Analysts are intrested in these 5 stocks: ( (BE) ), ( (NET) ), ( (ADSK) ), ( (KMX) ) and ( (EXC) ). Here is a breakdown of their recent ratings and the rationale behind them.
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Forget margin or options. Here's how the pros trade BEBloom Energy just got a vote of cautious confidence after Jefferies analyst Dushyant Ailani upgraded the stock to Hold with a hefty $187 price target. The call leans on a major 1.2GW order from Oracle, with potential for another 1.6GW, which could add roughly $3.8 billion in revenue and significantly de‑risk Bloom’s 2026–2027 outlook.
Still, Ailani warns that long‑term risks remain, from possible oversupply in behind‑the‑meter power markets to constraints in natural gas supply and the need for new capacity. With valuation already rich and execution demands rising, the analyst sees momentum as real but believes the risk‑reward is now balanced, keeping enthusiasm in check despite strong near‑term fundamentals.
Cloudflare is back in the spotlight as Piper Sandler’s James Fish upgrades the stock to Buy, calling it an AI‑era infrastructure winner and setting a bold $222 target. He argues the recent pullback offers a rare entry into what he considers a best‑in‑class edge platform spanning delivery, security, networking, and AI infrastructure services.
Fish sees strong early 2026 trends, from solid web traffic metrics to growing demand for Cloudflare’s edge capabilities as AI workloads move closer to users. While valuation remains demanding and stock‑based compensation is high, he believes accelerating growth, large AI‑driven opportunities, and deep relationships with players like OpenAI and Anthropic justify paying up for long‑term compounding.
Autodesk is being re‑introduced to investors as a high‑quality compounder, with Jefferies analyst Brent Thill initiating coverage at Buy and a $300 target. He argues fears that AI could erode the value of Autodesk’s architecture, engineering, and construction software are overdone, pointing to mission‑critical, compliance‑heavy workflows that generic AI tools cannot replace.
Thill frames AI as a tailwind that enhances productivity across Autodesk’s design ecosystem and opens new monetization paths, especially as usage‑based revenue grows. With strong margins near 38%, high retention, and shares trading around trough valuation levels, he sees a classic “Rule of 50” story where fading AI pessimism and upcoming product catalysts could drive both earnings and multiple expansion.
CarMax, by contrast, is facing a far tougher narrative as Bank of America’s Alexander Perry resumes coverage with a Sell rating and a $40 price objective. Recent results showed only modest improvement in used‑car unit trends, but at the cost of sharply lower gross profit per vehicle and a headline GAAP loss driven by restructuring and goodwill impairment.
Perry expects CarMax’s new “volume over margin” strategy to pressure per‑unit profitability through at least fiscal 2027 even as same‑store volumes slowly recover. While he likes the long‑term direction on pricing, marketing, and the online experience, he sees continued share loss, lower gross profit per unit, and flat operating costs limiting earnings power, leaving his forecasts below consensus and the stock vulnerable.
Exelon rounds out the list with a downgrade as regulatory clouds thicken, with BMO’s James Thalacker cutting the stock to Hold and trimming his target to $49. The trigger was subsidiary PECO’s decision to withdraw electric and gas rate cases in Pennsylvania, adding uncertainty on top of ongoing issues in Maryland and Illinois.
Management still expects earnings to grow near the high end of its 5–7% annual target through 2029 and plans to shuffle capital and cut costs to stay on track. Even so, Thalacker sees limited room for valuation upside as regulatory risks weigh on returns and restrict flexibility, likely keeping the utility’s shares trading in a tight range despite their otherwise steady profile.