Here are Thursday’s biggest calls on Wall Street: Citi upgrades Boeing to buy from neutral Citi said it sees several positive catalysts ahead for Boeing. “We are confident that 787 deliveries will resume soon. Similarly, last year, Chinese authorities agreed what modifications and training are needed to return the 737MAX to commercial service.” Read more about this call here. Morgan Stanley upgrades Autozone and Dollar General from equal weight to overweight Morgan Stanley says it likes the pricing power of auto parts stores. The firm also upgraded Dollar General, saying it sees “favorable risk/reward”. “Shifting ratings in favor of defensive stocks with aggressive characteristics. Upgrading Ezo and DG to overweight. Read more about this call here. JP Morgan reiterates Apple as overweight,” JP Morgan said The payments ecosystem is a $30 billion opportunity.” That said, gaining a share is a ‘marathon, not a sprint’ in the payments market, and we anticipate SAM of $30 billion+ on the horizon, potentially upward There are many avenues as Apple continues to strengthen its portfolio and expand and penetrate its installed base.” Bank of America reiterated its purchase of Wells Fargo as Bank of America said Wells Fargo shares had a “compelling” “There is a risk-reward approach.” Wells is uniquely positioned among mega-cap banks in terms of spending leverage (in terms of reducing costs / easing inflationary pressures). industry).” Benchmark said it sees a “challenging environment” for a video game software developer. Generalizing on user acquisition, and a rational spending landscape could be a challenging environment for Unity’s growth profile.” Oppenheimer named Genrac a top pick LIKES “Power Quality Investment Trends.” “Exposure to power quality investment trends and valuations informs our top picks: EMR (automation, digitization), RRX (motion control, electrification), GNRC (distributed energy exposure) , grid services, microgrid hardware and design). “Deutsche Bank upgrades Republic Services to buy from hold, the garbage disposal company offers an attractive earnings growth opportunity,” Deutsche said. The environment is an inflation hedge, (ii) a safe haven in market downturns and (iii) provides attractive earnings growth, particularly on a risk-adjusted basis. Core pricing should continue to accelerate and offset inflation, while in some cases pricing is linked to the CPI.” JP Morgan downgrades Warner Bros. Discovery from overweight to neutral Warner Bros. later resumed coverage of Discovery and downgraded the stock, saying it has concerns about the company’s ability to scale services internationally. “We believe that doubts are present in WBD’s global DTC ambitions.” The stock is reflected in the price, but we await details of the company’s new (combined) go-to-market DTC strategy in the coming months as we expect AT&T to decline. The HBO subs are resolved, and the Disca+ subs are integrated into HBO next year. Read more about this call here. Cowen reiterated the Meta platform because Cowen said its survey investigation shows user engagement for Reel, Meta’s short video service, is on the rise. The firm said its use is positive for meta but it is weighted on near-term monetization. “Our survey data shows that 21% of IG (Instagram) users regularly use reels in May ’22, the highest level since we started asking questions.” Goldman Sachs reiterated FedEx as Goldman said in a note Wednesday night that it is cautiously optimistic about FedEx earnings next week. Said FDX should be able to meet volume reduction with yield performance.” JPMorgan reiterates Amazon as overweight sees more upside. “We believe Amazon is well positioned as the third largest scaled digital advertising platform, given some distinct operating advantages in advertising.” Deutsche Bank buys Uber as Reiterated in Deutsche Bank that Uber’s shares look “increasingly compelling.” “We believe rideshare sales have become higher, especially for Uber due to its superior supply mousetrap, higher utilization rates and rising valuations.” Given support (particularly on FCF yields that are now increasingly attractive).” Consumer Edge downgrades JM Smucker to less than equal weight Consumer Edge downgrades food company citing higher pricing “We have downgraded our rating on the shares of JM Smucker to equal weight, which is based on higher pricing.” Equals volume elasticity driven by.” Jefferies downgrades to stop buying DuPont. Jefferies said in DuPont’s downgrade that it sees demand destruction and margin pressure. “We expect the next few quarters to be particularly difficult for companies with financial leverage ratios above sector averages (e.g. CE, DSEY, IFF) that have more complex SOTP logic that indirectly leads to cyclical end-markets.” (such as DD, EMN), or which may face continued margin pressure in the form of a decline in cyclical end-markets.”
