Friday, July 22, 2016
Today's Research Daily featured updated research reports on 16 companies issued by our analyst team, including on Netflix (NASDAQ:NFLX) (NFLX), American Express (NYSE:AXP) (AXP) and General Motors (NYSE:GM) (GM). The complete list of the roughly 100 research reports issued by the analyst team today can be found here.
Netflix shares took beating following the Q2 earnings report, with questions about the company's growth outlook taking center stage. The company not only missed subscriber growth expectations for the second quarter, but also offered a muted user growth outlook for the rest of the year, citing the impact of price hikes on grandfathered subscribers. The analyst discusses the pros & cons of the Netflix story in the research report published today. While international expansion and original content will drive subscriber growth, competition is growing and costs are rising. (You can read the full research report on NFLX here.)
American Express lost ground following the company's strong Q2 earnings report where the compnay handily beat EPS and revenue estimates. The issue appears to be investors' concerns about rising customer acquistion expenses. This issue notwithstanding, the analyst likes the company’s strong capital position, improved credit profile, diversified revenues, and leading position in the card payment industry. (You can read the full research report on AXP here.)
General Motor shares appear to have finally hit their stride following the automaker's blowout June quarter results where it beat on both the top- and bottom-lines. The analyst is encouraged by GM’s comprehensive capital allocation strategy which will return value to shareholders. The company will also benefit from its U.S. investments, focus on the emerging markets and new product launches. (You can read the full research report on GM here.)
Other noteworthy reports we are featuring today include Abbott (ABT), Yahoo (NASDAQ:YHOO) (YHOO) and Quest Diagnostics (NYSE:DGX) (DGX).
- Abbott’s (ABT) Q2 Earnings Impress
- Kinder Morgan (NYSE:KMI) Reports In-line
- Quest Diagnostics (DGX) Upgraded to Buy
- Yahoo (YHOO) Downgraded Strong Sell
You can find all of today's stock research reports here.
Sheraz Mian
Director of Research
Note: Sheraz Mian regularly provides earnings analysis on Zacks.com and appears frequently in the print and electronic media. His weekly earnings related articles include Earnings Trends and Earnings Preview. He also provides weekly commentary to Zacks Premium subscribers and manages the Zacks Focus List and Top 10 portfolios.
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Today's Must Read
Featured Reports
Abbott (ABT) Tops Q2 Earnings, Sales Amid Currency Headwinds
The Zacks analyst is impressed with Abbott's Q2 results driven by recently launched products.
Anti Trust Issues to Hurt Qualcomm (NASDAQ:QCOM)
The covering analyst believes that rising antitrust issues relating to licensing fees and chipsets in many countries is a concern for the company.
Kinder Morgan (KMI) Posts In-line Q2 Earnings, Revenue Lags
The Zacks analyst believes that focus on cost reduction and keeping dividend flat helped Kinder Morgan tide over ongoing weakness in the sector and post in-line earnings in Q2.
Verizon (VZ) to Gain from Exclusive Moto Z Launch
Moto Z phones launched exclusively for Verizon have stoked huge interest and can boost revenues going forward, according to the covering analyst.
MasterCard (MA) to Buy VocaLink to Grow its Electronic Payments
The Zacks analyst thinks the VocaLink acquisition will help the MasterCard provide enhanced electronic payments service to its customers and deepen its reach in the U.K.
Humana (NYSE:HUM) Increases 2016 Guidance, Bags TRICARE Contract
Humana upped 2016 guidance reflecting a better-than-expected performance year to date for its individual Medicare Advantage and Healthcare Services businesses.
Yum! Brands (NYSE:YUM) Beats Q2 Earnings, Raises Outlook
The covering analyst believes that higher margins aided Yum! Brands to beat on Q2 earnings. The company also upped its profit outlook on the back of strong first-half results.
New Upgrades
UnitedHealth (UNH) Profits from Public Exchange Exit, Optum Growth
The Zacks analyst thinks exits from public exchanges in unprofitable markets will save UnitedHealth from losses. Also, its Health Services segment Optum is driving growth, led by recent deals.
Quest Diagnostics (DGX) Tops Q2 Earnings
The covering analyst thinks that better-than-expected performance in Q2 reflects its sustained focus on core diagnostic information services business. However, the sales outlook cut is a concern.
Amphenol (NYSE:APH) Poised for Healthy Long-term Growth
With a balanced organic and inorganic growth model, a lean and flexible cost structure, and an agile and entrepreneurial management team, Amphenol recorded healthy second-quarter 2016 results.
New Downgrades
Yahoo's (YHOO) Q2 Revenues in Line, Earnings Disappointed
Yahoo's revenue growth was driven by the Maven and Display businesses and sale plans remain on track. However, margins declined sharply.
Starbucks (NASDAQ:SBUX) Q3 U.S. Comps Weak, Sales Outlook Cut
The Zacks analyst stresses that Starbucks' fiscal third-quarter sales growth was hurt by slowdown of comps and traffic trends in the flagship U.S. market due to changes in the rewards program.
DISH Networks (DISH) Downgraded On High Subscriber Loss in Q2
The covering analyst believes that DISH Networks worst ever quarterly drop in subscribers in the pay TV segment was due to frequent conflicts with broadcasters.
YAHOO! INC (YHOO): Free Stock Analysis Report
NETFLIX INC (NFLX): Free Stock Analysis Report
GENERAL MOTORS (GM): Free Stock Analysis Report
QUEST DIAGNOSTC (DGX): Free Stock Analysis Report
AMER EXPRESS CO (AXP): Free Stock Analysis Report
ABBOTT LABS (ABT): Free Stock Analysis Report
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