CHANGE IN RATINGS
Advanced Auto Parts
downgraded at Credit Suisse to Neutral from Outperform based on valuation and sluggish macro environment. Lowered target price to $35 from $41.
( ACF) downgraded at FBR to an Underperform rating as December data was significantly worse than expected.
downgraded at Merrill from Neutral to Sell. Company has good momentum coming out of the holidsay season, but 2008 estimates are still likely too high.
downgraded at JP Morgan from Overweight to Neutral. Estimates also cut as price competition could heat up with market saturation.
upgraded at Goldman Sachs. Goldman is removing the Not Rated designation from FISV and placing a Buy rating on the stock. With CheckFree acquisition and health business divestiture recently completed, see improved profit and attractive defensive play in current environment. Price target at $60.
( FTO) upgraded at FBR to an Outperform rating due to expected seasonal swing as margins likely to rise.
upgraded at JP Morgan from Underweight to Neutral. Company hosted an upbeat meeting in NY, and believe that the chances for a 2008 earnings miss are minimal. Estimates also raised, based on cost-cutting efforts.
downgraded at Merrill from Neutral to Sell. Dividend will likely be at risk this year, as earnings will continue to fall. Stock still has another 16% downside potential.
downgraded at Goldman Sachs to Neutral from Buy due to lower visibility, reduced growth outlook, and limited catalysts. See need for increased investor confidence in 2009 estimates, as well as potential impact of U.S. recession. Maintained $45 price target.
upgraded at Deutsche Bank to a Buy rating as company has high visibility and favorable supply/demand conditions in wind market.
upgraded at Morgan Stanley from Equal-weight to Overweight. Stock is also pricing in a mild recession, and the dividend yield should provide downside support. $35 price target.
RF Micro Devices
upgraded at Deutsche Bank to a Hold rating as stock price now fully reflects problems in core markets.
downgraded at Credit Suisse to Underperform from Outperform based on unstable macro environment and valuation. Lowered price target to $70 from $140.
downgraded at Merrill from Neutral to Sell. Stock fell 21% in 2007, and there's another 28% downside potential in the new year. Poor residential construction credit should continue to cut into earnings.
( TWB) downgraded at Merrill to Sell. 2008 estimates are likely too high, as comp. sales should continue to decelerate.
STOCK COMMENTS / EPS CHANGES
price target raised at Goldman to $55 from $42 based on increased conviction in sales momentum. See margin improvements across numerous product lines and increased efficiencies. Maintained Neutral rating.
numbers cut at UBS. Price target lowered to $50 from $52 and FY 2007 eps estimates drop to loss of $(0.36) from $1.41. Reiterates Buy rating.
numbers cut at Jefferies. Price target lowered to $45 from $50 and FY 2008 eps estimates drop to $6.49 from $7.10. Reiterates Hold rating.
Capital One 2007 estimates cut at FBR by $1.05 to $3.90 a share to reflect recent preannouncement and greater loan loss assumptions.
added to Focus List at JP Morgan. $37 price target. Declining milk prices and Dairy restructuring should help margins. Overweight rating.
Opnext ( OPXT)
numbers cut at Jefferies. Price target slashed to $9 from $17 and FY 2008 eps estimates drop to $0.38 from $0.47. Reiterates Buy rating.
numbers lowered at UBS. Price target lowered to $26 from $20 and FY 2007 eps estimates drop to $1.03 from $1.06. Reiterates Buy rating.
( WYE) numbers cut at Morgan Stanley through 2011. Company will be hurt by the Protonix suit. Equal-weight rating and new $49 price target.
This article was written by a staff member of TheStreet.com.