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Zacks Bull and Bear of the Day Highlights: FactSet Research, American Italian Pasta, Embraer and Duke Realty.


CHICAGO -- Zacks Equity Research highlights FactSet Research Systems FactSet Research Systems (NYSE: FDS), or simply "FactSet", is a financial information company. Some of its competitors include Bloomberg L.P., Reuters, Thomson Financial, and Capital IQ.  (NYSE NYSE

See: New York Stock Exchange
: FDS FDS Fim-De-Semana (Portugese: weekend)
FDS Federated Department Stores, Inc.
FDS Fiche de Données de Sécurité (Material Safety Data Sheets)
FDS Famicom Disk System
FDS Faculty of Dental Surgery
) as the Bull of the Day and American Italian Pasta Company (NYSE: PLB (Picture Level Benchmark) A benchmark for measuring graphics performance on workstations. The Benchmark Interface Format (BIF) defines the format, the Benchmark Timing Methodology (BTM) performs the test, and the Benchmark Reporting Format (BRF) generates results in ) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Embraer (NYSE: ERJ ERJ Embraer (stock symbol)
ERJ European Rubber Journal
ERJ Embraer Regional Jet
) and Duke Realty (NYSE: DRE DRE
Digital rectal examination.

Mentioned in: Rectal Examination
). 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 FactSet Research Systems (NYSE: FDS). FactSet continues to demonstrate healthy growth as it expands internationally and enhances its offerings through strategic acquisitions. The company's flagship offering, Portfolio Manager Workstation (PMW PMW Pacific Media Watch
PMW Palestine Media Watch
PMW Patmont Motor Werks
PMW Pari-Mutuel Wagering
PMW Passive Microwave
PMW Project Management Workshop
PMW Perfect Magnetic Wall
PMW Program Manager, Warfare (SPAWAR) 
), is a staple among asset managers. We expect these moves to drive growth for the foreseeable future, and therefore maintain our Buy rating and six-month price target of $65.00.

Bear of the Day:

Our Bear of the Day recommendation is for American Italian Pasta Company (NYSE: PLB). Analyzing American Italian Pasta is quite challenging. The company has failed to report earnings for five quarters and could be de-listed from the NYSE after December 31st if the 10-K for fiscal 2005 is not filed with the SEC. The company has lost several Directors and Officers. The company is expected to file the required reports, though at least $60 million in charges will reduce prior period earnings and shareholder equity. Operationally, management has embarked upon a cost reduction and asset rationalization plan that should stabilize operations. The Sell rating is due to its upcoming trading suspension on the NYSE.

Analyst Blog:

The Embraer (NYSE: ERJ) 170/190 line of 70-110 seat jets should continue to be well-received by aviation customers, in our view, partially offset by a growing concern that low-cost carriers plan to add too much capacity too quickly to the global air transport system. Therefore, we anticipate that, over the near-term, Embraer will perform roughly in-line with both the commercial aircraft group and the broader emerging market indices. Accordingly, we maintain a HOLD recommendation on ERJ with a six-month target price of $44. Price appreciation to our near-term valuation target, combined with an approximate $0.324 per share quarterly dividend (before withholding tax The amount legally deducted from an employee's wages or salary by the employer, who uses it to prepay the charges imposed by the government on the employee's yearly earnings.  and depending on future exchange rates), represents annualized annualized

Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared.
 total return potential of 10.4%.

Duke Realty (NYSE: DRE) slightly exceeded our 3rd quarter FFO FFO

See: Funds from operations
 estimates by $0.01 per share. Operations are noticeably improving as rents and occupancies are slowly increasing as office and industrial markets strengthen. 3rd quarter leasing activity was brisk, and Duke is ramping up development to fuel future growth. However, the company is not funding its dividend with operating cash flow Operating cash flow

Earnings before depreciation minus taxes. Measures the cash generated from operations, not counting capital spending or working capital requirements.
, and we do not anticipate any meaningful FFO growth in 2006. There are more attractive investment options in the industrial sector among better positioned peers with better growth profiles. We recommend investors hold the shares for their above average yield, which is now at about 4.5%.

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 In Business, the trading day is the time span that a particular stock exchange is open. For example, the New York Stock Exchange is, as of 2006, open from 09:30AM to 4:00PM. Trading days never take place on weekends. , 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
Date:Dec 21, 2006
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