Here are Tuesday's biggest analyst calls of the day: Apple, Tesla, Deere, Zoom, Boeing, Nike & more

Published Tue, Mar 22 20228:25 AM EDTUpdated Tue, Mar 22 202211:58 AM EDT

Here are Tuesday's biggest calls on Wall Street: Morgan Stanley reiterates Alphabet as overweight Morgan Stanley said that "search innovation" will continue to be a key growth driver for Alphabet. "We expect search innovation to continue to improve user and merchant experiences…and drive ad growth into '22/'23… with travel and autos two categories to monitor." Barclays reiterates Apple as equal weight Barclays said it's difficult to judge the strength of Apple's iPhone 13 cycle because of the ongoing supply chain crisis. "The iPhone 12 cycle was strong. The ongoing supply chain uncertainty makes it difficult to gauge the strength of the IP13 cycle. China has been a little different than the global pattern where one strong year is followed by two weak years. In China, iPhone units have never rebounded from the iPhone 6/6 Plus highs, and in 2021 were 36% below the peak level of 2015." Goldman Sachs reiterates Tesla as buy Goldman said that Tesla continues to successfully navigate higher oil prices and the supply chain crisis. "Conversely, we modestly raise our Tesla EPS estimates mostly on higher pricing with Tesla recently raising prices, and to a lesser extent higher volumes." Goldman Sachs upgrades Altria to buy from neutral and downgrades Philip Morris to neutral from buy Goldman said in its downgrade of Philip Morris that it sees a negative risk-reward outlook for the company. The firm said in its upgrade of Altria that it's better positioned for the "current environment." "We are upgrading MO to Buy from Neutral, while downgrading PM to Neutral from Buy as we see a better relative risk/reward for MO in the current environment. Despite the recent move in the stocks, we view MO as an attractive investment in the current risk-off environment as investors become increasingly concerned about stagflation, placing a greater premium on U.S. based companies with strong free cash flows, high & stable margins and attractive FCF & dividend yields. Read more about this call here. Goldman Sachs adds Schlumberger to the conviction buy list Goldman add aid investors should buy the dip in Schlumberger. "At the same time, we are adding SLB to the Americas Conviction List as shares have lagged meaningfully more recently. We believe that the underperformance may have been driven by investor positioning in large cap service peers ahead of key pricing power driven margin improvements or macro tailwinds around energy reliability globally." Read more about this call here. Morgan Stanley reiterates Nike as overweight Morgan Stanley kept its overweight rating on the athletic retailer after its earnings report on Monday, noting the long story is still "compelling." " NKE beat Street estimates & guidance despite Covid-related headwinds and ongoing supply chain disruption. Improving trends in China are encouraging, but underlying demand trends likely remain clouded until Summer, pushing out the re-rating catalyst." Citi reiterates Coinbase as buy Citi lowered its price target on the crypto company to $275 per share from $300, but said Coinbase market share is "improving." "As anticipated, our estimates and target price rebase lower following the recent volatility in digital asset prices, as well as the company's plan to accelerate scale via a sizable investment ramp in 2023." Bank of America reiterates Deere as buy Bank of America raised its price target on Deere to $475 per share from $425, saying the company has "technology leadership." "The structural bull case on Deere all ties back to its technology leadership in high-tech farming and precision agriculture. By 2050, the world will need to produce enough grain to feed nearly 10bn people from a fixed amount of land." Wells Fargo reiterates Merck as overweight Wells said Merck has "attractive margins" and "long revenue tails." "The clear winner is MRK with 15-30% upside to current market price. 1/3rd of its revenues come from vaccine/animal health businesses and can justify ~60% of current valuation making pharma biz look extremely cheap." Morgan Stanley reiterates Zoom as overweight Morgan Stanley reiterated its overweight rating on shares of Zoom , saying the stock is undervalued. "Believe business model and growth opportunity of company remains undervalued, particularly as offerings of platform continue to grow." Truist upgrades Procter & Gamble to buy from hold Truist said Procter & Gamble has emerged stronger from the pandemic. "We believe stocks like PG can break away from the pack as investors better decipher companies that emerged stronger from the pandemic vs. those that simply experienced a short term lift due to pandemic conditions." Read more about this call here. Truist downgrades Keurig Dr Pepper to hold from buy Truist said in its downgrade of Keurig Dr Pepper that it sees "limited catalysts on the horizon" for the company's coffee segment. "As we move into 2022 and a new normal, we would expect a slowdown in the coffee segment. Our concern is that the drop will be faster than forecasted by the street." Citi initiates Duke Energy as buy Citi said in its initiation of the energy company that it's well positioned and has an improving ESG profile. "We view DUK as attractively positioned, with the ongoing electric fleet decarbonization driving incremental capital spending opportunities and improving its ESG profile, a favorable regulatory backdrop, and the potential for an accretive LDC (local distribution company) sale near-term. BTIG initiates Datadog as buy BTIG said the cloud-scale applications company is winning at all levels. "At a high level, we see the observability market benefiting over the next few years as companies increasingly invest in digital transformation initiatives and think DDOG is winning across multiple product categories." Read more about this call here. Morgan Stanley reiterates Boeing as overweight Morgan Stanley it still likes Boeing stock even after the crash of a plane in China on Monday, but that it may weigh on sentiment in the near term. "Yesterday's tragic incident involving a crash of a Boeing 737 NG complicates the investment thesis in the near-term just as positive catalysts were beginning to emerge. We continue to like the stock in the medium to long-term, but sentiment may weigh on it in the near-term." Bank of America upgrades Sherwin-Williams to buy from neutral Bank of America said the paint company has pricing power. "While raw material cost pressures are unlikely to relinquish near-term, we expect Sherwin and Ecolab to outperform other specialty chems with resilient end markets and pricing power – both upgraded to Buy. Read more about this call here. Barclays downgrades Canopy Growth to underweight from equal weight Barclays said the cannabis company is bleeding too much cash. "For Canopy, we think a big restructuring is needed to lower the breakeven point and stem the cash bleed." Mizuho reiterates Block as buy Mizuho raised its price target on the company formerly known as Square to $190 per share from $180, noting Block's Cash App is rising in popularity among teens. "Our proprietary survey shows solid early uptake amongst young individuals, showing higher usage and monthly transaction volumes vs. competing Gen Z platforms."

Equipment for sale at a John Deere dealer in Denver, May 14, 2015.

Rick Wilking | Reuters

Here are Tuesday's biggest calls on Wall Street: