Chevron upgraded, SolarEdge downgraded: Wall Street's top analyst calls
The most talked about and market moving research calls around Wall Street are now in one place. Here are today's research calls that investors need to know, as compiled by The Fly.
Top 5 Upgrades:
Mizuho upgraded Chevron (CVX) to Buy from Neutral with a price target of $209, up from $205. Although higher commodity prices and an improving macro outlook have driven outperformance of U.S. oil and gas stocks, there are some secular tailwinds for the energy sector that give more confidence in longer-term cash generation, the firm says. [Read more]
UBS upgraded Keurig Dr Pepper (KDP) to Buy from Neutral with a price target of $42, up from $37. Shares are pricing in a decline in earnings power over the next 12 months, but this is misplaced, the firm says, stating that an earnings inflection is beginning to take shape amid sustained mid-single-digit organic revenue growth and improved outlook for U.S. Coffee business. [Read more]
Goldman Sachs upgraded Brixmor (BRX) to Buy from Neutral with a $27 price target. The company's and leasing spreads are providing "reliable growth," while the shares are trading at a discounted multiple, the firm says. [Read more]
Wolfe Research upgraded NextDecade (NEXT) to Outperform from Peer Perform with an $8 price target. The firm believes the stock's risk/reward is "highly favorable" given the "limited commercial lift" to get a Train 4 of Rio Grande LNG final investment decision. [Read more]
Evercore ISI upgraded Magnite (MGNI) to Outperform from In Line with a price target of $14, up from $11. The firm says the company is seeing accelerating revenue and EBITDA growth and is in a more prominent position in the supply-side of the ad-tech food chain. [Read more]
Top 5 Downgrades:
BofA downgraded SolarEdge Technologies (SEDG) to Neutral from Buy with a price target of $181, down from $320. The firm is "incrementally bearish" on the company's medium term component sales outlook following channel checks with installers and distributors. [Read more]
Argus downgraded Magellan Midstream (MMP) to Sell from Hold after a "strong run- up" in the stock. [Read more]
BTIG downgraded Marqeta (MQ) to Sell from Neutral with a $4 price target. The stock has not moved significantly on news of the four-year contract renewal with Square's (SQ) Cash App, which is likely attributable to the details of the agreement and the effect on the net take rate, as well as ongoing woes for Marqeta's non-Block revenue streams, the firm says. [Read more]
Mizuho downgraded Marathon Petroleum (MPC) to Neutral from Buy with a price target of $161, up from $148. The firm stays constructive on the space, particularly U.S. exploration and production stocks, but while refining margins are likely strong, it says the risk/reward for the group is skewed to the downside. [Read more]
JPMorgan downgraded Chesapeake Energy (CHK) to Neutral from Overweight with a price target of $96, down from $97. The firm cites valuation, with the stock currently among the most expensive of the natural gas focused exploration and production companies. [Read more]
H.C. Wainwright downgraded Galera Therapeutics (GRTX) to Neutral from Buy with a price target of 30c, down from $6, after the company received a Complete Response Letter from the FDA for avasopasem for radiotherapy-induced severe oral mucositis in patients with head and neck cancer undergoing standard-of-care treatment. [Read more]
Top 5 Initiations:
Wells Fargo initiated coverage of GE HealthCare (GEHC) with an Overweight rating and $90 price target. The company is well positioned to capitalize on its opportunity in Alzheimer's, the firm tells investors in a research note. [Read more]
Morgan Stanley resumed coverage of News Corp. (NWSA) with an Overweight rating and $27.50 price target. News Corp. still has a large cyclical media earnings component, and while the last 12 months have been challenging, there are signs of stabilization in the earnings outlook, the firm says. [Read more]
JPMorgan reinstated coverage of ViaSat (VSAT) with a Neutral rating and $35 price target following a period of restriction. The firm is largely positive on the Inmarsat acquisition and the resulting shift towards higher-margin service revenue, but says the recent complications with the launch of ViaSat-3 Americas "pose a meaningful headwind" to the fixed broadband business. [Read more]
Barclays initiated coverage of Fortrea Holdings (FTRE) with an Equal Weight rating and $29 price target. The firm notes that in the near term, the stock is a show-me story as investors may first want to see evidence of the funding greenshoots showing up in topline in addition to seeing margin improvements. [Read more]
Guggenheim initiated coverage of Vera Therapeutics (VERA) with a Buy rating and $27 price target. The firm is bullish on the clinical, regulatory and commercial progress in the immunoglobulin A nephropathy market, and believes Vera's atacicept is well positioned to be a leader in that space. [Read more]
