Here are the biggest calls on Wall Street on Wednesday:
Bernstein reiterates Nvidia as outperform
Bernstein said it’s sticking with its outperform rating on the stock. “NVDA (OP, $1300): The datacenter opportunity is enormous, and still early, with material upside still possible.
Argus upgrades Berkshire Hathaway to buy from hold
Argus said it’s getting bullish on shares of Warren Buffett’s multinational conglomerate. “We have a positive view of the conglomerate nature of Berkshire, whose stock returns have doubled those of the S & P 500 since 1965 (compound annual growth of 19.8% versus 10.2% for the index). However, we note that Berkshire’s revenues are economically sensitive, and often expand or contract along with the U.S. economy.”
UBS reiterates Fluence as buy
UBS said the energy company is an AI data center beneficiary. “In our view, FLNC is an under-appreciated beneficiary of increasing AI data center driven electricity demand as a leading supplier of utility-scale battery systems.”
UBS reiterates First Solar as buy
UBS raised its price target on First Solar to $350 per share from $270. “The PT change is driven by our greater confidence in underlying utility-scale projects demand driven by corporate ‘100% renewable’ demand and recent positive news on U.S. import tariffs.”
Citi upgrades Liberty Energy to buy from neutral
Citi said it’s bullish on shares of the energy company. “We upgrade LBRT to Buy and raise our target price to $32. LBRT has been an outperformer within OFS [oil field services] over the past year as fears toward margin compression proved overblown.”
Jefferies upgrades United Airlines to buy from hold
Jefferies said it likes United Airlines ‘ differentiated product offering. “Upgrade to Buy: Uniting Durable FCF w/ What’s Next in a Wealth Creation Oppty.”
Jefferies downgrades American Airlines to hold from buy
Jefferies said it’s concerned American Airlines ‘ strategy is taking too long to execute. “Downgrade to Hold: Not All Sunshine & Rainbows in the Sun Belt & El Paso.”
Bank of America reiterates Apple as buy
Bank of America said it’s bullish on top pick Apple and its entry into iPhones with AI. “We view the upcoming AI enabled phones (IntelliPhones) to drive a multi-year upgrade cycle similar to the step function improvement driven by the introduction of smartphones.”
TD Cowen initiates Medpace as buy
TD Cowen said it sees “outsized growth” for the clinical research organization.
Morgan Stanley reiterates Netflix and Disney as overweight
Morgan Stanley said it’s sticking with its overweight ratings on the stocks. “NFLX: Cont’d strong net adds and top-line strength should alleviate concerns paid sharing is the primary driver of strength. We revisit our $850 bull case. DIS: Shares have over-corrected due to concerns over Parks growth, which we expect to re-accelerate in F4Q. Now back to 18x P/E, we see 25%+ upside to PT.”
RBC upgrades Eldorado Gold to outperform from sector perform
RBC said it’s bullish on shares of Eldorado Gold. “Higher production, higher margins, higher FCF coming: Upgrade to Outperform.”
BTIG upgrades Core Scientific to buy from neutral
BTIG said it’s bullish on shares of the bitcoin mining company. “We upgrade CORZ to Buy from Neutral on the back of continued execution and our expectation of a firming BTC price, which should allow the company to aggressively deleverage as warrants (~180M shares) are exercised accelerating the company’s deleveraging strategy.”
Citi downgrades Bank OZK to sell from buy
Citi said in its downgrade of Bank OZK that the regional bank has too many negative catalysts and commercial real estate concerns. ‘Growing Concerns On Credit: 2 Potential Problem Projects – Downgrade to Sell.”
JPMorgan reiterates Cava as overweight
JPMorgan called the Mediterranean restaurant chain a “high quality growth story” following earnings. “CAVA results – and resulting stock price – are demonstrating a visible expansion from multi-regional success to eventual national scale.”
Wells Fargo reiterates Snowflake as overweight
Wells said it’s bullish ahead of the company’s Snowflake Summit 2024 event. “We see significant bounce-back potential & expect Summit will help shed more favorable light on go-fwd path; keep OW + $225 PT.”
Baird initiates Mind Medicine as outperform
Baird said it’s bullish on shares of the psychedelic biotech company and on Mind Medicine’s MM120 drug to treat anxiety disorders. “Initiating at Outperform and a $27 PT, based mainly on the outlook for lead agent MM120, a form of LSD, in generalized anxiety disorder.”
Bank of America upgrades Melco to buy from neutral
Bank of America said the casino and resort company is set for a “re-rating.” “We upgrade Melco from Neutral to Buy with raised PO of US$10.4.”
Truist upgrades Norwegian to buy from hold
Truist said it sees strong revenue growth ahead for the cruise company. “We are upgrading shares of Norwegian Cruise Line Holdings (NCLH) to Buy from Hold and raising our price target to $21 from $20.”
Bank of America reiterates Dell as buy
Bank of America raised its price target on Dell to $180 per share from $130. “Reiterate Buy on upside driven by AI servers, PC refresh, and strong capital return with potential S & P inclusion as an additional catalyst.”
Truist reiterates Chipotle as buy
Truist raised its price target on Chipotle to $3,520 per share from $3,440 after a series of meetings with Chipotle management. “This week, we hosted investors for a store tour and lunch with field leadership in the Chicago area (Regional VP, Team Director, Field Leader and GM) as well as CFO, Jack Hartung, and Cindy Olsen, Head of IR and Strategy.”
