Friday, May 10, 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), Visa Inc. (V) and Pfizer Inc. (PFE). 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 Amazon have outperformed the Zacks Internet - Commerce industry over the year-to-date period (+24.7% vs. +17.2%). The company’s first quarter results were driven by Prime and AWS momentum. Strengthening AWS services portfolio and its growing adoption rate contributed well to AWS performance.

Ultrafast delivery services and expanding content portfolio were beneficial. Strengthening relationships with third-party sellers was a positive. Robust advertising business contributed well. Notably, improving Alexa skills along with robust smart home products offerings remain tailwinds.

Amazon’s expanding global presence remains a positive. Growing capabilities in grocery, pharmacy, healthcare and autonomous driving are other positives. Additionally, deepening focus on generative AI is a major plus. However, adverse macroeconomic challenges remain concerns.

(You can read the full research report on Amazon.com here >>>)

Visa’s shares have outperformed the Zacks Financial Transaction Services industry over the year-to-date period (+7.6% vs. +5.4%). The company’s strategic acquisitions and alliances are fostering long-term growth and consistently driving its revenues. It expects net revenues to increase in low double digits for fiscal 2024.

Visa, fueled by increased payments, cross-border volumes and sustained investments in technology, is witnessing significant profit growth. It reported strong fiscal 2Q24 results. The ongoing shift to digital payments is advantageous for Visa, with strong domestic volumes supporting its overall performance.

A robust cash position enables the company to enhance shareholder value. However, elevated operating expenses pose margin challengesIt is witnessing a volatile cash volume from the Asia Pacific and CEMEA regions. Moreover, rising client incentives will affect its adjusted revenues.

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

Shares of Pfizer have gained +0.4% over the year-to-date period against the Zacks Large Cap Pharmaceuticals industry’s gain of +14.9%. The company beat first-quarter estimates for earnings but missed the same for sales. Pfizer’s top line is declining due to a steep drop in revenues from its COVID-19 products, the Comirnaty vaccine and Paxlovid oral pill, due to lower demand.

Concerns remain about its long-term growth drivers. Nonetheless, Pfizer expects better non-COVID operational revenue growth in the future quarters, driven by its in-line products like Vyndaqel and Prevnar, new launches like Abrysvo, Velsipity, Penbraya and newly acquired products, including those acquired from Seagen.

Huge profits from its COVID products strengthened its cash position. The funds are being used to make acquisitions, increase dividends, buy back shares and reduce debt.

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

Other noteworthy reports we are featuring today include TC Energy Corp. (TRP), Martin Marietta Materials, Inc. (MLM) and Zimmer Biomet Holdings, Inc. (ZBH).

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>>>