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Analyst calls: ETR, THO, AMN, DF, FOSL, NSRGY . . .

Analyst upgrades:
  • Baird expects Thor Industries (NYSE: THO) to benefit from industry consolidation and the eventual recovery. Shares were upgraded to Neutral from Underperform.
  • Jefferies upgraded SPSS Inc. (NASDAQ: SPSS) to Buy from Hold on valuation and believes the company's cost cuts will be positive for EPS. The company's target was lowered to $28 from $29.
  • Banc of America upgraded shares of Entergy (NYSE: ETR) to Buy from Neutral on valuation and believes the company is unlikely to spin-off Enexus by year-end. They believe a spin-off in 2009 or no spin at all suggests a higher share price from current levels. The company's target was raised to $104 from $101.50.
  • AMN Healthcare (NYSE: AMN) was upgraded to hold from Sell at Citigroup.
  • Argus upgraded Choice Hotels (NYSE: CHH) to Hold from Sell.
  • Transdigm Group (NYSE: TDG) was lifted to Buy from Neutral at UBS.

Analyst downgrades:

Continue reading Analyst calls: ETR, THO, AMN, DF, FOSL, NSRGY . . .

Analyst calls: AAPL, NCC, NT, TLAB, TTWO, TSCM, HOT, CHK ...

Analyst upgrades:
  • Oppenheimer upgraded shares of National City (NYSE: NCC) to Outperform from Perform on valuation as they believe the bank is not seeing a mass exodus of depositors.
  • Wachovia upgraded Brookfield Infrastructure (NYSE: BIP) to Outperform from Market Perform due to what the firm sees as the company's solid cash flow growth outlook, strong balance sheet, and discounted valuation.
  • Baird upgraded Tellabs (NASDAQ: TLAB) to Outperform from Neutral citing valuation and improving 2009 prospects from 8800, 8600, and 7100 products and better Opex management..
  • Take-Two (NASDAQ: TTWO) was upgraded to Outperform from Neutral at Cowen.
  • UBS raised Nortel Networks (NYSE: NT) to Buy from Neutral.
  • Borg-Warner (NYSE: BWA) was raised to Buy from Hold at Keybanc.
Analyst downgrades:
  • Merriman downgraded shares of TheStreet.com (NASDAQ: TSCM) and Bankrate (NASDAQ: RATE) to Neutral from Buy to reflect concerns about display advertising trends and the company's above average exposure to the financial vertical.
  • Baird downgraded Monaco Coach (NYSE: MNC) to Neutral from Outperform and Thor Industries (NYSE: THO) and Winnebago Industries (NYSE: WGO) to Underperform from Neutral citing valuations and checks that indicate "dreadful" fundamentals.
  • RBC Capital downgraded Apple (NASDAQ: AAPL) to Sector Perform from Outperform citing weakening consumer spending, reduced visibility, and risks to valuation. The company's target was lowered to $140 from $200.

Continue reading Analyst calls: AAPL, NCC, NT, TLAB, TTWO, TSCM, HOT, CHK ...

Analyst upgrades: UBS, PLD, AMB, NVT and PDLI

MOST NOTEWORTHY: UBS AG, ProLogis, AMB Property, Navteq and PDL BioPharma were today's noteworthy upgrades:
  • JP Morgan upgraded shares of UBS (NYSE: UBS) to Neutral from Underweight as they believe the company can start fresh after yesterday's pre-announcement.
  • Banc of America upgraded shares of ProLogis (NYSE: PLD) and AMB Property (NYSE: AMB) to Buy from Neutral to reflect their positive outlook on global industrial REITs and believes they are positioned to benefit from global demand for industrial space.
  • Navteq Corporation (NYSE: NVT) was upgraded at Deutsche Bank to Hold from Sell to reflect the acquisition by Nokia Corporation (NYSE: NOK).
  • Wachovia raised shares of PDL BioPharma Inc (NASDAQ: PDLI) to Outperform from Market Perform following the CEO resignation and potential sale of the company.
OTHER UPGRADES:

