Change in Ratings Axsys Technologies ( AXYS) coverage initiated at J.P.Morgan with a Neutral rating. See attractive growth profile fully valued in shares. Also note 2009 cyclical headwinds and potential increase in operating expenses to support surveillance product sales. Price target at $59. BorgWarner ( BWA) upgraded at J.P.Morgan to Overweight from Neutral based on valuation and medium-term revenue and earnings growth expectations. Also note strong liquidity position. Holly Energy Partners ( HEP) downgraded at Goldman Sachs to Neutral from Buy based on valuation. Note that shares have outperformed sector over past 6 trading days. Price target raised to $32 from $26 based on higher target yield. Henry Schein ( HSIC) upgraded at Credit Suisse to Outperform from Neutral based on attractive risk/reward following pullback. Lowered target price to $57 from $63. Invitrogen ( IVGN) upgraded at UBS to Buy from Neutral. Price target lowered to $41 from $48. Maintains 2008 EPS estimates of $2.60. Kroger ( KR) upgraded at Jefferies to Buy from Hold. Price target raised to $32 from $28. Raised fiscal 2009 EPS estimates from $1.91 to $1.92. PPG Industries ( PPG) upgraded at UBS to Buy from Neutral. Price target lowered to $60 from $72. 2008 EPS estimates lowered to $5.15 from $5.25. Whole Foods Market ( WFMI) downgraded at Jefferies to Underperform from Buy. Price target lowered to $9.50 from $23. Maintains 2008 EPS estimates of $0.92. Weatherford ( WFT) upgraded at Citigroup from Hold to Buy. $30 price target. Valuation call, which offsets budget cuts at E&P firms. Company has a solid project book, and balance sheet concerns have been overblown.
Watsco ( WSO) upgraded at Oppenheimer to Perform. The stock is down 35% since mid-September, and the new consensus analyst estimate better reflects the difficult environment. Stock Comments/EPS Changes Avon Products ( AVP) numbers lowered at UBS. 2008 EPS estimates lowered to $2.11 from $2.25. Price target lowered to $47 from $52. Maintains Buy rating. Texas Instruments ( TXN) price target trimmed at Goldman to $23 from $26 following Q3 results that were slightly below expectations. Note declining market share at Nokia ( NOK). Maintained Neutral rating. VMWare ( VMW) numbers lowered at UBS. 2008 EPS estimates lowered to $0.51 from $0.54. Price target lowered to $21 from $26. Maintains Neutral rating.