Market Outperform - Price 12.27 on Dec. 4 by JMP Securities Downgrading from Strong Buy. While we continue to like Ariba's transition to an on-demand and network-based model, software spending [may slow in 2008]...Our FY08 non-GAAP [earnings per share estimate] is 45 cents, versus consensus 44 cents; for FY09, [it's] 74 cents, versus consensus 67 cents. Our 13 target implies a calendar '08 enterprise-value/revenue multiple of 2.5 versus peer group's 4.5 times.

Strong Buy - Price 9.70 on Dec. 4 by Dutton Associates Target: 15.52. CDS announced it has entered into a definitive agreement to acquire 100% of Jixiang Mining, which mines, processes and distributes concentrated zinc and lead. The acquiring company will be renamed CDI Jixiang Metal Industry....China is the largest producer and consumer of zinc and lead in the world. The acquisition [helps] CDS' zinc division....CDS market-cap: $192 million; 52-week [share-]price range: $2.49-$12.95.

Buy - Price 10.27 on Dec. 4 by Morgan Joseph DAR provides rendering, recycling, and recovery for food service. In November, commodity prices for DAR's core products continued to strengthen. However, our 4Q EPS estimate remains unchanged at 15 cents, versus 8 cents, up 87% due to...delivery constraints. We maintain our '07 EPS estimate of 53 cents, versus 7 cents (up 657% year-over-year); and 2008E EPS of 65 cents, up 23%, and above our long-term estimated growth rate of 15%. Target: 15. Market-cap: $842 million.

Neutral - Price 16.21 on Dec. 4 by UBS Securities DFS expects to record a $422 million impairment charge related to its Goldfish card-issuing business in the U.K., which it acquired in '06, representing almost all associated goodwill...DFS also announced a $1 billion repurchase program, and that 4Q U.S.-card chargeoffs will remain below 4%. Lowering our estimates for 4Q [to a 10-cent loss, from 38 cents), 2007 (to $1.24 from $1.60), 2008 (to $1.57 from $1.65), and 2009 (to $1.54 from $1.90). Other drivers of our EPS revisions include higher charge-offs and provisioning...we expect EPS to remain suppressed through '08. Lowering target to 20 (from 23).

Outperform - Price 38.92 on Dec. 5 by Baird Securities November company comps of 3.8% compared with our recent forecast of 2%-3%... see potential for slight upside if comps remain healthy in December; maintain Outperform rating at EV/Ebitda of 6.8 times (on 2008E); expecting sentiment to improve as PNRA addresses margin issues

Outperform - Price 14.50 on Dec. 4 by FBR Capital Markets SKH delivers long-term care, rehab and hospice services. Its business model hews closer than [peers'] to our favored investment characteristics: high asset ownership, high-quality mix, and high-acuity patients. Initiating with 18.50 target, or an industry average of 17 times our '09 EPS of $1.08....As of 3Q07, SKH owns or leases 74 skilled-nursing facilities and 13 assisted-living facilities; overall facility ownership's about 69%. SKH has debt that equates to about 4.5 times forward Ebitda -- tolerable, but higher than peers'. Market-cap: $536 million.

Hold - Price 18.60 on Dec. 4 by Sandler O'Neill STSA announced that North Valley Bancorp (NOVB) has exercised its right to terminate the merger agreement...STSA and NOVB entered into a merger agreement on April 10, and either party was entitled to terminate the agreement if it was not consummated by Nov. 30...We've been restricted from commenting on STSA shares since late October...we're lowering our target by $5, to 20, primarily to reflect significantly lower peer-valuation levels. The stock is likely to be range-bound for [a] time...[but] could continue to rally...given partial alleviation of concerns noted and [further] rate easing.

Outperform - Price €31.84 on Dec. 4 by Bear Stearns Target: €35. Vivendi is to merge its games business with Activision (ATVI)...Vivendi is buying majority control at $27.50 per share, a 31% premium to Activision's 20-day share-price average....The deal creates the largest pure-play video-games publisher in a $28 billion, fast-growing market....Implied EV/operating income is 22.7 times. Guidance for group operating profit in '09 is $1.1 billion.