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 Upgrades:
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Benchmark upgraded Booking Holdings (BKNG) to Buy from Hold with a $4,700 price target. While the firm acknowledges its “timing may not be optimal given the rash of ongoing economic worries,” as well as some signs of anecdotal trading down in key European markets and how crowded the name is, it adds that its prior rating was inconsistent with its long-term view.
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Citi upgraded Array Technologies (ARRY) to Buy from Neutral with a price target of $14, down from $17. The shares are down over 40% this year, likely on fears of project push-outs, an unexpected CFO change, potential near-term margin pressure due to freight costs, and price declines, the analyst tells investors in a research note.
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Jefferies last night upgraded Inter Parfums (IPAR) to Buy from Hold with an unchanged price target of $140. The shares are oversold after dropping 17% year-to-date, the analyst tells investors in a research note.
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Jefferies upgraded Osisko Gold (OR) to Buy from Hold with an unchanged $19 price target. The firm cites the rise in gold prices providing a “meaningful lift” to forecasted free cash flows for gold-miners this quarter, with more to come in Q3.
Top Downgrades:
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UBS downgraded Tesla (TSLA) to Sell from Neutral with a price target of $197, up from $147. The stock’s valuation premium has widened of late on artificial intelligence enthusiasm, the analyst tells investors in a research note.
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Piper Sandler downgraded Vita Coco (COCO) to Neutral from Overweight with a price target of $28, down from $29. The analyst continues to believe the Vita Coco brand has a long runway of growth, but says the stock looks fairly valued at current levels given the company’s rising sea freight cost outlook.
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Baird downgraded UL Solutions (ULS) to Neutral from Outperform with a price target of $46, up from $41. The downgrade recognizes the stock’s outperformance, and a bit higher risk around margin improvement, the analyst tells investors in a research note.
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Scotiabank downgraded Marathon Oil (MRO) to Sector Perform from Outperform with a price target of $29, down from $45. Given that ConocoPhillips’ (COP) acquisition of Marathon will close by year-end, Marathon faces risk-arb pressures and the reduced price target is reflective of the stated exchange ratio, the analyst says.
Top Initiations:
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Wolfe Research initiated coverage of Spotify (SPOT) with an Outperform rating and $390 price target. The firm said that, relative to the music labels, Spotify provides pure-play exposure to evergreen music streaming without hit-driven variability, artist negotiation risk, and boasts minimal capital investment intensity.
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BTIG initiated coverage of Carvana (CVNA) with a Buy rating and $155 price target. The company trades at a premium to most e-commerce and auto-related stocks, but its vertically-integrated and in-sourced business model is “simply a better mousetrap in an enormous” total addressable market that investors shouldn’t overlook, the analyst tells investors in a research note.
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Barclays initiated coverage of Revolution Medicines (RVMD) with an Overweight rating and $52 price target. The analyst sees “two value-inflecting data readouts” in the second half of 2024 for the company.
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Stifel assumed coverage of Six Flags Entertainment (FUN) with a Buy rating and price target of $68, up from $53. The analyst is constructive on the new entity and believes there is “ample upside” to the legacy Six Flags parks.
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Scotiabank initiated coverage of Fluence Energy (FLNC) with a Sector Perform rating and $21 price target. The firm view Fluence – a pure play on large-scale battery storage providing utility-scale energy storage solutions for large utility projects – as a beneficiary of the secular growth trend in utility-scale battery storage in the U.S. as it ramps domestic manufacturing capacity and nearshores its supply chain.