Listed below are Tuesday’s largest calls on Wall Avenue: Loop initiates AppLovin as purchase Loop mentioned the software program writer is an “indispensable infrastructure for the cellular gaming trade.” “We’re initiating protection of AppLovin with a Purchase ranking 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 progress runway is underappreciated.” Bernstein initiates Walmart as outperform The agency mentioned the large field retailer is greatest positioned. ” WMT is our prime choose (Outperform, $95.00 TP) as we count on the corporate to leverage its scale to supply nice worth to customers and to develop e-commerce profitably. As WMT’s investments in omni-channel begin to repay, we count on EBIT progress to meaningfully outpace gross sales progress.” 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 count on FSLR to learn from both candidate profitable the presidential election. A Democratic win could drive sharpest restoration in FSLR shares within the sector whereas a Republican win will seemingly 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 is bullish on each software program corporations. “We’re initiating protection on the Digital Design Automation (EDA) software program trade with Outperform scores 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, seems to be like an imbalanced VC portfolio solely funded by an auto enterprise below strain.” Morgan Stanley reiterates Apple as a prime choose Morgan Stanley mentioned it is standing by prime 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 is bullish heading into Microsoft earnings subsequent week. “Total, we expect strong F1Q (September) outcomes with lots of the key progress drivers exhibiting a minimum of 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 nicely positioned for AI forward of earnings subsequent week. ” Meta inventory is up 63% YTD and stays prime AI choose in our protection given: 1) Knowledge factors suggesting AI driving robust core advert progress, 2) multi-year utilization progress 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 prime thought on the agency. ” Mondelēz is our prime choose. It’s best positioned to capitalise on enticing alternatives in rising markets and the rising snacking development, providing each top-line progress and margin enlargement potential.” KeyBanc initiates Zeta International as obese KeyBanc mentioned the advertising software program firm has a pretty platform. “We’re initiating protection of Zeta International (ZETA) with an OW ranking 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 house, and consider the corporate has constructed a modern multi-channel advertising platform that’s troublesome to copy.” Stifel initiates Klaviyo as purchase Stifel mentioned it is bullish on the software program firm. “We’re initiating protection on shares of KVYO with a Purchase ranking and $45 goal value. Morgan Stanley reiterates Disney as obese Morgan Stanley mentioned it sees extra upside in Disney shares. “We see a constructive danger/reward right here in shares. The present muted progress and elevated funding spend at Parks seems to be mirrored in consensus and units Disney up for accelerating progress 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 will not ignore FLR’s elevated backlog during the last a number of quarters (up mid 20% y/y as of 2Q24) nor its improved general 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 traits and doable quicker churn of car fleet…” BTIG downgrades Deckers to impartial from purchase BTIG downgraded the shoe firm as progress 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 chance that any upside stems extra from wholesale than DTC, which we see as unlikely to be rewarded by traders at present valuation ranges…” Jefferies upgrades Paylocity to purchase from maintain Jefferies mentioned the payroll methods firm is nicely positioned. “Why Improve PCTY Now? With expectations reset for FY25, we see a path for natural outperformance.” Guggenheim names Itron a prime 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 obese The agency mentioned the multinational manufacturing firm is nicely positioned. “FLEX is rising publicity to giant, various, greater worth finish markets to enhance its resiliency and profitability.”
