Zacks Sell List Highlights: Legg Mason Inc, Spectranetics Corp, Freeport-McMoRan...
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Zacks Sell List Highlights: Legg Mason Inc, Spectranetics Corp, Freeport-McMoRan Copper & Gold Inc, Unilever. CHICAGO--(Business Wire)-- 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): Legg Mason Inc (NYSE: LM) and Spectranetics Corp (NASDAQ: SPNC). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: Freeport-McMoRan Copper & Gold Inc (NYSE: FCX) and Unilever (NYSE: UL). 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 81% annually (+2% versus +11%). 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 LM and SPNC 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 stocks in the Zacks Rank universe: Legg Mason Inc (NYSE: LM) shares have lost more than half of their value since the beginning of this year as investors have panicked over the asset manager's flagship funds. Most stocks pickers, including Bill Miller, have been pulling money out of Legg Mason funds. After the recent turmoil on Wall Street, the company might have to take more write-downs over the next year. Analysts covering the stock forecast earnings of $2.63 a share in 2009, down from $4.16 per share 90 days ago. Spectranetics Corp (NASDAQ: SPNC) recently hit a four-year low after the medical device maker was served with a search warrant by the Food and Drug Administration and U.S. Immigration and Customs Enforcement. The investigation could hamper the company's goodwill and increase spending. Spectranetics also has problems with one of its laser study programs, which was halted in trials over FDA's safety concerns. Analysts have changed their full-year estimates to a loss of 4 cents from a profit view of 5 cents a share in the last few months. Here is a synopsis of why FCX and UL 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; Freeport-McMoRan Copper & Gold Inc (NYSE: FCX) expects its current third-quarter income to be hurt by about $100 million due to lower copper prices, which have dropped almost 25% since early July in response to global economic concerns. Freeport also cut its 2008 copper and gold production outlook due to two bomb explosions at its Grasberg facility in Indonesia. In the last seven days, analysts have slashed their 2008 earnings forecasts for the mining company by 77 cents to $9.66 per share. Unilever (NYSE: UL) reported second-quarter profit below market expectations as consumer spending dipped in reaction to increased prices for Knorr soup and Dove soap. The Anglo-Dutch consumer firm faces softening consumer spending in both North America and Western Europe. Unilever expects to battle higher raw material costs through the second half of the year as inflation pressures are likely to grow. The company's stock price recovered slightly after the appointment of Paul Polman as CEO, but it will take time before investors have concrete evidence of a turnaround. 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 Since 1988, 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 +30%. 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 81% annually (+2% versus +11%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release. Zacks "Profit from the Pros" e-mail newsletter offers continuous coverage of Zacks Rank Buy stocks and highlights those stocks poised to outperform the market. Subscribe to this free newsletter today by visiting http://at.zacks.com/?id=94 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=95 Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. 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. Zacks.com Contact: Michael Vodicka Phone: 312-265-9226 Email: email@example.com Visit: www.Zacks.com Copyright Business Wire 2008
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