Monday, March 23, 2026
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 Eli Lilly and Co. (LLY), RTX Corp. (RTX) and Abbott Laboratories (ABT), as well as two micro-cap stocks Ohio Valley Banc Corp. (OVBC) and Rave Restaurant Group, Inc. (RAVE). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.
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 >>>
Today's Featured Research Reports
Eli Lilly’s shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the past six months (+23.4% vs. +14%). Demand for the company’s popular GLP-1 drugs, Mounjaro and Zepbound, remains strong, making them the company’s key top-line drivers. Robust growth trends in the U.S. incretin market and positive uptake trends in new international markets led to strong sales growth in 2025 with the positive trend expected to continue in 2026.
Lilly’s other new drugs like Kisunla, Omvoh and Jaypirca are also contributing to its top-line growth. Lilly is also making rapid pipeline progress in obesity and diabetes with oral GLP-1 obesity pill, orforglipron, expected to be launched this year.
Declining sales of Trulicity, rising pricing pressure on some drugs and potential competition in the GLP-1 diabetes/obesity market are some top-line headwinds.
(You can read the full research report on Eli Lilly here >>>)
Shares of RTX have outperformed the Zacks Aerospace - Defense industry over the past six months (+22.8% vs. -2.6%). The company continues to receive ample orders for its wide range of combat-proven defense products from the Pentagon and its foreign allies. Steadily improving global commercial air traffic boosts the company's sales.
Strong volumes and a favorable mix across large commercial engines and Pratt Canada operations are expected to support the company’s growth momentum in the commercial aerospace market. This resulted in RTX registering a backlog of $268 billion as of Dec. 31, 2025.
Yet, the uncertainties created by the recent imposition of U.S. government-issued import tariffs pose a risk for RTX. Supply-chain challenges continue to affect the aerospace sector, which may adversely impact RTX.
(You can read the full research report on RTX here >>>)
Abbott’s shares have declined -15.1% over the past year against the Zacks Medical - Products industry’s decline of -20.6%. The company’s strong product pipeline continues to open new prospects and supports its growth outlook into 2026. The Medical Devices segment remains a key growth driver, led by the FreeStyle Libre CGM franchise and expansion across Diabetes Care.
In Diagnostics, underlying demand outside COVID continues to improve, with Core Laboratory and Point of Care gaining momentum outside China. Abbott also remains constructive on its biosimilar strategy, supporting sustained growth in the EPD across emerging markets.
Within Nutrition, the business is in transition, with Adult Nutrition and innovation positioned to support a return to growth in the second half of 2026 following near-term volume and pricing woes. At the same time, macro uncertainty, tariffs and China pressures limit near-term visibility despite Abbott’s diversified portfolio.
(You can read the full research report on Abbott here >>>)
Shares of Ohio Valley Banc have outperformed the Zacks Banks - Midwest industry over the past six months (+15.6% vs. -7.2%). This microcap company with a market capitalization of $191.41 million, is having its investment case centers on structurally improving profitability driven by balance-sheet optimization, with a shift toward higher-yielding commercial and real estate lending supporting margin expansion and earnings durability.
Operating efficiency gains and disciplined expense management enhance scalability, while a stable core deposit base underpins funding. Yet, the strategy introduces trade-offs. Greater concentration in commercial assets elevates credit sensitivity, as early signs of asset quality pressure emerge.
Declining fee income and reliance on balance-sheet-driven earnings highlight evolving revenue risks. Valuation suggests investors are partially recognizing improved earnings power but not fully pricing in long-term upside, reflecting a balanced risk-reward profile where execution on credit discipline and revenue diversification remains key.
(You can read the full research report on Ohio Valley Banc here >>>)
Rave Restaurant’s shares have underperformed the Zacks Retail - Restaurants industry over the past six months (-28.9% vs. +3.1%). This microcap company with market capitalization of $35.39 million, is facing growth constrain due to limited net unit expansion and reliance on system-wide sales. Pie Five remains a structural drag despite moderating declines, with ongoing unit contraction and weak sales.
Revenue visibility is further impacted by reliance on incentive income. Current valuation suggests the market is pricing in limited growth and execution risk, leaving upside dependent on sustained unit expansion and brand stabilization over time, with improving fundamentals.
