Qualcomm downgraded, Wingstop 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:

Benchmark upgraded Wingstop (WING) to Buy from Hold with a $200 price target following what the firm calls "solid" Q2 results and commentary on progress made in moving away from being a spot market purchaser of chicken wings. [Read more]  TD Cowen upgraded Ross Stores(ROST) to Outperform from Market Perform with a price target of $128, up from $113. The firm views the company's Q2 same-store sales guidance as conservative, saying Ross is "getting sharper on price points to reflect better branded values for its customers." [Read more]  Janney Montgomery Scott upgraded Sunrun (RUN) to Buy from Neutral with a $32 fair value estimate following what it calls "an operationally solid quarter." [Read more]  TD Cowen upgraded Pacira (PCRX) to Outperform from Market Perform with an unchanged price target of $50. The company missed revenue and margins estimates and lowered fiscal 2023 guidance, but this is already captured in the valuation, the firm says. [Read more]  Craig-Hallum upgraded Faro Technologies(FARO) to Buy from Hold with a price target of $26, up from $22, after the company reported much improved results in Q2, with solid upside to both revenue and profitability. Given what happened last quarter, and where the stock remains today, Craig-Hallum believes the stock could double from here on better execution alone. [Read more]

Top 5 Downgrades:

Deutsche Bank downgraded Qualcomm (QCOM) to Hold from Buy with a price target of $120, down from $130. The company reported an in-line quarter and guidance, but management's "soft commentary" around the December quarter and incremental headwinds in 2024 lead to an 8% reduction in 2024 earnings estimates, the firm says. [Read more]  Bernstein downgraded Etsy (ETSY) to Market Perform from Outperform with a price target of $100, down from $120. The firm hoped the company's Q3 gross merchandise sales guidance and management commentary "could draw a line in the sand" on the business returning to growth, but says "it wasn't quite as reassuring." [Read more]  Citi downgraded Roku (ROKU) to Neutral from Buy with a price target of $100, up from $75. Citi sees limited upside from here and downgrades the shares on valuation. [Read more]  Jefferies downgraded Southwest (LUV) to Underperform from Hold with a price target of $25, down from $40, on limited visibility to margin expansion in 2024. [Read more]  Truist downgraded Spirit AeroSystems(SPR) to Hold from Buy with a price target of $25, down from $42, after its Q2 earnings miss. [Read more]

Top Initiations:

William Blair resumed coverage of O'Reilly Automotive (OLLY) with an Outperform rating. The firm is encouraged by O'Reilly's long-term growth potential. [Read more]  MeridianLink (MLNK) was assumed at Credit Suisse with a Neutral rating and $15 price target as a different analyst took over coverage of the name. The firm notes MeridianLink delivered Q2 revenue about 3% below Street due to a $2.3M revenue reduction related to a commercial dispute of a contract acquired through the 2022 acquisition of StreetShares but was in line with Street when adjusting for the commercial dispute. [Read more]  Baird initiated coverage of Immutep (IMMP) with an Outperform rating and $7 price target. The firm believes lead agent eftilagimod alpha has "unique advantages" over Bristol-Myers' (BMY) recently approved relatlimab. [Read more]  Stifel initiated coverage of High Tide(HITI) with a Buy rating and C$2.50 price target. High Tide "has been growing at a rapid pace" since cannabis legalization in Canada to become the largest corporate-owned cannabis retailer in the country, the firm notes. [Read more]