Coinbase and Robinhood upgraded: Wall Street’s top analyst calls

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 5 Upgrades:

• Barclays upgraded Coinbase (COIN) to Equal Weight from Underweight with a price target of $169, down from $206. Over the past year, the business models at both Coinbase and Robinhood (HOOD) have matured and while risks remain for both models, there is also potential sales catalysts from new products and regulation, the analyst tells investors in a research note.
• Barclays also upgraded Robinhood to Equal Weight from Underweight with a price target of $20, up from $18. The firm says valuation is “starting to look more sensible.”
• Mizuho upgraded Fortive (FTV) to Outperform from Neutral with a price target of $90, up from $80, after the company announced its intention to pursue a tax-free spin-off of its Precision Technologies segment. The firm Fortive’s sum-of-the-parts valuation is now “too attractive to ignore.”
• Barclays upgraded RadNet (RDNT) to Overweight from Equal Weight with a price target of $79, up from $57. After hosting a clinic tour and group meeting with CFO Mark Stolper and SVP of Northeast Operations Vickie Bedel in New York, the analyst walked away with greater conviction in the artificial intelligence use cases for radiology, where it says RadNet has “fully embraced the movement.”
• Wolfe Research upgraded Eaton (ETN) to Peer Perform from Underperform without a price target. Over the past five months, Eaton’s “extreme” valuation metric has “reverted back to more rational levels,” the analyst tells investors in a research note.

Top 5 Downgrades:

• JPMorgan downgraded Supermicro (SMCI) to Neutral from Overweight with a price target of $500, down from $950. The firm says its downgrade is not led by lower confidence in the company’s ability to regain compliance in relation to regulatory filings or related to any of the tenets of the Hindenburg Research short report, but reflects a near-term view that here is a not a clear rationale for new investors stepping into Supermicro shares while uncertainty exists around regaining compliance with regulators that is critical beyond the unchanged business fundamentals.
• Wolfe Research downgraded Fortive to Peer Perform from Outperform without a price target. While the shares remain at an “attractive discount” to its $83 sum-of-the-parts valuation, there is low probability of significant multiple expansion during the 15-month spin process, consistent with precedent transactions, the analyst tells investors in a research note.
• Jefferies downgraded Bloom Energy (BE) to Hold from Buy with a price target of $11, down from $15. The analyst cites uncertainty on the company’s backlog, expiration of the tax credits and minimal transparency around SK for the downgrade.
• TD Cowen downgraded KBR (KBR) to Hold from Buy with an unchanged price target of $72. Now that the Linquest acquisition closed, KBR shares have a “less catalyst-rich path” over the next six months, the analyst tells investors in a research note.
• JPMorgan downgraded Organon (OGN) to Underweight from Neutral with a price target of $20, up from $18. The firm says that while Organon’s valuation remains inexpensive on an absolute basis, it sees better risk/reward elsewhere in specialty pharma group following the recent move.

Top 5 Initiations:

• Truist initiated coverage of Booking Holdings (BKNG) with a Hold rating and $4,100 price target. Booking is the global leader in online travel and is well positioned for the secular growth of global travel, but decelerating leisure growth in what is now year five of the current lodging cycle drives its Hold rating, the firm says.
• Morgan Stanley initiated coverage of Trane (TT) with an Overweight rating and $425 price target. The firm says that with “megatrends” and inflated cost profiles “sharpening the focus” on efficiency, it sees U.S. industrial growth returning to 300 basis points above gross domestic product.
• Morgan Stanley initiated coverage of 3M (MMM) with an Underweight rating and $125 price target. 3M shares have re-rated about 25% over the last three months while consumer spending has continued to soften, which the firm sees setting up downside to consensus’ 3.5% organic growth forecast in 2025 and leaving a negative risk-reward, the analyst tells investors.
• Craig-Hallum initiated coverage of Cardiff Oncology (CRDF) with a Buy rating and $8 price target, citing the belief that onvansertib’s clinical experience in second-line KRASmutant mCRC “clearly demonstrates its efficacy in bev naive patients” and supports moving to the first-line setting.
  
• Morgan Stanley assumed coverage of UiPath (PATH) with an Equal Weight rating and $15 price target. UiPath “cleared a lowered bar with a solid beat and raise” in Q2, notes the analyst, who adds that the Q2 results showed signs of better execution after “a disappointing start to FY25.