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Another Win for Mylan – Analyst Blog

Zacks Market Commentaries — Fri, 13 Nov 2009 06:15:09 +0000

Recently, Mylan Inc.‘s (MYL) subsidiary, Matrix Laboratories received final approval from the US Food and Drug Administration (FDA) for its Abbreviated New Drug Application (ANDA) for Lansoprazole Delayed-release (DR) capsules in two dosage forms (15 mg and 30 mg). Mylan plans to begin shipment of the product immediately.

The drug is the generic version of Takeda Pharmaceuticals' (TKPHY.PK) proton pump inhibitor Prevacid DR Capsules. According to IMS Health (RX), the branded version had US sales of approximately $3 billion for the 12 months ending June 30.

Mylan received quite a few approvals in the recent past. In October, Mylan settled its dispute with Pfizer (PFE) related to the patent of antifungal drug Vfend (voriconazole), following which Mylan received the approval to launch the generic version of the drug. Additionally, in September, Mylan received FDA approval for its generic version of Bristol-Myers Squibb's (BMY) Sinemet for the treatment of Parkinson’s.

Mylan received a significant approval in the field of HIV treatment with Matrix receiving tentative FDA approval under the President's Emergency Plan for AIDS Relief (PEPFAR) for its New Drug Application (NDA) for a fixed-dose combination of Efavirenz, Lamivudine and Tenofovir Disoproxil Fumarate tablets. Although Matrix will not be able to market the product in the US due to existing patents, the drug can be sold in many developing countries.

Currently, Mylan has 125 ANDAs pending FDA approval representing $84.1 billion in annual brand sales, according to IMS Health. Among these, 37 are potential first-to-file opportunities, representing $19.2 billion in annual brand sales.

We expect the Merck Generics acquisition to contribute significantly to Mylan’s long-term growth and help expand its footprint in non-US markets. Based on the strong third quarter earnings, Mylan raised its 2009 earnings guidance. The company now expects its earnings per share in the range of $1.24 - $1.28, up from the earlier guidance of $1.13 - $1.20. We have a Neutral recommendation on the stock.
Read the full analyst report on "MYL"
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Read the full analyst report on "RX"
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Big Pharma and Biotech – Industry Outlook

Zacks Market Commentaries — Mon, 09 Nov 2009 21:47:40 +0000

The pharmaceutical industry has witnessed major changes in 2009. Performance has been affected by factors like sluggish prescription trends, intensifying generic competition and limited phase III catalysts. The next five years are expected to reflect a significant imbalance between new product introductions and patent losses.

According to IMS Health (RX), this is the main reason why global pharmaceutical market growth will be restricted to the mid-single digits through 2013. Over the next five years, products that currently generate about $137 billion in sales are expected to face generic competition, including Lipitor, Plavix and Seretide. At the same time, new products are not expected to generate the same level of sales as the products losing patent protection have.

With most of the big pharma companies already facing patent challenges for their blockbuster products or likely to face them going forward, the companies have been looking toward mergers and acquisitions (M&A) and in-licensing deals to make up for the loss of revenues.

We saw huge M&A activity in the first half of 2009. Major deals include Abbott Laboratories’ (ABT) acquisition of Advanced Medical Optics, Johnson & Johnson’s (JNJ) acquisition of Mentor Corp., Pfizer’s (PFE) acquisition of Wyeth and the merger between Merck (MRK) and Schering-Plough (SGP).

While these deals took place between large-cap pharma companies, others have been looking toward biotech companies to build their product portfolios. Prime examples include Johnson & Johnson’s acquisition of Cougar Biotechnology, Roche’s acquisition of Genentech, Bristol-Myer Squibbs’ (BMY) acquisition of Medarex, and Sanofi-Aventis’ (SNY) acquisition of Fovea Pharmaceuticals, SA.

We expect this trend to continue. Small biotech companies are also game for such deals. Given the current economic situation, most small biotech companies are finding it difficult to raise cash, thereby making it difficult for them to survive and continue with the development of promising pipeline candidates. As such, it makes sense for these companies to seek deals with pharma companies that are sitting on huge piles of cash. We would recommend investors to put their money in biotech stocks that have attractive pipeline candidates or technology that can be used for the development of novel therapeutics.

Another recent trend seen in the pharmaceutical sector is a focus on emerging markets. Companies like Mylan Inc (MYL), GlaxoSmithKline (GSK) and Sanofi-Aventis are all looking to expand their presence in India, China, Brazil and other emerging markets.

Until recently, most of the commercialization efforts were focused on the U.S. (the largest pharmaceutical market), Europe and Japan. However, emerging markets are slowly and steadily gaining more importance and several companies are now shifting their focus to these areas. According to IMS Health, China’s pharmaceutical market is expected to continue to grow more than 20% annually, and contribute 21% of overall global growth through 2013. Growth in emerging markets could help stabilize the base business during the industry’s 2010-15 patent cliff.

In addition to patent challenges, pharma companies have been facing headwinds in the form of foreign exchange fluctuations. Increased generic competition and foreign exchange headwinds will continue impacting revenues of major pharmaceutical companies. Johnson & Johnson recently reported that third quarter revenues were down due to the impact of generics and foreign exchange headwinds. With revenue growth stalling or slowing down, companies have been resorting to cost-cutting and share buybacks to drive bottom-line growth.

Valuations, however, are attractive, with several of the largest players trading at PEs below 10x, including: Pfizer (8.3x), Eli Lilly (LLY) (7.7x), Sanofi-Aventis ( 7.7x), and AstraZeneca (AZN) (7.2x) based on fiscal 2009 estimates. Attractive valuations, along with big dividend yields and diversified revenues bases, should protect investors from significant downside risk even if the economy continues to languish in the coming quarters.

OPPORTUNITIES

In the pharma space, we are positive on stocks like Alcon (ACL) and Novartis (NVS). We believe these companies will continue witnessing revenue growth based on continued international penetration, new product launches and market share expansion. Pipeline expansion through in-licensing deals and acquisitions should also add to growth.

Novartis should see strong vaccine sales this flu season. The company has received approval from the U.S. Food and Drug Administration for its swine flu vaccine, which should drive revenues.

Although we have Neutral ratings on names like Johnson & Johnson and Abbott Labs, we maintain a positive outlook on these stocks given their diversified revenue base, strong business segments, contributions from recent acquisitions and impressive late-stage pipelines. We also have a positive outlook on Bristol-Myers, which has a strong presence in attractive areas like biologics, cancer and cardiovascular drugs.

In the biotech space, we are positive on names like Gilead Sciences (GILD) and Biogen Idec (BIIB) even though we have Neutral recommendations on these stocks. Gilead’s HIV franchise has been helping the company post better-than-expected earnings over the past few quarters and we expect this trend to continue.

Biotech companies that could be acquisition targets provide opportunities for significant returns. Here, we would like to mention two companies that could be potential take-out targets -- Biogen Idec and Acorda Therapeutics (ACOR). In addition to holding a leading position in the multiple sclerosis market, we believe Biogen has the best pipeline in all of biotech and could be an attractive takeover candidate for pharma companies interested in biologics.

Meanwhile, Acorda is one of the more interesting biotechnology companies under our coverage. We have an Outperform rating on the stock. Acorda recently received a favorable recommendation from an FDA advisory panel on its key pipeline drug, Fampridine-SR, which could have blockbuster potential worldwide.

WEAKNESSES

We recommend avoiding names that offer little growth or opportunity for a take-out. These include companies which are developing drugs that are likely to face regulatory hurdles. The FDA has been exercising more caution before granting approval to new products and several candidates have been facing delays in receiving final approval.

We would also avoid companies like Eli Lilly & Co. (LLY) which are facing patent expirations on key products and do not have a solid pipeline to make up for the loss of revenues that will take place once generics enter the market.

Meanwhile, we continue to believe Pfizer’s (PFE) acquisition of Wyeth (WYE) will create an even bigger struggling company. Both companies have significant patent expirations in the years to come, and both have been severely lacking in their R&D productivity over the past few years. We recommend avoiding both names.

In the biotech sector, we have an Underperform rating on Genzyme Corporation (GENZ), which is facing issues like lower revenues, contracting gross margins, supply constraints, manufacturing hiccups and delays in new product launches.

