Check out today's top analyst calls from around Wall Street, compiled by The Fly.
DIGITAL TRANSFORMATION SPENDING: Goldman Sachs analyst Kash Rangan added Microsoft (MSFT) to the firm's Conviction List and reiterated a Buy rating on the shares with a $315 price target, representing 36% upside. The analyst sees both Microsoft and Salesforce (CRM) as well positioned to capitalize on digital transformation spending, which will outpace overall IT budgets for the "foreseeable future." Rangan also added Salesforce to the firm's Conviction List and reiterated a Buy rating on the shares with a $315 price target, representing 49% upside.
PULLBACK A BUYING OPPORTUNITY: Guggenheim analyst Robert Drbul upgraded Target (TGT) to Buy from Neutral with a $200 price target. The analyst would use last week's 6% pullback in the shares, which pulled the stock about 14% off of its 52-week high, as a buying opportunity. Further, Drbul told investors that he has a hard time envisioning a scenario in which Target does not grow revenue in 2021. He also believes estimates have come down to "a level that we feel comfortable," noting that his own 2021 estimates are above consensus on the top- and bottom line.
ATTRACTIVE BUYING OPPORTUNITY: MKM Partners analyst Rohit Kulkarni upgraded Peloton (PTON) to Buy from Neutral with an unchanged $130 price target. The analyst noted that the stock's 34% decline from its February 4th highs represents an "attractive" buying opportunity. Further, Kulkarni stated that Peloton's supply chain investments are driving positive results, with negative posts regarding the company on BBB.org having declined "significantly" last month. The analyst is also positive on Peloton's national U.S. rollout of the Tread in May as well as its medium-term growth initiatives in the pipeline, which include corporate wellness programs and B2B sales efforts to hotels, gyms, and corporations.
BUY TRADE DESK: KeyBanc analyst Justin Patterson upgraded Trade Desk (TTD) to Overweight from Sector Weight with an $851 price target. The analyst believes advertising technology stands to benefit from Google's (GOOG; GOOGL) changes by offering an authenticated solution that delivers stronger return on investment. Trade Desk stands to benefit from share gains as UID 2.0 adoption increases and traction with connected TV and retailer partnerships further reduce the dependency on cookies, Patterson contend. The analyst also recommends Overweight-rated PubMatic (PUBM) and Roku (ROKU).
IMPROVED MOBILITY, ORGANIZATIONAL RE-DESIGN: RBC Capital analyst Nik Modi upgraded Coca-Cola (KO) to Outperform from Sector Perform with a price target of $60, up from $55. The situation has changed from January when he had downgraded the stock due to valuation and a surge in COVID cases, the analyst told investors in a research note, stating that shares have retrenched and the COVID outbreak has "stabilized" in U.S. and some international markets. Modi added that Coca-Cola should benefit from improved mobility and emerge from COVID-19 stronger due to an organizational re-design.
