Special Reports

Notable Analyst Rating Changes 12/04: BAC, SNV, FSLR, AKAM Upgraded; TTWO, SWHC, AKS, NFLX Downgraded Dec 4, 2009 10:51AM

UPGRADES:
Standard & Poor's Ratings Services raised its preferred-stock ratings on Bank of America Corp. (NYSE: BAC) to 'BB' from 'B'. The firm also raised their preferred-stock ratings on BofA's bank subsidiaries to 'BB+' from 'B'. All other ratings, including the 'A/A-1' counterparty credit rating, are affirmed. The outlook is stable.

FBR Research upgrades Synovus Financial (NYSE: SNV) to Market Perform from Underperform and maintaining our price target of $2.50. Click Here for more color.

Collins Stewart upgrades First Solar (NASDAQ: FSLR) from Hold to Buy, also setting a $160 price target. For more color, Click Here.

Citi upgrades Akamai Technologies (NASDAQ: AKAM) from Hold to Buy, also boosting its price target from $23 to $31. Oppenheimer also upgraded Akamai Tech from Perform to Outperform.

Natixis Bleichroeder upgrades ATP Oil & Gas (Nasdaq: ATPG) from Hold to Buy.

For daily real-time Upgrades go to http://www.streetinsider.com/Upgrades

DOWNGRADES:
Take Two (NASDAQ: TTWO) taking a downgrade from several ratings firms:

• Kaufman Brothers to Sell from Buy, and cuts price target from $11 to $7. Click Here for more color;
  
• Wells Fargo to Market Perform from Outperform, and set a lower valuation of $7 - $8 from $13 - $15. For more color, Click Here;
  
• Piper Jaffray to Neutral from Overweight and lowers price target to $10 from $15. Click Here for more color;
  
• Brean Murray to Hold from Buy, and removed their $14 price target. For more color, Click Here;
  
• Cowen & Co. to Neutral from Outperform;
  
• MKM Partners to Buy from Neutral.

Merriman Curhan Ford downgrades Smith & Wesson Holding Corp. (NASDAQ: SWHC) from Buy to Neutral. For more color, Click Here. Cowen & Co also downgraded Smith & Wesson from Outperform to Neutral.

Citi downgrades AK Steel (NYSE: AKS) from Buy to Hold. Price target $21.

Citi also downgrades Netflix (NASDAQ: NFLX) from Buy to Hold. The firm maintained their $59 price target.

For daily real-time Downgrades go to http://www.streetinsider.com/Downgrades

NEW COVERAGE:
Bank of America initiates coverage Moody's (NYSE: MCO) with a Buy rating and price target of $28. The firm also started McGraw-Hill (NYSE: MHP) with a Buy and price target of $38. The firm cited the outlook for growth in credit markets

Oppenheimer initiates coverage on Visa (NYSE: V) with an Outperform and price target of $95. The firm also initiated MasterCard (NYSE: MA) with an Outperform rating and price target $290.

Morgan Stanley initiates coverage on ConAgra Foods (NYSE: CAG) with a Equalweight rating. Price target $23.

Wedbush initiates coverage on Avon Products (NYSE: AVP) with an Outperform rating. Price target $45. Click Here for more color.

Jefferies & Co initiates coverage on Under Armour (NYSE: UA) with a Buy rating. Price target $32.

For daily real-time New Coverage go to http://www.streetinsider.com/New+Coverage

Morning Movers 12/04: OCLS, FLOW, BIG, LOGC, PEIX Higher; TTWO, STE, BCON, VSNT, ZIOP, SWHC Lower Dec 4, 2009 10:41AM

Take-Two Interactive Software, Inc. (NASDAQ: TTWO) 31.5% LOWER; sees Q4 revs of $325-$350 million, versus the consensus of $371 million. Sees Non-GAAP EPS of $0.05-$0.10, versus the consensus of $0.33. Sees FY revs of $950-$975 million, versus the consensus of $995.1 million. Sees EPS of $(1.10) to $(1.15), versus the consensus of $(0.85). The Company expects to report a non-GAAP net loss per share for fiscal 2010 in the range of $0.40 to $0.60 on $1.0 billion to $1.2 billion in revenue. The consensus is $0.64 and $1.24 billion, respectively. Take-Two's preliminary forecast for the fiscal first quarter is for a non-GAAP net loss per share in the range of $(0.40) to $(0.50) on $210 million to $260 million in revenue. The consensus is $(0.26) and $244.2 million, respectively. Click here for the full report. The stock has been downgraded at numerous firms, including Piper Jaffray, Wells Fargo, Brean Murray and Kaufman.

