Encana ( ECA) downgraded at Credit Suisse to Neutral from Outperform. Remains cautious on North American gas fundamentals and sees limited upside from its $70 target price. FTI Consulting ( FCN) coverage initiated at Deutsche Bank with a Buy rating and $65 target price. Company well-positioned to sustain double-digit growth. Forest Labs ( FRX) upgraded at Merrill to Buy. Stock is down 23% for the year, and the Lexapro patent risk appears to have been resolved. $48 price target. Georgia Gulf ( GGC) upgraded at UBS to Buy rating from Neutral. Price target lifts at $17 from $16 while FY 2008 EPS estimates jump to $0.75 from flat. Heico ( HEI) downgraded at Suntrust from Buy to Neutral. Valuation call, though high-end markets should remain strong. KeyCorp ( KEY) downgraded at Morgan Stanley from equalweight to underweight and lowers price target from $38 to $30. Medco Health ( MHS) downgraded at Wachovia to Market Perform. Stock is up 70% for the year, and new 2008 guidance will not likely be enough to drive the price higher. Microstrategy ( MSTR) upgraded at Suntrust to Buy. Additional channel checks suggest the company hit third quarter sales targets. $96 price target. Novellus Systems ( NVLS) upgraded at UBS to Neutral rating from Sell. Price target lifts at $30 from $28 while FY 2008 EPS estimates holds at $1.65.
Office Depot ( ODP) downgraded at Credit Suisse to Neutral from Outperform. Sees significant challenges in all busines segments. Lowered target price to $24 from $30. PetSmart ( PETM) downgraded at Credit Suisse to Neutral from Outperform. Sees numerous headwinds that should limit upside near-term. Lowered target price to $29 from $36. Warner Chilcott ( WCRX) downgraded at Morgan Stanley from overweight to equalweight and moves price target to $21.