Track market-moving stories before they get noisy

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

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on November 3. On the other hand, if they miss, the stock may move lower.

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

Zacks Consensus EstimateThis insurance company is expected to post quarterly earnings of $2.18 per share in its upcoming report, which represents a year-over-year change of +4.3%.

Revenues are expected to be $2.96 billion, down 12.5% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.12% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

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

Price, Consensus and EPS Surprise

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

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

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

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

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

How Have the Numbers Shaped Up for Unum?For Unum, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +0.64%.

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

So, this combination indicates that Unum will most likely beat the consensus EPS estimate.

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

For the last reported quarter, it was expected that Unum would post earnings of $2.14 per share when it actually produced earnings of $2.16, delivering a surprise of +0.93%.

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

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

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

Unum appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

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

The market expects International Flavors (IFF - Free Report) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on November 3, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

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

Zacks Consensus EstimateThis ingredients producer for food, cosmetics and consumer products industries is expected to post quarterly earnings of $0.86 per share in its upcoming report, which represents a year-over-year change of -18.1%.

Revenues are expected to be $1.92 billion, down 28.9% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 5.58% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

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

Price, Consensus and EPS Surprise

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

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

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

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

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

How Have the Numbers Shaped Up for International Flavors?For International Flavors, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +0.97%.

On the other hand, the stock currently carries a Zacks Rank of #2.

So, this combination indicates that International Flavors will most likely beat the consensus EPS estimate.

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

For the last reported quarter, it was expected that International Flavors would post earnings of $0.78 per share when it actually produced earnings of $0.82, delivering a surprise of +5.13%.

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

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

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

International Flavors appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

Expected Results of an Industry PlayerFUCHS SE - Unsponsored ADR (FUPBY - Free Report) , another stock in the Zacks Chemical - Specialty industry, is expected to report earnings per share of $0.22 for the quarter ended September 2026. This estimate points to a year-over-year change of +15.8%. Revenues for the quarter are expected to be $1.26 billion, up 20.4% from the year-ago quarter.

The consensus EPS estimate for FUCHS SE - Unsponsored ADR has been revised 13.6% lower over the last 30 days to the current level. However, an equal Most Accurate Estimate has resulted in an Earnings ESP of 0.00%.

This Earnings ESP, combined with its Zacks Rank #3 (Hold), makes it difficult to conclusively predict that FUCHS SE - Unsponsored ADR will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times.

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

Community Financial System (CBU - Free Report) came out with quarterly earnings of $1.21 per share, beating the Zacks Consensus Estimate of $1.19 per share. This compares to earnings of $1.04 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +1.68%. A quarter ago, it was expected that this bank holding company would post earnings of $1.19 per share when it actually produced earnings of $1.16, delivering a surprise of -2.52%.

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

Community Financial, which belongs to the Zacks Financial - Miscellaneous Services industry, posted revenues of $228.3 million for the quarter ended September 2026, surpassing the Zacks Consensus Estimate by 0.43%. This compares to year-ago revenues of $207.93 million. The company has topped consensus revenue estimates three times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Community Financial shares have added about 8.5% since the beginning of the year versus the S&P 500's gain of 12.1%.

What's Next for Community Financial?While Community Financial has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Community Financial was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.22 on $232.44 million in revenues for the coming quarter and $4.61 on $895.18 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Miscellaneous Services is currently in the bottom 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Jefferson Capital, Inc. (JCAP - Free Report) , another stock in the same industry, has yet to report results for the quarter ended September 2026.

This company is expected to post quarterly earnings of $0.70 per share in its upcoming report, which represents a year-over-year change of -5.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Jefferson Capital, Inc.'s revenues are expected to be $173.4 million, up 15% from the year-ago quarter.

MANCHESTER, N.H., Oct. 27, 2026 (GLOBE NEWSWIRE) -- Allegro MicroSystems, Inc. (“Allegro”) (Nasdaq: ALGM), a global leader in power and sensing solutions for motion control and energy-efficient systems, today announced a series of products for AI data centers and high-performance computing systems that increase power density while helping designers better manage energy use, heat dissipation, and equipment size.

As data centers move toward 800V power distribution and 48V cooling systems to address growing workloads, they require faster, more efficient and more compact semiconductor solutions.

Allegro’s expanded portfolio includes new wide-body higher isolation versions of the ACS37030 and ACS37002 current sensors, the AHV85311 Power-Thru™ isolated gate driver for silicon carbide power systems, and an improved version of the code-free QuietMotion™ A89333 48V motor driver.

Together, these products help data center designers:

Safely monitor and control high voltage 800V power systemsReduce energy lost during power conversionFit more power capability into limited board and rack spaceImprove the efficiency and reliability of 48V cooling fansSimplify system design and reduce development time Leading power solution provider Acbel Polytech has integrated Allegro’s high-speed current sensors into its latest high-density power solutions for AI data centers to support precise power control and system protection.

"As AI workloads continue to grow, data center power systems must deliver higher power density without compromising efficiency or reliability," said Rossi Lo, Head of Research and Development at Acbel. "As power distribution architectures evolve to support higher power and voltage levels, precise power control and rapid system protection are becoming increasingly critical, with current sensing playing a key role. By working closely with our industry partners and integrating new technologies into our power solutions, Acbel continues to advance our power solutions to meet the evolving requirements of next-generation AI data centers."

Supporting the Move to 800V Power Distribution

The ACS37030 and ACS37002 current sensors are now available in wide-body packages with a high comparative tracking index (CTI) mold compound enabling 6000V of galvanic isolation for enhanced electrical safety in high-voltage systems. The new sensors provide the fast, accurate current measurement needed to protect power supplies, battery backup units and capacitor banks when AI workloads create sudden changes in power demand.

The compact package also helps customers support 800V systems without increasing the size of the rack power shelf or power supply unit.

Allegro’s AHV85311 Power-Thru isolated gate driver for silicon carbide (SiC) FETs further simplifies high-voltage power designs by eliminating the need for a separate isolated power supply. This design simplification can reduce circuit-board space by up to 50%, helping designers build smaller power supplies and faster solid-state circuit breakers for 800V data center systems.

Improving the Efficiency of 48V Cooling Systems

Cooling is a major source of energy consumption in AI data centers. Allegro’s augmented QuietMotion™ A89333 motor driver helps improve the operation of 48V server cooling fans without requiring customers to develop complex motor-control software.

The A89333 features built-in control technology that automatically manages changing airflow conditions and supports the compact fans used in 1U, 2U and 4U servers. This helps system designers improve cooling efficiency, reduce development effort and maintain reliable operation as computing density increases. The same class of products are also designed to support pumps for liquid cooling systems.

Creating Value for Customers and Supporting Long-Term Growth

The shift to 800V power and 48V cooling is reshaping AI data center infrastructure. Allegro is using its expertise in current sensing, power management and motor control to help customers navigate this transition safely, efficiently and sustainably, advancing the all-electric society from the road to the rack.

“The key challenge for AI data centers is to use less energy and operate more efficiently while safely delivering significantly more computing power,” said Troy Coleman, Senior Vice President of Products at Allegro. “Our new products address these challenges at critical points in the system—from high-voltage power conversion and protection to intelligent cooling. This expands the value Allegro can provide as customers invest in the next generation of AI infrastructure.”

Based on third-party data and internal estimates, Allegro projects its serviceable addressable market (SAM) for AI data centers will reach $1.7 billion by fiscal 2031. Beyond AI data centers, the new products are well-suited for use in industrial automation, robotics and automotive on-board charging systems where efficient 48V operation, high-voltage isolation and compact design are increasingly important.

Allegro will showcase these technologies at electronica 2026 in Munich this November at Hall C6, Booth 129. For additional information, visit allegromicro.com/datacenter.

About Allegro MicroSystems

Allegro MicroSystems, Inc. is leveraging more than three decades of expertise in magnetic sensing and power ICs to propel electrification, automation, AI data center, and robotics forward with solutions that enhance efficiency, performance and sustainability. Allegro’s commitment to quality drives transformation across industries, reinforcing our status as a pioneer in “automotive grade” technology and a partner in our customers' success. For additional information, visit allegromicro.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts contained in this press release, including statements regarding the anticipated performance, customer benefits, cost savings, and future customer expectations and demands for products and projections related to future market size are forward-looking statements. These statements involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements.

In some cases, you can identify forward-looking statements by terms such as “will,” “expect,” “anticipate,” “plan,” “project,” “believe,” “estimate,” “potential,” or other similar expressions. No forward-looking statement is a guarantee of future performance, and you should avoid placing undue reliance on these statements.

Forward-looking statements are based on management’s current expectations and assumptions and are subject to risks and uncertainties. Actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors, including, but not limited to: our ability to successfully develop and commercialize new products; customer adoption rates of emerging technologies; the timing and success of customer design wins; our ability to compete effectively; and other risk factors identified in our Annual Report on Form 10-K for the year ended March 27, 2026, as updated by our Quarterly Reports on Form 10-Q and other filings with the Securities and Exchange Commission. All forward-looking statements speak only as of the date of this press release, and except as required by law, we assume no obligation to update them.

