Analyst upgrades:
- Oppenheimer upgraded Gymboree (NASDAQ: GYMB) to Outperform from Perform following the company's Q2 results to reflect valuation and square footage growth from Crazy 8. The firm has a $52 target on the stock.
- KeyBanc upgraded Lululemon (NASDAQ: LULU) to Buy from Hold on expectations sales and margins will improve in the near-term due to clean inventory levels. The firm recommends a pair trade of long Lululemon, short Under Armour (NYSE: UA).
- Keefe Bruyette upgraded Allied Capital (NYSE: ALD) to Market Perform from Underperform following the company's Q2 results and raised its target on shares to $3.50 from $1.
- Jack in the Box (NASDAQ: JACK) was upgraded to Overweight from Neutral at JPMorgan.
- LogMeln (NASDAQ: LOGM) was upgraded to Overweight from Neutral at Piper Jaffray.
- Barclays (NYSE: BCS) was reinstated with an Outperform from Neutral at Credit Suisse.
Analyst downgrades:
- Oppenheimer downgraded Dearborn Bancorp (NASDAQ: DEAR) to Perform from Outperform as it believes the company will need to raise additional capital to absorb future losses.
- KeyBanc downgraded Under Armour to Underweight from Hold on concerns higher markdowns and return reserves will pressure margins. The firm recommends a pair trade of long Lululemon, short Under Armour.
- Deutsche Bank downgraded Regions Financial (NYSE: RF) to Hold from Buy. The firm downgraded shares on valuation following the recent outperformance and concerns that construction and commercial real estate will become increasingly difficult for the banks. Deutsche has a $5 target on shares.
- PetSmart (NASDAQ: PETM) was downgraded to Neutral from Outperform at Credit Suisse.
- Brandywine Realty (NYSE: BDN) was downgraded to Neutral from Buy at BofA/Merrill.
- AstraZeneca (NYSE: AZN) was downgraded to Hold from Buy at Citigroup.
Analyst initiations:
- Barclays named Priceline.com (NASDAQ: PCLN) its Top Pick in Online Travel. Shares were initiated with an Overweight rating and $180 target.
- Mariner Energy (NYSE: ME) was initiated with an Outperform rating and $16 target at Credit Suisse.
- Newell Rubbermaid (NYSE: NWL) was initiated with an Equal Weight rating and $16 target at Morgan Stanley.
- Marvel (NYSE: MVL) was initiated with a Market Perform rating at BMO Capital.
- Digital Realty (NYSE: DLR) was assumed with a Buy rating and $48 target at BofA/Merrill.
- Tyler Technologies (NYSE: TYL) was initiated with an Outperform rating at William Blair.
Closing Bell: When We All Love the PIIGS (NBG, SQNM, PG, ERTS, KO)
Serious Money: Cheapest Stocks List Shrinks from 26 to 21
Chasing Value: Hasbro Earnings Makes My Point
