16th July 2024

💬 ”Stop worrying and learn to love the triumph of Big Tech over everything.” Jim Cramer

ANALYST STOCK TIPS
Loop sets a $300 target for Apple.

Apple might be worth $3.6 trillion, but that didn't stop Loop Capital from upgrading it to a Buy with a price target of $300. It's currently at $234, so this represents a 28% upside for the stock. Loop's Supply Chain Analyst sees strong demand for the next generation of iPhones, which will boast increased AI capability. Morgan Stanley similarly named Apple a "top pick" in enterprise IT hardware after being impressed by the firm's AI plans. It raised its price target to $273 and said, "Apple Intelligence is a clear catalyst to boost iPhone and iPad shipments."

TD Synnex was upgraded to Outperform by RBC Capital with a price target of $140, representing a 21% upside over its current stock price. There are several things driving this rerating, including solid growth in the company's "advanced solutions" business driven by data center and cloud storage builds, a ramp-up of customers for its Hyve Solutions business, and more demand for AI, which could help drive a PC refresh cycle. All this, they say, could lead to mid-single-digit billing growth in the back half of 2024, with further improvement likely in 2025.

Caesars Entertainment was downgraded to "negative" from "neutral" by Susquehanna analyst Joseph Stauff, with a price target of $33 representing a potential 16% downside. He sees the stock's underperformance and "growing disparity" versus rival MGM as likely to continue.

Electronic Arts was downgraded to Neutral from Buy by Citi with a revised price target of $161 (it currently sits at $145). This was driven by the upcoming release of Grand Theft Auto IV, which may crowd out other titles from the market, as well as recent issues with Apex Legends. The backdrop of a slowdown in consumer spending also played a factor.

PRESS STOCK TIPS
The Amazon of Latin America tipped by The Motley Fool.

MercadoLibre, the leading ecommerce business in Latin America, has been picked as a long-term tip by The Motley Fool.

Its marketplace business saw a 71% jump in sales volume in Q2 2024 compared to the same quarter last year. Additionally, it operates Mercado Pago, a logistics service known as Mercado Envios, a business lending platform, and more. These ventures are still in their early stages, leading The Motley Fool to conclude that as Latin America’s ecommerce and fintech industries grow, there will be “plenty of runway ahead”.

30 SECOND NEWS
Boeing plans to plead guilty.

• 🍊 Trump Media shares are up by a third after his assassination attempt.

• 🍏 Apple’s sales in India have jumped 33% in a year as it looks to expand its reach outside of China.

• 🛡️ Google is planning to buy cybersecurity firm Wiz for $23 billion.

• 🧥 Burberry’s CEO is leaving after the company issued a profit warning amidst a sales slump.