The S&P500 (SP500) closed in the red on Friday, after the week saw President Donald Trump’s new 25% tariff policy on all car imports fueling broader uncertainty in financial markets around the world.

For the week, Nasdaq (COMP:IND) lost 2%, while Dow (DJI) declined 0.7%.

Wall Street had a slew of upgrades and downgrades from analysts. Here are some of the major calls for the week:

Morgan Stanley calls Carvana the ‘Amazon of auto retail’

Morgan Stanley upgraded Carvana (NYSE:CVNA) to Overweight and called it the potential “Amazon of auto retail” with a huge share of the U.S. used-car market still untapped.

“While Carvana remains more exposed to a lower strata of auto credit relative to the rest of our auto coverage, the company has demonstrated execution with profitable growth and addressed leverage concerns,” said Morgan Stanley’s Adam Jonas.

Jonas added that Carvana’s fourth quarter results as a strong case that the company’s profitable growth is more than “just a temporary phenomenon.” However, he cautioned that the company is vulnerable to headlines of macro risk or economic fears of tariffs, inflation, and a possible weakening job market.

AMD in focus as Jefferies downgraded on widening gap with Nvidia

AMD (NASDAQ:AMD) was downgraded by Jefferies to Hold from Buy, suggesting that the gap between it and Nvidia (NASDAQ:NVDA) is widening.

Analyst Blayne Curtis also cut PT to $120 from $135, adding that the gap is expected to widen with Nvidia's Blackwell line of GPUs in full scale production and it would continue with the release of Rubin in the back half of next year.

“Our proprietary benchmarking report suggests real-world throughput of NVDA’s H200 across a range of open-source models is substantially higher than AMD’s MI300x, despite MI300x’s higher advertised TFLOPs and memory bandwidth,” Curtis wrote, referencing Nvidia's Hopper line of GPUs, which were released in 2023.

Northrop Grumman upgraded; Lockheed downgraded at RBC

Northrop Grumman (NYSE:NOC) was upgraded by RBC to Outperform from Sector Perform, reflects growing confidence in the company’s strategic positioning, especially in light of shifting DoD priorities and strong execution on its flagship programs.

RBC raised PT for Northrop Grumman from $500 to $575, saying that that even with recent gains, its valuation still lags historical averages, suggesting that further upside is possible.

On the other hand, the brokerage downgraded Lockheed Martin (NYSE:LMT) to Sector Perform from Outperform, citing a realignment of Department of Defense priorities, evolving program opportunities and diverging sentiment trajectories between the two aerospace giants. The stock’s OT was also lowered from $550 to $480.

Twilio gets bullish rating on improving profitability

CFRA upgraded Twilio (NYSE:TWLO) to Buy from Hold, citing “improving profitability” and improved valuation.

The brokerage said Twilio's exposure to agentic artificial intelligence and new products should be able to boost the top line around 10% per year and upped PT to $125 from $110.

“Our upgrade is primarily valuation based, as our prior downgrade (to Hold) largely reflected our view that shares may take a breather following a doubling in price between Q3 and Q4 2024 earnings,” analyst Brooks Idlet wrote in a note to clients. 

Applied Materials upgraded, KLA Corp cut at Jefferies

Jefferies upgraded Applied Materials (NASDAQ:AMAT) to Buy from Hold and raised the price target on the stock to $195 from $185, as a Leading Edge and DRAM beneficiary, and March guidance brings China exposure to the lowest in the group.

Meanwhile, the brokerage downgraded KLA Corp (NASDAQ:KLAC) to Hold from Buy, while lowering PT to $725 from $875. The analysts said that KLAC also remains the most exposed to China.

However, the analysts added that they expect strong DRAM and the start of NAND recovery.

BTIG sees CrowdStrike emerging as ‘cleanest platform play’ across security software space

BTIG upgraded CrowdStrike (NASDAQ:CRWD) to Buy from Neutral and set a PT of $431, saying that the brokerage sees the cybersecurity firm becoming the “cleanest platform play across the security software space.”

Analyst Gray Powell said the upgrade stems from two reasons: last years' outage that shook the globe is now in the “rearview mirror,” which should give CrowdStrike better visibility on its forecasts. Secondly, there's the potential for growth to reaccelerate in the second-half of 2026 and provide anywhere from 2.5% to 8% upside to Wall Street forecasts for fiscal 2027.

BofA upgraded Cloudflare (NYSE:NET) to Buy from Underperform citing improving fundamentals. The firm also raised PT to $160 from $60 and said that Cloudflare is set to be one of the true “AI winners” in software. 

HSBC lowered PT on Tesla (NASDAQ:TSLA) to $130 on the view that there are no quick fixes for the electric vehicle stock. However, Wedbush analyst Dan Ives thinks that despite the near-term headwinds, Tesla's future is in many ways the brightest it's ever been given autonomous, FSD, robotics, and many other technology innovations now on the horizon.

Barclays upgraded Ferrari N.V. (NYSE:RACE) to Overweight from Equal Weight, as the firm pointed to a good entry point for investors to snap up shares of the luxury car stock. Analyst Henning Cosman highlighted that Ferrari reiterated its full-year guidance, despite the 25% tariff being slapped on cars being imported into the U.S. from foreign automakers.

Wolfe Research upgraded Equinix (NASDAQ:EQIX) to Outperform as its strong balance sheet would offer support in a downturn and the data center REIT is "well-suited for retail inference."