Friday, August 6, 2021

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 NVIDIA Corporation (NVDA), Square, Inc. (SQ), and 3M Company (MMM). These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.

You can see all of today’s research reports here >>>

Shares of NVIDIA have outperformed the Zacks General Semiconductor industry over the past year (+83.5% vs. +55.9%). The Zacks analyst believes that NVIDIA has been benefiting from the coronavirus-induced work-from-home and learn-at-home wave as well as the strong growth in GeForce desktop and notebook GPUs.

A surge in Hyperscale demand remains a tailwind for the company’s Data Center business. Collaboration with Mercedes-Benz is expected to further strengthen NVIDIA’s presence in the autonomous vehicles and other automotive electronics space. The U.S.-China trade war and pandemic-related uncertainties, however, remain as major concerns for the company.

(You can read the full research report on NVIDIA here >>>)

Square shares have gained +5.5% over the last six months against the Zacks Internet Software industry’s loss of -13.1%. The Zacks analyst believes that Square’s comprehensive commerce ecosystem, accelerated business growth and entry into bitcoin space remain its major strengths.

Strong momentum across seller ecosystem and online channels, as well as growing card-present GPV are other positives. Robust online products, such as Square Online, Invoices, Virtual Terminal, and eCommerce API are expected to accelerate the GPV growth in the near term. Higher investments and increasing product development expenses are likely to hurt margins.

(You can read the full research report on Square here >>>)

Shares of 3M Company have gained +15.4% in the year to date period against the Zacks Diversified Operations industry’s gain of +169%, however, in the second quarter of 2021, its earnings surpassed estimates by 15.11%.  The Zacks analyst believes that the company is well-positioned to benefit from its solid product portfolio, marketing activities and shareholder-friendly policies in the quarters ahead.

Strength in the company’s healthcare and home improvement businesses are likely to support its growth further. For 2021, the company increased its earnings projection to $9.70-$10.10 per share. High restructuring charges, supply-chain woes, low respirator demand and high legal costs are some of the major headwinds for 3M in the near term.

(You can read the full research report on 3M Company >>>)

Other noteworthy reports we are featuring today include Lockheed Martin Corporation (LMT), BP p.l.c. (BP) and ABB Ltd (ABB).

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>>>