Monday, July 6, 2026
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 Eli Lilly and Co. (LLY), HSBC Holdings plc (HSBC) and Palantir Technologies Inc. (PLTR), as well a micro-cap stock CBL & Associates Properties, Inc. (CBL). 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
The 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, attempting 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 Muted Ahead of (Expected) Quiet Week
Today's Featured Research Reports
Eli Lilly’s shares have outperformed the Zacks Large Cap Pharmaceuticals industry over the past year (+58.2% vs. +39.7%). Demand for the company’s popular GLP-1 drugs, Mounjaro and Zepbound, remains strong, making them the company’s key top-line drivers. Lilly’s other new drugs like Kisunla, Omvoh and Jaypirca are also contributing to top-line growth.
Eli Lilly is also making rapid progress in its pipeline with its new oral GLP-1 obesity pill, Foundayo, expected to be a commercial game-changer for Lilly. Lilly has aggressively expanded through M&A in 2026 across oncology, neuroscience, cardiovascular and other areas to diversify growth beyond GLP-1 therapies.
Declining sales of Trulicity, rising pricing pressure on some drugs and potential competition in the GLP-1 market are some top-line headwinds. Estimates have declined slightly ahead of Q2 results. Lilly has a positive record of earnings surprises in recent quarters.
(You can read the full research report on Eli Lilly here >>>)
Shares of HSBC have outperformed the Zacks Banks - Foreign industry over the past year (+69.1% vs. +43%). The company’s wealth momentum in Asia continues to benefit from higher customer activity, rising balances and net new money, while the completed Hang Seng Bank privatization and ongoing business divestitures, including the planned Indonesia business sale, will simplify operations and support medium-term efficiency.
Further, a robust capital position and global footprint are expected to support its financials. However, the company has guided for higher expected credit losses (ECL) this year because of overlays tied to Middle East events and absorption of an idiosyncratic fraud-related charge.
Moreover, operating expenses are expected to remain elevated as the company invests in technology and distribution capabilities. Revenue visibility will depend on volatile rates and activity.
(You can read the full research report on HSBC here >>>)
Palantir’s shares have declined -5.8% over the past year against the Zacks Internet - Software industry’s decline of -18%. The company’s AI strategy, driven by Foundry, Gotham, and AIP platforms, targets government and commercial sectors, enabling real-time insights and operational efficiency.
Notable defense projects, like Open DAGIR and AIP boot camps for commercial clients, boost customer acquisition. With $7.2 billion in cash, no debt, and S&P 500 inclusion, Palantir enjoys strong liquidity, growing revenues, and increased investor visibility.
Meanwhile, PLTR's reluctance to pay dividends is a red flag for dividend-seeking investors. Intense competition from tech giants and declining cost flexibility as the company scales are notable headwinds.
(You can read the full research report on Palantir here >>>)
Shares of CBL & Associates Properties have outperformed the Zacks REIT and Equity Trust - Retail industry over the past year (+119.3% vs. +28.3%). This microcap company with a market capitalization of $1.63 billion, is strengthening its investment case through stable operating trends, disciplined capital allocation and a focus on high-quality, market-dominant retail assets.
Capital recycling, refinancing and redevelopment initiatives are enhancing portfolio quality, improving financial flexibility and supporting sustainable cash flow growth, while a conservative dividend policy supports shareholder returns.
However, the investment thesis remains balanced by modest organic NOI growth, tenant turnover, limited renewal pricing power, redevelopment execution risks and continued asset-level stress within weaker properties. The valuation suggests investors are assigning limited value to CBL’s long-term cash flow improvement potential and portfolio optimization efforts, leaving scope for upside if management continues to execute and operating performance strengthens.
(You can read the full research report on CBL & Associates Properties here >>>)
Other noteworthy reports we are featuring today include Enterprise Products Partners L.P. (EPD), Flex Ltd. (FLEX) and UDR, Inc. (UDR).
