Here are Monday's biggest analyst calls of the day: Apple, Walmart, Peloton, Gap, Marriott & more

Published Mon, Jun 22 20208:56 AM EDT

Key Points

Cowen raised its price target on Apple to $400 from $335.
Stifel raised its price target on Peloton to $62 from $55.
Wells Fargo upgraded Gap to overweight from underweight.
UBS upgraded Walmart to buy from neutral.
UBS downgraded American Express to sell from neutral.
JPMorgan initiated Nikola as neutral.
Barclays upgraded Marriott and Hilton to overweight from equal weight.
Jefferies initiated DraftKings as buy.
Jefferies upgraded Campbell Soup and Conagra to buy from hold.
B. Riley FBR downgraded Foot Locker to neutral from buy.
Benchmark upgraded Western Digital to buy from hold.

(This story is for CNBC PRO subscribers only.) Here are the biggest calls on Wall Street on Monday: Cowen raised its price target on Apple to $400 from $335 Cowen raised its price target on the stock and said the company should continue to benefit from the work-from-home environment as well as the upcoming 5G upgrade cycle. "We remain bullish on Apple 's stock and view it as a defensive name with a stock multiple-enhancing Services segment that continues to benefit from the work from home & distance learning environment, & a cash flow generating iPhone business that should accelerate as we enter a 5G upgrade cycle." Stifel raised its price target on Peloton to $62 from $55 Stifel raised its price target on the stock to a Street high and said it's bullish on the company's long-term opportunity. "As we near the end of the June quarter, we are incrementally positive on Peloton 's current momentum and long-term opportunity as the leader in the rapidly growing connected fitness category. Shifting consumer behavior, gym closures / social contact avoidance, and steady demand from word-of-mouth have the potential to fuel multiple quarters of holiday-like demand in our view while also pulling forward the margin expansion path by two to three years in our expectations." Wells Fargo upgraded Gap to overweight from underweight Wells double upgraded the stock and said it sees the stock as "underappreciated" and said it sees its Athleta brand providing compelling value. "As the lone "Overweight" rating on the Street as of today, we view this as a highly differentiated, idiosyncratic call in our space. At a high-level, we believe the company's fundamental struggles are now well-appreciated by the market, but there are two compelling value unlocks we see as under-appreciated. 1) In conjunction with GPS 's recent asset-based lending debt transaction, the company disclosed real estate value of $1.9B (San Fran HQ, 4 DCs). 2) Athleta (the highest margin and fastest growing concept in the portfolio) is under appreciated; even though athleisure has clearly accelerated due to the pandemic, this has not translated into a value appreciation for the Athleta brand within GPS." UBS downgraded American Express to sell from neutral UBS said in its downgrade of the stock that the company is at risk of erosion of its consumer value proposition. "In contrast, we are downgrading American Express to Sell. This reflects our view that the company may not return to prior levels of billed business volume until possibly 2023 — but more significantly, that there is a risk of erosion in its consumer value proposition that may require more substantial changes to its product offering." UBS upgraded Walmart to buy from neutral UBS said in its upgrade of the retail giant that it saw more upside in the stock and that it had "best-in-class" consistency in an uncertain environment. "Our thesis is that WMT is entering an era of amplified earnings growth driven by an enhanced productivity loop, increased eCommerce scale, and accelerated technology deployment. These factors alone should enable it to achieve EPS of $6+ in FY'23E. At the same time, WMT has several sources of additional upside such as fruition in healthcare, traction in advertising, and success in key markets like India. Its business model can benefit from trip consolidation. Besides, WMT offers the prospect of best-in-class consistency in an uncertain environment." Read more about this call here . JPMorgan initiated Nikola as neutral JPMorgan initiated the hybrid vehicle design and manufacturing company and said the stock could be compelling but looks fully valued right now. " NKLA is poised to disrupt the transportation industry with rapid deployment of hydrogen infrastructure and fuel cell electric powered vehicles for use on long haul trucking routes, reducing CO2 emissions meaningfully and positioning the firm for a key role in the future hydrogen economy. The resulting business model could be compelling, however risks are elevated for this pre-revenue company, and the stock looks fully valued here, so we