Outperform - Price 16.29 on July 22 by Raymond James Allscripts reported fiscal-fourth-quarter 2009 results...with sequential bookings growth of 22% to $103.2 million for the quarter, full-year non-GAAP [generally accepted accounting principles] software and service revenue of $650.8 million, and non-GAAP net income of $76.7 million. This compared with our estimates for $643.2 million and $78.9 million, respectively. Management noted stimulus incentives are beginning to translate interest into sales....The development of the Allscripts Distribution Network, an association of 85 organizations with a...salesforce of more than 1,600, should specifically aid in acceleration of the education process for this market....Our lower earnings estimates primarily reflect an updated view on profitability, as near-term margin expansion will likely be more contained by excess sales and deployment capacity than we originally anticipated. Maintaining 18 target. At 21.5 times, our target forward earnings valuation moves higher -- from 20 times on [calendar] 2011 non-GAAP EPS, or earnings per share -- but is conservatively positioned relative to current levels (about 25 times next 12 months' consensus) and the mid-20s earnings CAGR [compound annual growth rate], we anticipate through 2011. We believe Allscripts' market position remains strong. Market cap: $2.4 billion.

Sell - Price 54.44 on July 21 by Maxim Group While revenue trends were good...earnings were aided by reserve run-off....Credit quality continues to decline. MTB Reported second-quarter diluted EPS of 36 cents. Our 2Q estimate was 58 cents, and consensus expectation was 49 cents. On an operating, recurring basis, we estimate EPS to be 63 cents, which excludes nonrecurring items of 35 cents-a-share Provident Bancshares acquisition charges, 17 cents a share in FDIC [Federal Deposit Insurance Corp.] special assessment, and a 13-cents-a-share asset-impairment charge, offset by 38 cents in earnings benefit from reserve run-offs. Management views operating EPS as 79 cents, which excludes the Provident charge....The Provident acquisition added $6.3 billion in assets, $5 billion in deposits. Reserves ratios declined to 1.62% (versus 1.73% in the first quarter), mostly reflecting lower reserves for incremental loan growth.... Net-interest income benefited on margin expansion...loan-loss provision was lower than Q1 levels...while operating efficiencies improved....We are lowering our '09 [EPS] estimate to $2.09 from $2.32, factoring in, for the second half, a higher diluted share count, flat earning asset growth, [net-interest-margin] improvement and incremental efficiency improvements. We are lowering our 2010 estimate to $3, from $3.40. Maintaining Sell, given dilution risk [from] low capital ratios, lower earnings outlook, and MTB's premium valuation. MTB trades at 2.2 times 2Q09 tangible book value...[versus] 1.5 times for peers. Our 40 target assumes a 1.6 times valuation on tangible book value. Market cap: $6.4 billion.

Hold - Price 77.97 on July 21 by Jesup & Lamont PCP reported fiscal first-quarter 2010 EPS of $1.70 on revenue of $1.40 billion, missing our forecast for EPS of $1.73 on revenue of $1.87 billion, versus the consensus of $1.75 on revenue of $1.62 billion. The miss was due to lower volumes in a volatile aerospace-destocking environment, and weak demand in general industrial end-markets. Despite weak end-markets, operating margins hit record levels of 26.8%, versus our forecast for 22.4%, mostly due to cost reductions....The quarter highlight was the record operating margins, but [end-markets still appear to be] under pressure. Thus, our model implies modest margin expansion, but lower than in...F1Q10. We highlight the difference in our margin expectations, as they remain the driver for the stock. It is hard to bet against this management team (one of the best in the space), but we believe, given the weak economy/pressure on [original-equipment-manufacturer] build rates, it is good to be prudent. Management acknowledged continued pressure on end-markets. Market cap: $10.8 billion.

Hold - Price 13.69 on July 20 by Jefferies & Co. Supervalu, one of the largest supermarket operators in the U.S., has annual retail sales of about $34 billion. We've previewed SVU's 1Q10. Expectations are low, and they should be...Market shares have been declining for years....Clearly, remodeling stores and getting price-competitive have not been enough -- so we believe SVU will have to undercut competitors and get within 5% to 10% of the mass merchants. This suggests earnings could go as low as $1.90 to $2. Selling noncore assets could prove difficult....A sale of Shaw's looks dilutive by at least 10 cents. Save-A-Lot and some distribution assets appear to have the best potential economics -- but even here, it is unclear whether it will make financial sense. If a transaction is possible, we would encourage management to do it quickly....We believe that an even more dramatic shake-up/enhancement is in order. Nevertheless, at six times the Street's FY10 number, much of SVU's operating difficulties appear to be discounted...positive actions by management or nascent signs of a turnaround may send the shares higher, short term, regardless of...difficulty on [any] true road to recovery. While slowly eroding, our sum-of-the-parts analysis suggests an equity value of at least 15. We're adjusting our target to 18, from 20...or seven times our CY10 EPS estimate of $2.50, slightly below our $19 [discounted-cash-flow] value. Risk to our Hold rating: a significant slowdown in comps [sales at stores open at least a year]. Market cap: $2.9 billion.

