CHANGE IN RATINGS

Albermarle

upgraded at JP Morgan: ALB was upgraded from Underweight to Neutral, JP Morgan said. Estimates also raised, as the company should continue to benefit from strong cyclical demand.

Arrow Electronics

upgraded at Merrill: ARW was upgraded from Neutral to Buy, Merrill Lynch said. $37 price target. Stock trading at just 10.7 times forward earnings estimates. 10.1% free cash flow yield is also attractive.

Ball

upgraded at Keybanc: Rating on BLL was boosted from Buy to Aggressive Buy, Keybanc said. $47 price target. Stock is already pricing in earnings push-out, and beverage can and North American plastics markets are improving.

Career Education

upgraded at Bear Stearns: Bear Stearns said it is upgrading CECO to Outperform. Cites legal/regulatory overhang is beginning to lift. Believes shares could trade back up to $39 a share.

Dollar General

downgraded at CSFB: CSFB said it is downgrading DG to Neutral from Outperform. Cites every day low price strategy limits company. Lowered target price to $17 from $21.

Darden Restaurants

upgraded at UBS: UBS said it is upgrading DRI to Buy from Neutral based on valuation and solid EPS outlook. Maintained $44 target price.

El Paso

target price raised at CSFB: CSFB said it is raising its target price on EP to $15 from $13 after updating model following 1Q results. Maintained Neutral rating.

Electronic Arts

upgraded at Bear: ERTS was upgraded form Underperform to Peer Perform, Bear Stears said. Stock has already washed away an unrealistically optimistic outlook, and the company could gain up to 5% points during the next gaming cycle. $45 price target.

Furniture Brands International

upgraded at CSFB: CSFB said it is upgrading FBN to Neutral from Underperform based on valuation. Maintained $24 target price.

Glamis Gold

upgraded at JP Morgan: GLG was upgraded from Neutral to Overweight, JP Morgan said. Recent acquisition should incrementally add to the company's value.

Investment Technology Group

upgraded at Piper: Piper said it is upgrading ITG to an Outperform rating as sector sell-off has created a buying opportunity.

JC Penney

downgraded at Deutsche Bank: Deutsche Bank said it is downgrading JCP to Hold due to the negative impact of the structural economic slowdown. Turnaround is now complete, but market share opportunities could be delayed by economic environment. Price target lowered to $66 from $75.

Nordstrom

upgraded at CSFB: CSFB said it is upgrading JWN to Outperform from Neutral based on valuation and opportunities. Raised target price to $40 from $38.

KLA-Tencor

upgraded at BofA: KLAC was upgraded from Sell to Neutral, Banc of America said. $43 price target. Pullback has brought the company's valuation back in-line with other top chip-equipment stocks.

Knight Transportation

upgraded at CSFB: CSFB said it is upgrading KNX to Neutral from Underperform based on valuation. Maintained $18.50 target price.

Kohl's

downgraded at Deutsche Bank: Deutsche Bank said it is downgrading KSS to Hold from Buy based on high stock price in the face of macro headwinds. Lowered target price to $60 from $66.

NTL

upgraded at CSFB: CSFB said it is upgrading NTLI to Outperform from Neutral based on low expectations and execution. Raised target price to $35 from $27.

Onyx Pharmaceuticals

upgraded at Wachovia: Wachovia said it is upgrading ONXX to Outperform to based on valuation. Sets target price range of $24-$27 a share.

Payless Shoes

upgraded at Goldman: Goldman Sachs said it is upgrading PSS to Inline from Underperform based on strong Q1 results, successful restructuring, and gross margin momentum.

Ross Stores

downgraded at Goldman: Goldman Sachs said it is downgrading ROST to Underperform from Inline on concerns about execution, systems integration, and slower-than-expected margin recovery. Slight multiple premium versus group average is unwarranted.

Ryland Group

downgraded at Wachovia: Wachovia said it is downgrading RYL to Market Perform due to an increasingly competitive environment. Ryland's policy of maintaining price levels at the expense of order volume is resulting in steeper decreases than expected. Lowered 2006 estimates to $8.25 from $9.55.

