Monday, April 20, 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 Broadcom Inc. (AVGO), JPMorgan Chase & Co. (JPM) and Cisco Systems, Inc. (CSCO), as well as two micro-cap stocks Preformed Line Products Co. (PLPC) and CompX International Inc. (CIX). 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 >>>
Ahead of Wall Street
The daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market opens, attempting to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each morning.
You can read today's AWS here >>> Pre-Markets Off Last Week's Highs on 4/20
Today's Featured Research Reports
Shares of Broadcom have gained +19.1% over the past six months against the Zacks Electronics - Semiconductors industry’s gain of +27.3%. The company is experiencing strong momentum fueled by growth in AI semiconductors and continued success with its VMware integration. Strong demand for its networking products and custom AI accelerators (XPUs) has been noteworthy.
Broadcom’s AI segment benefits from custom accelerators and advanced networking technology that support large-scale AI deployments with improved performance and efficiency. Broadcom expects second-quarter fiscal 2026 AI revenues to surge 140% year over year to $10.7 billion.
AVGO’s networking portfolio is gaining from the strong demand for Tomahawk 6 products. The acquisition of VMware has benefited Infrastructure software solutions. A rich partner base is a key catalyst. However, gross margin in the fiscal second quarter is expected to be flat sequentially. High debt level is a headwind.
(You can read the full research report on Broadcom here >>>)
JPMorgan’s shares have gained +5.5% over the past six months against the Zacks Financial - Investment Bank industry’s gain of +8.6%. The company’s first-quarter 2026 results reflected solid revenue momentum amid a volatile operating environment. Its scale and diversified business mix continue to support earnings, while ongoing balance sheet growth is expected to partly offset pressure on net interest income (NII) from lower rates.
Markets revenues and investment banking (IB) fees are likely to remain strong, and healthy asset management activity should continue to support fee income. At the same time, mortgage dynamics remain mixed despite improving origination trends.
Expenses are expected to remain elevated as compensation, technology and marketing spend rise, including planned tech spending of $19.8 billion in 2026. A challenging macro backdrop raises concerns about the company’s asset quality.
(You can read the full research report on JPMorgan here >>>)
Shares of Cisco have outperformed the Zacks Computer - Networking industry over the past six months (+23.3% vs. +22.6%). The company’s business model is benefiting from strong product orders from hyperscalers, enterprises, public sector, service provider, and cloud customers. Splunk's acquisition enhances CSCO’s recurring revenue base. The buyout significantly expands Cisco’s portfolio of software-based solutions.
The launch of AI-powered Hypershield, which combines security and networking, strengthens its security portfolio. Networking sales benefits from strong demand for AI infrastructure and campus networking solutions. Product orders from service provider and cloud customers were strong driven by high double-digit order growth in hyperscalers.
Cisco expects to take AI orders in excess of $5 billion and to recognize more than $3 billion in AI infrastructure revenue from hyperscalers in fiscal 2026.However, stiffening competition is a headwind.
(You can read the full research report on Cisco here >>>)
Preformed Line Products’ shares have gained +37.8% over the past six months against the Zacks Electronics - Miscellaneous Products industry’s gain of +38.6%. This microcap company with a market capitalization of $1.56 billion offers exposure to long-cycle grid modernization and infrastructure demand, supported by a diversified portfolio across energy and communications.
Growth is driven by global utility investment, fiber deployment, and strategic expansion through acquisitions and international capacity buildouts, enhancing regional reach and product breadth. Its engineering capabilities and innovation pipeline support competitive positioning and customer retention.
However, profitability faces pressure from tariffs, input costs, and rising operating expenses, limiting margin expansion. Increased capital spending and leverage introduce execution and financial risk, while higher working capital needs may weigh on cash conversion. Overall, the story balances durable demand and diversification against cost pressures and capital intensity.
(You can read the full research report on Preformed Line Products here >>>)
Shares of CompX International have outperformed the Zacks Office Supplies industry over the past six months (+2.6% vs. -7.8%). This microcap company, with a market capitalization of $285.89 million, invests in a diversified end-market footprint that helps stabilize revenue across cycles, with strength in government, industrial, and marine demand offsetting softer commercial segments.
Margin expansion has been supported by favorable product mix and improved cost absorption, while domestic manufacturing and pricing actions provide some buffer against input cost volatility. Institutional ownership supports consistent capital allocation and a long-term orientation.
