February 3, 2026
Finance

Wall Street Revises Stance on Major Stocks: Notable Downgrades Impact Leading Firms

Prominent analysts adjust price targets and ratings for a selection of key equities, signaling changing sentiment in market outlooks

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Summary

Recent analyst rating adjustments have resulted in several significant downgrades among major publicly traded companies. Analysts from reputable firms reduced recommendations and lowered price targets for several stocks including Vertex Inc, Daqo New Energy Corp, Freshworks Inc, and Coterra Energy Inc. One firm adjusted its position on Peakstone Realty Trust from Buy to Neutral while increasing the price target. These moves indicate an evolving investor sentiment and reassessment of prospects across various sectors.

Key Points

Piper Sandler downgraded Vertex Inc from Overweight to Neutral, lowering price target from $32 to $20.
GLJ Research reduced Daqo New Energy Corp rating from Buy to Sell and cut price target from $30.51 to $18.13.
Freshworks Inc rating downgraded from Overweight to Neutral by Piper Sandler, with price target decreased from $20 to $12.
Scotiabank reduced Coterra Energy Inc rating from Sector Outperform to Sector Perform, assigning a $31 price target.

Wall Street analysts have amended their outlooks on a number of influential stocks, signaling notable shifts in market perspectives. The alterations encompass price target reductions alongside downgraded stock recommendations, which may influence investor decisions in the affected securities.

Beginning with Vertex Inc (NASDAQ:VERX), Piper Sandler's analyst, Hannah Rudoff, reassessed the company's prospects by lowering her rating from Overweight to Neutral. Concurrently, Rudoff decreased the price target substantially from $32 to $20. As of the previous trading session, Vertex’s shares settled at $18.70, underscoring the proximity to the revised valuation level.

In the renewable energy sector, changes were equally pronounced. Gordon L. Johnson, an analyst at GLJ Research, modified his stance on Daqo New Energy Corp (NYSE:DQ) by downgrading the stock from Buy to Sell. Along with this, the price target was notably cut from $30.51 to $18.13. Daqo New Energy's shares were last recorded at $24.46, reflecting a market value above the updated price expectation.

Similarly, Freshworks Inc (NASDAQ:FRSH) experienced a downgrade issued by Piper Sandler’s Hannah Rudoff. She shifted her recommendation from Overweight to Neutral and reduced the price target from $20 down to $12. Freshworks shares closed at $10.66 in the most recent trading session, aligning below the amended price target.

The energy sector also saw a reassessment with Coterra Energy Inc (NYSE:CTRA). Analyst Paul Cheng from Scotiabank downgraded the stock’s rating from Sector Outperform to Sector Perform. Though less dramatic than other adjustments, Cheng set a new price target at $31. Coterra’s stock price closed the prior day at $27.81.

Contrasting the predominantly downward trend, UBS analyst Michael Goldsmith adjusted his recommendation for Peakstone Realty Trust (NYSE:PKST) from Buy to Neutral but concurrently increased the price target from $17 to $21. The shares of Peakstone Realty finished the day at $20.79, indicating a near alignment with the revised valuation forecast.

These rating changes reflect a cautious reassessment landscape among prominent analysts regarding these companies' near to medium-term performance potentials. Investors are advised to review updated analyst insights and consider the implications of both price target alterations and rating shifts in their portfolio decisions.

For a comprehensive overview of all current analyst rating modifications, including upgrades, downgrades and new initiations, investors may consult dedicated market ratings resources and data providers.

Risks
  • Stock price volatility may continue as market reacts to revised analyst ratings and price targets.
  • Downgrades indicate potential concerns over near-term financial and operational outlooks for the affected companies.
  • Price targets set below current trading prices could pressure market valuations and investor sentiment.
  • Divergent analyst opinions, as seen with Peakstone Realty Trust, suggest uncertainty and variable expectations within sectors.
Disclosure
Education only / not financial advice
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Ticker Sentiment
VERX - negative DQ - negative FRSH - negative CTRA - negative PKST - neutral
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