MOST NOTEWORTHY: Procter & Gamble, Human Genome and Arcelor Mittal were today's noteworthy downgrades:
Deutsche Bank downgraded shares of Procter & Gamble (NYSE:PG) to Hold from Buy on valuation and their expectation for slowing short-term industry growth, especially in beauty.
Citigroup downgraded Human Genome (NASDAQ:HGSI) to Hold from Buy as they believe giving up Syncria's royalties removes an important value driver for the stock.
HSBC downgraded shares of Arcelor Mittal (NYSE:MT) to Neutral from Overweight on valuation and believes the company needs to raise prices more than costs have risen for iron ore, coking coal and steel scrap.
OTHER DOWNGRADES:
BAE Systems (NASDAQ:BAESY) was cut to Equal Weight from Overweight at Morgan Stanley.
Merrill downgraded Zoltek (NASDAQ:ZOLT) to Neutral from Buy.
MOST NOTEWORTHY: Athenahealth, Brocade Communications Systems, Royal Bank of Scotland and Human Genome were today's noteworthy initiations:
Caris initiated shares of Athenahealth (NASDAQ: ATHN) with an Average rating and $26 target, as they believe an unachievable growth rate is priced into shares at current levels.
MOST NOTEWORTHY: Logitech International SA (LOGI), Time Warner Cable Inc (TWC) and Human Genome Sciences (HGSI) were today's most notable initiations:
Morgan Keegan started Logitech International SA (NASDAQ: LOGI) with an Outperform rating; the firm believes Logi is well positioned in the peripherals market and should continue to see solid growth driven by increasing PC use as multimedia devices.
Time Warner Cable Inc (NYSE: TWC) was initiated with an Overweight rating and $52 target at Prudential, as the firm sees upside to guidance and views valuation as reasonable.
Human Genome Sciences (NASDAQ: HGSI) was initiated with a Hold rating at Stanford, citing lack of visibility into Albuferon, LymphoStat-B and HGS-ETR programs for its rating...
OTHER INITIATIONS:
Morgan Stanley initiated Hanesbrands Inc (NYSE: HBI) with an Overweight rating.
Bernstein started M&T Bank Corp (NYSE: MTB) with a Market Perform rating and $121 target.
MV Oil Trust (NYSE: MVO) was initiated at AG Edwards with a Buy rating, as the firm believes MV Oil offers investors tax-advantaged exposure to oil price volatility and development activity.
Lehman Brothers started Downey Financial Corp (NYSE: DSL) with an Outperform rating and $80 target.
MOST NOTEWORTHY: Human Genome Inc (HGSI) and Trump Entertainment Resorts Inc (TRMP) topped today's list of most notable initiations:
Citing risks to Albuferon and Lympho-Stat, Morgan Stanley initiated Human Genome Inc (NASDAQ: HGSI) with an Underweight rating and $8 target.
Bear Stearns started shares of Trump Entertainment Resorts Inc (NASDAQ: TRMP) with a Peer Perform rating as they believe Street estimates are too high, the company lacks development opportunities outside of Atlantic City, and uncertainty stemming from the new Atlantic City smoking ban.
OTHER INITIATIONS:
Lehman Bros started Isis Pharmaceuticals Inc (NASDAQ: ISIS) with an Overweight rating and $20 target.
Leerink Swann initiated HealthSouth Corp (NYSE: HLS) with an Outperform rating and was added to the Focus List; one of the firm's consultants performed an analysis of the company's in-patient rehab business in order to determine the impact of the 75% rule after it is completely implemented, as well as determining the opportunities from market consolidation. As a result of the analysis, the firm believes that the company is in a good position to successfully navigate the phase-in of the 75% rule.
Pali Capital initiated China Mobile Ltd (NYSE: CHL) with a Buy rating and $66 target, based on expectations of sustaining total subs growth over 20%.
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MOST NOTEWORTHY: Procter & Gamble, Human Genome and Arcelor Mittal were today's noteworthy downgrades:.gif){kind=logo}
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