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The Zacks Analyst Blog Highlights Adobe, IBM, Sanofi, Enbridge and Itau Unibanco

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For Immediate Release

Chicago, IL – January 18, 2024 – 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: Adobe Inc. (ADBE - Free Report) , IBM Corp. (IBM - Free Report) , Sanofi (SNY - Free Report) , Enbridge Inc. (ENB - Free Report) and Itaú Unibanco Holding S.A. (ITUB - Free Report) .

Here are highlights from Wednesday’s Analyst Blog:

Top Stock Reports for Adobe, IBM and Sanofi

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 Adobe Inc., IBM Corp. and Sanofi. 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 >>>

Adobe’s shares have outperformed the Zacks Computer - Software industry over the past year (+75.1% vs. +59.1%). The company is benefiting from strong demand for its creative products -- Creative Cloud, Document Cloud and Adobe Experience Cloud -- which are driving top-line growth. Rising subscription revenues and solid momentum across mobile apps are major positives.

Additionally, growth in emerging markets and robust online video creation demand remain tailwinds. Solid demand for Adobe’s commerce offerings and growing adoption of Acrobat. Adobe’s strong market position, compelling product lines and continued innovation remain positives. Also, its growing generative AI efforts remain a plus.

However, ongoing tensions between Russia and Ukraine remain major headwinds for its Digital Media segment. High acquisition expenses do not bode well for its margin expansion.

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

Shares of IBM have outperformed the Zacks Computer - Integrated Systems industry over the past year (+24.8% vs. +17.7%). The company is witnessing net sales growth backed by rising demand for its hybrid cloud and AI solutions. Acquisition of Software AG’s iPaaS (integration platform-as-a-service) business will further bolster its AI and cloud offerings.

This buyout will accelerate watsonx data ingestion capabilities and enrich customers with additional API management features. Necessary steps to capitalize on the growing integration software landscape will likely boost revenue. Strong free cash flow generation provides the financial flexibility required for strategic investments in the evolving business environment.

However, frequent acquisitions have escalated integration risks. Buyouts have negatively impacted the company’s balance sheet in the form of high levels of goodwill and net intangible assets. Foreign exchange volatility remains a major concern.

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

Sanofi’s shares have gained +7.7% over the past year against the Zacks Large Cap Pharmaceuticals industry’s gain of +18.9%. The company’s specialty care unit is on a strong footing, particularly with the outstanding growth trajectory of Dupixent. Dupixent has become the key top-line driver for Sanofi as it enjoys strong demand trends across all approved indications and geographies.

Sanofi possesses a leading vaccine portfolio, which has become the primary top-line driver. Its R&D pipeline is strong. The company has also launched several new drugs in the past couple of years and is expanding its pipeline through M&A deals. Sanofi plans increased investments in R&D and new product launches in 2024.

However, its profit outlook for 2024 and 2025, announced on the Q3 conference call, was disappointing. Headwinds include the weak performance of diabetes drugs and regular negative pipeline developments.

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

Other noteworthy reports we are featuring today include Enbridge Inc. and Itaú Unibanco Holding S.A.

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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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