Corn Processor
Archer-Daniels, the world’s largest corn processor, has rallied 23 percent to $33.73 in 2013, after posting quarterly earnings and revenue that topped analysts’ estimates. While the stock posted its best quarterly gain since 2010 and has reached an almost two-year high, analysts haven’t raised their price target at the same pace. The average estimate of $32.38 is lower than the stock price last week.
Shares of Mattel have surged 20 percent in 2013, almost four times as fast as analysts pushed up estimates. At $43.77, the stock is trading above the $43.27 projection. Analysts estimated Western Digital was 21 percent underpriced throughout 2012, according to the average of their target prices compiled by Bloomberg. That spread narrowed to 1 percent last week after the maker of hard drives based in Irvine, California gained 18 percent in 2013 to $50.29.
While analysts raised their price projection for PG&E by 1.6 percent since February, it wasn’t enough to keep up with the stock. The owner of California’s largest utility advanced 11 percent in 2013, pushing the price to $44.53, less than 1 percent below analysts’ target of $44.93, data compiled by Bloomberg show.
“Many analysts and strategists have been skeptical of the market’s advance and staying power, they know we are in record territory and they don’t want to appear overly positive like many did in 2000 and 2007,” said Howard Ward, chief investment officer at Rye, New York-based Gamco Investors Inc., which oversees $36.7 billion. “I would view analyst skepticism, to the extent it exists, as a contrary indicator for the market.”