Sprint Upgraded to Neutral

Piper Jaffray has upgraded Sprint Nextel (NYSE: S) from Underweight to Neutral.

In a report sent to clients, Piper Jaffray writes, "We are upgrading Sprint to Neutral from Underweight. Our price target remains $3.50, implying less than 10% downside. Our price target is based on a DCF analysis to 2015, using a 10.3% near-term cost of capital, an 8.1% terminal cost of capital and a 1.3% terminal growth rate."

S closed Monday at $3.83.