Today's Must Read
Eli Lilly (LLY) Boasts a Solid Cancer & Alzheimer's Pipeline
Decent Comps Run to Fuel Costco's (COST) Sales, Cost a Concern
Monday, July 19, 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 Exxon Mobil (XOM), Eli Lilly (LLY), and Costco Wholesale (COST). 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 Exxon Mobil have outperformed the Zacks Integrated International Oil industry over the past year (+39.2% vs. +29.1%), reflecting major discoveries in the Stabroek Block have enhanced prospects for ExxonMobil's upstream businesses.
The firm also has a strong presence in the prolific Permian where it continues to lower its fracking & drilling costs. The company projects annual structural expense savings of $6 billion by 2023, which is likely to aid its bottom line. ExxonMobil also has a strong balance sheet. ExxonMobil's bellwether status and an optimal integrated capital structure make it a relatively lower-risk energy stock to own.
Eli Lilly shares have gained +16.1% over the last six months against the Zacks Large Cap Pharmaceuticals industry’s gain of 8%. The Zacks analyst believes that higher demand for drugs like Trulicity and Taltz, among others has been driving Lilly’s revenue growth.
Lilly has an impressive pipeline including that for cancer, diabetes and Alzheimer's. This is expected to boost its growth potential beyond 2025. Generic competition for several drugs, rising pricing pressure in the United States, as well as price cuts in international markets like China, Japan and Europe are some top-line headwinds.
Shares of Costco have gained +11% in the past three months against the Zacks Discount Retail industry’s gain of +6.7%. The Zacks analyst believes that the company has been benefiting from its growth strategies, better price management, decent membership trend and increasing penetration of the e-commerce business.
The strategy to sell products at discounted prices has helped attract customers seeking both value and convenience. Mass inoculation drive as well as the stimulus package have encouraged spending across the board. In the third-quarter fiscal 2021, the company maintained its stellar comps run.
Other noteworthy reports we are featuring today include Ecolab (ECL), Aon plc (AON) and EOG Resources (EOG).
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>>>