Media Contact
Andrew MacLellan
Corporate Communications
(617) 633-4909
[email protected]

Allegro Contact
Ram Sathappan
Vice President of Global Marketing and Applications
[email protected]

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/3442b2e1-bc6c-4b25-a3a8-989b39fb5295

Allegro MicroSystems Data Center Solutions Allegro MicroSystems Introduces New Power and Cooling Solutions for Sustainable 800V AI Data Centers

Euronet Worldwide (EEFT - Free Report) came out with quarterly earnings of $3.55 per share, missing the Zacks Consensus Estimate of $3.63 per share. This compares to earnings of $3.62 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of -2.20%. A quarter ago, it was expected that this electronic payments and transactions processor would post earnings of $2.97 per share when it actually produced earnings of $2.82, delivering a surprise of -5.05%.

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

Euronet Worldwide, which belongs to the Zacks Financial Transaction Services industry, posted revenues of $1.16 billion for the quarter ended September 2026, missing the Zacks Consensus Estimate by 1.87%. This compares to year-ago revenues of $1.15 billion. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Euronet Worldwide shares have lost about 16% since the beginning of the year versus the S&P 500's gain of 12.1%.

What's Next for Euronet Worldwide?While Euronet Worldwide has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Euronet Worldwide was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.61 on $1.17 billion in revenues for the coming quarter and $10.63 on $4.47 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial Transaction Services is currently in the bottom 37% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Fiserv (FISV - Free Report) , has yet to report results for the quarter ended September 2026. The results are expected to be released on November 3.

This financial services technology company is expected to post quarterly earnings of $1.72 per share in its upcoming report, which represents a year-over-year change of -15.7%. The consensus EPS estimate for the quarter has been revised 2.1% lower over the last 30 days to the current level.

Fiserv's revenues are expected to be $4.84 billion, down 1.6% from the year-ago quarter.

NEW YORK, Oct. 27, 2026 (GLOBE NEWSWIRE) -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Celsius Holdings, Inc. (NASDAQ: CELH) and certain of its officers.

This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Celsius securities between February 21, 2025 and June 3, 2026, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/cases/celsius-holdings-inc-celh-class_action_lawsuit.

Celsius Case Details

The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:

(1) Alani Nu products did not adequately disclose the cardiac risks associated with their consumption;(2) by marketing Alani Nu beverages to consumers under the age of 18, the Company targeted individuals who were particularly susceptible to the products’ known health risks;(3) consequently, there was a material risk that consumers of Alani Nu products could suffer potentially fatal adverse health events;(4) the disclosure of these risks was likely to significantly harm the Company’s business and reputation; and(5) as a result, Defendants’ positive statements concerning the Company’s business, operations, compliance policies, and prospects were materially false and misleading and/or lacked a reasonable basis.
What's Next for Celsius Investors?

A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm’s site: bgandg.com/cases/celsius-holdings-inc-celh-class_action_lawsuit. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Celsius you have until November 3, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.

No Cost to Celsius Investors

We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys’ fees, usually a percentage of the total recovery, only if we are successful.

Why Bronstein, Gewirtz & Grossman, LLC for Celsius Securities Class Action?

Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com

"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.

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

Contact Info

Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]

Attorney advertising.
Prior results do not guarantee similar outcomes.

Have you been paying attention to shares of Apple Hospitality REIT (APLE - Free Report) ? Shares have been on the move with the stock up 11.7% over the past month. The stock hit a new 52-week high of $18.45 in the previous session. Apple Hospitality REIT has gained 54.1% since the start of the year compared to the 3.5% move for the Zacks Finance sector and the 9.3% return for the Zacks REIT and Equity Trust - Other industry.

What's Driving the Outperformance?The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on August 5, 2026, Apple Hospitality REIT reported EPS of $0.28 versus consensus estimate of $0.5.

For the current fiscal year, Apple Hospitality REIT is expected to post earnings of $1.7 per share on $1.48 in revenues. This represents a 11.84% change in EPS on a 4.75% change in revenues. For the next fiscal year, the company is expected to earn $1.67 per share on $1.51 in revenues. This represents a year-over-year change of -1.76% and 2.08%, respectively.

Valuation MetricsThough Apple Hospitality REIT has recently hit a 52-week high, what is next for Apple Hospitality REIT? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.

Apple Hospitality REIT has a Value Score of B. The stock's Growth and Momentum Scores are D and A, respectively, giving the company a VGM Score of B.

In terms of its value breakdown, the stock currently trades at 10.7X current fiscal year EPS estimates, which is not in-line with the peer industry average of 11.9X. On a trailing cash flow basis, the stock currently trades at 11.7X versus its peer group's average of 12.4X. Additionally, the stock has a PEG ratio of 3.37. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks RankWe also need to look at the Zacks Rank for the stock, as this is even more important than the company's VGM Score. Fortunately, Apple Hospitality REIT currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Apple Hospitality REIT meets the list of requirements. Thus, it seems as though Apple Hospitality REIT shares could have potential in the weeks and months to come.

How Does APLE Stack Up to the Competition?Shares of APLE have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Sunstone Hotel Investors, Inc. (SHO - Free Report) . SHO has a Zacks Rank of #2 (Buy) and a Value Score of B, a Growth Score of C, and a Momentum Score of A.

Earnings were strong last quarter. Sunstone Hotel Investors, Inc. beat our consensus estimate by 6.67%, and for the current fiscal year, SHO is expected to post earnings of $0.99 per share on revenue of $984.72 million.

Shares of Sunstone Hotel Investors, Inc. have gained 11.8% over the past month, and currently trade at a forward P/E of 12.78X and a P/CF of 13.98X.

The REIT and Equity Trust - Other industry is in the top 39% of all the industries we have in our universe, so it looks like there are some nice tailwinds for APLE and SHO, even beyond their own solid fundamental situation.

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

The earnings report, which is expected to be released on November 3, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

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

Zacks Consensus EstimateThis private-market investment firm is expected to post quarterly earnings of $1.72 per share in its upcoming report, which represents a year-over-year change of +11.7%.

Revenues are expected to be $223.24 million, up 17% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 8.33% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

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

Price, Consensus and EPS Surprise

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

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

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

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

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

How Have the Numbers Shaped Up for Hamilton Lane?For Hamilton Lane, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%.

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

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

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

For the last reported quarter, it was expected that Hamilton Lane would post earnings of $1.52 per share when it actually produced earnings of $1.94, delivering a surprise of +27.63%.

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

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

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

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

Expected Results of an Industry PlayerAmong the stocks in the Zacks Financial - Investment Management industry, T. Rowe Price (TROW - Free Report) , is soon expected to post earnings of $2.58 per share for the quarter ended September 2026. This estimate indicates a year-over-year change of -8.2%. This quarter's revenue is expected to be $1.95 billion, up 3.2% from the year-ago quarter.

Over the last 30 days, the consensus EPS estimate for T. Rowe has been revised 1% down to the current level. Nevertheless, the company now has an Earnings ESP of +0.36%, reflecting a higher Most Accurate Estimate.

This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that T. Rowe will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times.

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

The technology company Marvell (NASDAQ: MRVL), which drew much attention this summer after Nvidia (NASDAQ: NVDA) CEO Jensen Huang opined it could soon hit a $1 trillion market capitalization, is scheduled to pay its final 2026 dividend this week on October 29.

Specifically, the semiconductor firm will yet again pay its investors $0.06 per share on Thursday, with the caveat that only those who bought MRVL equity before October 9 will be rewarded.

Given the declared amount, one would have needed to put approximately $27,466 to acquire 100 Marvell shares and receive $6.

Meanwhile, investors who purchased the equity at the very start of 2026 would have spent approximately $8,939 to take full advantage of the four quarterly dividends amounting to $24 for 100 MRVL – $0.24 per individual share.

MRVL stock price YTD chart. Source: Google Indeed, as can be inferred from the purchase needed to receive all four of this year’s dividends against only the fourth, it is clear that the semiconductor company would have yielded far more significant benefits to its backers than the dividends alone.

Despite dropping 26% from the early June highs and suffering an 18.55% correction since October 6, with the fall to $233.78 at the latest close, Marvell stock remains 161.53% in the green year-to-date (YTD).

Thus, buying 100 MRVL shares at the start of the year would have cost $8,939 and yielded $24 in dividends and $14,439 in unrealized profits for a position worth, at the October 26 close, $23,378.

What’s next for Marvell stock in 2026? Lastly, the future performance of Marvell stock appears uncertain, though with a certain bullish bias. 

Considering the company owes – much like most of big tech – its recent success to artificial intelligence (AI), it could either enjoy a powerful final leg of the year’s rally or a catastrophic plummet.

On the more optimistic side, both the prominent executives and the notable institutional analysts appear confident that the AI industry will continue advancing. 

MRVL itself is, for example, overall regarded as a ‘Strong Buy’ by Wall Street and is, on average, expected to rise 48.39% to $346.90 in the next 12 months, per the data Finbold retrieved from TradingView on October 27.

Wall Street sets Marvell stock price target for the next 12 months. Source: TradingView Similarly, American Ed Yardeni found earlier in October that, despite being relatively firmly in bubble ‘territory’, the AI ‘boom’ remains unlikely to turn into a bust in the foreseeable future.

Still, recent developments also provide a bear case. Even the wealthiest companies in the world appear to have overextended themselves to finance AI infrastructure to the point of needing to either raise debt or issue additional equity.

At the same time, at least some of the biggest technology firms in the world – Amazon (NASDAQ: AMZN) and Microsoft (NASDAQ: MSFT) being the most salient examples – allegedly purchased more hardware than they can use.

Ultimately, the Anthropic initial public offering (IPO) – expected before Thanksgiving following the latest filing – could prove the decisive event for the late 2026 trajectory of the AI sector and, by extension, Marvell stock.

Featured image via Shutterstock

The market expects Keurig Dr Pepper, Inc (KDP - Free Report) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on November 3, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

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

Zacks Consensus EstimateThis company is expected to post quarterly earnings of $0.64 per share in its upcoming report, which represents a year-over-year change of +18.5%.

Revenues are expected to be $7.36 billion, up 71% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.41% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

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

Price, Consensus and EPS Surprise

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

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

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

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

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

How Have the Numbers Shaped Up for Keurig Dr Pepper?For Keurig Dr Pepper, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -2.27%.

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

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

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

For the last reported quarter, it was expected that Keurig Dr Pepper would post earnings of $0.55 per share when it actually produced earnings of $0.57, delivering a surprise of +3.64%.

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

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

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

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

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

Lincoln Electric Holdings (LECO - Free Report) came out with quarterly earnings of $2.98 per share, beating the Zacks Consensus Estimate of $2.81 per share. This compares to earnings of $2.47 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +6.05%. A quarter ago, it was expected that this manufacturer of specialized welding products and other equipment would post earnings of $2.81 per share when it actually produced earnings of $2.93, delivering a surprise of +4.27%.

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

Lincoln Electric, which belongs to the Zacks Manufacturing - Tools & Related Products industry, posted revenues of $1.22 billion for the quarter ended September 2026, surpassing the Zacks Consensus Estimate by 3.97%. This compares to year-ago revenues of $1.06 billion. The company has topped consensus revenue estimates three times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Lincoln Electric shares have added about 7.9% since the beginning of the year versus the S&P 500's gain of 12.1%.

What's Next for Lincoln Electric?While Lincoln Electric has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Lincoln Electric was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.94 on $1.19 billion in revenues for the coming quarter and $11.18 on $4.71 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Manufacturing - Tools & Related Products is currently in the top 19% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Stanley Black & Decker (SWK - Free Report) , has yet to report results for the quarter ended September 2026. The results are expected to be released on November 4.

This tool company is expected to post quarterly earnings of $1.54 per share in its upcoming report, which represents a year-over-year change of +7.7%. The consensus EPS estimate for the quarter has been revised 0.9% lower over the last 30 days to the current level.

Stanley Black & Decker's revenues are expected to be $3.72 billion, down 1% from the year-ago quarter.

Key Takeaways GEHC's Q3 earnings are expected to rise 13.1% to $1.21 per share, with revenues growing 4.2% to $5.36 billion.Strong imaging demand, 11.1% organic order growth and a record $23.9B backlog could support GEHC's Q3 sales.PCS weakness, supply constraints and rising component costs may hurt GEHC's margins despite pricing actions.
GE HealthCare Technologies Inc. (GEHC - Free Report) is scheduled to report third-quarter 2026 results on Oct. 28, before the market opens. The figures are likely to reflect healthy demand for advanced imaging and pharmaceutical diagnostics, alongside efforts to recover from operational challenges in Patient Care Solutions (“PCS”). Investors will focus on order conversion, margin improvement and management’s progress in addressing supply constraints.

GEHC’s shares gained 2.1% during the three-month period through the end of September 2026, outperforming the Zacks Medical - Products industry’s 1.3% growth and the S&P 500 Index's 1.5% gain.

Image Source: Zacks Investment Research

Earnings Surprise HistoryGEHC beat on earnings in three of the trailing four quarters and missed in one, delivering an average surprise of 0.94%.

Image Source: Zacks Investment Research

Consensus Estimates and RevisionsThe Zacks Consensus Estimate for third-quarter earnings is pegged at $1.21 per share, while the same for revenues is pinned at $5.36 billion. The consensus estimates indicate year-over-year growth of 13.1% in earnings and 4.2% in sales.

Earnings estimates have remained unchanged over the past seven days, indicating no recent revisions. This stability provides a benchmark for evaluating whether operational performance and business mix can support expectations.

Image Source: Zacks Investment Research

Key Factors Shaping GEHC’s Q3 ResultsImaging and Pharmaceutical Diagnostics: Strong demand for differentiated imaging technologies and pharmaceutical diagnostics should have supported GEHC’s quarterly performance. In the second quarter, Pharmaceutical Diagnostics revenues grew 14.6% organically, supported by contrast media and U.S. radiopharmaceuticals. Management also reported continued progress in Flyrcado, with 545 doses delivered for the week ended July 24, approximately 40% above April levels. New customer additions likely supported further utilization growth, although the ramp-up might not have been linear.

Orders and Backlog Conversion: GEHC’s second-quarter organic orders increased 11.1% year over year, while book-to-bill reached 1.15x and backlog rose to a record $23.9 billion. Management indicated that strong orders and improved equipment shipment visibility supported confidence in the second half. This strength should have driven sales during the third quarter. However, longer-cycle imaging orders may contribute more meaningfully to 2027 revenues, limiting their immediate impact.

Patient Care Solutions: Organic revenues declined 13.5% in the second quarter because of operational fulfillment challenges, and segment operating profit was negative. PCS performance is likely to have remained weak during the third quarter. However, through better supply availability and shipment execution should have helped offset some weakness. Investors are likely to focus on any update related to the strategic review of PCS, including potential continued ownership or a sale.

Margins: Inflation in memory chips, oil, freight and other components pressured second-quarter margins, which is likely to have continued in the third quarter amid the continued AI boom and Iran war. The impact of GEHC’s pricing and cost actions to offset these pressures remains to be seen. Management expects the benefits to become more meaningful in the second half. Execution remains critical to achieving the company’s profitability objectives.

What Our Model Unveils for Goldman StockOur proven model does not conclusively predict an earnings beat for GEHC this time around. The combination of a positive Earnings ESP and Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, that is not the case here, as you can see below.

Earnings ESP: GE Healthcare has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Zacks Rank: GEHC carries a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to ConsiderSome stocks worth considering from the broader medical space are Glaukos (GKOS - Free Report) , Edward Lifesciences (EW - Free Report) and Globus Medical (GMED - Free Report) , each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Glaukos reported second-quarter 2026 earnings per share of 14 cents, which beat the Zacks Consensus Estimate by 50.00%. Revenues of $186 million surpassed the Zacks Consensus Estimate by 24.1%.

Glaukos has an estimated earnings growth rate of 268.8% for 2027. GKOS’ earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 25.87%.

Edward Lifesciences reported second-quarter 2026 adjusted EPS of 78 cents, which beat the Zacks Consensus Estimate by 6.85%. Revenues of $1.74 billion surpassed the Zacks Consensus Estimate by 2.45%.

Edward Lifesciences has an estimated long-term earnings growth rate of 12.7%. EW’s earnings surpassed estimates in three of the trailing four quarters and missed once, the average surprise being 4.49%.

Globus Medical reported a second-quarter fiscal 2026 adjusted EPS of $1.34, which beat the Zacks Consensus Estimate by 19.6%. Revenues of $790 million missed the Zacks Consensus Estimate by 0.35%.

Globus Medical has an estimated long-term earnings growth rate of 12.4%. GMED’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 27.88%.

In its upcoming report, Quanta Services (PWR - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $5.01 per share, reflecting an increase of 50.5% compared to the same period last year. Revenues are forecasted to be $10.99 billion, representing a year-over-year increase of 43.9%.

The current level reflects an upward revision of 0.8% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.

Before a company announces its earnings, it is essential to take into account any changes made to earnings estimates. This is a valuable factor in predicting the potential reactions of investors toward the stock. Empirical research has consistently shown a strong correlation between trends in earnings estimate revisions and the short-term price performance of a stock.

While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.

Given this perspective, it's time to examine the average forecasts of specific Quanta Services metrics that are routinely monitored and predicted by Wall Street analysts.

Analysts predict that the 'Revenues- Underground and Infrastructure' will reach $2.27 billion. The estimate points to a change of +55.5% from the year-ago quarter.

The consensus estimate for 'Total Backlog' stands at $55.04 billion. Compared to the current estimate, the company reported $39.17 billion in the same quarter of the previous year.

The average prediction of analysts places 'Backlog - Underground and Infrastructure' at $9.87 billion. The estimate is in contrast to the year-ago figure of $6.53 billion.

Based on the collective assessment of analysts, 'Operating income (loss)- Underground and Infrastructure' should arrive at $199.19 million. Compared to the current estimate, the company reported $122.22 million in the same quarter of the previous year.

View all Key Company Metrics for Quanta Services here>>>

Shares of Quanta Services have experienced a change of -12.5% in the past month compared to the -0.8% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), PWR is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Asbury Automotive Group (ABG - Free Report) came out with quarterly earnings of $6.16 per share, missing the Zacks Consensus Estimate of $6.46 per share. This compares to earnings of $7.17 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of -4.64%. A quarter ago, it was expected that this auto dealership chain would post earnings of $6.3 per share when it actually produced earnings of $6.82, delivering a surprise of +8.25%.

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

Asbury Automotive, which belongs to the Zacks Automotive - Retail and Whole Sales industry, posted revenues of $4.41 billion for the quarter ended September 2026, missing the Zacks Consensus Estimate by 0.41%. This compares to year-ago revenues of $4.8 billion. The company has not been able to beat consensus revenue estimates over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Asbury Automotive shares have lost about 25.6% since the beginning of the year versus the S&P 500's gain of 12.1%.

What's Next for Asbury Automotive?While Asbury Automotive has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Asbury Automotive was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #5 (Strong Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $6.80 on $4.5 billion in revenues for the coming quarter and $25.64 on $17.6 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Retail and Whole Sales is currently in the bottom 1% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

AutoNation (AN - Free Report) , another stock in the same industry, has yet to report results for the quarter ended September 2026. The results are expected to be released on October 30.

This auto retailer is expected to post quarterly earnings of $5.20 per share in its upcoming report, which represents a year-over-year change of +3.8%. The consensus EPS estimate for the quarter has been revised 5.8% lower over the last 30 days to the current level.

AutoNation's revenues are expected to be $7.06 billion, up 0.3% from the year-ago quarter.

Davidson Kahn Capital Management LLC bought a new position in Arthur J. Gallagher & Co. (NYSE:AJG – Free Report) in the 3rd quarter, according to its most recent filing with the Securities & Exchange Commission. The fund bought 100,200 shares of the financial services provider’s stock, valued at approximately $22,857,000. Arthur J. Gallagher & Co. makes up 9.0% of Davidson Kahn Capital Management LLC’s portfolio, making the stock its 3rd largest holding.

Other large investors have also bought and sold shares of the company. Apollon Wealth Management LLC raised its stake in shares of Arthur J. Gallagher & Co. by 22.8% in the third quarter. Apollon Wealth Management LLC now owns 16,579 shares of the financial services provider’s stock worth $3,782,000 after purchasing an additional 3,083 shares during the last quarter. Financial Management Professionals Inc. boosted its stake in Arthur J. Gallagher & Co. by 2,394.1% during the third quarter. Financial Management Professionals Inc. now owns 848 shares of the financial services provider’s stock worth $193,000 after buying an additional 814 shares during the period. Compass Ion Advisors LLC increased its stake in Arthur J. Gallagher & Co. by 1,026.7% in the third quarter. Compass Ion Advisors LLC now owns 28,144 shares of the financial services provider’s stock worth $6,420,000 after purchasing an additional 25,646 shares during the period. Trueblood Wealth Management LLC raised its position in Arthur J. Gallagher & Co. by 9.0% during the 3rd quarter. Trueblood Wealth Management LLC now owns 8,106 shares of the financial services provider’s stock valued at $1,924,000 after purchasing an additional 670 shares in the last quarter. Finally, Signaturefd LLC raised its holdings in shares of Arthur J. Gallagher & Co. by 20.2% in the 3rd quarter. Signaturefd LLC now owns 4,785 shares of the financial services provider’s stock valued at $1,127,000 after purchasing an additional 805 shares in the last quarter. 85.53% of the stock is owned by institutional investors.

Insider Activity at Arthur J. Gallagher & Co.
In other Arthur J. Gallagher & Co. news, CAO Richard Cary sold 1,000 shares of the business’s stock in a transaction on Tuesday, September 15th. The stock was sold at an average price of $252.86, for a total transaction of $252,860.00. Following the sale, the chief accounting officer directly owned 46,819 shares in the company, valued at approximately $11,838,652.34. The trade was a 2.09% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, General Counsel Walter Bay sold 12,000 shares of Arthur J. Gallagher & Co. stock in a transaction dated Monday, August 24th. The stock was sold at an average price of $270.08, for a total value of $3,240,960.00. Following the sale, the general counsel owned 71,292 shares of the company’s stock, valued at approximately $19,254,543.36. This represents a 14.41% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 28,500 shares of company stock valued at $7,562,950. 1.40% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In
A number of equities research analysts recently commented on the stock. Citigroup increased their target price on shares of Arthur J. Gallagher & Co. from $250.00 to $285.00 and gave the company a “buy” rating in a research report on Tuesday, August 4th. Keefe, Bruyette & Woods reaffirmed a “market perform” rating and issued a $250.00 price objective (down from $271.00) on shares of Arthur J. Gallagher & Co. in a report on Thursday, September 24th. Mizuho cut their price target on Arthur J. Gallagher & Co. from $292.00 to $271.00 and set an “outperform” rating on the stock in a research report on Wednesday, October 7th. Cantor Fitzgerald decreased their price target on Arthur J. Gallagher & Co. from $300.00 to $280.00 and set a “neutral” rating for the company in a report on Wednesday, October 7th. Finally, Evercore raised their price target on shares of Arthur J. Gallagher & Co. from $295.00 to $307.00 and gave the company an “outperform” rating in a research report on Thursday, October 8th. Sixteen investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $280.74.
Check Out Our Latest Stock Report on Arthur J. Gallagher & Co.

Arthur J. Gallagher & Co. Stock Performance
NYSE AJG opened at $266.55 on Tuesday. The company has a market cap of $68.32 billion, a P/E ratio of 44.20, a P/E/G ratio of 1.53 and a beta of 0.55. The stock has a 50-day moving average of $247.08 and a two-hundred day moving average of $232.48. Arthur J. Gallagher & Co. has a 1-year low of $190.75 and a 1-year high of $281.66. The company has a debt-to-equity ratio of 0.50, a current ratio of 1.05 and a quick ratio of 1.05.

Arthur J. Gallagher & Co. (NYSE:AJG – Get Free Report) last announced its quarterly earnings data on Thursday, July 30th. The financial services provider reported $2.84 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.81 by $0.03. Arthur J. Gallagher & Co. had a return on equity of 13.28% and a net margin of 9.96%. The business had revenue of $3.95 billion during the quarter, compared to analysts’ expectations of $4.01 billion. During the same quarter last year, the business posted $2.33 EPS. The business’s quarterly revenue was up 24.3% compared to the same quarter last year. As a group, analysts anticipate that Arthur J. Gallagher & Co. will post 13.16 EPS for the current year.

Arthur J. Gallagher & Co. Dividend Announcement
The firm also recently announced a quarterly dividend, which was paid on Friday, September 18th. Shareholders of record on Tuesday, September 8th were issued a $0.70 dividend. The ex-dividend date of this dividend was Tuesday, September 8th. This represents a $2.80 dividend on an annualized basis and a yield of 1.1%. Arthur J. Gallagher & Co.’s dividend payout ratio (DPR) is 46.43%.

(Free Report)

Arthur J. Gallagher & Co is a global insurance brokerage, risk management and consulting company. The firm helps businesses, public entities and individuals identify, manage and transfer risk through insurance and related services.

Its operations include retail insurance brokerage, employee benefits consulting, wholesale brokerage, reinsurance brokerage, claims administration and risk management consulting. Gallagher places commercial and personal insurance coverage and provides services related to property and casualty risks, health care, benefits, and other specialized insurance needs.

Founded in 1927 by Arthur J.

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27.10.2026 15:43, BAACEZ

Ministr průmyslu a obchodu Karel Havlíček v rozhovoru pro Ekonomický deník zmínil úvahy o regulaci cen elektřiny s ohledem na výraznou dynamiku růstu tržních cen energií na globálních trzích. Vláda dle jeho vyjádření bude chtít být připravena na krizové scénáře a zvažuje určité formy zastropování cen elektřiny. Nezmiňuje konkrétní opatření, uvádí možnost zastropování na straně výrobců nebo obchodníků, či uvádí možnosti snížení cen na straně regulované složky ceny (tedy na úrovni přenosu a distribuce elektřiny). Z rozhovoru na druhou stranu nevnímáme snahu na energetický sektor uvalit daň z mimořádných zisků („windfall tax“).

Úvahy o zastropování cen energií vytváří nejistoty a rizika pro ČEZ, potažmo celý energetický sektor. Bude záležet, zda by případné cenové stropy, resp. cenová regulace byla energetickým společnostem nějakým způsobem kompenzována. Ministr Havlíček v tomto směru hovoří neurčitě, naznačuje jak kompenzaci ze státního rozpočtu, tak ale i to, že by určitou zátěž nesly také energetické společnosti.

V krizovém období let 2022 – 2023 tehdejší vláda zavedla cenový strop na straně obchodníků s energiemi (nebo-li na straně maloobchodu), kdy cena silové elektřiny účtovaná koncovým zákazníkům nesměla překročit stanovený limit, přičemž obchodníkům byl posléze státem kompenzován rozdíl mezi jejich skutečně dosaženou prodejní cenou a cenovým stropem. Vedle toho byly na výrobce elektřiny uvaleny odvody z nadměrných tržeb, když zjednodušeně řečeno museli do státního rozpočtu odvádět rozdíl mezi realizovanou cenou silové elektřiny a stanovaným limitem (ČEZ takto v období 2022 - 2023 odvedl do státního rozpočtu cca 10 mld. Kč). Odvody z nadměrných tržeb byly zároveň doplněny i „windfall tax“.

