Zacks Sell List Highlights: Jones Soda, Getty Images, Corinthian Colleges, and Spectrum
Posted on August 08, 2007 at 12:39 PM EDT

Zacks.com releases details on a group of stocks that are currently members of the exclusive Zacks #5 Rank List Stocks to Sell Now. These stocks are currently rated as a Zacks Rank #5 (Strong Sell): Jones Soda Co. (NASDAQ: JSDA) and Getty Images Inc. (NYSE: GYI). Further, Zacks announced #4 Rankings (Sell) on two other widely held stocks: Corinthian Colleges Inc. (NASDAQ: COCO) and Spectrum Pharmaceuticals Inc. (NASDAQ: SPPI). To see the full Zacks #5 Rank List - Stocks to Sell Now visit: http://at.zacks.com/?id=92

Since inception in 1988, the S&P 500 has outperformed the Zacks #5 Rank List Stocks to Sell Now by 129% annually (+5.3% vs. +12.1%). While the rest of Wall Street continued to tout stocks during the market declines of the last few years, Zacks told investors which stocks to sell or avoid.

Here is a synopsis of why JSDA and GYI have a Zacks Rank of #5 (Strong Sell) and should most likely be sold or avoided for the next one to three months. Note that a #5 Strong Sell rating is applied to 5% of all the stocks in the Zacks Rank universe:

Jones Soda Co. (NASDAQ: JSDA) has seen 2007 earnings estimates drop six cents over the past month. Estimates now stand at 13 cents per share. The shares fell after the premium soda maker reported second quarter earnings below Wall Street's expectations on disappointing sales of its new canned soft drinks.

Getty Images Inc. (NYSE: GYI) has experienced a drop in analyst estimates. Earnings estimates for this year stand at $2.19 per share, down 30 cents from a week ago. The stock took a hit after the image creator and distributor forecast third-quarter profit and sales below Wall Street expectations.

Here is a synopsis of why COCO and SPPI have a Zacks Rank of 4 (Sell) and should also most likely be sold or avoided for the next one to three months. Note that a #4 Sell rating is applied to 15% of all the stocks ranked by Zacks:

Corinthian Colleges Inc. (NASDAQ: COCO) has seen its 2007 estimates fall five cents to 34 cents per share over the past week. The company expects a fourth-quarter loss of about 10 cents per share. Excluding charges related to litigation, facility closings and other items, it expects to earn about 3 cents per share. The company had previously forecast earnings of 12 to 13 cents per share.

Spectrum Pharmaceuticals Inc. (NASDAQ: SPPI) saw this years estimates take a 37 cent-per share fall over the past 30 days. The shares fell after a Food and Drug Administration panel said the agency should wait for more data before ruling on a drug the company is developing.

Truly taking advantage of the Zacks Rank requires the understanding of how it works. The free special report; Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions is available to provide this insightful background. Download a free copy now to prosper in the years to come at http://at.zacks.com/?id=93

About the Zacks Rank

Since 1988, the Zacks Rank has proven that "Earnings estimate revisions are the most powerful force impacting stock prices." Since inception in 1988, #1 Rank stocks have generated an average annual return of +32.2%. During the 2000-2002 bear market, Zacks #1 Rank stocks gained +43.8%, while the S&P 500 tumbled -37.6%. Also note that the Zacks Rank system has just as many Strong Sell recommendations (Rank #5) as Strong Buy recommendations (Rank #1). Since 1988, Zacks Rank #5 stocks have underperformed the S&P 500 by 129% annually (+5.3% vs. +12.1%). Thus, the Zacks Rank system allows investors to truly manage portfolio trading effectively.

Zacks Rank performance is the total return (price changes + dividends) of equal weighted portfolios, consisting of those stocks with the indicated Zacks Rank, assuming zero transaction costs. These returns are not the result of a backtest; these are actual returns since 1988. The stocks in the Zacks Rank portfolios were available to Zacks clients before the beginning of each month (monthly rebalancing). Performance results from 1988 through September 2006 are based on a subset of all Zacks Rank stocks that excludes stocks covered by only one analyst and ADRs.

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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=95

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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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