US STOCK PREMARKET: September 15, 2025

**Futures Indices**
Dow Futures: +0.20%
S&P 500 Futures: +0.20%
Nasdaq 100 Futures: +0.10%
US 10-year yield: 4.07%

Market Environment

US indices are slightly up at the start of the week, as investors position themselves ahead of the key Fed meeting on Wednesday. The market widely anticipates a 25 basis point cut, with a 94.2% probability according to the CME FedWatch Tool.

Deutsche Bank, through Jim Reid, points out that “this week is entirely about the FOMC outcome and the odds of further rate cuts in the cycle that started a year ago.”

Despite an August CPI inflation slightly above expectations, details from the PPI and CPI suggest a more moderate core PCE, strengthening expectations of a more accommodative Fed.

UBS reminds that investors will pay attention not only to the decision, but also to Jerome Powell's tone, especially regarding the labor market and inflation dynamics.

Stocks to Watch

Tesla (TSLA) +8%
Continued rally (+7.4% Friday) after Elon Musk announces purchase of 2.57M shares (~$1B) at a price between $371 and $397. A new compensation structure based on performance, potentially reaching $1 trillion, will be put to shareholder vote on November 6.

Smurfit WestRock (SW) +5%
UBS starts coverage with a Buy recommendation and a target of $60 (36% upside). Analysts praise the strategic reorganization, closure of underperforming sites, and positive exposure to the expected increase in containerboard prices in 2026.

Hesai Technology (HSAI) +4%
Shares surge following the expansion of a production agreement with a US robotaxi company. The contract now exceeds $40M through 2026, confirming Hesai as the exclusive Lidar supplier for this major client.

Magna International (MGA) +3%
Up after announcement of an agreement with XPENG to assemble two models for the European market. Production starts in Q3 2025, marking the start of a long-term strategic partnership.

Faraday Future (FFAI) +3%
The EV maker will spin off its crypto-related activities into a standalone listed company. The goal: accelerate the Web3 strategy and allow each entity to grow independently while retaining synergies.

Hims & Hers (HIMS) -3%
Falls after FDA commissioner Marty Makary criticized their Super Bowl ad for lack of transparency on GLP-1 treatment risks. Highlights a tightening regulatory climate for health ads.

Denison Mines (DNN) -2%
Down after announcing an additional investment in Foremost Clean Energy, raising its stake to 19%. The deal slightly dilutes existing shareholders despite the strategic outlook.

Recommendation Changes

Upgrades

The RealReal ($REAL) → B. Riley raises target from $9 to $12, maintains Buy rating.

IonQ ($IONQ) → B. Riley from $61 to $75, Needham to $80, Buy maintained.

Atlanticus Holdings ($ATLC) → Target raised to $90 from $70, Buy confirmed.

Aveanna Healthcare ($AVAH) → Deutsche Bank now aims for $11.50, up from $7.

Reddit ($RDDT) → Needham raises target to $300, from $215.

Planet Labs ($PL) → Deutsche Bank raises to $10, Buy confirmed.

Corteva ($CTVA) → Target to $90 from $83, Buy maintained.

Union Pacific ($UNP) → Citigroup upgrades to Buy, target $251.

Hershey ($HSY) → BNP Paribas raises to Outperform, target $210.

Upbound Group ($UPBD) → Loop Capital upgrades to Buy, target revised to $36.

Neutral

AbbVie ($ABBV) → Deutsche Bank maintains Hold, target raised to $204.

Oracle ($ORCL) → Berenberg maintains Hold, target raised to $306.

McDonald’s ($MCD) → Bernstein remains Market Perform, target $320.

PepsiCo ($PEP) → RBC stays Sector Perform, target lowered to $145.

Downgrades

Baidu ($BIDU) → Zephirin downgrades to Sell, target adjusted to $92.

NextDecade ($NEXT) → TD Cowen moves to Hold, target dropped to $8.

CVR Energy ($CVI) → Mizuho moves to Underperform.

Talos Energy ($TALO) → Downgraded to Neutral, target $11.

Federal Realty ($FRT) → Evercore ISI downgrades to In Line, target $107.

Simon Property Group ($SPG) → Downgraded to In Line, target $187.

Prosperity Bancshares ($PB) → Citigroup downgrades to Neutral.

Register here

Have a great session, everyone
Sylvain Mouilhaud: Stock Coach