Market Signal Briefing

Key Takeaways

<2-Year Payback at Best Sites
The new Hydromat hydroelectric system targets fast ROI by slashing build complexity and upfront costs at high-quality locations.
Multi-Axis, Small-Blade Design Cuts Costs
A lattice tower with multiple shafts uses many smaller blades—reducing materials (vs. single large rotors), vibration, and custom engineering.
Higher RPM, Off-the-Shelf, Longer Life
Smaller components enable higher RPM with lower gear ratios, standard parts sourcing, vibration isolation bushings, and extended bearing/structure life.

WORCESTER, MA, November 6, 2025 – PRISM MediaWire (Press Release Service – Press Release Distribution) – Mass Megawatts (OTC: MMMW) announces a new hydroelectric technology with a quick financial payback.  Mass Megawatts had spent a considerable amount of funds and research related to similar technology over the past 25 years.  The Company believes that the energy marketplace will have substantially less barriers to market entry than its related products that Mass Megawatts developed over the years.

A new low-cost Hydroelectric Power System that can pay for itself in less than two years at the best locations. The new product can reduce costs by utilizing substantially less than fifty percent material and much less initial engineering requirements for a given rated power output than traditional hydropower plants.

The Hydro Multiaxis Turbosystem (ie Hydromat) is a tower structure comprising large lattice like tower sections with many smaller blades that are connected to each axis or shaft of the unit comprised of many shafts with gearboxes and generators. Unlike the Multiaxis Turbosystem, the wind version of the Hydromat, water has 800 times more density and power for any given same velocity for both air and water. The use of stainless steel or any number of composites to support the powerful water velocity could be used as material and still be very cost competitive. 

The tower structure supports the shafts as a whole.  The new cost cutting product was developed to simplify the blades cost by reducing their size by avoiding larger blades which require an expensive construction cost. Using many smaller blades is a more cost-effective approach than using a large and complex one toward a given power generation unit. The Hydromat has a different approach of positioning the blades for gathering the mechanical power and directing it toward the generator for producing electricity.

 Traditionally, hydroelectric turbines are a single row of large turbine blades leading to additional engineering cost to overcome a multitude of vibration and frequency related problems.  In larger turbines, the blades were large and therefore limited in their design and the material.  Additionally, the amount of material used to achieve the same power output is substantially less when using many smaller blades than one larger blade since the weight of the blade changes as cube of the length. In other words, when the length of the blade doubles, weight increases by the power of three whereas the power increases only by the square of the length. This is a simplified calculation, and the exact ratio would depend on the specific materials and engineering requirements for each blade design. The comparison of power output to weight in the blade length differences of a 5-foot blade vs a 50-foot blade would be substantial.  It is important for taking advantage of any opportunities to reduce costs.

The new hydroelectric approach has other important advantages. One such manufacturing advantage includes the cost reduction of using smaller components instead of larger and more expensive components. Other advantages of higher RPM smaller blades include a reduction of gear ratios and high ratio gearbox requirements that avoid both higher cost and less gear related efficiency issues. Other advantages include providing a longer life for the bearings by reducing structural and mechanical stress with its vibration reduction innovations and decentralization of mechanical forces. The Hydromultiaxis is also easier to construct and uses standard off-the-shelf items which avoid the need for custom-made parts except for the mass-produced blades. Several suppliers can supply the power plant components to avoid supplier backlog problems. The Hydromultiaxis enhances structural support with a tower support system using less material for structural strength with oversized lattice tower sections. A low cost and lower structurally required solid wall perpendicular to the water flow can provide additional structural support. The blades can be placed at different positions or angles along the axis for reducing torque ripples. With less vibrations, cheaper material can be utilized in the hydro system. In one noted benefit, the structure could be like a four-legged table unlike a one tower support system of other turbines. This can be compared to the concept behind the lighter but stronger Rolm tower or lattice-like structure. Therefore, it requires less material for the stability needed. In an additional feature, the Hydromat could use an off the shelf bushing of concentric sleeves with rubber, polyurethane or other isolator, absorber and /or damper securely bonded between the structure and the moving parts. The object of this bushing would be to isolate or dampen the vibrations of the moving blades from the steel structure. The bushings will be placed between the shaft and bearings. The sleeve structure is designed to take up torsional movements as well as axial and radial loads. The design of avoiding one central blade area allows this “divide and conquer” approach of isolating the vibrations in a cost-effective manner. More importantly, reduced vibrations and a stronger tower structure should add years to the useful life of the new product.

As an example of the advantages of the new hydroelectric technology, large power plants help explain the technical aspects of the new product that are previously mentioned. For example, when generating large amounts of power at traditional power plants of both fossil fuel and renewable sources, conventional turbines had large rotors to generate enough energy to make it worthwhile for having a generator to produce electricity. Unfortunately, the large rotors are expensive because the stress on the rotors increase dramatically as the diameter increases. Conventional turbines had to increase the diameter of the blades to capture more energy by increasing the area which is impacting on the blades. This increase in the diameter of blades for producing substantial power can increase the cost of other items in the turbine other than the blades. Large blades which have not been properly produced can create structural stress and fatigue problems for the gearbox and shaft system.

With traditional technology, the swept area of the turbine has a low aspect ratio due to construction limitations. The aspect ratio, the swept area length or height to diameter, is preferred to be high for better efficiency. This occurs when a low rotor diameter maintains a large swept area and a high RPM which is made possible with the Hydromat technology using several blades on a single axis.  As a result, the amount of inertia is reduced, and less energy is spent on its own motion. It is another advantage in providing a more efficient turbine with reductions in the moment of inertia and easier self-starting capability. Still yet another advantage is to provide a more durable blade design by overcoming imbalance problem of using one blade per shaft with the use of many small blades per shaft. Other advantages include the use of stiffer and more rigid blades by making them smaller and at the same time with less material for a given power output than building similar larger ones without the added rigid features.

Forward-Looking Statements

This press release contains forward-looking statements that could be affected by risks and uncertainties. Among the factors that could cause actual events to differ materially from those indicated herein are: the failure of Mass Megawatts Wind Power (MMMW), also known as Mass Megawatts Windpower, to achieve or maintain necessary zoning approvals with respect to the location of its power developments; the ability to remain competitive; to finance the marketing and sales of its electricity; general economic conditions; and other risk factors detailed in periodic reports filed by Mass Megawatts Wind Power (MMMW).

Contact:

[email protected]

www.massmegawatts.com

Source: Mass Megawatts 

Baltimore-based Brown Capital Management reported a sale of 376,359 Glaukos Corporation shares for an estimated $34.6 million in the third quarter, according to an SEC filing.

What HappenedBrown Capital Management disclosed in an SEC filing on Tuesday that it reduced its holding in Glaukos Corporation (GKOS 1.86%) by 376,359 shares in the third quarter. The estimated value of the transaction was $34.6 million based on the average closing price during the quarter. At quarter-end, the firm held 762,760 shares worth $62.2 million.

What Else to KnowThe sale lowered Glaukos Corporation’s weight in Brown Capital Management’s portfolio to 2.6% of 13F assets.

Top holdings after the filing:

NASDAQ:CYBR: $197.3 million (8.1% of AUM)NASDAQ:CAMT: $121.2 million (5% of AUM)NYSE:VEEV: $108.4 million (4.5% of AUM)NASDAQ:DDOG: $101.4 million (4.2% of AUM)NYSE:GWRE: $95.2 million (3.9% of AUM)As of Wednesday's market close, Glaukos shares were priced at $84.35, down approximately 34% over the past year and well underperforming the S&P 500, which is up nearly 15% over the past year.

Company OverviewMetricValueRevenue (TTM)$433 millionNet Income (TTM)($92.8 million)Price (as of market close Wednesday)$84.35Market capitalization$4.8 billionCompany SnapshotGlaukos Corporation is a leading ophthalmic medical technology company specializing in innovative micro-scale devices and pharmaceutical solutions for glaucoma and related eye disorders. The company's strategy centers on expanding its product portfolio and leveraging proprietary technology platforms to address unmet clinical needs in ophthalmology. It generates revenue through the direct sale and distribution of proprietary micro-scale implantable devices and pharmaceutical therapies for ophthalmic conditions. Glaukos's competitive edge is driven by its focus on minimally invasive therapies and a robust pipeline targeting multiple ophthalmic indications.

Foolish TakeBrown Capital Management’s partial exit from Glaukos Corporation last quarter could represent a cautious recalibration after a volatile year for the ophthalmic-device maker. The Baltimore-based fund sold 376,359 shares, an estimated $34.6 million reduction, according to its latest SEC filing. But despite the sale, Glaukos remains a mid-sized position for Brown, accounting for 2.6% of reportable assets.

Shares have fallen 34% over the past year, with much of the decline following the company’s February 20 earnings report, which showed 28% year-over-year revenue growth to $105.5 million but disappointed investors with larger-than-expected losses and rising expenses. Management said it expects 2025 sales between $475 million and $485 million but acknowledged headwinds related to currency exchange and market entry.

Ultimately, the decision to remain invested in Glaukos despite the stock’s sell-off may represent some remaining conviction around the high-risk, high-reward opportunity—especially if the company's disruptive glaucoma implants and sustained-release pharmaceuticals gain wider adoption.

Glossary13F assets: Securities reported by institutional investment managers in quarterly SEC Form 13F filings, representing their managed holdings.
Assets under management (AUM): The total market value of investments managed by a fund or investment firm on behalf of clients.
Quarterly average pricing: The average price of a security over a specific quarter, used to estimate transaction values.
Portfolio weight: The percentage of a portfolio's total value allocated to a specific investment or holding.
Fund downsizing: A reduction in the total assets or number of holdings managed by an investment fund.
Position: The amount of a particular security or asset held in a portfolio.
Ophthalmic: Relating to the eyes or the medical specialty of eye care.
Proprietary technology platforms: Unique, company-owned systems or methods used to develop and deliver products or services.
Pipeline products: New products or therapies in development but not yet commercially available.
Minimally invasive therapies: Medical treatments designed to reduce physical intrusion, often resulting in faster recovery and fewer complications.
Indications: Specific diseases or conditions for which a medical product or treatment is intended.
TTM: The 12-month period ending with the most recent quarterly report.

Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Datadog and Veeva Systems. The Motley Fool has a disclosure policy.

