These are the biggest calls on Tuesday on Wall Street. Goldman Sachs downgraded Keurig Dr Pepper to neutral to buy Goldman said it sees increased risk to Keurig margins amid higher coffee prices. “We now see a more balanced risk/reward and therefore downgrade the stock to a Neutral vs Buy rating due to our expectation that brewing household penetration begins Normalization, moderate pod engagement and growth of KDP’s packaged drinks and market share business and market share are starting to slow in this environment.Moreover, we see a risk to KDP’s margins. KDP rises as commodity inflation, particularly in relation to coffee, remains elevated for KDP relative to others based on our updated commodity tracker.” Cantor Fitzgerald initiates Lucid Group with overweight rating The Wall Street Company says Lucid’s luxury and premium electric vehicles are more appealing than their peers. “We believe LCID’s luxury and premium vehicles offer greater efficiency, longer range, faster charging and more space than their peers. Luxury vehicles are engineered. for a luxurious interior and a compact, efficient exterior that gives more space for passengers, hence what LCID calls the “Space Concept.” Lucid will compete in the global luxury car market and The company’s initial product, Lucid Air, begins shipping to customers in October 2021.” UBS downgrades Norfolk Southern, CSX to neutral from buying UBS says Norfolk Southern and CSX will find it difficult to sustain growth in a challenging macro environment. “Given the deteriorating macro backdrop, the Consensus 2023 EPS estimate looks too high for US rails and we expect to revise down our industry- and inter-related volume assumptions. While a significant reduction in freight demand will likely alleviate current capacity constraints and lead to improved service levels needed for rail to regain market share in the future. UBS downgrades Norfolk Southern, CSX to neutral from buying Wall Street company said Norfolk Southern and CSX will find it difficult to sustain growth in challenging macro environment. , the EPS estimate of Consensus 2023 looks too high for US rails and we expect to revise down our industrial and intermodal related volume assumptions in the near term. While a significant drop in freight demand will likely alleviate current capacity constraints and lead to improved service levels needed for rails to regain market share from trucks. Morgan Stanley cuts FedEx price target to $125 from $250 Morgan Stanley lowers FedEx forecast after the shipping giant’s profit warning. “With the lull from FDX’s big profit warning, we believe expectations and stocks have reset. However, the next leg from here will need to prove that $11-12 isn’t is the normalized EPS although the bears could see a path below $9… the stock is at the same level as it was in January 2020 before the pandemic and our PT is also back to roughly the same level. back then.” Citi put McDonald’s in 90-day negative Wall Street company put McDonald’s stock in 90-day negative in the face of foreign exchange difficulties and overall macroeconomic challenges. “We see risk-reward becoming less and less favorable in MCD stock, with macro and forex challenges in Europe looming in terms of third-quarter EPS estimates/winter months and valuation ( EV/EBITDA near market all-time high) leaves little room for the stock to absorb negative estimate revisions, specifically, more than $0.25/2.5% rate FX gains since Q2 results and Street Outlook suggest IOM SSS momentum continues to push higher While we don’t question the macro strength/resilience of US business , the US SSS will need to beat expectations (which are already strong) by a percentage of MSD to offset the market tick for FX and even a LSD decline in the European SSS outlook.” — Michael CNBC’s Bloom contributed reporting.