Top Stock Reports for Wells Fargo, Abbott & American Express

Wednesday, July 23, 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 Wells Fargo & Co. (WFC), Abbott Laboratories (ABT) and American Express Co. (AXP), as well as two micro-cap stocks TSS, Inc. (TSSI) and Maui Land & Pineapple Company, Inc. (MLP). 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 >>>

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Today's Featured Research Reports

Wells Fargo’s shares have outperformed the Zacks Financial - Investment Bank industry over the past year (+45.6% vs. +42.5%). The company’s earnings surpassed the estimates in each of the trailing four quarters. Its second-quarter 2025 results benefited from an improvement in non-interest income and lower provisions. 

The Fed's June 2025 removal of the $1.95 trillion asset cap allows growth in deposits, loans, and fee-based services. Strategic investments in talent and technology, along with new partnerships, support long-term growth. After clearing the 2025 Fed stress test, Wells Fargo plans to raise dividends, backed by strong liquidity and capital. 

However, its revenues remain pressured by subdued NII and volatile funding costs. Mortgage banking income is also weak despite restructuring efforts. Also, rising technology and compensation costs pushed expenses higher, which is likely to hurt profitability.

(You can read the full research report on Wells Fargo here >>>)

Shares of Abbott have outperformed the Zacks Medical - Products industry over the past year (+20.8% vs. +8.7%). The company’s strong pipeline is opening up 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. The company is optimistic about its latest progress with biosimilars and expects this to significantly boost EPD sales through 2025. Within Nutrition, despite softness in its 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, tariffs and foreign exchange also add to the worry.

(You can read the full research report on Abbott here >>>)

American Express’ shares have outperformed the Zacks Financial - Miscellaneous Services industry over the past year (+28.1% vs. +19.5%). The company’s second quarter earnings beat estimates. It is benefiting from sustained revenue growth driven by new product launches, strategic partnerships and a rebound in travel and entertainment spending. 

American Express’ revenues rose 8% YOY in the first half of 2025. Strong cash generation and disciplined capital returns underscore its financial strength. AXP returned $2 billion in 2Q25 through dividends and buybacks. The company expects EPS in the range of $15-$15.50 in 2025. 

However, persistently rising expenses continue to weigh on margins. Loan loss provisions remain elevated due to macro uncertainty. A high debt load and increased interest costs further pressure profitability. AXP’s limited exposure to emerging non-card payment channels may constrain future competitiveness. As such, the stock warrants a cautious stance.

(You can read the full research report on American Express here >>>)

Shares of TSS have outperformed the Zacks Engineering - R and D Services industry over the year-to-date period (+115.3% vs. +11.7%). This microcap company, with a market capitalization of $635.52 million, is capitalizing on surging demand for AI infrastructure through its high-growth rack integration segment, with first-quarter 2025 revenue up 253% year-over-year and margin expansion from 28% to 32%. 

Backed by a multi-year OEM agreement, its new 213,000 sq. ft. liquid-cooled facility scales power to 15 MW, enabling long-term earnings visibility. Procurement services, driven by federal demand, grew 676% year over year and provide strong cash flows despite lower margins. Operating income surged to $4.1 million, supported by automation and SG&A leverage. 

A $25-30 million facility investment positions TSS for scalable AI workloads with a two-year payback. With $27.3 million in cash and $20.6 million in Q1 operating cash flow, TSS self-funds growth. Favorable AI and modular trends enhance its competitive edge and long-term trajectory.

(You can read the full research report on TSS here >>>)

Maui Land & Pineapple’s shares have underperformed the Zacks Real Estate - Operations industry over the year-to-date period (-15.6% vs. +9.3%). This microcap company, with a market capitalization of $549.23 million, is facing near-term risks including pension-related losses, weak cash conversion, high G&A costs, limited segment diversification, and delays in monetizing entitled assets. Execution and scalability remain key investor watchpoints.

Nevertheless, MLP offers a compelling value proposition as a major Maui landholder with more than 22,000 acres of land and 247K square feet of commercial real estate. Its active land-use planning—like the 927-acre Kapalua Mauka—is geared toward phased monetization aligned with local housing and agricultural needs. 

