Deutsche Bank upgrade, Oracle downgrade and Uber coverage 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:
- Citi analyst Andrew Coombs upgraded Deutsche Bank (DB) to Neutral from Sell with a price target of EUR 11, down from EUR 11.90. The company's investor update seems credible and the shares have been oversold, Coombs tells investors in a research note. The update shows Deutsche's year got off to a strong start, even accounting for the fact that Q1 is always seasonally stronger, says the analyst.
- Guggenheim analyst Joseph Osha upgraded Shoals Technologies (SHLS) to Buy from Neutral with a $22 price target, arguing that shares are now "low enough" and that the company has done an "excellent job" in "a highly disrupted environment." In addition, though Shoals' outlook is below consensus expectations, it is "reasonably robust," Osha said.
- Deutsche Bank analyst Matthew Niknam upgraded Keysight Technologies (KEYS) to Buy from Hold with an unchanged price target of $176. The analyst sees 20% upside potential following the recent pullback in the shares.
- Stifel analyst Chris O'Cull upgraded Mister Car Wash (WCW) to Buy from Hold with an unchanged price target of $20. The analyst cites valuation for the upgrade with the stock down 15% since his initiation report.
- BofA analyst Joshua Dennerlein upgraded Ventas (VTR) to Buy from Neutral with a $65 price target. He remains most constructive on senior housing within healthcare REITs, said Dennerlein, who adds that he likes Ventas' expanded disclosures and change to how it reports earnings. Also, BMO Capital analyst Juan Sanabria upgraded Ventas to Outperform from Market Perform with a price target of $67, up from $57.
Top 5 Downgrades:
- Piper Sandler analyst Brent Bracelin downgraded Oracle (ORCL) to Underweight from Neutral with a price target of $70, down from $100, following last night's results. The analyst finds it difficult to see how a cloud shift can sustain a clear path to double-digit organic growth next year considering more than 70% of revenue is still tied to the traditional Oracle product categories where revenue declined by 1.6% year-over-year this quarter.
- Oppenheimer analyst George Iwanyc downgraded DocuSign (DOCU) to Perform from Outperform and removed his prior $250 price target after the company reported better than expected Q4 revenue and billings, but gave "disappointing" FY23 revenue guidance below consensus. The guidance shows that challenges in sales execution and resetting post-COVID consumption patterns remain near- to medium-term headwinds, Iwanyc said.
- Wedbush analyst Ygal Arounian downgraded MarketWise (MKTW) to Neutral from Outperform with a price target of $6, down from $11. MarketWise's Q1 "guidance" implies billings and revenue growth declining y/y, while management pulled formal guidance, and macro trends are leading to a challenging environment, Arounian tells investors in a research note.
- JPMorgan analyst Phil Gresh downgraded Chevron (CVX) to Underweight from Neutral with an unchanged price target of $169. The company is a "high quality" global oil major but its valuation "looks increasingly full," Gresh tells investors in a research note.
- UBS analyst Felix Liu downgraded Weibo (WB) to Neutral from Buy with a price target of $27.80, down from $64, telling investors that he expects weaker monetization and margins in 2022.
Top 5 Coverage Initiations:
- Deutsche Bank analyst Benjamin Black initiated coverage of Uber Technologies (UBER) with a Buy rating and $50 price target. The company stands to benefit from secular growth tailwinds, Black tells investors in a research note. The analyst believes Uber's demand and supply continuity throughout the pandemic will result in share gains.
- Deutsche Bank's Black initiated coverage of Roblox (RBLX) with a Buy rating and $60 price target. The company is an early leader in the interactive digital creator marketplace, with growing moats and strong network effects, the analyst tells investors in a research note.
- Raymond James analyst Dane Leone initiated coverage of Nkarta (NKTX) with an Outperform rating and $17 price target. The company is focused on developing allogeneic Natural Killer, or NK, cell therapy for cancer and lead clinical products are NKX101 for relapsed/refractory Acute Myeloid Leukemia and myelodysplastic syndrome and NKX019 for aggressive B-cell malignancies.
- Wells Fargo analyst Seth Weber initiated coverage of Caterpillar (CAT) with an Equal Weight rating and $231 price target. The company is well positioned for strength in the construction, energy, and mining markets, but the move deeper into the cycle limits its valuation upside, Weber tells investors in a research note.
- Cantor Fitzgerald analyst Ross Osborn assumed coverage of AxoGen (AXGN) with an Overweight rating and $21 price target. Osborn retains a favorable view of AxoGen's target market, peripheral nerve injury, with a current addressable market of $2.7B, believes its offerings could become the standard of care, and views the company's shares as significantly undervalued, the analyst tells investors in a research note.
Symbols:
ORCL DOCU MKTW NKTX DB SHLS UBER KEYS VTR CVX WB RBLX CAT AXGN MCW Keywords: analyst, analyst calls, upgrades, downgrades, initiations, research, wall street