Morning Coffee Pre-Market Wall Street News

Election Results Sends Stock Futures Lower. Last night President Obama won re-election and as soon as the markets realized that he was going to win, stock futures started heading lower.  With President Obama winning re-election Wall Street analysts are predicting that the fiscal cliff may not be solved by the end of the year, which could tip the U.S. into another recession or worse.  Additionally, taxes will go up on income, capital gains, interest and Medicare.  The national debt will also go up to a projected $20 trillion by 2016.  This is according to the White House’s own numbers, which includes $1 trillion of new unfunded national debt each year.

Upgrades

Fossil (FOSL): Caris raised their rating from Above Average to Buy and placed a target price of $105.00 on the company. Pre-market: 84.25 +0.01 (0.01%)

Marathon Oil (MRO): Global Hunter raised their rating from Accumulate to Buy and raised their target price from $35.00 to $40.00.

Downgrades

Humana (HUM): Goldman Sachs lowered their rating from Neutral to Sell and placed a target price of $77.00 on the company. Pre-market: 73.98 -2.18 (-2.86%)

AOL (AOL): CLSA lowered their rating from Outperform to Underperform and lowered their target price from $45.00 to $31.00. Pre-market: 43.02 -0.68 (-1.56%)

Tree House Foods (THS): Credit Suisse lowered their rating from Neutral to Underweight and lowered their target price from $55.00 to $50.00.

Express Scripts (ESRX): Goldman Sachs lowered their rating from Conviction Buy to Buy and placed a target price of $64.00 on the company. Pre-market: 54.26 -0.89 (-1.61%)

Coverage Initiated

Joy Global (JOY): Raymond James initiated coverage with an Outperform rating and target price of $77.50. Pre-market: 62.20 -1.52 (-2.39%)

Earning Reports

Agrium (AGU): Reported EPS of $1.34 missing estimates by -$0.48. Pre-market: 99.32 -7.83 (-7.31%)

Becton Dickinson (BDX): Reported EPS of $1.42 beating estimates by +$0.02. After Hours: 78.47 0.00 (0.00%)

Cognizant Tech (CTSH): Reported EPS of $0.91 beating estimates by +$0.04. Pre-market: 70.00 +2.65 (3.93%)

Kraft Foods (KRFT): Reported EPS of $0.79 beating estimates by +$0.10. Pre-market: 46.00 +1.30 (2.91%)

Macy's (M): Reported EPS of $0.36 beating estimates by +$0.07. Pre-market: 41.58 +0.20 (0.48%)

Orbitz (OWW): Reported EPS of $0.14 beating estimates by +$0.07. After Hours: 2.70 +0.10 (3.85%)

Time Warner (TWX): Reported EPS of $0.86 beating estimates by +$0.04. After Hours: 43.11 0.00 (0.00%)

WellPoint (WLP): Reported EPS of $2.09 beating estimates by +$0.25. Pre-market: 58.94 -2.26 (-3.69%)

Markets: 
Futures at 7:41: Dow -0.67%. S&P -0.65%. Nasdaq -0.70%. Crude -1.49% to $87.406. Gold +0.17% to $1718.00.

Europe: London -0.22%. Paris -0.41%. Frankfurt -0.27%. 

Asia: Japan -0.03% at 8973. Hong Kong +0.71% to 22100. China -0.01% at 2106. India +0.45% to 18902.