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 Upgrade:

Argus upgraded BHP Group (BHP) to Buy from Hold with a $68 price target. The firm says iron ore, copper, and coal prices, which drive BHP’s results, are “firming as the global economy picks up.” From a technical standpoint, BHP appears to be reversing a bearish pattern of lower highs and lower lows that dates to March 2022, the firm says.

Top Downgrades:

RBC Capital downgraded DigitalBridge (DBRG) to Sector Perform from Outperform with a price target of $16, down from $23, after SoftBank (SFTBY) announced the acquisition of DigitalBridge in an all-cash offer for $16 per share, representing a total enterprise value of $4B. B. Riley and TD Cowen also downgraded the stock to Neutral-equivalent ratings.

Jefferies downgraded Mereo BioPharma (MREO) to Hold from Buy with a price target of 50c, down from $7. Setrusumab missed on its primary endpoint in both the ORBIT and COSMIC trials, sending shares of Mereo and Ultragenyx (RARE) down sharply, the firm tells investors in a research note. The firm thinks Ultragenyx can rebound in 2026 as investors position for their Phase III Angelman readout, though the go-forward strategy for Mereo is riskier with the pipeline dependency remaining on a potential EUE path and need for alvelestat partnership.

Top Initiations:

Stephens initiated coverage of Commvault (CVLT) with an Overweight rating and $162 price target. Commvault is an established market leader successfully evolving to address modern data protection opportunities, and is executing a dual transition modernizing its platform and shifting its business model towards Software-as-a-Service, the firm tells investors in a research note.

Stephens initiated coverage of Rubrik (RBRK) with an Overweight rating and $105 price target. The firm said Rubrik has an attractive growth outlook in data protection and data security, and its margin expansion is expected to complement top-line growth.

Stephens initiated coverage of Varonis (VRNS) with an Equal Weight rating and $40 price target. The company has an attractive growth outlook for data security driven by powerful secular trends and is an established market leader now operating as a Software-as-a-Service-first data security platform, the firm says.

Freedom Capital initiated coverage of Ero Copper (ERO) with a Buy rating and $32 price target. The firm says the company has a high-grade, low-cost asset portfolio concentrated in Brazil, which is known for mining-friendly regulations and rich mineral endowment.

H.C. Wainwright initiated coverage of Terra Innovatum (NKLR) with a Buy rating and $25 price target. The firm believes the company’s use of off-the-shelf components with established supply chains should “significantly reduce” the regulatory and technological barriers typically faced by advanced nuclear reactor developers.