Overseas Growth Slows. Overseas economic growth has unexpectedly slowed. Economic growth slowed in Japan during Q3. Capex growth rose just +0.2% for Q3, far below consensus estimates. Economic growth in the eurozone came in at just +0.1% for Q3 also missing economists estimates.  Germany’s economy expanded by 0.3% in Q3, which was in-line with economists’ estimates but must slower than the +0.7% growth posted in Q2. France’s economy turned negative as their economy contracted -0.1% in Q3. Finance Minister Pierre Moscovici said France should still report a modest expansion for the full year.

Upgrades:

Office Depot (ODP): BofA Merrill Lynch raised their rating from Neutral to Buy and placed a target price of $6.50 on the company. Pre-market: 5.51 +0.13 (2.42%)

Downgrades:

Cisco Systems (CSCO): Wedbush lowered their rating from Outperform to Neutral and lowered their target price from $26.00 top $23.00. Pre-market: 5.51 +0.13 (2.42%)

Cisco Systems (CSCO): Goldman Sachs lowered their rating from Conviction Buy to Buy and lowered their target price from $30.00 top $25.00. Pre-market: 5.51 +0.13 (2.42%)

Cisco Systems (CSCO): Deutsche Bank lowered their rating from Buy to Hold and lowered their target price from $28.00 top $25.00. Pre-market: 5.51 +0.13 (2.42%)

PNC Financial (PNC): Oppenheimer lowered their rating from Outperform to Perform.

Coverage Initiated:

BP (BP): Credit Suisse initiated coverage with a Neutral rating.

Royal Dutch Shell (RDS.A): Credit Suisse initiated coverage with an Outperform rating.

Total S.A. (TOT): Credit Suisse initiated coverage with an Outperform rating.

Earning Reports:

Cisco Systems (CSCO): Reported EPS of $0.53 beating estimates by +$0.02. Pre-market: 20.93 -3.07 (-12.77%)

Dillard's (DDS): Reported EPS of $1.13 beating estimates by +$0.07. Pre-market: 90.87 +1.32 (1.47%)

Kolh’s (KSS): Reported EPS of $0.81 missing estimates by -$0.05. Pre-market: 54.10 -4.16 (-7.14%)

Sally Beauty (SBH): Reported EPS of $0.38 missing estimates by -$0.01. Pre-market: 27.50 -0.14 (-0.51%)

Tyco (TYC): Reported EPS of $0.52 in-line with estimates. Pre-market: 37.00 +0.27 (0.74%)

Viacom (VIAB): Reported EPS of $1.55 beating estimates by +$0.11. Pre-market: 82.00 -1.13 (-1.36%)

Wal-Mart (WMT): Reported EPS of $1.14 beating estimates by +$0.01. Pre-market: 77.60 -1.30 (-1.65%)

Markets: 

Futures at 8:12: Dow +0.07%. S&P +0.17%. Nasdaq -0.12%. Crude -0.61% to $93.30. Gold +1.34% to $1285.30. U.S. 10 Year +1/32 2.720%.

Europe: London +0.32%. Paris +0.62%. Frankfurt +0.65%. 

Asia: Japan +2.12% to 14876. Hong Kong +0.82% to 22649. China +0.60% to 2100. India -0.43% to 20399. 

#RLPaler #WallStreet #PreMarket #WealthManagement#EarningReports #AnalystsRatings

Morning Coffee Pre-Market Wall Street News

Ford Post Strong Q3 Profits. Ford Motor reports very strong Q3 profits, driven by strength in North America and smaller losses in Europe. The auto maker reported pre-tax earnings of $2.6 billion or EPS of $0.45, easily beating Wall Street estimates of only $0.37. Bob Shanks, Ford's chief financial officer said "North America continues to achieve strong profits and we saw significantly improved results outside North America."  He went on to say "We substantially reduced our losses in Europe, set a record third quarter profit in Asia Pacific Africa and saw a $150 million improvement in South America."

 The company also raised full-year guidance. It expects its full-year pre-tax profit to beat 2012 and expects its automotive operating margins to be higher than last year.

Ford also said it contributed $1.1 billion during Q3 to fund its pension plans worldwide. $700 million was contributed to its U.S. plans. Pre-market: 18.11 +0.59 (3.37%)

Upgrades:

Canadian Pacific Railway (CP): Desjardins raised their rating from Hold to Buy. Pre-market: 142.82 -0.17 (-0.12%)

Canadian Pacific Railway (CP): RBC Capital raised their rating from Underperform to Sector Perform. Pre-market: 142.82 -0.17 (-0.12%)

Eli Lilly (LLY): MKM Partners raised their rating from Neutral to Buy and placed a target price of $59.00 on the company.

Goldman Sachs (GS): Deutsche Bank raised their rating from Hold to Buy and raised their target price from $163.00 to $181.00.

