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The Zacks Analyst Blog Highlights Alibaba, Linde, Abbott Laboratories and Value Line

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For Immediate Release

Chicago, IL – October 16, 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: Alibaba Group Holding Ltd. (BABA - Free Report) , Linde plc (LIN - Free Report) , Abbott Laboratories (ABT - Free Report) , and Value Line, Inc. (VALU - Free Report) .

Here are highlights from Tuesday’s Analyst Blog:

Top Analyst Reports for Alibaba, Linde and Abbott Labs

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 Alibaba Group Holding Ltd., Linde plc and Abbott Laboratories, as well as a micro-cap stock Value Line, Inc.. The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.

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 >>>

Alibaba's shares have outperformed the Zacks Internet - Commerce industry year-to-date (+42.1% vs. +24.3%). The company is benefiting from strong momentum in its international commerce retail business, driven by strength in AliExpress' Choice. Growing international commerce wholesale business, thanks to strength in cross-border-related value-added services, is a tailwind.

Expanding China's wholesale commerce business is a positive. Robust local consumer services and Cainiao logistics services are further driving top-line growth. Strength in Lazada, AliExpress and Trendyol is expected to continue benefiting Alibaba's international business. Solid adoption of public cloud products remains a plus.

However, rising expenses related to new initiatives, and sluggish China commerce retail business are a concern. Macroeconomic uncertainties and unfavorable foreign exchange fluctuations are risks.

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

Shares of Linde have outperformed the Zacks Chemical - Specialty industry year-to-date (+17.4% vs. -13.9%). The company, being a global leader in industrial gas manufacturing, supplies a wide range of essential gases to industries such as energy, steel, healthcare, manufacturing and electronics. The firm secures long-term contracts with key on-site clients featuring minimum purchase agreements, helping to stabilize earnings during economic downturns.

With a track record of raising dividends for 31 consecutive years, Linde remains committed to rewarding shareholders, supported by its robust business model. However, increasing competition for new projects poses challenges to the company's return on investment.

Additionally, the volatility of energy prices, particularly for natural gas and diesel fuel, presents a significant concern about profitability. Increasing regulatory burdens may negatively impact the industrial gas producer's overall financial health.

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

Abbott's shares have gained +8.1% over the year-to-date period against the Zacks Medical - Products industry's gain of +15.4%. The company's pipeline is generating several new growth prospects, which will help sustain the positive momentum and contribute to the strong growth projection in 2024. Alinity, the company's next-generation suite of systems, is a key driver in the core lab diagnostics business.

EPD's impressive performance stems from the company's unique business model. The company is optimistic about its latest progress with biosimilars and expects this to significantly boost EPD sales, beginning 2025. Freestyle Libre CGM device is also on a great trajectory.

Within Nutrition, after a period of hiccups, Abbott has finally reestablished itself as the market leader in the infant formula business. Yet, the significant runoff of COVID-19 testing-related sales is hurting Abbott's Diagnostics growth. Tough macro conditions also pose a concern.

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

Shares of Value Line have gained +41.8% over the past year against the Zacks Financial - Investment Management industry's gain of +59.0%. This microcap company with market capitalization of $455.18 million offers strong shareholder returns through dividends and buybacks, increasing its dividend for 10 consecutive years, with a $1.20 annualized payout.

The company repurchased shares worth $0.2 million in the latest quarter, with $1.03 million still authorized, enhancing EPS. Cost management has been effective, cutting salaries to $3.5 million and preserving margins despite revenue pressures. Contributions from EULAV Asset Management rose to $4.2 million, providing steady cash flow. The $70.9 million investment portfolio offers liquidity.

Value Line's reputation drives demand for diversified offerings, though publishing revenues dropped 8.8%, signaling weaker demand. Unearned revenues fell 5.4% from April 2024, hinting at future sales challenges. Reliance on a major customer (29.2% of publishing revenue) poses a concentration risk. Cash flow declined to $4.8 million, limiting financial flexibility.

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

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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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