Today's Research Highlights

May 9, 2008

This is the Market Digest for Friday, May 9, 2008, with analysis of the financial markets and comments on Best Buy Co. Inc., Cablevision Systems Corp., Cardinal Health Inc., Molson Coors Brewing Co., Marsh & McLennan Cos. Inc., Trane Inc., CenterPoint Energy Inc., Dynegy Inc., Progress Energy Inc. and Isilon Systems Inc.

In This Issue:

*Growth Stock: HOLD-rated Best Buy Co. Inc. recently announced a plan to acquire a 50% interest in London-based Carphone Warehouse and its 2,400 European stores for $2.1 billion, which, in our view, gives the company a platform to expand in Europe.

*Growth Stock: We are maintaining our HOLD rating on Cablevision Systems Corp. based on the company's mixed valuations and current operational challenges; we expect CVC to significantly increase capex and marketing spending to fend off growing competition from Verizon.

*Growth Stock: We are maintaining our HOLD rating on Cardinal Health Inc. following the company's mixed third-quarter results; we remain concerned about slowing revenue growth and margin pressure in the company's core Supply Chain business

*Growth Stock: We are maintaining our BUY rating on Molson Coors Brewing Co. with a target price of $65; we were impressed with the company's growth in 47 of 50 U.S. states in 1Q08 and remain optimistic about its joint venture with SABMiller.

*Value Stock: HOLD-rated Marsh & McLennan Cos. Inc. posted better-than-expected results for the first quarter, but neither revenue nor margins were strong enough for us to change our rating.

*Value Stock: We are reiterating our HOLD rating on Trane Inc., as we believe investors can gain much greater upside potential by directly purchasing shares of Ingersoll-Rand, which is acquiring the company.

*UtilityScope: We believe current share prices offer utility investors an attractive entry point on BUY-rated CenterPoint Energy Inc.

*UtilityScope: We are maintaining our HOLD rating on Dynegy Inc. as the company continues to make progress on reducing debt and restructuring its operations to focus on its power generation business.

*UtilityScope: We are maintaining our BUY rating on Progress Energy Inc. with a target price of $58.

*Stock to Avoid: Despite uplifting revenue growth in 1Q08, SELL-rated Isilon Systems Inc. posted another loss and continued to burn cash; although the losses should shrink over the next few quarters, we do not anticipate a return to profitability anytime soon.



Conference Call Announcement:

Argus Research will host a Conference Call for clients at 11 a.m. EST Wednesday, May 13, 2008. The call is titled 'The Outlook for the Media & Communications Industries.' Director of Research John Eade will host the call, and he will be joined by Senior Analyst Joe Bonner, CFA, and Security Analyst Wendy Walker, CFA, who cover the Media & Communications industries for Argus.

The number to call is (703) 639-1169. Please ask to be connected to the Argus Research Conference Call.

The call, as always, will be interactive with a question-and-answer period. We will be recording the call, and a rebroadcast will be available on the password-protected portion of our website.

Slides related to the presentation will be posted on the website.