We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The Zacks Analyst Blog Highlights: Apple, Amazon, AstraZeneca, JPMorgan and Wells Fargo
Read MoreHide Full Article
For Immediate Release
Chicago, IL – April 15, 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: Apple (AAPL - Free Report) , Amazon (AMZN - Free Report) , AstraZeneca (AZN - Free Report) , JPMorgan (JPM - Free Report) and Wells Fargo (WFC - Free Report) .
Here are highlights from Tuesday’s Analyst Blog:
Earnings Scorecard and Analyst Reports for Apple, Amazon and Others
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features a real-time scorecard for the Q1 earnings season, which got underway today, and new research reports on 16 major stocks, including Apple, Amazon and AstraZeneca. These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
JPMorgan and Wells Fargo kicked off the Q1 earnings season for the big banks, with market participants getting spooked by management's comments about credit quality and increasing defaults as households and businesses deal with the ongoing economic downturn.
On the earnings front, JPMorgan's Q1 earnings were -68.8% below the year-earlier level on -3% lower revenues,with the banking leader booking a large reserve in anticipation of coming defaults. The market is justifiably concerned that if the best run and best positioned banking institution is in this state, then the picture is a lot more dire for many of the less capable operators that will be reporting in the next few days.
Looking at 2020 Q1 as a whole, total S&P 500 earnings are now expected to be down -11.8% on +1.2% higher revenues, with the Finance sector now expected to suffer an -18.1% earnings decline
Estimates have been steadily coming down for 2020 Q2 and for the full year 2020. The index's June quarter bottom up earnnings are now expected to be down -19.7%, which is down from +3% in early February. For full-year 2020, S&P 500 earnings are now expected to be down -10.5%, which is down from +7.9% at the start of January.
Apple’s shares have outperformed the S&P 500 over the past six months (+20.9% vs. -8%), with the Zacks analyst crediting steady momentum in the Services segment for this outperformance. This momentum is showing up in strong App Store sales and the robust adoption of Apple Music and Apple Pay.
The company recently launched new iPad and MacBook. Solid adoption of Apple Watch and AirPod are expected to drive its top line. However, it doesn’t expect to achieve its second-quarter revenue guidance due to supply chain disruption amid the coronavirus outbreak, which is expected to hurt iPhone sales.
This, in turn, will likely dent investor confidence in the near term. Moreover, the company’s intensifying legal woes due to antitrust investigations and App Store-related lawsuits raise a concern.
Shares of Amazon have gained +22.3% over the past year against the S&P 500’s fall of -5.4%, with the company emerging as a key provider of essential services in an otherwise tough backdrop in the retail space.
Solid adoption of Prime driven by customer benefits, strengthening grocery services and expanding content portfolio is a tailwind. Further, expanding distribution strength and workforce which are helping in addressing the overflowing online orders during the coronavirus pandemic are major positives. Additionally, strengthening AWS services and its growing adoption rate are aiding Amazon’s dominance in the cloud space.
Furthermore, improving Alexa skills and features are other positives. However, rising transportation cost related to its free one-day shipping service is an overhang. Further, delivery delays due to coronavirus led rising orders are concerns. Also, intensifying cloud competition poses risk.
AstraZeneca’s shares have lost -5.3% over the past three months against the Zacks Large Cap Pharmaceuticals industry’s fall of -9.3%. The Zacks analyst believes that AstraZeneca’s core products like Nexium, Crestor and Seroquel are facing generic competition, which is hurting sales.
Its diabetes franchise also faces stiff competition while pricing pressure is hurting sales in the respiratory unit. Also, the coronavirus outbreak may hurt its profits in 2020. Nonetheless, AstraZeneca’s newer drugs, mainly cancer medicines, Lynparza, Tagrisso and Imfinzi, should keep driving revenues in 2020. Its pipeline is strong with abundance of pipeline catalysts lined up for 2020.
Several launches are underway across each of the therapeutic areas, Oncology, CV metabolism and Respiratory. The company has a mixed record of earnings surprises in the recent quarters. Estimates have declined slightly ahead of Q1 earnings release.
