TJX má silný provoz, ale akcie po 34% růstu za rok se obchodují asi za 32násobek letošních zisků. Tržby ve stejných prodejnách v 1. čtvrtletí vzrostly o 6 % a hrubá marže se zvedla na 31,3 %.
The TJX Companies (TJX +0.47%) has earned its reputation for providing value to both its customers and its long-term shareholders. Yet with shares up 34% over the past year and the stock now trading at roughly 32 times this year's earnings estimates, the value proposition for investors may be fading.
Operationally, the business remains strong. In the first quarter, same-store (comp) sales rose 6%, driven by higher customer traffic and spending per visit. The balanced growth across TJ Maxx, Marshalls, and HomeGoods, which posted an impressive 9% comp, shows the company continues to attract a broad range of customers.
The company's "treasure hunt" shopping experience has proven a durable advantage that resonates with younger shoppers. These Gen Z and millennial shoppers now account for a disproportionate number of its new customers, according to management.
TJX's margins are also expanding at a time when many retailers are facing pressure, with gross margin expanding by nearly 2 percentage points, reaching 31.3% in the quarter.
Image source: Getty Images
An opportunistic buying model The retailer's track record stems from its ability to capitalize on shifting fashion trends. While most companies struggle with excess inventory, the off-price retailer takes advantage, acquiring merchandise at deep discounts during times of distress.
The company leverages its relationships with over 21,000 vendors, giving it unmatched access to deals on brand-name goods. This allows TJX to sell brand-name and designer merchandise at prices typically 20% to 60% below those of traditional retailers. This value proposition continues to drive consistent traffic to its stores.
With over 5,200 stores globally, extending the growth story requires creativity. Management has outlined a pathway to an additional 1,800 stores within its current markets.
A significant portion of this growth is focused on the U.S. home furnishings market, which management estimates is worth over $30 billion. The company recently raised its long-term store target for HomeGoods in the U.S. from 1,000 to 1,800 locations.
This banner, along with its growing Homesense format, offers a source of profitable growth to complement its maturing apparel business while facing limited off-price competition.
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A high price for quality While the domestic growth story is compelling, international stores continue to report below-average profitability. TJX International's segment profit margin was just 4.6% in the first quarter, compared with the low-to-mid-teens for the rest of the business.
The company generated nearly $5 billion in free cash flow last year and maintains a strong balance sheet with $2.7 billion in net cash. This financial flexibility allows management to be patient, enabling it to invest in its next leg of growth, which could include entering a new category to expand its total addressable market.
After its strong run, the company needs to deliver on continued growth and margin expansion to drive returns from here. TJX remains one of the best-run companies in retail, and the off-price category remains a compelling space to invest, but at over 30 times earnings, patience may be the best approach.
TJX International v 1. čtvrtletí fiskálního roku 2027 zvýšila srovnatelné tržby o 4 % díky Evropě a Austrálii. Firma otevřela první obchod ve Španělsku a plánuje další expanzi.
Key Takeaways TJX International posted a 4% comp sales gain, led by strong trends in Europe and Australia.TJX opened its first store in Spain and plans more locations after encouraging initial customer response.TJX sees room for 1,700 more stores and is exploring joint ventures and strategic investments. The TJX Companies, Inc. (TJX - Free Report) appears to be strengthening its position to capture additional share in overseas markets, aided by steady momentum across Europe and Australia. In the first quarter of fiscal 2027, TJX International posted a 4% comparable sales increase, while management highlighted strong trends in Europe and particularly robust demand in Australia.
A notable development was the opening of the company’s first store in Spain. Management described the initial customer response as highly encouraging and indicated plans to add more locations in the country this year. The expansion suggests confidence that the off-price retail model can resonate with consumers beyond TJX’s existing markets.
The company also sees opportunities through partnerships. Its joint venture with Grupo Axo in Mexico is progressing well, combining TJX’s merchandising expertise with local operating capabilities. Though still in the early stages, management expressed optimism about the long-term potential of the Mexican market. Similarly, TJX remains constructive on its investment in Brands For Less in the Middle East despite geopolitical challenges.
Importantly, management emphasized that the company now operates in 10 countries and believes there is room for more than 1,700 additional stores within its existing markets. TJX is exploring adjacent countries and multiple expansion avenues, including joint ventures and strategic investments.
These initiatives suggest TJX is leveraging both organic expansion and partnerships to deepen its international footprint and pursue greater market share overseas.
TJX and Its Peers Seek Growth Through Store ExpansionRoss Stores (ROST - Free Report) remains focused on domestic expansion. With the Northeast emerging as a key growth area, Ross Stores continues to broaden its footprint across new and existing U.S. regions. Ross Stores plans to open about 110 new stores this year and sees opportunities to further penetrate underpenetrated markets, underscoring its emphasis on capturing additional market share within the United States.
Burlington Stores, Inc. (BURL - Free Report) remains focused on strengthening its domestic footprint. Supported by strong productivity initiatives, Burlington Stores continues to add new locations and expects 115 net new stores in 2026. Burlington Stores also sees a robust pipeline for 2027 and 2028, underscoring its emphasis on capturing additional market share across the United States.
TJX’s Price Performance, Valuation and EstimatesShares of The TJX Companies have gained 3.5% in the past month against the industry’s decline of 2.4%.
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From a valuation standpoint, TJX trades at a forward price-to-earnings ratio of 30.54X, down from the industry’s average of 31.26X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for TJX’s current and next fiscal-year earnings per share implies a year-over-year rise of 9.3% and 9.7%, respectively.
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TJX currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Vale VALE board members have voted against Previ's proposal to remove Daniel André Stieler as chairman, setting up a possible governance battle at the world's top iron ore producer. The decision could influence proxy advisory firms and institutional investors ahead of Vale's extraordinary shareholder meeting on July 22.
Previ, which owns 7% of Vale, is pushing to remove Stieler before his mandate expires in April 2027. The pension fund is backing independent director Manuel Lino Oliveira as chairman, while also appointing former Previ CEO José Mauricio Pereira Coelho to take a vacant board seat.
Vale's board majority is preparing its own slate, with current vice chairman Marcelo Gasparino expected to compete as an alternative chairman candidate and former BP BP executive Ieda Gomes Yell set to run for the vacant seat, according to people familiar with the matter. The vote could become a key test of Vale's governance direction, with major shareholders including Mitsui, BlackRock and Capital World Investors watching the contest.
ZIM za 1. čtvrtletí vykázala ztrátu 72 centů na akcii a tržby 1,39 miliardy USD, což bylo pod odhady. Firma zároveň nevyplatí dividendu za toto čtvrtletí.
It has been about a month since the last earnings report for ZIM Integrated Shipping Services (ZIM - Free Report) . Shares have lost about 3.2% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is ZIM due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent drivers for ZIM Integrated Shipping Services Ltd. before we dive into how investors and analysts have reacted as of late.