Wachovia

upgraded at Prudential: Prudential said it is upgrading WB to a Neutral Weight rating as there is minimal downside risk from here.

Wal-Mart

upgraded at BofA: WMT was upgraded from Neutral to Buy, BofA said. $55 price target. Estimates also raised for three reasons: better merchandising, lower square footage growth that improves ROIC, and gross margin improvement.

XM Satellite

downgraded at Bear Stearns: Bear Stearns said it is downgrading XMSR to Underperform from Outperform due to management credibility issues and lack of near-term catalysts for stock appreciation.

XM Satellite Radio

downgraded at Bear: XMSR was downgraded from Outperform to Underperform, Bear Stearns said. Management is losing its credibility with investors, and the stock has few potential near-term catalysts.

XM Satellite Radio

target cut at Piper: Piper said it is cutting its target price on XMSR from $27 to $18 due to lower subscriber estimates. Maintained Outperform rating.

XM Satellite Radio

target price lowered at UBS: UBS said it is lowering its target price on XMSR to $25 from $35 after company announced year-end subscriber numbers and revenue guidance will be lower than expected. Maintained Buy rating.

STOCK COMMENTS / EPS CHANGES

Autozone

estimates cut at Goldman: Goldman Sachs said it is lowering its 2006 estimates on AZO by 16 cents to $7.40 based on lower sales and gross margin expectations. Continued view that operating margins have been unsustainably high and that limited potential for margin expansion will keep shares from outperforming market. Reiterated Inline rating.

Autozone

estimates cut at Piper: Piper said it is cutting its 2007 estimates on AZO by 21 cents to $8.31 a share based on more conservative gross margin estimates. Maintained Market Perform rating.

Borders

estimates cut at Jefferies: Jefferies said it is cutting 2006 estimates on BGP to $1.37 from $1.45 due to weak sales trends. Reiterated Hold rating with price target of $22.50.

Carnival

estimates, target cut at Deutsche: CCL target lowered to $63 a share, Deutsche Bank said. Estimates also reduced, to match the company's new guidance. Buy rating.

El Paso

target price raised at UBS: UBS said it is raising its target price on EP to $20 from $18. Believes plenty of upside is left. Maintained Buy rating.

Freeport

estimates raised at Goldman: Goldman Sachs said it is raising its 2006 estimates on FCX to $6.22 from $5.12 based on new copper price forecasts by Goldman's commodity research team.

General Motors

estimates raised at Goldman: Goldman Sachs said it is upping its 2006 estimates on GM to $1.25 from $0.50 to reflect new UAW healthcare deal accounting. Remain cautious due to lowered production estimates. Reiterated Inline rating.

Goldman Sachs

estimates raised at Prudential: Prudential said it is raising its 2006 estimates on GS by 70 cents to $16.70 a share. Maintained Overweight rating.

Starwood

target raised at Merrill: Shares of HOT now seen reaching $68, Merrill Lynch said. Company hosted an upbeat investor day, and should be able to meet annual growth targets. Management also buying back debt and stock. Buy rating.

Hershey

target price raised at UBS: UBS said it is raising its target price on HSY to $67 from $61. Cites confidence in long-term growth strategy. Maintained Buy rating.

Network Appliance

estimates raised at Goldman: Goldman Sachs said it is raising 2007 estimates on NTAP by 4 cents to $0.80 due to ramping revenue opportunities. See possibility for upside in new high end products, existing products, and partnership with IBM. Reiterated Inline rating.

Phelps Dodge

estimates raised at Goldman: Goldman Sachs said it is raising its 2006 estimates on PD to $12.69 from $10.50 based on new copper price forecasts by Goldman's commodity research team.

Petco

estimates lowered at Goldman: Goldman Sachs said it is trimming its 2007 estimates on PETC by 2 cents to $1.60 based on more aggressive pricing on food items. Maintain inline/Cautious rating.

PSS World

medical estimates raised at Goldman: Goldman Sachs said it is raising its 2007 estimates on PSSI by 2 cents to $0.79 due to better than expected margin trends in the Physicians business. Maintained Outperform rating.