Analyst upgrades, downgrades and initiations: ACI, HOT, LUV, QCOM, RTP, SAP ...

Analyst upgrades:

Jefferies upgraded SAP (NYSE: SAP) to Buy from Hold on expectations license declines will trough in Q2 and margins will expand going forward due to cost control and price increases. The firm has a $46 price target on shares.
BofA/Merrill upgraded STMicroelectronics (NYSE: STM) to Buy from Underperform on expectations the company will benefit from improving industry fundamentals in 2010.
Citigroup upgraded Freeport McMoRan (NYSE: FCX) to Buy from Hold to reflect the firm's positive copper outlook, as well as valuation following the recent pullback in shares. The firm has a $58 price target on the stock.
Phototronics (NASDAQ: PLAB) was upgraded to Buy from Neutral at UBS.
Anglo American (NASDAQ: AAUK) was raised to Hold from Sell at RBS.
Peabody Energy (NASDAQ: BTU) was upgraded to Buy from Neutral at Goldman.

Analyst downgrades:

Jefferies downgraded Chattem (NASDAQ; CHTT) to Hold from Buy to reflect decelerating scanner data in June and valuation. The firm keeps a $72 price target on shares.
Baird downgraded Starwood Hotels (NYSE: HOT) to Underperform from Neutral and lowered its target to $16 from $17 based on expectations that a hotel recovery will be pushed out until 2H10 and that a recovery in high-end corporate and group travelers segments will lag.
Piper Jaffray downgraded MoneyGram (NYSE: MGI) to Underweight from Neutral on valuation and balance sheet concerns.
Rio Tinto (NYSE: RTP) was downgraded to Hold from Speculative Buy at Canaccord.
Zebra Tech (NASDAQ: ZBRA) was downgraded to Market Weight from Overweight at Thomas Weisel.
Arch Coal (NYSE: ACI) was downgraded to Neutral from Buy at Goldman.

Analyst initiations:

Baird initiated Paccar (NASDAQ: PCAR) with a Neutral rating and $32 target. The firm said they would accumulate shares at current levels and would be more aggressive on signs of an end-market recovery.
Benchmark started Lamar Advertising (NASDAQ: LAMR) with a Sell rating and $11 target and believes advertising demand could weaken further and stay depressed into 2010. The firm also thinks Lamar's debt load could be pressured by its shrinking cash flow.
Soleil assumed coverage of Centurytel (NYSE: CTL) with a Buy rating and $40 target. The firm sees upside potential in CenturyTel given the company's restructuring opportunities.
Qualcomm (NASDAQ: QCOM) was initiated with an Outperform rating at Morgan Keegan.
Southwest Airlines (NYSE: LUV) was initiated with a Neutral rating and $7 target at Next Generation.
Linear Tech (NASDAQ: LLTC) was initiated with an Accumulate rating and $24 target at ThinkEquity.