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The Zacks Analyst Blog Highlights Johnson & Johnson, Toyota Motor, Infosys, Novartis and Equinix

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For Immediate Release

Chicago, IL – March 20, 2023 – 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: Johnson & Johnson (JNJ - Free Report) , Toyota Motor Corp. (TM - Free Report) , Infosys Ltd. (INFY - Free Report) , Novartis AG (NVS - Free Report) and Equinix, Inc. (EQIX - Free Report) .

Here are highlights from Friday’s Analyst Blog:

Top Stock Reports for Johnson & Johnson, Toyota and Infosys

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 Johnson & Johnson, Toyota Motor Corp. and Infosys Ltd.. 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 >>>

Shares of Johnson & Johnson have underperformed the Zacks Large Cap Pharmaceuticals industry over the past year (-11.9% vs. +0.8%). The company is facing macroeconomic headwinds like inflationary pressure and rising input costs are hurting margins. Headwinds like generic competition and pricing pressure continue.

Stelara's upcoming loss of exclusivity in 2023 is a concern. Ongoing staffing shortages and COVID-related disruptions in China are hurting sales of the MedTech unit. Though J&J has taken meaningful steps to resolve its talc and opioid litigation, it continues to remain an overhang on the stock.

However, J&J's Pharma unit is performing at above-market levels, supported by blockbuster drugs, Darzalex and Stelara, and contribution from newer drugs, Erleada and Tremfya. J&J is focusing on growing its MedTech unit through new products. It is making rapid progress with its pipeline and line extensions.

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

Shares of Toyota Motor have declined -20.9% over the past year against the Zacks Automotive - Foreign industry's decline of -32.9%. The company is witnessing commodity cost inflation which is expected to weigh on gross margins. Unfavorable foreign currency translations and high R&D expenses are also likely to limit profits.

Thus, investors are advised to wait for a better entry point. However, continued demand for vehicles and robust product lineup are set to fuel sales volumes of Toyota.

To capitalize on the accelerated global shift to green cars, the auto giant is deepening focus on manufacturing electric and fuel-cell vehicles, which will bolster the company's product competitiveness. Toyota is also committed to returning capital to shareholders via buybacks and dividends, which sparks confidence.

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

Shares of Infosys have underperformed the Zacks Computers - IT Services industry over the past year (-31.4% vs. -22.1%). The company is suffering from increasing anti-outsourcing sentiments in certain countries. Higher subcontractor costs and its compensation revision with a higher variable pay and incentives are weighing on margins. Further, unfavorable currency fluctuations remain a major concern.

However, Infosys is gaining from large deal wins and fast-growing digital services. Its sustained focus on Agile Digital and artificial intelligence (AI) -driven Core services is a tailwind.

Strong demand for its services in cloud, Internet of Things (IoT), cyber security, data and analytics is a key driver. Higher investments by clients in digital transformation, AI and automation are an upside. Solid traction of its CobaltTM cloud portfolio is a positive.

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

Other noteworthy reports we are featuring today include Novartis AG and Equinix, Inc..

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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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