T-Mobile coverage initiation and Ford upgrade also among notable calls
Check out today's top analyst calls from around Wall Street, compiled by The Fly.
'EXCEPTIONAL' Q1 RESULTS: Craig-Hallum analyst Richard Shannon upgraded Nvidia (NVDA) to Buy from Hold with a price target of $750, up from $550, as he is increasing his estimates "substantially" following the company's "exceptional" first quarter results driven by record datacenter and gaming revenues. Given that the shares have been trading in a range for the past nine months while market valuations have increased, Nvidia "no longer looks that expensive" and he now sees "a reasonable risk/reward."
BUY CHIPOTLE: Stephens analyst James Rutherford upgraded Chipotle (CMG) to Overweight from Equal Weight with a price target of $1,700, up from $1,600. The recent pullback gave him an opportunity to study the Chipotlane opportunity, Rutherford said. His analysis showed a path to a 45% Chipotlane unit mix by 2030, which he sees yielding "material financial benefits." The analyst now thinks he was too short-sighted in his prior margin-related concerns and has a "new optimism" around both near- and longer-term drivers.
SUSTAINABLE 5G MOMENTUM: Benchmark analyst Matthew Harrigan initiated coverage of T-Mobile (TMUS) with a Buy rating and $187 price target. Harrigan expects T-Mobile will remain successful in "marketing and monetizing its U.S. 5G pole position" given its superior network performance.
INCREASED CONFIDENCE: RBC Capital analyst Joseph Spak upgraded Ford (F) to Outperform from Sector Perform with a price target of $17, up from $13. The analyst cited his increased confidence in the company's financial targets and said he also believes Ford's management has addressed investor concerns with its battery electric vehicle strategy. Spak added that the stock is not "overly expensive" trading toward the lower-to-mid portion of its historical valuation range at 8-times forward earnings and at enterprise value 3-times expected EBITDA.
GROWTH POTENTIAL: RBC Capital analyst Brad Erickson assumed coverage of Lyft (LYFT) with an Outperform rating and $70 price target. The analyst thinks the mobility sector has "more persistent growth potential than investors may realize." While the Lyft narrative has often been lauded as a single business line, he sees the brand and platform-potential as undermonetized.
Additionally, Erickson assumed coverage of Uber Technologies (UBER) with an Outperform rating and $65 price target. Uber is one of the most compelling names across the internet group at the moment, Erickson told investors in a research note. The analyst argued that the presumptive re-opening's effect on shared mobility as well as platform loyalty is yet to be seen.
The analyst also assumed coverage of
Booking Holdings (BKNG) with a Sector Perform rating and $2,400 price target;
CarGurus (CARG) with a Sector Perform rating and $30 price target;
Carvana (CVNA) with an Outperform rating and $300 price target;
Redfin (RDFN) with an Outperform rating and $70 price target;
Fiverr (FVRR) with an Outperform rating and $235 price target;
Airbnb (ABNB) with an Outperform rating and $170 price target;
Expedia (EXPE) with a Sector Perform rating and $175 price target;
DoorDash (DASH) with an Outperform rating and $175 price target;
Zillow (ZG, Z) with an Outperform rating and $155 price target;
Wix.com (WIX) with an Outperform rating and $300 price target;
Angi Inc. (ANGI) with a Sector Perform rating and $15 price target.