(This is CNBC Pro's live coverage of Monday's analyst calls and Wall Street chatter. Please refresh every 20-30 minutes to view the latest posts.) Best Buy and a consumer goods giant were among the stocks being talked about by analysts to start the week. Citi double upgraded Best Buy to buy from sell, and its new price target indicates upside of 18%. RBC, meanwhile, raised its rating on Kimberly-Clark to outperform, calling for a gain of more than 20% ahead. Elsewhere, Bank of America reiterated Nvidia as a top pick, still seeing more than 30% upside ahead. Check out the latest calls and chatter below. All times ET. 7:35 a.m.: JPMorgan downgrades Cava after stock's run higher Cava shares have gotten too expensive, according to JPMorgan. The bank is moving to the sidelines, downgrading the stock to neutral from overweight. The Mediterranean fast-casual restaurant chain has soared 115% so far this year. Cava, which went public in June 2023, now has a $33 million valuation per store on its 328 store base, analyst John Ivankoe wrote in a note Monday. "Considering [average unit volumes] AUVs of $2.6m and cost of construction per box of > $1.5m, this level of valuation is unprecedented in the group," he said. "We believe the incremental recommendation is 'hold/reduce positions' vs 'scale up positions.'" His $77 price target suggests 17% downside from Friday's close. — Michelle Fox 7:34 a.m.: American Airlines still has a bright future despite near-term headwinds, Morgan Stanley says Strong industry fundamentals could boost shares of American Airlines past near-term obstacles, according to Morgan Stanley. The bank stood by its overweight rating on the airline stock, but reduced its price target to $18 from $20. Shares of American Airlines stock has slipped 16% this year, but this price forecast still implies that shares could rally nearly 57% from here. "We had called AAL possibly the cleanest domestic story in Airlines about a month ago, but following the big 2Q guidance cut and announced mgmt. changes last week, AAL moves firmly into the 'show-me'" penalty box, for at least the short term. However, we believe that numbers and positioning have reset enough and the stock is cheap enough to make the risk-reward look attractive and remain OW," wrote analyst Ravi Shanker. The analyst added that the business's key debate is if it's currently structurally challenged, or if management recognized that an essential pivot needs to be made. As a result, Shanker now believes that American Airlines' return to normalized earnings per share of between $4 to $5 has now been delayed by at least once year. Meanwhile, investor sentiment on the stock remains very negative, despite American's numerous solid tailwinds, the analyst added. "The franchise remains well positioned to capitalize on the premiumization of Domestic travel, the rising tide of air travel demand, pricing power will be a tailwind that could lift AAL's boat, and some of its Domestic peers are likely even more challenged on capacity growth, market positioning and cost inflation risks," he wrote. — Lisa Kailai Han 7:32 a.m.: JPMorgan sees a 34% upside for Krispy Kreme Krispy Kreme's year-to-date slide could mean a good opportunity to investors, according to JPMorgan. Analyst Rahul Krotthapalli assumed lead analyst coverage of the doughnut stock at an overweight rating from its previous neutral rating. The analyst also assumed a December 25 price target of $14, which is 34% above the stock's current valuation. Krispy Kreme stock is down nearly 31% this year, which Krotthapalli believes has now led to a good investing opportunity. "We highlight much of this low-liquidity-driven pullback as overdone, and see this dislocation as a compelling valuation-driven entry point for both near-/long-term oriented investors," he wrote. The analyst pointed to Krispy Kreme's partnership with McDonald's as a coming catalyst, although the majority of costs and execution challenges fall onto Krispy Kreme, he noted. "The medium- to long-term exposure to this much loved global indulgent brand — which is in-fact bigger than the indicated ~$1.8b market cap., & now possessing an idiosyncratic growth story/value proposition — comes with relatively higher execution risk compared to other cleaner high-growth stories across our coverage," Krotthapalli added. — Lisa Kailai Han 7:20 a.m.: Wells Fargo raises Citigroup price target Wells Fargo believes that the "value seems hiding in plain sight" when it comes to shares of Citigroup . Analyst Mike Mayo stood by his overweight rating for Citigroup and raised his price target to $85 from $80, with the new objective reflecting a potential 36% upside for the stock. Shares of Citigroup are up 36% on the year. C YTD mountain C year to date The analyst underscored Citigroup's "Services" line of business, which makes up only one-fourth of the company, as almost solely justifying buying the bank stock. This business encompasses global "pipes" that aid wholesale clients in conducting international financial transactions, Mayo wrote. "Services can alone justify the purchase of Citi since the total org sum-of-the-parts equals est. double its current market cap assuming Services value of $90B-$120B," he added. "The value seems hiding in plain sight, partly given a series of name changes, restructurings, repositionings, and restatements in 18 of the past 22 years that preceded the new Services LOB in 2024." In the last two decades, Citi's services business has grown its revenues 8% and deposits 10%, and Mayo sees the business continuing to win in the future. A slew of additional tailwinds should also boost Citi stock, including re-sourcing supply chains, digitization, Citi's deep moats and the retreat of other global banks as Citi increases its share gains. — Lisa Kailai Han 6:39 a.m.: Goldman Sachs stands by Marvell Technology Marvell Technology continues to be a good long-term AI investment, according to Goldman Sachs. The bank maintained