Street Talk: Telecoms upped
Credit Suisse upgrades equipment maker Qualcomm, but downgrades rating on Motorola.
January 13, 2003: 7:04 AM EST
money.cnn.com
NEW York (CNN/Money) - One Wall Street firm upgraded its investment rating on Qualcomm, but downgraded Motorola shares early Monday.
In a morning note, Credit Suisse First Boston increased its rating on telecom equipment maker Qualcomm (QCOM: Research, Estimates) to "neutral" form "underweight," saying that the firm thinks near-term fundamentals are intact and that the stock is approaching fair value. Shares of Qualcomm fell 23 cents to $38.45 Friday.
CSFB downgraded Motorola (MOT: Research, Estimates) to "underweight" from "neutral" and cut its price target to $8 a share from $11, saying the fundamental risks outweigh the potential rewards at the current valuation. Shares of Motorola gained 3 cents to $9.93 Friday.
Credit Suisse also increased its 2003 earnings estimate for Ford Motor (F: Research, Estimates) to 58 cents a share from 40 cents a share, citing a better-than-expected forecast for its finance subsidiary. Shares of Ford rose 27 cents to $10.50 Friday.
The firm also said it thinks entertainment and media stocks are likely to outperform the broader market in 2003, with advertising in an upturn mode.
Merrill Lynch upgraded investment service Moody's (MCO: Research, Estimates) to "buy" from "neutral," saying a recent drop in the share price had made the stock attractive. Shares of Moody's fell 39 cents to $40.25 Friday.
Merrill widened its fourth quarter 2002 loss estimate for chemical company Solutia (SOI: Research, Estimates) to a 16-cent-a-share loss from a 2-cent-a-share loss, citing expectations for below breakeven profitability in the integrated nylon segment. The firm said it expects similar cost pressures and sluggish demand on Dow component DuPont (DD: Research, Estimates). |
