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The Zacks Analyst Blog Highlights PayPal Holdings, Zoetis, CSX, Northrop Grumman, and The Kraft Heinz

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For Immediate Release

Chicago, IL – April 18, 2022 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: PayPal Holdings, Inc. (PYPL - Free Report) , Zoetis Inc. (ZTS - Free Report) , CSX Corp. (CSX - Free Report) ,Northrop Grumman Corp. (NOC - Free Report) , and The Kraft Heinz Co. (KHC - Free Report) .

Here are highlights from Thursday’s Analyst Blog:

Top Analyst Reports for PayPal, Zoetis and CSX

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 PayPal Holdings, Inc., Zoetis Inc., and CSX Corp.. 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 >>>
 

PayPal shares have declined -61.8% over the past year against the Zacks Internet - Software industry's decline of -47.3% as sentiment has soured on growth stocks whose full profitability is way out in the future in a rising interest rate environment. The Zacks analyst points out to intensifying competition in the digital payment market as a headwind for the company's market position. 

However, PayPal continues to benefit from robust growth in total payments volume owing to increasing net new active accounts. Further, strengthening customer engagement on the company's platform is a major positive.
 

Venmo's improving monetization efforts and rising adoption rate across various platforms are aiding the total active accounts growth. Additionally, solid momentum of core peer to peer and PayPal Checkout experiences is a tailwind.

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

Shares of Zoetis have outperformed the Zacks Medical - Drugs industry over the past year (+14.2% vs. -22.4%). The Zacks analyst believes that an innovative portfolio of petcare parasiticides, including Simparica Trio and dermatology products (Apoquel and Cytopoint) will help the company's continued momentum. The uptake of Librela and Solensia, its new monoclonal antibody (mAb) therapies for osteoarthritis (OA) pain in dogs and cats, is encouraging in Europe and should boost growth. Zoetis' companion animal portfolio maintains momentum.
 

The launch of innovative products (ProHeart, Librela, Revolution Plus and many vaccines) bolstered the portfolio and should fuel growth in the upcoming quarters. However, the livestock portfolio has been affected by generic competition across cattle, poultry, swine, and dairy consumer markets in the United States. Pricing pressure will continue to hurt sales, which is a woe.

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

Shares of CSX have outperformed the Zacks Transportation - Rail industry over the past year (+7.7% vs. +4.9%). The Zacks analyst believes that due to healthy freight environment, CSX is benefiting from higher export coal volumes, international intermodal shipments, and pricing gains. The company's Volumes rose 6% in 2021, leading to an 18% jump in revenues, efforts to reward shareholders are encouraging. In February, CSX hiked its dividend by 7.5%.
 

The company returned over $3.7 billion to shareholders via dividends and share buybacks. However, supply chain disruptions are hurting CSX's operations. Weakness in the merchandise segment due to lower automotive volumes is concerning. High costs, primarily due to escalating fuel expenses, pose a threat to CSX's bottom line. The company's high capital expenditures are also worrisome.

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

Other noteworthy reports we are featuring today include Northrop Grumman Corp., and The Kraft Heinz Co..

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

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