Top Research Reports for Alphabet, IBM & RTX

Monday, June 16, 2025The 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 Alphabet Inc. (GOOGL), IBM Corp. (IBM) and RTX Corp. (RTX), as well as a micro-cap stock National Presto Industries, Inc. (NPK). 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 StreetThe daily 'Ahead of Wall Street' article is a must-read for all investors who would like to be ready for that day's trading action. The article comes out before the market opens and attempts to make sense of that morning's economic releases and how they will affect that day's market action. You can read this article for free on our home page and can actually sign up there to get an email notification as this article comes out each morning.You can read today's AWS here >>> Pre-Markets in the Green Ahead of Eventful WeekToday's Featured Research ReportsShares of Alphabet have underperformed the Zacks Internet - Services industry over the year-to-date period (-7.5% vs. -5.9%). The company’s increasing litigation issues are a concern. Intensifying competition from Microsoft and Amazon in cloud computing is a headwind.Nevertheless, Alphabet is riding on strong cloud and search growth. Google Cloud is benefiting from accelerated growth across AI infrastructure, enterprise AI platform Vertex and strong adoption of Generative AI solutions. The company expects capital expenditures in 2025 to be relatively higher than in 2024, aimed at building technical infrastructure, primarily for servers, followed by data centers and networking. Alphabet’s dominant position in the search engine market is a strong growth driver. In first-quarter 2025, GOOGL saw continued double-digit revenue growth in Search. Alphabet surpassed 270 million paid subscriptions with YouTube and Google One as key drivers.(You can read the full research report on Alphabet here >>>)IBM’s shares have outperformed the Zacks Computer - Integrated Systems industry over the past year (+68.5% vs. +1.2%). The company is likely to benefit from heterogeneous, dynamic and complex infrastructure strategies, which, in turn, has led firms to undertake a cloud-agnostic and interoperable approach to highly secure multi-cloud management. A combination of a better business mix, improving operating leverage through productivity gains and investments in growth opportunities will likely boost profitability. IBM is betting big on the watsonx platform, which is likely to be the core technology platform for its AI capabilities. Strategic acquisitions to boost portfolio is a positive. However, buyouts have negatively impacted the company’s balance sheet in the form of high level of goodwill and net intangible assets. IBM’s Consulting business is affected soft demand in some end markets and macroeconomic headwinds. A high debt burden remains a concern.(You can read the full research report on IBM here >>>)Shares of RTX have outperformed the Zacks Aerospace - Defense industry over the past year (+42.4% vs. +16.2%). The company continues to receive ample orders for its wide range of combat-proven defense products, from the Pentagon and its foreign allies. This resulted in RTX registering a robust defense backlog of $92 billion as of March 31, 2025. Steadily improving commercial air traffic worldwide has also been boosting the company's sales. The company also holds a solid solvency position, at least in the short term. However, the uncertainties created by the recent imposition of U.S. government-issued import tariffs and the counter-tariffs from other nations pose a risk for RTX. Supply-chain challenges continue to affect the aerospace sector, which may adversely affect RTX’s performance. The stock’s forward 12-month EV/SALES ratio is unimpressive when compared to its industry.