Wallace Computer Services heats up

Shares of Wallace Computer Services (NYSE: WCS) moved up 1 1/2, or 6 percent, to 25 1/4 Thursday, one day after meeting analysts' estimates in its third quarter. Jefferies & Co. rewarded it by upgrading the stock from an "accumulate" rating to "buy."

In the quarter, Wallace earned $20.5 million, or 49 cents a share, on sales of $384.7 million.

First Call consensus expected the maker of office-related hardware and software products to earn 49 cents a share in the quarter.

In the year-ago quarter, it made $18.1 million, or 42 cents a share, on sales of $375.6 million.

Company officials said it will report earnings of 43 cents to 48 cents a share in the fourth quarter and between $1.77 a share to $1.82 a share in the fiscal year, both well within most analysts' estimates.

The stock surged to a high of 27 1/4 in January after falling to a low of 15 7/16 in September.

Both analysts following the stock rate it either a "buy" or "strong buy.">