Just How Negative is Goldman Following Their Downgrade of Mead Johnson Nutrition (NYSE:MJN)?


Mead Johnson Nutrition (NYSE:MJN) Receives a Downgrade

Goldman cut the rating for shares of Mead Johnson Nutrition (NYSE:MJN) to a”Neutral” from a “Buy”. This rating change was released in analysts note earlier today.

From a total of 12 analysts covering Mead Johnson Nutrition Company (NYSE:MJN) stock, 9 rate it a ”Buy”, 1 a “Sell”, and 6 a ”Hold”. This means that 56% of the ratings are positive. The highest target price is $99 while the lowest target price is $75. The mean of all analyst targets is $87.17 with a 12.42% above today’s ($77.03) stock price. Mead Johnson Nutrition Company was the topic of 9 analyst reports since September 16, 2015 according to the firm StockzIntelligence Inc. Susquehanna initiated shares on October 26 with “Neutral” rating. Nomura upgraded shares to “Buy” rating and $93 target share price in a report from an October 7. Credit Suisse downgraded MJN stock in a recent report from October 23 to “Neutral” rating. Finally, Bank of America downgraded the stock to “Underperform” rating in a report issued on an October 8.

Approximately 972,777 shares of stock traded hands. Mead Johnson Nutrition CO (NYSE:MJN) has declined 18.78% since May 11, 2015 and is downtrending. It has underperformed by 14.36% the S&P500.

The overall sentiment of institutions has increased to 1.09 in Q2 2015. Its up 0.14, from 0.95 in 2015Q2. The ratio increased, as 79 institutions have sold all the shares of Mead Johnson Nutrition CO that they owned while 167 funds have taken shares off the table. 70 funds have purchased shares for the first time while 197 added to their positions. These institutions now hold 174.77 million shares or 6.99% less than the 187.90 million shares they owned in 2015Q2.

The Fund Boussard & Gavaudan Investment Management Llp currently is holding shares equating to 32.04% of its total portfolio in Mead Johnson Nutrition CO representing a total of 280,397 shares. Another fund,Joho Capital Llc, is holding a total of 647,300 shares equating to 13.05% of their holdings. Additionally, Vgi Partners Pty Ltd has a 223,398 share stake in Mead Johnson Nutrition CO which represents 6.33% of their total portfolio. The Fund, Holowesko Partners Ltd., based out of Bahamas, has also built up a stake in the stock, which represents a total of 6.3% of their total portfolio. Finally Tyrian Investments L.P., a fund which is based in the state of New York reported a total holdings of 169,641 shares.

Insider activity is a very important aspect to track on any stock. Going back to March 16, 2015, shareholders of Mead Johnson Nutrition CO have witnessed 1 insider buy, and a total of 2 sales equating to a net activity of approximately $135,339 . Clark Clesteen A bought 500 shares worth approximately $38,023. Catalano Anna C sold 1,125 shares worth approximately $86,175. Casiano Kimberly A sold 1,138 shares worth approximately $87,187. De Weerdt Tom sold 7,585 shares worth approximately $725,444. The company insider Singer Robert S sold 5,000 shares worth $479,025.

Mead Johnson Nutrition Company is a global pediatric nutrition company. The company has a market cap of $15.35 billion. The Firm makes, distributes and sells infant formulas, children’s nutrition and other nutritional products. It has 22.84 P/E ratio. The Company’s product portfolio includes routine and specialty infant formulas, children’s milks and milk modifiers, dietary supplements for pregnant and breastfeeding mothers, pediatric vitamins, and products for pediatric metabolic disorders.

According to Zacks Investment Research, “Mead Johnson, a global leader in pediatric nutrition, develops, manufactures, markets and distributes more than 70 products in over 50 markets worldwide. The company’s mission is to nourish the world’s children for the best start in life. The Mead Johnson name has been associated with science-based pediatric nutrition products for over 100 years. The company’s Enfa family of brands, including Enfamil? infant formula, is the world’s leading brand franchise in pediatric nutrition.”