Apple, Tesla, Carvana, Ulta, Meta, Alphabet, And More Were Among The Big Names On Wednesday's Analyst Calls

Wall Street's biggest calls for Wednesday are as follows:

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Bowlero is initiated as a buy by Canaccord

There is no doubt that Canaccord believes the bowling company has a “unique growth and profitability story” to tell.

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“It is through the development of a repeatable playbook that Bowlero has transformed the operations of acquired bowling centers over the past 26 years, transforming the business from a single location to the world's largest bowling operator. The company has developed a virtuous growth cycle in which it delivers industry-leading margins and cash flow that can then be re-applied to fund acquisitions, renovations, and new construction.”

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Tesla is downgraded from a buy to a hold by Berenberg

There are fewer upsides for the electric vehicle maker, according to Berenberg.

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“There is a multi-year opportunity for Tesla's new plants in terms of capital efficiency and labor efficiency. However, we are downgrading our rating to Hold now that our Buy thesis, based on misplaced fears over a price war, appears to have been accepted by the market now that we have downgraded our rating to Hold.”

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Meta is reiterated as a buy by Bank of America

Based on Bank of America's assessment, Meta has a good chance of accelerating revenue growth.

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“It has been reported by a number of media outlets that Meta is preparing to cut thousands of jobs as soon as next week, and that the layoffs may begin as soon as this week.”

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Carvana remains unrated by Morgan Stanley

There is still a need for too much capital to be invested in Carvana, according to the firm.

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“Although we think the business still requires capital, a smaller footprint in a growing market for used cars offers us more time to execute our plans.”

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Comerica has been named as a fresh pick by Baird

There is a compelling risk/reward outlook for Baird's regional bank, according to the brokerage house.

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“We believe there are better long opportunities in the regional bank group in recent days because investor sentiment has deteriorated significantly in recent days, resulting in lower risk/reward trade-offs among the regional bank group and we believe CMA is one of the better situations out of the group.”

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Adobe is a buy for Deutsche Bank

Adobe is seen as a beneficiary of artificial intelligence by Deutsche.

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“Creative professionals, communicators, and consumers will benefit greatly from generative AI, enabling Adobe to penetrate its existing TAM more deeply by making Adobe products not just essential for creative professionals, but also involving other stakeholders in the content creation process.”

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Ulta is a buy at Deutsche Bank again

Ulta was called “resilient” by Deutsche.

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“Although the pace of growth in the beauty category continued into February, albeit slightly moderated from January's pace, cosmetics, and skincare showed a strong acceleration in 3YR growth over the past few months.”

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PayPal is rated as an outperformer by Oppenheimer

PayPal, according to Oppenheimer, is expected to compound its earnings per share by 15% annually.

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“There isn’t much optimism among investors regarding PYPL, which could provide an opportunity for investors. If the market/payment stocks keep correcting in the future, then PYPL isn't a safe trade.”

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Scorpio Tankers are initiated as overweight by JPMorgan

Stocks in tanker companies are expected to grow strongly, according to JPMorgan.

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“We initiate coverage on Scorpio Tankers, which is a global operator of product tankers used to transport refined oil products worldwide, with an Overweight recommendation and with a target price of $87 implying a 50% upside potential by December 24.”

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GS initiates a buy position on Axon

The Taser company is one of the top vertical technology and hardware platforms, according to Goldman.

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“Due to AXON's market leadership in TASER, it has been able to develop deep customer relationships with state and local law enforcement agencies along with a highly valuable installed base of law enforcement personnel across the country.”

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Apple remains an outperformer according to Wedbush

There is no doubt that Wedbush is standing by the tech giant.

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“In response to recent positive Asia checks on iPhone demand, we are raising our price target on Apple from $180 to $190, while keeping our OUTPERFORM rating on the stock and the name of the company on the Wedbush Best Idea List for this quarter.”

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Domino's Pizza is rated as an underperformer by Bernstein

In Bernstein's view, Domino's is stuck in a growth rut.

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“It is clear that the pizza category is facing challenges and is not consolidating, which makes market share gains in a zero-sum game look extremely difficult.”

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Atlantica Sustainable Infrastructure is upgraded by Bank of America to buy from neutral

There is a healthy growth profile for the renewables infrastructure company, according to Bank of America.

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“Still, we highlight the growing potential for renewable energy development in the next AY, with an expected development of 2.0 GW of renewable assets and 5.6 GWh of energy storage development, with the majority of the development taking place in North America.”

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Bank of America reiterates its top pick for On Semiconductor

Having the ”right execution” makes the semiconductor company a top auto pick, according to Bank of America.

“After management's confident presentation earlier today at a broker event and yesterday's news that EVs will be sold by BMW in the near future, we reiterate our Buy recommendation for On Semi (ON), an autos pick.”

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Micron remains a buy at UBS

Micron is a key beneficiary of artificial intelligence, according to UBS.

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“There may be a bit of a shock when MU reports that FQ2 bits are growing again, but MU should be a major beneficiary of generative AI as memory accounts for almost 40% of all data center semis. As AI servers have more than twice the amount of memory of light load servers in the cloud and three times the amount of memory of traditional enterprise servers, this number is likely to go up even higher.”

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Nordstrom is upgraded to a buy by Argus

Retailers' supply chains are improving, according to Argus.

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“Throughout the years, Nordstrom has divested unprofitable businesses and reduced unwanted inventory by offering discounts and promotions to customers. It has also strengthened its supply chain, which has contributed to a reduction in SG&A expense as a percentage of sales as well. Stocks continue to be repurchased by the company, and debt continues to be paid down by the company.”

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Alphabet remains a buy at Needham

Investors shouldn't worry about any legislative risks associated with Alphabet, according to Needham.

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“We've come to the conclusion after the meetings in Washington DC last week that GOOGL won't face any major legislative, regulatory, or litigation challenges in 2023, which is our top investment conclusion from our meetings. The headline risks are perceived by us to be greater than substantive risks based on our conversations so far.”