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Top Analyst Upgrades & Downgrades (AGCO, APOL, BSX, CECO, DNDN, FDX, GS, HUN, ITW, INTC, KSS, SNDK, AMTD, TRV, UPS, URBN, VOD, HOGS)

Administrator — Fri, 06 Jan 2012 13:19:44 +0000

These are some of the top analyst upgrades, downgrades, and initiations seen from Wall Street brokerage and research firms this Friday morning.

AGCO Corporation (NYSE: AGCO) Maintained Outperform as Bull of the Day at Zacks.
Apollo Group Inc. (NASDAQ: APOL) Reiterated Outperform and Raised Target to $60 at Credit Suisse.
Boston Scientific Corporation (NYSE: BSX) Maintained Hold but lowered estimates at Argus.
Career Education Corporation (NASDAQ: CECO) Cut to Hold at Argus.
Dendreon Corporation (NASDAQ: DNDN) Reiterated Neutral with $10 target at Baird.
FedEx Corporation (NYSE: FDX) Started as Outperform at Wells Fargo.
Goldman Sachs Group Inc. (NYSE: GS) Cut to Market Perform by Wells Fargo.
Huntsman Corporation (NYSE: HUN) named as Value Stock of the Day at Zacks.
Illinois Tool Works. Inc. (NYSE: ITW) Cut to Neutral at Credit Suisse.
Intel Corporation (NASDAQ: INTC) Cut to Neutral at Stern Agee.
Kohl’s Corporation (NYSE: KSS) Cut to Hold at Argus.
SanDisk Corporation (NASDAQ: SNDK) Raised to Buy at Stern Agee.
TD AMERITRADE Holding Corporation (NASDAQ: AMTD) Raised to Buy at Deutsche Bank.
The Travelers Companies, Inc. (NYSE: TRV) Raised to Outperform at Wells Fargo.
United Parcel Service, Inc. (NYSE: UPS) Started as Market Perform at Wells Fargo.
Urban Outfitters Inc. (NASDAQ: URBN) Started as Underperform and named as Bear of the Day at Zacks.
Vodafone Group PLC (NYSE: VOD) Raised to Buy at Goldman Sachs.
Zhongpin, Inc. (NASDAQ: HOGS) Started as outperform at Oppenheimer.

If you enjoyed this morning’s Wall Street research notes, you can sign up to receive these directly in your inbox each morning by joining our free email list in the box below. We also include major movers, key stock calls, news on Warren Buffett and other gurus, as well as special exclusive feature stories.

JON C. OGG

Filed under: Analyst Calls Tagged: AGCO, AMTD, APOL, BSX, CECO, DNDN, FDX, GS, HOGS, HUN, INTC, ITW, KSS, SNDK, TRV, UPS, URBN, VOD

Top Analyst Upgrades & Downgrades (GDI, HBC, AGCO, WCRX, FRX, WIN, RYN, RS, AEM, BMI, K, SHLD, MCP)

Administrator — Fri, 30 Dec 2011 13:56:23 +0000

Finding analyst calls from Wall Street research and brokerage firms on the last trading day of the year is a bit like looking for four-leaf clovers. Still, there are a few analyst upgrades, downgrades, and initiations seen from Wall Street research calls this morning.

Gardner Denver, Inc. (NYSE: GDI) named as the Value Stock of the Day at Zacks Investment Research. HSBC Holdings PLC (NYSE: HBC) was named as the Bear of the Day and AGCO Corporation (NYSE: AGCO) was named as the Bull of the Day by Zacks Investment Research.

Warner Chilcott plc (NASDAQ: WCRX) lowered price target to $25 and Forest Labs Inc. (NYSE: FRX) target cut to $40 at Bank of America Merrill Lynch.

Windstream Corporation (NASDAQ: WIN) Started as Neutral at Piper Jaffray.

Rayonier Inc. (NYSE: RYN) and Reliance Steel & Aluminum (NYSE: RS) were added to the #1 (Strong Buy) List at Zacks Investment Research. The Zacks additions to the #5 (strong Sell List are as follows: Agnico-Eagle Mines Ltd. (NYSE: AEM); Badger Meter Inc. (NYSE: BMI); Kellogg Co. (NYSE: K); and Sears Holdings Corporation (NASDAQ: SHLD).

