Top Analyst Reports for Walmart, Alibaba & Shell

Wednesday, September 10, 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 Walmart Inc. (WMT), Alibaba Group Holding Ltd. (BABA) and Shell plc (SHEL), as well as two micro-cap stocks Omega Flex, Inc. (OFLX) and Weyco Group, Inc. (WEYS). 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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You can read today's AWS here >>> PPI Cools Notably: Is a 50 bps Rate Cut in the Works?

Today's Featured Research Reports

Shares of Walmart have gained +13.4% over the year-to-date period against the Zacks Retail - Supermarkets industry’s gain of +14.2%. The company is benefiting from the inherent strength of its highly diversified business model. The company's strong omnichannel strategy has boosted traffic at physical stores and digital platforms. 

Walmart’s focus on improving delivery services is successful, leading to steady grocery market share gains. Upsides like these, along with growth in newer ventures like advertising and membership, fueled second-quarter fiscal 2026 results, wherein earnings and revenues increased year over year, and e-commerce sales surged. For the fiscal third quarter, management expects consolidated net sales growth of 3.75-4.75% at constant currency.

However, the company has been witnessing deleveraged operating expenses for a while now. In addition, tariff-related woes remain concerning.

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

Alibaba’s shares have outperformed the Zacks Internet - Commerce industry over the year-to-date period (+73.9% vs. +15.9%). The company reported first-quarter fiscal 2026 results with total revenue of $34.5 billion, up 2% year-over-year. Net income attributable to ordinary shareholders surged 78% to $6 billion. Diluted earnings per ADS reached $2.51, while adjusted earnings per ADS declined 10% to $2.06. 

China E-commerce segment revenue grew 10% to $19.5 billion, International Digital Commerce rose 19% to $4.8 billion, and Cloud Intelligence Group expanded 26% to $4.6 billion driven by AI demand. The company maintained strong liquidity with $81.75 billion in cash and investments. 

Despite revenue growth, adjusted earnings declined amid competitive pressures and higher operational costs in key segments. Growing macroeconomic uncertainties and unfavorable foreign exchange fluctuations remain risks.

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

Shares of Shell have outperformed the Zacks Oil and Gas - Integrated - International industry over the year-to-date period (+19.4% vs. +7.9%). This company which is a London based oil supermajor, looks fairly balanced at the moment. The start-up of LNG Canada and leadership in projects like Whale and Mero-4 strengthen its LNG and upstream portfolio, offering resilience against oil price volatility. 

Cost savings of nearly $4 billion since 2022 and a disciplined capital strategy underpin its free cash flow growth target, while consistent $3-3.5 billion quarterly buybacks and a 4% dividend yield enhance shareholder returns. However, the year over year fall in revenues and earnings in the second quarter of 2025 underscores exposure to commodity cycles. 

Weak chemicals margins, falling upstream production, and risks of LNG oversupply further weigh on outlook. Additionally, Shell’s slower transition toward renewables raises ESG concerns. Hence investors are advised to hold the stock.

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

Omega Flex’s shares have underperformed the Zacks Steel - Pipe and Tube industry over the year-to-date period (-17.2% vs. +2.8%). This microcap company with market capitalization of $344.22 million is facing challenges which include a 15% Y/Y drop in operating profit, flat sales, rising R&D and overhead costs, and persistent legal liability exposure.

Heavy reliance on cyclical U.S. construction adds risk amid macro softness. Valuation is mixed: EV/Sales at 2.91x (above industry, below sector/market) and EV/EBITDA at 13.64x (above industry, below S&P).

Nevertheless, Omega Flex maintains a strong balance sheet with $50.7 million in cash and no debt, offering flexibility to fund growth, dividends and acquisitions without financial strain. Stable dividends highlight consistent shareholder returns backed by solid cash flows. 

Growth is supported by global construction trends, green building adoption, and expansion into healthcare infrastructure via MediTrac, which provides faster, safer alternatives to copper systems. International presence, particularly in Europe, offers diversification and scaling potential beyond the United States. 

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

Shares of Weyco have underperformed the Zacks Shoes and Retail Apparel industry over the year-to-date period (-18.7% vs. -3.4%). This microcap company with market capitalization of $286.09 million have seen its profitability strained due to weak volumes, tariff-driven margin compression and retailer caution. Legacy dress and casual categories face structural headwinds, while international operations offer limited offset. 

