Here are Wednesday's biggest analyst calls: Delta, Netflix, Pinterest, Nvidia, Pepsi, Deere, Nike and more

Published Wed, Jun 28 20238:32 AM EDTUpdated Wed, Jun 28 202311:34 AM EDT

Here are Wednesday's biggest calls on Wall Street. Goldman Sachs reiterates Nvidia as buy Goldman said it's standing by its buy rating on the stock despite reports of restrictions on artificial intelligence chip exports to China. "That said, we continue to expect consistent outperformance from NVDA over the medium to long term, given the significant growth opportunity set available to the company outside of China across cloud service providers, consumer internet companies, and other/general enterprises." Goldman Sachs reiterates Snowflake as buy Goldman said it's standing by its buy rating after the company's investor day. "The event bolstered our conviction in SNOW's ability to potentially exceed its $10bn product revenue target in F29 owing to 1) durability of core data warehousing, 2) upside optionality predicated on several adjacent markets with significant upside pivoted around Generative AI." JPMorgan reiterates Pepsi as overweight JPMorgan said Pepsi is a "safe haven" heading into earnings in July. "We See Upside to Estimates/Guidance if the Consumer Environment Remains Benign, as Management Seems to be Embedding Negative Volume Performance in its Guidance." JPMorgan reiterates Nike as overweight JPMorgan said it's staying bullish heading into earnings Thursday. "We see NKE's brand momentum across geographies as sustainable and providing insulation to macro volatility and supporting sustainable multi-year +HSD-LDD (high single digits low double digits) top-line growth." Wells Fargo upgrades Pinterest to overweight from equal weight Wells Fargo said it sees "above-consensus revenue growth" for Pinterest. "AMZN partnership live ahead of '23 holidays, improving engagement trends and higher ad load will allow PINS to deliver accelerating and above-consensus revenue growth. See strong catalyst path over next 6-12 mos. Raising ests. and U/G to OW." Read more about this call here. Daiwa downgrades Uber to outperform from strong buy Daiwa downgraded Uber mainly on valuation. "We are raising our 2024E adj. EBITDA to $5.2bn from $5bn prior, to reflect higher bookings (GB) growth at Mobility operations and increased profitability at Delivery." Canaccord initiates Deere as buy Canaccord said Deere is well-positioned for the long term. " DE is at the center of precision Ag enablement through autonomy, data acquisition, and precision planting." Oppenheimer reiterates Netflix as outperform Oppenheimer raised its price target on Netflix to $500 per share from $450 and said it likes the company's ad-tiered plan. "Increasing target to $500 (was $450) in anticipation of higher subscribers on bullish indicators for Paid Sharing and higher rev/sub with potential discontinuation of lowest priced ad-free plan (testing in Canada)." Deutsche Bank downgrades Walgreens to hold from buy Deutsche Bank downgraded the stock after its disappointing earnings results earlier this week. "As these were the two key pillars of our investment of WBA shares in November 2022, we now have less confidence in the turnaround of either segment, and are downgrading WBA shares to Hold from Buy." Read more about this call here. Canccord downgrades Regeneron to hold from buy Canaccord downgraded the stock due to lower expectations for Regeneron's retinal drug. "We are downgrading to HOLD from Buy and adjusting our PT to $720 from $953 based on lower expectations for EYLEA performance in 2023." RBC initiates Workday as outperform RBC said it sees a long runway for growth for Workday. "We are initiating coverage on Workday Inc. with an Outperform rating and $275 price target, as we believe there is a long runway of 20%+ subscription growth driven by the continued displacements of legacy solutions." Deutsche Bank initiates Western Alliance as hold Deutsche Bank said the regional bank's "funding pressures persist." "We are initiating coverage on Western Alliance , (ticker WAL with a market cap of ~$4b and total assets of $71b), with a HOLD rating and TP of $41. This represents 10-15% upside potential vs. the 6/26 closing price." Morgan Stanley reiterates CarMax as overweight Morgan Stanley said the used car company is a "high quality" play. "Following a 1Q beat and what we expect to be a 'softer landing' for the used market this year, we raise our estimates for KMX." Morgan Stanley names Delta a top pick Morgan Stanley said the stock is a top pick after its investor day Tuesday. " Delta's Investor Day focused on the customer experience to burnish its credentials as the best airline brand in the country. Along the way, we also got raised 2Q/FY23 guidance and all the building blocks to get to $10 EPS/$4 bn FCF by 2025." Read more about this call here. Barclays initiates CME as overweight Barclays initiated the exchange company and said it has an attractive valuation. "Across the board, these are all high-quality businesses; our preferences are for areas where we see strong secular trends (e.g., fixed income trading electronification — TW and MKTX) and attractive valuation ( CME )." Bank of America upgrades Old Dominion and XPO to buy from neutral Bank of America said in its upgrade of Old Dominion and XPO that it prefers nonunion shippers. "Our ratings upgrades focus on non-union carriers given their more flexible cost structure, who have continued to gain share, vs. union carriers." Needham initiates ZoomInfo Technologies as buy Needham said it sees an attractive entry point into the stock. "We initiate coverage of ZoomInfo with a Buy rating and $35 price target as we view the current valuation an attractive entry point for investors who are willing to wait for a recovery in broader demand trends for the company's solutions." CFRA downgrades Carnival to hold from buy CFRA said it's turning more cautious on the stock. "Considering CCL's high leverage, the potential for weaker booking or cost trends, and the recent rise in share price, we advise more caution." Atlantic Equities initiates First Citizens BancShares as overweight Atlantic Equities said First Citizens is undervalued. "With the stock trading at just 7.5x 12-month forward EPS and 0.8x FY24 TBVPS with a forecast ROTE of 12-13%, we believe the stock is substantially undervalued and initiate with an Overweight recommendation." Read more about this call here. Oppenheimer reiterates Visa as outperform Oppenheimer said it's standing by the stock as a top pick despite its exposure to student debt. "Looking at our space at a glance, the largest beneficiary with the moratorium resumption is SOFI (more origination revenue) while V/ MA likely somewhat impacted as more spending moves to bill payment vs consumption." KeyBanc upgrades Lincoln Electric to overweight from sector weight KeyBanc said the electric manufacturing company is "high-quality." "We have long considered LECO a high-quality franchise with a strong management team, but we often got hung up on valuation. With its move toward automation and now EV charging stations, we have become less focused on NT cycle considerations and are more interested in LECO's LT track record of smart strategic positioning."