These are the top pre-market analyst upgrades and downgrades in Wall Street research calls this Wednesday morning:
Analyst Upgrades:
- Smithfield Foods (SFD) upgraded to Buy at Deutsche Securities ; price target raised to $20 from $12
- Toll Brothers (TOL) upgraded to Outperform at Wells Fargo ; the firm sees co.’s valuation range between $24-$26
- Myriad Genetics (MYGN) upgraded to Hold at Morgan Joseph
- Fluor (FLR) upgraded to Hold at Citigroup ; price target raised to $50 from $44
- Columbia Sportswear (COLM) upgraded to Neutral at Susquehanna Financial
- FPL Group (FPL) upgraded to Buy at Citigroup ; price target raised to $58 from $55
- Microchip (MCHP) upgraded to Neutral at Goldman Sachs
- Dime Community (DCOM) upgraded to Overweight at Barclays Capital ; price target raised to $15 from $12
- Deutsche Bank raises its price target on Dick’s Sporting Goods (DKS) to $29 from $25
- Webster Financial (WBS) upgraded to Overweight at Barclays Capital ; price target set at $15
- Alumina (AWC) upgraded to Neutral at Credit Suisse
- Doral Financial (DRL) upgraded to Buy at B. Riley & Co.
- Bank of America/Merrill raise their price target on Salesforce.com (CRM) to $72 from $66
- Cathay Bancorp (CATY) upgraded to Market Perform at FBR Capital ; price target set at $8.50
- TrustCo Bank Corp. NY (TRST) upgraded to Neutral at Sterne Agee
- RPM Inc. (RPM) upgraded to Gradually Accumulate at Soleil ; price target set at $23
- T. Rowe (TROW) upgraded to Outperform at Credit Suisse ; price target raised to $60 from $55
- Assoc Bank-Corp. (ASBC) upgraded to Strong Buy at Raymond James
- Cavium Networks (CAVM) upgraded to Neutral at GC Research ; price target raised to $18 from $16
- Ascent Solar (ASTI) upgraded to Hold at Jefferies & Co. ; price target raised to $4.50 from $4
- Jefferies raises their price target on Adobe Systems (ADBE) to $40 from $37
- Barclays raise their price target on Express Scripts (ESRX) to $95 from $92
- Hewitt Associates (HEW) upgraded to Buy at Deutsche Securities ; price target raised to $55 from $35
Analyst Downgrades:
- Tyson Foods (TSN) downgraded to Neutral at JP Morgan ; price target lowered to $12 from $14
- Allegheny Energy (AYE) downgraded to Hold at Citigroup ; price target lowered to $23 from $33
- Synovus (SNV) downgraded to Market Perform at Morgan Keegan
- Cytec (CYT) added to Americas Conviction Sell list at Goldman Sachs
- Sigma Designs (SIGM) downgraded to Sell at Collins Stewart ; price target set at $9
- Caris lowers its price target on Western Refining (WNR) to $4.50 from $6
- JA Solar (JASO) downgraded to Sector Perform at RBC Capital Markets ; price target set at $4
- Alexandria RE (ARE) downgraded to Hold from Buy at Citigroup
- Prospect Energy (PSEC) downgraded to Market Perform at Wells Fargo
- Priceline.com (PCLN) downgraded to Neutral at Credit Suisse ; price target set at $210
- China Digital TV (STV) downgraded to Neutral at Piper Jaffray
- Zions Bancorp (ZION) downgraded to Market Perform at Morgan Keegan
- Adobe Systems (ADBE) downgraded to Perform at Oppenheimer
Coverage Initiated:
- Two Harbors Investment Corp. (TWO) initiated with a Buy and a $11 price target at Ladenburg
- Celsion (CLSN) initiated with a Buy and a $7 price target at Needham
- Nabors Industries (NBR) initiated with a Buy at Canaccord Adams
- SciClone Pharmaceutical (SCLN) initiated with a Buy and a $5 price target at National Securities
- Echo Global Logistics (ECHO) initiated with an Outperform and a $20 price target at Credit Suisse
- OceanFirst Financial (OCFC) initiated with a Buy at a $11.50 price target at Stifel Nicolaus
- Superior Well Services (SWSI) initiated with a Buy at Canaccord Adams
- Education Management (EDMC) initiated with an Overweight and a $30 price target at Piper
- Cameron (CAM) initiated with a Positive and a $48 price target at Susquehanna Financial
- Wynn Resorts (WYNN) resumed with a Buy at Bank of America/Merrill
- Education Management (EDMC) initiated with a Neutral and a $25 price target at Robert W. Baird
- Hyatt Hotels (H) initiated with a Underperform at Bernstein
- Talecris Biotherapeutics (TLCR) initiated with an Equal Weight and a $24 price target at Barclays Capital
- Hudson Valley Holding (HUVL) initiated with a hold at Stifel
- Patterson-UTI (PTEN) initiated with a Hold at Canaccord Adams
On the news front this morning:
- The Journal reports banks are moving quickly to restructure commercial mortgages under new U.S. guidelines that are more forgiving of battered property values and can help banks avoid bigger losses. Citigroup (C), regional bank Whitney Holding (WTNY) and other lenders around the country are planning to review loans now considered nonperforming to determine if they can be reclassified under the guidelines announced Oct. 30 by bank, thrift and credit-union regulators, according to bank executives and people familiar with the matter. The moves could help the banks absorb fewer losses on troubled real-estate loans and preserve capital. “It’s a positive all the way around,” said James Smith, chief credit officer for National Bank of South Carolina, a unit of Synovus Financial (SNV).
- FoxBusiness reports the European Commission has set a one-month deadline to review Kraft Foods Inc’s (KFT) $16 billion hostile bid for British chocolate maker Cadbury (CBY) after the U.S. food group notified EU regulators. The Commission, the competition watchdog of the 27-nation European Union, said it would decide on the takeover by December 14. It gave no further details. Kraft Foods formalized its offer for Cadbury on Monday, setting the stage for a hostile takeover battle that could last several more months.
- According to Reuters, private equity firm TPG could partner with American Airlines on a minority investment in Japan Airlines to prevent its defection to a rival airline group, the chief financial officer of American parent AMR Corp (AMR) said.
- United Technologies (UTX) in nearing a purchase of General Electric Co’s (GE) fire alarm and security systems unit for at least $1.8 billion, and a deal could be announced as early as Thursday, Bloomberg reported.
- Dow Jones reports Hedge fund manager John Paulson doubled his stake in Cadbury PLC (CBY) the same day Kraft Foods Inc. (KFT) launched a formal GBP9.8 billion hostile offer for the U.K. confectioner, according to a U.K. regulatory filing . The New York-based hedge fund bought some 14.8 million shares at 759.59 pence each Wednesday, boosting his total shareholding to 28.5 million, or 2.08% of the company. The price paid by Paulson was 1 pence below Cadbury’s 761 pence closing price Wednesday.
- Toll Brothers (TOL) shares are 7.34% to $19.74 rtq before the bell following the homebuilder’s release of preliminary results on Tuesday. The co. said it expected fourth quarter revenue to drop 30 percent, but blew past Wall Street’s expectations by nearly $100 million. The co. also said preliminary results for the quarter ended October 31 showed fourth-quarter net contracts rose 42 percent to 765 units, or 62 percent to $430.8 million.
