The Zacks Analyst Blog Highlights: Johnson & Johnson, Coca-Cola, Honeywell, Crown Castle and WEC Energy

Shutterstock photo

For Immediate Release

Chicago, IL - July 21, 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 Johnson & Johnson (NYSE: JNJ - Free Report ), Coca-Cola (NYSE: KO - Free Report ), Honeywell (NYSE: HON - Free Report ), Crown Castle (NYSE: CCI - Free Report ) and WEC Energy (NYSE: WEC - Free Report ).

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Thursday's Analyst Blog:

Q2 Earnings Scorecard & Stock Reports for J&J, Coke and Honeywell

The Zacks Research Daily features the best research output of our analyst team. In today's write-up, we are featuring analyst reports on 16 major stocks, including reports on Johnson & Johnson (NYSE: JNJ - Free Report ), Coca-Cola (NYSE: KO - Free Report and Honeywell (NYSE: HON - Free Report ). These reports have been hand-picked from amongst the 70 or so stock research reports published by our analyst team today.

You can see all of today's research reports here >>

In addition to these stock research reports, we are also giving you a real-time scorecard of the ongoing Q2 earnings season where 16 S&P 500 members reported results this morning and a further 9 index members, including Microsoft and Visa, on deck to report after the market's close today.

You can read more about our views about this earnings season in the weekly Earnings Trends report >>>>Earnings Season Off to a Good Start

Q2 Earnings Scorecard (as of Thursday, July 20 th )

Including all of this morning's releases, we now have Q2 results from 76 S&P 500 members that combined account for 21.1% of the index's total market capitalization. Total earnings for these 76 index members are up +8.6% on +5,4% higher revenues, with 75% beating EPS estimates and 71.1% beating revenue estimates. The proportion of companies beating both EPS and revenue estimates is 56.6%.

Q2 earnings growth (+8.6%) is tracking below what this same group of companies achieved in the preceding period (+16.5%), but is otherwise notably above the 4- and 12-quarter average levels. Importantly, there is clear momentum on the revenue side, both in terms of growth as well as positive surprises. Not only is the Q2 revenue growth (+5.4%) on par with the growth pace of the preceding period, but notably what we have been seeing in recent quarters.

Plenty of Q2 reports are still to come. But there is no question that are off to a good and reassuring start in this reporting cycle.

Today's Featured Research Reports

Buy rated Johnson & Johnson shares have gained +17.4% year to date, outperforming the large-cap pharma space (up +12.2%). J&J reported mixed Q2 results, beating on earnings but missing on sales. However, J&J is optimistic that sales growth will accelerate in 2H17. Though headwinds like negative currency movement, generics, pricing pressure and softglobal marketconditions remain, the Zacks analyst thinks new products including Xarelto, Stelara, Darzalex, and Imbruvica remain the key to J&J's growth. Meanwhile, share buybacks and the restructuring initiative should provide bottom-line support. J&J is also making rapid progress with its pipeline and line extensions. The Actelion buy adds an attractive new therapeutic area - PAH. However, sluggish growth in the Consumer segment due to category slowdown is a concern.

(You can read the full research report on Johnson & Johnson here >>> ) .

Shares of Coca-Cola have gained +8.1% in the year-to-date period underperforming the Zacks Consumer Staples sector as a whole, which has gained +9.5%. The Zacks analyst likes Coca-Cola's increased marketing investments, which are driving volume growth in stable markets like North America. Moreover, the company is on track to achieving total annualized productivity saving target of approximately $3.8 billion by 2019. Also, Coca-Cola's new revenue platforms should drive growth over the long term. However, the top line needs to show sustained improvement. Coca-Cola's sales are being weighed down by declining demand in certain emerging and developing markets and shift in consumer preference. Also, severe macroeconomic challenges in certain international markets and the stronger U.S. dollar have impacted results for the cola giant, which generates about half of its sales abroad.

(You can read the full research report on Coca-Cola here >>> ) .

Buy rated Honeywell 's shares have outperformed the diversified operations industry gaining +17.5% vs. +2.3% in the year-to-date period. The Zacks analyst like the company's continuing efforts on increasing its presence in high-growth regions. Additionally it is building a robust pipeline of new products and has regularly fine-tuned its portfolio to focus on core businesses. Diligent focus on working capital management, free cash flow generation and a conservative balance sheet remain key positive attributes. Earnings for 2017 are expected to be up 7-10% year over year to $6.90-$7.10 per share on favorable growth dynamics. However, adverse foreign currency translations, high R&D expenses to fend off competition and volatility in commodity prices related to the Brexit referendum are likely to peg back Honeywell's growth momentum to some extent.

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

Other noteworthy reports we are featuring today include Crown Castle (NYSE: CCI - Free Report ) and WEC Energy (NYSE: WEC - Free Report ).

Sell These Stocks. Now.

Just released, today's 220 Zacks Rank #5 Strong Sells demand urgent attention. If any are lurking in your portfolio or Watch List, they should be removed immediately. These sinister companies because many appear to be sound investments. However, from 1988 through 2016, stocks from our Strong Sell list have actually performed 6X worse than the S&P 500.

See today's Zacks "Strong Sells" absolutely free >> .

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.

Strong Stocks that Should Be in the News

Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year. See these high-potential stocks free >>.

Get the full Report on JNJ - FREE

Get the full Report on KO - FREE

Get the full Report on HON - FREE

Get the full Report on CCI - FREE

Get the full Report on WEC - FREE

Follow us on Twitter: https://twitter.com/zacksresearch

Join us on Facebook: https://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Media Contact

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 https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Johnson & Johnson (JNJ): Free Stock Analysis Report

Coca-Cola Company (The) (KO): Free Stock Analysis Report

Honeywell International Inc. (HON): Free Stock Analysis Report

Crown Castle International Corporation (CCI): Free Stock Analysis Report

WEC Energy Group, Inc. (WEC): Free Stock Analysis Report

To read this article on Zacks.com click here.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.