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Here are Wednesday's biggest analyst calls of the day: Boeing, Cisco, Microsoft, Southwest & more

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Key Points
  • Cowen downgraded Boeing to market perform from outperform.
  • Mizuho upgraded Occidental Petroleum to buy from neutral.
  • Cowen downgraded Yum! Brands to market perform from outperform.
  • Bank of America downgraded Cisco to neutral from buy.
  • Bank of America downgraded Southwest Airlines to neutral from buy.
  • Morgan Stanley raised its price target on Microsoft to $189 from $157.
  • Wedbush downgraded VF Corp to neutral from outperform.
Grounded Boeing Co. 737 Max airplanes are seen in a parking lot near Boeing Field in Seattle, Washington, on Tuesday, Dec. 17, 2019.
David Ryder | Bloomberg | Getty Images

Here are the biggest calls on Wall Street on Wednesday:

Cowen downgraded Boeing to 'market perform' from 'outperform'

Cowen downgraded the stock and said it expects the company to incur additional costs related to the 737 Max issues. The downgrade was not related to the crash of a Boeing plane in Iran overnight.

"We're downgrading BA to Market Perform for additional costs from the MAX production suspension and certification delays. We see these holding free cash flow to $15/sh. in '20 and $26/sh. in '21 with a flattish 2022. We're paring our PT to $371, a 7.0% '21 cash flow yield."

Mizuho upgraded Occidental Petroleum to 'buy' from 'neutral'

Mizuho upgraded the hydrocarbon and petrochemical company and said the "worst" is behind it and expects "sustainable" dividend growth in 2022.

"OXY was the worst performing stock in our E&P coverage in 2019, following the APC acquisition and associated financial burden taken on; it is the least recommended oil stock in our coverage - quite a notoriety. We believe the worst is behind the company, and we see increasing line of sight for sustainable dividend growth in 2022 and beyond. With the stock currently yielding ~7.0%, that yield supported by recent improvement in oil prices and 350kbd collared in 2020, and the company having made good recent progress on divestitures, we believe the time is now for an upgrade.

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