Best analyst reports for Eli Lilly, NIKE and Micron Technology


Friday, March 11, 2022

Zacks Research Daily features top research results from our team of analysts. Today’s Research Daily features new research reports on 16 major stocks, including Eli Lilly and Company (LLY), NIKE, Inc. (NKE) and Micron Technology, Inc. (MU). These research reports have been handpicked from the approximately 70 reports published today by our team of analysts.

You can see all today’s research reports here >>>

Shares of Eli Lily outperformed the industry Zacks Large Cap Pharmaceuticals over the past year (+29.6% vs. +19.2%). Lilly has a strong pipeline of entry-level medicines in diabetes, autoimmune diseases and cancer. The Zacks analyst believes Lilly’s revenue growth is being driven by increased demand for drugs like Trulicity, Taltz and others. It regularly adds promising new pipeline assets through business development agreements. It has an exciting pipeline of potential new drugs, including tirzepatide for type II diabetes and donanemab for early-stage Alzheimer’s disease. Both candidates have multi-billion dollar sales potential.

However, generic competition for several drugs, increasing price pressure in the United States, mainly on the key drug, Trulicity, and price reductions in some international markets such as China, Japan and Europe are headwinds.

(You can read the full research report on Eli Lilly here >>>)

NIKE stocks are down -10.2% over the past year against declines of -10.4% in the Zacks shoe industry and clothing retail. The Zacks analyst believes NIKE shares have declined over the past year due to headwinds related to supply chain constraints. Declines in Greater China and APLA, and continued impacts from supply chain headwinds in the market partially hurt the company’s revenue in the second quarter of fiscal 2022.

NIKE expects volatility in fiscal 2022 due to disruptions caused by COVID variants. However, product innovation, brand strength and scale of company operations are expected to continue to drive digital sales. It remains on track to deliver on its outlook for FY2025.

(You can read the full NIKE research report here >>>)

Shares of Micron have underperformed the S&P 500 index year-to-date (-18.7% vs. -10.5%). The Zacks analyst believes that Micron’s short-term profitability may be affected by its planned salary increases. Additionally, the higher level of customer inventory in the cloud, graphics, and enterprise market is a major threat. Demand for software servers from several enterprise original equipment manufacturer (OEM) customers is also a concern.

However, Micron has already seen growing demand for memory chips from cloud computing providers and accelerating adoption of 5G (fifth generation) cellular networks. The increase in the number of high value-added solutions, improved customer engagement and improved cost structure are also growth drivers. Additionally, 5G adoption beyond mobile is likely to drive demand for memory and storage, especially in Internet of Things (IoT) devices and wireless infrastructure.

(You can read the full Micron research report here >>>)

Other noteworthy reports we feature today include Bayer Aktiengesellschaft (BAYRY), American International Group, Inc. (AIG) and Valero Energy Corporation (VLO).

Sheraz Mian

Director of Research

Note: Sheraz Mian leads the equity research department at Zacks and is a well-known expert on overall earnings. He is frequently quoted in the written and electronic press and publishes the weekly Earnings Trends and Revenue overview reports. If you would like to receive an email notification whenever Sheraz publishes a new article, please click here>>>

To read today

Eli Lilly (LLY) boasts a strong diabetes and Alzheimer’s pipeline

NIKE (NKE) Sales Rise on Improved Traffic and Digital Growth

Micron (MU) benefits from growing demand for memory chips

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New upgrades

ABM Industries Incorporated (ABM) will benefit from the ELEVATE plan
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Solid revenue growth by segment helps AMN Healthcare (AMN)
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New downgrades

Ubiquiti (UI) hit by supply disruptions and rising costs
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Staffing challenges and inflation hurt Red Robin’s outlook (RRGB)
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Dismal traffic and high costs hurt prospects for Yum China (YUMC)
According to the Zacks analyst, Yum China has experienced high costs due to labor inflation and packaging upgrades. Additionally, the decline in traffic from pre-pandemic levels is concerning.

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NIKE, Inc. (NKE): Free Stock Analysis Report

Eli Lilly and Company (LLY): Free Stock Analysis Report

American International Group, Inc. (AIG): Free Stock Analysis Report

Micron Technology, Inc. (MU): Free Stock Analysis Report

Valero Energy Corporation (VLO): Free Stock Analysis Report

Bayer Aktiengesellschaft (BAYRY): Free Stock Analysis Report

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Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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