Top Analyst Reports for Amazon.com, Roche & GE Aerospace

Friday, September 6, 2024The 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 Amazon.com, Inc. (AMZN), Roche Holding AG (RHHBY) and GE Aerospace (GE), as well as two micro-cap stocks Canterbury Park Holding Corporation (CPHC) and NVE Corporation (NVEC). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.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 >>>Amazon.com shares have lost ground lately, along with the rest of its Magnificent 7 peers and other megacap Tech operators, but they have still been strong performers this year (up +13.7% vs. +15.3% for the S&P 500 index. The company is gaining on solid Prime momentum owing to ultrafast delivery services and strong content portfolio. Strengthening relationship with third-party sellers is a positive.Amazon.com’s expanding global presence and solid momentum among the small and medium businesses, remain a plus. Growing adoption of AWS is aiding Amazon’s cloud dominance. Deepening focus on generative AI is a major plus. Also, improving Alexa skills along with robust smart home products offerings are tailwinds. Growing capabilities in grocery, pharmacy, healthcare and autonomous driving are other positives.However, macroeconomic challenges remain headwinds. Amazon issued weak third-quarter 2024 revenue guidance due to the changing shopping pattern of consumers, which is a negative.(You can read the full research report on Amazon.com here >>>)Shares of Roche have outperformed the Zacks Large Cap Pharmaceuticals industry over the past three months (+22.0% vs. +4.1%). Th company’s performance in the second quarter and the first half of 2024 was impressive because of the high demand for its drugs and tests.The second quarter saw an acceleration in growth as total sales were no longer affected by the decline in COVID-19 sales, resulting in very strong sales growth. Consequently, Roche raised its earnings outlook for the full year. Vabysmo, Ocrevus, Evrysdi and Polivy boost growth. Vabysmo has put up a stellar performance against Eylea.Meanwhile, Roche is also looking to diversify and make inroads in the lucrative obesity market in the wake of declining sales from legacy drugs due to competition from biosimilars.  The company’s efforts to develop new drugs are encouraging. The base diagnostics business is also performing well.(You can read the full research report on Roche here >>>)Shares of GE Aerospace have outperformed the Zacks Transportation - Airline industry over the past six months (+25.1% vs. +7.7%). The company has been witnessing strength in its businesses, driven by robust demand for commercial engines, propulsion and additive technologies.Rising U.S. & international defense budgets, geopolitical tensions, positive airline & airframer dynamics and robust demand for commercial air travel augur well for the company. GE Aerospace remains committed to making investments to boost growth and provide better services to its customers.Its portfolio-reshaping actions are likely to unlock values for its shareholders. Its shareholder-friendly policies are encouraging. For 2024, it expects organic revenues to grow in the high-single-digit range from the year-ago level. However, it has been dealing with high costs and expenses related to projects and restructuring activities.(You can read the full research report on GE here >>>)Canterbury Park’s shares have underperformed the Zacks Gaming industry over the year-to-date period (-0.6% vs. +6.8%). This microcap company with market capitalization of $100.78 million offers significant long-term revenue potential through diversified projects like an amphitheater, Winners Circle and residential units, driving growth beyond traditional gaming.Financially stable with $24 million in cash and short-term investments, Canterbury Park can fund growth without debt. Improved EBITDA margins and diversified revenue streams, including pari-mutuel wagering and event hosting, support CPHC’s earnings stability. The company’s vision of a regional destination is progressing, with leasing success indicating solid demand.However, risks include a 93.6% drop in second-quarter 2024 net income due to a non-recurring gain in 2023, weak casino revenues and substantial losses from equity investments. Increased competition from nearby casinos could impact market share and profitability.(You can read the full research report on Canterbury Park here >>>)Shares of NVE have gained +0.5% over the year-to-date period against the Zacks Electronics - Semiconductors industry’s gain of +16.2%. This microcap company with market capitalization of $367.89 million exhibits strong margins in the fiscal first quarter of 2025, with gross margin rising to 86% and operating margin at 65%, driven by a profitable product mix and direct sales.The company's increased R&D spending by 26%, especially in wafer-level chip scale packaging aimed at medical and industrial applications, expected to drive new revenue streams. Despite a 24% sales decline due to semiconductor downturns, strong cash flows and a $53 million cash reserve support a steady $1.00 per share dividend. NVE Corporation's focus on spintronic technologies positions it well in high-growth sectors.However, revenue risks persist with heavy reliance on key customers and competitive pressures. Rising operating expenses and labor market challenges may pressure near-term profitability, while supply-chain vulnerabilities and inventory management issues could impact operational efficiency.(You can read the full research report on NVE here >>>)Other noteworthy reports we are featuring today include IQVIA Holdings Inc. (IQV), Discover Financial Services (DFS) and Cenovus Energy Inc. (CVE).Director of ResearchSheraz MianNote: 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 ReadAmazon (AMZN) Banks on Growing AWS Adoption & Prime MomentumVabysmo, Other New Drugs and Tests Fuel Roche (RHHBY) GrowthCommercial Engines & Services Unit Aids GE Aerospace (GE)Featured ReportsIQVIA Benefits From Global IT Infrastructure, Liquidity LowPer the Zacks Analyst, IQVIA's strong healthcare-specific global IT infrastructure places it firmly in the life sciences space. Low liquidity remains a concern.Discover Financial (DFS) Aided by Rising Interest IncomePer the Zacks Analyst, growth in net interest income has contributed to Discover Financial's top line. Digital transformation efforts drive margins.Cenovus Energy's (CVE) Strong Operations Boost OutlookCenovus' strong operations and increased production in 2024, backed by financial flexibility, are impressive. However, future payment obligations and crude price exposure concern the Zacks analyst.Expansion Plans Aid Raymond James (RJF), High Expenses AilPer the Zacks analyst, Raymond James' expansion initiatives, strong balance sheet and global reach will aid revenues. However, the volatile nature of the IB business and rising expenses are concerns.Renewable Expansion Aids Ameren (AEE) Amid Poor FinancialsPer the Zacks analyst, focus on infrastructural upgrades and renewable expansion is likely to boost Ameren's revenues. Yet, its poor financial position remains a cause of concern.FLEX Gains From Demand Momentum Amid Volatile Macro BackdropPer the Zacks analyst, Flex's performance is driven by steady momentum across automotive, cloud and data center power verticals. Rising global tax rates and a dynamic macro backdrop remain woes.Vista Segment to Benefit Cimpress (CMPR), High Costs AilPer the Zacks analyst, Cimpress will benefit from strength in the Vista unit, led by an increase in the customer count. However, high costs remain concerning for the company.New UpgradesIllumina (ILMN) Activates New Strategy Post GRAIL SelloffThe Zacks analyst is upbeat about Illumina's new strategy to return to growth and increase profitability, post the GRAIL spin-off. Its innovations in sequencing workflows should support the growth.Solid Spec Strategy Aids Meritage Homes' (MTH) ProspectsPer the Zacks analyst, Meritage Homes benefits from its efficiency in providing quick-turning and affordable move-in-ready homes. Also, focus on entry-level and first-move-up homebuyers bode well.Cost Management Set to Boost Gross Margin for Zumiez (ZUMZ)Per the Zacks analyst, Zumiez has enhanced its gross margin, driven by effective cost management and a strong sales performance. During the second quarter, the margin expanded by 250 basis points.New DowngradesDollar Tree's (DLTR) Performance Hurt by Several HeadwindsPer the Zacks analyst, Dollar Tree's performance has been hurt by a tough macro backdrop, product cost inflation and elevated shrink costs. It is also witnessing higher SG&A expenses for a while.Rising Costs, Leveraged Balance Sheet Irk Envista (NVST)The Zacks analyst is worried about Envista having a lot of debt on its balance sheet. Escalating costs and expenses too are weighing on the company's bottom line.Slower End-Market & Project Delays Hurt Gibraltar (ROCK)Per the Zacks analyst, Gibraltar's business is being hurt by slower market conditions in Residential and Renewables end markets. Also, inventory right-sizing and project delays are a concern.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 228 positions with double- and triple-digit gains in 2023 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Amazon.com, Inc. (AMZN): Free Stock Analysis Report GE Aerospace (GE): Free Stock Analysis Report Roche Holding AG (RHHBY): Free Stock Analysis Report Discover Financial Services (DFS): Free Stock Analysis Report Cenovus Energy Inc (CVE): Free Stock Analysis Report NVE Corporation (NVEC): Free Stock Analysis Report IQVIA Holdings Inc. (IQV): Free Stock Analysis Report Canterbury Park Holding Corporation (CPHC): Get Free ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks