Top Analyst Reports for Booking Holdings, Mitsubishi UFJ & Micron Technology
Friday, March 22, 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 Booking Holdings Inc. (BKNG), Mitsubishi UFJ Financial Group, Inc. (MUFG) and Micron Technology, Inc. (MU). 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 Booking Holdings have gained +42.9% over the past year against the Zacks Internet - Commerce industry’s gain of +53.7%. The company is benefiting from a favorable travel demand environment, owing to growing demand for global leisure travel demand. Substantial improvement in its booking trends remains a major tailwind.
Solid momentum in booked room nights is contributing well to the gross bookings growth. Furthermore, strong growth in rental car and airline ticket units is a major positive. Also, strong momentum across the merchant, and advertising and other businesses are other positives.
Additionally, growing alternative accommodation business and flight capabilities are tailwinds for the company. However, the declining trend in agency bookings is negatively affecting its top-line growth. Also, intensifying online travel competition remains a serious risk.
(You can read the full research report on Booking Holdings here >>>)
Mitsubishi UFJ’s shares have outperformed the Zacks Banks - Foreign industry over the past year (+68.7% vs. +33.0%). The first nine months of fiscal 2023 results show a rise in loan and deposit balances and fees and commissions, while net interest income (NII) declined.
A large deposit balance from a broad customer base boosts its liquidity position and aid its inorganic growth. MUFG’s asset management strategy aims to enhance its investment capabilities in alternative investment and credit space. Also, the company’s capital strength aids its capital distribution activities.
Yet, amid Japan’s low interest rate policy, MUFG’s top-line growth will likely continue to be hurt. High expenses remain a concern for MUFG. The strict regulatory requirements are likely to be another woe as it might increase the company’s operating costs.
(You can read the full research report on Mitsubishi UFJ here >>>)
Shares of Micron Technology have gained +77.9% over the past year against the Zacks Semiconductor Memory industry’s gain of +80.3%. The company’s better-than-expected second-quarter performance reflects gains from improved market conditions, strong sales executions and double-digit growth across multiple business units.
The positive impact of inventory improvement in the data center, as well as stabilization in other markets, such as automotive, industrial and others, have also contributed to its results. It anticipates the pricing of Dynamic Random Access Memory (DRAM) and NAND chips will keep increasing next year, hence improving its revenues.
The pricing benefits will primarily be driven by rising AI server causing a scarcity in the availability of cutting-edge DRAM and NAND supply. The 5G adoption in the Internet of Things devices and wireless infrastructure is likely to spur demand for memory and storage.
(You can read the full research report on Micron Technology here >>>)
Other noteworthy reports we are featuring today include The Travelers Companies, Inc. (TRV), American Electric Power Company, Inc. (AEP) and Alcon Inc. (ALC).
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. If you want an email notification each time Sheraz publishes a new article, please click here>>>
Today's Must Read
Booking Holdings Benefits From Strong Leisure Travel Demand
Buyouts & Reforms Aid Mitsubishi (MUFG), Loan Balance Ails
Inventory Normalization and AI Trend to aid Micron (MU)
Featured Reports
Strong Renewal Rate Change, Retention Aid Travelers (TRV)
Per the Zacks analyst, Travelers is set to gain from continued strong renewal rate change and retention and increase in new business. Yet, exposure to cat loss inducing underwriting volatility ails.
Capex Aids American Electric (AEP) Amid High Interest Costs
Per the Zacks analyst, solid capital expenditure in transmission and distribution should benefit American Electric. Yet, increasing interest expenses might hurt its bottom-line performance
Surgical Sales Rebound, New Product Launches Aid Alcon (ALC)
The Zacks analyst is optimistic about consistent share gains and strong global ATIOL penetrations within Alcon's Surgical business. New product launches aid growth.
Viatris (VTRS) Restructuring Move Positive, High Debt A Woe
Per the Zacks analyst, Viatris efforts to divest non-core businesses to pay down huge debt is positive. The recent acquisitions to create an ophthalmology franchise will diversify the portfolio.
Juniper (JNPR) Rides on Portfolio Strength, Capital Influx
Per the Zacks analyst, Juniper's merger with Hewlett Packard Enterprise will likely accelerate the development of secure, unified networking solutions optimized for hybrid cloud and AI.
New Upgrades
Pilgrim's Pride (PPC) Benefits from Solid Mexico Operations
Per the Zacks analyst, Pilgrim's Pride has been seeing strength in Mexico operations. In fourth quarter, net sales in Mexico operations rose 13.8% to $526.6 million, backed by strong brand offerings.
Viper Energy (VNOM) to Benefit From Steady Royalty Income
Per the Zacks analyst, Viper Energy will benefit from a favourable business environment and high crude prices.
New Downgrades
Landstar (LSTR) Continues to Grapple With Weak Freight Market
Per the Zacks analyst, weakness in overall volumes due to headwinds like weak freight demand, supply-chain woes and slower network velocity are hurting the top line.
Thor (THO) to Suffer From Declining Backlog and Cost Woes
Shrinking order books in North American Towable, North American Motorized and European RVs units along with rising SG&A expenses as a percentage of sales concern the Zacks analyst.
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American Electric Power Company, Inc. (AEP) : Free Stock Analysis Report
The Travelers Companies, Inc. (TRV) : Free Stock Analysis Report
Micron Technology, Inc. (MU) : Free Stock Analysis Report
Alcon (ALC) : Free Stock Analysis Report
Booking Holdings Inc. (BKNG) : Free Stock Analysis Report
Mitsubishi UFJ Financial Group, Inc. (MUFG) : Free Stock Analysis Report
