All the market-shifting Wall Street talk from Tuesday

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Recently, Piper Sandler upgraded shares of software giant Salesforce to overweight, with a new price target implying upside of more than 20%. This upgrade is based on the favorable risk-reward profile of the company, with the potential for significant growth in free cash flow by 2029. Additionally, the firm sees artificial intelligence as a key driver of future innovation for Salesforce, potentially accelerating growth in the coming years.

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In contrast, Jefferies downgraded shares of Starbucks to underperform, citing near-term uncertainty and challenges in execution. Analyst Andy Barish believes that the coffee chain may offer a lower-than-expected guidance for 2025 and could see a downward revision in long-term growth targets. This downgrade reflects concerns about the company’s ability to address operational, cultural, and technological issues in a timely manner.

Meanwhile, Oppenheimer upgraded home improvement retailer Lowe’s to outperform, citing improved retail demand and compelling longer-term fundamentals. Lower rates from the Federal Reserve are expected to drive spending on home-related items, benefiting companies like Lowe’s in the long run. The analysis conducted by Oppenheimer suggests that moderating rates tend to support stronger demand with a lag, indicating a positive outlook for the home improvement sector.

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