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 Upgrades: Meet Newell Rubbermaid, on a Road to Riches


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

Newell Rubbermaid (NYSE:NWL) scores a broker boost this morning, with the analyst citing solid sales gains, robust free cash flow, and an overall improvement in fundamentals that its current valuation has yet to fully reflect. Today could therefore be a case of "lucky sevens" for the stock, which has advanced exactly 7.77% in the past year.
Rubbermaid meets the road today, but yesterday we remembered a maid who loved meat. Dearly departed Alice of The Brady Bunch, a.k.a. "America's Housekeeper," famously had an on-again, off-again romance with Sam the butcher. Judging by Wall Street's ongoing infatuation with carnivore king Hillshire Brands (NYSE:HSH), whose stock just surged another 9.48%, the '70′s sitcom star was way ahead of her time. Alas, that captivating food fight stood stood in stark contrast to another sluggish session in equities. If Friday is D-Day, with the May jobs report coming on the 70th anniversary of the Normandy invasion, then Tuesday was the phony war. Wall Street was all quiet on the western front (although East West Bancorp (NASDAQ:EWBC) did advance an impressive 2.12%) as equities barely budged amid anemic trading activity. The economic seeds of the Second World War were sown in Germany's rampant Weimar-era hyperinflation, but now Berlin endures exactly the opposite issue. As, indeed, does the continent it increasingly dominates, making Mario Draghi's "Nothing to see here, folks" declaration on deflation increasingly untenable. With all eyes on Thursday's European Central Bank meeting, the Dow (INDEXDJX:.DJI) and S&P 500 (INDEXSP:.INX) each retreated from records. Among stocks on the move, Allergan (NYSE:AGN), subject of a frenzied bidding war by Bill Ackman, ended off 1.53% on a rating reduction. Moving from Pershing Square to Tiananmen Square, 25 years ago today a tragic photo was shot in a Beijing baked in blood. Back then China was still a land of bicycles but yesterday Volvo (OTCMKTS:VOLVY) reported record car sales in the country, up 61% in May alone. As Marx so sagely said, history repeats first as tragedy and then as farce.
Today in economics, the Institute for Supply Management's May services index is expected to expand slightly from the prior month's pace at 10:00 a.m. EDT. At 2:00 p.m., the Federal Reserve releases its Beige Book detailing regional financial conditions in a dozen districts. On the earnings front, Brown-Forman (NYSE:BF.B), Hovnanian Enterprises (NYSE:HOV), and PVH Corp (NYSE:PVH) all announce results.
Now let's analyze this morning's upgrades, a group encompassing an athletic apparel outfit and Canadian transport titan as well as our aforementioned Newell Rubbermaid.

AutoZone (NYSE:AZO): Stifel Nicolaus hoists the stock to Buy from Hold.
Canadian Pacific (NYSE:CP): Shares get moves to Outperform from Market Perform by BMO Capital Markets.
European Banks: Goldman Sachs boosts both Credit Suisse (NYSE:CS) (Conviction Buy from Neutral) and Deutsche Bank (NYSE:DB) (Neutral from Sell), sending each up in today's overseas trading.
Newell Rubbermaid: Morgan Stanley moves today's headline upgrade to Overweight from Equal Weight. Its price objective is $34.
Rexnord (NYSE:RXN): RXN gets raised to Overweight from Equal Weight by Barclays.
TNT Express (OTCMKTS:TNTEY): Shares in the European postal powerhouse are taken to Buy from Hold at Kepler.
Under Armour (NYSE:UA): Jefferies juices its rating to Buy from Hold. The price objective, previously $50, is increased to $65.
Vitamin Shoppe (NYSE:VSI): Bank of America Merrill Lynch lifts its investment assessment to Neutral from Underperform.
XL Group (NYSE:XL): The equity gets upgraded to Overweight from Equal Weight at Morgan Stanley.

Also see:

New Stock Coverage: Monster Beverage Isn't So Scary After All

Stock Downgrades: The Wheels Keep Coming Off Coach
< Previous
  • 1
Next >
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.
Featured Videos