Here are the biggest calls on Wall Street on Wednesday: Evercore ISI upgrades Booking Holdings to outperform from in line Evercore said in its upgrade of the stock that it sees a "more rapid" leisure-travel recovery. "We are upgrading shares of BKNG to Outperform with a $2,900 PT in the wake of the recent 20%+ slide in BKNG shares. We have raised our BKNG estimates primarily to reflect a more rapid leisure-travel recovery — one of the big takeaways from this EPS season." Bank of America reinstates Medtronic as buy Bank of America resumed coverage of the stock with a buy rating and said it's a value name with the most upside potential. "With estimates reset for FY23 we see little downside risk to estimates and a company with MDT 's mid-single-digit growth profile with exposure to the elective recovery could trade around 22x EPS a year from now, in our view, suggesting around 30% upside." Atlantic Equities downgrades Church & Dwight to underweight from neutral Atlantic Equities said in its downgrade of the stock that shares are trading at an elevated premium. The firm said it sees cost pressures. "At the same time, cost pressures will remain elevated across the supply chain and CHD will see its returns decline as it steps up investment to bring production of key products in house." Morgan Stanley reiterates Meta Platforms as overweight Morgan Stanley lowered its price target on shares of the company formerly known as Facebook to $325 per share from $360. The firm said it's cautious on social media giant's video service, Reels. "We lower FB '22/'23 revenue by 5%/4% and EBITDA by 10%/15% as our bottom up analysis of Reels user adoption and monetization rates speak to larger near-term headwinds." Evercore ISI reiterates Peloton as in line Evercore kept its in line rating on shares of Peloton. The firm said investors will need to be patient to see any meaningful changes at the company. "While we are incrementally more optimistic with CEO McCarthy at the helm, we believe it will take some time before we see meaningful changes at PTON. We are lowering our Gross Profit estimates in conjunction with this report." Morgan Stanley reiterates Chevron as overweight Morgan Stanley kept its overweight rating on shares of Chevron . The firm said it sees even "higher returns" after the company's investor day on Tuesday. "Continued capex discipline and focus on returns underpins strong cash flow generation, supporting a doubling of the annual buyback range to $5B-$10B. At strip prices and assuming the high end of this range, we still see an incremental ~$38 B of unallocated FCF over the next five years." Bank of America reiterates Target as buy Bank of America kept its buy rating on shares of Target and said the company is a leader in digital growth. "Digital advertising is becoming more relevant and represents a long-term growth opportunity." Morgan Stanley reiterates Home Depot as overweight Morgan Stanley reiterated its overweight rating on the home-improvement store. The firm said Home Depot is "primed to take share and win with the Pro, and the company is still in growth mode." " HD is one of the most productive & profitable retailers in the world. As we learned from Ted Decker on his first day as CEO, there is plenty of opportunity ahead." Wolfe downgrades Zoom to peer perform from outperform Wolfe said in its downgrade of the stock that it sees limited near-term visibility after the company's disappointing earnings report on Tuesday. "While we remain confident in ZM' s destiny around building a unified communications platform we have less visibility and conviction in near-term top-line growth and FCF margin which informs our decision to move to the sidelines." Credit Suisse downgrades Domino's to neutral from overweight Credit Suisse said in its downgrade of the stock that it sees "outsized" cost pressures. "We are downgrading Domino's to Neutral (from Outperform): We see increased risk to numbers from labor challenges, changes to national value platforms and unit growth delays." Read more about this call here . Morgan Stanley names DraftKings a top pick Morgan Stanley kept its overweight rating on the sports-betting company and said it expects the market to come around on the firm's bullish view of the stock. "We expect the U.S. online sports betting/iGaming market to be very large, with a few market share winners, including DKNG . Global precedents highlight scaled OSB/iGaming players have attractive, profitable businesses. We expect the market to come around to this view, our $31 PT implies 40% upside. Read more about this call here . Citi opens a positive catalyst watch on Dexcom Citi opened a positive catalyst watch on the glucose-monitoring system company and said it sees an "attractive entry point" for the stock. "With DXCM down ~24% YTD, we believe that this is an attractive entry point and we are opening a Positive Catalyst Watch and reiterating our Buy rating on DXCM." Bernstein upgrades Hewlett Packard Enterprise to outperform from market perform Bernstein said in its upgrade of the stock that it sees an increasingly attractive valuation. "We are upgrading HPE from Market Perform to Outperform, and raising our PT to $20. Our upgrade is based on the following: (1) Strong enterprise demand, which has led to HPE's backlog being ~$4B above normal levels (i.e.,14% of annual revenues) and should drive healthy revenue growth in FY 22 and 23; (2) a good setup, with a strong likelihood of upside to EPS and FCF." Bank of America downgrades SoFi to neutral from buy Bank of America downgraded the stock after its earnings report on Tuesday and said it sees a more balanced risk/reward. "Yesterday after the close, SOFI reported strong 4Q results highlighted by 2022 guidance ahead of street consensus driven by benefits from its recently approved Bank Charter. Read more about this call here . Bank of America reiterates Salesforce as a top pick Bank of America kept its buy rating on the software stock after its earnings report on Tuesday and said the quarterly results should "alleviate demand concerns." " Salesforce reported strong Q4 results and outlook with broad strength across clouds and geographies." Bank of America reinstates Johnson & Johnson as neutral Bank of America reinstated coverage of the biopharma company. The firm said shares will benefit as the "return-to-normal" trade plays out. "We reinstate coverage of JNJ with a Neutral rating and $185/share PO. At a higher level, we like J & J's near-term growth prospects, driven by continued Pharma strength, as well as its 'safe haven' status in a challenging macro/geopolitical environment." Goldman Sachs upgrades Allstate to buy from sell Goldman said in its double upgrade of Allstate that it sees "potential green shoots" in declining used car prices. "We have become more positive on the auto insurers, as we see potential green shoots in declining used-car prices coupled with our view that investors are increasingly willing to look past potential near-term misses as the companies reprice for elevated claim inﬂation that is largely attributable to the pandemic."
Here are the biggest calls on Wall Street on Wednesday: