Here are Friday's biggest analyst calls: Nvidia, Apple, Tesla, Salesforce, Dollar General, Amazon, Microsoft & more

Recent analyst ratings reveal bullish sentiment toward several tech and consumer discretionary companies, with Wedbush raising its Tesla price target to $500 based on its autonomous driving prospects and Truist noting Amazon's North American revenue tracking ahead of consensus. Conversely, Evercore ISI downgraded Deckers due to slowing growth in its UGG and HOKA brands, while also expressing concerns about Apple's services, gross margins, and the potential impact of Jonny Ive's move to OpenAI. Other notable calls include Citi initiating U.S. Foods as a buy, JPMorgan upgrading Waste Management ahead of its analyst day, and Morgan Stanley resuming coverage of Loar Holdings with an overweight rating, citing its growth strategy.

Analysis

Wall Street analysts exhibit a predominantly bullish stance across several sectors, particularly technology and select consumer-linked equities, reflected by an overall positive sentiment score of 0.7. Artificial intelligence remains a central investment theme, with Bank of America reiterating Nvidia (NVDA) as a buy, citing its unique leverage to the global AI deployment cycle and potential for China sales recovery, while Jefferies highlights Microsoft (MSFT) as a top pick due to Copilot advancements and its strategy to become an AI hub. Wedbush substantially raised its price target for Tesla (TSLA) from $350 to $500, anticipating a 'golden age of autonomous growth.' Positive ratings actions include Citi initiating U.S. Foods (USFD) as a buy, referencing accelerating gross profit per case; JPMorgan upgrading Waste Management (WM) to overweight ahead of its analyst day, expecting high single-digit topline growth targets; and Baird upgrading Wix (WIX) to outperform based on its compelling product and attractive long-term drivers. Conversely, Evercore ISI downgraded Deckers (DECK) to 'In Line,' citing a slowing growth profile and decelerating momentum in its UGG and HOKA brands. Apple (AAPL), while maintained as 'Outperform' by Evercore ISI, faces noted headwinds concerning its Services segment, gross margins, and potential competitive risks from OpenAI, contributing to a slightly negative sentiment signal for the stock. Amazon (AMZN) continues to demonstrate strength, with Truist reporting its Q2 North American revenue tracking $1-2 billion ahead of consensus, implying healthy 8-9% year-over-year growth.

Key Decisions for Investors

• Investors might consider focusing on AI-driven technology companies such as Nvidia, Microsoft, and Marvell, given strong analyst conviction and upcoming catalysts like earnings, while closely monitoring execution on AI strategies and specific factors like Nvidia's potential China sales recovery.
• A selective approach is warranted within the consumer discretionary sector; companies with clear growth drivers like U.S. Foods, benefiting from accelerating gross profit per case, and Amazon, with strong revenue trends, appear favorable, contrasting with Deckers, which is experiencing slowing brand momentum.
• Despite an 'Outperform' rating from Evercore ISI, investors in Apple should meticulously track developments concerning its services growth, gross margin trends, and the competitive landscape related to AI, given the highlighted uncertainties and negative sentiment signals.
• Monitor key upcoming corporate events, such as Waste Management's analyst day for validation of its high single-digit topline growth targets, and earnings reports from Salesforce, Nvidia, and Marvell for insights into AI demand, enterprise software spending, and forward guidance amidst current macroeconomic conditions.