Ford upgrade, Carvana downgrade and Fathom Digital initiation among today's top calls on Wall Street Institutional investors and professional traders rely on The Fly to learn which companies the best analysts on Wall Street are saying to buy and sell.
Research analysts at Wall Street's largest banks issue recommendations on whether a stock should be bought, held, or sold. The Fly's team of financial market experts scours hundreds of research notes daily to uncover the best trading ideas. Check out today's top analyst calls from around Wall Street, compiled by The Fly.
Top 5 Upgrades:
- Raymond James analyst Aaron Kessler upgraded Duolingo (DUOL) to Outperform from Market Perform with a $98 price target. The company reported a "strong" Q1 with acceleration in monthly active users, daily active users and paid subscribers as product innovations drove increased user engagement, retention and conversion, Kessler tells investors in a research note.
- Piper Sandler analyst Kashy Harrison last night upgraded First Solar (FSLR) to Overweight from Neutral with a price target of $90, up from $80. The company's recent bookings momentum provides strong volume and pricing visibility through 2024, Harrison tells investors in a research note.
- Morgan Stanley analyst Adam Jonas upgraded Ford (F) to Equal Weight from Underweight with an unchanged price target of $13, noting that the recent selloff has brought the share price to under his target for the first time in over 18 months. At current levels, the stock offers a "more balanced risk-reward skew" given he sees over 90% upside to his $25 bull case valuation and over 60% downside to his $5 bear case valuation.
- Barrington analyst Gary Prestopino upgraded Paysign (PAYS) to Outperform from Market Perform with a $4 price target. The company reported better than expected Q1 results that included a sales increase of 31%, Prestopino tells investors in a research note.
- Barclays analyst David Joyce upgraded Endeavor Group (EDR) to Overweight from Equal Weight with an unchanged price target of $27. The company reported a better than expected Q1 with a slight increase to full-year guidance, Joyce tells investors in a research note. UBS analyst John Hodulik also upgraded Endeavor Group to Buy from Neutral with an unchanged price target of $33 post the Q1 beat.
Top 5 Downgrades:
- Jefferies analyst John Colantuoni downgraded Carvana (CVNA) to Hold from Buy with a price target of $40, down from $150. Upside for the shares "could be capped until liquidity concerns subside," Colantuoni tells investors in a research note.
- JPMorgan analyst Brian Ossenbeck downgraded UPS (UPS) to Neutral from Overweight with a $202 price target. UPS is executing well but lacks a catalyst, Ossenbeck tells investors in a research note.
- Oppenheimer analyst Rupesh Parikh downgraded PetIQ (PETQ) to Perform from Outperform after assuming coverage of the name. While Parikh sees continued momentum in the Products segment and cost pressures appear more manageable than other small cap names, continued headwinds in the Services business due to staffing challenges are likely to persist, and the analyst believes Street estimates could prove aggressive, he tells investors in a research note.
- Jefferies analyst Jeremy Dellis downgraded Vodafone (VOD) to Hold from Buy with a price target of 125 GBp, down from 150 GBp. The analyst warns that "caution is advisable" as he expects the company to issue guidance next week against a challenging backdrop without any letup to competitive headwinds.
- BofA analyst Sherif El-Sabbahy downgraded Proterra (PTRA) to Underperform from Buy with a price target of $5, down from $12.25. While he still views Proterra as "at the head of the pack" given that its products remain some of the few in the commercial EV space with substantial real world runtime, he finds it difficult to justify the "previously hefty premium" he placed on the stock given supplier headwinds that have plagued the broader industry, uncertainty in the timing of supply chain recoveries, the significant derating in the emerging EV and CleanTech spaces, and the rising rate environment,
Top 5 Initiations:
- BofA analyst Wamsi Mohan initiated coverage of Fathom Digital (FATH) with a Neutral rating and $7.00 price target. The analyst is positive on the company's large and fragmented total addressable market and sees it being well-positioned to capitalize on secular trend of Industry 4.0 with "strong revenue trajectory," though he also warns about the ongoing macro uncertainties and the potential execution risk arising from continuing to scale off a low base.
- Cantor Fitzgerald analyst Pete Stavropoulos assumed coverage of Eledon Pharmaceuticals (ELDN) with an Overweight rating and a price target of $15, down from $25. The analyst views Eledon's strategy to study tegoprubart in four distinct high-value unmet needs as creating multiple "shots on goal" that increases the overall probability for clinical success, he tells investors in a research note.
- Stifel analyst Tore Svanberg resumed coverage of Inseego (INSG) with a Hold rating and $2.50 price target. Inseego is a pure play 5G CPE vendor and he has a positive view on 5G wireless hotspots driven by higher broadband spending as well as Inseego's unique internal IP and products, Svanberg tells investors.
- JPMorgan analyst Richard Shane initiated coverage of Redwood Trust (RWT) with an Overweight rating and $11.50 price target. The analyst views Redwood as a "compelling investment" based on the company's ~21% discount to book value, multiple upside opportunities as its business recovers, and lower impact from rising rates.
- Cowen analyst Marc Bianchi initiated coverage of Nuscale Power (SMR) with an Outperform rating and $15 price target. The analyst sees the need for significant increases in nuclear power to achieve decarbonization and energy security goals, with increased urgency following Russia's invasion of Ukraine.
Symbols:
DUOL FSLR CVNA UPS PETQ F PAYS EDR VOD PTRA ELDN FATH INSG RWT SMR Keywords: analyst, analyst calls, upgrades, downgrades, initiations, research, wall street