Thursday's analyst upgrades and downgrades

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Inside the Market's roundup of some of today's key analyst actions. This file will be updated during the trading day. For breaking analyst actions prior to market open every day, read our Before the Bell morning report.

Analysts are giving mixed reviews to Facebook Inc.'s latest quarter, but overall, their price targets are going up - and so is the company's stock price. Despite opening lower, shares closed up 2.5 per cent on Nasdaq.

The social media darling reported better-than-expected earnings in its latest quarter late Wednesday. The stock initially surged about 15 per cent on the earnings report in the post market , but later went into reverse when company executives in an analyst conference call said daily Facebook usage among younger teens had declined. News also emerged during the conference call that Facebook will not increase ad units in its News Feeds from third-quarter levels.

BMO Nesbitt Burns downgraded Facebook to "market perform" from "outperform" but maintained a price target of $50 (U.S.). BMO analyst Daniel Salmon said the rating change was primarily because of the lack of clarity about Facebook's plans for social TV advertising, noting the company did not highlight the number of its users during prime-time TV in the most recent quarter, unlike it did previously. "To go to the high $50s, we feel a new story is needed to support the multiple," such as social TV, he said.

UBS analyst Eric Sheridan raised his price target to $62 from $60 and maintained a "buy" rating. He suggested investors shouldn't be too discouraged by the low teen engagement, given that advertisers are more focused on Facebook's broad reach rather than quarter-to-quarter fluctuations in user counts. "In our view, Facebook continues to be the best pure play on digital advertising trends in our coverage universe and would view any earnings related weakness in the stock as an attractive entry point for 2014," he said.

In other moves, Pivotal Research upgraded Facebook to "buy" from "hold" and raised its price target to $57 from $48. Evercore Partners raised its price target to $65 from $60 and maintained an "overweight" rating. Cantor Fitzgerald raised its target to $63 from $40 and maintained a "buy" rating. Wells Fargo raised its target to a range of $59 to $61 from $51 to $53, while Raymond James hiked its target to $60 from $50.

The average price target among analysts is now $57.81, according to Bloomberg data.

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Scotia Capital analyst Christine Healy has raised her share-price target for Maple Leaf Foods Inc., as Canada's largest food processor sells divisions, pays down debt and works through a five-year restructuring of its meats business.

Maple Leaf Foods posted an adjusted loss of one cent a share on Thursday, missing the Street's forecast of a six-cent profit. (Ms. Healy expected a one-cent profit.) The company blamed costs of the restructuring, which includes opening five new meat facilities across Canada and revamping the product lines, as well as low margins in the hog or proteins business.

Ms. Healy said the proteins business will lose money this year, but the Canada Bread bakery division should show improving profit margins. Canada Bread is expected to be sold next year, and Ms. Healy said in a research note any sale is already factored into Maple leaf Foods' share price.

Ms. Healy lowered her 2013 and 2014 forecasts for earnings before interest, taxes and depreciation to $177-million and $358-million, respectively.

Target: Ms. Healy raised her share-price target to $16 from $15 and maintained a rating of "sector per form."

Separately, Canaccord Genuity today raised its price target on Maple Leaf Foods to $15.50 from $14 and reiterated a "hold" rating.

The average price target of analysts surveyed by Bloomberg is $18.36.

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Strong growth and new hauling contracts have prompted RBC Dominion Securities analyst Walter Spracklin to raise his rating on trucking company Contrans Group Inc.

Mr. Spracklin, who upgraded the Woodstock, Ont.-based company to "outperform" from "sector perform," said in a research note that three new contracts in Alberta and Ontario should boost yearly revenue by $20-million, "and there is potential for further upside from additional organic growth."

Contrans shares have risen by 29 per cent this year. The company operates a fleet of trucks and trailers that move everything from garbage to coal.

Target: Mr. Spracklin raised his share-price target to $15 from $13.

Separately, CIBC World Markets raised its price target to $13.75 from $12.50 and reiterated a "sector performer" rating.

The average price target of analysts surveyed by Bloomberg is $13.68.

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General Motors Co. is expected to post margins of 10 per cent in the next few years and return some cash to shareholders, says RBC Dominion Securities analyst Joseph Spak, who raised his share-price target for the auto maker.

GM recently reported a loss in Europe, where its performance has lagged, that was less than expected, Mr. Spak wrote in a research note.