ZIM Misses on Q1 EarningsZIM Integrated Shipping Services Ltd. reported first-quarter 2026 loss per share of 72 cents, which was wider than the Zacks Consensus Estimate loss of 22 cents. In the year-ago reported quarter, ZIM reported earnings per share of $2.45.
Revenues of $1.39 billion missed the Zacks Consensus Estimate of $1.59 billion and declined 30.4% from the year-ago quarter. This was due to the decrease in freight rates and carried volume.
Carried volume in the first quarter decreased 8% year over year to 866 thousand TEUs (twenty-foot equivalent units). Average freight rate per TEU in the first quarter decreased 26% year over year to $1,310.
Adjusted EBITDA for the first quarter was $313 million, down 60% on a year-over-year basis. Adjusted EBITDA margins for the first quarter of 2026 fell to 22% from 39% in the year-ago quarter.
Adjusted EBIT loss for the first quarter was $5 million compared with adjusted EBIT of $463 million in the first quarter of 2025. Adjusted EBIT margins in the first quarter of 2026 fell to 0% from 23% in the year-ago quarter.
LiquidityZIM exited the first quarter with cash and cash equivalents of $921.6 million compared with $1.05 billion at the end of the previous quarter.
ZIM generated $263 million of cash from operating activities in the first quarter of 2026. Net capital expenditures totaled $28 million for the reported quarter. Free cash flow was $235 million.
ZIM’s First-Quarter 2026 DividendBased on its dividend policy and in light of the net loss recorded in the first quarter of 2026, ZIM’s board of directors has declared not to pay any dividend to shareholders on account of its first-quarter results.
Deal With Hapag-LloydOn Feb. 16, 2026, ZIM announced that it had inked a deal with Hapag-Lloyd, per which ZIM would be purchased by Hapag-Lloyd for $35.00 per share in cash. The deal was unanimously approved by ZIM's board of directors and approved by shareholders at a special meeting held on April 30, 2026. Subject to satisfaction of customary closing conditions, including approvals by various regulatory authorities, among them the State of Israel, pursuant to the requirements of the Special State Share (the "Golden Share"), the deal is anticipated to be completed in the fourth quarter of 2026.
How Have Estimates Been Moving Since Then?Analysts were quiet during the last two month period as none of them issued any earnings estimate revisions.
VGM ScoresAt this time, ZIM has a subpar Growth Score of D, however its Momentum Score is doing a lot better with a B. Charting a somewhat similar path, the stock has a score of A on the value side, putting it in the top 20% for value investors.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook ZIM has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Micron, Western Digital a SanDisk rostou před výsledky Micronu, protože trh s pamětí dál sílí. Needham zvýšil cílovou cenu Micronu na 1 550 USD z 500 USD a ponechal doporučení koupit.
Micron Technology (NASDAQ:MU | MU Price Prediction) stock is up about 6% in Monday morning trading to around $1,199, leading a broad memory and storage rally into the company’s Wednesday earnings report. Western Digital (NASDAQ:WDC) stock is also up by about 6% to around $788, while SanDisk (NASDAQ:SNDK) stock is up 5% to around $2,294.
The group is resisting worries about renewed U.S.-Iran tensions, including fresh strike threats and concerns over the Strait of Hormuz.
That memory and storage are catching a bid despite the geopolitical backdrop underscores how much conviction has built around the so-called memory supercycle. The memory/storage complex hit record highs last Thursday, with Friday, June 19, closed for Juneteenth.
Needham’s $1,550 Micron Target Lights the Fuse The freshest catalyst is a major Wall Street endorsement. Needham raised its price target on Micron stock to $1,550, up from $500, and maintained a Buy rating ahead of Wednesday’s report.
The firm argued that the memory market has continued to strengthen over the past 90 days, with fundamentals “stronger for longer” thanks to robust demand, a firm pricing environment, and limited capacity additions. Needham also believes long-term agreements being signed across the industry are giving suppliers, including Micron, better demand visibility that extends over multiple years.
Micron stock has been a freight train into the earnings report. The shares are up 298% year to date (YTD) through June 18, with last quarter’s results showing revenue of $23.86 billion and a guide for fiscal Q3 2026 revenue of $33.5 billion plus or minus $750 million.
Storage Peers Get Their Own Upgrades The bullish analyst drumbeat isn’t isolated to Micron. JPMorgan raised its Western Digital price target to $650 from $530 (Overweight) on June 12, citing a more positive pricing view and accelerating year-over-year price increases for HDD makers. Wells Fargo raised its Western Digital stock price target to $575 from $500 (Overweight) on June 1.
Micron stock also received price target upgrades last week from Wedbush, Rosenblatt, and Stifel. Adding to the demand-side narrative, Apple (NASDAQ:AAPL) CEO Tim Cook’s recent comments that memory and storage cost increases are making Apple price hikes “unavoidable” helped fuel the sector’s bullish momentum last week.
SanDisk stock, the NAND-focused spinoff, has ridden the same wave. Last quarter, SanDisk reported revenue of $5.95 billion with gross margin of 78%, validating the AI-storage thesis.
Bubble or Supercycle? The Debate Heats Up Not everyone is convinced that the move can continue without a pause. Technical readings are flashing yellow across the group, with RSI readings of 66.4 for Micron, 70.9 for SanDisk, 74 for Seagate, and 78 for Western Digital, with 70-plus generally considered overbought.
The crowd is also split. Retail sentiment on StockTwits has been bearish for SanDisk and Micron even amid the rally, even as the Polymarket contract for Micron’s Wednesday report is pricing in a 97% probability of a non-GAAP EPS beat above the $19.66 consensus. The analyst consensus target on Micron stock sits at $945.6, well below the current price, reflecting how far the tape has run ahead of Street models.
What to Watch The next pivot is Wednesday, June 24, after the close, when Micron reports its fiscal Q3 2026 results. Investors can watch for whether management’s guidance validates the “stronger for longer” thesis or gives the overbought tape a reason to cool.
Until then, the memory complex looks willing to ignore the macro noise. Keep an eye on whether Micron stock can hold above the $1,200 level, and whether Western Digital stock and SanDisk stock track it tick for tick.
Best Buy vyplatí čtvrtletní dividendu 0,96 USD na akcii, tedy 3,84 USD ročně, což při ceně 73,10 USD znamená výnos kolem 5 %. Dividenda je podle článku krytá ziskem i volným peněžním tokem.
Consumer electronics giant Best Buy (NYSE: BBY | BBY Price Prediction) just declared a $0.96 quarterly payout, pushing the annualized dividend to $3.84 per share. At a recent price of $73.10, that is a yield of roughly 5.0%, well north of the 4.43% 10-year Treasury. With Kevin Warsh signaling a more hawkish Fed posture and retiree portfolios bracing for volatility, the question I want to answer is simple: how safe is this dividend?
Dividend Snapshot Metric Value Annual Dividend $3.84 per share Dividend Yield ~5.0% Most Recent Increase 1% (March 2026) Years Paid Without Cut 20+ years Dividend Aristocrat/King No Payout Ratios Leave Real Breathing Room Best Buy generated $1.258 billion in free cash flow on $1.962 billion of operating cash flow in FY26, against roughly $820 million in dividends paid. FY26 adjusted EPS of $6.43 easily covers the $3.84 payout.
