Track market-moving stories before they get noisy

The headline number gets attention. Palantir (NASDAQ:PLTR | PLTR Price Prediction) secured a $10 billion, 10-year Enterprise Agreement with the U.S. Army last summer.

The contract was awarded July 31, 2025, and the question worth asking now, nearly a year in, is whether Wall Street has properly priced what that vehicle does to the company’s competitive position. The stock is down 31% year to date and down 25% since the deal was awarded, so the market has clearly not treated this as a one-way moat story.

What the consolidation actually changes The Army agreement folds 75 contracts (15 prime plus 60 related) into a single vehicle, strips out reseller pass-through fees, and is available to other Department of Defense components. It also sits on top of the Maven Smart System work, including a 2025 expansion worth up to $795 million.

Fewer renewal cycles means fewer chances for a competitor to dislodge an incumbent, and removing resellers compresses the dollar path between the Pentagon and Palantir’s P&L. CRO Ryan Taylor noted Maven usage has doubled in the past four months through March and is now 4x over the past twelve months.

The structural point that gets lost in the multiple debate is that defense software, once embedded at the workflow layer, behaves more like infrastructure than tooling. Gotham has been woven into intelligence and operations workflows for over a decade, and the Maven Smart System now functions as the connective tissue between sensor data, targeting, and command decisions across multiple combatant commands.

An Enterprise Agreement that consolidates procurement vehicles raises the switching cost for any successor that might want to displace Palantir. That is the practical definition of a moat in government software.

The recurring-revenue case investors keep underweighting U.S. Government revenue reached $687 million in Q1 2026, up 84% year over year, with total remaining deal value of $11.8 billion and RPO of $4.5 billion, up 134% year over year. That is the texture of long-duration software infrastructure rather than project work.

CEO Alex Karp framed the posture bluntly. “We always prioritize the U.S. warfighters over everything else,” he said, adding that the company’s “biggest problem currently in the U.S. is that we just cannot meet demand.” Operating leverage is showing up where it should. GAAP operating margin reached 46% in Q1 2026.

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The commercial flywheel reinforces the government story rather than competing with it. U.S. commercial revenue grew 133% year-over-year in Q1 2026 to $595 million, and remaining deal value in that segment expanded 112% to $4.92 billion.

Moreover, Palantir’s Artificial Intelligence Platform has become the connective layer for enterprises trying to translate large-language-model output into auditable workflows. This is the same problem the DoD is solving at scale with Maven. The shared platform means engineering investment compounds across both customer bases, which is why adjusted operating margin expanded to 60% from 44% a year earlier.

The limits of a ceiling number The $10 billion is a ceiling, the maximum potential value, not guaranteed obligated spending. Army procurement totaled $25.3 billion in FY 2025 actuals and $30.1 billion enacted for FY 2026, and any single vendor’s draw against that is a political and budgetary outcome.

Palantir trades at a trailing P/E of 129x and a price-to-sales ratio of 53x, against an analyst target price of $182.75.

There are also genuine business risks worth flagging. Federal contracts carry termination-for-convenience clauses, customer concentration remains elevated even with the commercial mix shifting, and stock-based compensation ran at $201.6 million in Q1 alone. None of these are fatal, but they qualify the bull case in ways the headline ceiling does not.

What the deal does, and does not, settle The Enterprise Agreement makes Palantir harder to rip out and easier to expand into adjacent DoD components. It does not guarantee the whole $10 billion, and it does not justify any particular multiple.

Both things can be true. For investors, the question is not whether $10 billion lands on the income statement on a fixed schedule. Instead, it is whether the consolidation tightens Palantir’s grip on the workflow layer of U.S. defense software for the next decade. On that narrower question, the answer looks increasingly clear, even if the stock’s valuation forces a separate debate about price.

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Shares of Palantir Technologies PLTR rose on Monday as investors welcomed a new artificial intelligence partnership with Nvidia (NVDA), extending the stock's recovery after it snapped a seven-day losing streak last week.

Palantir stock advanced more than 3% to $116.45 after gaining 5.3% on Friday.

The rebound follows a difficult month for the software company, with shares down 25% in June and on track for their weakest monthly performance in five years.

The latest gains came after Palantir announced a new strategic initiative with Nvidia to build custom artificial intelligence models for the US government using the Nvidia AI ecosystem and Nvidia Nemotron AI models.

Under the partnership, Nvidia's AI platform and Palantir's critical infrastructure products will be integrated to provide US government agencies with a secure "intelligent engine" for training and deploying AI models.

The platform is designed for government agencies and critical US infrastructure operators that require secure, mission-critical AI deployments while maintaining operational control over sensitive data.

