Yahoo Finance Top Stock Reports for PayPal, Schlumberger & Blackstone
Monday, October 22, 2018
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 PayPal (PYPL), Schlumberger (SLB) and Blackstone (BX). 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 >>>
PayPal’s shares have outperformed the Zacks Internet Software industry year to date (+15.2% vs. +3.9%). PayPal reported strong third quarter results wherein both earnings and revenues have reflected year-over-year growth on the back of its portfolio strength which continued to improve the customer engagement on its platform.
Moreover, Venmo’s strengthening monetization efforts and increasing number of merchants using One Touch drove the payments volume of the company. This aided the top-line growth of PayPal. Further, growing availability of Choice remained positive throughout the quarter.
The Zacks analyst thinks the company’s growing strategic partnerships will continue to boost its total payment volume and market share in the long run. However, continuous exposure to foreign exchange and interest rate risks are major concerns. Also, intensifying competition from major players in the finance and payment industry poses serious risks.
(You can read the full research report on PayPal here >>>).
Shares of Schlumberger have outperformed the Zacks Oil and Gas - Field Services industry over the past year, losing -5.6% vs. -9.7%. Schlumberger is the largest oilfield services player in the world with presence in every energy market.
The firm's third quarter results showed that its international business, which constitutes a major portion of revenues, is finally starting to turn around. The Zacks analyst likes the fact that the company is a leading provider of technology for complex oilfield projects outside North America, enabling it to take up new offshore projects.
The company is expecting more drilling activities to ramp up in the offshore resources. Moreover, the firm has been persistently rewarding shareholders with higher dividend yield than the industry over the past 15 years.
However, the pipeline bottleneck problem in the Permian Basin has been hurting the firm’s operations in U.S. shale plays. Schlumberger’s rising project startup costs, stemmed from new developments outside North America, are major concerns. Therefore, the stock warrants a cautious stance.
(You can read the full research report on Schlumberger here >>>).
Blackstone’s shares have outperformed the Zacks Investment Management industry over the past six months, (+7.1% vs. -13.5%). Also, the company has an impressive earnings surprise history, having surpassed expectations in each of the trailing four quarters. Its third quarter 2018 results reflect a rise in revenues and assets under management growth.
The Zacks analyst thinks the company remains well positioned to capitalize on its fund-raising ability and will likely continue benefiting from revenue mix and persistent asset inflows. Further, the company's inorganic growth efforts remain impressive and will likely support the financials. However, mounting expenses mainly due to higher compensation and benefits costs will likely hurt bottom-line growth. Also, sustainability of the company’s capital deployment activities remains a concern.
(You can read the full research report on Blackstone here >>>).
Other noteworthy reports we are featuring today include Prologis (PLD), V.F. Corp (VFC) and Keurig Dr Pepper (KDP).
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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
Portfolio Strength Benefits PayPal (PYPL) Amid Competition
International Drilling Rebound Aids Schlumberger (SLB)
Fund-Raising Ability Aids Blackstone (BX), High Costs a Woe
Featured Reports
High Industrial Real Estate Demand to Drive Prologis (PLD)
Per the Zacks analyst, Prologis is poised to grow as healthy economy and e-commerce boom are spurring demand for industrial real estate assets. But trade tensions and rising supply remain concerns.
Harris (HRS) Rides on Solid Order Growth and Merger Deal
Per the Zacks analyst, solid order uptrend in Communication Systems and Electronic Systems along with increased traction from the merger deal with L3 Technologies will likely drive Harris' top line.
Order Growth Aids Textron (TXT), Poor Delivery Figure Hurts
Per the Zacks analyst, Textron's strong order growth along and new product launches will improve its growth trajectory. Weak delivery figures have forced it to narrow its 2018 earnings expectations.
Grainger (GWW) Rides on e-commerce Investments, Tariff a Woe
Per the Zacks analyst, Grainger will gain from its focus on investments in e-commerce and digital capabilities.
Acquisitions & Value Added Services Aid Genuine Parts (GPC)
Per the Zacks analyst, industrial & automotive acquisitions are helping Genuine Parts boost its products and expand.
Specialty Insurance Focus, Product Expansion Aids RLI (RLI)
Per the Zacks analyst, RLI Corp is set to grow on broad range of product offerings, focus on new markets and focus on specialty insurance lines.
Snap-On's (SNA) RCI Program Aids Sales & Margins Growth
Per the Zacks analyst, Snap-On's focus on the rapid continuous improvement (RCI) program has boosted sales, margins and savings.
New Upgrades
Acquisitions, Efforts to Prune Portfolio to Aid Dover (DOV)
Per the Zacks analyst, Dover will gain from its efforts to prune its portfolio, pursue acquisitions and invest in market-leading platforms that have strong market positions and margin profiles.
Solid Momentum in Vans Brand Aids Growth at V.F. Corp (VFC)
Per the Zacks analyst, V.F. Corp's Vans brand is displaying strength globally with growth across all regions, channels and product categories. Sales for Vans grew 26% in the second quarter.
Unit Revenues, Fleet Upgrade Aid United Continental (UAL)
The Zacks analyst likes the company's performance with respect to unit revenues. Efforts to modernize its fleet are also encouraging.
New Downgrades
CSD Category Headwinds to Hurt Keurig's (KDP) Top Line
Per the Zacks analyst, Keurig Dr Pepper's exposure to the carbonated beverages makes it vulnerable to CSD category headwinds that have plagued the soft drinks industry in the recent quarters.
American Airlines (AAL) Stung by Fuel Cost & Debt Woes
The Zacks analyst expects high fuel costs and Hurricane Florence to hurt the company's Q3 results. The company's high debt levels also raise concerns.
High Debt, Rising Expenses Ail CNH Industrial (CNHI)
Per the Zacks analyst, increase in expenses due to higher raw material costs and research and development expenses will hurt CNH Industrial's margin. Rising debt level is also a concern.
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V.F. Corporation (VFC) : Free Stock Analysis Report
Schlumberger Limited (SLB) : Free Stock Analysis Report
PayPal Holdings, Inc. (PYPL) : Free Stock Analysis Report
Prologis, Inc. (PLD) : Free Stock Analysis Report
Keurig Dr Pepper, Inc (KDP) : Free Stock Analysis Report
The Blackstone Group L.P. (BX) : Free Stock Analysis Report
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