Big Calls of the Day: JPMorgan Upgrades Accuray

While Fools should generally take the opinion of Wall Street with a grain of salt, it's not a bad idea to take a closer look at particularly stock-shaking analyst upgrades/downgrades -- just in case their reasoning behind the call makes sense.

What: Shares of Accuray climbed 3% today after a JPMorgan analyst upgraded the robotic radiosurgery specialist from "underweight" to "neutral."

So what: Along with the upgrade, analyst Tycho Peterson reiterated his price target of $8 per share on the stock, representing about 17% worth of upside to yesterday's close. Peterson cited steadily improving orders for several of Accuray's recent offerings including the CyberKnife M6 and Tomotherapy H series, offering investors at least some visibility into the company's near-term growth prospects.


Now what: Don't expect the price momentum to slow any time soon.

"We expect the upcoming ASTRO conference, where the company will showcase new products and have customers provide initial feedback on the systems, to be a positive event for the company," wrote Peterson in a note to clients.

Of course, when you couple Accuray's still-very intense competitive environment with its red-hot stock price -- now up about 60% from its 52-week lows -- I'd wait for a wider margin of safety before making a long-term commitment.

More compelling stocks
Dividend stocks can make you rich. It's as simple as that. While they don't garner the notoriety of high-flying growth stocks, they're also less likely to crash and burn. And over the long term, the compounding effect of the quarterly payouts, as well as their growth, adds up faster than most investors imagine. With this in mind, our analysts sat down to identify the absolute best of the best when it comes to rock-solid dividend stocks, drawing up a list in this free report of nine that fit the bill. To discover the identities of these companies before the rest of the market catches on, you can download this valuable free report by simply clicking here now.

The article Big Calls of the Day: JPMorgan Upgrades Accuray originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Learn about investing from the comfort of your own home.

Portfolio Basics

Take the first steps to building your portfolio.

View Course »

Investment Strategies

Learn the strategies you need to build a winning portfolio

View Course »

Add a Comment

*0 / 3000 Character Maximum