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Companies to explore Australian production, integration, sustainment and support for AV’s one-way attack systems.

PERTH, Australia--(BUSINESS WIRE)--AeroVironment, Inc. (“AV”) (NASDAQ: AVAV) and NIOA Australia have signed a memorandum of understanding (MOU) to explore opportunities to expand Australian industry participation supporting AV’s one-way attack systems.

Signed during LAND FORCES 2026, the agreement establishes a framework for AV and NIOA to identify and facilitate a path forward for the localization, co-production and sustainment of AV’s one-way attack systems in Australia.

Under the MOU, the companies will explore opportunities to combine AV’s autonomous systems with NIOA’s sovereign weapons and munitions expertise. Potential areas of cooperation include local manufacturing and integration, in-country support and sustainment, and the development of Australian variants incorporating NIOA-developed payloads, warheads and mission effects where technically, commercially and legally feasible.

“AV’s one-way attack systems are proven capabilities with growing demand from U.S. allies and partners around the world,” said Wahid Nawabi, chairman, president and chief executive officer of AeroVironment. “Our collaboration with NIOA creates a pathway to expand that capability in Australia and explore how Australian industry can contribute to the manufacture, integration, support and sustainment of AV’s one-way attack systems.”

The MOU also contemplates NIOA serving, subject to final agreements and required approvals, as an Australian distributor and authorized support partner for AV's one-way attack systems. The companies plan to evaluate opportunities for NIOA to support Australian customer engagement, training, logistics, maintenance coordination, inventory management and other in-country sustainment activities.

The parties also share a non-binding ambition to explore the establishment of Australia as a regional center of excellence for advanced launched effects and loitering munitions, combining AV’s autonomous systems with NIOA’s sovereign weapons and munitions expertise. The MOU contemplates potential local manufacture, integration, sustainment and future capability development for Australian and allied customers, subject to applicable laws, approvals and subsequent agreements.

The MOU is non-binding, and any future technology transfer, manufacturing, distribution or other commercial activities will be subject to applicable U.S. and Australian laws and regulations, required government approvals and separate definitive agreements between AV and NIOA.

About AV

AeroVironment (“AV”) (NASDAQ: AVAV) is a defense technology leader delivering integrated capabilities across air, land, sea, space, and cyber. The Company develops and deploys autonomous systems, loitering munitions, counter-UAS technologies, space-based platforms, directed energy systems, and cyber and electronic warfare capabilities—built to meet the mission needs of today’s warfighter and tomorrow’s conflicts. With a national manufacturing footprint and a deep innovation pipeline, AV delivers proven systems and future-defining capabilities at speed, scale, and operational relevance. For more information, visit www.avinc.com.

About NIOA

NIOA is a privately-owned global munitions company established in Queensland, Australia, in 1973. Its operations include NIOA Australia, NIOA New Zealand, the Australian Missile Corporation, Barrett Firearms in the United States, NIOA United Kingdom and joint venture Rheinmetall NIOA Munitions. NIOA is a major tenant at the Australian Government-owned munitions facility at Benalla, Victoria, and a joint venture partner in the Rheinmetall NIOA Munitions artillery shell forging plant at Maryborough, Queensland.

Safe Harbor Statement

Certain statements in this press release may constitute “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations, forecasts, and assumptions that involve risks and uncertainties, which could cause actual results to differ materially. Factors that may cause such differences include, but are not limited to, our ability to perform under existing contracts and obtain new ones; regulatory changes; competitor activities; market growth; product development challenges; and general economic conditions. For a more detailed discussion of these risks, please refer to AeroVironment’s filings with the Securities and Exchange Commission. We undertake no obligation to update forward-looking statements as a result of new information or future events.

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Key Takeaways Credo launched the SRMO Workstream to establish specifications for high-speed data center interconnects.The initiative targets 2027 OCP approval, with standards covering power, efficiency and connectivity.Credo could benefit from adoption of micro-emitter optics, complementing its optical connectivity solutions.
The rapid expansion of AI is creating unprecedented demand for high-speed, energy-efficient connectivity inside data centers. Against this backdrop, Credo Technology Group Holding Ltd. (CRDO - Free Report) recently announced the launch of the Short-Reach Micro-Emitter Optics (SRMO) Workstream within the Open Compute Project (OCP) Community. The initiative combines optical technology providers, connectivity specialists and a leading hyperscaler to establish specifications for a new class of high-speed data center interconnects.

With OCP approval targeted for 2027, the initiative is likely to drive broader adoption of micro-emitter optics. For Credo, the opportunity is likely to help shape an emerging connectivity ecosystem that could become increasingly important as AI infrastructure expands. Micro-emitter optics uses arrays of micron-scale light sources to transmit data across multiple optical channels simultaneously. Rather than pushing a limited number of channels to extremely high individual data rates, the technology distributes transmission across many parallel channels. Industry collaboration further strengthens Credo’s position. Initial participants include a leading hyperscaler and optical technology companies such as AFL, ams OSRAM, BizLink, Foxlink, Heraeus Covantics, SENKO and YOFC.

The SRMO Workstream aims to secure OCP specification approval in 2027. The proposed specification will address power consumption, efficiency, signaling, parallelism, module and connector footprints, link budgets and compliance. The SRMO initiative is likely to reinforce Credo's position in the broader AI connectivity market. The company already operates across high-speed copper and optical interconnects, optical components, digital signal processors, retimers and related connectivity solutions. If micro-emitter optics gains traction, Credo could benefit from demand for compatible optical interconnect products and technologies.

Can CRDO Maintain Its Edge as Optical Competition Grows?Marvell Technology (MRVL - Free Report) optical DSP, switching and broadband businesses remain strong, with 800G demand solid and 1.6T ramping rapidly, expected to accelerate in fiscal 2028. Customers are initially using copper for scale-up networks, but as AI clusters expand, copper’s limited reach and bandwidth are pushing them toward optical interconnects and dedicated UALink, ESUN and NVLink switches. It is therefore investing heavily in next-generation optical interconnect and switching technologies. Marvell continues to see strong demand across optical DSPs, broadband analog, DCI modules and switching, with each tracking toward a $1 billion annualized revenue run rate. The scale-up opportunity remains large, with NPO, CPO and purpose-built switches supporting future growth.

Astera Labs (ALAB - Free Report) is benefiting from rising demand for high-speed connectivity as AI infrastructure shifts toward larger rack-scale systems. Taurus, CXL, UALink, optical and custom connectivity programs broaden the longer-term content opportunity. Management plans to deliver UALink-enabled Scorpio X-Series switches in 2027, alongside signal conditioning solutions for copper and optical links. Its optical roadmap targets high-density fiber attach and near-packaged optics production in 2027, followed by co-packaged optical engines in 2028 and beyond. Third-quarter revenue is expected to be $540-$560 million, implying roughly 40% sequential growth, driven by Scorpio X-Series, Aries PCIe 6 and Taurus 800G shipments.

CRDO’s Price Performance, Valuation and EstimatesCRDO’s shares have gained 39.6% year to date compared with the Electronics-Semiconductors industry’s growth of 27.5%.

Image Source: Zacks Investment Research

In terms of the forward 12-month price/sales ratio, CRDO is trading at 12.24, higher than the Electronics-Semiconductors industry’s multiple of 4.77.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for CRDO earnings for fiscal 2027 has been revised upward over the past 60 days.

Image Source: Zacks Investment Research

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

Mattel (MAT - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.

The stock might move higher if these key numbers top expectations in the upcoming earnings report. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus EstimateThis toy maker is expected to post quarterly earnings of $0.99 per share in its upcoming report, which represents a year-over-year change of +11.2%.

Revenues are expected to be $1.85 billion, up 6.8% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 19.15% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Mattel?For Mattel, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -22.03%.

On the other hand, the stock currently carries a Zacks Rank of #3.

So, this combination makes it difficult to conclusively predict that Mattel will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Mattel would post earnings of $0.03 per share when it actually produced earnings of $0.01, delivering a surprise of -66.67%.

Over the last four quarters, the company has beaten consensus EPS estimates just once.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Mattel doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Duolingo To Contact Him Directly To Discuss Their Options

If you purchased or acquired securities in Duolingo between May 2, 2025 and February 26, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

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New York, New York--(Newsfile Corp. - October 13, 2026) - Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Duolingo, Inc. (""Duolingo" or the "Company") (NASDAQ: DUOL) and reminds investors of the December 7, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.

As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (i) Daily Active User ("DAU") growth rates were being leveraged against deliberately added user friction in the form of significant increases in ad volume, subscription tier upsells, and worsened product quality, and defendants understood that any amount of user friction would cause users to leave the app and, ultimately, negatively impact DAU growth rates; (ii) Duolingo's rigorous A/B testing demonstrated to defendants that increased friction in the free user experience was having negative impacts on DAU growth rates; (iii) Duolingo's quickly generated AI content was worsening the quality of Duolingo's product offerings, negatively impacting the user experience and user trends, and threatening the sustainability of Duolingo's financial performance; and (iv) far from driving sustained growth and strong user momentum through content and "product improvements" that "get improved retention," Duolingo's constant A/B testing informed Duolingo that its monetization push and lower-quality, rapidly generated AI content were degrading the Duolingo product experience and the value proposition of its subscription tiers.

On November 5, 2025, the Company reported its third quarter ("3Q") financial results, revealing another sequential decline in DAU growth to 36%, a substantial drop from 49% in 1Q 2025 and 40% during 2Q 2025, and announced a long-term strategy change to pivot away from monetization and towards improving quality of teaching and prioritizing long-term DAU growth. On this news, Duolingo's stock price fell $66.28, or 25%, to close at $193.74 per share on November 6, 2025.

On January 12, 2026, Duolingo announced that its Chief Financial Officer ("CFO"), Matthew Skaruppa ("Skaruppa"), had resigned, and provided limited, preliminary fourth quarter ("4Q") 2025 operating metrics revealing DAU growth of only 30% - nearly six points of additional deceleration from 3Q 2025. On this news, Duolingo's stock price fell $14.92, or 8.5%, to close at $161.74 per share on January 12, 2026.

