Here are Wednesday's biggest analyst calls of the day: Apple, Peloton, Qualcomm, Roku, Roblox & more

Published Wed, Nov 17 20218:42 AM ESTUpdated Wed, Nov 17 20212:20 PM EST

Here are the biggest calls on Wall Street on Wednesday: Deutsche Bank initiates coverage of SeaWorld as buy Deutsche said the theme park company has a "visible growth pipeline." "We view SEAS somewhat uniquely within the theme park vertical, based on its more concentrated portfolio of parks and the more immersive nature of the in-park experience." Cowen upgrades Workday to outperform from market perform Cowen said it's incrementally bullish on the stock heading into earnings on Thursday. "We are upgrading shares of WDAY to Outperform and raising our PT to $350. WDAY reports 3Q on 11/18 & our checks are incrementally bullish on demand trends & large deal activity for 2H." Goldman Sachs names Amazon a top 2022 pick Goldman named the e-commerce giant as its top pick for 2022 and said the company's recent earnings report addressed a lot of investor concerns. " AMZN as our top pick for 2022 as we view this recent EPS report as fully reﬂective of investor concerns on both revenues & proﬁtability into 2022 (with AMZN exposed to a multitude of broader secular growth themes incl. eComm, advertising, cloud computing, media consumption & consumer subscription adoption)." Read more about this call here. Morgan Stanley reiterates Home Depot as overweight Morgan Stanley kept its overweight rating on shares of Home Depot after the company's earnings report on Tuesday and said home improvement is "among the best positioned segments." "Best Q3 from a retailer thus far. Home Improvement among the best positioned segments in '22/'23." JPMorgan reiterates Qualcomm as overweight JPMorgan raised its price target on the stock to $200 per share from $225 after the company's investor day and said the stock is inexpensive. " Qualcomm' s Investor Day gave further evidence of the momentum in the businesses outside of traditional smartphone basebands, with the benefits of diversification standing out as the common theme across all targets, which exceeded investor expectations." Morgan Stanley reiterates Roblox as overweight Morgan Stanley kept its overweight rating on shares of the online game platform and called it the "metaverse leader." " RBLX' s analyst day highlighted their early leadership in the metaverse and continued innovation to capitalize on materially higher long-term monetization. Five key points stood out to us. We remain bullish RBLX as our model is under review." Wells Fargo upgrades Hyatt to overweight from equal weight Wells said in its upgrade of the hotel chain that the stock is compelling. "We are upgrading shares of Hyatt to Overweight, from Equal Weight, and downgrading shares of Choice to Equal Weight, from Overweight, as we believe greater operational upside potential exists over the next 12 months for Hyatt vs. Choice given Hyatt's weighting toward higher end hotels and corporate travelers." Seaport initiates coverage of Cigna as buy Seaport said it sees further earnings growth for the health insurance company. "Completing a realignment more than ten years in the making, Cigna' s healthcare business is now stronger, growing faster and more visible to investors. We expect this pivot and further strategic investments to accelerate the company's earnings growth, reduce its earnings volatility, and significantly boost its valuation, which is well below that of its peers." Wolfe initiates coverage of Alcoa as outperform Wolfe gave the stock an outperform rating and said aluminum is a "commodity winner." "We launch coverage on Americas Mining with a Market Overweight sector view, with a preference for aluminum stocks and a more cautious view on iron ore. Our top picks are AA and TECK, but we also have Outperform ratings on CENX and FCX." Morgan Stanley names Maxar Technologies a top pick Morgan Stanley named the space tech company as a top pick and said it has "notable upside." "We are moving Maxar to our top stock pick within Government Services & Technology coverage. The stock has notable upside that will be driven by revenue growth from its new satellite constellation, WorldView Legion, and rebounding margins from stabilized operations at its Space Infrastructure business." Read more about this call here. Atlantic Equities raises price target on Coinbase to $450 from $400 Atlantic Equities raised its price target on the crypto company and said pricing pressure concerns are overblown. "While COIN's 3Q21 earnings were a little weaker than expected, strength in recent crypto volumes and prices, along with extremely impressive growth in the company's Subscription and Services revenues, causes us to raise our revenue and EBITDA estimates meaningfully." Morgan Stanley reiterates Lucid Group as underweight Morgan Stanley kept its underweight rating on the electric vehicle company and said there are better ways to play the electric vehicle theme. " Lucid posted 3Q results which included a stronger than expected cash position, increasing reservation momentum and capped off by winning Motor Trend 'Car of the Year' driving the fully diluted market cap to more than Ford and GM." Read more about this call here . MoffettNathanson downgrades Roku to sell from neutral MoffettNathanson said in its downgrade of Roku that it's concerned about