Thursday, November 10, 2022

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 Comcast Corporation (CMCSA), Intuit Inc. (INTU) and Boston Scientific Corporation (BSX). 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 Comcast have declined -41.5% over the past year against the Zacks Cable Television industry’s decline of -44.4%. The company is facing slower broadband user base addition primarily due to reversal of pandemic trends and increased competition from fixed wireless as well as fiber are concerns.

It is also persistently suffering from video-subscriber attrition due to cord cutting. Moreover, a leveraged balance sheet is also a major concern. Nevertheless, Comcast’s plan to transition to DOCSIS 4.0 is noteworthy. The technology will help the company in expanding much faster and at a lower cost compared to competitors.

Recovery in park and movie business bodes well for Comcast’s profitability. Its streaming service Peacock is a key catalyst in driving broadband sales. Strong free cash flow generation ability is noteworthy.

(You can read the full research report on Comcast here >>>)

Shares of Intuit have modestly underperformed the Zacks Computer - Software industry over the past year (-39.3% vs. -35.2%). The company is facing macroeconomic and geopolitical headwinds which might significantly hurt small businesses operations, thereby posing risks for Intuit’s top-line growth. Additionally, higher costs and expenses due to increased investments in marketing and engineering teams are likely to continue impacting bottom-line results in the near term.

However, Intuit is benefiting from strong momentum in online ecosystem revenues and solid professional tax revenues. The TurboTax Live offering is also driving growth in the Consumer tax business. Solid momentum in the company’s lending product, QuickBooks Capital, remains a positive.

Moreover, the company’s strategy of shifting its business to cloud-based subscription model will help generate stable revenues over the long run. The Zacks analyst expect Intuit’s revenues to grow at a CAGR of 14.66% through fiscal 2023-2025.

(You can read the full research report on Intuit here >>>)

Boston Scientific shares have outperformed the Zacks Medical - Products industry over the past year (+0.2% vs. -50.0%). The company registered a year-over-year improvement in organic sales, indicating a strong rebound in the legacy business from the pandemic mayhem. Organic revenues at each of its core business and geographies were up.

The raised 2022 organic revenue guidance looks promising. Over the past year, Boston Scientific outperformed its industry. However, mounting costs and expenses are putting pressure on the company’s margins.

The ongoing macro-environment challenges related to increasing freight costs and higher direct labor wages continue to hamper business. Unfavorable foreign exchange deters growth. The upper end of the full-year adjusted EPS guidance has been reduced increasing concerns.

(You can read the full research report on Boston Scientific here >>>)

Other noteworthy reports we are featuring today include The Southern Company (SO), Freeport-McMoRan Inc. (FCX), and Autodesk, Inc. (ADSK).

Sheraz Mian
 
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>>>