On February 26, 2026, after the market closed, Duolingo announced its 4Q 2025 financial results, confirmed the slowdown in DAU growth, and revealed material negative impacts on 2026 bookings, DAU growth rates, revenue, and adjusted EBITDA, with 2026 DAU growth guidance of only 20% accompanied by lower bookings and less profitability. On this news, Duolingo's stock price fell $16.45, or 14%, to close at $101 per share on February 27, 2026.

The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.

Faruqi & Faruqi, LLP also encourages anyone with information regarding Duolingo's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.

To learn more about the Duolingo class action, go to www.faruqilaw.com/DUOL or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

Follow us for updates on LinkedIn, on X, or on Facebook.

Frequently Asked Questions (FAQ) for Investors Regarding the Duolingo Securities Class Action Lawsuit:

What is the Duolingo securities fraud lawsuit about?

The lawsuit alleges that Duolingo, Inc. made materially false and misleading statements during the Class Period regarding the company's daily active user ("DAU") growth and the drivers of its business performance. Specifically, the complaint alleges that defendants knew that deliberate increases in ad volume, subscription upsells, and other friction in the free user experience were negatively impacting DAU growth rates, a dynamic that Duolingo's own rigorous A/B testing allegedly confirmed. The lawsuit further alleges that rapidly generated AI content was worsening product quality and undermining the sustainability of Duolingo's financial performance, contrary to defendants' public statements touting content and product improvements as drivers of sustained growth and strong user retention. Investors allegedly were not told that Duolingo's internal testing had demonstrated these adverse trends until a series of corrective disclosures caused the company's stock price to decline significantly.

Who may be eligible to participate in the lawsuit?

Investors who purchased or otherwise acquired Duolingo, Inc. (NASDAQ: DUOL) securities between May 2, 2025 and February 26, 2026, inclusive (the "Class Period"), may be eligible to participate in the lawsuit. Participation in the litigation is not limited to those who apply to serve as lead plaintiff; any eligible class member may share in any recovery that may be obtained on behalf of the class. Investors who believe they purchased Duolingo securities during the Class Period and suffered a loss are encouraged to review the complaint and consult with counsel to understand their rights and options.

What is a lead plaintiff, and how can I seek appointment?

A lead plaintiff is a court-appointed representative who acts on behalf of all class members in directing the litigation, including decisions about litigation strategy and any settlement. The lead plaintiff is typically the class member with the largest financial interest in the relief sought by the class who also meets certain adequacy and typicality requirements under the federal securities laws. Any investor who purchased Duolingo securities during the Class Period and wishes to seek appointment as lead plaintiff must file a motion with the court no later than the lead plaintiff deadline specified in the notice. Importantly, investors are not required to serve as lead plaintiff in order to be a member of the class or to share in any recovery that may result from the litigation.

Why should investors contact Faruqi & Faruqi, LLP?

Faruqi & Faruqi, LLP has represented investors in securities litigation for decades and has recovered hundreds of millions of dollars for shareholders. Investors who purchased Duolingo securities during the Class Period may contact the firm to discuss their legal rights, potential claims, and the lead plaintiff process at no cost or obligation.

Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/318732

Source: Faruqi & Faruqi LLP

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Key Takeaways MP Materials' first-half 2026 Materials revenues surged 80% to $167.8 million on higher volumes and pricing.NdPr production rose 51% year over year to 1,757 MT, while sales volumes jumped 122% to 2,012 MT.MP expects to produce terbium and dysprosium later this year, with samarium production targeted for 2028. The Materials segment of MP Materials (MP - Free Report) is emerging as a key growth driver as it scales up its rare earth separation capabilities and shifts toward higher-value products. Rising neodymium-praseodymium (NdPr) production, growing sales volumes and favorable pricing have strengthened segment revenues and profitability. The expansion of heavy rare earth processing capabilities further positions the segment for sustained growth.

The Materials segment represents the upstream and midstream operations of the company. It operates Mountain Pass, a fully integrated mining and refining facility producing refined rare earth oxides and related products. Historically, rare earth concentrate sales accounted for the bulk of segment revenues. Following the cessation of sales to China in July 2025, the company has focused on processing concentrate into higher-value materials or retaining it for future processing. The segment currently derives its revenues mainly from NdPr oxide and metal sales, which has strengthened its business model.

NdPr production was a record 917 metric tons (MT) in the first quarter of 2026, followed by 840 MT in the second quarter. First-half production totaled 1,757 MT, representing a 51% year-over-year increase. NdPr sales volumes surged 122% to 2,012 MT. The company also produced 24,055 MT of rare earth oxides (REO) in concentrate in the first half of 2026.

The segment’s first-half revenues increased 80% year over year to $167.8 million, supported by higher sales volumes and stronger market pricing. Adjusted EBITDA was $69.2 million in the first half of 2026, a turnaround from the loss of $8.9 million reported in the first half of 2025. This was attributed to higher revenues and Price Protection Agreement (PPA) income of $59.8 million related to the agreement with the Department of War (DoW), despite higher cost of sales.

Management expected third-quarter 2026 NdPr production to have exceeded 1,000 metric tons as throughput and plant reliability improved, which is expected to have supported the company’s third-quarter 2026 performance. Meanwhile, MP remains on track to begin producing terbium (Tb) and dysprosium (Dy) later this year. Its first samarium (Sm) production is targeted for 2028. The company recently entered into a multiyear agreement to supply gadolinium oxide to a leading U.S. aerospace and defense manufacturer. 

Australia-based peer Lynas Rare Earths Limited (LYSDY - Free Report) reported NdPr production of 7,260 tons in fiscal 2026 (ended June 30, 2026), up 11% year over year. Total REO production reached 13,089 tons, up 25% from the prior year. It achieved its first Sm production in March 2026, Lynas’ third HRE product, alongside Dy and Ty.

Lynas’ revenues jumped 76% year over year to a record AUD 977.9 million ($680.5 million) in fiscal 2026 on higher prices and volumes. Adjusted EBITDA surged 281% year over year to AUD 386 million ($268.6 million) in fiscal 2026. Lynas Rare Earths recently entered into an agreement to acquire Meteoric Resources. The deal, on closure, will combine Meteoric Resources’ flagship Caldeira deposit, which is the largest known ionic clay rare earth Mineral Resource outside China, with Lynas’ high-grade Mt Weld deposit and leading rare earth operations. 

MP’s Price Performance, Valuation & EstimatesMP Materials’ shares have declined 54.4% in a year compared with the industry’s 19.6% growth. Peers Lynas Rare Earths and Energy Fuels Inc. (UUUU - Free Report) have declined 44.5% and 59.4%, respectively. 

Image Source: Zacks Investment Research

MP is trading at a forward 12-month price/sales multiple of 11.92X, a significant premium to the industry’s 1.65X. Energy Fuels and Lynas Rare Earths are trading at 12.84X and 7.62X, respectively. 

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for MP Materials’ 2026 earnings stands at 4 cents per share against a loss of 24 cents in 2025. The 2027 earnings estimate is currently pegged at 78 cents per share, implying growth of 1,845.8%.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for MP Materials for both 2026 and 2027 has moved down, as shown below.

Image Source: Zacks Investment Research

The company currently carries a Zacks Rank #5 (Strong Sell). 

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

Wall Street expects a year-over-year increase in earnings on higher revenues when Equifax (EFX - Free Report) reports results for the quarter ended September 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on October 20, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus EstimateThis credit reporting company is expected to post quarterly earnings of $2.21 per share in its upcoming report, which represents a year-over-year change of +8.3%.

Revenues are expected to be $1.69 billion, up 9.6% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.4% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Equifax?For Equifax, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -2.02%.

On the other hand, the stock currently carries a Zacks Rank of #4.

So, this combination makes it difficult to conclusively predict that Equifax will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Equifax would post earnings of $2.21 per share when it actually produced earnings of $2.25, delivering a surprise of +1.81%.

Over the last four quarters, the company has beaten consensus EPS estimates four times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Equifax doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Key Takeaways ACHR's Midnight uses distributed electric propulsion and multiple motors to support reliable operations.ACHR develops electric propulsion and flight controls in-house to support safety and certification.ACHR's flight tests assess performance and gather safety data for FAA certification.
Archer Aviation Inc. (ACHR - Free Report) is developing its Midnight electric vertical takeoff and landing (eVTOL) aircraft with a design focused on safety and reliability. The aircraft uses a proprietary 12-tilt-6 distributed electric propulsion platform and is designed to carry four passengers and a pilot. Its propulsion architecture combines multiple electric motors with a simpler system design than traditional helicopters.

A key feature of Midnight is its use of redundant electric motors. This design aims to reduce potential failure points and support reliable aircraft operation. Rather than relying on a single central propulsion system, the aircraft distributes propulsion across multiple units, an approach intended to strengthen its safety architecture.

Archer has also developed key technologies in-house, including electric propulsion and flight control systems, while incorporating components from aerospace suppliers, some of which are already used on certified aircraft. This approach is intended to reduce certification risk, development time and cost. The company continues to conduct flight-test campaigns to evaluate aircraft performance and collect safety-critical data for the Federal Aviation Administration’s certification process.

Safety and reliability will remain important as Archer works toward commercial air-taxi operations. Midnight’s distributed propulsion design and ongoing flight testing are central to the company’s effort to meet the performance and safety requirements of passenger aviation. However, the aircraft must still demonstrate that it meets applicable certification requirements before commercial passenger operations can begin.

Companies Developing Redundant Electric Propulsion SystemsThe focus on safety and reliability is encouraging eVTOL companies to incorporate redundant propulsion and control systems into their aircraft designs. Joby Aviation, Inc. (JOBY - Free Report) and BETA Technologies, Inc. (BETA - Free Report) are also developing electric aviation technologies with features intended to support reliable operations.

Joby Aviation’s aircraft uses six electric propellers, multiple battery packs and redundant flight-control systems designed to support safe operation.

