Zacks Bull and Bear of the Day Highlights: Cognos, Central Garden & Pet Company, Dr. Reddy's and Laureate Education.

CHICAGO -- Zacks Equity Research highlights Cognos, Inc. (Nasdaq: COGN) as the Bull of the Day and Central Garden & Pet Company (Nasdaq: CENT) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Dr. Reddy's Laboratories, Ltd. (NYSE: RDY) and Laureate Education (Nasdaq: LAUR). 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 Cognos, Inc. (Nasdaq: COGN). In Q3, revenue was $247.8 million, up 17% year over year and exceeding our estimate of $241 million. License revenue was $94.0 million, up 24% year over year. Product support revenue increased 14% year over year, and Services revenue rose 9% year over year. We are maintaining our Buy rating and have set our price target to $45, as Cognos 8 gains traction in the marketplace.

Bear of the Day:

Our Bear of the Day recommendation is for Central Garden & Pet Company (Nasdaq: CENT). Management is committed to expanding the operating margin to 10% by fiscal 2008 through a positive mix shift towards higher margin products, the ongoing consolidation of existing facilities, and the optimization of the supply chain. However, higher grain costs and increased interest expense (from a more leveraged balance sheet from recent acquisitions) are expected to impact profitability by $0.34 to $0.42 per diluted share in fiscal 2007. Also, the entry of a new competitor, Spectrum Brands, into the marketplace will bring addition challenges. Therefore, the company is downgraded to a Sell.

Analyst Blog:

Dr. Reddy's Laboratories, Ltd. (NYSE: RDY) is a global pharmaceutical company located in Hyderabad, India. RDY produces active pharmaceutical ingredients (API), finished dosage forms, and branded and generic pharmaceutical products for the global market. The company has a healthy pipeline and is an active participant in terms of international product filings. We are optimistic about the company's growth prospects, which should improve thanks to several products going off-patent during the next two years. We maintain our Buy recommendation with a target price of $19.

Laureate Education (Nasdaq: LAUR) possesses an unrivaled portfolio of universities, strong presence in the online educational segment, and favorable demographic trends that have increased the demand for higher education. However, continued operating margin pressure from opening new campuses and acquisitions, along with higher general & administrative expenses, is concerning. The Hold rating is maintained.

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.

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