Friday, April 17, 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 Microsoft Corp. (MSFT), AbbVie Inc. (ABBV) and BHP Group Ltd. (BHP), as well as two micro-cap stocks CBL & Associates Properties, Inc. (CBL) and IRIDEX Corp. (IRIX). 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 Very Happy About Middle East Developments
Today's Featured Research Reports
Microsoft’s shares have outperformed the Zacks Computer - Software industry over the past year (+16.3% vs. +9.3%). The company capitalizes on AI business momentum and Copilot adoption alongside accelerating Azure cloud infrastructure expansion. Strong Office 365 Commercial demand has been propeling Productivity and Business Processes revenue growth.
ARPU is increasing through E5 and M365 Copilot uptake across key segments. Strategic execution through expanding scale and enterprise customer growth is driving non-AI services. Conversely, Azure growth guidance projects continued deceleration to 37-38% for Q3, suggesting demand saturation despite massive infrastructure investments.
Customer concentration risk intensifies with 45% of backlog tied to OpenAI. Microsoft confronts intense competition from AWS and Google Cloud and escalating regulatory scrutiny. Capacity constraints persisting through fiscal year-end limit revenue potential despite unprecedented spending.
(You can read the full research report on Microsoft here >>>)
Shares of AbbVie have outperformed the Zacks Large Cap Pharmaceuticals industry over the past year (+25.9% vs. +20.5%). The company has successfully navigated Humira's loss of exclusivity (LOE) by launching two other successful new immunology medicines, Skyrizi and Rinvoq, which are performing extremely well, bolstered by approvals in new indications, and should support top-line growth in the next few years.
AbbVie’s neuroscience portfolio is also contributing to top-line growth. AbbVie delivered robust net sales growth in 2025, which is just the second full year following the Humira LOE in the United States and expects another year of robust growth in 2026.
However, the company faces several headwinds like Humira LOE impact, slowing oncology sales and continued macro headwinds for Aesthetics. Estimates have declined ahead of Q1 earnings. AbbVie has a positive record of earnings surprises in recent quarters.
(You can read the full research report on AbbVie here >>>)
BHP’s shares have outperformed the Zacks Mining - Miscellaneous industry over the past year (+79.8% vs. +63.8%). The company reported a 2% rise in iron ore output in the first half of fiscal 2026, while copper production remained flat. For fiscal 2026, BHP projects iron ore production of 258–269 Mt, including 251–262 Mt from Western Australia Iron Ore (WAIO).
WAIO continues to perform strongly, retaining its status as a lowest-cost producer, with medium-term output expected to surpass 305 Mt annually. Copper guidance of 1,900–2,000 kt suggests a 3% decline at the midpoint, mainly due to lower planned grades in Chile.
BHP’s strategic shift toward future-facing commodities like copper and potash positions it well to benefit from global decarbonization and trends. Backed by its robust pipeline, the company targets roughly 2 Mtpa of attributable copper production by the 2030s. Strong cash flow has also enabled BHP to steadily reduce debt.
(You can read the full research report on BHP here >>>)
Shares of CBL & Associates Properties have outperformed the Zacks REIT and Equity Trust - Retail industry over the past year (+98.4% vs. +28.3%). This microcap company with a market capitalization of $1.33 billion represents a value-oriented retail REIT anchored by market-dominant middle-market assets, generating stable cash flows supported by resilient occupancy and steady leasing demand.
Management’s strategy of capital recycling and balance sheet optimization enhances financial flexibility and supports incremental free cash flow, underpinning a growing dividend profile. Reinvestment into tenant mix and experiential retail should improve income quality. Operating leverage remains limited, with earnings growth constrained by expense pressures, tenant disruptions and softer renewal economics.
Execution risk persists around redevelopment and backfilling. The current valuation implies investor skepticism around cash flow durability and long-term growth, suggesting headwinds. Upside depends on leasing momentum, cost control and consistent cash flow delivery.
(You can read the full research report on CBL & Associates Properties here >>>)
IRIDEX’s shares have gained +3.9% over the past year against the Zacks Lasers Systems and Components industry’s gain of +123.2%. This microcap company with a market capitalization of $18 million enters 2026 with improving operating leverage, supported by a leaner cost structure and 22% lower operating expenses in 2025. Management expects continued discipline and positive operating cash flow.
Growth is increasingly driven by a rising installed base that supports recurring revenue from consumables and service, alongside strong retina momentum led by the PASCAL platform. Expanded access through EyeProGPO enhances U.S. penetration with limited incremental cost, while large ophthalmology markets provide favorable long-term demand tailwinds.
