Inc., Trammell Crow and Companhia Siderurgica Nacional CHICAGO--(BUSINESS WIRE)--May 26, 2006 Zacks Equity Research highlights Sempra Energy (NYSE:SRE) as the Bull of the Day and Saks, Inc. (NYSE:SKS) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Trammell Crow (NYSE:TCC) and Companhia Siderurgica Nacional (NYSE:SID). Full analysis of all four 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 Sempra Energy (NYSE:SRE). Impressive operating and financial results in 2005, led by record performance in its commodities business and supported by solid results in utility operations, support our bullish outlook on SRE. Looking ahead, from a base of stable earnings via natural gas pipelines and storage, we see earnings growth driven by continued profitability at Sempra Commodities as well as significant contributions from several new LNG receipt terminals. However, the company might face difficulties from reduced cash flow and a below-average dividend. Accordingly, based upon cheap forward earnings valuation, we maintain SRE at a BUY recommendation with a six-month target price of $48. Price appreciation to our near-term valuation target, coupled with the increased $0.30 per share quarterly dividend - which we consider sustainable and secure - represents annualized total return potential of 17.5%. Bear of the Day: Our Bear of the Day recommendation is for Saks, Inc. (NYSE:SKS). There was a great deal of noise surrounding Saks' first quarter results because of numerous one-time items related to asset sales and transition arrangements. After nearly $2 billion in asset sales, Saks will need to improve its focus on improving its Saks Fifth Avenue stores. Unfortunately, management has already cautioned investors to expect weak sales trends in the second quarter, which should pressure its profit margins. In the short term, those investors looking for signs of a turnaround are going to be disappointed. Longer term may be a different story, but it is much too early to speculate. As a result, we continue to recommend that investors avoid SKS shares. Analyst Blog: We are reiterating our Buy recommendation on shares of Trammell Crow (NYSE:TCC). The company continues to have positive earnings momentum in most business segments, and we believe it will likely continue throughout 2006. We like management's focus on expanding its operating margins, and feel it can continue the progress it has made in the past few years. Trammell Crow is entering a cyclical business expansion as the economy recovers, and the company is firing on all cylinders, particularly in its Global Services business. Demand for real estate services continues to grow in a still hot real estate market. We maintain our Hold recommendation on Companhia Siderurgica Nacional (NYSE:SID), even after the recent sell-off in emerging-market stocks. We are still encouraged by the Brazilian short-term economic outlook and its history of high dividends. However, the stock's current valuation remains above the market average and well above other Brazilian steel companies, first quarter results were disappointing, and the outlook for steel prices in the short term is uncertain. Get the full analysis of all four 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. About the Analyst Blog Updated throughout every trading day, the Analyst Blog provides analysis from Zacks Equity Research about the latest news and events impacting stocks and the financial markets. 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Zacks Bull and Bear of the Day Highlights: Sempra Energy, Saks,
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