We would also recommend avoiding biotech companies that are struggling to survive and are unable to strike partnership deals for their pipeline candidates. One name that comes to mind is MannKind Corp. (MNKD) which has been looking for a partner for its key candidate, Afresa. The company’s stock declined significantly on the news that it will not be able to enter into a partnership deal by year end, contrary to earlier expectations.

Another name to avoid would be Alkermes, Inc. (ALKS) which is awaiting FDA approval for its type-II diabetes candidate, exenatide once-weekly. Although the efficacy data on exenatide once-weekly is impressive, we are concerned that the approval of the product could be pushed back beyond the first quarter of 2010, given the current regulatory environment and concerns regarding the safety of the candidate.Zacks Investment Research

Zacks Analyst Blog Highlights: Bank of America, Citigroup, Motorola Inc., China Mobile Ltd. and Mylan, Inc. – Press Releases

Zacks Market Commentaries — Fri, 30 Oct 2009 13:45:37 +0000

For Immediate Release

Chicago, IL – October 30, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Bank of America (BAC), Citigroup (C), Motorola Inc. (MOT), China Mobile Ltd. (CHL) and Mylan, Inc. (MYL).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Thursday’s AnalystBlog:

Contributions to GDP Growth

While residential investment is still near a record low share of the overall economy, I have serious questions about the sustainability of the increase. The extension and expansion of the the tax credit by Congress might keep things going for the next few quarters, but after that things are likely to fall apart again. Just like we saw with the "Cash for Clunkers" (C4C) program, it is probably just encouraging those folks who might have bought later to buy now.

It is also tricking people into thinking that a house is more affordable that it really is -- just the way that teaser-rate ARM’s did, and we saw just how well that worked out. The FHA is handing out mortgages with only 3.5% down, and people can use the tax credit for that ridiculously small down payment. This has future disaster of biblical proportions written all over it. The next bailouts will not be of the banks like Bank of America (BAC) and Citigroup (C) but of the FDIC and the FHA.

Direct Government spending had a small but positive impact on overall growth in the 3Q, adding 0.48 points -- a fairly significant slowdown from the 1.33 contribution in the 2Q, but better than the 0.52 point drag in the 1Q. All the help came from Washington, not City Hall or the Statehouse.

Motorola Shows Signs of Revival

Motorola Inc. (MOT) today declared financial results for the third quarter 2009. Quarterly net income from continuing operations was $12 million or 1 cent per share, compared to a net loss of $397 million or 18 cents per share in the prior quarter. Third quarter adjusted (excluding special items) EPS was 2 cents, easily beating the Zacks Consensus Estimate of a break-even quarter.

Improvement in net income was primarily due to the huge reduction in operating expenditure. Quarterly total revenue was $5,453 million, down 27.1% year-over-year and also below the Zacks Consensus Estimates of $5,564 million.

Gross margin in the third quarter was 33.2% compared to 24.1% in the prior-year quarter and 31.1% in the previous quarter. Quarterly operating expenditure was $1.68 billion compared to a massive $2.26 billion in the year-ago quarter.

Quarterly revenue was $2 billion, down 15% year-over-year. Operating income was $199 million compared to an operating income of $263 million in the year-ago quarter. During the third quarter, Motorola conducted the world's first live 2.6GHz TD-LTE mobile demonstration for China Mobile Ltd. (CHL) and shipped 3.3 million digital entertainment devices.

Mylan Beats, Raises Outlook

However, the year-ago period included $455 million of revenue related to the sale of the product rights of Bystolic. Excluding this, total revenues increased 5.2% over the third quarter 2008. Revenues would have increased 9%, but for the unfavorable movement of foreign currency.

From this quarter onwards, Mylan has decided to report its results in two segments -- Generics and Specialty -- following the acquisition of approximately 24% of the remaining interest in Matrix and the related de-listing. The former Matrix segment has been included in the Generics segment. The Generics Segment, accounting for about 88% of total revenues during the quarter, increased marginally (3.7%) to $1.12 billion. Revenues from Specialty recorded a huge increase of 20.3% to $150.9 million.

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Mylan Beats, Raises Outlook – Analyst Blog

Zacks Market Commentaries — Thu, 29 Oct 2009 21:30:20 +0000

Mylan, Inc. (MYL) reported third quarter earnings per share of 32 cents, above both the Zacks Consensus Estimate of 27 cents and 23 cents in the prior-year period. The company reported revenues of $1.26 billion, a 24% decline from the year-ago period.

However, the year-ago period included $455 million of revenue related to the sale of the product rights of Bystolic. Excluding this, total revenues increased 5.2% over the third quarter 2008. Revenues would have increased 9%, but for the unfavorable movement of foreign currency.

From this quarter onwards, Mylan has decided to report its results in two segments -- Generics and Specialty -- following the acquisition of approximately 24% of the remaining interest in Matrix and the related de-listing. The former Matrix segment has been included in the Generics segment. The Generics Segment, accounting for about 88% of total revenues during the quarter, increased marginally (3.7%) to $1.12 billion. Revenues from Specialty recorded a huge increase of 20.3% to $150.9 million.

Sales from the North American market increased 9.2% year over year to $502.5 million, primarily due to new product launches in the past 12 months along with increased volume, partially offset by unfavorable pricing as a result of additional generic competition on certain products. However, revenues from the other markets -- EMEA (down 1.1%) and Asia Pacific (up 4.6%) -- did not contribute much to the growth of the company.

Excluding the impact of Bystolic sale and certain purchase accounting related items, gross margins fell to 45.6% in the third quarter of 2008 compared to 46.7% in the prior year period.

Mylan is now the third-largest generic company in the world after the acquisition of Merck Generics and Matrix Labs. Currently, Mylan has 121 ANDAs pending FDA approval representing $85.7 billion in annual brand sales, according to IMS Health. Among these, 35 are potential first-to-file opportunities, representing $17.9 billion in annual brand sales.

We expect the Merck Generics acquisition to contribute significantly to the company’s long-term growth and help expand its footprint in non-US markets. Based on the strong third quarter earnings, Mylan raised its 2009 earnings guidance. The company now expects its earnings per share in the range of $1.24 - $1.28 from the earlier guidance of $1.13 - $1.20. We have a Neutral recommendation on the stock.
Read the full analyst report on "MYL"
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AMLN, PWRM, MMM, CSRH, MYL, CVAT, STEM, AQNM, DrStockPick.com Stock Report!

Dr. Stock Pick — Mon, 19 Oct 2009 20:22:21 +0000

Dr Stock Pick HOT News & Alerts! _________________________________________ FREE Daily Stock Alerts From DrStockPick.com _________________________________________ Monday October 19, 2009 DrStockPick.com Stock Report! AMLN, PWRM, MMM, CSRH, MYL, CVAT, STEM, AQNM ************************************************************** AMLN, Amylin Pharmaceuticals, Inc. AMLN is a biopharmaceutical company committed to improving lives through the discovery, development and commercialization of innovative medicines. AMLN will webcast its Quarterly Update Conference Call for the third [...]

Salix Hopeful on New Indications – Analyst Blog

Zacks Market Commentaries — Tue, 29 Sep 2009 14:25:11 +0000

Salix Pharmaceuticals (SLXP) is working on gaining approval from the U.S. Food and Drug Administration (FDA) for new indications of rifaximin, which should help in driving long-term growth. Rifaximin is currently marketed for the treatment of patients, aged 12 years or more, with travelers diarrhea caused by non-invasive strains of E coli.

Salix received a boost recently when it announced positive results from two pivotal phase III trials of rifaximin for the treatment of non-constipation irritable bowel syndrome (IBS). Two randomized, double-blind, placebo-controlled, multicenter trials, TARGET 1 and TARGET 2, were conducted to evaluate the efficacy and safety of rifaximin 550 mg. Patients treated with rifaximin saw statistically significant improvement in the primary endpoint compared with placebo. Rifaximin also achieved statistical significance in the key secondary endpoint of providing relief from IBS-related bloating.

Favorable data from these studies is a major positive for the company. Rifaximin has become the company’s primary growth driver following the introduction of generic versions of Colazal in December 2007 by three players including Mylan Inc. (MYL).

We believe the IBS indication represents huge commercial opportunity for the company. IBS is one of the most common chronic conditions and affects about 15% of adults in the United States . According to the company, the non-constipation IBS market could represent commercial opportunity in the range of approximately $2.2 billion.

Salix plans to submit data from these two studies to support its New Drug Application (NDA) for the non-constipation IBS syndrome. The NDA filing is scheduled to occur in the first half of 2010. Meanwhile, Salix recently received priority review status from the US Food and Drug Administration for another indication, hepatic encephalopathy (HE), for which rifaximin enjoys orphan drug status.

While we believe that the IBS indication represents significant commercial opportunity for the company, the HE indication should also have excellent incremental potential. Apart from the IBS and HE indications, Salix is also studying rifaximin for C. difficile-associated diarrhea and the prevention of traveler's diarrhea. We have a Neutral rating on Salix.
Read the full analyst report on "SLXP"
Read the full analyst report on "MYL"
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Salix Scores on Rifaximin Data – Analyst Blog

Zacks Market Commentaries — Tue, 15 Sep 2009 19:55:04 +0000

Shares of Salix Pharmaceuticals (SLXP) jumped 51% yesterday after the company announced positive results from two pivotal phase III trials of rifaximin for the treatment of non-constipation irritable bowel syndrome (IBS).

Two randomized, double-blind, placebo-controlled, multicenter trials, TARGET 1 and TARGET 2, were conducted to evaluate the efficacy and safety of rifaximin 550 mg. Patients treated with rifaximin saw statistically significant improvement in the primary endpoint compared with placebo. Rifaximin also achieved statistical significance in the key secondary endpoint of providing relief from IBS-related bloating.

Positive data from these studies is a major positive for the company. Rifaximin has become the company’s primary growth driver following the introduction of generic versions of Colazal in December 2007 by three players including Mylan Inc. (MYL).

Salix has been working on new indications of rifaximin, which should help in driving long-term growth. Rifaximin is currently marketed for the treatment of patients, aged 12 years or more, with travelers diarrhea caused by non-invasive strains of E coli.

We believe the IBS indication represents huge commercial opportunity for the company. IBS is one of the most common chronic conditions and affects about 15% of adults in the United States. According to the company, the non-constipation IBS market could represent commercial opportunity in the range of approximately $2.2 billion.

Salix plans to submit data from these two studies to support its New Drug Application (NDA) for the non-constipation IBS syndrome. The NDA filing is scheduled to occur in the first half of 2010.

Meanwhile, Salix recently received priority review status from the US Food and Drug Administration for another indication, hepatic encephalopathy (HE), for which rifaximin enjoys orphan drug status. While we believe that the IBS indication represents significant commercial opportunity for the company, the HE indication should also have excellent incremental potential.

Apart from the IBS and HE indications, Salix is also studying rifaximin for C. difficile-associated diarrhea and the prevention of traveler's diarrhea. We have a Neutral rating on Salix.

Read the full analyst report on "SLXP"
Read the full analyst report on "MYL"
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PennyOmega.com Stocks Upgraded, Downgraded and Short Highlights Before the Bell Wednesday September 2nd, 2009

PennyOmega.com — Wed, 02 Sep 2009 13:05:19 +0000

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Merck Wins Legal Battle – Analyst Blog

Zacks Market Commentaries — Thu, 20 Aug 2009 15:01:00 +0000

Merck (MRK) received a favorable ruling in a major patent-infringement suit yesterday against the largest generic player, Teva Pharmaceuticals (TEVA), on its top-selling drug Singulair. Teva was seeking the Food and Drug Administration’s (FDA) approval for selling a generic version of the drug for asthma and allergic rhinitis. The litigation has been continuing since Merck sued Teva in February 2007.

During the second quarter of 2009, Singulair recorded worldwide sales of $1.3 billion, up 16% from the year-ago period. The drug had total sales of $4.3 billion in fiscal 2008, accounting for about 18% of Merck’s total revenue. Defending Singulair’s patent was thus quite crucial for Merck.

We believe this is a major win for Merck as an unfavorable ruling would have hurt its top-line badly. The court not only upheld Merck's patent, but also issued an injunction blocking the approval of Teva's generics till Singulair’s patent expires in August 2012.

Apart from Teva, Roxane Pharmaceuticals and Mylan Inc. (MYL) have received tentative approval from the FDA to market generic versions of Singulair. The first company that launches the generic version of this multi-billion dollar drug will certainly record windfall gains and get 180 days of sales exclusivity in the U.S. upon patent expiry.

Recently, Teva introduced the generic version of GlaxoSmithKline's (GSK) billion-dollar anti-migraine drug Imitrex at a much lower price than the original brand.

The ruling on the Singulair patent should protect the drug from generic competition until 2012, after which the drug will witness significant sales erosion due to patent expiry. Earlier, drugs like Zocor and Fosamax saw huge drop in sales after losing patent protection. We have a Neutral recommendation on Merck.

Read the full analyst report on "MRK"
Read the full analyst report on "TEVA"
Read the full analyst report on "MYL"
Read the full analyst report on "GSK"
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DrStockPick.com Stock Report! 8/19/09, INMD, MYL, JAVA, RAVN, NTUR, HIMR

Dr. Stock Pick — Wed, 19 Aug 2009 13:54:17 +0000

DrStockPick.com Stock Report! Wednesday August 19, 2009 ************************************************************** IntegraMed America, Inc. (NASDAQ: INMD), the nation’s leading provider of specialty healthcare services in emerging, technology-focused niches, today announced that The Froedtert and Medical College of Wisconsin Reproductive Medicine Center has begun offering IntegraMed’s Attain(TM) IVF Program - a course of treatment approach that [...]

Biggest S&P Est Increases – Analyst Blog

Dirk Van Dijk — Tue, 11 Aug 2009 20:55:35 +0000

When you invest in a stock, one of the best things you can see is analysts raising their expectations about what the company is going to earn for the current fiscal year. There are several ways of measuring this, but the following is a list of the companies with the biggest increases in their consensus earnings expectations for this year over the last month.

To make the list, a company had to have a current mean (average) estimate of over 50 cents, be a member of the S&P 500 and have at least three estimates for this year. The 50-cent restriction was put in to prevent small dollar changes that are huge percentage moves from dominating the list (going from a penny expected to a nickel). Having 3 or more estimates also helps insure it was not a fluke. The S&P 500 restriction was put in to make sure we are dealing with substantial companies.

Most likely these firms either reported much better than expected earnings, or communicated better times coming in their conference calls to the analysts after earnings were announced. Notice that there are companies from a wide variety of industries on this list. Often the best strategy is to pick stocks where the overall level of expectations is low -- for example, where the expected earnings level for this year is well below last year’s level, but where the analysts are starting to think that things might just be bad, not a disaster. The low level of earnings causes the stock price to be depressed, and when the worst does not happen, the stock rebounds.

Also, a consensus estimate in motion tends to remain in motion (notice how for most of the firms the 12-week change is larger than the 4-week change). If the analysts have been raising their estimates, they are far more likely to continue raising them than turn the other direction and start cutting them. Having a large number of estimates moving in the same direction has also been useful in predicting which direction a stock is likely to go in the near future.

This list is a good starting point to investigate companies that might be worth investing in.

I will post a second list with the stocks with the biggest estimate cuts shortly, which if they are in your portfolio should be candidates for culling from the herd.

