Zacks Analyst Blog Highlights: Nuvelo, Inc., SINA Corp., American International Group, Inc., MBIA and Ambac Financial Group

Business Wire, Sept 29, 2008

CHICAGO -- 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: Nuvelo, Inc. (Nasdaq: NUVO), SINA Corp. (Nasdaq: SINA), American International Group, Inc. (NYSE: AIG), MBIA Inc. (NYSE: MBI) and Ambac Financial Group, Inc. (NYSE: ABK).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=4579

Here are highlights from Friday's Analyst Blog:

Nuvelo "Wait & See" After Merger

Nuvelo, Inc. (Nasdaq: NUVO) is a biopharmaceutical company that makes drugs for acute cardiovascular and cancer therapy. On September 25, the San Carlos, California-based company announced that it has entered into a definitive merger agreement with privately held ARCA Biopharma, Inc. Under the terms of the agreement, ARCA will become a wholly owned subsidiary of Nuvelo.

The deal will result in the creation of a late-stage biotechnology company which will focus on the treatment of cardiovascular diseases. This deal makes sense for both companies in our view. While Nuvelo will get the chance to transform itself into a late-stage biotech company, ARCA should be able to put Nuvelo's significant cash balance to good use towards the commercialization of its lead pipeline candidate, Gencaro, which is currently under FDA review for the treatment of chronic heart failure.

SINA Corp. Shows Olympic Bump

SINA Corporation (Nasdaq: SINA) is one of the most well-known online brands in China. The company is a leading provider of online media and value-added information services to global Chinese community. The company continues to do well in its online brand advertising, and is increasing the gap between it and its closest competitor in the online brand ad market.

Sina has released its estimate of the impact of the Beijing Olympics. The company reported that on-line advertising (70% of total revenue) growth was enhanced by about fifteen percentage points from the rate experienced in 2007, for an annual growth of 55% year over year.

Take a Deep Breath; Where Are We?

OK, let's recap this whole thing. Hank Paulson has been consistently behind the curve. The crisis was easily foreseeable, but it was attacked piecemeal. Then again, some of the piecemeal solutions were actually well-crafted, that included substantial protections for the taxpayers.

For example, AIG (NYSE: AIG) is paying a very steep interest rate for its bridge loan and for the privileged taxpayers who get most of the equity in the firm. However, the decision was made that they had to get ahead of the whole problem and deal with it on a systemic basis after the markets started to seriously unravel.

The market is going to tank today, but do not try to bottom-fish it. Right now, TIPS look like a safe place to hide. High grade Muni bonds look good, but make sure that the credit rating is based on the underlying credit, not because it is insured -- insurers MBIA (NYSE: MBI) and Ambac (NYSE: ABK) could be strained further. On a tax-adjusted basis they look very cheap.

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=2649.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=2677

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=4580.

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

Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.