Street Wrap: Today’s Top 15 Upgrades, Downgrades, Initiations

Biogen upgrade, Exxon Mobil downgrade, and Danaher initiation among today’s top calls on Wall Street

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:  

• Guggenheim upgraded Biogen (BIIB) to Buy from Neutral with a price target of $350, up from $270. With accelerated approval in hand for Leqembi in Alzheimer’s and an AdCom meeting scheduled for June 9, the company is "optimistic for full approval" and the firm agrees as it expects Leqembi to receive full approval and broad CMS coverage. [Read more]
• Morgan Stanley upgraded General Motors (GM) to Overweight from Equal Weight with a price target of $38, up from $35. General Motors "may be over-earning, but the stock is oversold," says the firm. [Read more]
• Bernstein upgraded Zillow Group (ZG) to Market Perform from Underperform with a price target of $45, up from $35. Consensus estimates have been cut substantially since last May, which puts Bernstein’s numbers more in-line with the Street. [Read more]
• BofA upgraded Comcast (CMCSA) to Buy from Neutral with a price target of $49, up from $44. The company reported "strong" Q1 results and management offered upbeat commentary, the firm notes. [Read more]
• Guggenheim upgraded Teradata (TDC) to Buy from Neutral with a $62 price target. Channel checks indicate Teradata may be at a positive inflection point in terms of retaining customers and driving revenue expansion via its cloud strategy, the firm says. [Read more]

Top 5 Downgrades:

• Goldman Sachs downgraded Exxon Mobil (XOM) to Neutral from Buy with a $125 price target. The firm sees less upside following the stock’s outperformance. [Read more]
• BofA downgraded Allegiant Travel (ALGT) to Underperform from Neutral with a price target of $75, down from $95. Domestic booking volumes have softened, which creates revenue risk, while labor costs present further headwinds, the firm says. [Read more]
• Raymond James downgraded Valley National Bancorp (VLY) to Market Perform from Strong Buy without a price target. The risk of revenue challenges has increased due to "rapidly increasing" funding costs for the industry, [Read more]
• Wells Fargo downgraded Doximity (DOCS) to Equal Weight from Overweight with a price target of $37, down from $39. The firm’s pharma survey points to slower advertising budget market growth. [Read more]
• Scotiabank downgraded SQM (SQM) to Sector Perform from Outperform with a price target of $86, down from $113. Chile’s nationalization plan "leaves too much uncertainty about what the value of SQM‘s equity is worth," though a recovery in the lithium spot price should propel the stock forward, "all else equal," the firm says. [Read more]

Top 5 Initiations:

• SVB Securities initiated coverage of Danaher (DHR) with an Outperform rating and $300 price target. The firm sees Danaher as the most meaningful mega-cap long for 2023-2024 among the life science tools universe with its guide now fully reset. [Read more]
• Northland initiated coverage of Nextracker (NXT) with a Market Perform rating and $32 price target. Nextracker was a pioneer in independent-row trackers, software optimization, and constructability from 2014-2018, but its "technological advantages are a bit exaggerated" and it "no longer stands out as much" versus competitors, the firm contends. [Read more]
• Goldman Sachs initiated coverage of TD Synnex (SNX) with a Buy rating and $101 price target. TD Synnex is the largest global technology distributor, and its scale and market leadership ensure that it is able to offer the broadest product portfolio, the firm notes. [Read more]
• Citi resumed coverage of Playtika (PLTK) with a Neutral rating and $11 price target. The firm sees continued upside from future acquisitions, but also potential risks from payer conversion rates falling from pandemic-highs. [Read more]
• Guggenheim initiated coverage of Endeavor Group (EDR) with a Buy rating and $33 price target. The firm believes Endeavor has created a "unique, global platform at a scale capable of driving a powerful network effect that reinforces the value of its platform." [Read more]