Zacks Analyst Blog Highlights: Vertex Pharmaceuticals, GlaxoSmithKline, 51job and British Airways.CHICAGO -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Vertex Pharmaceuticals Vertex Pharmaceuticals is a biotechnology company with activities spanning the length of the pharmaceutical product pipeline, from target identification through to clinical trials and marketing. (Nasdaq: VRTX An earlier real time operating system for embedded systems from Mentor Graphics, Wilsonville, OR (www.mentor.com). VRTX was the progenitor of the VxWorks OS from Wind River and was superseded by Nucleus OS. VRTX - Virtual Real-Time Executive. ), GlaxoSmithKline (NYSE NYSE See: New York Stock Exchange : GSK GSK GlaxoSmithKline plc (pharmaceutical company) GSK Glycogen Synthase Kinase GSK Gruppentraining Sozialer Kompetenzen (Germany) GSK Greenland Shark (FAO fish species code) ), 51job (Nasdaq: JOBS) and British Airways British Airways in full British Airways PLC International passenger airline based in London. In 1936 British Airways Ltd. was founded through the merger of three smaller airlines. (NYSE: BAB). See the latest posts to the Analyst Blog by visiting: http://at.zacks.com/?id=2673 Here are highlights from Monday's Analyst Blog: Vertex Risks Remain Vertex Pharmaceuticals (Nasdaq: VRTX), formed in 1989, is a biotechnology company engaged in the development and commercialization of novel, small molecule drugs for the treatment of viral diseases viral diseases Diseases caused by viruses. Long-term immunity usually follows viral childhood diseases (see chickenpox). The common cold recurs into adulthood because many different viruses cause its symptoms, and immunity against one does not protect against others. , inflammation, autoimmune diseases Autoimmune diseases A group of diseases, like rheumatoid arthritis and systemic lupus erythematosus, in which immune cells turn on the body, attacking various tissues and organs. Mentioned in: Complement Deficiencies, Premature Menopause and cancer. The company develops these drugs both independently and in collaboration with other pharmaceutical companies. We are pleased with the progress of the pipeline and recent prescription trends in the company's HIV HIV (Human Immunodeficiency Virus), either of two closely related retroviruses that invade T-helper lymphocytes and are responsible for AIDS. There are two types of HIV: HIV-1 and HIV-2. HIV-1 is responsible for the vast majority of AIDS in the United States. franchise drugs. However, profitability is a long way away and significant risks remain. Our price target is $40 per share. The HIV drug Lexiva, approved in November 2003, continues to provide meaningful royalties to Vertex. The drug, sold by GlaxoSmithKline (NYSE: GSK), has a convenient dosing and favorable metabolic profile relative to first-generation protease inhibitors Protease Inhibitors Definition A protease inhibitor is a type of drug that cripples the enzyme protease. An enzyme is a substance that triggers chemical reactions in the body. such as Agenerase, Crixivan, and Viracept. Recent prescription trends indicate that Lexiva/Agenerase has a combined market share of about 10%. Glaxo and Vertex are committed to increasing this market share through clinical data something we are skeptical can achieve meaningful return. Strong Recruiting at JOBS Continues 51job's (Nasdaq: JOBS) revenue growth rate fell to 12.5% in the third quarter of 2006, due to increasing competition in the China s recruiting market. Still, 51job continues to have the highest brand recognition both in the online and offline recruiting market in China. Moreover, China's prosperous economy will continue to boost the recruiting market. Furthermore, its alliance with Recruit can help 51job explore further opportunities within the human resources industry and potentially new information services See Information Systems. businesses in China. Overall, we believe 51job is well positioned to leverage this market opportunity in China. Therefore, we are maintaining the Buy rating for the stock. Fair Value for British Airways We are maintaining our Hold recommendation on British Airways (NYSE: BAB) after the company's third quarter results. Oil prices have come down recently, and that will lead to lower jet fuel costs. This is a positive for British Airways because jet fuel costs are one of the most important profit drivers for an airline. As a result, we expect the company to produce higher profits in the coming quarters. However, at the stock's current valuation, BAB shares are fairly valued, in our view. See the latest posts to the Analyst Blog by visiting http://at.zacks.com/?id=2645 About Zacks Equity Research Zacks Equity Research provides the best of quantitative and qualitative analysis Qualitative Analysis Securities analysis that uses subjective judgment based on nonquantifiable information, such as management expertise, industry cycles, strength of research and development, and labor relations. to help investors know what stocks to buy and which to sell for the long-term. Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons. Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today by visiting http://at.zacks.com/?id=2674. About Zacks Zacks.com is a property of Zacks Investment Research Zacks Investment Research A firm that compiles earnings estimates and brokerage firm investment recommendations for thousands of publicly traded firms. , Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros. |
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