Monday, January 9, 2017
We have featured new research reports on 16 major stocks in today’s Research Daily, including report son Wal-Mart (WMT), Exxon Mobil (XOM) and QUALCOMM (QCOM).
Wal-Mart shares have lost ground lately on concerns that the incoming administration’s tax reform could be unfavorable to retailers, particularly. That said, the stock has done better relative to its peers over the past year, on the back of improving outlook for its core store-based operations and momentum in its online business. In today’s research report, the analyst discusses the pros & cons of investing in Wal-Mart shares. The analyst likes the company’s focus on its online presence, with the recent ShoeBuy acquisition following the earlier Jet.com purchase geared towards that end. That said, investments in wages and e-commerce activities will likely weigh on near-term profitability. (You can read the full research report on Wal-Mart here >> )
Exxon Mobil shares outpaced the broader market last year (+15.8% for XOM vs. +9.5% for the S&P 500), but it underperformed the Zacks Oil & Gas-International Integrated industry as well as peer Chevron (CVX was up +30.9%). The analyst expects the company’s resilient and integrated business model to steer it away from crude price volatility. The company’s upstream business is also poised to benefit from the current OPEC deal and the subsequent advancement of crude oil prices . Exxon Mobil reports Q4 results on January 31st. (You can read the full research report on Exxon Mobil here >> )
QUALCOMM shares have been standout performers lately, with the stock up an impressive +30.5% over the last one year vs. the -7.6% decline for the Zacks Wireless Equipment industry. The Zacks analyst likes the company’s active involvement in the production of chipsets for the 5G standard. Also, Qualcomm is widening its presence in adjacent opportunities, including automotive, networking, and mobile computing strategies. However, aggressive competition in the mobile phone chipset market, stringent regulatory norms and anti-competitive charges are some of the major headwinds faced by the company. (You can read the full research report on QUALCOMM here >> )
Other noteworthy reports we are featuring today include Merck (MRK), Coca-Cola (KO) and Monsanto (MON).
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Sheraz Mian
Director of Research
Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here >>>
Today’s Must Read
Wal-Mart (WMT) Expands Online Activities, Despite Cost Woes
ExxonMobil (XOM) Offers Impressive Return to Capital
Qualcomm (QCOM) to Gain Significantly from NXP Semicon. Buy
Featured Reports
Monsanto (MON) Beats Q1 Earnings Amid Industry Headwinds
Monsanto reported better-than-expected earnings on innovation benefits and robust sales.
Darden (DRI) Poised for Growth Post Q2 Earnings
The Zacks analyst thinks that sales and technology-driven initiatives along with cost-cutting efforts will boost Darden’s performance in days ahead.
Trimble (TRMB) Benefitting from Product Enhancements
The Zacks analyst likes Trimble’s product enhancements and introductions, along with its re-aligned cost structure. However, rising caution in Europe remains a concern.
C.H. Robinson (CHRW) Rewards Investors with Dividend Hike
Though positive on the company’s decision to hike quarterly dividend, the covering analyst thinks that weak pricing environment remains as concern.
AngioDynamics (ANGO) Tops Earnings, Misses on Revenues in Q2
Per the Zacks analyst, AngioDynamics gained from robust performance in the Peripheral Vascular segment in Q2. Lackluster performance in the Vascular Access and Surgery business marred revenues.
Merck (MRK) New Drugs to Drive Sales; Generic Woes Persist
The covering analyst believes that new products should contribute meaningfully to the top line. However, increased competition and generic challenges remain as concerns.
Coca-Cola’s (KO) Marketing Drives to Spur Growth, CSD Hurts
The Zacks analyst believes Coca-Cola’s higher marketing investments are supporting improved volume growth in stable markets. However, weak volume for carbonated beverages pose threats.
New Upgrades
CF Industries (CF) Well Poised on Expansion, Healthy Demand
The covering analyst believes CF is well placed to gain from its efforts to expand production capacity. It should also benefit from higher nitrogen demand driven by healthy corn plantations.
Apache (APA) Buoyed by Cost Reduction, Alpine Hugh Find
The Zacks analyst likes Apache’s cost cutting initiatives and believes that the Alpine High discovery in west Texas will be a game-changer for the company.
FactSet (FDS) to Grow on New Products & Buyouts
The covering analyst thinks that FactSet’s sustained focus on product innovation and buyouts will help it in gaining more customers thereby boosting top and bottom line results over the long run.
New Downgrades
Avon Products (AVP) Continues to Battle Currency Hurdles
Per the Zacks analyst, Avon Products’ waning top and bottom line results is largely accountable to currency woes. Further, these currency headwinds are expected to linger in 2017 and impact results.
AMAG (AMAG) Hurt by Stiff Competition and Generic Threats
The covering analyst believes that stiff competition as well as generic threats for the company’s products will continue to be a major hindrance to its growth.
Chunghwa Telecom (CHT) to Get Affected from Pricing Pressure
The Zacks analyst believes that Chunghwa Telecom operates in an over-saturated and competitive Taiwanese telecom market and faces stringent pricing pressure by regulatory bodies
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Exxon Mobil Corporation (XOM): Free Stock Analysis Report
Wal-Mart Stores, Inc. (WMT): Free Stock Analysis Report
QUALCOMM Incorporated (QCOM): Free Stock Analysis Report
Merck & Company, Inc. (MRK): Free Stock Analysis Report
Monsanto Company (MON): Free Stock Analysis Report
Coca-Cola Company (The) (KO): Free Stock Analysis Report
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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