Yahoo Finance Top Stock Reports for Coca-Cola, Petrobras & Airbnb
Friday, December 29, 2023
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 The Coca-Cola Co. (KO), Brasileiro S.A. - Petrobras (PBR) and Airbnb, Inc. (ABNB). 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 Coca-Cola have underperformed the Zacks Beverages - Soft drinks industry over the past year (-4.8% vs. +7.2%). The company continues witness inflationary cost pressures related to higher commodity and material costs, as well as higher marketing investments.
Nevertheless, Coca-Cola continues to witness positive business trends as reflected by its robust surprise history. KO’s sales and earnings beat estimates for the third consecutive quarter in third-quarter 2023. Earnings and sales also improved year over year.
Strong revenue growth across most of its operating segments, aided by improved price/mix and increased concentrate sales boosted its results. It is poised to gain from innovations and accelerating digital investments. It provided upbeat guidance for 2023.
(You can read the full research report on Coca-Cola here >>>)
Shares of Petrobras have gained +59.3% over the past year against the Zacks Oil and Gas - Integrated - Emerging Markets industry’s gain of +62.3%. Brazil's state-run oil and natural gas giant is riding high on the back of its impressive portfolio, particularly in the country’s pre-salt reservoirs.
It is the operator in most of its country's exploration areas and holds interests ranging from 20% to 100% in them. This puts Petrobras in an enviable position to maintain an impressive production growth profile for years to come.
Meanwhile, the company’s ambitious low-carbon investment target bodes well for long-term value generation. Having said all of this, the fact that Rio de Janeiro-based Petrobras is still reeling under huge debt burden cannot be overlooked.
The firm also has to deal with years of mismanagement and corruption, while investors remain wary of the risk of political interference. As such, Petrobras warrants a cautious stance at the moment.
(You can read the full research report on Petrobras here >>>)
Airbnb’s shares have outperformed the Zacks Internet - Content industry over the past year (+60.2% vs. +40.1%). The company is benefiting from continuous improvements in Nights and Experiences Booked, enabling it to witness a positive trend in its Gross Booking Value. Growing gross nights booked, owing to solid momentum across high-density urban areas and first-time bookers, is a tailwind.
Further, increasing guest demand and continuing recovery in cross-border travel are major positives. Strong momentum in active listings, owing to supply growth across all regions, particularly in Asia Pacific and Latin America, is benefiting the top line.
Moreover, growing awareness around hosting and new features introduced for hosts is a plus. However, greater volatility in travel demand due to macroeconomic uncertainties, rising competition and impacts of geopolitical conflicts, remain concerns.
(You can read the full research report on Airbnb here >>>)
Other noteworthy reports we are featuring today include Cadence Design Systems, Inc. (CDNS), Intercontinental Exchange, Inc. (ICE) and Autodesk, Inc. (ADSK).
Mark Vickery
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>>>
Today's Must Read
Investment & Innovation Mirror Coca-Cola's (KO) Core Strength
Pre-Salt Reserves Help Petrobras (PBR), Debt Mountain Hurts
Airbnb (ABNB) Banks on Strong Nights & Experiences Bookings
Featured Reports
Cadence (CDNS) Benefits from Diversified Product Portfolio
Per the Zacks analyst, Cadence's performance is gaining from solid demand for the company's diversified product portfolio. Frequent product launches and strategic collaborations are tailwinds.
Strength in Global Data Services Aid Intercontinental (ICE)
Per the Zacks analyst, Intercontinental is set to grow on solid portfolio, wide range of risk management services, cost synergies and solid capital position. Yet, rising expenses might weigh on margin
Autodesk (ADSK) Rides on Shift to Subscription Services
Per the Zacks analyst, Autodesk's focus on selling more subscription-based services is helping the company generate stable revenues and higher margins.
Healthy Senior Housing Fundamentals to Aid Welltower (WELL)
Per the Zacks Analyst, Welltower is likely to benefit from the rise in senior citizens' healthcare expenditure and portfolio-restructuring moves. However, high interest rates are a key concern.
Crop Science Business Declines Weigh on Bayer (BAYRY)
Per the Zacks analyst, lower volumes and decreased prices for glyphosate-based products in the Crop Science division continues to pull down growth. High levels of debt are a concern for Bayer.
Genomics Prospect Solid For Illumina (ILMN), Macro Woes Stay
The Zacks Analyst is impressed with Illumina's dominance in the genomics market, backed by its compelling offerings, robust infrastructure and focus on innovation. Yet, macro woes are concerning.
Watsco (WSO) Banks on Solid Sales Volume Amid High Costs
Per the Zacks analyst, Watsco is benefiting from increased sales volume, strong price realization and healthy commercial end markets. Yet, highs costs and expenses are ailing growth prospects.
New Upgrades
Aspen (AZPN) to Gain From Product Portfolio & Acquisitions
Per the Zacks analyst, Aspen benefits from increased demand for its products across various markets like upstream and midstream energy and refining. Also, synergies from acquisition is a tailwind.
Murphy USA (MUSA) Gains from Proximity to Walmart Stores
The Zacks analyst likes the proximity of Murphy USA's fuel stations to Walmart supercenters and the consistent traffic that these stores attract, thereby driving above-average fuel sales volume.
NexSys PCS System Continues to Thrive Haemonetics (HAE)
: The Zacks analyst is impressed with Haemonetics' NexSys PCS with Persona which is enabling customers to safely meet end-market demand and lower their cost per liter.
New Downgrades
Drop in Demand, Rise in Firm Deal Costs Ail AAR Corp. (AIR)
Per the Zacks analyst, costs overruns in AAR's firm deals due to inefficiencies can adversely impact operations. Drop in government demand due completion of certain programs are concerns.
JetBlue Airways (JBLU) Reels Under High Labor & Fuel Costs
The Zacks analyst is worried about the high operating expenses due to escalated labor and fuel costs. Weather-related constraints represent another headwind.
Weak Building Solutions Segment Hurts Johnson Controls (JCI)
Per the Zacks analyst, weak performance in Johnson Controls' Building Solutions Asia Pacific unit due to tough market conditions in China are weighing on its results. High costs also remain a concern.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Intercontinental Exchange Inc. (ICE) : Free Stock Analysis Report
CocaCola Company (The) (KO) : Free Stock Analysis Report
Petroleo Brasileiro S.A.- Petrobras (PBR) : Free Stock Analysis Report
Autodesk, Inc. (ADSK) : Free Stock Analysis Report
Cadence Design Systems, Inc. (CDNS) : Free Stock Analysis Report
Airbnb, Inc. (ABNB) : Free Stock Analysis Report
