The Zacks Analyst Blog Highlights Visa, Procter & Gamble, Infosys, Block and Devon Energy
For Immediate Release
Chicago, IL – January 31, 2023 – 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: Visa Inc. V, The Procter & Gamble Co. PG, Infosys Ltd. INFY, Block, Inc. SQ and Devon Energy Corp. DVN.
Here are highlights from Monday’s Analyst Blog:
Top Analyst Reports for Visa, Procter & Gamble and Infosys
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 Visa Inc., The Procter & Gamble Co. and Infosys Ltd. 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 >>>
Visa’s shares have outperformed the Zacks Financial Transaction Services industry over the past year (+2.3% vs. -8.0%). The company’s numerous buyouts and alliances paved the way for long-term growth and consistently drove its revenues. For fiscal 2023, net revenues are estimated to rise in the high single digits on a reported nominal dollar basis.
Constant investments in technology are solidifying its position in the payments market. A shift in payments to the digital mode is a boon for Visa. The company beat fiscal first-quarter 2023 earnings estimates on the back of steady domestic volumes and a rise in transactions. A strong cash position enables it to boost shareholder value.
However, high operating expenses stress the margins. Ramped-up client incentives will dent the top line. The company's volumes will likely suffer due to the Russia-Ukraine conflict. As such, the stock warrants a cautious stance.
(You can read the full research report on Visa here >>>)
Shares of Procter & Gamble have declined -1.6% over the past six months against the Zacks Soap and Cleaning Materials industry’s decline of -2.6%. The company is facing commodity cost inflation, increases in freight costs, and product and packaging investments which threaten margins. The company retained its drab earnings view for fiscal 2023 due to persistent inflation, and higher freight and currency woes.
However, Procter & Gamble posted better-than-expected top and bottom lines for the second consecutive quarter in its fiscal second quarter. The company’s organic sales improved, driven by robust pricing and a favorable mix, along with strength across segments.
Improved productivity amid cost headwinds has also aided the results. Driven by the company’s progress against its plans, management has raised its sales view for fiscal 2023.
(You can read the full research report on Procter & Gamble here >>>)
Shares of Infosys have declined -20.8% over the past year against the Zacks Computers - IT Services industry’s decline of -20.4%. The company is suffering from increasing anti-outsourcing sentiments in certain countries. Higher subcontractor costs and its compensation revision with a higher variable pay and incentives are weighing on margins. Further, unfavorable currency fluctuations remain a major concern.
Nevertheless, Infosys is gaining from large deal wins and fast-growing digital services. Its sustained focus on Agile Digital and artificial intelligence (AI)-driven Core services is a tailwind. Strong demand for its services in cloud, Internet of Things (IoT), cybersecurity, data and analytics are key drivers.
Higher investments by clients in digital transformation, AI and automation are an upside. Solid traction of its CobaltTM cloud portfolio is a positive. According to the Zacks analyst estimates, Infosys’ revenues should grow at a CAGR of 9.6% through fiscal 2023-2025.
(You can read the full research report on Infosys here >>>)
Other noteworthy reports we are featuring today include Block, Inc. and Devon Energy Corp.
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Devon Energy Corporation (DVN) : Free Stock Analysis Report
Visa Inc. (V) : Free Stock Analysis Report
Procter & Gamble Company (The) (PG) : Free Stock Analysis Report
American Noble Gas Inc. (INFY) : Free Stock Analysis Report
Block, Inc. (SQ) : Free Stock Analysis Report
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