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Zacks Analyst Blog Highlights: Costco, BJ's Wholesale Club, General Motors Corp, JBT Corp and FMC Technologies
Thursday, March 05, 2009 7:11 AM


(Source: Business Wire)trackingZacks.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: Costco (NASDAQ: COST), BJ's Wholesale Club (NYSE: BJ), General Motors Corp (NYSE: GM), JBT Corp (NYSE: JBT) and FMC Technologies (NYSE: FTI).

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Here are highlights from Wednesday's Analyst Blog:

COST Misses; BJ Beats

This morning, two membership warehouses reported 4th quarter results. Costco (NASDAQ: COST) missed Zacks consensus EPS estimates by $0.05, while revenues were in line. BJ's Wholesale Club (NYSE: BJ) reported earnings of $0.89 per share $0.03 above the Zacks consensus estimate, while falling a little short on revenue.

Both companies were negatively affected by gasoline deflation. As gasoline prices fall, BJ's and Costco's overall gasoline sales fall. Costco, which generates about 20% of its sales outside the US, was also hurt by the stronger US dollar.

GM Target Price Remains $0

General Motors Corp (NYSE: GM) is one of the largest automobile manufacturers in the world. We believe that the company should file for bankruptcy to rid itself of Unions and pension & health care issues, besides separating dealerships from the rest of the company.

The U.S. Government has provided the company up to $13.4 billion under the Troubled Asset Relief Program (TARP) in 3-year term loans to sustain operations through the 1st quarter of 2009. The company has indicated a further requirement of $16.6 billion aid from the U.S. Government and $6 billion from the governments of Canada, Germany, U.K., Sweden and Thailand to sustain operations in these countries.

JBT Expects "Challenging Year"

JBT Corp (NYSE: JBT) -- formerly known as John Bean Technologies, which, in turn, was spun out of FMC Technologies (NYSE: FTI) during 2008 -- reported its 4th quarter 2008 results.

Revenue of $234.4 million was down 19.3%. Income before Interest & Taxes was off by 25% to $17.1 million, as the margin declined from 7.8% to 7.3%. Net Income from Continuing Operations of $10.3 million equaled 4.4% of Revenue compared to $14.7 million or 5.1% on an historical basis, and $13.0 million or 4.5% on a pro-forma basis.

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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 long-term.

Continuous 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.

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Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics 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 http://at.zacks.com/?id=4580.

Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

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 any security.

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