We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Top Research Reports for Johnson & Johnson, JPMorgan & Microsoft
Read MoreHide Full Article
Tuesday, August 29, 2017
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 Johnson & Johnson (JNJ - Free Report) , JPMorgan (JPM - Free Report) and Microsoft (MSFT - Free Report) . These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
Johnson & Johnson shares have gained +16.6% year to date, outperforming the large-cap pharma space (up +14.1%). Sales in J&J’s domestic Pharma segment have decelerated this year as a number of key growth drivers like Remicade and Concerta are facing competition.
However, J&J is optimistic that sales growth will accelerate in 2H17. The Zacks analyst thinks new drugs like Xarelto, Stelara, Darzalex and Imbruvica remain the keys to growth. Meanwhile, share buybacks and restructuring initiatives should provide bottom-line support.
J&J is also making rapid progress with its pipeline and line extensions. The Actelion buy adds an attractive new therapeutic area – PAH – which should contribute to sales growth. However, headwinds like negative currency movement, generics, pricing pressure and soft global market conditions remain. Sluggish growth in the Consumer segment is also a concern. Meanwhile, HCV sales continue to decline in the face of intense competition.
Shares of JPMorgan have gained +37.6% over the last year, outperforming the Zacks Major Regional Banks industry, which is up +29.9% over the same period. This price performance is backed by impressive earnings surprise history. The company has surpassed the Zacks Consensus Estimate for earnings in each of the trailing four quarters.
The Zacks analyst likes the company’s efforts to control expenses through streamlining and branch consolidation. These have been supporting bottom line growth. While the company faces a persistent fee income growth challenge, the improved rate scenario, potential lesser regulations (once the Financial Choice Act gets implemented) and rising loan demand should continue to benefit its financials. Also, the bank's impressive capital deployment plans reflect its strong balance sheet position.
Microsoft’s shares lagged the Zacks Technology sector through the fall, but have led the way over the last six months (up +12.7% versus +8.6%) on greater appreciation for the company's reorganization and repositioning. The Zacks analyst thinks Microsoft is benefiting from continuing enterprise strength, strong Office 365 and Windows 10 adoption and robust penetration of Azure.
LinkedIn has also improved the company's presence in the social media market, which improved top-line growth. The company's upcoming console, Xbox One X, has significant growth potential, as evident from the record pre-orders. However, the delay in launching Crackdown 3 doesn't bode well for the console's market share. Lack of exclusive games on the platform as compared with Sony's PS4 is a concern.
Moreover, management expects expenses to increase in fiscal 2018 due to continuing investments. This will weigh on profitability in the near term. Intensifying competition in the cloud space and unfavorable foreign exchange are other headwinds.
Since 1988, the Zacks system has more than doubled the S&P 500 with an average gain of +25% per year. With compounding, rebalancing and exclusive of fees, it can turn thousands into millions of dollars.
But here's something even more remarkable: You can master this proven system without going to a single class or seminar. And then you can apply it to your portfolio in as little as 10 minutes a month. Learn the secret >>
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>>>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Top Research Reports for Johnson & Johnson, JPMorgan & Microsoft
Tuesday, August 29, 2017
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 Johnson & Johnson (JNJ - Free Report) , JPMorgan (JPM - Free Report) and Microsoft (MSFT - Free Report) . 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 >>>
Johnson & Johnson shares have gained +16.6% year to date, outperforming the large-cap pharma space (up +14.1%). Sales in J&J’s domestic Pharma segment have decelerated this year as a number of key growth drivers like Remicade and Concerta are facing competition.
However, J&J is optimistic that sales growth will accelerate in 2H17. The Zacks analyst thinks new drugs like Xarelto, Stelara, Darzalex and Imbruvica remain the keys to growth. Meanwhile, share buybacks and restructuring initiatives should provide bottom-line support.
J&J is also making rapid progress with its pipeline and line extensions. The Actelion buy adds an attractive new therapeutic area – PAH – which should contribute to sales growth. However, headwinds like negative currency movement, generics, pricing pressure and soft global market conditions remain. Sluggish growth in the Consumer segment is also a concern. Meanwhile, HCV sales continue to decline in the face of intense competition.
(You can read the full research report on Johnson & Johnson here >>>).
Shares of JPMorgan have gained +37.6% over the last year, outperforming the Zacks Major Regional Banks industry, which is up +29.9% over the same period. This price performance is backed by impressive earnings surprise history. The company has surpassed the Zacks Consensus Estimate for earnings in each of the trailing four quarters.
The Zacks analyst likes the company’s efforts to control expenses through streamlining and branch consolidation. These have been supporting bottom line growth. While the company faces a persistent fee income growth challenge, the improved rate scenario, potential lesser regulations (once the Financial Choice Act gets implemented) and rising loan demand should continue to benefit its financials. Also, the bank's impressive capital deployment plans reflect its strong balance sheet position.
(You can read the full research report on JPMorgan here >>>).
Microsoft’s shares lagged the Zacks Technology sector through the fall, but have led the way over the last six months (up +12.7% versus +8.6%) on greater appreciation for the company's reorganization and repositioning. The Zacks analyst thinks Microsoft is benefiting from continuing enterprise strength, strong Office 365 and Windows 10 adoption and robust penetration of Azure.
LinkedIn has also improved the company's presence in the social media market, which improved top-line growth. The company's upcoming console, Xbox One X, has significant growth potential, as evident from the record pre-orders. However, the delay in launching Crackdown 3 doesn't bode well for the console's market share. Lack of exclusive games on the platform as compared with Sony's PS4 is a concern.
Moreover, management expects expenses to increase in fiscal 2018 due to continuing investments. This will weigh on profitability in the near term. Intensifying competition in the cloud space and unfavorable foreign exchange are other headwinds.
(You can read the full research report on Microsoft here >>>).
Other noteworthy reports we are featuring today include Motorola (MSI - Free Report) , J.M. Smucker (SJM - Free Report) and Entergy Corp (ETR - Free Report) .
Zacks' 10-Minute Stock-Picking Secret
Since 1988, the Zacks system has more than doubled the S&P 500 with an average gain of +25% per year. With compounding, rebalancing and exclusive of fees, it can turn thousands into millions of dollars.
But here's something even more remarkable: You can master this proven system without going to a single class or seminar. And then you can apply it to your portfolio in as little as 10 minutes a month. Learn the secret >>
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>>>