http://www.zacks.com/ Zacks.com: Bull of the Day en-us Copyright 2005 Zacks.com Sun, 22 Nov 2009 23:53:00 GMT Sun, 22 Nov 2009 23:53:33 -0600 crotblut@zacks.com(Managing editor) webmaster@zacks.com(Webmaster) http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12804 http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12804 We are upgrading our recommendation on the shares of Principal Financial (<a href=http://www.zacks.com/stock/quote/pfg>PFG</a>) to Outperform. The company's third quarter operating earnings were much ahead of the Zacks Consensus Estimate, driven primarily by the sequential improvement in domestic as well as global equity markets. <p> We believe that Principal's strong franchise within the pension sector, which is aided by its diversification both in terms of products and geography, positions it well to benefit from the gradual recovery of the credit market. However, rising unemployment is reducing the number of participants in existing employee benefit plans. <p> Though we are concerned about higher delinquencies in its commercial mortgage portfolio, we expect the company to benefit from its decent capital level and cost containment measures. Sun, 22 Nov 2009 23:53:01 GMT http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12798 http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12798 We are maintaining our Outperform rating on CPFL Energia (<a href=http://www.zacks.com/stock/quote/cpl>CPL</a>). The company posted in-line results for the third quarter of 2009, despite non-recurring items. <p> The company's outlook for the medium-term remains positive, mainly considering the more relaxed monetary policy in Brazil and the growing demand for electricity, even though there is the still-difficult business environment around the world. <p> Finally, CPL has a solid dividend payout and its valuation appears to be highly attractive, mainly considering the noncyclical nature of the company. Sun, 22 Nov 2009 23:53:02 GMT http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12773 http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12773 NeurogesX (<a href=http://www.zacks.com/stock/quote/ngsx>NGSX</a>) received some very good news this week when the U.S. FDA approved Qutenza for the management of postherpetic neuralgia (PHN). Management will now move forward with preparing for the commercial launch during the first half of 2010. <p> Securing reimbursement and hiring the sales force remain the next biggest hurdles for the company. However, with approval now complete and the financial position solid ($57 million in cash on hand), we remain very position on the NeurogesX story. <p> We recommend accumulating the stock at today's level up to $12 per share. Our rating is Outperform. Sun, 22 Nov 2009 23:53:03 GMT http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12761 http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12761 Sealed Air Corporation (<a href=http://www.zacks.com/stock/quote/See>SEE</a>) reported third quarter 2009 EPS of 38 cents, above the Zacks Consensus Estimate of 33 cents and the prior-year EPS of 28 cents. The company raised its full-year 2009 EPS guidance to a range between $1.37-$1.45. <p> The company expects to continue to realize benefits from its cost reduction and productivity programs in the fourth quarter. Also, the company is witnessing improved market conditions in developing nations. Sealed Air posted double-digit sales increases in some of these markets. <p> Based on the improved outlook, as well as the company's efforts to revitalize its bottom-line, we are upgrading the rating on the stock to Outperform. Sun, 22 Nov 2009 23:53:04 GMT http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12752 http://www.zacks.com/newsroom/commentary/index_pdf.php?id=12752 We are upgrading Infosys (<a href=http://www.zacks.com/stock/quote/infy>INFY</a>) to an Outperform rating with a target price of $57. Through the ongoing economic downturn, the company has invested in Research & Development as well as intellectual property-based solutions. It continues to focus on large deals targeted at organizational transformation where there is a dearth of vendor talent. <p> The company continues to win new customers and manages to keep its order book healthy. It is increasing its presence in the emerging markets of Mexico, Brazil, China and India from where an increasing proportion of revenue can be sourced in the coming years. <p> Finally, its solid balance sheet and cash flow generation provides support to our estimates. Sun, 22 Nov 2009 23:53:05 GMT