Goldman Sachs Upgrades Chime to Buy with $27 Price Target
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:Goldman Sachs upgradedChimeto Buy from Neutral with a price target of $27, up from $26, which offers 28% upside. The firm believes the market is underappreciating the take rate tailwinds from Chime's new Chime Card.BNP Paribas Exane upgradedToastto Outperform from Neutral with a $40 price target. While competition in point-ot-sale software for restaurants is accelerating, Toast's leadership is intact, the firm tells investors in a research note.B. Riley upgradedKratos Defenseto Buy from Neutral with an unchanged price target of $105. The firm sees a favorable risk/reward at current share levels, saying Kratos has "ample proprietary" intellectual property "enabling an array of affordable solutions."JonesResearch upgradedSpyre Therapeuticsto Buy from Hold with a $64 price target. Ahead of updates in 2026, the firm believes the stock's risk/reward "now skews positive."TD Securities upgradedNew Goldto Buy from Hold with a price target of $12, up from $7.50. The firm cites the proposed all-stock acquisition by Coeur Miningfor the upgrade.Top 5 Downgrades:Bernstein downgradedZscalerto Market Perform from Outperform with an unchanged price target of $264. While Zscaler continues to perform well, the company's fiscal Q1 report "added narrative issues" regarding 2026 annual recurring revenue guidance, driving concerns about increased competition, the firm tells investors in a research note.Baird downgradedTitan Machineryto Neutral from Outperform with a price target of $21, down from $24. The firm says further declines in both the company's U.S. and Europe businesses will pressure its earnings and book value.Barclays downgradedCrown Castleto Equal Weight from Overweight with a price target of $101, down from $104. The firm says collecting rent from EchoStar may prove challenging for the tower companies.Evercore ISI downgradedVICI Propertiesto In Line from Outperform with a price target of $32, down from $36. The firm has growing concerns over the regional gaming lease with Caesarsand how a low coverage ratio gets resolved.RBC Capital downgradedPTC Therapeuticsto Sector Perform from Outperform with a price target of $91, up from $82. With the shares rallying nearly 75% in the past three months, RBC's thesis has mostly played out, the firm tells investors in a research note.Top 5 Initiations:UBS initiated coverage ofCarvanawith a Buy rating and $450 price target. The firm says the company has a "differentiated, best-in-class" online platform and customer experience that positions it to gain share in the large used vehicle market.Benchmark initiated coverage ofCal-Maine Foodswith a Buy rating and $100 price target. While the Cal-Maine name is well-known, the firm believes its valuation is "over-indexed to its legacy as a commodity producer" and discounts sweeping changes throughout the egg category and Cal-Maine's subsequent mix shift to more valuable specialty production.Goldman Sachs initiated coverage ofBeta Technologieswith a Buy rating and $47 price target. The firm views Beta as best positioned among the electric vertical take-off and landing companies. Citi, BTIG, Cantor Fitzgerald, BofA, Morgan Stanley, and Needham also started the name with Buy-equivalent ratings.JPMorgan initiated coverage ofBillionToOnewith an Overweight rating and $150 price target. The firm likes the setup for the stock, saying the company will continue to build out its commercial infrastructure to capture growing demand in both prenatal and oncology. Piper Sandler, BTIG, William Blair, and Stifel also started coverage of the stock with Buy-equivalent ratings, while Jefferies and Wells Fargo initiated the name with Neutral-equivalent ratings.Morgan Stanley initiated coverage ofEvommunewith an Overweight rating and $36 price target. The firm sees a favorable risk/reward for the shares despite the data for EVO756 and EVO301 being early. William Blair, Cantor Fitzgerald, Leerink, and Evercore ISI also started the name with Buy-equivalent ratings.
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ARK Invest Redefines Defense Stocks with Focus on Space and AI
- Redefining Defense Stocks: ARK Invest argues that the modernization opportunity lies in space infrastructure, semiconductors, drones, and AI platforms rather than traditional defense primes, prompting investors to reassess the composition of defense stocks.
- Importance of Space Infrastructure: ARK highlights that space is becoming the backbone of security, enabling orbital surveillance, secure communications, and real-time battlefield awareness, indicating a shift in defense spending towards space infrastructure as a long-term growth engine.
