UPDATE: Stifel Nicolaus Upgrades Five Star Quality Care to Buy

Stifel Nicolaus is out with its report today on Five Star Quality Care FVE, upgrading FVE to Buy. In a note to clients, Stifel Nicolaus writes, "FVE shares are down 39% from their 2011 intraday high of $8.95 reached on 4/6/11 versus down 3.6% for S&P 500. Sector-wide concerns about the impact of higher unemployment and weaker housing market on senior housing occupancy and the company's decision to complete a common equity offering at $5 per share in a weak market contributed to the sell-off. We see a trading opportunity back to at least $7 per share (28% upside potential from the company's current share price)." At the time of posting, shares of FVE were trading pre-market at $5.40, down 1.10% from Wednesday's close.