Thursday, March 3, 2022
 

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 Oracle Corp. (ORCL), Morgan Stanley (MS) and Deere & Co. (DE). 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 >>>
 

Oracle shares have gained +19.3% over the past year against the Zacks Computer - Software industry’s gain of +22.1%. The Zacks analyst believes that Oracle’s performance is benefiting from the ongoing momentum across its cloud business, driven by the strong uptake of Oracle Cloud Infrastructure services and Autonomous Database offerings. Healthy adoption of cloud-based applications, comprising NetSuite Enterprise Resource Planning (ERP), Fusion ERP and Fusion Human Capital Management (HCM), bodes well.
 

Solid demand for the Oracle Dedicated Region Cloud@Customer is anticipated to drive the top line. Partnerships with Accenture and Microsoft is helping Oracle win new clientele. The company’s share buybacks and dividend policy are noteworthy. However, higher spending on product enhancements, especially toward the cloud platform, amid increasing competition in the cloud domain is likely to limit margin expansion.
 

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

Shares of Morgan Stanley have outperformed the Zacks Financial - Investment Bank industry over the past year (+9.0% vs. +1.5%). The company has an impressive earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters. The company has been continuously making efforts to focus less on the capital markets-driven revenue sources.
 

The Zacks analyst believes that the acquisitions of Eaton Vance and E*Trade Financial are a step in this direction. Increased focus on corporate lending will keep supporting financials in the quarters ahead. However, elevated expenses due to investments in franchise will likely hurt profits.

Relatively lower interest rates and uncertainty about the performance of the capital markets make us apprehensive. Yet, the company’s robust capital deployment activities reflect a solid liquidity position, through which it will enhance shareholder value.
 

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

Shares of Deere have outperformed the Zacks Manufacturing - Farm Equipment industry over the past year (+11.3% vs. +6.9%). The Zacks analyst believes that ongoing rally in commodity prices will continue to fuel agricultural equipment demand, encouraging farmers to boost spending on new farm equipment. The company is likely to benefit from growth in non-residential investment and strong order activity from independent rental companies.
 

Focus on investing in new products equipped with the latest technology will make farming automated, which will drive Deere's growth in the long haul. However, higher material and labor costs will likely dent the company's results.
 

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

Other noteworthy reports we are featuring today include Micron Technology, Inc. (MU), Twitter, Inc. (TWTR) and Tyson Foods, Inc. (TSN).
 

Mark Vickery
Senior Editor

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>>>