Oculus Innovative Sciences (Nasdaq: OCLS) 20.1% HIGHER; continuing higher today following yesterday's 20% jump amid the unveiling of its expanded regulatory/commercial pipeline for its Microcyn-based products.

Flow International Corp. (NASDAQ: FLOW) 19.3% HIGHER; reports Q2 EPS of $0.01, 3 cents better than the analyst estimate of ($0.02). Revenue for the quarter was $42 million, which compares to the estimate of $38.7 million.

Steris Corp. (NYSE: STE) 19% LOWER; tumbling after an FDA notice concerning the STERIS System 1 Processor. Click here to see the letter.

Beacon Power Corporation (NASDAQ: BCON) 18.6% LOWER; today announced that it has priced an underwritten public offering of 38.1 million units at a price to the public of $0.544 per unit. Net proceeds, assuming no exercise of the warrants and additional investor rights warrants, and after underwriting discounts and commissions and estimated expenses, will be approximately $19.2 million.

Versant Corporation (Nasdaq: VSNT) 18% LOWER; reports Q4 EPS of $0.45, compared to $0.59 in the same quarter last year. Revenue for the quarter was $4.1 million, versus $6 million in Q408. Versant's Board of Directors has approved a new stock repurchase program. Under the program, Versant is authorized to repurchase up to $5.0 million worth of its outstanding common shares from time to time on the open market, in block trades or otherwise. Sees FY10 sales unchanged from '09.

ZIOPHARM Oncology, Inc. (NASDAQ: ZIOP) 17.5% LOWER; announced the pricing of its previously announced underwritten public offering of 15,484,000 shares of its common stock and warrants to purchase 7,742,000 shares of its common stock at a public offering price of $3.10 per unit. The warrants, which represent the right to acquire 0.50 of a share of the Company's common stock for each share of common stock purchased in the offering, will have a five-year term from the date of issuance and will be exercisable at a price of $4.02 per share.

Big Lots, Inc. (NYSE: BIG) 16.7% HIGHER; reports Q3 adjusted EPS of $0.27, 9 cents better than the analyst estimate of $0.18. Revenue for the quarter was $1.04 billion, which compares to the estimate of $1.02 billion. Raises Q409 EPS to $1.09 - $1.14 and FY09 EPS to $2.15 - $2.20. Consensus is $1.04 and $2.01, respectively. The Board of Directors also authorized a $150 million share repurchase program.

Smith & Wesson Holding Corporation (NASDAQ: SWHC) 16.7% LOWER; reports Q2 adjusted EPS of $0.10, 1 cent better than the analyst estimate of $0.09. Revenue for the quarter was $108.8 million, which compares to the estimate of $104.90 million. Sees Q309 Sales $90 - $95 million, versus $104.7 million consensus.

LOGIC Devices Incorporated (Nasdaq: LOGC) 14.8% HIGHER; reports FY09 loss of $0.12, compared to a loss of $0.58 in the same quarter last year. Revenue for the year was $3.01 million, versus $3.35 million in FY08.

Synovus Financial (NYSE: SNV) 14.7% HIGHER; upgraded at FBR this morning. MAN) 11.6% HIGHER; trading higher on the much better-than-expected jobs report.

Golden Star Resources Ltd. (AMEX: GSS) 11.2% LOWER; today announced that it has priced an offering of 20,000,000 common shares at a price of $3.75 per share for gross proceeds of $75,000,000.

Pacific Ethanol (Nasdaq: PEIX) 10.7% HIGHER; continuing its momentous moves today. The stock had fallen by 35% over the last two trading sessions.

