Sprint (NYSE:S): JPMorgan has downgraded Sprint to Neutral from Overweight with a $7 price target after resuming coverage of the stock. The firm does not expect significant subscriber growth until 2014 and thinks integration of Clearwire and higher spending could be a drag on near-term Ebidta.
RadioShack (NYSE:RSH): Wedbush feels that reports suggesting RadioShack had hired a financial adviser and could declare bankruptcy is more likely to be a restructuring effort, and that the company will look to rationalize its inventory and perhaps raise some capital to reformat its stores. However, the firm is not optimistic that the company’s turnaround will be successful, and it reiterates a $1 price target and Underperform rating on the stock.
Wendy’s (NYSE:WEN): Based on increased confidence that the company can “value engineer” its remodel prototype, management’s cost-saving focus, improved value messaging, and potential new premium product extensions, BMO Capital has upgraded shares of Wendy’s to Outperform from Market Perform, and increased its price target to $7 from $6.
Hormel Foods (NYSE:HRL): BMO Capital has taken Hormel to Outperform from Market Perform given improving turkey margins, new product innovation, Skippy opportunities, margin expansion from lower input costs and mix, and cash deployment. The price target is set for $49.