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Zacks Analyst Blog Highlights: EnCana Corporation, First Solar, Inc., NCR Corporation, Merge Healthcare Incorporated and Eastman Chemical Company

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: EnCana Corporation (NYSE: ECA), First Solar, Inc. (NASDAQ: FSLR), NCR Corporation (NYSE: NCR), Merge Healthcare Incorporated (NASDAQ: MRGE) and Eastman Chemical Company (NYSE: EMN).

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Here are highlights from Thursday’s Analyst Blog:

EnCana Looking to Heat Up

EnCana Corporation (NYSE: ECA), based in Calgary, Alberta, is a major oil and gas exploration and production (E&P) company. EnCana is the largest independent natural gas producer of North America, with volumes of 3.57 billion cubic feet per day (Bcf/d) in 2007.

EnCana remains better positioned to navigate the current market turbulence than many of its peers. The company remains focused on capital discipline and free cash flows. With about two-thirds of its volumes next year hedged at very attractive price points, the company is expected to generate around $1.5 billion in free cash flows.

First Solar a Growth-Story Buy

First Solar, Inc.'s (NASDAQ: FSLR) growth story will continue with its order backlog surpassing $6 billion, higher capacity online with two more facilities under construction in Malaysia, higher capacity at its Ohio facility, lower dependence on the German market, declining cost per watt, and new utility scale PV [photo-voltaic] system deployments in the United States.

First Solar's reliance on low-cost thin-film cells helped the company avert a silicon shortage, which ravaged the bottom-line of other solar peers. However, a falling Euro in light of its focus on Europe, tightening credit markets, and the modules oversupply situation in the market could partially hamper growth.

NCR Corp. Big with ATMs

NCR Corporation (NYSE: NCR) is a large, well-established global technology firm with a diversified product base. NCR and its subsidiaries provide technology and solutions for the retail and financial industries.

Continued momentum in the ATM business as well as positive currency benefits have driven growth and led NCR Corp. to post gains in Financial Self-Service, its largest division. The company has also posted meaningful growth in the retail segment through increased orders.

Merge Healthcare Stays a Sell

Merge Healthcare Incorporated (NASDAQ: MRGE), based in Milwaukee, Wisconsin is a healthcare software and services company focused on integrating radiology workflow to improve productivity, profitability and patient care by fusing business and clinical workflow, and intelligently managing and distributing diagnostic images and information throughout the healthcare enterprise.

The continued slowdown in the medical imaging sector is negatively impacting the company's sales. The company received a much needed cash injection of $20 million through a private placement in Q208. However, with only two quarters of cash remaining, MRGE will have a very difficult time locating investors in the current economic climate.

Eastman Chemical Dogged by PET

Tennessee-based Eastman Chemical Company (NYSE: EMN) is engaged in the manufacture and sale of chemicals, plastics and fibers. The company has a strong fibers business and solid financials. It is likely to benefit from its recent focus on the industrial gasification business.

However, Eastman Chemical is witnessing rising raw material prices and a declining demand for its products. The company will generate less distributable cash because capital expenditures will likely exceed depreciation. Capital spending increased to $431 million in the first 9 months of 2008 from $346 in the same period prior year.

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