Here are Tuesday's biggest analyst calls of the day: Electronic Arts, Alphabet, Chevron & more

Published Tue, May 12 20209:30 AM EDT

Key Points

UBS downgraded Chevron to neutral from buy.
Bank of America downgraded Stanley Black & Decker to neutral from buy.
Citi raised its price target on Alphabet to $1,600 from $1,400.
Stephens named Electronic Arts a best idea.
JPMorgan named AbbVie a top idea.
Stephens upgraded PNC to overweight from equal weight.

(This story is for CNBC PRO subscribers only.) Here are the biggest calls on Wall Street on Tuesday: UBS downgraded Chevron to 'neutral' from 'buy' UBS downgraded the stock mainly on valuation. "Our downgrade reflects the share reaching near our price target and reflecting our 2021 scenario of an oil price recovery to $47.50/bbl. This comes after outstanding share price performance in context – shares are down only 22% YTD versus global major peers down an average 38% (12 month comparison 22% vs.41%) and Brent down ~55%. This speaks to the leading reputation for capital discipline and the highly resilient, yet flexible financial model that CVX is running." Bank of America downgraded Stanley Black & Decker to 'neutral' from 'buy' Bank of America said in its downgrade of the stock that the company's focus on "margin resilience" is coming at the "expense of innovation." "Tools and Storage has been a tremendous growth story for the last decade since the Stanley Black and Decker merger a decade ago. The business was already headed for a fairly material deceleration prior to COVID-19. While point of sales data has apparently rebounded in April, we see room for the power tool market to get more competitive and promotional in the next few years with a weaker consumer and softer housing market." Citi raised its price target on Alphabet to $1,600 from $1,400 Citi raised its price target on the stock and said it sees a 20% year-on-year rebound in 2021 among other things. "As we look into the rest of 2020, we lowered our 2Q20 revenue estimates to reflect COVID-19. Based on 1Q20 earnings call, Google search revenues were down 15% in March and April while YouTube revenue growth has decelerated to high single digit by end of March. We assume revenue deceleration stays at similar levels for rest of 2Q20, with a moderate recovery to start during 2H20 with the phased opening of the broader economy." Stephens named Electronic Arts a 'best idea' Stephens changed its best idea to Electronic Arts from Activision Blizzard and said it sees the company with a "series of beats and raises this year" among other things. "We are tactically changing our Best Idea to Electronic Arts (from Activision). We remain positive on Activision shares, but we make this change for two main reasons; 1) EA's F21 guidance and sell-side consensus numbers are conservative, which should lead to a series of beats and raises this year, and 2) EA has not seen the same multiple expansion that ATVI and TTWO have enjoyed since the quarantines began. In terms of catalysts that could lead to multiple expansion we would point to 1) Season 5 of Apex Legends, launching this tomorrow, 2) Game reveals at the virtual EA Play event on June 11th, 3) Further clarity around the return of sports leagues." JPMorgan named AbbVie a 'top idea' JPMorgan named the biopharmaceutical company a top idea and said it sees a more diversified company following the company's acquisition of Allergan. "Following a period of restriction, we are moving to an Overweight rating and a December 2020 price target of $105 on ABBV (Neutral rating and $85 PT prior to restriction) from a Not Rated designation. Overall, we see ABBV emerging as a far more diversified (and more broadly investable) story post the AGN acquisition with two major new launches and Humira biosimilar risk appearing increasingly manageable." Stephens upgraded PNC to 'overweight' from 'equal weight' Stephens upgraded the bank after the company announced it was unloading its stake in BlackRock. "The sale of PNC 's stake in BlackRock should generate gains of ~$5.3B while adding ~150bps to CET1 and ~$12.50 to TBV. While the transaction is expected to be 20% dilutive to 2021 EPS in an environment where more capital is simply better than less, we see this news as positive in that it provides defensive capital if reserve levels need to be materially higher in the coming quarters or offensive capital should the macro-environment create opportunities for PNC. In addition, unlocking the value of the BLK investment ahead of any political changes next fall may prove to be a smart move."

An attendee tries out a Electronic Arts video game during the annual Studio Showcase media event at the company's headquarters in Redwood City, California.

Tony Avelar | Bloomberg | Getty Images

(This story is for CNBC PRO subscribers only.)

Here are the biggest calls on Wall Street on Tuesday:

UBS downgraded Chevron to 'neutral' from 'buy'

UBS downgraded the stock mainly on valuation.

"Our downgrade reflects the share reaching near our price target and reflecting our 2021 scenario of an oil price recovery to $47.50/bbl. This comes after outstanding share price performance in context – shares are down only 22% YTD versus global major peers down an average 38% (12 month comparison 22% vs.41%) and Brent down ~55%. This speaks to the leading reputation for capital discipline and the highly resilient, yet flexible financial model that CVX is running."

Bank of America downgraded Stanley Black & Decker to 'neutral' from 'buy'

Bank of America said in its downgrade of the stock that the company's focus on "margin resilience" is coming at the "expense of innovation."

"Tools and Storage has been a tremendous growth story for the last decade since the Stanley Black and Decker merger a decade ago. The business was already headed for a fairly material deceleration prior to COVID-19. While point of sales data has apparently rebounded in April, we see room for the power tool market to get more competitive and promotional in the next few years with a weaker consumer and softer housing market."