The S&P 500 (SP500) closed in the red on Friday, as U.S. President Donald Trump threatened to hike tariffs on Chinese goods.
Nasdaq (COMP:IND) rose 0.4% during the week, while Dow (DJI) fell 0.7%.
Wall Street had a slew of upgrades and downgrades from analysts. Here are some of the major calls for the week:
Seaport bullish on Netflix’s ad revenue, engagement optimism
Seaport upgraded Netflix (NASDAQ:NFLX) to Buy from Neutral and increased the ad revenue estimates for the streaming giant to more closely track the TV viewership share.
“We think advertising could double to $3.1B this year and could grow at 48% annually through 2030E to reach ~$16B. Channel checks indicate same-store ad buying could be tracking better than +16% for 3Q25, but remember that a number of markets have been layered on in the past year,” Seaport said.
The brokerage also established a new price target of $1,385 on the stock.
The analysts also noted that engagement on the Netflix platform continues to be strong, with at least a couple of ‘cultural zeitgeist’ titles driving viewership share and possibly subscriber net addition gains.
AMD upgraded following megadeal with OpenAI
Jefferies upgraded Advanced Micro Devices (NASDAQ:AMD) to Buy from Hold following the massive infrastructure deal the semiconductor firm reached with Microsoft-backed (MSFT) OpenAI (OPENAI).
“The partnership has the potential to generate well over $100B from OpenAI, new, and existing customers over the next four years,” according to Jefferies analysts, led by Blayne Curtis, and increased its price target to $300 from $170.
Piper Sandler also reiterated its Overweight rating on AMD and increased its PT to $240 from $190, saying the deal has the potential to provide extended benefits to AMD.
“Revenues from this deal are expected to begin in the second half of 2026 with significant revenue coming in 2027,” the analysts noted, adding that the brokerage expects 3Q26 to be modest with a larger ramp in 4Q26 and a full ramp through 2027.
Micron gets rating upgrade at Morgan Stanley
Morgan Stanley upgraded Micron Technology (NASDAQ:MU) to Overweight from Equal-weight and raised PT to $220 from $160 on the stock.
“Micron is pushing the envelope on valuation as the group rallies, but we believe we are looking at multiple quarters of double digit price increases which can lead to substantially higher earnings power – and resolve any lingering questions on specialty high bandwidth memory for AI,” said analysts led by Joseph Moore.
The analysts noted that momentum on core DRAM pricing continues to surprise them, at the same time, near-term worries on High Bandwidth Memory, or HBM, are being solved by DRAM economic improvement. Moore and his team also said concerns about specialty memory for AI — HBM — are easing, as the stronger DRAM backdrop helps negotiations for HBM3e.
Abercrombie & Fitch downgraded on same store sales decline
JP Morgan cut Abercrombie & Fitch (NYSE:ANF) to Neutral from Overweight, saying it sees Q3 revenue growth and same store sales (SSS) coming in below Street consensus.
Analyst Matthew Boss sees Q3 revenue growth of 3.9% year over year, which compares to the Street’s estimate of 6.2% and management’s projection of 5%-7%. The bank also lowered its PT to $103 from $145.
Boss noted that fieldwork indicates there is a “hangover” effect due to first half of the year’s large promotion and clearance activity, which is negatively impacting customer conversion rates as well as regular-priced selling.
KeyBanc upped its price target on Applied Materials (NASDAQ:AMAT) to $240 from $220, though it also expressed China-related caution. The brokerage said it hiked PT to reflect its incrementally optimistic view of AMAT’s ability to benefit from, and help drive, the boom in AI-related investment. However, the firm now expects Applied Materials to earn $9.37 per share in fiscal 2025, down from a prior view of $9.40, and in-line with the consensus. The firm also cut its estimates for fiscal 2026 and 2027 to $9.67 and $10.91, from $9.90 and $11.06, respectively.
Wells Fargo downgraded Emerson (NYSE:EMR) to Equal Weight from Overweight with a $140 PT, trimmed from $150, as the brokerage believes the company is “a better business than valuation gives it credit for,” but lacks near-term catalysts with downsized FY 2025 exit rate growth and tough H1 2026 margin comps.
Wells Fargo resumed coverage of Walt Disney (NYSE:DIS) with an Overweight rating, pointing to maturation and growth across its assets that create more predictable earnings growth. Wells Fargo has an PT of $159 on the stock.
Plug Power (NASDAQ:PLUG) was cut to Hold from Buy by Clear Street, with analysts citing stretched valuation following a sharp run-up in the stock.