Pharmaceuticals, National City, Amdocs, Citi Trends and Deutsche Bank CHICAGO--(BUSINESS WIRE)--August 07, 2008 Zacks Equity Research highlights Onyx Pharmaceuticals (Nasdaq: ONXX) as the Bull of the Day and National City Corp. (NYSE: NCC) as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Amdocs, Ltd. (NYSE: DOX), Citi Trends, Inc. (Nasdaq: CTRN) and Deutsche Bank AG (NYSE: DB). 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: Onyx Pharmaceuticals (Nasdaq: ONXX) Onyx reported strong Nexavar sales in the second quarter of 2008. This is mainly attributed to the market penetration in the liver cancer market while Nexavar's market share in the kidney cancer market has stabilized due to heavy competition from Pfizer and Wyeth. We believe Nexavar sales will continue to grow over the next several years since the label has expanded to liver cancer. In addition to the U.S. and EU, Nexavar has been approved in South Korea and China for liver cancer. Nexavar has the potential to become a blockbuster for Onyx. We maintain our Buy rating on Onyx shares with a price target of $46 per shares. Bear of the Day: National City Corp. (NYSE: NCC) NCC's 2Q08 GAAP net loss of $2.45 per diluted share was substantially worse than estimates, primarily due to higher loss provisions and a non-cash goodwill impairment charge of $1.1 billion. During the quarter, credit metrics deteriorated significantly and net-interest income fell short of expectations. The company raised $7.0 billion in capital and also reduced its quarterly dividend to $0.01 per share, to strengthen its capital position. These actions have resulted in significant dilution to the existing shareholders. Further, though, NCC has taken several initiatives to restructure its mortgage operations, we continue to see elevated risks in NCC's mortgage and residential development loan portfolio and expect higher losses in the coming quarters. We are maintaining our Sell rating with a six-month target price of $4.50 per share for NCC. Latest Posts on the Zacks Analyst Blog: Amdocs, Ltd. (NYSE: DOX) Amdocs Limited, a leading provider of CRM and billing software for communications service providers, continues to demonstrate robust performance supported by industry-leading technology integration products for large-scale transformational projects and managed services. The company's third quarter fiscal 2008 financial results (ending June 30) were above our estimates. Amdocs retains a leading position for billing and customer care management in the telecommunications industry. Although management indicated caution concerning near-term business performance based on global macro-economic conditions, we believe the company's long-standing fundamentals have improved as global telecom carriers' transition to converged and consolidated customer management solutions. Citi Trends, Inc. (Nasdaq: CTRN) We expect Citi Trends to report strong results for the second quarter due in large part to the government's stimulus package, and we are increasing our sales and EPS estimates for the second quarter. The company is a relatively small specialty retailer with enormous growth potential as it begins to expand its stores across the country. It offers a smart selection of reasonably-priced hip fashions that continue to resonate with its core customer base. However, we do not believe that momentum will carry over into the second half of the year, and we are reducing our estimates for the second half of 2008 and 2009. Our 2008 estimates still fall within the company's full-year earnings guidance of $1.10 to $1.15 per share. We believe consensus estimates are too high for the second half of 2008 and expect those estimates to come down in the weeks ahead. As a result, we are downgrading the stock from Buy to Hold. Deutsche Bank AG (NYSE: DB) We are continuing our Hold on Deutsche Bank. DB posted second quarter earnings before nonrecurring items of 418 million, down 75% from the year-ago quarter, but up sequentially from a 985 million loss in the first quarter. This was below our estimate, as results reflected 2.3 billion in asset markdowns at the Corporate and Investment Bank. Most other segments performed reasonably well despite poor market conditions. In addition, DB cut costs significantly and further reduced risk exposures. We are lowering our EPADS (earnings per American Depositary Receipt) estimates to $5.00 from $8.00 for 2008 and to $11.90 from $14.15 for 2009. 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Zacks Bull and Bear of the Day Highlights: Onyx
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