Here are the biggest calls on Monday on Wall Street: Wells Fargo upgrades Target to weight gain from equilibrium Wells says the market is too pessimistic for Target stock. “In our view, the TGT sell-off offers an opportunity to pick a proven bully into an undervalued earnings recovery at the right price. Read more about the call. call this here UBS downgrades Weber for sale from baking companies they are concerned about slowing growth “We downgraded WEBR to Sell from Neutral with PT of $4 (previously $8 la), when we revise EBITDA ests for next year at $173 million, well below $19 and significantly below $222 million. However, we model sales of -0.4% for ’23. – term growth for key drivers of growth across Immunology, Hematology and Aesthetics franchises along with a more balanced risk/reward from a pricing standpoint and downgrade to Neutral . “Pivotal downgrades Sirius XM to retain from acquisition. Pivotal said it is concerned about recessionary conditions next year. year and a surprising decrease in the ’22 self-paying’ net addition forecast, we have reduced the ’22 new self-paying subscribers’ forecast and reduced the increase in self-paying subscribers / ARPU / advertising reported in ’23+ to account for what we believe will be a significant recession in 1H’23. “Wells Fargo downgrades Stanley Black & Decker to weight parity. Wells says certainty is a bit high for Stanley Black & Decker. “Tools & Outdoor demand trends changed dramatically during the quarter. 2 resulted in an almost 50% EPS cut between pt. Management has responded with significant cost plans. Steady demand from here and cost-based implementation create good earnings potential in 2023. However, in our view, it is too early to find a steady demand trend. In particular, we are concerned that the next possible Pro segment will weaken. “Wolfe founded Palo Alto Networks better than Wolfe said when he founded the cybersecurity company that it was a good place to ‘hide.'” investors looking to hide in the names of security that can deliver both growth and free cash flow margins at attractive valuations.” Read more about the call here Jefferies downgraded Bumble to keep “Ultimately, we no longer view BMBL’s valuation multiple of 26x EBITDA 23-year FY FY as particularly attractive,” said Jefferies, a buyout rights company. against MTCH at 18x. We’re reducing our fiscal year EBITDA estimate by 1% to account for increased forex trends.” Cowen downgraded American Eagle Outfitters to better market performance Cowen said it’s seeing an “almost slowing down” of American Eagle. “Cowen appreciates Aerie’s competitive records highlighted in our exclusive survey, but near-term caution is based on downward price pressure, higher input costs, weak consumer demand and short-term slowdown in Aerie.” Jefferies downgrades Deckers to retain buy shoe. balance from underweight and Charter to underweight from equilibrium Barclays says it expects slower subscriber growth than i with the cable giant. “With full-year broadband sub-growth at Comcast and Charter now projected at ~300k and ~200k respectively this year (vs. each year), the debate is growing on the likelihood of negative broadband sub-growth next year and beyond as the macro backdrop and competitive environment look set to deteriorate.” Read More about this call here. Disclosure: Comcast is the owner of NBCUniversal, the parent company of CNBC. Morgan Stanley reiterates Apple is overweight Morgan Stanley says that Apple’s 10-Q statement shows “an improvement in supply and confirms the deceleration of the app store.” “While Advertising remains the leading driver of Services, we are more cautious about the short-term outlook. Ads primarily represent Google’s traffic acquisition cost payments to Apple.” , as well as revenue from Apple’s App Store search advertising business.” Wells Fargo upgraded the Colgate-Palmolive to balance the weight against the lower weight Wells says has the potential to “improve profitability up front.” “We think a positive CL is now (and has been) agreed by many investors. We’re not exactly there — EPS is still holding on to MSD this year and there’s more to do for a recovery. This is happening next year; however, could open up, and we’ve especially become more comfortable with the gross margin story that’s producing at CL.”