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
Lilly (LLY) New Drugs to Drive Sales Growth Amid Rising Competition
Asia Pivot, Business Simplification Aid HSBC (HSBC), High Costs a Woe
Modular Sales Approach & AI strategy Strengthen Palantir (PLTR)
Featured Reports
Enterprise (EPD) Banks On $5.3B Permian, Export Growth Projects
Per the Zacks analyst, Enterprise is advancing its $5.3 billion growth portfolio through Permian gas processing and Gulf Coast export expansions, supporting volume growth and cash flows through 2027.
Diverse Portfolio and Capital Recycling Aids UDR Amid Elevated Supply
Per the Zacks analyst, UDR's diverse portfolio, capital recycling efforts and tech-driven efficiencies support growth. Ye, elevated supply in select markets and rising competition raise concerns.
Encompass Health (EHC) Strengthens Growth Through Expansion Efforts
Per the Zacks analyst, Encompass Health's expansion through de novo hospitals will drive patient volumes and profit levels. However, escalating expenses remain a concern for the company.
Data Center Demand & Clean Energy Expansion Aid AES Corporation (AES)
Per the Zacks analyst, AES is benefiting from increasing demand from data centers through PPAs. Its strategic shift toward clean energy and LNG expansion is expected to boost project pipelines.
Strategic Buyouts Aid Builders FirstSource (BLDR), Housing Woes Ail
Per the Zacks analyst, Builders FirstSource benefits from strategic acquisitions, digital initiatives, productivity savings and cost actions. However, housing market weakness remains a concern.
Solid Momentum in Hydraulics Segment Benefits Helios (HLIO)
Per the Zacks analyst, solid traction of Helios' Hydraulics segment, led by strength in the mobile end market and improved distributor inventory levels, will result in momentum to the company.
ANI Pharmaceuticals' (ANIP) Rare Disease Segment Fuels Top Line Growth
The Zacks Analyst believes that demand for ANI's lead product, Cortrophin Gel, is strong. Based on this encouraging uptake, the company has guided to more than $1 billion in total revenues in 2026.
New Upgrades
FLEX Gains from Expanding Data Center Platform & Acquisitions
Per the Zacks analyst, Flex continues to deepen its exposure to the data center market through its Cloud and Power Infrastructure segment. Also, synergies from acquisitions bode well.
Wayfair Gains Market Share as Margins Expand and Orders Grow
Per the Zacks analyst, Wayfair continues to gain market share in home furnishings with orders and active customers rising while margins expand and guidance points to continued growth.
United Natural Foods (UNFI) Gains on Natural Product Sales Growth
Per the Zacks analyst, United Natural Foods benefits from Natural product sales growth. Natural segment sales rose 4.4% in Q3, led by demand for organic and specialty products and strong execution.
New Downgrades
Volume Weakness, EV Cancellations to Pressure Strattec (STRT)
Per the Zacks analyst, lower production volumes and EV program cancellations are expected to hurt Strattec's fiscal Q4,26 revenue, while weaker fixed-cost absorption could keep margins under pressure.
MercadoLibre Faces Margin Pressure Amid LatAm Volatility
Per the Zacks analyst, MercadoLibre faces currency volatility and margin pressure in Latin America as fintech spreads narrow and subsidy led growth investments weigh on near term profitability.
Accounting Controls Reset Irk ICON (ICLR) Amid Tough Competition
The Zacks analyst is concerned about ICON's improperly adjusted clinical services revenue, which resulted in overstating revenue by $65M in 2023 and $93M in 2024. Tough competition adds to the worry.
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
Eli Lilly and Company (LLY): Free Stock Analysis Report
Enterprise Products Partners L.P. (EPD): Free Stock Analysis Report
United Dominion Realty Trust, Inc. (UDR): Free Stock Analysis Report
Flex Ltd. (FLEX): Free Stock Analysis Report
CBL & Associates Properties, Inc. (CBL): Free Stock Analysis Report
HSBC Holdings plc (HSBC): Free Stock Analysis Report
Palantir Technologies Inc. (PLTR): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).