Jazz Pharmaceuticals and Boston Beer Company have been highlighted as Zacks Bull and Bear of the Day

For Immediate ReleaseChicago, IL – March 12, 2025 – Zacks Equity Research shares Jazz Pharmaceuticals JAZZ as the Bull of the Day and The Boston Beer Company SAM as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Canadian Natural Resources Ltd. CNQ, Chevron CVX and Kinder Morgan KMI.Here is a synopsis of all five stocks:Bull of the Day:Jazz Pharmaceuticals, a Zacks Rank #1 (Strong Buy), is a specialty biopharmaceutical company that identifies, develops, and commercializes pharmaceutical products in the United States, Europe, and internationally. The company boasts a strong drug portfolio with a primary focus in the areas of neuroscience and oncology.The stock is displaying relative strength and has been making a series of 52-week highs. The price movement is a sign of strength as we head further into the new year. Increasing volume has attracted investor attention as buying pressure accumulates in this top-ranked stock.The lifeblood of a bull market is rotation, or the passing of the baton from one group to the next. With every year comes a different market theme. It's our job to identify that theme as early as possible and position our portfolios to benefit from it. This year's market action has witnessed a notable rotation in industry strength.Jazz Pharmaceuticals is part of the Zacks Medical – Biomedical and Genetics industry group, which currently ranks in the top 29% out of more than 250 industries. Because this group is ranked in the top half of all Zacks Ranked Industries, we expect it to outperform the market over the next 3 to 6 months, just as it has so far this year:.Historical research studies suggest that approximately half of a stock's price appreciation is due to its industry grouping. In fact, the top 50% of Zacks Ranked Industries outperforms the bottom 50% by a factor of more than 2 to 1.It's no secret that investing in stocks that are part of leading industry groups can give us a leg up relative to the market. By focusing on leading stocks within the top industries, we can dramatically improve our stock-picking success.Company DescriptionDublin, Ireland-based Jazz Pharmaceuticals derives the majority of its revenues from its sleep disorder drugs, Xywav and Xyrem. The company also has several ongoing and planned development activities in the sleep therapeutic area.The acquisition of GW Pharmaceuticals marked Jazz's entry into cannabidiol drugs with products like Epidiolex and Sativex. The addition of these drugs, especially Epidiolex, has helped the company diversify its neuroscience portfolio.A growing global prescriber base with multiple launches outside the United States is driving demand for Epidiolex. The drug's sales rose 15% in 2023 and another 15% in 2024. We expect the drug to achieve blockbuster status in 2025.Apart from a strong neuroscience offering, Jazz also markets multiple oncology drugs. Last year, the oncology portfolio accounted for 29% of the company's product revenues. These products not only bring in additional revenues, but also serve to diversify Jazz's overall portfolio.Earnings Trends and Future EstimatesJazz Pharmaceuticals has built up an impressive reporting history, surpassing earnings estimates in three of the past four quarters. The company most recently delivered fourth-quarter earnings back in February of $6.60 per share, a 14% surprise over the $5.79/share consensus estimate.Jazz has delivered a trailing four-quarter average surprise of 3.2%. Consistently beating earnings estimates is a recipe for success.Analysts covering JAZZ are in agreement and have raised current-quarter EPS estimates by 5.3% in the past 60 days. The Zacks Consensus Estimate now stands at $4.57/share, reflecting potential growth of 70.5% relative to year-ago period. The company is set to report these quarterly results in May.Let's Get TechnicalThis market leader has seen its stock advance more than 11% already this year, all while the general market remains in a correction. Only stocks that are in extremely powerful uptrends are able to experience this type of outperformance. This is the kind of stock we want to include in our portfolio – one that is trending well and receiving positive earnings estimate revisions.Notice how both the 50-day (blue line) and 200-day (red line) moving averages are sloping up. The stock has been making a series of higher highs throughout the past year. With both strong fundamental and technical indicators, JAZZ stock is poised to continue its outperformance.Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. As we know, Jazz has recently witnessed positive revisions. As long as this trend remains intact (and JAZZ continues to deliver earnings beats), the stock will likely continue its bullish run.Bottom LineBacked by a leading industry group and history of earnings beats, it's not difficult to see why JAZZ stock is a compelling investment. Robust fundamentals combined with an appealing technical trend certainly justify adding shares to the mix.JAZZ is ranked favorably by our Zacks Style Scores with a top 'A' rating in our Value category and an overall 'B' VGM score. The stock is undervalued and trades at just six times forward earnings, well below the industry average. Promising earnings and sales trends point to continued growth ahead.Recent positive earnings estimate revisions should also serve to create a 'floor' in terms of any sudden or unexpected downside moves. If you haven't already done so, be sure to put JAZZ on your shortlist.Bear of the Day:The Boston Beer Company produces and sells alcoholic beverages primarily in the United States. Its flagship beer is Samuel Adams Boston Lager. The company offers various beers, hard ciders, flavored malt beverages, and hard seltzers under recognized brands including Samuel Adams, Twisted Tea, Truly, Angry Orchard, Dogfish Head, Angel City, and Coney Island.Based in Boston, Massachusetts, the company markets and sells its products to wholesalers, importers, and other agencies that in turn sell to retailers such as grocery stores, convenience stores, liquor stores, bars and restaurants, as well as e-commerce retail outlets.The alcohol maker faces several headwinds. Overall alcohol sales dipped last year to $112.9 billion, the first drop in three years according to NielsenIQ. Recent surveys from Gallup measured how Americans view moderate drinking; last year, a record 45% of respondents stated that one or two drinks a day is unhealthy.Weak depletions along with continued challenges in the hard seltzer category have been acting as deterrents. Boston Beer faces intense competition from other well-established players in the industry. Rising costs owing to higher brand and selling expenses are also a concern.The Zacks RundownA Zacks Rank #5 (Strong Sell) stock, Boston Beer Co. is a component of the Zacks Beverages - Alcohol industry group, which currently ranks in the bottom 24% out of approximately 250 Zacks Ranked Industries. As such, we expect this industry group as a whole to underperform the market over the next 3 to 6 months, just as it has over the past year.Stocks in the bottom tiers of industries can often be intriguing short candidates. While individual stocks have the ability to outperform even when they're part of a lagging industry, the inclusion in a weaker group serves as a headwind for any potential rallies and the journey forward is that much more difficult.Along with many other beverage stocks, SAM shares have been underperforming over the past year. The stock is hitting a series of lower lows and represents a compelling short opportunity as we head further into 2025.Recent Earnings Misses & Deteriorating OutlookSAM has fallen short of earnings estimates in two of the past three quarters. Just last month, the craft brewer reported fourth-quarter earnings of $1.68 per share, missing the Zacks Consensus Estimate by -42.37%.Boston Beer has posted a negative trailing three-quarter average earnings surprise of -15.5%. Consistently falling short of earnings estimates is a recipe for underperformance, and SAM is no exception.The company has been on the receiving end of negative earnings estimate revisions as of late. Looking at the current quarter, analysts have slashed estimates by a whopping -25.95% in the past 60 days. The Q1 Zacks Consensus EPS Estimate is now $0.97 per share, reflecting negative growth of -6.7% relative to the year-ago period.Falling earnings estimates are a huge red flag and need to be respected. Negative growth year-over-year is the type of trend that bears like to see.Technical OutlookSAM stock is in a sustained downtrend. It has experienced what is known as a "death cross," whereby the stock's 50-day moving average crosses below its 200-day moving average. Shares would have to make an outsized move to the upside and show increasing earnings estimate revisions to warrant taking any long positions. The stock has fallen more than 22% this year alone.Final ThoughtsA deteriorating fundamental and technical backdrop show that this stock is not set to make its way to new highs anytime soon. The fact that SAM is included in one of the worst-performing industry groups provides yet another headwind to a long list of concerns. A history of earnings misses and falling future earnings estimates will likely serve as a ceiling to any potential rallies, nurturing the stock's downtrend.SAM shows a second-worst 'D' rating in our Zacks Value category, indicating shares are likely to move lower based on unfavorable valuation metrics. The stock trades at more than 21 times forward earnings, well above the industry's average of 16.14.Potential investors may want to give this stock the cold shoulder, or perhaps include it as part of a short or hedge strategy. Bulls will want to steer clear of SAM until the situation shows major signs of improvement.Additional content:3 High-Yield Energy Giants for Stability in Volatile MarketsOil prices have been on a rollercoaster in 2025, facing sharp declines due to a mix of geopolitical and economic factors. WTI crude recently dropped below $70 per barrel, marking its lowest level since December, while Brent crude followed