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EYE ON EQUITIES / / STOCKS THAT SHOULD BE ON YOUR RADAR SCREEN

Wednesday, September 08, 2010

SONALI VERMA

Descartes Systems Group Inc.

(DSG-TSX)

Tuesday's close $6.36, up 23 cents

Descartes Systems Group Inc.'s second-quarter transportation statistics should have risen materially, setting up for a good year, said Versant Partners analyst Tom Liston.

Upside: "We continue to encourage investors to make Descartes a core holding. The company remains the leader in a highly fragmented and growing sector," Mr. Liston said. He has a $7.80 price target on the stock.

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Canadian Western Bank

(CWB-TSX)

Tuesday's close $24.21, down 79 cents

Canadian Western Bank's earnings and dividend-growth prospects have improved further, with positive credit trends, Desjardins Securities analyst Michael Goldberg said.

Upside: Mr. Goldberg raised his target price to $29.50 from $27.75 and maintained his "buy" rating.

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Andean Resources Ltd.

(AND-TSX)

Tuesday's close 6.39, down 59 cents

Andean Resources Ltd. is being acquired by Goldcorp., a transaction that represents an attractive offer to investors as it is priced at a 35 per cent premium over the previous closing price, said TD Newcrest analyst Daniel Earle. Eldorado Gold is likely to advance a rival proposal and enter a formal bid, he said.

Upside: Mr. Earle raised his 12-month target price to $7 and downgraded his rating to "hold" from "speculative buy."

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DragonWave

(DRWI-NASDAQ)

Tuesday's close $6.42, down 9 cents

DragonWave's share price has traded with a significant overhang since early May, and the stock is poised for a rise because uncertainty surrounding a key customer, Clearwire, is nearing resolution, said Canaccord Genuity analyst Eyal Ofir.

Upside: Mr. Ofir recommends buying DragonWave. He has a $9 (U.S.) target price.

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Biovail Corp.

(BVF-NYSE)

Tuesday's close $26.25 (U.S.), up $2.29

Biovail Corp.'s merger with Valeant will yield better-than-expected synergies, said National Bank Financial analyst Hari Sambasivam.

Upside: Mr. Sambasivam upgraded the stock to "outperform" from "sector perform" and raised his price target to $32 from $25.

SOURCE: BLOOMBERG

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