Morning Coffee Pre-Market Wall Street News

Microsoft Share Jump On Earnings. Microsoft (MSFT) reported that their FQ1 net profit climbed +16% to $5.2B.  EPS were reported at $0.62 beating Wall Street estimates by $0.08. Revenues at the company also rose +16% to $18.53B. Microsoft's performance was boosted by strong corporate sales of its Office and server software.  Earlier this week Apple (APPL) announced that they would begin offering their latest operating system Maverick for free along with iWork which is their version of Office. Pre-market: 35.74 +2.02 (5.99%)

Upgrades:

Brinker Intl (EAT): Wunderlich raised their rating from Hold to Buy and raised their target price from $44.00 to $50.00.

Colgate-Palmolive (CL): Canaccord raised their rating from Sell to Hold and raised their target price from $52.00 to $58.00.

DuPont (DD): Citigroup raised their rating from Neutral to Buy and raised their target price from $61.00 to $70.00.

Ford Motor (F): CLSA raised their rating from Underperform to Outperform and raised their target price from $18.00 to $20.00.

Hasbro (HAS): BMO Capital raised their rating from Underperform to Market Perform and raised their target price from $38.00 to $50.00.

Sony (SNE): Credit Suisse raised their rating from Neutral to Outperform. Pre-market: 19.14 0.00 (0.00%)

Western Digital (WDC): Craig-Hallum raised their rating from Sell to Hold and placed a target price of $70.00 on the company. Pre-market: 70.50 -0.04 (-0.06%)

Downgrades:

Caterpillar (CAT): Atlantic Equities lowered their rating from Overweight to Neutral.

Transocean (RIG): Guggenheim lowered their rating from Buy to Neutral and lowered their target price from $58.00 to $53.00. Pre-market: 48.75 -0.27 (-0.55%)

Wynn Resorts (WYNN): Craig-Hallum lowered their rating from Buy to Hold and lowered their target price from $170.00 to $160.00. Pre-market: 170.02 -2.83 (-1.64%)

Coverage Initiated:

Walt Disney (DIS): FBR Capital initiated coverage with an Outperform rating and target price of $84.00.

Earning Reports:

AbbVie (ABBV): Reported EPS of $0.82 beating estimates by +$0.04. Pre-market: 48.90 +0.97 (2.02%)

DTE Energy (DTE): Reported EPS of $1.13 missing estimates by -$0.08.

Eaton (ETN): Reported EPS of $1.12 in-line with estimates. Pre-market: 67.50 -1.00 (-1.46%)

Express Scripts (ESRX): Reported EPS of $1.08 in-line with estimates. Pre-market: 62.49 -1.25 (-1.96%)

Microsoft (MSFT): Reported EPS of $0.62 beating estimates by +$0.08. Pre-market: 35.74 +2.02 (5.99%)

National Oilwell Varco (NOV): Reported EPS of $1.34 beating estimates by +$0.02. Pre-market: 82.00 +2.87 (3.63%)

Newell Rubbermaid (NWL): Reported EPS of $0.52 beating estimates by +$0.03. Pre-market: 30.10 +1.18 (4.08%)

NETGEAR (NTGR): Reported EPS of $0.58 in-line with estimates. Pre-market: 30.00 -2.14 (-6.66%)

Procter & Gamble (PG): Reported EPS of $1.05 in-line with estimates. Pre-market: 80.30 -0.31 (-0.38%)

Sherwin-Williams (SHW): Reported EPS of $2.68 beating estimates by +$0.04. Pre-market: 190.00 +3.00 (1.60%)

Synaptics (SYNA): Reported EPS of $1.31 beating estimates by +$0.08. Pre-market: 50.07 -2.97 (-5.60%)

UPS (UPS): Reported EPS of $1.16 beating estimates by +$0.01. Pre-market: 96.39 +1.90 (2.01%)

Weyerhaeuser (WY): Reported EPS of $0.27 beating estimates by +$0.05. Pre-market: 31.20 +0.90 (2.97%)

Wynn Resorts (WYNN): Reported EPS of $1.84 beating estimates by +$0.12. Pre-market: 170.02 -2.83 (-1.64%)

Markets: 
Futures at 6:17: Dow -0.03%. S&P +0.02%. Nasdaq +0.27%. Crude +0.13% to $97.24. Gold -0.88% to $1338.30. U.S. 10 Year +5/32 2.506%.

Europe: London +0.14%. Paris +0.01%. Frankfurt +0.17%. 

Asia: Japan -2.78% to 14088. Hong Kong -0.60% to 22698. China -1.45% to 2133. India -0.20% to 20684. 

Morning Coffee Pre-Market Wall Street News

World Markets Rise On Debt Ceiling and Funding Hopes. World stock markets were mostly higher on hopes that Washington will come to an agreement to lift the debt ceiling. Although reports say any deal would be a short term deal. Additionally, there are reports that the debt ceiling deal could also include funding that would end the current government shutdown.

Upgrades:

Chipotle Mexican Grill (CMG): Janney Capital raised their rating from Neutral to Buy and placed a target price of $525.00 on the company. Pre-market: 440.00 +4.13 (0.95%)

JB Hunt (JBHT): BofA Merrill Lynch raised their rating from Neutral to Buy and placed a target price of $81.00 on the company. Pre-market: 72.14 0.00 (0.00%)

Johnson & Johnson (JNJ): Goldman Sachs raised their rating from Sell to Neutral and raised their target price from $87.00 to $95.00.

