(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 post.) The new week kicked off with a downgrade to the world’s largest lithium producer and an upgrade to one of the best-known car brands in the world. UBS lowered its rating on Albemarle to neutral from buy, slashing its price target by more than 40%. The bank cited uncertainty around the company heading into the new year. Meanwhile, Barclays raised Ferrari to overweight from equal weight following a strong third-quarter report. Check out the latest calls and chatter below. 5:37 a.m. ET: Investors should stop waiting to scoop up Ferrari shares, Barclays says Barclays has turned more bullish on Ferrari , saying there’s finally an opportunity to buy into the carmaker. Analyst Henning Cosman upgraded the stock to overweight from equal weight.. It has already been a strong year for the stock, with U.S. shares up more than 54% in 2023. RACE YTD mountain RACE year to date Cosman called the company’s third-quarter earnings report last week “very strong,” though he noted full-year guidance was left “undemanding” despite being raised. He added that commentary around pricing, mix, the personalization business and order book pffered positive signals for performance between 2024 and 2026. Ultimately, he said investors should “take the plunge” and buy the stock off earnings. “Like many, we have always liked Ferrari for its impressive execution, unique earnings visibility and strong insulation from macro factors thanks to its UHNWI target audience,” Cosman said, using the acronym for ultra-high-net-worth individuals. “However, also like many, we were hoping for a better entry point, as factors like its EURO STOXX 50 inclusion, a priced-in guidance increase and all-time low discount to Hermes … all made Ferrari’s valuation seem pretty full. We are pivoting from this view today.” — Alex Harring 5:37 a.m. ET: UBS downgrades beat-down lithium stock Albemarle as demand slides UBS is moving to sidelines on Albemarle as the firm said it saw increased uncertainty for the chemical stock. Analyst Joshua Spector downgraded the stock to neutral from buy and slashed his price target to $140 from $253. Still, Spector’s new target still implies an upside of 9.4% over Friday’s closing, underscoring how much shares have struggled in 2023 with the stock down about 41% year to date. “We see a greater risk to lithium volume growth and more downside earnings risk to 2024,” Spector told clients on Monday. ALB YTD mountain ALB in 2023 Spector pointed to the fact that the price of lithium, one of Albemarle’s main focus areas, has turned down in recent weeks after beginning to move positive as one reason for concern. Others include less optimistic growth expectations for the electric vehicle market and worse spodumene prices. After the stock’s selloff this year, Spector said the stock could be undervalued if prices rise if there’s a more normalized environment in 2025. But he said he’d need more visibility into demand, pricing and capital expenditure trends to get more optimistic. — Alex Harring
