Analyst Actions: Juniper, Redback, eBay, Banc of America
Morgan Stanley Dean Witter
downgraded
Juniper Networks
(JNPR) - Get Juniper Networks Inc. Report
and
Redback Networks
(RBAK)
to outperform from strong buy. The firm also cut
Cisco's
(CSCO) - Get Cisco Systems Inc. Report
price target to $75 from $90.
Also this morning,
Lehman Brothers
cut
eBay
TheStreet Recommends
to neutral from buy.
Lehman strategist Jeffrey Applegate came out this morning with a note saying that Lehman is modestly reducing its earnings per share forecast for the
S&P 500
, but leaving its equity returns alone as "valuation has moderately improved." Lehman lowered its EPS growth for the third quarter to 10% from its previous 13% expectation. Lehman cut its forecast for the fourth quarter by 60 cents to $15.05, for growth of 8%. For full-year 2001, Lehman is reducing its EPS forecast to $64 from $67, or 10% growth. These are its estimates for the S&P 500 as a whole, put together as an average.
Applegate said he wasn't changing his firm's expected equity returns as valuation has moderately improved.
Downgrades
Bank of America
(BAC) - Get Bank of America Corporation Report
: fourth-quarter earnings estimate DOWN to $1.13 from $1.33 at
Credit Suisse First Boston
and lowered 2001 earnings estimates to $5.50 from $5.75.
Digex
(DIGX)
: DOWN to buy from strong buy at
Deutsche Banc Alex. Brown
.
Macerich
(MAC) - Get Macerich Company (The) Report
: DOWN to neutral from outperform at Lehman.
Initiations
Heidrick & Struggles
(HSII) - Get Heidrick & Struggles International Inc. Report
: NEW buy at CSFB.
