PayPal upgraded, Crowdstrike 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:

• Susquehanna upgraded PayPal (PYPL) to Positive from Neutral with an unchanged price target of $71. The firm cites valuation for the upgrade following the stock’s significant recent decline.
• Seaport Research upgraded Bank of America (BAC) to Buy from Neutral with a $48 price target. The firm says recent management guidance implies turnover across the bank’s loan book is improving, with potential further upside as cash flow hedges on commercial and industrial loans mature.
• Piper Sandler upgraded Atlassian (TEAM) to Overweight from Neutral with a price target of $225, up from $200. With the shares sliding to eight-times estimated 2025 revenue, Atlassian’s risk/reward has turned favorable, the firm tells investors in a research note
• JPMorgan upgraded Principal Financial (PFG) to Neutral from Underweight with a price target of $96, up from $88. The upgrade is driven by the company’s “superior” business mix, an expected improvement in asset management flows, and the stock’s significant underperformance, the firm says.
• More bullish on the name, Raymond James upgraded Comerica (CMA) to Outperform from Market Perform with a $60 price target.

Top 5 Downgrades:

• Piper Sandler downgraded Crowdstrike (CRWD) to Neutral from Overweight with an unchanged price target of $400. The firm remains “excited” about the company next act, seeing “many incremental growth opportunities,” but believes the risk/reward on shares of Crowdstrike is less favorable at this time given the strong run.
• Seaport Research downgraded Goldman Sachs (GS) to Neutral from Buy with no price target, telling investors that the downgrade is primarily driven by valuation after a significant rally in the stock.
• Citi double downgraded Shoals Technologies (SHLS) to Sell from Buy with a price target of $5, down from $15, after analyzing potential outcomes ahead of the forthcoming initial determination of the company’s patent infringement case against Voltage. The Commission Investigative Staff opinion on the case “skews the odds meaningfully against” Shoals, the firm tells investors in a research note.
• UBS downgraded Pure Storage (PSTG) to Sell from Neutral with a price target of $47, up from $44. The firm sees an unfavorable risk/reward for the shares given the company’s slowing growth and declining market share.
• UBS downgraded Fiverr (FVRR) to Neutral from Buy with a price target of $25, down from $37, after a different analyst at the firm assumed coverage of the name. UBS sees a more balanced risk/reward given more subdued revenue and gross merchandise volume growth in the near-term.

Top 5 Initiations:

• Redburn Atlantic initiated coverage of GE Vernova (GEV) with a Neutral rating and $178 price target. The firm believes GE Vernova is fairly valued.
• Goldman Sachs initiated coverage of Waystar (WAY) with a Buy rating and $32 price target. The firm believes Waystar’s “comprehensive” technology platform, addressing multiple points across the healthcare revenue cycle, is unique within a market dominated by point-solution technology vendors, manual processes, and healthcare IT services businesses. JPMorgan, Evercore ISI, BofA, William Blair, Raymond James, Barclays, RBC Capital, Deutsche Bank, and Canaccord also started coverage of the name with Buy-equivalent ratings.
• Jefferies initiated coverage of Rapport Therapeutics (RAPP) with a Buy rating and $35 price target. The firm thinks the company could disrupt the treatment paradigm of several $1B-plus central nervous disorders, starting with epilepsy. Stifel and TD Cowen also started coverage of the stock with Buy-equivalent ratings.
• Barclays initiated coverage of Viking Holdings (VIK) with an Overweight rating and $39 price target. The firm views Viking as a “unique growth asset in an attractive sector.”
• Stifel initiated coverage of Life360 (LIF) with a Buy rating and $37 price target. The firm views Life360 as a “highly differentiated” product aimed at keeping families, pets, and things safe.