Wednesday’s Biggest Analyst Calls: Rivian, Nvidia, Apple, Micron, Microsoft, Sweetgreen, Tesla, Netflix & More

Here are Wednesday’s major calls on Wall Street:

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Morgan Stanley reaffirms Rivian as overweightMorgan Stanley increased its price target on Rivian to $17 per share from $13. The firm highlighted the VW partnership, noting it gives Rivian a chance to escape the challenges of manufacturing electric vehicles.

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Susquehanna reaffirms Nvidia as positiveSusquehanna maintains a positive rating on Nvidia shares. They noted that while AI checks remain strong, they believe further upward revisions to AI guidance for Nvidia and other companies like AMD, AVGO, and MRVL will be needed to boost share prices.

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UBS reaffirms Apple as neutralUBS expects Apple’s results to be "in-line" when the company reports on August 1. They noted that the market is focused on FY25 financial metrics, and recent demand trends suggest only minor adjustments.

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Jefferies upgrades UnitedHealth to buy from holdJefferies upgraded UnitedHealth to buy following its earnings, citing a strong setup for 2025.

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KBW upgrades Progressive to outperform from market performKBW upgraded Progressive’s shares to outperform and raised the target price to $245 from $210 after its June 2024 earnings report.

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Bernstein downgrades Chevron to market perform from outperformBernstein downgraded Chevron, citing concerns about oil prices. They recommended rotating from Chevron to Hess, upgrading Hess to outperform.

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UBS initiates Sweetgreen as buyUBS initiated coverage on Sweetgreen with a buy rating and a $31 price target, citing margin potential.

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TD Cowen downgrades Charles Schwab to hold from buyTD Cowen downgraded Charles Schwab after disappointing earnings. They lowered their price target to $71 from $88, noting the stock's recent 10% drop and disappointing Q2 call.

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Deutsche Bank adds a catalyst call buy on International FlavorsDeutsche Bank is bullish on International Flavors ahead of its early August earnings, expecting a "beat and raise" driven by improving volumes and productivity actions.

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Mizuho upgrades Valero to buy from neutralMizuho upgraded Valero, citing several positive catalysts including exposure to U.S. coastal markets, ability to modify crude diet, and higher gasoline yields.

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Morgan Stanley downgrades Five Below to equal weight from overweightMorgan Stanley downgraded Five Below, noting management transitions and uncertainty over unit growth and necessary investments to boost sales.

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Citi adds a negative catalyst watch on HersheyCiti lowered its price target on Hershey to $188 from $204, maintaining a neutral rating. They see risks to Hershey's sales and earnings outlook for the second half of 2024 and challenges in 2025 due to high-priced cocoa.

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TD Cowen downgrades American Airlines to hold from buyTD Cowen downgraded American Airlines, citing concerns over the carrier’s aggressive discounting this summer and potential downside risks to its 2H24 revenue per available seat mile and earnings estimates.

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Barclays reaffirms Tesla as equal weightBarclays raised its price target on Tesla to $225 from $180, noting an interesting setup ahead of the company’s Q2 earnings.

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Evercore ISI adds AutoZone to its fab five listEvercore ISI added AutoZone to its fab five portfolio, maintaining an outperform rating on the stock. They noted that AutoZone remains a favored name with expected improvements in the coming quarters.

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Citi adds a positive catalyst watch on MasterCardCiti is bullish on MasterCard ahead of its earnings next week, expecting in-line to better-than-expected results for the June quarter with modest upside potential.

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Oppenheimer downgrades Morgan Stanley to perform from outperformOppenheimer downgraded Morgan Stanley after earnings, primarily due to valuation concerns. They noted a solid quarter but downgraded shares to perform as they exceeded their target.

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Bank of America initiates Axon as buyBank of America initiated coverage on Axon Enterprise with a buy rating and a price objective of $380, citing the company’s strong positioning for upside.

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HSBC downgrades Qualcomm to hold from buyHSBC downgraded Qualcomm, citing a lack of catalysts. They raised their price target to $200 from $190 but expressed concerns about smartphone market challenges and a less bullish AI PC narrative.

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Guggenheim reaffirms Netflix as buyGuggenheim maintained its buy rating on Netflix, expecting sustained operating margin expansion into the mid-30% over the next five years. They raised their price target to $735 from $700.

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UBS reaffirms Micron as buyUBS remains bullish on Micron, highlighting the potential for a durable cycle driven by high bandwidth memory and expecting gross margins to rise through 2025.

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Bank of America reaffirms Microsoft as buyBank of America raised its price target on Microsoft to $510 from $480, noting that partner calls ahead of Q2FY24 results indicated performance tracking above or in line with expectations.

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Needham reaffirms Amazon as buyNeedham raised its price target on Amazon to $210 from $205, emphasizing its status as a services company with expanding margins and potential upside from generative AI. They noted Amazon's track record of building large businesses from scratch, which hides value creation.

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