However, margin durability remains sensitive to inflationary pressures and execution on pricing. Revenue concentration in government and key customers introduces demand risk, while elevated inventory levels increase working capital intensity. Ongoing litigation adds uncertainty around future costs and capital flexibility.
(You can read the full research report on CompX International here >>>)
Other noteworthy reports we are featuring today include Cintas Corp. (CTAS), Diamondback Energy, Inc. (FANG) and PG&E Corp. (PCG).
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
Strong Demand for Networking Products Aids Broadcom (AVGO)
Expansion Plan, Loans, Solid IB Aid JPMorgan (JPM), Asset Quality Ails
Cisco (CSCO) Rides on Strong Networking Solution Demand
Featured Reports
Uniform Rental Unit to Aid Cintas (CTAS) amid Rising Costs
Per the Zacks analyst, Cintas' Uniform Rental and Facility Services unit is driven by the penetration of additional products and services into existing customers. High costs remain a concern.
Diamondback's (FANG) Operational Efficiency Drives Strong Returns
The Zacks analyst believes that Diamondback Energy's focus on efficiency drives solid returns, while heavy Permian dependence could create operational vulnerabilities.
Investments and Clean Energy Initiatives Aid PG and E Corporation(PCG)
Per the Zacks analyst, PG and E Corporation is investing to strengthen and improve the reliability of its grid. It is also investing in battery energy storage to support clean energy growth.
Increasing Adoption of Dragonfly Platform Aids Onto Innovation (ONTO)
Per the Zacks analyst, Onto Innovation's top-line is gaining from higher demand for the Dragonfly platform. Momentum in both advanced packaging and advanced nodes is a tailwind.
Kinsale Capital (KNSL) to Grow on Solid E and S lines market
Per the Zacks analyst, Kinsale Capital is set to grow on solid excess and surplus lines (E and S) market that has led to strong underwriting results. However, high costs remain a concern.
Solid Commercial Business Aids First American Financial (FAF)
Per the Zacks analyst, First American is set to grow on the strength in commercial business and demand among millennials for first-time home purchases. However, rising costs and high debt level ail.
Diversification Aids ManpowerGroup (MAN), Competition High
Per the Zacks analyst, ManpowerGroup's diversified business mix supports recurring revenues, concentration risks reduction and widening global presence. Rising competition is an overhang.
New Upgrades
10x Genomics' (TXG) Innovation Strength Drives Strong Growth Momentum
Per the Zacks Analyst, 10x Genomics benefits from strong platform innovation and growing single-cell and spatial biology markets, though funding uncertainty and weak instrument demand weigh.
ANI Pharmaceuticals' (ANIP) Rare Disease Segment Fuels Top Line Growth
The Zacks Analyst believes that demand for ANI's lead product, Cortrophin Gel, is strong. Based on this encouraging uptake, the company has guided to more than $1 billion in total revenues in 2026.
Keurig Dr Pepper (KDP) Sees Strength in Refreshment Beverages Unit
Per Zacks analyst, Keurig sees momentum in its Refreshment Beverages unit on strength in carbonated soft drinks and sports hydration. Also, innovation and solid in-market execution remain encouraging.
New Downgrades
Centrus Energy (LEU) Faces Risk from Funding, Expansion Costs
Per the Zacks analyst, a backlog contingent on capacity expansion and securing external funding as well as heavy spending can weigh on Centrus Energy's results.
Margin Pressure at Rent-A-Center Hurts Upbound's (UPBD) Profitability
Per the Zacks analyst, margin pressure at Upbound's Rent-A-Center (RAC) segment continues to weigh on overall profitability. Adjusted EBITDA margin at RAC dipped 230 basis points year over year in Q4.
Residential Weakness and Cost Inflation Hurt Owens Corning (OC)
Per the Zacks analyst, Owens Corning is hurting due to a weak housing market, reducing sales volume across its Roofing, Insulation and Doors businesses. Also, inflation risks add to the headwinds.
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.
Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.
See Top Quantum Stocks Now >>JPMorgan Chase & Co. (JPM) : Free Stock Analysis Report
Pacific Gas & Electric Co. (PCG) : Free Stock Analysis Report
Cisco Systems, Inc. (CSCO) : Free Stock Analysis Report
Cintas Corporation (CTAS) : Free Stock Analysis Report
Broadcom Inc. (AVGO) : Free Stock Analysis Report
CompX International Inc. (CIX) : Free Stock Analysis Report
Diamondback Energy, Inc. (FANG) : Free Stock Analysis Report
Preformed Line Products Company (PLPC): 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.
