UPDATE: Bank of America Upgrades Level 3

According to a research report published earlier today, Bank of America has upgraded Level 3 Communications LVLT from Neutral to Buy. In the report, Bank of America said, “We think that Level 3 represents the best risk/reward in our alternative carrier coverage universe with 4:1 upside/downside risk based on our updated Bull/Base/Bear analysis. Quarterly results will likely drive the stock as Level 3 has developed into a show me story. Core Network Services revenue growth, operating leverage, and synergy realization, are the primary quarterly catalysts. We risk being early with our upgrade as quarterly results can be uneven, but cautious consensus estimates protect against quarterly result shortfalls, in our view.” Bank of America maintains its $37.50 PT on Level 3, which closed yesterday at $24.93.