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The Zacks Analyst Blog Highlights: Verizon, Lockheed, American Express, Boeing and Micron

Zacks Equity Research

For Immediate Release

Chicago, IL – June 26, 2020 – 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 Verizon Communications VZ, Lockheed Martin LMT, American Express AXP, Boeing BA and Micron Technology MU.

Here are highlights from Thursday’s Analyst Blog:

Top Analyst Reports for Verizon, Lockheed Martin and American Express

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 Verizon Communications, Lockheed Martin and American Express. 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 >>>

Verizon’s shares have underperformed the Zacks Wireless National industry’s over the past year (-5.3% vs. -1.4%). The Zacks analyst believes that the company’s focus on online content delivery, mobile video and online advertising should stoke growth. Verizon's 5G Ultra Wideband network build-up is likely to accelerate a 5G rollout.

Despite crisis stemming from the coronavirus pandemic, Verizon started 2020 on a positive note primarily owing to the wireless business. It is also changing revenue mix toward newer growth services like cloud, security and professional services.

However, Verizon continues to struggle in a competitive U.S. wireless market with muted demand and tweaked 2020 guidance amid the coronavirus-led turmoil. The company's wireline division is struggling with losses in access lines due to competitive pressure from VoIP service providers. Also, Verizon is spending heavily on promotion and lucrative discounts to woo customers, which further erodes profitability.

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

Shares of Lockheed Martin have lost -8.9% over the past six months against the Zacks Aerospace Defense industry’s fall of -31.6%. The Zacks analyst believes that Lockheed Martin faces intense global competition for its broad portfolio of products and services. Furthermore, forced cost reduction initiatives for the F-35 program might hamper its operating results.

Lockheed Martin enjoys strong demand for its high-end military equipment in domestic and international markets, being the world's largest defense contractor. Expansionary budgetary provisions made by the current U.S. administration will immensely boost this defense prime's business. It continues to be a strong cash generator.

Furthermore, forced cost reduction initiatives for the F-35 program might hamper its operating results. America and Turkey's tiff on the latter accepting Russian products may hurt Lockheed’s component supply from Turkey. It is also facing performance issues in relation to some of its products, which in turn may hurt its results.

(You can read the full research report on Lockheed Martin here >>>)

American Express’ shares have gained +3.3% over the past three months against the Zacks Financial Miscellaneous Services industry’s rise of +12.8%. The Zacks analyst believes that American Express’ strategic initiatives will help it in achieving growth and recover from the current weak market environment.

A decline in marketing expenses and card member service is likely to aid margins. The company’s investment grade rating along with a stable outlook places it in a favorable position to secure funding at reasonable costs and keep intact its borrowing capacity.

Nevertheless, maintenance of sufficient level of capital will provide flexibility to support future business growth. However, due to the COVID-19 outbreak, American Express is persistently witnessing weakness in spending volumes, which is likely to hurt its full-year operating performance. Drained profitability might continue given the adverse operating scenario.  

(You can read the full research report on American Express here >>>)

Other noteworthy reports we are featuring today include Boeing and Micron Technology.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>

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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/performancefor information about the performance numbers displayed in this press release.


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Verizon Communications Inc. (VZ) : Free Stock Analysis Report
 
Micron Technology, Inc. (MU) : Free Stock Analysis Report
 
The Boeing Company (BA) : Free Stock Analysis Report
 
American Express Company (AXP) : Free Stock Analysis Report
 
Lockheed Martin Corporation (LMT) : Free Stock Analysis Report
 
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