Company	Ticker	2009 Zacks Consensus	4-Week % Change	Positive Revisions	Negative Revisions	EPS Growth	P/E
Intl Paper	IP	$0.60	400.00%	12	0	-70.30%	33.63
Fifth Third Bk	FITB	$0.77	201.85%	14	0	135.12%	12.57
Hess Corp	HES	$1.10	116.78%	7	1	-84.98%	49.8
Freept Mc Cop-B	FCX	$2.59	69.00%	10	1	-62.19%	24.45
Western Digital	WDC	$3.04	43.58%	11	0	19.56%	10.53
Caterpillar Inc	CAT	$1.49	32.59%	14	1	-73.67%	32.07
Avery Dennison	AVY	$1.78	27.18%	8	0	-41.76%	15.47
Franklin Resour	BEN	$3.34	21.46%	13	1	-49.95%	28.23
Cameron Intl	CAM	$2.22	19.04%	13	0	-17.01%	15.37
Apache Corp	APA	$4.86	18.07%	14	1	-58.18%	17.93
Noble Energy	NBL	$2.82	17.90%	12	1	-60.04%	21.44
Whirlpool Corp	WHR	$3.89	17.30%	5	0	-29.24%	15.87
Texas Instrs	TXN	$0.84	17.21%	25	1	-44.67%	28.66
Goldman Sachs	GS	$15.25	16.74%	16	1	241.21%	10.73
Gannett Inc	GCI	$1.53	15.69%	5	0	-57.54%	5.05
Wells Fargo-New	WFC	$1.66	15.18%	17	2	120.93%	17.36
Expedia Inc	EXPE	$1.13	14.97%	10	0	-1.67%	19.92
Jpmorgan Chase	JPM	$1.61	14.76%	10	3	93.75%	26.34
Eastman Chem Co	EMN	$2.89	14.07%	7	0	-35.83%	18.26
Coca-Cola Entrp	CCE	$1.50	14.00%	7	0	13.26%	12.99
Intuitive Surg	ISRG	$5.27	13.46%	12	0	2.95%	43.66
Black & Decker	BDK	$1.78	13.37%	9	0	-63.57%	23.25
Corning Inc	GLW	$1.17	12.08%	13	0	-25.76%	14.54
Autonation Inc	AN	$1.03	11.00%	6	1	2.73%	19.45
Whole Foods Mkt	WFMI	$0.85	10.93%	7	0	-19.98%	33.51
Radioshack Corp	RSH	$1.53	10.41%	15	0	0.54%	10.6
Newell Rubbermd	NWL	$1.26	10.23%	10	0	3.07%	11.02
Devon Energy	DVN	$2.99	10.12%	10	2	-69.78%	21.31
T Rowe Price	TROW	$1.42	9.91%	15	2	-22.13%	34.36
Pactiv Corp	PTV	$2.40	9.86%	8	0	37.20%	10.82
Iron Mountain	IRM	$0.94	9.75%	6	0	25.04%	31.46
3M Co	MMM	$4.19	9.32%	16	0	-18.74%	17.39
Fmc Tech Inc	FTI	$2.60	9.23%	10	0	-4.26%	16.76
Invesco Ltd	IVZ	$0.70	8.84%	13	2	-46.52%	29.51
Cf Indus Hldgs	CF	$7.60	8.75%	4	1	-47.29%	10.98
Amerisourcebrgn	ABC	$1.77	8.47%	13	1	22.54%	11.49
Tjx Cos Inc New	TJX	$2.36	8.29%	14	0	17.45%	15.03
Mylan Inc	MYL	$1.16	8.05%	14	0	45.00%	11.37

Read the full analyst report on "IP"
Read the full analyst report on "FITB"
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Read the full analyst report on "FCX"
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Zacks Investment Research

PennyOmega.com Stock Report NRT, ABCW, AHL, MYL, WEN, XRAY

PennyOmega.com — Wed, 29 Jul 2009 19:14:38 +0000

PennyOmega.com Stock Report! PennyOmega.com Hot Stock News & Alerts! Wednesday July 29, 2009 PennyOmega.com Stock Report! ************************************************************** The Trustees of North European Oil Royalty Trust (NYSE: NRT) announced today a quarterly distribution of 58 cents per unit for the third quarter of fiscal 2009, payable on August 26, 2009 to holders of record on August 14, 2009. Natural gas sold [...]

DrStockPick.com Stock Report! 7/29/09, NRT, ABCW, AHL, MYL, WEN, XRAY

Dr. Stock Pick — Wed, 29 Jul 2009 17:59:59 +0000

DrStockPick.com Stock Report! Wednesday July 29, 2009 ************************************************************** The Trustees of North European Oil Royalty Trust (NYSE: NRT) announced today a quarterly distribution of 58 cents per unit for the third quarter of fiscal 2009, payable on August 26, 2009 to holders of record on August 14, 2009. Natural gas sold during the second [...]

PennyOmega.com Stock Report! 7/28/09, SNWL, OXM, ALU, MYL, BEXP, IVA

PennyOmega.com — Tue, 28 Jul 2009 14:22:18 +0000

<<<<<<<<<<<<<<<<<<<<<<<<<<<<

PTIX, MYL, ASIA, HOLI Stock-PR Nasdaq Stock Report Monday 07-20-09

Stock-PR — Mon, 20 Jul 2009 13:44:14 +0000

Performance Technologies (Nasdaq: PTIX), a leading provider of innovative network communications solutions, today announced that Hawaiian Telcom selected the company’s SEGway(TM) X401 STP Signaling Solution with Point Code Emulation(TM) (PCE) for their multi-switch network, serving the Hawaiian Islands. Hawaiian Telcom elected to replace existing legacy systems with this solution, thereby [...]

Mylan Moves into Oversold Territory – Zacks Tale of the Tape

Zacks Market Commentaries — Thu, 09 Jul 2009 16:05:13 +0000

Mylan Inc.’s (MYL) share price has entered into oversold territory with a stochastic value of 5.59. The Zacks #2 Rank (“Buy") stock has topped the consensus estimate in 3 out of last 4 quarters with an average surprise of 54.72%, or 6 cents per share. The average forecast on the company’s full-year earnings has moved up by 4 cents over the past 3 months to $1.07 per share.
"MYL" Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research

Stocks For An Economic Recovery – Healthcare

Bullish Bankers — Thu, 18 Jun 2009 11:00:13 +0000

The medical equipment and supplies sub-sector of health care has come under significant pressure in the last 9 months or so. Big names such as Stryker Corp. [SYK: 39.00, 0.00 (0.00%)], Zimmer Holdings Inc. [ZMH: 40.91, 0.00 (0.00%)], and Medtronic Inc. [MDT: 32.93, 0.00 (0.00%)] are trading at levels we have not seen in years. [...]

Mylan, Inc. – Momentum – Zacks Rank Buy

Michael Vodicka — Mon, 20 Apr 2009 05:00:00 +0000

Companies highlighted in this weekly wrap include Mylan, Inc. (MYL), The Dress Barn, Inc. (DBRN), Ross Stores, Inc. (ROST), Buffalo Wild Wings, Inc. (BWLD) and Interactive Data Corp. (IDC).

Mylan, Inc.'s (MYL) share price continues to trend higher on consistent earnings and higher estimates. The company is scheduled to report its first-quarter results on May 7.

Estimates

Earnings estimates have held in higher ground after the last round of upward revisions, coming on the heels of the company's last quarterly report. The current-year estimate tacked on 4 cents, climbing to $1.03 per share. The next-year estimate jumped 14 cents to $1.47 per share, an impressive 43% earnings growth projection.

Consistent Results

Mylan has produced very consistent results over the last year in a tough market. The company has surprised and beat in each of the last four quarters by an average of 8 cents, or 62%.

The Chart

Mylan is set to report its first-quarter results on May 7, with the company's share price rallying into the news. Shares of MYL have been riding a very smooth trend higher since bottoming out in November with the overall market. In the process, a new 52-week has been established, where some resistance has developed. Take a look at the chart below.

Last Week's Momentum Zacks Rank Buy Stocks

The Dress Barn, Inc. (DBRN) recently announced that it is seeing strengthening business trends and projected strong third-quarter results, set to be officially released at the end of May. Read Full Article.

Ross Stores, Inc. (ROST) is surging on solid fourth-quarter results, a share repurchase program and higher guidance. Read Full Article.

Buffalo Wild Wings, Inc.'s (BWLD) share price has been rallying since the company reported strong fourth-quarter results on Feb 11. First-quarter results are set to hit the Street Apr 28. Read Full Article.

Interactive Data Corp. (IDC) has performed admirably in a tough market as traders and investment professionals take advantage of market volatility to score gains. Read Full Article.

Zacks Investment Research

MYL Rises with Low Volume – Zacks Tale of the Tape

Zacks Market Commentaries — Wed, 08 Apr 2009 20:25:47 +0000

Mylan Inc (MYL) shares are up approximately 1.3% today on unusually low volume. While the average daily volume is 6.9 million, a little over 3 million shares changed hands today.

MYL is a Zacks #1 Rank ("Strong Buy") stock that has a good record of beating Wall Street's quarterly earnings expectations, having amassed an average surprise of more than 62% over the past 4 quarters.

Earnings estimates for this year are up to $1.03 per share, compared to 99 cents from 2 months ago. Expectations for next year have advanced about 10.5% in that timeframe.

"MYL" Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research

Zacks.com featured expert Kevin Matras highlights: Archer Daniels Midland Company, The DirecTV Group, Inc., Hudson City Bancorp, Inc., Mylan, Inc. and Prudential Financial, Inc. – Press Releases

Kevin Matras — Wed, 25 Mar 2009 21:53:52 +0000

Chicago, IL March 25, 2009- Kevin Matras says it all boils down to Earnings Growth. Stocks in this week's article include Archer Daniels Midland Company (ADM), The DirecTV Group, Inc. (DTV), Hudson City Bancorp, Inc. (HCBK), Mylan, Inc. (MYL) and Prudential Financial, Inc. (PRU). Click here for the full story exclusively on Zacks.com: http://at.zacks.com/?id=109

Screen of the Week written by Kevin Matras of Zacks Investment Research:

So the market is up.

And it's about time.

Is this the beginning of the rally that doesn't look back? We'll have to just wait and see.

But one thing is certain lots of stocks have been going up.

Some deservedly so. Others, not so much.

The saying "a rising tide raises all ships" most definitely applies here.

But when the tide goes down, not all stocks will stay afloat.

So today I'm screening for growth stocks.

And not just any kind of growth stocks.

Stocks with growth rates that are too low aren't really growth stocks at all and don't perform that well.

But stocks with crazy high growth rates don't test that well either. And in my testing, I've found that very high growth rates perform almost as bad as poor growth rates.

A good place to start is to look for growth rates that are aggressive, but also realistic.

Looking at the S&P 500, the average growth rate for the next 12 months is barely positive. But the average 5-Year Historical Growth Rate is roughly 6.5%.

So looking for stocks with a doubling of that growth rate for the current year is aggressive, given the current environment, but pretty reasonable in and of itself.

By using the free screener on Zacks.com, you can get started on this right away.

As the screenshot below shows, just by adding in a price filter of >= $5 and a one year projected growth rate of >= 13%, stocks in the S&P 500 were narrowed down from 500 companies to only 61.

As for how to make sure their growth rates aren't 'too high'; I like to look at their valuations as well.

One ratio in particular that I like is the PEG ratio.

The PEG ratio is interesting when used with growth stocks because it takes into account the growth rate.

The calculation is simply:

P/E ratio divided by its future growth rate = PEG

Basically, it shows how much you're paying for each unit of growth.

A value of 1 means the P/E is in line with the growth rate. Above 1, the P/E is higher than the growth rate. Below 1, the P/E is lower than the growth rate. And in general, a lower PEG is considered better as it shows value. In other words, it isn't too 'expensive' in comparison to its earnings potential and hasn't been bid up too much.

Adding a PEG ratio of <= 1 to this screen now narrows this list down to only 30 companies.

And you don't have to stop there.

You can even take it a step further by using the screener in the Research Wizard, and adding in other items such as stocks with growth rates better than their industry. Or companies with sequentially higher earnings, quarter after quarter after quarter. And then backtest it all to see how it works.

Here are 5 stocks from this week's screen with market-beating growth rates and low PEG ratios.

ADM Archer Daniels Midland Company
DTV The Directv Group, Inc.
HCBK Hudson City Bancorp, Inc.
MYL Mylan, Inc.
PRU Prudential Financial, Inc.

Get the rest of the stocks on this list and search for all the others that aren't on the S&P. There are hundreds of solid stocks with outsized earnings waiting to be discovered. And there's no time to waste. Sign up now for your free trial to the Research Wizard and put your 2009 plans into action today: http://at.zacks.com/?id=111

Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material.

About Screen of the Week

Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use. Each week, Zacks Profit from the Pros free email newsletter shares a new screening strategy. Learn more about it here http://at.zacks.com/?id=112

About Zacks

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.

Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Contact: Jim Giaquinto
Company: Zacks.com
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Zacks Investment Research

It All Comes Down to Earnings Growth – Screen of the Week

Kevin Matras — Tue, 24 Mar 2009 05:00:00 +0000

Stocks highlighted in this article are: Archer Daniels Midland Company (ADM), The Directv Group, Inc. (DTV), Hudson City Bancorp, Inc. (HCBK), Mylan, Inc. (MYL) and Prudential Financial, Inc. (PRU).

So the market is up.

And it's about time.

Is this the beginning of the rally that doesn't look back? We'll have to just wait and see.

But one thing is certain lots of stocks have been going up.

Some deservedly so. Others, not so much.

The saying "a rising tide raises all ships" most definitely applies here.

But when the tide goes down, not all stocks will stay afloat.

So today I'm screening for growth stocks.

And not just any kind of growth stocks.

Stocks with growth rates that are too low aren't really growth stocks at all and don't perform that well.

But stocks with crazy high growth rates don't test that well either. And in my testing, I've found that very high growth rates perform almost as bad as poor growth rates.

A good place to start is to look for growth rates that are aggressive, but also realistic.

Looking at the S&P 500, the average growth rate for the next 12 months is barely positive. But the average 5-Year Historical Growth Rate is roughly 6.5%.

So looking for stocks with a doubling of that growth rate for the current year is aggressive, given the current environment, but pretty reasonable in and of itself.

By using the free screener on Zacks.com, you can get started on this right away.

As the screenshot below shows, just by adding in a price filter of >= $5 and a one year projected growth rate of >= 13%, stocks in the S&P 500 were narrowed down from 500 companies to only 61.

As for how to make sure their growth rates aren't 'too high'; I like to look at their valuations as well.

One ratio in particular that I like is the PEG ratio.

The PEG ratio is interesting when used with growth stocks because it takes into account the growth rate.

The calculation is simply:

P/E ratio divided by its future growth rate = PEG

Basically, it shows how much you're paying for each unit of growth.

Adding a PEG ratio of <= 1 to this screen now narrows this list down to only 30 companies.

And you don't have to stop there.

Here are 5 stocks from this week's screen with market-beating growth rates and low PEG ratios.

ADM Archer Daniels Midland Company
DTV The Directv Group, Inc.
HCBK Hudson City Bancorp, Inc.
MYL Mylan, Inc.
PRU Prudential Financial, Inc.

Click Here for your free trial to the Research Wizard

Zacks Investment Research

Early Entry of Generics Thwarts MRX – Zacks Tale of the Tape

Zacks Market Commentaries — Wed, 18 Mar 2009 20:51:33 +0000

Medicis Pharmaceutical Corp. (MRX) slumped the most in 12 years on Wednesday after the U.S. Food and Drug Administration rejected the company's appeal for banning generic versions of its acne drug Solodyn from entering the market before the patent expired.

Mylan Inc. (MYL), Barr Laboratories Inc. and Novartis AG (NVS) unit Sandoz Inc. have submitted abbreviated new drug applications (ANDAs) for Solodyn. Israel-based Teva Pharmaceutical Industries Ltd. (TEVA) has already received a nod from federal health regulators to market its generic version of the oral antibiotic and began shipment of the product.

Medicis filed its petition for a 30-month stay on ANDAs of Solodyn, after suing all the generic makers. Solodyn, which is scheduled to lose patent protection in 2018, contributes nearly 50% of the Scottsdale, Arizona-based company's total revenue.

Shares of the company are down more than 11% today.

"MRX" Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research

Family Dollar Stores, Inc. – Momentum – Zacks Rank Buy

Michael Vodicka — Mon, 09 Mar 2009 05:00:00 +0000

Companies highlighted in this weekly wrap include Family Dollar Stores Inc. (FDO), American Italian Pasta Co. (AIPC), Mylan, Inc.'s (MYL), Papa John's International Inc. (PZZA) & Labranche & Co.'s (LAB).

Family Dollar Stores, Inc. (FDO) is posting impressive results and producing solid gains in a tough market as cash-strapped consumers hunt for bargains. The company's second-quarter results, reported on Feb 28 were ahead of expectations.