Leasing revenue rose 45% year over year in the first quarter of 2025, providing stable income to fund development without external capital. A new agave venture enhances agricultural land productivity and opens recurring revenue streams. Strong liquidity ($21.5 million) and minimal debt underpin financial flexibility. 

(You can read the full research report on Maui Land & Pineapple here >>>)

Other noteworthy reports we are featuring today include Vertex Pharmaceuticals Inc. (VRTX), Duke Energy Corp. (DUK) and D.R. Horton, Inc. (DHI).

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

Wells Fargo (WFC) Gains From Asset Cap Lift, Amid Cost Woes

EPD Business Expansion, CGM Leadership Aid Abbott (ABT)

AmEx (AXP) Aided by Strong Card Member Spending Amid High Costs

Featured Reports

New Drug Launches to Aid Vertex (VRTX) Amid CF Competition
While Vertex is progressing with its two new drug launches, Journavx in acute pain and Alyftrek/vanza triple in cystic fibrosis in 2025, recent pipeline setbacks are a concern per the Zacks analyst.

Investments Aid Duke Energy (DUK) Amid Poor Solvency
Per the Zacks analyst, Duke Energy makes systematic investments to expand and strengthen its infrastructure. Yet its poor financial ratios indicate weak solvency position.

Sales Boosting Plans Aid D.R. Horton (DHI), Macro Risks Hurt
Per the Zacks analyst, D.R. Horton's focus on offering sales incentives and flexible lot supply is boosting growth. However, ongoing affordability concerns mar prospects amid macro risks.

Electronic Arts (EA) Benefits From Solid Gaming Portfolio
Per the Zacks Research analyst, expanding user base driven by strength in popular franchises including American Football and Madden NFL is aiding EA's top-line growth.

Continued Diagnosis Segment Momentum Aids Philips (PHG)
Per the Zacks analyst, Philips is benefiting from strong order intake growth across the Diagnosis & Treatment segment, driven by strength in Precision Diagnosis and Image-Guided Therapy.

Omnicom (OMC) Gains From Diversification Amid Low Liquidity
Per the Zacks analyst, Omnicom's presence across diverse segments of the advertising and marketing industry broadens its revenues base. Low liquidity is an overhang.

Wolverine's (WWW) Product Initiatives to Boost Market Share
Per the Zacks analyst, Wolverine is actively pursuing a comprehensive strategy to enhance brand portfolio, focusing on Merrell and Saucony brands. These efforts are expected to help gain market share.

New Upgrades

Metal Prices and Healthy Portfolio Aid Franco-Nevada (FNV)
Per the Zacks analyst, the recent pick up in gold price is aiding Franco-Nevada's performance. The company's healthy portfolio of streaming and royalty agreements are also driving margins.

Ubiquiti (UI) Rides on Healthy Demand in Enterprise Technology
Per the Zacks analyst, healthy traction in the Enterprise Technology segment, backed by the growing proliferation of IoT devices across industries, will likely boost Ubiquiti's top line.

AUM Growth, Expansion Strategies Aid Franklin (BEN)
Per the Zacks analyst, Franklin benefits from strong assets under management (AUM) growth. Strategic acquisitions and a solid distribution platform support long-term expansion.

New Downgrades

Murphy USA (MUSA) Faces Margin Pressure from New Store Costs
The Zacks analyst believes that Murphy USA is experiencing higher per-store operating expenses from new complex locations which could weigh on profitability until stores reach full maturity.

Weak Underwriting Results & High Debt Ail ProAssurance (PRA)
Per the Zacks analyst, ProAssurance's rising combined ratio indicates continued underwriting losses, especially in the Specialty P&C segment. Also, a high debt level is concerning.

Macroeconomic Woes, Intense Rivalry Ails Neogen (NEOG)
The Zacks analyst is concerned about ongoing macroeconomic challenges driving up operational costs for Neogen, affecting its margins. Fierce competition from well-funded rivals is an added concern.

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This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research