According to Palantir, the platform includes explicit data authorization, secure perimeter enforcement, customer-specific isolation, data portability, the right to erase data and full auditability.

The company said these capabilities are intended to help organizations meet stringent regulatory and security requirements.

"Combining Palantir infrastructure with Nvidia's AI and Nemotron models will allow the US government to unleash the full power of LLMs while removing the underlying security risks and rational concerns around proprietary insights migrating into the weights of closed models," Palantir CEO Karp said.

The announcement marks another collaboration between the two companies and comes after a sharp pullback in Palantir's share price during June.

Separately, Palantir and Surf Air Mobility (SRFM) announced an expansion of their commercial partnership to accelerate the rollout of SurfOS.

The companies said they are adding engineering and go-to-market resources to speed deployment of OperatorOS, OwnerOS and SurfOS Enterprise Solutions.

The expanded partnership follows the commercial launch of BrokerOS and Surf Air Mobility's recent multi-million-dollar Enterprise BrokerOS agreement with Wheels Up.

Powered by Palantir's Artificial Intelligence Platform (AIP) and Foundry, SurfOS is designed to modernize private aviation by helping operators, brokers, owners and manufacturers improve efficiency while lowering costs.

According to the companies, the expanded collaboration will accelerate product development, including deployment of AIP agents, while positioning SurfOS as a central operating system for the private aviation and air mobility industry.

Technical picture remains under pressureDespite Monday's rally, Palantir shares remain well below several important technical levels after a prolonged selloff.

The stock has fallen 30% in 2026 amid broader concerns that advances in artificial intelligence could disrupt software companies.

During its seven-day losing streak between June 16 and June 25, the shares broke below multiple technical support levels and slipped beneath both their 50-day and 200-day moving averages.

Palantir's 50-day moving average stands near $136, while its 200-day moving average is around $158.6.

The February "death cross," when the 50-day moving average fell below the 200-day moving average, continues to weigh on the technical outlook.

Momentum indicators also remain subdued, with the Moving Average Convergence Divergence (MACD) indicator below its signal line and the histogram remaining negative.

Even so, Monday's gains suggest investors are responding positively to Palantir's expanding AI initiatives.

The Nvidia partnership, coupled with the broader commercial expansion with Surf Air Mobility, provides fresh catalysts as the company seeks to regain momentum after one of its sharpest monthly declines in recent years.

Shares of Albemarle (ALB 3.34%) are flat so far this year, thanks to an oversupply of lithium and a flattened demand for electric vehicles (EVs) in the United States.

However, the long-term need for this critical metal is projected to increase 353% by the end of the decade, according to a report by the United Nations Conference on Trade and Development.

Albemarle, the largest lithium miner in the world in terms of production, is in a good position to benefit from that trend.

Image source: Getty Images.

The price of lithium is bouncing back After lithium prices collapsed from their 2022 peaks, the market finally found its floor in late 2024 and has staged a resilient year-to-date rebound. Chinese spot prices have climbed back into the $23 per kilogram (kg) range, up from their $10 kg low in the fall of 2024, thanks to a restocking cycle by battery manufacturers.

While EV demand is steady, a new catalyst has emerged: utility-scale battery energy storage systems (BESS). Driven by renewable energy mandates and surging power demands from artificial intelligence (AI) data centers, BESS output is projected to jump roughly 35% year over year.

Because major producers curtailed expansion plans during the downturn, analysts project a 4% global lithium supply deficit for 2026, which should act as a powerful tailwind for realized pricing.

Radical cost discipline and blowout earnings Albemarle has pivoted from a pure growth mindset to a stricter focus on operational efficiency. It slashed capital expenditures by 46% year over year in the first quarter, idled high-cost capacity, including its Kemerton Train 1 facility in Western Australia in February, and divested its Ketjen catalyst division in March, to become a lean, pure-play energy transition company.

The strategy is already paying off. In the first quarter, Albemarle reported sales of $1.4 billion, up 33% year over year, driven mainly by higher pricing and volume in energy storage. And adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) totaled $664 million, up 148% from the same period a year ago.

Even with disciplined spending, Albemarle remains on track to deliver a 15% volumetric compound annual growth rate (CAGR) in Energy Storage through 2027 by focusing strictly on high-return, tier-one assets such as its Greenbushes mine in Australia and the Salar de Atacama mine in Chile.

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A repaired balance sheet and an underpriced stock The company has used its surging free cash flow to execute a dramatic debt-clearing program. In the first quarter, Albemarle used $248 million in free cash flow alongside strategic actions to pay down $1.3 billion in debt, bringing its debt-to-EBITDA ratio down to a more secure 1.0x. This debt reduction slashed its weighted average interest rate to 3.1%, permanently lowering annual interest expenses.

Despite strong fundamental momentum, the stock has recently experienced short-term technical weakness, pulling back to the $140 range, while analysts' average price target is $214.65. The company's shares are trading for less than 12 times forward earnings. This leaves the stock trading at a discount to its intrinsic value, offering an excellent entry point for long-term investors.

The company's dividend yields an above-average 1.15% at its current share price, and with a payout ratio of 46%, there's room to grow its dividend. That means investors can afford to ride the stock's swings until it rises.

Micron (MU 0.05%) stock slipped 2% through 12:35 p.m. ET Monday as even more worries about the durability of demand for DRAM and NAND computer memory surfaced.

Perennial Micron bull Jordan Klein at Mizuho is doing his best to contain the damage with a note in support of Micron today... but it seems to be having limited effect.

Image source: Micron.

What's worrying Micron investors today Over the weekend, we learned Apple (AAPL 0.53%) is petitioning the U.S. government for permission to skip purchases of overpriced Micron and Sandisk (SNDK 3.62%) memory chips, and buy from Chinese supplier CXMT instead.

CXMT primarily makes DRAM, not NAND flash, so this is really only a threat to half of Micron's business -- but it's an important half, as HBM DRAM demand is the primary driver behind Micron's profit margins right now. Worse, if Apple's just the tip of the iceberg, and other memory buyers begin begging for permission not just to buy cheaper chips, but to have a chance to buy any chips at all, wherever they come from -- then the pricing power that Micron gets from limited memory supplies could begin to evaporate.

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Should you worry? So how big a threat is this, really?

Well, Mizuho analyst Jordan Klein points out that "DRAM and NAND supply is way below true end demand" right now -- with China or without it. And buyers may have to go without it, because (a) there's no guarantee the U.S. government will permit Apple to buy DRAM from CXMT, and (b) there's no guarantee China would permit it, either, as it struggles to produce enough DRAM for its own artificial intelligence ambitions!

Meanwhile, DigiTimes reports buyers may have to pay 2.5 times 2026 prices to secure DRAM in 2027. The boom times for Micron, I suspect, won't end anytime soon.

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

Micron Technology (MU) stock is in focus after Phillip Securities raised its price target on the memory-chip maker, citing continued strength in DRAM and NAND m

Micron Technology's monster post-earnings rally is almost gone.

Shares of the maker of memory chips traded as low as $1,023.65 on Monday, down 18% from the 52-week high reached on Thursday. Monday's session low is also nearly $25 below the stock's closing level on Wednesday before Micron reported fiscal third-quarter revenues that blew past analyst expectations.

The sharp about-face has spurred some dip-buying among options traders in Micron, but flows across the sector are sharply divided depending on the stock or ETF.

Micron Technology shares in the past five trading sessions

In Micron, call volume outpaced puts but more calls were likely sold than bought, according to data from ThinkOrSwim. Of the $2.2 billion in premium traded by midday Monday, $1.6 billion was tied to calls, with seven of the top 10 contracts by volume calls, and all expiring Thursday, SpotGamma data show.

The VanEck Semiconductor ETF (SMH) added about 3% on Monday — despite Micron's dip — as Seagate Technology and Western Digital added 8% and 10%, respectively. The latter two stocks rose following a bullish initiation by Melius Research that said both could rally roughly 60% from current prices.

Call volume was almost double puts across Seagate and Western Digital, though the two traded less than 40,000 options in total. In Western Digital, where about 27,000 contracts traded, 3,000 calls were bought compared to just 1,000 puts. The most popular contract by volume was the 700-strike call expiring Thursday, an $8.50 trade that needs a 10% rally to pay off.

Flows in the SMH ETF skewed notably bearish – which they have for much of this summer – with put volume more than three times higher than calls. Traders bought almost 11,000 puts, compared to just 3,500 calls.

Volatility in the SMH is about 60, arguably making it a preferable vehicle for hedging compared to single stocks, where implied volatility is still the highest in the market. The most popular contract in SMH is the 560-strike put expiring Aug. 21.

Bulls are still showing a preference for the Roundhill Memory ETF (DRAM), where almost 300,000 contracts traded, and more than twice as many calls were bought than puts. Still, even the euphoria here may be fading some, with more calls sold than bought.

One bullish trader in DRAM collected over $3 million selling 2,200 of the 80-strike puts expiring Dec. 18 for $5.2 million and buying almost 3,000 of the 40-strike puts expiring June 2027 for $2 million.

