Tesla downgraded, Coinbase upgraded: 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 Coinbase (COIN) to Outperform from Perform with a $160 price target. Either Coinbase will prevail in the SEC lawsuit or the court will dismiss it, the analyst tells investors in a research note.
Deutsche Bank upgraded Snap (SNAP) to Buy from Hold with a price target of $19, up from $10. The analyst sees a "clear, strong catalyst path" towards upwards revenue and EBITDA revisions for Snap, supported by Snapchat+ creating incremental revenue, the advertising platform rebuild yielding strong performance results and driving growing advertiser adoption.
Seaport Research upgraded American Airlines (AAL) to Buy from Neutral with a $23 price target. The shares were up 10% yesterday and now up 12% YTD, but there is further upside on a "compelling" earnings trajectory, the analyst says. TD Cowen also upgraded American Airlines to Outperform from Market Perform with a price target of $21, up from $14.
Guggenheim upgraded Health Catalyst (HCAT) to Buy from Neutral with a $14 price target. The analyst thinks the TEMS deals that slipped into 2024 are close to deal signing following a conversation with the company and says management is incrementally positive on DOS pipeline commentary.
Susquehanna upgraded Coterra Energy (CTRA) to Positive from Neutral with a price target of $30, down from $31. The firm is lowering its 2024 WTI oil and HH natural gas price assumptions to $75/bbl from $80/bbl and $3.00/mmbtu from $3.75/mmbtu, respectively, as the supply/demand balance deteriorates.
Top 5 Downgrades:
Edward Jones downgraded Tesla (TSLA) to Hold from Buy and removed the stock from the firm's "Stock Focus List" following the company's recent earnings report and guidance. Increasing competition has pressured demand and consumer interest in electric vehicles has moderated, which has led to overall pricing pressures and reduced operating profitability for Tesla, the analyst tells investors.
UBS downgraded Archer Daniels (ADM) to Neutral from Buy with a price target of $51, down from $104. The analyst sees downside to Street earnings estimates driven by no growth in Nutrition segment, soy crush driving a year-over-year decline in crush earnings, weaker RPO earnings due to refined soybean oil premium shrinking and weaker carbohydrate solutions earnings driven by weakness in ethanol margins.
JPMorgan downgraded Dow Inc. (DOW) to Neutral from Overweight with an unchanged price target of $55. The analyst cites valuation for the downgrade with the shares reaching the price target.
Needham downgraded Intel (INTC) to Hold from Buy and removed the firm's previous price target after its Q1 guidance shortfall. The analyst states that the recent stock price gains and earnings "reset" leave the 12-month risk-reward for the stock "uncompelling," with a forward earnings multiple above 20-times looking "unattractive" relative to higher growth AI players.
UBS downgraded Humana (HUM) to Neutral from Buy with a price target of $370, down from $530. The firm believes the shares will trade at a mid-teens forward multiple from here given the volatility in the company's near-term results and management's commentary suggesting an extended time frame for recovery to normalized margins, the analyst tells investors in a research note.
Top 5 Initiations:
UBS initiated coverage of Chart Industries (GTLS) with a Neutral rating and $136 price target.While the analyst sees strong medium- and long-term growth for Chart, UBS says there are uncertainties in the near-term.
DA Davidson initiated coverage of MongoDB (MDB) with a Neutral rating and $405 price target and added the stock as a member of D.A. Davidson's "Best-of-Breed Bison" initiative. MongoDB operates in "a very attractive" $80B-plus database market with secular tailwinds and is "the clear NoSQL market leader," but shares as unlikely to outperform over the near-to-intermediate term given the stock's "already premium valuation," contends the analyst.
TD Cowen initiated coverage of Recursion Pharmaceuticals (RXRX) with a Market Perform rating and no price target. Recursion is uniquely positioned as a pioneer in AI-driven drug discovery with differentiated capabilities and partnerships in the small molecule arena, says the analyst, who thinks the stock's premium to peers is justified given execution and a differentiated platform.
Goldman Sachs reinstated coverage of Jabil (JBL) with a Buy rating and $141 price target. Following the divestiture of its Mobility business in a transaction valued at $2.2B, the company offers attractive longer-term EPS and free cash flow growth given its meaningful exposure to end markets such as hyperscale datacenter, EVs/ADAS, renewables, and healthcare, the analyst tells investors in a research note.
BTIG initiated coverage of Consensus Cloud Solutions (CCSI) with a Neutral rating and no price target. As one of the largest digital fax providers in the market, and Consensus Cloud is a source for the transformation, enhancement, and secure exchange of digital information for regulated industries, the analyst tells investors.
