Top Research Reports for UBS, Newmont & McKesson

Wednesday, October 15, 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 UBS Group AG (UBS), Newmont Corp. (NEM) and McKesson Corp. (MCK), as well as a micro-cap stock The Cato Corp. (CATO). 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 >>> Pre-markets Strengthen on Solid Q3 Bank Earnings

Today's Featured Research Reports

Shares of UBS have gained +31.8% over the year-to-date period against the Zacks Banks - Foreign industry’s gain of +39.4%. The company’s earnings beat estimates in the trailing four quarters. UBS expanded its reach through partnerships, buyouts, and optimization plans supporting its financials. It has reduced risk-weighted assets in its Non-Core and Legacy portfolio, unlocking capital ahead of schedule. 

However, rising lawsuits, including the $987 million French tax settlement in September 2025, may raise litigation provisions and weigh on earnings. Its unfavorable debt/ equity ratio indicates that capital distribution might not be sustainable. 

Nevertheless, it remains on track to complete Credit Suisse’s integration by 2026 and achieve gross cost reductions of around $13 billion. Also, steady net interest income (NII) growth and a strong capital position will support top-line growth.

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

Newmont’s shares have outperformed the Zacks Mining - Gold industry over the year-to-date period (+152.5% vs. +126.5%). The company’s earnings estimates for the third quarter have been going up over the past month. The company is making notable progress with its growth projects. It is likely to gain from several projects, including the Tanami expansion. 

The acquisition of Newcrest also created an industry-leading portfolio and provided opportunities for significant synergies. The company also remains focused on improving operational efficiency and returning value to shareholders. 

However, it is grappling with higher production costs, reflected by higher costs applicable to sales (CAS) and all-in-sustaining costs (AISC). Elevated sustaining capital spending, along with a projected increase for 2025, have raised concerns about Newmont's cash flow. Higher general and administrative (G&A) expenses may also impact margins.

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

Shares of McKesson have outperformed the Zacks Medical - Dental Supplies industry over the year-to-date period (+39.2% vs. +2.7%). The company is delivering record revenues and expanding margins, supported by growth in specialty pharmaceuticals, oncology services, RxTS, and GLP-1 distribution. 

Strategic acquisitions such as PRISM and Core Ventures enhance its oncology footprint, while RxTS provides recurring, high-margin revenue streams. Strong cash flow generation and disciplined capital allocation underpin long-term adjusted EPS growth of 12–14%. 

However, risks remain significant. Revenue concentration with large customers, regulatory headwinds such as IRA and DSCSA, and execution challenges from the Medical-Surgical separation and ongoing M&A integration could pressure earnings stability. Rising labor and transportation costs, combined with variability in 3PL revenues, add further margin uncertainty.

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

Cato’s shares have outperformed the Zacks Retail - Apparel and Shoes industry over the year-to-date period (+7.7% vs. -11.2%). This microcap company with a market capitalization of $82.46 million posted a strong earnings rebound in Q2 FY25, with net income surging to $6.8 million from $1 million YoY, driven by margin expansion, SG&A discipline and same-store sales growth. Improved merchandising and sourcing led to a 160 bps drop in COGS. 

Operating cash flow rose to $15.6 million due to inventory reductions, while capex declined, boosting free cash flow. With $90.8 million in cash and no debt, Cato maintains robust liquidity and financial flexibility. Same-store sales rose 9% in Q2 despite 65 fewer stores, reflecting higher productivity and merchandising gains. 

However, risks persist: tariff costs are rising, e-commerce remains under 5% of sales, and accelerated store closures suggest structural headwinds. The company also suspended its dividend and shows limited credit segment growth. Trading at just 0.48X P/B vs. 6.52X for its sub-industry, valuation reflects these challenges. 

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

Other noteworthy reports we are featuring today include Shopify Inc. (SHOP), Otis Worldwide Corp. (OTIS) and NRG Energy, Inc. (NRG).

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

Wealth Management Expansion & Strong Capital Aid UBS Group AG (UBS)

Growth Projects, Newcrest Buyout Aid Newmont (NEM)

Strength in GLP-1 & RxTS Helps McKesson (MCK) Offset Rising Costs

Featured Reports

Product Rollouts & Growing Merchant Base Aid Shopify (SHOP)
Per the Zacks analyst, Shopify is benefiting from expanding merchant base driven by applications like Shop Minis, Shop Cash, and Sign in with Shop solutions.

Business Efforts Benefit Otis Worldwide (OTIS) Amid Macro Risks
Per the Zacks analyst, Otis Worldwide is gaining from its focus on innovation and initiatives like the UpLift program. However, ongoing economic challenges and high restructuring costs hurt.

Smart Acquisitions and Diverse Customer Base Aid NRG Energy (NRG)
Per the Zacks analyst, NRG Energy expands its operations through strategic acquisitions. Diverse customer base and strong customer retention will boost its performance.

Gen Digital (GEN) Rides on Product and Customer Strength
Per the Zacks analyst, Gen Digital is gaining from solid demand for ID theft protection solutions such as dark web monitoring and ID advisor. Continued stabilization of customer count is a positive.

Solid Capital Position & Premium Growth Aid Assurant (AIZ)
The Zacks analyst is optimistic about solid Global Lifestyle segment of Assurant, which will drive improvement in earned premiums and fees. Solid capital position supports capital deployment.

APA Corporation (APA) to Gain from Suriname Portfolio
The Zacks analyst believes that APA's significant drilling success in Suriname points to significant cash flow potential but is worried about the exposure to oil price fluctuations.

Krytsal's Vyjuvek Sees Strong Launch, Dependence a concern.
Krystal's lead drug, Vyjuvek has witnessed strong uptake since its launch. Per the Zacks analyst, the sole dependence is a concern.

New Upgrades

Robust Omnipod 5 Adoption, Strong Solvency Aids Insulet (PODD)
The Zacks analyst is impressed with Insulet's Omnipod 5 driving new customer starts across U.S. Type 1, Type 2 and international areas. Solid cash reserves against debt payable are another plus.

Itron (ITRI) Aided by Momentum in Grid Edge Platform
Per the Zacks analyst, Itron is gaining from strong momentum in its Grid Edge Intelligence platform, fueled by rising data center demand, reindustrialization, localization and electrification trends.

Energizer (ENR) Batteries & Lights Segment Extends Growth Streak
Per the Zacks analyst, consistent organic growth reflects operational strength. The segment's 5.1% sales rise and 22.7% profit jump highlight sustained execution under Project Momentum.

New Downgrades

Joby Aviation (JOBY) Grapples With Distant Profitability, High Costs
Per the Zacks Analyst, Joby is unlikely to be profitable anytime soon as commercial production is not expected in the near term. High costs and risk of battery failure act as other headwinds.

Rivian (RIVN) Faces Margin Pressure & Rising Cash Burn
Rivian's gross margins have slipped into the red due to supply chain pressures and tariffs, while cash burn remains high. With mounting losses, the Zacks analyst is bearish on the stock.

Helen of Troy (HELE) Remains Troubled by Reduced Demand
Per the Zacks analyst, Helen of Troy is facing challenges due to weakening consumer demand, tighter retailer inventory and ongoing inflationary pressures, which continue to pressure its sales.

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

Zacks Investment Research