CHANGE IN RATINGS
upgraded at Goldman Sachs to Buy from Neutral based on modest valuation relative to solid top-line and earnings growth in 2008, strong secular growth trends, no exposure to financial services and spending coming from R&D budgets rather than IT. Price target raised to $52 from $49.
upgraded at UBS to Buy rating from Neutral. Price target and FY 2008 EPS estimates hold at $16.94 and $0.80, respectively.
upgraded at Bear to Outperform. Valuation call, as there is 39% upside potential to the company's $17 price target. Current cycle poses a headwind, but strong secular growth potential remains.
upgraded at Morgan Stanley from equalweight to overweight and moves price target from $70 to $78.
upgraded at Morgan Stanley from underweight to equalweight and moves price target from $102 to $124.
downgraded at Baird to Neutral. $44 price target. Slowdown is US manufacturing should hold back the company in 2008. Investors should focus on later cycle names.
downgraded at Keybanc from Aggressive Buy to Buy. $50 price target. Valuation call, even as estimates are also being raised to reflect another blowout quarter.
upgraded at Merrill from Sell to Neutral. Stock is down 46% from its 52-week highs, and is already pricing in a potential recession.
downgraded at Baird to Neutral. Company has 75% exposure to industrial end markets, and will likely be hurt by slower US growth in 2008. $50 price target.
upgraded at Deutsche to Buy. $18 price target. Fundamental challenges are outweighed by the current discount valuation.
upgraded at CIBC from Sector Perform to Outperform. Stock has pulled back ot an attractive valuation, given the rising value of its non-operating assets. $31 price target. Shares have a positive 3 times risk/reward ratio at current levels.
STOCK COMMENTS / EPS CHANGES
Assisted Living Concepts
numbers lowered at Jefferies. Price target drops to $9.25 from $11 and FY 2008 EPS estimates dip to $0.28 from $0.33. Reiterates Buy rating.
price target reduced at Goldman to $33 from $35. See significant weakness in many small-cap consumer/retail growth comps following disappointing results and/or outlooks. See meaningful upside once investors become comfortable with growth outlook despite infomercial weakness. Maintained Buy rating.
price target lowered at Goldman to $31 from $33 due to higher marketing spending in an increasingly competitive environment. Q3 subscriber metrics slightly ahead of expectations, but weak ARPU and Telecom EBITDA indicate strength came from promotional pricing and marketing that will continue to pressure growth outlook. Maintained Neutral rating.
numbers slashed at UBS. Price target drops to $4 from $14 and FY 2008 EPS estimates lowered to $0.80 from $1.25. Reiterates Neutral rating.