MOST NOTEWORTHY: Today's more noteworthy downgrades included L-1 Identity Solutions, Inc (ID), THQ Inc (THQI), JetBlue Airways Corp (JBLU), Brinker International, Inc (EAT) and Lexmark International, Inc (LXK):

• JP Morgan downgraded L-1 Identity Solutions (NYSE: ID) to Underweight from Neutral based on valuation.

• THQ Inc (NASDAQ: THQI) was cut to Neutral from Buy at Banc of America, as the firm believes further upside to estimates is limited.

• JetBlue Airways (NASDAQ: JBLU) was cut to Neutral from Add at Calyon and to Peer Perform from Outperform at Bear Stearns following reduced guidance and higher fuel costs.

• JP Morgan downgraded Brinker International (NYSE: EAT) to Neutral from Overweight citing challenging fundamentals after the restructuring announcement. Stephens cut Brinker International to Equal Weight from Overweight.

• Elsewhere, Citigroup cut Lexmark Int'l (NYSE: LXK) to Hold from Buy with a $58 target based on valuation...

OTHER DOWNGRADES:

• Hutichinson Technology Inc (NASDAQ: HTCH) was cut to Underweight from Overweight at JP Morgan.
  

• Punk, Ziegel & Co downgraded KeyCorp (NYSE: KEY) to Sell from Market Perform.

• WR Hambrecht downgraded shares of Silicon Storage Technology, Inc (NASDAQ: SSTI) to Sell from Hold to reflect negative fundamentals in the NOR Flash memory market.

• CIBC downgraded Ipsco Inc (NYSE: IPS) to Sector Underperformer from Sector Performer on valuation.

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

MOST NOTEWORTHY: First Data Corp (FDC), Molson Coors Brewing Co (TAP), MetLife, Inc (MET), GSI Commerce, Inc (GSIC) and Foundation Coal Holdings, Inc (FCL) were some of today's noteworthy downgrades:

• Citigroup cut First Data Corp (NYSE: FDC) to Hold from Buy and AG Edwards cut the Colorado-based Computer Services company to Hold from Buy, following the acquisition by KKR; AG Edwards also removed First Data from its Focus Portfolio.

• Bernstein downgraded Molson Coors Brewing Co (NYSE: TAP) to Market Perform from Outperform based on valuation.

• Goldman Sachs removed MetLife Inc (NYSE: MET) from its Conviction Buy List.

• Bear Stearns cut GSI Commerce (NASDAQ: GSIC) to Underperform from Outperform based on valuation.

• Matrix USA downgraded Foundation Coal Holdings Inc (NYSE: FCL) to Sell from Buy.

OTHER DOWNGRADES:

• Jefferies downgraded Novell, Inc (NASDAQ: NOVL) to Hold from Buy on valuation after yesterday's "April Fool's-inspired" rally as the firm believes upside from the initial Microsoft-(MSFT) driven SLES deals and restructuring are priced in.

• Stifel downgraded Pearson PLC (NYSE: PSO) to Hold from Buy on valuation.

• Benchmark downgraded ConocoPhillips (NYSE: COP) to Sell from Hold on valuation.

• Buckingham downgraded Diebold Inc (NYSE: DBD) to Neutral from Accumulate on valuation.

• CIBC downgraded Ipsco Inc (NYSE: IPS) to Sector Performer from Outperform based on valuation.

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

MOST NOTEWORTHY: Ipsco Inc (IPS) and ASV Inc (ASVI) were today's most notable initiations:

• RBC believes Ipsco Inc (NYSE: IPS) is an acquisition candidate and initiated the company with a Top Pick rating.

• Ferris, Baker Watts started ASV Inc (NASDAQ: ASVI) with a Buy rating and $20 target, as the firm believes ASV Inc is the only manufacturer to design rubber track loaders from the ground up and to employ a suspended undercarriage.

OTHER INITIATIONS:

• Jefferies initiated CDI Corp (NYSE: CDI) with a Hold rating and $28 target and is positive on the long-cycle drivers of CDI's business; the firm also believes the company has the potential for operating leverage, but will remain on the sidelines due to concerns of the near-term macro environment.

• Wachovia initiated Sealy Corp (NYSE: ZZ) with a Market Perform rating citing lack of visibility into fourth-quarter and first-quarter earnings.

• Sun Trust Robinson Humphrey initiated HealthSouth Corp (NYSE: HLS) with a Buy rating and $27 target.

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

Ipsco, a major steel company, definitely wants NS Group. The company is shelling out $1.46 billion for the company – which is a 43% premium. Basically Ipsco just wants to get the deal done.

Then again, NS Group is in a red hot industry. That is, it manufactures seamless and welded tubular goods which are for oil and natural gas drilling. The company also produces seamless and welded pipe products used in the transmission of oil and natural gas.

Of course it's a very profitable business. Over the past year NS Group had net income of $127.1 million on sales of $601 million.

As for Ipsco it is also a big player in the steel tubing business. Annual revenues were $3 billion and net income was $585.8 million.

Basically this deal is about scale. Ipsco can reduce duplicative costs while adding to overall production capacity.

And with demand increasing in the energy market,things should grow for some time. So, yes, expect the M&A wave to continue.

Tom Taulli is the author of various books, including the Complete M&A Handbook and operates InvestorOffering.com.