Yahoo Finance The Zacks Analyst Blog Highlights Microsoft, Mastercard, ServiceNow, Lowe's and GSK
For Immediate Release
Chicago, IL – August 10, 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: Microsoft Corp. MSFT, Mastercard Inc. MA, ServiceNow, Inc. NOW, Lowe's Companies, Inc. LOW and GSK plc GSK
Here are highlights from Wednesday’s Analyst Blog:
Top Research Reports for Microsoft, Mastercard and ServiceNow
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 Microsoft Corp., Mastercard Inc. and ServiceNow, Inc. 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 >>>
Microsoft shares have gained +36.6% over the year-to-date period against the Zacks Computer - Software industry’s gain of +37.5%. The company benefited from improvement in Intelligent Cloud and Productivity and Business Processes, offset in part by a decline in More Personal Computing. Strong adoption of Office 365 Commercial solutions drove Productivity and Business Processes revenues.
Continued momentum in the small and medium businesses and frontline worker offerings, as well as gain in revenue per user drove top-line growth. However, More Personal Computing revenues decreased due to weak Windows and Devices businesses. Steady performance in Talent Solutions aided LinkedIn revenues.
However, declining gaming revenues and sluggishness in Azure business have been headwinds. Increasing spend on Azure enhancements amid stiff competition in the cloud space remains a concern.
(You can read the full research report on Microsoft here >>>)
Shares of Mastercard have outperformed the Zacks Financial Transaction Services industry over the past year (+11.9% vs. +3.5%). Company’s numerous acquisitions are helping the company to grow addressable markets and drive new revenue streams.
The COVID-19 crisis accelerated the adoption of digital and contactless solutions, providing an opportunity for MA's business to expedite its shift to the digital mode. It is well-poised to gain from steady cash-generating abilities. A strong capital position allows it to pursue acquisitions and prudently deploy capital via buybacks and dividends.
However, steep operating expenses might stress margins. High rebates and incentives may weigh on net revenues. Its dividend yield is still lower than the industry average. As such, the stock warrants a cautious stance.
(You can read the full research report on Mastercard here >>>)
ServiceNow shares have outperformed the Zacks Computers - IT Services industry over the past year (+7.1% vs. +2.8%). The company has been benefiting from the rising adoption of its workflows by enterprises undergoing digital transformation. It had 1724 total customers with more than $1 million in annual contract value at the end of the second quarter.
ServiceNow’s expanding global presence, solid partner base and strategic buyouts are positives. New solutions — Automated service suggestions, Service Request Playbook and Workplace Scenario Planning — is helping it win new customers.
Expanding the portfolio with new generative AI solutions is expected to drive top-line growth. Strategic alliances with the likes of Microsoft remain tailwinds. However, ServiceNow is suffering from high inflation, unfavorable forex, stiff competition, and a challenging macro-economic environment.
(You can read the full research report on ServiceNow here >>>)
Other noteworthy reports we are featuring today include Lowe's Companies, Inc. and GSK plc.
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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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GSK PLC Sponsored ADR (GSK) : Free Stock Analysis Report
Microsoft Corporation (MSFT) : Free Stock Analysis Report
Mastercard Incorporated (MA) : Free Stock Analysis Report
Lowe's Companies, Inc. (LOW) : Free Stock Analysis Report
ServiceNow, Inc. (NOW) : Free Stock Analysis Report
