The energy research team at Raymond James Financial Inc. (NYSE: RJF) is encouraging customers of the firm to focus on domestic energy stocks that have the highest growth potential. From exploration and production to refining, they are very positive on certain U.S. names. In a new research report, they have highlighted their top stocks to buy.

Enterprise Products Partners (NYSE: EPD) is rated at the top of their list. Reporting another strong quarter of earnings that beat estimates, Enterprise Products is one of the top master limited partnership (MLP) names. The Thomson/First Call target estimate is $64. The company pays unitholders a 4.40% distribution. MLP distributions may contain return of principal

Valero Energy Corp. (NYSE: VLO) is one of the top refining names. Valero recently spun off its retail business to existing shareholders. The consensus price target for this top name is $48. Shareholders are paid a 2% dividend.

Alliance Holdings GP L.P. (NASDAQ: AHGP) is one of the four highest rated stocks at Raymond James. This producer of coal primarily to utilities and industrial users in the United States, has been trading near the top of its range. The consensus price target for the stock is $57.50. Unitholders receive a 5.30% distribution.

Alliance Resource Partners L.P. (NASDAQ: ARLP) is another entity of the same company. The advantage to investors is a higher distribution rate. The consensus price target is $75. Unitholders receive a 6.50% distribution.

Apache Corp. (NYSE: APA) is an independent exploration and production company that is a stock to buy. Down 25% from this time last year, insiders were buyers of the stock recently. Consensus estimate for the stock price is $95. Apache pays a 1.10% dividend. A move to the target price would represent almost a 30% gain for investors.

Questar Corp. (NYSE: STR) posted strong first-quarter earnings at its Gas Utility division yesterday. The consensus target for the stock is $25. Shareholders receive a 2.70% dividend.

Tesoro Logistics Partners L.P. (NYSE: TLLP) is another MLP to make the list of stocks to buy. The company operates in two segments — Crude Oil Gathering, and Terminalling, Transportation and Storage — with much of their business in the Bakken shale and the Williston basin. The vonsensus price target is $53. Unitholders are paid a 3.40% distribution.

Access Midstream Partners L.P. (NYSE: ACMP) is another popular MLP to make the Raymond James list. Solid portfolio acquisitions are driving earnings growth. The consensus price target is $44. Unitholders receive a 4.40% distribution.

QEP Resources Inc. (NYSE: QEP) rounds out the list of energy stock to buy. QEP is another independent exploration and production firm focusing on shale oil regions. The consensus for the stock is $38. Hitting the target would represent a 30% gain for investors.

Raymond James points out that domestic firms are hitting on all earnings cylinders now. In establishing a portfolio position in energy, it makes sense for investors to look at stocks from all the subsectors. Diversity helps lower the overall volatility and risk in what has been a somewhat underperforming sector this year.

Apache Corp. (NYSE: APA) was downgraded twice on Thursday: cut to Neutral from Overweight by J.P. Morgan and cut to Perform from Outperform by Oppenheimer.

EBay Inc. (NASDAQ: EBAY) was cut to Neutral from Outperform by Macquarie after its earnings report and mixed guidance. Shares are indicated down 3%.

Expeditors International of Washington Inc. (NASDAQ: EXPD) cut to Underperform from Sector Perform at RBC Capital Markets.

FedEx Corp. (NYSE: FDX) cut to Underperform from Sector Perform at RBC Capital Markets.

Huntington Bancshares Inc. (NASDAQ: HBAN) was downgraded to Neutral from Buy at a firm called Compass Point, although that $8 price target still stands out above the $7.01 close on Wednesday and above the $7.55 high in the past 52-week period.

Qiagen N.V. (NASDAQ: QGEN) was initiated with a Sell rating at Citigroup.

There is a macro-market call from Citigroup’s global equities team to watch. The firm is telling customers that it is shifting its allocations to Underweight from a Neutral weighting for U.S. equities. This may seem a bit late if you have been watching our coverage on Japanese markets, but Citigroup is now telling customers that it underestimated the impact of policy changes from the Bank of Japan and it is now raising Japanese equities to Neutral from Underweight. This call feels a bit like a “Thanks for nothing” call.

See also: Top Analyst Upgrades and Positive Research Calls

Alpha Natural Resources Inc. (NYSE: ANR) cut to Neutral at Citigroup.

Apache Corp. (NYSE: APA) started as Positive at Susquehanna.

Arch Coal Inc. (NYSE: ACI) cut to Neutral at Citigroup.

Aspen Insurance Holdings Ltd. (NYSE: AHL) named Bull of the Day at Zacks.

Barrick Gold Corp. (NYSE: ABX) cut to Neutral at J.P. Morgan.

Cardinal Health Inc. (NYSE: CAH) maintained Buy with $52 target at Argus.

Chipotle Mexican Grill Inc. (NYSE: CMG) raised to Buy from Neutral at UBS.

DENTSPLY International Inc. (NASDAQ: XRAY) raised to Buy at Citigroup.

Enanta Pharmaceuticals Inc. (NASDAQ: ENTA) started as Outperform with $29 target at Credit Suisse.

Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX) cut to Sell from Neutral at Citigroup.

Gold Fields Inc. (NYSE: GFI) raised to Neutral at Citigroup.

Goldman Sachs Group Inc. (NYSE: GS) started as Market Perform at KBW.

J.P. Morgan Chase & Co. (NYSE: JPM) reiterated Outperform and raised target price to $67 at Oppenheimer.

Lululemon Athletica Inc. (NASDAQ: LULU) defended on weakness and maintained Buy rating with target raised to $77 from $71 by Janney Capital.

Model N Inc. (NYSE: MODN) started as Buy at Stifel Nicolaus.

Open Table Inc. (NASDAQ: OPEN) cut to Neutral at J.P. Morgan.

PVR Partners L.P. (NYSE: PVR) named Bear of the Day at Zacks.

Saks Inc. (NYSE: SKS) cut to Neutral at J.P. Morgan.

SLM Corp. (NASDAQ: SLM) reiterated Outperform with $24 target price at Credit Suisse.

Under Armour Inc. (NYSE: UA) raised to Positive at Susquehanna.

Verizon Communications Inc. (NYSE: VZ) reiterated Outperform and raised target price to $55 at Oppenheimer.

W.R. Grace & Co. (NYSE: GRA) started as Outperform with $91 price target at Credit Suisse.

Deutsche Bank unveiled a new list of small cap stocks that it thinks will lead the bull market charge.

Another dividend lovers piece is from Oppenheimer, showing the top picks in the high-yield business development company sector.

The U.S. dollar index fell 0.18% today, now at 80.476. The GSCI commodity index is down 0.5% at 675.90, with commodities prices mixed again today. WTI crude oil closed up 0.8% today, at $96.66 a barrel. Brent crude trades down fractionally at $117.38 a barrel. Natural gas is up 3.7% today at about $3.27 per million BTUs. Gold settled down 0.3% today at $1,604.20 an ounce.

The unofficial closing bells put the DJIA up about 54 points to 14,035.75 (0.39%), the NASDAQ rose nearly 22 points (0.68%) to 3,213.59, and the S&P 500 rose 0.73% or about 11 points to 1,530.91.

There were a several analyst upgrades and downgrades today, including Gold Fields Inc. (NYSE: GFI) cut to ‘sell’ at Citigroup; Apache Corp. (NYSE: APA) cut to ‘neutral’ at Macquarie; Coinstar Inc. (NASDAQ: CSTR) cut to ‘underweight’ at J.P. Morgan; Wells Fargo & Co. (NYSE: WFC) raised to ‘outperform’ at KBW; and Berkshire Hathaway Inc. (NYSE: BRK-A) raised to ‘outperform’ at KBW.

