Here are the biggest calls on Wall Street on Tuesday:
Evercore ISI initiates Reddit as outperform
Evercore ISI says it sees a “significant opportunity.”
“We are initiating coverage of Reddit (RDDT) with an Outperform rating & a $320 price target (30% upside), based on 35X ’27E EBITDA of $1.8B.”
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Compass Point upgrades Mastercard to buy from hold
Compass Point says shares have more room to run.
“We are upgrading MA to BUY from NEUTRAL with a PT of $735...”
TD Cowen upgrades KLAC to buy from hold
TD Cowen says the semiconductor capital equipment company is a share gainer.
“KLAC is a Buy given its exposure to leading-edge Foundry WFE (Wafer Fab Equipment) spending.”
Barclays upgrades Kodiak Gas Services to overweight from equal weight
Barclays says the nat gas company has a robust track record.
“KGS owns a premier set of assets in a critical part of the natural gas value chain.”
Bank of America reiterates Micron as buy
Bank of America raised its price target to $400 per share from $300.
“We also raise estimates and our PO for MU given a robust pricing environment”
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HSBC reiterates Tesla as reduce
HSBC says it sees “volume pressure” for Tesla shares.
“With the end of the EV tax credit in the US, we see volume pressure and therefore Q4 margin at 4% well below consensus and sequentially below Q3, which was at 5.8%.”
Goldman Sachs upgrades Via Transportation to buy from neutral
Goldman says shares of the public mobility software company are compelling at current levels.
“We upgrade shares of VIA to Buy from Neutral and lower our 12-month price target to $44 ($52 prior).”
Jefferies upgrades Kennametal to buy from hold
Jefferies says the machinery company has earnings durability.
“Tungsten’s unprecedented price spike (+190% y/y, & 47% Since Nov) should drive KMT’s near-term earnings sharply higher on immediate price and delayed costs.”
JPMorgan reiterates Apple as overweight
The firm says it likes the company’s partnership with Google Gemini.
“Google and Apple have confirmed a multi-year partnership to integrate Google’s Gemini AI models into Apple products.”
KeyBanc upgrades Intel to overweight from sector weight
KeyBanc says it sees server demand helping Intel shares.
“Our checks indicate INTC is almost sold out for the year in server CPU, and given the strength in demand, the Company is considering a 10-15% ASP [average selling price] increase.”
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KeyBanc upgrades Advanced Micro Devices to overweight from sector weight
KeyBanc says it sees improving demand.
“Our supply chain checks indicate the recent surge in hyperscaler demand has led to AMD to almost being completely sold out of server CPU in 2026 and is potentially considering a price increase of 10-15% in 1Q26.”
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Deutsche Bank upgrades Diamond Rock to buy from hold
Deutsche says the hotel REIT stock has an attractive valuation.
“Our call on DRH is a blend of relative valuation and the apparent availability of company-specific catalysts on the horizon.”
Jefferies downgrades Five Below to hold from buy
The firm says the upside is already priced in.
“FIVE delivered a strong holiday beat and continues to benefit from a strategic merchandising reset under CEO Winnie Park, driving DD% comps and record sales.”
Jefferies upgrades Vail Resorts to buy from hold
Jefferies says it sees a “low bar” for outperformance in 2026 for the ski company.
“We view MTN’s leadership change, stock underperformance, and hist. low valuation (<9X 2026E EBITDA) as setting a low bar for FY26 and outperformance in FY27.”
Mizuho upgrades Wyndham Hotels & Resorts to outperform from neutral
Mizuho says it sees plenty of upside for the hotel company.
“We are upgrading WH to Outperform from Neutral, based on our view that Economy RevPAR [revenue available per room] could accelerate beginning in March/April, with potentially more robust YoY growth in June/July.”
Bank of America reiterates Alphabet as buy
Bank of America raised its price target on the stock to $370 per share from $350.
“Alphabet well positioned to lead in AI era.”