Metric TTM Assessment Earnings Payout Ratio ~60% Healthy FCF Payout Ratio ~65% Healthy OCF Coverage ~2.4x Strong FY27 guidance of $6.30 to $6.60 in adjusted EPS keeps that earnings payout ratio firmly under 65% even at the low end.
The Balance Sheet Backs the Check Metric Value Assessment Cash on Hand $1.749B Solid Buffer Shareholders’ Equity $3.083B Stable EV/EBITDA 8x Conservative Cash alone covers more than two years of dividends. With EBITDA of $2.618 billion, leverage is manageable, and management is still funding ~$300 million in FY27 buybacks on top of the dividend.
A Streak That Survived COVID Year Annual Dividend 2026 $3.84 2025 $3.80 2024 $3.76 2023 $3.68 2022 $3.52 Best Buy never cut during the pandemic and the five-year dividend CAGR runs around 6.5%. The most recent 1% bump is modest, signaling caution but not stress.
Management Is Funding the Dividend Through a CEO Handoff CEO Corie Barry, who hands the reins to Jason Bonfig on November 1, 2026, said on the Q1 FY27 call: “We also drove operating income rate expansion and EPS growth.” The board approved the raise alongside the buyback plan, which tells me capital return remains a priority through the transition.
The Verdict: Safe Dividend Safety Rating: Safe. A ~60% earnings payout, ~65% FCF payout, $1.7 billion in cash, and an unbroken 20-year payment record give me confidence. The dividend looks well-supported for income-focused investors who expect computing and gaming refresh cycles to keep comparable sales positive. The risk profile worsens if consumer sentiment (49.8) keeps sliding and appliance weakness deepens. For now, the 5% yield looks well earned.
Jefferies vidí Best Buy pod novým CEO Jasonem Bonfigem v nové růstové fázi díky obnovovacím cyklům, inovacím produktů a silnějším kategoriím. Jako tahouny zmiňuje RGB TV, retail media a růst marketplace.
Best Buy Co Inc (NYSE:BBY) is positioned for a new phase of growth under incoming CEO Jason Bonfig, according to Jefferies analysts, who said that recent discussions with the executive left them increasingly confident in the company’s outlook amid shifting dynamics in consumer electronics.
Jefferies sees a supportive backdrop for the retailer as replacement cycles, product innovation and category complexity converge, creating what it describes as an opportunity for higher industry growth and above-average expansion for Best Buy.
The firm highlighted potential upside drivers, including retail media, third-party marketplace growth, TV replacement demand, and share gains in appliances.
Jefferies pointed to Bonfig’s long-standing relationships with key vendors as a strategic advantage, particularly in the context of ongoing supply chain constraints such as memory chip shortages.
The analysts also highlighted his role in securing Best Buy’s early exclusivity around RGB televisions, citing it as evidence of his ability to commercialize emerging technology trends.
According to Jefferies, the launch of RGB TVs is expected imminently, with employee training completed and a broad marketing campaign set to begin later this month. The rollout will include bundled services such as delivery, installation and haul-away, which the firm said reflects a deliberate effort to target consumers who may not yet have an urgent replacement need.
On Best Buy’s advertising business, Jefferies said recent technology investments could enable more flexible and scalable campaign formats, including multiple simultaneous store “takeover” campaigns across different geographies and customer segments. The firm described this as a potential acceleration point for what is already a high-margin revenue stream.
Jefferies also compared Best Buy’s positioning in the current AI cycle to the early days of Wi-Fi adoption, arguing that new technology waves tend to benefit the retailer as consumers rely on in-store expertise to navigate complex product shifts.
In appliances, the note highlighted a strategy focused on delivery speed and fulfillment optimization, including expanded rural inventory positioning and later cutoffs for next-day delivery in urban markets. Jefferies wrote that these changes could help capture incremental demand from time-sensitive purchases.
The firm added that Best Buy’s third-party marketplace expansion is expected to scale faster in the US than it did in Canada, where Bonfig previously led similar efforts.
Jefferies concluded that Best Buy is well positioned in an “agentic commerce” environment, where automated shopping tools may increase price transparency but also surface fulfillment and service advantages such as rapid delivery and installation—areas where the retailer maintains structural strengths.
Best Buy shares traded hands at about $74 on Tuesday, up almost 11% in the year to date.
The Warner Bros. Water Tower is pictured at Warner Bros. Studios in Burbank, California, U.S. February 27, 2026. REUTERS/Daniel Cole/File Photo Purchase Licensing Rights, opens new tab
CompaniesLOS ANGELES, June 17 (Reuters) - Chinese regulators have cleared the $110 billion merger between Paramount Skydance and Warner Bros Discovery, according to a source familiar with the decision.
The antitrust ruling comes on the heels of similar approvals from the U.S. Department of Justice, and a number of other countries, including Australia, Germany, France and Saudi Arabia. China, where both Paramount and Warner Bros Discovery release films, also needed to sign off on the deal.
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The European Union has yet to weigh in on the combination.
China has been a diminishing source of revenue for Hollywood, as its domestic movie industry matures. Some films, like Warner Bros's 2023 film "Meg 2: The Trench," grossed $53.3 million in China during its opening weekend. However, Paramount's 2022 blockbuster "Top Gun: Maverick," was never released - a casualty of heightened tensions between the U.S. and China.
News of the approval was first reported by Semafor.
Editing by Franklin Paul, Sanjeev Miglani and Christian Schmollinger
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Tři demokratičtí senátoři vyzvali FCC, aby pozastavil fúzi Paramountu a Warner Bros. Discovery kvůli obavám z cizích investorů. Varují před možnými bezpečnostními riziky spojenými s podílem kolem 49,5 %.
Three Democratic senators have urged the Federal Communications Commission (FCC) to put the Paramount-Warner Bros. Discovery merger on pause over concerns about foreign investors controlling what would be one of the largest media companies in the United States.
In a joint letter to FCC Chairman Brendan Carr, senators Cory Booker, D- N.J.; Adam Schiff, D-Calif.; and Elizabeth Warren, D-Mass., demanded he “must foreclose any attempt by Paramount to close this transaction” before an adequate review of the involved foreign investors is completed.
The lawmakers said the FCC must conduct this review to evaluate possible “national security threats posed by foreign government investment” in the $110 billion entity. If approved, the merger would bring CNN and CBS News under one corporate owner, further consolidating the news media landscape.
Paramount, led by CEO David Ellison, acknowledged in an April financial disclosure cited by the senators that foreign ownership in the new corporation will rise to “approximately 49.5 percent.” In that document, Paramount also said that all voting rights will be “controlled by the Ellison family through U.S. entities.”
Federal Communications Commission (FCC) Chair Brendan Carr speaks during the U.S. Chamber of Commerce 2025 Global Aerospace Summit in Washington, D.C., U.S., September 9, 2025. REUTERS The document revealed that Saudi Arabia’s public investment fund and various entities based in the United Arab Emirates and Qatar would be equity holders.
