Zacks Bull and Bear of the Day Highlights: Intevac, OSI Pharmaceuticals, Developers Diversified and Southern Copper.CHICAGO -- Zacks Equity Research highlights Intevac, Inc. (Nasdaq: IVAC IVAC Islington Voluntary Action Council (England, UK) IVAC Insert Valid Access Card (satellite TV hacking) IVAC International Video & Audio Convention IVAC Idle Air Control Valve ) as the Bull of the Day and OSI Pharmaceuticals OSI Pharmaceuticals, Inc. is an American pharmaceutical company based in Long Island, New York with facilities in Colorado, New Jersey and the United Kingdom. They specialize in the discovery and development of molecular targeted therapies, and are listed in the NASDAQ , Inc. (Nasdaq: OSIP OSIP Open Source Integrated Portfolio OSIP Open Sip (session initiation protocol) OSIP Ohio Statewide Imagery Program OSIP Operational Safety Improvement Program OSIP Operational Suitability Improvement Program (aviation) ) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Developers Diversified (NYSE NYSE See: New York Stock Exchange : DDR (Double Data Rate) Refers to an SDRAM memory chip that increases performance by doubling the effective data rate of the frontside bus. For more details, see SDRAM. DDR - Double Data Rate Random Access Memory ) and Southern Copper (NYSE: PCU PCU - PCI Configuration Utility ). 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 Intevac, Inc. (Nasdaq: IVAC). Intevac dominates the market for thin-film disk sputtering A popular method for adhering thin films onto a substrate. Sputtering is done by bombarding a target material with a charged gas (typically argon) which releases atoms in the target that coats the nearby substrate. It all takes place inside a magnetron vacuum chamber under low pressure. equipment. The transition to perpendicular recording A method of digital recording on a magnetic disk in which the bits are in a vertical arrangement instead of horizontal in order to take up less space. Also called "vertical recording," perpendicular recording is expected to materialize with areal densities exceeding 200 gigabits per bodes well for the company's next-generation 200 Lean thin-disk sputtering equipment. Intevac has sufficient backlog to support strong growth through the first half of 2007. We, therefore, maintain our Buy rating with a $30.00 price target. Bear of the Day: Our Bear of the Day recommendation is for OSI Pharmaceuticals, Inc. (Nasdaq: OSIP). Although we believe that Tarceva will have meaningful use as a targeted cancer therapy for non-small cell lung and pancreatic cancer pancreatic cancer Malignant tumour of the pancreas. Risk factors include smoking, a diet high in fat, exposure to certain industrial products, and diseases such as diabetes and chronic pancreatitis. Pancreatic cancer is more common in men. , competition is emerging from several new candidates. The Eyetech acquisition was a financial disaster, and Macugen continues to struggle since the approval of Lucentis. A year after the merger, management now intends to exit the eye business through a divestiture or partnership. In the mean time, Macugen will continue to be a financial drag for OSI (1) (Open System Interconnection) An ISO standard for worldwide communications that defines a framework for implementing protocols in seven layers. Control is passed from one layer to the next, starting at the application layer in one station, proceeding to the . We see little reason to own the stock. Our target is $30. Analyst Blog: Leasing activity remains high and Developers Diversified (NYSE: DDR) is generating strong quarter-over-quarter rent increases on new leases. The company's valuation is high after a 30% run up in the past year. DDR still has exposure to significant amounts of floating rate debt, which could be a drag on Verb 1. drag on - last unnecessarily long drag out last, endure - persist for a specified period of time; "The bad weather lasted for three days" 2. earnings in the near term. DDR will be acquiring a private REIT REIT See: Real Estate Investment Trust REIT See real estate investment trust (REIT). , Inland Real Estate Trust, for $6.2 billion. The acquisition is a good strategic fit, although the acquisition comes fully priced and the company is counting on continued growth in consumer spending to make the acquisition profitable. We do not believe consumers will continue to spend as they have over the past couple of years. Housing values are cracking, which will take away discretionary spending dollars, and could negatively affect retail focused REITs. We have a positive outlook on Southern Copper's (NYSE: PCU) profit picture based on the favorable global demand for copper. We think the company is well positioned to expand production amidst higher ore grades at its mines. Further, the company has undertaken various exploration projects, which will enhance the production capacity, once operational. This, in conjunction with high copper prices, provides a favorable backdrop for revenue. Based on these positive fundamental factors, we continue to reiterate tour Buy rating with a six-month target price of $57.00. 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. 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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. |
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