All Star Analysts Portfolio Highlights: Digene Corporation, Flextronics, Lowe's and Nextel.CHICAGO -- Zacks.com just released its latest additions and deletions to the coveted cov·et v. cov·et·ed, cov·et·ing, cov·ets v.tr. 1. To feel blameworthy desire for (that which is another's). See Synonyms at envy. 2. To wish for longingly. See Synonyms at desire. All Star Analyst portfolio. This exclusive portfolio represents all stocks with a Strong Buy rating from at least five analysts with a 5 Star All Star ranking. These are the brokerage analysts whose stock recommendations proved to be the most profitable for investors. In 2003 this portfolio gained +46.6% nearly doubling the rise of the S&P 500. The members on the exclusive list are: Digene Corporation (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :DIGE DIGE Differential In-Gel Electrophoresis DIGE Direct-Injection Gasoline Engine ), Flextronics (NASDAQ:FLEX), Lowe's Companies, Inc. (NYSE NYSE See: New York Stock Exchange :LOW) and Nextel Communications Nextel Communications, styled NEXTEL, (Former NASDAQ: NXTL) which is now known as the Sprint Nextel Corporation was a telecommunications firm based in the United States. Known for providing a nation-wide mobile communications system. (NASDAQ:NXTL). View the entire list of stocks on the All Star Analyst portfolio at http://at.zacks.com/?id=510 Here is a synopsis of why these stocks are on the All Star Analysts Portfolio: Digene Corporation (NASDAQ:DIGE) develops, manufactures and markets proprietary DNA DNA: see nucleic acid. DNA or deoxyribonucleic acid One of two types of nucleic acid (the other is RNA); a complex organic compound found in all living cells and many viruses. It is the chemical substance of genes. and RNA RNA: see nucleic acid. RNA in full ribonucleic acid One of the two main types of nucleic acid (the other being DNA), which functions in cellular protein synthesis in all living cells and replaces DNA as the carrier of genetic testing systems for the screening, monitoring and diagnosis of human diseases -- with a focus on women's cancers and infectious diseases infectious diseases: see communicable diseases. . Last month the company reported record financial results for the fourth quarter and year ended June 30, 2004. For the fiscal 2004 fourth quarter, total revenue increased +36% to $25.9 million from $19.1 million in the comparable fiscal 2003 quarter. Net income was $17.4 million, or 83 cents per diluted share, versus $0.3 million, or 1-cent per share, in the comparable fiscal 2003 quarter. Digene also announced that for the fiscal 2005 first quarter ending September 30, 2004, the company expects total revenues to be between $26 million and $28 million. For the fiscal year ending June 30, 2005, Digene expects total revenues to be between $125 million and $130 million with gross margin of approximately 80%. Income before income taxes for the fiscal year ending June 30, 2005 is projected to be at least $15 million. The solid financials and work that the company has been doing in the DNA and RNA field has caught several top All Star analyst's attention leading to their recommendation of the stock to investors. Flextronics (NASDAQ:FLEX) is the leading electronics manufacturing services Electronic manufacturing services (EMS) is term used for companies that design, test, manufacture, distribute and provide return/repair services for electronic component and assemblies for original equipment manufacturers (OEMs). (EMS) provider focused on delivering operational services to technology companies. Flextronics recently announced that it will report second quarter results on Monday, October 25, 2004. In July, Flextronics announced that net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight for the first quarter were $3.88 billion, representing an increase of $773.7 million, or +25% over the June 2003 quarter. Excluding restructuring and other charges, net income for the first quarter increased 283% to $78.3 million, or 14 cents per diluted share, compared with $20.4 million, or 4 cents per diluted share in the year ago quarter. The quarterly results reflect continued industry-leading working capital management, with a cash conversion cycle of 19 days and inventory turns in excess of 11 times. In addition, Flextronics generated approximately $166 million in cash flow from operations Cash flow from operations A firm's net cash inflow resulting directly from its regular operations (disregarding extraordinary items such as the sale of fixed assets or transaction costs associated with issuing securities), calculated as the sum of net income plus noncash expenses in the first quarter. This positive momentum makes it easy to see why Flextronics has caught the attention