China Education Alliance, Inc. (NYSE: CEU) Announces Fourth Quarter and Year End 2009 Financial Results

HARBIN, China, March 15 /PRNewswire-Asia-FirstCall/ -- China Education Alliance, Inc. (NYSE:CEU - News) today announced financial results for the fourth quarter and fiscal year ended December 31, 2009. The Company will host a conference call Wednesday, March 17, 2010, at 11:00 a.m. EDT to discuss these results.

   Financial Highlights for the Fourth Quarter ended December 31, 2009
   -- Total revenue increased 13.5% year-over-year to $10.41 million,
      compared to revenue of $9.18 million in the fourth quarter of fiscal
      2008.
   -- Net income increased 24.0% year-over-year to $4.57 million, compared to
      net income of $3.68 million in the fourth quarter of fiscal 2008.
   -- EPS was $0.15 per fully diluted share, compared to EPS of $0.14 per
      fully diluted share in the fourth quarter of fiscal 2008.
   -- Operating income totalled $4.61 million, compared to an operating
      income of $3.87 million in the fourth quarter of 2008.
   -- Gross profit rose 22.7% to $8.78 million or 84.3% of sales, compared to
      77.9% of sales, or $7.15 million, in the fourth quarter of 2008.

"We are very pleased to report another solid, profitable quarter as demand for our high-quality educational services and our vocational training programs in China continues to see strong growth," said Xiqun Yu, Chairman and Chief Executive Officer of China Education Alliance. "Both the exam-oriented educational and vocational services sectors in China continue to experience rapid growth as students and job seekers strive to improve their skills in an increasingly competitive labor market. We believe our strong results, nearly 49 percent growth in annual revenue and 52 percent in annual earnings, show that our strategy of developing both our marketing efforts and service offerings for our online educational programs as well as our vocational training programs has positioned us for a strong 2010."

Financial results for the fourth quarter ended December 31, 2009

China Education Alliance reported total revenue of $10.41 million for the fourth quarter ended December 31, 2009, an increase of 13.5% compared to $9.18 million for the fourth quarter of 2008. The Company's online education business generated 59.3% of its total revenue in the fourth quarter of 2009 compared to 70.3% for the same prior-year period. Its training center business generated 35.4% of total revenue in the fourth quarter of 2009 compared to 21.2% for the same prior-year period; its advertising business division generated the remaining 5.3% of total revenue in the fourth quarter of 2009, compared to 8.5% for the same prior-year period.

Online education revenue was $6.17 million for the fourth quarter of 2009, keeping at the same level as the fourth quarter of 2008, $6.45 million. Training center revenue in the fourth quarter of 2009 was $3.69 million, up 89.7% from $1.94 million in the fourth quarter last year. The increase was due to new programs and courses added at all sites of the Company's training centers in Northeast China.

Advertising revenue was approximately $0.55 million for the fourth quarter of 2009, a decrease of 29.2% from $0.78 million in the fourth quarter last year. Advertising comprises only about 5% of total revenue.

Net income for the fourth quarter of 2009 was $4.57 million, representing an increase of 24% over fourth quarter 2008 net income of $3.68 million. The increase was largely the result of strong development in the Company's and training center division. Diluted earnings per share was $0.15, compared with $0.14 in the same period last year.

Operating income in the fourth quarter of fiscal 2009 increased to $4.61 million, from $3.87 million in the same period a year ago. Operating margin was 44.3% in the fourth quarter of fiscal 2009.

Overall cost of sales decreased 19.3% to $1.63 million in the fourth quarter of fiscal 2009, compared to $2.02 million for the same period in fiscal 2008. Gross profit increased to $8.78 million in the fourth quarter of fiscal 2009, an increase of 22.7% from $7.15 million for the same quarter in fiscal 2008. Gross margin for the fourth quarter of fiscal 2009 was 84.3%, as compared to 77.9% for the same quarter a year ago. The online education gross margin increased to 81.7% in the fourth quarter of fiscal 2009 from 78.8% for the same period in fiscal 2008. The training center gross margin increased to 87.3% for the fourth quarter of fiscal 2009 from 69.1% for the same period last year. Advertising gross margin was 93.3% in the fourth quarter of fiscal 2009, little change from 93.7% in the fourth quarter of last year.

Selling expenses decreased 13.8% to approximately $2.16 million for the fourth quarter of fiscal 2009, compared to $2.50 million in the fourth quarter of 2008, due to decreased expenses in marketing and advertising. General and administrative ("G&A") expenses were approximately $1.8 million for the fourth quarter of fiscal 2009, an increase from $0.57 million in the fourth quarter of fiscal 2008, primarily due to an increase in some non-cash expenses (stock-based compensation) in the fourth quarter of fiscal 2009 compared to the prior year. As a percentage of revenue, G&A expenses at 17.5% increased in the fourth quarter of fiscal 2009 from 6.22% in the same period of last year.

Financial results for the year ended December 31, 2009

Revenue for the year ended December 31, 2009 was $36.97 million, representing an increase of 48.8% from $24.85 million for the same year-end period of 2008. Online education revenue was $22.2 million for the year ended December 31, 2009, representing an increase of 33.1% from $16.7 million for the same year-end period of 2008. Training center revenue for the year ended December 31, 2009, was $12.1 million, representing an increase of 117.9% from $5.6 million in the same year-end period last year. The increase was largely the result of strong development in the Company's online education and onsite training center divisions. Advertising revenue was approximately $2.6 million for the year ended December 30, 2009, representing an increase of 1.5% from $2.59 million for the same prior year-end period.

Net income for the year ended December 31, 2009 was $15.21 million, representing an increase of 51.9% over full-year 2008 net income of $10.01 million. Diluted earnings per share for the year ended December 31, 2009 was $0.59, compared with $0.41 in the same year-end period of 2008.

Financial Condition

As of December 31, 2009, China Education Alliance had approximately $65.04 million in cash and cash equivalents, $66.74 million in working capital, and no long-term debt. Shareholders' equity at December 31, 2009 was approximately $75.34 million, an increase from approximately $33.71 million at December 31, 2008. The Company generated net cash from operating activities of $18.6 million in the year ended December 31, 2009, up 90.2% from $9.8 million in the year-end period of 2008.

Business Outlook

China Education Alliance believes the education industry in China will remain a fast-growth sector. The Company has experienced rapid growth by providing online and onsite, supplemental educational training services to students ages 6 to 18 and vocational training services to adults ages 18 and up.

On February 4, 2010, the Company announced the first of several planned acquisitions for 2010, the acquisition of the Beijing Shifan Culture Communication Co., Ltd. and, as a consequence, the establishment of a new entity, Beijing New Shifan Education & Technology. Beijing Shifan's publication, the "Senior High School Students Mathematic, Physics, and Chemistry" magazine, which is endorsed by the China's Ministry of Education, and its popular nationwide academic contest for middle school and high school students, is expected to accelerate the marketing efforts of the Company and provide a platform to access markets nationwide.

For students ages 6 to 18, the Company provides downloadable course material and test papers online and classroom instructions onsite. All the online course material and test papers and onsite classroom instructions are provided by famed instructors in the People's Republic of China, with the purpose of helping the students pass the two most important exams during their academic life: the high school and college entrance exams.

For adults ages 18 and up, the Company provides various vocational training including IT and other professional training programs.

   China Education Alliance has two primary business lines:
   1. Exam-Oriented Primary and Secondary School Supplemental Education: The
      Company provides online educational resources for primary and secondary
      students to download through the Internet, and offers onsite training
      by highly regarded instructors. Currently, the Company has expanded its
      business network from Heilongjiang province to Jilin, Liaoning and
      Inner Mongolia provinces. While the Company plans to penetrate into new
      areas, it will continue to explore and increase online market share in
      these four provinces. The Company's online educational resources are
      provided through its website, http://www.edu-chn.com . This website is
      a comprehensive education network platform that utilizes
      video-on-demand technology and houses a large database that includes
      more than 350,000 exams and test papers, as well as courseware for
      college, secondary and elementary schools.
   2. Vocational Training: The Company operates various vocational training
      programs through online services and onsite training at its main center
      in Beijing, as well as through its strategic partnerships with
      professional organizations such as the National Association of Vocation
      Education Society of China (NAVEC). The Company will focus on its
      Heilongjiang-based, self-run vocational education market, which
      includes IT training and other professional training programs.

"We will continue to focus on expanding our online educational product offerings and vocational training services into more provinces of the rapidly developing Northeast region of China. We remain committed to our expansion goals in 2010, and will continue to pursue acquisitions and strategic partnerships that improve our outreach efforts and expand our brand. We remain very confident that our marketing and expansion efforts, combined with the strong demand in China's education and vocational training sectors will support continued growth in 2010," said Mr. Xiqun Yu.

Conference Call and Webcast Details

The company will hold a conference call on Wednesday, March 17, 2010 at 11:00 a.m. EDT (8:00 a.m. Pacific Daylight time) to discuss financial results for the fourth quarter and fiscal year ended December 31, 2009.

To participate in the call, please dial (888) 549-7704, or (480) 629-9857 for international calls, approximately 10 minutes prior to the scheduled start time. Interested parties may also listen via a live Internet webcast, which can be found at the Company's website at http://www.chinaeducationalliance.com .

A replay of the call will be available for two weeks from 2:00 p.m. EDT on March 17, 2010, until 11:59 p.m. EDT on March 31, 2010. The number for the replay is 303-590-3030. The passcode for the replay is 4265652. In addition, a recording of the call will be available via the company's website at http://www.chinaeducationalliance.com for one year.

