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The Zacks Analyst Blog Highlights UnitedHealth, Procter & Gamble, HSBC and Oil-Dri

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For Immediate Release

Chicago, IL – September 4, 2024 – 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: UnitedHealth Group Inc. (UNH - Free Report) , The Procter & Gamble Co. (PG - Free Report) , HSBC Holdings plc (HSBC - Free Report) and Oil-Dri Corporation of America (ODC - Free Report) .

Here are highlights from Tuesday’s Analyst Blog:

Top Analyst Reports for UnitedHealth, Procter & Gamble and HSBC

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 UnitedHealth Group Inc., The Procter & Gamble Co. and HSBC Holdings plc, as well as a micro-cap stock Oil-Dri Corporation of America. 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 >>>

UnitedHealth shares have outperformed the Zacks Medical - HMOs industry over the past year (+25.9% vs. +22.4%). The company's top line remains poised for growth on the back of a strong market position, new deals, renewed agreements and expansion of service offerings. The company's solid health services segment provides diversification benefits.

The Government business remains well-poised for growth in the future. Adjusted net earnings per share are anticipated to be in the $27.5-$28.00 band in 2024. A sturdy balance sheet enables business investments and prudent deployment of capital via share repurchases and dividend payments. The company increased its quarterly dividend by nearly 12%.

However, membership in its global business continues to be a concern. High operating costs due to rising medical expenses are hurting margins. As such, the stock warrants a cautious stance.

(You can read the ful research report on United Health here >>>)

Shares of Procter & Gamble have gained +13.9% over the past year against the Zacks Soap and Cleaning Materials industry's gain of +21.0%. The company has been gaining from a strategy that focuses on sustainability and adaptability, responding to the evolving demands of consumers, customers and society.

Procter & Gamble has been focused on productivity and cost-saving plans to boost margins. This led to the bottom line beating the consensus mark for the eighth consecutive quarter in fourth-quarter fiscal 2024. PG provided an optimistic view for fiscal 2025. PG estimates all-in sales to increase 2-4% year over year in fiscal 2025.

However, PG has been witnessing headwinds related to the market issues in Greater China, geopolitical tensions, and financial impacts from currency volatility. PG's fiscal 2025 EPS view includes an after-tax headwind of $500 million related to unfavorable commodity costs and adverse currency.

(You can read the full research report on Procter & Gamble here >>>)

HSBC shares have outperformed the Zacks Banks - Foreign industry over the past year (+30.8% vs. +28.2%). The company is witnessing a strong capital position, higher interest rates, an extensive network and business restructuring initiatives will keep aiding it. To focus more on the Asia region, it is moving away from less profitable markets and has announced plans to sell businesses in Argentina and Armenia. It has exited retail operations in the United States, Canada, France, New Zealand, Greece and Russia.

However, HSBC's second-quarter 2024 results were hurt by higher expenses. While the company's efforts to improve market share in the Asia region will aid financials, this will likely lead to a rise in near-term expenses. Because of its growth strategy and higher technology-related expenses, HSBC expects 2024 expenses to rise 5%. The current challenging macroeconomic backdrop is another major woe.

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

Shares of Oil-Dri Corporation of America have outperformed the Zacks Chemical - Diversified industry over the past year (+4.3% vs. -5.1%). This microcap company with market capitalization of $496.85 million have acquired Ultra Pet Company which strengthens its position in the high-growth crystal cat litter segment and is expected to boost earnings.

ODC's third-quarter fiscal 2024 sales reached $106.8 million, marking 12 consecutive quarters of year-over-year growth. The company increased its dividend 7% for the 21st consecutive year. Product launches like Cat's Pride Antibacterial Clumping Litter enhance its competitive edge.

Yet, SG&A expenses grew 51% year over year in third-quarter fiscal 2024, reducing operating income 28%. Agricultural and animal health product sales fell 24% and 17% year over year, respectively. ODC's heavy reliance on Walmart for a significant portion of its sales makes its revenues vulnerable to volatility. High advertising costs impacted the company's profitability.

(You can read the full research report on Oil-Dri Corporation of America here >>>)

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>>>

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

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