Zacks Bull and Bear of the Day Highlights: Sciele Pharmaceuticals, LoopNet, Newmont Mining, Barrier Therapeutics and BT Group

Business Wire, May 2, 2008

CHICAGO -- Zacks Equity Research highlights Sciele Pharmaceuticals (Nasdaq: SCRX) as the Bull of the Day and LoopNet, Inc. (Nasdaq: LOOP) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Newmont Mining Corp. (NYSE: NEM), Barrier Therapeutics (Nasdaq: BTRX) and BT Group (NYSE: BT). Full analysis of all these stocks is available at http://at.zacks.com/?id=2676.

Here is a synopsis of all five stocks:

Bull of the Day: Sciele Pharmaceuticals (Nasdaq: SCRX)

The company's broad focus and deep product pipeline offer substantial growth opportunities over the next several years. Moreover, Sciele received a boost in January when the FDA approved the company's new Sular formulation. This removed a significant overhang from the stock. Sciele started shipping and promoting the new Sular from late March. The company intends to switch users to the new formulation prior to the potential entry of generic Sular in June 2008. We believe the current share price represents an attractive entry point for long-term investors and we rate the stock a Buy.

Bear of the Day: LoopNet, Inc. (Nasdaq: LOOP)

We reiterate our Sell rating on shares of LOOP following the release of Q1 financial results. Although the company owns the leading online commercial real estate marketplace, we believe that a challenging near-term operating environment will curtail share price appreciation. Continuing macroeconomic challenges will likely put stress on the commercial real estate sector, in our opinion, as slower economic growth combined with tight access to debt capital may limit transaction activity. Given our outlook for a slowing rate of revenue growth and relatively flat earnings growth over the next two years, we believe that a lower multiple is appropriate at this time.

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Newmont Mining Corp. (NYSE: NEM)

Newmont Mining is one of the world's largest unhedged gold producers. Gold prices are skyrocketing due to improved supply/demand and U.S. trade/budget/currency issues with global instability. The company is attempting cost-cutting measures to mitigate higher mine costs due to declining grades. As a result, we rate the shares a Hold, with a target of $47.50 due to high valuation and declining mine quality, despite the improving fundamentals.

On April 24, 2008, Newmont Mining Corporation announced 2008 first quarter results. For the first quarter, net income from continuing operations were $0.80 per diluted share, compared to net income from continuing operations of $0.09 per diluted share in the prior year quarter. Revenues for the quarter increased 59% to $1.9 billion from first quarter 2007. The company reported 1.29 million oz of equity gold sales at an average realized gold price of $933/oz. This was largely in line with management's expectations as higher than anticipated grades at Jundee and inventory reductions at Yanacocha and Batu Hijau offset shortfalls from the timing of production at Twin Creeks and lower grades and unplanned mill maintenance at Ahafo in Ghana.

Barrier Therapeutics (Nasdaq: BTRX)

Barrier Therapeutics is a biopharmaceutical company focused on the discovery, development, and commercialization of pharmaceutical products in the field of dermatology. Although the company launched two new products (Vusion and Xolegel) in 2006, revenue contribution from these products will not be sufficient to drive Barrier to profitability in the near future.

We believe that the main potential for the company lies with Hyphanox -- we expect to see phase III data on this candidate later this year. Positive results on Hyphanox and suitable partnership deals for Pramiconazole and Hyphanox would help restore investor confidence in the company. In the mean time, we prefer remaining on the sidelines.

BT Group (NYSE: BT)

BT Group Plc is expected to report in-line 4Q08. It reported a weaker-than-expected 3Q08, with revenues below our estimate, but earnings, helped by a lower effective tax rate, were in line.

The company is moving ahead with the expansion of its 21CN network. The company rolled out its wholesale broadband services on the 21CN network recently. BT Global continues to execute well, winning deals valued at PS8.6 billion in the trailing 12-month period. The company has been able to expand EBITDA margins due to its restructuring efforts, although pricing pressure is causing traditional revenues to decline.

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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