Meta receives downgrade, MongoDB receives upgrade: Leading Wall Street analyst issues new ratings

Today's Key Analyst Actions on Wall Street

Stay updated with the most influential analyst recommendations and ratings changes making headlines in the financial markets. Below is a summary of the latest upgrades, downgrades, and new coverage that investors should be aware of, curated by The Fly.

Top 5 Analyst Upgrades

• MongoDB (MDB): Scotiabank has raised its rating to Outperform from Sector Perform, increasing the price target to $310 from $275. The firm believes the current share price reset presents a compelling entry point for investors.
• Penn Entertainment (PENN): Benchmark upgraded the stock to Buy from Hold, setting a $21 price target. The firm highlights that achieving break-even for Interactive and significant free cash flow growth could transform the company's outlook, despite ongoing concerns about management credibility.
• Southern Company (SO): Evercore ISI moved its rating to Outperform from In Line, with a new price target of $111, up from $103. The analysts have become increasingly optimistic over the past two months and see the stock as a core utility holding, expecting it to reach new highs.
• AIG (AIG): Goldman Sachs upgraded AIG to Buy from Neutral, raising the price target to $90 from $83, suggesting a potential 16% total return. The firm points to AIG's strong earnings growth relative to peers and anticipates continued improvement in return on equity.
• Builders FirstSource (BLDR): RBC Capital has upgraded the stock to Outperform from Sector Perform, maintaining a $119 price target. The analysts see the recent valuation decline as an appealing risk/reward opportunity.

Top 5 Analyst Downgrades

• Meta Platforms (META): Arete has lowered its rating to Neutral from Buy, with a reduced price target of $676 from $732. The firm cites slower progress in AI monetization and rising investment costs, which are expected to pressure margins.
• American Airlines (AAL): Rothschild & Co Redburn downgraded the stock to Neutral from Buy, assigning a $12.50 price target. The firm notes that domestic airline capacity is expanding, and geopolitical tensions are likely to increase operational disruptions and fuel costs.
• StubHub (STUB): Wedbush cut its rating to Neutral from Outperform, lowering the price target to $10 from $18 after the Q4 report. The firm expresses uncertainty about the value of StubHub's direct issuance business and doubts management's optimistic projections. JPMorgan also downgraded StubHub to Neutral from Overweight, reducing its price target to $10 from $22.
• Grocery Outlet (GO): Craig-Hallum downgraded the stock to Hold from Buy, slashing the price target to $7.50 from $21. The firm points out that both Q4 results and 2026 guidance fell short of expectations. Jefferies also moved Grocery Outlet to Hold from Buy, with a new price target of $7, down from $18.
• Allstate (ALL): Goldman Sachs has lowered its rating to Neutral from Buy, with a price target of $231, down from $238, indicating a 10% total return potential. The firm is cautious about Allstate's market position due to policy distribution, exposure to autonomous vehicles, affordability, and premium growth challenges.

Top 5 Analyst Initiations

• CoreWeave (CRWV): Bernstein began coverage with an Underperform rating and a $56 price target, expressing skepticism that hyperscalers will pursue additional large contracts with the company.
• Astera Labs (ALAB): Loop Capital initiated coverage with a Buy rating and a $250 price target, describing Astera Labs as the most diversified AI silicon company outside of Nvidia (NVDA).
• Visa (V), Mastercard (MA), PayPal (PYPL), Block (XYZ), Affirm (AFRM), and Klarna (KLAR): BofA has reinstated coverage, assigning Buy ratings to all except PayPal, which received a Neutral rating. The firm maintains a broadly positive outlook for the sector, driven by steady payment volume growth, increasing digital commerce, and better cross-border trends.
• Powell (POWL): GLJ Research started coverage with a Hold rating and a $450 price target, projecting modest upside but cautioning that investors may be overreacting to a single large data center order. The firm also initiated coverage of nVent Electric (NVT) with a Buy rating and a sector-high $151 price target.
• SBA Communications (SBAC): Bernstein launched coverage with a Market Perform rating and a $218 price target, noting that while SBA has adapted its strategy to current market conditions, it still maintains a higher risk profile than its peers, especially with its focus on emerging markets.