Palm shares graded from 'sell' to 'hold'

[From Chris Chaplin] Handset makers Research In Motion Limited (RIMM: sentiment, chart, options) and Palm Inc. (PALM: sentiment, chart, options) were both graced with analyst upgrades, but only RIMM has been able to capitalize on the bullish note. At midday, the BlackBerry parent was up by more than 10%, while Palm shares are hovering near a fractional loss.

Meanwhile, Palm scored a less-enthusiastic upgrade from Standard & Poor's Equity Research. The firm upped its rating on the stock from "sell" to "hold," and cited Palm's low valuation as the impetus for the move. S&P maintains a cautious price target of $6.50 on PALM, which closed yesterday at $5.95." Schaeffer's after the jump.