Track market-moving stories before they get noisy

Paramount Skydance CEO David Ellison wants California Attorney General Rob Bonta's state and its counterparts to post a bond to cover the merger delay costs. Angela Weiss/AFP via Getty Images; Mel Melcon / Los Angeles Times via Getty Images David Ellison wants those challenging his Warner Bros. Discovery deal — including California and 11 other states — to be prepared to pay nearly $1.9 billion if they lose their lawsuit.

Paramount Skydance's $110 billion WBD acquisition is on pause after lawsuits from 12 states and the Writers Guild of America, which argued the deal is anticompetitive. A federal judge said the plaintiffs "raised serious questions" in their lawsuit and set a trial date for early March.

Ellison's company now wants the judge to order its legal opponents to post a $1.88 billion bond that Paramount would receive if it eventually prevails in court.

Paramount has agreed to pay WBD shareholders a "ticking fee" of nearly $7 million per day that its deal isn't closed, starting October 1. By the time the trial concludes, Paramount would owe $1.3 billion in ticking fees that would be "unrecoverable," the company said on Monday, adding that it's also missing out on "significant additional cost savings" by not closing the WBD deal now.

Corey Martin, an M&A lawyer who's head of the entertainment finance practice at Los Angeles-based firm Granderson Des Rochers, said it was "very unlikely" that Paramount would convince the judge that the plaintiffs should be on the hook for the ticking fees.

The judge can decide whether the plaintiffs need to post a bond and, if so, in what amount.

"I would be surprised if they could apply the proceeds of any bond toward the ticking fee," Martin said.

When Nexstar was hit with an antitrust case after buying rival Tegna, the TV station giant asked the court to require the plaintiffs to post a $150 million bond. The judge required only a $10,000 bond.

Paramount has already secured approval from every other relevant regulatory authority, including the US Department of Justice and the European Commission.

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Media Warner Bros.

 | Source: Targa Resources Corp.

Highlights

Establishes new 20-year fee-based, integrated midstream agreements to support ExxonMobil’s development of its premier Permian Basin acreageEstablishes an extensive new area of mutual interest (AMI) across the Permian Delaware for gathering and processing, and downstream services for 20 yearsAdds new acreage to our existing AMI in the Permian MidlandExtends Targa’s current Permian Midland agreements to 20 years for gathering and processing, and downstream servicesAdds a new 20-year NGL dedication for transportation and fractionation services across both the Permian Delaware and Permian MidlandAnnounced today three new natural gas processing plants in the Permian Delaware to support production growth in the areaEvaluating up to five additional new processing plants in the Permian Delaware to accommodate expected production growth in the area over the longer termAnnounced today a new ~70-mile natural gas pipeline in the Permian Delaware (“Bull Run II”) to increase natural gas takeaway capacity to the Waha HubFurther enhances Targa’s existing long-term relationship with ExxonMobilUpdating full year 2026 net growth capital estimate to ~$5.0 billion HOUSTON, Aug. 17, 2026 (GLOBE NEWSWIRE) -- Targa Resources Corp. (NYSE: TRGP) (“Targa” or the “Company”) today announced the execution of new long-term, integrated midstream agreements with subsidiaries of ExxonMobil, further strengthening the parties’ strategic relationship across the Permian Basin.

Targa has entered into long-term fee-based agreements with ExxonMobil for integrated natural gas gathering and processing (“G&P”) and downstream services in the Permian Basin. These agreements meaningfully add to and extend our strategic relationship with ExxonMobil with significant acreage dedications in the Delaware and Midland basins under 20-year agreements.

In the Permian Delaware our agreements with ExxonMobil add significant new acreage dedications for integrated fee-based services, including gathering, processing, treating, NGL transportation, and fractionation through 2046. In the Permian Midland, our agreements add new acreage dedications and extend our existing fee-floor gathering and processing agreements through 2046. The agreements in both the Delaware and Midland include 20-year NGL dedications to Targa’s logistics and transportation (“L&T”) systems.

The new commercial agreements will add substantial long-term volume growth across Targa’s integrated wellhead to water position, utilizing our existing infrastructure, projects currently underway, and planned future system expansions. Targa’s commercial success is a result of our proven execution capabilities, expansive integrated footprint and strong operational reliability. We expect these agreements will add to Targa’s overall growth rate over the medium and long term.

“We are excited to meaningfully expand our strategic relationship with ExxonMobil,” said Matt Meloy, Targa’s Chief Executive Officer. “Our track record has positioned us as an attractive partner, and a provider of exceptional execution and reliability for our producer customers. As the largest gatherer and processor in the Permian, we continue to invest across our footprint and our execution allows Targa the unmatched ability to handle our customers’ long-term production growth plans. We expect this expansion of our strategic relationship with ExxonMobil to meaningfully add to Targa’s strong growth rate well into the next decade and bolster our outlook for durable and growing adjusted free cash flow over the long term.”

Growth Project Update and 2026 Capital Outlook

To accommodate our customers’ continued growth plans and these new commercial agreements, Targa announced three new natural gas processing plants in the Permian Delaware, the Wrangler, Ranger and Ranger II plants, with aggregate capacity of ~825 million cubic feet per day (MMcf/d). The three new plant additions are expected to be in service in the first half of 2028 and we are evaluating up to five additional new processing plants to accommodate expected production growth in the area over the longer term. Targa is also evaluating the timing of an additional fractionation train in Mont Belvieu.

Targa also announced a new ~70-mile natural gas pipeline as part of our Bull Run residue system in the Permian Delaware (“Bull Run II”). The pipeline will provide natural gas takeaway from the new plant additions announced today to Waha and will be supported by take or pay commitments. Bull Run II is expected to begin operations in the first half of 2028.

We are updating our estimate for FY26 growth capital to ~$5.0B which incorporates expected investment in the new Delaware processing plants announced today, incremental associated field capital, and the Bull Run II natural gas pipeline. The new commercial success announced today adds long-term visibility to our growth, and we expect our plant, field and downstream infrastructure currently underway will be much needed to accommodate planned volume growth. 

About Targa Resources Corp.

Targa Resources Corp. is a leading provider of midstream services and is one of the largest independent infrastructure companies in North America. The Company owns, operates, acquires and develops a diversified portfolio of complementary domestic infrastructure assets, and its operations are critical to the efficient, safe and reliable delivery of energy across the United States and increasingly to the world. The Company’s assets connect natural gas and NGLs to domestic and international markets with growing demand for cleaner fuels and feedstocks.

Targa is a FORTUNE 500 company and is included in the S&P 500.

For more information, please visit the Company’s website at www.targaresources.com.

Forward-Looking Statements

Certain statements in this release are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements, other than statements of historical facts, included in this release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future, are forward-looking statements, including statements regarding the Company’s projected financial performance, capital spending, payment of future dividends and stock repurchase activity. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of uncertainties, factors and risks, many of which are outside the Company’s control, which could cause results to differ materially from those expected by management of the Company. Such risks and uncertainties include, but are not limited to, actions taken by other countries with significant hydrocarbon production, weather, political, economic and market conditions, including a decline in the price and market demand for natural gas, natural gas liquids and crude oil, the timing and success of the Company’s completion of capital projects and business development efforts, including the Company’s realization of the expected benefits of new commercial agreements, the expected growth of volumes on the Company’s systems, the impact of significant public health crises, commodity price volatility due to ongoing or new global conflicts, changes in laws and regulations, particularly with regard to taxes, tariffs and international trade, and other uncertainties. These and other applicable uncertainties, factors and risks are described more fully in the Company’s filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K, and any subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. The Company does not undertake an obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

Targa Investor Relations
[email protected]
(713) 584-1133

Key Takeaways QuidelOrtho gained 31.7% in three months as core diagnostics growth and cost actions supported profits.QDEL cut 2026 revenue, adjusted EBITDA and earnings guidance amid China and respiratory weakness.QuidelOrtho held $123.4 million in cash against $2.89 billion in debt as gross margin fell 130 basis points. QuidelOrtho Corporation (QDEL - Free Report) has gained 31.7% in the past three months, but the rally now faces a mixed operating backdrop. Core diagnostics businesses are still growing, and cost actions are lifting profitability, even as China and respiratory demand weaken.

The next leg higher may depend on whether those operating gains can offset lower guidance, margin pressure and a heavily leveraged balance sheet.

QDEL’s Core Businesses Show Resilient GrowthSecond-quarter 2026 revenues rose 2.8% year over year to $630.9 million. Labs revenues increased 3.6%, Immunohematology grew 1.4% and Point of Care advanced 16.3%.

Excluding China, revenues grew 6% at constant currency. Labs revenues outside China rose 9%, while Immunohematology revenues outside China increased 5%, supporting management’s view that the core franchises remain comparatively resilient.

Image Source: Zacks Investment Research

QuidelOrtho’s Cost Actions Support ProfitabilityAdjusted EBITDA increased 21% year over year to $129 million in the second quarter, while adjusted EBITDA margin reached 20.5%. Operating expenses as a percentage of revenues also improved 40 basis points.

The Optimization Plan continues to target facility consolidation, procurement savings and distribution rationalization. QuidelOrtho still expects roughly $50 million of net cost savings through 2027, which could help support profitability while revenue growth remains uneven.

QDEL Faces a Sharp China SlowdownChina revenues fell 18.7% on a reported basis and 23.3% at constant currency in the second quarter. Slower distributor purchases ahead of national in-vitro diagnostics pricing changes were a key drag on the region.

Management observed customers reducing inventories faster than expected after quarter-end and expects China challenges to persist through the remainder of 2026. The timing and implementation of the revised pricing guidelines remain uncertain, limiting near-term demand visibility.

QuidelOrtho’s Lower Outlook Tests the RallyQuidelOrtho cut its 2026 revenue guidance to $2.52-$2.60 billion from $2.70-$2.75 billion. Adjusted EBITDA guidance dropped to $540-$560 million from $615-$630 million, while adjusted earnings guidance fell to 65-90 cents per share from $1.80-$2.00.

The company also adopted more conservative assumptions for the 2026-2027 respiratory season after lower U.S. positivity rates and softer Southern Hemisphere indicators. That approach reduces expectations for a seasonal rebound and keeps near-term earnings visibility constrained.

QDEL’s Financial Risks Could Limit Further UpsideAdjusted gross margin contracted 130 basis points to 44.4% in the second quarter. QuidelOrtho ended the period with $123.4 million in cash against $2.89 billion of total debt, while cumulative operating cash use reached $143.6 million.

Competition also remains substantial. Abbott Laboratories (ABT - Free Report) reported $3.1 billion in second-quarter Diagnostics sales, while Danaher Corporation (DHR - Free Report) completed its Masimo acquisition in June, adding specialty diagnostics and patient-monitoring capabilities to its Diagnostics segment.

QDEL’s Bearish Signal Calls for CautionThe 31.7% three-month advance shows that QDEL has already made a sizable move, but sustaining it may require better cash conversion and evidence that cost improvements can overcome China weakness, respiratory volatility and margin pressure.

