Monday’s Top 3 Downgrades: Shopify (NYSE:SHOP), Centrus Energy (NYSEAMERICAN:LEU), Petco (NASDAQ:WOOF)

Following stocks are moving in the pre-market session after key updates from analysts.

Loop Capital downgraded Shopify (NYSE:SHOP) to Hold from Buy with an unchanged $1,600 price target. The company remains one of the most compelling long-term fundamental stories in his coverage universe in our opinion, and the firm continues to believe that it is increasingly cementing its position as the dominant online “retail operating system,” but with the stock trading at 34.1-times the firm’s expected 2022 revenue, the current valuation levels are now line with the firm’s bullish outlook.

Roth Capital downgraded Centrus Energy (NYSEAMERICAN:LEU) to Neutral from Buy with a price target of $57, up from $27. The firm cites valuation for the downgrade but believes the outlook for the nuclear industry has improved significantly in recent months.

Jefferies downgraded Petco (NASDAQ:WOOF) to Hold from Buy with an unchanged price target of $26 following a 26% move up over the past three months as the S&P 500 gained 5%. Comparable store sales growth normalization in the quarters ahead might be underestimated by the current consensus view, while the firm is reassessing the firm’s vet assumptions given challenging labor conditions. While the firm pauses for fair value, the firm adds that the firm still favors Petco long-term strategy and growth opportunity.