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Monday's Analysts' Upgrades and Downgrades

Who made what calls.
Author:

CHANGE IN RATINGS

Allstate

(ALL) - Get Report

downgraded at Wachovia from Outperform to Market Perform. Fundamentals are deteriorating in the company's personal insurance lines.

American Reprographics

(ARP)

upgraded to Buy at Suntrust, Robinson Humphrey. Non-residential construction was likely strong in the third quarter, and near-term earnings risk is already priced into the stock.

BEA Systems

downgraded at UBS to Neutral rating from Buy. FY 2008 EPS estimates hold at $0.43 while price target lifts to $14.50 from $14.00.

Chipotle Mexican Grill

(CMG) - Get Report

downgraded at Baird to Neutral rating from Outperform. However, price target upped to $135 from $120.

CenterPoint Energy

(CNP) - Get Report

upgraded at Credit Suisse to Outperform from Neutral based on valuation and positive meeting with management. Raised target price to $20 from $18.

Dover Downs

(DDE)

upgraded at Jefferies to Buy rating from Hold. However, FY 2008 EPS estimates dip to $0.81 from $0.82 and price target holds at $14.

Expedia

(EXPE) - Get Report

downgraded at Citigroup to Hold rating from Buy. FY 2008 EPS estimates hold at $1.41 while price target upped to $36 from $33.

Genpact

(G) - Get Report

initiated at UBS with Neutral rating. Price target starts at $18 and FY 2008 EPS estimates set at $0.60.

Hess

(HES) - Get Report

downgraded from Outperform to Market Perform at Friedman, Billings Ramsey. Crude prices should pull back 10% from record levels.

KLA-Tencor

(KLAC) - Get Report

downgraded at Friedman Billings Ramsey to Market Perform from Outperform. See lower bookings in Sept quarter and flat-to-down bookings post-March quarter 2008, driven by weakness in memory-related bookings. 2008 estimates cut to $3.50 from $3.86. Price target at $64.

Lehman Brothers

(LEH)

upgraded at Credit Suisse to Outperform from Neutral. Sees improved performance prospects and likelihood of multiple expansion. Maintained $85-$90 target price range.

Nabors Industries

(NBR) - Get Report

downgraded at Merrill Lynch to Neutral. Estimates also cut, to reflect the company's latest pre-announcement.

Merrill Lynch

(MER)

downgraded at JP Morgan from Overweight to Neutral. Lower market appetite for risk could weigh on the company's near-term growth. Estimates also cut to reflect management's new guidance.

TheStreet Recommends

Merrill Lynch downgraded at Credit Suisse to Neutral from Outperform. After revaluation following third-quarter preannouncement, firm lowers target price to $85 from $95.

Occidental Petroleum

(OXY) - Get Report

downgraded from Market Perform to Underperform at Friedman, Billings Ramsey. Crude oil prices are due for a 10% pullback in the near term.

Proctor & Gamble

(PG) - Get Report

downgraded at SunTrust Robinson Humphrey to Neutral from Buy based on valuation. With stock up 16% in past 3 months, see shares fairly valued based on solid core operations and margin benefits following integration of Gillette. Target remains $70.

Progressive

(PGR) - Get Report

downgraded at Wachovia from Market Perform to Underperform. Valuation call, as the stock trades at a hefty premium to its peers. Shares could fall to the $16 to $18 range.

Sovereign Bancorp

(SOV)

downgraded at Friedman, Billings Ramsey from Outperform to Underperform. The company has outsized exposure to consumer loans. $14 price target.

Sunoco

(SOV)

upgraded at Citigroup to Buy. Company should be a major beneficiary of the increased spread with ethanol prices. $90 price target.

Supertex

(SUPX)

upgraded at Oppenheimer to Buy. $55 price target. Company should see all segments rebound after three soft quarters where inventory was building up.

Talbots

(TLB)

downgraded from Market Perform to Underperform at Friedman, Billings Ramsey. Both divisions are seeing weak traffic, and will likely have to increase promotions. Debt-laden balance sheet also adds risk to the model.

Valero

(VLO) - Get Report

upgraded at Citigroup to Buy. Company has locked in higher prices with contracts, and has significant upside potential. $82 price target.

STOCK COMMENTS / EPS CHANGES

Apache

(APA) - Get Report

2007 estimates lowered at Goldman to $7.45 from $7.62 based on higher tax assumptions stemming from strong Canadian dollar. Effective tax rate pushed to 47% from 40% average over past year. Maintained Buy rating and $110 target.

Barnes Group

(B) - Get Report

numbers raised at Jefferies. FY 2008 EPS estimates upped to $2.25 from $2.15 and price target lifts to $38 from $35. Reiterates Buy rating.

Gap

(GPS) - Get Report

estimates increased at Morgan Stanley. Now seen earning $1.20 a share in 2008. Meeting with management increases confidence that margins have bottomed and could rebound in the near term. Overweight rating and $23 price target.

3M

(MMM) - Get Report

target raised at Goldman to $100 from $93 based on strong organic growth and higher P/E multiple. Note strong international exposure (61% of revenue) and recent 10% earnings growth internationally, vs. 2% in U.S. Maintained Neutral rating.

Microsemi

(MSCC)

numbers raised at Jefferies. FY 2008 EPS estimates upped to $1.31 from $1.29 and price target lifts to $33 from $27. Reiterates Buy rating.