From Standard & Poor's Equity ResearchOPPENHEIMER UPGRADES APPLE TO OUTPERFORM FROM PERFORM
Oppenheimer analyst Yair Reiner says, after yesterday's disclosures about Apple (AAPL) CEO Steve Jobs' health, he's satisfied a sudden change of leadership is not imminent.
Reiner notes, while the letters from Jobs and AAPL's board raise more questions than they answer, it seems unlikely Jobs, the board, and its counsel would disclose the prognosis of a 6-month recovery if it were at odds with doctors' expectations.
He will now refocus on the heart of the AAPL story: Mac share gains, the iPhone revolution, cash in the bank and cash that's still flowing. He has a $135 price target on the stock.
DOUGHERTY DOWNGRADES GARMIN TO NEUTRAL FROM BUY
Dougherty analyst Jeff Evanson says that the personal navigation device (PND) category as a whole is shrinking in North America, and he sees Garmin''s (GRMN) PND units falling by 8% in 2009.
Evanson believes GRMN is running out of arrows in its quiver for the Nuvi family and needs a new platform. He thinks the company's goal of selling 500,000 Nuvifone units in 2009 is overly ambitious.
He raises $3.51 2008 EPS estimate to $3.56, as he sees fourth quarter results ahead of expectations due to market-share gains during holiday season, but cuts $3.23 2009 estimate to below-consensus $2.67. He cuts his $26 price target to $22.
UBS FINANCIAL DOWNGRADES INTERCONTINENTALEXCHANGE
UBS Financial analyst Mike Carrier says the combination of weaker OTC volumes (energy and credit), a negative mix shift in U.S. futures pricing (RPC), and less expense flexibility (due to Creditex acquisition and new initiatives) will likely create near-term pressure to InterContinentalExchange (ICE) estimates.
Carrier says he still believes ICE is well positioned, led by strategic management team and is positioned for long-term opportunities, including CDS opportunity, other OTC markets, new product launches. But he thinks near-term headwinds are too severe to keep a buy rating; he downgrades the stock to neutral from buy and cuts his target to $75 from $85.