Tuesday's Analysts' Upgrades and Downgrades - TheStreet

Tuesday's Analysts' Upgrades and Downgrades

Who made what calls.
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CHANGE IN RATINGS

Big 5 Sporting Goods

(BGFV) - Get Report

downgraded at Credit Suisse to Underperform from Neutral. Sees exposure to California market as a drag short-term. Raised target price to $24 from $20.50.

Burlington Northern

(BNI)

downgraded at UBS to Neutral rating from Buy at UBS. FY 2007 EPS estimates lowered to $5.58 from $5.65 and price target holds at $97.

Coverage of

Clearwire

(CLWR)

was started with an Overweight rating at Morgan Stanley. $28 price target. Company is an attractive pure-play in the expanding wireless broadband market.

Clearwire was initiated with a Peer Perform rating and $19 price target at Bear Stearns. New market launches should drive growth, though the company still faces tough competition in spite of its higher wireless speeds.

Costco

(COST) - Get Report

was upgraded from Market Perform to Outperform at Piper Jaffray. $65 price target. Stock has hidden value in its real estate and membership fees. 2008 estimates also raised, to reflect the prospect of higher margins.

Cott

(COT) - Get Report

upgraded at Deutsche Bank from Sell to Hold. $16 price target. Potential combination with Cadbury would create significant value. Fundamental outlook otherwise remains weak.

Endo Pharma

(ENDP) - Get Report

downgraded to Market Perform at Friedman, Billings Ramsey. Stock is within 10% of the $34 price target, and the prospect of generic competition for Lidoderm is still hanging over the company.

Eaton

(ETN) - Get Report

was downgraded from Outperform to Market Perform at Friedman, Billings Ramsey. Estimates raised to reflect the company's strong quarter, but the stock already reflect the growth potential. $93 price target.

Magna

(MGA) - Get Report

was downgraded from Buy to Neutral at Merrill Lynch. Risk/reward has become less attractive if the company goes along with the Chrysler acquisition.

PetSmart

(PETM)

was downgraded from Outperform to Neutral at Robert Baird. $36 price target. Stock is up 20% on the year, and poor weather and the pet food recall could put a damper on first quarter results.

Zoran

(ZRAN)

upgraded to Buy rating from Hold at Jefferies. Price target jumps to $24 from $14 and 2007 EPS estimates rise to $1.00 from $0.70.

STOCK COMMENTS / EPS CHANGES

Citigroup

(C) - Get Report

numbers upped at Morgan Stanley. Shares of C now seen reaching $60. Estimates also raised, to reflect cost cuts. Overweight rating.

Goldman is increasing its 2007 estimates on Citigroup by 10 cents to $4.50, based on solid Q1 results showing modest credit deterioration and positive investment banking results. Maintained Neutral rating and $59 target.

CBS

(CBS) - Get Report

estimates trimmed for 2008 and 2009 at Morgan Stanley. Broadcast ratings remain weak. Equal-weight rating and $35 price target.

Credit Suisse is raising its target price on

Express Scripts

(ESRX)

to $102 from $95 based on better-than-expected growth this year and an accelerated share repurchase. Maintained Outperform rating.

WW Grainger

(GWW) - Get Report

numbers boosted at Morgan Stanley through 2008. Industrial activity remains strong, and the company is realizing improved operating leverage. Underweight rating and new $81 price target.

Eli Lilly

(LLY) - Get Report

price target increased at Goldman to $64 from $62, based on better than expected volume growth trends and operating leverage. Q1 results showed 7% volume growth in U.S. and guidance indicates expectation for improved operating margin this year vs. last. Maintained Buy rating.

Wachovia

(WB) - Get Report

numbers boosted at Morgan Stanley through 2008 because of a lower tax rate. Equal-weight rating and new $61 price target.

Credit Suisse is reducing its 2007 EPS estimates on

Werner Enterprises

(WERN) - Get Report

to $1.15 from $1.20 following disappointing Q1 results. Maintained Underperform rating.

STRATEGY CALLS / MARKET CALLS

3 Stent companies upgraded at Bernstein:

BSX

,

MDT

and

STJ

were upgraded from Market Perform to Outperform at Bernstein. ICD market should accelerate from negative growth to double-digit expansion by the end of the year.

2 Satellite TV stocks upgraded at Cowen:

DTV

and

DISH

were upgraded from Underperform to Neutral at Cowen. Competitive threats from telecom giants remain, though the companies continue to throw off lots of free cash flow.