Don't let it get away!
Keep track of the stocks that matter to you.
Help yourself with the Fool's FREE and easy new watchlist service today.
While Fools should generally take the opinion of Wall Street with a grain of salt, it's not a bad idea to take a closer look at particularly stock-shaking upgrades and downgrades -- just in case their reasoning behind the call makes sense.
What: Shares of Fortinet (NASDAQ: FTNT ) gained 2% this morning after Wedbush upgraded the network security technologist from neutral to outperform.
So what: Along with the upgrade, analyst Rohit Chopra raised his price target on the stock to $24, representing about 13% worth of upside to yesterday's close. While contrarians might be turned off by Fortinet's sharp rebound in recent months, Chopra believes there's more room to bounce given his forecast of reaccelerating sales in the second half of 2014.
Now what: According to Wedbush, Fortinet's risk/ reward trade-off is pretty tempting at this point. "[W]e are upgrading the stock for the following reasons," said Chopra in a report, "(1) we believe the recent CFO appointment is a positive, (2) we think estimates are achievable, (3) recent enhancements to channel program should drive sales in 2H14, and (4) the recent product cycle and additions to product portfolio offer a competitive and compelling solution." With Fortinet shares up about 20% over the past month alone and trading at a forward P/E of 40, however, I'd wait for a wider margin of safety before betting on it.
More reliable ways to build wealth
One of the dirty secrets that few finance professionals will openly admit is the fact that dividend stocks as a group handily outperform their non-dividend-paying brethren. The reasons for this are too numerous to list here, but you can rest assured that it's true. However, knowing this is only half the battle. The other half is identifying which dividend stocks in particular are the best. With this in mind, our top analysts put together a free list of nine high-yielding stocks that should be in every income investor's portfolio. To learn the identity of these stocks instantly and for free, all you have to do is click here now.