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The Zacks Analyst Blog Highlights: Intel, AbbVie, United Technologies, Simon Property and FirstEnergy

Zacks Equity Research

For Immediate Release

Chicago, IL –March 5, 2019 – 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: Intel INTC, AbbVie ABBV, United Technologies UTX, Simon Property Group SPG and FirstEnergy FE.

Here are highlights from Monday’s Analyst Blog:

Top Research Reports for Intel, AbbVie and United Technologies

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 Intel, AbbVie and United Technologies. 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 >>>

Intel’s shares have outperformed the S&P 500 in the past year, gaining +7.1% vs. +3%. Intel is one of the world’s largest manufacturers of semiconductor products. Rising demand witnessed in company’s higher performance products, both in data center and client domains acted as a catalyst.

The Zacks analyst thinks the company is benefiting from robust performance of the DCG, IoT Group, NVM Solutions and PSG. These segments form the crux of Intel’s data-centric business model. The company’s strategy of expanding TAM beyond CPU to adjacent product lines like silicon photonics, fabric, network ASICs and 3D XPoint memory is bearing fruit.

However, a declining trend in PC shipments is detrimental to business prospects of Intel, which continues to depend substantially on PC sales. Further, the company provided a tepid forthcoming outlook. Also, delays in transition to the 10-nm process is a concern. Moreover, intensifying competition remains a headwind.

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

Shares of AbbVie have lost -15.3% in the past six months, underperforming the S&P 500's decline of -3%. The Zacks analyst thinks AbbVie’s key drug, Humira has been performing well in the United States based on strong demand trends despite new competition.

Moreover, Imbruvica has multibillion dollar potential. Mavyret saw a stronger-than-expected launch and has become a significant contributor to sales. AbbVie has also been successful in expanding approvals for its cancer drugs, Imbruvica and Venclexta.

The company has an impressive late-stage pipeline comprising several products with multibillion-dollar potential expected to be launched in the near term. However, AbbVie’s shares have underperformed the industry this year so far.

Sales erosion due to direct biosimilar competition to Humira in international markets will be a big headwind in 2019. Also, costs to support expected new product/line extension launches should hurt profits in 2019.

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

Buy-rankedUnited Technologies’ shares have gained +4.1% over the past three months, outperforming the S&P 500, which has increased +3.8% over the same period. The Zacks analyst thinks strength in commercial and military aftermarket businesses and impressive contribution from its acquired Rockwell Collins business sales will likely continue to boost United Technologies' near-term revenues.

Also, improved revenues and cost-cutting measures are expected to enhance profitability, going forward. Backed by these positives, the company has given bullish full-year 2019 revenue guidance.

The company intends to become more competent on the back of meaningful business acquisitions. Notably, the Rockwell Collins buyout is likely to boost sales in 2019. Moreover, separation of the company's existing business will create higher values and customer satisfaction.

(You can read the full research report on United Technologies here >>>).

Other noteworthy reports we are featuring today include Simon Property Group and FirstEnergy.

Zacks' Top 10 Stocks for 2019

In addition to the stocks discussed above, wouldn't you like to know about our 10 finest buy-and-holds for the year?

From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.

This year, the portfolio features a player that thrives on volatility, an AI comer, and a dynamic tech company that helps doctors deliver better patient outcomes at lower costs.

See Stocks Today >>

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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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FirstEnergy Corporation (FE) : Free Stock Analysis Report
 
AbbVie Inc. (ABBV) : Free Stock Analysis Report
 
United Technologies Corporation (UTX) : Free Stock Analysis Report
 
Intel Corporation (INTC) : Free Stock Analysis Report
 
Simon Property Group, Inc. (SPG) : Free Stock Analysis Report
 
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