CHANGE IN RATINGSArcher-Daniels-Midland ( ADM) downgraded at Citigroup from Hold to Sell. $25 price target. Deteriorating trends will likely become evident at the upcoming earnings report. Ansys ( ANSS) downgraded at JPMorgan to Neutral from Overweight. Following recent 52% rally, company will likely have to deliver results at high end of guidance range to maintain high multiple. Remain bullish long-term, but would look for better entry point. Price target at $27.50.
Estee Lauder ( EL) downgraded at UBS from Neutral to Sell. Stock is already pricing in a successful restructuring effort. $22 price target. Equinix ( EQIX) coverage initiated at Goldman Sachs with a Neutral rating based on lengthening sales cycles and increasing competition. Expect modest margin expansion and note that long-term outsourcing trends appear intact. Price target at $70. Intuitive Surgical ( ISRG) downgraded at Leerink Swann to Market Perform, Leerink Swann said. Uncertain economy continues to weigh on potential hospital spending. Estimates also lowered. Eli Lilly ( LLY) downgraded at Leerink Swann to Underperform. Cash flow will likely peak in the next two years, and 70% of 2010 sales will lose patent exclusivity over the next six years. NII Holdings ( NIHD) downgraded at Wachovia to Market Perform. Company guided to lower net adds, as business dropped off in March. Omniture ( OMTR) downgraded at Citigroup from Buy to Hold. Valuation call, as the stock is up 75% from its January lows. Rackspace ( RAX) upgraded at Goldman Sachs to Buy from Neutral based on improving growth profile and likely margin expansion. Company has executed well in a tough environment and is likely to post revenue growth of about 26% through 2012. Price target raised to $11.50 from $9.00. Sunoco ( SUN) upgraded at JPMorgan to Neutral from Underweight based on valuation and potential improvement in gasoline margins. Note improved supply/demand balance for refiners. VLO remains favorite in sector. SUN price target at $34. URS ( URS) downgraded at Credit Suisse from Outperform to Neutral. $40 price target. Stock is up 52% since early March, even outperforming the group. Company still has an attractive defensive business model.