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Zacks Analyst Blog Highlights: Coca-Cola Femsa, Coca-Cola Co., Halliburton, Schlumberger and Baker |
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Written by Administrator
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Friday, 22 December 2006 |
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Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets.
Stocks recently featured in the blog include: Coca-Cola Femsa (NYSE: KOF), Coca-Cola Co. (NYSE: KO), Halliburton (NYSE: HAL), Schlumberger (NYSE: SLB) and Baker Hughes (NYSE: BHI).
See the latest posts to the Analyst Blog by visiting: http://at.zacks.com/?id=2673
Here are highlights from Wednesday’s Analyst Blog:
Coke & Femsa Buy Juice
The Mexican bottler Coca-Cola Femsa (NYSE: KOF) announced yesterday its plans to buy the Mexican juice maker Jugos del Valle for $380 million in a joint venture with Coca-Cola Co. (NYSE: KO) in order to gain a greater share of the fast-expanding Latin American juice market.
Additionally, Coca-Cola Femsa and Coca-Cola Co. would take on $90 million of Jugos del Valle's debt. We continue to see a huge upside for the non-traditional beverage products like juices and flavored waters, etc. Moreover, the Latin American market for beverage companies remains very attractive. All considered we are keeping our Buy recommendation on KOF.
Halliburton Stays a Buy
While continued weakness in the North American natural gas fundamentals is expected to remain a near-term headwind, Halliburton’s (NYSE: HAL) recent successful IPO of 19% of KBR is a major positive. The company plans to spin-off the rest of the subsidiary through a stock dividend to shareholders by April next year.
With the separation of KBR, Halliburton will become a pure oilfield service player, which should narrow, if not altogether eliminate, its valuation discount relative to Schlumberger (NYSE: SLB) and Baker Hughes (NYSE: BHI). Our Buy recommendation remains unchanged as we continue to view Halliburton as a core oilfield service holding. |
