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The Zacks Analyst Blog Highlights: McDonald's, 3M, Stryker, Goldman Sachs and Kinder Morgan

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For Immediate Release

Chicago, IL – July 27, 2017 – 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 McDonald’s (NYSE:MCD Free Report), 3M (NYSE:MMM Free Report) and Stryker (NYSE:SYK Free Report), Goldman Sachs (NYSE:GS Free Report) and Kinder Morgan (NYSE:KMI Free Report).  

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Wednesday’s Analyst Blog:

Top Stock Reports for McDonalds, 3M and Stryker

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 McDonald’s (NYSE:(MCD - Free Report) Free Report), 3M (NYSE:(MMM - Free Report) Free Report) and Stryker (NYSE:(SYK - Free Report) 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 >>>

Buy ratedMcDonald’s’ shares have gained +28.9% over the last six months easily outperforming many of its peers which have been struggling to survive the restaurant space’s tough operating environment lately. McDonald’s Q2 earnings and revenues exceeded expectations, but revenues fell year over year mainly due to the impact of refranchising.

Meanwhile, the company recorded the eighth consecutive quarter of global comps growth. In fact, McDonald’s grew sales and guest counts in each of its top nine markets, for the first time since 2008. The Zacks analyst likes McDonald’s attempts to reinforce its position worldwide via various sales and digital initiatives.

Also, increased focus on refranchising is expected to reduce its capital requirements, thereby facilitating EPS growth and ROE expansion in the long run. Yet, higher costs along with currency headwinds may hurt profits while a soft industry backdrop in the U.S. and macroeconomic concerns in some parts of the world might limit sales growth.

(You canread the full research report on McDonald’s here >>>).

3M’s shares are up +12.4% in the year-to-date period, outperforming the S&P 500 index (up +10.8%) and the Zacks Conglomerates sector (down -1.4%). Driven by broad-based organic growth across all segments, 3M reported strong second-quarter results with healthy year-over-year increase in earnings and revenues, although it missed expectations on both counts.

The company has raised its earlier guidance for 2017 on strong quarterly results and improved business outlook. The Zacks analyst likes 3M's global footprint, diversified product portfolio and ability to penetrate different markets. However, increased pension expenses remain a significant headwind for 3M and erode its profitability.

Sustained strength in the U.S. dollar will further continue to negatively impact earnings, as exports consume a significant part of the company’s operations and growth prospects. Given its international presence, adverse foreign currency translations are also likely to affect 3M’s ability to realize projected growth rates in its sales and earnings.

(You can read the full research report on 3M here >>>).

Stryker’s shares have gained +18.5% over the last six months, outperforming the Zacks Medical Products industry, which has gained +17.8% over the same period. The Zacks analyst thinks Stryker's performance is likely to be affected by supply-side headwinds. The company has been grappling with issues in its spine business for long and this is expected to affect performance in the second quarter.

China might prove to be a challenging market for the company. Additionally, challenging global economic conditions and rising competition raise concerns. Estimate movement has also been mixed ahead of its second quarter earnings release. However growing adoption of MAKO will drive sales in the orthopedic and reconstructive surgery market. The acquisitions of Sage Products and Physio Control and the tie-up with Indo UK Institute of Health's Medicity Program are also major positives.

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

Other noteworthy reports we are featuring today include Goldman Sachs (NYSE:(GS - Free Report) Free Report) and Kinder Morgan (NYSE:(KMI - Free Report) Free Report).

our interest, wait until you look into companies primed to make substantial gains from Washington's changing course.

Today Zacks reveals 5 tickers that could benefit from new trends like streamlined drug approvals, tariffs, lower taxes, higher interest rates, and spending surges in defense and infrastructure. See these buy recommendations now >>

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Strong Stocks that Should Be in the News

Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year.See these high-potential stocks free >>.

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