Analyst upgrades: BT, LUM, COGN, THO and WPI

MOST NOTEWORTHY: BT Group, Luminent Mortage, Cognos, Thor Industries and Watson Pharmaceuticals were today's noteworthy upgrades:
  • ING Group upgraded shares of BT Group (NYSE: BT) to Hold from Sell to reflect the company's more stable revenue trend and improving cash flow generation.
  • Deutsche Bank upgraded shares of Luminent Mortgage Capital (NYSE: LUM) to Hold from Sell, as they believe the company's portfolio is beginning to stabilize and its liquidity has improved.
  • Goldman upgraded Cognos Inc (NASDAQ: COGN) to Buy from Neutral following its Q2 report.
  • Thor Industries (NYSE: THO) was raised to Sector Perform from Underperform at RBC Capital Markets. The firm's checks indicate strengthening backlog and lower promotional spending.
  • Roth Capital believes Watson Pharmaceuticals (NYSE: WPI) is about to enter a growth phase with Paul Bisaro at the helm and is positive on Silodosin potential. The firm upgraded shares to Buy from Hold.
OTHER UPGRADES:

Analyst downgrades 7-13-07: ALL, BDK, IMCL and RSH

MOST NOTEWORTHY: RadioShack Corp (RSH), Visual Sciences (VSCN), Alcan (AL), U.S. Celluar (USM) and Westwood One (WON) were today's noteworthy downgrades:
  • Banc of America downgraded shares of RadioShack (NYSE: RSH) to Sell from Neutral and lowered their target to $18 from $26 as they believe cuts to labor costs and advertising expenses will make it more difficult to overcome declining wireless trends.
  • Friedman Billings cut Visual Sciences (NASDAQ: VSCN) to Market Perform from Outperform on valuation. Citigroup downgraded Alcan to Hold from buy on the acquisition news.
  • Westwood One (NYSE: WON) was downgraded to Sell from Hold at Citigroup based on management distractions and weak fundamentals...
OTHER DOWNGRADES:
  • Cowen removed ImClone Systems (NASDAQ: IMCL) from its Focus List, as the firm believes Erbitux is now more in line with consensus but said financials remain uninspiring.
Analyst summaries provided by TheFlyOnTheWall.com (subscription required).

Fleetwood Enterprises, Inc.: High gas prices mean slow RV sales

There was a time in 2002 and 2003, when I vocally advocated on TV business shows (and was right) that the RV industry might see a big upswing due to all the Baby Boomers retiring. What better way was there to spend one's new-found free time than to travel around the country in relative luxury, stopping wherever you please, whenever you please? But I was ahead of the curve then, and for the past year, I've been bearish on this once ripe for upside sector. The reason why? High gas prices and less money in retirees' pockets.

On May 4, 2006, I blogged that "The Road Trip was Over" for Thor Industries,Inc. (NYSE: THO), an RV manufacturer. I got many adamant responses telling me that I had it all wrong. Many of you said that nothing would tear you from your RV travel, so I started thinking maybe these Boomers were more dedicated to their RVs than I thought, and willing to pay for them, no matter the price. But gas prices continue to go up without any sign of improvement, and sales performance of RV makers continue to fall. Even the Boomers with expendable income are finding it just doesn't pay to travel with a vehicle that typically only gets between 7 and 12 miles-per-gallon. With gas prices solidly in the $3-plus a gallon price range, we're looking at one expensive cross-country road trip! You might as well fly.

Which is why I'm bearish on Fleetwood Enterprises, Inc. (NYSE: FLE), a leading producer of recreational vehicles and manufactured homes. FLE recently reported a fourth quarter sales decrease of 16% over last year, and within that, the RV group took a particular hit, declining by 12% for the quarter. Inventories seem to be piling up, as they didn't anticipate sales falling so much. I simply don't see how this can turn around any time soon.

Type of stock: A leading producer of mobile homes and RVs that has been hit by high gas prices.

Price Target: At its current price of $8.86, I don't think this is a smart buy. We're going to see Fleetwood sink more as gas prices rise. Ultimately, there could be consolidation which could provide a lift to the price, but it isn't worthwhile to chase the stock today in anticipation of an event which may be a few months or years off.

Hilary Kramer is a financial editor and money coach for AOL and an authority on investing. Visit her at www.hilarykramer.com.

Symbol Lookup
IndexesChangePrice
DJIA-10.2810,216.66
NASDAQ-8.012,146.05
S&P 500-3.041,090.04

Last updated: November 10, 2009: 01:39 PM

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