The Zacks Analyst Blog Highlights: Gilead, Dow Chemical, MetLife, Tesla and Emerson Electric
Zacks Equity Research
Updated
For Immediate Release
Chicago, IL – May 08, 2017 – 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 Gilead (NASDAQ: GILD – Free Report ), Dow Chemical (NYSE: DOW – Free Report ), MetLife (NYSE: MET – Free Report ), Tesla (NASDAQ: TSLA – Free Report ) and Emerson Electric (NYSE: EMR – Free Report ).
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free .
Here are highlights from Friday’s Analyst Blog:
Top Research Reports for Today: GILD, DOW, MET & More
Today's Research Daily features new research reports on 16 major stocks, including Gilead (NASDAQ: GILD – Free Report ), Dow Chemical (NYSE: DOW – Free Report ) and MetLife (NYSE:MET – Free Report ).
Gilead shares have been laggards lately, on persistent fears about drug pricing and other regulatory issues that haven't eased up even after the November election. The stock has lost -20.7% of its value over the last year vs. the -2.7% decline for the Zacks Biotech industry in that same time period.
Although Gilead’s first-quarter results beat on earnings, revenues missed expectations.Its HCV franchise continues to be under competitive and pricing pressure, leading to a massive decline in Harvoni and Sovaldi sales. These challenges notwithstanding, the Zacks analyst also points towards the company's robust late-stage pipeline. The company's HIV franchise has been performing well, thanks to the newly launched TAF-based products Genvoya, Descovy and Odefsey. Strong uptake for Truvada for use in the pre-exposure prophylaxis setting should also boost sales (You can read the full research report on Gilead here. )
Shares of Dow Chemical have gained +2.3% over the past three months, outperforming the Zacks Chemicals Diversified industry (up +2.2% over the same period). Dow Chemical’s earnings and revenues for first-quarter 2017 topped expectations. The Zacks analyst likes the planned merger with DuPont, which is expected to create significant synergies.
Dow should also gain from cost synergies associated with Dow Corning Silicones business and its strategic investments in the U.S. Gulf Coast and the Middle East. Estimates for first-quarter 2017 have also been stable of late. However, Dow’s agriculture business remains affected by depressed crop commodity prices. The company also faces pricing headwinds, feedstock cost pressure as well as weak demand in the energy market. (You can read the full research report on Dow Chemical here. )
MetLife shares have gained +23% over the last one year, nearly in line with the Zacks Multi Line Insurance industry, which has gained +24.9% over the same period. MetLife’s first quarter earnings beat expectations and increased year over year. The Zacks analyst likes MetLife’s consistent growth via acquisitions and divestitures, which allows it to focus on its core business.
The separation of the company’s retail unit will reduce its risk exposure to equity and interest rates. Its efforts to reduce expenses will cushion its bottom line in the long term. A strong balance sheet, improved cash balance and low debt level are other positives. MetLife, nevertheless, remains exposed to headwinds like low interest rates, adverse foreign exchange, taxes, regulatory uncertainty surrounding its SIFI designation, and stiff competition. (You can read the full research report on MetLife here. )
Other noteworthy reports we are featuring today include Tesla (NASDAQ: TSLA – Free Report ) and Emerson Electric (NYSE: EMR – Free Report ).
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About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
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