Here are Friday's biggest analyst calls of the day: Disney, Dollar General, Uber, Royal Caribbean & more

Published Fri, Feb 28 20209:24 AM ESTUpdated Fri, Feb 28 20209:52 AM EST

Key Points

BMO named Walt Disney as a top pick.
Wells Fargo lowered its price target on Goldman Sachs to $260 from $300.
Macquarie initiated Peloton as outperform.
KeyBanc initiated Uber and Lyft as overweight.
Jefferies upgraded Dollar General to buy from hold.
Atlantic Equities upgraded Wells Fargo to neutral from underweight.
Barclays lowered its price target on Beyond Meat to $130 from $185.
Deutsche Bank downgraded Royal Caribbean and Norwegian Cruise Line to hold from buy.
Oppenheimer upgraded Waste Management to outperform from perform.

(This story is for CNBC Pro subscribers only.) Here are the biggest calls on Wall Street on Friday: BMO named Walt Disney as a 'top pick' BMO named Disney a top pick and said it would use any weakness from the coronavirus as a buying opportunity. "For DIS , there is no change to our long-term view owing to the virus (or the CEO change, on which we offer more thoughts within), and we believe the stock is increasingly baking in more challenges already. We would use any near-term weakness related to COVID-19 virus as an opportunity to build long-term positions, or for those that missed the initial move post the April DTC Investor Day, to initiate ones." Wells Fargo lowered its price target on Goldman Sachs to $260 from $300 Wells Fargo lowered its price target on Goldman Sachs due to a lower 10-year Treasury and two assumed rate cuts from the Federal Reserve. There's earnings issues but balance sheet strength. We're reducing large bank ests. by about 10% given the impact of (1) interest rates, including a lower 10 year treasury (from 1.91% to 1.27% YTD) and 2 assumed Fed rate cuts (=forward yield curve); (2) capital markets, including less activity (IPOs, underwriting, mergers), lower equity values, and more risk-off; and (3) less growth; partially mitigated by better mortgage and possible re-intermediation to lending markets from capital markets." Macquarie initiated Peloton as 'outperform' Macquarie initiated coverage of the fitness machine company and said it sees a growing international opportunity. "Technogym has the most approximate offering to Peloton in Europe, offering in-home interactive fitness hardware. But many of Technogym's products are more expensive than the Peloton Bike's US retail price, leaving room for Peloton to differentiate its offering there, in our view. Europe and other advanced economies outside the US are even more underdeveloped around in-home interactive fitness than the still relatively new US market." KeyBanc initiated Uber & Lyft as 'overweight' KeyBanc initiated Uber and Lyft and said profitability will be a key for the stock. "We believe that profitability growth, not revenue growth, will be the driver of stock performance in the Marketplaces category and align our views on our subsectors and new coverage accordingly. Within this framework, we are most constructive on Ridesharing, but think that upside could be greatest in Food Delivery when the competitive environment rationalizes. Home services should see a near-term tailwind from favorable interest rates, but full cycle profitability of iBuying has yet to be proven." Jefferies upgraded Dollar General to 'buy' from 'hold' Jefferies upgraded the discount retailer and called Dollar General a "long-term" growth story. "A high-quality, defensive and well-managed core L-T holding: While noted upside is modest and val. sits above hist. norms, implied > 10% EBIT/EPS growth for a name that is well-positioned for cont'd share gains regardless of where we are in the cycle (actually counter-cyclical and did DD% comps during last downturn), and now, margin expansion, justifies the multiple as does our DCF showing > 30% upside L-T. Moreover, N-T, minimal int'l sourcing exposure (~6%) should limit COVID-2019 supply chain risk as well." Atlantic Equities upgraded Wells Fargo to 'neutral' from 'underweight' Atlantic Equities downgraded the stock mainly on valuation. "Following the 21% decline in the share price YTD we are upgrading WFC to Neutral. Although WFC is the most exposed of the major banks to falling long-end rates, we believe that these concerns are now fully priced into the stock. We have lowered our FY20 and FY21 EPS estimates by 8% and 7% respectively, reflecting lower net interest income." Barclays lowered its price target on Beyond Meat to $130 from $185 Barclays lowered its price target on Beyond Meat and said it had concerns about profitability after the company's earnings report . "Despite strong results and a promising outlook for 2020, we are lowering our price target to $130 from $185, as the company aims to speed up investments in marketing and growth in the short term; moreover, we see some profitability headwinds especially during 1Q20. Nevertheless, we reiterate our OW rating." Deutsche Bank downgraded Royal Caribbean and Norwegian Cruise Line to 'hold' from 'buy' Deutsche Bank downgraded the cruise line companies and said it couldn't "realistically" recommend them as the coronavirus fears worsen. "We are downgrading RCL and NCLH from Buy to Hold, and reiterating our Hold rating on CCL. Simply put, while these stocks have already endured significant selloffs, we cannot realistically recommend buying them. There are too many unknowns, and we think multi-year earnings risk is becoming a greater threat. Please note that our Hold ratings across this group are meant to be true to word—if we owned the stocks already, we would not sell them. We also would not short them. We simply wouldn't be buyers at this time." Oppenheimer upgraded Waste Management to 'outperform' from 'perform' Oppenheimer said in its upgrade of the stock that it expects waste fundamentals to outperform should "economic weakness transpire." Results/commentary from 4Q earnings and our recent meetings with WM and WCN suggest healthy near-term solid waste fundamentals. Recent longer-term indicators (e.g. housing, CPI) have been incrementally positive, though softening of some indicators could occur in March. However, as we detailed in our report 'How recession-Resistent is Solid Waste?,' should economic weakness transpire, we expect waste fundamentals to outperform industrial benchmarks on the strength of pricing discipline, margin resiliency, healthy FCF generation and opportunistic M & A. While waste valuations remain elevated, we believe this reflects a low-yield environment and a lower risk of significant downside estimate revisions relative to the broader market, particularly over the next 1-2 quarters.

(This story is for CNBC Pro subscribers only.)

Here are the biggest calls on Wall Street on Friday:

Visitors wearing masks walk past Shanghai Disney Resort, that will be closed following the outbreak of a new coronavirus, in China.

Aly Song | Reuters

BMO named Walt Disney as a 'top pick'

BMO named Disney a top pick and said it would use any weakness from the coronavirus as a buying opportunity.

"For DIS, there is no change to our long-term view owing to the virus (or the CEO change, on which we offer more thoughts within), and we believe the stock is increasingly baking in more challenges already. We would use any near-term weakness related to COVID-19 virus as an opportunity to build long-term positions, or for those that missed the initial move post the April DTC Investor Day, to initiate ones."

Wells Fargo lowered its price target on Goldman Sachs to $260 from $300

Wells Fargo lowered its price target on Goldman Sachs due to a lower 10-year Treasury and two assumed rate cuts from the Federal Reserve.

There's earnings issues but balance sheet strength. We're reducing large bank ests. by about 10% given the impact of (1) interest rates, including a lower 10 year treasury (from 1.91% to 1.27% YTD) and 2 assumed Fed rate cuts (=forward yield curve); (2) capital markets, including less activity (IPOs, underwriting, mergers), lower equity values, and more risk-off; and (3) less growth; partially mitigated by better mortgage and possible re-intermediation to lending markets from capital markets."