XATA Corporation (NASDAQ: XATA) 9.7% HIGHER; reports Q4 EPS of $0.00, versus the analyst estimate of $0.02. Revenue for the quarter was $16.2 million, which compares to the estimate of $16.80 million.

Marvell Technology Group Ltd. (NASDAQ: MRVL) 8.9% HIGHER; reports Q3 EPS of $0.35, ex-items, 8 cents better than the analyst estimate of $0.27. Revenue for the quarter was $803.1 million, which compares to the estimate of $770 million.

Monster Worldwide (NYSE: MWW) 8.9% HIGHER; see Manpower.

Robert Half (NYSE: RHI) 8.4% HIGHER; see Manpower.

LDK Solar (NYSE: LDK) 8.2% HIGHER; German Q-Cells will continue its wafer supply contract after the two companies have agreed to drop legal action over the agreement. "Q-Cells and LDK Solar have agreed to increase the flexibility of delivery schedule. Flexible pricing based on market levels and Q-Cells' preferred customer status will apply for the entire remainder of the contract term," the companies said in a joint statement.

ADC Telecom (Nasdaq: ADCT) 8.2% HIGHER; upgraded from Hold to Buy earlier at Argus Research.

To get this report daily, visit http://www.streetinsider.com/entities/Morning+Movers.

Notable Mergers and Acquisitions of the Day 12/4: JAVA/ORCL, CSCO, BAM/GGWPQ Dec 4, 2009 10:11AM

• Sun Microsystems (NASDAQ: JAVA) shares are trading up this morning on news that Columbia University law professor Eben Moglen has told European regulators holding up Oracle's (NASDAQ: ORCL) $7 billion purchase that their assessment may be partially flawed.
  
  Molgen's views on the software industry are often sought out by regulators.
  
  Meanwhile Oracle CEO Lawrence Ellison said he's willing to create a separate entity to house it MySQL open database software business to quell European regulators, reports the New York Post. Currently, there's no talk on spinning-off MySQL into a public company.
  
  
• Cisco (NASDAQ: CSCO) announces that it has now received acceptances for or purchased shares representing more than 90% of the shares in TANDBERG.
  
  As a result of additional acceptances registered today, Cisco hereby announces that approximately 99.8 million shares have been tendered, representing 89.1% of the outstanding shares in TANDBERG. In addition, Cisco has on November 18 and 20, 2009, purchased a total of 2,238,600 shares in TANDBERG, corresponding to 2.0% of the outstanding and issued shares. The shares tendered, combined with shares owned, currently represent approximately 102 million shares, or approximately 91.1% of the shares and voting rights in TANDBERG.
  
  There may be adjustments to this result due to possible corrections and changes following registration with the Verdipapirsentralen (VPS). The final result will be published as soon as it is available.
  
  Subject to the satisfaction or waiver of the remaining conditions to the offer as set forth in the offer document, dated October 7, 2009, Section 1.7, Cisco intends to make a compulsory acquisition of the remaining shares in TANDBERG pursuant to the Norwegian Public Companies Act and to proceed with an application for a de-listing of the shares of TANDBERG. In accordance with Section 1.7 (Conditions to the Offer) of the offer document, Cisco will issue a notification through the Oslo Stock Exchange as soon as each of the remaining conditions to the offer has been met, waived or failed to be met.
  
  
• Brookfield Asset Management (NYSE: BAM) has purchased near $1 billion of General Growth's (OTC: GGWPQ) unsecured debt in recent months, according to the Wall Street Journal, citing people close to the situation.
  
  The Toronto-based Brookfield has stakes in renewable power, infrastructure and property globally. The company will attempt to convert the debt from General Growth into equity and may put more capital into the nation's second largest mall operator to help it escape bankruptcy protection next year, the newspaper stated.
  
  General Growth has been operating under bankruptcy protection since April.
  
  Brookfield is now positioned to make a bid for the battered company, but will face strong opposition from the Simon Property Group Inc. (NYSE: SPG), which has hired advisors from Lazard Ltd. and Wachtell Lipton Rosen & Krantz and purchased unsecured debt from General Growth as it prepares to make a possible bid for the company.
  
