Top Stock Reports For Goldman Sachs, PepsiCo And Johnson & Johnson

Published 09/27/2017, 02:07 AM
Updated 07/09/2023, 06:31 AM
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Wednesday, September 27, 2017

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 Goldman Sachs Group Inc (NYSE:GS) (GS), PepsiCo, Inc. (PEP) and Johnson & Johnson (NYSE:JNJ) (JNJ). 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 >>>

Goldman Sachs’ shares have lost -3.9% in the year-to-date period, compared with the +11.3% gain of the Zacks Investment Bank industry. Yet the company carries an impressive earnings surprise history. It has surpassed the Zacks Consensus Estimate for earnings in three of the trailing four quarters.

Though the company’s well-diversified business, expected lesser regulations and its focus to capitalize on growth opportunities through strategic moves should continue to bolster overall business, various lawsuits which have yet to be resolved are likely to lead to elevated expenses and litigation provisions in the near term.

(You can read the full research report on Goldman Sachs here >>>).

PepsiCo’s shares have gained +4.1% over the last year, outperforming the Zacks Soft Beverages industry, which has increased +3.8% over the same period. PepsiCo has been doing well on the back of significant innovation, continued momentum in Frito-Lay business, revenue management strategies, improved productivity and cost-saving initiatives, along with better market execution.

Moreover, it has been seeing higher volumes and profits in the North American segments due to an improving economy, better industry pricing dynamics and a consistency in positive innovation.

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

Johnson & Johnson’s shares have gained +13.8% in the year-to-date period, compared with the +11.8% gain of the Zacks Large Cap Pharmaceuticals industry. J&J is optimistic that sales growth will accelerate in 2H17. We believe that new drugs like Xarelto, Stelara, Darzalex and Imbruvica remain the key to growth.

Meanwhile, share buybacks and restructuring initiatives should provide bottom-line support. J&J is also making rapid progress with its pipeline and line extensions. The Actelion buy adds an attractive new therapeutic area – PAH – which should contribute to sales growth.

(You can read the full research report on Johnson & Johnson here >>>).

Other noteworthy reports we are featuring today include Vertex Pharmaceuticals Inc (NASDAQ:VRTX). (VRTX), Cummins Inc (NYSE:CMI). (CMI) and Fidelity National Information Servcs Inc. (FIS).

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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>>>

Featured Reports

JA Solar (JASO) Gains From Wide Geographical Customer Base

Per the Zacks analyst, JA Solar's focus on widening its geographical customer base has resulted in incremental global sales.

Cabot (COG) Thrives on Marcellus Assets Amid Low Gas Prices

While Cabot's cost management and attractive Marcellus program bode well, the Zacks analyst would prefer to wait for further natural gas price recovery before recommending investors purchase shares.

Sales Mix Rejig Aids Lincoln National (NYSE:LNC), High Cost Hurt

The Zacks analyst views favorably changes in its sales mix aimed at reducing long term claims variability, but will hurt from high cost from investments in digitization.

Flat International Production Outlook Drags Cummins (CMI)

Per the Zacks analyst, Cummins' revenues in India are likely to remain flat in 2017. Also, in Brazil, weak demand is adversely affecting its the truck production.

Digital Innovations Support Fidelity (FIS), Debt Level Hurts

Per the Zacks analyst, Fidelity is well poised to benefit from investment in mobile banking and innovative products such as PayNet and BuyWay.

New Upgrades

Vertex's (VRTX) Cystic Fibrosis Combo Drugs to Drive Growth

Vertex has two cystic fibrosis (CF) drugs, Kalydeco & Orkambi in its portfolio with blockbuster potential. The Zacks analyst says that Vertex's triple combination CF regimens are crucial for growth

Wynn Resorts (WYNN) Rides on Macau Revival, Vegas Business

Per the Zacks analyst, revival of gaming revenues in Macau and the opening of Wynn Palace is likely to propel the top line. Continued improvement in the Las Vegas business should further drive growth.

New Downgrades

Downbeat Q3 View, Steel Imports Weigh on Nucor (NYSE:NUE)

Per the Zacks analyst, Nucor's Q3 results are expected to be hurt by pricing pressure stemming from higher steel imports as well as unplanned outages. Nucor sees earnings to fall sequentially in Q3.

Acorda's (ACOR) Delayed Inbrija Launch to Hurt Top-Line

Per the Zacks analyst, delay in launching Acorda's Parkinson's candidate Inbrija with FDA issuing refusal to file letter and patent issues with its key drug Ampyra may affect the top-line in near-term



Vertex Pharmaceuticals Incorporated (VRTX): Free Stock Analysis Report

Pepsico, Inc. (NYSE:PEP): Free Stock Analysis Report

Johnson & Johnson (JNJ): Free Stock Analysis Report

Goldman Sachs Group, Inc. (The) (GS): Free Stock Analysis Report

Fidelity National Information Services, Inc. (FIS): Free Stock Analysis Report

Cummins Inc. (CMI): Free Stock Analysis Report

Original post

Zacks Investment Research

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