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Tuesday, November 16, 2021
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 Adobe (ADBE), Novo Nordisk (NVO), and Qualcomm (QCOM). 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 Adobe have gained +31.9% in the year to date period against the Zacks Computer – Software industry’s gain of +42.1%. The Zacks analyst believes that Adobe is benefiting from strong demand for its cloud products. The company’s Creative Cloud, Document Cloud and Adobe Experience Cloud products are helping it drive top-line growth.
Additionally, rising subscription revenues and solid momentum across the mobile apps remain major positives. Further, growth in emerging markets, robust online video creation demand, strong Acrobat adoption and improving average revenue per user remain tailwinds. However, lower end-market demand and high acquisition expenses remain major overhangs.
Shares of Novo Nordisk have outperformed the Zacks Large Cap Pharmaceuticals industry over the past year (+70.1% vs. +20.4%). The Zacks analyst believes that Novo Nordisk’s Ozempic is off to a solid start and the launch of Rybelsus also looks impressive. Novo Nordisk has one of the broadest diabetes portfolios in the industry. Victoza, Ozempic, Xultophy and Saxenda have been helping the company maintain momentum. Label expansion of these existing drugs will further boost sales.
However, lower realized prices in the United States, loss of exclusivity for products in hormone replacement therapy and intensifying competition will affect sales. Sales are also being negatively impacted by COVID-19-related stocking, which is a woe.
Shares of Qualcomm have gained +10.6% in the year to date period against the Zacks Wireless Equipment industry’s gain of +13.7%. Qualcomm has already reported solid fourth-quarter fiscal 2021 results with record non-GAAP earnings and revenues, driven by the ramp-up in 5G-enabled chips and a surge in demand for essential products and services that are the building blocks for digital transformation in the cloud economy.
The Zacks analyst believes that Qualcomm is likely to benefit from solid 5G traction with greater long-term visibility. It is on track to record solid revenues across RF front-end, IoT, and Automotive as its business continues to diversify. However, high research and development costs are likely to strain its margins. Severe competition from major players, huge concentration risks, and softness in demand from China might impair its growth potential.
Other noteworthy reports we are featuring today include Boeing (BA), BP p.l.c. (BP), and Uber Technologies (UBER).
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>>>
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The Boeing Company (BA): Free Stock Analysis Report
QUALCOMM Incorporated (QCOM): Free Stock Analysis Report
BP p.l.c. (BP): Free Stock Analysis Report
Novo Nordisk AS (NVO): Free Stock Analysis Report
Adobe Inc. (ADBE): Free Stock Analysis Report
Uber Technologies, Inc. (UBER): Free Stock Analysis Report
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