div style="text-align: justify;"Sanford Bernstein is out downgrading span style="font-weight: bold;"American Intl Group (NYSE:AIG)/span to Underperform from Market Perform and maintaining their $10 tgt.br /br /Firm notes there are no changes to their thinking since their Q2 earnings writeup on August 10. Therefore, the downgrade is strictly a reaction to the big run up in AIG's stock price.br /br /Using their 3-part valuation model, Sanford can examine why they think AIG's current stock price allows very little chance for uncertainty, and fails to corporate considerable downside risk potential.br /br /span style="font-weight: bold;"− AIG's Q2 end book value per share to holders of common equity, after all Government stakes and support are eliminated, was $21.80./span They are using an estimated year-end book value per share of $14.30 as their starting assumption for other calculations. This amount included an announced charge of $5bn for Q3 as AIG accelerates amortization of its remaining ...

div style="text-align: justify;"JP Morgan is upgrading span style="font-weight: bold;"SLM Corp (NYSE:SLM)/span on a long-term view that its transition to primarily a loan servicer, as opposed to a lender, will lower interest rate and funding risks, thus improving earnings visibility. Firm emphasizes they are taking a longer view on this call, but with the successful inception of Straight-A funding greatly improving the liquidity profile and the recent award of the ED servicing contract, span style="font-weight: bold;"they think SLM is currently trading at about 50% of their conservative DCF estimate of $15/span. As such, they are upgrading the stock to OW (a 6 to 12-month rating), and setting a YE09 price target of $12, a 20% discount to our estimated DCF value.br /br /span style="font-weight: bold;"FFEL portfolio run-off alone worth $7.60/share./span SLM's $140B+ FFEL book is already in run-off, as SLM is expected to sell its ECASLA loans to ED this year ...