Regeneron upgrades, Virgin Galactic downgrade, and Frontier Communications 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:
- Morgan Stanley analyst Matthew Harrison upgraded Regeneron (REGN) to Overweight from Equal Weight with a price target of $851, up from $625. The analyst says Eylea "tail risk is removed" following yesterdays data and Regeneron is now a "key large-cap biotech growth story." Jefferies analyst Akash Tewari also upgraded Regeneron to Hold from Underperform with a price target of $675, up from $536, following what he described as "very strong" high-dose Eylea data.
- JPMorgan analyst Mark Murphy upgraded DocuSign (DOCU) to Neutral from Underweight with a $65 price target following a period of restriction. DocuSign is a "category-leading" application software company that has refined the contract-lifecycle management market, Murphy tells investors in a research note.
- UBS analyst Chris Snyder upgraded 3M (MMM) to Neutral from Sell with a price target of $126, up from $118. The valuation on the stock now fully accounts for the company's litigation liability and broader overhang, the analyst tells investors in a research note.
- Daiwa analyst Carlton Lai upgraded Coinbase (COIN) to Buy from Outperform with an unchanged price target of $100 following the retracement in share price over the past month. After "years of delay," the Ethereum Merge, which he deems "one of the crypto industry's biggest events this year," is scheduled to take place during the period of September 13-15, Lai tells investors.
- Needham analyst Mike Matson upgraded Penumbra (PEN) to Buy from Hold with a $244 price target. The analyst cites the management's recent conference commentary that the company is seeing stronger growth in Q3 amid an improvement in hospital staffing, share gains, or a combination of both of these.
Top 5 Downgrades:
- Bernstein analyst Douglas Harned downgraded Virgin Galactic (SPCE) to Underperform from Market Perform with a $4 price target. The company's Q2 results follow a pattern over the last two years that has meant delay of future flight operations, redesign of elements of its platform, and a need to raise more cash, Harned tells investors in a research note.
- Barclays analyst Mark DeVries downgraded Navient (NAVI) to Equal Weight from Overweight with a price target of $13, down from $19. As more details emerge, it's become clear that Federal Family Education Loan Program loans are meant to be included in the Biden Administration's loan forgiveness plan, DeVries tells investors in a research note.
- BofA analyst John Murphy downgraded CarMax (KMX) to Underperform from Neutral with a price target of $100, down from $146. Supply chain issues are likely to pressure auto volumes into 2023 and the macro environment has become a "greater risk," Murphy tells investors in a research note. Murphy also double downgraded Sonic Automotive (SAH) to Underperform from Buy with a price target of $71, down from $82, citing the same grounds.
- B. Riley analyst Jeff Van Sinderen downgraded Zumiez (ZUMZ) to Neutral from Buy with a price target of $25, down from $42. The company reported a "substantial" Q2 miss as sales were well below guidance after inflationary pressure increasingly impacted consumers in addition to pressure from lingering supply chain disruptions and higher logistics costs, Van Sinderen tells investors in a research note.
- Morgan Stanley analyst Jeffrey Hung downgraded Prelude Therapeutics (PRLD) to Equal Weight from Overweight with a price target of $11, down from $19. Though the company is reporting efficacy data later this year and he sees upside potential, he lacks conviction ahead of this year's go/no-go decision for PRT811 and sees better opportunities in his coverage universe, Hung tells investors.
Top 5 Initiations:
- Credit Suisse analyst Grant Joslin initiated coverage of Frontier Communications (FYBR) with a Neutral rating and $25 price target. While Frontier's post-emergence execution bona fides are clear, Joslin believes the ultimate ability of its fiber build to create equity value depends on the course of broadband competition, as reflected in gross add share, churn, and pricing, all of which he does not see clarifying soon, the analyst tells investors in a research note.
- Raymond James analyst Brian Gesuale initiated coverage of V2X (VVX) with a Strong Buy rating and $50 price target. V2X is an undervalued and under-followed entity and, besides a favorable defense spending backdrop, Gesuale sees trends at inflections that support an acceleration of growth, including rising geopolitical instability driving an increased forward military posture for the first time since 2011 that drives base operations spend globally, the analyst tells investors in a research note.
- Rosenblatt analyst Steve Frankel initiated coverage of Lincoln Educational (LINC) with a Buy rating and $8 price target. Lincoln is a "counter cyclical story that is doing all the right things" by expanding its program offerings, opening up new campuses and shifting to blended learning, Frankel tells investors in a research note.
- Morgan Stanley analyst Andrew Galler assumed coverage of Alnylam (ALNY) with an Equal Weight rating and $222 price target. Following the recent positive APOLLO-B data for Onpattro, the "portfolio has taken on a barbell shape," contends Galler, who explains that assets are either late- or commercial-stage and priced in or too early for him to ascribe material credit.
- DA Davidson analyst Linda Bolton Weiser initiated coverage of Waldencast Acquisition (WALD) with a Buy rating and $12 price target. The SPAC's combination partner Obagi is a a leader in professional skincare while Milk is a cult favorite makeup brand among Gen Z, the analyst tells investors in a research note.
Symbols:
SPCE FYBR VVX REGN - $709.21 /
+112.85 (+18.92%)
DOCU MMM COIN NAVI KMX ZUMZ LINC ALNY - $226.31 /
+17.37 (+8.31%)
PEN PRLD WALD SAH Keywords: analyst, analyst calls, upgrades, downgrades, initiations, research, wall street