AK Steel (AKS) was upgraded to buy from hold at Jefferies. $6.25 price target. Domestic steel prices have bottomed and the company has cleaned up its balance sheet, Jefferies said.
Bemis (BMS) was downgraded to neutral from buy at Bank of America/Merrill Lynch. $54 price target. Earnings quality is declining, analysts said.
Cardinal Health (CAH) was downgraded to neutral from outperform at Robert Baird. $82 price target. The company is facing increased competition, Baird said.
California Water (CWT) was downgraded to underweight at Barclays. $28 price target. Earnings estimates were also cut, given a reduction to the base rate, Barclays said.
GNC (GNC) was downgraded to underperform from neutral at Bank of America/Merrill Lynch. $13 price target. Business trends continue to decline and the analysts see a lower chance of a takeout.
L-3 Communications (LLL) was downgraded to hold at Drexel Hamilton. The valuation is less attractive, as growth is slowing, Drexel said.
Level 3 Communications (LVLT) was upgraded to outperform at Oppenheimer. $60 price target. Possible CenturyLink deal would be attractive, Oppenheimer said.
McKesson (MCK) was downgraded to market perform at Leerink Partners. $60 price target. Pricing is deflating because of increased competition, Leerink said.
McKesson was downgraded to hold from buy at Deutsche Bank. $153 price target. The company cut guidance and lacks near-term visibility, Deutsche said.