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Yahoo
23-05-2025
- Business
- Yahoo
Is atai Life Sciences (ATAI) Outperforming Other Medical Stocks This Year?
The Medical group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. atai Life Sciences N.V. (ATAI) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? Let's take a closer look at the stock's year-to-date performance to find out. atai Life Sciences N.V. is a member of our Medical group, which includes 997 different companies and currently sits at #5 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst. The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. atai Life Sciences N.V. is currently sporting a Zacks Rank of #2 (Buy). The Zacks Consensus Estimate for ATAI's full-year earnings has moved 0.8% higher within the past quarter. This shows that analyst sentiment has improved and the company's earnings outlook is stronger. Our latest available data shows that ATAI has returned about 43.6% since the start of the calendar year. In comparison, Medical companies have returned an average of -6.3%. As we can see, atai Life Sciences N.V. is performing better than its sector in the calendar year. Another stock in the Medical sector, Cardinal Health (CAH), has outperformed the sector so far this year. The stock's year-to-date return is 29.6%. Over the past three months, Cardinal Health's consensus EPS estimate for the current year has increased 2.3%. The stock currently has a Zacks Rank #2 (Buy). Breaking things down more, atai Life Sciences N.V. is a member of the Medical - Outpatient and Home Healthcare industry, which includes 17 individual companies and currently sits at #84 in the Zacks Industry Rank. On average, this group has gained an average of 3.7% so far this year, meaning that ATAI is performing better in terms of year-to-date returns. On the other hand, Cardinal Health belongs to the Medical - Dental Supplies industry. This 14-stock industry is currently ranked #42. The industry has moved -1% year to date. Investors interested in the Medical sector may want to keep a close eye on atai Life Sciences N.V. and Cardinal Health as they attempt to continue their solid performance. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report atai Life Sciences N.V. (ATAI) : Free Stock Analysis Report Cardinal Health, Inc. (CAH) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
21-05-2025
- Business
- Bloomberg
US Stocks Need Earnings Boost to Regain Edge Over Global Peers
Six weeks into a torrid rebound, US stocks are still laggards in global equity markets this year. For them to sustain the rally and reclaim their usual spot at the top of the pack, Corporate America's profit engine needs to rev back up, analysts at Bloomberg Intelligence say. The S&P 500 Index has underperformed a gauge of 22 developed markets outside of the US since late last year as the pace of US earnings growth relative to the rest of the world narrowed, according to an analysis by BI's Nathaniel Welnhofer. The last time such a phenomenon occurred was in 2017 when the US stock benchmark's earnings growth trailed its overseas peers.
Forbes
18-05-2025
- Business
- Forbes
European Stocks: A Rich, And Cheap, Opportunity
Europe by night. Until recently, the Old World has been feeling its age, as European stocks largely lagged behind U.S. equities. Last year, the MSCI EAFE index, which covers developed countries excluding the U.S. and Canada, inched ahead just 4.3%, while the S&P 500 racked up a 25% gain. That situation reversed dramatically in 2025, as of Friday, with the MSCI index up 15.4% and the S&P 500 ahead just 1.3%. There is a strong case to be made that developed-market international equities, meaning non-U.S. stocks and particularly European ones, could have a sold upward path ahead of them. So argues Elisa Mazen, head of global growth at ClearBridge Investments, which is a unit of Franklin Templeton, in an interview. Rising U.S. tariffs and higher European fiscal stimulus stand to expand the Continent's earnings, she notes—and sweeter profits tend spark stock appreciation. Add in the potential for lower European regulatory burdens and the result, she says, would be to 'jumpstart earnings growth and equity valuations in the region.' A ClearBridge research paper (Mazen co-wrote it, with colleagues Michael Testorf and Pawel Wroblewski) points out that 'Europe now offers a better setup for earnings growth from depressed levels and scope for multiple expansion as more investors recognize the region's potential.' Mazen acknowledges that United States stocks boast bounteous strengths, such as tech leadership and deep wells of capital. Still, the U.S. has some drags such as trade imbalances and a spiraling federal budget. Donald Trump's tariffs likely will have a negative effect on inflows into U.S. equities. Meantime, no big fiscal stimuluses are envisioned by Washington nowadays. One big advantage for the MSCI EAFE basket of foreign stocks, which along with Europe includes such big players as Japan and Australia: The exchange-traded fund that tracks them, iShares MSCI EAFE, has an expense ratio of just 16.9, versus the main ETF for the S&P 500, the SPDR S&P 500 ETF, at 25.6. In addition, individual European stocks are way cheap: shares in financials, consumer staples, consumer discretionary and health-care companies are trading at large discounts to American counterparts. Then there's the added attraction of European fiscal stimulus. Consider Germany, the world's third largest economy, behind the U.S. and China. In March, Mazen notes, the German parliament approved an infrastructure fund of a half-trillion euros and eased a cap on defense outlays, plus it okayed more spending on energy transition and semiconductors. Political developments are a big impetus for the changes. As the ClearBridge research paper notes, 'Combined with genuine fear of Russian aggression once again in Europe and the rise of the far-right party in the recent German elections, Germany instituted a meaningfully large defense and infrastructure package. More fiscal spending increases are expected in other markets, as well.' At some point, the Ukraine conflict will be over, and the need for post-war reconstruction should provide additional impetus for economic development, Mazen contends. Heavy construction equipment, steel and cement will be in demand. The World Bank projects that the effort will cost $480 billion. Peace could also bring resumption of Russian natural gas shipments to Western Europe and Britain, thus lowering energy costs for businesses and consumers, an economic boon. And that's not all. The ClearBridge paper finds that 'a lasting peace could spur renewed Western involvement in Russia.' Withdrawal of European investment has led to lost revenue of $60 billion, according to the paper, which added, 'Could those return? We believe it's a possibility that markets are not discounting.' Overall, good old reversion to the mean likely is coming, Mazen states. Her firm's paper states: 'Developed market valuations have barely budged in the last 20 years (compared to a 40% rise in U.S. multiples). However, we believe this low starting point, taken together with broader policy catalysts in a rapidly evolving geopolitical landscape, most notably in Europe, provides scope for a reversion in global equity leadership.'
South China Morning Post
14-05-2025
- Business
- South China Morning Post
Hong Kong stocks jump on strong JD.com results, with Tencent, Alibaba on deck
Hong Kong stocks rose as reported the fastest earnings growth in three years while investors are gearing up for results from bellwethers such as Tencent Holdings and Alibaba Group Holding. The Hang Seng Index climbed 1.4 per cent to 23,425.51 as of 10.05am local time. The Hang Seng Tech Index gained 2 per cent. On the mainland, the CSI 300 Index and the Shanghai Composite Index were both little changed. E-commerce giant advanced 3.7 per cent to HK$142 after posting a 16 per cent year-on-year increase in sales in the first quarter. Tencent gained 2 per cent to HK$516 before its earnings release later on Wednesday. Alibaba, which is due to report results on Thursday, added 1 per cent to HK$127.40. Sentiment also got a lift after US stocks recovered their losses for the year on news that inflation cooled in April and amid optimism that a reduction in trade tensions will improve the growth outlook. Other major Asian markets were mixed. Japan's Nikkei 225 slipped 0.6 per cent, Australia's S&P/ASX 200 lost 0.1 per cent and South Korea's Kospi rose 0.7 per cent.