He expects GM will buy back its shares that are held by the U.S. government early next year, with a buyback of the Canadian government shares to follow later. "We believe some combination of a dividend/share repurchase is likely in 2014," said Mr. Spak, who calls GM "one of our favorite names."

Target: Mr. Spak raised his share-price target to $50 (U.S.) from $45 and maintained a rating of "outperform." The Bloomberg average is $45.83.

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Tim Hortons Inc. is facing stiff competition from Starbucks and other coffee sellers that will keep a lid on its sales, but the doughnut chain's stock has room to climb, says Raymond James analyst Kenric Tyghe as he raised his price target.

Mr. Tyghe bases his higher target on a new method of valuation – the trailing 12-month average multiple, instead of the average five-year discounted average. He notes the sector's sales are weak, although Tim Hortons' new higher-priced offerings party offset some of the headwinds.

"Our new $65 target price equates to new 20.0x and 12.0x target multiples on our unchanged 2014E EPS and EBITDA estimates, respectively," he wrote in a research note. Tim Hortons shares are up 27 per cent this year.

Target: Mr. Tyghe raised his share-price target to $65 from $55 and maintained a rating of "market perform." The average analyst price target is $64, according to Bloomberg.

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Cantor Fitzgerald analyst Justin Kew has cut the share price target for Catamaran Corp., after the drug benefits management posted "mixed" quarterly results.

However, Mr. Kew remains keen on the company based in Lisle, Ill., noting management thinks it can benefit from U.S. health-care reforms

"Catamaran remains one of our favourite names with a stellar management team and an excellent growth profile," Mr. Kew wrote in a research note.

Target: Mr. Kew lowered his share price target to $68 (U.S.) from $71 and reiterated a rating of "buy." The average price estimate of Bloomberg analysts is $67.28.

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Open Text Corp.'s share-price target has been cut by Raymond James' Steven Li, after the software maker posted no growth in licensing revenues in the first quarter.

"Despite this slow start …  we believe [Open Text] remains well positioned for organic licence growth in F2014," Mr. Li wrote in a research note. Shares in the software maker based in Waterloo, Ont., have fallen by three per cent on the Nasdaq stock market this year.

Target: Mr. Li cut the share price target to $80 (U.S.) from $86 and maintained an "outperform" rating.

CIBC World Markets raised its price target to $80 (U.S.) from $73 and reiterated a "sector outperformer" rating. The average price target of Bloomberg analysts is $79.15.

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Canaccord Genuity's Yuri Lynk has downgraded Fluor Corp. to "hold" after a 25-per-cent rise in the engineering company's share price this year.

Mr. Lynk notes Fluor trades at 17 times 2014 earnings estimates, whereas its peers as a group trade at 14 times.

"Fluor checks virtually all of the boxes in terms of our top down view and what we look for in a long-term holding in the E&C space," he wrote. "However, strong share price appreciation causes us to move to a 'hold' from a 'buy' rating."

Target: Mr. Lynk downgraded Fluor to "hold" from "buy" and reiterated a share price target of $80. (U.S.). The average of Bloomberg analysts is $79.45.

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In other analyst actions:

Credit Suisse upgraded Hess to "outperform" from "neutral" and raised its price target to $100 (U.S.) from $85.

TD Securities downgraded Yamana Gold to "hold" from "buy" and cut its price target to $12 (U.S.) from $13.

Canaccord Genuity downgraded Argonaut Gold to "hold" from "buy" and cut its target to $7.25 (Canadian) from $8.75. It also removed the company from its Canadian Focus List - its most favoured investment ideas.

CIBC World Markets raised its price target on Genworth MI Canada to $34.50 (Canadian) from $30.75 and reiterated a "sector performer" rating.

Canaccord Genuity upgraded Thoratec to "buy" and raised its target to $45 (U.S.) from $38.

Canaccord Genuity added Primero Mining to its Canadian Focus List - its favourite investing ideas - as it adjusted its price target to $8 (Canadian) from $7.50 (U.S.).

Canaccord Genuity initiated coverage on Pure Multi-Family REIT LP with a "buy" rating and $5.10 (U.S.) price target.

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For more analyst actions, breaking investing news and analysis, follow Darcy Keith on Twitter at @eyeonequities