For Immediate Release
Chicago, IL – May 6, 2022 – 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: Oracle Corp.
ORCL
, Union Pacific Corp.
UNP
, Ford Motor Co.
F
, Biogen Inc.
BIIB
and Expedia Group, Inc.
EXPE
.
Here are highlights from Thursday’s Analyst Blog:
Analyst Upgrades and Research Reports for Oracle, Union Pacific, Ford and Others
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 Oracle Corp., Union Pacific Corp., and Ford Motor Co. 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 >>>
Oracle
shares have done better than the broader Zacks Tech sector in the year-do-date period (-15.5% vs. -18.9%), but they have lagged the S&P 500 index (-15.5% vs. -9.8%), a function of sentiment shift on the sector in a rising interest rate environment. The Zacks analyst believes that higher spending on product enhancements, especially toward the cloud platform, amid increasing competition in the cloud domain is likely to limit margin expansion.
On the other hand, Oracle is benefiting from the ongoing momentum across its cloud business, driven by the strong uptake of Oracle Cloud Infrastructure services and Autonomous Database offerings. Solid adoption of cloud-based applications, comprising NetSuite Enterprise Resource Planning (ERP), Fusion ERP and Fusion Human Capital Management (HCM), bodes well.
Solid demand for the Oracle Dedicated Region Cloud@Customer is anticipated to drive the top line. Partnerships with Accenture and Microsoft is helping Oracle win new clientele. The company’s share buybacks and dividend policy are noteworthy.
(You can
read the full research report on Oracle here >>>
)
Shares of
Union Pacific
have outperformed the Zacks Transportation – Rail industry over the past year (+4.4% vs. +0.7%). The Zacks analyst believes that Union Pacific’s efforts to reward its shareholders even in the current uncertain scenario is praiseworthy. The company hiked dividend twice in 2021. The railroad operator is also active on the buyback front.
UNP returned $3.5 billion to its shareholders in first-quarter 2022. Management anticipates share repurchases in 2022 to be in line with the 2021 levels of $7.3 billion. The company’s strong free cash flow generating ability supports its shareholder-friendly activities. Uptick in freight revenues (up 17% year over year in first-quarter 2022) as economic activities pick up the pace is an added positive.
However, escalation in fuel costs (up 74% in the March quarter) as oil prices move north induced a 16% rise in operating expenses. High debt/EBITDA ratio and tepid automotive demand are further concerns. High capex may also play spoilsport.
(You can
read the full research report on Union Pacific here >>>
)
Shares of
Ford Motor
have outperformed the Zacks Automotive – Domestic industry over the past year (+27.6% vs. +3.9%). The Zacks analyst believes that strong vehicle mix supported by F-series trucks and SUV models, including Escape, Explorer, Expedition, EcoSport and Edge, among others is expected to bolster Ford’s revenues. The robust electric vehicle (EV) lineup—with Mustang Mach-E, E-Transit and F-150 Lightning— is receiving great reception and is set to drive growth.
Upbeat 2022 guidance also spark optimism. Ford+ plan, with a focus on profitability growth, e-mobility future and enhancement of customer experience augurs well. Yet, massive electrification spending of over $50 billion by 2026 is likely to strain near-term cash flows. High commodity and freight expenses, a tough labor market and logistical challenges will mar near-term profits.
(You can
read the full research report on Ford Motor here >>>
)
Other noteworthy reports we are featuring today include Biogen Inc. and Expedia Group, Inc.
Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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.
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.
Just Released: Zacks’ 7 Best Stocks for Today
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