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Stock Upgrades and Downgrades: Barclays Downgrades G-III Apparel, JPMorgan Upgrades Sea Ltd, BofA Alters Ratings for Old Dominion, Shake Shack, and Textron

Barclays downgraded G-III Apparel (NASDAQ: GIII) to Underweight with a $23 price target, citing Macy’s store closures, lost licenses, and subdued brand interest. They express uncertainty about future license agreements and potential acquisitions, expecting underperformance relative to the industry.

GIII stock dropped around 4.25% in premarket trading and closed down 10.56%.

JPMorgan upgraded Sea Ltd (NYSE: SE) to Overweight with a $70 price target, expecting increased ecommerce commissions to drive positive earnings. However, they caution about earnings volatility due to high take-rates.

Sea Ltd. stock rose 3.43% during the day.

BofA downgraded Old Dominion (NASDAQ: ODFL) to Neutral with a $446 price target due to limited upside and lower volume estimates, despite positive industry positioning. ODFL closed up 1.25%.

TD Cowen upgraded Shake Shack (NYSE: SHAK) to Outperform with a $125 price target, anticipating improved margins and traffic under a new CEO. SHAK gained 3.45% in trading.

BofA upgraded Textron (NYSE: TXT) to Buy with a $105 price target, citing strong aviation performance and defense budget growth prospects. TXT rose 2% during trading.

Reddit Plans IPO, Aiming for Valuation of Over $7 Billion

According to Bloomberg News, Reddit is seeking to raise up to $748 million in its upcoming public debut. The company plans to offer 22 million shares priced between $31 and $34 each, potentially valuing the internet business at over $7 billion.

As part of its IPO plans, Reddit intends to allocate approximately 1.76 million shares to its users and moderators who were active on the platform before January 1, without imposing a lockup period on these shares.

Reddit’s IPO filings highlight significant user engagement, with an average of 73.1 million daily active unique visitors in the last quarter. Despite its strong user base, the company reported a net loss of $91 million on $804 million in revenue for 2023, an improvement from the previous year’s $159 million loss on $667 million in revenue.

The IPO, led by financial giants Morgan Stanley, Goldman Sachs Group Inc (NYSE:GS), JPMorgan Chase & Co. (NYSE:JPM), and Bank of America Corp (NYSE:BAC), is expected to list on the New York Stock Exchange under the symbol RDDT.

As Monday rolls around, investors strap in for another week of financial rollercoaster rides. Like weekend warriors gearing up for battle, they brave the unpredictable markets armed with caffeine and courage. With each opening bell, they embark on a daring quest for profits, navigating through the highs and lows of stock charts like seasoned adventurers. So, grab your coffee and your sense of humor, because investing after the weekend is like diving into a thrilling novel—you never know what plot twists await!