Yahoo Finance Top Research Reports for Berkshire Hathaway, Qualcomm & TotalEnergies
Thursday, September 12, 2024
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 Berkshire Hathaway Inc. (BRK.B), Qualcomm Inc. (QCOM) and TotalEnergies SE (TTE), as well as a micro-cap stock, Geospace Technologies Corp. (GEOS) and TSS, Inc. (TSSI). These research reports have been hand-picked from roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
Berkshire Hathaway’s shares have outperformed the Zacks Insurance – Property and Casualty industry over the past two years (+62.8% vs. +56.5%). The Zacks analyst believes that the company’s growth in its insurance business fuels an rise in float, drives earnings and generates maximum return on equity. The other businesses have also been doing well in the last few years. The addition of Pilot Travel Centers (PTC) has strengthened its energy business.
Yet, exposure to cat loss induces earnings volatility and also affects underwriting results. The passing of Charles Munger has also not helped.
(You can read the full research report on Berkshire Hathaway here >>>)
Qualcomm’s shares have underperformed the Zacks Wireless Equipment industry over the last six months (-1.5% vs. +7.8%). The Zacks analyst believes that inventory corrections by clients are impeding sales in the company’s IoT business. Increasing competition in the mobile phone chipset market is likely to strain margins. Rising geopolitical instability and high debt obligation remain concerns.
However, the Snapdragon X Series Platform integrated with Qualcomm AI Hub is witnessing significant market traction among leading global PC manufacturers. The company is increasingly focusing on the seamless transition from a wireless communications firm for the mobile industry to a connected processor firm for the intelligent edge.
(You can read the full research report on QUALCOMM here >>>)
Shares of TotalEnergies have outperformed the Zacks Oil and Gas – Refining and Marketing industry over the past year (+0.6% vs. -5.8%). Per the Zacks analyst, the company continues to benefit from startups, acquisitions, well-spread LNG assets and contributions from upstream assets located in the new hydrocarbon-producing regions. Multi-energy assets of the company spread across the globe also support its performance.
Yet, production might be impacted by security reasons in some regions and it remains exposed to acquisition-related risks. A natural decline in production and its withdrawal from Russia might affect profitability.
(You can read the full research report on TotalEnergies here >>>)
Geospace’s shares have outperformed the Zacks Electronics – Measuring Instruments industry over the last two years (+91.2% vs. -5.3%). The Zacks analyst believes that the company has diversified revenue streams across segments, reducing sector-specific risks.
Innovations like the Insight by Optoseis and Mariner seabed node show its commitment to technological advancement. The strong demand for ocean bottom nodes and growth in Adjacent and Emerging Markets also offer promising opportunities.
However, high operating expenses and inventory management challenges need addressing to improve profitability.
(You can read the full research report on Geospace here >>>)
TSS’ shares have outperformed the Zacks Engineering – R and D Services industry over the last six months (+974.1% vs. +14.3%). The Zacks analyst believes that the company benefits from AI and high-performance computing demand.
Long-term contracts provide stable, recurring revenues, whereas its expanding customer base and AI-driven capacity expansions position TSS for sustained growth in the data center infrastructure space.
(You can read the full research report on TSS here >>>)
Other noteworthy reports we are featuring today include Starbucks Corp. (SBUX), Paychex, Inc. (PAYX) and The Kraft Heinz Co. (KHC).
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.
Today's Must Read
Solid Insurance Business Aid Berkshire (BRK.B), Cat Loss Ail
Qualcomm (QCOM) Rides on Solid Portfolio, Automotive Trends
Expanding LNG & Clean Energy Assets Aid TotalEnergies (TTE)
Featured Reports
Repligen's (RGEN) Product Portfolio Aid Sales Amid Stiff Rivalry
Per the Zacks analyst, Repligen's product franchisees are generating significant revenues owing to continued demand. Stiff competition in the bioprocessing products market remains an overhang.
Paychex (PAYX) Gains on Flexible Portfolio Despite Expenses
Per the Zacks analyst, Paychex's ability to meet clients' HR and payroll needs through a comprehensive and flexible service portfolio benefits its top line. Rising expenses are concerning.
Middleby (MIDD) to Gain From Product Launches, High Debt Ails
Per the Zacks analyst, Middleby is poised to benefit from its focus on launching new products and stable demand for ventless cooking products. However, high debt obligation remains a concern.
Kraft Heinz (KHC) Benefits From Strategic Pricing Efforts
Per the Zacks analyst, Kraft Heinz is benefiting from solid pricing action. In second-quarter, pricing rose 1 percentage point year-over-year, driven by gains in North America and Emerging Markets.
Strategic Initiatives Aid Starbucks (SBUX), Soft Comps Hurt
Per the Zacks analyst, Starbucks is benefiting from new store openings, menu innovation, and its focus on digitalization. Yet, softer comps trend and increased costs hurt prospects.
Service Center Unit Aids Applied Industrial (AIT), Costs Ail
Per the Zacks analyst, Applied Industrial's Service Center Based Distribution segment is driven by sales initiatives and focus on national customer accounts. However, high costs remain concerning.
Strong Demand for Memory Aids Teradyne (TER) Prospects
Per the Zacks analyst, Teradyne benefits from the growing demand for memory solutions. Solid demand for Robotic solutions has been a tailwind.
New Upgrades
Growing Fee Revenue, Inorganic Growth aid CNO Financial (CNO)
Per the Zacks analyst, CNO Financial's performance, driven by fee revenues and insurance policy income, has led to significant growth. Inorganic growth and technological investments also bode well.
Haemonetics' (HAE) Hospital Arm Rides on New Product Gains
The Zacks analyst is impressed with Haemonetics' Hospital unit gaining from the new Sensor Guided Technologies and Esophageal Protection devices. Early success of VASCADE MVP XL is another positive.
A Solid Technology Foundation Continues to Aid Catalent (CTLT)
The Zacks analyst is upbeat about Catalent's broad and diverse technology platforms that are supported by extensive know-how. A solid products and services suite an added plus.
New Downgrades
W&T Offshore (WTI) to Hurt From Significant Exposure to Debt
Per the Zacks analyst, W&T Offshore's significant reliance on debt is concerning as it limits financial flexibility and poses greater financial risk.
Higher Costs, Loan Concentration Hurt First Horizon (FHN)
Per the Zacks analyst, an increase in non-interest expenses and a lack of loan portfolio diversification are likely to hurt First Horizon's financials.
Low-Yielding Assets, Subdued Trading Fees Hurt Schwab (SCHW)
Per the Zacks analyst, low-yielding assets on Schwab's balance sheet, subdued trading income because of uncertain capital markets performance and elevated expenses are major near-term concerns.
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QUALCOMM Incorporated (QCOM) : Free Stock Analysis Report
Paychex, Inc. (PAYX) : Free Stock Analysis Report
Starbucks Corporation (SBUX) : Free Stock Analysis Report
Berkshire Hathaway Inc. (BRK.B) : Free Stock Analysis Report
Kraft Heinz Company (KHC) : Free Stock Analysis Report
TotalEnergies SE Sponsored ADR (TTE) : Free Stock Analysis Report
