UPDATE: Sterne Agee Downgrades Baker Hughes to Neutral on Weak North American Outlook

Sterne Agee downgraded Baker Hughes Incorporated

from Buy to Neutral while maintaining a $46.00 price target. Sterne Agee commented, "Given our expectations for only modest improvement in U.S. and Canadian activity over the next several quarters, we do not expect material margin improvement in North America until at least the second half of 2013, and more likely 2014. On a positive note, it appears BHI's cost-cutting and efficiency initiatives will help partially offset the weak utilization and pricing environment." Baker Hughes closed at $43.01 on Monday.