Ahead of the Bell: EnergySolutions upgraded

Analyst Alex Rygiel raised his rating to "Outperform" from "Market Perform" but lowered his target price to $14 from $26. The stock, which closed at $10 on Tuesday, has traded between $8.50 and $28.45 during the past year.

Rygiel said to be conservative, his firm has removed large revenue and profit components from its 2008 and 2009 estimates. However, he said it appears to be a good time to buy EnergySolutions shares as investors are not assuming future catalysts in their valuation.

The current price has already discounted for near-term uncertainty surrounding a yet-to-be-issued Nuclear Regulatory Commission ruling and short-term setbacks that in most instances remain long-term opportunities, he said.

"The recent selloff (share price down 50 percent in seven weeks) places the current valuation at a point that, in our opinion, fully reflects our lowered estimates," Rygiel wrote in a client note.