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MNST, SBUX, MCRB...
7/23/2021 09:07am
Monster Beverage, Starbucks upgrades among today's top Wall Street calls

Check out today's top analyst calls from around Wall Street, compiled by The Fly. 
 
MONSTER UPGRADED AT CITI: Citi analyst Wendy Nicholson upgraded Monster Beverage (MNST) to Buy from Neutral with a price target of $110, up from $97. The analyst sees a "compelling" valuation following the stock's underperformance thus far in 2021. The stock has gained just 1% year-to-date, weaker than almost every other beverage company, Nicholson tells investors in a research note. The analyst likes Monster's long-term outlook and believes the company can gain share in growing global energy drink category. Further, its large cash position and zero debt leaves scope for share repurchases, Nicholson contends.

STARBUCKS UPGRADED WITH $142 PRICE TARGET: Baird analyst David Tarantino upgraded Starbucks (SBUX) to Outperform from Neutral with a price target of $142, up from $117. The analyst's recent U.S. coffee category data points have strengthened his confidence that Starbucks can show upside to near-term comps and earnings estimates. When looking further ahead, the company is well positioned to deliver "scarce compounding growth characteristics for many years to come," Tarantino tells investors in a research note. As such, he sees an "increasingly attractive" risk/reward equation for investors with a 6-12 month time horizon.

SERES DOWNGRADED TO SELL: Goldman Sachs analyst Chris Shibutani downgraded Seres Therapeutics (MCRB) to Sell from Neutral with a price target of $7, down from $24. "Disappointing" top line results for the company's SER-287 Phase 2b ECO-RESET study prompts the analyst to remove projections for the asset from the model. SER-287 failed to demonstrate any evidence of efficacy over placebo in inducing remission in patients with mild-to-moderately active ulcerative colitis, across the range of primary or secondary endpoints, Shibutani tells investors in a research note. The analyst has "limited visibility" on any further path for SER-287 and reduced confidence in the prospects for SER-301.

DOMINO'S DOWNGRADED ON VALUATION: JPMorgan analyst John Ivankoe downgraded Domino's Pizza (DPZ) to Neutral from Overweight with a $530 price target. The analyst cites valuation for the downgrade, saying the current share price is "just too high." He believes now is the time to "step away" from the stock.

NIKE PRICE TARGET RAISED AT OPPENHEIMER: Oppenheimer analyst Brian Nagel raised the firm's price target on Nike (NKE) to $195 from $150 and keeps an Outperform rating on the shares. Nagel believes Nike has further room to run, and feels recent investments are only beginning to pay off and the market is underappreciating meaningfully enhanced intermediate- to longer-term EPS power of a digitally driven Nike model, the analyst tells investors in a research note.

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