January 23, 2026
Finance

Wall Street Analysts Raise Ratings on Select Consumer and Tech Stocks Ahead of Market Open

Upgrades include bullish outlooks on Starbucks, Applied Materials, Darden Restaurants, and more

Loading...
Loading quote...

Summary

Several prominent Wall Street analysts recently shifted their investment recommendations, upgrading the outlooks for key companies including Starbucks, Applied Materials, Darden Restaurants, Procter & Gamble, and Spotify Technology. These rating changes accompany revised price targets that reflect evolving assessments of these firms' growth prospects and market positioning.

Key Points

Goldman Sachs upgraded Spotify Technology from Neutral to Buy, lowering price target from $735 to $700.
Mizuho increased Darden Restaurants' rating from Neutral to Outperform and raised price target to $235 from $195.
Deutsche Bank shifted Applied Materials from Hold to Buy with a significant price target increase to $390.
JP Morgan upgraded Procter & Gamble from Neutral to Overweight, increasing price target slightly to $165.

In recent analyst activity, leading financial experts on Wall Street have revised their evaluations for a group of notable publicly traded firms spanning the consumer, technology, and restaurant sectors. These updates underscore a developing pattern of increased optimism among portfolio managers and research strategists concerning these companies' future performance potential.

Among the upgrades, Spotify Technology SA (NYSE: SPOT) has attracted attention from Goldman Sachs analyst Eric Sheridan. Previously maintaining a Neutral stance, Sheridan raised Spotify to a Buy rating, though he moderated the price target downward from $735 to $700. This adjustment suggests a cautiously positive outlook on Spotify's ability to enhance shareholder value in the near to medium term. The stock concluded trading at $498.64 on Thursday, indicating room for growth in line with the new valuation framework.

In the restaurant industry, Mizuho analyst Nick Setyan elevated Darden Restaurants Inc (NYSE: DRI) from Neutral to Outperform while simultaneously raising the price target significantly, from $195 to $235. Darden's shares were priced at $205.16 as of Wednesday's market close. This upgrade reflects confidence in Darden's operational resilience and strategic initiatives that may improve earnings trajectory.

Technology manufacturer Applied Materials Inc (NASDAQ: AMAT) received an enhanced recommendation from Deutsche Bank's Melissa Weathers, who shifted the rating from Hold to Buy. Weathers also boosted the price target from $275 to an optimistic $390, reflecting expectations of continued demand growth and favorable industry dynamics. Applied Materials closed Thursday at $318.78.

On the consumer goods front, JP Morgan analyst Andrea Teixeira updated her guidance for Procter & Gamble Co (NYSE: PG), moving the rating from Neutral to Overweight and lifting the price target modestly from $157 to $165. The stock ended Thursday's session at $149.93, suggesting potential appreciation aligned with Teixeira's outlook.

Lastly, William Blair analyst Sharon Zackfia upgraded Starbucks Corp (NASDAQ: SBUX) from Market Perform to Outperform. Trading at $95.83 by Thursday's close, Starbucks stands to benefit from what Zackfia perceives as improved growth opportunities and favorable market positioning in the competitive coffee retail industry.

These rating changes, while indicative of growing optimism among select analysts, are accompanied by varying degrees of upward price target revisions. They reflect a complex assessment of each company's current valuation, competitive environment, and anticipated operational performance. Investors often interpret such modifications as signals to re-examine their portfolio allocations amid evolving market conditions.

Below is a summary of the current price points and ratings for these firms according to recent market data:

  • Applied Materials Inc (AMAT): $319.00, Buy (Deutsche Bank)
  • Darden Restaurants Inc (DRI): $208.54, Outperform (Mizuho)
  • Procter & Gamble Co (PG): $150.60, Overweight (JP Morgan)
  • Starbucks Corp (SBUX): $96.37, Outperform (William Blair)
  • Spotify Technology SA (SPOT): $511.97, Buy (Goldman Sachs)

Investors should note that ratings and price targets provided by analysts are subject to change based on new financial data, competitive pressures, and broader economic developments. While upgraded opinions can indicate renewed confidence, they do not guarantee future stock performance and should be considered alongside a comprehensive investment analysis.

For a broader perspective, interested parties can consult services that aggregate analyst rating changes across the market, including upgrades, downgrades, and new initiations, to gain insight into evolving analyst sentiment trends.

Risks
  • Analyst price targets and ratings can change due to unforeseen financial or market developments.
  • Company stock prices as of the latest close may not fully reflect the impact of the rating changes yet.
  • The report provides no information on upcoming operational challenges that might affect these companies.
  • No insights are given on macroeconomic factors that could influence sector-specific growth prospects.
Disclosure
Education only / not financial advice
Search Articles
Category
Finance

Financial News

Ticker Sentiment
SBUX - positive AMAT - positive DRI - positive PG - positive SPOT - positive
Related Articles
Figma Shares Climb as Analysts Predict Software Sector Recovery

Figma Inc's stock experienced a notable uptick amid a broader rally in software equities. Analysts a...

SoFi Shares Slip Slightly Despite Strong Q4 Earnings and Bullish Outlook

SoFi Technologies Inc’s stock saw a minor decline Tuesday afternoon following a period of heighten...

Fiserv Reports Mixed Q4 2025 Results; Shares Rise on Earnings Beat

Fiserv, Inc. released its fiscal fourth-quarter 2025 financial results showing flat adjusted revenue...

Analysts Adjust Forecasts After Pagaya Technologies’ Q4 Earnings and Lowered Guidance

Pagaya Technologies Ltd. released its fourth-quarter financial results showing earnings per share su...

Upwork's Q4 Earnings Prompt Mixed Analyst Price Target Adjustments Amid Revenue Beat

Upwork Inc announced Q4 2025 financial results exceeding analyst revenue and earnings predictions, w...

Major U.S. Stocks Climb Following Strong Earnings Reports and Positive Guidance

U.S. equity markets moved higher on Tuesday, driven by Datadog's significant share price increase fo...