Stifel upgraded AppLovin (APP) to Buy from Hold with a price target of $90, up from $65, after taking over coverage of the name. The firm’s positive stance on the shares is based on “increased confidence” in the software platform outlook. The firm sees upside from the Adjust acquisition and a “robust” mobile games pipeline for AppLovin. Accordingly, the firm increased its adjusted EBITDA estimates to $719M and $1.04B for 2021 and 2022, respectively. The firm believes revenue synergies from the Adjust acquisition should begin to contribute more meaningfully in 2022, accelerating the “healthy” underlying trends for the software platform segment with incremental revenues flowing at very high margins.
Canaccord upgraded Belden (BDC) to Buy from Hold with a price target of $68, up from $53. The firm believes, following its divestitures of Grass Valley and cable products, Belden, is “lighter,” with a focus on system-based solutions, which he believes the market is heavily discounting. The firm believes that only about 30% of global manufacturing capacity is using automation or smart manufacturing today and sees the need for outsourced IT/OT infrastructure growing as the complexity of networks increases, giving Belden opportunities to design, install and service these dedicated networks.
Jefferies upgraded Banco Santander (SAN) to Hold from Underperform with a price target of EUR 3.10, up from EUR 2.60. The firm expects Santander to meet fiscal 2021 profit expectations while pending deals “should also boost” future earnings. The firm notes recent share underperformance leaves the company’s valuation less demanding.