Second-Quarter Results

Sales were up 8.7% from last year to $2 billion. Pro-forma earnings are expected to be between 59 and 61 cents per share, safely ahead of the consensus estimate of 50 cents. Family Dollar also noted that its same-store sales, a key retail metric, were up 6.4% during the period.

Family Dollar's earnings have held up well in the volatile market of the last year, having surprised and beat in each of the last four quarters by an average of 4 cents, or 9%.

Estimates Remain Optimistic

The current-year estimates stands at $1.75 per share, up 7 cents from 60 days ago, while the next-year estimate is pegged at $1.88, a 7% earnings growth projection.

The Chart

Shares of FDO gapped open higher after the solid report, and have been holding in higher ground since, settling above a key level of resistance above $29. Take a look below.

Last Week's Momentum Zacks Rank Buy Stocks

American Italian Pasta Co. (AIPC) continues to head higher on strong earnings, optimistic projections and attractive valuations. Read Full Article.

Mylan, Inc.'s (MYL) share price continues to head higher after the company's solid fourth-quarter and full-year results. The analyst community is bullish on this stock, projecting 44% earnings growth in the next-year period. Read Full Article.

Papa John's International Inc. (PZZA) continues to head higher after the company's recent solid fourth-quarter results. Analysts are bullish on the company, with the next-year estimate projecting 27% earnings growth. Read Full Article.

Labranche & Co.'s (LAB) estimates have been steadily rising for the last few months, with the current-year estimate jumping 9 cents to 72 cents per share in just the last 7 days. Read Full Article. Zacks Investment Research

Mylan Breaks Out – Zacks Tale of the Tape

Zacks Market Commentaries — Thu, 05 Mar 2009 21:36:44 +0000

Mylan Inc. (MYL) broke out of its price consolidation on Thursday with its 50-day moving average crossing above the 200-day moving average. The Zacks#1 Rank ("Strong buy") stock is now trading above both indicators. The consensus estimate on Mylan's 2009 profit has gone up by 2 cents per share to $1.02 in the last month.

"MYL" Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research

Mylan, Inc. – Momentum – Zacks Rank Buy

Michael Vodicka — Thu, 05 Mar 2009 05:00:00 +0000

Company Description

Mylan, Inc. and its subsidiaries engage in the development, manufacturing and distribution of generic, brand and branded pharmaceuticals and pharmaceutical ingredients. The company was founded in 1961 and has a market cap of $3.66 billion.

Fourth-Quarter Results

Mylan's share price received a nice boost on Feb 20 when the company reported solid fourth-quarter results that were ahead of analyst estimates when removing special, one-time items. Revenue was up 4% from last year to $1.2 billion. Income sky rocketed, jumping to a loss of $40 million from a loss of $1.38 billion last year.

One-Time Items

Mylan's income looks even better when stripping out one-time items, including an $82 million amortization expense and a non-cash impairment of $70.4 million. Excluding these items, earnings came in at 26 cents per share, ahead of the consensus estimate by 12 cents.

This was the fourth time in four quarters that Mylan has surprised and beat the Street, having done so by an average of 8 cents, or 62%.

Full-Year Results

Mylan's full year revenue came in at $5.14 billion, up from $2.67 billion last year, with income showing a loss of $320 million compared to a loss of $1.23 billion in the previous year period.

Estimates Move Higher

Analysts lifted their earnings projections after the solid quarter, with the current-year estimate tacking on 3 cents and advancing to $1.02 per share. The next-year estimate stands at $1.47, a bullish earnings growth projection of 44%.

The Chart

Shares of MYL have been on a very solid rally for most of the last 4 months, advancing from a low point just below $6 in late October to a recent high above $13, where some short-term resistance has developed. If Mylan can deliver on its and the analysts bullish forecast, it should be well positioned for more share appreciation. Take a look at the chart below.

Zacks Investment Research

MYL Shares Rise 10% – Zacks Tale of the Tape

James Giaquinto — Fri, 20 Feb 2009 19:59:01 +0000

Mylan, Inc. (MYL) is one of the better-performing S&P 500 companies during this difficult trading session, as shares are up more than 10% - a day after reporting its fourth-quarter results.

MYL is a Zacks #1 Rank ("strong buy") company.

The company announced adjusted earnings per share of 26 cents, which soared past the consensus by more than 85%. The result also bettered the year-earlier performance.

Total revenue moved forward 4% to $1.2 billion from $1.16 billion.

MYL also reaffirmed its adjusted EPS guidance of 90 cents to $1.10 for 2009 and $1.50 to $1.70 for 2010. Analysts are expecting 99 cents and $1.33 for those years, respectively.

"MYL" Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research

MYL’s Volume Soars – Zacks Tale of the Tape

Zacks Market Commentaries — Fri, 20 Feb 2009 18:07:54 +0000

Mylan Inc (MYL) shares are trading on an unusually high volume. The Canonsburg-based company's shares reached almost 7% at $12.36 this afternoon.

Zacks Investment Research

Zacks #1 Rank Additions for Tuesday – Zacks Tale of the Tape

Zacks Market Commentaries — Tue, 17 Feb 2009 14:17:42 +0000

Here are the stocks added to the Zacks #1 Rank ("strong buy") List today:

Aaron Rents Inc (RNT)
Access National Corp (ANCX)
Acxiom Corp (ACXM)
American Financial Group (AFG)
Amerisafe Inc (AMSF)
Applied Micro Circuits Corp (AMCC)
ARM Holdings plc (ARMH)
AsiaInfo Holdings Inc (ASIA)
Baxter International Inc (BAX)
Briggs & Stratton Corp (BGG)
Broadridge Financial Solutions Inc (BR)
Canadian Natural Resource Ltd (CNQ)
Capella Education Co (CPLA)
Chinacast Education Corp (CAST)
Churchill Downs Inc (CHDN)
Citi Trends Inc (CTRN)
Cooper Companies Inc (COO)
Cosan Ltd (CZZ)
DaVita Inc (DVA)
DTS Inc (DTSI)
Energy Recovery Inc (ERII)
EZCORP Inc (EZPW)
Flanders Corp (FLDR)
FPIC Insurance Group Inc (FPIC)
HMS Holdings Corp (HMSY)
Horsehead Holding Corp (ZINC)
Immucor Inc (BLUD)
Jarden Corp (JAH)
J&J Snack Foods Corp (JJSF)
Knightsbridge Tankers Ltd (VLCCF)
Lundin Mining Corp (LMC)
MAP Pharmaceuticals Inc (MAPP)
MAXIMUS Inc (MMS)
Medivation Inc (MDVN)
Metavante Technologies Inc (MV)
Monro Muffler Brake Inc (MNRO)
Mylan Inc (MYL)
Nash-Finch Co (NAFC)
NxStage Medical Inc (NXTM)
Optimer Pharmaceuticals Inc (OPTR)
Pennichuck Corp (PNNW)
Portugal Telecom SGPS (PT)
POSCO (PKX)
ResMed Inc (RMD)
RLI Corp (RLI)
Rogers Communications Inc (RCI)
Rollins Inc (ROL)
Silgan Holdings Inc (SLGN)
Smith & Wesson Holding Corp (SWHC)
Southern Community Financial Corp (SCMF)
Stericycle Inc (SRCL)
Stockhouse Inc (STKH)
Telefonica SA (TEF)
TELUS Corp (TU)
TransDigm Group Inc (TDG)
Transition Therapeutics Inc (TTHI)
Tucows Inc (TCX)
U.S. Geothermal Inc (HTM)
VanceInfo Technologies Inc (VT)
Watson Pharmaceuticals Inc (WPI)
Zurich Fincl Svcs (ZFSVF)

View the entire Zacks #1 Rank List.

Zacks Investment Research

Mylan Generics Fairly Traded – Analyst Blog

Zacks Market Commentaries — Mon, 29 Dec 2008 11:36:41 +0000

Mylan, Inc. (MYL) is engaged in the development, manufacture, marketing, licensing, and distribution of generic, branded, and branded generic pharmaceutical products, as well as active pharmaceutical ingredients (APIs). With the acquisition of Merck Generics and Matrix Labs, Mylan is now the third largest generic company in the world.

