Top Analyst Reports for Visa, Merck & Southern Company

Thursday, November 20, 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 Visa Inc. (V), Merck & Co., Inc. (MRK) and The Southern Co. (SO), as well as two micro-cap stocks Community Bancorp (CMTV) and Comstock Holding Companies, Inc. (CHCI). 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 >>> BLS Jobs, Jobless Claims, Walmart Warnings All Up Slightly

Today's Featured Research Reports

Visa’s shares have outperformed the Zacks Financial Transaction Services industry over the year-to-date period (+3.3% vs. -13.9%). The company’s fourth quarter earnings beat estimates. Its strong market position is underpinned by consistent volume-driven growth, acquisitions and technological leadership in digital payments. 

Expansion in cross-border volumes, rising transactions and investments in AI and stablecoin infrastructure enhance its future prospects. Its total revenue rose 11% YoY in FY25 along with 13% growth in cross-border volume. A robust financial position with ample liquidity and shareholder returns further supports long-term growth. 

However, it faces rising client incentives and expenses, which can weigh on margins. Regulatory pressures and potential legislative changes pose additional risks to its fee structure. While declining cash volumes align with its digital strategy, regional softness warrants monitoring. As such, the stock warrants a cautious stance.

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

Shares of Merck have underperformed the Zacks Large Cap Pharmaceuticals industry over the year-to-date period (-1.7% vs. +17.9%). The company is facing rising competitive and generic pressure on some drugs, and persistent challenges for Gardasil in China remain overhangs. There are concerns about Merck’s ability to successfully navigate the Keytruda loss of exclusivity period and potential competition for the drug.

Merck’s third-quarter earnings and sales beat estimates. Its blockbuster drug, Keytruda, and new products have been driving sales. With label expansion into new indications, particularly earlier-stage launches, Keytruda is expected to see continued growth. 

Animal health is also contributing to growth. Merck has been making meaningful pipeline progress. Moreover, it is actively pursuing M&A deals to enhance its pipeline and diversify away from Keytruda.

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

Southern Company’s shares have gained +11.7% over the year-to-date period against the Zacks Utility - Electric Power industry’s gain of +29.4%. The company being a leading U.S. electric utility in the Southeast, offers a solid opportunity with its recession-proof model, substantial load pipeline, and investments in regulated utilities like natural gas and battery storage. 

Southern Company’s strategic contracts and protective tariff structures provide a stable earnings outlook, while its $76 billion capital plan supports growth through grid modernization. Management has signaled a potential upward revision in earnings growth by 2027. 

However, Southern faces risks from high leverage, which limits financial flexibility, and its cautious approach to nuclear energy may leave it behind peers. Also, regulatory challenges, economic slowdowns, and increasing competition from decentralized energy solutions pose threats. Therefore, the company warrants a cautious stance from investors.

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

Shares of Community Bancorp have outperformed the Zacks Banks - Northeast industry over the year-to-date period (+47.8% vs. +1.7%). This microcap company with a market capitalization of $130.91 million delivers strong investment appeal, backed by sustained earnings momentum, driven primarily by robust net interest income growth and disciplined cost control. 

Earnings rose sharply in 2025, supported by favorable loan repricing and lower borrowing costs. Broad-based loan growth across residential, commercial, municipal and purchased segments has been achieved without compromising credit quality, with declining nonperformers and stable reserves. Capital strength continues to build, reflected in rising book value and reduced unrealized securities losses, enhancing flexibility for dividends and future growth. 

Non-interest income expanded steadily, providing valuable revenue diversification amid rate volatility, while expense discipline preserved operating leverage. Continued dividend increases underscore a consistent shareholder-return focus.

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

Comstock’s shares have outperformed the Zacks Building Products - Home Builders industry over the year-to-date period (+69.8% vs. -7.1%). This microcap company with a market capitalization of $135.46 million reinforces its position as a premier developer of transit-oriented mixed-use real estate due to its strategic execution. A landmark lease with Booz Allen Hamilton at Reston Station enhances cash flow stability and brand prestige. 

