Fiat acquires Full Control of Chrysler. Fiat (FIATY) will pay $4.35B to acquire the 41.5% stake in Chrysler owned by the United Auto Workers Retiree Medical Benefits Trust. The deal will help the company consolidate and end the UAW control of the company. The agreement also ends the need for Chrysler’s IPO. The new has sent Fiat shares rocketing in Milan and in the U.S. pre-market, up over 13%. Pre-market: 9.40 +1.10 (13.25%)

Upgrades:

Duke Energy (DUK): BMO Capital raised their rating from Market Perform to Outperform and placed a target price of $77.00 on the company. Pre-market: 69.30 +0.29 (0.42%)

Jacobs Engineering (JEC): RW Baird raised their rating from Neutral to Outperform and raised their target price from $67.00 to $74.00.

United States Steel (X): KeyBanc raised their rating from Hold to Buy and placed a target price of $37.00 on the company. Pre-market: 29.90 +0.40 (1.36%)

Xilinx (XLNX): Goldman Sachs raised their rating from Neutral to Buy and raised their target price from $45.00 to $52.00. Pre-market: 46.89 +0.97 (2.11%)

Downgrades:

Apple (AAPL): Wells Fargo lowered their rating from Outperform to Market Perform and maintained their $538.00 -$581.00 target range. Pre-market: 555.10 -5.92 (-1.06%)

Sprint (S): Macquarie lowered their rating from Outperform to Neutral and lowered their target price from $8.25 to $7.50. Pre-market: 10.50 -0.25 (-2.33%)

Sprint (S): Cowen lowered their rating from Outperform to Market Perform. Pre-market: 10.50 -0.25 (-2.33%)

T-Mobile (TMUS): Goldman Sachs lowered their rating from Conviction Buy to Buy and lowered their target price from $37.00 to $32.00. Pre-market: 33.44 -0.20 (-0.59%)

US Bancorp (USB): Macquarie lowered their rating from Outperform to Neutral.

Markets: 
Futures at 8:05: Dow -0.18%. S&P -0.17%. Nasdaq -0.36%. Crude -0.79% to $97.64. Gold +1.26% to $1217.60.  U.S. 10 Year +1/32 to 3.031%.

Europe: London -0.16%. Paris -0.82%. Frankfurt -0.46%. 

Asia: Japan closed. Hong Kong +0.14% to 23340. China -0.31% to 2109. India -1.19% to 20888. 

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

Morning Coffee Pre-Market Wall Street News

Obamacare Sticker Shock. According to new government data the average cost of a mid-tier “Silver” health-insurance plan under Obamacare will be $328 a month. The Silver plan is the second to the lowest costing plan. The cost does not include the $2,000 deductible or the insurance co-pays. The three states with the highest uninsured population includes California where the average plan will cost $373, Florida where a plan will cost $328 and Texas where the silver plan will cost $305 a month. Recent data also shows that younger people who generally are healthy thereby using less medical services will be stuck with the bill, by subsidizing the elderly. People will be able to purchase insurance from the exchanges starting on October 1. , Insurers that intend to sell plans on exchanges include Aetna (AET), Humana (HUM), Molina Healthcare (MOH), UnitedHealth (UNH) and WellPoint (WLP).

Upgrades:

Diamond Offshore (DO): Guggenheim raised their rating from Neutral to Buy and raised their target price from $73.00 to $80.00. Pre-market: 62.85 +0.72 (1.16%)

Duke Energy (DUK): Argus raised their rating from Hold to Buy and placed a target price of $79.00 on the company. Pre-market: 68.08 +0.39 (0.58%)

Infosys (INFY): RW Baird raised their rating from Neutral to Outperform and raised their target price from $46.00 to $58.00. Pre-market: 49.10 +0.49 (1.01%)

KB Home (KBH): ISI Group raised their rating from Cautious to Neutral. Pre-market: 17.97 +0.21 (1.18%)

Ross Stores (ROST): Goldman Sachs raised their rating from Buy to Conviction Buy and placed a target price of $83.00 on the company.