- Emerging Defense ETFs: The ARK Space & Defense Innovation ETF (ARKX) focuses on launch technology, sensors, AI, and networks, reflecting a shift in the definition of defense towards space, software, and autonomous systems, showcasing the significance of emerging technologies in national security architectures.
- Investor Insights: Investors should pay attention to the evolution of the defense concept, particularly how launch capacity, high-performance computing, and next-gen air mobility are integrated into national security strategies, surpassing the limitations of traditional hardware platforms.
Pentagon Allocates $15.1 Billion to Cybersecurity in 2026 Budget
- Cybersecurity Budget Increase: The Pentagon's allocation of $15.1 billion for cybersecurity in the 2026 budget, a 4% increase from the previous year, underscores the growing importance of cybersecurity, which is expected to drive demand and innovation in the sector.
- AI Market Growth: The global defense artificial intelligence market is projected to reach $22.75 billion by 2029, primarily driven by autonomous systems and predictive targeting technologies, presenting significant growth opportunities for companies in this space.
- Strategic Partnerships and Investments: VisionWave Holdings has formed a joint venture with Boca Jom Ltd. in Israel to advance automated semiconductor design technologies, while also collaborating with PVML and Aiphex to enhance secure AI infrastructure, thereby boosting its competitive edge in the market.
- Drone Technology Advancements: VisionWave, through its wholly-owned subsidiary Solar Drone Ltd., is advancing multiple UAV initiatives, including participation in Abu Dhabi Sustainability Week, showcasing its ARGUS counter-drone system, which further solidifies its technological leadership in the defense sector.
Rapid Growth in Autonomous AI Defense Market
- Market Size Projection: The autonomous AI defense market is projected to exceed $29 billion by 2035, reflecting a compound annual growth rate of approximately 12.5%, indicating a strong commitment from nations to invest in military modernization to address emerging security threats.
- Integration Progress: VisionWave completed Phase One of its strategic transaction with SaverOne, acquiring a 19.99% stake, which activates the RF sensing layer of its autonomous defense platform, enhancing its multi-domain sensing architecture and improving decision-making efficiency.
- Growing Demand: There is an increasing global demand for advanced sensing platforms, with governments and infrastructure operators investing in integrated technologies to enhance threat detection capabilities, thereby accelerating the adoption of autonomous systems.
- Industry Leaders' Developments: Industry leaders such as AeroVironment and Palantir are advancing next-generation military technologies through new contracts and collaborations, further solidifying their competitive positions in the defense market.
Hood River Capital Management Sells Tower Semiconductor Shares
- Share Reduction: Hood River Capital Management sold 1,116,598 shares of Tower Semiconductor in Q4 2025, reducing its stake to 0.5%, reflecting a reassessment of market valuations.
- Market Value Impact: This sale decreased the value of Hood River's Tower Semiconductor shares by approximately $63 million, with the remaining 393,992 shares valued at $46 million, indicating a high market valuation for the stock.
- Performance Metrics: Tower Semiconductor's stock surged 167% over the past year, significantly outperforming the S&P 500 by 155.2 percentage points, highlighting strong demand for its power management and image-sensing products.
- Investment Strategy Shift: Hood River prefers to invest in companies with above-average earnings growth prospects; while Tower's long-term growth potential is recognized, they may seek more attractively priced growth stocks.
Defense Stocks Decline: The Impact of the Iran War on Their Performance.
- Defense Stocks Performance: Defense stocks experienced a decline on Tuesday, continuing a downward trend.
- Impact of Middle East Conflict: The ongoing fighting in the Middle East has not provided the expected boost to defense stocks, raising questions about the market's response.
Key Information on the Shahed Drone Linked to U.S. Service Member Fatalities.
- Conflict Dynamics: The conflict with Iran is characterized as an uneven fight, highlighting the challenges faced by the American military.
- Drone Threat: Iran's use of drones presents a significant and complex problem for U.S. military operations.
ARK Invest Redefines Defense Stocks with Focus on Space and AI
- Redefining Defense Stocks: ARK Invest argues that the modernization opportunity lies in space infrastructure, semiconductors, drones, and AI platforms rather than traditional defense primes, prompting investors to reassess the composition of defense stocks.