About China Education Alliance, Inc.

China Education Alliance, Inc. (http://www.chinaeducationalliance.com ) is a fast-growing, leading, China-based company offering high-quality education resources and services to students ages 6 to 18 and adults (university students and professionals) ages 18 and over. For students ages 6 to 18, China Education Alliance offers supplemental, online exam-oriented training materials and onsite, exam-oriented training and tutoring services. The company provides online, downloadable famous-teacher resources and onsite, personalized instruction. All resources and tutoring services are provided by famous teachers within mainland China. The purpose of online exam-orientated resources and onsite tutoring is to help Chinese students (ages 6 to 18) pass the two most important and highly competitive exams in their educational career: the senior high school entrance and college entrance exams. For graduates and professionals age 18 and over, China Education Alliance provides vocational training including IT and several professional training programs.

L & L Energy Announces Third Quarter Fiscal Year 2010 Financial Results

L & L Energy Announces Third Quarter Fiscal Year 2010 Financial Results

SEATTLE, March 17, 2010 (GLOBE NEWSWIRE) -- L & L Energy, Inc. (Nasdaq:LLEN - News) ("L&L"), a U.S. company operating coal businesses in China, announced financial results for the third fiscal quarter ended January 31, 2010. Earnings in the third quarter of fiscal year 2010 totaled $9.5 million, or $0.37 EPS, 9 month year to date EPS is $0.82.

Highlights for Third Quarter Fiscal 2010 Financial Results:

• Quarterly revenues increased by approximately 280% year-over-year to $37.9 million.
• Quarterly Net income increased by 440% year-over-year to $9.5 million.
• Nine month revenues ended January 31, 2010 increased by $44.3 million to $75.2 versus $30.9 for the same period a year ago.
• Nine month net income increased by $12.5 million to $19.2 million versus $6.7 million for the same period a year ago.

"Successful execution of our expansion plan in China resulted in outstanding sales and net income in the quarter," said Dickson Lee, Chairman and CEO of L&L." As planned, we will continue to expand production at our coal operations taking advantage of the China coal consolidation policy."

Results of Operations

Coal revenues for the third fiscal quarter of 2010 were derived entirely in China, from coal mining, coal washing, coking, and coal wholesale operations. The Company expanded its coal (energy) operations from Yunnan province into Guangzhou province and Guizhou province. As a result, the company operates in 3 provinces in south China, including KMC coal wholesale, DaPuAn Coal Mine, SuTsong Mine, and Ping Yi Mine, Hon Shen Coal Co, and TNI operations.

Business Outlook

L&L will continue to execute its expansion in coal mining operations and coal related business. It also plans to increase coal sales and gain access to higher margin markets.

About L & L Energy, Inc.

Founded in 1995 and headquartered in Seattle, L&L (http://www.LLEnergyInc.com) focuses on serving the energy market in China. Through its subsidiaries, it operates profitable coal mines, coal wholesale, coking, and coal-washing facilities.

Intuitive Surgical, Inc. (ISRG)

http://www.zacks.com/ZER/zer_get_pdf.php?r=Z583562&t=ISRG&id=13954

Intuitive Surgical's (ISRG ) story is improving. A new product was developed as an upgrade to its da Vinci Surgical System. Furthermore, the company enjoys a virtual monopoly in robotic surgery without direct competition.

The company's razor/razor blade business model ensures recurring revenues even during difficult times. In the fourth quarter, earnings of $1.95 per share were higher than the Zacks Consensus Estimate of $1.71. Revenue growth was witnessed across all segments.

The company also reported an expansion in its top and bottom lines in fiscal 2009. Based on the company's strong performance, we upgrade the stock to Outperform with a target price of $400.

More must see info on LYJN !!!

Here are some of the primary reasons that we believe in LYJN:

1) LYJN just released significant news on Wednesday recapping their past 12 months and announcing that their product is now available at Bloomingdales and Nordstrom! These are some of the largest retailers in the U.S. and these relationships should boost revenue for LYJN dramatically!

2) LYJN further announced that they shipped around 200,000 units to Target! This is a MAJOR announcement that seems to have already attracted the attention of Wall Street!

How many pinksheet companies have you heard of with such powerhouse retail distribution agreements? Not many! This not only makes LYJN attractive but potentially a huge Winner!

3) LYJN traded MASSIVE volume on Thursday and Friday after the PR was released. We believe that smart investors are taking a position in for a potentially huge return!

4) The stock has previously been valued at $0.40 per share! At around$0.024 we believe LYJN to be a TRUE BARGAIN with tremendous upside!

5) As we told you on Friday, LYJN has already been featured in the Wall Street Journal! Check out the article here, if you haven't already:http://www.lyricculture.com/_press/wall_street_journal.html

In addition, LYJN has also been featured or displayed in People, InStyle, Stuff, OK, US Weekly, Glamour, and Rolling Stone!

6) Many celebrities are already wearing and supporting LYJN 's clothing, include: Halle Berry, Brad Paisley, Miley Cyrus, Denise Richards, Brooke Burke, Kelly Clarkson, Renee Zellweger and Fergie!

7) LYJN has already signed deals with four of the biggest music publishers in the music industry. Sony, Universal, BMI and BMG all have agreements with the company and their unique brand of Rock n' Roll clothing. These are HUGE NAMES that can bring tremendous value to LYJN!

With the retail distribution, celebrity backing, and significant activity on the stock, LYJN could be at a turning point where the stock could be propelled to a whole new price level!

We just came across a new piece of information on LYJN that could push the price much higher!

There are over 10 million shares short on LYJN!

Check out this link from FINRA showing the number of shorts on LYJN:
http://regsho.finra.org/FORFshvol20100319.txt

You will find out that there are over 10.8 million shares short!

These shares will eventually have to be covered, and with such strong news and momentum from LYJN, these shorts could potentially COVER THIS WEEK!

We've watched shorts covering their positions in the past and when it happensstocks can jump from 200% to over 500% very quickly!

Make sure that you watch the action on LYJN on Monday and the rest of this week!

Don't be surprised to see a jump in price as retail investors scoop cheap shares which could catch the shorts by surprise!

This could be a HUGE week for all of our subscribers!

As always, we encourage our subscribers to do their own due diligence onLYJN. Visit the company web site at: http://www.lyricculture.com/

To view an impressive and detailed video overview of LYJN click on the following link: http://www.youtube.com/watch?v=BCqSUOuVN8U

Waves and Waves of Secondary Pricings (CVGI, CPA, G, HIG, HRP, NLST, SB, TSL)

This week week may have been a record for any recent period on how many secondary offerings came to market combined with how many specific filings were made to raise funds for public companies. And the filings became pricings as corporations decided to use the unusual market strength to bolster their books. In some cases it was just for insiders or holders to sell. The key pricings were in Commercial Vehicle Group Inc. (NASDAQ: CVGI), Copa Holdings, S.A. (NYSE: CPA), Genpact Ltd. (NYSE: G), The Hartford Financial Services Group, Inc. (NYSE: HIG), HRPT Properties Trust (NYSE: HRP), Netlist, Inc. (NASDAQ: NLST), Safe Bulkers, Inc. (NYSE: SB), and Trina Solar Limited (NYSE: TSL).

We have provided the size and price of each deal with the relative price movement, underwriters, share impact, and comparisons on the size of the company if applicable.

Commercial Vehicle Group Inc. (NASDAQ: CVGI) filed this week for a secondary offering and this morning it priced 3,800,000 shares of common stock at a price of $6.25 per share. The offering is by the company and the approximately $22 million is earmarked for general corporate purposes and Robert W. Baird & Co. acted as underwriter for the offering. Shares are down 0.3% at $6.66 on over 300,000 shares versus 91,000 shares per day on average. The market cap before any effects of this stock is $146.7 million and the 52-week range is $0.51 to $8.08.

Copa Holdings, S.A. (NYSE: CPA) was not seen this week in the filings but this morning priced 1,600,000 of its Class A non-voting shares by its selling holder CIASA at $56.00 per share. Morgan Stanley was the sole book-runner. Shares are flat now at $57.05, so it held above the offering despite the funds going to a holder rather than the company; its market cap is $2.47 billion.

Genpact Ltd. (NYSE: G) was at $14.91 after the company registered to sell 28 million shares of common stock for selling shareholders, but this morning the pricing is for 33.6 million shares at a price of $15.00 per share. Now shares are up 1% at $15.30 this morning. Those holders include General Electric Co. (NYSE: GE) and Wells Fargo & Company (NYSE: WFC) affiliates, as well as General Atlantic and Oak Hill Capital Partners. Morgan Stanley and Goldman Sachs are lead book-running managers; Citigroup, UBS Securities, and Credit Suisse are joint book-running managers; JPMorgan Securities and Wells Fargo are co-lead managers.

The Hartford Financial Services Group, Inc. (NYSE: HIG) announced last night the pricing of its public offering of $1.1 billion aggregate principal amount of its senior notes after it had priced its stock offering the day before: that equity offering was 52.253 million shares of common stock at $27.75 per share AND a concurrent offering of 20 million depositary shares representing a 1/40th interest in The Hartford’s 7.25% Mandatory Convertible Preferred Stock (Series F) at $25.00 per depositary share. As previously noted, this is to repay the TARP.