Downgrades:

Caterpillar (CAT): Raymond James lowered their rating from Outperform to Market Perform.

Caterpillar (CAT): JPMorgan lowered their rating from Overweight to Neutral and lowered its target price from $105.00 to $90.00.

Coach (COH): Atlantic Equities lowered their rating from Overweight to Neutral. Pre-market: 48.51 -0.04 (-0.08%)

Green Mountain Coffee Roasters (GMCR): Argus lowered their rating from Buy to Hold.

O”Reilly Automotive (ORLY): Raymond James lowered their rating from Strong Buy to Market Perform.

U.S. Bancorp (USB): Deutsche Bank raised their rating from Buy to Hold and raised their target price from $41.00 to $38.00.

Coverage Initiated:

21^st Century Fox (FOXA): Guggenheim initiated coverage with a Buy rating and target price of $41.00. Pre-market: 34.77 0.00 (0.00%)

CBS Corp (CBS): Guggenheim initiated coverage with a Buy rating and target price of $69.00.

CVS Caremark (CVS): FBR Capital initiated coverage with an Outperform rating and target price of $69.00.

Express Scripts (ESRX): FBR Capital initiated coverage with an Outperform rating and target price of $75.00.

News Corp (NWSA): Guggenheim initiated coverage with a Neutral rating and target price of $19.00.

Time Warner (TWX): Guggenheim initiated coverage with a Buy rating and target price of $80.00.

Viacom B (VIAB): Guggenheim initiated coverage with a Neutral rating and target price of $94.00.

Walgreen (WAG): FBR Capital initiated coverage with a Market Perform rating and target price of $62.00.

Walt Disney (DIS): Guggenheim initiated coverage with a Neutral rating and target price of $78.00.

Earning Reports:

3M (MMM): Reported EPS of $1.78 beating estimates by +$0.03. Pre-market: 123.50 +0.30 (0.24%)

Ball Corp (BLL): Reported EPS of $1.78 beating estimates by +$0.03.

Cabela’s (CAB): Reported EPS of $0.70 missing estimates by -$0.01. Pre-market: 59.82 -2.57 (-4.12%)

Celgene (CELG): Reported EPS of $1.56 beating estimates by +$0.03. Pre-market: 158.50 -1.50 (-0.94%)

Colgate-Palmolive (CL): Reported EPS of $0.73 in-line with estimates. Pre-market: 63.00 -0.47 (-0.74%)

Dow Chemical (DOW): Reported EPS of $0.50 missing estimates by -$0.04. Pre-market: 40.00 -1.04 (-2.53%)

Ford Motor (F): Reported EPS of $0.45 beating estimates by +$0.08. Pre-market: 18.11 +0.59 (3.37%)

Hershey Foods (HSY): Reported EPS of $1.04 beating estimates by +$0.03. Pre-market: 98.00 +1.15 (1.19%)

International Paper (IP): Reported EPS of $0.94 missing estimates by -$0.01. Pre-market: 44.63 +0.24 (0.54%)

Old Dominion Freight (ODFL): Reported EPS of $0.70 missing estimates by -$0.01. Pre-market: 47.00 -0.74 (-1.55%)

Potash (POT): Reported EPS of $0.41 in-line with estimates. Pre-market: 31.05 -0.65 (-2.05%)

Under Armour (UA): Reported EPS of $0.68 beating estimates by +$0.02. Pre-market: 78.97 -5.01 (-5.97%)

Xerox (XRX): Reported EPS of $0.26 beating estimates by +$0.01. Pre-market: 10.41 -0.32 (-2.98%)

Zimmer Hldgs (ZMH): Reported EPS of $1.25 beating estimates by +$0.01.

Markets: 
Futures at 6:20: Dow +0.4%. S&P +0.4%. Nasdaq +0.4%. Crude +0.4% to $97.27. Gold +0.1% to $1335.90. U.S. 10 Year +2/32 2.497%

Europe: London +0.4%. Paris +0.2%. Frankfurt +0.6%. 

Asia: Japan +0.4% to 14486. Hong Kong -0.7% to 22836. China -0.8% to 2165. India -0.2% to 20725. 

Morning Coffee Pre-Market Wall Street News

Qualcomm Announces Smartwatch. Qualcomm (QCOM) announced the launch of its own smartwatch at the company's annual Uplinq developer conference. The Toq smartwatch use of the company's low-power Mirasol display, features WiPower LE wireless charging, text-message viewing, Bluetooth connectivity, and 3rd-party app support. Other companies that have wearable devices include Samsung’s Galaxy Gear and Google Glass.

Upgrades:

InterContinental Hotel Group (IHG): UBS raised their rating from Neutral to Buy and placed a target price of $32.24 on the company.

Louisiana Pacific (LPX): DA Davidson raised their rating from Neutral to Buy.

Louisiana Pacific (LPX): Deutsche Bank raised their rating from Hold to Buy and raised their target price from $20.00 to $21.00.

Sherwin Williams (SHW): Longbow raised their rating from Neutral to Buy and placed a target price of $215.00 on the company.

Transocean (RIG): Credit Suisse raised their rating from Neutral to Outperform and placed a target price of $60.00 on the company.

Downgrades:

Lockheed Martin (LMT): RBC Capital lowered their rating from Outperform to Sector Perform and placed a target price of $126.00 on the company.

Viacom (VIAB): B. Riley lowered their rating from Buy to Neutral and placed a target price of $85.00 on the company.

Earning Reports:

Jos A. Bank (JOSB): Reported EPS of $0.51 missing estimates by -$0.01.

Markets: 
Futures at 6:20: Dow -0.15%. S&P -0.14%. Nasdaq -0.04%. Crude +0.69% to $107.81. Gold +0.24% to $1393.40. -11/32 2.944%.

Europe: London -0.04%. Paris -0.05%. Frankfurt -0.16%. 

Asia: Japan +0.08% to 14064. Hong Kong +1.22% to 22597. China -0.24% to 2122. India +2.22% to 18969. 

Morning Coffee Pre-Market Wall Street News

Job Growth Expected to Slow. U.S. July unemployment data is due to be released this morning and economists expect that the number will show that job growth has slowed. Wall Street estimates are that nonfarm payrolls rose by 185,000 vs 195,000 in June. Wall Street is also expecting that the unemployment rate will tick down from 7.6% to 7.5%, which would be a four-year low. The data comes on the heels of yesterday’s report that showed weekly jobless claims fell to a 5 1/2 year low.

Upgrades:

Honda Motor (HMC): Credit Suisse raised their rating from Neutral to Outperform.

LinkedIn (LNKD): Cantor raised their rating from Hold to Buy and raised their target price from $170.00 to $250.00. Pre-market: 233.51 +20.51 (9.63%)

ResMed (RMD): Deutsche Bank raised their rating from Hold to Buy and raised their target price from $46.00 to $54.00.

Downgrades:

Automatic Data Processing (ADP): Susquehanna lowered their rating from Positive to Neutral and placed a target price of $78.00 on the company.

Broadcom (BRCM): UBS lowered their rating from Buy to Neutral and lowered their target price from $35.00 to $30.00. Pre-market: 27.47 -0.16 (-0.58%)

Mosaic (MOS): UBS lowered their rating from Buy to Neutral and lowered their target price from $67.00 to $40.00.

Mylan (MYL): Needham lowered their rating from Strong Buy to Buy and placed a target price of $40.00 on the company. Pre-market: 35.00 +1.02 (3.00%)

Coverage Initiated:

Dynergy (DYN): Drexel Hamilton initiated coverage with a Buy rating and target price of $27.00.

Electronic Arts (EA): Benchmark Co initiated coverage with a Buy rating and target price of $30.84. Pre-market: 26.53 0.00 (0.00%)

NRG Energy (NRG): Drexel Hamilton initiated coverage with a Buy rating and target price of $38.00.

Earning Reports:

Chevron (CVX): Reported EPS of -$2.77 missing estimates by -$0.21. Pre-market: 125.50 -0.94 (-0.74%)

Church & Dwight (CHD): Reported EPS of $0.61 beating estimates by +$0.01.

Eaton (ETN): Reported EPS of $1.09 missing estimates by -$0.02. Pre-market: 67.00 -2.93 (-4.19%)

Edison (EIX): Reported EPS of $0.79 beating estimates by +$0.11.

Kraft Foods (KRFT): Reported EPS of $0.85 beating estimates by +$0.19. Pre-market: 57.40 +0.26 (0.46%)

Leap Wireless (LEAP): Reported EPS of -$2.09 missing estimates by -$0.97.

LinkedIn (LNKD): Reported EPS of $0.38 beating estimates by +$0.07. Pre-market: 233.51 +20.51 (9.63%)

Sealed Air (SEE): Reported EPS of $0.35 beating estimates by +$0.10.

Synaptics (SNYA): Reported EPS of $1.39 beating estimates by +$0.15. Pre-

market: 41.96 +1.29 (3.17%)

Viacom (VIAB): Reported EPS of $1.29 missing estimates by -$0.01. Pre-market: 78.50 +4.14 (5.57%)

Markets: 
Futures at 7:40: Dow +0.11%. S&P +0.12%. Nasdaq +0.31%. Crude -0.32% at $107.57. Gold -2.08% to $1284.00. U.S. 10 Year +22/32 2.637%

Europe: London -0.03%. Paris -0.02%. Frankfurt +0.06%. 

Asia: Japan +3.29% to 14466. Hong Kong +0.46% to 22191. China +0.02% at 2029. India -0.79% to 19,164.