Here are the biggest analyst calls of the day: Starbucks, Shopify, Intel, airlines & more

Published Mon, Jun 15 20208:25 AM EDT

Key Points

KeyBanc upgraded Intel to overweight from sector weight.
Atlantic Equities initiated Starbucks as overweight.
Piper Sandler upgraded Shopify to overweight from neutral.
B. Riley FBR upgraded Six Flags to buy from hold.
Berenberg upgraded Mondelez to buy from hold.
Citi opened a 30 day negative catalyst watch on American Airlines & a positive catalyst watch on United Airlines.
Loop Capital upgraded RH to buy from hold

(This story is for CNBC PRO subscribers only.) Here are the biggest calls on Wall Street on Monday: KeyBanc upgraded Intel to overweight from sector weight KeyBanc said in its upgrade of the stock that it was raising estimates to reflect "better" PC, 5G and datacenter dynamics. "We view Inte l as the best-positioned company to take advantage of the next wave of compute, beyond PCs, phones, and tablets. The Company is aggressively tackling new markets; quickly launching products on 10 nanometer; and unifying chips, software, and developers. ... .We are raising estimates moderately to reflect better PC, 5G, and datacenter dynamics relative to our expectations in April. Intel's 10 nanometer manufacturing has now hit its stride, with products launching throughout the year. Intel's CEO also appears to be gaining confidence, shaking Intel out of its recent malaise. Atlantic Equities initiated Starbucks as overweight Atlantic Equities said in its initiation of the stock that the company is well-positioned after the coronavirus crisis passes. "We expect Starbucks to emerge from the current COVID crisis with market share gains, a US store base optimized for consumer consumption preferences and a more efficient cost structure. We see Starbucks as a quality growth company targeting HSD sales and DD EPS growth. That profile merits a premium valuation and we would look at the short term COVID-related weakness as an opportunity to buy into a fundamentally strong company with significant productivity drivers such as its US store base transformation plan and incremental expansion potential, most meaningfully in China." Piper Sandler upgraded Shopify to overweight from neutral Piper said the ecommerce company for online businesses was one of the "best positioned" digitally over the "next decade." "We are upgrading SHOP to Overweight and raising estimates based on data-driven insights that point to accelerating trends in April and May coupled with increasing conviction that digital commerce penetration rates at 15% today could double or even triple in a post CV-19 world by 2030. Leveraging a critical footprint as the global retail operating system for 1M+ merchants today with an expanding product offering, SHOP is one of the best positioned digital commerce beneficiaries for the next decade, in our view, with revenue poised to quadruple to $12B by 2025." B. Riley FBR upgraded Six Flags to buy from hold B. Riley FBR upgraded Six Flags and said it expects consumers to return to outdoor activities like theme parks as states reopen. "As local economies continue to reopen coming out of the worst of the COVID-19 shutdowns and previous summer vacation plans that involved flights and hotels remain cancelled, we continue to believe consumers and families will look for activities that are closer to home. Given that regional theme parks are within a 2-3 hour drive of the majority of their target markets and offer an outdoor entertainment option that may be more preferable to families given COVID-19 concerns, we could see attendance patterns benefit both in the short term and medium/long term." Berenberg upgraded Mondelez to buy from hold Berenberg upgraded the multinational food and beverage company and said it should continue to benefit from consumers staying home. "1) Mondelez 's recent higher (4%) organic growth will, we believe, be supported for longer by market share momentum and the improved category outlook (the company should prove relatively resilient to near-term COVID-19 developments and the forthcoming recession, and benefit from mid-term snacking trends). 2) Organic growth remains the main driver of sector valuation, which should yield upside to the current 18.5x 2021 P/E. 3) Earnings growth will reaccelerate as stronger sales growth is combined with a return to margin expansion as Mondelez exits the heavy lifting phase of higher investments." Citi opened a 30 day negative catalyst watch on American Airlines & a positive catalyst watch on United Airlines Citi opened a negative catalyst watch on American and said its financial leverage looks "excessive." The firm also opened a positive catalyst watch on United and said it has "healthier" financial leverage. "At this time, we also (A) open a 30-day positive catalyst watch on Buy-rated United and (B) a 30-day negative catalyst watch on American . Although American's cash burn expectations have improved, its financial leverage looks excessive, while short covering might have driven the recent rally. On the other hand, United Airlines' healthier financial leverage profile and its lower short interest mean that the shares could have an easier time finding real buyers." Loop Capital upgraded RH to buy from hold Loop upgraded the home furnishing company and said it was "well-positioned" for the "post-pandemic landscape." "We are upgrading RH to a Buy from a Hold rating while raising our price target to $300 from $250, implying 27% upside from current levels. We believe RH is very well positioned for the 'post-pandemic' landscape given the company's focus on home goods, 'social distancing-friendly' full-line design galleries, and premier omnichannel capabilities. We think RH has a long growth runway ahead, primarily by continuing to replace its small, mall-based legacy stores with much larger full-line design galleries. Finally, we believe RH should be valued in line with other luxury goods manufacturers and retailers as opposed to home furnishings and home goods retailers."

Intel interim CEO Bob Swan oversees the ceremony to ring the opening bell at Nasdaq on July 18, 2018.

Intel

(This story is for CNBC PRO subscribers only.)

Here are the biggest calls on Wall Street on Monday:

KeyBanc upgraded Intel to overweight from sector weight

KeyBanc said in its upgrade of the stock that it was raising estimates to reflect "better" PC, 5G and datacenter dynamics.

"We view Intel as the best-positioned company to take advantage of the next wave of compute, beyond PCs, phones, and tablets. The Company is aggressively tackling new markets; quickly launching products on 10 nanometer; and unifying chips, software, and developers. ... .We are raising estimates moderately to reflect better PC, 5G, and datacenter dynamics relative to our expectations in April. Intel's 10 nanometer manufacturing has now hit its stride, with products launching throughout the year. Intel's CEO also appears to be gaining confidence, shaking Intel out of its recent malaise.

Atlantic Equities initiated Starbucks as overweight

Atlantic Equities said in its initiation of the stock that the company is well-positioned after the coronavirus crisis passes.

"We expect Starbucks to emerge from the current COVID crisis with market share gains, a US store base optimized for consumer consumption preferences and a more efficient cost structure. We see Starbucks as a quality growth company targeting HSD sales and DD EPS growth. That profile merits a premium valuation and we would look at the short term COVID-related weakness as an opportunity to buy into a fundamentally strong company with significant productivity drivers such as its US store base transformation plan and incremental expansion potential, most meaningfully in China."