Here are Wednesday's biggest analyst calls of the day: Boeing, AT&T, Microsoft & more

Published Wed, Jan 22 20209:36 AM EST

Key Points

Deutsche Bank initiated AT&T as buy.
Citi downgraded Estee Lauder to neutral from buy.
Wedbush raised its price target on Tesla to $550 from $370.
Raymond James raised its price target on Microsoft to $192 from $163.
Vertical Research Partners downgraded Boeing to hold from buy.

Here are the biggest calls on Wall Street on Wednesday. Deutsche Bank initiated AT & T as 'buy' Deutsche initiated coverage on the stock and said it had a "unique scale" across the communications and media business. " AT & T has unique scale across a wide range of media and communications businesses (fiber, spectrum, satellite TV, television programming, film/TV production, and streaming). The stock has underperformed the S & P 500 and Verizon over the past 3, 5, and 10 year periods, but has outperformed VZ over the past 12 months thanks to a renewed focus on driving cost efficiency, restoring financial discipline to AT & T's pay TV businesses, and cleaning up the balance sheet/ non-core asset portfolio, all of which have allowed the company to recently return to a more shareholder friendly capital allocation strategy featuring share repurchases in addition to AT & T's regular dividend." Citi downgraded Estee Lauder to 'neutral' from 'buy' Citi downgraded the stock on valuation. " EL' s share price is up 60% over the last 12 months. With this performance behind it, the stock is now trading at 34x our CY20 EPS forecast, or an 80% premium to the market, which puts it close to its all-time high relative valuation." Wedbush raised its price target on Tesla to $550 from $370 Wedbush raised its price target on the stock and said it believed Tesla was seeing underlying strength in China and Europe. "With the drumroll of Tesla bulls now focused on earnings next week January 29th after the bell we believe Musk & Co. will not disappoint as underlying strength in China and Europe demand appear robust based on our analysis. While Tesla shares remain on a historic rally heading into earnings, the bull party likely continues as the aggressive trajectory of Giga 3 production and demand out of Shanghai look very strong out of the gates and is the catalyst to move our price target from $370 to $550 ahead of earnings." Raymond James raised its price target on Microsoft to $192 from $163 Raymond James raised its price target on Microsoft and said its channel checks show a strong quarter. "Azure is getting some benefit from Server/SQL Server 2008 end of support this month driving cloud migrations. On-prem server did show signs of slowing this quarter, with some channels showing growth and some declines as the 2008 end of service driver matures and some customers migrate to the cloud. Lastly, Gartner PC shipments for 4Q came in above our (and Gartner's) embedded forecast at 2.3% vs. our -3.4%E assumption, with chip supply constraints offset by continued Windows 10 upgrade tailwinds." Vertical Research Partners downgraded Boeing to 'hold' from 'buy' Vertical Research Partners downgraded the stock and said it doesn't see Boeing "in a position to increase cash return" until 2022 due to the Boeing 737 Max issues. "We are belatedly downgrading Boeing for Buy to Hold, with modest downside to our revised target price. While optimists may point to this being the 'kitchen sink' revision that gives us a trough FCF number to work with, we think it will remain unclear what Boeing's underlying cash generation actually is for some time. As it is, we don't see Boeing being in a position to increase cash returns to shareholders until 2022." Read more about this call here .

Randall Stephenson, CEO of AT&T, speaking at the Business Roundtable CEO Innovation Summit in Washington, DC. on Dec. 6th, 2018.

Janhvi Bhojwani | CNBC

Here are the biggest calls on Wall Street on Wednesday.

Deutsche Bank initiated AT&T as 'buy'

Deutsche initiated coverage on the stock and said it had a "unique scale" across the communications and media business.

"AT&T has unique scale across a wide range of media and communications businesses (fiber, spectrum, satellite TV, television programming, film/TV production, and streaming). The stock has underperformed the S&P 500 and Verizon over the past 3, 5, and 10 year periods, but has outperformed VZ over the past 12 months thanks to a renewed focus on driving cost efficiency, restoring financial discipline to AT&T's pay TV businesses, and cleaning up the balance sheet/ non-core asset portfolio, all of which have allowed the company to recently return to a more shareholder friendly capital allocation strategy featuring share repurchases in addition to AT&T's regular dividend."

Citi downgraded Estee Lauder to 'neutral' from 'buy'

Citi downgraded the stock on valuation.

"EL's share price is up 60% over the last 12 months. With this performance behind it, the stock is now trading at 34x our CY20 EPS forecast, or an 80% premium to the market, which puts it close to its all-time high relative valuation."