Zacks Analyst Blog Highlights: Pfizer, Inc., Simon Property Group, Inc., Kroger Co., Satyam Computer Services, Ltd. and Caterpillar, Inc.

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: Pfizer, Inc. (NYSE: PFE), Simon Property Group, Inc. (NYSE: SPG), Kroger Co. (NYSE: KR), Satyam Computer Services, Ltd. (NYSE: SAY) and Caterpillar, Inc. (NYSE: CAT).

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Here are highlights from Tuesdays Analyst Blog:

Pfizer Upgraded on Value & Yield

The relatively cheap price of Pfizer, Inc. (NYSE: PFE) stock, its very attractive dividend yield (8.45%), strong balance sheet and less cyclical product suite warrants a Buy recommendation. We expect the dividend yield to be safe for at least the next 18 months, and a relatively stable revenue base to result in Pfizers shares outperforming over the next 6 to 12 months. We also think that there is some upside to our current $22 target price if Pfizer can accelerate their growth rate via some significant M&A activity.

We believe Pfizer continues to face an uphill battle in growing its topline given the pharmaceutical companys sheer size and lack of a significant pipeline. While near-term earnings growth will come in the form of cost-cutting and share repurchases, the company lacks a catalyst to increase revenues once Lipitor loses patent exclusivity.

Simon Property in Prime Position

Despite the 30% share price drop over the past six months, we are maintaining our Buy recommendation on Simon Property Group (NYSE: SPG). The company has good assets, geographic diversity, and a stable balance sheet with plenty of cash, a must in the current credit constrained environment.

Share prices of regional mall REITs have fallen dramatically over the past quarter, although there was somewhat of a recovery [Monday]. We are very cautious of retail in an environment where consumer spending will continue to weaken. We expect a rough holiday shopping season.

Kroger Shares Have a Lot in Store

Kroger Co. (NYSE: KR) is one of the largest grocery retailers in the U.S. and also the top-rated stock in the Zacks Supermarket Industry. The shares are down about 14% since October 1. We think this sell-off is overdone and view this entry point as buying opportunity. As such, we are upgrading the stock from Hold to Buy.

On September 16, Kroger reported better-than-expected results for the second quarter, beating on the top and bottom lines. Management also maintained its full-year EPS guidance of $1.85-$1.90. Krogers low prices and private-label brands continue to help the company take market share from competitors despite the weak economic environment. The companys tight cost controls also help to offset the decline in its gross margin.

Satyam Attractive on Lower Rupee

Satyam Computer Services, Ltd. (NYSE: SAY) reported a solid fiscal first quarter of 2009 with revenues and earnings ahead of our estimates, both on dollar and rupee terms, in the face of a weaker rupee.

The company continues to make selective strategic acquisitions like that of Belgium-based S&V Management Consultants to strengthen its supply chain strategy capabilities. It has also agreed to acquire Caterpillar, Inc.s (NYSE: CAT) Market Research and Customer Analytics (MR&CA) operations. Satyam has employed a long-term strategy of increasing the proportion of offshore services to increase profitability of contracts.

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