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The Zacks Analyst Blog Highlights Coca-Cola, Merck, Toyota Motor, Enbridge, and Regeneron Pharmaceuticals

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For Immediate Release

Chicago, IL – July 13, 2022 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Coca-Cola Co. (KO - Free Report) , Merck & Co., Inc. (MRK - Free Report) , Toyota Motor Corp. (TM - Free Report) , Enbridge Inc. (ENB - Free Report) , and Regeneron Pharmaceuticals, Inc. (REGN - Free Report)

Here are highlights from Tuesday’s Analyst Blog:

Top Stock Reports for Coca Cola, Merck and Toyota

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 The Coca-Cola Co., Merck & Co., Inc., and Toyota Motor Corp.. 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 >>>

Coca-Cola shares have outperformed the Zacks Beverages - Soft drinks industry over the past year (+17.9% vs. +9.4%). The company's top and bottom lines surpassed estimates for the fifth straight quarter. The Zacks analyst believes that the results benefited from the company's strategic transformation and ongoing recovery around the world.

Strength across the majority of the markets, investments in the marketplace, recovery in certain markets as well as the cycling of last year's pandemic-led impacts aided volumes. The company retained its upbeat 2022 view. It is poised to gain from innovations and accelerating digital investments.

However, pressures from higher supply chain costs, including transportation and input costs remain. Higher marketing spends are also concerning. Also, the unfavorable currency is expected to hurt the top and bottom lines in the second quarter and 2022.

(You can read the full research report on Coca-Cola here >>>)

Merck shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the past year (+25.9% vs. +19.1%). The company's drugs like Keytruda, Lynparza and Bridion have been driving sales. With continued label expansion into new indications & early-stage settings, Keytruda is expected to remain a key top-line driver.

Animal health and vaccine products are core growth drivers. Its new COVID oral antiviral pill, Lagevrio will be a key top-line driver in 2022. Merck boasts a strong cancer pipeline, including Keytruda, which should help drive long-term growth.

However, generic competition for several drugs and rising competitive pressure, mainly on the diabetes franchise, will continue to be overhang on the top line. There are concerns about Merck's ability to grow its non-oncology business ahead of Keytruda's loss of exclusivity later in the decade.

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

Toyota Motor shares have declined -13.4% over the past year against the Zacks Automotive - Foreign industry's decline of -30.8%. The Zacks analyst believes that the company is reeling under a severe chip crunch compounded by the war.

Unprecedented commodity inflation, supply-chain disruptions, tough labor market, logistical challenges and manufacturing inefficiencies will provide headwinds and clip margins. High capex and R&D expenses are also likely to dent near-term margins and cash flows.

However, Toyota's electrification push including investment in BEVs, hybrids, batteries and fuel-cell vehicles is set to bolster prospects. It aims to generate 40% of its global sales from EVs by 2025 and 70% by 2030. The expanding portfolio of product lines, a robust lineup of trucks and SUVs, partnerships with Hino and Subaru and Mazda will steer its long-term growth.

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

Other noteworthy reports we are featuring today include Enbridge Inc., and Regeneron Pharmaceuticals, Inc..

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

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