MORNING COFFEE

Wal-Mart To Open Mini-Marts. Sources say that Wal-Mart (WMT) is gearing up for a move into small convenience stores in large urban markets. Reports say that Wal-Mart is looking at hundreds of locations across the U.S.  Additionally, Wal-Mart has begun a test program for online purchases delivered free to FedEx (FDX) outlets.  The program is designed to increase sales in urban locations like LA and Boston where Wal-Mart has little to no stores.

General Mills May Buy Yoplait. General Mills (GIS) is considering £1 billion takeover bid for Yoplait.  The possible takeover occurred after Yoplait tried to scrap a distribution deal between the companies.

Upgrdes

Best Buy (BBY): Oppenheimer raised their rating from Perform to Outperform and placed a target price of $45.00 on the company.

Consolidated Water (CWCO): Brean Murray raised their rating from Hold to Buy and placed a target price of $12.00 on the company.

ValueClick (VCLK): The Benchmark Company raised their rating from Hold to Buy and raised their target price from $12.00 to $15.00.

Downgrades

Public Storage (PSA): FBR Capital lowered their rating from Market Perform to Underperform.

Coverage Reiterated/Price Target Changed

Apple (AAPL): Kaufman Bros reiterated their Buy rating and raised their target price from $350.00 to $374.00.

Pall Corp (PLL): Wedbush reiterated their Neutral and raised their target price from $38.00 to $43.00.

Earning Reports

Lennar (LEN): Reported FQ3 EPS of $0.16 beating estimates by +$0.11 on revenue of $825 million.

·         Futures: S&P +0.51%. 10-yr +0.05%. Crude +0.43% to $75.24. Gold +0.3% to $1281.30.

·         Asia: Japan +1.2%. Hong Kong 0.0%. China -0.4%. India +1.6%.

·         Europe: London +1.2%. Paris +0.8%. Frankfurt +0.6%.