Top Research Reports for Mastercard, Gilead & Goldman Sachs

Monday, July 9, 2018

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 Mastercard (MA), Gilead (GILD) and Goldman Sachs (GS). 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 >>>

Buy-ranked Mastercard’s shares have increased 62.6% over the last year, significantly outperforming the Zacks Financial Transaction Services industry’s gain of 37.1% during the same period. The Zacks analyst thinks the company is well placed for growth, given its solid market position, ongoing expansion and digital initiatives plus significant opportunities from the secular shift toward electronic payments.

The buyouts of VocaLink and NuData Security complement the company’s efforts to participate in new payment flows and enhance its safety and security offerings. The stock has seen the Zacks Consensus Estimate for 2018 and 2019 earnings being revised upward over the last 60 days. However, escalating costs continue to bother. Also, higher incentives and rewards will put pressure on its bottom line.

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

Shares of Gilead have outperformed the Zacks Biotech industry year to date, gaining +5% vs. a decline of -3.7%. Gilead is now banking on its HIV franchise and newer avenues like the CAR-T therapy to drive growth. The HIV franchise maintains momentum driven by the rapid adoption of Descovy-based regimens.

The FDA approval of Biktarvy has further widened the portfolio. Biktarvy has also been approved in Europe which should boost sales further. The initial uptake of Yescarta is encouraging in the United States and the CHMP gave a positive opinion on the same. Meanwhile, Gilead is intending to foray into the NASH market with selonsertib and filgotinib. Both candidates are being evaluated in late stage studies and a tentative approval will diversify Gilead’s portfolio.

However, Gilead’s HCV franchise is under pressure due to competitive and pricing pressure. Pricing has largely stabilized and market share will stabilize by mid-2018, while patient starts are expected to decline further.

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

Goldman Sachs’ shares have lost -12.8% in the past six months, underperforming the -8.6% decline of the Zacks Investment Banking industry. However, the company boasts an impressive earnings surprise history. It surpassed expectations for earnings in all the trailing four quarters. Estimates have decreased slightly ahead of the company’s second quarter earnings release.

Though regulatory issues are concerns, the Zacks analyst thinks the company’s well-diversified business and focus to capitalize on growth opportunities through strategic moves will continue to strengthen the overall business. Further, its cost-control measures are commendable. Additionally, the company’s steady capital-deployment activities have boosted investors' confidence along with the Fed's approval to 2018 Capital Plan.

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

Other noteworthy reports we are featuring today include PepsiCo (PEP), EOG Resources (EOG) and Aetna (AET).

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Senior Editor

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>>>

 

Monday, July 9, 2018

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 Mastercard (MA), Gilead (GILD) and Goldman Sachs (GS). 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 >>>

Buy-ranked Mastercard’s shares have increased 62.6% over the last one year, significantly outperforming the Zacks Financial Transaction Services industry’s gain of 37.1% during the same period. The Zacks analyst thinks the company is well placed for growth, given its solid market position, ongoing expansion and digital initiatives plus significant opportunities from the secular shift toward electronic payments. The buyouts of VocaLink and NuData Security complement the company’s efforts to participate in new payment flows and enhance its safety and security offerings.  The stock has seen the Zacks Consensus Estimate for 2018 and 2019 earnings being revised upward over the last 60 days. However, escalating costs continue to bother. Also, higher incentives and rewards will put pressure on its bottom line.

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

Shares of Gilead have outperformed the Zacks Biotech industry year to date, gaining +5% vs. a decline of -3.7%. Gilea

Today's Must Read

Mastercard (MA) Gains on Buyouts, Technological Investments

Gilead (GILD) HIV Franchise Growth Offsets HCV Sales Decline

Goldman (GS) Exhibits Cost Control; Legal Issues Linger

Featured Reports

EOG Resources (EOG) to Gain From Oil-Rich Eagle Ford Acreage

Huge inventory of premium drilling wells in the Bakken and Eagle Ford shale plays will drive EOG Resources' oil production, per the Zacks analyst.

Government Business Aids Aetna (AET), Low Membership Hurts

Per the Zacks analyst, solid Government business driven by attractive product designs and geographic expansion drives revenues while declining membership remains a concern.

Derivative Product Lines Aid CME Group (CME), High Costs Ail

Per the Zacks analyst, CME Group's focus on expansion of its derivative product lines will continue to drive top-line growth, thus boosting overall performance.

Business Simplification Drives Lindsay (LNN) Amid Inflation

Per the Zacks analyst, Lindsay will gain from its focus to simplify business through the divestment of pump and filtration division.

Robust Product Pipeline & Partnerships Aid Microchip (MCHP)

Per the Zacks analyst, Microchip's expanding product portfolio, robust demand for microcontrollers and collaboration with Amazon Web services will drive top-line growth.

Card Business Aids Capital One (COF), Asset Quality a Woe

Per the Zacks analyst, Capital One's profitability will continue improving driven by the strength in its credit card and online banking operations.

Higher Repair & Remodeling Activity Bodes Well For Masco (MAS)

The Zacks analyst stresses, increased repair and remodeling activity have been driving Masco's revenues over the last few quarters.

New Upgrades

Transformation Plan to Aid NRG Energy (NRG) Via Cost savings

Per the Zacks analyst, the execution of the Transformation Plan will accelerate cost savings for NRG Energy through proper utilization of its assets.

DaVita (DVA) Gains Ground on its Kidney Care Business

Kidney Care business helps DaVita gain market traction. The Zacks analyst is bullish about the company's Transplant Waitlist Support Program within the Kidney Care unit.

Business Streamlining, Cost Control Efforts to Aid AIG

Per the Zacks analyst numerous divestitures have released funds to invest in core areas. The pending buyout of Validus and Ellipse should expand business. Its cost control efforts should aid margins.

New Downgrades

Omnicom (OMC) Grapples with Client Losses in the U.S.

Per the Zacks analyst, client losses incurred by several of Omnicom's U.S. ad agencies are weighing on the company's revenues in North America.

Higher Raw Material Costs to Hurt IDEX's (IEX) Margins

Per a Zacks analyst, the ongoing trade dispute of the United States with other nations might inflate IDEX's raw materials cost. This, in turn, will adversely impact the company's margins.

Weak CSD Volumes to Weigh on PepsiCo's (PEP) Profitability

Per the Zacks analyst, consumers' awareness, as well as taxes on sugar-sweetened beverages and regulatory pressures are affecting CSD sales, which might hurt PepsiCo's bottom-line growth.

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Pepsico, Inc. (PEP) : Free Stock Analysis Report
 
Mastercard Incorporated (MA) : Free Stock Analysis Report
 
The Goldman Sachs Group, Inc. (GS) : Free Stock Analysis Report
 
Gilead Sciences, Inc. (GILD) : Free Stock Analysis Report
 
EOG Resources, Inc. (EOG) : Free Stock Analysis Report
 
Aetna Inc. (AET) : Free Stock Analysis Report
 
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