Zacks Bull and Bear of the Day Highlights: Altera Corp., Kimberly-Clark Corporation, Yahoo! and British Telecom

Business Wire, Oct 19, 2006

CHICAGO -- Zacks Equity Research highlights Altera Corp. (Nasdaq: ALTR) the Bull of the Day and Kimberly-Clark Corporation (NYSE: KMB) the Bear of the Day. In addition, Zacks Equity Research provides analysis on Yahoo! (Nasdaq: YHOO) and British Telecom (NYSE: BT). 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 Altera Corp. (Nasdaq: ALTR). On October 16, Altera announced that the company had completed its review of its stock option practices and related accounting. The company expects restatements will total $47.6 million (pretax). Altera also expects to release its third quarter financial results on November 6, 2006, after market close. At this point, we are maintaining our Buy rating and our target price of $24.

Bear of the Day:

Our Bear of the Day recommendation is for Kimberly-Clark Corporation (NYSE: KMB). Kimberly-Clark has strong consumer brands and is well respected for product innovation, especially in the diaper category. Despite progress on the company's three cost savings programs (FORCE, the Global Business Plan, and the Competitive Improvement Initiatives), rising raw material costs, weak European operations, and competitive pressures are negatively impacting results. As a result, the stock is recommended as a Sell.

Analyst Blog:

We believe as a leader in branded advertising, Yahoo! (Nasdaq: YHOO) will be a prime beneficiary of the shift in advertising spending from traditional media to online media. Yahoo has established itself as a leader in Internet video and has grown traffic through upgrades to its existing pages and the launch of new ones. Although investors have been disappointed with recent results, we believe growing traffic will impact the bottom line over the next year. We therefore reiterate our Buy rating on Yahoo with a six-month target price of $35.00.

We expect British Telecom (NYSE: BT) to report a solid fiscal second quarter when the company reports its financial results on November 9th. The company continues to subsidize its faltering legacy revenues with New Wave services, such as broadband and wireless services. We have slightly raised our currency expectations for 2007, which has led us to raise our revenue and earnings estimates for 2007. Our 2008 estimates have been raised based on our expectations of solid cost cutting moves, and we have raised our price target to $53 over the next six months based on the company selling at 13.5x our new fiscal 2007 estimate of $3.93 per share, although we continue to rate shares of BT a Hold at this time.

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.

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