Earnings reports since markets closed last Friday resulted in several price moves today, including these: America’s Car-Mart Inc. (NASDAQ: CRMT) is up 10.3% at $45.82; Express Scripts Holding Co. (NASDAQ: ESRX) is up 2% at $56.70 (more coverage here); NiSource Inc. (NYSE: NI) is up 1% at $27.05 after posting a new 52-week high of $27.40 earlier today; and Windstream Corp. (NASDAQ: WIN) is up 0.9% at $9.01.

After markets close today and before they open tomorrow morning we are scheduled to hear from Analog Devices Inc. (NASDAQ: ADI), CF Industries Holdings Inc. (NYSE: CF), Dell Inc. (NASDAQ: DELL), Herbalife Ltd. (NYSE: HLF), Avista Corp. (NYSE: AVA), Clean Harbors Inc. (NYSE: CLH), Dish Network Corp. (NASDAQ: DISH), Leap Wireless International Inc. (NASDAQ: LEAP), MGM Resorts International (NYSE: MGM), Sodastream International Ltd. (NASDAQ: SODA), and Toll Brothers Inc. (NYSE: TOL).

Some standouts from today include the following stocks:

Office Depot Inc. (NYSE: ODP) is up 9.8% at $5.04 after posting a new 52-week high of $6.09 earlier today. The office supply retailer is said to be in merger talks with competitor OfficeMax Inc. (NYSE: OMX), which itself is up 19.6% at $12.86 after posting its own new high of $14.08. Even larger competitor Staples Inc. (NASDAQ: SPLS) is up 12.9% at $14.62 on the news. More coverage here.

Novogen Ltd. (NASDAQ: NVGN) is up 227.3% at $6.84 after posting a new 52-week high of $7.60 earlier today. The Australia-based biotech company revealed highly positive results in a test of it ovarian cancer treatment.

SunPower Corp. (NASDAQ: SPWR) is up 16.8% at $13.37 after posting a new 52-week high of $13.66 earlier today. The solar panel maker is leading solar stocks higher as investors respond to some generally positive news in the sector.

Stay tuned for Wednesday. We have noted the following events on Tuesday’s schedule (all times Eastern):

7:00 a.m. – Mortgage Bankers Association purchase applications
8:30 a.m. – Housing starts
8:30 a.m. – Producer price index
11:30 a.m. – 4-week bill auction
2:00 p.m. – FOMC minutes released

Apache Corp. (NYSE: APA) cut to Neutral at Macquarie.

Bank of America Corp. (NYSE: BAC) raised to Outperform at KBW.

Berkshire Hathaway Inc. (NYSE: BRK-A) cut to Market Perform at KBW.

Cliffs Natural Resources Inc. (NYSE: CLF) raised to Overweight at J.P. Morgan.

Coinstar Inc. (NASDAQ: CSTR) cut to Underweight at J.P. Morgan.

Cree Inc. (NASDAQ: CREE) cut to Perform at Oppenheimer.

Cypress Semiconductor Corp. (NASDAQ: CY) raised to Buy at Needham.

Fifth Third Bancorp (NASDAQ: FITB) cut to Market Perform at KBW.

Gilead Sciences Inc. (NASDAQ: GILD) raised to Outperform at Credit Suisse.

Gold Fields Inc. (NYSE: GFI) cut to Sell at Citigroup.

Halliburton Co. (NYSE: HAL) raised to Overweight at J.P. Morgan.

Hartford Financial Services Group Inc. (NYSE: HIG) raised to Outperform at KBW.

HSBC Holdings PLC (NYSE: HBC) cut to Equal Weight at Morgan Stanley.

Koninklijke Philips Electronics N.V. (NYSE: PHG) cut to Hold at Soc-Gen.

PVH Corp. (NYSE: PVH) started as Outperform Credit Suisse.

SunTrust Banks Inc. (NYSE: STI) cut to Market Perform at KBW.

UBS A.G. (NYSE: UBS) cut to Neutral at Credit Suisse.