A notebook with the logo of Deutsche Boerse Group (German stock exchange) is pictured in Eschborn, outside Frankfurt, Germany, January 25, 2016. REUTERS/Kai Pfaffenbach Purchase Licensing Rights, opens new tab

LONDON, Nov 6 (Reuters) - The European Central Bank will join Eurex's centrally-cleared repo market from the first quarter of 2026, the Deutsche Boerse

(DB1Gn.DE), opens new tab derivatives exchange said on Thursday.

The ECB and national euro zone central banks already lend securities to market participants. The move will shift some of that activity to centrally cleared transactions, which reduce counterparty risk in trades.

Sign up here.

Repo markets, where lenders and borrowers exchange cash and collateral -- often high-quality bonds -- in overnight trades, are crucial to the functioning of the financial system.

Activity in the euro zone repo market has risen sharply since the European Central Bank raised rates into positive territory and started reducing its bond holdings. Total outstanding volumes on Eurex's platform are up around 50% since the end of last year.

Other central banks, including Germany's, are already members of Eurex's repo market.

Reporting by Yoruk Bahceli; Editing by Amanda Cooper

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Here are three stocks with buy ranks and strong growth characteristics for investors to consider today, Nov. 6:

Fox Corporation (FOXA - Free Report) : This news, sports, and entertainment company carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 5.6% over the last 60 days.

Fox has a PEG ratio of 1.46 compared with 1.93 for the industry. The company possesses a  Growth Score of B.

Grupo Cibest S.A. (CIB - Free Report) : This company that provides banking services and products carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 3.3% over the last 60 days.

Grupo Cibest has a PEG ratio of 1.14 compared with 2.66 for the industry. The company possesses a Growth Score of B.

Futu Holdings Limited (FUTU - Free Report) : This online brokerage and wealth management platform carries a Zacks Rank #1, and has witnessed the Zacks Consensus Estimate for its current year earnings increasing 6.2% over the last 60 days.

Futu has a PEG ratio of 0.64 compared with 0.98 for the industry. The company possesses a Growth Score of B.

See the full list of top ranked stocks here.

Learn more about the Growth score and how it is calculated here.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of RGCO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

If you are deeply worried about Berkshire Hathaway without Buffett, Markel Group could be a good home for you.

The final countdown has begun as investors await the retirement of Warren Buffett from the CEO position at Berkshire Hathaway (BRK.A +0.69%)(BRK.B +0.38%). It is a big deal, though maybe not as big as some investors are worried it could be. That said, there's another company that is less well-known but that uses the same basic business model as Berkshire Hathaway.

Could Markel Group (MKL +0.76%) be a good alternative to Berkshire Hathaway?

What's Markel's business model?
Warren Buffett blazed the path for the business model that both Berkshire Hathaway and Markel use. The big-picture story is fairly simple. Both companies act as investment vehicles for the management teams that run them. They each have a sizable number of operating businesses that act largely independently and also make investments in publicly traded companies. In some ways, they are run kind of like mutual funds.

Image source: The Motley Fool.

With Berkshire Hathaway, you are, effectively, giving your money to Warren Buffett and his team to invest on your behalf. With Markel, you are doing the same thing, but instead, you are giving the cash to Tom Gayner and his team. This is where an important difference comes up. You've probably heard of Warren Buffett and might even know a little bit about Buffett's investment approach. But you've likely never heard of Tom Gayner.

Markel Group, despite a $24 billion market capitalization, largely flies under Wall Street's radar screen. By comparison, Berkshire Hathaway has a $1 trillion market cap, and investors hang on every word that comes out of Buffett's mouth. Given the long-term success of Berkshire's stock, that's understandable. But Markel's stock actually has an even better long-term track record!

Data by YCharts.

Things are changing for both companies
That long-term graph makes Markel appear like the real winner, but over the past 10 years, it hasn't done nearly as well as Berkshire Hathaway. And Markel has been shaking things up a little bit as a business, trying to fine-tune its model. That's not a bad thing, noting that it continues to use the same basic approach. This is a refinement, not a change of plans. Notably, however, over the past year, Markel has strongly outperformed Berkshire.

Today's Change

(

0.76

%) $

15.11

Current Price

$

1996.92

The reason for the recent performance disparity is most likely the planned retirement of Buffett as CEO at the end of 2025. He is handing the CEO spot off to key lieutenant Greg Abel. That has some investors worried that the company will be operated differently in the future than it has been in the past.

Since Abel is not Buffett, Berkshire Hathaway will be different in the future. But Buffett is going to stay around as the chairman of the board of directors. He's still Abel's boss. And Buffett has trained Abel for decades, so he's steeped in Buffett's ways. It is unlikely Abel is going to throw away a process that works.

Today's Change

(

0.38

%) $

1.85

Current Price

$

489.51

Meanwhile, there's a risk in switching from the larger Berkshire Hathaway to jump aboard Markel. Simply put, Markel lacks the portfolio diversification that Berkshire has and thus, it is likely to expose investors to more risk. Of course, you have to juxtapose that with the opportunity the smaller company has to grow. Berkshire is so large that it is much harder to move the top and bottom lines.

Which is better for you?
First off, if you are looking to get out of Berkshire Hathaway because Buffett is retiring, you might want to hold off. Things aren't likely to change as much as you may fear. Greg Abel probably deserves the chance to prove his ability before you jump ship.

That said, if you are concerned by the massive scale of the Berkshire business, you might want to consider stepping into Markel. Just go in with the understanding that the smaller company may be able to grow faster, but the ride could be a lot bumpier.

, /PRNewswire/ -- Dear Shareholders,

November 2025 marks a pivotal milestone in Cango's history: the one-year anniversary of our strategic transformation.

Our long-term goal has always been to build energy-secured high-performance computing (HPC) services. What began as an exploration of new energy opportunities early last year led us to a practical on‑ramp: Bitcoin mining as a first step to secure energy access, develop operational expertise, and create site optionality that can later support our energy and HPC goals.

While we began as an automotive transaction service platform in China, we embarked one year ago on a bold strategic transformation into the Bitcoin mining industry, not as an endpoint but as the foundation of our expansion into energy and HPC. This sequencing—Bitcoin mining, energy access, operational depth, then HPC—has guided every decision we made.

One year on, we have built a 50 EH/s global platform and begun acquiring selective energy infrastructure, positioning us for the next phase to transition from hosted hashpower to energy and HPC over time.

Today, in this letter, we are proud to showcase the remarkable progress we have made on our journey so far and how we will bridge Bitcoin mining into energy and HPC going forward.

Story of the Past Year: A Rapid and Creative Entry into Bitcoin Mining

Through a series of decisive actions over the past year, we executed an asset‑light entry that balanced speed with discipline. We acquired on‑rack machines to accelerate time‑to‑hash, deployed a treasury approach that preserved Bitcoin while funding operations, onboarded a new management team, and divested our legacy business.

Our entry into the Bitcoin mining sector was both swift and strategic. We began our transformation in November 2024 by acquiring on-rack second-hand mining machines with an aggregate hashrate of 32 EH/s. This was then followed by a subsequent acquisition of 18 EH/s in June 2025, allowing us to scale to 50 EH/s within eight months.

Then, we divested all our China-based assets by May 2025, in a decisive move which freed us to concentrate all our financial and operational capabilities on our Bitcoin mining business.

We also strengthened our company with a new Board of Directors and senior management team with deep expertise in digital-asset infrastructure, finance, and energy investments, giving us the right mix of skills to execute our next phase of growth. The financial impact of our transformation didn't take long to manifest. For the second quarter of 2025, our first full quarter following our strategic transformation, we reported:

Revenue totaling US$139.8 million, demonstrating the strong underlying performance of our core Bitcoin mining business.
Adjusted EBITDA of US$99.1 million, excluding a non-cash impairment item and the one-off loss from discontinued operations, underscoring the robust progress of our business transformation and the tangible positive impact on our operations.
US$117.8 million in cash and cash equivalents, supported by our asset-light model which concentrates opex in hosting and power costs while preserving capital for future capex on strategic initiatives. 

In only eight months, we established a new, highly competitive core business, and a scaled global footprint across the U.S., Oman, Ethiopia, and Paraguay. And this was just the beginning.

New Momentum: Recent Expansion Milestones

With our strong second quarter results and Bitcoin mining foundation already in place, it was time to take the next steps to realize our global vision.

Our strategy for the second half of 2025 is simple: strengthen operational excellence in Bitcoin mining while leveraging that foundation to expand globally into energy and HPC. To date, we've taken several steps to advance this goal:

Acquiring a fully operational 50 MW mining facility in the U.S. state of Georgia for a total cash consideration of US$19.5 million in August 2025. This acquisition was a critical first step towards strengthening our operational expertise, shifting capacity to better power terms, and building a proprietary portfolio of energy infrastructure essential for our future HPC ambitions.
Increasing our average hashrate efficiency to over 90% while growing our Bitcoin holdings to a total of just over 6,400 BTC as of October 31, 2025, as part of our disciplined HODL strategy that creatively preserves Bitcoin for optionality and cash for future strategic initiatives. 
Terminating our ADR program and transitioning to a direct listing on the NYSE, approved by our Board of Directors in October and expected to go live when market opens on Monday, November 17, 2025. This transition was designed to optimize our capital structure, enhance corporate transparency, and align Cango with the global institutional investors required to support the next phase of growth.

By strengthening our core business and optimizing our financial structure for the long term, we have built an even more powerful platform for sustainable growth.

The Next Phase: Executing Our Energy and HPC Vision

The global Bitcoin mining platform, operational expertise, and global footprint we have established serve as the launchpad for a dual-track expansion into energy infrastructure and HPC. Our forward strategy will focus on:

Executing a phased expansion governed by strict financial discipline, scaling new initiatives from small pilots to full operations that are tied to clear technical and IRR gates to build credibility step by step across both verticals.
Pursue a targeted entry into the AI HPC market, leveraging the company's global footprint of mining sites and its capabilities in computational infrastructure operations, together with energy project resources.
Continue to acquire and develop dual-purpose energy infrastructure, ensuring assets serve immediate Bitcoin mining needs while being architected to support future, higher-value HPC deployments.
Maintain a relentless focus on optimizing our core Bitcoin mining business over expansion by improving uptime, lowering joules per terahash, refreshing roughly 6 EH/s, and shifting capacity toward better power and terms to strengthen unit economics.

We are standing at the threshold of a new technological frontier, where the convergence of energy and HPC will power the next era of compute. With the resilient foundation we have built, a world-class team, and a clear, disciplined strategy, we are confident in our ability to not only navigate this future but to help shape it, creating lasting value for our shareholders and partners.

Thank you for your continued trust. We are excited to have you with us.

Paul Yu

Chief Executive Officer, Cango Inc.