We expect the Merck Generics acquisition to allow Mylan to expand its footprints in non-U.S. markets and to contribute significantly to long-term growth. Mylan also announced certain strategic initiatives which should help drive long-term growth. Besides this, Mylan has been working on improving its capital structure, which should help ease concerns regarding its liquidity position.

The company's results over the past two quarters exceeded both ours and the Street's expectations. The strong performance should continue going into 2009. We maintain our Hold rating with a target price of $10.

Arpita Dutt contributed to this report.

Read the full analyst report on MYL

"MYL" Free Stock Analysis: Buy? Sell? Hold?
Zacks Investment Research

Maverick Capital Management 13F | Lee Ainslie Hedge Fund Holdings Analysis

Richard C. Wilson — Mon, 22 Sep 2008 12:41:00 +0000

Maverick Capital

Maverick Capital Management Holdings Analysis

This post is being written as part of HedgeFundBlogger.com's Investment Securities Tool which analyzes the holdings of hedge fund managers.

Lee Ainslie started Maverick Capital back in 1993 with $38 million. Nowadays, the fund is worth $10 billion. Ainslie, like many of the other fund managers I've profiled, has a background rooted in learning from legendary great Julian Robertson at Tiger Management. So, due to the fact that these proteges learned from the best and have had great success running their own hedge funds, I continually try to find a reason not to follow these funds. And, needless to say I'm never successful. Some contacts over at Maverick have explained that their hedge fund strategy is straight up stock picking, both long and short. They made it clear though, that they do not employ pairs trades. Although, some of their long/short setups might be in the same sector. They try to hedge their positions like a true hedge fund by picking out the shining stars in certain sectors, as well as identifying the pieces of garbage. Now, of course, this presents us with a problem in that the 13F filings only show long positions (unless they're holding puts on a name, we can see those). So, a good amount of Maverick's portfolio (the entire short side) is unbeknownst to us, because they have reported zero put positions. But, let's look on the bright side in that we can see all their long positions. Maverick uses a value approach (obviously learned from Julian) and one of their most popular metrics is finding companies and comparing their enterprise value to sustainable free cash flow.

So, now that we've got a little background on Maverick, let's see what they were up to. The following are Maverick Capital's current holdings as of June 30th 2008, as released in their most recent 13F filing with the SEC. The positions in this most recent 13F were compared to last quarter's 13F and here are the changes made to their portfolio:

New Positions:
First Solar (FSLR): 1,202,118 shares. This position is 2.93% of Maverick's portfolio.
Lorillard (LO): 3,820,856 shares. This position is 2.36% of Maverick's portfolio.
CVS Caremark (CVS): 5,912,073 shares. This position is 2.09% of Maverick's portfolio.
Netapp (NTAP): 9,331,862 shares. This position is 1.81% of Maverick's portfolio.
ITT Educational Services (ESI): 2,422,090 shares. This position is 1.79% of Maverick's portfolio.
Macy's (M): 9,008,174 shares. This position is 1.56% of Maverick's portfolio.
Hansen Natural (HANS): 5,712,952 shares. This position is 1.47% of Maverick's portfolio.
Polo Ralph Lauren (RL): 2,431,244 shares. This position is 1.36% of Maverick's portfolio.
Dicks Sporting Goods (DKS): 7,589,473 shares. This position is 1.20% of Maverick's portfolio.
Cigna Corp (CI): 2,931,045 shares. This position is 0.93% of Maverick's portfolio.
Digital River Inc (DRIV): 1,974,144 shares. This position is 0.68% of Maverick's portfolio.
Viacom Inc (VIA): 2,442,500 shares. This position is 0.67% of Maverick's portfolio.
Forest Labs (FRX): 1,789,900 shares. This position is 0.56% of Maverick's portfolio.
Lamar Advertising (LAMR): 1,542,918 shares. This position is 0.50% of Maverick's portfolio.
Visa (V): 565,005 shares. This position is 0.41% of Maverick's portfolio.
South Financial Group (TSFG): 50,000 shares. This position is 0.38% of Maverick's portfolio.
Athena Health (ATHN): 1,245,819 shares. This position is 0.34% of Maverick's portfolio.
National City Corp (NCC): 6,625,176 shares. This position is 0.28% of Maverick's portfolio.
Sohu.com Inc (SOHU): 170,485 shares. This position is 0.11% of Maverick's portfolio.
MSCI Inc (MXB): 287,186 shares. This position is 0.09% of Maverick's portfolio.
Universal American (UAM): 1,004,391 shares. This position is 0.09% of Maverick's portfolio.
Comscore (SCOR): 436,640 shares. This position is 0.09% of Maverick's portfolio.
Citizens Republic Bancorp (CRBC): 937,500 shares. This position is 0.02% of Maverick's portfolio.

Added to:
Berkshire Hathaway (BRK.B): Increased position by 1412%. Position is now 0.45% of their portfolio.
Gmarket (GMKT): Increased position by 317%. Position is now 0.19% of their portfolio.
Infinera (INFN): Increased position by 171%. Position is now 0.54% of their portfolio.
American Capital (ACAS): Increased position by 141%. Position is now 0.30% of their portfolio.
Nordstrom (JWN): Increased position by 136.61%. Position is now 2.79% of their portfolio.
America Movil (AMX): Increased position by 129.88%. Position is now 3.91% of their portfolio.
Lexmark (LXK): Increased position by 109.39%. Position is now 1.42% of their portfolio.
Citrix (CTXS): Increased position by 109.36%. Position is now 2.20% of their portfolio.
Bank of New York Mellon (BK): Increased position by 55.42%. Position is now 3.15% of their portfolio.
Baxter Intl (BAX): Increased position by 51.69%. Position is now 2.90% of their portfolio.
Advanced Micro Devices (AMD): Increased position by 45.89%. Position is now 2.87% of their portfolio.
Raytheon (RTN): Increased position by 41.72%. Position is now 2.58% of their portfolio.
Fidelity National Info (FIS): Increased position by 40.56%. Position is now 2.05% of their portfolio.
Covidien (COV): Increased position by 32.99%. Position is now 2.32% of their portfolio.
Liberty Media Corp (LMDIA): Increased position by 28.09%. Position is now 1.59% of their portfolio.
Resmed (RMD): Increased position by 26.46%. Position is now 0.74% of their portfolio.
Burlington Northern (BNI): Increased position by 22.73%. Position is now 1.83% of their portfolio.
Google (GOOG): Increased position by 22.27%. Position is now 1.72% of their portfolio.
Genentech (DNA): Increased position by 21.38%. Position is now 1.40% of their portfolio.
Zimmer Holdings (ZMH): Increased position by 20.28%. Position is now 1.73% of their portfolio.
Cypress Bioscience (CYPB): Increased position by 19.98%. Position is now 0.20% of their portfolio.
Apple (AAPL): Increased position by 19.45%. Position is now 4.09% of their portfolio.
Research in Motion (RIMM): Increased position by 15.41%. Position is now 4.08% of their portfolio.
MetroPCS Comm (PCS): Increased position by 13.6%. Position is now 0.77% of their portfolio.
Home Inns & Hotels (HMIN): Increased position by 7.72%. Position is now 0.54% of their portfolio.
Gilead Sciences (GILD): Increased position by 6.66%. Position is now 2.37% of their portfolio.
Marvell Technology (MRVL): Increased position by 5.24%. Position is now 3.08% of their portfolio.
Newstar Financial (NEWS): Increased position by 5.21%. Position is now 0.14% of their portfolio.
Cardinal Health (CAH): Increased position by 3.33%. Position is now 1.56% of their portfolio.
Amylin Pharma (AMLN): Increased position by 2.84%. Position is now 0.58% of their portfolio.
Discovery Holding (DISCA): Increased position by 1.74%. Position is now 1.21% of their portfolio.
Palm (PALM): Increased position by 1.40%. Position is now 0.51% of their portfolio.
Lumber Liquidators (LL): Increased position by 1.14%. Position is now 0.26% of their portfolio.
China Nepstar (NPD): Increased position by 0.75%. Position is now 0.18% of their portfolio.
First Advantage (FADV): Increased position by 0.65%. Position is now 0.15% of their portfolio.
Under Armour (UA): Increased position by 0.17%. Position is now 0.83% of their portfolio.
Mylan Inc (MYL): Increased position by 0.06%. Position is now 1.09% of their portfolio.
Monsanto (MON): Increased position by 0.04%. Position is now 1.68% of their portfolio.
Potash (POT): Increased position by 0.03%. Position is now 2% of their portfolio.

