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Zacks Bull and Bear of the Day Highlights: CoTherix, Solectron Corporation, Infosys Technologies and CSX Corporation.


CHICAGO -- Zacks Equity Research highlights CoTherix, Inc. (Nasdaq: CTRX CTRX Contractions (labor & delivery) ) as the Bull of the Day and Solectron Corporation (NYSE NYSE

See: New York Stock Exchange
: SLR (1) (Scalable Linear Recording) A line of magnetic tape drives from Tandberg Data that evolved from the QIC Data Cartridge format. See QIC.

(2) (Single Lens Reflex) A camera that uses the same lens for viewing and shooting.
) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Infosys Technologies (Nasdaq: INFY INFY Infosys Technologies Ltd (stock symbol) ) and CSX Corporation CSX Corporation NYSE: CSX was formed in 1980 by the merger of Chessie System and Seaboard Coast Line Industries and eventually merged the various railroads owned by those predecessors into a single line that became known as CSX Transportation.  (NYSE: CSX CSX Chessie Seaboard Multiplier (railroad transportation company)
CSX Cayman Islands Stock Exchange
CSX Changsha, China (Airport Code)
CSX Cardiac-Specific Homeobox
CSX Seaboard Coastline Railroad
). Full analysis of all four stocks is available at http://at.zacks.com/?id=2676.

Here is a synopsis of all four stocks:

Bull of the Day:

Our Bull of the Day recommendation is for CoTherix, Inc. (Nasdaq: CTRX), a biopharmaceutical company focused on licensing, developing and commercializing therapeutic products for the potential treatment of cardiopulmonary cardiopulmonary /car·dio·pul·mo·nary/ (kahr?de-o-pool´mah-nar-e) pertaining to the heart and lungs.

car·di·o·pul·mo·nar·y
adj.
Of, relating to, or involving both the heart and the lungs.
 and other chronic diseases. The company's first product, Ventavis (iloprost) Inhalation Solution, launched in March 2005 for the treatment of pulmonary arterial hypertension (PAH PAH, PAHA aminohippuric acid.

PAH
abbr.
para-aminohippuric acid


PAH 1 Polycyclic aromatic hydrocarbon, see there 2. Pulmonary artery HTN
). We believe the drug offers significant advantages over similar intravenous (IV) drugs in the market. The company also recently in-licensed rho kinase inhibitor, Fasudil, for development in PAH and stable angina stable angina Cardiology Chest pain that may extend regionally due to ↓ myocardial blood flow Etiology CAD with stenosis, ↑ blood flow to heart–exercise, heavy meals, stress; other causes of angina include coronary artery spasm–Prinzmetal's . We continue to be buyers of the stock at this level.

Bear of the Day:

Our Bear of the Day recommendation is for Solectron Corporation (NYSE: SLR). While Solectron's 'Lean' manufacturing initiatives should help keep operating expenses Operating expenses

The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted.
 under control, current operating margins are well below its peer group, a condition that is unlikely to change without revenue growth. Until Solectron is able to demonstrate revenue growth through the ramp of new projects, we believe the stock will continue to underperform the market. We therefore rate the company Sell with a six-month price target of $3.00.

Analyst Blog:

We expect Infosys Technologies (Nasdaq: INFY) to report an in-line quarter when the company reports its first-quarter results in early July. Recent strong results with ERP vendors should translate into strong revenues for INFY in the quarter, but we remain concerned with the utilization rate at the company, as it hires new employees in anticipation of new contract wins. Additionally, wage inflation in India is a real concern, as is the ability to hire and train capable employees, which is causing INFY's margins to come under pressure. We continue to rate shares of INFY a Hold, and have slightly lowered our EPADS EPADS Earnings Per Average Diluted Share  estimates for the shares due to our concern of wage inflation.

We are continuing our Buy recommendation on CSX Corporation (NYSE: CSX), as well as our $74 target price. CSX is expected to report second quarter results on July 27, 2006. We are maintaining our EPS (Encapsulated PostScript) A PostScript file format used to transfer a graphic image between applications and platforms. EPS files contain PostScript code as well as an optional preview image in TIFF, WMF, PICT or EPSI, the latter being an ASCII-only format.  estimates at $4.25 and $4.60 for 2006 and 2007, respectively. Better productivity, lower interest expense, and continued strength in the domestic economy are expected to offset significantly higher fuel costs as hedges roll off and an increase in the effective tax rate. First quarter EPS of $1.06 came in well above our $0.82 estimate and was up 54% from the year-ago quarter on strong revenue growth. We believe CSX's $0.52 annual dividend, which provides an 0.8% yield, is safe.

Get the full analysis of all four stocks by going to http://at.zacks.com/?id=2649.

About the Bull and Bear of the Day

Every day, the analysts at Zacks Equity Research select two stocks that are likely to outperform (Bull) or underperform (Bear) the markets over the next 3-6 months.

About the Analyst Blog

Updated throughout every trading day, the Analyst Blog provides analysis from Zacks Equity Research about the latest news and events impacting stocks and the financial markets.

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=2677.

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 by going to http://at.zacks.com/?id=2650.

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

(a) The Zacks Performance Rank performance is the total return of equal weighted simulated portfolios consisting of those stocks with the indicated Zacks Rank net of fees. Results reflect the reinvestment of dividends and other earnings. Simulated results do not represent actual trading and may not reflect the impact that economic and market factors might have had on decision-making if an adviser were actually managing a client's money.

(b) The S&P 500 Index ("S&P 500") is a well-known, unmanaged index of the prices of 500 large-company common stocks selected by Standard & Poor's. The S&P 500 includes the reinvestment of all dividends, no transaction costs Transaction Costs

Costs incurred when buying or selling securities. These include brokers' commissions and spreads (the difference between the price the dealer paid for a security and the price they can sell it).
, and represents the gross returns before management fees.

Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
COPYRIGHT 2006 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2006, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Geographic Code:1USA
Date:Jul 3, 2006
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