Share Downgrades on the First Trading Day on Wall Street

The markets are holding firmly upward on the first day of trading in the new year.  The Dow Jones Industrial Average (NYSEARCA:DIA) closed up 179 points, or 1.47%, to 12,397. The S&P 500 (NYSEARCA:SPY) closed up 19 points, or 1.55%, to 1,277, and the Nasdaq (NASDAQ:QQQ) closed up 43 points, or 1.67%, to 2,648. Here’s how these downgraded stocks reacted to brokerage analyst news on Wall Street:

Plantronics (NYSE:PLT): The National Transportation Safety Board recently recommended banning all portable electronic devices from cars.  Using a telephone headset in cars may not be headed for lawmakers to make illegal, but it is uncertain if auto insurance companies will change their coverage. Morgan Keegan downgraded the telephone headset maker from Outperform to Mkt Perform and reduced its price target to $36.

Regal Entertainment (NYSE:RGC): More people are staying at home, passing up on current movie offerings.  Maybe Hollywood has recycled too many stories and characters while raising ticket prices? Stifel Nicolaus moved the ticket from Buy to Hold.

Transdigm Group (NYSE:TDG): TSG spends approximately $84 million to acquire privately-held Harco Laboratories, maker of aircraft components. Under review by Hart-Scott-Rodino Act and other closing conditions, the purchase was expected to be closed. RBC Capital Mkts downgraded TDG from Top Pick to Outperform and dipped price target to $110.

Demandtec (NASDAQ:DMAN): Weakening margins, rising material costs and losses leading to a miss on revenue force Barrington Research to drop DMAN from Outperform to Mkt Perform.

Dupont Fabros Tech (NYSE:DFT): Data centers may see cloud computing on the horizon as RBC Capital Mkts dropped DFT from Top Pick to Outperform and reduced its price target to $32.

Weingarten Realty (NYSE:WRI): RBC Capital Mkts downgraded several retail REITs, after changing their outlook toward the negative.  WRI drops from Top Pick to Outperform and lower price target to $29.

Simon Properties (NYSE:SPG): Another REIT downgraded by RBC Capital Mkts from Top Pick to Outperform with price target lowered to $140.

Realty Income (NYSE:O): RBC Capital Mkts downgraded Realty Income from Top Pick to Outperform and reduced its price target to $38.

MEDNAX (NYSE:MD): RBC Capital Mkts cut MD from Top Pick to Outperform and reduced its price target to $77.

LaSalle Hotel (NYSE:LHO): RBC Capital Mkts downgraded LHO from Top Pick to Outperform and reduced its price target to $27.

First Potomac Realty (NYSE:FPO): RBC Capital Mkts downgraded its rating on this company from Top Pick to Outperform and changed its price target to $19.

Annaly Capital Mgmt (NYSE:NLY): Another REIT downgraded by RBC Capital Mkts from Top Pick to Outperform with a drop in price target to $20.

PDC Energy (NASDAQ:PETD): While Canaccord Genuity downgraded PETD earlier from Buy to Hold and reduced its price target from $41 to $39, shares traded up.

Wolverine (NYSE:WWW): Bad weather for shares of Wolverine as Robert W. Baird chilled down its rating from Outperform to Neutral and dropped its price target from $49 to $38.

To contact the reporter on this story: Jim Wilkerson at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com