Downgrades:

Dollar Tree (DLTR): Goldman Sachs lowered their rating from Conviction Buy to Buy and placed a target price of $61.00 on the company.

ENSCO PLC (ESV): Guggenheim lowered their rating from Buy to Neutral and lowered their target price from $63.00 to $58.00. Pre-market: 54.36 -0.36 (-0.66%)

Skyworks Solutions (SWKS): B. Riley lowered their rating from Buy to Neutral. Pre-market: 25.72 -0.11 (-0.43%)

Coverage Initiated:

Cirrus Logic (CRUS): Northland Securities initiated coverage with a Market Perform rating and target price of $26.00. Pre-market: 23.76 +0.16 (0.68%)

DTE Energy (DTE): Wells Fargo initiated coverage with a Market Perform rating and target range of $70.00 - $71.00.

Facebook (FB): Canaccord initiated coverage with a Buy rating and target price of $60.00. Pre-market: 49.23 +0.78 (1.61%)

Earning Reports:

AutoZone (AZO): Reported EPS of $10.42 beating estimates by +$0.09. Pre-market: 416.00 +1.69 (0.41%)

Markets: 
Futures at 8:46: Dow +0.02%. S&P +0.01%. Nasdaq +0.12%. Crude +0.75% to $103.90. Gold +0.16% to $1319.10. U.S 10 Year -0/32 2.660%

Europe: London -0.24%. Paris -0.16%. Frankfurt -0.02%. 

Asia: Japan -0.76% to 14621. Hong Kong +0.13% to 23210. China -0.41% to 2199. India -0.32% to 19856. 

Morning Coffee Pre-Market Wall Street News

Fed Fears Rock World Markets. World markets are lower after two Fed policy makers, including Charles Evans, said the U.S. central bank could start tapering as early as next month. The remarks sent the dollar lower against the yen, which in turn caused the Nikkei to fall -4%. This comes much sooner than Wall Street had expected and many feel that the economy which is still on shaky ground could start to lose steam.

Upgrades:

Louisiana Pacific (LPX): TD Securities raised their rating from Reduce to Hold.

Maximus (MMS): First Analysis raised their rating from Equal Weight to Overweight and placed a target price of $45.00 on the company.

Yum! Brands (YUM): BofA Merrill Lynch raised their rating from Underperform to Neutral and raised their target price from $60.00 to $75.00.

Downgrades:

CVS Caremark (CVS): Cantor lowered their rating from Buy to Hold and lowered their target price from $65.00 to $62.00.

Fossil Group (FOSL): Citigroup lowered their rating from Buy to Neutral.

McDermott Intl (MDR): Stifel lowered their rating from Buy to Hold.

Coverage Initiated:

Baxter Intl (BAX): Goldman Sachs initiated coverage with a Conviction Buy rating and target price of $86.00.

Earning Reports:

AOL (AOL): Reported EPS of $0.35 beating estimates by +$0.02.

Carlyle (CG): Reported EPS of $0.39 missing estimates by -$0.17.

Clean Harbors (CLH): Reported EPS of $0.38 missing estimates by -$0.19.

Duke Energy (DUK): Reported EPS of $0.87 missing estimates by -$0.07.

Huntington Ingalls (HII): Reported EPS of $1.12 beating estimates by +$0.17.

Kelly Services (KELYA): Reported EPS of $0.33 beating estimates by +$0.08.

Walt Disney (DIS): Reported EPS of $1.03 beating estimates by +$0.02.

Markets: 
Futures at 8:20: Dow -0.45%. S&P -0.45%. Nasdaq -0.31%. Crude +0.15% to $105.46. Gold -0.5% to $1275.40. U.S. 10 Year 3/32 2.634%.

Europe: London -0.89%. Paris +0.05%. Frankfurt -0.39%. 

Asia: Japan -4.00% to 13825. Hong Kong -1.53% to 21589. China -0.67% to 2047. India -0.36% to 18665.