Zacks Sell List Highlights: Dow Jones & Co., OfficeMax, Hasbro, and UST

Business Wire, April 29, 2005

CHICAGO -- Zacks.com releases details on a group of stocks that are currently members of the exclusive Zacks #5 Rank List - Stocks to Sell Now. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): Dow Jones & Company (NYSE:DJ) and OfficeMax, Inc. (NYSE:OMX). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: Hasbro, Inc. (NYSE:HAS) and UST, Inc. (NYSE:UST). To see the full Zacks #5 Rank List - Stocks to Sell Now visit: http://at.zacks.com/?id=92

Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List -- Stocks to Sell Now by 155.5% annually (11.9% vs. 4.6% respectively). While the rest of Wall Street continued to tout stocks during the market declines of the last few years, Zacks told investors which stocks to sell or avoid.

Here is a synopsis of why DJ and OMX have a Zacks Rank of 5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the Zacks ranked stocks:

Dow Jones & Company (NYSE:DJ) said, excluding special items, first-quarter profits fell 50% to 11 cents per share and revenues declined 3.4% from a year prior. The company blamed a difficult B2B print advertising climate for the lackluster performance. Analysts responded to the report by lowering full-year earnings estimates by two cents to $1.16 per share. Including this recent revision, full-year estimates are now 24 cents, or 17%, below their level of just three months ago.

OfficeMax, Inc. (NYSE:OMX) missed profit expectations for the fourth time in five quarter. Last week, the company reported first quarter profits of 20 cents, seven cents below the consensus estimate. Revenues for the company's Contract and Retail segment declined 1%, partially reflecting a change in the timing of the Contract selling period. Over the past seven days, the full-year consensus earnings estimate declined by two cents to 99 cents per share, reflecting one-cent downward revisions to second and third-quarter estimates. Full-year estimates have cumulatively declined 57 cents, or 36%, over the past three months.

Here is a synopsis of why HAS and UST have a Zacks Rank of 4 (Sell) and should also most likely be sold or avoided for the next one to three months. Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks:

Hasbro, Inc. (NYSE:HAS) missed the consensus earnings estimate for the third time in four quarters last week. The company reported a first-quarter loss of two cents below versus expectations for a profit of three cents per share. Net revenues declined 4% reflecting weakness in the Games segment. Analysts have adjusted their full-year estimates downwards by three cents over the past 30 days to $1.20 per share.

UST, Inc. (NYSE:UST) reported first-quarter earnings of 73 cents per share -- two cents below the consensus estimate. The company blamed weakness in its smokeless tobacco business for the weakness. Within the past seven days, analysts have lowered their outlook for the remainder of the year. Full-year profits are now expected to be $3.23, ten cents below the level of a week prior.

Truly taking advantage of the Zacks Rank requires the understanding of how it works. The free special report; "Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions" is available to provide this insightful background. Download a free copy now to prosper in the years to come at http://at.zacks.com/?id=93

About the Zacks Rank

For over 17 years, the Zacks Rank has proven that "Earnings estimate revisions are the most powerful force impacting stock prices." Since inception in 1988, #1 Rank stocks have generated an average annual return of 32.8%. During the 2000-2002 bear market, Zacks #1 Rank stocks gained 43.8%, while the S&P 500 tumbled 37.6%. Also note that the Zacks Rank system has just as many Strong Sell recommendations (Rank #5) as Strong Buy recommendations (Rank #1). Since 1988, Zacks Rank #5 stocks have underperformed the S&P 500 by 155.5% annually ( 4.6% vs. 11.9%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.

Zacks "Profit from the Pros" e-mail newsletter offers continuous coverage of Zacks #1 Rank stocks and highlights those stocks poised to outperform the market. Subscribe to this free newsletter today by visiting http://at.zacks.com/?id=94

The Zacks Rank, and all of its recommendations, is created by Zacks & Co., member NASD. Zacks.com displays the Zacks Rank with permission from Zacks & Co. on its web site for individual investors.

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 to compile, analyze, and distribute investment research to both institutional and individual investors. The guiding principle behind Zacks is the belief that investment experts, such as brokerage analysts and investment newsletter writers, have superior knowledge about how to invest successfully. The goal is to unlock these pros' profitable insights for individual investors hard-pressed to find this valuable information in one source. A free subscription to "Profit from the Pros" weekly e-mail newsletter provides the best way to use these experts' insights for more profitable investing. Register for a free subscription to the Profit From the Pros newsletter at http://at.zacks.com/?id=95