Here are Tuesday's biggest analyst calls of the day: Tesla, World Wrestling, American Eagle & more

Published Tue, Feb 18 20209:01 AM EST

Key Points

Morgan Stanley raised its price target on Tesla to $500 from $360.
Consumer Edge upgraded World Wrestling to overweight from equal weight.
UBS upgraded JD.com to to buy from neutral.
Bernstein raised its price target on Tesla to $730 from $325.
Cowen downgraded American Eagle Outfitters to market perform from outperform.

(This story is for CNBC PRO subscribers only.) Here are the biggest calls on Wall Street on Tuesday: Morgan Stanley raised its price target on Tesla to $500 from $360 Morgan Stanley raised its price target on Tesla but said it still expects a challenging first quarter. The firm also raised its bull case target to $1,200 from $650. "We believe investors should expect a very challenging 1Q, with our bull case moving to expansionary mode on battery capacity. We raise our target to $500 from $360 & recast our bull case to $1,200, which is based on aggressive unit volume outcomes that may push the limits of both demand and capacity to supply." Read more about this call here . Consumer Edge upgraded World Wrestling to 'overweight' from 'equal weight' Consumer Edge upgraded World Wrestling and said it sees a more "favorable " risk/reward. "We raise our WWE rating from Equalweight to Overweight. We now see a more favorable risk / reward. We believe sentiment is negative and longer-term media rights & engagement opportunities are largely unchanged. We believe WWE is reinvesting back into the business, looking at 'transformative' strategic options which could have better outcomes than current Street models, and see negative capital allocation outcomes as less likely after 4Q19 results." UBS upgraded JD.com to to 'buy' from 'neutral' UBS upgraded the Chinese e-commerce company and said it is better positioned during the coronavirus crisis. "In the near term, COVID-19 outbreak will hurt e-commerce platforms, but JD is relatively better positioned with its direct model. More importantly, we assume this is a temporary impact to JD, which investors will look through. Beyond 1H20, we see better revenue growth vs. prior estimates driven by good execution in FMCG and still double digit growth in home appliances and smartphones combined with continued net margin improvement due to scale and cost control. We are ahead of consensus on revenues and net margins from 2H20 onwards, as we have confidence management can execute and deliver steady results going forward, which we believe is not priced into the stock. Bernstein raised its price target on Tesla to $730 from $325 Bernstein raised its price target on the stock and said it felt "better" about the company's ability to be "sustainably profitable" among other things. "That said, while retail and trading dynamics have invariably contributed to TSLA' s rise, things have changed. Investors feel much better about Tesla's ability to be sustainably profitable; Model 3 demand remains healthy; GMs and op ex are both poised to materially improve; competition is sputtering; and product and production pipelines are robust." Cowen downgraded American Eagle Outfitters to 'market perform' from 'outperform' Cowen downgraded the lifestyle clothing and accessories retailer and said it had concerns about merchandise margins due to decreasing mall traffic among other things. " AEO 's valuation is not particularly expensive at 10x P/E vs. a ~12x 3-year average, although the multiple has remained range-bound in the 8-10x range since apparel-related tariffs were announced in mid-May 2019. While tariff risk has waned, we are concerned around AEO's ability to drive sustainable traffic without sacrificing merchandise margin especially in the face of tops' underperformance and general mall traffic headwinds. This may manifest in lack of upside to EPS with downside risk."

SpaceX founder Elon Musk reacts at a post-launch news conference after the SpaceX Falcon 9 rocket, carrying the Crew Dragon spacecraft, lifted off on an uncrewed test flight to the International Space Station from the Kennedy Space Center in Cape Canaveral, Florida, March 2, 2019.

Mike Blake | Reuters

(This story is for subscribers only.)

Here are the biggest calls on Wall Street on Tuesday:

Morgan Stanley raised its price target on Tesla to $500 from $360

Morgan Stanley raised its price target on Tesla but said it still expects a challenging first quarter. The firm also raised its bull case target to $1,200 from $650.

"We believe investors should expect a very challenging 1Q, with our bull case moving to expansionary mode on battery capacity. We raise our target to $500 from $360 & recast our bull case to $1,200, which is based on aggressive unit volume outcomes that may push the limits of both demand and capacity to supply."

Consumer Edge upgraded World Wrestling to 'overweight' from 'equal weight'

Consumer Edge upgraded World Wrestling and said it sees a more "favorable " risk/reward.

"We raise our WWE rating from Equalweight to Overweight. We now see a more favorable risk / reward. We believe sentiment is negative and longer-term media rights & engagement opportunities are largely unchanged. We believe WWE is reinvesting back into the business, looking at 'transformative' strategic options which could have better outcomes than current Street models, and see negative capital allocation outcomes as less likely after 4Q19 results."