The Zacks Analyst Blog Highlights: Microsoft, Anthem, Uber, Automatic Data Processing and Ecolab
October 1, 2020
For Immediate Release
Chicago, IL – October 1, 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: Microsoft Corporation MSFT, Anthem, Inc. ANTM, Uber Technologies, Inc. UBER, Automatic Data Processing, Inc. ADP and Ecolab Inc. ECL.
Here are highlights from Wednesday’s Analyst Blog:
Top Stock Reports for Microsoft, Anthem and Uber
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, Anthem and Uber Technologies. 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 outperformed the S&P 500 in the year to date period (+31.4% vs. +3.6%). The Zacks analyst believes that Microsoft is benefiting from momentum in Azure, impressive Teams user growth triggered by the coronavirus crisis led work-from-home, online learning wave and tele healthcare trends.
Solid uptake of Surface devices and Xbox Game Pass aided growth. The company is also gaining from the growing user base of its different applications including Office 365 commercial, and Dynamics. Moreover, Azure’s expanding customer base is a key catalyst. Furthermore, it is well poised to expand the total addressable market through acquisitions of GitHub and ZeniMax Media.
However, macroeconomic weakness in the job market and lower spend on advertising due to the coronavirus pandemic are likely to weigh on LinkedIn and Search revenues. Also, delays in consulting business are anticipated to limit growth.
(You can read the full research report on Microsoft here >>>)
Shares of Anthem have gained +9% over the past year against the Zacks Medical Insurance industry’s rise of +27.6%. The Zacks analyst believes that Anthem’s prudent acquisitions and collaborations complement its inorganic growth profile and help it boost Medicare Advantage growth.
The company is the fourth largest individual Medicare Advantage plan in the nation. Its increasing top line, driven by premium rate increase and higher membership, paves the way for long-term growth. Its solid guidance also impresses. It witnessed a rise of usage of its Telehealth and virtual care services.
Furthermore, its strong capital and cash position has enabled it to undertake shareholder-friendly moves via dividend payouts and share repurchases. However, it has been suffering from high benefit costs and selling, general and administrative expenses, which continues to weigh on its bottom line.
(You can read the full research report on Anthem here >>>)
Uber shares have gained +26.9% over the past six months against the Zacks Internet-Services industry’s rise of +36.8%. The Zacks analyst believes that Uber’s Delivery business is witnessing continued surge at a time when coronavirus is restricting people to their homes.
Gross bookings and revenues at the segment rose significantly in the first half of 2020. The company’s efforts to expand its Delivery business are laudable. In this regard, the deal to buy Postmates is a major positive. Additionally, we are optimistic about the court ruling granting Uber an 18-month license extension to continue operations in London, one of its key international markets.
However, a significant downturn in the Mobility business is concerning. Although ride volumes have improved from April lows, it is way below year-ago levels. Notably, Uber now expects to reap profits in 2021, instead of 2020.
(You can read the full research report on Uber here >>>)
Other noteworthy reports we are featuring today include Automatic Data Processing and Ecolab.
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Last year, it generated $24 billion in global revenues. By 2020, it’s predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce “the world’s first trillionaires,” but that should still leave plenty of money for regular investors who make the right trades early.
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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Microsoft Corporation (MSFT): Free Stock Analysis Report
Ecolab Inc. (ECL): Free Stock Analysis Report
Automatic Data Processing, Inc. (ADP): Free Stock Analysis Report
Anthem, Inc. (ANTM): Free Stock Analysis Report
Uber Technologies, Inc. (UBER): Free Stock Analysis Report
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