United Airlines upgrades, JetBlue downgrade and Spire 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:
- JPMorgan analyst Jamie Baker double upgraded United Airlines (UAL) to Overweight from Underweight with a price target of $76, up from $60. Airline equities have rebounded as much as 60% from the recent fuel-panic lows achieved when demand trends were "grossly misunderstood," but he does not believe investors have missed the recovery, saying history suggests "we're nowhere near the point of demand destruction." Baker does not believe investors need United Airlines to achieve the $9.50 in earnings per share implied by a 9% pretax margin for the stock to work from current levels and thinks the equity can outperform, even if management misses its guidance. Argus analyst John Staszak also upgraded United Airlines (UAL) to Buy from Hold with a $59 price target.
- Argus analyst John Staszak upgraded American Airlines (AAL) to Buy from Hold with a $24 price target. JPMorgan's Baker also upgraded American Airlines (AAL) to Neutral from Underweight with a price target of $26, up from $18. Baker thinks the remaining upside potential for American Airlines supports a Neutral rating.
- Piper Sandler analyst Edward Tenthoff upgraded Milestone Pharmaceuticals (MIST) to Overweight from Neutral with a price target of $10, up from $8. The analyst is now confident etripamil can meet the primary endpoint of time to conversion to normal sinus rhythm within 30 minutes after hosting a call with Dr. Bruce Stambler of the Piedmont Heart Institute on etripamil to treat paroxysmal supra-ventricular tachycardia.
- Mizuho analyst Vikram Malhotra upgraded Boston Properties (BXP) to Buy from Neutral with a price target of $135, up from $120. The analyst names the stock his top pick in office REITs, replacing Kilroy Realty (KRC).
- Citi analyst P.J. Juvekar upgraded Dow Inc. (DOW) to Buy from Neutral with a price target of $82, up from $70. Dow reported a strong Q1 as it was able to overcome rapid inflation with pricing, Juvekar tells investors, adding that his analysis shows that Dow has outperformed the S&P 500 Index in periods of rising interest rates.
Top 5 Downgrades:
- Deutsche Bank analyst Michael Linenberg downgraded JetBlue Airways (JBLU) to Hold from Buy with a price target of $16, down from $21. The carrier faces specific headwinds that are likely to limit share price upside, Linenberg tells investors. The analyst believes JetBlue's profit margins will lag the industry average for at least the next two quarters, and therefore, expects share price underperformance relative to the names he favors.
- Baird analyst Peter Arment downgraded AeroVironment (AVAV) to Neutral from Outperform with an unchanged price target of $95. A roughly 60% gain in the shares in two months reflects "a lot" of future SwitchBlade orders baked in, though these will take time to materialize, Arment tells investors, adding that he views the stock as having gotten "ahead of itself."
- UBS analyst Thomas Wadewitz downgraded Union Pacific (UNP) to Neutral from Buy with a price target of $267, down from $283. The analyst warns that the company's current capacity constraints and service issues may weigh on volume performance, adding that these issues also reduce his conviction in Union Pacific's ability to execute on its volume growth strategy.
- Raymond James analyst Steve Hansen downgraded Canadian National Railway (CNI) to Market Perform from Outperform with a price target of C$175, down from C$180. The analyst lowered estimates for the Canadian railroads to account for a weaker than expected start to the year and incremental concerns over the slowing economic backdrop.
- Craig-Hallum analyst Alex Fuhrman downgraded Land's End (LE) to Hold from Buy with a price target of $15, down from $35, after Gap (GPS) substantially lowered its Q1 outlook after having issued its quarterly view just seven weeks ago with more than a third of the quarter completed. He thinks Lands' End has executed well over the past few years, but is "certainly not immune to broader economic trends."
Top 5 Coverage Initiations:
- Raymond James analyst Ric Prentiss initiated coverage of Spire Global (SPIR) with an Outperform rating and $4 price target. He believes the low share price for the space-based data and solutions company, which operates a constellation of 70-100 Low-Earth Orbit, or LEO, nano-satellites, offers an attractive entry point given the long-term value creation potential he sees.
- Bernstein analyst Matti Littunen initiated coverage of Electronic Arts (EA) with an Outperform rating and $157 price target. The analyst views the $180B video games industry as the "best structural growth opportunity" in media and sees Electronic Arts as oversold relative to its "quality and growth potential."
- Bernstein's Littunen also initiated coverage of Take-Two (TTWO) with an Outperform rating and $173 price target. EA and Take-Two "are the adults in the game room, having learned from past mistakes and built mature businesses without losing the potential for growth," Littunen tells investors.
- Ladenburg analyst Aydin Huseynov initiated coverage of Cognition Therapeutics (CGTX) with a Buy rating and $10 price target. Cognition may have "the next generation solution" to Alzheimer's disease with the oral and blood-brain penetrant small-molecule sigma-2 receptor antagonist, CT1812, if reducing amyloid beta in brain structures is if fact the AD solution, as many large biopharma companies are investing behind, Huseynov said.
- Canaccord analyst Michael Graham initiated coverage of Super Group (SGHC) with a Buy rating and $14 price target. Though regulatory changes in key markets are impacting growth this year, the impact is likely temporary and Super Group's consistent profitability and significant cash flow generation differentiates it from digital gambling business peers, the analyst said.
Symbols:
UAL AAL MISTMilestone Pharmaceuticals
BXP KRC DOW JBLU AVAV UNP CNI - $125.67 /
-1.645 (-1.29%)
LE GPS - $11.77 /
-2.515 (-17.61%)
SPIR EA TTWO CGTX SGHC Keywords: upgrades, downgrades, initiations, research, Wall Street, analyst, analyst calls