BETA Technologies develops electric propulsion systems and flight-control technologies, including multiple flight-control computers designed to support continued operation in the event of a system failure.

Earnings Estimates for ACHR StockThe Zacks Consensus Estimate for 2026 and 2027 earnings per share suggests a year-over-year decline of 52.38% and growth of 15.63%, respectively.

Image Source: Zacks Investment Research

ACHR Stock Is Trading at a DiscountArcher is trading at a discount relative to the industry, with a trailing 12-month price-to-book of 1.89X compared with the industry average of 5.32X.

Image Source: Zacks Investment Research

ACHR Stock Price PerformanceOver the past six months, ACHR shares have fallen 17.3% compared with the industry’s 19.1% drop.

Image Source: Zacks Investment Research

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

Key Takeaways CBOE's Q2 2026 net revenues rose 25% to a record $731.6M, while adjusted EPS climbed 45% to $3.56.
Options revenues jumped 30% to $473.9M, supported by 26% growth in total options average daily volume.
Data Vantage revenues grew 15%, with expansion into 24-hour trading and clearing services.

Cboe Global Markets, Inc. (CBOE - Free Report) appears capable of sustaining solid growth as market volatility normalizes, although revenue growth may moderate from the exceptionally strong levels recorded in the second quarter of 2026. The company's diversified business model, leadership in index options, expanding market-data operations, and growing international presence provide several sources of support beyond short-term volatility. However, trading activity remains sensitive to market uncertainty, investor sentiment and demand for hedging, making it difficult to sustain peak volumes consistently.

In the second quarter of 2026, Cboe Global's net revenues increased 25% year over year to a record $731.6 million, while adjusted diluted earnings per share (EPS) rose 45% to $3.56. Options revenues climbed 30% to $473.9 million, supported by a 26% increase in total options average daily volume (ADV), including 32% growth in index options volume. These results highlight the strength of Cboe's derivatives franchise, but also underscore its sensitivity to trading activity and investor demand for hedging.

Beyond volatility-driven trading, Cboe Global has opportunities to diversify revenues through its Data Vantage business, international markets and new products. Data Vantage revenues grew 15% year over year, and management raised its 2026 organic revenue growth target for the business to the low teens. The company's broader strategy includes expanding around-the-clock trading access, developing event contracts and growing clearing services. These initiatives could generate additional revenue streams and reduce reliance on unusually high trading volumes over time.

Overall, CBOE has credible avenues to sustain growth as market volatility normalizes, but maintaining its recent pace will depend on broadening revenues beyond options trading, defending market share and successfully scaling new products.

What About Its Peers?Intercontinental Exchange, Inc. (ICE - Free Report) appears positioned to sustain exchange growth even as market volatility normalizes, although the pace may moderate from elevated levels. The company's diversified product portfolio across financial futures, energy, cash equities and equity options, along with recurring data and connectivity revenues, provides multiple growth drivers. Moreover, recurring exchange revenues grew 10%, providing a more stable source of income. Overall, ICE's diversified revenue streams and recurring data business should help cushion the impact of normalizing volatility, although softer energy trading and fluctuations in transaction volumes remain key risks.

CME Group Inc. (CME - Free Report) appears capable of sustaining healthy trading volumes over the longer term, supported by its diversified derivatives portfolio, strong market position and continued demand for risk-management tools. Its interest-rate, equity, energy, agricultural and metals contracts allow it to benefit from changing economic conditions and shifting investor sentiment. Even as market volatility normalizes, uncertainty surrounding interest-rate policies, inflation, commodity prices and geopolitical developments could continue to drive hedging activity among institutional and retail investors. CME's product innovation, global distribution network and growing electronic trading capabilities also provide opportunities to attract new participants and expand contract volumes.

CBOE’s Price PerformanceShares of CBOE have gained 22.1% in the past year, outperforming the industry.

Image Source: Zacks Investment Research

CBOE’s OvervaluationThe stock is overvalued compared with its industry. It is currently trading at a price-to-earnings multiple of 20.42, higher than the industry average of 20.33.

Image Source: Zacks Investment Research

Estimate Movement for CBOEThe Zacks Consensus Estimate for CBOE’s third-quarter and fourth-quarter 2026 EPS has moved up 1.5% and 0.3%, respectively, over the past 30 days. The same for the full-year 2026 and 2027 EPS has moved up 0.3% and 0.5%, respectively, in the past 30 days.

Image Source: Zacks Investment Research

Arm Holdings (NASDAQ:ARM) stock is slightly up on Tuesday during a broader sell-off in semiconductor stocks, growing concerns about the sustainability of AI spending and the lingering effect of last week’s legal dispute with Qualcomm Inc (NASDAQ:QCOM).

The Nasdaq is down 0.56% while the S&P 500 has shed 0.13%, and Technology is also in the red (down 0.6%).

•  Where is ARM Holdings stock headed?

AI Buildout and Capital ConstraintsBroadcom Inc. (NASDAQ:AVGO) CEO Hock Tan spoke at the DBS Asia Future Forward Conference in Singapore on Monday. "A lot of investors have no clue what they’re investing in, but set very extreme expectations, only to find out that it’s almost like they are in a casino gambling," Tan said, according to Reuters. Tan also said, "[What] I think might be the biggest constraint is capital."

Brookings Institution research published in September projects the U.S. AI infrastructure buildout will reach $10.3 trillion through 2032, averaging 3.63% of U.S. GDP annually.

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Qualcomm Trial Adds to Arm’s PressureSeparately, a Delaware jury received Qualcomm’s lawsuit against Arm on Friday, Reuters reported. Qualcomm alleges Arm breached its licensing agreements and intentionally sabotaged Qualcomm’s dealings with Meta Platforms Inc (NASDAQ:META). The five-day federal trial in Wilmington is the second legal proceeding between the companies in two years. Qualcomm’s architecture license with Arm extends through 2033.

Technical AnalysisFrom a longer-term trend view, ARM is still holding above its 200-day SMA ($221.53), but the stock is now trading 13.5% below its 20-day SMA ($290.20) and 7.2% below its 50-day SMA ($270.41), which frames the recent move as a pullback inside a bigger uptrend. That "below the faster averages, above the 200-day" setup often turns into a make-or-break zone where rallies need to reclaim the 50-day area to reassert upside control.

The bigger-picture trend markers are mixed but still constructive: the Golden Cross in April (50-day SMA over the 200-day SMA) keeps the longer-term bias tilted higher, even as the stock works off the September swing high. With the 52-week high set in June ($452.70) and the 52-week low in February ($100.02), ARM remains volatile, so traders tend to anchor on nearby moving-average levels for direction.

Key Resistance: $267.50 — Lines up closely with the 50-day SMA/EMA zone where rebounds can stall. Key Support: $238 — Nearby floor that sits close to the 200-day EMA ($238.40), making it a key trend-defining area. ARM Stock Price Activity: ARM shares were up 0.94%% at $257.65 at the time of publication on Tuesday, according to Benzinga Pro data.

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AST SpaceMobile (ASTS -7.27%) stock enjoyed a brief pop Monday, gaining 1% before resuming its fall Tuesday. Credit for the pop goes to Deutsche Bank, which upgraded the satellite communications stock to "buy" after watching AST lose 65% of its market capitalization from May to October. As of 11:55 a.m. ET today, however, AST shares are down 9% -- and down nearly 26% over the past week.

And you can blame Piper Sandler for that -- because Piper thinks Deutsche is wrong about AST SpaceMobile.

Image source: Getty Images.

What Deutsche says about AST SpaceMobileLet's start with the bull case.

Deutsche Bank analyst Bryan Kraft thinks investors have overreacted to delays in AST's launch schedule, which prevented it from assembling its constellation in time to begin offering direct-to-cell service this year. After its steep decline, argues Kraft, "all but $10" of AST's stock price is backed up by the value of the cellphone spectrum AST owns.

As for the remaining $10, Kraft argues that Space Exploration Technologies' (SPCX -3.92%) move to build a satellite-based direct-to-cell network will push telecom companies away from SpaceX, and toward partnership with AST -- boosting AST's business and making AST stock a buy.

Premium Feature

Moneyball Superscore

70/100

Today's Change

(

-7.27

%) $

-3.74

Current Price

$

47.72

What Piper Sandler thinks about ASTPiper Sandler analyst Alexander Potter disagrees and downgraded AST stock to "neutral" today. Even if telcos want to partner with AST, that doesn't help if AST lacks satellites in orbit. And with Ariane, Blue Origin, and United Launch Alliance rockets all up on blocks, AST depends on SpaceX rockets to launch its satellites.

You can see the problem here.

AST SpaceMobile needs between 45 and 60 satellites to provide coverage across even just "select" markets. But it can't put them there unless SpaceX -- now its primary competitor -- permits it. That sounds more like a sell argument than a "buy" to me.

Rich Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends AST SpaceMobile. The Motley Fool has a disclosure policy.

Key Takeaways SMTC's data-center revenues hit a record $100 million in Q2 fiscal 2027, rising 91% year over year. SMTC expects 1.6T CopperEdge and FiberEdge products to contribute over 50% of Q3 FY27 data-center revenues. SMTC's fiscal 2027 backlog is fully booked, while over 70% of its fiscal 2028 target is already covered. Semtech Corporation (SMTC - Free Report) is seeing strong demand for its data center products as hyperscalers increase spending on AI infrastructure. The company’s data center revenues reached a record $100 million in the second quarter of fiscal 2027, up 39% sequentially and 91% year over year. Growth was driven by continued strength in 800G products, along with the ramp of 1.6T CopperEdge and FiberEdge solutions. Management expects this momentum to continue, with data center revenues projected to increase 45% sequentially and 160% year over year in the third quarter of fiscal 2027.

The 1.6T transition could become an important growth driver for Semtech. Management expects 1.6T FiberEdge and CopperEdge products to account for more than 50% of total data center revenues in the third quarter of fiscal 2027. Semtech is also gaining market share in optical connectivity, where its FiberEdge business has grown from about 18% market share in 800G two years ago to more than 50%. Further, the company expects its 1.6T FiberEdge market share to exceed 50% by the end of fiscal 2027.

The company is also preparing for the next stage of data center growth. Semtech is expanding its photonics portfolio through gain chips, high-power CW lasers, semiconductor optical amplifiers and photodiodes. These products are aimed at higher-speed applications, including 3.2T transceivers and co-packaged optics. Management expects its content per transceiver to increase from high single-digit dollars to high double-digit dollars as data center speeds move from 800G to 3.2T.

Strong customer demand supports SMTC’s prospects as well, with the company reporting that its backlog for the remainder of fiscal 2027 was fully booked and more than 70% of its target for fiscal 2028 was already covered. Management is also working with manufacturing partners to secure additional capacity for fiscal 2028 and beyond. If it can meet customer requirements and maintain its product momentum, the 1.6T ramp could remain an important driver of Semtech’s data center growth over the next several quarters.

How Competitors Fare Against SMTCSemtech faces stiff competition from Marvell Technology (MRVL - Free Report) and MACOM Technology Solutions (MTSI - Free Report) in high-speed data center connectivity.

MRVL offers optical digital signal processors, switching products, transimpedance amplifiers (TIAs) and drivers for high-speed optical connectivity. Its data center revenues reached a record $2.17 billion in the second quarter of fiscal 2027, up 46% year over year. Demand for its 800G products remains strong, while its 1.6T business is ramping rapidly.  The company now expects fiscal 2027 revenues to grow about 45% year over year to roughly $12 billion, with data center revenues up about 60%.

MTSI is also expanding its presence in high-speed data center connectivity. Its portfolio includes 800G and 1.6T products, linear equalizers for copper interconnects, high-speed TIAs and drivers, and photodetectors. Data center remained MTSI’s fastest-growing business in the third quarter of fiscal 2026, with revenues of $137.6 million, up about 40% sequentially and 81.5% year over year. The company reported a record book-to-bill ratio of 1.6 in the third quarter of fiscal 2026 and expects fiscal 2026 data center growth of about 74%.

SMTC’s Price Performance, Valuation & EstimatesShares of SMTC have jumped 127.1% in the year-to-date period compared with the  Zacks Semiconductor - Analog and Mixed industry’s return of 45.2%.

SMTC YTD Price Return Performance
Image Source: Zacks Investment Research

From a valuation standpoint, SMTC trades at a forward price-to-sales ratio of 9.82, higher than the industry’s average of 8.42. The Zacks Value Score of F suggests that SMTC stock is overvalued.

SMTC Forward 12-Month P/S Ratio
Image Source: Zacks Investment Research

The Zacks Consensus Estimate for SMTC’s fiscal 2027 earnings is pegged at $3.48 per share, unchanged over the past 30 days, indicating a 103.5% increase from the previous year.

Image Source: Zacks Investment Research

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

Key Takeaways MFC's Global WAM net inflows fell to C$0.4 billion in Q2 2026 from C$0.9 billion a year earlier. Retail net outflows narrowed to C$1.4 billion, while retirement net outflows reached C$4.9 billion. Core earnings rose 9%, and the core EBITDA margin expanded 110 basis points to 31.2%, boosting profitability. Manulife Financial Corporation (MFC - Free Report) has opportunities to improve Global Wealth and Asset Management (Global WAM) growth and sustain positive net flows. Global WAM benefits from recurring fee income, a diversified investment platform and acquisitions that expand its capabilities.

In the second quarter of 2026, Global WAM generated net inflows of C$0.4 billion, down from C$0.9 billion in the year-earlier quarter. Institutional asset management benefited from contributions from CQS and Comvest and record gross flows, supporting its ability to attract assets from institutional clients.

Retail wealth remains another important area to watch. Retail net outflows narrowed to C$1.4 billion in the second quarter from C$3.2 billion a year earlier, reflecting improved flows in mainland China, the United States and Canada. Expanding ETF-based investment solutions and strengthening digital wealth capabilities could help Manulife attract new clients and retain existing assets.

Retirement flows represent a more significant challenge. The business recorded C$4.9 billion in net outflows in the second quarter compared with C$2 billion in net inflows in the prior-year quarter, reflecting higher plan redemptions and member withdrawals. These outflows can offset gains elsewhere in Global WAM and constrain the growth of assets generating recurring management fees. Better retention would help stabilize the asset base and make fee income more predictable.

Profitability, meanwhile, offers a source of support. Global WAM's core earnings increased 9% year over year, while its core EBITDA margin expanded 110 basis points to 31.2%, aided by higher average assets under management and administration (AUMA) and contributions from acquisitions.

Overall, MFC has several avenues to improve Global WAM growth, but sustaining positive net flows will require more consistent performance across institutional, retail and retirement businesses.

What About Its Peers?Sun Life Financial Inc.'s (SLF - Free Report) diversified asset-management businesses, including MFS Investment Management and SLC Management, provide opportunities to attract institutional and retail assets and generate recurring fee income. However, market fluctuations may affect investment performance and the value of client assets, while competitive pricing pressures could constrain margins. Sun Life's ability to sustain positive net flows will depend on investment performance, distribution strength, client retention and its capacity to attract new institutional mandates.

Prudential Financial, Inc.’s (PRU - Free Report) asset-management arm, PGIM, can support growth through demand for fixed-income strategies, alternative investments and institutional investment solutions, while recurring management fees provide a source of relatively stable revenue. However, outflows from certain investment strategies, shifts in client asset allocations and competition from lower-cost passive products could constrain assets under management and fee income. To sustain growth, Prudential will need to strengthen institutional and retail distribution, deliver competitive investment returns and attract new client assets to offset withdrawals.

MFC’s Price PerformanceShares of MFC have gained 33.5% in the past year, outperforming the industry.

Image Source: Zacks Investment Research

MFC’s OvervaluationThe stock is overvalued compared with its industry. It is currently trading at a price-to-earnings multiple of 12.94, higher than the industry average of 10.53. It carries a Value Score of A.

Image Source: Zacks Investment Research

Estimate Movement for MFCThe Zacks Consensus Estimate for MFC’s third-quarter and fourth-quarter 2026 EPS has moved up 2.4% and 1.2%, respectively, in the past 60 days. The same for full-year 2026 EPS has moved down 0.9%, and 2027 EPS has moved up 4.3% in the past 60 days.

Image Source: Zacks Investment Research

Key Takeaways OKLO's Groves-1 reactor got DOE startup authorization in July 2026 and achieved first criticality in August.OKLO completed substantial construction in 229 days, gaining experience to streamline future isotope projects.OKLO secured ytterbium-176 for cancer-treatment isotopes, while its Idaho lab may generate earlier revenues.
Oklo Inc. (OKLO - Free Report) is advancing its plans to establish a domestic isotope supply chain through its Groves-1 Isotope Test Reactor in Texas. The facility is designed to support the development of isotopes used in cancer treatments, manufacturing, scientific research and national security. The project has already cleared important regulatory and operational milestones, including startup authorization from the U.S. Department of Energy (“DOE”) on July 23, 2026, and first criticality on Aug. 5, 2026.

OKLO developed Groves on privately owned land using private funding and commercially sourced equipment, alongside components manufactured by the company. The facility reached first criticality in just over 11 months from groundbreaking, with substantial construction completed in 229 days. The project provided experience in reactor construction, equipment installation, regulatory reviews and nuclear operations. Management plans to apply these lessons to future isotope facilities, potentially improving project execution and shortening development timelines.

OKLO is also strengthening its isotope supply chain. In September 2026, the company received two grams of enriched ytterbium-176, which can be converted into lutetium-177 through reactor irradiation. Lutetium-177 is used in targeted cancer treatments. Securing this material supports the company's efforts to develop domestic production capabilities and reduce reliance on overseas suppliers.

From an investment perspective, Groves gives OKLO practical operating experience to support its isotope business expansion. Management expects research-scale isotope production after further commissioning, while its NRC-licensed Idaho laboratory may generate earlier commercial revenues. Although commercial-scale production remains under development, these initiatives provide opportunities to expand OKLO's business beyond nuclear power generation.

The growing demand for reliable, carbon-free electricity is encouraging greater investment in advanced nuclear technologies. Alongside isotope production, the development of smaller nuclear reactors is creating opportunities to serve utilities, industrial customers and data centers.

Advanced Nuclear Reactor Developers Eye Growth OpportunitiesNuScale Power (SMR - Free Report) is among the leading developers of small modular reactor technology and is the first company to receive U.S. Nuclear Regulatory Commission approval for a design. NuScale Power is working with partners on projects in the United States and overseas, including Romania, while advancing plans to support large-scale power deployment. NuScale Power believes its modular reactors can deliver reliable, carbon-free electricity for utilities, industries and AI-driven data centers, keeping NuScale Power at the forefront of the commercial small modular reactor market.

NANO Nuclear Energy (NNE - Free Report) is focused on smaller microreactors through its KRONOS MMR design. The company is preparing to begin the NRC licensing process for its first deployment at the University of Illinois after its construction permit application is formally accepted. At the same time, NANO Nuclear is pursuing opportunities in AI data centers, industrial facilities and defense applications while expanding partnerships that could support future commercialization.

The Zacks Rundown on OKLOShares of Oklo have lost more than 80% over the past year.

Image Source: Zacks Investment Research

OKLO currently has an average brokerage recommendation (ABR) of 1.92 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 24 brokerage firms. 

Image Source: Zacks Investment Research

See how the Zacks Consensus Estimate for OKLO’s earnings has been revised over the past 90 days.

Image Source: Zacks Investment Research

The company currently carries a Zacks Rank #4 (Sell).

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

Key Takeaways IREN advances Texas and Oklahoma projects, with three more 50-MW Microsoft deployments planned at Childress.IREN advances its 800-MW Bundey project in Australia and a 300-MW data center development in Spain.IREN's Nostrum acquisition boosts European expansion, while Mirantis strengthens cloud orchestration.
IREN Limited (IREN - Free Report) is expanding its global AI data center infrastructure to capitalize on rising demand for artificial intelligence computing. The company has announced a development pipeline exceeding 5 gigawatts (GW) across North America, Europe and Australia. It targets approximately 300 megawatts (MW) of commissioned IT capacity by year-end 2026 and 800 MW by year-end 2027, creating opportunities to scale its AI Cloud Services business.

In the United States, IREN is advancing projects in Texas and Oklahoma. At Childress, TX, it delivered Horizon 1, the first of four planned 50-MW liquid-cooled IT deployments for Microsoft. The remaining three deployments are targeted for delivery in the fourth quarter of 2026. Meanwhile, Sweetwater in Texas and Kiowa in Oklahoma represent significant longer-term expansion opportunities.

IREN is also broadening its international footprint. Its 800-MW Bundey project in South Australia is progressing through permitting and procurement, while the 300-MW Badajoz development provides a foothold in Europe. The acquisition of Nostrum Group strengthens its European development capabilities, while Mirantis adds software and cloud orchestration capabilities that could support broader enterprise offerings.

IREN reported $4 billion in contracted annualized run-rate revenues (ARR) associated with its 2026 capacity, of which $1 billion was operational as of Aug. 26, 2026.

IREN expects fiscal 2027 capital expenditures of $25 billion to $30 billion, requiring substantial funding. IREN’s global expansion offers considerable growth potential, but disciplined capital allocation and successful capacity delivery will determine whether it translates into sustainable financial growth.

How Are IREN’s Competitors Expanding?CoreWeave (CRWV - Free Report) is expanding its AI cloud infrastructure across multiple U.S. regions to meet growing demand from hyperscalers and AI developers. In the second quarter of 2026, active power capacity rose nearly 500 MW to 1.5 GW, while contracted power reached 3.7 GW. The company is expanding its powered-land footprint and developing additional facilities to strengthen its geographic reach and computing capacity.

Applied Digital (APLD - Free Report) is expanding geographically across North Dakota, Louisiana and Alabama, with approximately 1.41 GW of leased IT capacity across five campuses. It has also entered Finland, securing an agreement for up to 1 GW of potential power capacity, marking its first international expansion.

IREN’s Price Performance, Valuation and EstimatesShares of IREN have declined 9.8% over the past three months, underperforming the broader industry and the S&P 500 composite. 

Image Source: Zacks Investment Research

In terms of forward 12-month Price/Sales (P/S), IREN is currently trading at 3.19X, which is at a premium to the industry average of 2.68X.

Image Source: Zacks Investment Research

Estimates for IREN’s fiscal 2027 earnings have been revised downward in the past month.

Image Source: Zacks Investment Research

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

Cerebras Systems Inc. (NASDAQ:CBRS) faces more potential selling when up to 19.4 million more shares become eligible for sale on Wednesday under the AI chipmaker’s staggered IPO lock-up.

The stock is on watch after sliding 10.7% to $146.62 on Monday, its lowest close yet, according to Benzinga Pro market data. Shares are down about 58% from their $350 opening price in May and trade roughly 21% below the $185 IPO price.

CBRS stock is moving. See the real-time price action here.  Lock-Up Clock TicksCerebras set up its lock-up to release insider stock in stages rather than all at once, similar to SpaceX. The releases were planned in several rounds running through the end of October, Axios reported at the time of the IPO.

The last tranche of this size arrived Sept. 30. Up to 19.4 million shares held by directors, officers, employees and other holders unlocked that day, equal to 8% of shares outstanding. The stock fell 8.9% that day.

Before that, up to 14.6 million shares had been freed every two weeks since Aug. 19.

Insiders have been selling. CEO Andrew Feldman and CTO Sean Lie sold more than $240 million of Class A shares between Aug. 20 and Sept. 25 under trading plans, according to Benzinga’s insider sale data. 

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OpenAI Doubts LingerThe unlock comes on top of questions about Cerebras’ biggest customer. On Sept. 30, research firm SemiAnalysis said OpenAI would run the “Ultrafast” mode of GPT-6.1 Sol on NVIDIA Corp. (NASDAQ:NVDA) GPUs rather than on Cerebras hardware. Cerebras fell nearly 20% that week and closed at $166.43 on Oct. 2.

OpenAI CEO Sam Altman pushed back late that Friday. 

“There is some speculation about our partnership with Cerebras. Cerebras is a close partner, and we have a deep engagement pushing on the frontiers of speed,” he wrote on X. The stock jumped 9% the following Monday. His post did not say which chips run the new tier.

Citi analysts said their 2026-2028 revenue outlook for Cerebras was “unchanged.” They called it “too early to read much into” the rollout, CNBC reported. 

The two companies are closely tied. Cerebras has a multiyear deal worth more than $20 billion to supply OpenAI with 750 megawatts of computing power. OpenAI also lent Cerebras $1 billion and holds warrants for up to 33.4 million shares.

Altman Bounce FadesCerebras’ Altman bounce didn’t hold. Shares have fallen about 19% since closing at $181.55 on Oct. 5.

Pressure across the sector added to the losses. AI stocks slid Oct. 8 after reports that OpenAI’s annualized revenue at the end of September was about $18 billion below earlier figures. 

On Monday, Microsoft Corp. (NASDAQ:MSFT) unveiled its Maia 300 chip and said it would become the main inference system for Microsoft’s own products. The Philadelphia Semiconductor Index dropped 2.7% the same day. 

Inference is the core of Cerebras’ pitch, and each new in-house chip from a big cloud company makes the competitive question harder to ignore.

Cerebras is now worth about $34.8 billion. It was valued near $95 billion after its first day of trading.

CBRS Stock Price Activity: Cerebras stock was up 0.49% at $147.34 at the time of publication on Tuesday, according to Benzinga Pro.

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Photo: Courtesy Cerebras

This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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

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Google CEO Sundar Pichai.

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Google says it's back on the AI frontier, and now everyone can put that claim to the test.

The company announced on Tuesday that its new Gemini 4 model, dubbed "Argon," is rolling out to the public and will be available to Gemini app users and developers.

Google is positioning Argon as its new workhorse model, stating that it excels at coding, cybersecurity, and knowledge work in finance and law.

Tulsee Doshi, Gemini product lead at Google DeepMind, called Argon a "powerhouse" model and said it would be the first of a family of new Gemini models rolling out over time.

As is often the case with the most advanced AI models, Argon is available only to paying users. It's rolling out to Pro and Ultra Gemini app subscribers, meaning users will have to pay at least $19.99 per month to access it. Those subscribers will also see Argon in AI Mode while searching on Google. Developers will also need to pay for the new model.

Google first unveiled Argon last month, but it was only available to a set of trusted partners to proactively test it and address cyber vulnerabilities.

The new model arrives amid heated competition between the big AI companies. Meta said on Monday that its new Muse Wonder class of models would bring the company to the frontier, the industry term for the most advanced AI, while also powering its buzzy personal agent, Muse. Last month, OpenAI started rolling out its latest family of frontier models, GPT-6.

Argon gives Google an opportunity to reassert itself in the AI race after the company chose not to launch its previously-promised frontier model, Gemini 3.5 Pro.

Cornhole-playing robotGoogle has been testing its new Gemini 4 model internally with employees for several weeks and said it had helped engineers increase the production of AI-generated code by 35%, while helping improve other Google products such as Chrome.

"I actually think it's been one of the biggest game changers for us," Doshi told Business Insider, referring to the increased amount of internal testing for Gemini 4. "Getting that feedback from Googlers who are using the model every day, I think has been both helpful in terms of just better understanding the model and better understanding its strengths and weaknesses."

Doshi said Argon was helping to speed up robotics development inside Google, thanks to the model's improved multimodal and reasoning skills. Google said it trained a robot to play cornhole by having Argon watch a human player and calculate joint movements and spatial coordinates.

Google also said it has stepped up efforts to prevent the model from behaving in ways it shouldn't, employing a system that tracks the model's chain of thought to determine if it's behaving. "I think that's actually really important because then you can actually intervene. You can say, 'Okay, the model is actually veering off in a way that's concerning. Let's stop here,'" said Doshi.

"I think that gives us a much more robust set of protections in launching this model."

While Google employees are already testing better versions of Argon internally, Doshi said the model rolling out will be the one the company announced benchmarks for last month. However, Google is making clear that this is just the start of its next big push.

"People should expect to see continued improvements coming from us wholesale," Doshi said.

Have something to share? Contact this reporter via email at [email protected] or Signal at 628-228-1836. Use a personal email address and a non-work device; here's our guide to sharing information securely.

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Key Takeaways NOK's new 16-port line card supports GPON, 10G, 25G and 50G PON technologies on every port.Nokia's Quillion-based platform enables network upgrades without replacing infrastructure.The solution delivers up to four times lower upstream latency, quantum-safe security and enhanced resilience.
Nokia Corporation (NOK - Free Report) has introduced a new 50G/25G/10G/GPON (Gigabit Passive Optical Network) line card to help telecom operators upgrade their fiber broadband networks with greater flexibility and lower investment risk. The innovation aims to prepare network infrastructure for the growing demands of artificial intelligence (AI), cloud computing and high-speed connectivity.

Built on Nokia’s Quillion chipset, the 16-port line card supports GPON, 10G, 25G and 50G PON technologies on every port, enabling fiber access speeds of up to 50Gbps. This allows operators to upgrade network speeds as demand grows without replacing existing infrastructure. Operators can also add higher-speed technologies when needed, helping them manage investments efficiently and create new revenue opportunities.

The company’s new platform offers up to four times lower upstream latency, enabling faster data transmission and improving performance for data-intensive applications. It also includes quantum-safe encryption and authentication to protect network and user data from emerging threats, while enhanced resilience helps ensure reliable connectivity for critical services.

With general availability planned for 2027, the launch strengthens Nokia’s position in fiber broadband infrastructure. The solution gives telecom operators greater flexibility to expand network capacity and meet the growing connectivity needs of AI-driven applications.

