Sony (SNE) Stock Up, Deutsche Bank Upgrades on PS4 Sales

Deutsche Bank upgraded Sony (SNE) stock to a ‘buy’ rating in a bullish note today.
By Rachel Aldrich ,

NEW YORK (TheStreet) -- Shares of Sony (SNE) - Get Report are up 1.88% to $29.74 today as analysts at Deutsche Bank upgrade their rating on the stock to "buy."

The firm has a price target of 4000 yen, or $39.61, on the shares.

Analysts advocating to sell have cited the company's film and gaming divisions as well as its new forays into virtual reality technology. Deutsche Bank, however, sees the potential in Sony's popular PlayStation device.

"Although the prevailing market view is for PS4 shipments to peak in FY3.17, we estimate that industry dominance, diversification of hardware by adding a PS4 Neo, and strengthening the ecosystem with PS VR and PS Vue will drive PS4 shipment growth through FY3/18," the firm said in a note cited by Barron's.

Despite the fact that Sony suffered losses when its image sensor factor was damaged in earthquakes, Deutsche Bank said the company's camera technology still has long-term capacity.

Separately, TheStreet Ratings rated this stock as a "hold' with a ratings score of C+.

The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, TheStreet Ratings finds that the company's profit margins have been poor overall.

You can view the full analysis from the report here: SNE

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. 

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