Here are Thursday's biggest analyst calls: Nvidia, Netflix, Tesla, Microsoft, Micron, T-Mobile, Berkshire Hathaway & more

Wall Street analysts issued a series of ratings adjustments and new coverage across diverse sectors, with numerous firms initiating Buy or Outperform ratings on companies including RocketLab (RKLB), Vistra (VST), Gartner (IT), and VTEX. Significant upgrades were seen for Las Vegas Sands (LVS), T-Mobile (TMUS), Celestica (CLS), and Sea Limited (SE) to Buy/Overweight. However, Bernstein downgraded Lululemon (LULU) to Market Perform citing deteriorating trends, and Exane BNP Paribas initiated Tesla (TSLA) with an Underperform rating due to valuation concerns despite long-term optimism.

Analysis

Wall Street analysts issued a predominantly bullish set of ratings, reflected in a "strongly positive" overall sentiment, with numerous new Buy or Outperform initiations for companies like RocketLab (RKLB), Vistra (VST), and Gartner (IT). Significant upgrades were also observed for Las Vegas Sands (LVS), T-Mobile (TMUS), and Sea Limited (SE), driven by specific company catalysts and improving fundamentals.

The technology and semiconductor sectors demonstrate particular strength, with UBS raising Micron's (MU) price target to $245 from $225 due to robust demand and worsening DRAM supply shortages, projecting C2026E EPS power near $30. Nvidia (NVDA) is reiterated as a Buy, recognized for its strong positioning in healthcare and AI.

Despite the overall bullish sentiment, some notable downgrades and cautious initiations highlight specific concerns. Bernstein downgraded Lululemon (LULU) to Market Perform, citing "worsening price, markdowns, and traffic trends" and limited visibility. Exane BNP Paribas initiated Tesla (TSLA) with an Underperform rating, explicitly stating an inability to justify the stock's current valuation.

Analysts also identified value and strategic positioning. Truist initiated Gartner (IT) as a Buy, noting its "unusual ~40% discount to historical average EV/EBITDA valuation." JPMorgan upgraded PPG (PPG), believing its public market value has decreased more than its business fundamentals have weakened, while Knight-Swift (KNX) was upgraded as a beneficiary of tightening truckload capacity dynamics.

Key Decisions for Investors

• Evaluate companies with new Buy/Outperform initiations, such as RocketLab (RKLB), Vistra (VST), and Gartner (IT), where specific catalysts like valuation discounts or structural tailwinds are cited.
• Monitor semiconductor and AI-exposed stocks like Micron (MU) and Nvidia (NVDA) for continued strength, given robust demand, supply shortages, and strategic positioning in high-growth areas.
• Exercise caution with Lululemon (LULU) and Tesla (TSLA) due to analyst concerns regarding deteriorating trends and valuation, suggesting a need for careful re-evaluation or a more conservative stance.
• Consider value opportunities in upgraded industrials and logistics, including PPG (PPG) and Knight-Swift (KNX), which are seen as undervalued relative to fundamentals or beneficiaries of favorable industry dynamics.