Wall Street Research Calls: Top Upgrades, Downgrades, and Initiations
Keeping a finger on the pulse of Wall Street’s research calls is crucial for savvy investors. These insights often influence market movements and guide investment decisions. Here are today’s key research calls from top analysts, providing valuable insights for investors.
Top 5 Upgrades
1. **Target (TGT)**: BofA upgraded Target to Buy from Neutral, raising the price target to $135 from $120. The recent stock pullback has improved the risk/reward profile, making it an attractive investment.
2. **First Solar (FSLR)**: Barclays upgraded First Solar to Overweight from Equal Weight, setting a price target of $224. The company’s contracted backlog, domestic advantages, and attractive valuation present a compelling entry point despite uncertainties in utility-scale growth.
3. **Exxon Mobil (XOM)**: Truist upgraded Exxon Mobil to Buy from Hold, upping the price target to $131 from $100. The acquisition of Pioneer Natural Resources (PXD) is expected to yield long-term benefits.
4. **Warby Parker (WRBY)**: BTIG upgraded Warby Parker to Buy from Neutral, setting a price target of $17. Survey results indicate a significant untapped market opportunity for the company.
5. **Clorox (CLX) and Kimberly-Clark (KMB)**: Bernstein upgraded Clorox to Market Perform from Underperform, maintaining the price target at $120. Additionally, Kimberly-Clark was upgraded to Market Perform from Underperform with a price target of $118.
Top 5 Downgrades
1. **Beyond Meat (BYND)**: Mizuho downgraded Beyond Meat to Underperform from Neutral, lowering the price target to $5 from $12. Challenges in the category, cash burn, and risk to estimates were cited as reasons for the downgrade.
2. **Jack Henry (JKHY)**: Goldman Sachs downgraded Jack Henry to Sell from Neutral, reducing the price target to $140 from $165. Higher costs related to cloud transition and recent tax changes are expected to impact free cash flow.
3. **ResMed (RMD)**: RBC Capital downgraded ResMed to Sector Perform from Outperform, setting a price target of $202 from $273. Minimal earnings growth and financial concerns contributed to this decision.
4. **Carvana (CVNA)**: Exane BNP Paribas downgraded Carvana to Neutral from Outperform, with a price target of $37, reflecting reduced confidence in unit growth.
5. **Welltower (WELL)**: JPMorgan downgraded Welltower to Neutral from Overweight, maintaining an unchanged price target of $90, considering valuation premium.
Top 5 Initiations
1. **Snowflake (SNOW)**: BofA initiated coverage of Snowflake with a Neutral rating and a price target of $195. While Snowflake has a strong market position, its pricing model faces challenges affecting growth.
2. **Shopify (SHOP)**: Seaport Research initiated coverage of Shopify with a Buy rating and a price target of $64, recognizing its growth potential in the market.
3. **MongoDB (MDB)**: BofA initiated coverage of MongoDB with a Buy rating and a price target of $450, citing its potential to gain market share from leading competitors.
4. **Monday.com (MNDY)**: UBS initiated coverage of Monday.com with a Neutral rating and a price target of $175, considering revenue and competitive risks.
5. **Genuine Parts (GPC)**: UBS initiated coverage of Genuine Parts with a Neutral rating and a price target of $160, emphasizing its strong positioning in primary business segments.
By staying informed about these significant research calls, investors can make well-informed decisions and navigate the market efficiently. Always conduct thorough research and consider your risk tolerance before making any investment choices.
Wall Street Research Calls: Target Upgraded, Canva Downgraded – Source: Yahoo Finance
