Top Research Reports for Comcast, Bristol-Myers & Walgreens

Thursday, April 16, 2020

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 Comcast (CMCSA), Bristol-Myers Squibb (BMY) and Walgreens Boots Alliance (WBA). 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 >>>

Comcast’s shares have underperformed the Zacks Cable Television industry over the past six months (-18.8% vs. -11%). The Zacks analyst believes that Comcast is benefiting from solid high-speed Internet customer wins.

The company’s strategy to provide high-speed Internet at an affordable price plays a pivotal role in improving customer experience. Moreover, its Internet business is expected to gain traction from strong demand as more and more people stay at home due to the coronavirus outbreak. Increased media consumption and work-from-home wave bode well for Comcast.

Growing popularity of Xfinity and Flex products is also a major catalyst. Additionally, Sky’s content strength is expected to drive the subscriber base in Europe. However, Comcast continues to lose video subscribers due to cord cutting. Theme Parks remain closed on account of the coronavirus spread. Higher debt level is also a key concern.

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

Shares of Bristol-Myers have gained 31.4% over the past year against the Zacks Large Cap Pharmaceuticals industry’s rise of 9.3%. The Zacks analyst believes that Bristol-Myers’ blockbuster immuno-oncology drug, Opdivo, maintains momentum.

Blood thinner drug, Eliquis, has propelled sales significantly and is expected to drive further growth, owing to increased share in the NOAC market. Empliciti and Sprycel are also performing well on label expansions. Meanwhile, the acquisition of Celgene has strengthened the company’s oncology portfolio with the addition of Revlimid and its pipeline with encouraging candidates.

However, concerns will rise once Revlimid loses patent protection. Moreover, the company is facing headwinds like stiff competition from other immuno-oncology drugs and pipeline setbacks.

(You can read the full research report on Bristol-Myers here >>>)

Walgreens’ shares have lost 19.9% over the past three months against the Zacks Drug Stores industry’s fall of 20.8%. The Zacks analyst believes that the uptick in Retail Pharmacy USA came from comparable prescription sales growth and a strong retail prescription market. Rise in Pharmaceutical Wholesale sales buoy optimism too.

Walgreens Boots posted better-than-expected second-quarter fiscal 2020. Amid the coronavirus-led doldrums, these businesses recorded sales growth on rising customer demand. Progress made from new strategic partnerships was impressive.

However, decline in adjusted earnings is concerning. Dullness in the Retail Pharmacy International was due to poor testing market conditions. Also, the company did not update its guidance, given the pandemic’s rapidly changing variables. Tough market conditions, margin pressure and stiff competitive landscape are other headwinds for the company.

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

Other noteworthy reports we are featuring today include UnitedHealth Group (UNH), Sanofi (SNY) and Xcel Energy (XEL).

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

Mark Vickery
Senior Editor

Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>

Today's Must Read

High Speed Internet Subscriber Gain Benefits Comcast (CMCSA)

Opdivo, Eliquis Fuel Bristol-Myers (BMY) Amid Competition

Segmental Growth Aids Walgreens (WBA) Amid Coronavirus Impact

Featured Reports

Strong Service and Benefit Business Aids UnitedHealth (UNH)

Per the Zacks analyst, strong operating performance at UnitedHeathcare and Optum businesses bodes well for revenues and membership growth. Solid balance sheet boosts investment in business.

Sanofi (SNY) Specialty Care & Vaccines Unit Support Sales

The Zacks analyst says that Sanofi's Specialty Care unit is on a strong footing with regular label expansion of Dupixent. The Vaccines franchise has also improved.

Steady Investments to Aid Xcel Energy (XEL) Overall Growth

Per the Zacks analyst, Xcel Energy's systematic investments in infrastructure projects and focus on renewable expansion will add to company's overall strength.

eBay (EBAY) Rides on Solid Momentum Across Managed Payments

Per the Zacks analyst, eBay is benefiting from strengthening managed payments offerings which deliver better shopping experience.

Valero (VLO) Banks on Distillate Fuels, Refining Unit Hurts

Valero is well positioned to gain from escalating demand for distillate fuels. However, the company's weak refining operations concern the Zacks analyst.

Quest (DGX) Banks on New Tie-ups, Coronavirus May Hit Sales

Per the Zacks analyst, Quest Diagnostics is gaining on new tie-ups with hospitals and integrated delivery networks.

Digitalization Aids Marriott Vacations (VAC), Coronavirus Ail

Per the Zacks analyst, Marriott Vacations are adopting aggressive technological ways to sustain competition and meet the changing nature of consumer demand.

New Upgrades

Dr. Reddy's (RDY) Robust Generics Portfolio Driving Growth

Per the Zacks analyst, Dr. Reddy's enjoys a strong position in the generics market which is driving growth at the company.

Blueprint Medicines' (BPMC) Ayvakit Approval Driving Growth

Per the Zacks analyst, Blueprint Medicines' lead drug, Ayvakit, holds great potential to treat several types of cancers.

Abercrombie's (ANF) Digital Business Reflects Core Strength

Per the Zacks analyst, Abercrombie's investments in mobile, omni-channel and fulfillment have aided the growth of its digital business, which posted double-digit growth in fourth-quarter fiscal 2019.

New Downgrades

Lower Nitrogen Prices, High Debt Ail CF Industries (CF)

According to the Zacks analyst, lower global nitrogen prices due to higher supply availability will weigh on CF Industries' sales and margins. The company's high debt level is another concern.

Rising Costs & Weak Global Sugar Prices to Hurt Cosan (CZZ)

Per the Zacks analyst, Cosan's results will bear the brunt of rising costs of sales and services and lower sugarcane production due to unfavorable weather conditions.

Lower Rates, Rise in Expenses Hurt Webster Financial (WBS)

Per the Zacks analyst, lower interest rate environment, coronavirus-induced economic slowdown and steadily increasing operating costs are expected to hamper Webster Financial's profitability.

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Xcel Energy Inc. (XEL) : Free Stock Analysis Report

Walgreens Boots Alliance, Inc. (WBA) : Free Stock Analysis Report

UnitedHealth Group Incorporated (UNH) : Free Stock Analysis Report

Sanofi (SNY) : Free Stock Analysis Report

Comcast Corporation (CMCSA) : Free Stock Analysis Report

Bristol-Myers Squibb Company (BMY) : Free Stock Analysis Report

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