"Target Slumps After Downgrade, Berkshire Adds to UnitedHealth Stake Amid Beyond Meat's Financial Woes and Nextech3D.ai's Blockchain Ticketing Platform"

Target Corp shares fell 1.6% after Bank of America downgraded the retailer to "Underperform" from "Neutral" citing deteriorating long-term prospects. Warren Buffett's Berkshire Hathaway added over 5 million shares of UnitedHealth Group, sending shares 13% higher. Beyond Meat reported a sharp decline in sales and a cash crunch, but denied reports of a potential bankruptcy filing. Applied Materials shares fell 13.2% after issuing weaker-than-expected guidance for Q4. Nextech3D.AI is developing a blockchain-based SaaS ticketing platform for the global event industry. Active Energy Group has made a pivot from biomass to Bitcoin and battery storage.

Target Corp (NYSE: TGT) shares fell by 1.6% on Friday following Bank of America's downgrade to "Underperform" from "Neutral," citing deteriorating long-term prospects [1]. The downgrade, which came ahead of Target's second-quarter report on Wednesday, was driven by concerns over the retailer's lagging sales, digital growth, and strategic investments. Bank of America analysts noted that Target's long-term outlook is collapsing as the company falls further behind its peers, with Target's mobile app monthly active users (MAUs) declining by 4.1% year-on-year in July compared to Walmart's US growth of +17.2% [1].

Additionally, Target's higher exposure to tariffs, estimated at around 50% of cost of goods sold, could require larger price increases than its peers to offset tariffs. This elevated import exposure, combined with merchandising and partnership changes, poses significant headwinds for Target [2].

Warren Buffett's Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) added over 5 million shares of UnitedHealth Group (NYSE: UNH) to its portfolio, sending the stock 13% higher on Friday. The investment, valued at approximately $1.57 billion as of June 30, positions UnitedHealth as the 18th-largest holding in Berkshire's diverse portfolio [3]. This move aligns with Buffett's contrarian investing philosophy, which involves acquiring fundamentally strong companies when their stock prices are depressed due to short-term challenges.

Beyond Meat reported a sharp decline in sales and a cash crunch, but denied reports of a potential bankruptcy filing. Applied Materials shares fell 13.2% after issuing weaker-than-expected guidance for Q4. Nextech3D.AI is developing a blockchain-based SaaS ticketing platform for the global event industry. Active Energy Group has made a pivot from biomass to Bitcoin and battery storage.

References:
[1] https://www.cnbc.com/2025/08/15/bank-of-america-downgrades-target-to-sell-says-long-term-outlook-is-faltering.html
[2] https://www.proactiveinvestors.com/companies/news/1076792/target-shares-slump-after-bank-of-america-downgrade-1076792.html
[3] http://money.mymotherlode.com/clarkebroadcasting.mymotherlode/article/marketminute-2025-8-15-corporate-crossroads-government-eyes-intel-stake-as-buffett-bets-on-healthcare-giant