Here are the biggest calls on Wall Street on Thursday:
Oppenheimer downgrades Nvidia to perform from outperform
The firm downgraded the stock due to the increasing turmoil at Nvidia. "We are downgrading shares of NVDA and removing our price target following reports (WSJ, NYT) of founding CEO Jensen Huang's imminent departure amidst allegations of a 2nd extramarital affair."
Bernstein downgrades Nvidia to market perform from outperform
Bernstein said in a note to clients late Wednesday night that it had no choice but to downgrade the stock. "We admit to struggling mightily with this call, and can sympathize with the case to buy the dip. But our gut tells us that we probably haven't yet fully probed the depths of what might be found here; we've had enough, and prefer to watch from the sidelines."
Bernstein reiterates Apple as outperform
Bernstein says the stock's multiple is "reasonable." "Is AAPL' s multiple outrageous? Considering its customer loyalty, earnings durability, growth, FCF generation and shareholder returns, we don't think so. Our reverse DCF implies a terminal growth rate of 4%, which appears reasonable."
Piper Sandler downgrades General Mills to neutral from overweight
Piper says it sees "operating pressures." "We downgrade GIS to Neutral, as we now see risk to its dividend level, along with ongoing operating pressures."
William Blair upgrades Advanced Micro Devices to outperform from market perform
William Blair says AMD can benefit from the turmoil at Nvidia. "Meanwhile, Nvidia is facing increased scrutiny and a potential leadership vacuum, and while ASIC competition remains a risk to Instinct (particularly at Meta [META $628.07; Outperform] and OpenAI), we see an opportunity for AMD to benefit from custom programs as an opportunity for CPU attach."
BTIG initiates Quantinuum as buy
BTIG says shares are compelling. "We initiate coverage of Quantinuum (QNT) at BUY with a $60.00 Price Target, viewing the company as the current quality leader in the sector trading at what we believe is an unwarranted discount to peers."
Oppenheimer reiterates SpaceX as outperform
Oppenheimer says SpaceX remains a risk to big telecom. SPCX is the $2T elephant in the room with its terrestrial ambitions growing clearer (QCOM partnership) as incumbents remain dismissive and/or are underestimating potential speed-to-market."
Deutsche Bank reiterates Ulta as buy
Deutsche raised its price target to $723 per share from $671. "We believe ULTA's 3 Q results can provide another proof point on the durability and quality of its sales momentum despite tougher comparisons and an increasingly competitive beauty environment."
Evercore ISI reiterates Disney as outperform
Evercore says Disney shares needs to do more in order to "break out." "Looking ahead, for shares to break out, we think the narrative needs a catalyst on one or more of three fronts: (1) a product cycle; (2) a content cycle; or (3) a step-function improvement in the earnings growth curve."
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