Lehman Comments Boost Sycamore

Sycamore Networks

(SCMR)

was jumping 15.6% to $3.97 in Instinet premarket trading after Lehman Brothers urged investors to buy the stock.

Lehman issued a research note in which it upgraded Sycamore to strong buy from market perform, citing the stock's valuation. Shares of Sycamore are near their 52-week low of $3. The high for the last year was $12.60.

Lehman said that for "investors willing to stomach above-average risk, we believe Sycamore Networks may warrant purchase." Sycamore was among the most active stocks before the bell and was also one of the biggest percentage gainers.