Analyst Upgrades

• Goldman upgraded Reliance Steel (RS) to buy from neutral and The Buckle (BKE) to neutral from sell.
• RAM Energy (RAME) was upgraded to outperform from market perform at Rodman & Renshaw.
• RBC Capital upgraded H&E Equipment (HEES) and Cameco (CCJ) to outperform from sector perform, and Denison Mines (DNN) to sector perform from underperform.
• Alexandria Real Estate (ARE) was upgraded to overweight from neutral at JPMorgan.
• Investment Technology (ITG) was upgraded to outperform from neutral at Wedbush.

Analyst Upgrades

• Piper Jaffray upgraded MWI Veterinary Supply (MWIV) to overweight from neutral and raised its target for shares to $50.
• UBS believes Nokia (NOK) is well positioned for smartphone growth. The firm upgraded shares to buy from neutral and has a $19.55 price target.
• Wells Fargo upgraded Cedar Fair (FUN) to outperform from market perform. After the company's merger agreement with Apollo was terminated, the firm thinks the company will be able to refinance its debt, removing an uncertainty.
• Darden (DRI) was upgraded to outperform from neutral at Cowen.
• KeyCorp (KEY) was upgraded to buy from neutral at Goldman.
• Bank of Ireland (IRE) was upgraded to hold from sell at RBS.

Analyst Upgrades

• FBR Capital upgraded Nike (NKE) to outperform from market perform. The firm believes the company's momentum is building following the better-than-expected Q3 report and raised its target for the stock to $84 from $67.
• Thomas Weisel upgraded Corning (GLW) to overweight from market weight, citing improving profitability and cash flow trends. The firm has a $24 price target for shares.
• Deutsche Bank upgraded Burger King (BKC) to buy from hold, citing valuation and potential positive catalysts from the bottoming of sales trends and easy comparisons. The firm raised its price target on shares to $24 from $19.
• Broadcom (BRCM) was upgraded to buy from neutral at Goldman.
• Energizer (ENR) was upgraded to overweight from neutral at JPMorgan.
• Guess (GES) was upgraded to buy from hold at Lazard Capital.

MOST NOTEWORTHY: Anadigics, Crystal River Capital and Canadian Solar were today's noteworthy downgrades:

• Oppenheimer downgraded shares of Anadigics (NASDAQ: ANAD) to Perform from Outperform on valuation following the recent run-up.
  
• Wachovia downgraded Crystal River Capital (NYSE: CRZ) to Market Perform from Outperform citing the uncertain near-term strategic outlook.
  
• Broadpoint downgraded shares of Canadian Solar (NASDAQ: CSIQ) to Buy from Strong Buy on valuation following yesterday's rally but raised their target to $45 from $29.

OTHER DOWNGRADES:

• UBS cut Sunstone Hotel Investors (NYSE: SHO) to Neutral from Buy.
  
• KeyBanc downgraded Wabtec (NYSE: WAB) to Hold from Buy.
  
• Goldman downgraded Fiserv (NASDAQ: FISV) to Neutral from Buy.
  
• Suntrust downgraded Spectrum Brands (NYSE: SPC) to Neutral from Buy.

Readers of this space know that the railroad sector is one of the preferred sectors. After decades of unconscionable neglect, U.S. railroads are experiencing a resurgence, propelled by international trade and the rail's cost advantage over truck transport. But as one knows, trains don't always roll, sometimes they have to brake to stop, and that's where Westinghouse Air Brake Technology makes its money.

Westinghouse Air Brake Technologies (NYSE: WAB), known as Wabtec, manufactures braking equipment and other parts for locomotives, freight cars, and passenger rail cars.

Products of Wabtec's freight group include air brake systems, draft gears, hand brakes, slack adjusters, heat exchanges, railroad electronics, and monitoring and control equipment. The company also builds new locomotives up to 4,000 horsepower and provides aftermarket services, including locomotive and freight car fleet maintenance.

Analysts expect strong, double-digit revenue growth on solid back-orders and new business. Analysts also like Wabtec's blue-chip clientele, decent pricing power, demonstrated ability to deliver products and services on time, and reasonable cost structure. The Reuters F2008/F2009 EPS consensus estimates for WAB are $2.53/$2.81.

