Back to top

Press Releases

Zacks Equity Research

The Zacks Analyst Blog Highlights:, Salesforce, Intel and Applied Materials


Trades from $3

For Immediate Release

Chicago, IL – October 10, 2016 – 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, Inc. (NASDAQ:(AMZN - Analyst Report) -Free Report),Salesforce (NYSE:(CRM - Analyst Report) -Free Report),Intel Corporation (NASDAQ:(INTC - Analyst Report) -Free Report) and Applied Materials, Inc. (NASDAQ:(AMAT - Analyst Report) -Free Report).

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Friday’s Analyst Blog:

Amazon (AMZN - Analyst Report) Upgraded to Strong Buy – Here’s Why

On Oct 7, 2016, Zacks Investment Research upgraded, Inc. (NASDAQ: (AMZN - Analyst Report) -Free Report) to a Zacks Rank #1 (Strong Buy). With a return of 56.6% over the past one year and encouraging revenue guidance for the third quarter of fiscal 2016, Amazon emerges as an attractive investment opportunity.

Encouraging Earnings

Amazon’s second-quarter earnings per share of $1.78 and revenues of $30.40 billion were ahead of the Zacks Consensus Estimate of $1.14 and $29.73 billion respectively. The North America and AWS segments were strong contributors while investments in international continued.

Buoyed by the better-than-expected results, the company provided an encouraging outlook for the current quarter. For the third quarter of fiscal 2016, management expects revenues in a range of $31 billion to $33.5 billion (up 6.1% sequentially and 27.2% year over year).

Amazon Web Services (AWS) Holds the Key

Amazon Web Services is the cash cow for Amazon. The business generates much higher margins than retail, so it has a very positive impact on Amazon’s profitability. The business contributed $2.89 billion in the last quarter, taking the revenue runrate to over $11.5 billion, representing sequential and year-over-year growth of 12.5% and 58.2%, respectively.

An important customer win in the last quarter was Salesforce (NYSE:(CRM - Analyst Report) -Free Report), which selected AWS as its preferred public cloud infrastructure provider to run its core services like Sales Cloud, Service Cloud, App Cloud, Community Cloud, and Analytics Cloud. Amazon ended the quarter with 35 available zones across 13 infrastructure regions. Notably, the Mumbai (India) region was added in the last quarter, the sixth region in the Asia Pacific.

We remain optimistic about the functionality, partner ecosystem and experience AWS offers and believe this will lead to continued customer wins.

Internet of Things (IoT) Showing Prospects

One area of potential growth is devices and IoT. Amazon has partnerships with several IoT hardware makers to integrate Alexa (the personal assistant Echo uses). The idea seems to be to make Alexa the central point connecting IoT devices used in any household.

With 50% of Americans having Prime memberships (meaning that they are heavy Amazon users), Amazon can leverage this position to drive penetration. It’s also an important method of collecting household information, since Alexa is used to listening to commands and storing everything that it hears in the cloud.

Stocks to Consider

Besides Amazon, investors may consider Intel Corporation (NASDAQ:(INTC - Analyst Report) -Free Report) and Applied Materials, Inc. (NASDAQ:(AMAT - Analyst Report) -Free Report). All sport a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here .

Intel has seen estimates for the full year rise over the past 30 days by 3.6%. For Applied Materials, estimates rose 13.6% in the last 60 days.

Confidential from Zacks

Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.

About Zacks is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.

Get the full Report on AMZN - FREE

Get the full Report on CRM - FREE

Get the full Report on INTC - FREE

Get the full Report on AMAT - FREE

Follow us on Twitter:

Join us on Facebook:

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Media Contact
Zacks Investment Research

800-767-3771 ext. 9339

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 for information about the performance numbers displayed in this press release.