  Simon is interested in purchasing all of General Growth and not just individual assets. Simon is already the largest mall operator in the U.S. with 323 malls.
  
  According the newspaper both General Growth and Brookfield declined to comment on the matter.
  
  Shares of Simon Property are valued at $74.18 in the premarket hours.

To see all the Mergers & Acquisitions for today in real-time go to http://www.streetinsider.com/Mergers+and+Acquisitions

After-Hours Movers 12/03: LAVA, MRVL, FLOW, NX, AVGO Higher; TTWO, VSNT, SWHC, ZIOP, MENT, WES Lower Dec 3, 2009 06:02PM

Take-Two Interactive Software, Inc. (NASDAQ: TTWO) 20% LOWER; sees Q4 revs of $325-$350 million, versus the consensus of $371 million. Sees Non-GAAP EPS of $0.05-$0.10, versus the consensus of $0.33. Sees FY revs of $950-$975 million, versus the consensus of $995.1 million. Sees EPS of $(1.10) to $(1.15), versus the consensus of $(0.85). The Company expects to report a non-GAAP net loss per share for fiscal 2010 in the range of $0.40 to $0.60 on $1.0 billion to $1.2 billion in revenue. The consensus is $0.64 and $1.24 billion, respectively. Take-Two's preliminary forecast for the fiscal first quarter is for a non-GAAP net loss per share in the range of $(0.40) to $(0.50) on $210 million to $260 million in revenue. The consensus is $(0.26) and $244.2 million, respectively. Click here for the full report.

Versant Corporation (Nasdaq: VSNT) 10.5% LOWER; reports Q4 EPS of $0.45, compared to $0.59 in the same quarter last year. Revenue for the quarter was $4.1 million, versus $6 million in Q408. Versant's Board of Directors has approved a new stock repurchase program. Under the program, Versant is authorized to repurchase up to $5.0 million worth of its outstanding common shares from time to time on the open market, in block trades or otherwise. Sees FY10 sales unchanged from '09.

Magma Design Automation Inc. (Nasdaq: LAVA) 10.3% HIGHER; reports Q2 EPS of $0.03, 1 cent better than estimates. Revenues were $29.7 million vs. $28.88 million consensus. For Magma's fiscal 2010 third quarter, ending Jan. 31, 2010, the company expects total revenue in the range of $29.5 million to $30.0 million. non-GAAP earnings per share (EPS) are expected to be in the range of $0.02 to $0.03. (Consensus is $ 30.48M and $0.02, respectively)

Smith & Wesson Holding Corporation (NASDAQ: SWHC) 10% LOWER; reports Q2 adjusted EPS of $0.10, 1 cent better than the analyst estimate of $0.09. Revenue for the quarter was $108.8 million, which compares to the estimate of $104.90 million. Sees Q309 Sales $90 - $95 million, versus $104.7 million consensus.

ZIOPHARM Oncology, Inc. (NASDAQ: ZIOP) 10% LOWER; announced today that it intends to offer shares of its common stock and warrants to purchase shares of its common stock in a public offering. JMP Securities LLC and Rodman & Renshaw, LLC are acting as co-lead managers for the offering.

Mentor Graphics (NASDAQ: MENT) 7.7% LOWER; reports Q3 adjusted EPS of $0.05, 4 cents better than the analyst estimate of $0.01. Revenue for the quarter was $189.2 million, which compares to the estimate of $183.50 million. Q409 adjusted EPS $0.28, versus $0.32 consensus. Also sees sales $230 million, versus $234 million. And sees sales of $795 million, versus $794 million consensus.

Marvell Technology Group Ltd. (NASDAQ: MRVL) 5.7% HIGHER; reports Q3 EPS of $0.35, ex-items, 8 cents better than the analyst estimate of $0.27. Revenue for the quarter was $803.1 million, which compares to the estimate of $770 million.

Western Gas Partners, LP (NYSE: WES) 5.1% LOWER; announced a registered underwritten public offering of 6,000,000 common units representing limited partner interests. Western Gas Partners will grant the underwriters a 30-day option to purchase up to 900,000 additional common units. Net proceeds from the offering are expected to be used to repay amounts outstanding under the partnership's $350 million revolving credit facility. Any remaining net proceeds will be used for general partnership purposes, including capital expenditures and acquisitions.

