Morning Coffee Pre-Market Wall Street News

State of the Union Address. In tonight’s State of the Union Address President Obama is expected to talk about jobs, immigration reform, defense, and energy. With less focus on the social issues outlined during his inaugural address. Wall Street will focus on any statements about added spending that would inflate our out of control spending, the automatic spending cuts that will hit on March 1 and talk of enhancing revenues, which translates into higher taxes.

Upgrades

Walgreens (WAG): Mizuho raised their rating from Neutral to Buy and raised their target price from $39.00 to $46.00. Pre-market: 41.75 +0.27 (0.65%)

Las Vegas Sands (LVS): Argus raised their rating from Hold to Buy. Pre-market: 54.27 +0.43 (0.80%)

Downgrades

Owens Corning (OC): Citigroup lowered their rating from Buy to Neutral and lowered their target price from $48.00 to $36.00. Pre-market: 42.34 -0.36 (-0.84%)

Facebook (FB): Bernstein lowered their rating from Outperform to Market Perform and lowered their target price from $33.00 to $27.00. Pre-market: 27.63 -0.63 (-2.23%)

Qualcomm (QCOM): JPMorgan lowered their rating from Overweight to Neutral and maintained their target price of $70.00. Pre-market: 66.50 -0.68 (-1.01%)

Coverage Initiated

Nike (NKE): Wedbush initiated coverage with a Neutral rating and target price of $56.00.

Earning Reports

Avon Products (AVP): Reported EPS of $0.37 beating estimates by +$0.10. Pre-market: 17.97 +0.69 (3.99%)

Coca-Cola (KO): Reported EPS of $0.45 beating estimates by +$0.01. Pre-market: 38.54 -0.07 (-0.18%)

Fossil (FOSL): Reported EPS of $2.27 in-line with estimates. Pre-market: 109.05 +1.59 (1.48%)

Goodyear Tire (GT): Reported EPS of $0.00 missing estimates by -$0.22. Pre-market: 13.65 -0.26 (-1.87%)

Marsh McLennan (MMC): Reported EPS of $0.52 in-line with estimates.

Spartan Motors (SPAR): Reported EPS of $0.01 in-line with estimates.

Markets: 
Futures at 7:35: Dow -0.01%. S&P -0.05%. Nasdaq -0.17%. Crude +0.25% to $97.26. Gold +0.06% to $1649.90.

Europe: London +0.41%. Paris +0.42%. Frankfurt +0.04%. 

Asia: Japan +1.94% to 11369. Hong Kong, China closed. India +0.52% to 19561.