls

  • Upgrades:
    • A.O. Smith (AOS) downgraded to Sell from Neutral at UBS; tgt lowered to $58
    • Ageas SA/NV (AGESY) upgraded to Buy from Hold at Berenberg
    • Agilent (A) upgraded to Overweight from Equal Weight at Wells Fargo; tgt $170
    • Altus Power (AMPS) upgraded to Overweight from Equal-Weight at Morgan Stanley; tgt $12
    • American Tower (AMT) upgraded to Buy from Neutral at Goldman; tgt raised to $245
    • Aon (AON) upgraded to In-line from Underperform at Evercore ISI; tgt $330
    • Bloom Energy (BE) upgraded to Overweight from Equal-Weight at Morgan Stanley; tgt $35
    • Bumble Inc. (BMBL) upgraded to Overweight from Sector Weight at KeyBanc Capital Markets; tgt $27
    • Camden Property (CPT) upgraded to Buy from Neutral at Mizuho; tgt raised to $125
    • Confluent (CFLT) upgraded to Overweight from Equal Weight at Barclays; tgt lowered to $24
    • Exxon Mobil (XOM) upgraded to Buy from Neutral at Mizuho; tgt raised to $140
    • HF Sinclair (DINO) upgraded to Buy from Neutral at Mizuho; tgt raised to $68
    • ProPetro (PUMP) upgraded to Overweight from Equal Weight at Barclays; tgt $14
  • Downgrades:
    • Altice USA (ATUS) downgraded to Neutral from Buy at Goldman; tgt lowered to $5
    • Ally Financial (ALLY) downgraded to Hold from Buy at Jefferies; tgt lowered to $25
    • APA Corp. (APA) downgraded to Underperform from Buy at Mizuho; tgt lowered to $48
    • Ashmore Group (AJMPF) downgraded to Equal Weight from Overweight at Barclays
    • AZEK (AZEK) downgraded to Neutral from Buy at Citigroup; tgt raised to $23
    • Boeing (BA) downgraded to Equal-Weight from Overweight at Morgan Stanley; tgt raised to $220
    • C.H. Robinson (CHRW) downgraded to Neutral from Buy at Goldman; tgt lowered to $93
    • Canadian Nat'l Rail (CNI) downgraded to Sell from Neutral at Goldman
    • Chemours (CC) downgraded to Sector Perform from Outperform at RBC Capital Mkts; tgt lowered to $33
    • Comstock (CRK) downgraded to Neutral from Buy at Mizuho; tgt lowered to $17
    • Delek US Holdings (DK) downgraded to Underperform from Neutral at Mizuho; tgt raised to $30
    • EOG Resources (EOG) downgraded to Neutral from Buy at Mizuho; tgt raised to $160
    • Essilor International (ESLOY) downgraded to Underperform from Sector Perform at RBC Capital Mkts
    • Hess (HES) downgraded to Neutral from Buy at Mizuho; tgt raised to $164
    • Kimco Realty (KIM) downgraded to Neutral from Buy at Mizuho; tgt lowered to $21
    • Marathon Oil (MRO) downgraded to Neutral from Buy at Mizuho; tgt $32
    • Marathon Petroleum (MPC) downgraded to Neutral from Buy at Mizuho; tgt raised to $133
    • Phillips 66 (PSX) downgraded to Neutral from Buy at Mizuho; tgt raised to $121
    • PPG Industries (PPG) downgraded to Sector Perform from Outperform at RBC Capital Mkts; tgt raised to $129
    • RBC Bearings (RBC) downgraded to Equal Weight from Overweight at Wells Fargo; tgt lowered to $220
    • SITE Centers (SITC) downgraded to Neutral from Buy at Mizuho; tgt lowered to $13
    • Southwestern Energy (SWN) downgraded to Neutral from Buy at Mizuho; tgt lowered to $9
    • Valeo SA (VLEEY) downgraded to Neutral from Buy at Goldman
  • Others:
    • Air France-KLM (AFLYY) initiated with an Equal-Weight at Morgan Stanley
    • Antero Resources (AR) assumed with a Buy at Mizuho; tgt raised to $51
    • California Resources Corp (CRC) initiated with a Buy at Mizuho; tgt $60
    • Callon Petroleum (CPE) initiated with a Buy at Mizuho; tgt $59
    • Chesapeake Energy (CHK) initiated with a Buy at Mizuho; tgt $155
    • Chevron (CVX) downgraded to Neutral from Buy at Mizuho; tgt raised to $200
    • Chord Energy (CHRD) initiated with a Buy at Mizuho; tgt $196
    • Civitas Resources (CIVI) initiated with a Neutral at Mizuho; tgt $71
    • CNX Resources (CNX) initiated with an Underperform at Mizuho; tgt $19
    • ConocoPhillips (COP) assumed with a Buy at Mizuho; tgt raised to $151
    • Coterra Energy (CTRA) assumed with a Buy at Mizuho; tgt lowered to $41
    • Crescent Energy Company (CRGY) initiated with a Buy at Mizuho; tgt $19
    • Devon Energy (DVN) assumed with a Buy at Mizuho; tgt lowered to $82
    • Diamondback Energy (FANG) assumed with a Buy at Mizuho; tgt lowered to $195
    • DISH Network (DISH) resumed with a Neutral at Goldman; tgt $14
    • Earthstone Energy (ESTE) initiated with a Neutral at Mizuho; tgt $19
    • EQT Corp. (EQT) assumed with a Buy at Mizuho; tgt raised to $64
    • Gulfport Energy (GPOR) initiated with a Neutral at Mizuho; tgt $92
    • Magnolia Oil & Gas (MGY) initiated with a Buy at Mizuho; tgt $32
    • Matador Resources (MTDR) initiated with a Neutral at Mizuho; tgt $70
    • Murphy Oil (MUR) assumed with a Buy at Mizuho; tgt lowered to $51
    • Occidental Petro (OXY) assumed with a Buy at Mizuho; tgt raised to $82
    • Ovintiv (OVV) assumed with a Buy at Mizuho; tgt raised to $68
    • PBF Energy (PBF) assumed with a Buy at Mizuho; tgt raised to $50
    • PDC Energy (PDCE) initiated with a Buy at Mizuho; tgt $97
    • Permian Resources (PR) initiated with a Neutral at Mizuho; tgt $13
    • Pioneer Natural Resources (PXD) assumed with a Buy at Mizuho; tgt $294
    • Porsche (POAHY) resumed with a Buy at Goldman
    • Range Resources (RRC) assumed with a Neutral at Mizuho; tgt lowered to $32
    • SM Energy (SM) initiated with a Buy at Mizuho; tgt $51
    • Valero Energy (VLO) assumed with a Buy at Mizuho; tgt raised to $157

