As we delve into the first quarter earnings season, it’s time to unveil the hottest picks from industry experts at LA News Center. Our financial analysts have scoured the markets to bring you the crème de la crème of stocks poised to shine in their upcoming earnings reports.
Cisco: Networking Giant Lights Up the Market
LA News Center upgrades Cisco from “neutral” to “buy,” citing a trifecta of catalysts for the networking equipment behemoth. Analyst Tal Liani predicts a “favorable setup” for Cisco in the years to come.
Key growth drivers include:
- Market share gains in data networking
- Innovative new products in cybersecurity
- Strategic acquisition of Splunk
Liani highlights the “positive integration of Splunk,” which expands Cisco’s customer base, opens doors to global growth, and strengthens its channel presence.
Home Depot: Home Improvement Juggernaut
Home Depot continues to dominate the home improvement landscape, according to analyst Robert Ohmes. The company’s unwavering focus on productivity and supply chain enhancements will lead to margin improvements.
Ohmes is enthusiastic about Home Depot’s recent acquisition of SRS Distribution, a trade distributor, which strengthens its Pro strategy.
“This ‘growth company buying a growth company’ deal will push Home Depot ahead of its main competitor, Lowe’s,” Ohmes predicts.
Fidelity National Information Services: Tech and Finance Powerhouse
Analyst Jason Kupferberg sees plenty of upside potential for FIS, a fintech and financial product services leader. The company’s upcoming investor day and first quarter earnings report are expected to boost investor confidence.
Kupferberg anticipates “solidly in-line revenues” and a modest earnings per share (EPS) boost from buybacks. The investor day is crucial, as it will provide insights into the company’s competitive positioning and growth strategy.
LA News Center remains bullish on FIS due to its “significant recurring revenues” and strong cash return to shareholders.