Molycorp Inc. (NYSE: MCP) is one where we said earlier in the week that the efficient market theory cannot be applied, and Zacks included it on the Strong Sell ratings list this morning to close out 2011.

JON C. OGG

Filed under: Analyst Calls Tagged: AEM, AGCO, BMI, FRX, GDI, HBC, K, MCP, RS, RYN, SHLD, WCRX, WIN

Caterpillar Crushes Estimates With Strong Guidance (CAT, DE, JOYG, CNH, AGCO, MOO)

Paul Ausick — Mon, 24 Oct 2011 13:35:44 +0000

Excluding the impacts of absorbing its recent acquisition of Bucyrus International, Inc., Caterpillar Inc. (NYSE: CAT) posted an all-time high in sales, revenue, and profits in the third quarter. Even with those impacts, Caterpillar managed to beat handily consensus estimates of revenue and profit. And the company expects to post revenue and profit at the high end of its previous estimates, even including the impact of the acquisition.Analysts were expecting EPS of $1.55 on revenue of $15.03 billion. Including Bucyrus, the company posted EPS of $1.71 on revenue of $15.72. Excluding Bucyrus, EPS came in at $1.93 on revenue of $14.58 billion.

Caterpillar has set a high bar for Deere & Co. (NYSE: DE), Joy Global Inc. (NASDAQ: JOYG), CNH Global NV (NYSE: CNH), and AGCO Corp. (NASDAQ: AGCO). Deere, which does not close its quarter until the end of November, is expected to post EPS of $1.43 on $7.83 billion in revenue. Joy Global’s quarter ends this month, and estimates are EPS of $1.86 on revenue of $1.35 billion. CNH reports earnings on Thursday, and consensus estimates call for EPS of $0.82 on revenue of $4.2 billion. AGCO reports earnings tomorrow and is expected to post EPS of $0.76 on revenue of $2.02 billion.

Looking ahead, Caterpillar raised its revenue guidance from $56-$58 billion to $58 billion, including about $2 billion from Bucyrus. EPS guidance was changed from $6.25-$6.75 to $6.75, including a negative impact of about $0.50 from the Bucyrus deal. The company hailed the recent passage of three free-trade agreements and “the growing understanding that we need to do something positive about infrastructure in the United States.” Needless to say, Caterpillar hopes to profit from both.

For 2012, Caterpillar continues to be optimistic. The company expects sales and revenues to increase by 10%-20%, much of which will come from Bucyrus. Caterpillar expects Bucyrus to boost total sales by about $5 billion next year. The company did not provide EPS guidance for 2012.

Of the company’s $1.14 billion in profit, more than 30% was attributed to a favorable exchange rate. The weaker US dollar clearly helped the company in the third quarter, but as the dollar gains strength profits could slow down. The company also reported weaker sales in China, and noted that sales rose in developed countries although total sales of new machines in developed countries “remain significantly below previous peak levels.”

Order backlog has climbed to an all-time high, and the company expects commodity prices to remain high enough to maintain current investment levels from Caterpillar’s customers. In developed countries, Caterpillar believes that deferred replacement of equipment will pick up modestly, while in developing countries the company expects more construction activity to drive additional sales. If sales in China continue to weaken, that may be a tough goal to reach.

Shares of Caterpillar are up about 5% a half hour before the market opens this morning, at $91.65 in a 52-week range of $67.54-$116.55. Deere is up more than 2.5%, at $74.10 in a 52-week range of $59.92-$99.80. Joy Global is up about 2.8%, at $84.10, in a 52-week range of $57.48-$103.44. The Market Vectors Agribusiness ETF (AMEX: MOO) is up about 1.5%, at $49.37, in a 52-week range of $39.86-$57.93.

Paul Ausick

Filed under: Agriculture, Earnings, Infrastructure Tagged: AGCO, CAT, CNH, DE, JOYG, MOO

New Uncertainty in Farm Equipment Sales (DE, CNH, AGCO, CAT, CF, POT, DBA, MOO)

Administrator — Wed, 17 Aug 2011 16:35:04 +0000

Farm equipment maker Deere & Co. (NYSE: DE) reported fiscal third quarter EPS of $1.69 this morning, just $0.02 better than analysts’ consensus estimate. Revenue totaled $8.37 billion, significantly better than expectations of $7.5 billion. High crop prices have been driving equipment sales for several quarters now, but rising costs for steel, rubber, and other raw materials are beginning to weigh on the stock.

CNH Global N.V. (NYSE: CNH) reported quarterly earnings a couple of weeks ago and easily topped expectations. AGCO Corp. (NYSE: AGCO) also posted sterling results for its second quarter. Caterpillar Corp. (NYSE: CAT) reported very solid numbers in July — and the stock fell. That’s happening to Deere today as well. All four are down year-to-date.

Because earnings and revenues have been robust on the strength of demand for agricultural and other heavy equipment, it could be that investors have set expectations too high. Nothing less than spectacular will do.

Or it could be that the stocks are fairly valued now and were overbought before. Caterpillar’s forward multiple is 9.63, CNH’s is 8.11, AGCO’s is 8.66, and, based on today’s earnings report, Deere’s is slightly more than 11. Those numbers seem a little low.

What could be going on is that despite the these companies’ own forecasts for continue sales and profits, investors are more concerned with the cost side of things. Deere’s operating margin in its agricultural machinery division fell from nearly 39% in the same period last year to 33% this quarter. Rising raw materials costs are a legitimate concern, especially if other factors could begin to influence sales.

For example, Deere has projected lower sales in South America this year, an area where the company has been very strong. The company forecasts North American sales up 5%-10% on the year, but a report from an agricultural trade group notes that sales of tractors in the US are down slightly year-to-date, and were down -7.4% in the month of July.

Predictions for lower corn yields and a lower-than-expected harvest could also be adding pressure to farm equipment purchases. Even the increased availability of wheat on international markets due to Russia’s decision to resume exports could be stifling sales somewhat.

Fertilizer stocks are performing somewhat better overall due primarily to the fact that adding more fertilizer to increase yields is cheaper and more effective than buying new equipment. Shares of CF Industries Holdings Inc. (NYSE: CF) have gained about 25% year-to-date, and shares in Potash Corp. of Saskatchewan are up about 8% in the same period.

Deere’s shares are down about -1% just after noon today, at $74.44, in a 52-week range of $60.45-$99.80. Volume has already surpassed the daily average. Caterpillar stock is down about -1.35%, at $88.14, in a 52-week range of $63.34-$116.55. Shares of CNH are down more than -2%, at $30.58, in a 52-week range of $27.01-$54.45, and AGCO shares are down more than -3%, at $39.23, in a 52-week range of $32.36-$59.81.

Shares of PowerShares Agriculture Fund are up about 0.7%, at $33.09, in a 52-week range of $25.63-$35.58. The Market Vectors Agribusiness ETF (NYSE: MOO) is up about 0.25%, at $50.15, in a 52-week range of $42.35-$57.93.

Paul Ausick

Filed under: Agriculture, Earnings, Infrastructure, International Markets Tagged: AGCO, CAT, CF, CNH, DBA, DE, MOO, POT

Top Analyst Upgrades & Downgrades (AGCO, AAPL, BIDU, BMI, CL, DNDN, DOW, FLEX, INSP, TAP, REGN, RIMM, TSM, VLO, VZ, GWW, SLV, SIVR)

Administrator — Fri, 29 Apr 2011 12:38:29 +0000

These are some of the top analyst upgrades, downgrades, and initiations seen from Wall Street research calls this Friday morning.

AGCO Corporation (NASDAQ: AGCO) Maintained Outperform as Bull of the Day at Zacks.
Apple Inc. (NASDAQ: AAPL) Reiterated Buy and Raised target to $415 from $375 at Argus.
Baidu, Inc. (NASDAQ: BIDU) has seen its targets raised at Citigroup, BofA/ML, and Goldman Sachs.
Badger Meter, Inc. (NYSE: BMI) Maintained Underperform as Bear of the Day at Zacks.
Colgate-Palmolive Co. (NYSE: CL) Raised to Buy at Deutsche Bank.
Dendreon Corporation (NASDAQ: DNDN) Started as Buy at ThinkEquity.
The Dow Chemical Company (NYSE: DOW) Raised to Overweight at JPMorgan.
Flextronics International Ltd. (NASDAQ: FLEX) Cut to Hold at Argus.
InfoSpace Inc. (NASDAQ: INSP) Raised to Buy at S&P Equity Research (late-Thursday call).
Molson Coors Brewing Company (NYSE: TAP) Cut to Neutral at JPMorgan.
Regeneron Pharmaceuticals, Inc. (NASDAQ: REGN) Cut to Sector Perform at RBC.
Research In Motion Limited (NASDAQ: RIMM) Has been downgraded to Underperform at Jefferies and downgraded by at least two Canadian brokerages on its warning.
Taiwan Semiconductor Manufacturing Co. Ltd. (NYSE: TSM) has seen targets raised by Credit Suisse, Deutsche Bank, and Goldman Sachs.
Valero Energy Corp. (NYSE: VLO) Reiterated Buy and raised target to $35 from $32 at Argus.
Verizon Communications Inc. (NYSE: VZ) Cut to Hold at Citigroup.
W.W. Grainger, Inc. (NYSE: GWW) Raised to Neutral at BofA/ML.

This is an update from yesterday but we highlighted a technical analysis call from Bank of America Merrill Lynch that was effectively assigning the possibility of $80.00 silver, which would be yet another huge boom for shares of iShares Silver Trust (NYSE: SLV) and ETFS Physical Silver Shares (NYSE: SIVR).

You can join our free daily email distribution list to hear more about analyst upgrades and downgrades, top day trader and active trader alerts, dividend trends, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.

JON C. OGG

Filed under: Analyst Calls Tagged: AAPL, AGCO, BIDU, BMI, CL, DNDN, DOW, FLEX, GWW, INSP, REGN, RIMM, SIVR, SLV, TAP, TSM, VLO, VZ

Commodities Watch: Corn Price Sets New Record; Cocoa Prices Falling; WTI Crude Could Drop Significantly (DBA, MOO, TSN, SFD, HRL, DE, CNH, AGCO, MOS, HSY, KFT, GLD, SLV, GDX, GDXJ, SIL, USO)

Administrator — Tue, 05 Apr 2011 18:30:40 +0000

Time for our daily look at the world of commodity prices and key developments. Corn futures continue their seemingly inexorable march toward $8/bushel as wet and windy weather in the US Midwest threatens to stifle spring planting. Demand for corn points to a 2011 year-end supply of just four days, despite projected near-record acreage planting.

Rising corn prices, now above $7.66/bushel, is almost certain to drive cattle prices higher because ranchers are not increasing their herd sizes as they normally would with rising cattle prices because corn prices are rising faster. The PowerShares DB Agriculture ETF (NYSE: DBA) and the Market Vectors Agribusiness ETF (NYSE: MOO) are both trading essentially flat so far today.

Other ag-related stocks are also showing little movement today. Tyson Foods Inc. (NYSE: TSN), Smithfield Foods Inc. (NYSE: SFD), and Hormel Foods Corp. (NYSE: HRL) are trading essentially flat. Farm equipment makers Deere & Co. (NYSE: DE), CNH Global N.V. (NYSE: CNH), and AGCO Corp. (NYSE: AGCO) are all trading down about -1%. Fertilizer maker Mosaic Co. (NYSE: MOS) reported earnings today, and missed revenue expectations. However, the company sold 2.4 million tons of its phosphate fertilizers at $543/ton, way above last year’s sales price of $336/ton. The company also guided phosphate sales between 2.5 and 2.9 million tons for its fourth fiscal quarter ending in May.

Cocoa prices continue their slide as United Nations and French troops supporting the elected president of Ivory Coast, Alassane Ouattara, are negotiating with forces of the outgoing president, Laurent Gbagbo, who refused to relinquish power. Cocoa futures have fallen from a high of $3,775/ton early this month to $2,982, and the drop is expected to continue as hundreds of thousands of tons of cocoa in Ivory Cost warehouses are released into the market.

