Nike downgraded, Oscar Health upgraded: Wall Street’s top analyst calls

The most talked about and market moving research calls around Wall Street are now in one place. Here are today’s research calls that investors need to know, as compiled by The Fly.

Top 5 Upgrades:

Barclays upgraded Oscar Health (OSCR) to Overweight from Equal Weight with a price target of $35, up from $30. The firm says that with “single-line exposure” to the individual Affordable Care Act market, Oscar offers the “most direct leverage to a potential multi-year multiple re-rating.”

Evercore ISI upgraded Devon Energy (DVN) to Outperform from In Line with a $54 price target. The better-than-expected mid-month update underscores not just improving capital efficiency, but also a “surprise, explicit comment on the portfolio review, with the key word being ‘expeditiously’,” the firm tells investors.

JPMorgan upgraded Illumina (ILMN) to Overweight from Neutral with a price target of $185, up from $125. JPMorgan cites Illumina’s customer “stickiness” and its favorable recent customer survey for the upgrade.

UBS upgraded BorgWarner (BWA) to Buy from Neutral with a price target of $95, up from $61. The company is the best positioned auto supplier to benefit from non-auto opportunities, the firm tells investors in a research note.

UBS upgraded Cava Group (CAVA) to Buy from Neutral with a price target of $90, up from $85. The company offers an attractive same-store-sales catalyst path with industry-leading unit growth, the firm tells investors in a research note.

Top 5 Downgrades:

RBC Capital downgraded Nike (NKE) to Sector Perform from Outperform with a price target of $50, down from $70. While the company’s turnaround under CEO Elliott Hill is making progress, it is “slower and narrower” than expected, the firm tells investors in a research note.

Guggenheim downgraded Nuvalent (NUVL) to Neutral from Buy with a price target of $124, down from $151, citing the proposed acquisition by GSK (GSK) for $124 per share in an all-cash transaction. UBS, TD Cowen, Barclays, and Truist also downgraded Nuvalent to Neutral-equivalent ratings.

Berenberg downgraded Nutrien (NTR) to Hold from Buy with a price target of $65, up from $61. The company is likely to deliver another year of solid earnings, but the firm is concerned that consensus estimates “will continue to anchor on earnings levels that remain above mid-cycle.”

Wolfe Research downgraded Taylor Morrison (TMHC) to Peer Perform from Outperform without a price target following the announced acquisition by Berkshire Hathaway (BRK.A) for $72.50 per share.

Truist downgraded Bill (BILL) to Hold from Buy with a price target of $35, down from $45. The firm finds it increasingly unlikely that a software-as-a-service company like Bill will be acquired given the uncertainty caused by AI.