Reduced positions:
Thermo Fisher (TMO): Reduced their position by 4.91%. Position is now 1.68% of their portfolio.
Western Union (WU): Reduced their position by 10.2%. Position is now 2.08% of their portfolio.
Marsh & Mclennan (MMC): Reduced their position by 12%. Position is now 1.55% of their portfolio.
Textron Inc (TXT): Reduced their position by 18.93%. Position is now 1.44% of their portfolio.
Wyeth (WYE): Reduced their position by 20.6%. Position is now 1.46% of their portfolio.
Leap Wireless (LEAP): Reduced their position by 23.40%. Position is now 0.39% of their portfolio.
Trubion Pharma (TRBN): Reduced their position by 24.38%. Position is now 0.04% of their portfolio.
Dish Network (DISH): Reduced their position by 27.75%. Position is now 1.13% of their portfolio.
Avon Products (AVP): Reduced their position by 33.23%. Position is now 1.36% of their portfolio.
JP Morgan Chase (JPM): Reduced their position by 38.68%. Position is now 0.89% of their portfolio.
Cognizant (CTSH): Reduced their position by 42.97%. Position is now 0.85% of their portfolio.
DirecTV (DTV): Reduced their position by 49.69%. Position is now 0.83% of their portfolio.
Suntrust Banks (STI): Reduced their position by 50%. Position is now 0.16% of their portfolio.
Gamestop (GME): Reduced their position by 51.64%. Position is now 0.81% of their portfolio.
Corcept (CORT): Reduced their position by 57.49%. Position is now 0.01% of their portfolio.
Bluefly (BFLY): Reduced their position by 90%. Position is now 0.11% of their portfolio.
Berkshire Hathaway (BRK.A): Reduced their position by 95%. Position is now 0.66% of their portfolio.

Removed Positions (Positions Maverick sold out of completely):
Hanesbrands (HBI)
Autozone (AZO)
Bankrate (RATE)
CNET (CNET)
Crocs (CROX)
Cumulus Media (CMLS)
Harmonic (HLIT)
Loews (L)
Move Inc (MOVE)
Nucor (NUE)
OfficeMax (OMX)
Qualcomm (QCOM)
Salesforce (CRM)
Sandisk (SNDK)
Sears (SHLD)
Starbucks (SBUX)
UnitedHealth (UNH)

Positions with no change:
VMWare (VMW). Position is 0.59% of their portfolio.
BPW Acquisition (BPW). Position is 0.18% of their portfolio.
FIrst Marblehead (FMD). Position is 0.05% of their portfolio.
Ultra Clean Holdings (UCTT). Position is 0.01% of their portfolio.
Vivus (VVUS). Position is 0.01% of their portfolio.

Top 20 holdings by % of portfolio:
1. Apple (AAPL): 4.09% of the portfolio
2. Research in Motion (RIMM): 4.08% of the portfolio
3. America Movil (AMX): 3.91% of the portfolio
4. Bank of New York Mellon (BK): 3.15% of the portfolio
5. Marvell Tech (MRVL): 3.08% of the portfolio
6. First Solar (FSLR): 2.93% of the portfolio
7. Baxter Intl (BAX): 2.90% of the portfolio
8. Advanced Micro (AMD): 2.87% of the portfolio
9. Nordstrom (JWN): 2.79% of the portfolio
10. Raytheon (RTN): 2.58% of the portfolio
11. Gilead (GILD): 2.37% of the portfolio
12. Lorillard (LO): 2.36% of the portfolio
13. Covidien (COV): 2.32% of the portfolio
14. Citrix (CTXS): 2.20% of the portfolio
15. CVS Caremark (CVS): 2.09% of the portfolio
16. Western Union (WU): 2.08% of the portfolio
17. Fidelity National Info (FIS): 2.05% of the portfolio
18. Potash (POT): 2.00% of the portfolio
19. Burlington Northern (BNI): 1.83% of the portfolio
20. Netapp (NTAP): 1.81% of the portfolio

----------------------------------------------------

Breakdown: Maverick changed up their portfolio a decent amount over the past quarter. Most notable are their changes within their top 10 holdings. Hedge fund favorite Qualcomm (QCOM) was Maverick's 3rd largest holding last filing. This filing, they no longer even hold a position. Additionally, they were selling off chunks of other top 10 holdings from last quarter. They sold off 33% of their position in Avon Products (AVP), which was their 4th largest holding just one quarter ago. They also sold over 51% of their Gamestop (GME) position, which last quarter was their 7th largest holding. With those positions vacating their place in the top 10 holdings of Maverick's portfolio, new holdings obviously took their place. America Movil (AMX), another hedge fund favorite, was Maverick's 9th largest holding last time. This time, they increased their position by 129% and it is now their 3rd largest holding. They obviously used the weakness in this name to add to their position, just like fellow 'Tiger Cub' fund Lone Pine Capital. Maverick also added heavily to Nordstrom (JWN), increasing their position by 136% and making it now their 9th largest holding.

Maverick was out adding to tech across the board. Apple (AAPL) and Research in Motion (RIMM) are their top 2 largest holdings respectively, as they boosted their positions in both by over 14% each. Additionally, they added to their Marvell (MRVL) position, bringing it up to the fund's 5th largest position now. Maverick also continues to build a position in Advanced Micro Devices (AMD), as it now is their 8th largest holding.

Among their new positions this quarter are First Solar (FSLR), Lorillard (LO), and CVS Caremark (CVS). I highlight these three in particular because Maverick started large, new positions in all three names. First Solar (FSLR) was brought up all the way to the fund's 6th largest holding after not even owning shares last quarter. They started a new position in CVS Caremark (CVS) and brought it up to the fund's 15th largest holding. Also, they added heavily to Lorillard (LO) as well, making this new position their 12th largest holding. This position is interesting because we also saw Lone Pine Capital (ran by Stephen Mandel Jr.) start a new position in this exact same name. And, actually, this is not the only position that both Maverick and Lone Pine both started together. In this 13F filing, we see that Maverick started a position in Hansen Natural (HANS). And, Lone Pine recently disclosed that they have a 7.8% stake in HANS. It's definitely common to see many similar positions within the portfolios of various 'Tiger Cub' managers who now run their own funds because they all undoubtedly keep in touch and come from the same school of thought.

One last thing I would like to point out is Maverick selling completely out of various consumer related names. They sold completely out of their positions in Autozone (AZO), Hanesbrands (HBI), Sears (SHLD), Starbucks (SBUX), Crocs (CROX), and OfficeMax (OMX).

You can view their most recent 13F as filed with the SEC here.

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Mylan Generics Gaining Growth

Zacks Market Commentaries — Fri, 15 Aug 2008 14:11:57 +0000

While we expect Mylan Inc.s (MYL) acquisition of Merck Generics to contribute to long-term growth, near-term execution risks remain. Mylan announced certain strategic initiatives which should help drive long-term growth. We view these initiatives as steps in the right direction. But the management also stated that they expect 2008-2010 EPS to be negatively impacted by a slower-than-expected new product launch.

The company adjusted EPS guidance for 2008-2010 based on higher expenses, reduced opportunities from patent challenges and the potential sale of its specialty business. We believe that the new guidance should be achievable and we have updated our model based on the guidance. The company expects to conclude the sale of its specialty business later this year - we have removed contributions from this segment from the fourth quarter onwards. We maintain a Hold rating on the stock.

The Merck Generics acquisition will allow Mylan to expand its footprints in non-U.S. markets like Europe, Japan and other Asia-Pacific regions. With Matrix and Merck Generics, Mylan should be able to position itself as a leader in the worldwide generics market.

The company expects to achieve synergies of $100 million, $121 million and $272 million in 2008, 2009, and 2010, respectively. Mylan shares are currently trading at 27.4x our estimated 2008 EPS of $0.50. Our price target of $14.50 is based on 29x our 2008 EPS estimate of $0.50.

Arpita Dutt, CA, contributed to the report.

Read the full analyst report on MYL

"MYL" Free Stock Analysis: Buy? Sell? Hold?
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