Here’s a summary of notable calls from Wall Street on Thursday:
Barclays has upgraded its rating on international fragrance companies from equal weight, suggesting an attractive buying opportunity. They noted that in the current market, investors are looking for straightforward stories with limited downside risk, which isn’t easy to find in traditional staples. IFF seems to fulfill both criteria.
In a shift, Wedbush has downgraded Uber from outperform to neutral, expressing concern that the company’s previous “beats” might be past. They remarked on Uber’s high valuation as its business model has recovered post-pandemic but noted that the recent performance may no longer align with investor expectations.
RBC upgraded Mosaic’s stock, highlighting that the phosphate market is tight due to stable demand and limited supply, which should support price increases. They see Mosaic trading at a forward EBITDA ratio of just 4-4.5 times.
JMP Citizens moved OPPFI to market outperform, pointing out the appeal of this all-digital subprime lender, setting a price target of $13.50.
Bank of America reaffirmed Nike, stating the company is positioned well to navigate tariffs, particularly since Nike has been working to lessen its reliance on Chinese suppliers since 2018.
Bernstein reiterated its positive outlook on Nvidia, emphasizing robust data center opportunities that remain early yet promising.
Baird continues to favor Apple, citing the company’s strong ecosystem, cash flow, and high-end market dominance. They anticipate that advancements in AI will further enhance Apple’s appeal, especially with upcoming developments at WWDC next month.
Morgan Stanley remains overweight on Disney after a recent earnings report, noting that while macro challenges persist, investments in new cruise ships and park attractions should help maintain earnings potential.
BMO is optimistic about Netflix’s newly improved user interface for TV and mobile, predicting that this upgrade could reduce churn and boost viewer engagement.
Bank of America commented on the online used car market, forecasting growth potential for CVNA after revenue results. They highlighted the company’s ability to gain market share online.
On the other hand, Bank of America has downgraded Archer-Daniels-Midland, despite some relief from their first-quarter results and maintaining an EPS guidance of $4.00-$4.75 for 2025.
Finally, Bernstein expressed concern over Hain Celestial’s market performance following a sudden CEO transition and subsequent strategic review, leading to a downgrade from outperform to market perform.
In other upgrades, Bank of America raised Bradesco’s rating to buy after their strong first-quarter results and improved outlook, while they upgraded National Vision due to effective strategic initiatives.