Diamond Foods, Inc. (DMND) 4.1% LOWER; reports Q1 EPS of $0.88, 7 cents better than the analyst estimate of $0.81. Revenue for the quarter was $180.6 million, which compares to the estimate of $194.56 million. Sees Q210 EPS $0.42 - $0.46, versus $0.48 consensus. And sees sales 170 - $175 million, versus $155.17 million consensus.

Flow International Corp. (NASDAQ: FLOW) 3.2% HIGHER; reports Q2 EPS of $0.01, 3 cents better than the analyst estimate of ($0.02). Revenue for the quarter was $42 million, which compares to the estimate of $38.7 million.

Quanex (NYSE: NX) 3.1% HIGHER; reports Q4 EPS of $0.39, versus than the analyst estimate of $0.19. Revenue for the quarter was $194.9 million, which compares to the estimate of $179.40 million.

Avago Technologies Limited (NASDAQ: AVGO) 3% HIGHER; reports Q4 Non-GAAP EPS of $0.29, compared to $0.18 in the same quarter last year. Revenue for the quarter was $428 million, versus $447 million in Q308.

Novell Inc. (Nasdaq: NOVL) 3% LOWER; reports Q4 adj-EPS of $0.11, 4 cents better than the analyst estimate of $0.07. Revenue for the quarter was $216 million, which compares to the estimate of $215.69 million. Sees Q1 sales of $200-$210 million, versus the consensus of $214.20 million.

ArcSight, Inc. (Nasdaq: ARST) 3% LOWER; reports Q2 EPS of $0.15, 2 cents better than the analyst estimate of $0.13. Revenue for the quarter was $45.5 million, which compares to the estimate of $40.89 million. ArcSight sees Q4 EPS of $0.14-$0.17, versus the consensus of $0.16. Sees revs of $42-$46 million, versus the consensus of $43.3 million.

Liquidity Services, Inc. (Nasdaq: LQDT) 2.7% LOWER; reports Q4 EPS of $0.11, ex-items, 1 cent lower than the analyst estimate of $0.12. Revenue for the quarter was $62.9 million, which compares to the estimate of $59.28 million. Sees Q1 adj-EPS of $0.09-$0.11, versus the consensus of $0.08. Sees FY10 adj-EPS of $0.40-$0.48, which compares to the Street estimate of $0.48.

Activision Blizzard (NYSE: ATVI) 2.3% LOWER; moving on Take-Two news.

EasyLink Services International Corporation (NASDAQ: ESIC) 2.2% HIGHER; reports Q1 EPS of $0.04, versus the analyst estimate of $0.06. Revenue for the quarter was $20.5 million, which compares to the estimate of $20.87 million. Raises FY10 EPS to $0.27 - $0.32, from $0.25 - $0.30 prior. Consensus EPS is $0.28.

Electronic Arts (Nasdaq: ERTS) 1.5% HIGHER; moving on Take-Two news.

To get this report daily, visit http://www.streetinsider.com/entities/After-Hours+Movers.

Trading Radar for 12/4: Big Lots (BIG), Royal Bank of Canada (RY), Sirona Dental (SIRO) Report Dec 3, 2009 03:23PM

The Trading Radar highlights key earnings and economic announcements for tomorrow's trading session:

Before Market Opens:
Economics:
8:30am EST

• Nonfarm Payrolls - Street sees (125K)
  
  
• Unemployment Rate - Street sees 10.2%
  
  
• Average Workweek - Street sees 33.1
  
  
• Hourly Earnings - Street sees 0.2%

Earnings:

Royal Bank Of Canada (NYSE: RY) – consensus EPS $0.97
Sirona Dental Systems (NASDAQ: SIRO) – consensus EPS $0.51

Intraday or Not Specified:
Economics:
10:00am EST

• Factory Orders - Street sees 0.00%

Earnings:

Big Lots, Inc. (NYSE: BIG) – consensus EPS $0.18

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