Friday, January 26, 2018
The Zacks Research Daily presents the best research output of our analyst team. Today's Research Daily features new research reports on 12 major stocks, including Comcast (CMCSA), United Technologies (UTX) and Intel (INTC). 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 in the last three months. The company has started the nationwide rollout of the DOCSIS 3.1 technology, with its latest xFi Advanced Gateway. Comcast completed the nationwide rollout of its wireless services under the Xfinity Mobile brand, with plans to include YouTube in its X1 video platform.
Comcast is venturing into residential solar programs with Sunrun. Comcast is working towards 5G network deployment. Comcast continues to expand its theme park business. However, we remain concerned about the company’s operation in a saturated and competitive multi-channel U.S. video market.
Comcast lost 33,000 video customers and 13,000 voice customers in the reported quarter, due to cord-cutting and stiff competition. The Zacks analyst views the company's high debt level and consolidation-related woes as potential hazards.
(You can read the full research report on Comcast here >>>).
United Technologies’ shares have outperformed the Zacks Conglomerates industry in the last three months. The company remains focused on four key priorities to fuel its growth momentum: flawless execution, innovation for growth, structural cost reduction and disciplined capital allocation.
The Zacks analyst thinks that the acquisition of Rockwell Collins (NYSE:COL) would offer the company a bigger clout in the industry and increase its bargaining power in future. Management further offered a bullish guidance for 2018 on healthy growth dynamics.
However, United Technologies is exposed to market price volatility and availability risks related to raw materials, which hamper its ability to meet delivery schedules and increase operating costs. In addition, federal budget deficits could put pressure, in the near-term, on the defense budget and limit demand for military shipments.
(You can read the full research report on United Technologies here >>>).
Buy-rated Intel’s shares have underperformed the Zacks General Semiconductor industry over the past one year. The company is benefiting from robust performance of the Data Center Group, Internet-of-Things Group, Non-Volatile Memory Solutions and Programmable Solutions Group. These segments form the crux of Intel’s data-centric business model.
Further, the launch of Xeon Scalable, Core 8 chips, Myriad X and next-generation desktop processors are key catalysts. Moreover, the Core 8 launch is expected to boost PC market share. Intel recently announced few important partnerships — with BMW, Nissan, Volkswagen (DE:VOWG_p) AG, and Ferrari (NYSE:RACE) — which show Intel’s growing dominance in providing AI platforms which will power future vehicles.
The Zacks analyst thinks that the company’s focus on the self-driving car market will boost sales of processing chips, sensor-chips, cloud software and many more, which will drive top-line growth.
(You can read the full research report on Intel here >>>).
Other noteworthy reports we are featuring today include Total System Services (NYSE:TSS), Willis Towers Watson (WLTW) and Clorox Company (NYSE:CLX).
Wall Street’s Next Amazon (NASDAQ:AMZN)
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
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
Featured Reports
Infinity (INFI) Advances Lead Candidate, Competition Looms
Per the Zacks analyst, Infinity is progressing with the development of its lead candidate, IPI-549.
Sunrise Platform Aids Allscripts (MDRX), Competition Rife
Per the Zacks analyst, Allscripts has been gaining prominence lately, thanks to its Sunrise EHR platform and Revenue Cycle Management Services.
Scientific Games (SGMS) Banks on Strategic Acquisitions
Per the Zacks analyst, Scientific Games' latest acquisitions of NYX Gaming and Tech Art will broaden its product pipeline in digital gaming and online lottery markets.
Clorox's (CLX) 2020 Strategy to Aid Growth Despite Soft View
Per the Zacks analyst, soft fiscal 2018 view and strained margins are near-term concerns for Clorox.
Brinker's (EAT) High Expenses Mar its Sales Building Efforts
The Zacks analyst sees Brinker's high labor costs and expenses related to advertising and commodity inflation as potential threats to the company's numerous sales initiatives.
New Upgrades
Improved HPMC Performance, Cost Cuts to Aid Allegheny (ATI)
The Zacks analysts believes that Allegheny is well placed to benefit from improved performance in its HPMC segment and efforts to improve its cost structure through cost reduction initiatives.
Strong Merchant Solution, Cash Flows Aid Total System (TSS)
Per the Zacks analyst, Merchant Solution unit continues to be bolstered by accretive acquisitions supporting overall growth. Also, strong free cash flows enables deleveraging & business investments
New Downgrades
CanRig Delays and Cancellations Weigh on Nabors (NBR)
With a number of clients deferring scheduled CanRig equipment deliveries and numerous orders being canceled, the Zacks analyst has turned bearish on Nabors Industries.
Escalating Expenses Weigh on Willis Towers' (WLTW) Margins
Per the Zacks analyst, rising operating expenses of Willis Towers' resulted in the contraction of operating margins. Yet, Operational Improvement Program will aid in costs savings.
Willis Towers Watson Public Limited Company (WLTW): Free Stock Analysis Report
United Technologies Corporation (NYSE:UTX): Free Stock Analysis Report
Total System Services, Inc. (TSS): Free Stock Analysis Report
Intel Corporation (NASDAQ:INTC): Free Stock Analysis Report
Comcast Corporation (NASDAQ:CMCSA): Free Stock Analysis Report
Clorox Company (The) (CLX): Free Stock Analysis Report
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Zacks Investment Research