Constellation downgraded, Chipotle 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:

• Rothschild & Co Redburn upgraded Chipotle (CMG) to Buy from Neutral with a $55 price target. The firm says the correction in the shares reflects cyclical softness in Chipotle’s growth rather than structural weakness in its growth model.
• Argus upgraded Wynn Resorts (WYNN) to Buy from Hold with a $145 price target. The firm is positive on the company’s prospects for share gains and its leadership position in the Las Vegas market.
• Needham upgraded TransUnion (TRU) to Buy from Hold with a $115 price target. The company is positioned for a strong second half of 2025 and 2026 due to momentum with its financial technology clients, an improving outlook in India, and mortgage inquiry reprieve as rates are finally “heading in the right direction,” the firm tells investors in a research note.
• Bernstein upgraded HubSpot (HUBS) to Outperform from Market Perform with an unchanged price target of $606. The firm sees a more favorable risk/reward with the company’s macro issues stabilizing and the stock’s valuation having come down.
• Morgan Stanley upgraded Kraft Heinz (KHC) to Equal Weight from Underweight with a price target of $29, up from $28. The firm’s prior underweight thesis has “largely played out” and estimates for the stock are now “more reasonable.”

Top 5 Downgrades:

• BNP Paribas Exane downgraded Constellation Brands (STZ) to Underperform from Neutral with a price target of $123, down from $181, following the company’s FY26 guidance cut. The firm’s “increasingly bearish thesis” is based on persisting, structurally skewed demand issues, notes the firm, which sees long-term beer operating margins as the “next shoe to drop” as volume pressures continue.
• Rothschild & Co Redburn downgraded Accenture (ACN) to Neutral from Buy with a $250 price target. The company’s fiscal Q3 organic revenue growth rate of 5% indicates that while it is benefiting from generative artificial intelligence on consulting, there may be other areas of the business where growth is slowing to offset this.
• Truist downgraded Six Flags (FUN) to Hold from Buy with a price target of $27, down from $45, following Q2 earnings. After the report, the firm lowered its 2025 EBITDA projection and now projects an 80c per share loss for 2025.
• Citi downgraded Academy Sports (ASO) to Neutral from Buy with a price target of $50, down from $55. The firm says the company’s positive comparable sales in Q2 were offset by weaker than expected gross margins.
• BofA downgraded Phillips 66 (PSX) to Neutral from Buy with a price target of $147, up from $144. The firm still sees sum-of-the-parts value embedded in their midstream, but the natural gas liquids outlook has “grown dimmer” this year with less U.S. liquids growth expected and downstream overbuild beginning, the firm tells investors.

Top 5 Initiations:

• Wolfe Research initiated coverage of Verisk Analytics (VRSK) with an Outperform rating and $320 price target, which offers 21% upside. The firm says the company’s strong structural position, recurring revenue growth profile, industry-leading margins, and growth opportunities from areas such as extreme events and property estimating warrant a premium valuation relative to peers.
• Wolfe Research initiated coverage of CoStar Group (CSGP) with an Outperform rating and $105 price target, which represents 19% upside. The company’s investment returns on Homes.com, continued strength in Apartments.com, and stable growth in LoopNet and CoStar Suite can support low-double-digit to low teens sales growth over the medium-term, with operating leverage leading to material margin expansion and EBITDA dollar growth, the firm tells investors in a research note.
• Wolfe Research initiated coverage of Gartner (IT) with a Peer Perform rating and no price target. Wolfe believes the stock will remain range-bound over the near-term given concerns on client budgets and AI disintermediation.
• Goldman Sachs reinstated coverage of Arthur J. Gallagher (AJG) with a Buy rating and $344 price target, which represents a 15% total return opportunity. The firm expects the company’s AssuredPartners acquisition to be high-single-digit accretive to 2027 earnings estimates.
• B. Riley initiated coverage of Scholastic (SCHL) with a Buy rating and $37 price target. The firm likes the company’s “powerful” brand, diverse portfolio of content intellectual property, and “unique” school-based distribution channels.