WALL STREET JOURNAL

The Wall Street Journal’s “Smartmoney Stock Screen” looks at eight companies whose valuations make them ripe to buy, and they also may be in the sites of corporate buyers. The big eight include Asbury Automobile (ABG), Crane (CR), Scholastic (SCHL) and Scotts Miracle-Gro (SMG)…The Wall Street Journal’s Walter Mossberg said in the “Personal Technology” column he cannot recommend Apple’s MobileMe, as it has “too many flaws to keep its promises”…The Wall Street Journal also speculated that the collapse this week of SemGroup LP, which is the parent of SemGroup Energy Partners (SGLP), may have played a role in the 14% drop in crude oil over the past 10 days…FINANCIAL TIMES: In a move that could take advantage of the gap in the financing markets, Goldman Sachs (GS) raised $10B to invest in loans backing leveraged buyouts. The fund will reportedly buy senior loans, the Financial Times reported…NEW YORK POST: Former American International Group (AIG) CEO Hank Greenberg is reportedly in settlement talks with New York Attorney General Andrew Cuomo over charges that Greenberg improperly inflated corporate books to show improved profits, the New York Post said…

Goldman to launch new fund for financing buyouts-FT
Goldman Sachs (GS) has created a $10B fund which will buy loans that finance leveraged buyouts. The investment bank is trying to exploit a void in the financing markets caused by the credit crisis. The new fund will enable Goldman to finance deals on its own.

Trading revenue concerns affect CME Group and IntercontinentalExchange-WSJ
The effects of the credit crisis have come to the Chicago Mercantile Exchange’s CME Group (ICE) and the IntercontinentalExchange (NMX), as investors are concerned that the exchanges’ trading revenue will be hurt because of fewer market bets by banks and hedge funds, according to the Wall Street Journal’s “Heard on the Street”. This despite record high trading in commodities. Regulatory concerns are also playing a role.

AMZN: Recommend selling the relief rally, reiterate Sell@AMTR
AmTech recommends selling the relief rally in AMZN shares as they expect weaker consumer spending in 2H08 and see significantly higher risk to top and or bottom-line shortfalls. Target reduced to $60 from $65.

AMZN: Company’s profitability level does not justify valuation@GABE
After Amazon reported that its Q2 revenue jumped 41%, Gabelli still finds the company’s valuation unattractive, and they maintained their Hold rating.

Diamond Offshore-DO upgraded to Buy from Add@LYON
Calyon upgraded DO following the strong Q2 report. Target $156.

Baidu.com-BIDU: Target to $440 from $420 on strong top-line growth@SUSQ
Shares are Positive rated.

U.S. equity futures continue to point to a lower open

Oil prices have edged up this morning after shedding nearly $4 a barrel yesterday because of concerns that high fuel prices are dampening demand for the world’s biggest energy consumer. A weekly report from the U.S. Energy Department’s Energy Information Administration showed that gasoline demand over the four weeks ended July 18 was 2.4% lower than a year ago, offering further evidence that Americans are cutting back on fuel consumption. Oil currently is up 67 cents to $125.11.

Baidu.com-BIDU: View Q3 guidance as conservative@PACS
Pacific Crest believes BIDU’s growth in Q2 was balanced and sustainable and would be buyers of the stock in anticipation of Q3 upside given the conservative guidance. The firm maintains an Outperform rating on the stock.

Russia will supply to Iran advanced anti-aircraft systems-Reuters

Reuters reports that Iran will receive S-300 missile batteries, an advanced Russian-made anti-aircraft system, by the end of 2008. Senior Israeli defense sources say the system could help fend off strikes against its nuclear facilities. One source believes the first delivery may occur as early as September, though it may take up to 12 months for the missile batteries to be deployed an operable.

CFTC to announce enforcement case related to national crude oil probe later Thur
Reuters is reporting that the CFTC will announce enforcement action related to national crude oil probe later on Thursday.

Qualcomm-QCOM: Continue to recommend shares despite strength@FBCO
Credit Suisse said QCOM is very under-owned and believes the stock is going to the $70’s. Shares are Outperform rated.

Qualcomm-QCOM: Settlement with NOK a huge win@COWN
Cowen said QCOM’s settlement with NOK is a huge win and removes a major barrier to shares moving higher. The firm said the deal is worth approximately 8c a quarter to QCOM.