In the latest round of Wall Street research calls, several notable upgrades and downgrades have emerged that investors should keep an eye on. Among the top upgrades, JPMorgan has raised its rating for Cadence Design Systems (CDNS) to Overweight from Neutral, setting a new price target of $325, up from $300. The firm suggests that the recent decline in Cadence's stock price presents a favorable entry opportunity for investors interested in a stable growth-oriented company.
Piper Sandler has improved its outlook for Edwards Lifesciences (EW), upgrading it to Overweight from Neutral, with a revised price target of $80, citing an optimistic view on the company’s growth in fiscal 2026 due to strengthening business segments.
HSBC has enhanced its rating for TE Connectivity (TEL) to Buy from Hold, increasing the target price to $175. The decision is based on the company's appealing valuation and prospective growth.
In contrast, some stocks have faced downgrades. Summit Insights has downgraded Texas Instruments (TXN) to Hold from Buy, reflecting concerns over a potential slowdown in recovery momentum later in the year. Similarly, B. Riley has reduced its rating for On Semiconductor (ON) from Buy to Neutral, acknowledging strategic efforts but questioning the timeline for revenue growth.
New coverage has also been initiated for several companies. Barclays has started covering Cytokinetics (CYTK) with an Overweight rating, anticipating FDA approval for its key product later this month. Meanwhile, Northland eyeing Lincoln Educational (LINC) positively has initiated coverage with an Outperform rating, optimistic about its positioning in the education sector amid rising demand for skilled labor.
These analyst moves reflect an evolving landscape of opportunities and challenges within various sectors, offering new insights for investors navigating today's volatile market.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 1 analysts, the average target price for ACCESS Newswire Inc (ACCS, Financial) is $13.00 with a high estimate of $13.00 and a low estimate of $13.00. The average target implies an upside of 50.29% from the current price of $8.65. More detailed estimate data can be found on the ACCESS Newswire Inc (ACCS) Forecast page.
Based on the consensus recommendation from 1 brokerage firms, ACCESS Newswire Inc's (ACCS, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for ACCESS Newswire Inc (ACCS, Financial) in one year is $16.11, suggesting a upside of 86.24% from the current price of $8.65. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the ACCESS Newswire Inc (ACCS) Summary page.
ACCS Key Business Developments
Release Date: March 06, 2025
- Revenue (Q4 2024): $5.8 million, a 1% increase over Q4 2023.
- Full Year Revenue (2024): $23.1 million, a 6% decrease from 2023.
- Gross Margin (Q4 2024): 75%, consistent with Q4 2023.
- Full Year Gross Margin (2024): 76%, down from 77% in 2023.
- Operating Expenses (Q4 2024): Increased by $13.3 million, primarily due to a $14.15 million impairment loss.
- Net Loss from Continuing Operations (Q4 2024): $10.9 million or $2.85 per diluted share.
- Full Year Net Loss from Continuing Operations (2024): $13.3 million or $3.47 per diluted share.
- Non-GAAP Net Income (Q4 2024): $819,000 or $0.21 per diluted share.
- EBITDA (Q4 2024): $770,000 or 13% of revenue.
- Adjusted EBITDA (Q4 2024): $871,000 or 15% of revenue.
- Cash on Hand (End of 2024): $4.1 million, down from $5.7 million at the end of 2023.
- Cash Provided by Continuing Operations (Q4 2024): $353,000.
- Subscription Business Revenue (Q4 2024): Accounts for approximately 50% of overall revenues.
- Debt Reduction: Reduced by 78% or $12 million to $3.3 million.
- Customer Growth (End of 2024): 12,349 customers, a 4% increase over the prior year.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- ACCESS Newswire Inc (ACCS, Financial) reported a 1% increase in revenue for Q4 2024, indicating some growth despite challenges.
- The company's subscription business now accounts for approximately 50% of overall revenues, up from 30% in the previous year.
- The sale of the compliance business significantly reduced debt by 78%, positioning the company for a debt-free future.
- Non-GAAP net income from continuing operations showed a positive trend, with $819,000 reported for Q4 2024.
- The company is focusing on expanding its subscription model, aiming for 75% of revenues from recurring subscriptions by the end of next year.
Negative Points
- Total revenue for the full year 2024 decreased by 6% compared to 2023, primarily due to lower volumes in the Newswire business.
- Operating expenses increased significantly due to a $14.15 million impairment loss associated with the Newswire trade name.
- The company reported a net loss from continuing operations of $10.9 million for Q4 2024, a substantial increase from the previous year.
- Cash on hand decreased from $5.7 million at the end of 2023 to $4.1 million at the end of 2024, partly due to debt repayments.
- The transition to a new business model and rebranding efforts have been time-consuming, impacting leadership focus and resources.