The stock currently carries a Zacks Rank #5 (Strong Sell), a bearish signal that reflects unfavorable earnings estimate revisions. QDEL has a Value Score of B, suggesting that its valuation characteristics are relatively favorable. However, the Growth Score of F and Momentum Score of F point to weak growth and price-momentum attributes, while the VGM Score of D indicates an unfavorable overall combination of value, growth and momentum factors.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

SAXONBURG, Pa., Aug. 17, 2026 (GLOBE NEWSWIRE) -- Coherent Corp. (NYSE: COHR), a global leader in photonics, today announced that it has begun sampling of its 300mm high thermal conductivity silicon carbide (SiC) substrates to leading AI semiconductor partners. The milestone advances Coherent’s scalable materials platform for the growing thermal management requirements of artificial intelligence (AI) and high-performance computing (HPC) systems.

As AI processors move toward higher power densities, effective heat removal is becoming a primary constraint on system performance, reliability, and datacenter efficiency. Customer sampling moves Coherent’s 300mm SiC platform from internal development to customer evaluation across the AI semiconductor ecosystem.

Silicon carbide combines high thermal conductivity, mechanical strength, and thermal stability for next-generation heat spreaders and related packaging solutions. Coherent’s vertically integrated capabilities in SiC crystal growth, wafering, polishing, and characterization provide control across the production process and support progression toward future high-volume manufacturing. The high thermal conductivity substrates are engineered to improve heat spreading by up to 25% more than current solutions while maintaining compatibility with existing semiconductor manufacturing platforms.

“AI performance is increasingly constrained by the industry’s ability to remove heat from next-generation processors,” said Craig Mullaney, Senior Vice President and General Manager at Coherent. “Advanced SiC thermal management materials can play an important role in addressing that challenge. By combining decades of silicon carbide expertise with a scalable 300mm manufacturing platform, Coherent is helping build the materials foundation for future AI infrastructure.”

This milestone marks the next step in Coherent’s roadmap to expand its 300mm SiC platform for AI and high-performance computing. By combining customer engagement, vertically integrated materials expertise, and a scalable manufacturing strategy, Coherent is positioning its SiC capabilities to support successive generations of AI infrastructure.

For more information, please visit: https://www.coherent.com/news/press-releases/Coherent-expands-silicon-carbide-platform-with-300mm-capability-to-support-growing-demand-of-ai-and-datacenters.

About Coherent 

Coherent is the global photonics leader. We harness photons to drive innovation. Industry leaders in the datacenter, communications, and industrial markets rely on Coherent’s world-leading technology to fuel their own innovation and growth.

Founded in 1971 and operating in more than 20 countries, Coherent brings the industry’s broadest, deepest technology stack; unmatched supply chain resilience; and global scale to help its customers solve their toughest technology challenges. For more information, visit us at coherent.com.

Media Contact:
[email protected] 

An image accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/3c1bdb4c-c9ee-4556-ac7d-7022f3f1fce3

Coherent 300mm high thermal conductivity SiC substrates 300mm high thermal conductivity silicon carbide (SiC) substrates

Key Takeaways BOOT's comparable e-commerce sales rose 13.4%, driven by double-digit growth on bootbarn.com.Exclusive brand websites are gaining traffic and sales, led by Cody James.BOOT expects 13% e-commerce comp growth, ahead of its 3% retail-store comp outlook. Boot Barn Holdings, Inc. (BOOT - Free Report) delivered strong e-commerce performance in the first quarter, with comparable e-commerce sales increasing 13.4%, driven by double-digit growth on bootbarn.com. The company fulfills a large portion of online orders through its stores, helping enhance merchandise margins while giving customers access to a broader inventory assortment. The strong adoption of buy online, pick up in store and ship-to-store offerings is also driving store traffic, reducing fulfillment costs and enhancing customer engagement through a more seamless shopping experience across digital and physical channels.

The company continues to see strong traction across its exclusive brand websites, with both traffic and sales trending upward. Cody James remains the strongest performer among these sites, supported by its position as the company’s largest brand. Beyond direct sales, the sites are helping strengthen brand storytelling and brand building, with millions of sessions and visitors giving customers greater exposure to brands such as Cheyenne, Cody James and Hawx.

Boot Barn also noted that TikTok Shop continues to gain traction, supporting sales of both the company’s own brands and certain third-party brands. Management remains bullish as the platform continues to grow rapidly in the United States and has become a broad marketplace. The company is also using everyday influencers, including nano creators with fewer than 10,000 followers. Boot Barn is also partnering with different sororities ahead of the upcoming RushTok season.

The company continues to expect same-store sales to increase 4%, including a 3% increase in retail-store comps and 13% growth in e-commerce comps, highlighting stronger expected momentum in the digital channel. Overall, Boot Barn’s digital ecosystem remains an important part of its omnichannel strategy, with e-commerce growth, strong traffic to exclusive-brand sites and integrated digital and physical shopping capabilities supporting the company’s broader customer experience.

Zacks Rundown for BOOTBoot Barn’s shares have gained 15.8% in the past three months compared with the industry’s growth of 2.4%. BOOT presently carries a Zacks Rank #2 (Buy).

Image Source: Zacks Investment Research

From a valuation standpoint, Boot Barn trades at a forward price-to-earnings ratio of 17.23, higher than the industry’s average ratio of 13.51.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for BOOT’s current and next fiscal-year earnings implies year-over-year rallies of 22.6% and 10.5%, respectively.

Image Source: Zacks Investment Research

Other Stocks to ConsiderSome other top-ranked stocks have been discussed below:

FIGS, Inc. (FIGS - Free Report) operates as a direct-to-consumer healthcare apparel and lifestyle company in the United States and internationally. At present, FIGS carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for FIGS’s current fiscal-year sales and earnings implies growth of 18.2% and 57.9%, respectively, from the year-ago figures. FIGS has delivered a trailing four-quarter earnings surprise of 201.8%, on average.

Victoria’s Secret & Co. (VSXY - Free Report) operates as a specialty retailer of women's intimate apparel and other apparel and beauty products worldwide. At present, VSXY carries a Zacks Rank of 2.

The Zacks Consensus Estimate for VSXY’s current fiscal-year sales and earnings implies growth of 9.1% and 55.7%, respectively, from the year-ago figures. VSXY has delivered a trailing four-quarter earnings surprise of 81.9%, on average.

Fossil Group, Inc. (FOSL - Free Report) designs, develops, markets, and distributes consumer fashion accessories in the United States, Europe, Asia, and internationally. At present, FOSL carries a Zacks Rank of 2.

The Zacks Consensus Estimate for FOSL’s current fiscal-year sales indicates a decline of 4%, while the same for earnings indicates growth of 96.7% from the year-ago figures. FOSL delivered a trailing four-quarter negative earnings surprise of 236.2%, on average.

Key Takeaways Eaton's buyouts target data centers, aerospace and technologies tied to electrification, digitalization & AI.Boyd Thermal's liquid-cooling technology supports an integrated grid-to-chip offering for AI data centers.Acquired businesses contributed 7% to second-quarter 2026 growth. Boyd lifted Electrical Global sales by 25%. Eaton Corporation’s (ETN - Free Report) acquisition strategy is emerging as a key growth engine, strengthening its position in high-growth markets benefiting from electrification, digitalization and artificial intelligence. The company is selectively acquiring differentiated technologies that complement its power-management portfolio and can be cross-sold through its global customer network. Management prioritizes businesses with above-market growth potential, attractive returns and strong strategic alignment.

The AI-driven data-center expansion is the biggest catalyst. Acquisitions including Fibrebond, NordicEPOD, Resilient Power and Boyd Thermal enhance Eaton’s ability to address increasing power density and infrastructure complexity. Boyd Thermal, acquired for $9.55 billion in March 2026, is particularly significant. Its liquid-cooling technology enables Eaton to provide an integrated “grid-to-chip” solution as AI workloads sharply increase data-center power and cooling requirements.

Eaton is also expanding its aerospace capabilities. The $1.53 billion purchase of Ultra PCS in January 2026 added electronic controls, sensing and data-processing technologies, increasing the company’s exposure to mission-critical aerospace systems.

Acquisitions are already making a meaningful financial contribution. Eaton’s 2025 sales rose 10% to $27.4 billion, with acquired businesses contributing two percentage points of growth. Their contribution increased to 4% in the first quarter of 2026 and 7% in the second. Boyd alone added 25% growth to second-quarter Electrical Global sales, helping the segment deliver 44% sales growth and a 41% increase in operating profit.

Overall, these acquisitions expand Eaton’s addressable market, technological capabilities and exposure to powerful secular trends. Successful cross-selling and synergy realization could further strengthen growth, earnings and long-term competitive advantage.

What About ETN’s Peers?Emerson Electric Co. (EMR - Free Report) is using acquisitions to expand its market presence, strengthen customer relationships and enhance its technology portfolio. Through AspenTech, Emerson is accelerating its shift toward software-defined automation, gaining exposure to higher-growth, recurring-revenue markets. The acquisition strengthens Emerson’s digital capabilities while supporting long-term growth and margin expansion.

Powell Industries (POWL - Free Report) is enhancing its automation platform through Remsdaq, adding SCADA technology that complements its electrical hardware. For Powell, the deal enables integrated utility solutions, expands its automation capabilities and supports higher-margin growth. Powell views the acquisition as strategically and financially accretive.

ETN Price PerformanceShares of Eaton have gained 42.4% year to date, outperforming the industry.

Image Source: Zacks Investment Research

ETN’s Expensive ValuationEaton’s shares are trading at a premium compared with its industry. The company’s forward 12-month price-to-earnings of 30.11X is higher than its industry’s 25.74X.

Image Source: Zacks Investment Research

Estimate Movement for ETNThe Zacks Consensus Estimate for ETN’s third-quarter 2026 EPS did not witness any movement, while that for the fourth quarter moved 2.3% north in the past 30 days. The Zacks Consensus Estimate for 2026 and 2027 EPS has moved 1% and 1.1% north, respectively, in the past 30 days. 

Image Source: Zacks Investment Research

Nu Holdings (NU -2.33%) owns NuBank, the largest digital bank in Latin America. It served 139 million customers in the second quarter of 2026, representing 30% growth from a year earlier. As a digitally native bank, it expanded much faster than its brick-and-mortar peers.

Most of Nu's customers are located in Brazil, where it already serves more than half of the country's adult population. To gradually reduce its dependence on that maturing market, Nu is aggressively expanding in Mexico -- but that market has a higher ratio of non-performing loans. Nu is also ramping up its spending on additional products in Mexico -- including credit cards, bank deposits, loans, and other services -- to grow its revenue per active customer.

Image source: Getty Images.

Nu's customer base in Mexico grew 32% year over year to nearly 16 million customers in the second quarter. However, that expansion boosted its credit risk and average cost per active customer while compressing its margins. The Mexican government recently authorized Nu Mexico to operate as a full-fledged bank in the country. Still, that approval could also expose it to tighter regulations, stricter capital requirements, and other banking expenses. So is Nu's Mexican business finally starting to carry its own weight, or is it still its weakest link?

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What milestones has Nu's Mexican business achieved? Nu expanded into Mexico in 2020. Over the following five years, it launched its credit card, Cuenta Nu savings and debit accounts, Cajita digital savings app, and personal loans. It now serves 98% of all municipalities in Mexico, as well as 78% of customers outside major cities.

