Today's Must Read
Accretive Buyouts, Strong Balance Sheet Aid Mastercard (MA)
Strategic Mergers Aid Boeing (BA), Low 737 Deliveries Hurt
Wednesday, July 14, 2021
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 NVIDIA (NVDA), Mastercard (MA), and The Boeing Company (BA). 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 NVIDIA have outperformed the Zacks General Semiconductor industry in the year-to-date period (+53.8% vs. +34.3%). The Zacks analyst believes that NVIDIA has been benefiting from the coronavirus-induced work-from-home and learn-at-home wave.
The company has also been gaining from strong growth in GeForce desktop and notebook GPUs, which is boosting gaming revenues. A surge in Hyperscale demand remains a tailwind for the company’s Data Center business. The management, however, expects the company’s near-term revenues to be impacted by the pandemic.
Mastercard shares have gained +20.2% over the last six months against the Zacks Financial Transaction Services industry’s gain of +3.3%. The Zacks analyst believes that numerous acquisitions have helped the company expand its addressable markets and drive new revenue streams.
The COVID crisis provides an opportunity for the company to expedite the shift to digital forms of payment. The company is well-poised to gain from its consistent cash-generating abilities. Steep costs, however, might stress the company's margins. Its cross-border volumes are likely to remain suppressed due to pandemic-related restrictions on travel and entertainment.
Shares of Boeing have lost -10% in the past three months against the Zacks Aerospace & Defense industry’s loss of -1%. The Zacks analyst believes that long-term prospects of global services unit and increasing fiscal defense budget are expected to boost Boeing's growth.
The company reported a solid 54% year-over-year growth in commercial deliveries in the first quarter. Boeing's revenue exposure is spread across more than 90 countries around the globe. However, due to reduced commercial service volume, its operating cash flows continue to be impacted by a continued increase in commercial airplane inventory.
Other noteworthy reports we are featuring today include U.S. Bancorp (USB), Trane Technologies (TT) and Canadian Natural Resources (CNQ).
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>>>