Paramount told the FCC in April that this arrangement would not present “any national security, law enforcement, or foreign or trade policy concerns.”
The senators want a more rigorous check of what this level of foreign ownership would mean, telling Carr in their letter that he should not take the Ellison family’s statements “at face value.”
The Paramount water tower is shown on the Paramount studio lot in Hollywood, Los Angeles, California, U.S., January 13, 2026. REUTERS They argued that the FCC should reject Paramount’s petition for preemptive approval. Under Section 310 of the 1934 Communications Act, foreign individuals, companies and governments are generally prohibited from owning more than 25% of a U.S.-based firm that has an FCC-issued broadcast license.
Booker, Schiff and Warren gave Carr a July 1 deadline to notify Paramount that the deal cannot close until the foreign investment review is completed.
The FCC’s pending approval is the largest regulatory hurdle in the way of the merger. The Department of Justice signaled last week it would not challenge Paramount’s bid to acquire Warner Bros.
Senator Elizabeth Warren (D-MA) speaks at a press conference with Senate Minority Leader Chuck Schumer (D-NY) and Senator Patty Murray (D-WA) on Democrat’s plan to lower the cost of childcare, at the U.S. Capitol in Washington, DC on June 17, 2026. Nathan Posner/Shutterstock The DOJ’s antitrust division concluded after an eight-month review that “the transaction is not likely to result in harm to competition or American consumers” with regard to on-demand streaming, linear television and studio development and the production and distribution of films.
Warren criticized this decision by the DOJ and urged state attorneys general to continue fighting the transaction. California Attorney General Rob Bonta was already leading a coalition of states in preparing a lawsuit to block Paramount from adding Warner Bros. to its growing portfolio.
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More than 5,000 filmmakers and actors working in Hollywood signed an open letter in April furiously demanding that the merger be stopped. They argued that it would stifle competition and reduce job opportunities.
“Our industry is already under severe strain, in large part due to prior waves of consolidation. We have witnessed a steep decline in the number of films produced and released,” according to the petition. “We are deeply concerned by indications of support for this merger that prioritize the interests of a small group of powerful stakeholders over the broader public good.”
NetApp oznámil rekordní tržby z all-flash úložišť ve fiskálním roce 2026 ve výši 4,2 mld. USD, meziročně o 11 % více. Firma očekává ve fiskálním roce 2027 vyšší aktivitu v podnikovém AI a tržby 7,325–7,575 mld. USD.
Key Takeaways NetApp delivered record fiscal 2026 all-flash revenues of $4.2B, up 11% year over year.NTAP recorded about 500 AI and data prep wins in Q4, exceeding 1,100 for fiscal 2026.NetApp expects higher enterprise AI activity in fiscal 2027 and guided revenues of $7.325B-$7.575B. NetApp, Inc. (NTAP - Free Report) is benefiting from the growing adoption of all-flash storage as enterprises modernize their infrastructure and expand AI deployments. The company delivered record all-flash performance for fiscal 2026, with all-flash revenue reaching $4.2 billion, an increase of 11% year over year. Fourth-quarter all-flash revenue was $1.2 billion, up 18% from the prior-year quarter, reflecting strong customer demand for high-performance storage solutions.
Management attributed this momentum to broad adoption across public cloud, all-flash and Keystone offerings as customers continue to modernize infrastructure and scale AI workloads.
AI adoption has emerged as a major driver of all-flash demand. NetApp stated that enterprises are investing in high-performance flash, capacity flash and block storage environments to ensure GPUs remain fully utilized by providing continuous access to large volumes of data. The company noted that approximately 500 AI and data preparation wins were recorded in the fourth quarter alone, bringing the fiscal 2026 total to more than 1,100. Management added that all elements of its flash portfolio performed strongly in enterprise AI deployments, while hybrid flash also gained traction in less demanding AI environments.
NetApp is strengthening its all-flash portfolio through new AI-focused innovations. In fiscal 2026, it introduced AFX and the AI Data Engine, both of which management said are seeing encouraging early customer and partner momentum. The company also enhanced the performance and capabilities of its all-flash arrays and expanded its converged AI solutions to simplify AI infrastructure, eliminate data silos and accelerate data pipelines. Early AFX deployments have secured wins in Neo cloud, financial services, hedge funds and life sciences, while AI Data Engine is helping customers organize large volumes of unstructured data for AI projects.
The company believes cyber resilience is another differentiator for its all-flash offerings. A European aerospace customer selected NetApp’s all-flash arrays in a competitive greenfield deployment, citing their high performance, ransomware protection, cyber resilience capabilities and seamless partner ecosystem integration. NetApp expects enterprise AI activity in fiscal 2027 to be higher compared with fiscal 2026 and has guided revenue in the range of $7.325 billion to $7.575 billion.
Taking a Look at NTAP’s CompetitorsSeagate Technology Holdings plc (STX - Free Report) is well poised to gain from AI-led storage demand, a robust technology roadmap anchored in Mozaic and HAMR and disciplined execution focused on converting demand into profitable growth and long-term value creation. Cloud drives most data center revenue, with Mozaic shipments reaching 75% of top cloud customers, and full qualification expected in the ongoing quarter. It expects stronger FCF throughout 2026, driven by steady demand, efficiency gains and disciplined spending. Management raised its long-term outlook, now expecting at least 20% annual revenue growth over the next few years, driven by strong cloud demand and continued hyperscaler investments in AI infrastructure, with the March quarter marking the 10th straight quarter of cloud-led revenue growth. Fiscal 2026 capex is expected to stay within 4-6% of sales.
Western Digital Corporation (WDC - Free Report) is gaining from strength across end markets, riding on AI-led storage needs and multi-year agreements extending through 2028-29. Cloud end market derives a lion’s share of its sales, fueled by strong demand for high-capacity nearline drives and favorable pricing. Higher-capacity drives and solid UltraSMR uptake that improved customer TCO are aiding margins, while strong operating leverage, lower interest costs and tax efficiency are fueling EPS growth. The company is advancing areal density and boosting performance with high-bandwidth drives. It strengthened the balance sheet by selling 5.8 million SanDisk shares, cutting debt by $3.1 billion, leaving $1.6 billion in convertible debt and ending with a $450 million net cash position. Western Digital expects fiscal fourth-quarter revenue of $3.65B, up 40% year over year at the midpoint.
NTAP Price Performance, Valuation & EstimatesShares of NetApp have gained 34.2% in the past month against the Computer- Storage Devices industry’s growth of 54%.
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Regarding the price/book ratio, NTAP is trading at 23.16, lower than the sector’s multiple of 23.56.
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The Zacks Consensus Estimate for NTAP’s earnings for fiscal 2027 has been revised upwards over the past 60 days.
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NTAP currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Carvana rozšiřuje prodej nových aut na online model: showroomy Stellantis má používat hlavně jako servisní a testovací centra. V Dallasu si zákazníci vybírají a kupují vůz přes internet, ne u prodejce.
