Today's Must Read
Medtronic (MDT) Strong on Stabilizing CRFH Market Amid Woes
FedEx's (FDX) Shareholder-Friendly Moves Impress Amid Risks
Friday April 28, 2017
Today's Research Daily features new research reports on 16 major stocks, including Comcast (CMCSA), Medtronic (MDT) and FedEx (FDX).
Comcast shares have been strong performers since the election on hopes of favorable regulatory changes on the net neutrality front (the stock is up +26.6% since November 8th and +14.7% year to date). The company posted strong first quarter 2017 financial results. Comcast's continued momentum reflects the strength in its Cable business and significant improvement in the NBC Universal segment.
The company has been taking on the challenge of customer churn and 'cord cutting' head on through its own Internet TV service “Stream” and the incorporation of Netflix services into its X1 platform. Comcast is working towards 5G network deployment and plans to launch its own wireless service in mid-2017. Plans to start its own wireless service could also make strategic sense by increasing the value of its 'bundle' that adds to customer 'stickiness'. (You can read the full research report on Comcast here.)
Shares of Medtronic have outperformed the Zacks categorized Medical - Products industry over the past one year, gaining +16.7% vs. +14.3%. Ahead of its fourth quarter fiscal 2017 result, the Zacks analyst thinks Medtronic will do well banking on strong performances of major business groups with sustainability across all regions. Gradually stabilizing trend in the global CRHF market is a major cause for optimism.
The company is currently on a spree of gaining regulatory approvals for its minimally invasive devices which is quite encouraging. On the flip side, escalating costs and expenses weighing on margins is a concern. Also, an unfavorable foreign exchange position continues to remain a drag. (You can read the full research report on Medtronic here.)
FedEx shares have been strong performers in the post-election period (up +5.7% vs. down -3.6% for the Zacks Air Freight industry & -2.9% for rival UPS). The Zacks analyst likes FedEx's decision to reward shareholders through dividend payments and share buybacks. FedEx's bullish view for the fourth quarter of fiscal 2017 is encouraging.
Consequently, the Zacks Consensus Estimate for the quarter has increased 4.6% to $3.84 per share over the last sixty days. FedEx's expansion related efforts also raise optimism. However, headwinds like high costs raise concerns. (You can read the full research report on FedEx here.)
Other noteworthy reports we are featuring today include American Tower (AMT), Praxair (PX) and Twitter (TWTR).
Will You Make a Fortune on the Shift to Electric Cars? Here's another stock idea to consider. Much like petroleum 150 years ago, lithium power may soon shake the world, creating millionaires and reshaping geo-politics. Soon electric vehicles (EVs) may be cheaper than gas guzzlers. Some are already reaching 265 miles on a single charge.
With battery prices plummeting and charging stations set to multiply, one company stands out as the #1 stock to buy according to Zacks research.
It's not the one you think.
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 >>>