Nevertheless, Rave Restaurant offers a differentiated, asset-light franchise model anchored by Pizza Inn’s value-focused buffet strategy, driving steady comp growth and modest unit expansion in underserved markets. Profitability remains resilient, with 23 consecutive profitable quarters and consistent EBITDA conversion, supported by a debt-free balance sheet and strong liquidity position.
(You can read the full research report on Rave Restaurant here >>>)
Other noteworthy reports we are featuring today include Energy Transfer LP (ET), The Hershey Company (HSY) and Venture Global, Inc. (VG).
Mark Vickery
Senior Editor
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>>>
Today's Must Read
Lilly (LLY) New Drugs to Drive Sales Growth Amid Rising Competition
Defense Orders Drive RTX Corp. (RTX) Amid Supply Chain Issues
Robust EPD Prospects, CGM Sales Aid Abbott (ABT)
Featured Reports
Fee-based Earnings, Rising Natural Gas Demand Aid Energy Transfer (ET)
Per to the Zacks analyst, ET's performance is expected to be driven by its high share of earnings from fee-based contracts and its exposure to rising demand for natural gas.
Venture Global's (VG) Modular Approach and Projects Aid Profitability
Per the Zacks analyst Venture Global's innovative modular approach and Gulf Coast project boost profitability. However, global supply-chain delay, tariff and volatile spot LNG prices drag performance.
Darden Restaurants (DRI) Gains on Menu Innovation Amid Cost Pressures
Per the Zacks analyst, Darden is benefiting from menu simplification, digital expansion, and unit growth. However, elevated costs and weather disruptions limit upside potential.
Fabrinet (FN) Rides on Strong DCI and HPC Growth, Capacity Expansion
Per the Zacks analyst, Fabrinet is well-positioned to outperform as synchronized AI infrastructure ramps across DCI, datacom, and HPC, supported by debt-free capacity additions.
Connected Frontline Segment Aids Zebra Technologies (ZBRA)
Per the Zacks analyst, higher sales of mobile computing products are driving Zebra Technologies' Connected Frontline segment. The company's shareholder friendly measures are encouraging.
Encompass Health (EHC) Strengthens Growth Through Expansion Efforts
Per the Zacks analyst, Encompass Health's expansion through de novo hospitals will drive patient volumes and profit levels. However, escalating expenses remain a concern for the company.
Organic Growth and Strong Liquidity Support Popular (BPOP) Financials
Per the Zacks analyst, Popular's organic strength is reflected by a strong loan pipeline and rising deposit balances. A strong liquidity level aids its capital distribution activities.
New Upgrades
Hershey's (HSY) Pricing Strategy Drives Organic Growth
Per the Zacks analyst, Hershey has been benefiting from disciplined pricing actions. Net price realization contributed approximately 9 points to organic growth during the fourth quarter.
Woodward (WWD) Gains from Strength in Aerospace Segment
Per the Zacks analyst, Woodward's Aerospace segment is gaining from strength in the commercial aftermarket and higher defense activity, with fiscal 2026 revenues expected to grow 15-20% from this unit
Cirrus Logic (CRUS) Rides on Smartphone Demand and Product Refreshes
Per the Zacks analyst, growing momentum in the laptop market and increasing win designs with customers on next-generation flagship smartphones are driving Cirrus Logic's performance.
New Downgrades
Macroeconomic Pressures Hurting Perrigo's (PRGO) Topline Growth
Though Perrigo has initiated several initiatives to lower its costs and improve margins, sales continue to be hurt due to macroeconomic pressures like currency headwinds and inflation.
Decreased Demand for Paper-Related Products Hurt Xerox (XRX)
Per the Zacks analyst, Xerox is grappling with decreased demand for paper-related systems and products. Cybersecurity risk is also a concern.
Competition and Leverage Weigh on Liberty Global (LBTYA)
Per the Zacks analyst, Liberty Global faces sustained pressure from altnet competition and aggressive promotional pricing, while elevated leverage and broadband subscriber losses persist.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
SeeAbbott Laboratories (ABT) : Free Stock Analysis Report
Eli Lilly and Company (LLY) : Free Stock Analysis Report
Hershey Company (The) (HSY) : Free Stock Analysis Report
Energy Transfer LP (ET) : Free Stock Analysis Report
Venture Global, Inc. (VG) : Free Stock Analysis Report
Rave Restaurant Group, Inc. (RAVE) : Free Stock Analysis Report
Ohio Valley Banc Corp. (OVBC): Free Stock Analysis Report
RTX Corporation (RTX) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
