Monday, July 8, 2024

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 Thermo Fisher Scientific Inc. (TMO), Eaton Corporation plc (ETN) and Palo AltoNetworks, Inc. (PANW). 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 >>>

Thermo Fisher shares have outperformed the Zacks Medical - Instruments industry over the past year (+4.5% vs. +0.6%). The Zacks analyst believes that by utilizing the PPI Business System, by expanding bioproduction purification resin capacity and through introduction of the Axiom PangenomiX Array, Thermo Fisher has been showing strong financial results. Innovation and improvement in patient care and a strong solvency position have also boosted the company’s position.

Yet, year-over-year decline in revenues in Life Science Solutions and Laboratory Products and Biopharma Services have ailed.

(You can read the full research report on Thermo Fisher here >>>)

Eaton shares have outperformed the Zacks Manufacturing – Electronics industry over the past year (+56.3% vs. +23.8%). The Zacks analyst believes that expansion via mergers and acquisitions, rising demand from the new AI data center and reduction in production costs have been benefitting the company.

However unpredictable currency translation, cyber security threats, changes in tax rates and security breaches remain major headwinds. The shortage of raw materials and supplier insolvencies might impact production and operations.

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

Shares of Palo Alto have underperformed the Zacks Internet – Software industry over the last six months (+13.9% vs. +20.2%). Per the Zacks analyst, the company’s high acquisition-related expenses are denting its margins. Softening IT spending amid macroeconomic headwinds might also hurt its near-term prospects. Forex headwinds and higher marketing and sales expenses are likely to continue hurting its profitability.

Yet, continuous deal wins and the increasing adoption of its next-generation security platforms, sustained focus on product innovation, the shift to subscription-based services and normalization of its supply chain across platforms are going to boost the company’s prospects.

(You can read the full research report on Palo Alto here >>>)

Other noteworthy reports we are featuring today include Manulife Financial Corporation (MFC), Keurig Dr Pepper Inc. (KDP) and Yum! Brands, Inc. (YUM).

Director of Research

Sheraz Mian

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.