Friday's Analysts' Upgrades and Downgrades

CHANGE IN RATINGS

Cincinnati Bell (CBB Quote) upgraded at Morgan Stanley: Morgan Stanley upgrades Cincinnati Bell from equalweight to overweight and raises 2007/2008 EPS estimates.

Intersil (COO Quote) upgraded at Goldman Sachs: Goldman is upgrading ISIL to Buy from Neutral due to valuation. Share weakness caused by recent departure of COO. See growth spurred by power management exposure, share gains in handsets and notebooks and expanding portfolio. Price target at $27.50.

Investment Tech. Group (ITG Quote) upgraded at Bear: ITG was upgraded from Peer Perform to Outperform at Bear Stearns. $48 price target. Future volume will continue to grow, especially overseas. Near-term estimates cut, but still see the company earning $2.40 a share in 2007.

JDS Uniphase (JDSUD Quote) upgraded at Deutsche: JDSUD was upgraded from Hold to Buy at Deutsche Bank. $19 price target. Estimates also raised to reflect strong European and Asian sales. Worst appears to be behind the company.

Mettler-Toledo (MTD Quote) upgrading at JP Morgan: MTD was upgraded from Neutral to Overweight at JP Morgan. Company should be able to carry strong earnings momentum in to 2007, and is firing on all cylinders.

Norfolk Southern (NSC Quote) downgraded at JP Morgan: NSC was downgraded from Overweight to Neutral at JP Morgan. Stock is up 29% since September, though volume trends remain soft. CSX also picking up competitive push.

Qualcomm (QCOM Quote) downgraded at Oppenheimer: QCOM was downgraded from Buy to Neutral at Oppenheimer. Company gave disappointing guidance for 2007, and the Nokia dispute could take away another 4 to 6 cents.

Qualcomm (QCOM Quote) estimates lowered at Credit Suisse: Credit Suisse is lowering its 2007 EPS estimates on QCOM by 5 cents to $1.62 following solid FQ4 results but weaker guidance. Maintained $50 target price.

Red Hat (RHAT Quote) downgraded at Baird: RHAT was downgraded from Outperform to Neutral at Robert Baird. MSFT partnership with NOVL could leave the company out in the cold. $19 price target.

Sempra Energy (SRE Quote) downgraded at Wachovia: SRE was downgraded from Outperform to Market Perform at Wachovia. Stock is already pricing in goods news, and the LNG thesis will be a gradual story.