DALLAS — Carvana is aiming to bring its online strategy for selling used vehicles to sales of new cars and trucks.
But don't expect the company to actually sell you a vehicle at one of its seven Stellantis franchised dealerships.
Instead, the online vehicle retailer said it intends to use such dealerships as service locations, test-drive centers and potentially "playgrounds" for consumers to decide what vehicle they would like to buy through Carvana's online platforms, marking a stark contrast from how traditional franchised dealers handle new products.
"Every single car that we sell, whether it's used or new, is online," Tom Taira, Carvana president of special projects who's leading the new vehicle operations, told CNBC during an interview at its franchise in Texas. "That's a very inherent difference. Even coming into the store, you're buying it online, and that's a big difference in how people think about it."
Shares of Carvana fell 10% during trading Wednesday, which coincided with CarMax, the company's largest rival, beating Wall Street's quarterly expectations but reporting margin pressure and declining gross profit per retail used vehicle.
Through its used vehicle sales, Carvana has become the most valuable auto retailer in the U.S. with a more than $70 billion market cap. Carvana's target with the new vehicle business is to grow its market share and customer base as well as assist used vehicle sales through trade-ins and other means, according to Taira.
If the company is successful, the strategy could cause a ripple effect across the U.S. franchised dealership model, which the National Automobile Dealers Association says includes 16,990 retailers that topped $1.3 trillion in sales last year.
This week marks the first time Carvana has publicly talked about its plans for new vehicles since it purchased its first Chrysler-Dodge-Jeep-Ram franchised store for Stellantis early last year in Arizona. Its network has since grown to other Carvana-popular markets in Sacramento and San Diego, California; Dallas; Atlanta; Cleveland; and Boston.
"When we got into new cars, we said the only way we're going to make this happen is to ensure that it goes the Carvana way. That we actually sell cars exactly the same way that we do to used car customers," Taira said during a media event at its Dallas location. "Why break something that already works?"
Carvana spent roughly $171 million on its acquisitions of new Stellantis vehicle franchised dealerships, excluding its most recent purchase of a retailer in Ohio, according to public filings. The company declined to disclose any further investments in the stores to implement its strategy.
Taira and the company also declined to disclose Carvana's new vehicle sales so far or its future expansion plans for additional brands or other Stellantis dealerships. CNBC previously confirmed that the company has quickly grown its new vehicle sales, including a location in Arizona becoming the top-selling dealer in the country for Stellantis.
"We believe that this was worth it to us, as long as we could go out and increase share and increase the pie," Taira said. He declined to comment on whether the new vehicle business is profitable.
To be able to integrate its new vehicle sales into its current website, as first reported by CNBC, Carvana was approved as a certified website provider for Stellantis instead of utilizing mandated third-party companies. Several franchised dealers said they believed that was a unique benefit for Carvana.
Stellantis, in an statement to CNBC, said Carvana operates as a "corporate owner" of its brands, similarly to other large publicly traded companies such as Lithia and AutoNation.
"We apply the same consistent standards and criteria to all dealer partners, and any organization that meets our qualifications is eligible to operate as a franchisee," the automaker said, adding that Stellantis "certifies tools and services that will enhance our program and be beneficial to our network. All certified providers must complete a rigorous onboarding process and meet program standards and requirement."
Test-drives, vehicle 'playground'Carvana is using a location in Dallas as a test center for its foray into new vehicle sales. The facility looks like a traditional Stellantis dealership from the outside, but the consumer process for purchasing a vehicle and the responsibilities of its employees are unprecedented.
Couches and chairs replace cubicles and sales offices. There are no finance and insurance departments, and instead of an army of commission-based employees, the facility has associates that are paid hourly to assist customers — if they want the help.
The experience is meant to be as self-guided as a customer wants. By scanning QR codes located on 10-foot-by-10-foot screens inside the building or on vehicles and displays outside, shoppers can customize a vehicle, learn about a product's features and conduct test-drives before deciding whether to purchase anything. If they do decide to buy something, it's online and not originated from a sales person, the company said.
The playground has roughly 50 vehicles divided by brand, with each having a theme. Jeep has an off-road display. Dodge has race tracks, including a Carvana-themed Charger pace car and part of a traditional track fence barrier. Chrysler minivans, meanwhile, have a soccer net and Ram's area is truck-centric.
Carvana is not committing to expanding the exact experience to its other franchised dealer locations, but Taira told CNBC that the overall process of online sales, vehicle testing and service are expected to be consistent throughout the locations.
"I think the business case and the case for additional stores comes out through this location first," he told CNBC, adding that it built out the store in weeks. "Is it important for us to launch a second? No, I think what's important is that we get this right. … There's no giant plan to build test-drive centers everywhere."
Vehicle inventory constraintsOnce a customer decides to test-drive or even purchases a vehicle from the location, that's where the process can get more complex, depending on what model a consumer wants.
Taira said the company chose to purchase Stellantis dealerships for the automaker's breadth of brands as well as its variety of products, which can be a double-edged sword when it comes to consumers actually finding the exact vehicle they want to test-drive or purchase.
Unlike a traditional dealership that stockpiles vehicles for customers to test-drive before purchasing, at the Texas facility, Carvana has roughly 50 display cars on its playground, with twin vehicles for test-drives. It had roughly 3,000 new vehicles for sale nationwide compared with more than 60,000 used models as of Wednesday morning, according to its website.
This means that a customer may not be able to test-drive the exact vehicle or even model they're purchasing, but the online process tries to match the best test-drive vehicle possible with what they want. It also describes what's the same and what's different.
Carvana's stock over five years.
Looking at the Texas location's system for vehicles such as an $87,000 Ram 1500 RHO performance model, the closest thing on-site for a test-drive was a roughly $61,000 Ram 1500 Big Horn with the same interior and four-door configuration but no other feature matches, including its performance engine.
It's why traditional automotive dealers have large vehicle inventories, especially for pickup trucks that have a litany of build options and wide bandwidth of performance specs.
Taira said Carvana is continuing to take lessons learned from its year-plus experience of selling new vehicles into its day-to-day operations. He said the company is learning what vehicles to keep in stock and is working to ensure customers know they are buying a new vehicle rather than a used one.
"We're going through all this technology. This is brand new," Taira said. "All these things are active, meaning the amount of progression we're going to make over the course of the next days to weeks to months."
Taira said the company prioritizes new vehicle sales to local customers, much like it does for used vehicles, to avoid additional costs, but it does use its nationwide logistics network and more than 100 U.S. Carvana locations when necessary.
Carvana will service vehiclesA major question of Stellantis franchised dealers and Wall Street analysts before Carvana revealed its new vehicle plans was how the company planned to service the new products it sells.
Taira said the company, for the time being, will operationally run its service departments like a traditional franchised dealer, but with its guiding strategy of transparent, nonhaggling pricing and "hassle-free" customer experience.
"As it relates to how you actually do service, they're traditional. It's a traditional setup in that way," he told CNBC. "In that way, what we're doing … as it relates to service, we believe the same principles that we have with selling cars."
