The most talked about and market-moving research calls on Wall Street are now collected in one place. Here are today’s research calls that investors need to know, as compiled by The Fly.
Top 5 upgrades:
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Jefferies upgraded Etsy (ETSY) to Hold from Underperform with a $55 price target, up from $45. The company cites improved growth in the second half of the year and a more balanced risk-return on the stock for Etsy’s upgrade.
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Needham upgraded KLA Corp. (KLAC) to buy off hold as it lowered its 2025 wafer plant equipment estimate from $110 billion to $100 billion and launched a 2026 estimate of $100 billion. Needham sees 2025 as likely to be the peak of the WFE, saying the current semiconductor upcycle “will be tepid,” and the next downturn could occur in the second half of 2026.
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Morgan Stanley has undergone an upgrade Elven beauty (ELF) from Equal Weight Overweight with a $153 price target, up from $139. The stock’s valuation appears attractive relative to Elf’s “outsized” long-term growth potential following a sharp decline in shares in the second half of 2024, the company tells investors in a research note.
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Needham upgraded Instacart (CART) to buy from Hold with a $56 price target, and added the stock to the company’s Conviction List. The stronger-than-expected results in 2024 suggest that competitive fears and overall market appeal are overblown, likely driven by Instacart’s leading grocery store customer experience, which continues to improve, the company told investors in a research note.
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Evercore ISI upgraded Caterpillar (CAT) to In Line from Underperform with a $365 price target. The company says that while it is difficult to be a bull in the construction sector, as interest rates continue to surprise on the upside, shares have fallen and investor expectations are now ‘sharply lowered’.
Top 5 downgrades:
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Jefferies has downgraded its rating Pinterest (PINS) to Hold from Buy with a $32 price target, down from $40. The company downgraded Pinterest amid expectations of a slower rollout of Performance+ and margin growth versus the “more muted” advertising controls.
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JPMorgan downgraded the rating Constellation brands (STZ) from Overweight to Neutral with a price target of $203, down from $262, after the third-quarter miss. While secular trends, including premiumization and faster growth of Hispanic consumers of legal drinking age, benefit the company’s portfolio, this is offset by long-term pressure on lower-income and Latin American consumers and the impact of lower alcohol consumption by younger consumers, potential effects of weight loss medications and rate risk, the company tells investors in a research note. Jefferies also downgraded Constellation Brands from Buy to Hold.
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TD Cowen has lowered its rating STMicroelectronics (STM) is moving from Buy to Hold with a $25 price target, down from $32. STMicroelectronics is a leader in electrical intermediates, with its manufacturing network offering a long-term advantage, but near-term revenue and margins likely to remain subdued, the company told investors in a research note.
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Morgan Stanley has downgraded its rating Live disaster (RAMP) to Equal Weight from Overweight with an unchanged price target of $35. The company sees limited catalysts for the business to accelerate growth and investor sentiment, and sees better risk/reward elsewhere in its coverage.
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Truist demoted Accolade (ACCD) moves from Buy to Hold with a price target of $7.03, down from $7.50, after Transcarent announced it has entered into a definitive agreement to acquire the company for $7.03 per share in cash.
