Evolution Securities reiterates its “sell” rating on Ericsson. Despite its miss to top-line expectations, Evo notes that first-quarter results generated excitement because of improved gross margins. But the stock remains expensive against peers, according to Evolution, which warns consensus estimates will remain pressured.

Morgan Stanley has upgraded its target price for UBS by eight per cent to SwFr20 on raised earnings per share expectations and issued an “overweight” recommendation. Morgan Stanley says UBS is geared to a credible restructuring story, being levered to the US credit rebound and Asian growth but far less exposed to the Eurozone.

Citi upgrades its rating on EADS from “hold” to “buy” based on its positive view of the Civil Aerospace cycle and dollar strengthening against the euro. Citi notes that passenger traffic has almost recovered to pre-crisis levels and aircraft orders are showing signs of bottoming out. Citi expects flat Airbus deliveries to 2012.