Redfin upgraded, CSSE 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:
Oppenheimer upgraded Redfin (RDFN) to Perform from Underperform on valuation and removed the firm's $10 price target. Oppenheimer believes the shares are fairly valued at their current 26% discount to peers on 2024 gross profit. [Read more]
Raymond James upgraded CareDx (CDNA) to Outperform from Market Perform with a $12 price target. The firm thinks the worst is behind the company and believes recent signs, such as AlloSure Lung and HeartCare reimbursement from Medicare, show that coverage improvement can still occur. [Read more]
BofA upgraded HASI (HASI) to Buy from Neutral with a $27 price target. Inflation Reduction Act tailwinds have been stronger than expected, and HASI's hedges should mitigate interest rate headwinds, the firm says. [Read more]
Morgan Stanley upgraded Pharvaris (PHVS) to Overweight from Equal Weight with a price target of $34, up from $10. The firm believes Pharvaris is positioned to deliver the first oral therapy for the on-demand treatment of hereditary angioedema supported by positive Phase 2 RAPIDe-1 data and the FDA lifting the clinical hold. [Read more]
RBC Capital upgraded Hexcel (HXL) to Outperform from Sector Perform with a price target of $85, up from $75. The firm anticipates an acceleration in aerospace growth in 2024 and 2025. [Read more]
Top 5 Downgrades:
Craig-Hallum downgraded Chicken Soup for the Soul (CSSE) to Hold from Buy with a price target of $1, down from $8. The firm continues to see value in Chicken Soup for the Soul assets but views these as overshadowed by a highly leveraged balance sheet, and unlikely to see investor appeal until profit begins to inflect. [Read more] Alliance Global Partners also downgraded Chicken Soup for the Soul to Neutral from Buy without a price target. [Read more]
SVB Securities downgraded Design Therapeutics (DSGN) to Market Perform from Outperform with a price target of $6, down from $22, following a mixed data and development update from the Phase 1 MAD study of DT-216 in Friedreich's ataxia, prompting the company to pursue a new formulation of DT-216 and pushing the next data catalysts out considerably. [Read more] Wedbush also downgraded Design Therapeutics to Neutral from Outperform with a price target of $6, down from $19, [Read more] while RBC Capital cut the stock's rating to Sector Perform from Outperform with a price target of $7, down from $23. [Read more]
Mizuho downgraded BioXcel Therapeutics (BTAI) to Neutral from Buy with a price target of $4, down from $40, following the company's restructuring and strategic reprioritization that were announced during the Q2 results. [Read more]
Baird downgraded Forward Air (FWRD) to Neutral from Outperform with a price target of $80, down from $130. The company's acquisition of Omni Logistics is "thesis-changing," as it complicates the company's strategy and introduces considerable execution risk, the firm tells investors in a research note. [Read more]
Truist downgraded Avid Technology (AVID) to Hold from Buy with a price target of $27.05, down from $45. The firm cites Symphony Technology Group's recent announcement that an affiliate has entered into a definitive agreement to acquire Avid in an all-cash transition that values the company at $1.4B in enterprise value, or $27.05 per share, for the downgrade. [Read more]
Top 5 Initiations:
KeyBanc initiated coverage of Oddity (ODD) with an Overweight rating and $60 price target. The firm believes Oddity is in the early stages of its growth story, with near-term tailwinds from its ongoing disruption of beauty and wellness end markets but longer-term growth opportunities that can be unlocked "given its unique, differentiated technology." [Read more] Barclays also started coverage of Oddity with an Equal Weight rating and $57 price target. [Read more]
Cantor Fitzgerald initiated coverage of Computer Programs & Systems (CPSI) with an Overweight rating and $24 price target. The stock's current multiple does not reflect the company's shift to a majority revenue cycle management business, the potential to upsell into existing electronic health record clients, or the enhanced need of community hospitals to efficiently outsource functions in a challenging margin environment, the firm says. [Read more]
Cantor Fitzgerald initiated coverage of R1 RCM (RCM) with an Overweight rating and $20 price target. The firm sees cross-selling opportunities between legacy R1 and recently acquired Cloudmed as driving multiyear revenue growth above industry trends over the next five years. [Read more]
DA Davidson resumed coverage of Diebold (DBD) with a Neutral rating and $25 price target after the company announced its emergence from Chapter 11 bankruptcy and re-listing on the NYSE. [Read more]
Canaccord resumed coverage of GameSquare (GAME) with a Buy rating and $4 price target. The firm sees a "reasonable valuation" at current share levels. [Read more]
