NEW YORK (CNN/Money) - Lehman Brothers upgraded tech bellwether Intel on Monday ahead of its mid-quarter update later in the week.

In a morning note, Lehman raised its rating on Intel to "overweight" from "equal-weight." It also raised No. 2 chipmaker Advanced Micro Devices to "equal-weight" from "underweight."

Merrill Lynch boosted its fourth-quarter revenue and earnings estimates on Intel (INTC: Research, Estimates). Merrill raised its revenue target to $6.9 billion from $6.7 billion and its earnings estimate by a penny to 13 cents a share. For 2003, Merrill upped its earnings estimate to 67 cents a share from 65 cents a share. But the brokerage kept a cautious stance on the stock with a "sell" rating, saying that any recovery in its business was already priced into the stock.

Intel rose $1 to $21.88 in before-hours trading Monday.

Shares of Nokia, the world's largest mobile phone maker, jumped in before-hours trading Monday after Merrill Lynch upgraded the stock to "buy" from "neutral."

Merrill Lynch said it was bullish after tracking the company's gains in market share and robust sales. Nokia (NOK: Research, Estimates) shares jumped 2.7 percent in European trading. The company also holds its strategy meeting in Dallas later Monday. Nokia rose 54 cents to $19.75.

J.P. Morgan downgraded computer services companies Electronic Data Systems (EDS: up $0.18 to $18.35, Research, Estimates) and Computer Sciences (CSC: down $0.04 to $34.89, Research, Estimates) to "underweight" from "neutral," saying it remains concern about their business outlook. EDS gained 18 cents to $18.35 Friday, while Computer Sciences (CSC: Research, Estimates) fell 4 cents to $34.89.

Morgan Stanley downgraded Anglo-Swedish drugmaker AstraZeneca (AZN: down $0.55 to $37.84, Research, Estimates) to "equal-weight" from "underweight," citing valuation concerns. AstraZeneca shares fell 55 cents to $37.84 Friday.

Credit Suisse First Boston upped its 12-month price target on Adobe Systems (ADBE: Research, Estimates) to $35 from $29.98, saying that the early signs of advertising uptick indicate that the company could see a "fundamental recovery" in the first half of 2003. Adobe shares fell 45 cents to $19.53 on Friday. But the brokerage downgraded its rating on the design software sector to "under-weight" from "market weight" on valuation concerns.

UBS Warburg upgraded Pitney Bowes (PBI: up $0.13 to $35.30, Research, Estimates), the provider of U.S. mailing services, to "buy" from "hold." Pitney Bowes gained 13 cents to $35.30 Friday.