(You can read the full research report on RTX here >>>)National Presto Industries’ shares have outperformed the Zacks Diversified Operations industry over the past year (+31% vs. +6.6%). This microcap company with market capitalization of $680.92 million is strategically positioned to capitalize on rising U.S. defense spending and global geopolitical tensions. Its Defense segment, aligned with key Department of Defense priorities such as Ukraine resupply and autonomous systems, benefits from a growing $1.2 billion contract backlog extending through 2029, supporting long-term revenue visibility. Vertically integrated operations enhance quality and cost control, solidifying its role as a sole-source contractor on several 40mm systems. Q1 2025 results show robust earnings growth driven by a 47% sales surge in Defense. Recent investments, including a $19.8 million logistics facility, bolster operational resilience in its Housewares segment.However, risks remain, such as heavy reliance on DoD contracts, tariff-driven margin pressures in Housewares, a cybersecurity breach, and continued underperformance in the Safety segment. (You can read the full research report on National Presto Industries here >>>)Other noteworthy reports we are featuring today include Citigroup Inc. (C), Altria Group, Inc. (MO) and O'Reilly Automotive, Inc. (ORLY).Mark VickerySenior EditorNote: 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 ReadAlphabet (GOOGL) Benefits From Cloud & Search InitiativesIBM Rides on Solid Demand in Software Segment, Strategic BuyoutOrder Growth Continues to Aid RTX, Amid Supply Chain IssuesFeatured ReportsCitigroup's (C) Streamlining Efforts Aid Amid Rising CostsThe 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.Altria (MO) Benefits From Strategic Pricing InitiativesPer the Zacks analyst, Altria is benefiting from robust pricing actions. During first quarter 2025, higher pricing strategies aided revenues across the Smokeable Products and Oral Tobacco categories.Growing Auto Parts Market Aids O'Reilly (ORLY), High Debt AilsPer the Zacks analyst, growth in the auto parts market bodes well for O'Reilly's top line. However, a high long-term debt-to-capital ratio compared with the industry remains a concern.Targa Resources (TRGP) to Benefit from Key Growth ProjectsThe analyst believes that Targa Resources' key growth projects are set to drive its EBITDA growth but its significantly high long-term debt raises concern.Antero Resources (AR) Banks on Prolific Appalachia AssetsPer the Zacks analyst, AR controls 521,000 net acres in the Appalachian Basin, unlocking 1,137 drilling sites across the prolific Marcellus and Utica shales with high recovery and low geologic risk.Ayvakit Sales Boosts Blueprint (BPMC), Overdependence a WoePer the Zacks analyst, increased demand for Ayvakit should fuel BPMC's growth in the quarters ahead. However, over dependence of the topline on the drug's sales is concerning.Prestige Consumer (PBH) Gains from Diversified PortfolioThe Zacks Analyst is optimistic about Prestige Consumer's continuous market share gain driven by its wide array of brands, a direct outcome of its focused brand-building efforts.New UpgradesPaycom Software (PAYC) Benefits From Growing Customer BasePer the Zacks Analyst, Paycom Software is benefiting from its differentiated employee strategy, measurement capabilities and comprehensive product offerings that are helping it win new customers.Strong Execution Services Unit Aids Virtu Financial (VIRT)The Zacks Analyst believes that product developments and new deals in Execution Services will continue to drive Virtu Financial's revenues. Also, debt reduction will boost its financial flexibility.Copa Holdings (CPA) Benefits From Improving Air-Travel DemandThe Zacks Analyst is impressed with the fact that increased air-travel demand is aiding Copa Holdings' top-line performance.New DowngradesManpowerGroup (MAN) Hurt From Declining Organic RevenuesPer the Zacks analyst, sluggish recruitment activity amid the weak macroeconomic environment across Europe and North America affect ManpowerGroup's organic revenues.Manufacturing Related Risk, High Capex Ail General Motors (GM)Per the Zacks analyst, GM continues to face risks related to its manufacturing facilities in Canada and Mexico. Elevated capex resulting from high product launch costs is also concerning.Still-High Mortgage Rate & Macro Risks Hurt PulteGroup (PHM)Per the Zacks analyst, PulteGroup's performance is hurting from the ongoing housing affordability issues due to elevated mortgage rates and ambiguity around the new tariff regime.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Citigroup Inc. (C): Free Stock Analysis Report International Business Machines Corporation (IBM): Free Stock Analysis Report Altria Group, Inc. (MO): Free Stock Analysis Report O'Reilly Automotive, Inc. (ORLY): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis Report National Presto Industries, Inc. (NPK): Free Stock Analysis Report RTX Corporation (RTX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks