The most talked about and market moving research calls around Wall Street are now in one place. Here are today’s research calls that investors need to know, as compiled by The Fly.
Top Upgrades:
- Bernstein upgraded Arm (ARM) to Market Perform from Underperform with a price target of $100, up from $92. The firm says that with the share price down 40% in four weeks and more confidence in Arm’s mobile royalty growth, it finds the need to review its valuation argument.
- Exane BNP Paribas upgraded Enphase Energy (ENPH) to Outperform from Neutral with a price target of $144, up from $120. While the company may report some “lackluster” quarters in the near-term, overall trends point to a “robust” 2025 and a greater inflection than the Street forecasts on 2026 given faster rate cuts, rising customer bills, a negative correlation to recession and DC benefits, the firm tells investors.
- Citi upgraded Upstart (UPST) to Neutral from Sell with a price target of $33, up from $15. The firm sees several elements that indicate “upside revision risk has returned,” including improving conversion ratio, steadily declining Upstart Macro Index and an improved second half of 2024 fee revenue outlook.
- Wells Fargo upgraded Globus Medical (GMED) to Overweight from Equal Weight with a price target of $78, up from $60. The firm notes management has handled the NuVasive integration process far better than Wells expected, and Globus Medical has exceeded Street expectations over the past three quarters.
- BofA upgraded Cognizant (CTSH) to Neutral from Underperform with a price target of $75, up from $73, contending that new management has made some “clear progress” in rehabilitating the company’s competitive profile and culture and closing the revenue growth gap with Indian IT services peers.
Top Downgrades:
- TD Cowen downgraded Molson Coors (TAP) to Hold from Buy with a price target of $58, down from $68. TD expects the stock’s valuation to remain range-bound until the company demonstrates a path to stronger organic growth.
- BofA downgraded Supermicro (SMCI) to Neutral from Buy with a price target of $700, down from $1,090. The firm, which sees the next several quarters remaining challenged in terms of margin as Supermicro navigates a competitive pricing environment, delayed shipment of Nvidia (NVDA) Blackwell GPU systems that require higher margin liquid cooled racks and on-going issues with component availability, additionally notes that valuation multiples across the sector have re-rated “meaningfully lower.”
- Loop Capital downgraded Trex Company (TREX) to Hold from Buy with a price target of $75, down from $95, post Q2 report. The firm cites a more conservative sell through demand outlook for the downgrade. Stephens also downgraded Trex Company to Equal Weight from Overweight.
- Wells Fargo downgraded Amgen (AMGN) to Equal Weight from Overweight with a price target of $335, up from $320. The firm thinks the Street is already giving the stock near full credit for MariTide success.
- B. Riley downgraded TripAdvisor (TRIP) to Neutral from Buy with a price target of $19, down from $26, following the Q2 report. The firm cites a deterioration in the core Brand Tripadvisor revenue growth and margins implied in management’s outlook for the downgrade.
Top Initiations:
- TD Cowen initiated coverage of Abacus Life (ABL) with a Buy rating and $14 price target, implying 51% upside potential. Abacus has an attractive business model, generating strong returns as a market leader “with multiple moats,” the firm tells investors in a research note.
- Raymond James initiated coverage of Natural Gas Services (NGS) with a Strong Buy rating and $27 price target. The firm says that with the industry’s lowest leverage, least expensive valuation, highest revenue, and fastest growth since COVID, the company “presents an opportunity to capitalize on the uber-tight compression market.”
- Stifel initiated coverage of Cipher Mining (CIFR) with a Speculative Buy rating and $9 price target. The firm believes the company has set the stage for “significant” near-term growth by securing infrastructure and mining hardware to reach ~35 EH/s by the end of 2025 on a fully funded basis.
- EF Hutton initiated coverage of Anixa Biosciences (ANIX) with a Buy rating and $10 price target. Anixa is a biotechnology company that harnesses the immune system to fight cancer, the firm notes.