View original content: https://ir-image.cangoonline.com/ir-documents/Cango%20Shareholder%20Letter%20202511.pdf

About Cango Inc.
Cango Inc. (NYSE: CANG) is primarily engaged in the Bitcoin mining business, with operations strategically deployed across North America, the Middle East, South America, and East Africa. The Company entered the crypto asset space in November 2024, driven by advancements in blockchain technology, the growing adoption of digital assets, and its commitment to diversifying its business portfolio. In parallel, Cango continues to operate an online international used car export business through AutoCango.com, making it easier for global customers to access high-quality vehicle inventory from China.

For more information, please visit: www.cangoonline.com.

Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Cango may also make written or oral forward-looking statements in its periodic reports to the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about Cango's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the completion, amendment or reversal of any transactions entered into, proposed or considered by Cango; Cango's goal and strategies; Cango's expansion plans; Cango's future business development, financial condition and results of operations; Cango's expectations regarding demand for, and market acceptance of, its solutions and services; Cango's expectations regarding keeping and strengthening its relationships with dealers, financial institutions, car buyers and other platform participants; general economic and business conditions; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Cango's filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Cango does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

Investor Relations Contact
Juliet YE, Head of Communications
Cango Inc. Email: [email protected] 

Christensen Advisory
Tel: +852 2117 0861
Email: [email protected]

SOURCE Cango Inc.

November 06, 2025 5:00 AM EST | Source: Canadian Natural Resources Limited
Calgary, Alberta--(Newsfile Corp. - November 6, 2025) - Canadian Natural Resources Limited (TSX: CNQ) (NYSE: CNQ) announces that its Board of Directors has declared a quarterly cash dividend on its common shares of C$0.5875 (fifty-eight and three quarter cents). The dividend will be payable on January 6, 2026 to shareholders of record at the close of business on December 12, 2025.

Canadian Natural's growing and sustainable dividend demonstrates the confidence that the Board of Directors has in the sustainability of our business model, our strong balance sheet and the strength of our diverse, long life low decline reserves and asset base. The Company's leading track record of growing and sustainable dividend continues, with 2025 being the 25th consecutive year of dividend increases with a compound annual growth rate ("CAGR") of 21% over that time.

Canadian Natural is a senior crude oil and natural gas production company, with continuing operations in its core areas located in Western Canada, the U.K. portion of the North Sea and Offshore Africa.

CANADIAN NATURAL RESOURCES LIMITED
T (403) 517-6700 F (403) 517-7350 E [email protected]
2100, 855 - 2 Street S.W. Calgary, Alberta, T2P 4J8
www.cnrl.com
_________________________________________________________

SCOTT G. STAUTH
President

VICTOR C. DAREL
Chief Financial Officer

LANCE J. CASSON
Manager, Investor Relations

Trading Symbol - CNQ
Toronto Stock Exchange
New York Stock Exchange

Certain information regarding the Company contained herein may constitute forward-looking statements under applicable securities laws. Such statements are subject to known or unknown risks and uncertainties that may cause actual results to differ materially from those anticipated or implied in the forward-looking statements. The Company does not undertake to update forward-looking statements except as required by applicable securities laws. Refer to our website for detailed forward-looking statements and notes regarding Non-GAAP and Other Financial Measures at www.cnrl.com.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/273344

November 06, 2025 5:00 AM EST | Source: Canadian Natural Resources Limited
Calgary, Alberta--(Newsfile Corp. - November 6, 2025) - Canadian Natural's (TSX: CNQ) (NYSE: CNQ) President, Scott Stauth, commented on the Company's third quarter results, "Operations were strong in Q3/25 as we achieved record quarterly production volumes totaling approximately 1,620 MBOE/d, including records for both liquids and natural gas at 1,176 Mbbl/d and 2,668 MMcf/d respectively. We increased total corporate production by 19% or approximately 257,000 BOE/d from Q3/24 levels, reflecting both accretive acquisitions and organic growth achieved across our asset base over the last 12 months.

Our world class Oil Sands Mining and Upgrading assets continue to achieve strong operational performance as Q3/25 production averaged approximately 581,000 bbl/d of SCO, with strong utilization of 104% and industry leading operating costs of approximately $21 per barrel.

Subsequent to quarter end, we closed the AOSP swap with Shell Canada Limited and affiliates ("Shell") on November 1, 2025, with an effective date of March 1, 2025. Canadian Natural now owns and operates 100% of the Albian oil sands mines and associated reserves and retains a non-operated 80% interest in the Scotford Upgrader and Quest facilities. This generates additional cash flow and adds approximately 31,000 bbl/d of annual, zero decline bitumen production to our portfolio, driving long-term value creation for our shareholders. This swap also enhances our ability to integrate equipment and services across our mining operations, unlocking additional value through continuous improvement initiatives.

Additionally, we increased our annual 2025 corporate production guidance range to 1,560 MBOE/d to 1,580 MBOE/d, while our 2025 operating capital forecast remains unchanged at approximately $5.9 billion while executing additional activity on our increased asset base size."

Canadian Natural's Chief Financial Officer, Victor Darel, added, "Our business model is robust and sustainable, underpinned by a strong balance sheet that provides flexibility through significant liquidity, totaling approximately $4.3 billion as at September 30, 2025. We closed accretive and opportunistic acquisitions in the quarter and remained at similar net debt levels when compared to Q2/25. These are excellent results, highlighting the free cash flow generating capability of our top tier asset base.

In Q3/25, we generated adjusted net earnings of $1.8 billion or $0.86 per share, and adjusted funds flow of $3.9 billion or $1.88 per share. We returned approximately $1.5 billion to our shareholders in the quarter, including $1.2 billion in dividends and $0.3 billion in share repurchases as we continue to execute on our free cash flow allocation policy."

THIRD QUARTER HIGHLIGHTS

Generated net earnings of approximately $0.6 billion and adjusted net earnings from operations of approximately $1.8 billion.

Generated adjusted funds flow of approximately $3.9 billion.

 Returns to shareholders totaled approximately $1.5 billion, comprised of $1.2 billion in dividends and $0.3 billion in share repurchases.

Year to date, up to and including November 5, 2025, the Company has returned a total of approximately $6.2 billion directly to shareholders through $4.9 billion in dividends and $1.3 billion in share repurchases.

25 consecutive years of dividend growth with a CAGR of 21% over that time.

Subsequent to quarter end, declared a quarterly cash dividend on its common shares of $0.5875 per common share.

Record quarterly corporate production of 1,620,261 BOE/d.

Significant total BOE production growth of approximately 257,000 BOE/d or 19% from Q3/24 levels reflects accretive acquisitions and organic growth achieved over the last 12 months.

Record quarterly liquids production of 1,175,604 bbl/d was achieved, an increase of approximately 154,000 bbl/d or 15% from Q3/24 levels.

Oil Sands Mining and Upgrading production was strong, averaging 581,136 bbl/d of SCO with upgrader utilization of 104% and industry leading operating costs of $21.29/bbl (US$15.46/bbl) in Q3/25.

Canadian Natural continues to maintain a strong balance sheet and financial flexibility, with approximately $4.3 billion in liquidity(1) as at September 30, 2025. During Q3/25, the Company:

Repaid US$600 million of US dollar debt securities due in July 2025.

Received a new long-term investment grade credit rating of BBB+ from Fitch Ratings.

Subsequent to quarter end, on November 1, 2025, Canadian Natural closed the AOSP swap with Shell. Canadian Natural now owns and operates 100% of the Albian oil sands mines and associated reserves and retains a non-operated 80% interest in the Scotford Upgrader and Quest facilities.

The transaction adds approximately 31,000 bbl/d of annual, zero decline bitumen production, providing additional cash flow and enabling more effective and efficient operations between the Horizon and Albian mines.

The swap did not include any cash consideration, with the exception of regular closing adjustments to reflect the effective date of March 1, 2025.

Following the close, Canadian Natural updated its 2025 capital and production guidance as follows:

2025 production guidance range of 1,560 MBOE/d to 1,580 MBOE/d.

2025 operating capital forecast remains unchanged at approximately $5.9 billion, following the $100 million reduction previously announced in May 2025.

As a result of strong operational execution and capital discipline, additional activity on a larger asset base, following opportunistic acquisitions in the year, has been executed with no incremental capital required.

(1) Non-GAAP Financial Measure. Refer to the "Non-GAAP and Other Financial Measures" section of the Company's MD&A for the three and nine months ended September 30, 2025 dated November 5, 2025 ("MD&A").

Three Months Ended

Nine Months Ended
($ millions, except per common share amounts)
Sep 30
2025

Jun 30
2025

Sep 30
2024

Sep 30
2025

Sep 30
2024 Net earnings $600
$2,459
$2,266
$5,517
$4,968
Per common share- basic $0.29
$1.17
$1.07
$2.64
$2.33

- diluted $0.29
$1.17
$1.06
$2.63
$2.31
Adjusted net earnings from operations (1) $1,801
$1,496
$2,071
$5,733
$5,437
Per common share- basic (2) $0.86
$0.71
$0.98
$2.74
$2.55

- diluted (2) $0.86
$0.71
$0.97
$2.73
$2.53
Cash flows from operating activities $3,940
$3,114
$3,002
$11,338
$9,954
Adjusted funds flow (1) $3,920
$3,262
$3,921
$11,712
$10,673
Per common share- basic (2) $1.88
$1.56
$1.85
$5.59
$5.01

- diluted (2) $1.87
$1.55
$1.84
$5.57
$4.97
Cash flows used in investing activities $2,234
$1,941
$1,274
$5,487
$3,681
Net capital expenditures (3) $2,124
$1,915
$1,349
$5,342
$4,083
Net capital expenditures (3), excluding net acquisition costs $1,318
$1,691
$1,261
$4,312
$3,996
Abandonment expenditures $189
$193
$204
$570
$495
Daily production, before royalties
 

 

 

 

 
Natural gas (MMcf/d)
2,668

2,407

2,049

2,510

2,102
Crude oil and NGLs (bbl/d)
1,175,604

1,019,149

1,021,572

1,122,859

977,265
Equivalent production (BOE/d) (4)
1,620,261

1,420,358

1,363,086

1,541,127

1,327,593
(1) Non-GAAP Financial Measure. Refer to the "Non-GAAP and Other Financial Measures" section of the Company's MD&A.
(2) Non-GAAP Ratio. Refer to the "Non-GAAP and Other Financial Measures" section of the Company's MD&A.
(3) Non-GAAP Financial Measure. The composition of this measure was updated in the fourth quarter of 2024. Refer to the "Non-GAAP and Other Financial Measures" section of the Company's MD&A.
(4) A barrel of oil equivalent ("BOE") is derived by converting six thousand cubic feet ("Mcf") of natural gas to one barrel ("bbl") of crude oil (6 Mcf:1 bbl). This conversion may be misleading, particularly if used in isolation, or to compare the value ratio using current crude oil and natural gas prices since the 6 Mcf:1 bbl ratio is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.Net earnings of $0.6 billion in Q3/25 reflected a non-cash recoverability charge of approximately $0.7 billion related to an increase in the estimate for future abandonment costs for the Ninian field and T-Block assets in the North Sea. Adjusted net earnings from operations, excluding the impact of the recoverability charge and unrealized foreign exchange and risk management activities, was strong at $1.8 billion in the quarter.RETURNS TO SHAREHOLDERS

 Canadian Natural has a strong history of 25 consecutive years of growing its sustainable dividend with a CAGR of 21% over that time, demonstrating the sustainability of our business model, our strong balance sheet and the strength of our diverse, long life low decline reserves and asset base.

 Returns to shareholders in Q3/25 were strong, totaling approximately $1.5 billion, comprised of $1.2 billion of dividends and $0.3 billion through the repurchase and cancellation of approximately 7.2 million common shares at a weighted average price of $43.12 per share.

Year to date, up to and including November 5, 2025, the Company has returned a total of approximately $6.2 billion directly to shareholders through $4.9 billion in dividends and $1.3 billion through the repurchase and cancellation of approximately 29.6 million common shares at a weighted average price of $42.92 per share.

Subsequent to quarter end, Canadian Natural declared a quarterly cash dividend on its common shares of $0.5875 per common share. The quarterly dividend will be payable on January 6, 2026 to shareholders of record at the close of business on December 12, 2025.

CORPORATE UPDATE

Canadian Natural is pleased to announce the appointment of Ms. Shelley A.M. Brown, CM, FCPA, FCA, ICD.D, O.C., to the Board of Directors of the Company and to the Audit Committee effective November 4, 2025. Ms. Brown is a Chartered Accountant who retired as a Senior Audit Partner with Deloitte after more than 35 years in public accounting. Ms. Brown has extensive experience working with public companies in the mining and manufacturing sectors and has over 30 years of experience working with both non-profit and public company boards including in the role of audit committee chair. Ms. Brown holds a Bachelor of Commerce from the University of Saskatchewan and is a Fellow of the Institutes of Chartered Accountants of Alberta, Saskatchewan, British Columbia and Ontario.

OPERATIONS REVIEW

North America Oil Sands Mining and Upgrading

Three Months Ended

Nine Months Ended

Sep 30
2025

Jun 30
2025

Sep 30
2024

Sep 30
2025

Sep 30
2024
Synthetic crude oil production (bbl/d) (1)(2)
581,136

463,808

497,656

546,635

451,298
(1) SCO production before royalties and excludes production volumes consumed internally as diesel.
(2) Consists of heavy and light synthetic crude oil products.Oil Sands Mining and Upgrading production averaged 581,136 bbl/d of SCO in Q3/25, an increase of 17% from Q3/24 levels, reflecting the additional working interest in AOSP acquired in December 2024 combined with effective and efficient operations.

Oil Sands Mining and Upgrading achieved strong upgrader utilization in Q3/25 of 104%.

Oil Sands Mining and Upgrading operating costs are industry leading, averaging $21.29/bbl (US$15.46/bbl) of SCO in Q3/25.

Subsequent to quarter end, Canadian Natural closed the AOSP swap with Shell on November 1, 2025, with an effective date of March 1, 2025. Canadian Natural now owns and operates 100% of the Albian oil sands mines and associated reserves and retains a non-operated 80% interest in the Scotford Upgrader and Quest Carbon Capture and Storage facilities.

The transaction adds approximately 31,000 bbl/d of annual, zero decline bitumen production, providing additional cash flow and enabling more effective and efficient operations between the Horizon and Albian mines.

At Horizon, the Company is progressing its Naphtha Recovery Unit Tailings Treatment ("NRUTT") project which targets incremental production of approximately 6,300 bbl/d of SCO, following mechanical completion in Q3/27.

North America Exploration and Production

Thermal In Situ Oil Sands

Three Months Ended

Nine Months Ended

Sep 30
2025

Jun 30
2025

Sep 30
2024

Sep 30
2025

Sep 30
2024
Bitumen production (bbl/d)
274,752

274,789

271,551

278,046

269,258
Net bitumen wells drilled
11

24

25

53

78
Net successful bitumen wells drilled
11

24

25

53

78
Success rate
100 %

100 %

100 %

100 %

100 %
Thermal in situ production averaged 274,752 bbl/d in Q3/25, comparable to Q3/24 levels.

Thermal in situ operating costs remain strong, averaging $10.35/bbl (US$7.52/bbl) in Q3/25, a decrease of 2% from Q3/24 levels of $10.52/bbl.

Canadian Natural has significant thermal in situ facility processing capacity of 340,000 bbl/d, resulting in approximately 70,000 bbl/d of annual available capacity. The Company has decades of strong capital efficient drill to fill growth opportunities on its long life low decline thermal in situ assets, which we continue to develop in a disciplined manner to deliver safe and reliable thermal in situ production.

At Primrose, the Company began drilling a Cyclic Steam Stimulation ("CSS") pad in Q3/25 with production targeted to come on in the second half of 2026.

At Jackfish, the Company brought a Steam Assisted Gravity Drainage ("SAGD") pad on production in July 2025 as planned.

At Kirby, the Company brought a five well-pair SAGD pad on production in late October 2025 as planned.

At Pike, the Company tied the two recently drilled SAGD pads into the Jackfish facilities. These two SAGD pads are targeted to keep the Jackfish facilities at full capacity with the first pad targeted to come on production in January 2026 and the second pad targeted to come on production in Q2/26.

Canadian Natural has been piloting solvent enhanced oil recovery technology on certain thermal in situ assets with an objective to increase bitumen production while reducing the Steam to Oil Ratio ("SOR") and optimizing solvent recovery. This technology has the potential for application throughout the Company's extensive thermal in situ asset base.

At the commercial scale solvent SAGD pad at Kirby North, current SOR reductions and solvent recoveries are meeting expectations following recent workovers and optimizations.

At Primrose, the Company is continuing to operate its solvent enhanced oil recovery pilot in the steam flood area to optimize solvent efficiency and to further evaluate this commercial development opportunity.

Crude oil and NGLs - excluding Thermal In Situ Oil Sands

Three Months Ended

Nine Months Ended

Sep 30
2025

Jun 30
2025

Sep 30
2024

Sep 30
2025

Sep 30
2024
Crude oil and NGLs production (bbl/d)
309,873

271,022

228,221

285,931

234,537
Net crude oil wells drilled
78

57

59

192

130
Net successful crude oil wells drilled
78

57

58

191

129
Success rate
100 %

100 %

98 %

99 %

99 %
North America E&P liquids production, excluding thermal in situ, averaged 309,873 bbl/d in Q3/25, an increase of 36% or approximately 82,000 bbl/d from Q3/24 levels, reflecting opportunistic acquisitions and strong organic growth from heavy crude oil multilaterals, liquids-rich natural gas and light crude oil, partially offset by natural field declines.

Primary heavy crude oil production averaged 87,705 bbl/d in Q3/25, an increase of 14% from Q3/24 levels, reflecting strong drilling results from the Company's multilateral wells, partially offset by natural field declines.

Canadian Natural's highly successful multilateral drilling program continues to unlock opportunity on our approximately 3 million net acres of high quality land throughout our primary heavy crude oil assets.

Operating costs in the Company's primary heavy crude oil operations averaged $16.46/bbl (US$11.95/‍bbl) in Q3/25, a decrease of 12% from Q3/24 levels, primarily as a result of higher production volumes and the increasing proportion of lower operating cost multilateral production.

Pelican Lake production averaged 42,070 bbl/d in Q3/25 a decrease of 7% from Q3/24 levels, reflecting planned maintenance in Q3/25 and the low natural field declines from this long life low decline asset.

Operating costs at Pelican Lake averaged $9.00/bbl (US$6.54/bbl) in Q3/25, an increase of 3% Q3/24 levels.

North America light crude oil and NGLs production averaged 180,098 bbl/d in Q3/25, an increase of 69% or approximately 74,000 bbl/d from Q3/24 levels, primarily reflecting production volumes from the acquisition of liquids-‍rich Duvernay assets in Q4/24, light crude oil Palliser Block assets in Q2/25 and the liquids-rich Montney assets in the Grande Prairie area in Q3/25.

Operating costs in the Company's North America light crude oil and NGLs operations averaged $12.91/‍bbl (US$9.38/bbl) in Q3/25, a decrease of 6% from Q3/24 levels of $13.73/bbl, primarily reflecting higher production volumes.

As previously announced, on July 2, 2025, Canadian Natural closed an acquisition of liquids-rich Montney assets located in the Grande Prairie area for approximately $750 million, which included production of approximately 32,000 BOE/d, including 12,500 bbl/d of NGLs.

North America Natural Gas

Three Months Ended

Nine Months Ended

Sep 30
2025

Jun 30
2025

Sep 30
2024

Sep 30
2025

Sep 30
2024
Natural gas production (MMcf/d)
2,658

2,398

2,039

2,498

2,091
Net natural gas wells drilled
17

22

24

58

65
Net successful natural gas wells drilled
17

22

24

58

64
Success rate
100 %

100 %

100 %

100 %

98 %
 North America natural gas production averaged 2,658 MMcf/d in Q3/25, an increase of 30% from Q3/24 levels, primarily reflecting opportunistic acquisitions and strong drilling results in the Company's liquids-rich natural gas assets, partially offset by natural field declines.

North America natural gas operating costs averaged $1.14/Mcf in Q3/25, a decrease of 7% from Q3/24 levels of $1.23/Mcf, primarily reflecting higher production volumes and cost efficiencies.

International Exploration and Production

Three Months Ended

Nine Months Ended

Sep 30
2025

Jun 30
2025

Sep 30
2024

Sep 30
2025

Sep 30
2024
Crude oil production (bbl/d)
9,843

9,530

24,144

12,247

24,293
Natural gas production (MMcf/d)
10

9

10

12

11
International E&P crude oil production volumes averaged 9,843 bbl/d in Q3/25, a decrease of 59% compared to Q3/24 levels. The decrease reflects temporary suspension of production at Baobab in Offshore Africa due to the planned refurbishment on its floating production storage and offloading ("FPSO") vessel, both planned and unplanned maintenance and planned decommissioning activities in the North Sea and natural field declines.