Veeco Instruments Inc. (NASDAQ: VECO) cut to Neutral at J.P. Morgan.

Wells Fargo & Co. (NYSE: WFC) raised to Outperform at KBW.

To quickly put the survey into perspective, when participants were asked their energy sector weighting 68% said they were overweight while 21% said they were neutral. Only 11% were underweight. When asked their largest weighting within energy, refiners and exploration and production (E&P) companies topped the list tied at 26%. The big picture view that can be taken from it was that the participants were very bullish on oil and energy going forward.

When asked “Of the well liked large capitalization stocks which will outperform?”  Anadarko Petroleum Corporation (NYSE: APC) was the overwhelming choice followed by Noble Energy Inc. (NYSE: NBL), Pioneer Natural Resources Co. (NYSE: PXD), EOG Resources Inc. (NYSE: EOG) and Marathon Oil Corporation (NYSE: MRO). Marathon was notable in that they received no votes for outperforming.

When asked “Which stock is poised for a breakout in 2013?” the results were very closely bunched. The participants top break out choice was Hess Corporation (NYSE: HES) followed by in order by Apache Corp. (NYSE: APA), Devon Energy (NYSE: DVN), Occidental Petroleum Corporation (NYSE: OXY), ConocoPhillips (NYSE: COP) and Murphy Oil Corporation (NYSE: MUR).

One other interesting question asked of the participants especially after they cited so many large cap Independent E&P names was “ What is the chance the one of the Integrated Oils like Exxon Mobil Corporation (NYSE: XOM), Chevron Corporation (NYSE: CVX) or even BHP Billiton Ltd (NYSE: BHP) launching a takeover bid for a large cap Independent E&P”. A whopping 42% said there was a 50-75% chance, while 27% thought there was a 75-100% chance. Of course, the question is who is the target?

The survey contained many typical general questions but one theme was consistent. The participants felt that oil and gas pricing would stay firm to slightly higher from current levels. They were also generally in agreement that demand from China, India and the Middle East would drive pricing and profits, while growth production from the US, Russia, OPEC and other countries could weigh on pricing and profits.

We wanted to know how the survey results look against the consensus. We included each stock mentioned herein below, along with the current share price and the one-year forward consensus price target from Thomson Reuters.

Companies across the oil universe, from large integrateds like Exxon Mobil Corp. (NYSE: XOM) and Chevron Corp. (NYSE: CVX) to independents like Apache Corp. (NYSE: APA) and Occidental Petroleum Corp. (NYSE: OXY), are aggressively pursuing exploration and production. There are very compelling reasons why. One is that China’s oil demand is expected to rise at a faster pace this year than previously forecast, thanks to an economic recovery.

China’s apparent oil demand, or crude processing plus net imports of refined products, rose for a second month to a record 10.6 million barrels a day in December, up 9.1% from a year earlier, according to data compiled by Bloomberg. Gross domestic product expanded 7.9% in the fourth quarter, compared with 7.4% in the previous period, snapping a seven-quarter slowdown, government figures showed Jan. 18.

The other catalyst seen for a rebound in the sector is a slow but sure recovery in the long-suffering natural gas market. While this recovery will not happen overnight, the Deutsche Bank analysts pointed out in their sector upgrade that it will play a part in the overall sector strengthening.

Industry leaders like Schlumberger Ltd. (NYSE: SLB), Baker Hughes Inc. (NYSE: BHI) and Halliburton Co. (NYSE: HAL) all have turned in solid earnings for the fourth quarter. Leaders posting strong numbers and oil companies upping their capital expenditures are a winning combination for a sector that struggled last year.

Despite reasonably consistent oil prices and an increasingly favorable overall tolerance for risk, the oil service sector had an ugly year in 2012. After a disastrous first half of the year, the sector rallied in the second half to end the year down just over 2%. That was extremely disappointing in a year in which the S&P 500 as a whole had double-digit gains, as did many of the sectors.

