Figma initiated, Okta 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:

• Truist upgraded Okta (OKTA) to Buy from Hold with a price target of $125, up from $100, ahead of fiscal Q2 earnings due on Tuesday. The firm believes Okta is approaching an inflection point as headwinds from seat count pressure and go-to-market changes are seen abating in the second half of FY26 while the company’s all-in-one identity platform is resonating with customers.
• JPMorgan upgraded Fabrinet (FN) to Overweight from Neutral with a price target of $345, up from $318. The post-earnings pullback in the shares provides an attractive entry point, the firm tells investors in a research note.
• Raymond James upgraded Alaska Air (ALK) to Outperform from Market Perform with a $70 price target. The airline’s current demand and competitive capacity trends increase conviction in earnings forecasts, the firm tells investors in a research note.
• DA Davidson upgraded Toro Company (TTC) to Buy from Neutral with a price target of $93, up from $76. Late-spring sales appear to have come in quite strong, and the firm sees other data points over the last few weeks that “point to better times ahead.”
• Argus upgraded MarketAxess (MKTX) to Buy from Hold with a $212 price target. The firm cites the company’s recent Q2 results showing 11% revenue growth thanks to record total commission revenue and 41% increase in total trading volume, the firm tells investors in a research note.

Top 5 Downgrades:

• BTIG downgraded SentinelOne (S) to Neutral from Buy and removed the firm’s price target on the shares after recent field checks came back negative. The firm sees increasing competitive pressure from larger platform vendors in the security space and thinks Street estimates for the second half of FY26 and FY27 are too high, notes the firm, which thinks revenue growth will slow into the low double digits over the next couple of years.
• Raymond James downgraded American Airlines (AAL) to Market Perform from Outperform without a price target. The firm cites valuation for the downgrade, seeing a more balanced risk/reward as the stock approaches its prior $14 price target.
• Baird downgraded Quest Diagnostics (DGX) to Neutral from Outperform with an unchanged price target of $194. The firm believes the stock’s risk/reward at current levels is too balanced following the recent rally to stay positive.
• BofA downgraded American Eagle (AEO) to Underperform from Neutral with a price target of $10, down from $11. The firm, which cut its FY25 and FY26 EPS estimates by 8% and 30%, respectively, to reflect the impact of higher tariffs and lower Aerie sales, sees a longer path to more normalized earnings in the current environment.
• DA Davidson downgraded Symbotic (SYM) to Neutral from Buy with a price target of $47, up from $35. The firm, which is reducing its revenue and adjusted EBITDA projections for FY26, cites nearer-term revenue growth deceleration and the stock’s current valuation for moving to the sidelines, but adds that its fully expect organic sales to reaccelerate in FY27 as system start velocity picks up.

Top 5 Initiations:

• William Blair initiated coverage of Figma (FIG) with an Outperform rating and no price target. The firm says Figma is the leader is user interface and design by a “country mile.” Meanwhile, BofA, JPMorgan, RBC Capital, Morgan Stanley, Goldman Sachs and Wells Fargo also started coverage of Figma with Neutral-equivalent ratings.
• Goldman Sachs initiated coverage of Shoulder Innovations (SI) with a Buy rating and $20 price target, representing 57% upside potential. The firm sees meaningful upside to Shoulder’s current valuation as it expands its sales force and commercial organization. Piper Sandler, Morgan Stanley and Jefferies also started coverage of the stock with Buy-equivalent ratings.
• Stifel initiated coverage of Ambiq Micro (AMBQ) with a Buy rating and $45 price target. The firm believes Ambiq is positioned to become a beneficiary of the “rapidly emerging” edge artificial intelligence market opportunity. Needham also started coverage with a Buy, while UBS and BofA initiated Ambiq Micro with Neutral ratings.
• RBC Capital initiated coverage of Argenx (ARGX) with an Outperform rating and $850 price target. The firm’s doctor checks suggest Vyvgart uptake is likely to accelerate from here given continued execution in approved indications and more convenient dosing.
• Northland initiated coverage of Mirion (MIR) with an Outperform rating and $26 price target. The firm believes Mirion’s mix of recurring revenue and growth upside will allow “investors to have their cake and eat it too.”