Top Stock Research Reports for AbbVie, Accenture, TOTAL & Others
Tuesday, February 11, 2020
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 AbbVie (ABBV), Accenture (ACN) and TOTAL (TOT). 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 >>>
AbbVie’s shares have outperformed the Zacks Large-Cap Pharmaceuticals industry in the past six months (+46.8% vs. +15.9%). The Zacks analyst believes that AbbVie’s key drug, Humira is performing well based on strong demand trends despite new competition.
AbbVie has been successful in expanding approvals for its cancer drugs, Imbruvica and Venclexta. Moreover, it has an impressive late-stage pipeline. It gained approvals for two new drugs with significant potential, Skyrizi (risankizumab) and Rinvoq, in 2019. Both are off to a strong start.
The acquisition of Allergan, if successful, should diversify AbbVie’s revenue base and accelerate its non-Humira business. However, sales erosion due to direct biosimilar competition to Humira in international markets is a big headwind. Also, the decline in HCV sales is a concern.
(You can read the full research report on AbbVie here >>>)
Shares of Accenture have gained +35.7% over the past year against the Zacks Consulting industry's rise of +27.1%. The Zacks analyst believes that Accenture has been steadily gaining traction in its outsourcing and consulting businesses.
The company has been strategically enhancing its cloud and digital marketing suite through acquisitions and partnerships. The company’s strong operating cash flow has helped it reward its shareholders in the form of dividends and share repurchases, and pursue opportunities in areas that show true potential. Accenture is currently a global leader in the Salesforce implementation service space.
However, Accenture continues to face pricing pressure due to significant competition from strong companies like Genpact, Cognizant and Infosys. Global presence exposes Accenture to foreign currency exchange rate fluctuations. Buyout-related integration risks is a concern.
(You can read the full research report on Accenture here >>>)
TOTAL’s shares have lost -9.7% over the past three months against the Zacks Integrated International Oil industry's fall of -11.7%. The Zacks analyst believes that company has been benefiting from startups, renewable projects, its LNG portfolio and expanding upstream portfolio that has above industry-average exposure to faster-growing hydrocarbon producing regions.
Streamlining the asset portfolio and syncing the same with long-term objectives are going to boost its performance and strengthen operations. Cost-saving initiatives are also aiding it to boost margins.
However, TOTAL's operations in some politically-troubled regions and increasing competition might affect profitability. Due to its global presence, the company is exposed to risks associated with pursuing business abroad.
(You can read the full research report on TOTAL here >>>)
Other noteworthy reports we are featuring today include Amazon.com (AMZN), Enbridge (ENB) and Intuit (INTU).
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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>>>
Today's Must Read
AbbVie (ABBV) Ex-U.S. Humira Sales Erode, New Drugs Impress
Accenture (ACN) Continues to Benefit From Acquisitions
Production Boost from Startups, Cost Savings Aid TOTAL (TOT)
Featured Reports
Amazon (AMZN) Banks on Prime Momentum & Growing AWS Adoption
Per the Zacks analyst, Amazon is riding on expanding quick delivery services via Prime which are aiding its retail position. Also, strengthening cloud offerings are bolstering AWS adoption rate.
Enbridge (ENB) Banks on $11B Project Backlog, Debt High
The Zacks analyst expects Enbridge to generate stable cash flow from multi-billion-dollar worth of natural gas and oil transportation project backlog. However, its debt burden is concerning.
Intuit (INTU) Rides on Product Refresh, Higher Subscriptions
Per the Zacks analyst, Intuit is benefiting from frequent product refreshes, which help it to gain customers.
Canadian National (CNI) Rides on Dividends & Buybacks
The Zacks analyst is impressed by the company's measures to reward shareholders through dividends and repurchases.
Strength in Categories Drive Ross Stores (ROST) Sturdy Comps
Per the Zacks analysts, Ross Stores witnesses robust comps driven by strength across categories, except ladies apparel.
Long-Term Investments, Renewable Focus Aid Xcel Energy (XEL)
Per the Zacks analyst disciplined investments in infrastructure projects and focus on renewable expansion will strengthen Xcel Energy's existing operations.
IHS Markit (INFO) Benefits From Ipreo Buyout Amid High Costs
The Zacks analyst believes that the Ipreo acquisition boosts IHS Markit's financial services segment. However, high acquisition related costs remain a headwind.
New Upgrades
Commercial Lines Segment Aids Cincinnati Financial (CINF)
Per the Zacks analyst, its Commercial Lines Insurance segment has been consistently performing well on the back of several strategic initiatives and price increases, contributing to overall growth.
Increased Contract Wins, Cash Flow Growth Aids Leidos (LDOS)
Per the Zacks Analyst, Increased contract wins for its cost-effective defense solutions from the Pentagon drives the company's growth and bolster its backlog.
FormFactor (FORM) Benefits from Growing Probe Card Demand
Per the Zacks analyst, FormFactor benefits from strength in both Foundry & Logic probe cards, new design releases and solid execution. Also, DRAM demand is likely to remain solid in the long term.
New Downgrades
Competition For HIV, Pipeline Setbacks Hurt Gilead (GILD)
Per the Zacks analyst, stiff competition for HIV franchise hurt Gilead. Additionally, the uptake of Yescarta hasn't been impressive and the treatment faces stiff competition from Kymriah.
Conservative Oil E&P Spending Hurts Baker Hughes (BKR)
Tight oil exploration and production (E&P) capital spending will hurt demand for Baker Hughes' oilfield services in North America, agrees the Zacks analyst.
Weak Demand for Handsets Dampens Knowles' (KN) Prospects
Per the Zacks analyst, soft trend in the Mobile market, with particular weakness in the premium portion of the Android ecosystem, is acting as a major headwind for Knowles' audio business.
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TOTAL S.A. (TOT) : Free Stock Analysis Report
Intuit Inc. (INTU) : Free Stock Analysis Report
Enbridge Inc (ENB) : Free Stock Analysis Report
Amazon.com, Inc. (AMZN) : Free Stock Analysis Report
Accenture PLC (ACN) : Free Stock Analysis Report
AbbVie Inc. (ABBV) : Free Stock Analysis Report
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