Analysts' Upgrades, Downgrades: Level 3 Communications

Change in Ratings

Alcatel-Lucent(ALU Quote) upgraded at Merrill to neutral with a $7.24 price target. Risk/reward within the stock is now more balanced vs. other tech names. Earnings estimates and fundamentals remain unchanged.

Atheros(ATHR Quote) upgraded at Piper from neutral to buy with a $34 price target. Channel checks suggest that the company is taking more market share. Estimates remain above consensus.

Compellent Technologies(CML Quote) downgraded at RBC to sector perform from outperform. Price target holds at $13 and reiterates speculative risk assessment.

Huntsman(HUN Quote) upgraded at Jefferies. Rating raised to hold from underperform. Maintains 2008 EPS estimates of 70 cents and $11 price target.

Interpublic Group(IPG Quote) initiated at UBS with a neutral rating and $9.50 price target. Introduces 2008 EPS estimates of 43 cents.

Level 3 Communications(LVLT Quote) downgraded at Citigroup from hold to sell. The retreat within the telecom valuations increases the downside risk for the share price.

Myriad Genetics(MYGN Quote) upgraded at RBC to sector perform from underperform. Price target holds at $13 and reiterates above average risk assessment.

Omnicom Group(OMC Quote) initiated at UBS with a neutral rating and $50 price target. Introduces 2008 EPS estimates of $3.30.

Powerwave(PWAV Quote) upgraded at Goldman Sachs to buy from neutral. Believe investors are underestimating revenue potential and improvements in gross margins. See 10% or better revenue growth over next two to three years. Price target raised to $5.30 from $4.80.

Smithfield Foods(SFD Quote) upgraded at Morgan Stanley from underweight to equal-weight. Valuation call, as the stock is 18% below its $24 price target. Consensus estimates remain too optimistic, however.