Tuesday, January 11, 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 Sanofi (SNY), International Business Machines Corporation (IBM), and Deere & Company (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 >>>

Shares of Sanofi have underperformed the Zacks Large Cap Pharmaceuticals industry over the past year (+9.4% vs. +22.2%), but things seem to improving for it. The Zacks analyst believes that Dupixent has become the key top-line driver for Sanofi. With multiple approvals for new indications expected in the near future, its sales are expected to increase.

Several data read-outs are also expected in 2022. Sanofi has launched several new drugs in the past couple of years and is expanding its pipeline through M&A deals. Weak performance of the Diabetes unit, generic competition for many of its drugs, and COVID-19 woes remain as the major headwinds, though.

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

IBM shares have gained +2% over the past three months against the S&P 500’s gain of +7.3%. IBM’s last quarterly report reflected year-over-year decline in earnings and muted revenue growth. Stiff competition in the cloud computing and higher debt are some of its major concerns.

The Zacks analyst, however, believes that steady demand for IBM’s hybrid cloud business is a major catalyst for growth. IBM is poised to gain from the spin-off of legacy infrastructure services business while it focuses on the hybrid cloud strategy. A healthy uptake of IBM’s blockchain, security and other digital transformation offerings bode well in the long term.

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

Shares of Deere have gained +7.8% in the last six months against the Zacks Farm Equipment industry’s gain of +5.9%. The Zacks analyst believes that demand in agricultural and construction sectors, expansion in precision agriculture, and its margin improvement plan will aid Deere's results.

The ongoing rally in commodity prices is likely to continue fueling demand for agricultural equipment. The need to upgrade old equipment and the demand that is created subsequently will also support Deere's revenues. DE is likely to benefit from growth in non-residential investment and strong order activity from independent rental companies.

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

Other noteworthy reports we are featuring today include Altria Group, Inc. (MO), Petrobras (PBR) and Snap Inc. (SNAP).

Sheraz Mian

Director of Research

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>>>