Financial ratings wrap-up: AT&T, Alcatel-Lucent, American Tower and more

The following list includes ratings changes and financial information for wireless companies announced this week by investment-banking and financial-services firms.
Carrier
–Credit Suisse First Boston lowered its estimates and price target on AT&T on mixed news coming from the company. The new price target is $34, down from $36. The firm said its checks indciate better-than-expected wireless additions resulting from increased interest in the iPhone and other smartphone devices, but wireline is facing increased pressure. The firm cut its 2008 EPS estimate to $2.92 and its 2009 EPS estimate to $3.10.
Handset and infrastructure vendors
–RBC Capital Markets downgraded Alcatel-Lucent to underperform from sector perform and lowered its price target on the company to $3 from $5 based on continued credit turbulence, signs of increased potential for economic slowdown overseas and increased competition for traditional telecom gear.
–RBC Capital Markets downgraded Ericsson to sector perform and reduced its price target to $12 from $16. The firm said it believes the situation at Sony-Ericsson is continuing to deteriorate.
–RBC Capital markets downgraded Nortel Networks to underperform from sector perform and lowered its price target to $2 from $4 on macro economic concerns and extra carrier spending scrutiny.
Other
–Barclays Capital initiated coverage on F5 Networks with an overweight rating and a $30 price target. The firm said F5 is well positioned for strong data center growth next year and beyond. Oppenheimer lowered its price target on the company to $27 from $30 and reduced its 2009 estimates.
–Barclays Capital lowered its price target on three tower companies. The firm lowered American Tower to $49 from $51 and dropped its 2009 EPS estimate on the company to 69 cents from 73 cents. It lowered Crown Castle to $44 from $49 but increased its 2008 EPS estimate to 15 cents from 4 cents and its 2009 EPS estimate to 22 cents from 15 cents. And it cut its price target on SBA Communications to $38 from $47 and cut its 2009 EPS estimate on the company to a loss of 9 cents rather than a loss of 7 cents. The moves come in response to a recent pullback in tower stocks, which the company said it believes is driven by concerns about the level of leverage in the tower sector.