Thursday, May 8, 2025
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 NVIDIA Corp. (NVDA), Abbott Laboratories (ABT) and Linde plc (LIN), as well as a micro-cap stock Tredegar Corp. (TG). 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
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You can read today's AWS here >>> Jobless Claims, Q1 Productivity Hit Multi-Year Levels
Today's Featured Research Reports
NVIDIA’s shares have outperformed the Zacks Semiconductor - General industry over the past year (+31.9% vs. +24.5%). The company is benefiting from the strong growth of artificial intelligence (AI), high-performance and accelerated computing. The growing demand for generative AI and large language models using graphic processing units (GPUs) based on NVIDIA’s Hopper and Blackwell architectures is aiding data center revenues.
Continued ramp-up of Ada RTX GPU workstations in the ProViz end market, following the normalization of channel inventory, is acting as a tailwind. The Zacks analyst expects NVIDIA’s revenues to witness a CAGR of 27.7% through fiscal 2026-2028. Collaborations with over 320 automakers and tier-one suppliers are likely to advance its presence in the autonomous vehicles space.
However, a limited supply of Blackwell and Ada GPUs could hinder its ability to meet demand. Rising costs associated with the production of more complex AI systems will hurt margins.
(You can read the full research report on NVIDIA here >>>)
Shares of Abbott Laboratories have outperformed the Zacks Medical - Products industry over the past year (+30.5% vs. +10.1%). The company’s pipeline is unlocking new growth opportunities, supporting the company’s positive momentum and strong growth outlook for 2025. Freestyle Libre, Lingo and Libre Rio CGM devices are on a great trajectory. Alinity, the company’s next-generation suite of systems, is a key driver in the core lab diagnostics business.
Abbott Laboratories is optimistic about its latest progress with biosimilars and expects this to significantly boost EPD sales, reportedly beginning this year. Despite softness in international pediatric arm, Abbott is regaining market share banking on strong Adult Nutrition business.
Yet, the significant runoff of COVID-19 testing-related sales is hurting Abbott’s Diagnostics growth. Headwinds such as tough macro conditions and foreign exchange also add to the worry.
(You can read the full research report on Abbott Laboratories here >>>)
Linde’s shares have outperformed the Zacks Chemical - Specialty industry over the past year (+5.9% vs. -2.5%). The company remains a dominant player in the industrial gas sector, delivering strong financial performance with consistent EPS growth, disciplined capital allocation, and industry-leading margins.
Linde’s record $10 billion backlog ensures long-term revenue stability, while sustainability initiatives position it as a leader in low-carbon energy solutions. Strategic investments in high-return projects and small on-site contracts further reinforce its competitive edge.
However, foreign exchange headwinds, softening industrial demand in Europe & China, and regulatory uncertainties pose challenges. Also, slower growth in healthcare impacts diversification efforts. Despite these risks, LIN's strong execution, efficiency improvements, & long-term contracts position it well for sustained profitability & resilience in fluctuating market conditions.
(You can read the full research report on Linde here >>>)
Shares of Tredegar have outperformed the Zacks Chemical - Plastic industry over the past year (+30.5% vs. +10.1%). This microcap company with market capitalization of $282.47 million have $78 million Terphane divestiture in Nov 2024, plus $7 million due by Mar 2025, which lowered net leverage from 2.3X to 1.2X, bolstering financial flexibility for debt reduction and reinvestment.
Surface Protection rebounded with 57% volume growth and $19.4M EBITDA gain. The Obsidian film launch in October 2024 marks a strategic entry into automotive displays, expanding high-margin revenue. Despite a $13.3 million impairment at Clearfield, Aluminum Extrusions’ EBITDA rose $3.4 million, with diverse end-markets buffering cyclicality. Gross margin improved to 16.1% on operational gains.
However, risks persist, such as cyclical exposure in non-residential construction and auto sectors weighing on visibility; PE Films faces customer concentration and tech disruption risks; regulatory compliance burdens could stress cash flows.