suit.While the immediate outlook appears turbulent, oil's volatility presents both risks and opportunities for investors, with energy markets walking a fine line between policy shifts, supply-demand dynamics and global economic conditions. Given this uncertainty, investors may find stability in large-cap, high-yield energy stocks like Canadian Natural Resources Ltd., Chevron and Kinder Morgan, which offer steady dividends and resilience against market swings.Energy Market in a FluxThe surprise decision by OPEC+ to restart production hikes in April has added further pressure, with plans to gradually increase output to 2 million barrels per day by 2026. This move, coupled with concerns over a potential global supply surplus, has unsettled traders.Adding to the uncertainty, ongoing tariff tensions between the United States, Canada, Mexico and China have weighed on investor sentiment. Fears of an economic slowdown due to weak consumer confidence and trade restrictions have further dampened oil demand projections. Meanwhile, negotiations around a potential Russia-Ukraine peace deal could lift sanctions, flooding the market with additional crude.Despite these bearish signals, some analysts see a potential rebound. U.S. crude inventories remain below the five-year average, and OPEC+ has hinted at adjusting its strategy if the market becomes oversupplied.High-Yield Energy Stocks: A Safe Haven in VolatilityIn uncertain markets, high-yield, large-cap energy stocks provide a strong defense for investors. With market capitalizations exceeding $10 billion, these companies generate stable cash flow and offer reliable dividends, helping to cushion against commodity price fluctuations. Their financial strength and resilience make them a smart choice for those prioritizing income and stability.Leading names like Canadian Natural Resources, Chevron and Kinder Morgan stand out. Their solid track records and consistent dividend payouts make them particularly appealing to income-focused investors looking for security in an unpredictable sector.The Lure of Large CapsLarge-cap energy companies stand out for their financial strength and lower risk exposure. Their scale and industry dominance enable them to navigate commodity price swings more effectively than smaller players. Although they may lack the rapid growth potential of mid- and small-cap firms, their steady performance attracts investors who prioritize reliability over volatility.Additionally, their strong dividend policies offer a cushion against market downturns, providing a reliable income stream even during periods of economic uncertainty.Our ChoicesCanadian Natural Resources: It is one of the largest independent energy companies in Canada. The company is engaged in the exploration, development and production of oil and natural gas. Canadian Natural boasts a diversified portfolio of crude oil (heavy as well as light), natural gas, bitumen and synthetic crude oil.Over the past 60 days, the Zacks Consensus Estimate for Calgary-based CNQ's 2025 earnings has moved up 7.4%. It has a market capitalization of roughly $60 billion.A major incentive for holding CNQ stock is dividends. With a quarterly payout of 58.75 Canadian cents, CNQ shares currently yield 5.6% annually, well above the Zacks Oil/Energy sector average of 4.2%. Reflecting a shareholder-friendly nature, this Zacks Rank #3 (Hold) company recently hiked its payout by 4%. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.Chevron: It is one of the largest publicly traded oil and gas companies in the world, and it participates in every aspect related to energy — from oil production to refining and marketing.The Zacks Consensus Estimate for Chevron's 2025 earnings indicates 7.4% growth. This #3 Ranked company has a market capitalization of roughly $275 billion.With a quarterly payout of $1.71 per share, CVX stock has a 4.4% dividend yield, above the generous sector average and significantly over the S&P 500's 1.3% average.Kinder Morgan: Houston, TX-based Kinder Morgan is a leading midstream energy infrastructure provider in North America. The company operates pipelines across 79,000 miles to transport natural gas, crude oil, condensate, refined petroleum products, CO2 and other products.Kinder Morgan, carrying a Zacks Rank of 3, is valued at some $58 billion. The consensus estimate for this energy infrastructure provider's 2025 earnings per share indicates 9.6% year-over-year growth.KMI pays out a quarterly dividend of 28.75 cents, which gives it a 4.4% yield at the current stock price.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339https://www.zacks.comZacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer.Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>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 Chevron Corporation (CVX): Free Stock Analysis Report Canadian Natural Resources Limited (CNQ): Free Stock Analysis Report Jazz Pharmaceuticals PLC (JAZZ): Free Stock Analysis Report Kinder Morgan, Inc. (KMI): Free Stock Analysis Report The Boston Beer Company, Inc. (SAM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks