Zacks Bull and Bear of the Day Highlights: Sunoco Logistics Partners, Iron
Mountain, Nokia, Siemens and China Mobile
CHICAGO, Jan. 7, 2013
CHICAGO, Jan. 7, 2013 /PRNewswire/ --Zacks Equity Research highlights Sunoco
Logistics Partners (NYSE:SXL) as the Bull of the Day and Iron Mountain
(NYSE:IRM) as the Bear of the Day. In addition, Zacks Equity Research provides
analysis on Nokia Corporation (NYSE:NOK), Siemens AG (NYSE:SI) and China
Mobile Limited (NYSE:CHL).
Full analysis of all these stocks is available at
Here is a synopsis of all five stocks:
Bull of the Day:
Buoyed by a continued robust operating performance and favorable growth
prospects, we are maintaining our Outperform recommendation on Sunoco
Logistics Partners (NYSE:SXL). Recent results have been driven by strength in
its crude pipeline system and terminals facilities.
Importantly, the partnership has grown its cash distribution for 29
consecutive quarters. With its stable fee-based revenue,
geographically-diverse assets and strong business fundamentals, Sunoco
Logistics offers investors an opportunity to capture income growth through
steadily rising cash distributions and capital appreciation. Therefore, we are
confident of the partnerships total return potential.
As such, we rate units of Sunoco Logistics as an attractive investment and
maintain its Outperform recommendation. Our $59 price objective reflects a
2013 P/E multiple of 18.0x.
Bear of the Day:
Iron Mountain (NYSE:IRM) reported a dismal third quarter negatively impacted
by lower-than-expected organic growth in the core services coupled with
contraction in activity-based service revenue and decline in recycled paper
prices. The company provided a tepid outlook.
Although the company's decision to convert into an REIT would definitely
increase shareholders value and reduce the tax burden, we continue to believe
that the results will be negatively affected by sluggish internal growth,
volatile foreign exchange rates and a decline in recycled paper prices. Iron
Mountain has a strong product portfolio, which is helping it to expand into
However, we believe that this will not be enough to drive significant growth
over the long term. Thus, we downgrade the stock from Neutral to Underperform
and set a price target of $28.00.
Latest Posts on the Zacks Analyst Blog:
Nokia-Siemens Restructure Operations
Nokia-Siemens Network ('NSN') – a 50-50 joint venture between Nokia
Corporation (NYSE:NOK) and Siemens AG (NYSE:SI) has decided to merge its
Middle East and Africa (MEA) business into one single entity and has combined
the new division with the Asia operations. According to the company, the
operational rejig will allow NSN to better serve its large customers.
Following the restructuring, NSN's operational headquarters will shrink from
ten to six, which includes AMEA, Latin America, North America, and the three
subdivisions of Europe. Igor Leprince, who was previously heading NSN's Middle
East business, will head the newly formed MEA division, which includes the
Africa operations. Executive board member, Ashish Chowdhary will lead the
Asia, Middle East and Africa (AMEA) business which include the entire cluster
of MEA, India, Asia-Pacific, China and Japan.
The transformation will help Espoo, Finland-based NSN to provide a more
integrated service to its customers thereby improving its service quality
across the region. Precisely, the telecom equipment manufacturer will be in a
better position to deliver quality service to its multinational customers, who
are expanding their operations in different countries across the AMEA.
The leading telecom equipment manufacturer — NSN has been going through a
tough time for quite some time now. Though the company has a strong GSM
portfolio, it lacked severely on the CDMA front, which is the most dominant
network used in the lucrative North American market.
Historically, MEA has been a key market for NSN and has operations in 30
countries across the regions. The MEA region has witnessed steady demand for
TD-LTE (Time Division Long Term Evolution) and FDD-LTE (Frequency Division
Duplexing Long Term Evolution) based wireless broadband technologies among
NSN has won a contract from Vodacom, which was the first operator in South
Africa to launch LTE service. Moreover, in Asia, the company has won a couple
of network contracts from the world's largest operator China Mobile Limited
(NYSE:CHL) in the last two months.
Get the full analysis of all these stocks by going to
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
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.
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
Continuous analyst 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 by visiting http://at.zacks.com/?id=7158.
Zacks.com is a property of Zacks Investment Research, Inc., which was formed
in 1978 by Leonard Zacks. As a PhD from MIT 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
Visit http://www.zacks.com/performance for information about the performance
numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook:
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
Zacks Investment Research
800-767-3771 ext. 9339
SOURCE Zacks Investment Research, Inc.
Press spacebar to pause and continue. Press esc to stop.