Before joining NuBank, 35% and 52% of its Mexican customers lacked bank accounts and credit cards, respectively. Only 63% of Mexican adults had bank accounts at the end of the second quarter, compared with 94% in Brazil. Nu still only serves 16.5% of Mexico's adult population -- so it still has plenty of room to expand.

Nu's Mexican business broke even for the first time in the first quarter of 2026. It reached that milestone two years faster than its flagship Brazilian business, and silenced the bears who had claimed the Mexican market would become a money pit.

Its average revenue per active customer (ARPAC) in Mexico also reached $12.30 in the second quarter, compared to Brazil's $5.60 at the equivalent phase of its expansion in the second quarter of 2020. All of those figures clearly indicate that Nu's Mexico business isn't just carrying its own weight -- it's becoming the fintech company's core growth engine.

Key Takeaways Petrobras confirmed hydrocarbons in the Morpho well, an exploration milestone in Block FZA-M-59.Further studies must assess the accumulation's size, quality and potential for commercial development.Petrobras' 100% ownership of FZA-M-59 gives it full control over the next exploration and evaluation stage. Petrobras (PBR - Free Report) , a Brazil-based integrated energy company, has confirmed the presence of hydrocarbons in the Morpho exploratory well in Block FZA-M-59, marking an important development in exploration along Brazil’s equatorial margin. The discovery was made in deep waters off the coast of Amapá, within the Amazon River Mouth sedimentary basin, an area being evaluated for its potential to support future oil and natural gas resources.

The Morpho well, officially identified as 1-BRSA-1405-APS, is located about 175 kilometers off the coast of Amapá at a water depth of approximately 2,886 meters. The result provides Petrobras with additional geological information as it evaluates the hydrocarbon potential of one of Brazil’s frontier offshore regions.

Petrobras Confirms Hydrocarbons in Block FZA-M-59Petrobras operates Block FZA-M-59 and holds a 100% working interest. The company acquired the block during Brazil’s 11th Bidding Round in 2013 under the concession regime administered by the National Agency of Petroleum, Natural Gas and Biofuels.

The identification of hydrocarbons is an encouraging exploration result, but it does not yet represent a declaration of commercial reserves. Petrobras must conduct additional geological and technical studies to determine the nature, size and quality of the accumulation and assess whether it can support future development.

The finding nevertheless strengthens the company’s exploration portfolio and provides another data point for evaluating the petroleum system of the Amazon River Mouth basin.

Morpho Well Highlights Brazil’s Equatorial Margin PotentialThe Morpho well was drilled in an exceptionally deepwater environment, with the seabed nearly 2,900 meters below sea level. Its offshore location underscores the technical complexity involved in exploring Brazil’s equatorial margin.

Beyond the hydrocarbons encountered, the well is expected to generate geological information that could help Petrobras better understand subsurface structures, reservoir properties and the region’s broader petroleum system. Such data can be valuable when determining whether additional prospects warrant exploration.

The Amazon River Mouth basin is part of Brazil’s equatorial margin, where companies have shown growing interest in identifying new oil and gas resources. For Petrobras, exploration success in this area could help expand its understanding of a relatively less-developed offshore frontier.

Exploration Supports Petrobras’ Reserve StrategyThe discovery aligns with Petrobras’ broader strategy of maintaining its resource base through continued exploration. As producing fields mature and natural declines affect output over time, successful exploration becomes important for identifying resources that could eventually replace produced reserves.

Petrobras has extensive experience operating in deepwater and ultra-deepwater environments, particularly in Brazil. That expertise provides an operational advantage as the company evaluates technically challenging frontier opportunities such as FZA-M-59.

However, the commercial significance of the Morpho well will depend on the results of subsequent evaluation. Petrobras will need to determine the extent of the accumulation, reservoir characteristics and recoverability before establishing its development potential.

Implications for Brazil’s Energy OutlookPetrobras has linked exploration in frontier areas with Brazil’s objective of maintaining energy security while advancing its energy transition. The company continues to view oil and natural gas as important components of the country’s energy system even as renewable and lower-carbon sources expand.

A successful exploration program could provide Brazil with additional resource options over the longer term. It could also generate economic benefits through investments in offshore infrastructure, specialized services, technology and potential future production.

Any development arising from the Morpho discovery would, however, remain subject to technical and economic assessments as well as environmental and regulatory requirements.

What the Morpho Discovery Means for PetrobrasThe immediate significance of the Morpho well is the confirmation that hydrocarbons are present in a previously less-developed area of the equatorial margin. This gives Petrobras additional geological insight while supporting its efforts to evaluate new offshore resources.

The 100% ownership and operatorship of Block FZA-M-59 also give Petrobras full control over the next stage of exploration and evaluation. The company can incorporate the well results with geological and geophysical data from the surrounding area to improve its assessment of the basin.

The discovery should therefore be viewed as an important exploration milestone rather than a completed development project. Further appraisal work will determine whether the hydrocarbons encountered can ultimately translate into commercially recoverable resources.

For Petrobras, the Morpho result reinforces the potential strategic value of Brazil’s equatorial margin and the role of frontier exploration in sustaining its long-term resource base. For the country, it adds to the geological understanding of an emerging offshore region that could become increasingly important to Brazil’s future oil and gas supply.

PBR's Zacks Rank & Key PicksCurrently, PBR has a Zacks Rank #4 (Sell).

Investors interested in the energy sector might consider some better-ranked stocks, such as Par Pacific (PARR - Free Report) and Delek US Holdings (DK - Free Report) , both sporting a Zacks Rank #1 (Strong Buy), and Oceaneering International (OII - Free Report) , carrying a Zacks Rank #2 (Buy) at present. You can seethe complete list of today’s Zacks #1 Rank stocks here.

Par Pacific is valued at $4.02 billion. It is a diversified energy company that owns and operates petroleum refineries, logistics assets and retail fuel businesses across the United States. Par Pacific focuses on refining, transporting and marketing fuel products while serving regional markets with reliable energy solutions.

Delek US Holdings is valued at $4.01 billion. It is a diversified downstream energy company engaged in petroleum refining, renewable fuels, asphalt production and logistics operations. Delek US Holdings operates multiple refineries in the United States and is committed to delivering safe, reliable energy while investing in cleaner energy initiatives.

Oceaneering International is valued at $5.20 billion. It is a global technology and engineering company. Oceaneering International provides subsea robotics, offshore services, engineered products and advanced solutions to the energy, defense, aerospace and other industries.

Key Takeaways CAVA gained 19.2% in a week as fresh earnings results sharpen focus on its operating momentum.CAVA's revenue rose 31.3%, EPS topped estimates, traffic grew 5.3%, and 17 net new restaurants opened.CAVA's 5.17 forward P/S ratio remains a premium, while restaurant-level margins fell 60 basis points. CAVA Group, Inc. (CAVA - Free Report) shares gained 19.22% in the past week, putting fresh attention on whether operating momentum can keep pace with investor expectations.

The move should not be assigned to any single development. CAVA's latest earnings, traffic, restaurant expansion and valuation instead provide a framework for judging whether the recent price strength is supported by business performance.

CAVA's 19.2% Jump Meets a Fresh Earnings BeatCAVA reported fiscal second-quarter 2026 earnings of $0.19 per share, up from $0.16 a year earlier and 5.6% above the Zacks Consensus Estimate of $0.18. Total revenues increased 31.3% year over year to $368.44 million and topped the consensus mark of $353 million by 4.4%.

Those results add fundamental context to the stock's one-week advance. They show that sales and earnings improved sharply in the quarter, but they do not establish that the earnings report caused the share-price move.

CAVA Traffic and Unit Growth Reinforce MomentumSame-restaurant sales rose 9%, with guest traffic contributing 5.3% and menu price and product mix adding 3.7 percentage points. Average unit volume increased to $3.09 million from $2.94 million a year earlier.

CAVA opened 17 net new restaurants and ended the quarter with 476 locations, up 19.6% year over year. New restaurant productivity remained above 100%, and the company reaffirmed its fiscal 2026 plan for 75-77 net new openings.

CAVA Margins Reveal the Cost of Growth InvestmentsRestaurant-level profit increased 28.1% year over year to $93.81 million, but restaurant-level profit margin declined 60 basis points to 25.7%. Higher sales therefore produced more restaurant-level profit dollars without preventing margin compression.

Food, beverage and packaging costs rose 50 basis points to 30% of CAVA revenues, largely because of salmon input costs. Labor costs increased 30 basis points to 25.3% as CAVA made an incremental 3% wage investment, while other operating expenses rose 40 basis points to 12.8% on a higher third-party delivery mix.

CAVA's Premium Valuation Raises the BarCAVA trades at a forward 12-month price-to-sales ratio of 5.17, versus 3.16 for its Zacks sub-industry and 1.51 for the broader Zacks sector. The multiple is below CAVA's two-year median of 6.83, but it still represents a sizable premium to both comparison groups.

Chipotle Mexican Grill, Inc. (CMG - Free Report) reported second-quarter 2026 comparable restaurant sales growth of 2.2% and a restaurant-level operating margin of 25.2%. Shake Shack Inc. (SHAK - Free Report) posted same-Shack sales growth of 3.5% and a restaurant-level profit margin of 23.0% in its latest quarter. These peers provide useful operating context, though their concepts and scales differ from CAVA's.

CAVA's Mixed Signals Temper the Momentum CaseThe bottom line is that CAVA's recent stock strength is accompanied by rapid revenue growth, positive traffic and continued unit expansion, while margin pressure and a premium valuation keep the execution bar high.

CAVA currently carries a Zacks Rank #3 (Hold). It also has a Growth Score of A, a Value Score of F, a Momentum Score of F and a VGM Score of D. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Growth Score points to favorable growth characteristics under the Zacks Style Score framework. The F grades for Value and Momentum indicate weaker characteristics in those styles, while the VGM Score of D reflects an unfavorable combined profile across value, growth and momentum. Together with the Zacks Rank #3, the scores support a more balanced view of CAVA's near-term prospects rather than a clear-cut signal from the one-week rally alone.

For the past several years, USA Rare Earth (USAR -4.77%) has focused on financing projects, building manufacturing capacity, and assembling a domestic rare-earth supply chain. Those investments are finally beginning to produce commercial products, which means the market can now evaluate the company based on production, customer demand, and revenue growth rather than construction milestones.

USA Rare Earth recently commissioned the first phase of its commercial magnet production line at its facility in Stillwater, Oklahoma, enabling the company to begin fulfilling customer orders for its permanent magnets. Management says the facility represents the first new large-scale U.S. rare-earth magnet manufacturing plant in decades. Those magnets, by the way, are used in electric vehicles, robotics, aerospace, defense systems, and AI-related infrastructure. These are all industries that will be in high demand for the foreseeable future.

Here's what this could all mean for USA Rare Earth and the stock going forward.

Moving beyond the mine When it comes to rare-earth companies, mining alone captures only a portion of the industry's economics. In fact, the higher-value opportunity actually lies in processing rare-earth oxides and manufacturing permanent magnets. China still dominates much of that supply chain, making domestic production a strategic priority for both governments and manufacturers. USA Rare Earth is trying to build that entire value chain.

Image source: Getty Images.

In addition to its Oklahoma magnet facility, the company continues advancing development of its Round Top rare-earth project in Texas while expanding processing capabilities through strategic investments, including its recently completed investment in French rare-earth processor Carester. That partnership gives USA Rare Earth additional access to separation capacity while strengthening its position in the global supply chain.

The company also remains well-capitalized, with a balance sheet providing a decent amount of flexibility. USA Rare Earth ended the second quarter with approximately $1.53 billion in cash and cash equivalents. During the quarter, the company also finalized agreements with the U.S. Department of Commerce for access to up to $1.6 billion in CHIPS Act funding.

Management says that this capital will support the continued ramp-up of its Stillwater magnet facility, construction of a new magnet and metals manufacturing operation in South Carolina, and ongoing development of the Round Top rare-earth project.

Today's Change

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Of course, that doesn't mean the hard part is over. Commercial manufacturing is very different from building a facility. We now need to see consistent production volumes, customer wins, and growing revenue, rather than simply new construction announcements.

What will drive the stock Demand does appear to be working in the company's favor. Electric vehicles, humanoid robots, wind turbines, military equipment, and AI data centers all rely on high-performance permanent magnets. At the same time, the U.S. and Europe continue investing billions of dollars to reduce dependence on China's rare-earth supply chain. That creates a favorable backdrop for companies capable of producing magnets outside China.

Until recently, buying USA Rare Earth largely meant betting that management could finance and build a domestic rare-earth business. Now the focus shifts to whether the company can successfully manufacture, deliver, and scale commercial production. That's a much more measurable business.

The stock will almost certainly remain volatile as production ramps. But each commercial shipment, customer agreement, and increase in manufacturing output provides another data point you can use to evaluate execution. After years spent building the business, USA Rare Earth is finally entering the phase where results, not construction updates, are likely to drive the stock.

Paramount Skydance will seek to force the states holding up its merger with Warner Bros. Discovery to pay for the fees and costs associated with the delay, according to a new filing in the antitrust case Monday.

Paramount is requesting a $1.88 billion bond that would be posted by the states behind the lawsuit. In July, a dozen state attorneys general led by California's Rob Bonta filed to challenge the proposed $110 billion merger between Paramount and WBD.

The proposed deal would combine two storied film studios — Paramount and Warner Bros. — as well as put together a sprawling portfolio of pay TV networks in the U.S. and streaming platforms HBO Max and Paramount+.

The group of state attorneys general said in its initial filing that the merger would violate the Clayton Antitrust Act, which is the more-than-100-year-old law that prohibits anticompetitive mergers and acquisitions.

In a statement from a Paramount spokesperson, the company pointed to the Clayton Antitrust Act and other federal law that calls on the plaintiffs — or states in this case — being required "to post a bond covering the potential harm from halting a transaction to litigate."

"Here, every month of delay carries substantial and quantifiable financial consequences," Paramount said in its statement.

A representative from Bonta's office didn't immediately respond to a request for comment on Monday.

Paramount has received regulatory approvals from the Antitrust Division of the U.S. Department of Justice, as well as all other global jurisdictions needed to move forward with the merger. But last month, Paramount agreed to delay the proposed acquisition to as late as June 2027 while the state AGs' case heads to trial.

Paramount long planned to have the deal closed by the end of September. The delay could prove costly for Paramount.

Paramount agreed to a so-called ticking fee under the terms of the merger agreement, meaning that beginning Sept. 30 it would pay WBD shareholders an additional 25 cents per share, per quarter, until the deal closes. The amount could add up to roughly $650 million in cash value per quarter.

"By the time trial concludes and the parties submit their final briefs, Paramount will have paid Warner Bros. shareholders an unrecoverable $1.3 billion in ticking fees alone," Paramount said in the filing. "Delay also threatens to nullify the regulatory approvals that Defendants have already spent months securing."

"Absent security, even a complete victory on the merits would not restore a dollar of those extraordinary losses. That is precisely why federal law requires plaintiffs to provide security as a condition for receiving preliminary relief such as the court-approved order," the filing says.

In Paramount's statement, the company said that the $1.88 billion amount is a "straightforward calculation of the maximum potential ticking consideration and financing costs from this litigation."

However, the statement goes on to add that these are not the only costs associated with delaying the deal: "By virtue of what will be at least an eight-month delay in closing, there will be no integration and no ramped-up investment in content, production, and creative talent by the combined company. Of course, in addition, employees of both Paramount and WBD are also harmed by the uncertainties caused by the delay."

In addition to California, the group of states suing to block the merger includes Arizona, Colorado, Connecticut, Massachusetts, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon and Washington.

Apple
AAPL -0.15% 96

is facing pressure from the U.S. government over plans to source memory components from Chinese suppliers, adding another complication to the company's efforts to secure chips amid tight global supply.

Commerce Secretary Howard Lutnick said the Trump administration does not support Apple purchasing memory from Chinese manufacturers. He also indicated that the government has urged the company to expand its domestic manufacturing operations.

Apple has been evaluating memory supplied by China-based ChangXin Memory Technologies, or CXMT, for potential use in products including iPhones and MacBooks, according to The Wall Street Journal. The company is not prohibited from purchasing commercially available components from Chinese suppliers, although some transfers of product information require U.S. licensing.

The issue comes as artificial-intelligence demand puts pressure on the broader memory market. Apple's shares closed at $305.26 on Aug. 14 and rose 0.22% during the session. The company had a market capitalization of about $4.46 trillion, while its forward price-to-earnings ratio stood at 34.77.

The administration has also encouraged Apple to shift more manufacturing activity to the U.S., potentially adding supply-chain costs and execution challenges as the company evaluates alternative sources for memory components.

Check the Warning Signs for

AAPL

now!

Social media giant Meta is heading to court in a case brought by a group of state attorneys general who claim the company designed its social media platforms to be addictive and misled the public about potential risks.

The trial is expected to begin with opening statements on Tuesday in the U.S. District Court for the Northern District of California in Oakland after the two sides went through the jury selection process last week and Judge Yvonne Gonzalez Rogers turned down Meta's request for the case to be dismissed. The trial is expected to last four to six weeks, with Meta CEO Mark Zuckerberg expected to testify.

Attorneys general from California, Colorado, Kentucky and New Jersey first filed the lawsuit in 2023 after a multistate investigation into the impact of Facebook and Instagram on young users. They argue that the platforms were designed to be addictive and that the company downplayed the potential impact on young people, while also alleging Meta violated federal law when it collected personal information from children.

Attorneys general from California, Colorado, Kentucky and New Jersey first filed the lawsuit in 2023 after a multistate investigation into the impact of Facebook and Instagram on young users. (Mike Blake/Reuters)

Meta, which is the parent company of Facebook and Instagram, has denied wrongdoing and disputes claims that its social media platforms caused the harm alleged by states. It also argues that "social media addiction" isn't an officially recognized psychiatric diagnosis, which will be a significant point of contention at trial.

FOUR STATES SEEKING $1.4 TRILLION IN PENALTIES IN CHILD SOCIAL MEDIA ADDICTION TRIAL, META SAYS

California Attorney General Rob Bonta issued a statement last week after the court allowed the case to proceed, saying, "Meta designed a dangerous product for young users, knew it to be dangerous, and then lied to children, families, and the community about how dangerous it was."

A Meta spokesperson pushed back on the states' case against the company and said in a statement to FOX Business that the "limited claims are unsubstantiated and their financial demands are vastly disproportionate."

"The AGs offer no proof anyone in their states was misled, claim benign features like having an additional Instagram account somehow harmed their residents, and attempt to penalize Meta for industry-wide challenges like age verification. Rather than sticking to the facts or the law, the states have instead decided to chase an outlandish payout," the company spokesperson said, adding that the company stands by its "record of creating strong protections for teens, and look forward to making our case in court."

Ticker Security Last Change Change % META META PLATFORMS INC. 589.85 -5.12 -0.86% Meta has argued that the damages sought by the state attorneys general could reach as high as $1.4 trillion, which is nearly the size of the company's market capitalization – though the AGs haven't disclosed the amount they plan to seek at trial and will likely do so once the trial begins.

NEW MEXICO COURT ORDERS META TO PAY $567M, OVERHAUL TEEN PROTECTIONS

Monte Mann, a partner at Armstrong Teasdale, told FOX Business in an interview that this will be a "bellwether case" for the theory that social media platforms were designed to be addictive and have harmful effects on young users.

Mann said that as someone who has tried cases like this one, he will be paying close attention to what internal Meta documents indicate about the company's knowledge of the allegedly compulsive nature of its products and their mental health impact, saying those documents "may be the star witness in the case."

"I will be very interested to see what the internal Meta, Facebook, Instagram documents say about what they knew of the compulsive nature of these products and services; when they knew it; whether they tried to enhance their design elements to take advantage of those things, what they disclosed to the public," he said.

Meta has argued that the damages sought by the state attorneys general could reach as high as $1.4 trillion. (Mike Blake/Reuters)

Mann also noted that Judge Gonzalez Rogers appointed an advisory jury in the case, which can provide feedback and recommendations on community standards for children's use of social media that she may consider.

META, OTHER COMPANIES MUST FACE THOUSANDS OF LAWSUITS OVER CHILD SOCIAL MEDIA ADDICTION, APPEALS COURT RULES

The Oakland trial is the latest high-profile case involving social media companies like Meta, which have faced numerous lawsuits brought by individuals, school districts and state governments over the alleged impacts of social media use on children.

A ruling in another prominent case was delivered earlier this month when a state court in New Mexico ordered Meta to pay $567 million and to overhaul its protections for teen users on Facebook and Instagram.

That followed a prior ruling from March which ordered Meta to pay $375 million for violating state law, with the company's total liability in the case at nearly $942 million.

Meta told FOX Business after the most recent ruling that it disagreed with the decision and vowed to appeal, explaining that the company is "confident in our record of protecting teens online and will continue to defend ourselves against claims that misrepresent the facts."

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FOX Business' Michael Sinkewicz, Sumner Park and Reuters contributed to this report.

Key Takeaways Nokia's Network Infrastructure sales rose to 2.04 billion euro, fueled by strong AI & Cloud demand.AI & Cloud sales surged 105%, while Optical Networks and IP Network revenues grew 20% and 16%, respectively.Nokia is expanding optical capacity as telecom modernization adds another growth driver. Nokia Corporation (NOK - Free Report) is benefiting from solid revenue growth in the Network Infrastructure segment. During the second quarter, net sales from Network Infrastructure totaled €2.04 billion ($2.37 billion), increasing from €1.83 billion in the year-ago quarter. There are multiple factors driving this growth.

The rapid expansion of AI infrastructure has substantially increased the need for high-capacity connectivity. Nokia, with its robust Optical Network and IP network portfolio, is capitalizing on this emerging trend. In the second quarter, AI & Cloud net sales increased 105% year over year, while AI & Cloud order intake reached 2.8 billion euros.

During the second quarter, Optical Networks revenues grew 20% year over year on a constant currency (cc) basis, while IP Network grew 16% on a cc basis, backed by growing AI infrastructure spending. Nokia is actively expanding its optical manufacturing capacity to support the growing demand. Its new San Jose facility is expected to scale production in the fourth quarter of 2026. The Pennsylvania advanced test and packaging capacity is being increased 10x. These capacity expansions will help the company support expanding demand in the next several years.

Telecom network modernization remains a secondary growth driver. Telecom networks are also extending and enhancing their network to support high-bandwidth applications and  AI workloads. This is also expected to remain a growth driver for upcoming quarters.
Weakness in the Fixed networks business remains a drag on this segment’s net sales growth. Lower sales of consumer-premise fiber products are impacting revenues.

How are Competitors Faring?Nokia faces competition from Ciena Corporation (CIEN - Free Report) and Arista Networks, Inc. (ANET - Free Report) in the Network Infrastructure segment. Ciena is witnessing solid demand trends as AI applications drive higher network traffic and bandwidth consumption across cloud and service provider environments. The company’s Optical Networking revenues increased to $1.10 billion from $773.6 million a year ago in the second quarter of 2026.

The company offers high-capacity optical transport, coherent optics and data-center interconnect solutions. This helps cloud providers and network operators handle rapidly increasing bandwidth requirements. Ciena is also targeting AI infrastructure with higher-capacity optical technologies, putting it in direct competition with Nokia.

Arista Networks competes with Nokia primarily in IP and data-center networking. The company boasts a strong presence in high-speed Ethernet switching and routing. This gives Arista exposure to the rapid expansion of AI data centers. During the second quarter of 2026, the company exceeded 100 cumulative AI fabric customers using Etherlink switches compared with only a handful of early adopters in 2024. Management also expects AI revenues to reach at least $3.6 billion in 2026, supported by scale-up, scale-out and scale-across deployments.

NOK’s Price Performance, Valuation & EstimatesNokia shares have soared 153.2% over the past year compared with the industry’s 38.2% growth.

Image Source: Zacks Investment Research

From a valuation standpoint, Nokia trades at a forward price-to-sales ratio of 2.47, below the industry tally of 5.06.

Image Source: Zacks Investment Research

Earnings estimates for 2026 have declined 2.5% to 39 cents over the past 60 days, while those for 2027 have increased 2.04% to 50 cents.

Image Source: Zacks Investment Research

Nokia currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Nike Inc (NYSE:NKE, XETRA:NKE) shares fell 4.3% Monday to their lowest level since September 2014, extending a decline that has now wiped out more than $200 billion in market value since the stock's 2021 record high, a drop of 78%.

Soft direct-to-consumer sales and a fresh analyst downgrade weighed on the stock as it hovered near multi-year lows. Analysts project revenue will stay muted next quarter as the company continues working through a structural reset of its retail business.

UBS said secondary-market prices for Nike and Jordan footwear weakened year-over-year in July, citing new UBS Evidence Lab data. Nike brand shoe prices in the secondary sneaker market fell 2.9% y/y in July, the third straight month of decline and a roughly 120-basis-point deterioration from a 1.7% decrease in June. Jordan brand prices fell 2.8% y/y in July, an 480-basis-point deterioration from 2.0% growth in June.

UBS called the data "a modest negative" for Nike, noting the company still has considerable work ahead to restore sustainable sales growth and meaningful margin expansion, while the market continues to price in a solid turnaround.

UBS said secondary-market data serves as a reasonably good proxy for brand momentum, and that Nike's stock is likely to improve once investors gain confidence the company's growth rate has bottomed and visibility emerges into a return to sustainably positive growth. July's data did not show that inflection, the bank said, as Nike's decline deepened and Jordan moved back into negative territory.

Key Takeaways BAC will invest $1.9 billion for up to a 49.9% stake in Jio Credit, expanding its footprint in India.BAC will gain equal board representation, combining its know-how with Jio Credit's digital lending platform.BAC gains exposure to Jio Credit's lending platform through its strategic investment in India. Bank of America Corporation (BAC - Free Report) is strengthening its presence in India by investing approximately $1.9 billion for up to a 49.9% stake in Jio Credit Limited (JCL), the lending subsidiary of Jio Financial Services (JFSL). The investment will provide BAC with exposure to India’s rapidly growing credit market while leveraging Jio Financial Services’ digital reach, customer base and local expertise.

The transaction will enable BAC to combine its global financial-services expertise, technology, governance and risk-management capabilities with Jio Credit’s digital-first lending platform. The partnership is expected to create long-term growth opportunities for BAC as Jio Credit expands its lending operations across India.

BAC’s strong digital capabilities, with 86% of relationship clients digitally active in the second quarter of 2026, could complement Jio Credit’s digital reach and local market expertise. With Jio Credit’s AUM reaching $3.2 billion (~INR30,667 crore) as of June 30, 2026, up 2.6x year over year, BAC will gain exposure to a rapidly scaling lending business while supporting its expansion into existing and new lending products. The partnership will also provide BAC with equal representation on Jio Credit’s board, giving it a direct role in the subsidiary’s strategic direction and governance.

Digitally Active Client Relationship

Image Source: Bank of America Corporation

The Jio Credit partnership aligns with Bank of America’s strategy of expanding its global franchise in high-growth markets. The company will be able to leverage an established local platform rather than building a comparable lending network organically. The combination of Jio’s local expertise and digital distribution with BAC’s technology, risk-management and governance capabilities is likely to provide the company with greater participation in India’s expanding consumer-credit market.

The transaction is unlikely to materially impact BAC’s near-term financial results. The investment’s long-term success will depend on Jio Credit’s ability to scale its loan book profitably, manage credit risks, and effectively deploy the additional capital.

Over the past year, shares of BAC have gained 34.6%, outperforming the industry’s 27.4% increase.

One-Year Price Performance

Image Source: Zacks Investment Research

At present, BAC carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.

Acquisition by Other Financial FirmsLast week, StoneX Group Inc. (SNEX - Free Report) agreed to acquire Banco Travelex S.A., Brazil’s first bank dedicated exclusively to FX operations. The deal is expected to strengthen SNEX’s payments and FX capabilities, expand its presence in Brazil, and support cross-selling across nearly 20,000 clients and approximately $6 billion in annual volume.

The acquisition will broaden StoneX’s local banking and payment capabilities while complementing its existing FX and international payments businesses. The deal comes as Payments operating revenues rose 7% year over year to $173.3 million in the first nine months of fiscal 2026, although an 8% decline in RPM indicates continued pressure on revenue capture.

Earlier this month, KeyCorp (KEY - Free Report) completed the acquisition of Clearwater Corporate Finance LLP (Clearwater UK), a U.K.-based middle-market investment banking advisory firm. The transaction expands KEY’s advisory business into Western Europe and strengthens its middle-market M&A capabilities.

The acquisition supports KeyCorp’s strategy of expanding its investment banking franchise and growing fee-based businesses. Management expects 2026 investment banking fees to grow at a mid-single-digit rate, with third-quarter fees projected to increase more than 20% sequentially, supported by improving deal activity and the Clearwater UK acquisition.

Key Takeaways Altria's adjusted cigarette volume fell 4.5% in Q2, compared with an estimated 5% decline for the industry.Basic gained retail share while Marlboro held 59.6% of the premium segment and edged up sequentially.Smokeable price realization reached 4.5%, helping lift adjusted operating companies income 2.4%. Altria Group, Inc.’s MO cigarette business is showing resilience despite continued pressure on U.S. smokers. In the second quarter of 2026, reported domestic cigarette shipment volume fell 3.2%. After adjusting for trade inventory movements, the decline was an estimated 4.5%, compared with an estimated 5% drop for the overall domestic cigarette industry. For the first half, Altria’s adjusted decline was about 4% compared with 5% for the industry.

The moderation was primarily tied to reduced cross-category movement between cigarettes and illicit-flavored disposable e-vapor products, even as inflation, elevated gas prices and other pressures continued to influence cigarette purchasing. The industry’s discount retail share rose 2.6 percentage points year over year in the second quarter. Against that backdrop, Basic’s retail share increased 2.3 points year over year and 0.3 points sequentially. Marlboro, meanwhile, held a 59.6% share of the premium segment, unchanged from a year earlier and up 0.1 point sequentially.

Pricing also helped offset volume pressure. Smokeable price realization was 4.5% in the quarter, supported by strong Marlboro pricing, while Marlboro’s retail price was about 7% higher year over year. Smokeable-products net revenues increased 0.7%, while revenues net of excise taxes rose 2%. Adjusted operating companies income advanced 2.4% to $3,018 million, with margin expanding 30 basis points to 64.8%, helped by higher pricing and higher refunds of taxes and duties on imported cigarettes. The combination of relatively better volume performance, stable premium-segment share and strong pricing helped Altria’s cigarette business limit the impact of continued industry-wide volume pressure.

Altria’s Cigarette Resilience Stands Out Against PeersPhilip Morris International Inc. (PM - Free Report) also showed resilience in its cigarette business, with international combustible cigarette volume increasing 1.1% in the second quarter of 2026. While Marlboro gained 0.3 percentage points to a record 11% share, Philip Morris’s cigarette category volume share remained stable at 25.3%. Philip Morris also delivered 10% pricing in international combustibles, supporting 9.8% net revenue growth.

Turning Point Brands, Inc. (TPB - Free Report) also showed strength in nicotine products as cigarette consumption shifts. In the second quarter of 2026, Turning Point Brands’ Modern Oral net sales jumped 128% year over year to $68.4 million, while gross sales rose 149%. Turning Point Brands’ Modern Oral business accounted for 48% of total revenues, up from 26% a year earlier, reflecting strong growth in nicotine pouches.

Altria’s Price Performance, Valuation & EstimatesShares of Altria have fallen 10.9% in the past three months compared with the industry’s decline of 3.1%.

Image Source: Zacks Investment Research

From a valuation standpoint, MO trades at a forward price-to-earnings ratio of 11.37X, down from the industry’s average of 15.31X.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for MO’s 2026 and 2027 earnings implies year-over-year growth of 4.6% and 3%, respectively.

Image Source: Zacks Investment Research

Altria currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Ford is the preferred pick as Ford Pro, hybrids, affordable EVs and energy storage offer upside.General Motors has gained 14.4% since Q2 results, while Ford has fallen 3% despite stronger earnings.Ford offers more than 4% dividend yield, $43.4B liquidity and a raised 2026 FCF outlook of $6-$7B. U.S. legacy automakers Ford (F - Free Report) and General Motors (GM - Free Report) have moved in different directions since their second-quarter earnings reports. GM has gained 14.4% since reporting on July 21, while Ford is down 3% since its July 28 results. That divergence is notable because both automakers delivered stronger earnings and raised their full-year outlooks.

So, the question is not which company had the better quarter, but which one offers the more compelling opportunity from here. Both are navigating tariffs, uneven EV demand and high interest rates while trying to build businesses that extend beyond selling cars. Here's a closer look at the case for each.

The Case for General MotorsGM's biggest strength remains its North American truck and SUV business. Rather than using heavy discounts to drive sales, the company has maintained pricing discipline, keeping incentives below the industry average for more than three years. That approach is paying off. GM North America's adjusted EBIT margin recovered to 8.6% in the second quarter and 9.3% in the first half, putting the business back within management's 8%-10% target range.

Next-generation Chevrolet Silverado and GMC Sierra models, higher full-size SUV capacity and greater U.S. production could support both revenues and margins in 2027. Management has already raised 2026 adjusted EPS guidance to $12-$14 and expects 2027 results to exceed 2026.

General Motors has also built a stronger business in China, helped by restructuring and cost reductions. That helped China equity income more than double to $248 million in the first half from $116 million a year earlier. The company expects the business to remain profitable as it refreshes its lineup and streamlines operations.

GM is also building new revenue streams around its vehicles. OnStar and Super Cruise are expanding, with more than $3 billion of recognized and deferred revenues expected in 2026. It plans to add about 1 million subscribers and exceed 850,000 Super Cruise subscribers by year-end. GM Energy, GM Defense and GM Insurance provide additional avenues for growth. Meanwhile, strong cash generation has allowed GM to repurchase $2.8 billion of stock so far this year, with $3.5 billion remaining under the authorization. 

The Case for FordFord’s truck and utility portfolio remains a major strength, while hybrids provide a useful middle ground as consumers remain divided between gas-powered and fully electric vehicles. The Maverick Hybrid posted record first-half sales, and the F-150 Hybrid led its full-size truck category.

Ford is also taking another shot at the mass-market EV opportunity with its upcoming Fathom electric pickup. Starting below $30,000 before destination and delivery charges, the vehicle could help Ford reach customers who have been priced out of many EVs. The company is working to make EV production more economical. Its new "assembly tree" manufacturing process is designed to simplify production and lower costs, potentially helping address the margin pressure seen with the F-150 Lightning.

Ford Pro is the company’s main earnings engine, supported by commercial vehicle leadership and recurring software and physical services. It generated $1.7 billion of EBIT at a 9.7% margin in the latest quarter, despite volume constraints, while paid Ford Pro Intelligence subscriptions surpassed 900,000. Management now expects 2026 Ford Pro EBIT of $7-$7.5 billion.

Ford Energy adds a new revenue stream by applying Ford’s battery manufacturing, service and monitoring capabilities to energy storage.Ford expects to reach 20 gigawatt-hours of annual capacity by late 2027. Financially, Ford ended the June quarter with $43.4 billion of liquidity, generated $2.1 billion of adjusted free cash flow and raised its 2026 FCF outlook to $6-$7 billion. Its attractive dividend yield of more than 4% adds to the stock’s appeal.

What Do Estimates for GM & F Say?The Zacks Consensus Estimate for Ford’s 2026 and 2027 EPS implies year-over-year growth of 70% and 4%, respectively.

Image Source: Zacks Investment Research

The consensus mark for GM's 2026 and 2027 EPS calls for a year-over-year uptick of 25% and 11%, respectively.

Image Source: Zacks Investment Research

Valuation Check: GM & FGM shares currently trade at 0.4X forward earnings, above its five-year average of 0.32X. Ford’s forward-to-sales ratio of 0.32 is lower than that of GM.

Image Source: Zacks Investment Research

Our TakeBoth Ford and GM look strong enough for investors seeking exposure to the auto industry, and both currently carry a Zacks Rank #3 (Hold). But, if we have to pick one, Ford looks better at current levels. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

GM has received a stronger vote from investors since its latest results, leaving more room for Ford to benefit from a reassessment. Its Ford Pro business provides a solid earnings foundation, while affordable EVs, hybrids and energy storage offer multiple avenues for upside. Ford also offers the more attractive combination of income and valuation support. That makes it the more compelling choice between the two.

Chevron Corporation (NYSE:CVX) shares are trading higher on Monday as the company has made a new discovery in its exploration program in Sub-Saharan Africa, signaling potential growth in its operations.

This positive news comes during a mixed market day, with the Energy sector gaining 0.56%, making it one of the top-performing sectors, while the broader S&P 500 is slightly down by 0.1%.

• Chevron shares are trending higher. What’s driving CVX shares up?

Discovery in Angola Drives Shares HigherChevron, through its subsidiary Cabinda Gulf Oil Company Ltd., confirmed an oil and gas condensate discovery at the 105-4X exploration well in Block 0 offshore Angola.

Block 0 is operated by CABGOC, which holds a 39.2% working interest, alongside Sonangol E&P (41%), TotalEnergies (10%) and Azule Energy (9.8%). The discovery strengthens Chevron’s Sub-Saharan Africa portfolio, where it produces about 300,000 boe/d net and continues expanding its resource base.

Drilled in the Lower Congo Basin, the well encountered a hydrocarbon column exceeding 600 meters (2,000 feet) in the Pinda reservoir, including more than 90 meters (300 feet) of net pay in high-quality reservoir rock.

Chevron will evaluate the discovery for potential development as a tie-back to nearby existing facilities, offering a capital-efficient route to production.

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CVX Technical Outlook: Momentum and Key Support LevelsThe stock is currently trading at $201.69, which is about 4.3% above its 20-day simple moving average (SMA) of $193.26. The moving average convergence divergence (MACD) is above its signal line, indicating that downside pressure is easing, suggesting improving momentum for the stock.

Key Resistance: $214.50 — Nearby level where rebounds can stall. Key Support: $186.00 — Nearby level where buyers previously stepped in. Chevron (CVX) Earnings Preview and Analyst Price TargetsChevron is slated to provide its next financial update on Oct. 30 (estimated).

EPS Estimate: $4.47 (Up from $1.85) Revenue Estimate: $56.23 billion (Up from $49.73 billion) Valuation: P/E of 19.2x (Indicates fair valuation) Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $211.71. Recent analyst moves include:

Barclays: Equal-Weight (Lowers target to $208 on Aug. 17) TD Cowen: Hold (Raises target to $205 on Aug. 5) Bernstein: Market Perform (Raises Target to $209 on Aug. 3) How Chevron (CVX) Ranks On Value, Growth and MomentumBelow is the Benzinga Edge scorecard for Chevron, highlighting its strengths and weaknesses compared to the broader market:

Value: 81.18 — Stock is considered a strong value relative to peers. Growth: 67.85 — Indicates moderate growth potential. Momentum: 64.1 — Suggests a neutral momentum profile. The Verdict: Chevron’s Benzinga Edge signal reveals a balanced profile, with strong value metrics and moderate growth potential. This suggests that while the stock is well-positioned in terms of valuation, it may face challenges in accelerating growth momentum.

Top ETFs Holding Chevron (CVX) and Why It Matters iShares Core High Dividend ETF (NYSE:HDV): 5.93% Weight First Trust Morningstar Dividend Leaders Index Fund (NYSE:FDL): 7.90% Weight State Street SPDR S&P North American Natural Resources ETF (NYSE:NANR): 6.53% Weight Significance: Because Cheveron carries such a heavy weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.

CVX Stock Price Today: Chevron Shares In FocusCVX Stock Price Activity: Chevron shares were up 1.39% at $202.79 at the time of publication on Monday, according to Benzinga Pro data.

Photo via Shutterstock 

© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Key Takeaways Enbridge's C$41B backlog and C$50B opportunity set support about 5% annual post-2026 growth.ENB trades at 23.1X forward earnings, above its sub-industry, S&P 500 and five-year median.Enbridge's 5.1X debt-to-EBITDA and higher U.S. rates leave less room for project delays. Enbridge Inc. (ENB - Free Report) pairs long-term contracted infrastructure cash flows with a C$41 billion secured backlog and a 5.4% dividend yield. Management also sees about C$50 billion of organic opportunities through 2030, supporting a visible growth runway.

The trade-off is valuation. ENB trades above its sub-industry, the S&P 500 and its own five-year median on forward earnings, while leverage sits near the top of management's target range and higher U.S. interest rates remain a headwind. That puts execution, project timing and cash-flow conversion at the center of the hold-or-wait decision.

Enbridge’s Backlog Supports a 5% Growth PathEnbridge’s secured capital backlog totals C$41 billion, with projects scheduled through 2033. Management also identifies about C$50 billion of organic opportunities through 2030 and has sanctioned approximately C$9 billion of capital in 2026.

That pipeline underpins post-2026 expectations for about 5% average annual growth in adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), earnings per share and distributable cash flow per share. The growth case is visible, but realizing it depends on converting a large opportunity set into timely in-service assets.

Image Source: Enbridge

ENB’s Valuation Demands Consistent DeliveryAt 23.1X forward 12-month earnings, ENB trades above the Zacks sub-industry’s 20.5X multiple, the S&P 500’s 20.8X and its five-year median of 17.9X. The premium leaves less room for delays, weaker earnings or prolonged financing pressure.

Investors comparing pipeline exposure may also look at Kinder Morgan, Inc. (KMI - Free Report) , a large North American energy-infrastructure operator with extensive pipeline and storage assets. The Williams Companies, Inc. (WMB - Free Report) offers a more natural-gas-focused alternative spanning transmission, gathering, processing and storage.

Enbridge’s Cash Flow Supports Shareholder ReturnsSecond-quarter distributable cash flow rose 1.6% to C$2.95 billion, while distributable cash flow per share increased to C$1.35 from C$1.33. Lower maintenance capital helped offset higher interest expense.

Enbridge continues to fund the equity portion of its growth program internally. It returned C$4.2 billion through common-share dividends in the first half of 2026, supporting shareholder returns while the capital program advances.

ENB’s Balance Sheet Narrows the Margin for ErrorDebt-to-EBITDA was 5.1 times at the end of the second quarter, including about 0.1 times from foreign exchange. Adjusting for that effect, leverage was within management's 4.5-5.0 times target range.

Management expects leverage to remain near the upper end while construction spending is elevated, then decline as projects enter service and cash flows build. Higher U.S. interest rates remain a 2026 headwind, narrowing the cushion if project timing slips.

Enbridge’s Projects Need to Convert on ScheduleMainline Optimization Phase 1 is expected in 2027 and the Southern Illinois Connector in 2028. Together, the projects target 180,000 barrels per day of incremental egress, making their schedule important to the liquids-growth thesis.

Blackcomb began commissioning in the second quarter and is expected to reach full service by year-end 2026. Sequoia Solar is also scheduled for full service by year-end, giving Enbridge near-term opportunities to turn construction spending into operating contributions.

Enbridge’s Signals Favor a Balanced Valuation ViewEnbridge's risk-reward is balanced. Contracted cash flows, a visible backlog and a 5.4% yield support the case for patience, but the premium multiple, leverage near the top of the target range and financing costs raise the cost of execution mistakes.

The stock currently carries a Zacks Rank #3 (Hold). Its Value Score of C, VGM Score of C and Growth Score of D are mixed, while the Momentum Score of A is the strongest style reading. Because Style Scores complement the Zacks Rank, the combination does not present a uniformly favorable buy signal despite solid momentum characteristics.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Pan American Silver's Q2 revenues rose 38.4% y/y on higher realized silver and gold prices.Silver output jumped 27%, helped by Juanicipio and higher grades at Cerro Moro.Cash flow and free cash flow rose, supporting a record $300M returned to shareholders. Pan American Silver Corp. (PAAS - Free Report) reported adjusted earnings of 73 cents per share for the second quarter of 2026, surging 69.8% year over year but missing the Zacks Consensus Estimate of 84 cents by 13.1%.

Including one-time items, Pan American Silver reported earnings of 72 cents in the quarter compared with the year-ago quarter’s earnings of 52 cents.

