Today’s Key Research Upgrades and Downgrades on Wall Street

Recent market research calls from Wall Street have prompted considerable discussion among investors. Here’s a summary of the key upgrades and downgrades shaping the financial landscape today.

Upgrades:

1. Medtronic (MDT): William Blair has upgraded Medtronic from Market Perform to Outperform, reflecting a positive outlook for the medical technology sector as the company plans multiple new product launches this year. The firm has not established a specific price target for this upgrade.

2. Saia (SAIA): Stephens has revised its rating for Saia from Equal Weight to Overweight, increasing the price target from $308 to $414. The firm believes that recent operational challenges are largely resolved, placing the company in a favorable position going forward.

3. Allegiant Travel (ALGT): Bank of America upgraded Allegiant Travel from Underperform to Neutral, adjusting the price target from $55 to $95. This move is based on expectations that potential economic stimulus will benefit low-cost airlines. Allegiant’s strategy to maintain flat capacity growth in 2026 is noted as a factor that could enhance pricing power, alongside the addition of new 737 MAX aircraft to manage operational costs.

4. Stryker (SYK): Raymond James upgraded Stryker from Market Perform to Outperform with a new price target set at $418. The firm considers the current valuation of Stryker to represent an appealing entry point for investors.

5. Brinker (EAT): UBS has moved Brinker’s rating from Neutral to Buy, raising the price target from $144 to $175. The firm points to the company’s strong same-store sales momentum as a foundation for continued growth.

Downgrades:

1. Shopify (SHOP): Wolfe Research has downgraded Shopify from Outperform to Peer Perform, withdrawing the previous price target of $185. The firm highlights elevated expectations surrounding Shopify, indicating that valuations may currently appear full after a significant revaluation process.

2. Chevron (CVX) and Exxon Mobil (XOM): Freedom Capital downgraded both companies from Hold to Sell, setting price targets at $165 and $123, respectively. The firm argues that the optimism surrounding U.S. operations in Venezuela is exaggerated and warns that rising oil and gas equities amidst declining oil prices present risks for investors. Additionally, Halliburton (HALO) and Phillips 66 (PSX) were also downgraded to Sell, while SLB (SLB) was moved to Hold from Buy.

3. Lennar (LEN): UBS downgraded Lennar from Buy to Neutral, reducing the price target from $137 to $122. The organization expresses concerns about the company’s path to achieving 20% gross margins, citing potential delays caused by a less robust industry recovery.

4. D.R. Horton (DHI): Wells Fargo has downgraded D.R. Horton from Overweight to Equal Weight, lowering the price target from $180 to $155 based on insights gleaned from their December web scrape.

5. Wells Fargo (WFC): Baird has revised its outlook for Wells Fargo from Neutral to Underperform, maintaining a price target of $90. The firm indicates a lack of expected upside for bank stocks in the upcoming year.

These adjustments reflect shifting sentiments across various sectors, providing investors with critical insights as they navigate the current market conditions.