Back to top

Image: Bigstock

The Zacks Analyst Blog Highlights: Exxon Mobil, AT&T, Disney, Netflix and United Parcel Service

Read MoreHide Full Article

For Immediate Release

Chicago, IL – January 7, 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: Exxon Mobil (XOM - Free Report) , AT&T (T - Free Report) , Disney (DIS - Free Report) , Netflix (NFLX - Free Report) and United Parcel Service (UPS - Free Report) .

Here are highlights from Monday’s Analyst Blog:

Top Analyst Reports for Exxon Mobil, AT&T and Disney

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 Exxon Mobil, AT&T and Disney. 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 >>>

Exxon Mobil’s shares have outperformed the Zacks Integrated International Oil industry over the past year (-1.7% vs. -2.8%). The Zacks analyst believes that ExxonMobil’s bellwether status in the energy space and optimal integrated capital structure have helped it come up with industry-leading returns.

Moreover, the management’s track record of capex discipline across the commodity price cycle make it a relatively lower-risk energy sector play. The company owns some of the most prolific upstream assets globally, with a number of major projects slated to come online over the next few years.

Notably, ExxonMobil has made 15 oil discoveries in offshore Guyana. The firm estimates 750,000 barrels of oil production per day from the region by 2025.

However, the integrated energy player’s downstream & chemical units significantly underperformed in the first nine months of 2019. The units are unlikely to have recovered in the fourth quarter owing to scheduled maintenance activities.

Shares of AT&T have gained +3.7% in the past three months against the Zacks Wireless National industry's rise of +1.5%. The Zacks analyst believes that the company’s three-year financial framework, which is expected to drive significant improvement in margins and bottom-line growth with sustained investments and debt reduction.

It aims to deploy a standards-based, nationwide mobile 5G network in early 2020. AT&T’s 5G Evolution technology is live in more than 200 markets, which is expected to increase significantly in the near future.

The company anticipates gaining a competitive edge over rivals through edge computing services and healthy dividend payout. However, AT&T is witnessing a steady decline in linear TV subscribers and legacy services.

Its wireline division is facing loss in access line due to competitive pressure from VoIP service providers. As the company tries to woo customers with discounts, freebies and cash credits, margin pressures tend to soar.

Disney's shares have gained +3.9% over the past six months against the Zacks Media Conglomerates industry's rise of +4.5%. The Zacks analyst believes that Disney is expected to benefit from its solid slate of theatrical releases in fiscal 2020.

The upcoming movies, including MulanFree Guy and Black Widow, are anticipated to aid the Studio Entertainment top line. The success of Frozen 2 and Star Wars: The Rise of Skywalker is positive for the company’s first-quarter fiscal 2020 results.

Moreover, growing popularity of Disney+ makes it a key catalyst for the company’s prospects. However, the company anticipates higher operating losses in the DTC & International segment due to the ongoing investments. Moreover, increasing operating expenses related to domestic parks and resorts are expected to negatively impact profitability.

Other noteworthy reports we are featuring today include Netflix and United Parcel Service.

More Stock News: This Is Bigger than the iPhone!

It could become the mother of all technological revolutions. Apple sold a mere 1 billion iPhones in 10 years but a new breakthrough is expected to generate more than 27 billion devices in just 3 years, creating a $1.7 trillion market.

Zacks has just released a Special Report that spotlights this fast-emerging phenomenon and 6 tickers for taking advantage of it. If you don't buy now, you may kick yourself in 2020.

Click here for the 6 trades >>

Media Contact

Zacks Investment Research

800-767-3771 ext. 9339

support@zacks.com                                   

http://www.zacks.com                                                 

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 http://www.zacks.com/performance for information about the performance numbers displayed in this press release.