Here are Wednesday's biggest analyst calls: Tesla, Nvidia, Arm, Citi, Walmart, First Solar, Ulta, GE & more
Here are Wednesday's biggest calls on Wall Street: Wells Fargo downgrades Biogen to equal weight from overweight Wells said it sees too much uncertainty for Biogen . "Growth Could Be There but There Is Too Much Uncertainty." RBC initiates First Solar as outperform RBC initiated several solar companies and said First Solar is its top pick. "We are initiating coverage on key equipment suppliers for the solar industry, First Solar (FSLR), Enphase Energy (ENPH), Shoals Technologies (SHLS), and SolarEdge Technologies (SEDG). Our top pick is FSLR as we see strong visibility for revenue and earnings growth, and free cash flow optionality over the next few years." Stifel downgrades Pure Storage to hold from buy Stifel downgraded the data storage company on valuation. "We downgrade our rating on Pure Storage to Hold (from Buy), following a recent strong run." Redburn Atlantic Equities reiterates Arm as neutral Redburn said the stock continues to be overvalued. "We like Arm's expected 16% adj EBIT trajectory FY24E-28E and market position, but not the valuation." Loop downgrades Ulta to hold from buy Loop downgraded the stock mainly on valuation. "We are downgrading Ulta Beauty to a Hold from a Buy rating while maintaining our $530 price target." Morgan Stanley reiterates Tesla as overweight Morgan Stanley said it's standing by the stock after attending a bull/bear lunch. "Despite the overall tone at the lunch, we remain OW, with TSLA offering over 80% upside from current levels, which we believe is compelling in proportion to the investment level within our US auto coverage." UBS downgrades Waste Management to neutral from buy UBS said the trash company has a "lofty" valuation. "WM continues to provide resilient and predictable earnings. However, given the recent share price performance and elevated valuation multiples, we take a more cautious view on near-term share price upside." Piper Sandler upgrades Citi to overweight from neutral Piper said it sees an attractive entry point for Citi shares. "Though the turnaround will likely have some bumps along the way, we like CEO Jane Fraser's more targeted view of the company, we believe cost flexibility should support the overall outlook and the group's recent pullback has created a more attractive entry point for the shares." Citi reiterates Nvidia as buy Citi said its standing by its buy rating heading into earnings next week. " Nvidia reports Jan-Q after the market close on 2/21. We model in-line Jan-Q sales and believe buy side data center sales expectations are higher by ~$2B or similar to prior Oct-Q earnings setup." JPMorgan upgrades Bruker to overweight from neutral JPMorgan upgraded the scientific instruments company following earnings. "Ultimately, we walked away impressed by BRKRs 2024 guide (off of a tough comp) and the confidence in the LT sustainability in growth suggested by the LRP (long range plan) pull-forward and believe BRKR seems poised to become a leading player in this shift in research focus toward proteomics." UBS upgrades HF Sinclair to buy from neutral UBS said the refiner is underappreciated. "We upgrade DINO to Buy from Neutral. DINO is a diversified refiner with 5 business segments: refining, midstream, lubes, marketing and Renewable diesel." Deutsche Bank names General Electric a top pick Deutsche said GE has "high balance sheet optionality." "We have published a series of notes this week offering a variety of reasons that we like GE, and why its our top large cap pick in A & D." D.A. Davidson downgrades Airbnb to neutral from buy D.A. downgraded the stock following the company's earnings report. "We are downgrading shares of ABNB from Buy to NEUTRAL and maintain our 12-month price target at $145. ABNB's 4Q'23 results were solid, with decent upside vs. expectations on both the topline and adj. EBITDA." Evercore ISI adds a negative tactical call on Target. Evercore said it's negative heading into earnings in early March. "We are initiating a negative Tactical Trading Call (TAP) on TGT ahead of F4Q EPS/ analyst day on 3/5." Evercore ISI adds a negative tactical call on Walmart Evercore ISI said its negative going into earnings next week. "We are initiating a negative Tactical Trading Call (TAP) on WMT ahead of F4Q earnings on 2/20." UBS upgrades Huntington Bancshares to buy from neutral UBS said it sees "strong strategic positioning" for the regional bank. "With rate-related themes on, well, pause for now, we think it's timely to upgrade HBAN." HSBC downgrades Palantir to hold from buy HSBC said the stock's valuation is full right now. " Palantir's latest guidance for 2024 implies its continued focus on operating efficiency and top-line growth, which was one of the key drivers of the company's strong financial results for 2023." HSBC upgrades HP to buy from hold HSBC said it sees a PC recovery for HP shares. "We expect HP to benefit from positive sector dynamics and expanding margins." Evercore ISI downgrades GoDaddy to in line from outperform Evercore downgraded GoDaddy mainly on valuation. "Profitability Remains Spotlight, Downgrade On Valuation." Citi downgrades GlobalFoundries to neutral from buy Citi downgraded the semi company following earnings on Tuesday. "Yesterday, GlobalFoundries reported in-line results but guided well below Consensus as the downturn catches up to them." Evercore ISI adds a positive tactical trading call on Dollar Tree Evercore said it's positive on the stock heading into March earnings. "We are initiating a positive Tactical Trading Call or TAP on DLTR ahead of their March earnings release. Bank of America upgrades SentinelOne to buy from neutral Bank of America said in its upgrade of the cybersecurity company that it sees "robust" tailwinds. "We believe SentinelOne is positioned to gain share in the endpoint security market and expand into other areas of security over time through its scalable, AI-powered next-gen platform. MoffettNathanson upgrades Lyft to neutral from sell The firm said following the company's earnings report on Tuesday that its prior rating of sell on the stock was a "mistake." "Well, it wasn't, and typos aside, we too are guilty of a mistake. Our downgrade of Lyft to Sell on October 31st was based on what we believed to be a differentiated view on gross margins, operating expenses, and below consensus Adj. EBITDA. Our numbers are now coming up to meet consensus." Bernstein initiates Wingstop as outperform Bernstein said Wingstop is a "compounder." "High growth compounders in US restaurants are far and few between, and those with a multi-decade growth runway are rare." Morgan Stanley upgrades Cadence Design Systems to overweight from equal weight Morgan Stanley said in its upgrade of the software company that its strategy is "vindicated." "We expect momentum in chip design will continue into next year at least. Rivals are also following CDNS' lead into simulation space, which we think vindicates strategy.