CHANGE IN RATINGS
upgraded at Goldman to Neutral from Conviction Sell as the stock has already priced in its negative fundamental outlook. Opportunities cited are improved full cycle earnings power from continued OpEx discipline and a recovery in the industrial end market. Increased target price to $16 from $12. Estimates for 2009 were also raised to 62 cents from 58 cents and 2010 estimates were raised to 85 cents from 65 cents.
upgraded at Merrill/BofA to Buy. Analyst said ALU is oversold, down 20% from recent peak, and balance sheet risk will fade. Maintains $2.80 price target and 2009 EPS estimate at -31 cents.
rated new Overweight at Morgan Stanley. $22 price target. Expect encouraging news on potential blockbusters.
upgraded at Credit Suisse to Outperform from Neutral. The increase in ratings was prompted by better structural visibility and the expectation for improvements in its fundamentals. Increased its target price to $20 from $12.
rated new Buy at Citigroup. $23 price target. Company should benefit from an economic recovery and increase in network spending.
initiated at UBS. Initiated with a Neutral rating and $10 price target. Introduces fiscal 2010 EPS estimates of 73 cents.
rated new Overweight at Morgan Stanley. $31 price target. Expect Savella to generate material upside.
numbers lifted at Merrill/BofA to $180 from $175. 2009 EPS estimate increased to $19.21 and 2010 EPS estimate raised to $20.83 from $19.78.
numbers raised at UBS. Price target raised to $180 from $175. 2009 EPS estimates raised to $14.95 from $12.76. Maintains Buy rating.
upgraded to Outperform at Keefe, Bruyette & Woods. Company easily beat expectations last quarter, and the stock is inexpensive based on ROE. $195 price target.
upgraded at Deutsche Bank. Rating raised to Buy from Neutral. Price target raised to $16 from $12. 2009 EPS estimates lowered to $1.01 from $1.02.
rated new Buy at Citigroup. $29 price target. Expect a recovery in service provider spending.
target raised at Goldman to $9 from $8 based on the estimates raise and lower multiple which still reflects a high risk profile. Estimates raised to 37 cents from 29 cents for 2009 and for 2010 estimates were raised to 65 cents from 47 cents. Maintained Sell rating.
rated new Underweight at Morgan Stanley. $34 price target. Expect 60% of revenue to lose exclusivity in the coming years.
upgraded at Jefferies from Underperform to Hold. $30 price target. Credit markets are stabilizing, and new issuances should pick up. Estimates also raised.
upgraded at Goldman to Sell from Conviction Sell. Cites limited downside potential but the firm retains its negative beliefs and sell ratings on the Gulf of Mexico gas exploration companies. Price target set at $12.
initiated at UBS. Initiated with a Neutral rating and $54 price target. Introduces fiscal 2010 EPS estimates of $3.55.
upgraded at Merrill/BofA to Buy from Neutral. Research suggests that volumes are improving in the US and Europe. Price target raised to $32 from $31 and increased 2009 EPS estimate from $2.85 to $2.90.
initiated at BMO. Initiated with a Market Perform rating and $12 price target. Introduces fiscal 2010 EPS estimates of -5 cents.
downgraded at Merrill/BofA to Neutral from Buy and slashed the price target from $36 to $34. Analysts said land sales environment remains sluggish. 2009 EPS estimate set at $1.30.
rated new Buy at Merrill/BofA with a $32 price target. Analysts noted attractive valuation, improved gross margins, and reduced expenses in 2H09. Introduces 2009 EPS estimate at $2.29.
Pharmaceutical Product Dev.
Downgraded at Goldman to Sell from Neutral on a reduced growth outlook. Price target lowered to $18 from $21.
Coverage initiated on
at Goldman with a buy rating and target price of $25. Catalysts moving forward are a robust project pipeline and key legislation which is moving forward regarding transmission investments. This co. is one of the few contractors experienced at constructing high voltage lines which could be a key growth driver while its renewable installation segment is well positioned.
initiated at Merrill/BofA with a Buy rating and price target at $42. Analysts mentioned solid balance sheet, about 45% debt/cap, and free cash flow and dividend supported by Performance Fibers division. 2009 EPS estimate set at $1.30.
upgraded at Merrill/BofA to Neutral from Underperform as consumer/specialty packaging markets have been holding on to price at reasonably good levels. Price target inflated to $27 from $24 and 2009 EPS estimate boosted to $1.56 from $1.52.
Total System Services
downgraded at Goldman to Conviction Sell based on muted earnings growth into 2011, limited share value drivers, and continued pressure in its core North American segment. Target price established at $11.
initiated at UBS. Initiated with a Sell rating and $18 price target. Introduces 2009 EPS estimates of 80 cents.
upgraded at SMH to Accumulate. $45 price target. Valuation call, as the stock is down 23% from its June highs.
Companhia Vale do Rio Doce
upgraded at Merrill/BofA to BUY on better global economic look, upside risk on iron ore, and attractive valuation as VALE is trading at a 20% discount to peers. Maintains $20 price target and 2009 EPS estimate at $1.33.
STOCK COMMENTS / EPS CHANGES
target increased at Credit Suisse to $30 from $27. Its dominant position in higher education should drive revenue growth and its new target reflects a multiple closer to its industry peers. Maintained Neutral rating.
Charles River Laboratories
numbers raised at Goldman to $26 from $23. Shares are in-line with the CRO group and RMS adds stability to a more volatile PCS business. Maintained Sell rating.
numbers raised at Goldman to $42 from $36 based on positioning itself the best in the healthcare services industry. Maintained Neutral rating.
target increased at Credit Suisse to $22 from $18. The bellwethers' June quarter earnings were well above consensus while maintaining great margins. Also cites the increase in IT spending and bullish attitude on its long term growth prospects regarding global PC penetration. Estimates were also raised to 21 cents vs. a prior estimate of 12 cents. Maintained Outperform rating.
price target lifted at Merrill/BofA to $21 from $19 as improved demand drove impressive sales upside. Maintains Buy rating and 2009 EPS estimate at 58 cents.
numbers raised at UBS. Price target raised to $21 from $18. 2009 EPS estimates raised to 80 cents from 55 cents. Maintians Buy rating.
estimates raised at Goldman to 93 cents from 67 cents for the current year and to $1.00 from 95 cents for 2010 based on higher sales and improving margins. Maintained neutral rating and price target of $15.
Johnson & Johnson
target raised at Credit Suisse to $61 from $57. The increase in numbers were fueled by slightly better sales and new products coming out in the near term. Maintained Neutral rating.
Johnson & Johnson
estimates boosted at Morgan Stanley through 2011. Company expect lower currency losses. Overweight rating and $63 price target.
target decreased at Credit Suisse to $8 from $10. Cites valuation and that the co.'s shortfalls may take some time to prove as secular competitive pressures increase. Maintained Neutral rating.
target lowered at Goldman to $11 from $12.50 after negatively pre-announcing its June quarter results being adversely affected by weak demand and competitive pressures. Maintained Neutral rating.
target raised at Goldman to $11 from $9 based on its discounted valuation. F/X should provide tailwind with its highest OUS sales amongst CROs. Maintained Neutral rating.
This article was written by a staff member of TheStreet.com.