Hold - Price 17.90 on July 21 by Standard & Poor's Equity Research We're lowering our opinion [on mobile-communications company] Syniverse to Hold, from Strong Buy, on valuation; SVR shares are up [by more than] 30% since the company reported Q1 results on May 8. We expect SVR to report Q2 results on August 5, and see revenue of $130 million, Ebitda [earnings before interest, taxes, depreciation and amortization] of $58 million, and EPS of 32 cents versus 30 cents. We continue to believe that SVR will benefit from strong growth in data, but we believe the economy is having an effect on global roaming. While we believe growth will improve in latter '09, we think the shares are fairly valued at current levels. We are raising our target by $2, to 20, based on revised P/E-to-growth analysis. Market cap: $1.2 billion.

Neutral/Moderate Risk - Price 11.25 on July 20 by Boenning & Scattergood VLY is among the strongest-performing publicly traded banking institutions of size in the U.S. Credit-quality metrics and return on common-equity levels...have been and are likely to continue to be superior to the industry. The bank's core earnings power and excess capital position [shows] it can endure a protracted economic downturn. Yet the value of the common stock fully reflects [the company's] financial strength...the shares currently trade in line with peers on a forward price/earnings basis, but at a 98% premium to peers on a price-to-[tangible-book-value, or] TBV basis. We believe the bank's credit losses on the loan book...likely remain well-contained for remainder of '09. Impairment charges on the trust-preferred securities positions represent the greatest threat to profitability....We're establishing operating EPS estimates of 63 cents for 2009 and 80 cents for 2010, both below consensus. Our estimate for '09 includes FDIC special assessments for 2Q09 and 4Q09....We believe the pace of bank failures will continue to increase, and the FDIC will be compelled to impose additional assessments post-2Q09. Market cap: $1.6 billion.

Hold - Price 15.71 on July 22 by Collins Stewart Maintaining our Hold rating on VLTR, [after] a strong beat-and-raise quarter. Volterra is a fabless supplier of power-management semiconductors....Despite a [still-]soft enterprise-[information-technology]-spending environment, VLTR has benefited from strong end demand from the introduction of Intel's Nehalem [microarchitecture]/Thurley server platform. While we expect this momentum to continue into second-half '09, we believe the shares remain fairly valued, trading at 22 times our 2010 [pro forma estimated EPS of] 70 cents. VLTR reported 2Q09 revenues of $22.8 million (up 25% quarter/over/quarter), which was better than our estimate of $21 million (up 15% q/q) and the Street's $21.4 million (up 17% q/q). Our 20 target reflects an 18 times P/E multiple on our CY10 estimate of $1.10. The multiple is at the midpoint of the historical valuation range of 15 times to 20 times. While Intel's business model and competitive position remain unchallenged, it is exposed to global economic headwinds, industry cyclicality, technology transitions, and imbalances between supply and demand....Market cap: $395 million.

Market Perform - Price 26.59 on July 21 by Morgan Keegan Headquartered in Pittsburgh, Wesco is one of the largest electrical distributors in the U.S. It serves customers in a variety of markets, including industrial, electrical contractors, utilities, government and institutional markets. Wesco will report 2Q09 earnings on July 23...we are estimating EPS of 73 cents, in line with the consensus of 74 cents. We project a substantial Q2 sales decline of 26.8%, compared with consensus numbers placing the sales drop in the [minus] 20% to 21% range. This would represent a significant departure from management's FY2009 guidance of minus-15% to minus-20%, and [would] be an 850-basis-point to 900-bps decline from Q1 daily sales growth. As an offset, we have Wesco reducing head count by 150 people sequentially, benefiting from one-week mandatory vacations, and from variable-cost compensation. We are reducing 2009 from $2.75 to $2.61, but raising our 2010 number from $2.23 to $2.47. Eaton's favorable commentary regarding stimulus benefits in 2010, as an offset to weaker nonresidential construction demand, may provide 2010 support for electrical-products companies. Market cap: $1.2 billion.