Chocolate makers Hershey Co. (NYSE: HSY) shares are up more than 1% today. The world’s largest maker of bulk chocolate, Swiss-based Barry Callebaut AG, said earlier that it would be able to meet its contractual obligations to Hershey, Nestle SA, and Kraft Foods Inc. (NYSE: KFT) without relying on Ivory Coast supplies.

Gold and silver are also continuing to set record highs. Gold is trading above $1,450/ounce, and silver has risen to more than $39/ounce. The SPDR Gold Shares ETF (NYSE: GLD) is up more than 1% today, and the iShares Silver Trust (NYSE: SLV) is up more than 1.5%. Gold miners are faring better, with the Market Vectors Gold Miners ETF (NYSE: GDX) up about 3.5% and the Market Vectors Junior Gold Miners ETF (NYSE: GDXJ) up about 3.75%. The Global X Silver Miners ETF (NYSE: SIL) is up about 3% as well.

West Texas Intermediate crude is off slightly, to below $108/barrel, while Brent crude is up to more than $122/barrel. The WTI price could fall further as the United States Oil ETF (NYSE: USO) begins to rollover its contracts tomorrow. WTI is priced at delivery at the storage facility in Cushing, Oklahoma, which is absolutely full to the top. Because the USO rolls its contracts forward every month, more oil that could presumably flow into the tanks at Cushing have to go somewhere else. Either refiners have to take the barrels or the barrels have to be exported. In either event, WTI prices are almost certain to fall. The question, of course, is by how much.

Paul Ausick

Filed under: Agriculture, Commodities, Metals, Oil & Gas Tagged: AGCO, CNH, DBA, DE, GDX, GDXJ, GLD, HRL, HSY, KFT, MOO, MOS, SFD, SIL, SLV, TSN, USO

Deere Holds Hope for Strong 2011 (DE, CNH, AGCO)

Administrator — Wed, 16 Feb 2011 16:28:42 +0000

Rising food prices may be hurting consumers around the globe, but they aren’t doing any damage to the farmers who raise the food and the companies that supply those farmers with equipment. Deere & Co. (NYSE: DE) reported EPS of $1.20 on revenue of $6.12 billion, well above estimates for EPS of $0.99 and revenue of $5.67 billion. These numbers are in-line with earlier earnings reports from CNH Global NV (NYSE: CNH) and AGCO Corp. (NYSE: AGCO), both of which beat expectations.

But the difference is outlook. Where CNH and AGCO saw the glass as half-empty, Deere sees a glass that is half-full. AGCO, in particular, was cautious about sales in Brazil, and came in with a full-year EPS estimate of $2.50-$2.75, where analysts had been predicting EPS of $2.94.

Deere, however, raised its profit forecast to $2.5 billion, up from its previous forecast of $2.1 billion. The company also expects sales growth of 18%-20%, up from a previous forecast of up 10%-12%. The expected profit calculates out to EPS of about $5.90, nicely higher than analysts’ estimates of $5.49.

Both AGCO and Deere expect sales of its farm machinery to remain strong in North America, but growth is unlikely to be as high as in either Europe or South America. Deere also expects sales in its construction and forestry equipment division to grow by 35% in 2011, primarily on sales to equipment rental firms and an improvement in forestry markets where wood and pulp prices are currently high and expected to stay that way.

Deere & Co. shares set a new 52-week high this morning of $97.36, putting its 52-week range at $52.73-$97.36.

Paul Ausick

Filed under: Agriculture, Earnings, International Markets Tagged: AGCO, CNH, DE

Top Analyst Upgrades & Downgrades (AGCO, BP, COF, CRZO, CRDN, FSLR, GPN, MOTR, NDAQ, OAS, RSYS, WBSN)

Administrator — Wed, 28 Jul 2010 12:24:39 +0000

These are some of this Wednesday’s top analyst upgrades and downgrades seen from Wall Street research calls:

