CHANGE IN RATINGS
downgraded at Oppenheimer from Perform to Underperform. Estimates also cut, as commodity prices are rising and the company will struggle to keep up with square footage growth targets in the current economic environment.
downgraded at Merrill/BofA from neutral to underperform with price target of $27. DD shares have appreciated 13.5% YTD vs. 22.0% for the S&P Chemicals index & 4.3% for the S&P500, and ML sees harder miles ahead. Expect EPA rulings to favor Monsanto. Patent expirations, pension & petrochemical input costs could all weigh on earnings in coming quarters.
rated new Buy at Deutsche Bank. $36 price target. Provenge will likely be approved in early 2010.
downgraded at Keybanc from Buy to Hold. Estimates also cut, because of a weaker domestic natural gas business and lower European industrial demand.
downgraded at Goldman Sachs to Neutral from Buy based on higher valuation and increased Street expectations. Previous bullish stance was based on improvements at Old Navy. Comps have turned positive and the catalyst has played out. Maintained $18 target.
upgraded at Baird from Neutral to Outperform. $69 price target. Weaker dollar could significantly boost sales.
downgraded at Credit Suisse to Neutral from Outperform. Cites declining traffic and weak valuation. Maintained target price of $500.
upgraded at Credit Suisse to Neutral from Underperform. Attractive valuation, cost reductions, and improving their position to gain volume led to the increase in ratings. Maintained target price of $10.
upgraded at Merrill/BofA to a buy from neutral and price target increased to $20 from $14.50. Boeing and Airbus contribute to ~95% of Spirit's revenues. Assuming a three-month lag, revised EPS projections for the rest of 2009 incorporate the impact of BA's stated 777 reduction which will affect SPR in 4Q09. BofA's estimates are conservative given the accounting block resets occurring in 2010, where there is potential for margin improvement depending on block size volume. SPR is inexpensive relative to its peers, with a one year-forward PE of 6.9X, while PCP, COL, and GR are trading at 12.2X, 13.2X, and 11.7X, respectively.
downgraded at Goldman Sachs to Neutral from Buy. Shares have underperformed for months in spite of positive news. Do not anticipate any improvement on already positive results and news. Maintained $42 target.
upgraded at Deutsche from Hold to Buy. $19 price target. Company has room for further margin improvement.
downgraded at JPMorgan to Underweight from Neutral due to increasing liquidity pressures. View recent RFP as a sign of fragility, and note continued weak demand and oil nearing $70.
Wind River Systems
downgraded at JPMorgan to Neutral from Overweight. Shares are up on Intel's bid, and analysts do not see any other potential bidders who could drive the stock higher. Price target raised to $11.50 from $9.
STOCK COMMENTS / EPS CHANGES
numbers boosted at Credit Suisse through 2010. Repayment of TARP funds would add to earnings. Underperform rating and new $20 price target.
estimates, target boosted at Merrill/BofA through 2013. Visibility for deliveries is improving. Buy rating and new $60 price target.
numbers cut at UBS to $36. Estimates also reduced, because of lower generic revenue and timing of a PFE contract payment. Buy rating.
numbers increased at Merrill/BofA to $78. Estimates also raised, to reflect accretion from the recent purchase of Wellpoint's PBM. Buy rating.
target raised at Credit Suisse to $70 from $50. Improving copper fundamentals, declining inventories, and improving macro data points have led to the raise in numbers. Maintained Outperform rating.
target increased at Morgan Stanley to $48, according to Morgan Stanley. Axsys deal makes financial and strategic sense. Equal-weight rating.
estimates, target boosted at Barclays through 2010, Barclays Capital said. Company is keeping a tight lid on expenses, though inventory remains high. Equal-weight rating and new $31 price target.
target raised at Barclays to $165. Estimates boosted to reflect higher expected trading revenue. Equal-weight rating.
target raised at Merrill Lynch/Bank of America to $34. Company deserves to trade on mid-cycle earnings. Underperform rating.
Johnson & Johnson
target raised Credit Suisse to $57 from $55. Indications of a better product outlook and filing seven new products for approval have led to the increase in numbers. Maintained Neutral rating.
target raised at Credit Suisse to $42 from $35 following their raise of equity to repay TARP. Maintained Outperform Rating.
estimates raised through 2010 at UBS. Company is gaining market share, and should be helped by currency trends. Buy rating and new $66 price target.
numbers raised at Barclays through 2010. Expect better capital markets revenue in the coming quarters. Equal-weight rating.
Research in Motion
numbers raised at Barclays to $104. Estimates also increased, to reflect strong sales driven by carrier discounts. Overweight rating.
estimates raised at RBC through 2010. Company is seeing solid same-store sales momentum. Outperform rating and $35 price target.
target boosted at Barclays to $50 a share. Company held an upbeat investor meeting and raised its earnings guidance. Overweight rating.
numbers raised at Credit Suisse to $49 from $46 after capturing market share and repurchasing shares to reflect its strong capital position. Maintained Neutral rating.
estimates, target raised at Bernstein Research. Shares now seen reaching $18. Paid search should outperform in the near term until display advertising ultimately recovers by next year.
This article was written by a staff member of TheStreet.com.