of several All Star analysts. Lowe's Companies, Inc. (NYSE:LOW) is the world's second-largest home improvement retailer. The economy kept rolling along in the second quarter, evidenced by Lowe's record numbers. Recently, the company reiterated its estimates for the third quarter. In an update to current sales and earnings trends, the company indicated it remains comfortable with its previous guidance of 3 to 4% comparable store sales growth and earnings per share of 65 cents to 66 cents for the third quarter of 2004, and approximately +6% comparable store sales growth and earnings per share of $2.69 to $2.71 for the fiscal year. Previously, the company reported net earnings of $704 million for the quarter ended July 30, 2004, a +17.9% increase over the same period a year ago. Diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of increased +18.7% to 89 cents from 75 cents in the second quarter of 2003. Sales for the quarter increased +17.3% to $10.2 billion, up from $8.7 billion in the second quarter of 2003. Comparable store sales for the second quarter also increased +5.1%. Lowe's stated that robust housing turnover, record home ownership, attractive mortgage rates and improving consumer confidence highlighted a solid performance in the second quarter where their stores delivered record earnings. Lowe's and several All Star Analysts believe this company is uniquely positioned to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. the growth of the home improvement market. Nextel Communications (NASDAQ:NXTL) is a leading provider of fully integrated, wireless communications wireless communications System using radio-frequency, infrared, microwave, or other types of electromagnetic or acoustic waves in place of wires, cables, or fibre optics to transmit signals or data. services and has built the largest guaranteed, all-digital, wireless network in the country. Nextel will host its third-quarter 2004 financial results conference call with its senior management on October 22nd. In July, the company announced strong financial and operating results for the second-quarter 2004, including record revenue, operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. before depreciation and amortization (OIBDA OIBDA Operating Income Before Depreciation & Amortization ) and net income. Second-quarter 2004 income was $1.3 billion, or $1.17 per share, up significantly from last year's second-quarter income of $281 million, or 27 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. . Second-quarter 2004 income includes a net tax benefit of $726 million, or 65 cents per share, resulting from the release of a significant portion of the accumulated net operating loss operating loss The excess of operating expenses over revenue. As with operating income, operating losses exclude revenues and expenses from operations that are not considered a regular part of the business. Also called deficit. Compare operating income. valuation allowance and an expense of $34 million, or 3 cents per share from the retirement of convertible debt during the quarter. Adjusting for these two items, second-quarter income was $608 million, or 55 cents per share, up +111% from last year's adjusted second-quarter income of $288 million, or 28 cents per share. Second-quarter results reflect continued progress on multiple fronts and the company believes they are on track to meet or exceed their 2004 guidance. With such positive results, it is clearer than ever that Nextel has the momentum to continue an upward climb it began last month. Discover all the current All Star Analyst rankings and top analyst recommendations at http://at.zacks.com/?id=511 About Zacks All Star Analyst Survey Do you want to know which brokerage analysts are the best in their field and what stocks they're recommending today? Find out with the Zacks All Star Analyst survey. This exclusive survey, created with Fortune Magazine, reveals the "Best-of-Breed" brokerage analysts. They are the select group of winners from the universe of brokerage analysts - the ones who consistently beat the street - the few you should be following now. Visit the Zacks All Star Survey to find the best analysts and their top stock recommendations at http://at.zacks.com/?id=512 Top recommendations from All Star Analysts Highlighted in FREE Investment Newsletter Each week, Zacks.com highlights investment insight and favorite recommendations from All Star Analysts and other leading investment experts. This is all part of our FREE e-mail See Internet e-mail service. newsletter, "Profit from the Pros." The only way to get these powerful insights is with a FREE subscription to the "Profit from the Pros" investment newsletter. 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