Zacks Bull and Bear of the Day Highlights: Philippine Long Distance Telephone, Centennial Communications, Anglo-American and Eastman Chemical

Business Wire, Jan 15, 2008

CHICAGO -- Zacks Equity Research highlights Philippine Long Distance Telephone Company (NYSE: PHI) as the Bull of the Day and Centennial Communications Corp. (Nasdaq: CYCL) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Anglo-American (Nasdaq: AAUK) and Eastman Chemical (NYSE: EMN). Full analysis of all these 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 Philippine Long Distance Telephone Company (NYSE: PHI). We reiterate our BUY recommendation for Philippine Long Distance Telephone Company. The company has maintained its position as the country's dominant telecommunications service provider by expanding its presence in all segments of the industry. PLDT also continues to generate substantial free cash flow. Furthermore, vigorous subscriber gains in wireless phone and broadband internet should sustain steady growth in the coming years.

Bear of the Day:

Our Bear of the Day recommendation is for Centennial Communications Corp. (Nasdaq: CYCL), a regional provider of wireless and integrated communications. Revenue performance has been lackluster, following slow subscriber growth and lower roaming traffic. We remain concerned with net debt of approximately $2.0 billion and limited cash liquidity, although the company redeemed approximately $20 million of debt by November 2007. Moreover, we are not encouraged by management's outlook for 2008. We continue to await indications of improved operating profitability as changes in business strategy are taking longer to push upside trends in earnings.

Analyst Blog:

We are maintaining a Hold recommendation on Anglo-American (Nasdaq: AAUK). The company is benefiting from strong demand for commodities around the globe and increasing production. However, risks to global economic growth remain, and the strength of the South African rand could have a significant impact on future earnings. Headquartered in London, Anglo-American, Plc is a global leader in mining and natural resource sectors. It has significant and focused interests in gold, platinum, diamonds, coal, base metals, ferrous metals, industrial minerals and forest products.

Eastman Chemical (NYSE: EMN) has a strong fibers business and solid financials, plus a potential PET restructuring. However, a lack of free cash flow, PET capacity increases coupled with slowing growth, and PET industry overcapacity with higher raw material costs force us to rate the stock a Hold with a target of $66. On January 10, 2008, Eastman Chemical Company announced that its earnings per share excluding gains and costs for fourth-quarter 2007 are likely to be above the high end of the current range of analyst estimate, which is $1.06 per share. Positive impact of selling prices offsetting higher raw material and energy costs, earnings associated with a recent licensing of acetyl technology for the production of acetic acid, and lower general administrative expenses are expected to drive earnings. The company's share prices are to rise more than 5% after the fourth quarter results.

Get the full analysis of all these 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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