Palantir upgraded, Nio downgraded: 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:

• Morgan Stanley upgraded Palantir (PLTR) to Equal Weight from Underweight with a price target of $95, up from $60, following the company’s Q4 beat. Despite an “ultra-premium” valuation, Morgan Stanley sees a lack of downside catalysts for the shares over the next four quarters.
• Evercore ISI upgraded Marriott (MAR) to Outperform from In Line with a $330 price target. The firm is “woefully” under indexed to Lodging Brand compounders and cites a constructive view on travel demand, appreciation for the brand business model, including network effect of large loyalty plans like Bonvoy, and potential for catch-up on fee growth in FY25 for Marriott’s upgrade.
• Evercore ISI upgraded Juniper (JNPR) to Outperform from In Line with a $40 price target as the firm sees two potential scenarios for the company going forward, with both resulting in upside to the current share price. If HP Enterprise (HPE) is successful in their bid, Juniper shareholders will end up with $40 per share, or 15% upside, and if HP Enterprise loses the DOJ trial, Juniper is an independent company and in that scenario the firm thinks there are “a host of fundamental levers” that would make Juniper a good stock in 2025.
• Piper Sandler upgraded Tyson Foods (TSN) to Neutral from Underweight with an unchanged price target of $58 as the firm now views the stock as trading “around fair value.”
• Roth MKM upgraded AMC Entertainment (AMC) to Neutral from Sell with a price target of $3.25, down from $4. The firm says that “several positive events” indicate AMC shares “should be at or near a bottom.”

Top 5 Downgrades:

• JPMorgan downgraded Nio (NIO) to Neutral from Overweight with a price target of $4.70, down from $7. The company’s high-end ET9 sedan should help support margins, but its contribution could be limited given a relatively smaller addressable market, the firm tells investors in a research note
• Jefferies downgraded Ollie’s Bargain Outlet (OLLI) to Hold from Buy with a price target of $111, down from $125. The firm says a “storm is brewing” in the U.S. consumer discretionary sector as industry inventories are rising for the first time in two years and about to exceed sales growth. RBC Capital also downgraded Olin to Sector Perform from Outperform with a price target of $30, down from $45.
• HSBC downgraded Autoliv (ALV) to Hold from Buy with a price target of $100, down from $109. The shares are “lacking upside” as the company’s 2025 company guidance came in below HSBC estimates, with sales weakness in China a key headwind, the firm tells investors in a research note.
• Baird downgraded Triumph Group (TGI) to Neutral from Outperform with a price target of $26, up from $20, after the company reached an agreement to be acquired in an all-cash transaction for $26 per share by private equity firms Warburg Pincus and Berkshire Partners.
• Piper Sandler downgraded Amphastar (AMPH) to Neutral from Overweight with a price target of $36, down from $66. Even with the share price decline, the firm does not believe the risk/reward is more favorable given “recent competitive headwinds associated with key products.”

Top 5 Initiations:

• Goldman Sachs reinstated coverage of Kroger (KR) with a Buy rating and $70 price target. Across food retail, companies that have been consistently investing in stores, prices, labor, and digital capabilities have generated better share performance, the firm notes, saying it sees the company in this group given its high level of investments for several years.
• Goldman Sachs reinstated coverage of Albertsons (ACI) with a Buy rating and $26 price target. The firm sees an attractive risk/reward setup for Albertsons as it believes the stock’s valuation already reflects investor concerns on the expected step-up in investments and likely conservative guide for fiscal 2025.
• Evercore ISI initiated coverage of Rambus (RMBS) with an Outperform rating and $71 price target. The firm calls Rambus “a unique stock” within Semis that offers the offensive characteristics of a strong product cycle and defensive characteristics of high free cash flow associated with its consistent IP business.
• Bernstein initiated coverage of Venture Global (VG) with a Market Perform rating and $20 price target. The firm says that from existing pre-commercial operations in Louisiana at Calcasieu Pass and Plaquemines, the company is moving forward with a vision to be the world’s largest liquified natural gas exporter.
• Baird initiated coverage of Catalyst Pharmaceuticals (CPRX) with an Outperform rating and $28 price target. The firm believes the commercialization of both Firdapse for Lambert-Eaton myasthenic syndrome and Agamree for Duchenne muscular dystrophy will continue to go well.