How Are Competitors Performing?Nokia faces stiff competition from Ericsson (ERIC - Free Report) and Cisco Systems, Inc. (CSCO - Free Report) . Ericsson is improving network performance through AI-powered 5G technology to increase data speeds, coverage and efficiency. The company is working with telecom operators to improve network capacity and reliability. Ericsson is advancing next-generation wireless technology to support automated network management and new digital services.

Cisco is developing advanced networking chips to handle growing AI workloads and improve data center performance. The company is using AI-powered tools to help businesses detect network issues and automate troubleshooting. Cisco is enhancing network management and traffic visibility to help organizations monitor performance and resolve connectivity problems more efficiently.

NOK’s Price Performance, Valuation & EstimatesNokia shares have soared 81% over the past year against the industry’s decline of 0.7%.

Image Source: Zacks Investment Research

From a valuation standpoint, Nokia trades at a forward price-to-sales ratio of 2.25, below the industry tally of 4.67.

Image Source: Zacks Investment Research

Earnings estimates for 2026 have remained static at 39 cents over the past 60 days, while those for 2027 have decreased 4% to 48 cents.

Image Source: Zacks Investment Research

Nokia currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Mortgage rates are rising, making it harder for people to afford a home. The housing market has been stalled for quite some time, as affordability issues existed even before mortgage rates began rising. This is a terrible backdrop for homebuilders like Lennar (LEN -0.54%). And yet, Berkshire Hathaway (BRKA +0.71%)(BRKB +0.80%), under new CEO Greg Abel, has been buying that stock, building its position to 10%, and it recently completed its $6.8 billion acquisition of Taylor Morrison Home. Is this a costly early misstep?

Greg Abel is doing things his way
Housing has long been a part of conglomerate Berkshire Hathaway's business. The company has a deep knowledge of the sector, which tends to be cyclical. The company's housing exposure was originally built under former CEO Warren Buffett. So Greg Abel isn't exactly charting his own course with his investments in home builders.

Image source: Getty Images.

Greg Abel's big departure from Buffett is that he has explicitly stated that Taylor Morrison Home will eventually be integrated with other Berkshire Hathaway businesses to create a larger division. Buffett usually allowed companies under the Berkshire umbrella to operate independently. But there's a similarity between Buffett and Abel that's important when it comes to housing: Buffett often bought stocks and entire companies when they were unloved. The housing market is deeply unloved today, with Lennar stock down 40% from its 52-week high.

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If you were looking to buy housing companies on the cheap, now might be a good time since the rest of Wall Street appears to hate them. There are good reasons for that investor concern, but you often find the best values in an industry when it is facing hard times.

A housing mistake or an opportunistic, long-term investment
Right now, with mortgage rates rising and housing stocks falling, it is easy to see why investors would consider Abel's housing investments an early misstep. But that's a short-term view, while Berkshire Hathaway has long viewed investing as a long-term endeavor. That was Buffett's approach, and Abel's housing push suggests it is his approach, as well. Buy when others are fearful, as the old saying goes, and then hold for the long term.

Basically, it is too soon to tell if Abel has made a mistake. But before you pass judgment, you may want to ask yourself a simple question: Are people going to stop living in houses? The logical answer is no, which suggests that there will eventually be a housing recovery in what is a traditionally cyclical industry. And Berkshire Hathaway clearly plans to be there to benefit when the current downturn ends.

NVIDIA's revenue is growing triple digits and analysts keep raising their targets, yet a closer look at supply constraints, export bans, and rising customer payment delays reveals how much uncertainty surrounds every dollar invested today.

A $1,000 investment in NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) starts from a assumed price of $230.48, and the shares recently traded near $229.47. This piece looks at what that stake could be worth by 2030.

NVIDIA is worth a long look because management expects revenue to grow about 70% next fiscal year, while the stock trades at about 46 times trailing earnings.

What $1,000 Could Become by 2030
The headline assumes 10% growth a year. The model’s central scenario is nearly the same, working out to 10.68% a year.

Its longest forecast runs to October 8, 2031, so every firm number below uses that five-year date. Under its central projection, a $1,000 investment could be worth about $1,660.70 by 2031, a total return of 66.07%. That assumes a share price of $382.76.

There are two rough markers for 2030 itself, and both are estimates taken from outside the model’s targets. On its projected path, the stock reaches $371.92 on October 8, 2030.

At that price, $1,000 would be worth about $1,613.68, a gain of roughly 61.37%. If you simply grow $1,000 by exactly 10% a year for four years, you get $1,464.10.

Bull, Base and Bear Paths for Your $1,000

Scenario
Price Target (2031)
Total Return
Annualized Return
Value of $1,000

Bull
$485.85
110.8%
16.08%
$2,108

Base
$382.76
66.07%
10.68%
$1,660.70

Bear
$269.95
17.12%
3.21%
$1,171.20

The one-year base target is $270.72, an upside of 17.46%. That would turn $1,000 into about $1,174.60. The one-year bull and bear targets are $315.68 and $233.76. Its forecast has a confidence score of 0.9, rated high; its automated label, Buy, is not advice. Analysts are more upbeat. Analysts’ consensus target is $328.72. Ratings break down as 10 Strong Buys, 48 Buys, 2 Holds and 1 Sell.

Three Growth Drivers Behind the Base Case
Demand Is Running Ahead of Supply
Second-quarter fiscal 2027 revenue was $96.22 billion, up 105.8% from a year earlier. Data Center sales were $89.02 billion. Guidance for the third quarter is $108 billion. Management says its roughly 70% growth outlook for fiscal 2028 is held back by supply.

Chief executive Jensen Huang said on the earnings call: “At this moment, we have supply for 70%. We have more supply than 70%, but about 70%. Our demand is much higher than that.”

Vera Rubin Brings In More Revenue per Gigawatt
Every new chip generation makes NVIDIA more per gigawatt of data-center capacity. Blackwell brings in $25 billion per gigawatt and Vera Rubin $40 billion per gigawatt. Customers are also spending more.

The five largest cloud providers are expected to spend nearly $800 billion on capital projects in 2026 and $1.3 trillion in 2027 (that expansion runs well beyond NVIDIA, which is why we rounded up seven infrastructure suppliers riding the same wave in a free AI infrastructure report).

Earnings Estimates Keep Rising
Analysts expect fiscal 2028 earnings of $15.6951 per share. Over the past 30 days, 46 analysts raised their estimates and 0 cut them.

The model’s own forward P/E is about 18. It also cuts its outlook for very large companies like NVIDIA, which is why its central projection looks modest next to the company’s growth rate.

Risks That Could Shrink Your Returns

China: Guidance leaves out all China Data Center compute revenue because of export restrictions.
Commitments: NVIDIA has $279B in supply commitments and $108.5B in guarantees to AI cloud partners. Both depend on demand holding up.
Slower payments: Customers are taking longer to pay. Days sales outstanding rose to 60 days from 45.
Margins: Gross margin is expected to bottom in the fourth quarter at 71% to 72% as memory costs rise. NVIDIA also depends on Taiwan Semiconductor Manufacturing (NYSE:TSM) to make its chips.
Volatility: The stock’s beta of 2.22 means it tends to swing much more than the overall market. AI stocks, NVIDIA included, recently fell on a report about OpenAI’s revenue.

Even so, the worst scenario still leaves $1,000 at $1,171.20. A deeper AI spending slowdown could push results below every scenario shown here.

What This Means for Your $1,000
A $1,000 NVIDIA stake is estimated at $1,171.20 to $2,108 by late 2031, with a base case of $1,660.70.

Any figure for 2030 is a rough marker taken from that path. These scenarios has no guarantees. They depend on AI demand surviving supply limits and geopolitical risk. It is a projection, not investment advice.

Contact [email protected] for any questions or corrections.

Key Takeaways Walmart trades at 36.32X forward earnings, above the industry's 32.73X. Global e-commerce sales jumped 23% in Q2, while higher-margin businesses fuel Walmart's growth. Rising fuel costs and pricing investments pressure margins, favoring a cautious approach to WMT stock. Walmart Inc. (WMT - Free Report) continues to command a premium valuation, reflecting investors' confidence in its resilient business model, expanding digital capabilities and improving profitability. However, the stock's elevated valuation raises questions about whether its growth prospects justify the premium.

WMT is currently trading at a forward 12-month price-to-earnings (P/E) multiple of 36.32, exceeding the industry average of 32.73 and its five-year median of 25.20. This premium reflects investors' expectations of sustained earnings growth and successful execution of Walmart's omnichannel strategy. However, the elevated valuation also leaves limited room for earnings disappointments or operational setbacks.

Image Source: Zacks Investment Research

Walmart also trades at a substantially higher valuation than Target Corporation (TGT - Free Report) and Dollar General Corporation (DG - Free Report) , which currently command forward P/E multiples of 15.78 and 15.32, respectively. Meanwhile, Costco Wholesale Corporation (COST - Free Report) commands an even richer valuation at 41.55, highlighting the varying premiums investors are willing to pay for leading retailers.

What's Driving Walmart's Growth Momentum?Walmart's growth momentum is supported by its ability to combine everyday low prices with digital convenience, operational efficiency and expanding higher-margin businesses. Its extensive store network, competitive pricing and broad merchandise assortment continue to attract customers across income groups. The company's emphasis on affordability remains particularly relevant as consumers prioritize value amid ongoing economic pressures. Continued market share gains, especially in grocery and essential categories, highlight the resilience of its business model.

E-commerce remains a key growth catalyst, supported by faster fulfillment, marketplace expansion and increasing digital adoption. Walmart is leveraging its physical footprint to integrate stores with online operations, enabling convenient pickup and faster deliveries while improving fulfillment efficiency. Global e-commerce sales increased 23% in second-quarter fiscal 2027, underscoring sustained demand for its omnichannel offerings. Expanding delivery capabilities are also strengthening customer engagement and encouraging repeat purchases.

Walmart's growing ecosystem of higher-margin businesses, including advertising, marketplace services and membership programs, is another important strength. Walmart Connect, its third-party marketplace, and Walmart+ are creating additional revenue opportunities beyond traditional retail sales. These businesses are improving profitability, diversifying revenue streams and reinforcing customer loyalty.

Continued investments in automation, artificial intelligence and supply-chain modernization are enhancing productivity and inventory management. Walmart International and Sam's Club provide additional growth opportunities through digital expansion, membership gains and improving market penetration. Together, these initiatives support Walmart's competitive positioning and long-term earnings potential.

How Has WMT Stock Performed Against Its Peers?Shares of Walmart have gained 5.5% over the past year, outperforming the broader industry's 2.8% growth and the Zacks Retail – Wholesale sector's modest rise of 0.2%. 
 

Image Source: Zacks Investment Research

However, the company has underperformed several prominent retail peers like Target and Dollar General while outpacing Costco. Over the past year, TGT and DG have delivered gains of 72.7% and 22%, respectively. Meanwhile, COST has advanced 1.4%, trailing WMT. The mixed performance suggests that although Walmart's fundamentals remain solid, its premium valuation has not translated into market-leading stock appreciation. Sustained earnings momentum may be necessary to justify further upside.

Walmart’s Near-Term ChallengesDespite its long-term strengths, Walmart faces several near-term challenges that could pressure profitability. Elevated fuel costs, aggressive pricing investments and rising operating expenses remain key concerns. Management expects more than $2 billion in incremental fuel-related costs in fiscal 2027, creating additional pressure on distribution and fulfillment expenses.

Walmart's focus on affordability, while supporting market share gains, could weigh on near-term margins. The company implemented more than 11,000 price rollbacks during the second quarter. Tariff-related refunds significantly benefited quarterly profitability, raising questions about the sustainability of the reported growth rate. Management expects third-quarter adjusted operating income growth of 2-4% in constant currency, reflecting continued price investments.

Higher depreciation, self-insurance costs and employee healthcare expenses also contributed to operating expense deleverage. Meanwhile, Walmart U.S. comparable sales growth moderated to 2.6%, partly due to pharmacy-related deflation associated with maximum fair price regulations. These pressures, combined with a premium valuation, could limit near-term stock upside.

What Do Earnings Estimates Indicate for WMT?The Zacks Consensus Estimate for Walmart's current fiscal-year earnings per share has remained unchanged at $2.87 over the past 30 days, implying year-over-year growth of 8.7%. Similarly, the consensus estimate for the next fiscal year has held steady at $3.22, suggesting growth of nearly 12%.

Image Source: Zacks Investment Research

Should Investors Buy, Hold or Sell Walmart Stock Now?Walmart's strong market position, expanding digital ecosystem and growing higher-margin businesses provide a solid foundation for sustained growth. Its emphasis on affordability, convenience and operational efficiency continues to strengthen its competitive advantage. However, the elevated valuation, mixed stock performance and near-term cost pressures suggest that much of the optimism is already priced in. While Walmart remains fundamentally attractive, its current risk-reward profile favors a cautious approach. Existing shareholders may consider retaining their positions, while prospective investors could await a more favorable entry point.

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

NorthCrest Asset Manangement LLC increased its position in shares of Johnson & Johnson (NYSE:JNJ – Free Report) by 6.5% during the third quarter, according to its most recent Form 13F filing with the SEC. The firm owned 173,177 shares of the company’s stock after buying an additional 10,574 shares during the period. Johnson & Johnson comprises about 1.0% of NorthCrest Asset Manangement LLC’s portfolio, making the stock its 15th biggest position. NorthCrest Asset Manangement LLC’s holdings in Johnson & Johnson were worth $44,416,000 at the end of the most recent reporting period.

Several other hedge funds have also recently added to or reduced their stakes in the company. Silver Coast Investments LLC grew its holdings in Johnson & Johnson by 3.8% during the 2nd quarter. Silver Coast Investments LLC now owns 1,066 shares of the company’s stock worth $271,000 after acquiring an additional 39 shares in the last quarter. Townsend Asset Management Corp NC ADV boosted its holdings in shares of Johnson & Johnson by 0.6% in the 2nd quarter. Townsend Asset Management Corp NC ADV now owns 6,418 shares of the company’s stock valued at $1,630,000 after buying an additional 39 shares in the last quarter. Triumph Capital Management raised its stake in Johnson & Johnson by 1.6% during the 2nd quarter. Triumph Capital Management now owns 2,531 shares of the company’s stock worth $643,000 after acquiring an additional 39 shares in the last quarter. Kwmg LLC raised its stake in Johnson & Johnson by 1.7% during the 3rd quarter. Kwmg LLC now owns 2,383 shares of the company’s stock worth $631,000 after acquiring an additional 39 shares in the last quarter. Finally, Denali Advisors LLC lifted its position in Johnson & Johnson by 1.2% in the second quarter. Denali Advisors LLC now owns 3,305 shares of the company’s stock valued at $839,000 after acquiring an additional 40 shares during the last quarter. Institutional investors and hedge funds own 69.55% of the company’s stock.

Analyst Ratings Changes Several equities analysts have issued reports on the stock. TD Cowen upped their price objective on shares of Johnson & Johnson from $250.00 to $300.00 and gave the company a “buy” rating in a research note on Monday, July 13th. Weiss Ratings raised Johnson & Johnson from a “buy (b)” rating to a “buy (b+)” rating in a research report on Thursday. Wells Fargo & Company raised their price target on Johnson & Johnson from $272.00 to $282.00 and gave the stock an “overweight” rating in a research note on Monday, August 3rd. Guggenheim reaffirmed a “buy” rating and set a $287.00 price target on shares of Johnson & Johnson in a research report on Wednesday, October 7th. Finally, Stifel Nicolaus set a $260.00 price target on Johnson & Johnson in a research report on Wednesday, July 15th. One investment analyst has rated the stock with a Strong Buy rating, eighteen have given a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $276.22.

Check Out Our Latest Stock Report on Johnson & Johnson Johnson & Johnson News Summary Here are the key news stories impacting Johnson & Johnson this week:

Positive Sentiment: Q3 earnings beat and higher guidance: Johnson & Johnson topped analysts’ expectations for the third quarter and increased its 2026 adjusted EPS outlook, signaling stronger operating momentum across its focused portfolio. Earnings Snapshot: Johnson & Johnson tops Q3 expectations, lifts full-year adjusted EPS guidance Positive Sentiment: Dividend reaffirmed: The board declared a quarterly cash dividend of $1.34 per share, payable December 8 to shareholders of record November 24. The payment reinforces JNJ’s income appeal and marks another distribution in the company’s long record of dividend increases. Johnson & Johnson Announces Quarterly Dividend for Fourth Quarter 2026 Positive Sentiment: TREMFYA data supports pharmaceutical growth: New Phase 3 Crohn’s disease data showed sustained clinical and endoscopic remission through three years, with additional analyses demonstrating consistent fistula-remission results across difficult-to-treat patient groups. The findings could strengthen confidence in TREMFYA as JNJ manages Stelara-related biosimilar pressure. TREMFYA demonstrated sustained remission through three years Neutral Sentiment: Potential MedTech restructuring: CFO Joseph Wolk said JNJ is leaning toward spinning out its hips-and-knees business. A separation could sharpen management focus and unlock value, but execution risks and the impact on the remaining MedTech portfolio are not yet clear. J&J Is Leaning Toward Spinning Out Its Hips-And-Knees Business Negative Sentiment: MedTech weakness: Surgery revenue declined in the latest quarter, prompting the company to work on improving performance in its medical-device business. This offsets some of the strength from pharmaceuticals and could limit near-term upside. Negative Sentiment: Legal risk: Boston Scientific sued JNJ subsidiary Atraverse Medical over alleged patent infringement involving a cardiology device. An adverse outcome could restrict sales of the contested product, though the financial impact is currently uncertain. Is Johnson & Johnson Facing New MedTech Risk After a Patent Lawsuit? Insider Activity In other news, EVP Vanessa Broadhurst sold 23,054 shares of the firm’s stock in a transaction on Monday, July 20th. The shares were sold at an average price of $251.27, for a total value of $5,792,778.58. Following the completion of the sale, the executive vice president owned 23,003 shares in the company, valued at approximately $5,779,963.81. This trade represents a 50.06% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Timothy Schmid sold 33,597 shares of the business’s stock in a transaction dated Wednesday, September 2nd. The stock was sold at an average price of $274.74, for a total transaction of $9,230,439.78. Following the transaction, the executive vice president owned 25,447 shares in the company, valued at approximately $6,991,308.78. This trade represents a 56.90% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 87,569 shares of company stock worth $23,064,544 over the last quarter. Insiders own 0.16% of the company’s stock.

Johnson & Johnson Stock Performance Shares of JNJ stock opened at $264.01 on Tuesday. The stock’s 50-day moving average price is $266.01 and its 200 day moving average price is $249.31. The company has a quick ratio of 0.81, a current ratio of 1.09 and a debt-to-equity ratio of 0.44. The stock has a market capitalization of $636.23 billion, a PE ratio of 30.59, a price-to-earnings-growth ratio of 2.65 and a beta of 0.21. Johnson & Johnson has a 52-week low of $184.66 and a 52-week high of $281.07.

Johnson & Johnson (NYSE:JNJ – Get Free Report) last released its earnings results on Wednesday, July 15th. The company reported $2.90 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.84 by $0.06. Johnson & Johnson had a return on equity of 32.42% and a net margin of 21.48%. The business had revenue of $25.31 billion for the quarter, compared to analyst estimates of $25.06 billion. During the same quarter in the previous year, the company posted $2.77 earnings per share. The company’s revenue for the quarter was up 6.6% compared to the same quarter last year. Johnson & Johnson has set its FY 2026 guidance at 11.600-11.750 EPS. As a group, equities research analysts forecast that Johnson & Johnson will post 11.18 EPS for the current year.

Johnson & Johnson Announces Dividend The company also recently disclosed a quarterly dividend, which was paid on Tuesday, September 8th. Shareholders of record on Tuesday, August 25th were given a dividend of $1.34 per share. The ex-dividend date was Tuesday, August 25th. This represents a $5.36 dividend on an annualized basis and a yield of 2.0%. Johnson & Johnson’s dividend payout ratio is presently 62.11%.

Johnson & Johnson Company Profile (Free Report)

Johnson & Johnson (NYSE: JNJ) is a global healthcare company that develops, manufactures and markets products through two primary business segments: Innovative Medicine and MedTech. Its operations serve patients, healthcare professionals and consumers in markets around the world.

The Innovative Medicine segment focuses on prescription medicines in areas including immunology, oncology, neuroscience, cardiovascular and metabolic disease, infectious diseases, and pulmonary hypertension.

See Also Five stocks we like better than Johnson & Johnson Salesforce Just Got a Rare Double Upgrade—What Changed? OpenAI’s Revenue Scare Could Be a Big Opportunity for Investors China Still Dominates Rare Earths—These 3 U.S. Companies Could Benefit 3 REITs That May Win in a Higher Interest Rate Environment

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Key Takeaways ExxonMobil's low-cost Permian and Guyana operations position it to benefit from elevated crude oil prices.XOM is using advanced drilling techniques and AI to boost Permian production volumes while lowering costs.XOM shares gained 53.3% in a year, outperforming the industry, while its 2026 earnings estimates rose.
West Texas Intermediate (“WTI”) crude is currently trading above $90 per barrel according to data from Oilprice.com. Although the commodity price recently declined from the high mark of more than $100 per barrel, the pricing environment of the commodity is still favorable to continue supporting ExxonMobil Holdings Corporation’s (XOM - Free Report) exploration and production activities, which generate the majority of its earnings.

XOM has a massive footprint in the Permian, the most prolific oil and gas play in the United States, and offshore Guyana. In the Permian, the integrated giant has been employing new drilling techniques and artificial intelligence to boost and optimize production volumes at lower cost structures.

In Guyana, XOM has made several oil and gas discoveries, further highlighting its solid production outlook. Robust production from both assets has been aiding its top and bottom lines. In both resources, the breakeven costs are low.

Will CVX & COP Also Gain From High Oil Prices?Like XOM, Chevron Corporation (CVX - Free Report) and ConocoPhillips (COP - Free Report) will benefit from the strength in oil prices. Let’s delve a little deeper.

With COP generating a significant proportion of revenues from crude oil, the high price of the commodity is extremely favorable for the leading oil and gas exploration and production company, much like other energy giants such as XOM and CVX.

The upstream energy giant also has low-cost drilling opportunities across the Permian, Eagle Ford and Bakken that could be successfully developed over two decades. Thus, the outlook for ConocoPhillips’ upstream operations looks bright.

Chevron has been witnessing growth in production volumes, thanks to its footprint in the Permian. CVX is thus well-poised to gain from prevailing high oil prices.

XOM’s Price Performance, Valuation & EstimatesShares of XOM have gained 53.3% over the past year compared with the industry’s growth of 49.5%.

Image Source: Zacks Investment Research

From a valuation standpoint, XOM trades at a trailing 12-month enterprise value to EBITDA (EV/EBITDA) of 9.59X. This is above the broader industry average of 6.06X.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for XOM’s 2026 earnings has seen upward revisions over the past 30 days.

Image Source: Zacks Investment Research

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

Verizon Communications (VZ - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.

Over the past month, shares of this largest U.S. cellphone carrier have returned -16.6%, compared to the Zacks S&P 500 composite's +2.1% change. During this period, the Zacks Wireless National industry, which Verizon falls in, has gained 3.1%. The key question now is: What could be the stock's future direction?

While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.

Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.

For the current quarter, Verizon is expected to post earnings of $1.28 per share, indicating a change of +5.8% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.5% over the last 30 days.

For the current fiscal year, the consensus earnings estimate of $5.04 points to a change of +7% from the prior year. Over the last 30 days, this estimate has changed +0.1%.

For the next fiscal year, the consensus earnings estimate of $5.29 indicates a change of +5% from what Verizon is expected to report a year ago. Over the past month, the estimate has changed +0.1%.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Verizon is rated Zacks Rank #3 (Hold).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

For Verizon, the consensus sales estimate for the current quarter of $34.8 billion indicates a year-over-year change of +2.9%. For the current and next fiscal years, $140.94 billion and $143.86 billion estimates indicate +2% and +2.1% changes, respectively.

Last Reported Results and Surprise HistoryVerizon reported revenues of $34.25 billion in the last reported quarter, representing a year-over-year change of -0.7%. EPS of $1.3 for the same period compares with $1.22 a year ago.

Compared to the Zacks Consensus Estimate of $35.31 billion, the reported revenues represent a surprise of -3%. The EPS surprise was +2.36%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates just once over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.

As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Verizon is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Verizon. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.

Key Takeaways McDonald's U.S. comparable sales rose 0.8% in Q2 2026, falling short of expectations.Weak FIFA campaign, low offer awareness and fewer digital deals drove two-thirds of the traffic shortfall.McDonald's plans personalized digital offers, more value-meal spending and a focused marketing calendar.
McDonald’s Corporation (MCD - Free Report) is refining its marketing approach to improve customer engagement and support baseline sales growth. The company’s second-quarter results exposed gaps in campaign execution, as several promotional initiatives failed to generate the expected response. Too many marketing messages within a short period also made it harder for customers to recognize individual offers and placed additional pressure on restaurant operations.

In the second quarter of 2026, U.S. comparable sales grew 0.8%, below the company’s expectations. The FIFA campaign underperformed, while the previous year’s successful Minecraft promotion created a difficult comparison. MCD also faced challenges in communicating its new under-$3 Everyday Affordable Price menu. Lower-than-expected customer awareness and inconsistent restaurant-level execution limited the program’s contribution. These factors, combined with reduced digital offers and the removal of the Buy One, Add One for $1 promotion, accounted for approximately two-thirds of the customer traffic shortfall relative to expectations.

McDonald’s is adjusting its marketing priorities to address these issues. The company plans to increase personalized digital offers for frequent customers and allocate more marketing spending to established value offerings, including Extra Value Meals. The broader approach also places greater emphasis on creator engagement, influencer-led campaigns and the food quality and restaurant experience that support regular customer visits.

The key challenge lies in balancing promotional campaigns with baseline demand. McDonald’s recognizes that frequent product launches and short promotional windows may dilute customer awareness and complicate restaurant execution. A more focused marketing calendar, supported by relevant customer engagement and consistent execution, remains central to improving sales performance.

MCD vs. Restaurant Brands & Wendy’s: Can Marketing Drive More Sales?McDonald’s faces the challenge of improving campaign effectiveness and customer engagement after recent promotions fell short of expectations. Restaurant Brands International Inc. (QSR - Free Report) has linked Burger King’s marketing campaigns with product and service improvements, while The Wendy’s Company (WEN - Free Report) is shifting toward more consistent brand messaging to address weak customer traffic.

Burger King’s U.S. comparable sales increased 8.5% in the second quarter of 2026, outperforming the burger quick-service restaurant industry by more than 9 percentage points. Restaurant Brands built on its Whopper elevation campaign through initiatives such as Whopper Wednesday and Whopper by You. Average unit volumes across the Whopper platform increased more than 20% since the campaign’s launch. Service initiatives, including the Your Way Champion program and Whopper Guarantee, also support efforts to improve the customer experience.

Meanwhile, Wendy’s global systemwide sales declined 6.5% in the second quarter, while U.S. same-restaurant sales fell 7%. Traffic dropped 12.5%, and recent product launches and promotional collaborations failed to generate the expected customer response. The company plans to move away from frequent promotions toward a more consistent brand narrative.

For MCD, the comparison highlights the importance of connecting marketing campaigns with product quality, service execution and a clear brand message. These factors remain central to turning promotional activity into stronger customer engagement and sales.

MCD’s Price Performance, Valuation & EstimatesMcDonald’s shares have lost 22.3% in the past six months, underperforming the Zacks Retail - Restaurants industry, the broader Retail and Wholesale sector and the S&P 500 Index.

MCD Six-Month Price Performance
Image Source: Zacks Investment Research

In terms of its forward 12-month price-to-earnings ratio, MCD is trading at 17.44, below the industry’s 19.9.

MCD P/E (F12M)
Image Source: Zacks Investment Research

MCD’s earnings estimates for 2026 and 2027 have trended downward in the past 30 days. The revised estimates for 2026 and 2027 imply year-over-year growth of 5.3% and 6.6%, respectively.

MCD Estimate Trend
Image Source: Zacks Investment Research

Paypal (PYPL - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.

Over the past month, shares of this technology platform and digital payments company have returned +3.7%, compared to the Zacks S&P 500 composite's +2.1% change. During this period, the Zacks Financial Transaction Services industry, which Paypal falls in, has gained 3%. The key question now is: What could be the stock's future direction?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.

Paypal is expected to post earnings of $1.32 per share for the current quarter, representing a year-over-year change of -1.5%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.1%.

The consensus earnings estimate of $5.38 for the current fiscal year indicates a year-over-year change of +1.3%. This estimate has remained unchanged over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $5.8 indicates a change of +7.8% from what Paypal is expected to report a year ago. Over the past month, the estimate has remained unchanged.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Paypal is rated Zacks Rank #2 (Buy).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

For Paypal, the consensus sales estimate for the current quarter of $8.7 billion indicates a year-over-year change of +3.4%. For the current and next fiscal years, $34.66 billion and $36.1 billion estimates indicate +4.5% and +4.1% changes, respectively.

Last Reported Results and Surprise HistoryPaypal reported revenues of $8.68 billion in the last reported quarter, representing a year-over-year change of +4.8%. EPS of $1.38 for the same period compares with $1.4 a year ago.

Compared to the Zacks Consensus Estimate of $8.51 billion, the reported revenues represent a surprise of +2.02%. The EPS surprise was +7.81%.

Over the last four quarters, Paypal surpassed consensus EPS estimates three times. The company topped consensus revenue estimates three times over this period.

ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Paypal is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Paypal. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.