Monday, August 9, 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 Tesla, Inc. (TSLA), Bank of America Corporation (BAC), and NIKE, Inc. (NKE). 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 Tesla have outperformed the Zacks Domestic Automotive industry over the past year (+146.4% vs. +71.2%) on the back of continued optimism for the EV space and rising Model 3/Y deliveries. The company also achieved record production and deliveries of Model 3/Y in the second of quarter of 2021 despite chip crunch.

Construction of gigafactories in Berlin and Texas are well on track and the production is expected to commence this year. The electric vehicle (EV) behemoth is susceptible to the global microchip deficit, despite its superior technology and software edge. Massive capex due to capacity investments in gigafactories and the development of battery tech is likely to strain near-term financials.

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

Bank of America shares have gained +23% over the last six months against the Zacks Major Regional Banks industry’s gain of +20.3%. The Zacks analyst believes that opening of new branches, enhanced digital offerings as well as strategic buyouts are likely to keep supporting profitability.

The company’s efforts to keep enhancing shareholder value through impressive capital deployment activities bodes well. Lower interest rates and the Federal Reserve’s decision to not change the same in near term are expected to keep hurting the company’s margins and interest income. The muted lending scenario is a major concern for the company in the near term.

(You can read the full research report on Bank of America here >>>)

Shares of NIKE have gained +26.9% in the past three months against the Zacks Shoes and Retail Apparel industry’s gain of +24.7%.  The Zacks analyst believes that return of sports activity, reopening of retail stores, strength in wholesale business and continued growth of NIKE Digital bode well for the company.

Strong customer connections through compelling brand experiences across NIKE Jordan and Converse, product innovation and expanding digital advantage have been boosting the company’s growth. Elevated SG&A expense as sporting events returned, partly hurt the results. A slowdown in Greater China due to ongoing boycotts is a major headwind.

(You can read the full research report on NIKE >>>)

Other noteworthy reports we are featuring today include PepsiCo, Inc. (PEP), Broadcom Inc. (AVGO) and QUALCOMM Incorporated (QCOM).

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>>>