Top Analyst Reports for Johnson & Johnson, Alibaba & Netflix
Today's Research Daily features new research reports on 16 major stocks, including Johnson & Johnson (JNJ), Alibaba Group Holding Limited (BABA), and Netflix, Inc. (NFLX).
Monday, October 04, 2021
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 Johnson & Johnson (JNJ), Alibaba Group Holding Limited (BABA), and Netflix, Inc. (NFLX). 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 >>>
Shares of Johnson & Johnson have underperformed the Zacks Large Cap Pharmaceuticals industry over the year-to-date period (+1.9% vs. +8.0%). J&J faces numerous lawsuits, which allege personal injuries to patients caused by the use of its products. The Zacks analyst believes that these lawsuits have resulted in uncertainties.
However, J&J’s diversification makes it relatively resilient amid macroeconomic turmoil. The Pharma unit is performing at above-market levels, supported by increased penetration and new indications of blockbuster drugs, Imbruvica, Darzalex and Stelara. Its Medical Devices segment is also demonstrating a strong recovery after its sales were hurt in the early stages of the pandemic. J&J is also making rapid progress with its pipeline and line extensions.
Shares of Alibaba have underperformed the Zacks Internet – Commerce industry over the year-to-date period (-38.0% vs. -30.9%). The Zacks analyst believes that rising competition from domestic as well as foreign e-commerce companies poses a serious risk to Alibaba. Additionally, the regulatory concerns and higher costs associated with new initiatives remain major problems.
At the same time, Alibaba is benefiting from solid momentum across the Core Commerce segment driven by its growing China and International Commerce businesses. Further, its robust New Retail strategy which is gaining strong traction in the market remains a major positive. This is aiding growth in Tmall Import, Freshippo and Intime Department Stores. Furthermore, well-performing Cainiao logistics services are contributing well.
Netflix shares have gained +13.4% in the last six months against the Zacks Broadcast Radio and Television industry’s gain of +1.4%. The Zacks analyst believes that Netflix is dominating the streaming space, courtesy of its diversified content portfolio, which is attributable to heavy investments in the production and distribution of localized, foreign-language content. User-friendly features like Downloads For You are key positives. The launch of low-priced mobile plans is likely to expand Netflix’s subscriber base in Asia Pacific.
However, rising competition from Apple, Amazon, HBO Max, Disney+ and Peacock is a major headwind. Netflix’s leveraged balance sheet and higher streaming obligation is also a concern.
Other noteworthy reports we are featuring today include SAP SE (SAP), QUALCOMM Incorporated (QCOM) and Enbridge Inc. (ENB).
Director of Research
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>>>
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QUALCOMM Incorporated (QCOM): Free Stock Analysis Report
Johnson & Johnson (JNJ): Free Stock Analysis Report
Netflix, Inc. (NFLX): Free Stock Analysis Report
SAP SE (SAP): Free Stock Analysis Report
Enbridge Inc (ENB): Free Stock Analysis Report
Alibaba Group Holding Limited (BABA): Free Stock Analysis Report
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