Shopify upgraded, Deere downgaded: 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:

• Loop Capital upgraded Shopify (SHOP) to Buy from Hold with a price target of $140, up from $110, implying 23% upside from current levels. The firm believes investors are under-appreciating how Shopify is utilizing artificial intelligence to not only better serve its merchants but also internally.
• Goldman Sachs upgraded Robinhood (HOOD) to Buy from Neutral with a price target of $46, up from $40, after assuming coverage of the name. The shares are up 205% year-to-date, but Robinhood’s price appreciation is relatively more sustainable versus peers, as 50% of the performance has been from positive earnings estimate revisions with the market increasingly discounts sustainable profitability going forward, the analyst tells investors in a research note.
• Citi upgraded HP Enterprise (HPE) to Buy from Neutral with a price target of $26, up from $23. The firm expects the company to benefit from improving demand in mainstream server and enterprise networking, expanding enterprise artificial intelligence opportunities and a narrowing valuation gap versus peers.
• UBS upgraded Peloton (PTON) to Neutral from Sell with a price target of $10, up from $2.50. The firm sees the company’s EBITDA being supported from further cost cutting beyond the announced $200M, driven mostly by lower operating expenditures.
• BofA double upgraded Dollar General (DG) to Buy from Underperform with an unchanged price target of $95, citing multiple early signs that the company’s “Back-to-Basics” strategy is working.

Top 5 Downgrades:

• Jefferies downgraded Deere (DE) to Hold from Buy with an unchanged $510 price target as part of a broader research note previewing 2025 for the Machinery and Industrial sector.
• Craig-Hallum downgraded Smith & Wesson Brands (SWBI) to Hold from Buy with a price target of $13, down from $18. The firearms market has entered a “digestion period” after years of increased buying patterns, says the firm, which sees cooler industry-wide firearm demand and increased promotions leaving a “more challenging near-term financial profile.” Lake Street also downgraded Smith & Wesson Brands to Hold from Buy with a price target of $13, down from $18.
• BMO Capital downgraded Prologis (PLD) to Underperform from Market Perform with a price target of $104, down from $120. Prologis is a “world-class company with a moat business,” but its valuation screens expensive, the analyst tells investors in a research note.
• BofA downgraded Liberty Global (LBTYA) to Underperform from Neutral with a price target of $12.60, down from $13.10. Among Liberty’s five strategic initiatives announced earlier this year, the spin of Sunrise had the most potential to unlock value, but with that spin now complete and with Liberty trading “ex,” the firm thinks the remaining initiatives are less convincing and come with more execution risk.
• Sidoti downgraded SPX Technologies (SPXC) to Neutral from Buy with a price target of $175, down from $187. Based on commentary from management at the firm’s investor conference, the analyst moderates the firm’s Detection & Measurement revenue growth forecast and trimmed the firm’s 2025 and 2026 EPS forecasts to $6.03 and $6.86, respectively.

Top 5 Initiations:

• Needham initiated coverage of Constellation Brands (STZ) with a Buy rating and $280 price target. The firm sees the company as the best name in the Beverage space from a fundamental perspective.
• Needham initiated coverage of Monster Beverage (MNST) with a Hold rating and no price target. While stating that there is “a lot to like” about the story, the firm is still cautious on the long-term sustainability of a U.S. recovery.
• Raymond James initiated coverage of Abercrombie & Fitch (ANF) with an Outperform rating and $180 price target. Abercrombie & Fitch has significantly revamped its business over the past few years by improving product, widening its customer aperture, closing underperforming stores, and improving digital and store experience, the analyst tells investors in a research note.
• UBS initiated coverage of Glaukos (GKOS) with a Buy rating and $182 price target. While the shares trade at a high multiple versus peers, the premium is warranted by Glaukos’ “top-tier” growth profile, which has sales estimates tilted to the upside, the analyst tells investors in a research note.
• Oppenheimer initiated coverage of Sagimet Biosciences (SGMT) with an Outperform rating and $30 price target. The firm sees an “underappreciated opportunity” for the company’s lead asset denifanstat, a first-in-class fatty acid synthase inhibitor, in metabolic dysfunction-associated steatohepatitis, which it notes is expected to reach $15B in market potential.