From Barron's 7-9-07: Market Perform - Price 58.43 on July 2 by Barrington Research "Apollo Group reported the financial results of its fiscal third quarter, ended May 31. Enrollment, revenue and earnings were all above expectations [bringing shares] near an 18-month high. Revenue increased 12.2% to $733.4 million from $653.4 million last year, above our estimate of $705 million and the First Call consensus of $702.9 million. Net income was $131.4 million, or $0.75 per share, compared to net income of $131.5 million, or 75 cents per share, last year and topped our estimate of 70 cents per share and the First Call consensus estimate of 69 cents per share. Degree enrollment for University of Phoenix and Axia College increased 12.2%... as of May 31...We've made the following changes to our earnings model: We now expect fiscal 2007 full-year revenue at $2.699 billion (+9%), above our prior estimate of $2.661 billion (+7.4%), and diluted EPS of $2.35 (flat from a year ago), also above our prior estimate of $2.25 (-4.3%)...Apollo's stock is up 50% [year to date] and is trading at 20.6 times the consensus calendar 2008 earnings estimate. On an EV/Ebitda [enterprise value/earnings before interest, taxes, depreciation and amortization] basis, APOL has a multiple of 14 times versus the current peer group average of 16.4 times."

From Barron's 7-9-07: Buy - Price 24.28 on July 2 by Bank of America "Raising target to 27 from 25, and 2008 [estimated earnings per share] to 1.39 from 1.35 [a share; Street consensus 1.38], and 09E EPS to 1.82 from 1.79 [Street: 1.68]. While the shares [of this international producer and marketer of wine, beer, and spirits] have not fully recovered from FY1Q07 collapse, we do believe the 28% rebound (versus 7.2% for the Standard & Poor's 500) off the bottom does begin to accommodate some level of earnings recovery in 2H08 and FY09. We continue to see upside potential to consensus estimates, as conservative guidance and overly negative extrapolation of one-off trends in U.S. wine are likely to fade over the next 12 months. Our valuation assumes 14.8 times our FY09E of $1.82, which is in line with the average multiple of 14.8 times over the last two years and 14 times over the last five years. Faster growth as earnings normalize could push the multiple modestly higher; however, the new [joint-venture] structure of the beer business should deflate the multiple relative to history."

From Barron's 7-9-07: Outperform - Price 16.41 on July 2 by Pacific Crest "Public since December 2006, Double-Take Software is well-positioned in the Windows-replication market with its patented architecture and unique filtering technology with real-time, byte-level replication, and it should sustain 25% or better revenue growth for at least the next three years, in our view. Our 12-month price target of 20 is based on 27 times our 2008 EPS estimate of 75 cents. This is a reasonable multiple, relative to Double-Take's revenue growth prospects and our forecast of profits doubling over the next two years. We are modeling a compound annual revenue growth rate of 27% over the next two years, which would equate to a PEG [price-to-earnings-growth] ratio of 1 times. Additionally, Double-Take has a strong balance sheet, with net cash in excess of $2 per share from the initial public offering proceeds. Market and macroeconomic conditions could interfere with the realization of this price target, as could risks such as competing against larger [rivals] with greater resources such as EMC, Symantec and Network Appliance; Windows exclusivity; dependence on top five partners that account for over 50% of its sales."

From Barron's 7-9-07: Market Perform - Price 34.66 on July 3 by Wachovia "Kraft [will] acquire Danone's biscuits unit, rais[ing] international exposure. The wait is over -- CEO Irene Rosenfeld has announced her first major deal. The binding offer for Danone's global biscuits, for $7.2 billion (or 13.2 times FY07E Ebitda), immediately raises international and emerging-markets exposure, with numerous opportunities also likely available to cross-leverage the legacy portfolio -- eventual cost synergies pegged at 7% of sales and the deal is expected to be accretive during year one. As regulatory approval awaits, the deal will likely close by year end -- we're maintaining estimates and await updated core commentary from FQ2 EPS. Our $33-to-$35 [target] range is based on 11 times our CY07E EV/Ebitda (roughly in line with peers). Risks include competition from private label in key categories and an emerging strategy favoring innovation and product mix."

From Barron's 7-9-07: Speculative Buy - Price 36.21 on July 3 by Taglich Brothers "Life Partners Holdings is the parent of Life Partners, the oldest and one of the most active companies in the secondary market for life-settlement transactions -- which involve purchase of an existing life-insurance policy at a discount to its face value for investment purposes...We're reiterating our Speculative Buy rating for shares of LPHI and increasing 12-month price target to 63 (previously 16). The big jump is based on a valuation on greatly increased earnings estimates...LPHI expects to report a 185% increase in [1Q] revenue, to $17.6 million from $6.2 million. Net income is expected to increase to $4.7 million or 49 cents per diluted share, versus net income of $200,000 or 5 cents per diluted share. We believe the significant ramp-up in Life Partners' revenue over the last two quarters was due to market-share gains related to a lawsuit against a major competitor. In October 2006, the Attorney General for the State of New York filed a civil lawsuit against Coventry First, alleging Coventry made secret payments to life-settlement brokers. We believe market-share gains combined with continuing growth of the industry should result in LPHI's reporting significant top- and bottom-line growth."

From Barron's 7-9-07: Sell - Price 29.45 on July 2 by Zacks Equity Research "Pharmion is a global pharmaceutical company focused on acquiring, developing, and commercializing products for treating hematology and oncology patients. The company has two main growth drivers, Thalidomide and Vidaza. Yet, sales of both are stalling [due to] fierce competition...Without acceleration in Vidaza prescriptions, [PHRM stock] will remain under pressure. Therefore, we maintain Sell rating, with a 23 target...significantly ramping [research-and-development] and [sales, general and administrative] costs will cause Pharmion to post negative EPS the next two years. The company's positive EPS in 2005 was short-lived. Revenues will be flat until 2008 when new drivers will kick in. We believe Pharmion shares will be under pressure in next six to 12 months due to lackluster performance of Vidaza and Thalidomide. Other initiatives will not kick in until the end of 2007...Vidaza was approved by the Food and Drug Administration in May 2004 for treatment of leukemia-predecessor, myelodysplastic syndrome. Another key product is Thalidomide for [treating] multiple myeloma and leprosy...PHRM also acquired the rights to three pipeline candidates, Satraplatin, MGCD0103 and Amrubicin."

From Barron's 7-9-07: Buy - Price 33.66 on July 2 by Janney Montgomery Scott "The company [recently] released its first-quarter 10Q for the period ended Dec. 31, 2006; results were in line with preliminary guidance provided earlier this year. The filing avoided a July 2 hard Nasdaq delisting deadline and the company's March period 10Q (fiscal second quarter) remains outstanding, with a hard August 16 Nasdaq deadline. The filing delays are the consequence of a previously disclosed stock-option investigation. In early June, the company lowered its 2007 calendar-year guidance and offered positive commentary on new business wins during the March quarter...things are beginning to stabilize and the company remains well positioned to take advantage of ongoing secular trends...We are increasing our 12-month fair-value estimate to 40 a share."