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Biotech / Medical : Sepracor-Looks very promising

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From: Icebrg10/2/2008 4:20:09 AM
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Zacks Sell List Highlights: Sepracor, CRA International, Owens-Illinois and Ciena Corp.
Posted : Wed, 01 Oct 2008 23:34:22 GMT
Author : IL-ZACKS.COM
Category : Press Release

CHICAGO - (Business Wire) Zacks.com releases details on a group of stocks that are currently members of the exclusive Zacks #5 Rank List – Stocks to Sell Now. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): Sepracor, Inc. (NASDAQ: SEPR) and CRA International, Inc. (NASDAQ: CRAI). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: Owens-Illinois, Inc. (NYSE: OI) and Ciena Corp. (NASDAQ: CIEN). To see the full Zacks #5 Rank List - Stocks to Sell Now visit: at.zacks.com

Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List — Stocks to Sell Now by 81% annually (+2% versus +11%). While the rest of Wall Street continued to tout stocks during the market declines of the last few years, Zacks told investors which stocks to sell or avoid.

Here is a synopsis of why SEPR and CRAI have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe:

Sepracor, Inc.’s (NASDAQ: SEPR) business fundamentals have been mixed over the past several quarters. After reporting second-quarter results that missed Analyst estimates on higher costs, the company cut its full-year revenue guidance. Sales of asthma drug Xopenex have suffered due to lower reimbursement rates from the Medicare program. The performance of the stock is largely dependent on insomnia drug Lunesta. But with generic pressure likely to ramp up in the next few years, Sepracor will be challenged to grow its sales of Lunesta in the U.S.

earthtimes.org
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