TD Cowen reiterates Netflix as buy
The firm lowered its price target to $115 per share from $142 ahead of earnings next week.
“We think investors will largely focus on 1Q/FY26 guidance (incl FY26 op margin), when NFLX reports 4Q results on 1/20;”
Wolfe reiterates Nvdia as outperform
Wolfe says the stock is a favorite idea for 2026.
“NVDA is up ‘only’ 36% over the past year, underperforming other AI related names. We think the reason for underperformance is threefold – the late launch of Blackwell, concerns about the sustainability of AI spending in general, as well as concerns about share losses to custom AI solutions.”
BMO upgrades Centerpoint Energy to outperform from market perform
BMO says the energy company is firing on all cylinders.
“Upgrading CNP to Outperform. Our 2025-2030 forecast remains unchanged, driving a highly visible 8.6% EPS CAGR. However, we see several upside drivers that could push our outlook at or above the top end of the company’s 7-9% LT growth rate.”
Deutsche Bank upgrades SQM to buy from hold
Deutsche says it sees a “more constructive and bullish outlook” for the lithium market.
“We are upgrading SQM to Buy from Hold with a new 12-month price target of $88 (vs $55 previously), implying ~19% upside from today’s pricing.”
Deutsche Bank upgrades Albemarle to buy from hold
Deutsche raised its price target to $185 per share from $125 and says it sees the “energy storage demand.”
“We are upgrading Albemarle to Buy from Hold with a 12-month price target of $185, upside of 15%.”
Wells Fargo downgrades Charter to underweight from equal weight
Wells says it’s concerned about a challenging backdrop.
“Previously, we believed CHTR’s earlier + more aggressive go-to-market efforts around mobile bundling and video packaging would bear fruit in terms of steadier broadband market share. We now conclude that the industry backdrop is too challenging for meaningful performance differentiation between CHTR and its Cable peers.”
Bank of America downgrades Arm to neutral from buy
The firm says it sees a “revenue slowdown.”
“For ARM, we flag revenue slowdown (both royalties/licensing) and increasing SoftBank reliance into CY26.”
Loop upgrades Thor Industries to buy from hold
Loop upgraded the RV company and says it sees “improved unit sales mix.”
“We are upgrading THO to BUY with a $133 PT after visiting the Ohio RV Supershow this
past weekend and learning dealers had started to see an improved unit sales mix driven by
customers trading up to more expensive models.”
Read more.
Wells Fargo downgrades Alcoa to equal weight from overweight
Wells says the stock’s valuation is full.
“We downgrade AA to Equal Weight from Overweight as valuation seems to fully reflect the recent strong run in aluminum prices.”
Gordon Haskett upgrades Target to buy from hold
The firm says the retail giant is a “contrarian idea.”
“In the spirit of both a new year/clean slate along with the never-ending search for contrarian ideas . . . we are upgrading Target to Buy-Rated from Hold-Rated – establishing a new $140 Price Target, which suggests over 30% upside from current levels.”
Goldman Sachs downgrades HP to sell from neutral
After a change in analyst coverage, the firm downgraded the stock as it sees limited upside.
“We are Sell-rated on HPQ ($21 PT) and SMCI ($26 PT), given less attractive upside to consensus estimates...”
Goldman Sachs upgrades Hewlett Packard Enterprises to buy from hold
After a change in analyst coverage, the firm says it sees “attractive upside.”
“Buy Hewlett Packard Enterprise (HPE) for business transformation with attractive upside.”
Bank of America reiterates IBM as buy
Bank of America raised its price target to $335 per share from $315.
“After a strong year in 2025, where IBM stock was up 38% (SPX up 18%), we expect a more modest year given a weaker close to F25 and several headwinds in F26.”
Bank of America reiterates Carvana as buy
Bank of America raised its price target to $515 per share from $455.
“We expect CVNA’s efforts in New Cars to remain a small piece of the overall pie near-term, but still like TAM expansion as a 2026 catalyst.”