Here are Thursday's biggest analyst calls: Nvidia, Tesla, Super Micro, Meta, Wynn, Reddit, Coinbase, GM & more
Here are the biggest calls on Wall Street on Thursday: Bernstein initiates Reddit at underperform Bernstein said it sees too many headwinds for the social media and website company. "The headline optics aren't pretty. An unprofitable business, IPO a liquidity event with heavy exec selling, Redditors themselves apathetic, and investors wondering whether mid-sized social platforms are structurally disadvantaged and too sub-scale to compete." Raymond James initiates Grindr at outperform Raymond James says the dating app owner is well positioned. "We are initiating coverage of Grindr (GRND) with an Outperform rating and a $14 price target." Raymond James downgrades Bumble to market perform from outperform Raymond James said in its downgrade of Bumble that it sees too many negative catalysts. "While we believe that its brand is among the best-positioned in the space in terms of relevance with young people, we do see near-term headwinds stemming from changing user habits, which require significant rethinks among apps built in the Millennial era." Citi adds a positive catalyst watch on CDW Citi said it sees a "growing AI total addressable market" for the tech company. "We are raising estimates and opening a positive catalyst watch on CDW to reflect increasing optimism for CDW's services revenues." Barclays downgrades Ferrari to equal weight from overweight Barclays said it's taking a breather on shares of Ferrari ahead of earnings due in early May. "We actually see a strong Q1'24 thanks to very strong mix – but still think it's time for a pit stop – downgrade to EW." Mizuho reiterates Nvidia as a top pick Mizuho says Nvidia is still a top idea at the firm. "We rate NVDA with a Buy rating and a $1,000 PT, ~31x F26E EPS, within its historical 15-67x range, which we see as appropriate given as NVDA continues to dominate the AI landscape with a holistic hardware and software offering..." JPMorgan initiating SharkNinja at overweight JPMorgan said the household products company is well positioned. " SharkNinja is a global household products company that aims to solve consumer problems, supported by technology and engineering-led innovation at affordable prices." Goldman Sachs upgrades Avis to neutral from sell Goldman said in its upgrade of Avis that the "thesis has now played out." "We upgrade CAR to Neutral (from prior Sell rating) as we believe our thesis has now played out." Morgan Stanley initiates Mural Oncology at overweight Morgan said in its initiation of the biotech company that it sees a long "cash runway" lasting through 2025. "We initiate coverage of MURA with an OW rating and $13 PT." UBS downgrades Bank of America to neutral from buy UBS said in its downgrade of the Charlotte-based bank that it sees a "rate trap" ahead. "After adjusting estimates upward to reflect 3 cuts in '24 and 4 cuts in '25 (vs. 6 and 2 prior) and raising our PT by $1 to $40, we find upside limited at BAC over the next 12 months." Wolfe double upgrades Synchrony to outperform from underperform Wolfe said the finance and credit company is well positioned in a "higher-for-longer" rate environment. "In an environment where we see beneficiaries of healthy labor markets outperforming casualties of higher-for-longer rates we upgrade SYF to Outperform." Piper Sandler initiates Synopsys at overweight Piper said it sees "margin opportunity" for the software company. "Benefiting from strong hyperscaler/datacenter activity, Synopsys has seen a substantial improvement in metrics over the past four years: growing at 15% CAGR and expanding operating margins by 1000bps since 2019." Morgan Stanley downgrades Block to underweight from equal weight Morgan Stanley sees growth headwinds for the payment tech company. "Similarly, we're unconvinced about Block's ability to sustainably reaccelerate Square Seller growth based on medium term headwinds we've identified." Piper Sandler downgrades Dave & Buster's to neutral from overweight Piper downgraded the stock following the release of its latest earnings. "Following PLAY's 4Q23 earnings results last night, we are moving our rating to Neutral, down from Overweight prior." Jefferies initiates BioLife Solutions at buy Jefferies said in its initiation of the bioproduction company that shares of BioLife are compelling with profit margin upside. "Mix of commercially approved basket of drugs & robust clinical pipeline offer attractive durable (and high margin) recurring rev opportunity, supporting