5 Top Wall Street Biggest Analyst Stock Calls as Inflation Spikes

Investing

Published: January 12, 2024 8:15 am

Last Updated: January 12, 2024 8:21 am

Despite a negative print for the December consumer price index numbers, the three major indices mainly closed flat Thursday, after steep morning losses were erased by noon. Equities traded about by about a third to a half a point in Friday’s premarket session. The surprising increase in the inflation data, combined with more hawkish commentary from Federal Reserve governors, kept stocks defensive. However, the prominent technology leaders helped keep a bid under the market. With fourth-quarter earnings ready to start in earnest, all eyes will be on the results.

Bonds

*U.S. Treasuries traded about flat early Friday morning.*

Despite the surprising inflation report, Treasury yields finished the day flat across the curve. This all came after the December numbers represented the most significant monthly change in the index since last September. The 10-year note closed at 3.97%, while the two-year was last seen at 4.26%.

Commodities

*Precious metals traded up about 2% on Friday morning.*

Brent and West Texas Intermediate crude finished higher and could be going much higher after U.S. Military strikes in Yemen targeting Houthi militants could increase the dangers in the region. Brent closed up 0.80% at $77.41, while WTI jumped 2.17% to end the day at $73.58. Natural gas was also strong, closing up 1.74% at $5.15.

Gold also finished modestly higher, as the February contract closed at $2,033.20, up 0.69%. The geopolitical issues around the globe with two wars that the United States is participating in by proxy, plus the expansion of the war in the Middle East, have kept buyers seemingly grabbing any drift down in the bullion. Bitcoin closed down 0.38% at $46,167 as some ETF exuberance brought in the sellers.

Here are the top Wall Street analyst upgrades, downgrades and other calls for Friday, January 12, 2024.

Upgrades

Chesapeake Energy Corp. (NASDAQ: CHK) from Neutral to Buy at both Citigroup and Mizuho. The former boosted its $82 price target to $95, while the target at the latter increased from $96 to $104.

International Flavors & Fragrances Inc. (NYSE: IFF) from Hold to Buy, with its price target raised from $73 to $112, at Jefferies.

Live Nation Entertainment Inc. (NYSE: LYV) from Neutral to Buy at Roth MKM, which raised its $92 price target to $114.

Qualcomm Inc. (NASDAQ: QCOM) from Neutral to Buy with a price target of $160 at Citigroup.

Downgrades

Anheuser-Busch InBev S.A./N.V. (NYSE: BUD) from Outperform to Neutral at Exane BNP Paribas. No price target was given. (These are the most delicious beers in America.)

Johnson Controls Inc. (NYSE: JCI) from Sector Perform to Underperform, and a $54 price target lowered from $50, at RBC Capital Markets.

Snowflake Inc. (NYSE: SNOW) from Overweight to Equal Weight with a price target of $198 at Barclays.

ZoomInfo Technologies Inc. (NASDAQ: ZI) from Overweight to Equal Weight with a price target of $18 at Barclays.

Other Calls

*New coverage reported Friday focused on basic materials stocks.*

Cleveland-Cliffs Inc. (NYSE: CLF) coverage was resumed at J.P. Morgan with an Overweight rating and a price target increase from $19 to $23.

Rio Tinto PLC (NYSE: RIO) was initiated with a Buy rating and price target of 7,300 pence (about $93) at Goldman Sachs. (These 25 American industries are booming.)

Taiwan Semiconductor Manufacturing Co. Ltd. (NYSE: TSM) was reiterated at a rating of Market Perform, but with a price target increase from $85 to $95, at TD Cowen.

United States Steel Corp. (NYSE: X) was resumed with a Neutral rating and price target of $52 at J.P. Morgan.