- Importance of Space Infrastructure: ARK highlights that space is becoming the backbone of security, enabling orbital surveillance, secure communications, and real-time battlefield awareness, indicating a shift in defense spending towards space infrastructure as a long-term growth engine.
- Emerging Defense ETFs: The ARK Space & Defense Innovation ETF (ARKX) focuses on launch technology, sensors, AI, and networks, reflecting a shift in the definition of defense towards space, software, and autonomous systems, showcasing the significance of emerging technologies in national security architectures.
- Investor Insights: Investors should pay attention to the evolution of the defense concept, particularly how launch capacity, high-performance computing, and next-gen air mobility are integrated into national security strategies, surpassing the limitations of traditional hardware platforms.
Pentagon Allocates $15.1 Billion to Cybersecurity in 2026 Budget
- Cybersecurity Budget Increase: The Pentagon's allocation of $15.1 billion for cybersecurity in the 2026 budget, a 4% increase from the previous year, underscores the growing importance of cybersecurity, which is expected to drive demand and innovation in the sector.
- AI Market Growth: The global defense artificial intelligence market is projected to reach $22.75 billion by 2029, primarily driven by autonomous systems and predictive targeting technologies, presenting significant growth opportunities for companies in this space.
- Strategic Partnerships and Investments: VisionWave Holdings has formed a joint venture with Boca Jom Ltd. in Israel to advance automated semiconductor design technologies, while also collaborating with PVML and Aiphex to enhance secure AI infrastructure, thereby boosting its competitive edge in the market.
- Drone Technology Advancements: VisionWave, through its wholly-owned subsidiary Solar Drone Ltd., is advancing multiple UAV initiatives, including participation in Abu Dhabi Sustainability Week, showcasing its ARGUS counter-drone system, which further solidifies its technological leadership in the defense sector.
Rapid Growth in Autonomous AI Defense Market
- Market Size Projection: The autonomous AI defense market is projected to exceed $29 billion by 2035, reflecting a compound annual growth rate of approximately 12.5%, indicating a strong commitment from nations to invest in military modernization to address emerging security threats.
- Integration Progress: VisionWave completed Phase One of its strategic transaction with SaverOne, acquiring a 19.99% stake, which activates the RF sensing layer of its autonomous defense platform, enhancing its multi-domain sensing architecture and improving decision-making efficiency.
- Growing Demand: There is an increasing global demand for advanced sensing platforms, with governments and infrastructure operators investing in integrated technologies to enhance threat detection capabilities, thereby accelerating the adoption of autonomous systems.
- Industry Leaders' Developments: Industry leaders such as AeroVironment and Palantir are advancing next-generation military technologies through new contracts and collaborations, further solidifying their competitive positions in the defense market.
Hood River Capital Management Sells Tower Semiconductor Shares
- Share Reduction: Hood River Capital Management sold 1,116,598 shares of Tower Semiconductor in Q4 2025, reducing its stake to 0.5%, reflecting a reassessment of market valuations.
- Market Value Impact: This sale decreased the value of Hood River's Tower Semiconductor shares by approximately $63 million, with the remaining 393,992 shares valued at $46 million, indicating a high market valuation for the stock.
- Performance Metrics: Tower Semiconductor's stock surged 167% over the past year, significantly outperforming the S&P 500 by 155.2 percentage points, highlighting strong demand for its power management and image-sensing products.
- Investment Strategy Shift: Hood River prefers to invest in companies with above-average earnings growth prospects; while Tower's long-term growth potential is recognized, they may seek more attractively priced growth stocks.
Defense Stocks Decline: The Impact of the Iran War on Their Performance.
- Defense Stocks Performance: Defense stocks experienced a decline on Tuesday, continuing a downward trend.
- Impact of Middle East Conflict: The ongoing fighting in the Middle East has not provided the expected boost to defense stocks, raising questions about the market's response.
Key Information on the Shahed Drone Linked to U.S. Service Member Fatalities.
- Conflict Dynamics: The conflict with Iran is characterized as an uneven fight, highlighting the challenges faced by the American military.
- Drone Threat: Iran's use of drones presents a significant and complex problem for U.S. military operations.