BioHealth Business Daily (APPA, GENZ, GENT, MRK, OSIP, OXGN, SOMX, THRX, CLDX)

We are seeing many key movers in the BioHealth space today as drug and biotech stocks often exhibit the most volatility of any sector. Today’s BioHealth Business Daily includes the key moves and news seen in AP Pharma Inc. (NASDAQ: APPA), Genzyme Corp. (NASDAQ: GENZ), Gentium S.p.A (NASDAQ: GENT), Merck & Co. Inc. (NYSE: MRK), OSI Pharmaceuticals Inc. (NASDAQ: OSIP), OXiGENE Inc. (NASDAQ: OXGN), Somaxon Pharmaceuticals, Inc. (NASDAQ: SOMX), Theravance Inc. (NASDAQ: THRX), and Celldex Therapeutics, Inc. (NASDAQ: CLDX).

We have outlined the relative news, price moves, historic data, and relative color where applicable on each.

AP Pharma Inc. (NASDAQ: APPA) is getting crushed today after the FDA complete response letter failed to back its anti-nausea chemotherapy drug. This one had risen yesterday ahead of the decision. Shares are down 47% at $1.09 on about 30-times volume of more than 15 million shares. The 52-week range is $0.38 – $2.16 and the market cap is just under $43 million now.

Genzyme Corp. (NASDAQ: GENZ) may be news from the outside or it may just be technical trading oriented. There has been an article on noted CEO pressure and then there is the chart. At $59.31 with a 3.3% gain, this is a multi-month high and toward the top of the $47.09 t $63.47 range over the last 52-weeks.

Gentium S.p.A (NASDAQ:: GENT) is a mystery mover and the only thing thrown out there is ‘takeover’ from chat rooms, yet there is nothing credible to back that up. Literally, that was all there is and we’d tell you that if you have to rely solely on chats then life is changing again. Shares are up 45% at $2.37 on over 550,000 shares. The 52-week range is $0.36 to $2.37.

Merck & Co. Inc. (NYSE: MRK) is under a little pressure, but only about 1% at $38.00. The FDA has issued a warning that its Zocor and Vytorin at the highest dosages could pose a greater muscle risk.

OSI Pharmaceuticals Inc. (NASDAQ: OSIP) is out touting news to keep the heat on Astellas or other bidders to do better than the current $52.00 cash tender on the table. It said its Roche partner on Tarceva has a favorable opinion from European drug regulators and expects a decision in 45 days for the drug. Shares are up 0.6% at $59.06 today but put in an intra-day high of $59.50.

OXiGENE Inc. (NASDAQ: OXGN) is down 5% today and already seen triple its normal volume after the company has a ‘going concern’ opinion on its audited financial statements for 2009. AT $1.14, its 52-week range is $0.62 to $2.78.

Somaxon Pharmaceuticals, Inc. (NASDAQ: SOMX) is trading up 1.3% at $9.33 and hit a new multi-year high of $10.60 earlier today. This is as the traders are trying to maintain yesterday’s monster gains after its Silenor insomnia drug received an FDA backing. This still only has a market cap of $221 million a the current price and we compared this to other big sleep-aid drugs in the battle against insomnia.

Theravance Inc. (NASDAQ: THRX) is now up 3% at $12.37 after the company sold 7.5 million shares at $11.50. The stock was up at $12.50 earlier this week before the filing was made. The lowest this stock hit today was $11.75, so frankly this looks like one of the better offerings out there from the therapeutics company.

On the mystery moves, or at least on moves with no real news on the tape… Celldex Therapeutics, Inc. (NASDAQ: CLDX) is up over 8% at $5.65 on 1.1 million shares versus a 52-week trading range of $4.16 to $14.19 and versus average volume of 360,000 shares.

Next Week’s Can’t Miss Earnings (TIF, WSM, CCL, RCL, WAG, ADBE, RHT, BBY, LULU, ORCL, CSCO)

Next week actually has some key earnings despite the notion that earnings season is over. We have many tied to retail due to the notion that most stock sin the national retail group have an off quarter that ends a month later for its fiscal year compared to most because of the nature of retail trends around Christmas and into January. We are looking at earnings of Tiffany & Co. (NYSE: TIF), Williams-Sonoma Inc. (NYSE: WSM), Carnival Corp. (NYSE: CCL), Walgreen Co. (NYSE: WAG), Adobe Systems Inc. (NYSE: ADBE), Red Hat Inc. (NYSE: RHT), Best Buy Co. Inc. (NYSE: BBY), Lululemon Athletica Inc. (NASDAQ: LULU), and Oracle Corp. (NASDAQ: ORCL).

We have listed basic estimates from Thomson Reuters and we have then listed prices, estimates ranges, valuation, and other key metrics on each where applicable.

Tiffany & Co. (NYSE: TIF) is up for earnings on Monday and we’ll see how Warren Buffett’s new creditor status is working out over the last year. Thomson Reuters has estimates of $1.13 EPS and $970.93 million revenues. For the quarter ahead, those estimates are $0.31 EPS and $585.91 million in revenues. With shares at $46.99, the 52-week range is $19.97 to $48.38.

