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Research Daily

Friday, October 28, 2016

Today's Research Daily features new research reports on 16 major stocks, including Boeing (BA), General Motors (GM), UnitedHealth (UNH) and Honeywell (HON).

Boeing shares lagged the broader market and the peer aerospace group for much of this year, but they have outperformed both over the past month. The company's better than expected September quarter results and positivie guidance should help sustain this momentum. In the updated research report issued today, the Zacks analyst discusses the pros & cons of investing in Boeing shares. The analyst likes the company’s expansion on the international front, as well as its strong presence in the domestic aviation market. However, Boeing continues to face challenges such as declining backlog, uncertainty surrounding high-cost programs, lower delivery numbers and stiff competition. (You can read the full research report on Boeing here>>)

General Motors shares continue to struggle (the stock is down roughly 8% year to date), with market sentiment refusing to budge despite the record third-quarter results and positive guidance. Market participants appear to be concerned about where we go from the current robust environment, with the outlook for pricing and Europe, particularly post-Brexit, as key issues. These macro worries notwithstanding, the automaker's earnings and cash flow outlook remains very favorable, with analysts steadily raising their estimates. (You can read the full research report on General Motors here>>)

Buy rated UnitedHealth shares have gained more than 20% year-to-date. UnitedHealth Group’s earnings beat expectations, led by strong results from the health services business, Optum, and membership growth. The company also raised its outlook for 2016 adjusted earnings to approximately $8 per share. The analyst stresses that UnitedHealth is consistently gaining from the Medicaid and Medicare businesses. Continued growth at Optum is also leading to a diversified revenue source. Also, UnitedHealth should benefit from its capital strength and niche market position. (You can read the full research report on UnitedHealth here>>)

Shares of Honeywell have moved lower in recent months. Honeywell reported strong third-quarter 2016 earnings, and has also completed key divestitures. The analyst likes the fact that Honeywell remains focused on increasing its presence in high-growth regions. Additionally the company is building a robust pipeline of new products. However, adverse foreign currency translations and volatility in commodity prices related to Brexit are likely to peg back its growth momentum slightly. (You can read the full research report on Honeywell here>>)

Other noteworthy reports we are featuring today include 3M (MMM), Barclays (BCS) and Colgate Palmolive (CL).

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Sheraz Mian

Director of Research

Note: If you want an email notification each time Sheraz publishes a new article, please click here>>>

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