Wednesday’s Biggest Analyst Calls: NVIDIA, Tesla, Spotify, Apple, GM, Alphabet, Imax, Disney and More

Major Wall Street Calls on Wednesday

RBC Upgrades Estée Lauder to OutperformRBC upgraded Estée Lauder to outperform, highlighting an attractive risk/reward balance. The bank believes the company's earnings per share (EPS) and investor sentiment have hit a low point, making the stock more favorable for potential gains.

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Raymond James Initiates Taylor Morrison as OutperformRaymond James began coverage of Taylor Morrison Homes with an outperform rating and set a price target of $75. This target represents an 8.3x multiple on their initial 2025 EPS estimate, indicating strong confidence in the homebuilder's future performance.

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Morgan Stanley Reiterates Tesla as OverweightDespite Tesla's disappointing earnings, Morgan Stanley maintained its overweight rating on the stock. The firm noted that Tesla is navigating through the electric vehicle (EV) recession without major changes to its outlook.

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TD Cowen Initiates JFrog as BuyTD Cowen initiated coverage on JFrog with a buy rating, emphasizing the company's strong position in binary management with durable competitive advantages. They see an attractive buying opportunity due to the company's critical role in cloud solutions.

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TD Cowen Upgrades Lockheed Martin to BuyTD Cowen upgraded Lockheed Martin from hold to buy, citing enhanced visibility with the resumption of F-35 deliveries. They also raised the price target to $560, reflecting increased confidence in the defense contractor's prospects.

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Goldman Sachs Upgrades Spotify to BuyGoldman Sachs upgraded Spotify to buy from neutral, following the company's Q2 2024 earnings results. The firm increased its 12-month price target from $320 to $425, expressing optimism about Spotify's future growth.

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Stifel Upgrades A.O. Smith to BuyStifel upgraded A.O. Smith to buy from hold, citing favorable margin tailwinds for the water heating solutions company. They set a price target of $98, reflecting their positive outlook on the company's financial performance.

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JPMorgan Reiterates Alphabet as OverweightJPMorgan maintained its overweight rating on Alphabet, following solid Q2 results. The company showed notable strength in search (up 14% year-over-year), cloud (up 29% year-over-year), and operating income. Alphabet's advances in generative AI also contributed to the positive outlook.

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Morgan Stanley Initiates Biohaven as OverweightMorgan Stanley began coverage on Biohaven with an overweight rating and a $58 price target, citing significant value creation potential for the biotech company.

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Goldman Sachs Upgrades Madison Square Garden Entertainment to BuyGoldman Sachs upgraded Madison Square Garden Entertainment to buy from neutral, pointing to the company's unique business model and recent underperformance, which they believe presents an attractive investment opportunity.

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JPMorgan Adds Positive Catalyst Watch to AppleJPMorgan expressed bullish sentiment heading into Apple's earnings on August 1. They established a new price target of $265 for December 2025, up from the previous target of $245, expecting positive investor reactions to the upcoming earnings report.

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Jefferies Downgrades Colgate-Palmolive and Procter & Gamble to HoldJefferies downgraded both Colgate-Palmolive and Procter & Gamble to hold from buy, citing that the stocks have risen too quickly. They see downside risks as consumption slows, demand elasticities weaken, and pricing power fades.

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Piper Sandler Downgrades Ulta to NeutralPiper Sandler downgraded Ulta to neutral from buy, lowering the price target to $404 from $494. The decision followed an analysis of the competitive and promotional environment, suggesting less compelling prospects for the stock.

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Deutsche Bank Names Citizens Financial a Top PickDeutsche Bank designated Citizens Financial as a top pick among regional banks. The firm's shares have been strong, up 27% year-to-date, outpacing peers.

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Gordon Haskett Downgrades Five Below to HoldGordon Haskett downgraded Five Below to hold from accumulate, citing too much uncertainty after the company pre-announced disappointing Q2 sales and the resignation of long-time CEO Joel Anderson.

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Morgan Stanley Downgrades General Motors to Equal WeightMorgan Stanley downgraded General Motors to equal weight from overweight, seeing a more balanced risk/reward scenario for the automaker.

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Seaport Initiates Imax as BuySeaport initiated coverage on Imax with a buy rating, viewing it as a pure play on the film industry's recovery. They believe the stock will benefit as the theatrical release schedule normalizes post-strike disruptions.

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Cantor Fitzgerald Downgrades Tesla to NeutralCantor Fitzgerald downgraded Tesla to neutral from overweight, based on near-term valuation concerns following the company's earnings.

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Barclays Reiterates Disney as OverweightBarclays maintained its overweight rating on Disney, noting that theme park weakness seen at Universal Studios is unlikely to affect Disney. They highlighted Disney's extensive hotel network and membership program, which provide better visibility into park traffic trends.

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D.A. Davidson Upgrades Malibu Boats to BuyD.A. Davidson upgraded Malibu Boats to buy from neutral, with a price target of $48. Their latest industry checks revealed an incremental pickup in June retail demand, suggesting improved prospects for the boating company.

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Citi Reiterates Nvidia as BuyCiti reiterated its buy rating on Nvidia, praising the company's Foundry AI platform announced on Tuesday. They see this development as a significant move to unlock AI potential for enterprises, marking the next big growth frontier for Nvidia.

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