>>> US Gapping down

Gapping down
In reaction to earnings/guidance
:

  • BLI -5.7% (guidance), KIDS -5.1% (guidance), ETWO -3.6%, SGHT -2.5% (guidance), JEF -2.3%, AMRX -2.3% (guidance), FICO -1.8% (CFO stepping down, reaffirms guidance)

Other news:

  • LFCR -2.4% (issues and sold convertible preferred stock)
  • COIN -2.1% (discloses that FY22 Adjusted EBITDA is expected to be within the negative $500 mln loss guardrail that the company provided in the shareholder letter; also announces further restructuring plan; will eliminate 950 jobs)
  • KYMR -1.6% (shares key 2023 goals to support its evolution into a fully integrated degrader medicines company)
  • AVGO -0.9% (Apple to drop AVGO chips by 2025 according to Bloomberg)
  • QCOM -0.8% (Apple to drop QCOM chips by 2025 according to Bloomberg)
  • CRM -0.8% (reports holiday season online sales data)
  • SYNH -0.8% (CFO stepping down)

Analyst comments:

  • DK -1.6% (downgraded to Underperform from Neutral at Mizuho)
  • ALLY -1.5% (downgraded to Hold from Buy at Jefferies)
  • CRK -1.4% (downgraded to Neutral from Buy at Mizuho)