- Morgan Stanley names Signature Bank a top pick.
- UBS reiterates McDonald's as buy.
- Evercore ISI resumes coverage of PNC as outperform.
- Baird reiterates Zoom as outperform.
- Jefferies initiates coverage of Vimeo as buy.
- Goldman Sachs downgrades Imax to sell from neutral.
- Barclays downgrades Sanderson Farms to equal weight from overweight.
- Bank of America raises price target on Ford to $17 from $14.50.
- JPMorgan raises price target on FedEx to $366 from $340.
- Citi resumes Petco as buy.
- Mizuho reiterates neutral rating on Coinbase.
- Wells Fargo reiterates Charles Schwab as overweight.
- Morgan Stanley reiterates Monster Beverage as a top pick.
Here are the biggest calls on Wall Street on Wednesday: Morgan Stanley names Signature Bank a top pick Morgan Stanley named Signature Bank as a top pick and said it was undervalued. "We remain bullish long term. Stronger economic growth, the potential for higher interest rates, and attractive valuations keep us bullish over the next 12-18 months." UBS reiterates McDonald's as buy UBS reiterated its buy rating on McDonald's and said the fast food chain's sales would be a catalyst for the stock. "We believe MCD maintains a highly visible catalyst path supporting further upside for shares. Our latest US franchisee checks highlight continued sales momentum 2QTD and optimism for a solid 2H against difficult compares." Evercore ISI resumes coverage of PNC as outperform Evercore ISI resumed coverage of the regional bank with an outperform rating and said it sees more "upside." "We are resuming coverage of PNC at Outperform as we expect improving and above-peer returns, low risk profile, solid L/T growth potential, and PNC's favorable competitive posture to drive upside to the stock's valuation." Baird reiterates Zoom as outperform Baird reiterated its rating on the teleconferencing company after the company's earnings report on Tuesday and said it was well positioned for "strong long-term growth." "Yesterday afternoon ZM reported another strong quarter and raised full-year guidance. While the FQ1 6% revenue beat was slightly below recent levels, it guided to a strong 49% revenue growth at the midpoint in FQ2 against a tougher comp." Jefferies initiates coverage of Vimeo as buy Jefferies initiated coverage of the internet video platform company and said it was "best-in-class." "From live event streaming to workforce training, business adoption of video is gaining momentum, and we believe Vimeo's best-in-class platform can become the leading one-stop-shop enterprise solution." Read more about this call here. Goldman Sachs downgrades Imax to sell from neutral Goldman Sachs downgraded Imax and said it was taking a more "cautious' box office outlook. "Although we expect a sharp domestic box ofﬁce recovery in 2021 and 2022, we believe that this is reﬂected in current valuations largely in line with its historical multiple) despite what we see as heightened risks to the recovery." Read more about this call here. Barclays downgrades Sanderson Farms to equal weight from overweight Barclays said in its downgrade of the poultry company that it was concerned about the delay in the building of Sanderson' s new facility. "We expect strong poultry price dynamics and a continuing recovery in volumes to more than offset the elevated grain cost, which leads us to increase our PT ~3%. However, SAFM says that plans to build its new facility are 'on hold' amid higher construction costs. As we believe added capacity will be needed for a further re-rating of the stock, we downgrade the shares to EW despite the upward revision in our PT." Bank of America raises price target on Ford to $17 from $14.50 Bank of America raised its price target on shares of the automaker and said the stock's recent run has been "impressive." "In our view, a higher assumed multiple for Ford is warranted as the company is gaining more credibility and is on the verge of executing something analogous to our Core to Future transition framework, by which it will strengthen core business pillars to fund its future businesses." JPMorgan raises price target on FedEx to $366 from $340 JPMorgan reiterated its overweight rating on the shipping giant and raised its price target on the stock ahead of FedEx's earnings report next month and said it saw "upside to consensus." "Sentiment on FDX is solidly positive which dampens some of our optimism for the quarter, but we believe it is justified given the majority of our YoY EPS walk to FY22 can be built on several headwinds lapping next year." Read more about this call here. Mizuho reiterates neutral rating on Coinbase Mizuho reiterated its neutral rating on Coinbase and said it saw bitcoin "trading fatigue." "Retail crypto volatility is the main driver of COIN' s revenue. Our survey of Bitcoin traders on Coinbase reinforces our notion & recent data that 2H21 could see more muted Bitcoin trading activity, with prices remaining below peak levels." Citi resumes coverage of Petco as buy Citi resumed coverage of Petco with a buy rating and said it saw a "faster bottom-line growth profile" for the pet store company. "Our $31 target price is based on a 16x EV/FY22E EBITDA, which is a ~20% premium to the Broadlines/Hardlines average multiple based on the resilience of the pet category, WOOF's growing vet services business, and a faster bottom-line growth profile for WOOF than the group average." Wells Fargo reiterates Charles Schwab as overweight Wells Fargo reiterated its overweight rating on shares of the financial services firm and said it had assets that were "underappreciated." The firm also raised its price target to $88 a share from $76. " SCHW stock has been a significant outperformer rising by 41% YTD (vs 12% for the S & P 500 index). Yet we remain optimistic on the prospects for ongoing outperformance as the company has distinct catalysts that we think are underappreciated." Morgan Stanley reiterates Monster Beverage as a top pick Morgan Stanley reiterated Monster as a top pick and said it had "increased confidence" in the company. "Post our favorable AlphaWise survey, we are raising our long term topline forecast on MNST for the third time since Q4, to 12% from 11.5%, driven by increased confidence in both the US and International markets."
Shoppers wait in a line outside a Petco pet store in Hollywood, California, on April 23, 2020 during the novel coronavirus pandemic.
Robyn Beck | AFP | Getty Images
Here are the biggest calls on Wall Street on Wednesday: