Analyst Upgrades

• Research In Motion (RIMM) to buy from sell and Gap (GPS) to hold from sell at Citigroup.
• Archer Daniels (ADM) and Airgas (ARG) to buy from hold at Jefferies.
• NCR Corp. (NCR) to conviction buy from neutral at Goldman.
• Valero Energy (VLO) to top pick from sector perform and Western Refining (WNR) to outperform from underperform at RBC Capital.
• Fred's (FRED) to overweight from neutral at JP Morgan.
• Marsh & McLennan (MMC), Willis Group (WSH) and Brown & Brown (BRO) to equal weight from underweight at Barclays.
• Host Hotels (HST) to outperform from neutral at RW Baird.
• La-Z-Boy (LZB) to strong buy from market perform at Raymond James.

Coca-Cola (KO) has more than $13 billion in cash.

The top five companies (according to market cap) are:

• Exxon Mobil (XOM): $398.3 billion
• Apple (AAPL): $309.0 billion
• Microsoft (MSFT): $237.5 billion
• General Electric (GE): $215.0 billion
• Berkshire Hathaway (BRK.A): $202.5 billion

Analyst Upgrades

• Heico (HEI) to outperform from market perform at FBR Capital.
• Eaton (ETN), Silgan Holdings (SLGN), MYR Group (MYRG) and Shaw Group (SHAW) to outperform from neutral at RW Baird.
• Infosys (INFY) to buy from Neutral at Nomura.
• Isle of Capri (ISLE) to buy from neutral at Merriman.
• NovaGold (NG) to sector perform from underperform at RBC Capital.
• CarMax (KMX) and Rockwell Collins (COL) to outperform from neutral at Credit Suisse.
• DHT Holdings (DHT) to overweight from neutral at JPMorgan.
• Cabot Oil & Gas (COG) to overweight from underweight at Morgan Stanley.

Good news is coming in for the builders of heavy trucks, such as Paccar (PCAR), and for truck parts manufacturers, including Eaton (ETN). An aging national truck fleet, coupled with rebounding interstate freight volumes, signal that 2011 is shaping up to be a strong year for heavy trucks and the investors who play them.

A report from Bloomberg Businessweek reveals that manufacturing totals for heavy trucks could jump to as many as 235,000 units in North America for 2011. This compares to a total of approximately 150,000 units for 2010.

Eaton Corp. (ETN) has been on a tear -- rising from $85 to $95 -- since it smashed Wall Street estimates with its latest earnings announcement in late October, and it looks like the gains are going to continue.

Goldman Sachs just upgraded Eaton from a neutral rating and put the company on its conviction buy list -- moving its price target for the stock from $103 to $117.

Goldman was originally expecting Eaton to earn $7.35 per share in 2011 and $8.90 in 2012, but the firm has now updated its EPS expectations to $7.80 in 2011 and $9.40 in 2012.

Analyst Upgrades

• Goldman upgraded Eaton (ETN) to conviction buy from neutral.
• AECOM Technology (ACM) was upgraded to outperform from neutral at Macquarie.
• Piper Jaffray upgraded Hologic (HOLX), Gen-Probe (GPRO) and Qiagen (QGEN) to overweight from neutral.
• GeoMet (GMET) was upgraded to accumulate from neutral at Global Hunter.
• Accretive Health (AH) was upgraded to outperform from neutral at RW Baird.
• Morgan Stanley upgraded Reinsurance Group (RGA) to overweight from equal weight.
• BofA/Merrill upgraded Clearwire (CLWR) to neutral from underperform.

Analyst Upgrades

• Wells Fargo upgraded Accenture (ACN) to outperform from market perform following the company's Q4 results, citing improved tone and increased visibility. The firm raised its target range for shares to $51 to $53 from $41 to $44.
• Macquarie upgraded FirstMerit (FMER) to outperform from neutral and has a $21 price target on the stock. The firm cites FirstMerit's strong fundamentals and competitive advantage for the upgrade.
• Macquarie transferred coverage on Marshall & Ilsley (MI) with a neutral from an underperform based on improved risk/reward.
• Eaton (ETN) was upgraded to overweight from neutral at JPMorgan.
• HSBC (HBC) was upgraded to conviction buy from buy at Goldman.
• Walgreen (WAG) was upgraded to overweight from equal weight at Morgan Stanley.

Eaton (ETN - option chain) shares are rising today after the company said it earned $226 million, or $1.33 per share, during the second-quarter, topping analysts' forecasts of $1.17 per share. The company also said it will lift its quarterly dividend to 58 cents from 50 cents. If you think that the stock won't fall by too much in the coming months, then now could be a good time to look at a bullish hedged trade on ETN.

ETN opened this morning at $72.26. So far today the stock has hit a low of $71.50 and a high of $73.50. As of 12:30, ETN is trading at $73.54 up $4.48 (6.5%). The chart for ETN looks neutral and S&P gives ETN a neutral 3 STARS (out of 5) hold ranking.

This morning one of my colleagues, Joseph Lazzaro, who heavily uses technical analysis, posted an article titled General Cable Corp.: Stopped-Out.

I have never used technical analysis to make investment decisions, but I have used charts for general long-term trends examining a stock from a historical perspective. I think in the case of General Cable Corp. (BGC), it may prove untimely to bail out now based on just technical analysis.

Analyst upgrades:

• Deutsche Bank upgraded Vale SA (NYSE: VALE) to Buy from Hold on expectations the company will benefit from higher realized prices. The firm raised its target on shares to $30 from $23.
• Soleil upgraded Education Management (NASDAQ: EDMC) to Buy from Gradually Accumulate following the company's Q1 results and raised its target on shares to $34 from $32.
• Credit Suisse upgraded Medtronic (NYSE: MDT) to Outperform from Neutral. The firm also added the stock to its Focus List and raised its target on shares to $49 from $41. Credit Suisse believes Medtronic's base business is stabilizing and the stock's risk/reward is compelling.
• Medivation (NASDAQ: MDVN) was upgraded to Buy from Hold at Roth Capital.
• Martha Stewart (NYSE: MSO) was upgraded to Buy from Hold at Morgan Joseph.
• Dominion Resources (NYSE: D) was upgraded to Hold from Underperform at Jefferies.

TheStreet.com's Jim Cramer says the weak dollar is benefiting U.S. corporations and no longer going against them.

Why have the industrials been so red-hot? Why do they seem to levitate? One reason, of course, is that people think the economy's getting better. A second reason is that even if the economy stands still vs. last year the comparisons will be amazing and nothing gets the juices going more rapidly than easy comparisons.

Why will they be so glaring? First, the layoffs have been brutal, the cost-cutting immense and it hasn't hurt at all ... yet. It is totally and unequivocally positive.

Here are some highlights from last week's earnings coverage from BloggingStocks:

• AK Steel Holding Corp. (NYSE: AKS) posted a smaller-than-expected Q2 net loss as steel prices rise.
• Boston Scientific Corp. (NYSE: BSX) posted a better-than-expected Q2 profit on strong overseas sales.
• Caterpillar Inc. (NYSE: CAT) shares jumped after it beat earnings, missed revenues, and offered guidance.
• DuPont (NYSE: DD) shares declined after it posted a higher-than-expected profit but lower revenue.
• Eaton Corp. (NYSE: ETN) disappointing results were a sign that the bulls are in charge, said Jim Cramer.
• General Electric Co. (NYSE: GE) Q2 earnings and sales declined, dragged down by finance and NBC units.

TheStreet.com's Jim Cramer says all of Eaton's businesses declined; the stock, however, gapped and never looked back.

The Eaton (NYSE: ETN) (Cramer's Take) quarter was the tell Monday. Even more than the PPG Industries (NYSE: PPG) (Cramer's Take) quarter was last week.

In a vacuum, Eaton didn't do well. Its businesses all declined severely. Europe's bad, maybe even getting worse. The cash flow is not so hot. The outlook is really pretty grim. They didn't even give you the "mildly improved" language that rocketed PPG. I worried about the dividend immediately.

TheStreet.com's Jim Cramer says a data point out of Germany gives him cause for hope.

I have seen the future, and it is German manufacturing orders! We are always looking for totems when we are teetering on the second dip, and a number that came out today from Germany showing a 4.4% increase in May manufacturing orders -- the best in two years -- ignited the European markets and should do the same for ours.

It's been no secret that our economy's doing nothing while the Chinese economy does all the heavy lifting. But what happens if Europe, which is supposed to be so, so sick, gets better? I don't know a soul who believes that Europe isn't worse than the U.S., with their banks being in far worse shape and their governments showing no signs of being worried about anything but Weimar.

Analyst upgrades:

• Goldman upgraded SanDisk (NASDAQ: SNDK) to Buy from Neutral and raised their target to $22 from $16 citing the renegotiated royalty agreement with Samsung.
• Goldman also upgraded Starwood Hotels (NYSE: HOT) to Buy from Sell and raised their target to $27 from $11 citing strong operating leverage as RevPAR recovers.
• KeyBanc upgraded Werner Enterprises (NASDAQ: WERN) to Hold from Underweight citing a recent improvement in freight demand.
• J.C. Penney (NYSE: JCP) was upgraded to buy from Underperform at Banc of America/Merrill.
• Savvis (NASDAQ: SVVS) was raised to Outperform from Perform at Oppenheimer.
• Sanofi-Aventis (NYSE: SNY) was upgraded at Citigroup to Buy from Hold.