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The Zacks Analyst Blog Highlights: Mastercard, JPMorgan, Eli Lilly, Caterpillar and Anthem

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For Immediate Release

Chicago, IL – October 12, 2020 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Mastercard Incorporated (MA - Free Report) , JPMorgan Chase & Co. (JPM - Free Report) , Eli Lilly and Company (LLY - Free Report) , Caterpillar Inc. (CAT - Free Report) and Anthem, Inc. .

Here are highlights from Friday’s Analyst Blog:

Top Analyst Reports for Mastercard, JPMorgan and Eli Lilly

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 Mastercard, JPMorgan Chase and Eli Lilly. 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 >>>

Mastercard shares have outperformed the Zacks Financial Transaction Services industry in the year to date period (+17.4% vs. +5.5%). The Zacks analyst believes that Mastercard’s strategic acquisitions, alliances and technology upgrades, along with product-diversification and geographic-expansion initiatives augur well for the long-term.

The company has undertaken several acquisitions to supplement organic efforts and diversify revenues over the years, which has helped expand its addressable markets and strengthen core product solutions. It is gaining from an increased demand for digital and contactless solutions owing to the COVID crisis.

Investment in technology keeps it at the forefront of the rapidly-evolving payments industry. It is also witnessing buoyant demand for its Data & Analytics and Cyber solutions. However, escalating costs might put pressure on the company’s margins. It also cancelled its annual 2020 outlook for net revenues and operating expense due to coronavirus-induced losses.

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

JPMorgan shares have outperformed other money-center banks latey, but the stocks continue to lag the broader market as investors remain focused on the tough operating environment for banks characterized by low interest rates and cyclical pressures. These headwinds notwithstanding, the Zacks analyst is optimistic about JPMorgan's long-term prospects ahead of its quarterly report next week on the back of branch openings in new regions, acquisition of InstaMed, reversal in mortgage banking business and focus on credit card operation.

Additionally, the company has kept the dividend level unchanged currently, following the clearance of annual stress test results. However, the Fed’s accommodative policy and near-zero rates are expected to hurt the bank’s interest income and margins.

Further, coronavirus-induced economic downturn will likely continue to hamper business activities. Thus, loan growth will likely be muted in the near term.

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

Eli Lilly shares have gained +7.3% over the past six months against the Zacks Large Cap Pharmaceuticals industry’s rise of +6.5%. The Zacks analyst believes that generic competition for several drugs, rising pricing pressure in the United States, and price cuts in some international markets like China, Japan and Europe are some top-line headwinds for the company.

Lilly expects revenue growth to be driven by higher demand for its growth drugs like Trulicity, Taltz, and others and from product launches in diabetes, autoimmune diseases and cancer. Lilly is making significant pipeline progress including its efforts to make therapies to treat COVID-19.

Though new prescription volume of several medicines declined in Q2 due to COVID-19, the trends are expected to improve in the second half. Estimates have gone up ahead of Q3 results. Lilly has a positive record of earnings surprises in the recent quarters.

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

Other noteworthy reports we are featuring today include Caterpillar and Anthem.

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