Monday, December 2, 2024

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 Toyota Motor Corp. (TM), RTX Corp. (RTX) and Micron Technology, Inc. (MU). These research reports have been hand-picked from roughly 70 reports published by our analyst team today.

You can see all of today’s research reports here >>>

Toyota’s shares have outperformed the Zacks Automotive – Foreign industry over the past two years (+19.2% vs. +0.6%). The Zacks analyst believes that Toyota is taking strategic steps, including restoring production, optimizing inventory to manage incentives and reducing complexity to streamline operations and improve efficiency. It is also ramping up investment in electrification with solid-state batteries and an expanding lineup.

However, high R&D expenses on advanced technologies and alternative fuels for the development of electric and autonomous vehicles are causing some pain in the near term.

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

RTX’s shares have outperformed the Zacks Aerospace - Defense industry over the past year (+46.6% vs. -3.9%). The Zacks analyst believes that the company continues to receive ample orders for its wide range of combat-proven defense products from the Pentagon and its foreign allies. Improving commercial air traffic has also been bolstering the company.

Yet, rising crude prices tend to put cost pressure on airlines that may impact commercial OEM producers like RTX. The company may also be affected if China enforces its announced sanctions against its missile and defense unit. Supply-chain challenges also pose a threat.

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

Shares of Micron have underperformed the Zacks Computer – Integrated Systems industry over the last six months (-23.6% vs. -0.3%). Per the Zacks analyst, the U.S./China trade war poses a major threat to the company. Also, Micron’s near-term prospects look gloomy as weakening consumer spending is negatively impacting demand for memory chips used in personal computers and smartphones.

However, improved market conditions, strong sales executions, robust growth across multiple business units, positive impact of inventory improvement in the data center and stabilization in other end-markets have benefited the company.

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

Other noteworthy reports we are featuring today include Intercontinental Exchange, Inc. (ICE), Cadence Design Systems, Inc. (CDNS) and Barclays PLC (BCS).

Mark Vickery
Senior Editor

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>>>