mid-teens revenue [compound annual growth rate] thru '26." Goldman Sachs reiterates Super Micro at neutral Goldman says the stock is an "AI winner" but its valuation is full right now. "Supermicro: AI winner but investor feedback mixed to negative on valuation." Morgan Stanley upgrades Zeta to overweight from equal weight Morgan Stanley said the marketing technology company has an underappreciated valuation. " Zeta's growth has proven more resilient despite a tough spending environment for marketing software and advertising." Oppenheimer reiterates Coinbase at outperform Oppenheimer raised its price target on the stock to $276 per share from $200. "Some of our thesis has played out as expected. At this level of trading, we are cautious about the near-term volatility, but remain positive on the long-term adoption of blockchain technology. We believe Coinbase can be one of the beneficiaries for this long-term trend." UBS reiterates Apple as neutral UBS said its checks show that Apple's App Store revenue was higher in March compared to February. "Our analysis of Apple's App Store suggests revenue in the month of March was up ~13% YoY, a 200 bps increase from the ~11% growth in February." Barclays downgrades Ball to equal weight from overweight Barclays said in its downgrade of the glass and lid producer that shares of Ball are fully valued now. "We think it is prudent to move to the sidelines as valuation is now back to early 2022 levels, with still some ongoing risks around near-term volumes and beer demand." Evercore ISI upgrades Wayfair to outperform from in line Evercore sees revenue acceleration ahead for shares of Wayfair. "Wayfair is trying to look its best for its 10th year as a public company. We want to be there for the party when revenues accelerate and are upgrading the stock to Outperform." JPMorgan adds a positive catalyst watch on AstraZeneca JPMorgan added a positive catalyst watch on AstraZeneca heading into the biopharma company's earnings later this month. "We expect Q124 results to see a sharp acceleration in top-line growth and significant sequential Core EBIT margin expansion." Jefferies reiterates Amazon as buy Jefferies raised its price target on the e-commerce platform to $225 per share from $190 after a series of expert meetings. "Our AWS expert sees an improving cloud environment, but believes AMZN needs to improve its AI offering to stay competitive as multicloud adoption grows." Jefferies reiterates Meta as buy Jefferies raised its price target on Meta to $585 per share from $550. "Based on our updated market share analysis, we believe Meta could capture 50% of incremental industry ad dollars in 2024, which would be its highest ever and well above its 33% in 2023." Citi reiterates General Motors as a top pick Citi said it's standing by shares of the GMC, Chevrolet and Buick parent. "With Q1 wrapping up, its become clearer that GM is likely to post another resilient quarter." Wolfe upgrades Capital One to outperform from peer perform Wolfe sees "meaningful upside" for shares of Capital One. "In an environment where we see beneficiaries of healthy labor markets outperforming casualties of higher-for-longer rates we upgrade COF to Outperform, with meaningful upside if the DFS deal closes and limited downside if it does not." Mizuho initiates Wynn as buy Mizuho sees a "compelling" valuation and Macau recovery for Wynn shares. "WYNNing Formula – Upside to Estimates + Long-term Optionality, BUY, $131 PT." Benchmark initiates DoorDash at buy Benchmark says it's bullish on shares of the food delivery company. "Our Buy recommendation is rooted in DASH's ever-growing dominance in restaurant delivery and the subsequent network effects its massive user/driver scale afford it to new retail vectors including grocery, convenience, and brick and mortar broadly." Morgan Stanley reiterates Tesla at overweight Morgan Stanley lowered its price target to $310 per share from $320. " Tesla's weak 1Q update is a clear sign of the ongoing EV 'shake-out' phase." Goldman Sachs downgrades Hertz to sell from neutral Goldman downgraded the rental car company and said it sees too many negative catalysts not priced in. "We downgrade HTZ to Sell (from prior Neutral rating), as we believe the full extent of pricing, cost and DPU [depreciation per unit] pressures have not been priced in." UBS upgrades Eversource Energy to buy from neutral UBS said in its upgrade of Eversource that shares of the residential energy company are compelling. "Upgrade to Buy from Neutral; Overly Discounted for Near-term Transformation."