However, near-term growth remains muted, with 2026 guidance implying flat to low-single-digit revenue, limiting re-rating potential. Margin compression from tariffs and inefficiencies raises concerns about profitability sustainability. The stock trades at a steep discount to peers on EV/sales and P/S multiples.
(You can read the full research report on IRIDEX here >>>)
Other noteworthy reports we are featuring today include AppLovin Corp. (APP), Simon Property Group, Inc. (SPG) and Venture Global, Inc. (VG).
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
Adoption of Cloud and Office 365 Strength Aid Microsoft (MSFT)
AbbVie's (ABBV) Skyrizi, Rinvoq Key to Top-Line Growth
BHP Group (BHP) Bets on Growth Investments as Costs Hurt Margins
Featured Reports
AppLovin (APP) Maintains Strong Profit Amid Limited Mix Visibility
Per the Zacks analyst, AppLovin maintains strong, durable profitability and cash generation to fund AI and self-serve investments and buybacks. Limited mix disclosure constrains visibility.
Premium Acquisitions Aid Simon Property Group (SPG), High Debt Hurts
Per the Zacks Analyst, SPG's portfolio restructuring, aimed at premium acquisitions, focus on omnichannel retailing and developing mixed-use assets bode well. Yet, a high debt burden raise concerns.
Modular Approach and Projects Aid Venture Global's (VG) Profitability
Per the Zacks analyst, VG's innovative modular approach and Gulf Coast projects boost profitability. However, global supply-chain delays, tariffs and volatile spot LNG prices drag performance.
Strong Data Center Market Aids ON Semiconductor (ON) Prospects
Per the Zacks analyst, ON Semiconductor is benefiting from solid momentum across data center and automotive end-markets.
Loan Growth to Support East West Bancorp (EWBC) Amid Cost Woes
Per the Zacks analyst, continued decent rise in the demand for loans will likely support East West Bancorp's revenue growth. Elevated costs due to investments in technology might hurt profitability.
Expanding Customer Base, Steady Investment Aid Spire (SR)
Per the Zacks analyst, Spire is seeing stronger demand from its increasing customer base. Infrastructure investments are enhancing service capacity and supporting improved profitability.
Clover Health (CLOV) Gains on Membership, AI Assistant, 4-Star Rating
Per the Zack analyst, Clover Health benefits from MA growth, a 4-Star rating and AI-driven care gains from Clover Assistant and SaaS expansion, though CMS risks and limited reach remain concerns.
New Upgrades
Chewy (CHWY) Benefits from Autoship Strength, Sees Solid 2026 Growth
Per the Zacks analyst, Chewy benefits from strong Autoship growth, rising active customers and AI-driven efficiencies. Fiscal 2026 sales are expected to grow 8-9% alongside continued margin expansion.
Solid Retention Rates, Better Pricing Aid Palomar (PLMR)
Per the Zacks analyst, Palomar should grow on the strength of increased volume of policies fueled by strong premium retention rates, new partnerships, rate increases and new business generated.
Credit Sales, Solid Balance Sheet Aid Bread Financial (BFH)
Per the Zacks analyst, Bread Financial is set to grow on strong credit sales aided by solid consumer spending. Moreover, its healthy balance sheet should drive long-term growth.
New Downgrades
Lower Volumes and Manufacturing Downturn to Weigh on Greif (GEF)
The Zacks analyst is concerned that lower volumes across segments and continued headwinds from the prolonged downturn in the manufacturing sector will impair Greif's results.
Calix (CALX) Plagued by Margin Woes Owing to High Operating Costs
Per the Zacks analyst, Calix is likely to be plagued by lower margins owing to modest pressure from customer and product mix, accelerated AI development and overlapping dual-cloud costs.
Carnival (CCL) Faces Pressure From Rising Costs and Fuel Volatility
Per the Zacks analyst, rising costs and fuel volatility are hurting Carnival's margins. High expenses and geopolitical risks tied to fuel and currency fluctuations may weigh on profitability.
#1 Semiconductor Stock to Buy (Not NVDA)
The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.
One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.
See This Stock Now for Free >>Want 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
Microsoft Corporation (MSFT): Free Stock Analysis Report
Simon Property Group, Inc. (SPG): Free Stock Analysis Report
BHP Group Limited Sponsored ADR (BHP): Free Stock Analysis Report
CBL & Associates Properties, Inc. (CBL): Free Stock Analysis Report
IRIDEX Corporation (IRIX): Free Stock Analysis Report
AbbVie Inc. (ABBV): Free Stock Analysis Report
AppLovin Corporation (APP): Free Stock Analysis Report
Venture Global, Inc. (VG): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).