Williams-Sonoma Inc. (NYSE: WSM) is back, at least that is how its earnings are supposed to be. We have also seen guidance lifted from it in the past so it has some wind at its back. This is expected Monday. Thomson Reuters has estimates at $0.73 EPS and $1.07 billion revenues. For the quarter ahead, those estimates are -$0.01 EPS and $646.76 million in revenues. It would seem that investors would like to hear guidance for any profit next quarter. At $24.10, the stock’s 52-week range is $9.70 to $25.00.

On Tuesday morning, Carnival Corp. (NYSE: CCL) is up for earnings. The cruise line is at $37.50 and the 52-week range is $20.70 to $38.37. Thomson Reuters has estimates of $0.14 EPS and $3.09 billion revenues. For the quarter ahead, those estimates are $0.25 EPS and $3.27 billion in revenues. As a result of the report, we’d be looking directly to Royal Caribbean Cruises Ltd. (NYSE: RCL) in conjunction.

Walgreen Co. (NYSE: WAG) is also on deck Tuesday morning. Thomson Reuters has estimates of $0.71 EPS and $17.18 billion in revenues. For the quarter ahead, those estimates are $0.61 EPS and $17.26 in revenues. At $35.35, the 52-week range is $23.67 to $40.69.

Adobe Systems Inc. (NYSE: ADBE) is on deck for Tuesday afternoon. Thomson Reuters has estimates of $0.37 EPS and $827.4 million revenues. For the quarter ahead, those estimates are $0.41 EPS and $858.62 million in revenues. At $34.57 its 52-week trading range is $20.39 to $38.20. Because of the Omniture acquisition, we would note that estimates versus reality on either side may have another quarter or so before a meeting of the minds comes back into play. At 17.8-times a blended 2010 to 2011 forward earnings (Nov-end) the multiple here is one to watch.

Red Hat Inc. (NYSE: RHT) is on deck Wednesday afternoon for the Linux software maker. The biggest issue here that always comes up is valuation. Thomson Reuters has estimates at $0.16 EPS and $193.18 million revenues. For the quarter ahead, those estimates are $0.18 EPS and $199.07 million in revenues. At $29.99, the 52-week trading range is $14.43 to $31,76. This marks its fiscal year-end as well, and with estimates at $0.76 EPS and $842.26 million for FEB-2011 year-end… the Linux play trades at 39-times forward earnings and about 6.7-times forward revenues.

Best Buy Co. Inc. (NYSE: BBY) is up for earnings on Wednesday morning. Thomson Reuters has estimates at $1.79 EPS and $16.05 billion revenues. For the quarter ahead, those estimates are $0.48 EPS and $10.85 billion in revenues. This is also the year-end and Best Buy reaffirmed a $3.00 to $3.15 range of annual earnings. One big issue that has come up here recently is buying lower-priced items in PCs and in flat-panel TVs. For whatever it is worth, it might also be worth a look into how much the ‘warranty business’ affected. At $41.19, the 52-week range is $31.25 to $45.55.

Lululemon Athletica Inc. (NASDAQ: LULU) is often an investor wild card around earnings and it is on deck next Thursday morning. The yoga-themed company also has a very high valuation with high growth rates behind it, but it has effectively no peers for relative comparison. Thomson Reuters has estimates are $0.29 EPS and $143.54 million revenues. For the quarter ahead, those estimates are $0.17 EPS and $109.5 million in revenues. Despite high growth, the 35-times forward Jan-2011 earnings needs either raised guidance and a significant beat or it needs to come in a bit. At $33.74, the stock’s 52-week range is $6.13 to $36.30.

Oracle Corp. (NASDAQ: ORCL) is one of the few still growing and shares are within about 3% of its 52-week and multi-year highs. Earnings are due next Thursday after the close. Thomson Reuters has estimates are $0.38 EPS and $6.36 billion in revenues. For the quarter ahead, those estimates are $0.53 EPS and $9.56 billion in revenues. As a reminder, the discrepancy over the figures for the last quarter versus next quarter is the addition of the Sun Microsystems acquisition. We would caution that analysts are often very poor at interpreting and then interpolating forward quarters when a merger is coming into the fold. That makes the “Guidance” a total question when it comes down to estimates versus reality. If you blend the Fiscal 2010 and 2011 (May-end), Oracle trades at 14.35-times forward earnings per share. Not expensive, not dirt cheap. Because Oracle goes after much of the same sort of enterprise spending dollars, albeit on different targets, the direct link to watch is Cisco Systems, Inc. (NASDAQ: CSCO).

