Comcast downgraded, Zillow 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:

• KeyBanc upgraded Zillow Group (ZG) to Overweight from Sector Weight with a $100 price target. The firm says its segment-by-segment revenue build and analysis shows there is potential upside to Street estimates even when assuming no improvement in existing home sales through 2026.
• UBS upgraded Caterpillar (CAT) to Neutral from Sell with a price target of $385, up from $355. After two consecutive quarterly EBIT misses, expectations for Caterpillar have reset lower, the firm tells investors in a research note.
• Redburn Atlantic upgraded DexCom (DXCM) to Buy from Neutral with a price target of $115, up from $85. The company is positioned to benefit from structural growth in the continuous glucose monitoring market, supporting 16% annual revenue growth through fiscal 2027 as it expands into the “underpenetrated” type 2 non-insulin segment, the firm tells investors in a research note.
• Raymond James upgraded Booz Allen (BAH) to Outperform from Market Perform with a $150 price target. The firm sees the company’s “substantive” year-over-year backlog increase, $1B share buyback, and 30% post-election selloff as tilting Booz Allen’s risk/reward favorably.
• Wedbush upgraded Tempur Sealy (TPX) to Outperform from Neutral with a price target of $80, up from $67. On Friday night, Judge Eskridge denied the Federal Trade Commission from blocking the pending merger of Tempur and Mattress Firm, clearing what is likely the last major hurdle preventing a tie up, the firm tells investors.

Top 5 Downgrades:

• Scotiabank downgraded Comcast (CMCSA) to Sector Perform from Outperform with a price target of $44.50, down from $48. Comcast “continues to bleed broadband customers” due to fixed wireless access and increasing fiber competition, so management intends to begin offering combo plans to customers using internet with speeds above those offered by FWA services with a free wireless line as a retention tool in order to protect market share, the firm tells investors.
• Baird downgraded CrowdStrike (CRWD) to Neutral from Outperform with a price target of $430, up from $390. The firm says “relatively full valuations” of the larger security stocks imply a more balanced risk/reward at current share levels. Baird also downgraded Fortinet (FTNT) and Cloudflare (NET) to Neutral from Outperform.
• Loop Capital downgraded FedEx (FDX) to Hold from Buy with a price target of $283, down from $365, as part of a broader research note downgrading the Transportation sector based on the announcement of Canada tariffs by the White House. With tariffs – even if they work – the benefits are all back-end loaded, while the pain is up front and immediate, and the companies transferring all the cash to the U.S. government are adept at updating prices quickly and accordingly, the firm tells investors.
• Piper Sandler downgraded Constellation Brands (STZ) to Neutral from Overweight with a price target of $200, down from $245, after President Trump followed through on his pledge to impose 25% tariffs on all Mexican imports, which came into effect on February 1. The firm says that while the duration of the tariffs is not yet clear, for modeling purposes, it assumes for now that they last for at least about one quarter.
• Wells Fargo downgraded Lennox (LII) to Underweight from Equal Weight with a price target of $580, down from $630. The firm sees elevated uncertainty in 2025 on A2L price realization, potential share pressure, and not only pre-buy headwinds in Q1, but also tough Q4 comps on both volume and margins.

Top 5 Initiations:

• Deutsche Bank initiated coverage of Shift4 Payments (FOUR) with a Hold rating and $120 price target. The firm says Shift4 has differentiated itself in the competitive next generation point of sale ecosystem with its SkyTab offering and a “unique” acquisition strategy, but given the company’s reliance on acquisitions to fuel growth, questions remain around what the right long-term organic growth profile is for Shift4 in a “hyper-competitive industry.” Deutsche also started coverage of Payoneer Global (PAYO) with a Buy rating and a price target of $13.
• BMO Capital initiated coverage of Quanta Services (PWR) with an Outperform rating and $338 price target. The firm says Quanta has emerged as an “indispensable partner” for electric utilities and renewable power developers, and eventually data centers.
• Wells Fargo initiated coverage of GoDaddy (GDDY) with an Equal Weight rating and $198 price target. During 2024, GoDaddy enhanced renewal pricing and reaccelerated bookings growth, but the shares are now trading at a peak multiple, the firm tells investors in a research note.
• Wells Fargo initiated coverage of Wix.com (WIX) with an Underweight rating and $208 price target. The firm believes price increases are a meaningful contributor to the company’s acceleration in creative subscription bookings, and therefore sees risk to consensus estimates as the contribution from price wanes.
• Berenberg initiated coverage of Samsara (IOT) with a Hold rating and $57 price target. While the firm likes Samsara’s business story, Berenberg is “less enthusiastic about its equity story.”