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The Zacks Analyst Blog Highlights Meta Platforms, Eli Lilly, Caterpillar, Citigroup and Micron Technology

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For Immediate Release

Chicago, IL – October 13, 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: Meta Platforms, Inc. (META - Free Report) , Eli Lilly and Co. (LLY - Free Report) , Caterpillar Inc. (CAT - Free Report) , Citigroup Inc. (C - Free Report) and Micron Technology, Inc. (MU - Free Report) .

Here are highlights from Thursday’s Analyst Blog:

Top Research Reports for Meta Platforms, Eli Lilly and Caterpillar

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 Meta Platforms, Inc., Eli Lilly and Co. and Caterpillar 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 >>>

Shares of Meta Platforms have outperformed the Zacks Internet - Software industry over the year-to-date period (+172.4% vs. +53.5%) on the back of steady user growth across all regions, particularly Asia Pacific. Increased engagement for its offerings like Instagram, WhatsApp, Messenger and Facebook has been a major growth driver.

The combination of steady user growth and improving outlook for the digital ad space is showing up in rising earnings estimates for the company.

Meta Platforms is leveraging AI to recommend Reels content, which is driving traffic on Instagram and Facebook. Its innovative portfolio, which includes Threads, Reels and Llama 2, is likely to aid prospects.

However, challenging macroeconomic conditions remain a headwind for Meta's advertising revenues, along with targeting and measurement headwinds due to Apple's iOS changes. Slow monetization of Reels, along with mounting operating losses at Reality Labs, are concerns.

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

Eli Lilly shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the past year (+84.2% vs. +28.7%). The company's revenue growth is being driven by higher demand for drugs like Verzenio, Trulicity, Taltz and others. Sales of its new drug, Mounjaro, are already benefiting from strong demand trends.

Mounjaro is expected to be a key long-term top-line driver for Lilly as it has the potential to be approved for obesity and other diabetes-related diseases. Mounjaro showed superior weight-loss reduction in clinical studies for obesity. Lilly expects regulatory decisions for some key pipeline candidates this year.

However, generic competition for some drugs, rising pricing pressure and challenges in meeting strong demand for incretin products are some top-line headwinds. Estimates have declined slightly ahead of Q3 results. Lilly has a mixed record of earnings surprises in the recent quarters

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

Shares of Caterpillar have outperformed the Zacks Manufacturing - Construction and Mining industry over the past six months (+24.4% vs. +23.8%). The company's revenues and earnings have grown year over year for 10 straight quarters thanks to its cost-saving actions, strong end-market demand and pricing actions, which offset the impact of the supply-chain snarls and cost pressures.

The Construction Industries segment is expected to benefit from the rising construction activities in the United States and other parts of the world. Backed by demand for commodities fueled by the energy-transition trend, a thriving mining sector will aid the Resource Industries segment.

Caterpillar's dividend yield and payout ratio are higher than its peers. A strong liquidity position, investments in expanding services and digital initiatives will help Caterpillar deliver outsized returns.

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

Other noteworthy reports we are featuring today include Citigroup Inc. and Micron Technology.

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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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