The Unusual Suspects (ADBE, AIXG, GME, HAS, BBY, CIEN, LGF, ORCL, OSIP, PALM, SOMX, TEVA, TIF, CSCO, PFE, AMGN, RIMM)

Adobe Systems Inc. (NYSE: ADBE) is set to report earnings Tuesday afternoon, and because of its recent Omniture acquisition we would note that analysts often get their estimates wrong for a couple quarters during a merger. Thomson Reuters has estimates of $0.37 EPS and $827.4 million revenues. For the quarter ahead, those estimates are $0.41 EPS and $858.62 million in revenues. At $34.67 it has a 52-week trading range of $20.39 to $38.20. At about 17.8-times a blended 2010 to 2011 forward earnings the multiple here is one to watch.

Aixtron Aktiengesellschaft (NASDAQ: AIXG), a LED stock (German chip gear maker of deposition systems based on compound, silicon or organic semiconductor materials) which saw nearly a 400% move last year, was the #1 spot on the IBD 100 from Investor’s Business Daily this weekend. This is despite a 2.9% drop on Friday to $33.70. The 52-week trading range is $4.79 to $38.34 and this one trades approximately 461,000 shares per day. Frankly, this is an odd choice considering a ‘gap and crap’ pattern and considering a three-day losing streak. My quick take is that the stock broke under a near term support level and it looks like it will take a strong market for the stock to bounce. We’ll see, it is IBD and they have been doing this for some time. Next support level looks to be around $32.90.

Barron’s has two gaming and entertainment picks, GameStop Corp. (NYSE: GME) and Hasbro Inc. (NYSE: HAS). GameStop was given an article in Barron’s this weekend calling for the potential of a 40% upside. The notion was that the used video game is a “lucrative used-video game business gives it an important buttress against competitive big-box retailers.” GameStop saw its shares rise from under $20 to over $21 on earnings this week. On Hasbro, Barron’s says, “The maker of iconic toys and games is transforming itself into a global powerhouse with shrewd use of media new and old.” It noted a Needham analyst who recently downgraded the stock as still having a $45 target, which would be just over 19% upside from Friday’s close.

Best Buy Co. Inc. (NYSE: BBY) is set to report earnings early Wednesday morning. An issue which has been something to watch is that consumers have been deemed to be subject to buying more value or buying lower-priced items in PCs and in flat-panel TVs, which has brought up margin issues before. Thomson Reuters has estimates at $1.79 EPS and $16.05 billion revenues. For the quarter ahead, those estimates are $0.48 EPS and $10.85 billion in revenues. This is also the year-end and Best Buy reaffirmed a $3.00 to $3.15 range of annual earnings. For whatever it is worth, it might also be worth a look into how much the ‘warranty business’ affected. At $40.99, the 52-week range is $31.25 to $45.55.

Ciena Corp. (NASDAQ: CIEN) has announced on Friday that it has formally completed its acquisition of the optical and carrier ethernet assets of Nortel’s ‘Metro Ethernet Networks’ operations for $773.8 million (subject to probable downward adjustment of $62 million). The company recently completed a $375 million convertible note offering (with a $20.38 per share implied conversion) to help finance the deal. Ciena got AT&T, C&W, TELUS, EMC, and others to comment on the deal as a sign of endorsement in its “we closed the deal” press release. Ciena took a lot of heat over doing this deal as it was deemed too large by many and its stock fell from $13 to under $11 in very short order. Shares are now at $14.93 and despite a 3-day consecutive drop its chart still looks OK and above support around $14.60.

Lions Gate Entertainment Corp. (NYSE: LGF) is now the subject of a formal tender offer, or assault, from Carl Icahn for the rest of the shares he does not own. His $6.00 tender is a hostile bid. While the board of directors said they would “review Mr. Icahn’s revised offer and will make its recommendation to shareholders promptly,” the company has been far from eager to sell here and at $6.00 I will be the first to point out that the board will have many shareholders up in arms over this deal at that price. That is even at the risk of a lower price. Its $6.03 price compares to under $5.00 back in late-January. This opened at $6.24 and had a high print of $6.32, but then there was a classic gap & crap chart pattern which took the stock back under $6.00 briefly. The 52-week range is $4.41 to $7.29; and the old historic trading range on Lions Gate was $8 to $12 from 2005 to 2008. To add one more facet, Barron’s this weekend wrote “Lions Gate Not a Roaring Buy Despite Icahn Bid.” Stay tuned.

Oracle Corp. (NASDAQ: ORCL) is on deck for earnings on Thursday afternoon, and as goes Oracle as goes Cisco Corporation (NASDAQ: CSCO) due to the same form of enterprise spending despite the notion that these are in separate categories. Oracle’s stock is within about 3% of its 52-week and multi-year highs. Thomson Reuters has estimates of $0.38 EPS and $6.36 billion in revenues; and those estimates are $0.53 EPS and $9.56 billion in revenues for the quarter we are currently in. As a reminder, the discrepancy over the figures for the last quarter versus next quarter is the addition of the Sun Microsystems acquisition and we have note that analysts often get their numbers wrong in transition periods of a merger. If you blend the Fiscal 2010 and 2011 (May-end), Oracle trades at 14.35-times forward earnings per share. Not expensive, not dirt cheap.

