Here are Tuesday's biggest analyst calls: Nvidia, Apple, Valvoline, Pinterest, Block, Netflix & more

Analyst actions on Tuesday saw several rating changes, including Jefferies adding Nvidia (NVDA) to its franchise picks list citing its dominance in AI accelerators, and JPMorgan upgrading Pinterest (PINS) to overweight with a price target of $40 based on increased ad spending capture. Conversely, Jefferies downgraded Rio Tinto (RIO) to hold due to CEO succession issues and other negative catalysts, while JPMorgan downgraded Bumble (BMBL) to underweight, anticipating revenue and payer declines. Other notable moves include upgrades for Block (SQ), Valvoline (VVV), Cardinal Health (CAH), Woodward (WWD), UBS (UBS), and Oshkosh (OSK), alongside initiations on Uranium Energy Corporation (UEC), EVgo (EVGO), and Salesforce (CRM), reflecting varied outlooks on growth potential and valuation.

Analysis

Wall Street analysts issued a predominantly positive series of calls, with Jefferies notably adding Nvidia (NVDA) to its franchise picks list, emphasizing its dominance as a supplier of AI accelerators in a rapidly expanding data center market. JPMorgan upgraded Pinterest (PINS) to overweight with a $40 price target, citing its success in capturing a larger share of advertising expenditure. Evercore ISI raised Block (SQ) to outperform, setting a $75 price target implying approximately 21% upside, due to anticipated positive catalysts and a compelling valuation. Netflix (NFLX) saw its price target increased to $1,400 by Jefferies, which foresees a favorable trajectory driven by US price hikes, a robust content slate, and growth in its advertising business and live events, supporting sustainable free cash flow growth exceeding 20%. Further positive actions included Goldman Sachs upgrading Valvoline (VVV) to buy, calling it a "best-in-class" operator in a non-discretionary market; Bernstein naming Qualcomm (QCOM) a "best idea," noting its improved fundamentals; Wells Fargo upgrading Cardinal Health (CAH) to overweight with a price target of $179; and Deutsche Bank upgrading Woodward (WWD) to buy, acknowledging its previous downgrade as a "mistake." Evercore ISI reiterated an outperform rating for Apple (AAPL), as App Store revenue grew 13% in May, with US market revenue up 10%. Citi raised Broadcom's (AVGO) price target to $276 ahead of earnings, expecting its non-AI semi business to recover. Truist upgraded Oshkosh (OSK) to buy, increasing EPS estimates and its price target to $127, finding the stock "too cheap to ignore." UBS (UBS) was upgraded to buy by Jefferies, highlighting a "potential turning point on capital." Conversely, Jefferies downgraded Rio Tinto (RIO) to hold due to CEO succession issues and other negative catalysts. JPMorgan downgraded Bumble (BMBL) to underweight, anticipating accelerated revenue and payer declines with growth unlikely until 2027 due to competitive pressures from Hinge. New initiations included BMO starting Uranium Energy Corporation (UEC) as outperform, Morgan Stanley initiating EVgo (EVGO) at equal weight, viewing shares as fairly valued despite growth positioning, and Cantor Fitzgerald initiating Salesforce (CRM) as overweight, citing AI benefits for the CRM industry. Rosenblatt reiterated Disney (DIS) as buy, increasing its price target to $140, based on strong domestic box office performance and projected ~50% growth in segment operating income for the content unit.

Key Decisions for Investors

• Investors should evaluate opportunities arising from numerous analyst upgrades, particularly in high-growth sectors like AI (Nvidia, Salesforce), digital advertising (Pinterest), and specialized industrials (Oshkosh, Woodward), while also recognizing the sustained positive outlooks for established technology leaders such as Netflix and Apple.
• Exercise caution or conduct further due diligence on companies facing specific challenges, such as Rio Tinto with its leadership and operational risks, and Bumble, which is projected to experience near-term revenue and user declines amidst significant competitive pressures.
• Monitor key catalysts that could significantly impact future performance, including the recovery of Broadcom's non-AI semiconductor operations, Apple's App Store revenue trends amidst regulatory shifts, Disney's box office success and content segment profitability, and Uranium Energy Corp's progress in developing U.S. domestic uranium production.