Investing.com -- Here is your Pro Recap of the top takeaways from Wall Street analysts for the past week.
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Twilio
What happened? On Monday, Goldman Sachs upgraded Twilio Inc (NYSE: TWLO ) to Buy with a $185 price target.
* TLDR : Twilio’s cost cuts spark a comeback, with double-digit growth ahead. Goldman calls it a bargain, drama intact.
What’s the full story? Goldman is convinced that Twilio, after years of trying to shrink its way to glory, is finally finding its groove. The firm’s cost-cutting spree and efficiency crusades have turned the company into a free cash flow machine, and growth is apparently getting ready to do a little dance in the back half of 2024. Goldman’s math says Twilio could hit double-digit growth, which is a lot more exciting than its current “meh” +7% organic pace. The Analyst Day was basically a pep rally for Twilio’s comeback, featuring faster product rollouts and a shiny new go-to-market strategy.
Meanwhile, Twilio’s Communications portfolio is flexing its muscles to dominate the CPaaS market, and its CDP-enabled products are unlocking a buffet of AI use cases. Goldman thinks all this adds up to a revenue and FCF bonanza in 2025, and hey, the stock’s still a bargain at 21x EV/FCF. Twilio’s turnaround story is like a Netflix (NASDAQ: NFLX ) series everyone’s binge-watching—episode one was shaky, but now Goldman’s saying, “It’s actually getting good!”
Oklo
What happened? On Tuesday, Craig Hallum initiated on Oklo Inc (NYSE: OKLO ) at Buy with a $44 price target.
* TLDR : World juggles power thirst, emissions cuts. Craig-Hallum bets on glowing Lego reactors.
What’s the full story? Craig-Hallum is hyping OKLO like it’s the next Tesla (NASDAQ: TSLA ), pitching it as the nuclear energy savior for the AI-driven, emissions-obsessed world. The firm gushes over its “build, own, operate” model, which allegedly trims 5-6 years off regulatory red tape—because nothing says efficiency like speeding up nuclear plant approvals. OKLO’s selling electricity and heat like it’s a combo meal, and with AI data centers gobbling up zero-emissions power faster than Elon buys Twitter followers, the firm thinks OKLO’s timing is perfect.
The analysts also drool over OKLO’s partnerships, claiming its commercial pipeline has exploded 20-fold in 18 months to 14+ GW—worth $11 billion annually, apparently. Key allies like Equinix (NASDAQ: EQIX ) and Switch (NYSE: SWCH ) are on board, because who doesn’t want a modular nuclear reactor in their backyard? Craig-Hallum is betting big on OKLO, but with nuclear energy’s track record, it’s less “sure thing” and more “light a candle and pray.” Until then keep your Geiger counters handy.
Apple
What happened? On Wednesday, Oppenheimer downgraded Apple Inc (NASDAQ: AAPL ) to Perform.
* TLDR : Apple faces iPhone sales slump, EPS cut. Oppenheimer doubts outperformance.
What’s the full story? Oppenheimer cut its FY26 EPS estimate for Apple by 4% to $7.95, below the consensus $8.23. The firm blames this on iPhone sales hitting a snooze button over the next 12-18 months. Apparently, Apple is facing a double dose of trouble: Chinese competitors are playing hardball, and its “Apple Intelligence” and generative AI apps aren’t exactly inspiring consumers to ditch their old iPhones. Sales have been sluggish since September, and with Apple’s valuation already in the stratosphere, Oppenheimer thinks outperforming might be a stretch.
So, Apple is in a classic “what have you done for me lately?” moment. The iPhone is still selling—just not enough to justify the hype. Oppenheimer’s take: Apple needs more than a fancy logo and a few AI buzzwords to keep the growth engine humming. Maybe a time machine to speed up the iPhone upgrade cycle? Until then, the stock might just be coasting.
Coca-Cola
What happened? On Thursday, Jefferies upgraded Coca-Cola Co (NYSE: KO ) to Buy with a $75 price target.
* TLDR : Jefferies cheers growth, ignores dollar’s drag. Skepticism ducks beneath lofty valuations.
What’s the full story? The brokerage, in its infinite wisdom, declares the business is “in great shape”—because nothing screams optimism like pointing to volumes compounding and pricing finally being "earned" (a feat worthy of applause). Cash flow is allegedly on the brink of a "meaningful" inflection, as if it’s been training for a marathon. Sure, the dollar’s recent flex might shave 2 cents off 2025 EPS, but Jefferies shrugs it off, claiming it’s already priced in at a lofty 21.5x multiple. Because nothing says “value” like paying a premium for lukewarm growth.
Q4, the brokerage breathlessly predicts, will be a “clearing event,” ushering in a horde of investors desperate for “quality at a fair price.” Apparently, fundamentals now justify a higher multiple—because throwing around buzzwords like “quality” and “fair price” magically erases skepticism. In short, Jefferies sees a golden goose, but one suspects it’s just another duck in dollar-strengthened waters.
Hershey
What happened? On Friday, Piper Sandler downgraded Hershey Co (NYSE: HSY ) to Underweight with a $120 price target.
* TLDR : Piper downgrades Hershey as cocoa costs soar. 2026 EPS slashed, price target drops.
What’s the full story? Piper cuts Hershey's recommendation as cocoa costs stubbornly cling to elevated levels, adding pressure to EPS, particularly in 2026. The firm trimmed its 2025 EPS forecast from $7.95 to $7.65, still slightly ahead of the consensus $7.51, which Piper suggests may be a touch optimistic. For 2026, the outlook gets darker, with EPS slashed from $8.50 to $7.05, well below the Street’s $8.07, as sustained cocoa prices threaten to derail Hershey’s sweet spot.
Piper’s updated 2026 estimates still bank on future cocoa cost moderation—a scenario that’s yet to materialize—while lowering the price target from $153 to $120. The firm adjusts the valuation multiple to 17.0x from 18.0x, reflecting growing uncertainty around Hershey’s cost outlook.
In short, Piper’s message is clear: Hershey’s cocoa crunch is far from over, and the stock’s sweetness is fading fast.