Analysts' Upgrades, Downgrades: Fifth Third

CHANGE IN RATINGS

AutoZone (AZO Quote) upgraded at Merrill/BofA to buy from neutral and price target increased to $185 from $165. Upgrade based on accelerated normalized growth rate expectations and continued industry strength. BofA increased normalized 2-3 year EPS growth forecast to 14%, from 11% prior, based on long-term secular improvement. Based on channel checks, BofA believes AZO has been witnessing strength in all markets. Reflecting belief that trends have remained healthy post-fiscal 2Q, 3Q same-store sales estimate raised to 4.7% from 3.5%.

BJ's Wholesale Club (BJ Quote) upgraded at J.P.Morgan to Overweight from Neutral based on potential sales margin improvement in 2009. Believe sentiment is too negative despite improving comparisons and April sales that were likely better-than-expected. Price target raised to $40 from $32.

Choice Hotels (CHH Quote) downgraded at Goldman Sachs to Neutral from Buy. Note attractive business model and high return on invested capital, but prefer riskier names in current environment. Price target at $32.

CNA Financial (CNA Quote) upgraded at Merrill/BofA to Neutral. $16 price target. Company improved its book value and is off to a good start for unrealized gains in April. ...