NEW YORK (CNNfn) - Merrill Lynch had favorable comments on United Airlines Monday, just two days after the world's largest airline reached a tentative contract agreement with its pilots.
Merrill Lynch maintained its "accumulate" rating on United Airlines (UAL: Research, Estimates) with a 12 to 18 month price target of $62.
The firm said United's stock price fully takes into account its recent difficulties. On Saturday, the airline reached a tentative agreement with the union representing its 10,000 pilots.
United advanced 1-15/16 to 52-5/16 in late morning trading.
And Bear Stearns was upbeat about Powertel (PTEL: Research, Estimates) after Germany's Deutsche Telekom agreed late Sunday to purchase the telecom company.
Bear Stearns telecom analyst David Freedman said the deal makes an "excellent strategic fit."
But opinions were mixed about some leading technology companies. Credit Suisse First Boston raised its 12-month price target on International Business Machines (IBM: Research, Estimates), the world's leading provider of computer hardware, to $150 from $125.
The brokerage believes the company is on track to meet or beat its third-quarter earnings per share forecast of $1.07. It also maintained its "buy" rating on the stock.
Shares of IBM rose 2-5/16 to 131-5/16.
Lehman Brothers kept its "neutral" rating on Internet portal Yahoo! (YHOO: Research, Estimates), but was cautious about its third-quarter revenue outlook. The investment firm said if Yahoo!'s revenue for the quarter is light or low in quality, the stock will "suffer meaningfully."
In other comments, S.G. Cowen initiated coverage of chip maker Virage Logic (VIRL: Research, Estimates) with a "buy" rating and $28 price target.
Virage added 1 to 20-3/8.
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