Inventory buildup adds liquidity risk. Shares are down 20% YTD, and are trading at steep discounts (0.74x EV/Sales, 5.87x EV/EBITDA) vs peers. Nevertheless, Weyco maintains a debt-free balance sheet with $78.5 million in cash/securities and ample credit capacity, providing flexibility to navigate macro uncertainty, tariff pressures and sustain shareholder returns. 

Operating cash flow of $14.4 million in 1H25 funded $5 million in dividends and $3.1 million in buybacks, underscoring disciplined capital allocation. Shareholder returns remain central. Supply chain diversification — reducing the China exposure to 60% and expanding into Vietnam, Cambodia and India — enhances sourcing resilience. 

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

Other noteworthy reports we are featuring today include Astera Labs, Inc. (ALAB), Fifth Third Bancorp (FITB) and Atmos Energy Corp. (ATO).

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

Walmart's (WMT) Omnichannel Strategy Appears Encouraging

Alibaba (BABA) Gains From International Commerce Businesses

Shell (SHEL) to Benefit from LNG Canada Project

Featured Reports

Strong Product Demand Aids Astera Labs (ALAB) Prospects
Per the Zacks Analyst, Astera Labs is benefiting from strong demand for Aries, Taurus, and Scorpio product families, all expected to drive growth in the third quarter of 2025.

Smart Investments and Customer Additions Aid Atmos Energy (ATO)
Per the Zacks analyst, Atmos Energy will benefit from long-term capital expenditure plan. Industrial customer additions and constructive rate outcomes will boost its performance.

Penumbra (PEN) Banks on Thrombectomy Growth, FX Woes Worry
The Zacks analyst is impressed with Penumbra's strong U.S. thrombectomy performance, as Flash 2.0 and Bolt 12 continue to drive share and competitive gains. Adverse currency impacts may hurt growth.

Accretive Business Plans Aid Dycom (DY), Tariff Risks Linger
Per the Zacks analyst, the fiber-to-home initiatives and strategic acquisitions, alongside federal funding trends, support Dycom's growth. However, tariff-related risks mar prospects.

KYMR's Pipeline Progress Encouraging, Recent Setback With Sanofi A Woe
Per the Zacks analyst, Kymera's progress with KT-621 is encouraging. However, partner Sanofi's decision to not advance a mid-stage candidate for any further development is a setback.

Brighthouse Financial (BHF) Gains on Annuities, Costs Ail
Per the Zacks analyst, Brighthouse Financial benefits from expanding fixed indexed annuity distribution and the launch of SmartGuard Plus, though rising expenses weigh on margins.

Diversified Revenue Aids Fifth Third (FITB) Amid Cost Woes
Per the Zacks analyst, Fifth Third benefits from diverse revenues through acquisitions and partnerships. However, mounting costs from technology and branch expansion weigh on profitability.

New Upgrades

Ciena (CIEN) Rides on Momentum in Cloud and AI Solutions
Per the Zacks analyst, the rise of cloud and AI technologies has increased bandwidth requirements across global networks, thereby boosting demand for Ciena's solutions.

Continued Demand For eSignature Benefits Docusign (DOCU)
Per the Zacks analyst, Docusign's top line is significantly benefiting from continued customer demand for eSignature. Global expansion opportunities for eSignature will improve its revenues as well.

Flowserve Pump Division Segment to Benefit Flowserve (FLS)
Per the Zacks analyst, Flowserve will gain from strength in the Flowserve Pump Division segment, driven by solid momentum in aftermarket business. The company's shareholders add to its appeal.

New Downgrades

Oil Price Volatility & LNG Project Uncertainties to Hurt YPF
Per the Zacks analyst, YPF is vulnerable to oil price volatility and may need to revise drilling plans if crude prices remain low. Its LNG projects face uncertainties, raising further concerns.

High Debt Levels & Manufacturing Downturn to Weigh on Greif (GEF)
The Zacks analyst is concerned that higher debt and continued headwinds from the prolonged downturn in the manufacturing sector will impair Greif's results.

Constellation Brands (STZ) Struggles With Wine & Spirits Weakness
Per the Zacks analyst, persistent softness in Constellation Brands' wine and spirits segment, driven by shipment declines and weak U.S. demand, is expected to weigh on fiscal 2026 sales and earnings.

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

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