Here are the biggest calls on Wall Street on Tuesday: HSBC upgrades Citi to buy from hold and downgrades Morgan Stanley to hold from buy HSBC sees more stock buybacks in Citi’s future. The bank also downgraded Morgan Stanley due to a “softening” outlook for wealth management. ” Citigroup is our preferred choice among banks. … .We have cut our earnings estimates notably for Morgan Stanley in recent months even as the share price has risen, leading to a material increase in the PE despite a softening outlook for wealth management (a higher multiple business) revenue.” Morgan Stanley upgrades CrowdStrike to overweight from equal weight Morgan Stanley said the cyber company is “firing on all cylinders.” “We see an improving demand outlook for CRWD as accelerating cyberattacks, multiple new products and GenAI tailwinds drive estimates upside.” Morgan Stanley downgrades CyberArk to equal weight from overweight Morgan Stanley sees a tougher setup for the identity and access management company. “We think the company has improved its position with a higher mix of recurring SaaS revenue in recent years. However, nearer term, we think the setup is more difficult and outperformance in CYBR shares is unlikely…” Goldman Sachs upgrades Interactive Brokers to buy from neutral Goldman said in its upgrade of the financial services company that Federal Reserve interest rate cuts are already priced in and the stock’s at “an attractive entry point.” “IBKR has underperformed rate sensitive peers by 11-27pp since 6 months before the first Fed Funds rate cut, as the market overextrapolates IBKR’s rate sensitivity.” BMO initiates Amazon as outperform BMO says the dominant e-commerce platform is well positioned for AI. ” Amazon is also positioned to benefit from artificial intelligence / machine learning given its investments in Trainium and Inferentia chips as well as the middle layer of the stack in Bedrock and CodeWhisperer.” Citi downgrades Netflix to neutral from buy Citi says Street expectations are too high for Netflix. “We are downgrading Netflix from Buy to Neutral. Across 2024 and 2025, the Street has lofty expectations for Netflix.” Deutsche Bank upgrades JPMorgan to buy from hold and downgrades Wells Fargo to hold from buy Deutsche said in its upgrade of JPMorgan that the stock is relatively inexpensive. The firm also downgraded Wells, saying it’s concerned about a weak net interest income guide. “And while we wouldn’t argue JPM shares are cheap, they also…
Click Here to Read the Full Original Article at Top News and Analysis (pro)…
