Thursday, June 12, 2025

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 Microsoft Corp. (MSFT), AstraZeneca PLC (AZN) and BlackRock, Inc. (BLK), as well as two micro-cap stocks Taylor Devices, Inc. (TAYD) and Geospace Technologies Corp. (GEOS). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.

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 >>>

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You can read today's AWS here >>> Jobless Claims Warm Up, PPI Cools Down

Today's Featured Research Reports

Shares of Microsoft have gained +8.5% over the past year against the Zacks Computer - Software industry’s gain of +12.5%. The company capitalizes on AI business momentum and Copilot adoption alongside accelerating Azure cloud infrastructure expansion. Strong Office 365 Commercial demand has been notably propelling Productivity and Business Processes revenue growth. 

ARPU increases through E5 and M365 Copilot uptake across key segments. Intelligent Cloud revenues advance through Azure AI development and AI Copilot business growth. Strategic execution has been enhancing non-AI services through enterprise customer growth and operational scale improvements. Xbox content and services benefit from robust performance across third-party and first-party content offerings. 

The Zacks analyst expects that fiscal 2025 net sales will increase 13.7% compared to fiscal 2024. However, elevated operating expenses and Azure investments amid intensifying cloud competition remain concerns for shareholders.

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

AstraZeneca’s shares have outperformed the Zacks Medical - Biomedical and Genetics industry over the past six months (+13.9% vs. -5.0%). The company has a diverse product portfolio and a global footprint. Its key drugs like Lynparza, Tagrisso, Imfinzi and Fasenra should keep driving revenues. Its pipeline is strong, with pivotal late and mid-stage pipeline data readouts lined up. 

AstraZeneca has also been engaged in external acquisitions and strategic collaborations to boost its pipeline while investing in geographic areas of high growth. Backed by its new products and pipeline drugs, AstraZeneca believes it can post industry-leading top-line growth in the 2025-2030 period. 

However, potentially lower sales of Lynparza and Farxiga in China, the impact of Part D redesign on U.S. oncology and slowing sales of rare disease drugs are expected to hurt the top line in 2025. Ongoing China investigations are also matters of concern.

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

Shares of BlackRock have outperformed the Zacks Financial - Investment Management industry over the past year (+31.2% vs. +18.7%). The company’s inorganic expansion strategy, aimed at boosting its presence in lucrative alternatives and private equity assets, alongside product diversification efforts, will likely aid top-line and assets under management (AUM) growth. 

The Zacks analyst expects total revenues and AUM to witness a CAGR of 11.8% and 11.2%, respectively, over the next three years. A solid liquidity position and earnings strength will likely keep capital distribution activities sustainable. 

However, elevated expenses (primarily due to higher general and administration costs and acquisitions) are a headwind. We project expenses to jump 10.9% in 2025. The company’s significant dependence on overseas revenues exposes it to geopolitical tensions, diverse regulatory and economic environments, and exchange rate fluctuations.

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

Taylor Devices’ shares have underperformed the Zacks Manufacturing - General Industrial industry over the past year (-17.1% vs. +5.3%). This microcap company with market capitalization of $110.55 million have seen total revenue fell 5% amid a 13% decline in U.S. sales, driving net income down 12%. Rising inventory and slower turnover point to execution inefficiencies, while SG&A burdens increased due to elevated stock-based compensation. Receivables rose 29% and billing efficiency weakened.

Nevertheless, Taylor Devices demonstrates strong financial resilience with a debt-free balance sheet and $35.4 million in liquidity as of February 2025. A growing backlog of $33.3 million enhances near-term revenue visibility, with 146 open sales orders, indicating higher project value despite fewer long-term deals. 

International sales surged 61% YoY, especially in Asia, where revenues doubled to 10%, signaling successful geographic diversification. The firm derives 63% of its revenues from long-term contracts, supporting cash flow stability. Industrial sales rose 36% YoY, reducing reliance on cyclical U.S. infrastructure spending.

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

Shares of Geospace Technologies have underperformed the Zacks Electronics - Measuring Instruments industry over the past year (-29.4% vs. +7.3%). This microcap company with market capitalization of $85.68 million is witnessing Energy Solutions which faces sharp revenue declines, weak contract visibility and uncertain PRM monetization. Intelligent Industrial softness and rising operating costs strain margins. 

With increasing customer concentration and weak cash flows, execution risk remains high. Trading at deep discounts to peers, the stock offers value contingent on Smart Water scale-up and margin recovery. Nevertheless, Geospace is leveraging its Smart Water segment as a key growth driver, with revenue up 47.7% year over year in second-quarter fiscal 2025, now 30.3% of year-to-date sales. 

Growth is fueled by Hydroconn connector demand, Aquana momentum and the June 2025 launch of AquaLink, which expands its SaaS-like IoT footprint into multi-family markets. A strong, debt-free balance sheet with $19.8 million in cash and $15 million in credit supports strategic R&D and M&A optionality.

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

Other noteworthy reports we are featuring today include Shopify Inc. (SHOP), 3M Company (MMM) and Verisk Analytics, Inc. (VRSK).

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>>>