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Hovnanian Enterprises, Potash Corporation of Saskatchewan, Supernus Pharmaceuticals, Actavis and Anika Therapeutics highlighted



     Hovnanian Enterprises, Potash Corporation of Saskatchewan, Supernus
Pharmaceuticals, Actavis and Anika Therapeutics highlighted as Zacks Bull and
                               Bear of the Day

PR Newswire

CHICAGO, Aug. 12, 2013

CHICAGO, Aug. 12, 2013 /PRNewswire/ -- Zacks Equity Research highlights
Hovnanian Enterprises, Inc. (NYSE:HOV-Free Report) as the Bull of the Day and
Potash Corporation of Saskatchewan (NYSE:POT Free Report) as the Bear of the
Day. In addition, Zacks Equity Research provides analysis ontheSupernus
Pharmaceuticals, Inc. (Nasdaq:SUPN-Free Report), Actavis, Inc. (NYSE:ACT-Free
Report) and Anika Therapeutics Inc. (Nasdaq:ANIK-Free Report).

(Logo: http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)

Here is a synopsis of all five stocks:

Bull of the Day:

Housing stocks have fallen from their recent highs. Yet builders like
Hovnanian Enterprises, Inc. (NYSE:HOV-Free Report) are still expected to
generate double digit earnings growth this year and in 2014. Is this stock
weakness a buying opportunity?

Hovnanian and its brands, which include Brighton Homes, Parkwood Builders,
Town & Country Homes and Oster Homes, is one of the most recognizable
homebuilders in the United States. Founded in 1959, it has operations in 16
states, including the hot housing markets of California, Florida, Illinois,
Arizona and Virginia, and the District of Columbia.

Hovnanian reports earnings outside of the normal earnings cycle. It reported
second quarter earnings results all the way back on June 5. But it was a sign
of things to come with the rest of the homebuilders as it easily beat the
Zacks Consensus by 120%.

The company made a penny, beating the Zacks Consensus by 6 cents. The Zacks
Consensus was looking for a loss of 5 cents.

Revenue was up 23.8% to $423 million. For the first six months of fiscal 2013,
revenue rose 27.8% to $781.2 million.

Hovnanian was able to raise home prices in the quarter throughout the country
to offset increases in labor or material costs. Homebuilding gross margin
percentage increased 150 basis points to 18.9% from 17.4% in the second
quarter of fiscal 2012.

Bear of the Day:

The fertilizer industry was blindsided on July 30 when Russian potash giant
Uralkali announced it was leaving the lucrative potash cartel. Shares of
Potash Corporation of Saskatchewan (NYSE:POT Free Report), the world's largest
potash producer, got hit and earnings estimates were slashed. Earnings are now
expected to decline by 14% in 2013.

Russian-based Uralkali's announcement, that it would operate its plants at
nearly 100% capacity, thereby flooding the fertilizer market with potash,
caught everyone by surprise. Uralkali is part of a cartel of companies which
includes Belarus-based Belaruskali and the Canadian producers, Potash, Mosaic
and Agrium, which regulates the inventory of potash on the market.

Analysts expect the price of potash to plunge as a result. Potash price per
ton averaged $485 in 2012. Analysts expect it to fall as low as $300 per ton.
Of course, this will go directly to the bottom line.

Additional content:

Supernus Files Suit Against Actavis

Supernus Pharmaceuticals, Inc. (Nasdaq:SUPN-Free Report) recently announced
the filing of a patent infringement lawsuit against Actavis, Inc.
(NYSE:ACT-Free Report). Actavis is looking to launch its generic version of
Oxtellar XR – an antiepileptic drug.

With the patent infringement lawsuit being filed in the U.S. District Court
for the District of New Jersey within 45 days of the receipt of the paragraph
IV certification notice, the U.S. Food and Drug Administration (FDA) cannot
grant final approval to the generic versions of Oxtellar XR before 30 months.

The challenged patents are scheduled to expire on Apr 13, 2027.

Oxtellar XR is an extended release formulation of oxcarbazepine. Oxtellar XR
is an antiepileptic drug indicated for adjunctive therapy for the treatment of
partial seizures in adults and in children 6 to 17 years of age.

Oxtellar XR is the sole marketed product in Supernus' portfolio, which was
launched in Feb 2013 in the U.S. In Nov 2012, Supernus had received three
years of marketing exclusivity from the FDA. As of Mar 31, 2013, net deferred
product revenue was $3.6 million. In the first two months of its launch,
prescriptions totaled 579.

Supernus has an agreement with Patheon Inc. for the manufacture, formulation,
development and supply of commercial-grade quantities of oxcarbazepine, the
active pharmaceutical ingredient in Supernus' Oxtellar XR, in the U.S. As per
the terms of the commercial supply agreement, Patheon will manufacture
(including processing, packaging and labeling) oxcarbazepine at its facility.
Supernus will provide Patheon with all relevant materials required for
manufacturing the product.

Supernus carries a Zacks Rank #3 (Hold). Currently, companies like Anika
Therapeutics Inc. (Nasdaq:ANIK-Free Report)  look well-positioned with a Zacks
Rank #1 (Strong Buy).

Get today's Zacks #1 Stock of the Day with your free subscription to Profit
from the Pros newsletter:

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