OSI Pharmaceuticals Inc. (NASDAQ: OSIP) only had one small losing day this last week and shares kept putting in new higher-highs. The company is turning on its press machines in order to help either fend off the Astellas hostile offer for $52.00 per share or to get a higher bid from a rival. With shares trading at $58.94 and seeing a Friday high of $59.50, what is your guess about getting a higher price or not? This week may be too soon for a rival to make a bid, but the writing is on the wall. Using the April 2010 options generates an implied expectation that OSI will go for $61 or higher, although this process may take longer than a month. Keep this one your radar because this was a $37.00 stock before the Astellas $52.00 per share cash offer was made public.

Palm, Inc. (NASDAQ: PALM) is one investors have to keep on their watch lists this week. After earnings it did not just break $5.00. It got worse. And it traded 125 million shares or so in the process. My options pick at Optionszone.com on Palm was “the PALM May 5 Puts at 40 cents” on March 4 as the way to bet for much further downside. At a $1.48 close-out on Friday, that seems a hell of a return. One analyst at Canaccord Adams this week gave Palm a ZERO value. Frankly, Palm will never see ZERO. It will be taken over before then. Just keep in mind that Palm may be a “takeunder” rather than a takeover. Palm is one to watch this coming week based on the new $4.00 price and notion that it went as low as $3.96. I actually went back to my Palm Treo after deciding that I hated the Droid phone and I have no problem with the Palm phones. But business is business, and the public is going for different smart phones. Elevation Partners said it is in support of Palm, but the group probably isn’t too happy with co-investor Bono for having a U2 song and video for a Blackberry commercial from Rival Research in Motion Ltd. (NASDAQ: RIMM). Ouch! Traders smell blood here.

Somaxon Pharmaceuticals Inc. (NASDAQ: SOMX) soared this week after the FDA approved its Silenor as the only treatment of insomnia treatment without all of the awful side-effects or “sleep-action” effects like sleep-walking, sleep-eating, sleep-driving, and another rather humorous episode I have been told about that is not suitable for writing about in a financial setting. It also is supposed to exhibits no addiction issues. Before the FDA approval, this was a $4.00 stock. It ran to almost $10 before closing at $9.21 on Thursday on a whopping 47 million shares. Shares then made a second run on Friday with a $9.65 open and a rapid run to over $10.00 before the major selling and major profit taking came into play; and despite trying a mid-afternoon recovery the stock closed only 5 cents above its intra-day lows for an $8.25 close. On a short-term basis, this is what a cocktail napkin chartist would call a drunkard as it can easily rise and easily fall on no news or on those pesky minute-charts. Still this is one to watch next week as the dust settles because it has a small market cap of only $195 million. We compared this to two of the top 100 drugs by name of the top 100 selling drugs out there and there is a huge opportunity for Somaxon. We’ll let the dust settle this week, but there is a large opportunity here for this company and there are effectively no recent analyst calls on it.

Teva Pharmaceutical Industries Limited (NASDAQ: TEVA) deserves some kudos here. How many acquirers see their shares rise when they make a fairly large acquisition? The answer is ’some, but not most.’ Teva paid roughly $5 billion for German generic drug maker as it outbid Pfizer Inc. (NYSE: PFE) to keep its grab on generics and to focus on higher growth markets in Europe. Its shares did not just rise on Thursday when it was announced, but its shares also rose on Friday when all of the major US index readings finally closed in the red and when the AMEX PHARMACEUTICAL INDEX (DRG) closed down 0.4%. In fact, it was the second best performer behind Amgen, Inc. (NASDAQ: AMGN) on the AMEX PHARMACEUTICAL INDEX on Friday. Our take is that it may take a while to get there, but Teva seems on track for ambitions of a mega-cap status ($100 billion) versus $55.7 billion today.

Tiffany & Co. (NYSE: TIF) is up for earnings on Monday and this will be a true ‘tell’ potentially for what lies ahead for the US and international luxury markets. Buffett would have ended up being better off as a common holder rather than a creditor per his 2009 investment, but that was made at a time when being a creditor offered more protection. Thomson Reuters has estimates of $1.13 EPS and $970.93 million revenues. For the quarter ahead, those estimates are $0.31 EPS and $585.91 million in revenues. With shares at $47.25, the 52-week range is $19.97 to $48.38. With Fiscal Jan-2011 estimates at $2.43 EPS this one trades at 19.4-times forward earnings. The company needs to raise guidance by my take even above what it already gave to hold this share price.