Analysts' Actions: A Daily Roundup of Street Research
CHANGE IN RATINGS
Autodesk
upgraded at Oppenheimer: ADSK was upgraded to Buy, Oppenheimer said. $46 price target. Company should be able to build upon recent earnings momentum. 3D sales could ramp faster than expected.
Autodesk
estimates raised at Prudential: Prudential said it is raising its 2006 estimates on ADSK by 2 cents to $1.28 a share due to solid Q4 results and strong guidance. Maintained Neutral Weight rating.
Altera
upgraded at Bear: ALTR was upgraded from Peer Perform to Outperform, Bear Stearns said. Company appears to be having a good quarter, and could raise guidance on its mid-period update. Valuation also attractive, ahead of positive 2006 spending outlook.
Applied Signal
downgraded at Suntrust: APSG was downgraded to Neutral, Suntrust, Robinson Humphrey said. Estimates also cut, as the company could continue to disappoint financially in 2006.
Charming Shoppes
upgraded at CIBC: CHRS was upgraded from Underperform to Sector Perform, CIBC said. Recent management meeting suggests that multi-channel model could be successful. Spring line also looks good.
Cogent
downgraded at Oppenheimer: Oppenheimer said it was downgrading COGT from Buy to Neutral and cut FY 2006 EPS estimates by 20-cents to $0.70 on disappointing conference call.
Cogent
target, estimates cut at Jefferies: Jefferies said it was cutting FY 2006 EPS estimates on COGT from $0.82 to $0.50 and target by $7 to $15 on operating results. Maintained Underperform rating.
Cogent
downgraded at Bear: COGT was downgraded from Outperform to Peer Perform, Bear Stearns said. Visibility deteriorating, and results should be choppy in 2006.
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FedEx
upgraded at Bear Stearns: Bear Stearns said it was upgrading FDX from Peer to Outperform on improving near term fundamentals. Maintained $126 target.
General Dynamics
upgraded at Merrill Lynch: Merrill Lynch said it was upgrading GD from Neutral to Buy citing Gulfstream strength undervalued. Maintained $140 price target.
Keane
upgraded at Wachovia: KEA was upgraded to Outperform, Wachovia said. Current valuation does not discount risk of the dramatic business changes underway. Finances remain strong though, and the near-term earnings estimates could ultimately prove conservative.
Northrop Grumman
downgraded at Merrill Lynch: Merrill Lynch said it was downgrading NOC from Buy to Neutral on valuation. Maintained target range of $67 - $69.
Pacific Sunwear
downgraded at Prudential: Prudential said it is downgrading PSUN to an Underweight rating due to rising inventories, and weakness in several product lines.
Rite Aid
upgraded at Goldman: RAD was upgraded from In-Line to Outperform, Goldman Sachs said. Stock has 15% to 20% upside potential over the coming quarters. Fundamentals are improving, and the company should benefit from increased generic business.
Staples
upgraded at A.G. Edwards: A.G. Edwards said it was upgrading SPLS to Buy on operational improvements. Maintained $29 target.
Teledyne Technologies
upgraded at Jefferies: Jefferies said it was upgrading TDY from Hold to Buy on the company's market position and growth potential. Maintained $40 target.
TODCO
upgraded at Deutsche: THE was upgraded from Hold to Buy, Deutsche Bank said. $44 price target. Gas price fears have likely peaked, and the company will continue to return cash to investors.
TODCO
target, estimates cut at Jefferies: Jefferies said it was cutting FY 2006 and 2007 EPS estimates on THE from $3.62 and $5.60 to $3.19 and $4.57 and the target by $16 to $40 on poor Q4 results. Maintained Buy rating.
STOCK COMMENTS / EPS CHANGES
Advanced Micro Devices
estimates raised at Morgan Stanley: Morgan Stanley said it was raising FY 2006 EPS estimates on AMD from $1.48 to $1.55 citing increased enterprise server penetration. Maintained Overweight rating and $50 target.
Apollo Group
target, estimates lowered at Morgan Stanley: Morgan Stanley said it was lowering FY 2006 and 2007 EPS estimates on APOL from $2.87 and $3.45 to $2.60 and $3.10 respectively and target by $10 to $66 on lowered guidance. Maintained Overweight rating.
