Monday, April 11, 2022
 

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 Alphabet Inc. (GOOGL), Amazon.com, Inc. (AMZN), and AbbVie Inc. (ABBV). 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 >>>
 

Shares of Alphabet have outperformed the Zacks Internet - Services industry over the past year (+18.8% vs. +2.8%) on the back of the search giant's leverage to ad spending and strong cloud division. Alphabet's expanding data centers will continue to bolster its presence in the cloud space. Further, major updates in its search segment are enhancing the search results.
 

The Zacks analyst believes that Google’s mobile search is gaining solid momentum. Also, a strong focus on innovation of AI techniques and the home automation space should aid business growth in the long term. Further, its deepening focus on the wearables category remains a tailwind.
 

The company’s growing efforts to gain a foothold in the healthcare industry are other positives. Also, Alphabet’s expanding presence in the autonomous driving space is contributing well. However, its growing litigation issues and increasing expenses are concerns.
 

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

Amazon shares have gained lagged the broader market over the past year (-10.4% vs +9%) on persistent worries that the company's Covid outperformance was at the expense of future results. There is also the issue of growth stocks in the Fed tightening cycle. These are reasonable issues, but the Zacks analyst sees the company well positioned for the long run given solid Prime momentum and solid positioning the cloud space (Amazon Web Services or AWS). Further, robust Alexa skills and expanding smart home products portfolio are positives.
 

The Zacks analyst believes that a strong global presence and solid momentum among the small and medium businesses remain tailwinds. However, growing expenses associated with supply-chain constraints and labor supply shortages remain concerns.
 

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

Shares of AbbVie have outperformed the Zacks Large Cap Pharmaceuticals industry over the past year (+69.1% vs. +38.7%). The Zacks analyst believes that Humira has been performing well in the United States based on strong demand trends. AbbVie has several new drugs in its portfolio, which can drive revenues once Humira loses U.S. exclusivity in 2023. Skyrizi and Rinvoq are going strong. It has an impressive late-stage pipeline with several early/mid-stage candidates that have blockbuster potential.
Allergan’s acquisition has diversified AbbVie’s revenue base into new therapeutic area. However, there are concerns about long-term sales growth once Humira generics enter the U.S. market. Increasing competition from newer therapies is hurting Imbruvica’s sales.
 

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

Other noteworthy reports we are featuring today include Walmart Inc. (WMT), Eli Lilly and Company (LLY), and Toyota Motor Corporation (TM).
 

Sheraz Mian
 
Director of Research
 

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>>>