MAJOR PAPERS:

• Although Delta Air Lines Inc (NYSE: DAL) would like to merge with either UAL Corporation's (NASDAQ: UAUA) United Airlines or Northwest Airlines Corporation (NYSE: NWA), the company is close to Air France-KLM (NYSE: AKH), and together the two may be able to better shape a deal, the Wall Street Journal's "Heard on the Street" reported.
• The Wall Street Journal also reported that recent acquisitions by Sun Microsystems Inc (NASDAQ: JAVA) and Oracle Corporation (NASDAQ: ORCL) have suggested factors like a slowing economy could kick the high-tech deals into a "higher gear".
• Following a risk/reward reassessment, UBS AG (NYSE: UBS) decided to wind down its Switzerland-based private banking business for rich U.S. clients; the decision was announced internally in late December, but confirmed publicly this week, the Financial Times reported.

OTHER PAPERS:

• According to the Economic Times, after the dissolution of a proposed joint venture with Rajesh Exports, Fossil Incorporated (NASDAQ: FOSL), the U.S. fashion accessories giant, is set to enter India on its own.

MOST NOTEWORTHY: ATP Oil & Gas, Foot Locker, DynCorp and Circuit City were today's noteworthy upgrades:

• Calyon upgraded shares of ATP Oil & Gas (NASDAQ: ATPG) to Add from Neutral and raised their target to $52 from $50 as they believe the company is nearing its year-end production target and its balance sheet is positioned to improve.
  
• Merrill upgraded Foot Locker (NYSE: FL) to Buy from Neutral citing easing comps and stabilization in premium product demand.
  
• Wachovia upgraded DynCorp International Inc. (NYSE: DCP) to Outperform from Market Perform citing its re-compete award for the $4.6 billion Army Linguist contract.
  
• Soleil upgraded shares of Circuit City Stores (NYSE: CC) to Buy from Hold, as they believe the company's real estate rationalization program and new "The City" store concept will drive earnings growth over the next few years.

OTHER UPGRADES:

• StatoilHydro (NYSE: STO) was raised to Hold from Sell at Societe Generale.
  
• UBS raised its rating on Ryanair (NASDAQ: RYAAY) and Air France (NYSE: AKH) to Buy from Neutral.
  
• Citigroup upgraded Bankrate Inc. (NASDAQ: RATE) to Buy from Hold.

MOST NOTEWORTHY: Oracle, VeriFone and Air France were today's noteworthy downgrades:

• JMP Securities said checks indicate Oracle's (NASDAQ:ORCL) business is slowing along with enterprise software spending. The firm downgraded shares to Market Outperform from Strong Buy.
  
• VeriFone (NYSE:PAY) was downgraded to Neutral from Buy at Merrill Lynch following its announcement it would restate 2007 financials due to errors.
  
• Goldman lowered its rating on Air France (NYSE:AKH) to Neutral from Buy to reflect lower revenue and higher fuel cost assumptions.

OTHER DOWNGRADES:

• Punk Ziegel downgraded Lehman (NYSE:LEH), Goldman (NYSE:GS) and Bear Stearns(NYSE:BSC) to Sell from Market Perform. Banc of America lowered Tiffany (NYSE:TIF) To Neutral from Buy.
  

MOST NOTEWORTHY: New York Times, Finlay Enterprises and AXA were today's noteworthy downgrades:

• Banc of America downgraded shares of New York Times Co. (NYSE: NYT) to Sell from Neutral and lowered their target to $14 from $21, as they believe the luxury categories, which represent 28% of NYT's national ad revenue, are not recession proof and that the company is also vulnerable to a cyclical contraction in the financial services sector.
• B. Riley lowered its rating on Finlay Enterprises (NASDAQ: FNLY) to Sell from Neutral to reflect the weak consumer environment, higher gold prices, and lower sales expectations for Bailey.
• Goldman downgraded shares of AXA (NYSE: AXA) to Sell from Buy and added AXA to their Conviction Sell List on valuation and the company's exposure to the equity markets.

OTHER DOWNGRADES:

• Volkswagen AG (OTC: VLKAY) was downgraded to Sell from Hold at Societe Generale.
• Deutsche Bank cut Air France KLM (NYSE: AKH) and Ryanair (NASDAQ: RYAAY) to Hold from Buy.

MOST NOTEWORTHY: Deere, Boeing and Air France were today's noteworthy upgrades:

• Banc of America upgraded shares of Deere (NYSE: DE) to Buy from Neutral and raised their target to $186 from $130 as they expect upside in 2008 from favorable global agriculture fundamentals.
  
• Wachovia raised its rating on Boeing (NYSE: BA) to Outperform from Market Perform citing favorable risk/reward as domestic economic concerns and 787 development risks are discounted in valuation.
  
• Air France (NYSE: AKH) was upgraded to Buy from Hold at Citigroup, as they believe the company's joint venture with Delta Air Lines (NYSE: DAL) will boost margins.

OTHER UPGRADES:

• Baird upgraded OmniVision (NASDAQ: OVTI) to Neutral from Underperform.
  
• Deutsche Bank upgraded Philips Electronics (NYSE: PHG) to Buy from Hold.
  
• Tidewater (NYSE: TDW) was upgraded to Buy from Hold at Jefferies.
  
• Lehman raised Kimberly Clark (NYSE: KMB) to Equal Weight from Underweight.

Here are some highlights of this past week's earnings coverage from BloggingStocks:

• Air France-KLM (NYSE: AKH) nearly doubled Q2 profits, and may make offers for some European rivals.
• Blue Coat Systems, Inc. (NASDAQ: BCSI) beat expectations and raised its guidance.
• Deere & Co. (NYSE: DE) posted strong results and announced approval of a stock split.
• Freddie Mac (NYSE: FRE) reported a $2 billion loss for the third quarter.
• Hewlett-Packard Co. (NYSE: HPQ) beat expectations for the eleventh straight quarter.
• Lowe's Cos. (NYSE: LOW) sales and profits declined due to the housing slump.
• Nordstrom Inc. (NYSE: JWN) easily beat estimates, signaling strength among luxury retailers.
• Office Depot Inc. (NYSE: ODP) beat estimates but lowered its Q4 outlook.
• Target Corp. (NYSE: TGT) fell short of expectations and announced a share buyback.
• Whole Foods Market Inc. (NASDAQ: WFMI) reported weak earnings but raised its dividend.

Douglas McIntyre ponders whether HP's results put pressure on Dell Inc. (NASDAQ: DELL) ahead of Dell's impending report, and he also examines Qualcomm Inc.'s (NASDAQ: QCOM) future earnings difficulties.

Upcoming results to watch for include: Dell Inc. and Sears Holdings (NASDAQ: SHLD).

Visit AOL Money & Finance for more earnings coverage.

MOST NOTEWORTHY: Air France, Eli Lilly, Merrill Lynch, Wal-Mart and GlaxoSmithKline were today's noteworthy downgrades:

• Goldman removed shares of Air France (NYSE: AKH) from its Conviction Buy List due to the increase in the price of fuel and the possibility of an economic slowdown.
  
• The firm also removed Eli Lilly (NYSE: LLY) from the list after the company suspended two studies of its anti-clotting drug. The company was also downgraded to Equal Weight from Overweight at Morgan Stanley.
  
• UBS downgraded shares of Merrill Lynch (NYSE: MER) to Neutral from Buy as it believes the company's exposure to problem asset classes will remain under pressure and possibly lead to further write-downs. UBS lowered its Q4 estimate to $1.12 from $1.18 and 2008 estimate to $7.00 from $7.85. Shares were also downgraded at Wachovia to Market Perform from Outperform. The firm sees increased risk to the MER story given expected pressure on compensation to keep people, speculation around turnover in senior ranks, and the ability to retain and motivate people. Additionally, the firm sees further risk to MER's exposure to ABS, CDOs and sub-prime asset declines.
  
• Rochdale downgraded shares of Wal-Mart Stores (NYSE: WMT) to Hold from Buy citing lack of catalysts from the company's two-day analyst meeting.
  
• WestLB downgraded shares of GlaxoSmithKline (NYSE: GSK) to Sell from Add to reflect the company's growth prospects in Q4 and 2008.

OTHER DOWNGRADES:

• Sirenza Microdevices (NASDAQ: SMDI) was downgraded to Hold from Buy at Jefferies.
  
• Piper Jaffray lowered its rating on Talbots (NYSE: TLB) to Market Perform from Outperform.
  
• Bear Stearns downgraded Palm (NASDAQ: PALM) to Underperform from Peer Perform.

MOST NOTEWORTHY: Air France, BHP Billiton, AstraZeneca, Broadcom and Savvis were today's noteworthy downgrades:

• Goldman removed shares of Air France (NYSE: AKH) from its Conviction Buy List due to the increase in the price of fuel and the possibility of an economic slowdown.
  
• Goldman downgraded BHP Billiton (NYSE: BHP) to Neutral from Buy and removed the stock from its Pan-Europe Buy List due to valuation.
  
• Merrill Lynch downgraded shares of AstraZeneca (NYSE: AZN) to Sell from Neutral to reflect increased competition from generic-drug makers, a poor pipeline and slow earnings growth.
  
• Wachovia downgraded shares of Broadcom Corporation (NASDAQ: BRCM) to Hold from Buy to reflect valuation and the company's lower than expected Q3 results. Shares were also lowered to Hold from Buy at Deutsche Bank.
  
• Stanford lowered Savvis (NASDAQ: SVVS) to Hold from Buy and notes that the company's Q3 results and Q4 revenue guidance brings the company's 2007 revenue outlook $15M below the consensus, and advises investors to remain on the sidelines. The firm believes the company's strategy is sound, but that its execution has been slow.

OTHER DOWNGRADES:

• Blockbuster (NYSE: BBI) and Akzo Nobel (OTC: AKZOY) were downgraded to Neutral from Overweight at JP Morgan.
  
• Friedman Billings downgraded the E&P sector, including Brigham Exploration Company (NASDAQ: BEXP), Mariner Energy (NYSE: ME) and Nobel Energy (NYSE: NBL) to Market Perform from Outperform.
  
• Baird downgraded Plantronics (NYSE: PLT) to Neutral from Outperform.
  
• Goldman downgraded Boston Scientific (NYSE: BSX) to Neutral from Buy.

MOST NOTEWORTHY: NutriSystem, Under Armour, CME Group, Air France ADS and Kilroy Realty were today's noteworthy upgrades:

• NutriSystem (NASDAQ: NTRI) was upgraded to Strong Buy from Buy at Broadpoint on valuation, as they believe all concerns are overdone.
  
• Think Equities upgraded Under Armour (NYSE: UA) to Buy from Accumulate on valuation.
  
• Wachovia upgraded CME Group (NYSE: CME) to Overweight from Market weight, as they expect fed income volumes to benefit from a more active Federal Reserve.
  
• Goldman added Air France (NYSE: AKH) to its Pan-European Conviction Buy List citing valuation following the recent sell-off.
  
• Citigroup upgraded shares of Kilroy Realty (NYSE: KRC) to Buy from Hold on valuation, as they believe concerns are overblown and the company's underleveraged balance sheet can drive growth.

OTHER UPGRADES:

• UBS raised SXC Health Solutions (NASDAQ: SXCI) to Buy from Neutral.
  
• Think Equities upgraded Symantec Corporation (NASDAQ: SYMC) to Accumulate from Source of Funds.
  
• DA Davidson & Co upgraded Texas Industries (NYSE: TXI) to Buy from Hold.
  
• Lehman upgraded Intersil Corporation (NASDAQ: ISIL) to Equal Weight from Underweight.
  
• Keefe Bruyette upgraded SEI Investments (NASDAQ: SEIC) to Outperform from Market Perform.

Boeing Co. (NYSE: BA) opened at $95.90. So far today the stock has hit a low of $95.75 and a high of $98.84. As of 12:55, BA is trading at 97.85, up 2.28 (2.4%).

Boeing was flat at 90 for several months before jumping over resistance in April and shares have reached a new all-time high today. Air France KLM (NYSE: AKH) saw a 4% revenue jump for the latest quarter and announced today a $7 billion aircraft order to be split between Boeing and Airbus. Recent technical indicators for BA have been bullish and steady, while S&P gives the stock a very positive 5 STARS (out of 5) strong buy rating.

For a bullish hedged play on this stock, I would consider an August bull-put credit spread below the $85 range. BA hasn't been below $85 since November and has shown support around $92.50 recently. This trade could be risky if the current pace of demand for airplanes slows drastically, but even if that happens, this position could be protected by the intermediate support for BA between 85 and 95, combined with the stock's 200-day moving average, which is currently at $86 and rising.

Brent Archer is an options analyst and writer at Investors Observer. Do you have any deadwood in your portfolio? Check out the 18 Warning Signs That Tell You When To Dump A Stock.

DISCLOSURE: Mr. Archer owns and/or controls diversified portfolios of long and short stock and option positions that may include holdings in companies he writes about. At publication time, Brent neither owns nor controls a position in BA or AKH.

MOST NOTEWORTHY: Limited Brands, Inc (LTD), Applied Materials, Inc (AMAT), Williams-Sonoma, Inc (WSM) and Texas Instruments Inc (TXN) were some of today's noteworthy downgrades:

• Limited Brands Inc (NYSE: LTD) was downgraded to Neutral from Buy at Banc of America, to Neutral from Accumulate at Buckingham, to Hold from Buy at Citigroup and to Market Perform from Outperform at Wachovia following the news of selling a majority interest in its Express brand and announcing the intent to explore strategic options for the company.

• Elsewhere, Cowen downgraded shares of Applied Materials (NASDAQ: AMAT) to Neutral from Outperform due to Q3 order guidance and limited visibility. American Technology removed Applied Materials from its Focus List.

• Williams-Sonoma (NYSE: WSM) was cut to Market Perform from Outperform at Piper Jaffray on concerns about mall traffic trends at the end of Q1 for both Pottery Barn and Williams-Sonoma brands.

• Texas Instruments (NYSE: TXN) was cut to Sector Performer from Outperformer at CIBC on valuation...

OTHER DOWNGRADES:

• Merriman downgraded Lam Research Corp (NASDAQ: LRCX) to Neutral from Buy.

• UBS cut Air France-KLM (NYSE: AKH) to Neutral from Buy.

• ThinkEquity downgraded Jazz Technologies, Inc (AMEX: JAZ) to Source of Funds from Buy.

• Nordstrom, Inc (NYSE: JWN) was taken down to Market Weight from Overweight at Thomas Wiesel.

• Longbow downgraded Ingersoll-Rand Co Ltd (NYSE: IR) to Neutral from Buy on valuation.

Analyst summaries provided by TheFlyOnTheWall.com (subscription required).

Most Noteworthy: On an expected light trading day after Thanksgiving, Palm Harbor (PHHM) and Vicor Corp. (VICR) top today's list of downgrades.

• Palm Harbor Homes, Inc. (NASDAQ:PHHM) and Vicor Corp. (NASDAQ:VICR) were downgraded at Matrix USA due to valuation and the slowing demand for housing, Palm Harbor was downgraded to Hold from Buy and Vicor was downgraded to Sell from Hold.

Other Downgrades:

• Air France-KLM ADS (NYSE:AKH) was downgraded to Hold from Buy at Citigroup after shares were up in overseas trading after the company confirmed it was in merger talks with Alitalia.
• Journal Register Company (NYSE:JRC) was downgraded at Matrix USA to Sell from Hold due to the soft demand for print advertising and a decrease in circulation.

Analyst summaries provided by TheFlyOnTheWall.com (subscription required).