Oracle Applauded, Bearish Calls on Best Buy; Ferrari Coverage Started

In Monday's Analysts' Actions, analysts say Oracle (ORCL) is a winner while taking a bearish stance on Best Buy (BBY). Meanwhile, one Wall Street firm is starting coverage of Ferrari (RACE). Goldman Sachs added Oracle to its 'Conviction BUY' list and lifted its price target to $47 from $45. The firm cited several reasons for this bullish outlook. Analysts expect cloud revenue growth to accelerate and it appears that Oracle's gross margins are expanding. However, risks include IT spending weakness and competition. In another note, RBC Capital Markets isn't too happy about Best Buy. The firm lowered its rating to SECTOR PERFORM from OUTPERFORM and cut its price target to $36 from $42. Analysts are worried about its deteriorating sales trends in the consumer electronics channel. They're also cautious given its historical volatility around the holidays. Last but not least, JPMorgan beginning coverage of Ferrari with a NEUTRAL rating and a $52 price target. Some positives include potential for strong earnings growth, due to increasing car sales. The firm says Ferrari is an 'iconic brand' and that there is 'tremendous opportunity' to expand into non-automotive product channels. But, analysts note the company could do more to grow EBIT faster than the luxury average. TheStreet’s U-Jin Lee reports in New York.