The Zacks Analyst Blog Highlights: Texas Instruments, Blackstone, Northrop, Capital One and Sherwin-Williams
For Immediate Release
Chicago, IL –July 26, 2019 – 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: Texas Instruments TXN, Blackstone BX, Northrop Grumman NOC, Capital One Financial COF and Sherwin-Williams SHW.
Here are highlights from Thursday’s Analyst Blog:
Top Analyst Reports for Texas Instruments, Blackstone and Northrop Grumman
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 Texas Instruments, Blackstone and Northrop Grumman. These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
Texas Instruments’ shares have gained +35.6% year to date, outperforming the Zacks General Semiconductor industry which has increased +23.2% over the same period. Texas Instrument delivered better than expected second quarter results. However, both earnings and revenues declined on a year-over-year basis.
The company witnessed sluggishness across both the Analog and Embedded Processing segments owing to overall weak demand environment. Nevertheless, Texas Instruments has revised its guidance for 2019 revenues upward despite slowdown in chip sales globally. The Zacks analyst thinks this is likely to help the company in winning shareholders’ confidence.
Moreover, the company remains confident on portfolio strength, efficient manufacturing strategies and optimized capital allocation in growth areas. Further, growing investments in industrial and automotive markets are positives. However, U.S.-China trade tensions is a major headwind.
Shares of Blackstone have outperformed the Zacks Investment Management industry over the past six months, (+48.5% vs. +12.1%). The company’s earnings surpassed expectations in two of the trailing four quarters. Its second-quarter 2019 results benefited from lower expenses, partly offset by a decline in revenues. The Zacks analyst thinks the company remains well positioned to capitalize on its fund-raising ability.
Also, it will likely benefit from revenue mix, inorganic growth efforts and persistent asset inflows. The company has converted itself from a publicly traded partnership to a corporation, which will help it attract more investors for its stock.
However, mounting expenses (mainly due to higher general and administrative costs) will likely hurt bottom-line growth. Moreover, the company’s capital deployment activities look unsustainable which remain a major near-term concern.
Northrop Grumman’s shares have outperformed the Zacks Aerospace Defense industry over the past year, gaining +20.1% over the period versus the industry’s +5% increase. Northrop Grumman ended second-quarter 2019 on an impressive note, wherein both earnings and revenues surpassed their respective expectations.
The Zacks analyst thinks that since it is a major U.S. defense contractor, Northrop Grumman continues to enjoy a strong position in the Air Force, Space & Cyber Security programs. Increasing international opportunities are expected to boost the company’s margin growth.
However, it continues to incur high operating expenses on account of increasing product costs. Such higher operating expenses tend to hurt profit margins. A comparative analysis of its historical EV/EBITDA ratio depicts a relatively gloomy picture that might be a cause for concern.
Other noteworthy reports we are featuring today include Capital One Financial and Sherwin-Williams.
This Could Be the Fastest Way to Grow Wealth in 2019
Research indicates one sector is poised to deliver a crop of the best-performing stocks you'll find anywhere in the market. Breaking news in this space frequently creates quick double- and triple-digit profit opportunities.
These companies are changing the world – and owning their stocks could transform your portfolio in 2019 and beyond. Recent trades from this sector have generated +98%, +119% and +164% gains in as little as 1 month.
Zacks Investment Research
800-767-3771 ext. 9339
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 http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Click to get this free report
Northrop Grumman Corporation (NOC): Free Stock Analysis Report
Capital One Financial Corporation (COF): Free Stock Analysis Report
Blackstone Group Inc/The (BX): Free Stock Analysis Report
The Sherwin-Williams Company (SHW): Free Stock Analysis Report
Texas Instruments Incorporated (TXN): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.