At the end of the day, selling cars is Carvana's core business, but servicing vehicles has historically been a lucrative market for franchised dealers, along with customer financing, which Carvana has always focused on for its business.
Much like its used vehicles, Carvana is currently only accepting cash or offering financing through the company itself, including selling consumer auto loans it originates to institutional investors and partner banks, such as Ally Financial, to maintain liquidity.
Taira did not dismiss the possibility of Carvana offering leasing or using Stellantis' financial services, which have been highly profitable for automakers, but said the offerings would need to seamlessly integrate into its current online selling platforms.
"Part of what makes this great, this experience, is what we already know. What we already know is the system that we have in place," he said. "That does not mean that integration isn't something that we're going to be [doing] as part of our learning and experimentation going forward."
An article concerning a development that could benefit Robinhood Markets (HOOD 0.69%) helped boost the price of the next-generation brokerage on Wednesday. Investors took the report as excellent news for the financial services company and reacted by pushing its shares up almost 9%.
The digital future Well before market open, Reuters reported that the Securities and Exchange Commission (SEC) is preparing a policy allowing cryptocurrency companies to transact in crypto products such as tokenized stocks.
Image source: Getty Images.
Citing unnamed "analysts and lawyers," the news agency added that SEC chair Paul Atkins will formally announce the policy in the near future. Tokenized stocks, which are digital assets that sit on blockchains and are tied to actual shares of companies, can be traded outside of market hours and settled near-instantaneously, among other advantages over traditional equity transacting.
Atkins has proposed an "innovation exemption" framework under which the intermediaries typical in securities trading can be bypassed under certain circumstances. This would allow for that direct and immediate transacting promised by tokenized stocks.
Today's Change
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-0.69
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Current Price
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104.98
Waiting for the green light Unlike some of the more established brokerages, Robinhood began embracing crypto trading years ago. It's very much a tech-forward company, to the point where it already operates a trading platform for tokenized stocks. Unfortunately for enthusiasts of such products in the U.S., this isn't fully legal in the U.S.; this service is only available for European Union (EU) clients.
At least, not yet. Should that change, as per the Reuters report, Robinhood would undoubtedly score a win. I don't blame investors for piling into the stock on that possibility.
Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Robinhood plánuje soukromou emisi konvertibilních senior notes za 2,0 miliardy USD se splatností 1. října 2029. Z výtěžku chce asi 300 milionů USD použít na zpětný odkup akcií.
June 22, 2026 07:00 ET | Source: Robinhood Markets, Inc.
Opportunistic capital raise with proceeds used to enhance strategic flexibility to invest for future growth
Approximately $300 million of the proceeds to be used to repurchase shares, although the amount of Class A common stock that Robinhood actually repurchases may be more or less than $300 million
Additionally, a portion of the proceeds to be used to purchase capped calls intended to offset any share dilution until at least a targeted 125% premium to the last reported sale price of Robinhood’s Class A common stock on the date of pricing
MENLO PARK, Calif., June 22, 2026 (GLOBE NEWSWIRE) -- Robinhood Markets, Inc. (“Robinhood”) (NASDAQ: HOOD) today announced that, subject to market conditions, it intends to offer $2.0 billion in aggregate principal amount of convertible senior notes due 2029 (the “Notes”) in a private placement (the “Offering”) to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A of the Securities Act of 1933, as amended (the “Securities Act”). Robinhood also intends to grant the initial purchasers of the Notes an option to purchase, for settlement within a 13-day period from, and including the date on which the Notes are first issued, up to an additional $200 million aggregate principal amount of Notes.
The Notes will be senior, unsecured obligations of Robinhood. Robinhood will settle conversions by paying cash up to the aggregate principal amount of the Notes to be converted and paying or delivering, as the case may be, cash, shares of Robinhood’s Class A common stock or a combination of cash and shares of Robinhood’s Class A common stock, at Robinhood’s election, in respect of the remainder, if any, of Robinhood’s conversion obligation in excess of the aggregate principal amount of the Notes being converted, based on the then applicable conversion rate. The Notes will mature on October 1, 2029, unless earlier converted, redeemed or repurchased.
Robinhood may not redeem the Notes prior to July 1, 2028, except in the event of a cleanup redemption (as defined below). Robinhood may redeem for cash all or any portion of the Notes (subject to certain limitations), at its option, on or after July 1, 2028 and prior to the 21st scheduled trading day immediately preceding October 1, 2029, if the last reported sale price of Robinhood’s Class A common stock has been at least 120% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which Robinhood provides notice of redemption at a redemption price equal to 100% of the principal amount of the Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date. In addition, the Notes will be redeemable at any time if the aggregate principal amount of the Notes that remains outstanding is less than $100 million and certain other conditions are satisfied (a “cleanup redemption”).
The interest rate, the initial conversion rate and certain other terms of the Notes will be determined at the time of pricing of the Offering.
Robinhood intends to use (i) approximately $300 million of the net proceeds from the Offering to repurchase its Class A common stock, although the amount of its Class A common stock that Robinhood actually repurchases may be more or less than $300 million, (ii) a portion of the net proceeds from the Offering to fund the costs of the capped call transactions described below and (iii) the remainder of the net proceeds from the Offering, if any, for general corporate purposes, which may include organic growth investments, potential acquisitions and/or capital expenditures. If the initial purchasers exercise their option to purchase additional Notes, Robinhood expects to use a portion of the net proceeds from the sale of the additional Notes to enter into additional capped call transactions. In addition, following the Offering, Robinhood plans to continue to repurchase additional shares of its Class A common stock pursuant to Robinhood’s stock repurchase program. The repurchases of Robinhood’s Class A common stock described above could increase (or reduce the size of any decrease in) the market price of Robinhood’s Class A common stock or the Notes. In the case of repurchases effected concurrently with the Offering, this activity could affect the market price of Robinhood’s Class A common stock prior to, concurrently with or shortly after the pricing of the Notes, and could result in a higher effective conversion price for the Notes.
In connection with the pricing of the Notes, Robinhood expects to enter into privately negotiated capped call transactions with one or more of the initial purchasers of the Notes or their respective affiliates and/or other financial institutions (the “option counterparties”). The capped call transactions will cover, subject to anti-dilution adjustments, the number of shares of Robinhood’s Class A common stock initially underlying the Notes sold in the Offering. The capped call transactions are expected generally to reduce potential dilution to Robinhood’s Class A common stock upon conversion of any Notes and/or offset any cash payments Robinhood is required to make in excess of the principal amount of converted Notes, as the case may be, with such reduction and/or offset subject to a cap.
