Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.

Stock Downgrades: General Mills, Inc. Didn't Eat Its Wheaties

By

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

PrintPRINT
So whose bright idea was it to have National Relaxation Day coincide with Wall Street's most stressful session in months? The Dow (^DJI) again dropped by triple-digits although, as that newly media savvy 123-year-old kid could tell you, perspective is everything and this too shall pass. (Don't get him started on the Panic of 1890, which our Bolivian friend witnessed firsthand.) USA Today owner Gannett (GCI) bore the brunt of the red ink, falling 5.08% after Warren Buffett's Berkshire Hathaway (BRK.B) dumped it in droves. Don't believe everything you read, then. Especially in its pages, where Omaha's oracle recently gushed, "It's almost unnatural how much I love newspapers."

Today in economics, analysts expect an improvement in the University of Michigan's preliminary August consumer sentiment survey at 9:55 a.m. Eastern. On the earnings front, Ann Inc. (ANN), A.P. Møller–Mærsk (AMKBY), Buckle (BKE), Enstar Group (ESGR), Foot Locker (FL), and Main Street Capital (MAIN) are all due to report results.

Alcoa (AA): Bank of America-Merrill Lynch cuts the key Dow (^DJI) component to Underperform from Neutral.

Aviva (AV): The life insurer is lowered to Neutral from Outperform by BNP Paribas.

Colgate-Palmolive (CL): CL is cut to Hold from Buy at Argus.

Dangdang (DANG): China's Internet company DANG gets downgraded to Equal-Weight from Overweight at Morgan Stanley.

Deutsche Lufthansa (DLAKY): Morgan Stanley moves the air carrier to Equal-Weight from Overweight, sending it down more than 3% overseas this morning.

Dick's Sporting Goods (DKS): Shares, still rated Overweight, are nonetheless pulled from JPMorgan's Focus list of favored equities. Same-store sales are seen as falling short of Street projections for a third straight quarter.

General Mills, Inc. (GIS): The packaged foods powerhouse, whose brands include Cheerios and Wheaties, gets downgraded to Underperform from Hold at Jefferies. (Although as scary cereal stories go, that's still better than finding a mouse jaw in your muesli.) The broker notes that GIS is trying to protect its profit margins by reducing its advertising expenditures.

Noble Energy (NBL): ISI Group gives the oil services outfit a Buy-from-Strong Buy downgrade.

Nordstrom (JWN): Sterne Agee reduces the upscale retailer to Neutral from Buy. Shares are tumbling about 2% as I write, after the company gave disappointing earnings guidance.

Noranda Aluminum (NOR): NOR is now Underperform from Neutral at Bank of America-Merrill.

Portugal Telecom (PT): Shares are sharply lower in today's European trading after getting taken to Neutral from Buy at Goldman Sachs, which says heightened capital requirements are a potential worry.

Red Robin Gourmet Burgers (RRGB): Brokerage boutique B. Riley takes the fast food name to Neutral from Buy.

Royal Bank of Scotland (RBS): The British financial firm is reduced to Sell from Hold at Investec.

Semiconductors: Linear Technology (LLTC) and Maxim Integrated Products (MXIM) are each lowered to Equal-Weight from Overweight at Morgan Stanley.

STMicroelectronics (STM): HSBC Securities slashes the stock to Underweight from Neutral at HSBC.

Transocean (RIG): The oil services stock gets downgraded to Underweight from Overweight at Johnson Rice.

Volterra Semiconductor (VLTR): Shares are now Hold from Buy at both Deutsche Bank and Needham.

(See also: Stock Upgrades: Pandora Media Inc Is Music to Investors' Ears and New Stock Coverage: Movado Group, Inc Has Time on Its Side.)
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.
PrintPRINT
 
Featured Videos

WHAT'S POPULAR IN THE VILLE