CHANGE IN RATINGS

AMR

(AMR)

downgraded at Argus to Sell from Hold based on higher fuel prices and weak industry demand.

Choice Hotels

(CHH) - Get Report

upgraded at Wachovia from Market Perform to Outperform. Company has a high-margin franchise model and isn't affected as much by lower business travel.

Dendreon

(DNDN)

rated new Hold at Morgan Joseph. Stock is already pricing in success, though the company has attractive long-term growth prospects.

Electronic Arts

( ERTS) upgraded at Merrill/BofA from Neutral to Buy. $26 price target. Expect the company to exceed earnings expectations the next couple of quarters and also benefit from the launch of Sims 3.

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FedEx

(FDX) - Get Report

upgraded at Barclays from Equal-weight to Overweight. $71 price target. Ground business will add to growth and patient investor should be rewarded.

Starwood Hotels

(HOT)

downgraded at Wachovia to Market Perform. Company is trading at a premium valuation and margins could be hurt by poor RevPAR trends.

Motorola

( MOT) initiated at BMO. Initiated with a Market Perform rating and $6 price target. Introduces 2009 EPS estimates of -$0.10.

Nokia

(NOK) - Get Report

initiated at BMO with an Underperform rating and $11 price target. Introduces 2009 EPS estimates of $0.73.

Qualcomm

(QCOM) - Get Report

initiated at BMO. Initiated with an Outperform rating and $60 price target. Introduces 2009 EPS estimates of $1.78.

Research In Motion

( RIMM) initiated at BMO. Initiated with an Outperform rating and $100 price target. Introduces fiscal 2010 EPS estimates of $4.19.

Shanda Interactive

( SNDA) downgraded at Brean Murray to Hold from Buy. New regulations which may pressure core growth and the possibility of AION's performance being stalled led to the decline in ratings.

Southern Company

(SO) - Get Report

downgraded at Citigroup from Buy to Hold. $31.50 price target. Company is losing its ability to raise rates in the current environment.

Coverage initiated on

Western Refining

(WNR)

at Goldman with a Neutral rating. Following its recent secondary offering, the co has strengthened its balance sheet and concerns about its ability to survive in a challenging margin environment have been reduced. Established price target at $8.

STOCK COMMENTS / EPS CHANGES

Apollo

(APOL)

estimates raised at Barclays through 2010. Company is seeing strong momentum in margins, driven by new starts and cost-cutting. Overweight rating and $100 price target.

E.I. DuPont de Nemours

(DD) - Get Report

target lowered at Goldman to $30 from $32 based on the uncertain economic environment and Pharma patent expirations in 2010. Maintained Buy rating.

Fairchild Semi

(FCS)

added to Top Picks list at Friedman, Billings Ramsey. Stock should react well to management's third quarter sales guidance. Outperform rating and $12 price target.

Illinois Tool Works

(ITW) - Get Report

numbers raised at Merrill/BofA to $37. Estimates also increased, to reflect the company's accelerated restructuring efforts. Underperform rating.

NRG Energy

(NRG) - Get Report

target increased at Jefferies to $30. Stock is worth more on its own than the current EXC offer, and expect the bid to be raised. Buy rating.

Penn National

(PENN) - Get Report

estimates raised at Oppenheimer through 2010. Company is seeing positive trends in Maine and Pennsylvania. Outperform rating and $38 price target.

Telmex International

( TII) target raised at Credit Suisse to $10.50 from $9. Benefitting from currency appreciation in Brazil and expected top line growth fueled the increase in numbers. Maintained Neutral rating.

STRATEGY CALLS / MARKET CALLS

Auto sector upgraded at Goldman to Attractive as they expect sales trends to improve due to increased consumer confidence, expanding consumer credit, rising affordability, and the new scrappage legislation. Favorites in the sector are Ford and ArvinMeritor.

U.S. refiners downgraded at Goldman to Cautious as they have lagged in performance this year. The outlook is not attractive either as the summer driving season is half over, gasoline inventories are rising, new refineries are ramping up in Asia, and lower than expected valuation. Sunoco and Tesoro were both downgraded to a Sell rating while Marathon Oil was upgraded to Neutral from Sell.

Marathon's

(MRO) - Get Report

Garyville major refinery expansion is on track to start up in the fall -- Target price was reiterated at $38.

Sunoco

(SUN) - Get Report

target was lowered to $20 from $35.

Tesoro

(TSO)

target was lowered to $12 from $18.

Valero

(VLO) - Get Report

target was lowered to $13 from $18.

Frontier Oil

( FTO) target was lowered to $14 from $20.

Holly

( HOC) target lowered to $19 from $30.

This article was written by a staff member of TheStreet.com.