Pan American Silver’s revenues improved 38.4% year over year to $1.12 billion in the quarter under review. The top line missed the Zacks Consensus Estimate of $1.16 billion. The average realized silver price in the quarter skyrocketed 115.7% year over year to $70.97 per ounce. The average realized gold price increased 33.2% year over year to $4,402 per ounce.

Pan American Silver’s Q2 Silver Production Rises Y/YAttributable silver production reached 6.47 million ounces, at the high end of the company’s quarterly operating outlook. Production increased 27% year over year. The increase mainly reflected 1.74 million ounces from the acquired 44% interest in Juanicipio, while Cerro Moro benefited from higher grades due to mine sequencing.

Attributable gold production fell 7.2% to 165.9 thousand ounces. The figure came below the company’s quarterly operating outlook. Lower output at Shahuindo, Jacobina and El Peñon more than offset gains at Cerro Moro and the contribution from Juanicipio. Gold production came in below the company’s quarterly operating outlook.

Pan American Silver reported mine-operating earnings of $457 million in the quarter compared with $273 million in the prior-year quarter.

PAAS Faces Higher Gold Segment CostsThe Silver segment’s cash costs were $13.21 per ounce in the second quarter, down 9.9% from the year-ago period. The segment’s all-in sustaining costs (AISC) declined 9.5% year over year to $17.80 per ounce in the quarter. Low-AISC ounces from Juanicipio and stronger gold by-product credits at Cerro Moro helped offset higher royalties and operating costs at La Colorada, San Vicente and Huaron.

The Gold segment’s cash costs were $1,585 per ounce, reflecting a 20.8% increase from the year-ago quarter. The segment’s AISC costs amounted to $1,984 per ounce in the April-June period, representing a year-over-year increase of 23.2%. The increase reflected lower-grade mining and higher haulage, maintenance, labor, consumables and ground-support costs across operations including Jacobina, Minera Florida, Timmins and Shahuindo.

Pan American Silver’s Cash Flow Supports Shareholder ReturnsCash flow from operations increased to $320 million from $294 million despite $205 million of income taxes paid. The attributable free cash flow was $344 million compared with $234 million a year earlier, including Pan American’s 44% share of Juanicipio.

Pan American returned a record $300 million to shareholders during the quarter, including $224 million in share repurchases and $76 million in dividends. Cash and short-term investments totaled $1.8 billion at the quarter-end, including $97 million attributable to Juanicipio. In July, the company doubled its revolving credit facility to $1.5 billion, with a $750-million accordion feature.

PAAS Reaffirms 2026 OutlookPan American Silver reaffirmed its 2026 operating outlook for silver and gold production, base-metal production, segment AISC and sustaining capital. Silver production is projected at 25-27 million ounces, with silver segment AISC of $15.75-$18.25 per ounce.

The company expects gold production to finish at the low end of 700-750 thousand ounces and gold segment AISC at the high end of $1,700-$1,850 per ounce. Third-quarter gold production is expected to be 3-6 thousand ounces below the low end of 178.5 to 192.0 thousand ounces.

Pan American Silver Advances Key Growth ProjectsAt La Colorada Skarn, the company invested $20 million of project capital in the first half of 2026 and completed the first cut of the 588 Decline in early August. Engineering for the next phase, including material handling and ventilation infrastructure, is scheduled for board consideration in the second half.

At Jacobina, first-half project capital totaled $22 million as Pan American advanced plant and infrastructure improvements. The company also moved ahead with the first phase of the Timmins Camp Project, wherein the board approved a $146-million investment to extend the Bell Creek shaft and build exploration drifts.

PAAS Stock Price PerformanceShares of Pan American Silver have gained 51.1% in the past year compared with the industry’s growth of 77.6%.

Image Source: Zacks Investment Research

Pan American Silver’s Zacks RankPAAS’s Peer PerformancesEndeavour Silver Corporation (EXK - Free Report) reported adjusted earnings of 15 cents per share for the second quarter of 2026 against an adjusted loss of 3 cents incurred in the prior-year quarter. The bottom line met the Zacks Consensus Estimate.

Endeavour Silver’s revenues skyrocketed 149.4% to $212 million from $85 million in the second quarter of 2025. The top line beat the Zacks Consensus Estimate of $201 million.

First Majestic Silver Corp (AG - Free Report) posted earnings per share of 21 cents for second-quarter 2026, which missed the Zacks Consensus Estimate of 25 cents. AG posted earnings of 4 cents per share in the year-ago quarter.

First Majestic Silver’s revenues rose 57.2% year over year to $415 million in the quarter under review.

Buenaventura Mining Company (BVN - Free Report) reported second-quarter 2026 adjusted earnings per share of 94 cents, missing the Zacks Consensus Estimate of 98 cents. BVN posted earnings of 40 cents per share in the year-ago quarter.

Buenaventura Mining’s revenues jumped 43.4% year over year to $529 million in the quarter under review. The top line missed the Zacks Consensus Estimate of $596 million.

Cybersecurity Stocks Are Holding Up as the AI Trade Starts to CrackFortinet NASDAQ: FTNT CFO Christiane Ohlgart said the cybersecurity company’s second-quarter performance was supported by broad-based global demand, accelerating hardware sales and growing adoption of secure networking and unified secure access service edge, or SASE, offerings.

Speaking at a fireside chat, Ohlgart described the quarter as “fantastic,” pointing to demand across geographies and multiple customer use cases. She said growth in FortiGate hardware was particularly strong as organizations expanded networks and sought to improve security for operational technology, software-defined wide-area networking, and artificial intelligence infrastructure.

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Time to Sell? 3 Winners With Fading Technical Momentum“We see broad-based demand across all our geos,” Ohlgart said. “We continue to see good demand for multiple use cases,” including OT, SD-WAN improvements, AI infrastructure and AI-enabled networking.

Unified SASE Growth Reflects Hardware and Cloud Strategy Ohlgart said Fortinet is benefiting from its installed base of SD-WAN customers as it seeks to extend those relationships into cloud-delivered SASE services. The company reported that Unified SASE grew 35% and represented about one-quarter of sales, while FortiSASE billings more than doubled, according to the discussion.

As AI Data Breaches Become More Common, This Cybersecurity ETF Is SurgingThe CFO said Fortinet’s approach differs from a cloud-only SASE model by combining cloud security with hardware deployed at the network edge. This model is particularly relevant for customers seeking unified security for both in-network and remote users, she said.

Ohlgart also cited sovereign SASE as an opportunity, especially in Europe, where regulations and customer requirements around control of infrastructure are becoming more important. She said Fortinet’s sovereign SASE pipeline is still developing and is currently smaller than its hybrid opportunity pipeline, but could be supported by telecommunications providers that want to build sovereign environments for customers such as public-sector organizations.

Fortinet’s recently introduced SD-WAN and SASE bundle includes services intended to improve SD-WAN functionality and security, along with a limited SASE license intended to give customers a way to test the cloud platform. Ohlgart said the bundle is designed as a starting point for future SASE upselling rather than an immediate driver of a major jump in billings or annual recurring revenue.

About 90% of Fortinet’s security service edge customers are already within its installed base, Ohlgart said, underscoring the role of existing SD-WAN deployments in the company’s SASE expansion.

Hardware Demand Includes Larger Appliances Fortinet reported product revenue growth of 52%, its second consecutive quarter of acceleration. Ohlgart said the increase was clearly demand-driven and required unit growth, but also reflected customers choosing larger hardware appliances.

“Even if we normalize for price increases, we saw ASP increases for the hardware,” she said, referring to average selling prices. Customers are moving toward “a little bit bigger boxes,” a trend the company has observed since the fourth quarter, she added.

Ohlgart said AI is contributing to this demand, not only through security needs around AI deployments but also because customers expect increased network traffic and are upgrading their infrastructure for greater performance.

The company has also adjusted hardware prices in response to component costs, including memory. Ohlgart said the impact of price increases on billings growth was in the high-single-digit percentage range. While memory prices have stabilized, she said availability remains constrained in some cases, potentially requiring expedited purchasing for certain components. Fortinet evaluates pricing on a product-by-product basis while seeking to remain competitive, she said.

Security, Networking and OT Remain Key Areas Ohlgart said Fortinet’s secure-networking strategy is gaining traction as customers look to consolidate technology, reduce operating complexity and improve their security posture. Fortinet’s switches can be controlled by a FortiGate through its FortiLink technology, enabling security inspection at the entry point to a network, she said.

Customers are increasingly looking beyond the cost of outside technology vendors and considering the internal staffing costs associated with managing fragmented infrastructure, Ohlgart said. Consolidated systems can help organizations operate network and security functions with fewer resources.

Fortinet also reported that OT billings accelerated 55% year over year. Ohlgart said demand spans public-sector organizations, manufacturers and other customers as awareness rises around the security risks facing critical infrastructure and increasingly digitized systems, including electric-vehicle charging stations.

The company uses OT specialists to support its account managers and works with industry partners including Rockwell, Honeywell, Siemens and Schneider Electric, according to Ohlgart.

Addressing concerns around disclosed vulnerabilities, or CVEs, Ohlgart said Fortinet’s large installed base makes it a frequent target and a subject of competitor criticism. She said the company aims to identify vulnerabilities in its own code, disclose them transparently and issue patches quickly. Fortinet is also working on measures such as virtual patching through its intrusion prevention system engine to protect devices before customers apply patches, she said.

Services and Future Growth Ohlgart said service billings grew 26%, while total deferred revenue increased 17% and service revenue rose 14%. She explained that service revenue is largely recognized from the balance sheet, while service billings reflect current-quarter selling activity, including renewals, services attached to hardware and service-only transactions.

Fortinet reported remaining performance obligations of $7.7 billion, up 16% year over year, and current RPO growth of 12%. Ohlgart said average service duration was about 30 months in the second quarter.

Looking toward 2027, Ohlgart said Fortinet sees new markets as the larger potential contributor to growth, including opportunities within its existing customer base as well as markets where it competes against other vendors.

About Fortinet (NASDAQ:FTNT)Fortinet, Inc NASDAQ: FTNT is a multinational cybersecurity company that develops and delivers integrated security solutions for enterprise, service provider and government customers worldwide. Founded in 2000 and headquartered in Sunnyvale, California, the company was co‑founded by Ken Xie and Michael Xie. Ken Xie serves as chairman and chief executive officer, and the company operates through a global sales, channel and services organization to support customers across the Americas, EMEA and Asia‑Pacific.

Fortinet's product portfolio centers on network security appliances and software, with its FortiGate next‑generation firewalls and the FortiOS operating system forming a core platform.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Key Takeaways T. Rowe Price is expanding AI across investment, distribution and enterprise operations to drive growth.More than 130 AI solutions were deployed by June 30, with employee adoption exceeding 70%.TROW aims to turn AI adoption into better client outcomes and stronger investment capabilities. T. Rowe Price Group (TROW - Free Report) is expanding the use of artificial intelligence (AI) across its investment, distribution and enterprise operations as it looks to boost productivity, enhance investment capabilities and support long-term growth.

In sync with this, last week, TROW announced AI leadership changes as it looks to expand the use of AI across the company. T. Rowe Price has dedicated teams focused on investment applications, distribution, engineering and risk management, while integrating AI into research, portfolio analysis, sales and client-service workflows.

Within its investment organization, the company created an Investment AI Solutions organization led by Vinit Agrawal to develop AI capabilities across asset classes. The unit will focus on agentic AI products, education, strategic partnerships and research to support investment professionals. TROW has also introduced Chat TRP, formerly known as Investor Copilot, and is exploring agentic AI, which can execute multistep tasks with greater autonomy. By combining these capabilities with proprietary research and institutional knowledge, TROW aims to improve the efficiency of investment professionals without compromising differentiated human judgment.

AI adoption is also gaining traction across distribution. TROW’s Global Distribution AI Strategy and Transformation team, led by Sal Dhanani, is focused on improving client experiences, sales effectiveness and employee capabilities, while T. Rowe Price Labs evaluates emerging technologies and helps scale promising applications. Dedicated AI risk and governance functions are intended to support responsible deployment and regulatory readiness.

During the second-quarter 2026 earnings call, management noted that TROW had deployed more than 130 AI solutions by the end of June 30, 2026, with adoption exceeding 70% of employees. The scale of deployment suggests that AI is increasingly becoming embedded in the company’s day-to-day operations rather than remaining confined to pilot programs.

From a financial standpoint, broader AI adoption could strengthen operating leverage. Automating repetitive tasks, accelerating research and data analysis, and enabling employees to focus on higher-value activities may improve productivity and help contain expense growth over time.

For TROW, however, widespread adoption alone will not determine success. The key will be translating AI use into measurable productivity gains, better client outcomes and stronger investment capabilities. If the company can do so while maintaining effective governance and investment discipline, AI could become a meaningful competitive advantage and an important component of TROW’s broader efficiency and growth strategy.

AI Adoption by Other Financial FirmsPagaya Technologies’ (PGY - Free Report) business fundamentally revolves around artificial intelligence (AI)-powered decisioning and underwriting, which helps partners (banks and fintech originators) approve and fund credit more efficiently than traditional models. PGY’s AI analyzes massive datasets to price risk and approve non-traditional credit that legacy systems might decline. This model increases approval rates and expands the total volume of credit that partners can offer to consumers.

Beyond its core underwriting platform, Pagaya is also expanding its broader AI capabilities to enhance risk management, automation, portfolio optimization, and data-driven decision-making across the credit ecosystem.

Robinhood Markets’ (HOOD - Free Report) Robinhood has rapidly expanded its adoption of artificial intelligence, making it a central part of both its internal operations and customer-facing products. In May 2026, Robinhood took its AI strategy further by launching agentic trading, allowing customers to connect AI agents that can analyze portfolios and place trades through dedicated accounts with safety controls. 

Overall, HOOD’s AI adoption shows a shift from using AI mainly to improve efficiency toward making AI an integral part of investing and financial decision-making.

TROW Price Performance & Zacks RankOver the past year, shares of T. Rowe Price have gained 9.1% against the industry’s decline of 5.5%.

Price Performance

Image Source: Zacks Investment Research

The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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Rivian (NASDAQ:RIVN | RIVN Price Prediction) stock is down 25% year to date (YTD) as of Friday’s close, a slide that stands out inside the electric vehicle cohort even as the broader autonomous and electric vehicle basket has climbed. Rivian shares are sliding again Monday afternoon, down 3% to $14.90.

The options market is priced for calm. Rivian’s worst peak-to-trough fall over the past year was 43%, and yet Rivian stock was up 27% over the past year through Friday’s close. The bigger tension inside the story is that management raised the delivery guide while loading the year into a single quarter of a first-time ramp.

The first-half margin picture leaned on a large slug of regulatory credit revenue that is now set to vanish. That’s the core of the bear case, and it belongs high in the story.

The Credits That Vanish CFO Claire McDonough confirmed on the July 30 call that Rivian booked “$164 million of regulatory credits that benefited our gross profit outlook in the first half.” Those credits largely disappear in the second half of 2026, and McDonough pointed to their absence as “the bigger driver” of a steeper second-half EBITDA loss.

Rivian’s 2026 adjusted EBITDA loss guide improved by $50 million at the midpoint, and the delivery outlook rose by 3,000 units. Some of that improvement itself leaned on second-quarter credits and a tariff refund booked inside cost of goods, so the H2 setup is less forgiving than the guide raise suggests.

The Back-Loaded Year Management now targets 65,000 to 70,000 vehicles for the year across R1, R2 and the commercial van, which implies 42,400 to 47,400 deliveries in the second half against roughly 22,600 delivered in the first half. Rivian delivered 12,194 vehicles in Q2 2026. COO Javier Varela stated the second shift at the Normal, Illinois plant will “not be expecting any material contribution to volumes” in the third quarter, with the lift arriving in the fourth.

The progress underneath is real. Rivian’s automotive gross loss narrowed from $62 million in Q1 2026 to $36 million in Q2, and cost of goods per vehicle fell roughly $5,000 from Q1 to Q2 once $100 million of R2 ramp cost is excluded. McDonough reiterated that Rivian expects R2 to “achieve a positive gross profit as part of our exit rate for 2026.”

The R2 Trim Problem and Factory Math R2 launched with a $58,000 Launch Edition, the priciest variant in the line, with premium and standard trims arriving “early 2027.” CEO RJ Scaringe stated conversion rates on the Launch Edition are running “meaningfully higher than what we expected,” and non-converters mostly cite the missing trims. The constraint is cost.

R2, R1 and the Amazon (NASDAQ:AMZN) delivery vans share the Normal plant, and Rivian’s trailing twelve month revenue sits at $5.9 billion. A plant-level margin flip against that base would be a step change rather than an increment.

Autonomy: Half the Price, Not Yet the Capability Tesla (NASDAQ:TSLA) stock was down 24% YTD through Friday’s close, and shares are trading down 0.6% to $340.37 Monday. Tesla remains the largest EV maker and the benchmark for autonomy software.

CNBC testing found Tesla’s FSD handled highway and city routes with little intervention, while Rivian’s Autonomy+ still requires driver input for some maneuvers and cannot change lanes on its own. Rivian prices Autonomy+ at $49.99 per month against Tesla’s FSD subscription at $99 per month, a genuine high-margin opportunity that is not yet proven recurring revenue.

Lucid (NASDAQ:LCID) stock was down 41% YTD through Friday’s close, a far steeper decline than Rivian’s. Lucid shares are down 0.2% to $6.21 Monday. The premium EV maker’s slide illustrates the broader stress on pure-play manufacturers.

The ETF Angle The Global X Autonomous & Electric Vehicles ETF (NASDAQ:DRIV) had gained 22% YTD through Friday’s close, in stark contrast to declines across all three pure-play EV makers.

The gains are coming from elsewhere in the supply chain, since a broad autonomous and electric vehicle basket holds far more than automakers themselves. The ETF is a narrow thematic fund with meaningful concentration risk, and it is not leveraged.

What to Watch Implied volatility on Rivian sits at 53, the sixth percentile of its trailing-year range, so the options market is priced for calm ahead of a high-stakes earnings report. Investors can watch for whether fourth-quarter deliveries land inside the 42,400 to 47,400 second-half range and whether the second shift adds volume on schedule.

The next markers are whether automotive gross profit turns positive exiting 2026 without regulatory credits, whether point-to-point driving launches this year, and whether Autonomy+ subscriptions begin converting into disclosed recurring revenue. The Q3 2026 earnings report will do most of the talking.

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Between August 13 and 14, 2026, Q2 2026 13F filings landed and told a rare story: Stanley Druckenmiller, Seth Klarman, David Tepper, Dan Loeb, and Berkshire Hathaway all moved into Alphabet (NASDAQ:GOOGL | GOOGL Price Prediction) in the same quarter. Consensus buys of that magnitude across value, macro, and event-driven billionaires almost never happen simultaneously in a single mega-cap name.

The filings, which report positions as of June 30, 2026, show the following.

Berkshire Hathaway added 24,541,369 GOOGL shares to reach 78,791,167 shares, a position valued at $28,157,599,351, and also added 23,603,218 GOOG shares to reach 27,188,433, valued at $9,606,489,032, together roughly 0.93% of the company. Druckenmiller’s Duquesne Family Office opened a brand new GOOGL position of 336,300 shares worth $120,184,000. Klarman’s Baupost Group added 190,800 GOOG shares to reach 1,371,931 shares valued at $484,744,000. Tepper’s Appaloosa added 117,300 GOOG shares to reach 1,850,000, valued at $653,660,500. Loeb’s Third Point took GOOGL from 175,000 to 1,025,000 shares, adding 850,000 shares valued at $366,304,250, and opened positions in two additional Alphabet share classes. It’s worth emphasizing that Buffett is now the Chairman of Berkshire Hathaway and day-to-day CEO duties fall to Greg Abel. However, recent reporting from The Wall Street Journal shows that Buffett pushed for an outsized addition of Alphabet during the quarter.

The Thesis ‘Smart Money’ Is Backing Alphabet trades at a trailing P/E of 17 against a PEG of 0.969, and shares sit at $345.90, down 6.75% over the past month even after a 70.93% one-year run. Q2 earnings were the catalyst: EPS of $9.11 against a $3.04 estimate, revenue of $119.80 billion up 24.2% year over year, and Google Cloud accelerating to 82% growth at $24.77 billion. Sundar Pichai noted “nearly 90% of the Fortune 100 using” Gemini Enterprise, and Gemini models now process 22 billion API tokens per minute.

For value-oriented investors like Klarman and Tepper, this is a Mag 7 franchise trading at a cyclical trough multiple while cloud reaccelerates. For Druckenmiller, a macro allocator opening a new position, the thesis reads as an AI infrastructure call.

The Other Side Retail Investors Should Weigh ‘Smart money’ bought a company that has been visibly bleeding senior AI talent. In June, five top Google AI researchers left in seven days, and Jim Cramer called Noam Shazeer’s jump to OpenAI “a coup.” Then in August, a key AI architect quit, reigniting fears Gemini is losing ground to OpenAI and Anthropic. Cash costs are climbing too: Q2 free cash flow turned negative at $5.86 billion, long-term debt rose from $46.5 billion to $98.2 billion, and the buyback was suspended.

Against all this news, Alphabet has badly underperformed Mag 7 peers across the past month like Microsoft (Nasdaq: MSFT). Remember that 13-F filing are a snapshot in time. Reports of recent buys were just released, but only cover positions on June 30th. While Berkshire is unlikely to have reduced its Alphabet holdings, it will be interesting whether other names on this list that trade more frequently (such as Tepper and Druckenmiller) reduce or increase their position in Alphabet as the stock trails peers across what’s generally be a rally for AI stocks in recent weeks.

Is It Worth Following? 13F filings are point-in-time snapshots disclosed roughly 45 days later, so none of these funds necessarily hold these positions today, and share counts, not dollar values, are the only reliable signal of activity. That said, the coincidence of Druckenmiller, Klarman, Tepper, Loeb, and Berkshire buying the same name at 15x forward earnings is a legitimate flag for a retirement investor.

The thesis is defensible: cheapest Mag 7 multiple, accelerating cloud, and Waymo optionality. The risk is equally clear: talent flight and a CapEx cycle that has already erased free cash flow. Follow it as a research prompt for your own diligence.

Contact [email protected] for any questions or corrections.