BJ Services ( BJS) downgraded at Goldman Sachs to Sell from Neutral based on severe margin challenges caused by collapse in pressure pumping pricing and slowdown in drilling activity. Believe that structural pressure pumping overcapacity could persist into the next upcycle, limiting upside. Price target cut to $8 from $10.

Genentech ( DNA) downgraded at Oppenheimer to Perform. Believe the deal with Roche is done at $95.

Devon Energy ( DVN) upgraded at Barclays from Equal-weight to Overweight. $72 price target. Valuation call, as the stock has underperformed its peers.

Foster Wheeler ( FWLT) upgraded at Goldman Sachs to Buy from Neutral based on attractive valuation, lower consensus estimates and limited negative catalysts before May earnings season. See potential for awards to be added to backlog and additional upstream projects. Price target raised to $23 from $18.

Helmerich & Payne ( HP) downgraded at Goldman Sachs to Sell from Neutral due to ongoing weakness in U.S. land drilling market. Note falling land rig count and see little room for improvement until natural gas prices stay above $5.

King Pharmaceuticals ( KG) upgraded at Goldman to Buy from Neutral. Following recent selloff, shares are trading as if Embeda and Remoxy will not be approved by the FDA, which is not necessarily the case. Price target at $10.

Palm ( PALM) upgraded at RBC Capital from Sector Perform to Outperform. $12 price target. WebOS is just as important to the company's potential success as the launch of the Pre.

Paychex ( PAYX) upgraded at UBS from Sell to Neutral. $22 price target. Valuation call, as the 6% dividend yield appears safe.

Paychex ( PAYX) estimates reduced through 2010, target cut at Barclays Capital. Weak economy and lower interest rates will weigh on results. Equal-weight rating and new $25 price target.

PPG Industries ( PPG) downgraded at Credit Suisse to Underperform from Neutral based on further weakening demand in end markets. Lowered target price to $30 from $40.


Nike ( NKE) estimates reduced at Barclays through 2010. Inventory levels do remain high, because of weak future orders. Overweight rating.

Oracle ( ORCL) estimates, target lowered at Morgan Stanley. Target cut to $20. Estimates reduced because of lower sales demand, though the company is keeping a lid on costs. Overweight rating.

Radio Shack ( RSH) estimates cut at Morgan Stanley through 2010. Business is soft, outside of the converter box demand. Equal-weight rating.

Smithfield Foods ( SFD) numbers cut at Barclays to $24. Estimates also lowered, to reflect lower hog production and the weak European economy. Equal-weight rating.

Staples ( SPLS) estimates through 2011, target cut at Morgan Stanley. Company is managing well, but demand remains light and the strong dollar is hurting earnings. Overweight rating and new $21 price target.

Skyworks ( SWKS) estimates raised through 2010 at Morgan Stanley. Channel checks show that the company is taking market share and margins could grow. Overweight rating and new $10 price target.

United Technologies ( UTX) numbers cut at Merrill Lynch/Bank of America to $47. Estimates also lowered, following the company's investor meeting, because of the global slowdown. Buy rating.
This article was written by a staff member of