Stock Upgrades: CBS Eyes Huge Gains

By Justin Sharon  JAN 17, 2013 9:17 AM

Wall Street ratings agencies set the tone for today's stock market.

 


The S&P 500 Index (^GSPC) set its second fresh five-year high of the week, despite its cumulative advance over the period amounting to a mere 4/100′s of 1%. (No wonder that the percent sign was just anointed symbol of the year, for it packs a punch even in infinitesimal increments.)
 
The market may have traded Sideways, so to speak, but wine giant Constellation Brands (STZ) jumped 6.15% on a bullish Buy initiation. Ironic, as yesterday was the anniversary of Prohibition’s introduction, but to paraphrase Dorothy Parker, the stock’s surge was an excellent example of the “wrath of grapes.”
 
In a similar vein, Southwest Airlines (LUV), famously founded on a cocktail napkin, added 1.81% to fresh a 52-week peak, and JetBlue Airways (JBLU), home of a beer-swilling ex-employee, rose 3.87. Bubble Wrap owner Sealed Air (SEE) advanced 1.70% on a ratings increase although, as any investment veteran can tell you, after the bubble invariably comes the bath. Calgon (CCC) — a 2.90% tumbler — take me away.
 
Today in economics, the Philadelphia Fed Index for January is expected to cool off from the previous month’s pace at 10:00 a.m. Eastern. The cavalcade of quarterly earnings announcements continues, with American Express (AXP), ASML Holding (ASML), BB&T Corporation (BBT), Bank of America (BAC), BlackRock (BLK), Capital One Financial (COF), Citigroup (C), Fifth Third Bancorp (FITB), and Intel (INTC) all due to release results.
 
ADTRAN (ADTN): Shares are now Neutral from Sell at Citigroup.
 
Alon USA Partners (ALDW): Credit Suisse increases ALDW to Outperform from Perform.
 
CBS Corporation (NYSE:CBS): The media empire, famous for its eye logo, is increased to Outperform from Neutral with Wedbush. A sale of its international Outdoor operations in Europe and Asia amid a REIT (REAL Estate Investment Trust) conversion is viewed positively. The price target, previously $36, is now $50 and shares are surging 8.07% ahead of the open.
 
Donaldson Company (DCI): Bank of America-Merrill Lynch boosts the industrial outfit to Buy from Neutral.
 
Exelon (EXC): The nuclear power play is higher ahead of the open after being moved to Overweight from Equal-Weight at Morgan Stanley.
 
Juniper Networks (JNPR): JPMorgan juices its recommendation on the tech stock to Overweight from Neutral.
 
Mediaset (PINK:MDIUY): The company controlled by Silvio Berlusconi gets a 180 degree (Outperform from Underperform) upgrade at Credit Suisse.
 
Medtronic (MDT): Credit Suisse moves the medical device maker to Outperform from Neutral.
 
PerkinElmer (PKI): The stock gets a Buy-from-Outperform boost at Crédit Agricole.
 
Rio Tinto (RTP): Shares are now Buy from Neutral at Citi.
 
SABMiller (PINK:SBMRY): The brewing behemoth whose brands include Carling, Grolsch, and Pilsner Urquell is moved to Outperform from Neutral at Macquarie.
 
Textainer Group (TGH): Bank of America-Merrill takes TGH to Buy from Neutral.

(See also: Stock Downgrades: Boeing About to Crash and New Stock Coverage: Which Fertilizer Stocks Pass the Smell Test?)
No positions in stocks mentioned.

The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.