its buy rating for the semiconductor stock, with analyst Toshiya Hari calling it "one of the key enablers of Gen AI." However, the analyst reduced his 12-month price target to $77 from $84 on a near-term gross margin squeeze, although this objective still implies that shares could rise 12%. Hari pointed to Marvell's continued strength in the cloud and artificial intelligence businesses as a catalyst. "Despite just having provided a multi-year revenue outlook at its AI event on April 11th, management noted their confidence in exceeding their FY2025/26 AI revenue targets of $1.5bn/$2.5bn, respectively," the analyst wrote. Meanwhile, Marvell's AI custom compute franchise looks to be off to an "encouraging start," Hari added, with the company poised to outgrow the overall data center compute market in the next few years. The bottom is also seemingly in following underwhelming results for Marvell's other business segments, such as enterprise networking and carrier. "Looking ahead, we expect normalizing customer inventory in Enterprise Networking and company-specific product cycles in Carrier to serve as growth drivers over the next several quarters," the analyst wrote. Shares of Marvell have risen 14% this year. MRVL YTD mountain MRVL year to date — Lisa Kailai Han 6:16 a.m.: Bank of America sticks to Nvidia as a top pick with 36% upside Nvidia remains a top pick for Bank of America. Analyst Vivek Arya stood by his buy rating on the graphics processing unit manufacturer. He also maintained his price target of $1,500 and named Nvidia a top pick following CEO Jensen Huang's keynote speech at the Computex expo this past weekend. Arya's price target implies that Nvidia stock could rise 36.8% from here, adding to its whopping 121% year-to-date rally. NVDA YTD mountain NVDA year to date "Key product announcements continue to bolster NVDA's AI leadership position," Arya wrote. "NVDA is now eyeing millions of GPUs-sized clusters for large hyperscalers as early as 2026, paving the way for greatly increased unit opportunities." The analyst also highlighted Nvidia's plans to update its AI product portfolio on an annual basis, with the company announcing new updates and generations through 2027. Nvidia is also targeting both mainstream and enterprise AI usage through specific platforms, Arya added. This diverse portfolio offering, combined with Nvidia's "multi-generational roadmap visibility," will continue to serve as key growth drivers for the company. — Lisa Kailai Han 6 a.m.: Piper Sandler upgrades Masimo An upcoming split at Masimo can spark a strong rally ahead for the stock, according to Piper Sandler. The firm upgraded the health technology company to overweight from neutral. Analyst Jason Bednar accompanied the move by raising his price target to $160 from $126, implying upside of 29% from Friday's close. Masimo recently announced its plans to spin off its consumer unit, which Bednar agreed was a "good move for shareholders" that could have lasting benefits. "We think the scenario setup here skews positively for equity holders regardless of what unfolds with the pending Consumer separation and the upcoming shareholder meeting," the analyst added. Meanwhile, the company's core business is improving, with evidence that consumables demand and sensor revenue are returning to more attractive and predictable growth levels, Bednar said. "The commitment to margin improvement at a minimum seems likely to return MASI to its pre-Sound United double-digit EPS growth levels, with upside being a return to the glory days of a bulletproof medtech story with strong cash flow," he added. — Lisa Kailai Han 5:46 a.m.: Citi double upgrades Best Buy to buy rating from sell There's a rosy outlook for Best Buy ahead, according to Citi. The bank double upgraded shares of the electronics retailer to a buy rating from sell. It also raised its price target to $100 from $67. This updated price target implies a potential 18% upside from Friday's close. "We believe the catalyst path looks positive from here with upside potential to both earnings and valuation based on tech replacement cycles underway, new AI innovation providing incremental demand, and margin execution remaining solid," wrote analyst Steven Zaccone. As a catalyst, Zaccone pointed to a positive inflection point for same-store sales, driven by laptop purchases. This recovery should only grow as AI adoption accelerates, with the analyst seeing a more favorable setup in the latter half of the year due to back-to-school and holiday sales. Other categories outside of laptops will also benefit from lower rates this year as consumers begin to shift spending back towards durable goods. Zaccone added that Best Buy's margins continue to look solid. "We believe BBY can continue to flex company levers to protect EBIT margin if the competitive environment gets more promotional than expected," he wrote. Shares of Best Buy are up 8% on the year. — Lisa Kailai Han 5:46 a.m.: RBC upgrades Kimberly-Clark Investors looking for growth with a sense of protection should look to shares of Kimberly-Clark , according to RBC Capital Markets. Analyst Nik Modi upgraded the consumer goods company to outperform from sector perform. His price target of $165, up from $126, implies upside of nearly 24% from Friday's close. "Since KMB's analyst day in March, we have been conducting a 360 degree assessment of the company," Modi said. "The output of our work has made us more bullish on KMB. There is not a specific catalyst driving our view. Just some traditional re-evaluation of an investment thesis underpinned by a lot of work." The analyst noted he is confident Kimberly-Clark can reach its long-term targets, including operating margins of 18% to 20% along with annual local currency revenue growth of more than 3% compounded annually by 2030. Shares of Kimberly-Clark, which have a dividend yield of more than 3%, are up nearly 10% in 2024. KMB YTD mountain KMB year to date — Fred Imbert
