Thursday, September 3, 2026

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 Amazon.com, Inc. (AMZN), AbbVie Inc. (ABBV) and Alibaba Group Holding Ltd. (BABA), as well as a micro-cap stock Lulu's Fashion Lounge Holdings, Inc. (LVLU). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.

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, attempting 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 >>> Big Morning for News: Jobless Claims, Fed Speakers, Trade Deficit

Today's Featured Research Reports

Amazon’s shares have outperformed the Zacks Internet - Commerce industry over the year-to-date period (+11.8% vs. +3.6%). The company’s international expansion and diversification across e-commerce, AWS cloud services, advertising and streaming create multiple revenue streams while reducing concentration risk. 

For 3Q’26, Amazon guided net sales of $197-$202 billion and operating income of $22.5-$26.5 billion. AI integration across operations enhances personalization, logistics and AWS offerings, strengthening competitive positioning. However, substantial capital expenditure requirements for AI infrastructure and data centers strain financial resources and compress margins, with trailing-12-month free cash outflow reported at $7.6 billion. 

Amazon’s expanding debt burden reduces financial flexibility amid rising interest rates. Intensifying competition from Walmart, Microsoft Azure, and Google Cloud is an overhang.

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

Shares of AbbVie have gained +16.2% over the year-to-date period against the Zacks Large Cap Pharmaceuticals industry’s gain of +17.6%. The company has successfully navigated Humira's loss of exclusivity (LOE) by launching two other successful immunology medicines, Skyrizi and Rinvoq, which are performing extremely well, bolstered by approvals in new indications, and should support top-line growth in the next few years. 

AbbVie’s neuroscience portfolio is also rapidly expanding and contributing significantly to top-line growth. AbbVie boasts a robust pipeline and expects important data readouts, regulatory submissions and approvals throughout the rest of 2026. 

AbbVie has been on an acquisition spree in the past couple of years to bolster its early-stage pipeline that should drive long-term growth. However, the company faces several headwinds like Humira LOE impact, slowing oncology sales and continued macro headwinds for Aesthetics.

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

Alibaba’s shares have underperformed the Zacks Internet - Commerce industry over the year-to-date period (-23.7% vs. +3.6%). The company’s investment cycle remains costly. China commerce monetization slowed, quick commerce still requires sustained spending, and AI model development is consuming substantial resources. Elevated infrastructure outlays have pushed free cash flow deeper into negative territory despite higher operating cash flow. 

Alibaba therefore offers credible long-term growth avenues in cloud, AI and commerce, but near-term returns remain constrained by investment intensity and uneven core-commerce trends, supporting a Neutral view.

Nevertheless, Alibaba retains a broad commerce ecosystem and is gaining traction from AI-led cloud demand, deeper integration across its consumer platforms and better operating discipline in international commerce. The new segment structure also aligns commerce, cloud infrastructure and AI applications more closely.

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

Shares of Lulu's Fashion have outperformed the Zacks Retail - Apparel and Shoes industry over the year-to-date period (+114.6% vs. -14.6%). This microcap company with a market capitalization of $32.10 million saw its first-half 2026 gross margin expanded 390 bps to 47%, while net loss narrowed to $5.6 million from $11 million as selling and marketing and G&A expenses declined 14% and 12%, respectively. 

Assortment productivity is also improving, with revenue per new product launched rising 28% in casual apparel and 48% in footwear. Inventory declined 23%, helping operating cash flow increase to $7.5 million. Wholesale adds another growth avenue, with Q2 revenues nearly doubling and specialty partners rising to 26. Management also expects adjusted EBITDA to turn positive in 2026. 

However, first-half revenues fell 14% as orders declined 16%, while elevated returns and limited revolver availability constrain flexibility. Nasdaq compliance also remains a risk, given the stockholders’ equity deficit. The stock trades at just 0.11X EV/sales versus 1.63X for its sub-industry.

(You can read the full research report on Lulu's Fashion here >>>)

Other noteworthy reports we are featuring today include Quanta Services, Inc. (PWR), Coherent Corp. (COHR) and CF Industries Holdings, Inc. (CF).

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>>>