Robinhood has been advised that, as is customary for convertible note offerings that include capped call transactions, in connection with establishing their initial hedges of the capped call transactions, the option counterparties or their respective affiliates expect to purchase shares of Robinhood’s Class A common stock and/or enter into various derivative transactions with respect to Robinhood’s Class A common stock concurrently with or shortly after the pricing of the Notes. This activity could increase (or reduce the size of any decrease in) the market price of Robinhood’s Class A common stock or the Notes at that time. In addition, the option counterparties or their respective affiliates may modify their hedge positions by entering into or unwinding various derivatives with respect to Robinhood’s Class A common stock and/or purchasing or selling Robinhood’s Class A common stock or other securities of Robinhood in secondary market transactions following the pricing of the Notes and prior to the maturity of the Notes (and are likely to do so (x) during any observation period related to a conversion of Notes or following any repurchase of Notes in connection with any “fundamental change” (as defined in the indenture for the Notes) and (y) following any other repurchase of Notes if Robinhood elects to unwind a portion of the capped call transactions in connection with such repurchase). This activity could also cause or avoid an increase or decrease in the market price of Robinhood’s Class A common stock or the Notes, which could affect the ability of noteholders to convert the Notes and, to the extent the activity occurs during any observation period related to a conversion of Notes, it could affect the amount and value of the consideration that noteholders will receive upon conversion of the Notes.
Neither the Notes nor the shares of Robinhood’s Class A common stock potentially issuable upon conversion of the Notes, if any, have been, or will be, registered under the Securities Act, the securities laws of any other jurisdiction or any state securities laws and, unless so registered, may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state laws. The Notes will be offered and sold only to persons reasonably believed to be qualified institutional buyers in the United States pursuant to Rule 144A under the Securities Act. This news release is for informational purposes only and does not constitute an offer to sell, or a solicitation of an offer to buy, the Notes, nor shall there be any sale of the Notes in any state or jurisdiction in which such offer, solicitation or sale is unlawful. No assurance can be made that the Offering will be consummated on its proposed terms or at all.
This press release contains forward-looking statements regarding Robinhood and its consolidated subsidiaries (“we,” “Robinhood,” or the “Company”), including, but not limited to, statements regarding the anticipated terms of the Notes, the completion, timing and size of the Offering and capped call transactions, the anticipated effects of entering into the capped call transactions, and the intended use of the net proceeds from the Offering and the anticipated effects thereof. In some cases, you can identify forward-looking statements because they contain words such as “believe,” “may,” “will,” “should,” “expect,” “plan,” “anticipate,” “could,” “intend,” “target,” “project,” “contemplate,” “estimate,” “predict,” “potential,” or “continue,” or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans, or intentions. Our forward-looking statements are subject to a number of known and unknown risks, uncertainties, assumptions, and other factors that may cause our actual future results, performance, or achievements to differ materially from any future results expressed or implied in this press release. Factors that contribute to the uncertain nature of our forward-looking statements include, among others, risks and uncertainties associated with market conditions, including market interest rates, the trading price and volatility of Robinhood's Class A common stock and risks related to this Offering, and Robinhood’s business and operations and results of operations. Because some of these risks and uncertainties cannot be predicted or quantified and some are beyond our control, you should not rely on our forward-looking statements as predictions of future events. More information about potential risks and uncertainties that could affect our business and financial results can be found in Part II, Item 1A of our Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, as well as in our other filings with the SEC, all of which are available on the SEC’s web site at www.sec.gov. Moreover, we operate in a very competitive and rapidly changing environment; new risks and uncertainties may emerge from time to time, and it is not possible for us to predict all risks nor identify all uncertainties. The events and circumstances reflected in our forward-looking statements might not be achieved and actual results could differ materially from those projected in the forward-looking statements. Except as otherwise noted, all forward-looking statements in this press release are made as of the date of this press release, June 22, 2026, and are based on information and estimates available to us at this time. Although we believe that the expectations reflected in our forward-looking statements are reasonable, we cannot guarantee future results, performance, or achievements. Except as required by law, Robinhood assumes no obligation to update any of the statements in this press release whether as a result of any new information, future events, changed circumstances, or otherwise. You should read this press release with the understanding that our actual future results, performance, events, and circumstances might be materially different from what we expect.
Medallia uzavřela dohodu o rekapitalizaci, která výrazně sníží dluh a přinese 150 milionů USD nového kapitálu na podporu závazku investovat přes 500 milionů USD do inovací, včetně transformace v oblasti AI, v příštích letech. Po dokončení transakce přejde vlastnictví od Thoma Bravo ke skupině vedené Blackstone, Apollo a FS KKR Capital Corp (FSK).
Significantly strengthens the company’s balance sheet and provides $150 million of new capital to advance Medallia’s $500 million commitment to innovation, including AI transformation, in the coming years
TYSONS, Va.--(BUSINESS WIRE)--Medallia, the global leader in customer and employee experience, today announced that it has entered into a recapitalization agreement with its lenders that will strengthen its financial foundation for long-term growth. The transaction will significantly reduce Medallia’s outstanding debt and provide $150 million of new capital, positioning the company to accelerate AI-driven innovation and customer-focused product investment. Upon completion of the transaction, Medallia will change ownership from Thoma Bravo to an investor group led by Blackstone, Apollo, and FS KKR Capital Corp (FSK).
Medallia has been at the center of enterprise experience management since its founding in 2001 – going public on the New York Stock Exchange in 2019 before being taken private in 2021. Eighteen months ago, a new executive team joined to reinvent the business for an AI-first market, modernizing operations, and sharpening strategic focus while maintaining strong profitability. Today's transaction advances Medallia's existing $500 million commitment to innovation over the next few years and provides the capital to accelerate it, moving the company beyond traditional experience management into a more intelligent, predictive, and automated platform.
“Today's announcement marks a significant milestone towards the next generation of AI-led enterprise experience management,” said Mark Bishof, CEO of Medallia. “The transformation of Medallia has been well underway – what changes today is the pace. With a strengthened balance sheet and $150 million in new capital, we are accelerating our commitment to invest over $500 million in products and services for our customers over the next few years.”
The committed support of Medallia’s new owners reflects strong conviction in the company’s leadership team, platform strategy, and long-term market opportunity. In addition to new capital, Medallia will benefit from the firms’ collective expertise in scaling businesses globally, strategic relationships, and global resources to enhance Medallia’s platform capabilities and market leadership.
“Medallia is a profitable business with a strong track record serving many of the largest companies in the world,” said Brad Marshall, Global Head of Private Credit Strategies at Blackstone. “We’re confident in the business under this new capital structure and look forward to supporting its plans to invest in this next phase of innovation and growth.”
Medallia plans to expand its generative AI and automation capabilities across its platform, enabling organizations to more quickly identify emerging patterns, predict business impact, and orchestrate intelligent actions at enterprise scale. Building on its Frontline-Ready AITM foundation, Medallia also plans to further evolve its platform with deeper integrations across contact center, CRM, workflow, and emerging agentic AI ecosystems. Leading organizations including Mayo Clinic Laboratories, Mazda North America, and Santander Bank are among the customers who recently shared how Medallia powers their experience management programs. The company's planned platform enhancements will empower enterprises to respond to their customer and employee needs with greater speed, precision, and operational impact.
The company expects to close the transaction prior to the end of the year, subject to customary closing conditions and regulatory approvals. As Medallia works with its financial partners to close the transaction, operations remain uninterrupted, with no anticipated impact or disruption to the company’s customers, employees, or partners.
About Medallia
Medallia is the global leader in customer and employee experience, trusted by the world’s most iconic brands — including 7 of the Fortune 10. Medallia’s AI-driven platform helps enterprise organizations turn billions of feedback signals into clear, prioritized actions. With deep domain expertise, a powerful partner ecosystem, and consistent leadership recognition from top industry analysts, Medallia transforms customer experience into a strategic driver of business growth. Learn more at www.medallia.com.
Steel Dynamics očekává ve 2. čtvrtletí 2026 zisk 3,51 až 3,55 USD na akcii, nad 2,78 USD v předchozím čtvrtletí. Výhled snížila o 16 milionů USD kvůli odpisu aktiv spojenému s přesunem plánovaného druhého satelitního centra pro recyklované hliníkové bramy z Arizony do Columbusu v Mississippi.
, /PRNewswire/ -- Steel Dynamics, Inc. (NASDAQ/GS: STLD) today provided second quarter 2026 earnings guidance in the range of $3.51 to $3.55 per diluted share. Comparatively, the company's sequential first quarter 2026 earnings were $2.78 per diluted share, and prior year second quarter earnings were $2.01 per diluted share.
Estimated second quarter earnings have been reduced by $16 million, as a result of asset write-downs related to the decision to relocate the company's planned second satellite aluminum recycled slab center from Arizona to Columbus, Mississippi, as differences with Arizona state officials risked the construction and operations of the facility.
Second quarter 2026 profitability from the company's steel operations is expected to be meaningfully higher than first quarter results, driven by strong demand and metal margin expansion across the platform, as average realized selling values increased more than scrap raw material costs. Order activity remains strong, supported by underlying demand and persistently low steel inventories, which continue to support favorable pricing conditions. Demand across key end markets remains solid, with non-residential construction, energy, automotive, and industrial sectors leading performance.
Second quarter 2026 earnings from the company's metals recycling operations are expected to be similar to sequential first quarter results, as increased ferrous and non-ferrous shipments are expected to be offset by expected nonferrous unrealized hedging losses.
Second quarter 2026 earnings from the company's steel fabrication operations are expected to be incrementally below sequential first quarter results, as the benefit from stronger shipments combined with steady pricing is offset by higher steel raw material input costs. Customer order activity has remained strong, continuing the momentum beginning at the end of 2025. The order backlog is now nearly 40% higher than a year ago and extends through the end of the year and into 2027. Current demand is being supported by commercial construction, data center and warehouse buildouts, manufacturing, and healthcare end markets. The company expects further volume improvement throughout the year and into 2027, supported by domestic manufacturing investment, U.S. infrastructure investment, other stimulus programs, and ongoing onshoring activity.
Second quarter 2026 earnings from the company's aluminum operations are expected to improve significantly compared to first quarter sequential results, based on increased shipments and higher realized pricing. The aluminum team continues to make strong progress on the commissioning and startup of the company's aluminum flat rolled products mill in Columbus, Mississippi. Two of the three cold mills are now operational, and the third cold mill is expected to begin qualifying material in July. Additionally, the first of two Continuous Annealing and Solution Heat (CASH) lines, which support the production of finished automotive products, is operating and shipping material for customer qualification. The second CASH line is also expected to begin material qualifications in the fourth quarter 2026.
The company has repurchased $170 million, or one half of one percent, of its common stock so far during the second quarter 2026.
The company currently plans to release its second quarter 2026 earnings after the market closes on July 20, 2026, and will hold a conference call the next day at 11:00 a.m. Eastern Daylight Time to discuss the company's performance.
About Steel Dynamics, Inc.
Steel Dynamics is a leading industrial metals solutions company, with facilities located throughout the United States, and in Mexico. The company operates using a circular manufacturing model, producing lower-carbon-emission, quality products with recycled scrap as the primary input. Steel Dynamics is one of the largest domestic steel producers and metal recyclers in North America, combined with a meaningful downstream steel fabrication platform. The company also has aluminum operations, further diversifying its product offerings to supply aluminum flat rolled products with higher recycled content to the countercyclical sustainable beverage can industry, in addition to the automotive and industrial sectors. Steel Dynamics is committed to operating with the highest integrity and to being the safest, most efficient producer of high-quality, broadly diversified, value-added metal products.
Forward-Looking Statements
This press release contains some predictive statements about future events, including statements related to conditions in domestic or global economies, conditions in steel, aluminum, and recycled metals marketplaces, Steel Dynamics' revenues, costs of purchased materials, future profitability and earnings, and the operation of new, existing or planned facilities. These statements, which we generally precede or accompany by such typical conditional words as "anticipate", "intend", "believe", "estimate", "plan", "seek", "project", or "expect", or by the words "may", "will", or "should", are intended to be made as "forward-looking", subject to many risks and uncertainties, within the safe harbor protections of the Private Securities Litigation Reform Act of 1995. These statements speak only as of this date and are based upon information and assumptions, which we consider reasonable as of this date, concerning our businesses and the environments in which they operate. Such predictive statements are not guarantees of future performance, and we undertake no duty to update or revise any such statements. Some factors that could cause such forward-looking statements to turn out differently than anticipated include: (1) domestic and global economic factors; (2) global steelmaking overcapacity and imports of steel, together with increased scrap prices; (3) the cyclical nature of the metals industries and the industries we serve; (4) volatility and major fluctuations in prices and availability of scrap metal, scrap substitutes and supplies, and our potential inability to pass higher costs on to our customers; (5) cost and availability of electricity, natural gas, oil, and other energy resources are subject to volatile market conditions; (6) increased environmental, greenhouse gas emissions and sustainability considerations from our customers and investors or related regulations; (7) compliance with and changes in environmental and remediation requirements; (8) significant price and other forms of competition from other steel and aluminum producers, scrap processors and alternative materials; (9) availability of an adequate source of supply of scrap for our metals recycling operations; (10) cybersecurity threats and risks to the security of our sensitive data and information technology; (11) the implementation of our growth strategy; (12) our ability to retain, develop and attract key personnel; (13) litigation and legal compliance; (14) unexpected equipment downtime or shutdowns; (15) difficulties in the launch or production ramp-up of new products; (16) our aluminum operations depend on a core group of significant customers; (17) governmental agencies may refuse to grant or renew some of our licenses and permits; (18) our existing debt agreements contain, and any future financing agreements may contain, restrictive covenants that may limit our flexibility; and (19) the impacts of impairment charges.
More specifically, we refer you to our more detailed explanation of these and other factors and risks that may cause such predictive statements to turn out differently, as set forth in our most recent Annual Report on Form 10-K under the headings Special Note Regarding Forward-Looking Statements and Risk Factors, in our Quarterly Reports on Form 10-Q, or in other reports which we file with the Securities and Exchange Commission. These reports are available publicly on the Securities and Exchange Commission website, www.sec.gov, and on our website, www.steeldynamics.com under "Investors – SEC Filings."
