Here are Thursday's biggest analyst calls of the day: Best Buy, Qualcomm, PayPal & more

Published Thu, Feb 4 20218:07 AM EST

Key Points

Morgan Stanley downgraded Xerox to underweight from equal weight.
Atlantic Equities upgraded PayPal to overweight from neutral.
JPMorgan upgraded Match to overweight from neutral.
Bank of America upgraded FireEye to buy from neutral.
Citi downgraded Qualcomm to neutral from buy.
Atlantic Equities downgraded Electronic Arts to neutral from overweight.
Bank of America upgraded Best Buy to buy from neutral.
Deutsche Bank downgraded ViacomCBS to sell from hold.

Here are the biggest calls on Wall Street on Thursday Morgan Stanley downgraded Xerox to underweight from equal weight Morgan Stanley said in its downgrade of the stock that its earnings power was "limited" and said the company's reinvestments were challenged. " Xerox faces structural TAM declines and growing reinvestment needs that makes a return to $3.50+ of earnings power less likely. As a result, we believe Xerox should trade in-line with more challenged enterprise HW peers, driving our downgrade to UW." Atlantic Equities upgraded PayPal to overweight from neutral Atlantic Equities upgraded the stock after its strong earnings report and said it was bullish on the company's new line of products. " PayPal delivered a good Q4 result and, this soon in a more uncertain year, in-line 2021 guidance is likely to be well received. PayPal has clearly benefited from the acceleration in ecommerce. But more impressive is the substantial increase in organic product development over the past year. JPMorgan upgraded Match to overweight from neutral JPMorgan said in its upgrade of the online dating company that it sees an attractive entry point for investors. "We have long been bullish on the secular growth opportunity within online dating & MTCH 's strong positioning as the clear leader. But we've been looking for a better entry point, & following the 8% share decline post-4Q earnings & YTD underperformance, we think now is a good opportunity to step-in & buy the dip." Bank of America upgraded FireEye to buy from neutral Bank of America upgraded the cybersecurity company and said it sees more upside in the stock as the company continues to execute on its "transformation." " FireEye continues to improve, executing well on its transformation plan ... .We expect the revenue growth to accelerate to 7% and 7.6% in '21 and '22, with solid margins, which could drive share price upside." Citi downgraded Qualcomm to neutral from buy Citi downgraded the stock after the company's "mixed" earnings report and said it believed that "5G upside is over." "Yesterday after the close, Qualcomm posted mixed results and guidance as margin guidance was below Consensus due to mix. We believe the 5G upside is over and we are downgrading QCOM to Neutral and lowering our price target from $194.00 to $165.00 as we expect more instances of downside as the year progresses." Atlantic Equities downgraded Electronic Arts to neutral from overweight Atlantic Equities said in its downgrade of the video game company that it sees a more "balanced" risk/reward. "EA shares have risen ~50% since we upgraded the stock to Overweight in mid-2019. We are now turning Neutral, viewing the risk-reward as more evenly balanced amidst Street estimates and valuation that look fair." Bank of America upgraded Best Buy to buy from neutral Bank of America said in its upgrade of the big box retailer that it sees an "attractive" valuation and that the stock was a post coronavirus winner. "We upgrade BBY to Buy given: 1) our belief that it should come out of the COVID period in a stronger/more profitable position; 2) there is room for steady growth in multiple segments and compares for the next several quarters are easy; and 3) valuation is attractive, trading at 14x 2021E EPS." Deutsche Bank downgraded ViacomCBS to sell from hold Deutsche Bank downgraded the media and entertainment company on valuation. "What has changed is the stock price, rising by 73% since early November, 350% from its low in March 2020, and 55% vs a year ago (before the pandemic). This leaves VIAC trading at an estimated 4.8% UFCF yield and 9.7x EBITDA on our 2021 estimates, while our PT implies a 6.5% UFCF yield and 7.1x EBITDA."

A sign is posted outside of the PayPal headquarters in San Jose, California.

Justin Sullivan | Getty Images

Here are the biggest calls on Wall Street on Thursday