AGCO Corp. (NASDAQ: AGCO) Raised to Buy at Stifel Nicolaus.
BP plc (NYSE: BP) Raised Target (in U.K.) by Goldman Sachs; Raised to Outperform at Macquarie.
Capital One Financial Corp. (NYSE: COF) Started as Perform at Oppenheimer.
Carrizo Oil & Gas Inc. (NASDAQ: CRZO) Raised to Outperform at BMO.
Ceradyne Inc. (NASDAQ: CRDN) Raised to Buy at Needham.
First Solar Inc. (NASDAQ: FSLR) Maintained Buy but Raised Target to $173 at Auriga.
Global Payments Inc. (NYSE: GPN) Cut to Neutral at Janney Montgomery; Cut to Market Perform at Barrington Research.
Motricity, Inc. (NASDAQ: MOTR) Started as Buy at Needham.
NASDAQ OMX Group (NASDAQ: NDAQ) Raised to Buy at Stifel Nicolaus.
Oasis Petroleum Inc. (NYSE: OAS) Started as Buy at Canaccord; Started as Buy at UBS.
RadiSys Corporation (NASDAQ: RSYS) Cut to Hold at Jefferies.
WebSense, Inc. (NASDAQ: WBSN) Cut to Underweight at JPMorgan.

You can join our free daily email distribution list to hear more about dividend trends, analyst upgrades and downgrades, top day trader and active trader alerts, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.

JON C. OGG

Filed under: Analyst Calls Tagged: AGCO, BP, COF, CRDN, CRZO, FSLR, GPN, MOTR, NDAQ, OAS, RSYS, WBSN

Top 10 Analyst Upgrades and Downgrades (ACOR, AGCO, AEO, AU, ANDE, CTXS, DE, ITRI, NTAP, VMW)

247wallst — Thu, 18 Feb 2010 13:19:21 +0000

These are this Thursday’s top ten analyst upgrades, downgrades, and initiations we have seen from Wall Street research calls this Thursday morning:

Acorda Therapeutics (NASDAQ: ACOR) Cut to Market Perform at Leerink Swann.
AGCO Corporation (NYSE: AGCO) Started as Hold at Morgan Joseph.
American Eagle Outfitters (NYSE: AEO) Raised to Buy at Wells Fargo.
AngloGold Ashanti Ltd. (NYSE: AU) Cut to Neutral at UBS.
Andersons Inc. (NASDAQ: ANDE) Cut to Neutral at Piper Jaffray.
Citrix Systems (NASDAQ: CTXS) Started as Neutral at UBS.
Deere & Co. (NYSE: DE) Raised to Overweight at JPMorgan.
Itron Inc. (NASDAQ: ITRI) Raised to Buy at Needham.
NetApp, Inc. (NASDAQ: NTAP) Cut to Market Perform at BMO Capital; Cut to Hold at Canaccord Adams.
VMware, Inc. (NYSE: VMW) Started as Buy at UBS.

You are invited to join our free daily email distribution list to hear about top analyst upgrades and downgrades, IPOs and secondary offerings, ongoing day trader and options trader alerts, stock and market rumors, Buffett and guru investor news, M&A and more.

JON C. OGG
FEBRUARY 18, 2010

Filed under: Analyst Calls Tagged: ACOR, AEO, AGCO, ANDE, AU, CTXS, DE, ITRI, NTAP, VMW

Top Analyst Downgrades (AGCO, AIV, AAI, JBLU, TSCO, VLO)

247wallst — Wed, 14 Oct 2009 11:38:54 +0000

These are this Wednesday’s top early-bird analyst downgrades and cautious research calls out of Wall Street:

Agco Corp. (AGCO) Cut to Underweight at JPMorgan.
Apartment Investment & Management Co. (AIV) Cut to Underperform at BofA Merrill Lynch.
Airtran Holdings (AAI) Cut to Underweight at Barclays.
JetBlue (JBLU) Cut to Equal Weight at Barclays.
Tractor Supply Co. (TSCO) Started as Underweight at JPMorgan.
Valero (VLO) Cut to Sell at Soleil.

You can join our open email distribution list to get updates each morning on analyst upgrades and downgrades, top day trader alerts, IPO’s and secondary offerings, Warren Buffett and other guru activity, M&A and more.

JON C. OGG
October 14, 2009

Posted in Analyst Calls Tagged: AAI, AGCO, AIV, JBLU, TSCO, VLO