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/performancefor information about the performance numbers displayed in this press release.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
The Zacks Analyst Blog Highlights: Apple, Amazon, AstraZeneca, JPMorgan and Wells Fargo
For Immediate Release
Chicago, IL – April 15, 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: Apple (AAPL - Free Report) , Amazon (AMZN - Free Report) , AstraZeneca (AZN - Free Report) , JPMorgan (JPM - Free Report) and Wells Fargo (WFC - Free Report) .
Here are highlights from Tuesday’s Analyst Blog:
Earnings Scorecard and Analyst Reports for Apple, Amazon and Others
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features a real-time scorecard for the Q1 earnings season, which got underway today, and new research reports on 16 major stocks, including Apple, Amazon and AstraZeneca. 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 >>>
Q1 Earnings Scorecard
JPMorgan and Wells Fargo kicked off the Q1 earnings season for the big banks, with market participants getting spooked by management's comments about credit quality and increasing defaults as households and businesses deal with the ongoing economic downturn.
On the earnings front, JPMorgan's Q1 earnings were -68.8% below the year-earlier level on -3% lower revenues,with the banking leader booking a large reserve in anticipation of coming defaults. The market is justifiably concerned that if the best run and best positioned banking institution is in this state, then the picture is a lot more dire for many of the less capable operators that will be reporting in the next few days.
Looking at 2020 Q1 as a whole, total S&P 500 earnings are now expected to be down -11.8% on +1.2% higher revenues, with the Finance sector now expected to suffer an -18.1% earnings decline
Estimates have been steadily coming down for 2020 Q2 and for the full year 2020. The index's June quarter bottom up earnnings are now expected to be down -19.7%, which is down from +3% in early February. For full-year 2020, S&P 500 earnings are now expected to be down -10.5%, which is down from +7.9% at the start of January.
Apple’s shares have outperformed the S&P 500 over the past six months (+20.9% vs. -8%), with the Zacks analyst crediting steady momentum in the Services segment for this outperformance. This momentum is showing up in strong App Store sales and the robust adoption of Apple Music and Apple Pay.
The company recently launched new iPad and MacBook. Solid adoption of Apple Watch and AirPod are expected to drive its top line. However, it doesn’t expect to achieve its second-quarter revenue guidance due to supply chain disruption amid the coronavirus outbreak, which is expected to hurt iPhone sales.
This, in turn, will likely dent investor confidence in the near term. Moreover, the company’s intensifying legal woes due to antitrust investigations and App Store-related lawsuits raise a concern.
(You can read the full research report on Apple here >>>)
Shares of Amazon have gained +22.3% over the past year against the S&P 500’s fall of -5.4%, with the company emerging as a key provider of essential services in an otherwise tough backdrop in the retail space.
Solid adoption of Prime driven by customer benefits, strengthening grocery services and expanding content portfolio is a tailwind. Further, expanding distribution strength and workforce which are helping in addressing the overflowing online orders during the coronavirus pandemic are major positives. Additionally, strengthening AWS services and its growing adoption rate are aiding Amazon’s dominance in the cloud space.
Furthermore, improving Alexa skills and features are other positives. However, rising transportation cost related to its free one-day shipping service is an overhang. Further, delivery delays due to coronavirus led rising orders are concerns. Also, intensifying cloud competition poses risk.
(You can read the full research report on Amazon here >>>)
AstraZeneca’s shares have lost -5.3% over the past three months against the Zacks Large Cap Pharmaceuticals industry’s fall of -9.3%. The Zacks analyst believes that AstraZeneca’s core products like Nexium, Crestor and Seroquel are facing generic competition, which is hurting sales.
Its diabetes franchise also faces stiff competition while pricing pressure is hurting sales in the respiratory unit. Also, the coronavirus outbreak may hurt its profits in 2020. Nonetheless, AstraZeneca’s newer drugs, mainly cancer medicines, Lynparza, Tagrisso and Imfinzi, should keep driving revenues in 2020. Its pipeline is strong with abundance of pipeline catalysts lined up for 2020.
Several launches are underway across each of the therapeutic areas, Oncology, CV metabolism and Respiratory. The company has a mixed record of earnings surprises in the recent quarters. Estimates have declined slightly ahead of Q1 earnings release.
(You can read the full research report on AstraZeneca here >>>)
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/performancefor information about the performance numbers displayed in this press release.