UPDATE: Jefferies Upgrades Echelon to Buy

Jefferies is out with its report today on Echelon ELON, upgrading ELON from Hold to Buy. In its report, Jefferies writes, "We upgrade ELON based on the following: 1) China partnership is new competitive differentiator; 2) best expected topline growth in smart grid for 2012; and 3) limited downside risk at current levels. We modestly increase our PT to $11 on greater conviction in 2012 targets. We are positively biased ahead of earnings: the stock may see near term choppiness in a weak tape, but investors should begin to see 2012 as an inflection point." Shares of ELON closed Wednesday at $8.10, up 2.14% from Tuesday's close.