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The Zacks Analyst Blog Highlights Broadcom, Pfizer, Advanced Micro Devices, Charles Schwab, Canadian National Railway and D.R. Horton

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For Immediate Release

Chicago, IL – August 17, 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: Broadcom Inc. (AVGO - Free Report) , Pfizer Inc. (PFE - Free Report) , Advanced Micro Devices, Inc. (AMD - Free Report) , The Charles Schwab Corporation (SCHW - Free Report) , Canadian National Railway Company (CNI - Free Report) and D.R. Horton, Inc. (DHI - Free Report) .

Here are highlights from Wednesday’s Analyst Blog:

Top Analyst Reports for Broadcom, Pfizer and AMD

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 Broadcom Inc., Pfizer Inc. and Advanced Micro Devices, Inc. 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 >>>

Broadcom shares have outperformed the Zacks Electronics - Semiconductors industry (+55.7% vs. +48.1%) as well as the broader S&P 500 index (+55.7% vs. +4.2%) over the past year. The company is benefiting from strong deployment of generative AI by hyperscalers, service providers and enterprises.

It expects generative AI to contribute more than 25% of semiconductor revenues in fiscal 2024 compared with an estimated 15% in fiscal 2023 and roughly 10% in fiscal 2022. Strong demand for Tomahawk 5, Jericho, 10-gigabit PON and DOCSIS 3.1 with embedded Wi-Fi 6 and 6E aids Broadcom. Expanding portfolio with the launch of second-gen Wi-Fi 7 wireless connectivity chip is a catalyst.

Broadcom expects networking revenues to grow nearly 20% year over year in the fiscal third quarter. Server storage connectivity revenues are expected to be up low single digits year over year. Broadband revenues growth is expected in moderate to low-single-digit percent year over year.

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

Shares of Pfizer have underperformed the Zacks Large Cap Pharmaceuticals industry over the year-to-date period (-28.9% vs. +10.0%). The company’s top line is declining in 2023 due to steep declines in revenues from its COVID-19 products, Comirnaty vaccine and Paxlovid oral pill, on lower demand. Concerns remain about its long-term growth drivers beyond its COVID products due to competitive pressure.

Nevertheless, Pfizer boasts a diversified portfolio of innovative drugs and vaccines, including Ibrance and Prevnar. Pfizer is witnessing solid pipeline progress and is launching some key non-COVID products in 2023, which can drive long-term sales and profit growth.

Huge profits from its COVID products strengthened its cash position which is used being to make acquisitions, increase dividends, buy back shares and reduce debt.

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

AMD shares have modestly lagged the Zacks Electronics - Semiconductors industry this year (+66.2% vs. +72.2%), but they have been stellar performers otherwise. The company’s growing adoption of fourth-generation EPYC by the lights up prospects. Genoa adoption was strong in the reported quarter with deployments from the likes of Microsoft, AWS, Alibaba and Oracle.

Availability of Bergamo is crucial as a number of server providers like Dell, HPE, Lenovo, and Supermicro are set to launch their new Bergamo-based platforms in the third-quarter. AMD continues to benefit from acquisitions including Xilinx and Pensando, which has diversified its business.

However, stiff competition remains a concern. AMD’s second-quarter 2023 results suffered from weak data center revenues. The year-over-year decline was primarily attributed to lower third-generation EPYC processor sales due to soft enterprise demand and an elevated level of inventory at some customers.

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

Other noteworthy reports we are featuring today include The Charles Schwab Corporation, Canadian National Railway Company and D.R. Horton, 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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