Why United Natural Foods, Wells Fargo, Intersil, and Two Others Are Trending On Tuesday

Chesapeake Energy Corporation (NYSE:CHK) has received yet another thumbs up, this time from analysts at SunTrust, who raised their price target on the stock to $11 from $8 and kept their ‘Buy’ rating on it. The analysts like how Chesapeake is improving its efficiency in terms of lowering well costs. They also like how Chesapeake has largely put its liquidity issues to bed, as the company only has around $660 million of debt/credit due in 2016 and 2017. 31 funds that we track, including Carl Icahn‘s Icahn Capital LP, were long Chesapeake Energy Corporation (NYSE:CHK) at the end of the second quarter.

Perhaps in further fall-out from its recent $185 million settlement with U.S. regulators over its previous questionable tactics, which involved creating over 2 million fake accounts, Wells Fargo & Co (NYSE:WFC) has told some of its employees to halt the cross-selling of some of the firm’s products to customers. One reason for Wells Fargo’s questionable sales tactics was due to the push from management to increase cross-selling. 88 funds followed by Insider Monkey owned shares of Wells Fargo & Co (NYSE:WFC) at the end of the second quarter, down by two funds quarter-over-quarter.

Last but not least, Intersil Corp (NASDAQ:ISIL) is on traders’ tongues after Renesas Electronics agreed to buy it for $22.50 in cash per share, representing an aggregate equity value of around $3.2 billion. The deal has been unanimously approved by the Boards of both companies and is expected to close in the first-half of 2017. According to our records, hedge funds have largely missed out on today’s nearly 10% jump. The number of funds in our system with holdings in Intersil Corp (NASDAQ:ISIL) fell by two during the second quarter to 14 on June 30. Those 14 funds held just 3.80% of the company’s stock. While today’s jump was modest as far as acquisitions go, Intersil’s shares have gained 60% in the third quarter.

Disclosure: None