Here are Tuesday's biggest analyst calls of the day: Apple, Uber, Duke, Redfin, Rivian, Disney & more
Here are the biggest calls on Wall Street on Tuesday: Piper Sandler downgrades Redfin to underweight from overweight Piper said in its double downgrade of the online real estate company that it sees "few quick fixes" for the stock and a "challenging real estate outlook." "We are downgrading RDFN to Underweight and an $11 PT given: (1) a subdued outlook for housing, (2) model updates which suggest flat to negative Real Estate services growth in '22 & '23, and (3) lack of valuation support and recent execution issues. We see few quick fixes." Read more about this call here UBS reiterates Uber and Lyft as buy UBS said in a note to clients that it sees the ride sharing companies as "near-term recovery plays." "We remain positive on rideshare trends and continue to see UBER and LYFT benefiting from increased mobility as the pandemic fades, travel activity ramps (including corporate) and more workers return to the office." Loop initiates Motorola Solutions as buy Loop said in its initiation of the telecommunications equipment company that it's an "ultimate flight to safety" name. " MSI enjoys excellent visibility, which further enhances our confidence in our bullish outlook." Cowen reiterates Apple as outperform Cowen said in a note on Tuesday ahead of Apple earnings that it sees an in-line quarter but that lockdowns in China could be a cause for concern. "We model AAPL to report (4/28) Mar Q results in line with consensus enabled by improving component supply conditions. While our field work suggests NT demand is stable, we believe pandemic lockdowns in major Chinese cities could be a risk for Jun Q revs." Rosenblatt initiates Six Flags as buy Rosenblatt said in its initiation of Six Flags that it has a "unique long-term view" of the company and that it's bullish on new management. "The company is focusing investment on the parks, with an emphasis on better food, more cleanliness, shorter/faster lines, and better apps and other tech, versus new thrill rides that have historically driven 60% of investment." Rosenblatt initiates Live Nation as buy Rosenblatt initiated the concert ticket promoter company with a buy rating on Monday night and says the "post Covid concert boom will last for years." " Live Nation has visibility into a post-Covid boom of concerts, shows and events that will last years. That means the debate over whether this demand is temporary will not be had for a long time. When this debate does happen, it will be answered favorably, we assume, based on a solid trajectory entering the pandemic." Rosenblatt initiates SeaWorld as buy Rosenblatt said in its initiation of the theme park company that it sees a "turnaround that's enticing." " SeaWorld's shares more than doubled in 2021, versus a 27% rise in the S & P 500, and are up 10% YTD, compared to a 10% drop in the index. They've more than tripled since investor Scott Ross started in Dec. 2016 via his Hill Path acquiring a stake that is now over 35% and assuming the chairmanship." Deutsche Bank adds a catalyst call buy on Hertz Deutsche added a catalyst call buy idea on shares of the rental car company and says it's near-term bullish ahead of earnings on Wednesday. "We expect HTZ to beat consensus EBITDA for 1Q22, including generally stronger performance on key operating metrics and we further anticipate that management will provide favorable commentary about both demand and pricing trends heading into the peak summer travel season." Susquehanna upgrades J.B. Hunt to positive from neutral Susquehanna said in its upgrade of the trucking company that it sees "double-digit later-cycle earnings growth" for shares of J.B. Hunt. "For the stocks, we firmly believe this selloff creates attractive risk/reward opportunities in buying transports already priced for a freight recession, particularly after trucking names just delivered their worst performance into a negative spot rate inflection in at least the last decade." Deutsche Bank reiterates Disney as buy Deutsche Bank said in a note to clients on Tuesday that it doesn't see Disney "suffering any harm" after losing its special district status in Florida. "There Are Many Ways This Could Play Out, But In The End, We Don't See Disney Suffering Any Harm From The Dissolution of The Reedy Creek Improvement District." Citi initiates Frontier as buy Citi said in its initiation of the cable company that it sees room for multiple expansion. "We like the opportunities for Frontier to grow its revenue and expand margins as the company executes on upgrading its copper infrastructure and more than double its fiber footprint from 4 million locations today to 10 million by 2025." Credit Suisse initiates Duke Energy as outperform Credit Suisse said in its initiation of Duke that it's one of the "best positioned" vertically integrated utility stocks. "We think inflation is the biggest theme to watch for the group this year, and believe large-cap multi-state jurisdictions and names with positive correlated exposure to commodities will outperform smaller regional peers." Read more about this call here. BTIG reiterates Okta as buy BTIG said in a note to clients on Tuesday that the identity access management company remains a "controversial name." "And Okta , continues to be our most debated stock. ... .The key debate on the stock is the magnitude of the event's impact on April quarter results. Bears think it could be large. They think it will definitely impair new customer additions and very likely disrupt existing customer expansion plans FQ1'23." Bernstein reiterates Peloton as outperform Bernstein said in a note on Tuesday that the exercise fitness company should spinoff its hardware division. "Could Peloton stop producing hardware? We think it could and should! With a new CEO, no clear strategy yet, and the fundamental value proposition coming under question, there is a lot of uncertainty on what happens next with Peloton." Bank of America reiterates Advanced Micro Devices as buy Bank of America said that AMD remains a "particulary attractive" stock heading into earnings on May 3. "While AMD also faces a ~3% topline headwind/9 cents (or 2%) EPS headwind on PC softness, we think it could be offset by stronger laptop pricing (enterprise mix-shift), game console channel rebuild, server strength, and Xilinx upside (pricing, Altera share gains) driving total to unchanged $25bn in sales/ > $4 in EPS." Bernstein reiterates Qualcomm as outperform Bernstein said in a note ahead of Qualcomm earnings on Wednesday that China concerns are overdone and that it sees "guarded optimism." " Qualcomm' s stock has been blocked by a wall of worry lately given current trends in the smartphone market, with weakness in China shipments and a global market that appears down likely in the low double digits YoY." Citi names Marathon Petroleum a top pick Citi named the refinery company a top pick on Tuesday and says Marathon has "significant upside potential." "Market sentiment continues to ascribe a discounted trading multiple versus peers, but we think the coming quarters should provide justification for that gap to narrow." Barclays reiterates Rivian as equal weight Barclays reiterated its equal weight rating on the electric vehicle company on Tuesday and says it sees "little to no valuation support" and "ongoing risk to production ramp." "In light of CEO RJ Scaringe's recent comments we question to what extent RIVN has secured enough supply to support its ambitious growth plans."

RJ Scaringe and team on opening day at Rivian's manufacturing campus in Normal, IL. Source: Rivian