look for a pull-back or incremental positive developments to get more constructive." Read more about this call here . Barclays upgraded Marriott and Hilton to overweight from equal weight Barclays upgraded Marriott and Hilton and said while the coronavirus remains a challenge, fundamentals in several segments of the sector have improved. "We are turning positive on lodging and upgrade MAR , HLT and DRH to Overweight, joining our existing Overweight ratings on WH, STAY, HST and SHO. We also increase price targets for other names in our coverage universe. While Covid-19 remains a significant challenge in the near term, the worst for revenue per available room growth looks to be in the past and near-term demand trends in several segments have improved, giving companies a chance to reduce cash burn and emerge in a better-than-feared financial position post-crisis. We expect the industry to enter a new multi-year growth cycle beginning early 2021; the best time to invest in lodging stocks is usually ahead of the start of the cycle and in the early innings of the cycle." Jefferies initiated DraftKings as buy Jefferies said the fantasy sports and betting provider is in the initial stages of a decade-long acceleration. "DKNG is among the best positioned to capitalize on the growth of digital/sports wagering in the U.S., which we believe is in the initial stage of a decade-long acceleration. The political disposition toward expansion of sports betting and iGaming is increasingly favorable, the demand from consumers is proven and technology is advancing the execution. Our proprietary analyses support our views, as we initiate with a Buy rating." Jefferies upgraded Campbell Soup & Conagra to buy from hold Jefferies said in its upgrade of Campbell Soup and Conagra that the stocks trade at attractive valuations among other things. " CPB and CAG both have advantaged category positioning that benefit from a higher-for-longer at home food consumption scenario, screen well vs peers in our channel & geography risk analysis, and trade at attractive valuations relative to US food, all while the sector's equity valuation in aggregate is trading now at a 20-yr low relative to the market." B. Riley FBR downgraded Foot Locker to neutral from buy B. Riley downgraded the shoe company and said the company had excess inventory and that it was waiting for more stabilized margins. "We move from Buy to Neutral on FL and lower our PT from $42 to $32 until there is more certainty of a return to clean inventory, normal launch environment, and stabilized margins. While we expect higher online clearance, we believe FL is running higher than most of our coverage. ... .Our recent store checks showed about 80% of the store on sale. With FL ending 1Q with inventory up +20.4% vs. sales -43.4%, we believe it could take several quarters to clear excess inventory." Benchmark upgraded Western Digital to buy from hold Benchmark said in its upgrade of the stock that shares were attractive and that the company should benefit from improving smart phone sales later this year. " WDC is facing a number of cross currents. COVID-19 has resulted in more work from home and in-home schooling boosting datacenter storage demands and laptop drive sales. Hyperscale demand from cloud customers remains strong as does business from notebook customers. The Client solutions retail business, which has been slow due to the virus is starting to pick-up. Performance-driven opportunities are seen in gaming for SSDs, despite the higher costs."

Roberto Machado Noa

(This story is for CNBC PRO subscribers only.)

Here are the biggest calls on Wall Street on Monday:

Cowen raised its price target on Apple to $400 from $335

Cowen raised its price target on the stock and said the company should continue to benefit from the work-from-home environment as well as the upcoming 5G upgrade cycle.

"We remain bullish on Apple's stock and view it as a defensive name with a stock multiple-enhancing Services segment that continues to benefit from the work from home & distance learning environment, & a cash flow generating iPhone business that should accelerate as we enter a 5G upgrade cycle."

Stifel raised its price target on Peloton to $62 from $55

Stifel raised its price target on the stock to a Street high and said it's bullish on the company's long-term opportunity.

"As we near the end of the June quarter, we are incrementally positive on Peloton's current momentum and long-term opportunity as the leader in the rapidly growing connected fitness category. Shifting consumer behavior, gym closures / social contact avoidance, and steady demand from word-of-mouth have the potential to fuel multiple quarters of holiday-like demand in our view while also pulling forward the margin expansion path by two to three years in our expectations."