The annual production impact in 2025 from the planned Baobab FPSO refurbishment is targeted to be approximately 7,800 bbl/d, with production targeted to resume in Q2/26.

Drilling Activity
Nine Months Ended

September 30, 2025

September 30, 2024
(number of wells)
Gross

Net

Gross

Net
Crude oil (1)
252

244

212

207
Natural gas
73

58

77

64
Dry
1

1

2

2
Subtotal
326

303

291

273
Stratigraphic test / service wells
516

493

460

394
Total
842

796

751

667
Success rate (excluding stratigraphic test / service wells)
 

99 %

 

99 %
(1) Includes bitumen wells.Canadian Natural drilled a total of 303 net crude oil and natural gas wells in the first nine months of 2025, 30 more than in the first nine months of 2024.MARKETING

Three Months Ended

Nine Months Ended

Sep 30
2025

Jun 30
2025

Sep 30
2024

Sep 30
2025

Sep 30
2024
Benchmark Commodity Prices

WTI benchmark price (US$/bbl) (1) $64.95
$63.71
$75.16
$66.67
$77.55
WCS heavy differential (discount) to WTI (US$/bbl) (1) $(10.36)$(10.19)$(13.51) $(11.07)$(15.46)WCS heavy differential as a percentage of WTI (%) (1)
16 %

16 %

18 %

17 %

20 %
Condensate benchmark price (US$/bbl) $63.12
$63.42
$71.24
$65.45
$73.71
SCO price (US$/bbl) (1) $66.26
$64.69
$76.51
$66.66
$76.42
SCO premium (discount) to WTI (US$/bbl) (1) $1.31
$0.98
$1.35
$(0.01)$(1.13)AECO benchmark price (C$/GJ) $0.94
$1.97
$0.77
$1.61
$1.35
Realized Prices
 

 

 

 

 
Exploration & Production liquids realized price
(C$/bbl) (2)(3)(4)(5) $72.57
$69.58
$79.15
$74.06
$78.67
SCO realized price (C$/bbl) (1)(3)(4)(5) $87.85
$87.22
$100.93
$90.45
$99.19
Natural gas realized price (C$/Mcf) (4) $1.49
$2.58
$1.25
$2.37
$1.80
(1) West Texas Intermediate ("WTI"); Western Canadian Select ("WCS"); Synthetic Crude Oil ("SCO").
(2) Exploration & Production crude oil and NGLs average realized price excludes SCO.
(3) Pricing is net of blending and feedstock costs.
(4) Excludes risk management activities.
(5) Non-GAAP ratio. Refer to the "Non-GAAP and Other Financial Measures" section of the Company's MD&A. Canadian Natural has a balanced and diverse product mix of SCO, light crude oil, NGLs, heavy crude oil, bitumen and natural gas, complemented with a balanced and diverse marketing strategy.

Canadian Natural has total contracted crude oil transportation capacity of 256,500 bbl/d, with committed volumes to Canada's west coast and to the United States Gulf Coast, being approximately‍ ‌22% of 2025 forecasted liquids production. The egress supports Canadian Natural's long-term sales strategy by targeting expanded refining markets, driving stronger netbacks while also reducing exposure to egress constraints.

The North West Redwater refinery primarily utilizes bitumen as feedstock, with production of ultra-low sulphur diesel and other refined products averaging 38,434 bbl/d in Q3/25, reflecting the successful completion of the planned turnaround during the quarter.

Canadian Natural has a diversified natural gas marketing strategy with the Company targeting in 2025 to use the equivalent of approximately 31% of forecasted natural gas production in its Oil Sands Mining and Upgrading and thermal operations, with approximately 38% targeted to be sold at AECO/Station 2 pricing, and approximately 31% targeted to be exported to other North American and international markets capturing higher natural gas prices, maximizing value.

Canadian Natural has entered into a long-term natural gas supply agreement with Cheniere Energy, Inc. ("Cheniere") where the Company has agreed to sell 140,000 MMBtu/d of natural gas to Cheniere for a term of 15 years, with delivery anticipated to begin in 2030, subject to a number of conditions precedent including a positive final investment decision of the Sabine Pass Liquefaction Expansion Project by Cheniere.

Under the terms of the agreement, Canadian Natural will deliver natural gas to Cheniere in Chicago and receive a Japan Korea Marker ("JKM") index price less deductions for transportation and liquefaction.

ADVISORY

Special Note Regarding Forward-Looking Statements

Certain statements relating to Canadian Natural Resources Limited (the "Company") in this document or documents incorporated herein by reference constitute forward-looking statements or information (collectively referred to herein as "forward-looking statements") within the meaning of applicable securities legislation. Forward-looking statements can be identified by the words "believe", "anticipate", "expect", "plan", "estimate", "target", "focus", "continue", "could", "intend", "may", "potential", "predict", "should", "will", "objective", "project", "forecast", "goal", "guidance", "outlook", "effort", "seeks", "schedule", "proposed", "aspiration", or expressions of a similar nature suggesting future outcome or statements regarding an outlook. Disclosure related to the Company's strategy or strategic focus, capital budget, expected future commodity pricing, forecast or anticipated production volumes, royalties, production expenses, capital expenditures, forecast and anticipated abandonment expenditures, income tax expenses, and other targets provided throughout this Management's Discussion and Analysis ("MD&A") of the financial condition and results of operations of the Company, including the strength of the Company's balance sheet, the sources and adequacy of the Company's liquidity, and the flexibility of the Company's capital structure, constitute forward-looking statements. Disclosure of plans relating to and expected results of existing and future developments, including, without limitation, those in relation to: the Company's assets at Horizon Oil Sands ("Horizon"), the Athabasca Oil Sands Project ("AOSP"), the Primrose thermal oil projects ("Primrose"), the Pelican Lake water and polymer flood projects ("Pelican Lake"), the Kirby thermal oil sands project ("Kirby"), the Jackfish thermal oil sands project ("Jackfish") and the North West Redwater bitumen upgrader and refinery; construction by third parties of new, or expansion of existing, pipeline capacity or other means of transportation of bitumen, crude oil, natural gas, natural gas liquids ("NGLs"), or synthetic crude oil ("SCO") that the Company may be reliant upon to transport its products to market; the maintenance of the Company's facilities and any expected return to service dates; the construction, expansion, or maintenance of third-party facilities that process the Company's products; the abandonment and decommissioning of certain assets and the timing thereof; the development and deployment of technology and technological innovations; the financial capacity of the Company to complete its growth projects and responsibly and sustainably grow in the long-term; and the materiality of the impact of tax interpretations and litigation on the Company's results, also constitute forward-looking statements. These forward-looking statements are based on annual budgets and multi-year forecasts and are reviewed and revised throughout the year as necessary in the context of targeted financial ratios, project returns, product pricing expectations, and balance in project risk and time horizons. These statements are not guarantees of future performance and are subject to certain risks. The reader should not place undue reliance on these forward-looking statements as there can be no assurances that the plans, initiatives, or expectations upon which they are based will occur. In addition, statements relating to "reserves" are deemed to be forward-looking statements as they involve the implied assessment based on certain estimates and assumptions that the reserves described can be profitably produced in the future. There are numerous uncertainties inherent in estimating quantities of proved and proved plus probable crude oil, natural gas, and NGLs reserves and in projecting future rates of production and the timing of development expenditures. The total amount or timing of actual future production may vary significantly from reserves and production estimates.

The forward-looking statements are based on current expectations, estimates, and projections about the Company and the industry in which the Company operates, which speak only as of the earlier of the date such statements were made or as of the date of the report or document in which they are contained, and are subject to known and unknown risks and uncertainties that could cause the actual results, performance, or achievements of the Company to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Such risks and uncertainties include, among others: general economic and business conditions (including as a result of the actions of the Organization of the Petroleum Exporting Countries Plus ("OPEC+"), the impact of conflicts in the Middle East and in Ukraine, increased inflation, and the risk of decreased economic activity resulting from a global recession) which may impact, among other things, demand and supply for and market prices of the Company's products, and the availability and cost of resources required by the Company's operations; volatility of and assumptions regarding crude oil, natural gas and NGLs prices; fluctuations in currency and interest rates; assumptions on which the Company's current targets are based; economic conditions in the countries and regions in which the Company conducts business; changes and uncertainties in the international trade environment, including with respect to tariffs, export restrictions, embargoes, and key trade agreements (including uncertainties around US imposed tariffs, and actual or potential Canadian countermeasures, both of which continue to evolve and may be continued, suspended, increased, decreased, or expanded); uncertainty in the regulatory framework governing greenhouse gas emissions including, among other things, financial and other support from various levels of government for climate related initiatives and potential emissions or production caps; civil unrest and political uncertainty, including changes in government, actions of or against terrorists, insurgent groups, or other conflict including conflict between states; the ability of the Company to prevent and recover from a cyberattack, other cyber-related crime, and other cyber-related incidents; industry capacity; ability of the Company to implement its business strategy, including exploration and development activities; the impact of competition; the Company's defense of lawsuits; availability and cost of seismic, drilling, and other equipment; ability of the Company to complete capital programs; the Company's ability to secure adequate transportation for its products; unexpected disruptions or delays in the mining, extracting, or upgrading of the Company's bitumen products; potential delays or changes in plans with respect to exploration or development projects or capital expenditures; ability of the Company to attract the necessary labour required to build, maintain, and operate its thermal and oil sands mining projects; operating hazards and other difficulties inherent in the exploration for and production and sale of crude oil and natural gas and in the mining, extracting, or upgrading the Company's bitumen products; availability and cost of financing; the Company's success of exploration and development activities and its ability to replace and expand crude oil and natural gas reserves; the Company's ability to meet its targeted production levels; timing and success of integrating the business and operations of acquired companies and assets; production levels; imprecision of reserves estimates and estimates of recoverable quantities of crude oil, natural gas and NGLs not currently classified as proved; changes to future abandonment and decommissioning costs, actions by governmental authorities; government regulations and the expenditures required to comply with them (especially safety, competition, environmental laws and regulations, and the impact of climate change initiatives on capital expenditures and production expenses); interpretations of applicable tax and competition laws and regulations; asset retirement obligations; the sufficiency of the Company's liquidity to support its growth strategy and to sustain its operations in the short-, medium-, and long-term; the strength of the Company's balance sheet; the flexibility of the Company's capital structure; the adequacy of the Company's provision for taxes; the impact of legal proceedings to which the Company is party; and other circumstances affecting revenues and expenses.

The Company's operations have been, and in the future may be, affected by political developments and by national, federal, provincial, state, and local laws and regulations such as restrictions on production, the imposition of tariffs, embargoes, or export restrictions on the Company's products (including uncertainties around US imposed tariffs, and actual or potential Canadian countermeasures, both of which continue to evolve and may be continued, suspended, increased, decreased, or expanded), changes in taxes, royalties and other amounts payable to governments or governmental agencies, price or gathering rate controls and environmental protection regulations. Should one or more of these risks or uncertainties materialize, or should any of the Company's assumptions prove incorrect, actual results may vary in material respects from those projected in the forward-looking statements. The impact of any one factor on a particular forward-looking statement is not determinable with certainty as such factors are dependent upon other factors, and the Company's course of action would depend upon its assessment of the future considering all information then available.

Readers are cautioned that the foregoing list of factors is not exhaustive. Unpredictable or unknown factors not discussed in this document could also have adverse effects on forward-looking statements. Although the Company believes that the expectations conveyed by the forward-looking statements are reasonable based on information available to it on the date such forward-looking statements are made, no assurances can be given as to future results, levels of activity, and achievements. All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Except as required by applicable law, the Company assumes no obligation to update forward-looking statements in this document, whether as a result of new information, future events or other factors, or the foregoing factors affecting this information, should circumstances or the Company's estimates or opinions change.

Special Note Regarding Common Share Split and Comparative Figures

At the Company's Annual and Special Meeting held on May 2, 2024, shareholders passed a Special Resolution approving a two for one common share split effective for shareholders of record as of market close on June 3, 2024. On June 10, 2024, shareholders of record received one additional share for every one common share held, with common shares trading on a split-adjusted basis beginning June 11, 2024. Common share, per common share, dividend, and stock option amounts for periods prior to the two for one common share split have been updated to reflect the common share split.

Special Note Regarding Amendments to the Competition Act (Canada)

On June 20, 2024, amendments to the Competition Act (Canada) came into force with the adoption of Bill C-59, An Act to Implement Certain Provisions of the Fall Economic Statement which impact environmental and climate disclosures by businesses. As a result of these amendments, certain public representations by a business regarding the benefits of the work it is doing to protect or restore the environment or mitigate the environmental and ecological causes or effects of climate change may violate the Competition Act's deceptive marketing practices provisions. These amendments include substantial financial penalties and, effective June 20, 2025, a private right of action which permits private parties to seek an order from the Competition Tribunal under the deceptive marketing practices provisions. Uncertainty surrounding the interpretation and enforcement of this legislation may expose the Company to increased litigation and financial penalties, the outcome and impacts of which can be difficult to assess or quantify and may have a material adverse effect on the Company's business, reputation, financial condition, and results.

Special Note Regarding Currency, Financial Information and Production

This document should be read in conjunction with the Company's MD&A and unaudited interim consolidated financial statements (the "financial statements") for the three and nine months ended September 30, 2025, and the Company's MD&A and audited consolidated financial statements for the year ended December 31, 2024. All dollar amounts are referenced in millions of Canadian dollars, except where noted otherwise. The Company's MD&A and financial statements for the three and nine months ended September 30, 2025 have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB").

Production volumes and per unit statistics are presented throughout this document on a "before royalties" or "company gross" basis, and realized prices are net of blending and feedstock costs and exclude the effect of risk management activities. In addition, reference is made to crude oil and natural gas in common units called barrel of oil equivalent ("BOE"). A BOE is derived by converting six thousand cubic feet ("Mcf") of natural gas to one barrel ("bbl") of crude oil (6 Mcf: 1 bbl). This conversion may be misleading, particularly if used in isolation, since the 6 Mcf: 1 bbl ratio is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. In comparing the value ratio using current crude oil prices relative to natural gas prices, the 6 Mcf: 1 bbl conversion ratio may be misleading as an indication of value. In addition, for the purposes of this document, crude oil is defined to include the following commodities: light and medium crude oil, primary heavy crude oil, Pelican Lake heavy crude oil, bitumen (thermal oil), and SCO. Production on an "after royalties" or "company net" basis is also presented for information purposes only.

Additional information relating to the Company, including its Annual Information Form for the year ended December 31, 2024, is available on SEDAR+ at www.sedarplus.ca, and on EDGAR at www.sec.gov. Information in such Annual Information Form and on the Company's website does not form part of and is not incorporated by reference in the Company's MD&A, dated November 5, 2025.

ADVISORY

Special Note Regarding Non-GAAP and Other Financial Measures

This document includes references to Non-GAAP and Other Financial Measures as defined in National Instrument 52-112 - Non-GAAP and Other Financial Measures Disclosure ("NI 52-112"). These financial measures are used by the Company to evaluate its financial performance, financial position, and cash flow and include non-GAAP financial measures, non-GAAP ratios, total of segments measures, capital management measures, and supplementary financial measures. These financial measures are not defined by IFRS and therefore are referred to as non-GAAP and other financial measures. The non-GAAP and other financial measures used by the Company may not be comparable to similar measures presented by other companies and should not be considered an alternative to, or more meaningful than, the most directly comparable financial measure presented in the financial statements, as applicable, as an indication of the Company's performance. Descriptions of the Company's non-GAAP and other financial measures included in this this document and the Company's MD&A and reconciliations to the most directly comparable GAAP measure, as applicable, are provided below as well as in the "Non-GAAP and Other Financial Measures" section of the Company's MD&A for the three and nine months ended September 30, 2025 dated November 5, 2025.

Free Cash Flow Allocation Policy

Free cash flow is a non-GAAP financial measure. The Company considers free cash flow a key measure in demonstrating the Company's ability to generate cash flow to fund future growth through capital investment, pay returns to shareholders and to repay or maintain net debt levels, pursuant to the free cash flow allocation policy.

The Company's free cash flow is used to determine the targeted amount of shareholder returns after dividends. The amount allocated to shareholders varies depending on the Company's net debt position.

Free cash flow is calculated as adjusted funds flow less dividends on common shares, net capital expenditures and abandonment expenditures. The Company targets to manage the allocation of free cash flow on a forward looking annual basis, while managing working capital and cash management as required.

Up to October 2024, before the announcement of the Chevron acquisition, the Company was targeting to allocate 100% of its free cash flow in 2024 to shareholder returns.

In October 2024, with the announcement of the Chevron acquisition, the Board of Directors adjusted the allocation of free cash flow as follows:

60% of free cash flow to shareholder returns and 40% to the balance sheet until net debt reaches $15 billion.

When net debt is between $12 billion and $15 billion, free cash flow allocation will be 75% to shareholder returns and 25% to the balance sheet.

When net debt is at or below $12 billion, free cash flow allocation will be 100% to shareholder returns.

The Company's free cash flow for the three months ended September 30, 2025 and comparable periods is shown below:

Three Months Ended
($ millions)
Sep 30
2025

Jun 30
2025

Sep 30
2024
Adjusted funds flow (1) $3,920
$3,262
$3,921
Less: Dividends on common shares
1,228

1,233

1,118
Net capital expenditures(2)
2,124

1,915

1,349
Abandonment expenditures
189

193

204
Free cash flow $379
$(79)$1,250
(1) Refer to the descriptions and reconciliations to the most directly comparable GAAP measure, which are provided in the "Non-GAAP and Other Financial Measures" section of the Company's MD&A for the three and nine months ended September 30, 2025 dated November 5, 2025.
(2) Non-GAAP Financial Measure. The composition of this measure was updated in the fourth quarter of 2024. Refer to the "Non-GAAP and Other Financial Measures" section of the Company's MD&A for the three and nine months ended September 30, 2025 dated November 5, 2025.Long-term Debt, net

Long-term debt, net (also referred to as net debt) is a capital management measure that is calculated as current and long-term debt less cash and cash equivalents.

($ millions)
Sep 30
2025

Jun 30
2025

Dec 31
2024

Sep 30
2024
Long-term debt$17,268
$17,081
$18,819
$10,029
Less: cash and cash equivalents
113

102

131

721
Long-term debt, net$17,155
$16,979
$18,688
$9,308
Breakeven WTI Price

The breakeven WTI price is a supplementary financial measure that represents the equivalent US dollar WTI price per barrel where the Company's adjusted funds flow is equal to the sum of maintenance capital and dividends. The Company considers the breakeven WTI price a key measure in evaluating its performance, as it demonstrates the efficiency and profitability of the Company's activities. The breakeven WTI price incorporates the non-GAAP financial measure adjusted funds flow as reconciled in the "Non-GAAP and Other Financial Measures" section of the Company's MD&A. Maintenance capital is a supplementary financial measure that represents the capital required to maintain annual production at prior period levels.

Capital Budget

Capital budget is a forward-looking non-GAAP financial measure. The capital budget is based on net capital expenditures (non-GAAP financial measure) and includes acquisition capital related to a number of acquisitions for which agreements between parties have been reached as at the time of the Company's 2025 budget press release on January 9, 2025. Refer to the "Non-GAAP and Other Financial Measures" section of the Company's MD&A for more details on net capital expenditures.

The 2025 capital forecast reflects forecasted net capital expenditures, before abandonment expenditures related to the execution of the Company's abandonment and reclamation programs in North America and the North Sea. The Company currently carries an Asset Retirement Obligation ("ARO") liability on its balance sheet for these forecasted future expenditures. Abandonment expenditures are reported before the impact of current income tax recoveries in Canada and the UK portion of the North Sea. The Company is eligible to recover interest on related to tax recoveries in the North Sea.

Capital Efficiency

Capital efficiency is a supplementary financial measure that represents the capital spent to add new or incremental production divided by the current rate of the new or incremental production. It is expressed as a dollar amount per flowing volume of a product ($‍/‍bbl/‍‍d or $/‍BOE‍/‍d). The Company considers capital efficiency a key measure in evaluating its performance, as it demonstrates the efficiency of the Company's capital investments.

CONFERENCE CALL

Canadian Natural Resources Limited (TSX: CNQ) (NYSE: CNQ) will be issuing its 2025 Third Quarter Earnings Results on Thursday, November 6, 2025 before market open.

A conference call will be held at 9:00 a.m. MDT / 11:00 a.m. EDT on Thursday, November 6, 2025.

Dial-in to the live event:

North America 1-800-717-1738 / International 001-289-514-5100.

Listen to the audio webcast:

Access the audio webcast on the home page of our website, www.cnrl.com.

Conference call playback:

North America 1-888-660-6264 / International 001-289-819-1325 (Passcode: 56299#)

Canadian Natural is a senior crude oil and natural gas production company, with continuing operations in its core areas located in Western Canada, the U.K. portion of the North Sea and Offshore Africa.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/273369

SINGAPORE, SG / ACCESS Newswire / November 6, 2025 / Ryde Group Ltd (NYSE American: RYDE) ("Ryde" or the "Company"), a leading technology platform for mobility and quick commerce in Singapore, today announced a new collaboration with Kris+, the lifestyle rewards app of Singapore Airlines, enabling KrisFlyer members to redeem their miles for RydeCoins at exclusive discounted rates via the Kris+ app. Through this collaboration, members can now enjoy greater flexibility and value from their miles, whether commuting to work, heading to the airport, or travelling across the city.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in TGB over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

SummaryDXP Enterprises (DXPE) remains a Strong Buy ahead of Q3 earnings. I expect EPS growth of 8%-15% and modest revenue upside.IPS segment backlog is at an all-time high, driving margin expansion and profitability; recent M&A activity adds incremental revenue tailwinds.Service Centers provide stability while SCS is expected to show sequential margin improvement as a large contract turned profitable in July.The setup is favorable: backlog strength, disciplined execution, and ongoing M&A support both near-term results and longer-term multiple expansion.Analyst’s Disclosure:I/we have a beneficial long position in the shares of DXPE either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

EDP Renováveis, S.A. (OTCPK:EDRVY) Q3 2025 Earnings Call November 6, 2025 3:00 AM EST

Company Participants

Miguel Viana - Head of Investor Relations & Sustainability
Miguel de Andrade - Chairman of the Executive Board of Directors & CEO
Rui Manuel Rodrigues Teixeira - CFO & Member of the Executive Board of Directors

Presentation

Operator

Good morning. We welcome you to the EDP and EDP Renewables 9 Months 2025 Results Presentation. [Operator Instructions]

I now hand the conference over to Mr. Miguel Viana, Head of IR and ESG. Please go ahead, sir.

Miguel Viana
Head of Investor Relations & Sustainability

Good morning. Welcome to EDP and EDPR 9 Months 2025 Results Conference Call. We have with us today our CEO, Miguel Stilwell d' Andrade; and our CFO, Rui Teixeira, that will present you the main highlights of EDP and EDPR financial performance in the first 9 months of 2025.

The presentation will be followed by a Q&A session in which we'll be receiving just written questions that you can insert from now onwards in the text box available in the webcast. As we'll have just later on at 10:00 a.m. London time, our Capital Markets Day presentation. So the Q&A session will be focused on teams around the 9 months financial performance.

I'll pass now the floor to our CEO, Miguel Stilwell d' Andrade.

Miguel de Andrade
Chairman of the Executive Board of Directors & CEO

Thank you, Miguel, and good morning, everyone. So thank you for attending our 9 months 2025 results conference call. As Miguel said, we'll be doing the EDP results and then the EDPR, so really a 2-in-1 call, but for the reasons that Miguel has already mentioned. And so I'll go straight into the EDP overall numbers.

If we go to Slide 3, we'll see the recurring net

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Key Takeaways
Quantum computing stocks have rallied even more dramatically than AI stocks in the past year as investors increased their bets on the technology.Technological breakthroughs from tech giants like Google have increased quantum's visibility and potentially expedited the technology's commercialization.Still, the stocks are susceptible to dramatic swings driven by the slightest shifts in sentiment.

Move over, AI.

Quantum computing stocks—those representing a technology that teases vast computing power—have soared in the past year, making even the artificial-intelligence rally look tame. Shares of D-Wave Quantum (QBTS) and Rigetti Computing (RGTI) have soared 2,700% and 3,100%, respectively, over that period. Quantum Computing (QUBT) is up 1,100%. IonQ (IONQ), up 250%, is the laggard of the bunch. 

Only a few of Wall Street’s favorite AI stocks have posted comparable gains in the past 12 months. Software companies Palantir (PLTR) and Applovin (APP), lauded for their AI-driven growth, have risen roughly 300% in the past year. Nvidia (NVDA), the poster child of the AI boom, has gained about 44%.

Rallies typically slow with age, so it's understandable that the fresher theme has more momentum behind it—particularly at a time when investors have been willing to lean into speculative concepts and companies. But compare quantum stocks over the past year and AI stocks in the year after ChatGPT was released, and quantum still dramatically outpaces AI: Nvidia shares rose 206% in the 12 months starting Nov. 30, 2022, while server maker Super Micro Computer (SMCI) soared 212%.

Why This Is Important
Everyday investors often fear they're missing out when they see asset prices skyrocketing the way quantum computing stocks have. That fear can drive investors to make risky bets on poorly understood stocks that they panic sell at a loss when the rally hits a rough patch.

Granted, Wall Street didn’t immediately grasp how significant ChatGPT would be for Nvidia, and the chipmaker’s stock gains accelerated in 2023. But even in the yearlong period that Nvidia rose the fastest—between March 2023 and March 2024—its approximately 300% return still pales in comparison to most quantum stocks in the last 12 months.

What's Driving the Quantum Craze?
A string of technological breakthroughs and Big Tech investments has raised quantum computing’s visibility on Wall Street over the past year. 

Last December, Google (GOOG) unveiled Willow, a quantum chip that it claims can solve a problem in 5 minutes that would take the world’s fastest supercomputer 10 septillion years to complete. (That’s 714 trillion times the estimated age of the universe.) Microsoft (MSFT) debuted its own quantum chip in February, and Nvidia last month unveiled hardware designed specifically to connect quantum computers and the accelerated computing chips that power AI.

As with the early days of the AI rally, quantum investors are betting the nascent technology will have profound implications for the economy and business. Quantum computing is expected to drive advancements in drug discovery, advanced manufacturing, cybersecurity, financial modeling, and logistics, to name just a few of its possible commercial applications. 

Due to the speculative nature of quantum investments, the stocks swing dramatically on the slightest shift in sentiment. Shares of Rigetti plummeted 45% one day in January when Nvidia CEO Jensen Huang said he believed a “very useful” quantum computer was still about 20 years out.

Quantum stocks, despite their recent run-up, are relatively small compared with AI darlings. The four aforementioned companies have market capitalizations ranging from $2.5 billion (D-Wave Quantum) to $18.5 billion (IonQ)—valuations that are by no means small, but which are dwarfed by Nvidia's $5 trillion market cap.

Another factor driving the stocks higher in recent months: the Trump administration's hands-on approach to public-private partnerships. The Wall Street Journal recently reported the White House was in talks to invest in several quantum computing companies. The Trump administration, which has struck similar deals with chipmaker Intel (INTC) and rare earths miners, denied the reports, but that didn't stop quantum stocks from soaring.

What's the Path To Commercialization?
Huang’s 20-year quantum timeline may be one of the most pessimistic forecasts out there, but the technology does face hurdles to commercialization. Quantum computers are too error-prone to achieve “quantum advantage"—the point at which a quantum computer can solve a real-world problem faster than a classical computer—according to a recent Bank of America report.

Last month, IonQ announced it had achieved fidelity—a measure of computational accuracy—of 99.99%, a record for quantum computers that essentially means the computer would make one mistake for every 10,000 computations. But the binary computers we use today boast much higher fidelity, making a mistake in one out of every 10 quintillion computations, according to BofA. To achieve “quantum advantage,” BofA estimates quantum will need to reach fidelity of 99.9999%. 

And it may be difficult to integrate quantum computers with existing digital infrastructure like data centers and software, according to BofA.

Nonetheless, consulting firm McKinsey estimates the quantum computing market could reach $97 billion by 2035, and nearly $200 billion by 2040. And monetization by leading technology companies may not be that far off: Bank of America analysts in a note last month said they expect quantum computing to have a material impact on computing pioneer IBM’s (IBM) results by 2030.

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Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

The Federal Aviation Administration ordered a 10% reduction in traffic at 40 airports due to the government shutdown

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Investors may have bit off more than they can chew with Wall Street's artificial intelligence (AI) darlings.

Over the last three years, nothing has captivated the attention and pocketbooks of investors quite like the evolution of artificial intelligence (AI). The capacity for software and systems to make split-second decisions without human intervention, and to potentially grow more efficient at their assigned tasks over time, is a game-change for most industries.

The pie-in-the-sky addressable market for AI -- $15.7 trillion by 2030, according to a report from PwC -- has sent shares of AI data-mining specialist Palantir Technologies (PLTR 1.54%) and graphics processing unit (GPU) kingpin Nvidia (NVDA 1.71%) soaring. Since the end of 2022, Palantir shares have skyrocketed 2,870%, while Nvidia stock has rallied 1,260% and crested the $5 trillion market cap plateau.

Image source: Getty Images.

While it's plainly evident that professional and everyday investors are excited about the growth potential and real-world utility of AI, Palantir's latest operating results revealed an undeniable weakness for Wall Street's AI darlings that should become apparent when Nvidia unveils its quarterly operating results on Nov. 19.

Palantir's biggest flaw was just exposed
Make no mistake about it, Palantir's stock has gone parabolic for a reason. It's a company with well-defined competitive advantages that's made a recent habit of leaping over the consensus revenue and profit expectations of Wall Street analysts.

The true beauty of Palantir's operating model is that no large-scale competitors for its two core operating systems (Gotham and Foundry) exist.

Gotham is the company's breadwinner, at the moment. It's a cloud-based, AI-driven, software-as-a-service platform that helps the U.S. military and its allies plan and oversee missions, as well as collect and analyze data. Palantir typically secures four- or five-year contracts from federal governments, which have sustained double-digit sales growth, pushed the company into recurring profitability, and has made forecasting its operating cash flow highly predictable.

Today's Change

(

-1.54

%) $

-2.93

Current Price

$

187.81

The other core segment is Foundry, which is a subscription service that helps businesses make sense of their data. It can streamline their operations by improving manufacturing efficiency, tightening up supply chains, and automating certain tasks.

The lack of large-scale competition was evident for Palantir during the September-ended quarter. Its $1.18 billion in quarterly sales topped expectations by a cool $90 million. The company also guided for $1.33 billion in fourth-quarter revenue, which was $140 million above the consensus.

But on Nov. 4, the day after Palantir unveiled its operating results following the closing bell, shares of the company tumbled more than $16, or close to 8%. In terms of market cap, we're talking about a loss of $39 billion.

PLTR PS Ratio data by YCharts. PS Ratio = price-to-sales ratio.

What this sizable move lower in Palantir stock showed was that no earnings or revenue beat would have been sufficient to justify its premium valuation.

As of the closing bell on Nov. 3 (i.e., in the minutes leading up to Palantir's earnings release), shares of the company were valued at a price-to-sales (P/S) ratio of 152! To put this figure into perspective, the internet companies leading the charge prior to the dot-com bubble bursting in early 2000 peaked at P/S ratios ranging from 31 to 43. Consistently, this range has served as a ceiling for hyped megacap stocks on the cutting edge of a next-big-thing trend. Palantir entered its earnings report at four to five times this historical ceiling.

Whereas Wall Street analysts are known for setting the bar conservatively when establishing sales and profit expectations, there was simply no beat that would have justified Palantir's P/S ratio.

Image source: Nvidia.

Palantir's tumble foreshadows one of the biggest issues with Nvidia
However, an outlandish valuation isn't an issue exclusive to Palantir. It's a problem that's somewhat pervasive among AI stocks, including the stock market's largest publicly traded company, Nvidia.

Similar to Palantir, Nvidia's well-defined competitive advantages have lifted its valuation to new heights. Though estimates are all over the board, some analysts view Nvidia's share of GPUs deployed in AI-accelerated data centers at 90% or above. Demand for Nvidia's three generations of AI chips (Hopper, Blackwell, and Blackwell Ultra) have been backlogged.

Nvidia CEO Jensen Huang is ensuring that his company won't cede its spot at the head of the AI hardware table anytime soon. He's overseeing the development and launch of a new advanced GPU on an annual basis. Following the ramp up of Blackwell Ultra is Vera Rubin and Vera Rubin Ultra, which should make their commercial debuts in the latter-halves of 2026 and 2027. None of Nvidia's external competitors have been particularly close to matching the compute capabilities of Hopper, Blackwell, or Blackwell Ultra.

Today's Change

(

-1.71

%) $

-3.40

Current Price

$

195.28

The other core advantage of Nvidia is its CUDA software platform, which is the toolkit developers use to maximize the compute capabilities of their AI-GPUs, as well as to build and train large language models. CUDA is sort of an unsung hero for Nvidia in that it keeps customers loyal to the company's ecosystem of products and services.

When Nvidia reports is fiscal third-quarter operating results after the closing bell on Nov. 19, there's a very good probability it's going to handily surpass Wall Street's expectations. But similar to Palantir, I wouldn't expect this beat to be anywhere near enough to justify its current valuation.

Although Nvidia has pulled back from a peak P/S ratio of a little over 42, which was reached during the summer of 2023, it did end the Nov. 3 trading session at a P/S ratio of 31. It's right back in the range that history tells us isn't sustainable and is typically a marker for bubbles.

NVDA PS Ratio data by YCharts.

Speaking of bubbles, did you know that we haven't had a game-changing investment trend in over 30 years avoid an early stage bubble-bursting event? Starting with and including the internet, we've watched bubbles form and burst with genome decoding, nanotechnology, China stocks, 3D printing, blockchain technology, cannabis, and the metaverse. Nothing suggests artificial intelligence will be the exception to this unwritten rule.

If investors have, once again, overshot with their expectations for early stage AI adoption and utility, Nvidia would be among the hardest-hit companies. It's trending toward generating 90% of its revenue from its data center segment.

Furthermore, Nvidia isn't shielded from competitive pressures. Though it's run circles around external GPU developers, many of its largest customers by net sales have been internally developing AI-GPUs for their data centers. These internally developed chips are much cheaper and more readily accessible than Nvidia's hardware. Despite not matching Nvidia's chips on a compute basis, these GPUs can reduce the AI-GPU scarcity that's fueled Nvidia's pricing power and gross margin.

Palantir exposed Nvidia's biggest weakness -- its historically unsustainable valuation premium -- and it'll be on full display come Nov. 19.

SummaryVeris Residential gets a hold/neutral rating for my initial coverage, agreeing with the quant rating today, which was also a hold.Market demand and premium rents in its core northeast market could favor VRE, along with its deleveraging strategy that is ongoing.Despite FFO/AFFO growth, this REIT lacks longer-term dividend growth, and its yield is less than 3%, making it less attractive as a dividend play.Its portfolio is not growing much this year due to dispositions and is highly concentrated in one region of the US, with no Sunbelt exposure like some REITs.Fed decisions and their impacts on interest rates for commercial real estate financing are a risk to keep an eye on. Marta Rossi/iStock via Getty Images

The Stock: A Residential REIT With a Premium Northeast US Focus One sector that I haven't talked about lately, even though I cover REITs often, is the niche of residential REITs, and so today's article will cover a residential REIT that recently had

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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The next big stock could be this leading player in quantum computing.

IonQ (IONQ +3.80%) has positioned itself as a major pure-play quantum computing company, utilizing trapped-ion qubit technology. Here, charged atoms are confined using electromagnetic fields and then manipulated with precise laser pulses to enable highly accurate and stable quantum computations.

IonQ is seeing increased adoption of its quantum computing technology by governments, enterprises, and cloud computing providers. In the second quarter of fiscal 2025, revenue soared 81.8% year over year to $20.7 million. The company also ended the second quarter with $1.7 billion in cash and no debt. The strong financials and cash balance give it sufficient financial flexibility to invest in future growth initiatives without the need to raise capital.

Image source: Getty Images.

Backed by strong technology and improving financials, IonQ has the potential to tap into exceptional growth in the coming years. Here are a few other reasons why IonQ is one of my favorite stocks now.

Commercialization and technology
IonQ is focused on commercializing its quantum technology. The company's data center-compatible quantum computing system, Forte Enterprise, is now available on major cloud platforms. While Forte Enterprise is already working on some client workloads, it is also being worked on for even more use cases. These commercialization initiatives can translate into recurring revenue streams in the coming years.

Today's Change

(

3.80

%) $

2.03

Current Price

$

55.41

IonQ is demonstrating its dominance in quantum technology with the 100-qubit Tempo system, currently in active development, which can perform quantum computations at an extremely low error rate. The company is also working on a 256-qubit system with Oxford Ionics to accelerate its progress toward fault-tolerant computing (a self-diagnosing and correcting system).

IonQ is also expanding into areas such as quantum networking and security through its acquisitions of Lightsync, ID Quantique, and Capella Space. Hence, besides quantum computation, the company will also become capable of securely transmitting quantum data to other systems. These capabilities enable the company to offer secure quantum computing capabilities at data centers.

Expanding customer base
IonQ has entered into multiple quantum computing agreements with government and commercial partners, resulting in high multiyear revenue visibility. These government deals include a $75.6 million contract with the U.S. Air Force Research Lab, a $22 million U.S. project with EPB, a national partnership with Japan's AIST G-QuAT, and selection by South Korea's KISTI as a primary quantum computer partner to build the National Quantum Center of Excellence. Together, the company has entered into government deals worth over $100 million.

On the commercial front, IonQ has also collaborated with AstraZeneca, Amazon's AWS, and Nvidia, resulting in 20 times faster performance in a particular drug discovery workflow.

Valuation
IonQ stock currently trades at 399.17 times sales, which is admittedly a very expensive valuation. However, the stock is being valued for its explosive future growth potential and its focus on commercializing quantum technology. While execution risks are high, IonQ's share prices can continue to grow even at elevated valuation levels.

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Swiss digital banking leader uses FICO® Falcon® Fraud Manager for debit cards, adds FICO® Customer Communication Services for 24/7 support

LONDON--(BUSINESS WIRE)--FICO (NYSE: FICO)

"FICO’s fraud detection and customer communications solutions allow us to reach our customers through their preferred channel, improving our protection and customer experience.”
- Christoph Stettler, senior security officer at PostFinance

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PostFinance, Switzerland's leading digital bank, has expanded its partnership with leading analytics software company FICO to enhance fraud protection and customer communications. Based on years of successful collaboration, PostFinance will expand its usage of FICO® Falcon® Fraud Manager for debit card and FICO® Customer Communication Services (CCS) to instantly intervene with customers when fraud is suspected.

More information: https://www.fico.com/en/customer-lifecycle/protect-and-comply

PostFinance serves a total of 2.4 million customers in Switzerland and processes around 4 million customer transactions daily with a total value of CHF 5.9 billion. An estimated one-third of debit card transactions in Switzerland are made using PostFinance debit cards for domestic and international use.

"Switzerland’s citizens depend on us to maintain the highest level of fraud protection,” said Stephan Zimmermann, head of Customer Security at PostFinance. “We have built a trusted relationship with FICO over the past five years. Their leadership in fraud protection solutions enables us to give our customers seamless support around the clock."

"We need instant communication with our customers whenever we suspect a fraud or scam is occurring," said Christoph Stettler, senior security officer at PostFinance. "FICO’s fraud detection and customer communications solutions allow us to reach our customers through their preferred channel, improving our protection and customer experience.”

"This partnership expansion supports PostFinance's ongoing digital transformation and reinforces its position as Switzerland's leader in electronic banking, particularly through its e-finance portal," said Jens Dauner, vice president for Central Europe at FICO. "It demonstrates PostFinance’s commitment to meeting and surpassing their customers' expectations."

FICO Falcon Fraud Manager protects PostFinance's extensive transaction volume using artificial intelligence powered by more than 100 patents in fraud detection. FICO Falcon Fraud Manager is the world’s leading payment fraud solution, protecting more than 4 billion payment cards worldwide.

About PostFinance

PostFinance offers comprehensive financial services including saving, investing, retirement planning, and financing, making the enhanced fraud protection and extended communication capabilities essential components of their holistic digital banking strategy. Learn more at https://www.postfinance.ch/en/private.html

About FICO

FICO (NYSE: FICO) powers decisions that help people and businesses around the world prosper. Founded in 1956, the company is a pioneer in the use of predictive analytics and data science to improve operational decisions. FICO holds more than 200 US and foreign patents on technologies that increase profitability, customer satisfaction and growth for businesses in financial services, insurance, telecommunications, health care, retail and many other industries. Using FICO solutions, businesses in more than 80 countries do everything from protecting 4 billion payment cards from fraud, to improving financial inclusion, to increasing supply chain resiliency. The FICO® Score, used by 90% of top US lenders, is the standard measure of consumer credit risk in the US and has been made available in more than 40 other countries, improving risk management, credit access and transparency.

Learn more at https://www.fico.com

FICO is a registered trademark of Fair Isaac Corporation in the U.S. and other countries.

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