Today's Must Read
Cisco (CSCO) Gains From Demand for Security Products & Webex
Novo Nordisk's (NVO) Diabetes Drugs Aid Growth Amid Rivalry
Thursday, August 12, 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 Berkshire Hathaway Inc. (BRK.B), Cisco Systems, Inc. (CSCO), and Novo Nordisk A/S (NVO). 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 Berkshire Hathaway have outperformed the Zacks Insurance - Property and Casualty industry over the past year (+36.4% vs. +27.7%). The Zacks analyst believes that it is poised to benefit from its insurance, manufacturing, service and retail businesses, disciplined capital management as well as acquisitions.
Continued insurance business growth fuels increase in float, drive earnings and generates maximum return on equity. The non-insurance businesses have been delivering improved results with increased revenues over the past few years. Exposure to catastrophe loss, however, induces earnings volatility and also affects the property and casualty underwriting results of Berkshire.
Cisco shares have gained +20% over the last six months against the Zacks Computer Networking industry’s gain of +17.7%. The Zacks analyst believes that order growth in new markets as well as Cisco’s innovative prowess, product range, growth initiatives and dividend payouts bode well.
Strong demand for Catalyst 9000 family of switches amid an expected increase in enterprise IT spending, and recovery across Europe, Middle East and Africa (EMEA), holds promise. Supply chain constraints due to the ongoing pandemic are likely to weigh on the company’s performance in the near term. Weak demand for servers remains an added concern.
Shares of Novo Nordisk have gained +46.3% in the year to date period against the Zacks Large Cap Pharmaceuticals industry’s gain of +17.7%. The Zacks analyst is encouraged by Novo Nordisk’s strong presence in the Diabetes Care market as well as its strong pipeline, with focus on therapeutic proteins within insulin.
Victoza remains the growth engine for the company. Label expansion of Victoza, Ozempic, Xultophy and Saxenda are likelya to boost sales. Lower realized prices in the Unites States, loss of exclusivity for products in hormone replacement therapy and intensifying competition are expected to affect sales though.
Other noteworthy reports we are featuring today include Texas Instruments Incorporated (TXN), The Boeing Company (BA) and Deere & Company (DE).
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>>>