Apollo Group
estimates cut at Piper: Piper said it is cutting its 2007 estimates on APOL to $2.58 a share due to earnings underperformance and acceleration in S&P spending. Maintained Market Perform rating.
AmSouth Bancorp
estimates lowered at Morgan Stanley: Morgan Stanley said it was lowering FY 2006 EPS estimates on ASO by a penny to $2.10 on commercial real estate lending trends. Maintained Outperform rating and $28 target.
BJ's Wholesale
target raised at Jefferies: Jefferies said it was lowering FY 2006 EPS estimates on BJ from $2.09 to $1.90 but raising the target from $27 to $30.75 on pro forma 2005 EPS release and guidance. Maintained Hold rating.
BJ's Wholesale
estimated cut at Goldman: BJ estimates lowered through 2007, according to Goldman Sachs. Upside in the latest quarter was because of lower compensation. In-Line rating.
CenterPoint Energy
estimates lowered at Jefferies: Jefferies said it was lowering FY 2006 and 2007 EPS estimates from $1 and $1.10 to $0.85 and $0.95 respectively on Q4 operating results. Maintained Hold rating and $13 target.
Deckers
estimates raised at Piper:Piper said it is raising its 2006 estimates on DECK by 4 cents to $2.14 a share due to stronger-than-anticipated demand. Maintained Outperform rating.
Highwoods Properties
estimates lowered at Morgan Stanley: Morgan Stanley said it was lowering FY 2006 EPS estimates on HIW by 10-cents to $2.34 citing lack of visibility on execution of strategic plan. Maintained Equal-weight rating and $28.50 target.
Heinz
target price raised at UBS: UBS said it is raising its target price on HNZ to $40 from $37 after inline 3Q results. Maintained Neutral rating.
Hospira
estimates cut at Morgan Stanley: Morgan Stanley said it was cutting FY 2006 and 2007 EPS estimates on HSP from $2.20 and $2.49 to $1.96 and $2.22 on Q4 results. Maintained Equal-weight rating.
Invitrogen
target price raised at UBS: UBS said it is raising its target price on IVGN to $85 from $83 after 4Q results beat estimates. Maintained Buy rating.
King Pharmaceuticals
estimates raised at Morgan Stanley: Morgan Stanley said it was raising FY 2006 EPS estimates on KG from $1.38 to $1.61 on Q4 results. Maintained Equal-weight rating.
Massey Energy
target price lowered at CSFB: CSFB said it is lowering its target price on MEE to $45 from $50 after negative pre-announcement. Maintained Outperform rating.
Magna Int'l
estimates lowered at Morgan Stanley: Morgan Stanley said it was lowering FY 2007 EPS estimates on MGA by $0.20 to $7.60 on Q4 results. Maintained Overweight rating and $85 target.
Nordson
target, estimates raised at Jefferies: Jefferies said it was raising FY 2006 EPS estimates on NDSN by 30-cents to $2.50 and target by $14 to $57 on fiscal Q1 2006 results. Maintained Buy rating.
Nektar Therapeutics
estimates lowered at Morgan Stanley: Morgan Stanley said it was lowering FY 2006 EPS estimates on NKTR from $-1.01 to $-1.41 and raising FY 2007 EPS estimates by 7-cents to $-0.51 on Q4 results. Maintained $18 target and Underweight rating.
National Semiconductor
numbers raised at Morgan Stanley: Morgan Stanley said it was raising FY 2006 and 2007 EPS estimates on NSM from $1.24 and $1.50 to $1.29 and $1.55 respectively on their expectation of a positive earnings surprise. Maintained Equal-weight rating.
Staples
target price raised at Piper: Piper said it is raising its target price on SPLS to $29 after solid Q4 results. Maintained Outperform rating.
Universal Health
target raised at Jefferies: Jefferies said it was lowering FY 2006 EPS estimates on UHS by 10-cents to $2.60 but raising the target by $7 to $60 on Q4 results. Maintained Buy rating.
Universal Health
estimates lowered at Morgan Stanley: Morgan Stanley said it was lowering FY 2006 and 2007 EPS estimates on UHS from $2.68 and $3.10 to $2.53 and $2.85 respectively on Q4 results. Maintained Equal-weight rating.
United Natural Foods
estimates raised at Prudential: Prudential said it is raising its 2006 estimates on UNFI by 3 cents to $1.08 a share. Maintained Neutral Weight rating.
