Morgan Stanley upgrades Level 3 Communications (NYSE:

) to Overweight from Equal-weight on strong secular demand. Morgan Stanley says, "Our above-consensus estimates are driven by top-line acceleration, operating leverage and synergies. We expect a 47% EBITDA growth over two years, with FCF and net income by late 2012 / 2013." LVLT closed at $20.89 a share on Wednesday.