Here are Tuesday’s biggest calls on Wall Street: Morgan Stanley upgrades Meta to overweight from equal weight Morgan Stanley said it sees a more “structurally” disciplined company. ” META’ s structural pivot focusing on efficiency and ROIC, improving revenue and engagements trends, surging Reels monetization and 3 further revenue call options (AI, subscriptions, click-to-message) turn us OW.” Read more about this call here. Citi upgrades Foot Locker to buy from neutral Citi upgraded the stock after its robust earnings report on Monday. “FL’ s flagship banner is very healthy (FL 4Q comp +13%) and FL’s relationship with NKE seems in much better shape than previously expected.” Read more about this call here. Bernstein reiterates Stitch Fix as outperform Bernstein said the fashion company is a key beneficiary of AI. ” Stitch Fix is one of the few retailers today that is doing AI-driven predictive recommendations, well. Goldman Sachs downgrades SI Green to sell from buy Goldman resumed coverage of the real estate investment trust and downgraded the stock to sell, saying the office market remains in flux. “However, in the current environment, we believe the market is more focused on SLG’s relatively higher leverage, near-term debt maturities, interest rate risk on refinancings, and the portion of SLG’s portfolio that is older properties, where demand is lower. As a result, we believe SLG’s multiple will continue to be pressured.” Morgan Stanley upgrades Emerson Electric to overweight from neutral Morgan Stanley said shares of the multinational tech company are too attractive to ignore. “We see an attractive risk/reward supported by our new risk-adjusted return framework and are upgrading Emerson to Overweight from Equal-weight with a$96 PT.” Read more about this call here. DA Davidson upgrades New York Community Bancorp to buy from neutral DA Davidson said it likes the regional bank’s acquisition of Signature. ” NYCB is acquiring certain assets & liabilities from Signature Bridge Bank; accelerating its transformation to a more commercial bank like structure, by lowering the loan to deposit ratio to under 100% and increasing C & I loans, while lowering its concentration in multifamily loans.” Morgan Stanley reiterates Apple as overweight Morgan Stanley said Microsoft is a long-term threat to Apple that’s worth watching. “We believe a potential MSFT app store would be an immaterial risk to AAPL at just 3% of App Store revs and < 1% of Apple's total revs/EPS. However, MSFT's strong brand and tech leadership still represents a potential long-term threat to keep watching. Loop reiterates Best Buy as buy Loop said it's standing by the stock for the long term. "While we continue to have a cautious view on Best Buy's near-term fundamentals, we have a bullish long-term outlook—particularly given the company's extensive history of exceeding consensus earnings expectations." Stifel resumes Alphabet as buy Stifel resumed coverage of the stock with a buy and says it's still bullish on Alphabet shares. "We don't expect the public as a whole to change their daily habits regarding search behavior (Google is a verb, at least today)." Piper Sandler downgrades GoDaddy to neutral from overweight Piper said it's concerned about limited growth upside for the website domain company. "we are downgrading GDDY to Neutral and $88 PT as we believe the company's compression to MSD (mid single digits) growth has put in jeopardy the ability for the company to produce $8+ FCF/share in 2024, which limits upside." Morgan Stanley upgrades Harley-Davidson to overweight from equal weight Morgan Stanley said the stock is attractive at current levels. "If you can take some up-front bumps, we'd stay riding with HOG. " Read more about this call here. Morgan Stanley reiterates Exxon as overweight Morgan Stanley said it likes the oil and gas giant's robust "competitive positioning." " XOM' s strong FCF profile is supported by an advantaged portfolio of high return growth projects. Raymond James upgrades FLEETCOR Technologies to outperform from market perform Raymond James said there are "a lot of ways to win" with Fleetcor shares. "We are upgrading shares of FLT to Outperform from Market Perform and establishing a $254 target price, implying 28% upside." DA Davidson reiterates Roblox as buy DA Davidson said Roblox has an "underappreciated" opportunity in AI. "Generative AI opportunity currently underappreciated." Bank of America reiterates Amazon as buy Bank of America said it likes the "efficiency improvements" from Amazon after the e-commerce giant announced layoffs on Monday. "Across all corporate functions, if we assume average compensation of $180k, we est. $1.6bn in incremental annualized savings."
