Investing

Top Analyst Upgrades and Downgrades: Autodesk, Costco, Interactive Brokers, SBA Communications, Western Digital, Zscaler and More

The futures traded higher on Friday, after recovering from huge overnight losses and after a strong February jobs report. Investors will probably be very glad to see this week come to an end after massive selling, especially in the momentum stocks. Everything from the electric vehicles and solar-related stocks to SPAC conversions were absolutely hammered, not to mention the new-age tech companies that have big prospects but lose money consistently. Top analysts on Wall Street continue pointing to “bubble” metrics, like the massive “meme” retail stock and option trading, huge hedge fund leverage and IPOs that don’t make money as examples, and many are urging continued near-term caution.

With fourth-quarter earnings results almost complete, most across Wall Street have not only been examining the final results but also looking to see what guidance for the balance of the first quarter and the rest of 2021 looks like. With stocks still near overbought conditions, and major Wall Street firms still warning of the potential for impending 5% to 10% correction (which already may have begun), it makes sense for investors to start building some cash reserves while repositioning portfolios for the rest of 2021.

24/7 Wall St. reviews dozens of analyst research reports each day of the week with a goal of finding new ideas for investors and traders alike. Some of these daily analyst calls cover stocks to buy. Other calls cover stocks to sell or avoid. Remember that no single analyst call should ever be used as a basis to buy or sell a stock. Consensus analyst target data is from Refinitiv.

These are the top analyst upgrades, downgrades and initiations seen on Friday, March 5, 2021.

Autodesk Inc. (NASDAQ: ADSK) was named as the Zacks Bear of the Day stock. The firm said that the valuation is high for this stock, but on the bright side, margins are improving. Shares last closed at $265.44 and have a consensus price target of $320.95.

Azul S.A. (NYSE: AZUL) was raised at Deutsche Bank from Hold to Buy with a $25 price target. The consensus target is just $20.79. The last trade for Thursday came in at $20.36 a share.

Capital Southwest Corp. (NASDAQ: CSWC) was started with a Buy rating and a $24 price objective at Hovde. The consensus target is down at $20, and Thursday’s final trade hit the tape at $21.74.

Cardlytics Inc. (NASDAQ: CDLX) was raised at BofA Securities from Underperform to Neutral with a $128 price target. The consensus target is $117.20, and Thursday’s close was at $126.02.