Five stocks stand out heading into Thursday, October 1, 2026, each carrying a bullish rating change issued on Wednesday, September 30. The inflation picture shifted on September 30. The Bureau of Economic Analysis reported that the Personal Consumption Expenditures price index rose 0.3% in August for an annual rate of 3.4%, while the core index rose 0.2% for an annual rate of 3.0%, both below forecasts. Rate-hike expectations cooled as well. After New York Fed President John Williams said there is no need to rush another increase, the CME Group FedWatch tool's odds of an October hike fell to around 44.8%, down from 72.5% on September 29. The September jobs report is scheduled for October 2.
The five ideas below span discount retail, data-center networking, clinical research services, specialty pharmaceuticals, and customer-service software. Editorial notes only, not investment advice.
Target (TGT) – HSBC Upgrades With a Much Higher Target
Target was upgraded from Hold to Buy on Wednesday by HSBC analyst Joe Thomas, who raised his price target to $190 from $125. That new target is the high end of the panel. In our view, the stock's recovery reflects improving traffic and margins, and a softer inflation reading could help household budgets for discretionary goods.
Shares traded near $156.66 during Wednesday's session, up about 0.15%, giving Target a market capitalization near $71 billion. The stock has nearly doubled from its 52-week low of $83.44 and sits below its high of $170.75. The trailing price-to-earnings multiple is 16.24, and the dividend yield is near 3%.
The broader panel is more cautious. Consensus reads buy, with 11 bullish, 13 neutral, and four bearish ratings among 28 tracked firms. The average price target of $150.29 sits below the current price, while the HSBC target implies roughly 21% upside.
Risks: Citigroup's Paul Lejuez holds Neutral at $160, and Bernstein's Zhihan Ma held Underperform at $80 in November 2025. Competition from Walmart and Amazon, tariff costs, and holiday-season demand all remain factors to monitor.
Arista Networks (ANET) – Bernstein Initiates at Outperform
Arista Networks drew a fresh Outperform initiation on Wednesday from Bernstein, part of a broader optical and networking launch that also covered Ciena, Coherent, Lumentum, and Celestica. Arista sells high-speed switches used inside large data centers. In our view, spending on AI clusters keeps driving demand for faster networking gear.
Shares traded near $204.12 during Wednesday's session, up about 0.62%, giving Arista a market capitalization near $257 billion. The stock sits near its 52-week high of $214.89 and well above its low of $114.52. The trailing price-to-earnings multiple is 64.38.
Consensus reads strong buy, with all 17 tracked ratings bullish. The average price target of $232.82 implies roughly 14% upside. Barclays' Tim Long raised his target to $289 from $195 on August 6, the highest on the panel.
Risks: A unanimous panel and a premium multiple leave little room for error. Arista depends heavily on a small number of very large cloud customers, and any pause in their capital spending would hit results. Competition from Nvidia and Cisco also remains a factor to monitor.
IQVIA (IQV) – UBS Resumes Coverage at Buy
IQVIA drew a Buy rating on Wednesday as UBS resumed coverage. IQVIA runs clinical trials for drug makers and sells health-care data and analytics. In our view, a steady recovery in biotech funding and trial activity supports demand for its services.
Shares traded near $270.94 during Wednesday's session, up about 0.72%, giving IQVIA a market capitalization near $45 billion. The stock sits near its 52-week high of $277.40 and far above its low of $154.50. The trailing price-to-earnings multiple is 33.62.
Consensus reads strong buy, with 13 bullish and two neutral ratings among 15 tracked firms. The average price target of $258.60 sits below the current price, a sign the rally has outrun many targets. Recent bulls have moved higher, though. Truist's Jailendra Singh reiterated Buy at $329 on September 28, implying roughly 21% upside, and RBC Capital's Ryan Halsted raised his target to $319 on September 29.
Risks: Morgan Stanley's Kallum Titchmarsh holds Equal-Weight at $270. Drug-industry budget cuts, trial cancellations, and pricing pressure from rival research organizations all remain factors to monitor.
Jazz Pharmaceuticals (JAZZ) – Citi Initiates at Buy
Jazz Pharmaceuticals drew a fresh Buy initiation on Wednesday from Citi. Jazz sells sleep-disorder and cancer treatments. In our view, the company's move to diversify beyond its older sleep franchise gives it more balanced growth, and its valuation remains modest compared with many drug makers.
Shares traded near $235.41 during Wednesday's session, up about 1.32%, giving Jazz a market capitalization near $15 billion. The 52-week range runs from $128.80 to $266.38, and the trailing price-to-earnings multiple is 16.09.
Consensus reads strong buy, with all 15 tracked ratings bullish. The average price target of $284.13 implies roughly 21% upside. UBS's Ashwani Verma raised his target to $337 from $315 on September 11, the highest on the panel.
Risks: Generic competition for key sleep drugs, clinical trial setbacks, and drug-pricing policy in Washington all remain factors to monitor. A unanimous panel also means there are few upgrades left to drive the stock.
NICE (NICE) – Oppenheimer Upgrades to Outperform
NICE was upgraded from Perform to Outperform on Wednesday by Oppenheimer. NICE sells cloud software that companies use to run customer-service contact centers, including AI tools that automate routine calls and chats. In our view, the stock's pullback has left it at a low multiple for a software company with growing AI features.
Shares traded near $111.16 during Wednesday's session, up about 4.07%, giving NICE a market capitalization near $6.5 billion. The 52-week range runs from $83.10 to $145.43, and the trailing price-to-earnings multiple is 15.49.
Consensus reads buy, with seven bullish and five neutral ratings among 12 tracked firms. The average price target of $143.83 implies roughly 29% upside, though it includes an older $300 target. The median target of $133 implies about 20%. RBC Capital's Rishi Jaluria raised his target to $145 on September 24.
Risks: Wedbush's Daniel Ives held Neutral at $120 in February. The risk that AI agents reduce the number of human contact-center seats NICE charges for, plus competition from larger cloud vendors, remain factors to monitor.
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