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Filed under: Analyst reports, Analyst upgrades and downgrades, Caterpillar (CAT), Boston Scientific (BSX), MasterCard Inc'A' (MA), Analyst initiations

Friedman Billings Ramsey’s Mehdi Hosseini this morning turned negative on the semiconductor equipment sector - and some other related companies in the semiconductor food chain. The downgraded stocks include Applied Materials (AMAT), Teradyne (TER), ASML (ASML), and KLA Tencor (KLAC), along with MEMC Electronic Materials (WFR). The firm also remains cautious on Taiwan Semiconductor (TSM).

Here’s a rundown on there calls on the stocks:

If you thought 2008 was a rotten year for the semiconductor capital equipment sector, wait until you get a load of 2009.

Several analysts today weighed in with revised forecasts for chip industry capital spending for this year, and the prognostications are startling grim. That said, the pundits have mixed views on whether the Street has already discounted the dismal outlook for this year - and whether the time has come to bottom fish in the group.

Like so many other industries today, semiconductor stocks are struggling and capital-equipment suppliers are feeling their pain. Semicap leaders Applied Materials (AMAT), ASML Holding (ASML) and KLA-Tencor (KLAC) have seen their shares drop to multi-year lows. But for ASML, argues Barron's Bill Alpert, this presents an opportunity for patient investors who could ultimately see the stock double as the economy recovers.