The Latest Breaking News from BofA Securities

Arcos Dorados Holdings Inc (NYSE: ARCO) reported stronger-than-expected sales and achieved an impressive gross margin recovery in its fourth-quarter report, with “better operating leverage on leaner cost structures,” according to BofA Securities.

Logitech International SA (NASDAQ: LOGI) is likely to generate a compounded annual growth rate of 8% in revenues and 10% in EBITDA between fiscal 2022 and 2026, according to BofA Securities.

Deutsche Bank AG (NYSE: DB) is poised to benefit from interest rate hikes and market volume growth, according to BofA Securities.

Although StoneCo Ltd (NASDAQ: STNE) reported its non-GAAP net income 48% below Street expectations, its operating trends reflected better revenue generation on robust TPV growth, take rate expansion and lower administrative expenses, according to BofA Securities.

Alcoa Corp (NYSE: AA) aims to become first quartile in aluminum by 2024, while the sentiment is bullish for aluminum due to capped Chinese supply, potential risks on Russia’s supply and Europe facing supply headwinds due to high energy costs, according to BofA Securities.

Following Ascendis Pharma’s (NASDAQ: ASND) reporting of positive topline Phase III data for its PaTHway trial of TransCon PTH (TCP) in adults with hypoparathyroidism, the likelihood of success of its TCP has increased from 60% to 75%, according to BofA Securities.

While there is heightened geopolitical risk and macro uncertainty, the U.S. labor market remains solid, according to BofA Securities, which made rating changes to four stocks in the payments sector Wednesday.  The Payments Analyst: In separate reports, analyst Jason Kupferberg changed the ratings and price targets for four payment stocks.

There seems to be more runway for big oils and the geopolitical disruption scenarios seem underpriced, according to BofA Securities. The European Oil & Gas Outlook: Analyst Christopher Kuplent named Shell and TotalEnergies as the Big Oil top picks and changed the target prices for:

Against the backdrop of the Russia-Ukraine conflict, the U.S. defense budget could increase to 3.5% to 4% of GDP, according to BofA Securities. The Defense Analyst: Ronald Epstein reiterated the ratings for defense stocks while raising their price targets.