Catch up on today’s top five analyst downgrades with this list compiled by The Fly: 1. Glaukos (GKOS) downgraded to Equal Weight from Overweight at Stephens with analyst Chris Cooley saying he has increased concern that proposed rates are not likely to improve materially and that surgeons may initially shift to performing goniotomy or significantly reduce their MIGS volume as the procedure could become unprofitable. 2. Penske Automotive (PAG) downgraded to Equal Weight from Overweight at Morgan Stanley with analyst Adam Jonas saying the franchise auto dealers have “benefitted substantially from the strongest supply-demand imbalance and inventory tightness seen in memory,” but after another record strong quarter Jonas believes cycle-high conditions provide “an outstanding opportunity” to reduce exposure to the franchise dealers before secular issues begin to surface. 3. Lowe’s (LOW) downgraded to Neutral from Outperform at Wedbush with analyst Seth Basham noting that existing home sales turnover, normally the largest driver of home improvement spending in the next two-three quarters, has peaked, and widely-cited forecasts call for only minimal increases in 2022 as weakening affordability and limited supply constrain sales. 4. Palo Alto Networks (PANW) downgraded to Hold from Buy at Loop Capital with analyst Yum Kim citing his recent industry checks into the security software industry which revealed that for the first time since the onset of COVID, large organizations are planning to focus on better management of all the investments in security software that they have, and many admit that “these were made in haste without having a long-term strategic plan in place.” 5. Zscaler (ZS) downgraded to Hold from Buy at Loop Capital with analyst Yun Kim saying that he is not making a negative call on any security software vendor, but also believes that their collective growth rates may have peaked. This list is just a portion of The Fly’s full analyst coverage. To see The Fly’s full Street Research coverage, (click here.):(http://thefly.com/streetResearch.php)
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