Morning Coffee Pre-Market News

Stock Futures Lower on Overseas News. U.S. stock futures are lower on news of weak Chinese and eurozone PMI prints and post-election instability in Italy. Also not helping was that EU unemployment hit a record high of 11.7% in January. Today is also the final day of trading before the $85 billion in sequestration budget cuts kick in.

Upgrades

AFLAC (AFL): Evercore raised their rating from Equal Weight to Overweight.

Priceline.com (PLCN): Lazard Capital raised their rating from Neutral to Buy.

Target Corp. (TGT): Wells Fargo raised their rating from Market Perform to Outperform and raised their target range from $61.00-$65.00 to $73.00-$78.00.

Downgrades

Darden Restaurants (DRI): UBS lowered their rating from Buy to Neutral and lowered their target price from $52.00 to $47.00.

Duke Energy (DUK): Deutsche Bank lowered their rating from Buy to Hold and maintained their target price of $69.00.

Visa (V): Argus lowered their rating from Buy to Hold. Pre-market: 157.36 -1.28 (-0.81%)

Coverage Initiated

Cree (CREE): Northland Capital initiated coverage with an Outperform rating and target price of $50.00. Pre-market: 45.40 +0.17 (0.38%)

Expeditors International (EXPD): Macquarie initiated coverage with a Neutral rating and target price of $38.25.

FedEx (FDX): Macquarie initiated coverage with an Outperform rating and target price of $124.00.

First Solar (FSLR): Capital initiated coverage with an Outperform rating and target price of $20.00. Pre-market: 25.48 -0.36 (-1.39%)

SunPower (SPWR): Northland Capital initiated coverage with an Outperform rating and target price of $14.00. Pre-market: 11.62 -0.12 (-1.06%)

Tesla Motors (TSLA): Northland Capital initiated coverage with an Outperform rating and target price of $42.00. Pre-market: 34.83 0.00 (0.00%)

UPS (UPS): Macquarie initiated coverage with an Outperform rating and target price of $93.00.

Earning Reports

Best Buy (BBY): Reported EPS of $1.64 beating estimates by +$0.11. Pre-market: 17.26 +0.85 (5.18%)

Deckers Outdoor (DECK): Reported EPS of $2.77 beating estimates by +$0.15. Pre-market: 43.55 +3.14 (7.77%)

Gap (GPS): Reported EPS of $0.73 beating estimates by +$0.02. Pre-market: 33.94 +1.02 (3.10%)

Magna (MGA): Reported EPS of $1.49 beating estimates by +$0.33. Pre-market: 54.32 +1.10 (2.07%)

Salesforce.com (CRM): Reported EPS of $0.51 beating estimates by +$0.11. Pre-market: 177.19 +7.97 (4.71%)

Markets: 
Futures at 8:54: Dow -0.31%. S&P -0.43%. Nasdaq -0.42%. Crude -1.20% to $90.95. Gold +0.24% to $1582.00.

Europe: London -0.48%. Paris -1.20%. Frankfurt -1.05%. 

Asia: Japan +0.41% to 11606. Hong Kong -0.61% to 22880. China -0.26% to 2360. India +0.30% to 18919.