The upcoming report from Cencora (COR) is expected to reveal quarterly earnings of $4.08 per share, indicating an increase of 7.4% compared to the year-ago period. Analysts forecast revenues of $74.82 billion, representing an increase of 9.4% year over year.The consensus EPS estimate for the quarter has undergone an upward revision of 0.2% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timefram ...

Cencora (COR) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended March 2025. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on May 7, 2025, might help the stock move higher if these key numbers are better than expectation ...

Company Performance - Cencora (COR) has returned 27.6% year-to-date, significantly outperforming the Medical group, which has lost about 5.6% on average [4] - Cencora currently holds a Zacks Rank of 2 (Buy), indicating a positive earnings outlook [3] - Over the past 90 days, the Zacks Consensus Estimate for Cencora's full-year earnings has increased by 0.1%, reflecting improving analyst sentiment [3] Industry Context - Cencora is part of the Medical Services industry, which consists of 58 stocks and is currently ranked 86 in the Zacks Industry Rank, with an average loss of 3% this year [5] - In comparison, Intensity Therapeutics Inc. (INTS), another outperforming stock in the Medical sector, has returned 5.1% year-to-date and belongs to the Medical - Biomedical and Genetics industry, which has seen a decline of 7.7% [4][6] - The Medical group includes 1002 companies and is currently ranked 3 in the Zacks Sector Rank, which evaluates the average Zacks Rank of individual stocks within the sector [2]

Trade Policy Impact - The United States has implemented new tariffs, with a 10% baseline tariff on most imports and up to 145% on Chinese goods, significantly affecting global trade dynamics [1] - The elimination of the "de minimis" exemption for shipments under $800 impacts low-cost Chinese e-commerce platforms like Temu and Shein [1] - China has responded by suspending exports of critical minerals, escalating the trade conflict and increasing uncertainty in global markets [1] Economic Consequences - Previous tariffs from 2018 to 2020 resulted in over $80 billion in additional costs for American businesses and consumers, raising concerns about price increases and margin compression across industries [2] - The reintroduction of tariffs in 2025 has raised alarms in the corporate sector, particularly regarding the implementation timeline and potential retaliatory measures from trade partners like China [2] Pharmaceutical Sector - The U.S. government is preparing to impose tariffs on select pharmaceutical imports from countries like China and India, raising concerns about increased costs and supply chain disruptions [3] - Pharmaceutical companies, reliant on international manufacturing, are particularly vulnerable to trade disruptions, leading to a cautious sentiment in the industry [3] Medical Device Sector - The medical device sector is identified as a strong investment opportunity, driven by technological advancements, demographic trends, and increasing demand for healthcare solutions [4] - The global medical devices market was valued at $518.46 billion in 2023 and is projected to grow to over $886.80 billion by 2032, with a CAGR of 6.3% [5] Investment Opportunities - Amid tariff uncertainties, investors are focusing on undervalued stocks with strong balance sheets and resilient performance, particularly in the medical device sector [6] - Promising undervalued stocks for 2025 include Cencora, Inc. (COR), Hims & Hers Health (HIMS), and Prestige Consumer (PBH) [6] Cencora, Inc. - Cencora is a major pharmaceutical services company with a diverse portfolio, including biologics and complex injectables [7] - The company has launched Accelerate Pharmacy Solutions to optimize operations for healthcare customers and has acquired Retina Consultants of America to enhance its specialty leadership [8] - Cencora's stock trades at a P/S ratio of 0.17, lower than the Medical Services market's 0.40, with an expected 11.6% growth in 2025 earnings [9] Hims & Hers Health - Hims & Hers Health offers subscription-based telehealth services and aims to simplify healthcare through a digital-first platform [10] - The company has a P/S ratio of 2.47, discounted compared to the industry's 4.03, with a projected 58% growth in 2025 earnings [11] Prestige Consumer - Prestige Consumer provides over-the-counter healthcare products and has a strong presence across various retail channels [12] - The gastrointestinal product category is a significant growth driver, representing nearly one-fifth of North American sales [13] - The stock trades at a P/S ratio of 3.43, lower than the industry's 5.32, with a recent earnings surprise of 5.17% [16]

President Donald Trump's new set of extensive tariffs on nearly all of America's trading partners, at a minimum of 10%, are already in effect. Added to that, tariffs went as high as 50% for a few nations. Major trading partners like China, Japan, Taiwan, South Korea and India are facing steep "reciprocal" tariffs. Trump's implementation of these tariffs represents the most significant escalation in U.S. tariffs in nearly a century. This move has caused significant fluctuations in the market, raising alarms ...

Market Overview - Wall Street experienced significant declines following President Trump's announcement of sweeping tariffs, with the S&P 500 dropping 4.8%, marking its worst day since June 2020 [4]. - The Dow Jones Industrial Average fell by 1,679.39 points, or 4%, while the Nasdaq Composite decreased by 6%, both also recording their worst days since June and March 2020 respectively [4]. - Over 400 constituents of the S&P 500 ended in negative territory, reflecting a broader market rout, with the S&P 500 now down 12% from its all-time high achieved in February [5]. Tariff Impact - Trump imposed a 10% baseline tariff on all countries effective April 5, along with additional "reciprocal" tariffs on countries deemed major offenders, including Japan, Israel, and EU nations starting April 9 [6]. - The tariffs are expected to impact multinational companies significantly due to their production units located outside the United States [5]. Economic Sentiment - Investor confidence was shaken by the unexpected harshness of the tariffs, leading to fears of a potential recession, despite previous assurances from Trump regarding flexibility in tariff implementation [7]. - The ongoing volatility in the markets since February, coupled with rising inflation, may delay the Federal Reserve's next interest rate cut [8]. Defensive Investment Opportunities - In light of the current market conditions, investing in defensive stocks, particularly in the healthcare sector, is recommended. Notable stocks include Gilead Sciences, Inc. (GILD), Cencora, Inc. (COR), Fresenius Medical Care AG (FMS), and LeMaitre Vascular, Inc. (LMAT), all of which have favorable Zacks Ranks [2][3]. Company Profiles - **Gilead Sciences, Inc. (GILD)**: A leader in HIV treatment with an expected earnings growth rate of 70.4% for the current year and a Zacks Rank of 2. GILD has a beta of 0.32 and a dividend yield of 2.82% [9][10]. - **Cencora, Inc. (COR)**: A major pharmaceutical services company with an expected earnings growth rate of 11.6% and a Zacks Rank of 2. COR has a beta of 0.55 and a dividend yield of 0.79% [11][12]. - **Fresenius Medical Care AG (FMS)**: A leading provider of dialysis services with an expected earnings growth rate of 27.1% and a Zacks Rank of 1. FMS has a beta of 0.93 and a dividend yield of 1.79% [13][14]. - **LeMaitre Vascular, Inc. (LMAT)**: A provider of vascular treatment devices with an expected earnings growth rate of 16.6% and a Zacks Rank of 2. LMAT has a beta of 0.89 and a dividend yield of 0.92% [15][16].

Group 1 - Cencora (COR) has gained approximately 24.4% year-to-date, outperforming the average gain of 2% in the Medical sector [4] - Cencora holds a Zacks Rank of 2 (Buy), indicating a positive outlook based on earnings estimates and revisions [3] - The Zacks Consensus Estimate for Cencora's full-year earnings has increased by 0.1% over the past quarter, reflecting improving analyst sentiment [3] Group 2 - Cencora is part of the Medical Services industry, which consists of 58 stocks and currently ranks 77 in the Zacks Industry Rank [5] - The Medical Services industry has an average gain of 3.9% year-to-date, indicating that Cencora is performing better than its industry peers [5] - Intensity Therapeutics Inc. (INTS), another Medical stock, has also outperformed the sector with a year-to-date return of 13.6% [4][6]

Core Insights - Zacks Premium offers various tools to help investors make informed decisions and enhance their confidence in stock market investments [1][2] Zacks Style Scores - The Zacks Style Scores are indicators designed to assist investors in selecting stocks with the highest potential to outperform the market within a 30-day timeframe [3] - Stocks are rated from A to F based on their value, growth, and momentum characteristics, with A indicating the highest potential for outperformance [3] Value Score - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [4] Growth Score - The Growth Score evaluates a company's financial health and future prospects by analyzing projected and historical earnings, sales, and cash flow [5] Momentum Score - The Momentum Score helps investors capitalize on price trends by assessing short-term price changes and earnings estimate revisions [6] VGM Score - The VGM Score combines the Value, Growth, and Momentum Scores, providing a comprehensive indicator for stock selection [7] Zacks Rank - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to guide investors in building successful portfolios [8] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [9] Stock Selection Strategy - To maximize returns, investors should target stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [11] - Stocks with lower ranks but high Style Scores may still be considered, provided they show potential for upside [11][12] Company Spotlight: Cencora - Cencora, based in Chesterbrook, PA, is a leading pharmaceutical services company focused on drug distribution and healthcare cost reduction [13] - Cencora holds a Zacks Rank of 2 (Buy) and a VGM Score of B, indicating strong growth potential [13] - The company is projected to achieve year-over-year earnings growth of 11.6% for the current fiscal year, with upward revisions in earnings estimates from analysts [14]

Industry Overview - The Medical Services sector is undergoing significant transformation driven by technological advancements, value-based care adoption, and a focus on patient-centric solutions and precision medicine [1] - The industry includes various service providers such as pharmacy benefit managers, contract research organizations, and healthcare workforce solution providers, moving from volume- to value-based care [4] Market Trends - The global healthcare analytics market was valued at $43.1 billion in 2023, with a projected CAGR of 21.1% from 2024 to 2030 [2] - The digital health market is expected to grow at a CAGR of 9.2% from 2024 to 2028, while the global big data in healthcare market is estimated to increase from $78 billion in 2024 to $540 billion by 2035, representing a CAGR of 19.20% [5] - The demand for skilled nursing professionals is rising, with a projected deficit of over 100,000 healthcare workers in the U.S. by 2028 [3][6] Staffing Challenges - The healthcare staffing shortage is exacerbated by the aging population and the impact of COVID-19, with WHO projecting a shortfall of 9.9 million healthcare workers globally by 2030 [6] - Labor costs have increased significantly, with hospitals experiencing a 15.6% rise in labor expenses per adjusted discharge compared to pre-pandemic levels [6] Employment Projections - Employment for nurse anesthetists, nurse midwives, and nurse practitioners is projected to grow 40% from 2023 to 2033, with about 31,900 openings expected each year [8] Industry Performance - The Zacks Medical Services industry ranks 71, placing it in the top 29% of 246 Zacks industries, indicating positive near-term prospects [9] - The industry has underperformed compared to its sector and the S&P 500, with a collective loss of 17.1% over the past year [11] Valuation Metrics - The industry is currently trading at a forward P/E of 15.5X, compared to the S&P 500's 21.18X and the sector's 23.07X [14] Stock Recommendations - Doximity (DOCS) is a digital platform for U.S. medical professionals, with an expected earnings growth rate of 7.7% for fiscal 2026 [19][20] - Pediatrix Medical (MD) provides specialized pediatric services, with projected earnings growth rates of 2.7% and 4.1% for 2025 and 2026, respectively [23][24] - Cencora (COR) focuses on drug distribution and related services, with an expected earnings growth rate of 11.6% for fiscal 2025 [27][28]

Core Insights - Zacks Premium offers tools for investors to enhance their stock market strategies and confidence, including daily updates, research reports, and stock screens [1] - The Zacks Style Scores are designed to complement the Zacks Rank, providing ratings based on value, growth, and momentum methodologies to help investors identify stocks likely to outperform the market [2] Zacks Style Scores Overview - Each stock is rated from A to F based on value, growth, and momentum, with A being the highest score indicating a better chance of outperforming [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6] Value Score - The Value Score identifies attractive and discounted stocks using various financial ratios such as P/E, PEG, and Price/Sales, appealing to value investors [3] Growth Score - The Growth Score emphasizes a company's financial health and future outlook, analyzing projected and historical earnings, sales, and cash flow to find stocks with sustainable growth [4] Momentum Score - The Momentum Score helps investors capitalize on price trends by analyzing short-term price changes and earnings estimate revisions [5] VGM Score - The VGM Score combines the three Style Scores to identify stocks with the best value, growth potential, and momentum, serving as a strong indicator alongside the Zacks Rank [6] Zacks Rank and Style Scores Interaction - The Zacks Rank utilizes earnings estimate revisions to guide investors in building successful portfolios, with 1 (Strong Buy) stocks historically yielding an average annual return of +25.41% since 1988 [7][8] - To maximize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [9] Company Spotlight: Cencora - Cencora, based in Chesterbrook, PA, is a leading pharmaceutical services company focused on drug distribution and healthcare cost reduction [11] - Cencora holds a Zacks Rank of 2 (Buy) and a VGM Score of A, with a Value Style Score of A due to a forward P/E ratio of 17.67, making it attractive for value investors [11] - Recent analyst revisions have increased Cencora's earnings estimate for fiscal 2025 by $0.27 to $15.36 per share, with an average earnings surprise of 4.9% [12]