eBay Downgraded Despite Making the Right Move Spinning Off PayPal

In Tuesday's Analysts' Actions, eBay (EBAY) and Kellog (K) are downgraded while GoPro (GPRO) gets its price target lifted. eBay was downgraded to a HOLD from a BUY at Canaccord Genuity. The firm is keeping its $57 price target for the stock. Analysts think separating PayPal and eBay into two publicly traded companies is the right move for shareholders but believe Marketplaces may struggle. Citigroup is lifting its price target for GoPro to $94 from $70. Citi analysts are keeping their NEUTRAL rating for the company but say they're raising their estimates on expectations that half of the high-end GoPro buyers will 'graduate' to the $500 HERO4 Black, which would offset the pricing pressure of the cheaper products. Kellogg was downgraded at Morgan Stanley to UNDERWEIGHT. The price target was also lowered by a dollar to $58. The firm says Kellogg will likely sustain sales weakness and limited margin expansion.

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