Tuesday’s Biggest Analyst Calls: Nvidia, Apple, Zoom, Goldman, Amazon, Chevron and More

Top Analyst Calls on Wall Street This Tuesday

Wall Street analysts have released fresh recommendations and updates on several notable stocks. Here's a summary of the most prominent calls:

‍

Eastman Chemical (EMN)

Wells Fargo Upgrade: Equal Weight → Overweight
Wells Fargo upgraded Eastman Chemical, citing its appeal in the current challenging macroeconomic environment. The firm expects the company to achieve consistent earnings per share (EPS) growth and sees potential for robust mid-cycle EBITDA as market conditions improve.

‍

Hanesbrands (HBI)

UBS Upgrade: Neutral → Buy
UBS expressed optimism about Hanesbrands' ongoing turnaround. Key factors driving their outlook include accelerated organic sales growth, expanded EBIT margins, 50% EPS growth by fiscal year 2025, reduced net debt-to-EBITDA ratios, and the potential reinstatement of dividends within 12 to 18 months.

‍

Goldman Sachs (GS) & Morgan Stanley (MS)

HSBC Downgrade: Buy → Hold
HSBC tempered its outlook on Goldman Sachs and Morgan Stanley, suggesting that while their fundamentals remain strong, the risk/reward balance for their stocks has become less favorable. Despite raising EPS estimates for both firms, HSBC notes higher investment banking and wealth management fees, along with elevated buyback activity, may already be priced in.

‍

Rambus (RMBS)

Baird Initiation: Outperform
Baird initiated coverage of Rambus, highlighting the company’s critical role in AI-driven performance improvements for data centers. Its advanced technology and intellectual property address bottlenecks between processors and memory, positioning it as a beneficiary of increasing AI adoption in the sector.

‍

Royal Caribbean (RCL)

Bernstein Initiation: Outperform
Bernstein sees strong growth prospects for Royal Caribbean, citing record-high margins and return on invested capital (ROIC). The firm's investments in larger ships and exclusive private island experiences have enabled faster profitability gains.

‍

Nvidia (NVDA)

KeyBanc Reiteration: Overweight
KeyBanc reaffirmed its positive stance on Nvidia, maintaining a price target of $180. The firm sees limited competitive threats to Nvidia’s leadership in advanced semiconductor solutions, particularly in AI and data center applications.

‍

Amazon (AMZN)

Bank of America Reiteration: Buy
Bank of America reiterated its bullish outlook on Amazon, emphasizing its dominance in e-commerce and cloud computing. Analysts highlighted the company’s strength in online advertising, connected devices, and logistics as key growth drivers.

‍

Redburn Atlantic Equities Upgrade
Redburn Atlantic Equities raised its price target on Amazon to $235 from $225. The firm views Amazon's vertical integration and the continued leadership of Amazon Web Services (AWS) as significant competitive advantages.

‍

Zoom Video Communications (ZM)

Evercore ISI Upgrade: In Line → Outperform
Evercore ISI raised its rating on Zoom following strong earnings. The firm praised Zoom’s operational execution and momentum across newer product lines, underscoring its ability to deliver consistent results.

‍

Chevron (CVX)

Citi Upgrade: Neutral → Buy
Citi upgraded Chevron, asserting that the stock remains undervalued compared to its peers. While Chevron has slightly outperformed recently, it continues to lag behind ExxonMobil and the broader S&P 500 for the year.

‍

Pinterest (PINS)

TD Cowen Initiation: Buy
TD Cowen initiated coverage of Pinterest, calling it a "margin story." Analysts praised the platform’s unique value as a visual search and discovery tool that inspires users and drives potential purchases.

‍

Starbucks (SBUX)

Wells Fargo Reiteration: Overweight
Wells Fargo raised its price target for Starbucks from $110 to $115, citing strategic options being explored for its China business. The firm believes potential joint ventures or a spin-off could enhance long-term margins and EPS.

‍

Capri Holdings (CPRI)

Guggenheim Upgrade: Hold → Buy
Guggenheim upgraded Capri Holdings, owner of brands like Michael Kors, noting its depressed valuation relative to historical earnings. The firm expects management initiatives to unlock shareholder value, particularly during the holiday shopping season.

‍

Apple (AAPL)

Barclays Reiteration: Underweight
Barclays reiterated its cautious stance on Apple, citing risks from the ongoing Department of Justice case against Alphabet. Although Apple isn’t directly involved, potential outcomes may impact its advertising model.

‍

Airlines: United (UAL), Delta (DAL), and Alaska (ALK)

UBS Reinstatement: Buy
UBS reinstated coverage of these airlines with positive ratings, emphasizing their strong operational performance across key metrics.

‍

Anheuser-Busch InBev (ABI)

Morgan Stanley Reiteration: Overweight
Morgan Stanley highlighted Anheuser-Busch InBev’s strong cash flow generation and valuation as key positives, even after lowering its 2025 EPS estimate by 10%.

‍

Foot Locker (FL)

Evercore ISI Reiteration: Outperform
Evercore ISI added Foot Locker to its top five outperform list, advising investors to take advantage of recent stock weakness. The firm cited solid sales during the back-to-school season as evidence of resilience despite challenging market trends.

‍