MOST NOTEWORTHY: NICE Systems, Watson Pharmaceuticals and Micron Tech were today's noteworthy upgrades:

• NICE Systems (NASDAQ: NICE) was upgraded to Buy from Neutral at UBS, as they believe NICE is well-positioned to leverage its offerings in VoIP recording, call centre analytics, and other applications with its extensive enterprise customer base.
  
• Hambrecht upgraded shares of Watson Pharmaceuticals (NYSE: WPI) to Buy from Hold ahead of the company's Q4 results to reflect valuation and low expectations.
  
• Thomas Weisel upgraded Micron Tech (NYSE: MU) to Overweight from Market Weight citing expectations DRAM pricing will stabilize in 2008, potential upside from high growth DRAM segments such as mobile, and notes cost cutting efforts and valuation.

OTHER UPGRADES:

• JP Morgan added Wabtec (NYSE: WAB) to its Focus List.
  
• Keefe Bruyette raised Franklin Bank (NASDAQ: FBTX) to Market Perform from Underperform.
  
• Morgan Stanley upgraded Wyeth (NYSE: WYE) to Overweight from Equal Weight.
  
• Citigroup upgraded Mentor Graphics (NASDAQ: MENT) to Buy from Hold and added shares to its Top Picks List.

MOST NOTEWORTHY: McAfee (MFE), Wabtec Corp (WAB), Pacific Sunwear (PSUN), Aeropostale (ARO) and Amdocs (DOX) were today's noteworthy initiations:

• McAfee Inc (NYSE: MFE) was initiated with an Accumulate rating at ThinkEquity, as the firm is positive on the company's competitive positioning in security, refocused business and streamlined operations.

• JP Morgan initiated shares of Wabtec Corp (NYSE: WAB) with an Overweight rating, as the firm believes Wabtec's strong market presence should support 22% and 12% EPS growth in 2007 and 2008.

• Nollenberger feels that the core PacSun concept is challenged to re-establish a niche in the competitive teen marketplace, and initiated shares of Pacific Sunwear (NASDAQ: PSUN) with a Neutral rating and $22 target.

• Nollenberger also initiated shares of Aeropostale (NYSE: AEO) with a Buy rating and $49 target and recommends buying the stock into back to school.

• Cantor initiated shares of Amdocs (NYSE: DOX) with a Hold rating and $37 target on valuation...

OTHER INITIATIONS:

• Midas, Inc (NYSE: MDS) and Monro Muffler Brake, Inc (NASDAQ: MNRO) were initiated with Neutral ratings at JP Morgan.

• JP Morgan also initiated shares of Greenbrier (NYSE: GBX) with a Neutral rating.

• Sterne Agee initiated shares of Colwater Creek (NASDAQ: CWTR) with a Buy rating.
  

• Vascular Solutions (NASDAQ: VASC) was initiated with an Outperform rating and $12 target at RBC Capital.

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

MOST NOTEWORTHY: Arthur J. Gallagher (AJG), Akamai Technologies (AKAM) and three railcar companies were today's noteworthy initiations:

• Citigroup believes Arthur J. Gallagher (NYSE: AJG) is at a disadvantage to smaller rivals who accept contingent commissions and lacks the global presence of larger competitors, and started shares with a Sell rating and $25 target.

• Friedman Billings believes Akamai (NASDAQ: AKAM) can leverage its broad product portfolio, global network deep pockets and extensive track record to remain the leader in the content delivery market, starting shares with an Outperform.

• Keefe Bruyette started coverage of three railcars with a Buy rating: Greenbrier (NYSE: GBX), Wabtec Corporation (NYSE: WAB) and FreightCar America (NASDAQ: RAIL)...

OTHER INITIATIONS:

• Citigroup started Goodyear Tire (NYSE: GT) with a Buy rating.

• CIBC initiated Praxair (NYSE: PX) with a Sector Performer rating.

• Crucell NV (NASDAQ:CRXL) was initiated with an Outperform rating at Lehman.

• FTN Midwest initiated RadioShack (NYSE: RSH) with a Neutral rating.

• Cowen initiated Penwest Pharmaceuticals (NASDAQ: PPCO) with an Outperform rating.

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