DoorDash, Southwest downgraded: 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: 

• Roth Capital upgraded Zimmer Biomet (ZBH) to Buy from Neutral with a price target of $135, up from $115. The firm notes that the announcement of the acquisition of Monogram Technologies (MGRM) covers a critical technological deficit within robotics and puts the company’s core large joint franchise on the right track and positioned to challenge Stryker’s (SYK) dominance in robotics with MAKO.
• JPMorgan upgraded Otis Worldwide (OTIS) to Overweight from Neutral with a price target of $109, up from $101. The firm believes Otis can offsets challenges in China with its service business that represents nearly 90% of profits, and sees an attractive entry point at current share levels.
• Morgan Stanley upgraded Solventum (SOLV) to Overweight from Equal Weight with a price target of $103, up from $80. The firm has increased confidence in Solventum hitting the mid-point of the 2028 guidance, suggesting EPS nearing $9 by that point along with essentially a cash neutral balance sheet.
• BofA double upgraded National Fuel (NFG) to Buy from Underperform with a price target of $107, up from $85. The firm believes production at the company’s Eastern Development Area is tracking ahead of management’s expectations.
• Morgan Stanley upgraded Steris (STE) to Overweight from Equal Weight with a price target of $276, up from $260. The firm’s work on the potential margin gains from the shift to E-Beam, consolidation of volumes and pricing power on NESHAP compliance costs, improving bioprocessing trends, and potential tailwind from Olympus’ import ban into the U.S., all leave the firm more positive on Steris.

Top 5 Downgrades:

• Jefferies downgraded DoorDash (DASH) to Hold from Buy with a price target of $250, up from $235. The firm expects the company to post upside to consensus estimates and peer-leading EBITDA growth, but says this is not enough to drive continued share outperformance without assigning “optimistic multiples” to DoorDash’s non-core businesses.
• Evercore ISI downgraded Southwest (LUV) to In Line from Outperform with an unchanged price target of $40. The firm cites valuation for the downgrade following the stock’s year-to-date outperformance.
• Monness Crespi downgraded American Express (AXP) to Neutral from Buy without a price target. The firm cites valuation for the downgrade with the shares up 45% since its upgrade to Buy.
• JPMorgan downgraded Enphase Energy (ENPH) and SolarEdge (SEDG) to Neutral from Overweight. The firm updated U.S. residential solar growth assumptions to reflect the impact from the One Big Beautiful Bill.
• Wells Fargo downgraded Waters (WAT)  to Equal Weight from Overweight with a price target of $330, down from $420. The firm says that Waters’ acquisition of Becton Dickinson’s (BDX) Biosciences & Dx assets has sound strategic merit, but given the deal size, Wells thinks concerns on execution risk could keep shares range-bound and cap its relative valuation premium.

Top 5 Initiations: 

• Goldman Sachs initiated coverage of Nutanix (NTNX) with a Buy rating and $95 price target. The firm views the company as a “key modernization play” for enterprises navigating legacy infrastructure transitions.
• Susquehanna initiated coverage of Ryder (R) with a Positive rating and $215 price target. The firm sees a path to “strong” earnings growth for Ryder from a cyclical Inflection, a “stagflationary” tuck environment, and capital deployment from free cash flow.
• Cantor Fitzgerald initiated coverage of Oklo (OKLO) with an Overweight rating and $73 price target. The firm says the company is making it possible for the world to safely transition to nuclear power.
• Truist initiated coverage of Globe Life (GL) with a Buy rating and $150 price target. The firm says the company’s diversified model supports steady returns, while the shares trade at a discount to peers.
• Goldman Sachs initiated coverage of Alkermes (ALKS) with a Buy rating and $43 price target. The firm says the company’s “mature” portfolio of neuropsych assets are on track to achieve fiscal 2025 guidance, while its orexin receptor 2 portfolio updates will drive share appreciation.