KB Homes (KBH): Susquehanna raised their rating from Neutral to Positive and raised their target price from $20.00 to $22.00. Pre-market: 17.09 +0.46 (2.77%)

Lennar (LEN): Susquehanna raised their rating from Neutral to Positive and raised their target price from $34.00 to $41.00. Pre-market: 34.05 +0.25 (0.74%)

Safeway (SWY): JPMorgan lowered their rating from Overweight to Neutral.

Downgrades:

Corning (GLW): Piper Jaffray lowered their rating from Overweight to Neutral and lowered their target price from $19.00 to $14.00.

Deutsche Bank (DB): Macquarie lowered their rating from Neutral to Underperform. Pre-market: 48.10 +0.25 (0.52%)

Eli Lilly (LLY): Jefferies lowered their rating from Hold to Underperform and lowered their target price from $49.00 to $40.00.

Intel (INTC): Macquarie lowered their rating from Outperform to Neutral and placed a target price of $22.00 on the company.

Merck (MRK): Jefferies lowered their rating from Buy to Hold and lowered their target price from $53.00 to $50.00.

NVIDIA (NVDA): Macquarie lowered their rating from Neutral to Underperform. Pre-market: 15.15 -0.24 (-1.53%)

Synaptics (SYNA): JPMorgan lowered their rating from Overweight to Neutral.

Coverage Initiated:

Blackstone Group (BX): Evercore initiated coverage with an Equal Weight rating and target price of $28.00.

Carlyle Group (CG): Evercore initiated coverage with an Overweight rating and target price of $36.00.

Dr. Pepper Snapple (DPS): Wells Fargo lowered their rating from Outperform to Market Perform and lowered their target range from $51.00-$53.00 to $44.00-46.00.

KKR & Co. (KKR): Evercore initiated coverage with an Equal Weight rating and target price of $23.00.

Earning Reports:

Infosys (INFY): Reported EPS of $45.96 missing estimates by -$0.24. Pre-market: 53.20 +2.92 (5.81%)

JPMorgan Chase (JPM): Reported EPS of $1.42 beating estimates by +$0.23. Pre-market: 53.00 +0.48 (0.91%)

Micron Technology (MU): Reported EPS of $0.20 missing estimates by -$0.10. Pre-market: 18.05 -0.38 (-2.06%)

Safeway (SWY): Reported EPS of $0.10 missing estimates by -$0.6. Pre-market: 33.69 +2.12 (6.72%)

Wells Fargo (WFC): Reported EPS of $0.99 beating estimates by +$0.03. Pre-market: 40.78 -0.66 (-1.59%)

Markets: 
Futures at 6:20: Dow +0.07%. S&P -0.05%. Nasdaq +0.06%. Crude -1.2% to $101.95. Gold -2.19% to $1277.10. U.S. 10 Year +7/32 2.657%

Europe: London +0.65%. Paris -0.12%. Frankfurt +0.22%. 

Asia: Japan +1.48% to 14405. Hong Kong +1.16% to 23218. China +1.70% to 2228. India +1.26% to 20529. 

Morning Coffee Pre-Market Wall Street News

Summers Taps Out of Fed Chair Job. Reports say that Larry Summers has officially taped out for consideration as the next Fed Chairman, saying that "any possible confirmation process for me would be acrimonious." Both Democrats and Republican were expected to object to his nomination to replace Ben Bernanke. The top remaining contenders for the position are Janet Yellen, who would be the first woman Fed Chairman and Don Kohn.

Upgrades:

AstraZeneca (AZN): Nordea raised their rating from Sell to Buy. Pre-market: 51.88 +1.23 (2.43%)

Barclays (BCS): Nomura raised their rating from Reduce to Buy. Pre-market: 19.50 +0.28 (1.46%)

Bristol Myers Squibb (BMY): JPMorgan raised their rating from Neutral to Overweight and raised their target price from $50.00 to $52.00. Pre-market: 44.41 +0.85 (1.95%)

Dominion Resources (D): ISI Group raised their rating from Neutral to Buy and raised their target price to$66.00.

Express (EXPR): The ResearchTeam raised their rating from Hold to Accumulate.

Intel (INTC): The ResearchTeam raised their rating from Reduce to Hold. Pre-market: 23.62 +0.18 (0.77%)

Mosaic (MOS): The ResearchTeam raised their rating from Reduce to Hold. Pre-market: 46.62 +0.63 (1.37%)

Synaptics (SYNA): The ResearchTeam raised their rating from Reduce to Hold. Pre-market: 64.26 +0.72 (1.13%)

Teleflex (TFX): Raymond James raised their rating from Market Perform to Outperform.

Western Union (WU): Sterne Agee raised their rating from Neutral to Buy and placed a target price of $22.00 on the company. Pre-market: 18.87 +0.46 (2.50%)

Downgrades:

Las Vegas Sands (LVS): ISI Group lowered their rating from Buy to Neutral and placed a target price of $61.00 on the company.

Under Armour (UA): Susquehanna lowered their rating from Positive to Neutral and maintained a target price of $77.00 on the company. Pre-market: 78.25 -0.25 (-0.32%)

Wynn Resorts (WYNN): ISI Group lowered their rating from Buy to Neutral and placed a target price of $149.00 on the company. Pre-market: 151.14 +0.79 (0.53%)

Markets: 

Futures at 6:20: Dow +1.1%. S&P +1.1%. Nasdaq +1%. Crude -1.3% to $106.84. Gold +0.45% to $1314.50.  U.S. 10 Year +22/32 2.805%.

Europe: London +0.89%. Paris +0.98%. Frankfurt +1.29%. 

Asia: Japan closed. Hong Kong +1.47% to 23252. China -0.22% to 2231. India +0.05% to 19742. 

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.