The JW Marriott Reston Station opening elevates Comstock’s hospitality footprint, offering premium amenities and strong recurring income. The Rockville multifamily acquisition via the Institutional Venture Platform supports growth, diversification and capital efficiency. 

However, rising labor costs, excessive reliance on related-party revenues and weak free cash flow pressure margins and liquidity. Additionally, compliance risks and geographic concentration in the D.C. metro area expose the firm to regulatory and regional volatility. Despite these headwinds, the stock has significantly outperformed peers, and valuation remains attractive relative to its growth potential. 

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

Other noteworthy reports we are featuring today include Take-Two Interactive Software, Inc. (TTWO), Entergy Corp. (ETR) and GE HealthCare Technologies Inc. (GEHC).

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

Visa (V) Rides On Cross Border Volume Growth, Expenses High

Keytruda Drives Merck (MRK) Sales Amid Gardasil Issues

Southern Company's (SO) Strategic Position Fuels Future Growth

Featured Reports

Investments Aid Entergy Corporation (ETR) Amid Poor Solvency
Per the Zacks analyst, Entergy Corp. makes disciplined investment to maintain and upgrade the reliability of its electric utility systems. Yet its poor financial ratios indicate weak solvency position

GE HealthCare (GEHC) To Gain from Rising Product Demand
Per the Zacks analyst, GE HealthCare's topline is likely to driven by rising demand for its products as it cater to growing markets. However, choppy macro environment to weigh on the stock.

High-Margin Vaca Muerta Operations to Boost YPF's Profitability
YPF's shift toward shale oil operations in Vaca Muerta, away from mature conventional fields, is expected to boost output and profitability. However, significant debt levels concern the Zacks analyst.

Acquisition of Uni-Select Aids LKQ Amid Softness in Repairable Claims
Per the Zacks analyst, the acquisition of Uni-Select has expanded LKQ's global vehicle parts distribution business. However, softness in repairable claims remains a concern.

Rising Loan Originations Aid Sallie Mae (SLM), High Expenses Persist
Per the Zacks analyst, Sallie Mae's strong focus on private student loans and rising loan originations aids long-term growth. Yet, rising compensation and benefits costs weigh on the bottom line.

Adtalem (ATGE) Gains on Enrollment Growth, Margin Pressures Persist
Per the Zacks analyst, robust enrollment gains and operational efficiencies supported Adtalem's strong results. However, margin pressure at Chamberlain and rising expenses remain key risks.

EMEA Strength to Drive Under Armour's (UAA) Global Growth
Per the Zacks analyst, Under Armour's strong revenue gains in EMEA and solid momentum in Latin America highlight strong demand across channels, supporting its multi-year international growth strategy.

New Upgrades

Strong Portfolio Aids Take Two (TTWO) Amid Stiff Competition
Per the Zacks analyst, Take-Two's popular franchises including NBA 2K26 and Grand Theft Auto V is helping it to counter stiff competition from the likes of EA and Activision Blizzard.

Robust Pipeline Activity and Deal Wins Benefit Guidewire (GWRE)
Per the Zacks analyst, 19 deal wins by the Guidewire cloud platform, coupled with increasing migration activities and a robust business pipeline, are cushioning Guidewire's performance.

CNA Financial (CNA) Poised to Grow on Improving Premiums
Per the Zacks analyst, CNA Financial is poised to row on rising premiums driven by compelling product portfolio, better retention, improving pricing, and new business growth.

New Downgrades

Norfolk Southern (NSC) Hit By Freight Downturn and High Debt Load
The Zacks analyst is worried about the decreasing freight revenues and volumes. The company's high debt load and share price volatility are also causes for worry.

Soft Air Bookings Amid Macroeconomic Headwinds Hurt Sabre (SABR)
Per the Zacks analyst, weaker air bookings, resulting from macroeconomic uncertainties and the U.S. government shutdown, are likely to hurt Sabre's prospects in the near term.

Order Timing Uncertainty Pressures Super Micro (SMCI)
Per the Zacks Analyst, delays in customer orders tied to upcoming AI platform launches are driving revenue volatility and limiting Super Micro's near-term performance clarity.

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

Zacks Investment Research