The most talked about and most notable calls for studies on Wall Street are now in one place. Here are today’s research calls that investors need to know, as compiled by The Fly.
Top 5 Upgrades:
DA Davidson improved Apple (AAPL) buy from neutral with a price target of $230, up from $200. The company believes that the artificial intelligence capabilities revealed by Apple at the Worldwide Developers Conference will lead to an iPhone upgrade cycle.
Exane BNP Paribas revalued Robert Moitie (IRH) to outperform or underperform with a price target of $80. The company improved the personnel sector, expecting growth to improve and the earnings decline cycle to turn positive.
Exane BNP Paribas revalued Manpower Group (MAN) to outperform or underperform with a price target of $92. The company believes that the recruitment industry is near its lowest levels and that momentum will improve.
BTIG updated Staar Surgical (STAA) buy from neutral with a price target of $46. The company has reset its numbers to the point where it is well-positioned to take a beating with essentially zero unit volume growth expectations for fiscal 2024, the company told investors in a research note.
Improved Noble Capital AZZ inc. (AZZ) to outperform versus Market Perform with a price target of $95. With construction of a new factory in Washington, Missouri expected to be completed in fiscal 2025, the company sees “an increasingly favorable cash flow growth profile” and believes AZZ could more aggressively pursue acquisitions once its balance sheet deleveraging efforts are complete.
Top 5 downgrades:
Exane BNP Paribas downgraded Comcast (CMCSA) underperform from Neutral with a price target of $34. The company believes that the end of the Affordable Connectivity Program will lead to an increasingly volatile period in the U.S. telecommunications and cable industry.
Wedbush decommissioned CoreCivic (CXW) to Neutral from Outperform with a price target of $14, up from $19, after Immigration and Customs Enforcement informed the company of its intention to terminate its service contract for the Southern Family Residential Center. Texas in Dilley, Texas.
B. Riley downgraded Square space (SQSP) to Neutral from Buy with a price target of $43 after the company’s board accepted an all-cash offer of $44 per share from private equity group Permira.
JPMorgan downgraded Cleveland-Cliffs (FCF) to neutral from overweight with a price target of $17, up from $23. The company sees weakening fundamentals, increasing investment needs through 2028, and a lack of near-term growth unlike most of its industry peers.
Deutsche Bank downgraded NexPoint Residential (NXRT) hold since purchase with an unchanged price target of $38. The firm says its thesis of an “excessively discounted valuation” due to interest rate concerns has largely been proven true.
Top 5 initiations:
JPMorgan initiated coverage of Shopify (SHOP) with an overweight rating and a price target of $74. The company believes the company’s product breadth, ease of use and scale are “distinctive competitive advantages that will continue to fuel industry-leading growth.”
Bernstein initiated the coverage of On hold (NO) with an Outperform rating and a $50 price target. The company believes the business can maintain “strong double-digit growth.”
Citi has initiated a hedge of GE Vernova (GEV) with a neutral rating and a price target of $183. The Company believes that GE Vernova is well positioned to benefit from increasingly favorable demand trends across much of its portfolio, but given a high valuation multiple that largely reflects expected favorable demand trends and improving profitability, the short-term risk/reward ratio of the stock is relatively balanced.
Evercore ISI has initiated coverage of Confluence (CFLT) with an Outperform rating and a $35 price target. The company believes Confluent is the “runaway market leader” in the burgeoning $60 billion data streaming market.
Goldman Sachs initiated coverage of Rocket Lab (RKLB) with a neutral rating and a price target of $4.50. The company says the business currently has negative EBITDA and free cash flow, in an investment cycle with Neutron, and that the level and path to future profitability is uncertain.