On Thursday, Barclays PLC (NYSE: BCS) upgraded oil services, citing rising demand and very fair valuations in the sector. The analyst at Barclays point to a proliferation of offshore drilling, not only in the deepwater portions of the Gulf of Mexico but all around the world.

With a backdrop for firm pricing, Barclays initiated three names at overweight. Atwood Oceanics Inc. (NYSE: ATW), which closed yesterday at $52.48, has a price target of $68. Thomson/First call estimates are at $55.50. Ocean Rig UDW Inc. (NASDAQ: ORIG) has a price target of $31. It closed yesterday at $16.32 and the street target is at $22. If this pick is on the mark, that is a potential gain of 90%. Lastly Barclays boosted Pacific Drilling S.A. (NYSE: PACD) to Overweight with a $14 price target. It closed at $10.42 yesterday, and the street consensus is $12.

Due to recent exploration successes, high commodity prices and the further globalization of offshore drilling, analysts estimate offshore drilling spending will rise 61% from 2012 levels to $200 billion by 2015. Not all areas of the oil services sector are expected to see that kind of explosive growth. But with west Texas intermediate (WTI) above $95 and Brent crude near $114, oil service sectors should see steadily increasing business from the oil producers.

Investors looking to have broad sector exposure may want to consider owning the Market Vectors Oil Services ETF (NYSEMKT: OIH). This provides diversification with a basket of quality names.

The U.S. dollar index fell today, now down 0.08% at 80.347. The GSCI commodity index is down 0.4% at 632.88, with commodities prices mixed today. WTI crude oil closed down 0.4% today, at $85.56 a barrel. Brent crude trades up 0.4% at $107.39 a barrel. Natural gas is down 2.7% today at about $3.46 per thousand cubic feet. Gold settled up 0.5% today at $1,714.40 an ounce.

The unofficial closing bells put the DJIA up more than 14 points to 13,169.57 (0.11%), the NASDAQ rose about 9 points (0.30%) to 2,986.96, and the S&P 500 rose 0.03% or less than 1 point to 1,418.56.

There were several analyst upgrades and downgrades today, including CME Group Inc. (NASDAQ: CME) cut to ‘sell’ with a target price of $48 at Goldman Sachs; Best Buy Co. Inc. (NYSE: BBY) initiated as ‘underperform’ with a target price of $9 at BofA/ML (more coverage here); Saks Inc. (NYSE: SKS) reiterated as ‘buy’ with a target price of $14 at Argus; Noble Energy Inc. (NYSE: NBL) raised to ‘outperform’ at Baird; and Apache Corp. (NYSE: APA) cut to ‘hold’ at Deutsche Bank and cut to ‘neutral’ at Baird.

There have been no significant earnings reports since markets closed Friday night.

Before markets open tomorrow morning we are scheduled to hear from Uranium Energy Corp. (NYSEMKT: UEC), Teavana Holdings Inc. (NYSE: TEA), and Ferrellgas Partners LP (NYSE: FGP).

Some standouts from today include the following stocks:

Intermec Inc. (NYSE: IN) is up 22.9% at $9.81 after posting a new 52-week high of $9.82 earlier today. The mobile scanning technology company is being acquired by Honeywell International Inc. (NYSE: HON) for $10 a share. More coverage here.

Groupon Inc. (NASDAQ: GRPN) is down about 9.1% at $4.26. The daily deals company rose about 20% on Friday, apparently on a rumor that Google Inc. (NYSE: GOOG) would acquire the company. That didn’t happen today.

Nexen Inc. (NYSE: NXY) is up 14% at $26.81 after posting a new 52-week high of $26.98 earlier today. The oil and gas producer’s acquisition by China’s Cnooc Ltd. (NYSE: CEO) was approved by the Canadian government. More coverage here.

The Cash Store Financial Services Co. (NYSE: CSFS) is down 20.1% at $3.39 after posting a new 52-week low of $2.90 earlier today. The payday lending firm said this morning that it will restate financial results for the first two quarters of this year relate to the company’s acquisition of a portfolio of loans from third-party lenders.

