T Stock – Top Stock Reports for Apple, Alibaba & AT&T
Tuesday, March 30, 2021
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 Apple Inc. (AAPL), Alibaba Group Holding Limited (BABA) and AT&T Inc. (T). 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 >>>
Apple shares have underperformed the Zacks Computer – Mini computers industry over the past year (+90.9% vs. +91.8%). Nonetheless, the Zacks analyst believes that Apple is benefiting from continued momentum in the Services segment, driven by a robust performance of the App Store, Apple Music, video and cloud services.
Moreover, demand remains healthy for other Apple devices including iPad, Mac and Wearables. Although Apple didn’t provide any guidance due to uncertainties triggered by the coronavirus pandemic, it expects the top-line to grow in the second quarter of fiscal 2021.
Moreover, Apple’s near-term prospects are bright, driven by new iPhones that support 5G, revamped iPad and Mac line-up of devices, health-focused Apple Watch 6 and robust growth in the Services business. However, increasing scrutiny and legal woes over the App Store are headwinds.
(You can read the full research report on Apple here >>>)
Alibaba shares have underperformed the Zacks Internet – Commerce industry over the past year (+19.2% vs. +42.6%). The Zacks analyst believes that Alibaba’s regulatory concerns and higher costs associated with new initiatives remain major problems. Also, uncertain economy and macro headwinds in China remain concerns. In addition, rising competition from e-commerce players poses a risk.
Nevertheless, Alibaba Group’s reported strong fiscal third-quarter 2021 results driven by a steady improvement in core commerce and strong cloud business. The company continues to benefit from strong growth in metrics. Further, Alibaba’s strengthening cloud business with its expanding customer base continues to drive its performance. The New Retail strategy is also gaining significant momentum in the market.
(You can read the full research report on Alibaba here >>>)
Shares of AT&T have increased +6.3% in the year-to-date period against the Zacks Wireless National industry’s gain of +0.2%. The Zacks analyst believes that AT&T is well poised to gain from a solid subscriber growth on the back of a resilient customer-centric business model, driven by diligent execution of operational plans. The company expects to continue investing in key areas while adjusting its business according to the evolving market scenario to fuel long-term growth with healthy dividend payment.
It is likely to benefit from the streaming services of HBO Max, integrated fiber expansion and nationwide 5G deployment. AT&T has unveiled its 5G strategy and reaffirmed its guidance for 2021. However, the company is facing a steady decline in linear TV subscribers, legacy services and wireline division. Additionally, spectrum crisis in a saturated wireless market and continued cord-cutting remains major headwind.
(You can read the full research report on AT&T here >>>)
Other noteworthy reports we are featuring today include Texas Instruments Incorporated (TXN), Intuitive Surgical, Inc. (ISRG) and Zoetis Inc. (ZTS).
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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
Apple (AAPL) Banks on Services to Counter Weak iPhone Demand
Core Commerce & Cloud Business Strength Aids Alibaba (BABA)
AT&T (T) Rides on HBO Max, Fiber Network Growth & 5G Rollout
New Products, Acquisitions Fuel Zoetis (ZTS) Amid Slowdown
Per the Zacks analyst, Zoetis companion animal business driven by Apoquel and Simparica should maintain growth amid challenges for beef and dairy customers.
ProPetro (PUMP) to Gain from Pioneer Natural Resources Assets
The Zacks analyst believes that the acquisition of Pioneer Natural Resources have provided a stable revenue base for ProPetro.
Ground Segment Drives FedEx (FDX) Despite Cost Concerns
The Zacks analyst likes the e-commerce-led increase in revenues at FedEx’s Ground unit (up 37% in the first nine months of fiscal 2021).
Prudential (PRU) Set to Grow on Expanding Retirement Business
Per the Zacks analyst, Prudential is set to grow on leading position in universal, term and variable life insurance, expanding Retirement business and global presence.
da Vinci Aids Intuitive Surgical (ISRG) Amid Margin Pressure
Per the Zacks analyst, strength in Intuitive Surgical’s robot-based da Vinci surgical system, backed by procedural growth, boosts company’s growth prospects.
Solid Housing Demand Likely to Drive Lennar’s (LEN) Performance
Per the Zacks analyst, Lennar robust housing market fundamentals backed by low interest rates and continuous focus on reducing operating costs in order to drive the bottom line bode well.
Electrification Efforts to Drive Ford (F) Amid Chip Crunch
Ford’s deal with Volkswagen and upcoming EV launches are set to boost its e-mobility game. However, a global crunch in semiconductor supply may hurt the firm’s near-term sales, per the Zacks analyst.
Continued Rise in Loans Support Bank OZK’s (OZK) Top Line
Per the Zacks analyst, Bank OZK’s revenues are likely to keep improving driven by continued rise in loans. Given a solid balance sheet, the company is expected to expand further through acquisitions.
Improving Demand & Cost Control Aid Astec Industries (ASTE)
Per the Zacks analyst, Astec Industries will benefit from strong residential construction and improvement in non-residential construction, focus on acquisitions as well as cost cutting actions.
Growth in Personal Electronics Aids Texas Instruments (TXN)
Per the Zacks analyst, growth in the personal electronics market owing to coronavirus induced increasing work-from-home trend is benefiting the top-line of Texas Instruments.
Limited Users, Regulations Ail NextEra Energy Partners (NEP)
Per the Zacks analyst NextEra Energy Partners (NEP) dependence on a limited group of customers for revenues and to adherence of stringent laws and regulations could adversely impact its operations.
End-Market Weakness & High Costs to Ail Altra Industrial (AIMC)
Per the Zacks analyst, weakness in mining, oil & gas and metals markets will likely hurt Altra Industrial’s (AIMC) business in the quarters ahead.
Sluggish Gross Margin Remains a Worry for Best Buy (BBY)
Per the Zacks analysts, Best Buy’s gross margin has been hurt by high supply chain costs, as witnessed in fiscal fourth-quarter 2021. Gross Margin is likely to be pressurized in fiscal 2022 as well.
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Zoetis Inc. (ZTS) : Free Stock Analysis Report
AT&T Inc. (T) : Free Stock Analysis Report
Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report
Alibaba Group Holding Limited (BABA) : Free Stock Analysis Report
Apple Inc. (AAPL) : Free Stock Analysis Report
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T Stock – Top Stock Reports for Apple, Alibaba & AT&T
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