Tuesday, May 27, 2025

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. (KO), Abbott Laboratories (ABT) and AT&T Inc. (T). 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 >>>

Ahead of Wall Street

The daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market opens and attempts to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each morning.

You can read today's AWS here >>> Pre-Markets Up on New Tariff Developments

Today's Featured Research Reports

Coca-Cola’s shares have outperformed the Zacks Beverages - Soft drinks industry over the year-to-date period (+16% vs. +8%). The company delivered a strong first-quarter 2025, marking its ninth consecutive quarter of beating top- and bottom-line expectations. First-quarter 2025 performance was driven by broad-based growth, improved price/mix, and effective execution of its all-weather strategy, which blends marketing, innovation, and revenue growth management. 

Innovation and marketing continue to drive brand momentum, with impactful campaigns and product launches. However, volume softness in key markets like North America and Mexico, due to weather, timing shifts, and weaker sentiment, tempered momentum. 

Currency headwinds, higher taxes, and rising interest costs continue to be concerns. Despite reaffirming its 2025 guidance, management signaled a cautious near-term outlook, describing Q2 as potentially "choppy."

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

Shares of Abbott have outperformed the Zacks Medical - Products industry over the year-to-date period (+15.7% vs. +4.3%). The company’s pipeline is unlocking new growth opportunities, supporting the company’s positive momentum and strong growth outlook for 2025. Freestyle Libre, Lingo and Libre Rio CGM devices are on a great trajectory. Alinity, the company’s next-generation suite of systems, is a key driver in the core lab diagnostics business. 

Abbott is optimistic about its latest progress with biosimilars and expects this to significantly boost EPD sales, beginning 2025. Within Nutrition, despite softness in its international pediatric arm, Abbott is regaining market share banking on strong Adult Nutrition business. 

Yet, the significant runoff of COVID-19 testing-related sales is hurting Abbott’s Diagnostics growth. Headwinds such as tough macro conditions and foreign exchange also adds to the worry. 

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

AT&T’s shares have outperformed the Zacks Wireless National industry over the year-to-date period (+23% vs. +13.5%). The company is witnessing healthy momentum in its postpaid wireless business with a lower churn rate and increased adoption of higher-tier unlimited plans. AT&T expects to gain a competitive edge over rivals through edge computing services that allow businesses to route application-specific traffic where they need it and where it’s most effective. 

Acquisition of Lumen’s fiber internet connectivity business will significantly expand market reach. Collaboration with Ericsson to deploy a commercial-scale open radio access network will likely bring long term benefits. 

However, the company is facing a steady decline in linear TV subscribers and legacy services. Stiff competition in the U.S. wireless market remains a major concern. As AT&T tries to woo customers with discounts, freebies and cash credits, margin pressures tend to rise.

(You can read the full research report on AT&T here >>>)

Other noteworthy reports we are featuring today include Honda Motor Co., Ltd. (HMC), Vale S.A. (VALE) and Centene Corporation (CNC).

Director of Research

Sheraz Mian

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>>>