Wall Street Calls: Upgrades and Initiations

Woodward

TD Cowen has upgraded Woodward, a maker of control system components for aircraft and industrial equipment, to outperform from market perform. TD believes that the company is in the early stages of a turnaround and has set a price target of $160.

Domino’s

TD Cowen has also upgraded Domino’s to outperform from market perform. The firm sees upside potential in same-store sales and is encouraged by the upcoming playbook to improve Domino’s U.S. delivery, including a partnership with Uber.

Shoals Technologies

Cantor Fitzgerald has upgraded solar company Shoals Technologies to overweight from neutral. They believe that Shoals is well-positioned to benefit from long-term growth trends in utility-scale solar.

Disney

Wells Fargo has reiterated its overweight rating on Disney, despite lowering its price target on the stock. They view Disney as an interesting stock in the media industry with significant potential for growth.

Apple

Bernstein has reiterated its market perform rating on Apple, noting similarities between Apple’s current financials and IBM’s situation a decade ago. They believe that Apple’s financial comparisons with IBM are not unfounded.

Walmart

Morgan Stanley has reiterated its overweight rating on Walmart, citing an attractive risk/reward profile for the company’s shares. They see potential for faster earnings growth and modest multiple expansion.

Lamb Weston

Goldman Sachs has upgraded Lamb Weston to buy from neutral, considering the shares attractive at current levels. Despite recent underperformance, the firm believes there is potential for upside based on the company’s strong financial performance.

Stryker

Bank of America has upgraded medical technology company Stryker to buy from neutral, seeing it as a top stock for 2024. They believe that negative sentiment on the medtech industry presents an opportunity for Stryker to outperform.

AllianceBernstein

Bank of America has also upgraded asset management company AllianceBernstein to buy from neutral, considering the current valuation entry point attractive. They now view AllianceBernstein as their top traditional asset manager buy.

HubSpot

Citi has initiated coverage of software company HubSpot as a buy, seeing it as a core holding with significant growth potential. They believe that HubSpot’s acquisition and upsell motion in the SMB market is still in the early stages.

Keysight Technologies

Goldman Sachs has upgraded electronic test manufacturer Keysight Technologies to buy from neutral, considering the shares attractive compared to peers and historical valuation multiples.

Corteva

UBS has upgraded agricultural and chemical seed company Corteva to buy from neutral, seeing the stock as attractive at its current valuation. They believe that the market is already pricing in a downside scenario for Corteva.

American Express

RBC has reiterated its overweight rating on American Express, despite lowering its price target on the stock. They believe that American Express is best positioned to outperform in the credit card industry.

Dine Brands

UBS is bullish on Dine Brands, the owner of Applebee’s and IHOP, initiating coverage with a buy rating. They see Dine Brands’ scale and heavily franchised business model providing unique stability within the casual dining industry.

NetApp

Susquehanna has upgraded data storage and management company NetApp to positive from neutral, citing potential market share gains. They believe that NetApp’s growth in the coming years could be driven by incremental share gains and a better-than-modeled margin profile.

Chipotle

Baird has named Chipotle a fresh pick, noting strong same-store traffic momentum. They believe that Chipotle offers an attractive near-term trading opportunity with potential positive catalysts on the horizon.

Oracle

Barclays has upgraded Oracle to overweight from equal weight, seeing a solid multi-year growth opportunity for the company. They believe that Oracle’s positive mix effect still has room to go.

Liberty Formula One

Wolfe has upgraded motor sports group Liberty Formula One to outperform from peer perform, advising investors to buy the dip in shares. They see an attractive upside potential with a sustainable free cash flow yield.

Vail Resorts

Stifel has upgraded skiing and resort company Vail Resorts to buy from hold, recommending investors to buy the dip in shares. Despite limited catalysts, they believe that Vail Resorts’ shares have underperformed and present a trading opportunity.

Alphabet

Jefferies has reiterated its buy rating on Alphabet, being more bullish on the company’s position in artificial intelligence after attending Google Cloud Next conference. They see positive prospects for Alphabet in the AI space.

Lowe’s

Bernstein has upgraded home improvement retailer Lowe’s to outperform from market perform, identifying several positive catalysts that they expect to continue. They have raised their price target on Lowe’s and view the stock as attractive.

Nvidia

Barclays has reiterated its overweight rating on Nvidia, highlighting the company’s software business as a defensive moat. They believe that Nvidia’s software ecosystem, CUDA, is a significant differentiator for the business.