(You can read the full research report on Tredegar here >>>)
Other noteworthy reports we are featuring today include Citigroup Inc. (C), CME Group Inc. (CME) and Constellation Energy Corp. (CEG).
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
NVIDIA (NVDA) Rides on Strong Adoption of GPUs, Partnerships
Abbott (ABT) EPD Gains in Emerging Space on Branded Generics
Linde's (LIN) Long-Term Contracts With Minimum Volume Aid
Featured Reports
Citigroup's (C) Streamlining Efforts Aid Amid Rising Costs
The Zacks analyst views Citigroup's efforts to grow core businesses by streamlining operations as impressive. Yet, revamping technology and risk management frameworks might flare up Costs.
Focus on Renewable Energy Aid Constellation Energy (CEG)
Per the Zacks analyst, Constellation Energy gains from expansion of renewable portfolio. Its position as an industry leader in the safe operation of nuclear plants helps it increase its nuclear output
Solid Expansion Projects to Aid Teck (TECK) Amid High Costs
Per the Zacks analyst, Teck Resources is poised well to gain from its solid expansion project pipeline despite cost pressures.
Trimble (TRMB) Benefits from Strong Recurring Revenue Growth
Per the Zacks analyst, Trimble benefits from strong growth in its recurring revenue streams, particularly in its AECO and Field Systems segments.
Leasing Aids Regency Centers (REG) Amid E-Commerce Adoption
Per the Zacks Analyst, Regency Centers is to gain from healthy leasing activity aiding occupancy and rent growth, key investments and a focus on essential retail assets. Yet, e-commerce adoption ails.
Ensign Group's (ENSG) Strategic Buyouts Aid Amid High Costs
Per the Zacks analyst, Ensign Group's expertise in acquiring healthcare-related real estate and transforming them into market leaders are commendable. Yet, rising costs weigh on margins.
Investments & Expanding Customer Base Aid ONE Gas (OGS)
Per the Zacks analyst, ONE Gas' capital expenditure should improve pipeline integrity and boost its performance. Rising demand from an expanding customer base should further boost the top line.
New Upgrades
Improving Clearing and Transaction Fees Aid CME Group (CME)
Per the Zacks analyst, CME Group is set to grow on higher clearing and transaction fees as market position, diverse derivative product lines and expansion of futures products drive volumes.
Bandwidth (BAND) Rides on Solid Demand, Strategic Collaboration
Per the Zacks analyst, healthy traction for Bandwidth's communication services in multiple sectors such as healthcare, IT services, retail and fintech will likely drive its top line.
AngioDynamics (ANGO) Rises on NanoKnife, Product Strength
Per the Zacks Analyst, AngioDynamics' strong NanoKnife momentum, deep focus on the pancreatic cancer market, and an expanding, robust product pipeline position it well for sustained long-term growth.
New Downgrades
Economic Uncertainty & High Labor Costs Hit Allegiant (ALGT)
The Zacks analyst is worried about the high labor costs at Allegiant. High costs are hurting the bottom line. Tariff-induced uncertainty adds to its woes.
Macroeconomic Pressures to Hurt Carter's (CRI) Top Line
Per the Zacks analysts, inflation, elevated interest rates and weakening consumer confidence are likely to hurt Carter's top line. The company is seeing reduced demand across segments.
Dismal Contract Sales Hurt Marriott Vacations (VAC) Prospects
Per the Zacks analyst, Marriott Vacations operations are likely to be hurt by dismal contract sales and fall in VPG. Also, an uncertain macro environment and elevated expenses are a headwind.
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Citigroup Inc. (C) : Free Stock Analysis Report
Abbott Laboratories (ABT) : Free Stock Analysis Report
CME Group Inc. (CME) : Free Stock Analysis Report
Constellation Energy Corporation (CEG) : Free Stock Analysis Report
NVIDIA Corporation (NVDA) : Free Stock Analysis Report
Tredegar Corporation (TG) : Free Stock Analysis Report
Linde PLC (LIN) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research