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: Valero Energy (NYSE: VLO), PartnerRe Ltd. (NYSE: PRE), Dendreon Corp. (NASDAQ: DNDN), Dell Inc. (NYSE: DELL) and Hot Topic Inc. (NASDAQ: HOTT).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=4579

Here are highlights from Monday’s Analyst Blog:

VLO Entering the Ethanol Business

Valero Energy (NYSE: VLO), the largest North American refiner, has entered the ethanol business in a big way by acquiring the eight (8) ethanol plants of the bankrupt VeraSun Energy in a bankruptcy court auction. (VeraSun Energy went bankrupt in October 2008.)

Valero paid a total of $552 million (including adjustments for working capital) for the seven existing and one under-construction plant, which have a combined capacity of 760 million gallons per year (roughly 51,000 barrels per day). All the plants are located in Midwestern states.

PartnerRe Nicely Priced

Based in Bermuda, PartnerRe Ltd. (NYSE: PRE) was formed in 1993, raising nearly $1 billion in an IPO to capitalize on the void in catastrophe reinsurance capacity following Hurricane Andrew and the concurrent difficulties faced by Lloyds of London. While beginning as a pure property reinsurer, the company has become a dynamic and diversified property-casualty (P&C) and life reinsurer over the years. At December 31, 2008, total assets were $16.3 billion, total capital was $4.9 billion, and total shareholders equity was $4.2 billion.

PartnerRe will release its 1Q09 results after the market close on April 27, 2009, with a conference call scheduled the next morning. Its 4Q08 operating earnings of $53.9 million or $0.95 per diluted share were substantially short of estimates, primarily due to an unusually high tax rate.

Cautious on Dendreon's Rally

Shares of Dendreon Corp. (NASDAQ: DNDN) jumped 38 percent last Friday and another 13% in early morning trading today. However, we don't see any clear rationale for the rally at this point of time. We believe investors are looking ahead to long-awaited data on the company's experimental Provenge vaccine to treat advanced prostate cancer, but we are cautious about the final results anticipated by the end of April.

As a reminder, Dendreon's lead drug candidate Provenge is under phase III IMPACT confirmatory study for prostate cancer under a special protocol assessment (SPA) with the FDA. Provenge is a therapeutic vaccine.

Sell DELL to $7 per Share

The rapid decline in corporate profits, highly illiquid capital markets, and the recessionary outlook are likely to dampen corporate capital spending. This is likely to have a major impact on Dell Inc.'s (NYSE: DELL) server business.

Adding to this is the continued decline in consumer spending as shown by the decrease in sales of PCs and cell phones over recent months. Dell posted lackluster Q409 results as demand for equipment remained weak, although cost-cutting initiatives have helped boost its bottom line. The company's marketing model of being the lowest-priced supplier to the consumer in a declining market is likely to reduce margins over the coming quarters.

Hot Topic to Cool Off a Bit

We are downgrading Hot Topic Inc. (NASDAQ: HOTT) shares from Buy to Hold. The stock has ripped 33% higher in the last four weeks, outperforming the rest of the market during the explosive rally off the March lows.

After a strong run, it makes sense to take profits in the name. What's more, we think Hot Topic's valuation may be a little stretched. While we continue to expect the retailer to report strong results, those expectations are now reflected in HOTT shares.

Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=2649.

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.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=2677

About Zacks

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.