BP, ADM, Netflix, Charter, Shake Shack: Trending by Analysts

Analysts are intrested in these 5 stocks: ( (BP) ), ( (ADM) ), ( (NFLX) ), ( (CHTR) ) and ( (SHAK) ). Here is a breakdown of their recent ratings and the rationale behind them.

BP’s stock has recently been downgraded to ‘Hold’ by analyst Giacomo Romeo, who cites increasing execution risks due to a lower oil price outlook for 2025/26. The company faces a tough decision between reducing leverage or suspending buybacks and upstream growth. With BP’s high leverage compared to its peers, its plan to reduce net debt is at risk due to current macroeconomic conditions. The company’s upstream rebuilding will take time, and activism has positively influenced BP’s focus on leverage and divestments. However, low oil prices and high leverage limit BP’s options, and its valuation is not considered cheap.

Archer Daniels Midland (ADM) has been upgraded to ‘Buy’ by analyst Manav Gupta, who highlights the potential for earnings growth driven by policy tailwinds and improved nutrition results. The Budget Reconciliation bill could increase demand for domestic soybean oil, benefiting ADM’s margins. The company’s animal nutrition segment is recovering, and cost-saving measures are expected to improve human nutrition earnings. Despite past underperformance, ADM’s valuation is attractive, and the company is expected to achieve significant cost savings and dividend growth.

Netflix has been downgraded to ‘Hold’ by analyst Doug Anmuth, who maintains a long-term bullish view but sees a more balanced risk/reward in the near term. Netflix’s shares have reached all-time highs, and while the company continues to show strong content and subscriber growth, the valuation is elevated. The summer months are typically slower for Netflix, and the near-term catalyst path may be quieter. Despite this, Netflix’s ad-supported tier and content strength could drive future growth, but the current premium valuation may weigh on shares.

Charter Communications has been upgraded to ‘Buy’ by analyst Alan Gould, following the proposed merger with Cox Communications. This merger is expected to enhance growth prospects, reduce leverage, and deliver scale efficiencies, positioning Charter as the largest domestic cable operator. The company’s Life Unlimited rebrand and new video strategy are gaining traction, and the merger is anticipated to be accretive. While regulatory approval is required, the transaction is expected to pass due to Charter’s competitive pricing and commitment to a full US workforce.

Shake Shack has been downgraded to ‘Hold’ by analyst Andrew Charles, who notes that the stock’s recent run has balanced the risk/reward. The company faces challenges in the restaurant spending environment and lacks category leadership in the crowded burger market. Despite improvements in sales and marketing efforts, Shake Shack’s margin story has materialized, limiting future positive EBITDA revisions. The company also faces risks from preconditioning consumers to require deals and its high exposure to urban markets, which are currently more challenged.