In October 2007, Crocs (CROX) shares fetched nearly $70 a share giving the company a market value of $6 billion. This for a company that makes plastic shoes! Nothing against plastic shoes, but $6 billion?

I remember looking at other $6 billion companies at the time. One example: Whirlpool (WHR). It had the same market value as Crocs. The largest appliance manufacturer on the planet vs. plastic shoes. In 2007, Whirlpool made over $600 million. Crocs? $168 million. But Crocs was growing! Or not. It's lost money ever since. Compare the market values now!

Advertising is not a big part of the proposed merger of Comcast (CMCSA) and NBCU -- yet.

It represents only about 20% of the new NBCU's total revenues, a figure the new owners intend to change. The road to revenue growth is paved with interactive ad riches -- a long, twisted path through cable, online and mobile. The big question is, how long will it take for those options to ramp up?

The new NBCU will be a top 10 provider of online content with 82 million unique monthly users to its news, women's/lifestyle, sports and entertainment sites, where revenues are minimal. Traditional advertising contributes to about half of NBCU's overall revenues, but only about 5% of Comcast's consolidated revenues.

Today’s tickers: RIMM, BAC, VZ, CAG, NYB, RMBS, TEVA, DIS & NVDA

RIMM - Research in Motion Limited – Blackberry maker, Research in Motion, revealed a distribution deal with Digital China – a unit of Legend Holdings – aimed at expanding its business in China. Shares stood 2.5% higher to $60.22 thirty minutes before the closing bell. One option investor banked profits on a previously established call position in the January 2010 contract today. It appears the trader originally purchased 25,000 calls at the January 80 strike for 30 cents apiece on December 4, 2009. Today the investor shed all 25,000 lots for 43 cents each. Net profits on the closing sale amount to 13 cents per contract for total gains of $325,000. Option implied volatility on the stock is up slightly on the day to 59.91%.

BAC - Bank of America Corp. – A bearish risk reversal on Bank of America this afternoon suggests one investor expects shares to suffer significant declines by expiration in May 2010. BAC’s shares slipped 2% to $15.98 in late-day trading. It appears the pessimistic player shed 7,500 calls at the May 22 strike for 36 cents apiece in order to partially offset the cost of buying the same number of put options at the lower May 13 strike for 70 cents premium each. The net cost of the transaction amounts to 34 cents per contract. The effective breakeven point on the put options of $12.66 is 20.77% lower than the current price per BAC share. The investor responsible for the reversal could be taking an extremely bearish bet on Bank of America. If this is the case, the investor expects shares to nosedive down to lows experienced at the end of July 2009. Alternatively, the trader could be long the stock, and financing cheap downside protection by selling covered call options. The long puts serve as protection in case the stock tumbles, whereas the short calls suggest the investor is happy to have the underlying stock position called from him at $22.00 each. Shares of BAC would need to rally 38% from the current price in order for the March 22 strike calls to land in-the-money.

VZ - Verizon Communications, Inc. – Option traders displayed mixed near-term sentiment on the communications company this afternoon. Shares edged 2% higher to a new 52-week high of $33.36 with less than one hour remaining in the trading session. Bullish traders picked up…

For Immediate Release

Chicago, IL – December 7, 2009 – 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: Comcast Corporation (CMCSA), General Electric Company (GE), Time Warner Inc (TWX), Walt Disney Company (DIS) and News Corporation (NWS).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Friday’s Analyst Blog:

Comcast to Pay $13.75B for NBC

Comcast Corporation (CMCSA) is expected to pay $13.75 billion in cash and assets to gain control of NBC Universal from General Electric Company (GE).

The new NBC Universal also is expected to borrow $9.1 billion, part of which will be used to cover the $5.8 billion that GE is paying for Vivendi SA's 20% stake in NBC Universal. That company includes the flagship NBC TV network, the Telemundo Spanish-language network, Universal Pictures and theme parks, and about two dozen cable channels such as Bravo and CNBC.

GE has the option to sell half of its 49% stake in the new NBC Universal three and a half years after the deal closes. It may sell the other half after seven years.

This week, GE convinced Vivendi to sell its stake in NBC Universal, and paved the way for Comcast to buy the entertainment company.

Comcast is pursuing the transaction because of its desire to control both content and distribution, a strategy that hasn't been successful in the media industry. If the deal gets approved by regulators, Comcast would oversee assets with revenue of $51 billion in 2008, more than Time Warner Inc (TWX), Walt Disney Company (DIS) or News Corporation (NWS).

General Electric Company operates as a technology, media, and financial services company worldwide. GE’s NBC Universal segment engages in the production and distribution of films and television programs, operation of television stations and cable/satellite television networks, as well as theme parks. 

We currently have a Neutral recommendation on General Electric.

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We didn’t have a weekly wrap-up last week because of the holiday.

In our Nov 21st Wrap-Up, I had said next week we’ll be watching to see if we can get more bullish above our 25% lines at: Dow 10,250, S&P 1,100, Nasdaq 2,187, NYSE 7,000 and Russell 600 and that became the bottom of our new range while I sent out a 9:41 Alert to our Members on Nov 23rd sticking with our upside targets of Dow 10,471, S&P 1,113, Nas 2,205, NYSE 7,266 and Russell 605. That has been a very reliable range to play for the past two weeks and we’ve been having a good time playing both ends of it.

If you're looking to add some large cap exposure to your portfolio with an ETF, the ETF Professor suggests taking a look at the PowerShares Dynamic Large Cap Value ETF (NYSE: PWV).

PWV's top holding is Goldman Sachs (NYSE: GS) at 3.69% of assets and other top holdings include high-quality names such as Johnson & Johnson (NYSE: JNJ), AT&T (NYSE: T) and Walt Disney (NYSE: DIS).

PWV is also a way to get some Comcast (Nasdaq: CMCSA) exposure, which could prove useful in the wake of the cable giant's acquisition of a 51% stake in NBC Universal. Comcast is another top holding in PWV.

While Goldman is down over the past month, the overall diversification in PWV keeps investors relatively safe from Goldman's wild swings. In addition, small caps and large caps have shown some signs of diverging recently, so if investors start to favor the latter, PWV becomes an ideal way to play a flight to quality.