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The Zacks Analyst Blog Highlights: Pfizer, BP, Fidelity National Information Services, Deere & Company and Equity Residential

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For Immediate Release

Chicago, IL – January 2, 2020 – 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: Pfizer (PFE - Free Report) , BP p.l.c. (BP - Free Report) , Fidelity National Information Services (FIS - Free Report) , Deere & Company (DE - Free Report) and Equity Residential (EQR - Free Report) .

Here are highlights from Thursday’s Analyst Blog:

Top Stock Reports for Pfizer, BP and Fidelity National Information Services

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 Pfizer, BP p.l.c. and Fidelity National Information Services. 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 >>>

Pfizer’s shares have underperformed the Zacks Large-Cap Pharmaceuticals industry over the past year (-6.8% vs. +14.8%). The Zacks analyst believes that the Consumer Healthcare joint venture with Glaxo, the Array acquisition and the pending merger of Upjohn unit with Mylan, if successful, will make Pfizer a smaller company with a diversified portfolio of innovative drugs and vaccines.

The smaller Pfizer should see better revenue growth as the Lyrica LOE cliff will go away. The company expects continued strong growth of key brands like Ibrance, Xeljanz and Eliquis to drive sales in the coming quarters. Pfizer is also strengthening its pipeline and hopes to launch new innovative medicines in the next five years, which can drive long-term growth.

However, Lyrica generic erosion, currency headwinds and pricing pressure are key near-term, top-line headwinds. Estimates have remained stable ahead of Q4 earnings release. Pfizer has a positive record of earnings surprises in the recent quarters.

Shares of BP have gained +3.7% in the past three months against the Zacks International Integrated Oil industry’s rise of +4.6%. The Zacks analyst believes that BP has been benefiting from a strong portfolio of upstream projects. Since 2016, the British energy giant has placed 23 major upstream projects online.

All the key projects BP has been delivering over the years backed the company to post record production levels. These projects will also help the firm boost production by 900 Mboe/d within 2021. Moreover, BP plans to boost spending on renewable power business as most European firms have decided to combat climate change.

However, the 2010 oil-spill incident in the BP-operated Macondo Prospect is still affecting the company. Although it cleared the huge litigation expenses related to the spill, it had to divest some of its best operating properties. Also, the company expects refining margins in the December quarter of 2019 to drop sequentially due to continued turnaround activities.

Fidelity National Information Services' shares have gained +9.8% over the past six months against the Zacks Financial Transaction Services industry's rise of +5.5%. The Zacks analyst believes that the company remains well positioned for growth backed by its attractive core business with a recurring revenue model, digitization, and several ongoing strategic initiatives.

Fidelity’s deal to acquire Worldpay is likely to accelerate its growth by boosting presence in faster growing markets. Also, the transaction will provide synergies of $700 million from revenue and cost management over next three years. However, the company remains exposed to consolidation in the banking sector and significant competition from new entrants. Also, unsustainable capital deployment activities of the company remain a concern.

Other noteworthy reports we are featuring today include Deere & Company and Equity Residential.

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