Analyst Upgrades
- Citigroup upgraded 3M Company (MMM) to buy from hold on expectations the company will deliver superior financial returns over the next 9 to 12 months and on valuation. The firm raised its target on shares to $92 from $84.
- Deutsche Bank upgraded CA Inc. (CA) to buy from hold as it believes cloud computing could accelerate the company's growth over the next 2 to 3 years. The firm raised its target on shares to $28 from $22.
- Wells Fargo upgraded Cooper Companies (COO) to outperform from market perform as it believes that the company has largely eliminated its execution risks while its new products should enable it to grow more quickly than the market.
- BioMarin (BMRN) was upgraded to buy from hold at Collins Stewart.
- Liquidity Services (LQDT) was upgraded to outperform from perform at Oppenheimer.
- RealNetworks (RNWK) was upgraded to neutral from underweight at JPMorgan.
Analyst Downgrades
- Kaufman Bros. downgraded Accenture (ACN) to hold from buy ahead of the company's November quarter results on December 17 due to valuation and demand concerns. Despite downgrading, the firm raised its target on shares to $43 from $41.
- Barclays downgraded Kimberly-Clark (KMB) to underweight from equal weight due to underinvestment, which will impact growth. The firm lowered its target to $66 from $68.
- UBS downgraded Kroger (KR) to neutral from buy citing margin pressure due to increased competition. The firm has a $22 target on the stock.
- Lockheed Martin (LMT) was downgraded to underperform from outperform at Macquarie.
- Ritchie Bros (RBA) was downgraded to market perform from outperform at Raymond James.
- One Liberty (OLP) was downgraded to underperform from market perform at FBR Capital.
Analyst Initiations
- Calyon initiated PepsiCo (PEP) with an underperform rating and $69 target due to pressure on returns. The firm said PepsiCo's bottler acquisitions will result in lower ROIC and that the company should consider a split of its snack and beverage assets in order to unlock value.
- Schweitzer Mauduit (SWM) was initiated with a conviction buy and $80 target at Goldman.
- Great Plains Energy (GXP) was initiated with a perform rating and $20 target at Oppenheimer.
- Kodiak Oil & Gas (KOG) was initiated with an outperform rating at Morgan Keegan.
- WPP Group (WPPGY) was started at HSBC with an overweight rating.
- Canadian Natural (CNQ) was initiated with a hold rating at Collins Stewart.
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