Robinhood upgrade, Coinbase downgrade and Oracle reinstatement 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:
- Goldman Sachs analyst Will Nance upgraded Robinhood (HOOD) to Neutral from Sell with a price target of $9.50, down from $11.50. The analyst sees a more balanced risk/reward profile with the shares underperforming significantly since his downgrade to Sell.
- Needham analyst Anna Andreeva upgraded Chewy (CHWY) to Buy from Hold with a $55 price target. The company beat expectations in the first quarter and the positive momentum continued into the second quarter as the pet category is "inelastic" and "rational" with price increases sticking and supply chain improving, Andreeva told investors in a research note.
- Goldman Sachs analyst Kate McShane upgraded AutoZone (AZO) to Buy from Neutral with a price target of $2,296, up from $1,969. The analyst views the company as defensively positioned in the current environment saying the majority of auto part sales are non-discretionary.
- Goldman Sachs analyst Kate McShane upgraded Ollie's Bargain Outlet (OLLI) to Neutral from Sell with a price target of $57, up from $37. The analyst expects the company will benefit from an increase in closeout opportunities related to the broader retail industry's current inventory position.
- Goldman Sachs analyst Kash Rangan upgraded Atlassian (TEAM) to Buy from Neutral with a price target of $300, up from $279. The analyst has become "incrementally more positive" on Atlassian as the company reaches a "pivotal moment" in its cloud transition.
Top 5 Downgrades:
- Goldman Sachs analyst Will Nance downgraded Coinbase (COIN) to Sell from Neutral with a price target of $45, down from $70. The analyst believes current crypto asset levels and trading volumes imply "further degradation" in Coinbase's revenue base, which he sees falling 61% year-over-year in 2022 and 73% in the back half of the year.
- Needham analyst Anna Andreeva downgraded Etsy (ETSY) to Hold from Buy without a price target. The analyst views the discretionary nature of the Etsy model as "increasingly at risk."
- B. Riley analyst Susan Anderson downgraded Bed Bath & Beyond (BBBY) to Neutral from Buy with a price target of $7, down from $17. His previous thesis was based on a turnaround in the business, but store traffic has continued to decline and supply chain challenges have hindered sales even as the company has executed on some of its initiatives, such as closing unproductive stores and selling off non-core brands.
- Bank of America analyst Sara Senatore downgraded Cracker Barrel (CBRL) to Underperform from Neutral with a price target of $94, down from $108. Near-term headwinds continue to build for its customers and the stock's relative multiple has tracked same-store sales growth, which Senatore sees as likely to be revised downward.
- Goldman Sachs analyst Kash Rangan downgraded Altair Engineering (ALTR) to Sell from Neutral with a price target of $41, down from $62. The steady deterioration of the macro environment since the company reported in early May, and in turn weaker operating conditions at its end customers, could add downside risk to Altair's fiscal year software revenue guide, Rangan told investors in a research note.
Top 5 Coverage Initiations:
- Goldman Sachs analyst Kash Rangan reinstated coverage of Oracle (ORCL) with a Sell rating and $75 price target following the close of the Cerner acquisition and fourth quarter earnings report.
- Wells Fargo analyst Derek Archila initiated coverage of Blueprint Medicines (BPMC) with an Underweight rating and $40 price target. The analyst thinks Ayvakit will likely get approved in non-advanced systemic mastocytosis but says this seems to be priced into the stock at these levels.
- Bank of America analyst Sara Senatore reinstated coverage of Brinker (EAT) with an Underperform rating and $26 price target as she sees competition dictating margins and returns. The bar & grill space in which Chili's competes is "hypercompetitive," the analyst noted, adding that the company's leverage could amplify its recession risk. Senatore also started coverage of Texas Roadhouse (TXRH) with a Buy rating and $96 price target.
- Bank of America analyst Katherine Griffin reinstated coverage of Darden (DRI) with a Buy rating and $145 price target. The demand backdrop for Darden, the largest full-service restaurant operator in the U.S., is "benign if not favorable," said Griffin, who views Darden as well-positioned to capture volume growth "in all forms," from off-premise channels as well as pent-up demand for dining occasions.
- Credit Suisse analyst John Roberts initiated coverage of Albemarle (ALB) with an Underperform rating and $185 price target as spot lithium prices are up 150% year-to-date to $50k/ton and now well above the high end of the cash cost curve, and even above reinvestment prices. In his view, this makes further price gains highly speculative. The analyst also started coverage of Celanese (CE) and LyondellBasell (LYB) with Underperform ratings.
Symbols:
HOOD CHWY AZO - $2,185.04 /
+26.04 (+1.21%)
OLLI TEAM - $200.95 /
-4.245 (-2.07%)
COIN ETSY BBBY CBRL ALTR ORCL BPMC EAT DRI ALB CE LYB TXRH Keywords: analyst, analyst calls, upgrades, downgrades, initiations, research, wall street