Friday, August 16, 2024
The Zacks Research Daily presents the best research output of our analyst team. Today’s Research Daily features new research reports on 16 major stocks, including Amazon.com, Inc. (AMZN), Boston Scientific Corporation (BSX) and Shopify Inc. (SHOP), as well as a micro-cap stock, Cooper-Standard Holdings Inc. (CPS). These research reports have been hand-picked from roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
Amazon shares have outperformed the Zacks Internet – Commerce industry over the past year (+32.6% vs. +22.5%). The Zacks analyst believes that strengthening AWS services portfolio and its growing adoption rate, ultrafast delivery services and expanding content portfolio have aided Amazon’s growth. The company’s expanding global presence remains a positive. Growing capabilities in grocery, pharmacy, healthcare and autonomous driving are other positives.
Yet, macroeconomic challenges and foreign exchange headwinds remain concerns.
(You can read the full research report on Amazon here >>>)
Boston Scientific shares have outperformed the Zacks Medical – Products industry over the past year (+52.3% vs. +10.1%). The Zacks analyst believes that strong worldwide demand for the company’s electrophysiology and structural heart lines, traction in the United States and outside for its the next generation WATCHMAN FLX and FLX Pro, as well as contribution from accretive acquisitions have remained important drivers of growth.
However, mounting costs due to worldwide geopolitical issues are major concerns. FX headwinds continue to largely offset the company’s performance.
(You can read the full research report on Boston Scientific here >>>)
Shares of Shopify have outperformed the Zacks Internet – Services industry over the last two years (+100.6% vs. +34.5%). Per the Zacks analyst, strong adoption of new merchant-friendly solutions like Bill Pay, Tax Platform and Collective holds promise for Shopify’s prospects. Expansion of back-office merchant solutions to more countries is also strengthening Shopify’s international footprint.
Yet, raging inflation and cautious consumer spending remain headwinds.
(You can read the full research report on Shopify here >>>)
Cooper-Standard’s shares have outperformed the Zacks Automotive – Original Equipment industry over the last six months (-4.4% vs. -15.4%). The Zacks analyst believes that cost savings, lean initiatives and a structural shift to a product-line management have aided the company.
However, the company faces challenges like declining operational cash flow, high debt leverage, and exposure to foreign exchange and commodity price risks.
(You can read the full research report on Cooper-Standard here >>>)
Other noteworthy reports we are featuring today include TotalEnergies SE (TTE), Cadence Design Systems, Inc. (CDNS) and General Motors Company (GM).
Director of Research
Sheraz Mian
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.
Today’s Must Read
Prime Momentum & Growing AWS Adoption Benefit Amazon (AMZN)
Boston Scientific (BSX) Thrives on EP Gains, Buyout Strength
Product Rollouts & Growing Merchant Base Aid Shopify (SHOP)
Featured Reports
Mirum’s (MIRM) Livmarli Aids Sales but Overdependence Concerns
Per the Zacks analyst, Mirum’s lead drug, Livmarli is driving the top line. The recent label expansion of the drug should drive sales further. However, overdependence on Livmarli for revenues is a woe
Loan & Deposit Growth Aid Fifth Third (FITB), High Costs Ail
Per the Zacks analyst, a rise in deposit and loan balances is likely to aid Fifth Third’s top-line growth, while a high-cost base due to technological upgrades and branch expansion is a woe.
Cadence (CDNS) Rides on Robust Portfolio & Buyout Strategies
Per the Zacks analyst, Cadence’s performance is being driven by demand for the company’s differentiated product portfolio. Synergies stemming from acquisitions bode well.
Marathon (MRO) to Gain from ConocoPhillips Deal
The Zacks analyst believes that Marathon Oil’s proposed acquisition by ConocoPhillips will lead to significant synergies and help it become part of a larger, financially robust entity.
Expanding LNG & Clean Energy Assets Aid TotalEnergies (TTE)
Per the Zacks analyst TotalEnergies’ presence in entire LNG value chain and expansion of clean energy generation through joint venture and acquisition will boost its performance.
Under Armour (UAA) Gains on Strategic Brand Transformation
Per the Zacks analyst, Under Armour is progressing in its multi-year transformation to strengthen its brand through deeper customer engagement, effective innovations and disciplined market strategy.
Investments, Customer Growth Aid Essential Utilities (WTRG)
Per the Zacks analyst, Essential Utilities’ (WTRG) $7.2 billion investment to fortify it water and natural gas infrastructure and demand from expanding customer base are going to boost its performance
New Upgrades
Strong US Demand & Cost Cut Efforts to Aid General Motors (GM)
General Motors’ strong U.S. demand for pickups and SUVs should boost deliveries. The Zacks analyst is also optimistic about the firm’s $2 billion cost reduction program by 2024 end.
Wabtec (WAB) Benefits From Segmental Strength & Dividends
Per the Zacks Analyst, Wabtec’s top line is benefiting from higher sales across its Freight and Transit segments. Shareholder-friendly initiatives boost positively impact the company’s bottom line.
Pediatrix Medical’s (MD) Strategic Buyouts, Telehealth Aid
Per the Zacks analyst, Pediatrix Medical’s strategic acquisitions boost its footprint and service offerings across markets. Also, its expanding telehealth services will continue driving profits.
New Downgrades
Weak Demand, Turnaround Costs Ail Dow (DOW)
Per the Zacks analyst, plant turnaround costs will exert pressure on the company’s margins. It also faces headwinds from weaker demand in Europe due to lower consumer spending.
Lower ASP Impedes Align Technology’s (ALGN) Growth
The Zacks analyst worries about Align technology’s lower Invisalign ASP caused by higher discounts, unfavorable product mix shifts, and an unfavorable impact of a price adjustment in the U.K.
Softness in Composites & Roofing Hurt Owens Corning (OC)
Per the Zacks analyst, lower contribution from both Composites and Roofing segment and minimal growth in the Insulation business hurt Owens Corning.
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Amazon.com, Inc. (AMZN) : Free Stock Analysis Report
Boston Scientific Corporation (BSX) : Free Stock Analysis Report
General Motors Company (GM) : Free Stock Analysis Report
Cadence Design Systems, Inc. (CDNS) : Free Stock Analysis Report
Shopify Inc. (SHOP) : Free Stock Analysis Report
TotalEnergies SE Sponsored ADR (TTE) : Free Stock Analysis Report
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