Stay tuned for Tuesday. The Fed Open Market Committee begins its two-day meeting tomorrow. We have also noted the following events on the schedule (all times Eastern):

• 7:30 a.m. – National Federation of Independent Business optimism index
• 8:30 a.m. – International trade
• 10:00 a.m. – Wholesale trade
• 11:30 a.m. – 4- and 52-week bill auctions
• 1:00 p.m. – 3-year note auction

Paul Ausick

Abercrombie & Fitch Co. (NYSE: ANF) raised to Outperform at Baird.

Advance Auto Parts Inc. (NYSE: AAP) reinstated as Neutral at BofA/ML.

Apache Corp. (NYSE: APA) cut to Hold at Deutsche Bank and cut to Neutral at Baird.

Best Buy Co. (NYSE: BBY) initiated with Underperform and $9 target at BofA/ML.

CME Group Inc. (NASDAQ: CME) cut to Sell with lower target at $48 by Goldman Sachs.

eBay Inc. (NASDAQ: EBAY) reiterated Buy and raised target to $65 at Argus.

Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX) resumed as Neutral at BofA/ML.

Isle of Capri Casinos Inc. (NASDAQ: ISLE) raised to Neutral at Credit Suisse.

MetLife Inc. (NYSE: MET) maintained Outperform but cut 2013 estimates at Credit Suisse.

Noble Energy Inc. (NYSE: NBL) raised to Outperform at Baird.

Omnicom Group Inc. (NYSE: OMC) cut to Hold at Deutsche Bank.

Plexus Corp. (NASDAQ: PLXS) raised to Neutral at BofA/ML.

QR Energy L.P. (NYSE: QRE) raised to Outperform but lowered price target to $20 at Credit Suisse.

Saks Inc. (NYSE: SKS) reiterated Buy with $14 target at Argus.

TripAdvisor Inc. (NASDAQ: TRIP) raised to Buy at Deutsche Bank.

Zacks named NYSE Euronext Inc. (NYSE: NYX) as the Bear of the Day and Cyberonics Inc. (NASDAQ: CYBX) as the Bull of the Day.

Here is a list of the Fortune Top 10 Stocks to Buy for 2013.

Here are 10 defensive and yield stock picks from Bank of America for 2013.

Here is an analysis calling for a gold pairs trade for 2013.

JON C. OGG

The roster of bidders totaled just 13 companies, including Exxon Mobil Corp. (NYSE: XOM), ConocoPhillips (NYSE: COP), Chevron Corp. (NYSE: CVX), Apache Corp. (NYSE: APA, Anadarko Petroleum Co. (NYSE: APC), BHP Billiton plc (NYSE: BHP), and Plains Exploration & Production Co. (NYSE: PXP). The June auction attracted 56 bidders.

Notably absent from the list is BP plc (NYSE: BP), which paid nearly $240 million for new leases at the June auction. BP was not barred from the bidding, but in order for the BOEM to have accepted a bid from the company, BP and the U.S. EPA would have reached an agreement to end the temporary suspension that the EPA recently slapped on BP.

Of the 10 highest bids, just two were made for leases in water more than 1,600 feet deep and only 1 in shallow water. The remaining seven high bids were made for leases in water between 800 and 1,600 feet deep.

The single highest bid came in at $157 million for a block in the Mississippi Canyon area. The block received four bids and the eventual winner was Statoil’s Mexican subsidiary.

Chevron led the big spenders, with a total of $56 million, followed by Conoco ($51 million), BHP ($14.5 million), and Exxon ($5.9 million).

The BOEM estimates that hydrocarbon recovery from the leased areas will yield 116 to 200 million barrels of oil and 538 to 938 billion cubic feet of natural gas. The federal royalty rate on production from these sales is 18.75%.

Before leases are awarded the BOEM evaluates the winning bids “to ensure the public receives fair market value before a lease is awarded.”

Paul Ausick