Listed below are Tuesday’s greatest calls on Wall Road: Loop initiates AppLovin as purchase Loop mentioned the software program writer is an “indispensable infrastructure for the cell gaming trade.” “We’re initiating protection of AppLovin with a Purchase score and $181 PT.” Bernstein initiates Costco as outperform Bernstein mentioned the corporate is the “highest high quality” within the agency’s protection. “Regardless of COST buying and selling at an costly valuation (~50x P/FE), we consider that the longevity of its constant earnings energy and development runway is underappreciated.” Bernstein initiates Walmart as outperform The agency mentioned the big-box retailer is greatest positioned. ” WMT is our high choose (Outperform, $95.00 TP) as we anticipate the corporate to leverage its scale to supply nice worth to shoppers and to develop e-commerce profitably. As WMT’s investments in omni-channel begin to repay, we anticipate EBIT development to meaningfully outpace gross sales development.” Citi upgrades First Photo voltaic to purchase from impartial Citi mentioned the photo voltaic firm is a winner regardless of who wins the election. “We anticipate FSLR to profit from both candidate successful the presidential election. A Democratic win could drive sharpest restoration in FSLR shares within the sector whereas a Republican win will possible drive greater tariffs leading to a longer-term restoration.” Learn extra about this name right here. Mizuho initiates Cadence and Synopsys as outperform Mizuho mentioned it’s bullish on each software program corporations. “We’re initiating protection on the Digital Design Automation (EDA) software program trade with Outperform rankings on each Synopsys (SNPS) and Cadence (CDNS).” Jefferies reiterates Tesla as maintain Jefferies raised its value goal on the inventory to $195 per share from $165. ” Tesla stays an interesting enterprise when it comes to innovation and drive however, greater than ever, appears to be like like an imbalanced VC portfolio solely funded by an auto enterprise underneath strain.” Morgan Stanley reiterates Apple as a high choose Morgan Stanley mentioned it’s standing by high choose Apple heading into earnings subsequent week. “LT [long term] AI improve cycle thesis intact, NT [near term] setup tougher.” Loop reiterates Microsoft as purchase The agency mentioned it’s bullish heading into Microsoft earnings subsequent week. “General, we predict stable F1Q (September) outcomes with lots of the key development drivers exhibiting not less than modest acceleration within the quarter and prone to proceed to speed up into the tip of the CY.” Financial institution of America reiterates Meta as purchase Financial institution of America mentioned Meta is effectively positioned for synthetic intelligence forward of earnings subsequent week. ” Meta inventory is up 63% YTD and stays high AI choose in our protection given: 1) Information factors suggesting AI driving sturdy core advert development, 2) multi-year utilization development alternatives in Gen-AI, 3) rising core app utilization for youthful customers addressing terminal worth danger…” Redburn Atlantic Equities initiates Mondelez as purchase Redburn mentioned the meals merchandise firm is a brand new high thought on the agency. ” Mondelēz is our high choose. It’s best positioned to capitalise on engaging alternatives in rising markets and the rising snacking pattern, providing each top-line development and margin enlargement potential.” KeyBanc initiates Zeta International as chubby KeyBanc mentioned the advertising software program firm has a horny platform. “We’re initiating protection of Zeta International (ZETA) with an OW score and $40 PT.” Stifel initiates Braze as purchase Stifel mentioned the software program firm is greatest positioned. “We see Braze as well-positioned to seize share within the buyer engagement software program area, and consider the corporate has constructed a modern multi-channel advertising platform that’s tough to duplicate.” Stifel initiates Klaviyo as purchase Stifel mentioned it’s bullish on the software program firm. “We’re initiating protection on shares of KVYO with a Purchase score and $45 goal value.” Morgan Stanley reiterates Disney as chubby Morgan Stanley mentioned it sees extra upside in Disney shares. “We see a optimistic danger/reward right here in shares. The present muted development and elevated funding spend at Parks appears to be like mirrored in consensus and units Disney up for accelerating development in ’26.” Citi upgrades Fluor to purchase from impartial Citi mentioned the engineering and development firm has “nuclear upside.” “Finally, we predict FLR’s outlook/execution continues to evolve positively, and whereas we predict enchancment has been and can proceed to be considerably gradual, we won’t ignore FLR’s elevated backlog during the last a number of quarters (up mid 20% y/y as of 2Q24) nor its improved total execution.” JPMorgan downgrades Hertz to underweight from impartial The agency mentioned “monetary leverage is excessive” for the auto rental firm. “Downgrade shares of Hertz International Holdings (HTZ) to Underweight from Impartial and take away value goal as we decrease estimates to account for softer journey developments and attainable sooner churn of car fleet…” BTIG downgrades Deckers to impartial from purchase BTIG downgraded the shoe firm as development moderates. “We transfer to the sidelines on DECK shares, as we now see danger/reward as extra balanced as our checks choose up: a slower begin to vacation for UGG, and probability that any upside stems extra from wholesale than DTC, which we see as unlikely to be rewarded by buyers at present valuation ranges…” Jefferies upgrades Paylocity to purchase from maintain Jefferies mentioned the payroll techniques firm is effectively positioned. “Why Improve PCTY Now? With expectations reset for FY25, we see a path for natural outperformance.” Guggenheim names Itron a high thought The agency mentioned the water tech options firm is now a greatest thought on the agency. “We’re reiterating our Purchase suggestion and $128 value goal for Itron , and we’re assured that bookings power within the second half of 2024 ought to materialize.” KeyBanc initiates Flex as chubby The agency mentioned the multinational manufacturing firm is effectively positioned. “FLEX is growing publicity to massive, numerous, greater worth finish markets to enhance its resiliency and profitability.”