slowing revenue growth. "In digging through the latest 10-Q, the signs of slowing revenue growth are even more obvious and have forced us to review our long-term assumptions." Goldman Sachs adds Valvoline to the conviction buy list Goldman added the manufacturer and distributor of oil products to its conviction buy list. The bank said it sees further market share gains. "Over the past two weeks Valvoline reported 4Q21 results and issued FY22 guidance, and we held a virtual group meeting with the company's leadership team. The results and outlook highlighted two notable dynamics: (1) its Global Products business is seeing cost headwinds, which should prove transitory over time, and (2) both of its business are achieving substantial market share gains, which should bring enduring benefits." Morgan Stanley reiterates Zoom as overweight Morgan Stanley kept its overweight rating on shares of Zoom and said it sees an attractive valuation heading into earnings next week. "Investors lean cautious heading into FQ3 print given ongoing concerns around SMB churn, particularly as other WFH names have underperformed. View FQ4 print as having more favorable risk/reward, but given cautious positioning, could see outperformance if SMB (small mid size business) churn is better than expected." Bank of America reiterates Walmart as buy Bank of America kept its buy rating on the big box retailer and said Walmart's core business remains strong after its earnings report on Tuesday. "Core business remains strong, long-term initiatives on track; Reiterate Buy. … We view stock pullback as a particularly attractive buying opp." Bank of America downgrades Sea Limited to neutral from buy Bank of America said in its downgrade of the global consumer internet company that it sees a more balanced risk/reward. "We now see risk-reward as balanced and downgrade Sea to Neutral from Buy. Thesis: (1) We believe the market would be surprised by slower growth in gaming on expected normalization post-COVID in 2022. Mgmt kept gaming guidance unchanged, implying slowing 4Q growth as well; (2) We believe consensus is yet to factor in rising losses in the medium term based on expansion into new markets in Europe/India." Bernstein downgrades PayPal to market perform from outperform Bernstein said in its downgrade of the stock that PayPal is now getting "disrupted" instead of being the disruptor. "We are downgrading PYPL to Market-Perform. PayPal's positioning as a leading digital wallet in an increasingly digital world is hard not to acknowledge (one of the reasons we upgraded the stock 2yrs ago). That said, we believe change is accelerating, and PayPal now risks getting disrupted vs. being a disruptor. 3 reasons for our caution." Morgan Stanley downgrades Penske to underweight from equal weight Morgan Stanley said in its downgrade of truck rental company Penske that it's concerned about electric vehicle risks not being priced into the stock. "Following 3Q results, we make significant changes to our dealer forecasts and ratings. Exiting COVID, we believe improved cost structures are discounted in dealer share prices, while long term risks from EVs and direct-to-consumer models are not." Wells Fargo upgrades Boeing to overweight from equal weight Wells said in its upgrade of the aerospace company that it sees an attractive risk/reward. "We are upgrading BA to Overweight as we now see a positive risk/reward balance with the stock lagging the S & P 500 by ~30% since its March high. BA likely benefits from China737 MAX recertification, resumption of 787 deliveries, higher fuel driving more aircraft retirements and easing international travel restrictions, each a matter of when rather than if in our view." Read more about this call here. Morgan Stanley raises price target on Ferrari to $350 from $265 Morgan Stanley raised its price target on the stock to a Street high price target on $350 per share and said it's very bullish on the company's electrification strategy. "3Q21 results were not merely significant for beating expectations and raising guidance, but for introducing the market to Ferrari's new CEO Benedetto Vigna... who provided some valuable insights into the future of Ferrari as it begins to architect the BEV strategy." Read more about this call here. Baird adds Peloton as a fresh pick Baird added the stock to its fresh pick list and said the company's access to capital could give it an advantage. "More broadly, PTON 's advantaged access to capital could result in a more favorable (i.e., concentrated) industry structure, helping to drive a return to better unit economics on an intermediate- to longer-term basis. We still think ~$50/share could represent a floor, and with short interest high, see an improving catalyst path looking forward over several quarters." Bernstein reiterates Apple as market perform Bernstein reiterated its market perform rating on the stock and said "strong buybacks could continue for another 15 years." "Our analysis suggests that Apple is likely to be able to continue repurchasing ~ 3-4% of its shares per year until the end of 2026 while growing its dividend per share by 10% annually without taking on net debt on its balance sheet – at which point, Apple will have likely repurchased ~15% of its current shares outstanding."

Peloton bike

Source: Peloton

Here are the biggest calls on Wall Street on Wednesday: