Top Research Reports for SAP, Novo Nordisk & Thermo Fisher

Wednesday, July 9, 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 SAP SE (SAP), Novo Nordisk A/S (NVO) and Thermo Fisher Scientific Inc. (TMO), as well a micro-cap stock FONAR Corp. (FONR). 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 Shrug Off Trade Deadline, FOMC Minutes Out Today

Today's Featured Research Reports

SAP’s shares have outperformed the Zacks Computer - Software industry over the past year (+53.6% vs. +13.3%). The company is gaining momentum in the cloud business, especially regarding its Cloud ERP Suite and the rising adoption of the "Rise with SAP" and "Grow with SAP" solutions. Steady growth in its Cloud backlog also bodes well. 

SAP remains confident in its growth trajectory and has reaffirmed its outlook, expecting cloud revenues of €21.6-€21.9 billion for 2025, up 26–28% at constant currency from €17.14 billion in 2024. Operating profit growth in the first quarter of 2025 was driven by efficiencies from the successful 2024 transformation program, aiding margins. 

However, ongoing softness in the software license and services business continues to weigh on performance. In the first quarter, software license revenues declined 10% year over year, while services revenue fell 1%. Also, intense competition in the cloud space remains a concern.

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

Shares of Novo Nordisk have underperformed the Zacks Large Cap Pharmaceuticals industry over the past year (-50.5% vs. -15.9%). The company’s failure to meet the weight-loss target with CagriSema twice gave Novo Nordisk a huge setback. Intense rivalry in the obesity sector also threatens its market share. Patent expiry and pricing pressure across the diabetes market remain a woe.

Nevertheless, Novo Nordisk’s Ozempic and Rybelsus for diabetes and Wegovy for obesity are performing well, fueled by increasing demand. Label expansions of the same in cardiovascular and other indications will likely boost sales. It has been tackling the supply constraints of Wegovy by making serious investments to ramp up production. 

An oral formulation of Wegovy is currently under review by the FDA for obesity and a higher dose of the injection is under review in the EU. Novo Nordisk is also pursuing other indications, like liver fibrosis and MASH for semaglutide.

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

Thermo Fisher’s shares have underperformed the Zacks Medical - Instruments industry over the past year (-20.6% vs. -11%). Volatile macroeconomic uncertainties can dent the company’s operations. Also, currency woes and fierce competitive pressure add to the worry.

Nevertheless, Thermo Fisher is braving the ongoing tough economic conditions by leveraging GenAI as part of the PPI Business System, resulting in strong financial performance. The company’s growth strategy has been bolstered by several recent product launches, including Olink Reveal and Thermo Scientific Vulcan Automated Lab, among others, in the first quarter. 

Thermo Fisher’s continuous efforts to prioritize its partnership with customers to drive innovation and improve patient care bode well. The Zacks analyst expects the company’s revenues to witness a 7.3% CAGR during fiscal 2025-2027. Robust solvency further instills optimism about the stock.

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

Shares of FONAR have gained +4.2% over the past year against the Zacks Medical - Products industry’s gain of +6.5%. This microcap company with a market capitalization of $96.71 million delivers stable, recurring revenue through long-term MRI center management contracts. Strong scan volume growth (up 3.9% for the nine months ended March 31, 2025, versus the prior year) and rising utilization support site-level productivity. 

The dual-modality MRI strategy (adding high-field units to STAND-UP centers) enhances throughput and clinical utility. A strong balance sheet with $54.4 million in cash and minimal debt provides growth flexibility. 

Yet, rising SG&A costs and credit reserves are compressing margins, while MRI equipment sales remain weak. Revenue growth remains flat despite record scans, reflecting limited pricing power. Heavy dependence on no-fault/PIP claims and tech disruption risk from AI-driven imaging present headwinds. The stock offers deep value but requires margin recovery and tech reinvestment for re-rating.

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

Other noteworthy reports we are featuring today include Phillips 66 (PSX), HubSpot, Inc. (HUBS) and The Carlyle Group Inc. (CG).

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

SAP Revenue Growth Fueled by Strong Cloud Momentum

GLP-1 Drugs Boost Novo Nordisk (NVO), Market Rivalry a Woe

End Market Strength, Innovations Aid Thermo Fisher (TMO)

Featured Reports

Phillips 66's (PSX) Diversified Business Model Fuels Growth
Per the Zacks analyst, Phillips 66's (PSX) diversification across multiple sectors should strengthen its cash flows. However, rising regulatory-compliance costs may limit profitability.

Carlyle (CG) Rides on Rising AUM Balance Amid High Expenses
Per the Zacks Analyst, Carlyle's global presence and efforts to expand business are likely to continue aiding asset under management (AUM) growth. Yet, rising expenses are concerning.

Favorable Demand to Aid Reliance (RS) Amid Pricing Pressure
As per Zacks Analyst, Reliance is set to gain from strong end-market demand and acquisitions, though pricing challenges and semiconductor weakness may weigh on performance.

AUM, Technological Innovation to Aid SEI Investments (SEIC)
Per the Zacks analyst, solid AUM, diverse products, strategic acquisitions, focus on high-growth markets, robust technology and solid liquidity position will likely aid SEI Investments' financials.

NGDV Production Ramp Aids Oshkosh (OSK) Amid Falling Backlog
Per the Zacks analyst, Oshkosh's plan to ramp up NGDV production throughout the year to drive strong revenue growth into 2026 bodes well. However, declining consolidated backlog remains a concern.

Under Armour (UAA) Gains on Strategic Brand Transformation
Per the Zacks analyst, Under Armour is progressing in its multi-year transformation to strengthen its brand through deeper customer engagement, effective innovations and disciplined market strategy.

Growing Revenues, Acquisitions Aid Acadia Healthcare (ACHC)
Per the Zacks analyst, the company's rising topline, driven by rising patient volumes and operational efficiencies, will pave the way for growth. Acquisitions enable it to expand its capabilities.

New Upgrades

HubSpot (HUBS) Rides on Strong User Engagement, AI Focus
Per the Zacks analyst, steady multi-hub adoption from enterprise customers and integration of advanced AI tools across its product suites and customer platform will likely boost HubSpot's margin.

Dropbox (DBX) Rides on Large User Base & Strong Portfolio
Per the Zacks analyst, Dropbox is benefiting from a large user base and better market share thanks to an expanding portfolio.

Investments & Customer Additions Aid UGI Corporation (UGI)
Per the Zacks analyst, UGI's strategic investment plans help to upgrade and replace the aging infrastructure that boost its performance. The company also gains from an expanding customer base.

New Downgrades

Competition and Nil Dividend Payout Hurts Palantir (PLTR)
Per the Zacks analyst, high competition demands tech and talent investment, raising Palantir's difficulty in balancing growth and profitability. A nil dividend payout deters income-seeking investors.

Lower IT Spending to Hurt DXC Technology's (DXC) Prospects
Per the Zacks analyst, DXC Technology's growth prospects might be hurt by soft IT spending as organizations are pushing back their large IT investment plans amid the macroeconomic headwinds.

Still-High Mortgage Rates & Macro Risks Hurt Lennar (LEN)
Per the Zacks analyst, Lennar's prospects are hurting from the ongoing softness in the housing market alongside tariff-related uncertainties and lingering inflationary pressures.

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

Zacks Investment Research