Financials upgrades, Roblox downgrade and CVS Health 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:
- Baird analyst David George upgraded American Express (AXP), Capital One Financial (COF), M&T Bank (MTB) and Fifth Third Bancorp (FITB), all to Outperform from Neutral, arguing that the "relentless panic selling" that has prompted the recent crash in banks and financial stocks is providing an opportunity to add exposure to the group.
- BofA analyst Rafe Jadrosich upgraded Azek (AZEK) to Buy from Neutral with a price target of $22, down from $23, following its analyst day on Wednesday. The stock's valuation has de-rated versus the building products group and the company's growth potential is "compelling," Jadrosich tells investors.
- Stephens analyst Andrew Terrell upgraded Banner Corp. (BANR) to Overweight from Equal Weight with a price target of $67, up from $66, citing his belief that the Street is mismodeling the company's rate sensitivity position.
- RBC Capital analyst Shelby Tucker upgraded NextEra Energy Partners (NEP) to Outperform from Sector Perform with a price target of $89, up from $86, following the company's announcement to cap incentive distribution rights fees at $157M. The IDR announcement will help NextEra gain financial flexibility through lower equity needs and give the company more "ammunition to execute on dropdowns or acquisitions," Tucker tells investors in a research note.
- Goldman Sachs analyst Jason English upgraded Utz Brands (UTZ) to Buy from Neutral with a $16 price target. The analyst sees an above average top and bottom line growth outlook given the company's "strong" position in the salty snack category and strong in-market execution.
Top 5 Downgrades:
- Truist analyst Matthew Thornton downgraded Roblox (RBLX) to Hold from Buy with a price target of $29, down from $36. The digital entertainment group have outperformed the S&P 500 by 21-30 points since reporting earnings in mid-May and Roblox now screens least favorably among the group on its revision trend, valuation, and exposure to tailwinds and headwinds, Thornton tells investors.
- Wells Fargo analyst Deepa Raghavan downgraded Toll Brothers (TOL) to Equal Weight from Overweight with a $48 price target. The analyst says fundamental U.S. housing data is set to get worse and feed into negative investor sentiment.
- BofA analyst Rafe Jadrosich downgraded Owens Corning (OC) to Underperform from Buy with a price target of $80, down from $119. He believes new home demand deteriorated over the last few weeks and that demand will "get worse before it gets better," adding that Owens Corning has relatively high new construction exposure.
- Citi analyst P.J. Juvekar downgraded Dow Inc. (DOW) to Neutral from Buy with a price target of $60, down from $82. Commodity chemicals have outperformed the S&P 500 Index until last week by over 30%, "but we think that's about to end," Juvekar tells investors.
- B. Riley analyst Susan Anderson downgraded Urban Outfitters (URBN) to Neutral from Buy with a price target of $23, down from $35. As concerns about inflation continue to impact the consumer sector, it will take time for investors to regain confidence in future trend levels, Anderson tells investors in a research note.
Top 5 Initiations:
- Loop Capital analyst Joseph France initiated coverage of CVS Health (CVS) with a Buy rating and $120 price target. The company is well-positioned in its core markets, and with less debt and stronger earnings growth, CVS can afford more strategic acquisitions, the analyst tells investors in a research note.
- B. Riley analyst Christopher Souther initiated coverage of Blink Charging (BLNK) with a Neutral rating and $15 price target. The analyst sees challenges for Blink and its preferred Blink-owned model. Attempting to scale meaningful revenue from charging fees will be a challenge, with low utilization likely to continue in the near term and our expectation of a lack of pricing power long term, Souther tells investors in a research note.
- Cowen analyst Greg Williams initiated coverage of Starry (STRY) with an Outperform rating and $9 price target. He believes patient investors will be rewarded by investing in Starry as the first larger public home broadband fixed wireless pure-play provider trading in the public markets.
- Barclays analyst Theresa Chen initiated coverage of Archaea Energy (LFG) with an Overweight rating and $26 price target. Archaea is a leading waste-to-energy company with visible growth that is underpinned by long-term contracts with creditworthy counterparties, Chen tells investors in a research note.
- BMO Capital analyst Kostas Biliouris initiated coverage of Legend Biotech (LEGN) with an Outperform rating and $77 price target. Biliouris named Legend as a Top Pick, saying that Carvykti commercialization in Multiple Myeloma is a best-in-class late-line CAR T therapy expected to confer a significant revenue stream.
Symbols:
MTB FITB AZEK - $15.76 /
-2.565 (-14.00%)
NEP AXP COF BANR UTZ RBLX TOL OC URBN CVS BLNK STRY LFG LEGN DOW Keywords: analyst, analyst calls, upgrades, downgrades, initiations, research, wall street