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Zacks Analyst Blog Highlights: Regeneron, Sanofi-Aventis S.A., AstraZeneca, Ambac Financial and Citigroup
Wednesday, August 06, 2008 7:06 AM
Symbols: ABK, AZN, C, REGN, SNY
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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: Regeneron Pharmaceuticals Inc. (Nasdaq: REGN), Sanofi-Aventis S.A. (NYSE: SNY), AstraZeneca (NYSE: AZN), Ambac Financial Group Inc. (NYSE: ABK) and Citigroup (NYSE: C).

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Here are highlights from Tuesday's Analyst Blog:

Regeneron Outlook Optimistic

Regeneron Pharmaceuticals Inc. (Nasdaq: REGN) lead candidates are VEGF-Trap for the treatment of cancers, eye diseases, and IL-1 Trap for CAPS, a rare genetic disorder, and gout. The company recently received the approval from the Food and Drug Administration on Arcalyst for CAPS. It also has a number of pre-clinical drug candidates for other disorders.

The company made impressive progress in recent months in terms of clinical developments and business developments. We maintain our Buy rating on the shares.

We are optimistic about the company's Trap Technology. The Bayer collaboration on VEGF-Trap-Eye validates this technology and its value for eye diseases. The VEGF-Trap-Cancer programs with Sanofi-Aventis (NYSE: SNY) are progressing very well. We are impressed by the new deal with Sanofi-Aventis to develop antibody drugs. We are also pleased to see the license deals with AstraZeneca (NYSE: AZN) and Astellas to monetize and validate the company's VelocImmune technology.

Ambac Rates a Sell Pre-Earnings

Ambac Financial Group Inc. (NYSE: ABK) expects to release its 2Q08 results on August 6, 2008, with a conference call scheduled the same day. Over the past several days, the shares have reacted positively to the resolution of a $1.4 billion CDO transaction with Citigroup (NYSE: C).

However, the rating agency's current negative outlook, the capital raised dilutive effect on the shareholders equity and earnings, incremental collateral posting, economic pressures enhancement of the housing market woes and competitive challenges from writing new business during next several quarters should continue to weigh on ABK's ability to generate revenue and EPS over the near term.

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Story Source: Business Wire




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