The Zacks Analyst Blog Highlights Cisco Systems, Caterpillar, Charles Schwab and Elite Pharmaceuticals

For Immediate Release

Chicago, IL – July 25, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Cisco Systems, Inc. CSCO, Caterpillar Inc. CAT, The Charles Schwab Corp. SCHW and Elite Pharmaceuticals, Inc. ELTP.

Here are highlights from Thursday’s Analyst Blog:

Top Analyst Reports for Cisco, Caterpillar and Charles Schwab

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 Cisco Systems, Inc., Caterpillar Inc. and The Charles Schwab Corp., as well as a micro-cap stock Elite Pharmaceuticals, Inc. 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 >>> Morning Headlines Defy Expectations, but Pre-Markets Sell

Today's Featured Research Reports

Cisco’s shares have outperformed the Zacks Computer - Networking industry over the year-to-date period (+18.2% vs. +17.7%). The company’s business model has evolved with subscription revenues accounting for more than half of its total revenues. Increase in recurring revenue base bodes well for investors. Splunk acquisition enhances its recurring revenue base.

The buyout significantly expands Cisco’s portfolio of software-based solutions, contributing more than $4 billion in ARR and makes it one of the largest software companies in the world. The launch of AI-powered Hypershield, which combines security and networking, strengthened Cisco’s security portfolio.

However, it has been suffering from sluggish networking sales, primarily due to lackluster demand from telecommunication and cable services providers, as well as stiff competition. Cisco’s prospects are further challenged in the AI-driven networking space due to stiffening competition.

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

Shares of Caterpillar have outperformed the Zacks Manufacturing - Construction and Mining industry over the year-to-date period (+19% vs. +18.7%). The company’s Energy and Transportation segment has shown improved volume and margin performance in the past few quarters, helping offset weaker results in the Resource Industries and Construction Industries segments. This will continue through the rest of 2025, which, along with a solid first quarter 2025-end backlog of $35 billion, should support its top line.

However, higher labor costs and the uncertainty regarding tariffs are concerning. Going forward, the Construction Industries segment will gain from increased construction activities in the United States and globally. Resource Industries will be supported by commodity demand.

The Energy & Transportation segment will gain on strong demand across all applications. Caterpillar’s focus on aftermarket parts and service-related revenues (which generate high margins) will aid growth.

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

Charles Schwab’s shares have outperformed the Zacks Financial - Investment Bank industry over the past six months (+16.2% vs. +12.2%). The company’s second-quarter 2025 results were aided by higher net interest revenues (NIR). Relatively higher interest rates and an increased focus on repaying high-cost bank supplemental funding balances will likely support net interest margin (NIM) expansion in the quarters ahead.

Strategic acquisitions and favorable market conditions are likely to aid client assets growth in the near term. However, operating expenses are likely to remain elevated in light of continued investments in marketing and advertising alongside compensation costs.

Subdued trading revenue growth is worrisome because of the volatile nature of the capital markets amid macro uncertainties. Nonetheless, a solid balance sheet and liquidity position will likely enable sustainable capital distributions for the company.

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

Shares of Elite Pharmaceuticals have outperformed the Zacks Medical - Drugs industry over the past six months (+17% vs. +2.1%). This microcap company with a market capitalization of $588.87 million is capitalizing on a large, under-penetrated ADHD market via its December 2024 launch of Lisdexamfetamine (Vyvanse generic), gaining 8–10% market share in a $3.5 billion segment with further upside as quota and coverage ease.

Its shift to direct sales drove fiscal 2025 revenues up 48.4% to $84 million and operating income up 81.7% to $19.6 million, enhancing margins and cash flow. ELTP maintains leading shares in Adderall IR/ER generics and is expanding via complex formulations and new launches.

Yet risks include pricing pressure from Vyvanse generics, customer concentration, rising inventory, revenue dependence on Vyvanse and offshore competition. Derivative liabilities and legal overhang on OxyContin also cloud earnings visibility. ELTP’s valuation reflects growth optimism, but also heightens execution risk.

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

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.

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