UPDATE: Stifel Nicolaus Upgrades DreamWorks Animation SKG to Hold; Negative Catalysts Likely Left Behind

Stifel Nicolaus upgraded DreamWorks Animation SKG DWA from Sell to Hold. Stifel Nicolaus analyst Kevin Lee Hon Siong commented, "We are upgrading our rating on DreamWorks Animation from Sell to Hold. The upgrade is predicated on tracking for "Croods" (at $45-50mn) which is likely better than expected, as well as write-downs in 4Q12 which enhance operating leverage in 2H13 and into F2014. While we continue to see the stock as expensive, we believe that the valuation floor, as evidenced by the relatively muted response following 4Q12 earnings, has moved higher. We believe that many of the negative catalysts which we have been speaking about for a number of years are behind us and largely factored into views." DreamWorks Animation SKG closed at $17.68 on Tuesday.