Microsoft upgraded, HubSpot initiated: Wall Street's top analyst calls

The most talked about and market moving research calls around Wall Street are now in one place. Here are today’s research calls that investors need to know, as compiled by The Fly.

Top 5 Upgrades:

• Stifel upgraded Microsoft (MSFT) to Buy from Hold with a price target of $575, up from $530. The firm states it is increasingly comfortable with the company’s ability to sustain mid/upper teens revenue growth as open-weight model advancement has boosted management’s LLM agnostic strategy.

• Susquehanna upgraded RXO Inc. (RXO) to Neutral from Negative with a price target of $19, down from $20. The firm says the recent share pullback and RXO’s better operating trends have weakened the short thesis, but notes RXO still trades at a “demanding valuation.”

• JPMorgan upgraded Graphic Packaging (GPK) to Overweight from Neutral with a price target of $11.50, down from $12.50. While the company’s pricing environment remains “murky,” the stock’s risk/reward has improved, the firm says.

• RBC Capital upgraded Lakefront Biotherapeutics (LKFT) to Outperform from Sector Perform with a price target of $45, up from $26. The firm sees a “meaningful opportunity” for gamgertamig in rare autoimmune diseases based on the drug’s potential efficacy across several indications and “differentiated” safety profile.

• Guggenheim upgraded Editas Medicine (EDIT) to Buy from Neutral with a $5 price target. Should clinical data confirm EDIT-401’s preclinical efficacy with acceptable safety, the firm sees a niche market with ASCVD patients with highly elevated LDL-C who require greater than 50% reduction to achieve their goal.

Top 5 Downgrades:

• Wedbush downgraded Compass Therapeutics (CMPX) to Neutral from Outperform with a price target of $1, down from $5. The firm notes the company announced that the FDA has recommended the company conduct a trial demonstrating a survival benefit prior to proceeding with a BLA submission for tovecimig in previously treated, advanced BTC.

• Wolfe Research downgraded Autoliv (ALV) to Peer Perform from Outperform without a price target. The firm views 2027 as another challenging year for growth.

• UBS downgraded PG&E (PCG) to Neutral from Buy with a price target of $14, down from $19, citing growing risk of inaction on wildfire liability reform this year.

• Raymond James downgraded Accelerant (ARX) to Underperform from Market Perform without a price target. The firm sees limited upside in the stock price over the next 12 months while the acquisition by Thoma Bravo for $20.25 per share in cash remains pending regulatory approvals.

• Raymond James downgraded Baldwin Group (BWIN) to Underperform from Strong Buy. The firm sees limited upside in the stock price over the next 12 months while the acquisition by Sequence Holdings and DFO Management for $32.50 in cash is pending regulatory approval.