Friday, August 29, 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 Alphabet Inc. (GOOGL), Morgan Stanley (MS) and ServiceNow, Inc. (NOW), as well as two micro-cap stocks New England Realty Associates Limited Partnership (NEN) and Bridger Aerospace Group Holdings, Inc. (BAER). 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 >>>

Ahead of Wall Street

The daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market's open and attempts to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each morning.

You can read today's AWS here >>> PCE Numbers In-Line, Pre-Market Fighting Off Lows

Today's Featured Research Reports

Shares of Alphabet have gained +11.8% over the year-to-date period against the Zacks Internet - Services industry’s gain of +13.1%. The company is riding on strong cloud and search growth. Google Cloud is benefiting from accelerated growth across AI infrastructure and Generative AI Solutions. Google Cloud’s annual revenue run rate is now more than $50 billion. 

GOOGL is advancing visual and contextual search capabilities. The Circle to Search feature is now active on more than 300 million devices. AI Overviews now reach more than 2 billion users per month and are available in over 200 countries across 40 languages. It is now driving over 10% more queries globally. 

Google Cloud is benefiting from its partnership with the likes of NVIDIA and PayPal. Google Cloud’s expanding clientele is expected to boost top line growth. However, increasing litigation issues and stiff competition in cloud computing are concerns. 

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

Morgan Stanley shares have outperformed the Zacks Financial - Investment Bank industry over the past year (+48.7% vs. +43.5%). The company's efforts to focus on wealth and asset management operations, its inorganic expansion efforts, strategic alliances and relatively high interest rates are expected to aid the top line. 

The performance of the investment banking (IB) business is expected to be driven by a strong pipeline in the near term. The Zacks analyst project IB fees and total revenues to grow 3.9% and 3.6%, respectively, in 2025. However, operating expenses are likely to stay elevated due to business expansion efforts. 

The Zacks analyst project total non-interest expenses to rise 7% this year. The uncertainty of the performance of the capital markets is a key near-term concern for the company. Though trading revenues are expected to increase going forward, they are less likely to reach the 2021 level anytime soon.

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

Shares of ServiceNow have outperformed the Zacks Computers - IT Services industry over the past year (+7.3% vs. -8.6%). The company has been benefiting from the rising adoption of workflows by enterprises undergoing digital transformation. In the second quarter of 2025, it had 11 deals greater than $5 million in net new annual contract value (ACV) and closed 89 deals greater than $1 million in net new ACV. 

Gen AI deals continue to gain traction. NOW is extensively leveraging AI and machine learning technologies to boost the potency of its solutions. ServiceNow is riding on an expanding partner base and acquisitions. 

For 2025, ServiceNow raised subscription revenues guidance by $125 million at the mid-point to $12.775-$12.795 billion, suggesting 19.5-20% on a non-GAAP constant currency (cc) basis. ServiceNow remains on track to surpass $15 billion in subscription revenues in 2026.

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

New England Realty’s shares have underperformed the Zacks Real Estate - Operations industry over the past year (-1% vs. +19.2%). This microcap company with market capitalization of $202.96 million is facing risks which include rising debt — up 26% to $511.2 million — with a key loan maturing in Dec 2025, and a 2.4% residential vacancy rate, up from 1.5%. Geographic concentration in Eastern MA heightens exposure to regional shocks. 

Nevertheless, NERA’s acquisition of Hill Estates adds 399 units in a high-barrier Boston suburb, immediately enhancing cash flows through in-place and below-market leases. Rental income grew 5% in H1 2025 to $41.5 million, supported by strong lease renewal rates and stable costs, reinforcing income visibility. A 72-unit affordable housing project under development provides long-term, inflation-protected returns and aligns with policy incentives. 

NERA’s portfolio spans 3,339 residential and 159,000+ sq. ft. commercial space in supply-constrained urban markets. Net income rose 5.4% to $8 million in H1 2025, aided by margin discipline and equity method contributions.

(You can read the full research report on New England Realty here >>>)

Shares of Bridger Aerospace have underperformed the Zacks Aerospace - Defense industry over the past year (-24.1% vs. +13.3%). This microcap company with market capitalization of $112.72 million have seen persistent cash burn, reliance on low-margin RTS work, federal contract concentration and uncertain Spanish Scooper monetization pose risks. The valuation reflects growth potential but highlights execution risks.

Nevertheless, BAER benefits from an undersupply in amphibious aerial firefighting, operating the United States’ only CL-415EAF Scooper fleet with record-length contracts and rising task orders. Year-round deployments across multiple states extend utilization and revenue windows, while long-term government contracts provide high-visibility cash flows. 

A $46 million sale-leaseback aids liquidity and lowers interest costs, supporting fleet and platform expansion. Strong EBITDA with SG&A discipline positions BAER to meet $42 million–48 million outlook. Legislative tailwinds, surveillance diversification, and fleet expansion add growth optionality.

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

Other noteworthy reports we are featuring today include Waste Management, Inc. (WM), Seagate Technology Holdings plc (STX) and Synchrony Financial (SYF).

Director of Research

Sheraz Mian

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>>>