Jinými slovy, tehdy vláda zadotovala domácnostem ceny elektřiny (a plynu) stanovenými stropy na straně maloobchodu (dopad na ČEZ, resp. další obchodníky v odvětví byl neutrální). Na druhou stranu vláda tento státní výdaj kompenzovala tím, že na ČEZ a další energetiky uvalila odvody z nadměrných tržeb a mimořádnou daň.

Aktuální neklid na energetických trzích nutí vládu znovu přemýšlet nad mimořádnými opatřeními. S ohledem na stav veřejných financí podle našeho názoru roste riziko, že případná regulace půjde i na vrub energetických firem.

Akcie ČEZ (BAACEZ) na pražské burze rostou o 0,80 % na 1379 Kč, na RM-SYSTÉMu přidávají 0,59 % na 1375 Kč.

Jan Raška, analytik, Fio banka, a.s.

ON Semiconductor reports Monday with a $5.7 billion acquisition pending, AI data center revenue set to double, and analysts rushing to raise estimates. Whether surging utilization and silicon carbide momentum finally push gross margins past 40% is the question that…

Third-quarter results from ON Semiconductor (NASDAQ:ON | ON Price Prediction) are due after the close on Monday, November 2. A $5.7 billion all-cash Synaptics (NASDAQ:SYNA) deal is pending, with AI data center sales accelerating. I’ll be watching whether this report can push margins past 40%.

AI Power Demand Meets a Bigger Ambition Last quarter, onsemi posted revenue of $1.6035 billion, up 9.2% year over year and ahead of the $1.5894 billion consensus. Non-GAAP EPS of $0.74 exceeded the $0.7153 estimate, and free cash flow of $425.4 million quadrupled. The Power Solutions Group led with $829 million in sales, up 19%.

Chief executive Hassane El-Khoury raised expectations: “AI data center remains our fastest-growing business, and we now expect revenue to more than double in 2026.” Management guided Q3 revenue to $1,650M to $1,750M and non-GAAP EPS to $0.81 to $0.93.

Since then, the Synaptics agreement has become an all-cash deal, which removes the volatility of the earlier all-stock structure. The deal is still expected to close in mid-2027.

Consensus Calls for Nearly 40% EPS Growth Metric Consensus Comparison Q3 2026 Normalized EPS $0.8778 +39.3% YoY vs. $0.63 Q3 2026 Revenue $1.70 billion +9.9% YoY vs. $1.5509 billion FY2026 EPS $3.2208 Higher versus $3.1187 90 days ago FY2026 Revenue $6.56 billion N/A FY2027 EPS $4.5630 +41.7% vs. FY2026 FY2027 Revenue $7.42 billion +13.0% vs. FY2026 The Q3 EPS consensus has climbed from $0.8363 90 days ago. Over the past 30 days, analysts made 21 upward revisions and 3 downward.

Gross Margin and AI Mix Will Decide the Quarter I’ll be watching gross margin first. Utilization rose to 83% from 77% in Q2, and management said each point adds 25 to 30 basis points to gross margin. Fab cycles of 4 to 6 months delay that benefit. A second round of price increases aims to offset rising costs for substrates, gold and external manufacturing.

AI data center mix comes next. Management guided the “other” category, which includes AI data center, up to the high teens in Q3. It expects automotive up low single digits and industrial relatively flat. Silicon carbide revenue in AI data center applications should grow nearly 60% in 2026. The power and cooling suppliers riding that same expansion are the subject of a free report on seven AI infrastructure names that aren’t chipmakers.

You should also watch supply. Lead times extended from about 27 weeks to somewhere around 32 weeks, and onsemi shipped AI orders ahead of automotive and industrial customers. I want to hear whether that allocation is declining.

Beyond that, look for updates on the Embedded Power Platform ramp, EliteSiC modules selected for Sungrow’s PowerTitan 3.0, and any disruption from selling off the Mountain Top and Philippines facilities. As for Synaptics, its 53.6% non-GAAP gross margin and 31% Core IoT growth explain why management expects the deal to lift margins.

Q4 Guidance Will Reset the Narrative Analysts already expect Q4 EPS of $0.9589 on $1.74 billion in revenue. Shares outperformed competitors on Monday, even as Morgan Stanley (NYSE:MS) warned that support for chip stocks is below current levels. To meet those expectations, onsemi has to show that AI mix and higher utilization are lifting margins. If the Q4 guide supports that path, the Synaptics deal looks like expansion built on a strong base.

Contact [email protected] for any questions or corrections.

Wall Street analysts expect Wingstop (WING - Free Report) to post quarterly earnings of $1.02 per share in its upcoming report, which indicates a year-over-year decline of 6.4%. Revenues are expected to be $193.31 million, up 10% from the year-ago quarter.

The current level reflects a downward revision of 0.2% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.

Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.

While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.

In light of this perspective, let's dive into the average estimates of certain Wingstop metrics that are commonly tracked and forecasted by Wall Street analysts.

The average prediction of analysts places 'Revenue- Royalty revenue, franchise fees and other' at $89.89 million. The estimate indicates a year-over-year change of +10.7%.

The consensus estimate for 'Revenue- Company-owned restaurant sales' stands at $36.42 million. The estimate suggests a change of +12% year over year.

It is projected by analysts that the 'Revenue- Advertising fees' will reach $67.02 million. The estimate suggests a change of +8.1% year over year.

Analysts forecast 'Total System-wide Restaurants' to reach 3,372 . The estimate is in contrast to the year-ago figure of 2,932 .

The collective assessment of analysts points to an estimated 'Total Franchise Restaurants' of 3,300 . The estimate compares to the year-ago value of 2,877 .

Analysts predict that the 'Number of Restaurants at end of period - International Franchised Activity' will reach 559 . Compared to the present estimate, the company reported 427 in the same quarter last year.

The combined assessment of analysts suggests that 'Total Domestic Restaurants' will likely reach 2,812 . The estimate is in contrast to the year-ago figure of 2,505 .

The consensus among analysts is that 'Number of Restaurants at end of period - Domestic Company-Owned Activity' will reach 71 . The estimate is in contrast to the year-ago figure of 55 .

Analysts expect 'Number of Restaurants at end of period - Domestic Franchised Activity' to come in at 2,741 . Compared to the present estimate, the company reported 2,450 in the same quarter last year.

Based on the collective assessment of analysts, 'Company-owned domestic same store sales growth' should arrive at -2.4%. Compared to the present estimate, the company reported 3.8% in the same quarter last year.

According to the collective judgment of analysts, 'New Restaurant Openings - International Franchised Activity' should come in at 27 . Compared to the present estimate, the company reported 22 in the same quarter last year.

Analysts' assessment points toward 'New Restaurant Openings' reaching 112 . Compared to the current estimate, the company reported 114 in the same quarter of the previous year.

View all Key Company Metrics for Wingstop here>>>

Over the past month, Wingstop shares have recorded returns of +20.7% versus the Zacks S&P 500 composite's -0.8% change. Based on its Zacks Rank #3 (Hold), WING will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Armstrong World Industries (AWI - Free Report) came out with quarterly earnings of $2.26 per share, missing the Zacks Consensus Estimate of $2.35 per share. This compares to earnings of $2.05 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of -3.83%. A quarter ago, it was expected that this ceiling and wall systems manufacturer would post earnings of $2.33 per share when it actually produced earnings of $2.36, delivering a surprise of +1.29%.

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

Armstrong World Industries, which belongs to the Zacks Building Products - Miscellaneous industry, posted revenues of $475.8 million for the quarter ended September 2026, surpassing the Zacks Consensus Estimate by 1.31%. This compares to year-ago revenues of $425.2 million. The company has topped consensus revenue estimates three times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Armstrong World Industries shares have lost about 13.8% since the beginning of the year versus the S&P 500's gain of 12.1%.

What's Next for Armstrong World Industries?While Armstrong World Industries has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Armstrong World Industries was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.99 on $431.66 million in revenues for the coming quarter and $8.39 on $1.78 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Building Products - Miscellaneous is currently in the bottom 14% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Owens Corning (OC - Free Report) , another stock in the same industry, has yet to report results for the quarter ended September 2026. The results are expected to be released on November 4.

This construction materials company is expected to post quarterly earnings of $2.96 per share in its upcoming report, which represents a year-over-year change of -19.4%. The consensus EPS estimate for the quarter has been revised 26.2% lower over the last 30 days to the current level.

Owens Corning's revenues are expected to be $2.6 billion, down 3% from the year-ago quarter.

Insurers gain speed and precision across the insurance lifecycle to launch products faster, assess and price risk more effectively, and resolve claims sooner

, /PRNewswire/ -- CONNECTIONS CONFERENCE -- Guidewire (NYSE: GWRE) today launched a new platform approach to agentic insurance, giving insurers an open, secure, and complete foundation for putting AI to work across the insurance lifecycle. By bringing together the applications, data, workflows, and controls insurers need, Guidewire sets out a practical model for moving from isolated AI experiments to governed agents that improve the speed and precision of insurance decisions and actions.

"Insurance is a business of decisions and actions made in context," said Mike Rosenbaum, chief executive officer, Guidewire. "By embedding agentic capabilities where insurers already run their core operations, Guidewire gives agents the context and controls they need to work with speed and precision on a proven durable foundation."

Guidewire agents run on the same trusted platform as its core applications and work with an insurer's current data and workflows. For agents to work effectively, they need to know what is true, what has already been done, and what they are allowed to do. The platform's controls enforce those boundaries with consistent security and a clear audit trail that remains current and secure through ongoing updates.

"We took a platform approach to AI, so agents run on the same platform as the core, with access to an insurer's context, data, and workflows," said Diego Devalle, chief product development officer, Guidewire. "The scalability and observability that already support the core now support agents too. That is why insurers can put them to work on live claims and policies, and why developers can build on the same open foundation."

The examples below represent a sample of Guidewire's growing portfolio of agents and agentic capabilities across the insurance lifecycle. Guidewire will continue to expand this portfolio, giving insurers more ways to put agents to work within the workflows and controls of the Guidewire platform.

Agentic underwriting

The speed of competition in the market is putting pressure on insurers to increase product and pricing agility. Guidewire shortens the path from product concept to market, giving underwriters clearer risk context and decision support within the work they already do.

Advanced Product Designer. Product managers can now move products from intent to market-ready in days, with impact analysis, gap detection, and explainable recommendations. Agentic tooling speeds up the work of designing and refining products*.PricingCenter. Actuaries can move sophisticated pricing models to live rates in days by validating rules, factors, and adjustments while maintaining the established efficiency of promotion to production. This keeps portfolio impact visible. Native integration with PolicyCenter connects pricing decisions directly to policy workflows.*Risk Accumulation App*. Underwriters and portfolio managers can see concentration and exposure by peril on a map, from a single submission to the whole book. They can check how one risk changes portfolio exposure without leaving their normal workflow.UnderwritingCenter*. Underwriters gain greater productivity and precision and can quote directly in UnderwritingCenter. It turns raw submissions into clear risk profiles and matches risks to portfolio strategy and appetite. Direct integration moves the quote into PolicyCenter, removing the risk of handoffs.ProNavigator. Underwriters use embedded AI and Guidewire-developed agents* for submission summaries, relevant risk insights, and next-best actions.Agentic claims

Claims teams face similar pressure to act quickly while increasing the precision of each decision. Guidewire puts agentic capabilities in the flow of work, from first notice of loss through adjudication and the broader indemnity supply chain.

Concierge. Claimants connect with autonomous agents by voice or chat. The agents capture full loss details and deliver decision-ready claims to ClaimCenter.ProNavigator. Adjusters move from context to decision faster with answers, suggestions, and next-best actions from an embedded AI assistant and Guidewire-developed agents.Workers' Compensation Solution. Claims teams can help injured workers recover sooner with a connected solution that links claims work with digital tools and AI."A claim goes faster when adjusters have the facts from the start," said Amy Mollin, vice president, product management, Guidewire. "We built agents into ClaimCenter, where the work already happens, to capture the loss, summarize the file, and flag risk. That gives adjusters time back for the decisions and conversations that matter most to claimants and injured parties."

"Insurers are moving beyond AI experimentation and looking for ways to put agentic AI to work across the insurance lifecycle," said Karlyn Carnahan, executive partner, Celent. "The next challenge is making these capabilities work within the systems and workflows that run the business. That is where the platform matters. By connecting agents to core data and processes, Guidewire gives insurers a practical path to deploy them in production with the controls they need."

Agentic platform and data

Guidewire gives technical teams the infrastructure and current insurance data to put agents into production and govern how they operate.

Agentic Framework. Insurers can use Guidewire-developed agents or build their own, select the model for each task, enforce guardrails, evaluate behavior, and monitor costs.Developer Assistants. Guidewire-aware assistants help technical teams update code, workflows, and rules faster.DevSpace*. Developers start sooner in preconfigured cloud environments with built-in Guidewire tooling.Guidewire Data Platform. Policy, claims, and billing data come together in one place, so agents and predictive models draw on the same data.Data Studio and Explore. Curated P&C datasets are ready to use on day one. Insurers can also draw business insight from their own data.Kaleidoscope*. Predictive models tuned to an insurer's own book can also draw on industry and third-party data to fill gaps. Federated learning trains the models where each party's data resides, so records don't move and privacy is preserved.*"Innovation is about reimagining how work gets done and giving our people the capabilities to make that possible," said Tatjana Lalkovic, Chief Technology Officer, Definity. "Guidewire Developer Assistants bring relevant context directly into the development process, helping our teams move from idea to implementation faster while keeping human judgment and our standards at the center. It's a great example of how we're using AI to increase the pace of innovation and deliver value to our business, brokers, and customers sooner."

Guidewire is also using AI to transform how it delivers programs with customers. Across professional services, Guidewire has embedded AI into its implementation methodology, materially reducing migration and implementation timelines. This enables insurers to put new capabilities in the hands of claims and underwriting teams sooner.

Guidewire is demonstrating these advancements this week at Guidewire Connections in Las Vegas, where over 3,000 insurers and partners from 36 countries have gathered for the company's annual customer conference.

Certain release features may not be available in all regions.

*Indicates product feature is available for Early Access customers only or Guidewire Roadmap Features.

Connections keynote sessions will be livestreamed and available on-demand. To view the livestream and learn more about Guidewire's new platform approach to agentic insurance, visit the Guidewire website.

About Guidewire

Guidewire is the platform P&C insurers trust to engage, innovate, and grow efficiently. More than 570 insurers in 44 countries, from new ventures to the largest and most complex in the world, rely on Guidewire products. With core systems leveraging data and analytics, digital, and artificial intelligence, Guidewire defines cloud platform excellence for P&C insurers.

We are proud of our unparalleled implementation record, with 1,700+ successful projects supported by the industry's largest R&D team and consulting partner ecosystem. Our marketplace represents the largest partner community in P&C, where customers can access hundreds of applications to accelerate integration, localization, and innovation.

For more information, please visit www.guidewire.com and follow us on X and LinkedIn.

Media Contact:

Melissa Cobb
Director, Public Relations
Guidewire Software, Inc.
+1.650.464.1177
[email protected]

NOTE: For information about Guidewire trademarks, visit www.guidewire.com/legal-notices.

Cautionary Language Concerning Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding the general availability of features, programs, services, and tools mentioned in this press release (including, without limitation, Advanced Product Designer, PricingCenter, Risk Accumulation App, UnderwritingCenter, ProNavigator, DevSpace, and Kaleidoscope). These forward-looking statements are made as of the date they were first issued and were based on current expectations, estimates, forecasts, and projections as well as the beliefs and assumptions of management. Words such as expect, anticipate, should, believe, hope, target, project, goals, estimate, potential, predict, may, will, might, could, intend, variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond Guidewire's control. Guidewire's actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to, risks detailed in Guidewire's most recent Forms 10-K and 10-Q filed with the Securities and Exchange Commission as well as other documents that may be filed by Guidewire from time to time with the Securities and Exchange Commission. In particular, the following factors, among others, could cause results to differ materially from those expressed or implied by such forward-looking statements: fluctuations in our quarterly and annual operating results; our reliance on sales to, and renewals from, a relatively small number of large customers and the related substantial negotiating leverage of these customers; the length and complexity of our sales, product development, and implementation cycles; our competitive environment and changes thereto; our ability to effectively manage international expansion; issues in the development, adoption, deployment, workforce use and maintenance of artificial intelligence ("AI") and machine learning technologies combined with an uncertain and evolving regulatory environment; long-term pricing commitments made in our customer contracts based on available information; our ability to expand adoption of our cloud-based products and services, and the risk that any of our established products may fail to satisfy customer demands or maintain market acceptance; the impact of seasonal and other variations related to our customer agreements and revenue recognition on our results of operations, ARR, and cash flows; our ability to develop, introduce, and market new and enhanced versions of our products and services; our ability to retain existing and hire new personnel, including managing a hybrid and geographically distributed workforce; errors or failures in our products or services, as well as service interruptions or failure of the third-party service providers we rely on; our dependence on the quality of our professional services and third-party global system integrator partners to sell our products and services; the impact of changes in our revenue mix, and the realization of lower gross margins from our services, subscription, and support revenues compared to our license revenue; the impact of global events (including, without limitation, macroeconomic and geopolitical conditions, ongoing global conflicts, inflation, high interest rates, and general economic volatility); data security breaches of our cloud-based services and products or unauthorized access to our employees' or our customers' data; the impact of evolving regulations and laws (including, without limitation, security, privacy, AI and machine learning, tax regulations and laws, and accounting standards); assertions by third parties that we violate their intellectual property rights; stock price volatility regardless of our operating performance; and other risks and uncertainties. Past performance is not indicative of future results. The forward-looking statements included in this press release represent Guidewire's views as of the date of this press release. Guidewire anticipates that subsequent events and developments will cause its views to change. Guidewire undertakes no intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. These forward-looking statements should not be relied upon as representing Guidewire's views as of any date subsequent to the date of this press release.

SOURCE Guidewire Software

SAN DIEGO, Oct. 27, 2026 (GLOBE NEWSWIRE) -- The law firm of Robbins Geller Rudman & Dowd LLP announces that purchasers or acquirers of D-Wave Quantum Inc. (NASDAQ: QBTS) securities between February 26, 2026 and August 25, 2026, inclusive (the “Class Period”), have until December 15, 2026 to seek appointment as lead plaintiff of the D-Wave class action lawsuit. Captioned Fessler v. D-Wave Quantum Inc., No. 26-cv-11953 (N.D. Cal.), the D-Wave class action lawsuit charges D-Wave as well as certain of D-Wave’s top current and former executives with violations of the Securities Exchange Act of 1934.

If you suffered substantial losses and wish to serve as lead plaintiff of the D-Wave class action lawsuit, please provide your information here:

https://www.rgrdlaw.com/cases-d-wave-quantum-inc-class-action-lawsuit-qbts.html

You can also contact attorneys Ken Dolitsky or Michael Albert of Robbins Geller by calling 800/851-7783 or via e-mail at [email protected].

CASE ALLEGATIONS: D-Wave engages in the development and delivery of quantum computing systems, software, and services.

The D-Wave class action lawsuit alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (i) defendants materially overstated D-Wave’s business and financial prospects; (ii) the foregoing was reasonably likely to negatively impact D-Wave’s business and reputation; and (iii) as a result, defendants’ public statements were materially false and misleading at all relevant times.

On August 6, 2026, D-Wave announced its financial results for the second quarter of 2026, allegedly reporting revenue of just $3.08 million, compared to $3.1 million for the same period in the prior year, falling short of analyst expectations ranging from $4.03 million to $4.08 million. On this news, the price of D-Wave stock fell more than 9%, according to the complaint.

On August 25, 2026, D-Wave issued a press release “announc[ing] that John Markovich is retiring and thus resigning from his position as Chief Financial Officer effective September 2, 2026.” On this news, the price of D-Wave stock fell nearly 10%, according to the complaint.

THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired D-Wave securities during the Class Period to seek appointment as lead plaintiff in the D-Wave class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the D-Wave class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the D-Wave class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the D-Wave class action lawsuit.

ABOUT ROBBINS GELLER: Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities fraud and shareholder rights litigation. Our Firm ranked #1 on the most recent ISS Securities Class Action Services Top 50 Report, recovering more than $916 million for investors in 2025. This marks our fourth #1 ranking in the past five years. And in those five years alone, Robbins Geller recovered $8.4 billion for investors – $3.4 billion more than any other law firm. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world, and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information:

https://www.rgrdlaw.com/services-litigation-securities-fraud.html

Past results do not guarantee future outcomes. 
Services may be performed by attorneys in any of our offices. 

Contact:
        Robbins Geller Rudman & Dowd LLP
        Ken Dolitsky
        Michael Albert
        655 W. Broadway, Suite 1900, San Diego, CA 92101
        800/851-7783
        [email protected]

Seagate stock shed 30% in a single month even as revenue surged 48% and contracts locked in demand through 2028, leaving investors to decide whether the selloff is a warning or the setup of the year.

Seagate Technology (NASDAQ:STX | STX Price Prediction) closed at $642.14. The 24/7 Wall St. price target is $794.02, which means 23.65% upside over the next 12 months. The stock gets a buy rating with 90% confidence, which counts as high conviction.

24/7 Wall St. Price Target Summary Metric Value Current Price $642.14 24/7 Wall St. Price Target $794.02 Upside/Downside 23.65% Recommendation BUY Confidence Level 90% On the July call, CEO Dave Mosley said “data center demand now represents approximately 90% of our exabyte shipments” and that most nearline exabytes are “allocated into calendar 2028.” The selloff prices in a cycle peak that Seagate’s contracts don’t yet show.

Seagate Lost 30% in a Month Despite Record Results Shares fell 7.86% on October 22, 7.05% over the week and 30.13% over the past month. They are still up 133.96% year to date. The stock sits 43.8% below its 52-week high of $1,143.27 and about 197% above its low of $216.39. This week, Morgan Stanley (NYSE:MS) made a bullish case for battered Seagate and Western Digital (NASDAQ:WDC) shares, according to Barron’s.

Fundamentals improved: fiscal Q4 revenue reached $3.63B, up 48.5% and ahead of the $3.49B consensus. Non-GAAP EPS came in at $5.71 against a $5.09 estimate, the fourth straight beat.

Non-GAAP gross margin expanded to 52.7% from 37.9%. For fiscal Q1, management guided to revenue of $4.10B ± $100M and EPS of $7.30 ± $0.20.

Why Bulls See $1,200 Ahead HAMR technology is the growth engine. Exiting fiscal 2026, HAMR products made up about 40% of Seagate’s nearline exabyte run rate. Mozaic 4, which supports up to 44 terabytes per drive, is scaling up with the two largest cloud providers. Mozaic 5 is on track for qualification shipments in late calendar 2027.

Because each disk holds more data, profit grows without adding factory output. Management said incremental gross margin is “well above the 60% figure.” Agentic AI could add more demand as KV cache data spills onto hard drives, and so could physical AI, though Mosley called both “very early days.”

Wall Street mostly agrees: 4 Strong Buys, 18 Buys, 2 Holds and 1 Strong Sell. The bull case hits $1,201.97, an 87.18% gain.

Risks That Could Stall the Storage Upcycle Hard drives have a long history of boom-and-bust cycles, and Seagate depends heavily on a small group of hyperscalers whose capex plans drive the whole order book (we profiled seven of the non-chip suppliers riding that same expansion, from power to cooling to storage, in a free report).

Other risks include dilution from the Exchangeable Senior Notes due 2028, tariffs, exposure to the Middle East conflict and settlement payments to the Commerce Department’s BIS. Still, contracts set product configuration and pricing for all of calendar 2027, and Seagate paid down $1.40B of debt. The bear case sits at $614.24, a decline of just 4.34%.

Seagate Trades Below Western Digital’s Multiple Western Digital is the other half of the HDD duopoly. In fiscal Q1, its revenue grew 55.46% and non-GAAP gross margin hits 58.1%. It trades near 23x forward earnings, compared with our about 18x for Seagate.

Micron Technology (NASDAQ:MU) gives a memory-side contrast. At about 7x forward earnings, it shows how cheaply the market prices AI hardware it views as cyclical.

Company Forward P/E TTM Operating Margin Seagate 18x 43.1% Western Digital 23x 43.6% Micron 7x 80.7% Seagate’s margins are almost the same as Western Digital’s, yet it trades at a lower multiple. That makes the 24/7 Wall St. price target look reasonable, and arguably conservative.

Contracted Demand Supports a BUY The 24/7 Wall St. price target of $794.02 carries a buy rating and 90% confidence. The critical factor is supply that is already allocated into 2028.

The thesis improved if fiscal Q1 results land near guidance and Mozaic 4 hits its milestones. It weakens if hyperscalers start shortening their planning horizons. Those are the signals to watch from here.

Year 24/7 Wall St. Price Target 2026 $794.02 2027 $910.18 2028 $1,050.87 2029 $1,139.69 2030 $1,207.07 The outlook depends on Seagate keeping its HAMR roadmap on track. A sharp cut in hyperscaler capex is the biggest downside risk, while demand from agentic and physical AI is the biggest source of upside.

Contact [email protected] for any questions or corrections.

Apple just logged its ninth straight earnings beat while Siri AI sits at the center of a battle between surging services growth and mounting memory costs that could push the stock in opposite directions.

The 24/7 Wall St. price target for Apple (NASDAQ:AAPL | AAPL Price Prediction) is $398.25 over the next 12 months. That means 15.77% upside from the $343.99 October 21 close. Shares traded at $345.36 late this morning. Our rating is buy, and the model’s confidence is high.

Metric
Value

Current Price
$345.36

Price Target from 24/7 Wall St.
$398.25

Upside/Downside
15.77%

Recommendation
BUY

Confidence Level
90%

Our high confidence comes from how broad Apple’s growth has become. iPhone, Mac and Services all grew by double digits last quarter. The new Siri AI also gives Apple’s installed base of more than 2.5 billion active devices a reason to upgrade their hardware and pay for more services.

Nine Straight Beats Keep Apple Near Its 52-Week High
Apple is up 27.39% year to date and 31.92% over the past year. It has gained 1.88% over the past month. Shares sit about 6% below the 52-week high of $348.15 and well above the low of $242.76.

For fiscal Q3, Apple reported revenue of $109.42 billion (+16.4% YoY). EPS came in at $2.02 against a $1.89 estimate, the company’s 9th straight EPS beat. This week, Bloomberg called Apple investors’ favorite AI hedge because of its cash flow.

CNBC reported that the iPhone Duo is in short supply. The July call was also Tim Cook’s last, and John Ternus was named to lead future calls.

Why Bulls See Siri AI Pushing Apple Past $450
Cook described Siri AI as “a completely reimagined version of Siri that is profoundly capable, deeply personal, and integrated seamlessly across our platforms.” Apple can also make money from it through iCloud+ upgrades, where users “can buy up the stack.”

Services already brought in $30.7 billion (+12%), with more than one and a half billion paid subscriptions. Mac revenue rose 29% as customers use it for on-device AI work. A new $100 billion buyback and a dividend raised to $0.27 also support the stock.

Among analysts, 6 rate it Strong Buy and 19 rate it Buy. The bull case hits $452.19, a 31.46% gain.

Memory Costs and Supply Limits Could Stall the Rally
Cook called memory pricing “a 100-year flood,” and Apple has reluctantly raised prices. Guidance calls for a September-quarter gross margin of 47%-48%, which includes one-time tariff refunds.

Last quarter, those refunds added 2pp to margin and $0.11 to EPS. Siri AI’s launch in the EU and China still needs regulatory work, and 6 analysts rate the stock Sell or Strong Sell.

Operating expenses rose 23% because of R&D spending that funds AI. Cook also said the supply crunch is “a demand forecast issue.” The bear case hits $337.78, a modest 1.8% decline.

Is Apple Pricier Than Microsoft and Alphabet?

Company
P/E
FCF Yield
Net Margin

Apple
45x
1.97%
26.9%

Microsoft
30x
1.69%
40.3%

Alphabet
15x
1.76%
32.8%

The closest megacap AI platform to compare with Apple is Microsoft (NASDAQ:MSFT). Its Azure business grew 43%, but Q4 free cash flow fell 23.19% as capex rose 109.63%.

Direct competition with Apple comes from Alphabet (NASDAQ:GOOGL) through Android and Gemini. Its low P/E is inflated by a $99.03 billion gain on equity securities. Alphabet’s Q2 free cash flow was negative $5.855 billion, and it suspended buybacks.

Apple has the highest multiple of the three. It is also the only one funding AI without giving up shareholder returns. Next to these peers, the 24/7 Wall St. price target looks reasonable.

Bottom Line: Siri AI Tips the Scale Toward Upside
The 24/7 Wall St. price target remains at $398.25, with a buy rating and high confidence. The key driver is earnings growth that is still outpacing Apple’s multiple.

The outlook improves if Siri AI drives more iPhone upgrades and iCloud+ sign-ups. The outlook weakens if memory costs push gross margin below guidance. On balance, our model points to further upside for Apple.

Looking further out, here is where the model projects Apple trading if current growth trends hold.

Year
Price Target from 24/7 Wall St.

2026 (Dec.)
$349.65

2027 (Oct.)
$397.25

2028 (Oct.)
$443.95

2029 (Oct.)
$491.53

2030 (Oct.)
$523.62

The projections rest on Apple continuing to execute on its current strategy. By 2030, a strong Siri AI launch could lift the stock toward $625.31, while persistent margin pressure points closer to $367.52.

Contact [email protected] for any questions or corrections.

-

Over 300 independently owned Key Food locations across the Northeast and Florida join the Uber Eats marketplace, bringing fresh groceries and everyday essentials to customers on-demand

SAN FRANCISCO--(BUSINESS WIRE)--Uber Technologies, Inc. (NYSE: UBER) and Key Food Stores Co-Operative, Inc., a prominent chain of family-owned and -operated supermarkets, today announced a partnership that brings grocery delivery from more than 300 Key Food member stores across the Northeast and Florida to Uber Eats, giving customers more ways to shop their local supermarkets. The partnership builds on Uber Eats' continued investment in grocery and retail, as the company grows its footprint with national and regional supermarket brands across the country.

Customers can shop from participating stores in Key Food’s Family of Supermarkets, including Key Food, Food Universe, SuperFresh, The Food Emporium, Food Dynasty, and more, directly through the Uber Eats app. Customers can access a wide selection of fresh produce, meat, seafood, pantry staples, household essentials and more, with on-demand and scheduled delivery options.

“Key Food’s stores understand the neighborhoods they serve, and bringing these retailers to Uber Eats gives customers greater access to the local grocery selection they know and rely on,” said Prashant Garg, Head of North America, Uber Eats. “Whether they’re scheduling a grocery order on the way home from work or need an ingredient they forgot at the store, this gives shoppers more choice in where they shop for groceries, and more flexibility in how they get them.”

Founded in Brooklyn in 1937, Key Food is a Co-Operative of Supermarkets serving communities throughout the Northeast and Florida. Each member independently owns and operates its stores, enabling retailers to tailor their assortments and service to the needs of their local customers.

“Our members are the foundation of the Co-Op, with deep roots in their communities and lasting relationships with the customers they serve,” said Dean Janeway, CEO of Key Food Stores Co-Operative, Inc. “Our partnership with Uber Eats is a strategic step in evolving how we serve our customers, expanding our digital footprint, supporting our members’ growth, and making it more convenient for shoppers to access their neighborhood Key Food stores.”

How it Works

Shopping your local participating store in the Key Food Family of Supermarkets through Uber Eats is simple:

Open the Uber Eats app and tap “Grocery.”Select an available participating store and browse a wide assortment of groceries and household items.Add items to your cart, choose your delivery time and place your order.Track your delivery in real time.The partnership is open to eligible Key Food Co-Op stores interested in joining the Uber Eats marketplace. As the rollout continues, member stores can opt in to bring on-demand delivery to their customers through Uber Eats.

About Uber

Uber’s mission is to create opportunity through movement. We started in 2010 to solve a simple problem: how do you get access to a ride at the touch of a button? More than 79 billion trips later, we're building products to get people closer to where they want to be. By changing how people, food, and things move through cities, Uber is a platform that opens up the world to new possibilities.

About Key Food Stores Co-Operative, Inc.

Founded in Brooklyn in 1937, Key Food Stores Co-Operative, Inc. includes over 480 family-owned and operated supermarkets with $5.7 billion in annual sales. In addition to Key Food, these stores operate under various other banners including; Food Universe, The Food Emporium, and SuperFresh in all five boroughs of NYC, Long Island New York, upstate New York, New Jersey, Connecticut, Massachusetts, Pennsylvania, Rhode Island, Maryland and Florida. Please visit www.keyfood.com for more information.

More News From Uber Technologies, Inc.

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Amazon's stock has barely budged this year, yet the business underneath it is accelerating in ways that make most rivals look structurally overpriced. One looming risk, though, could unravel the entire thesis if a single market condition shifts.

I added to my Amazon (NASDAQ:AMZN | AMZN Price Prediction) position again. Every earnings report gives me another reason to keep doing it. The stock sits at $249.09, up only 7.92% year to date, while the business behind it speeds up. That gap is why I keep adding.

Three Moats Protecting Amazon’s Margins
My thesis is simple. Amazon controls its own costs in AI. The company designs its own chips, offers every major AI model through one platform, and uses robots to move physical goods at a scale I have not seen any retailer match.

Start with custom silicon. Amazon’s chips business runs at an annual revenue rate of over $25 billion, growing at triple-digit rates. Graviton is used by 98% of Amazon’s top 1,000 EC2 customers, and Anthropic and OpenAI both signed multi-year Trainium commitments measured in gigawatts. Cheaper in-house chips helped AWS post a 39% operating margin on $42.2 billion in revenue, which grew 36.7%. That was its fastest growth in 18 quarters.

Second, Bedrock works with any model. It added 10+ foundation models, including OpenAI GPT and Anthropic Claude, and customers spent more on it in Q2 than in all prior quarters combined. CEO Andy Jassy put it simply: “There is not going to be one model to rule the world.” Amazon gets paid whichever model customers pick. An AWS backlog of $496 billion tells me enterprises agree.

Third, automated logistics. Amazon delivered over 40% more items same day or overnight in the first half of the year, plans to more than double its robotic-arm fleet in 2026 and launched a next-generation Proteus robot. Operating income rose 43.24% to $27.46 billion while revenue grew 19.62%. Profits growing faster than sales is exactly what I want to own.

Why My Money Skips Walmart and Microsoft
Walmart (NASDAQ:WMT) trades at a P/E of 44, compared with Amazon’s 35. Walmart’s operating margin is 4.18% and Amazon’s is 11.16%, and Walmart’s revenue grew 5.94% last quarter. I see no reason to pay more for slower growth and lower margins with no cloud business attached.

The stronger rival is Microsoft (NASDAQ:MSFT), with Azure growing 43%. Still, Microsoft trades at 8.94 times book value, while Amazon trades at 6.54. Its More Personal Computing segment also contracted 4%. Every Amazon business line grew, from advertising at 26% to physical stores at 4%.

Free Cash Flow Is the Risk I Watch Most
Amazon now expects about $220 billion in 2026 capital spending, up from about $200 billion, because memory costs rose. Free cash flow for the past 12 months turned negative, at -$7.6 billion. Q2 GAAP EPS of $5.75 also included a $53.4 billion one-time gain on Amazon’s Anthropic stake, recorded before taxes. If AI demand cools, that spending leaves Amazon with idle capacity.

I still hold my thesis because Amazon builds against demand customers have already signed for. Jassy said most capacity coming online in 2027 is already reserved, most AI capacity sits under contracts of at least five years, and servers pay for themselves in a little under three years. All that spending has to be powered, cooled and connected by somebody, and we rounded up seven suppliers riding the same expansion in a free AI infrastructure report. Debt-to-equity of 0.37 leaves room to fund the expansion.

What Keeps My Buy Button Active
Q3 guidance calls for operating income of $22.5 billion to $26.5 billion, up from $17.4 billion a year earlier. Jassy now believes AWS could become “a trillion-dollar annual revenue business for us in time.” Amazon builds the chips, hosts the models and delivers the boxes, and I plan to keep buying more of all three.

Contact [email protected] for any questions or corrections.