Today's Must Read
Abbott (ABT) Rides on Growing User Base for FreeStyle Libre
T-Mobile (TMUS) Leapfrogs Competition on 5G Network Strength
Tuesday, August 3, 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 Alphabet Inc. (GOOGL), Abbott Laboratories (ABT), and T-Mobile US, Inc. (TMUS). 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 Alphabet have outperformed the Zacks Internet Services industry over the past year (+83.1% vs. +59%) on the back of the search giant's advertising leverage. The Zacks analyst also points out Alphabet’s focus on innovation, strategic acquisitions and Android OS should continue to generate strong cash flow.
The company's robust cloud division continues to be a major driver of growth. Expanding data centers will continue to bolster its presence in the cloud space. Google’s mobile search is also constantly gaining momentum. Strong focus on AI innovation and home automation space should aid business growth in the long term. Its growing litigation issues, however, remain concerning.
Abbott shares have gained +2.8% over the last six months against the Zacks Medical Products industry’s loss of -0.4%. The Zacks analyst believes that its branded generics and international diabetes businesses are likely to drive growth in the coming quarters. New product launches and acquisitions should boost sales further.
Underlying Diagnostics sales increased in the second quarter on the back of improving routine diagnostic testing demand. The increasing vaccination trend and a steady decline in new cases, however, have led to a significant reduction in COVID-19 testing sales for the company.
Shares of T-Mobile have gained +12.4% in the past three months against the Zacks Wireless National industry’s loss of -2.3%. The Zacks analyst believes that T-Mobile’s superfast Ultra Capacity 5G, that covers 140 million people, is on track to reach 200 million nationwide by the end of 2021.
About one-third of Sprint customers have been moved to the T-Mobile network. Its diversified growth strategy and network leadership also instill optimism. However, it operates in a fiercely competitive and almost saturated U.S. telecom market. Several promotional activities to lure customers from rivals are likely to continue to hurt its profitability.
Other noteworthy reports we are featuring today include The Boeing Company (BA), General Electric Company (GE) and Charter Communications, Inc. (CHTR).
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>>>