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Speculating on companies that have recently changed their ratings can be a good short-term strategy. Normally, companies will see increases in their prices after these changes. I assessed companies which were upgraded on September 11 and I chose the top three companies with a significant change on ratings. Here is a look at the three stocks:

1. Broadwind Energy Inc (NASDAQ:BWEN) provides products and services to the energy, mining, and infrastructure sector customers, primarily in the United States. The company's Towers and Weldments segment manufactures towers designed for two megawatt and larger wind turbines. The company provides its products and services to various wind energy customers that include wind turbine manufacturers, wind farm developers, and wind farm operators, as well as oil and gas, mining, and other industries. It sells its products through its sales force and manufacturers' representatives.

(click to enlarge)

- The MACD marks an upward trend. RSI is in a good position. The stock is in a bullish channel.

New Rating

Raymond James upgraded Broadwind Energy from Underperform to Market Perform.

Consensus Recommendation

(SOURCE)

Financials

The company reported the second-quarter financial results on August 7 with the following highlights:

Revenue$56 Million
Net Income($4.15) Million
Cash$8.13 Million

Short Interest

Settlement DateShort InterestAvg Daily Share VolumeDays To Cover
8/15/2012749,011840,1371.000000
7/31/2012352,651576,4711.000000
7/13/2012655,447631,5051.037913

My Analysis

The stock has a $3.25 price target from the Point and Figure chart. There have been four insider buy transactions this year. The short interest shows a substantial increase. The MACD marks an upward trend and for this reason, I would purchase shares with a target price of $3.25.

2. Jazz Pharmaceuticals plc (NASDAQ:JAZZ), a specialty biopharmaceutical company, focuses on the identification, development, and marketing of pharmaceutical products to meet unmet medical needs. Its marketed products include Xyrem, a sodium oxybate oral solution for the treatment of cataplexy and excessive daytime sleepiness in patients with narcolepsy; FazaClo (clozapine, USP) LD and FazaClo HD products, which are orally disintegrating clozapine tablets for the treatment of resistant schizophrenia; Luvox CR extended-release capsules for the treatment of obsessive compulsive disorder; and Prialt, a non-opioid intrathecal analgesic for refractory severe chronic pain.

(click to enlarge)

- The MACD marks a change of upward trend. The stock breaks a bearish channel. RSI is in a good position.

New Rating

Cowen upgraded Jazz Pharmaceuticals from Neutral to Outperform.

Consensus Recommendation

(SOURCE)

Financials

The company reported the second-quarter financial results on August 7 with the following highlights:

Revenue$129.53 Million
Net Income$27.14 Million
Cash$154.54 Million

Short Interest

Settlement DateShort InterestAvg Daily Share VolumeDays To Cover
8/15/20123,878,805851,3004.556331
7/31/20123,839,849503,1397.631786
7/13/20123,957,556526,7297.513458

My analysis

There has been a lot of insider selling in Jazz Pharmaceuticals this year. The stock is trading at a forward P/E of 19.93. I would buy a small speculative position because the stock is bullish and the recent "upgrade" recommendation will help overcome the $54.50 (52 weeks highest).

3. Synacor Inc (NASDAQ:SYNC) provides authentication and aggregation solutions for delivery of online content and services in the United States, the United Kingdom, and the Netherlands. The company delivers solutions through its hosted and managed platform, enabling cable and telecom service providers and consumer electronics manufacturers to provide online content and services to their consumers.

The company's platform allows its customers to package online content and services with their high-speed Internet, communications, television, and other offerings. Its platform features include Website design and development, unified registration and login, billing integration, personalization, video delivery capability, content management system, household management, toolbar, and television listings. The company offers subscriber-based services, including email and calendar solutions; security services, such as anti-virus, firewall and intrusion detection, pop-up blocker, parental controls, and automatic updates. (source)

(click to enlarge)

- The MACD marks a change of downward trend. The stock is in a bearish channel. RSI marks oversold.

New Rating

Citi upgraded Synacor from Sell to Neutral.

Consensus Recommendation

(SOURCE)

Financials

The company reported the second-quarter financial results on August 13 with the following highlights:

Revenue$19.46 Million
Net Income$592k
Cash$10.92 Million

Short Interest

Settlement DateShort InterestAvg Daily Share VolumeDays To Cover
8/15/20122,517,760823,8053.056257
7/31/20122,792,3381,248,8572.235915
7/13/20122,990,4601,291,703

2.315130

My analysis

Short interest has decreased in a month. There have been five insider buy transactions this year. I do not recommend buying shares because the MACD marks a change of downward trend and the stock is in a bearish channel.

*Chart data sourced from stockcharts, all other data sourced from Nasdaq.com and yahoo.com as well as the webs of the previously mentioned companies.

Source: Top 3 Stock Upgrades On September 11

Additional disclosure: Investors buy and/or sell at their own risk. I declare that I may day-trade any stock at any time mentioned in this article. For me "long" is until I sell and few tell you that. I do not "short" stocks and few tell you that too. I also get paid one penny per view from SA and other than being published by SA and my own private stock account, I have zero connection to Wall Street and few tell you that too