Key Takeaways BlackBerry is expanding QNX beyond automotive into robotics, healthcare and industrial automation.BB sees Physical AI and software-defined vehicles increasing demand for secure real-time systems.BlackBerry strengthened QNX through new design wins, partner ecosystem and Secure Communications growth. Several long-term technology trends are converging around embedded software, cybersecurity and intelligent connected systems, creating new opportunities for companies that provide the foundational software powering these environments. As AI increasingly moves from the cloud into physical devices, demand is rising for secure, deterministic operating systems capable of supporting safety-critical applications.

BlackBerry Limited (BB - Free Report) is positioning itself at the center of these structural shifts through its QNX business, which has evolved well beyond its automotive roots. While software-defined vehicles remain a major growth driver, the company is also expanding into robotics, industrial automation, healthcare and other embedded markets where reliability, security and real-time performance are essential. Combined with its Secure Communications business and growing ecosystem of technology partners, BlackBerry is building a broader platform designed to capitalize on the next generation of intelligent connected systems.

BB Expands Beyond AutomotiveAlthough automotive software continues to represent QNX's largest market, BlackBerry is steadily reducing its dependence on any single industry by expanding across the broader General Embedded Markets (GEM).

Management describes GEM as QNX's fastest-growing business, encompassing robotics, industrial automation, medical devices, semiconductor equipment and other safety-critical embedded applications. While these projects are generally smaller than automotive programs, their higher volume significantly expands BlackBerry's long-term addressable market.

Recent design wins illustrate this diversification. During the fiscal first quarter, BlackBerry secured a royalty commitment from a leading semiconductor equipment manufacturer while expanding its existing relationship with medical diagnostics company Luminex through an upgrade to the latest SDP 8 platform. These wins complement continued automotive momentum and demonstrate growing demand across multiple embedded industries.

Expanding beyond automotive also helps diversify future royalty streams. Rather than relying exclusively on vehicle production cycles, BlackBerry is building exposure to multiple industries that increasingly require secure, safety-certified operating systems as digital transformation accelerates.

BlackBerry Benefits From Physical AIUnlike traditional generative AI applications that primarily process information, Physical AI enables autonomous machines to perceive, make decisions and interact safely with the physical world. These systems require deterministic operating systems that deliver predictable responses under all operating conditions—a capability that distinguishes QNX from conventional software platforms.

Management believes automotive has effectively become the proving ground for Physical AI because modern vehicles function as highly sophisticated robots operating in complex environments. As robotics, autonomous industrial equipment and intelligent medical devices become more capable, many of the same software requirements—including real-time performance, functional safety and cybersecurity—will become increasingly important.

Software-defined vehicles and centralized computing architectures further strengthen this opportunity. Automakers are consolidating dozens of electronic control units into centralized computing platforms that require highly reliable operating systems capable of managing multiple safety-critical domains simultaneously. QNX has continued expanding design wins across advanced driver assistance systems, centralized compute platforms and commercial vehicles, reinforcing its leadership in this transition.

BlackBerry also views Alloy Core as a potential long-term catalyst. Rather than serving only as the operating system, Alloy Core aims to position BlackBerry as a broader platform provider that simplifies software-defined vehicle development. If widely adopted, Alloy Core could substantially increase software content per vehicle, expand average selling prices and drive larger future royalty streams.

BB Gains From Trusted PartnershipsBlackBerry's competitive position is strengthened by an expanding ecosystem of strategic partners and longstanding customer relationships.

Within QNX, collaborations with NVIDIA (NVDA - Free Report) , Qualcomm (QCOM - Free Report) and Arm position the operating system alongside many of the industry's leading semiconductor platforms. These relationships help integrate QNX into next-generation intelligent edge systems while serving as important sales channels for future deployments across automotive, robotics and broader Physical AI markets.

Recent design wins further reinforce the company's position in mission-critical environments. During the latest quarter, BlackBerry secured new automotive programs spanning advanced driver assistance systems, driver monitoring systems, commercial vehicles and centralized computing platforms while also expanding deployments of its latest SDP 8 technology. Development license revenue reached its highest level in eight quarters, providing an encouraging leading indicator for future royalty growth as customers begin developing new software platforms years before production begins.

Beyond QNX, BlackBerry continues leveraging decades-long relationships with governments, defense organizations and highly regulated industries through its Secure Communications business. Growing demand for digital sovereignty and cybersecurity modernization has supported new customer wins and contract expansions across North America and Europe, reinforcing the company's reputation in environments where security certifications and reliability remain critical competitive advantages.

How BB Ratings Support the Trend StoryBlackBerry currently carries a Zacks Rank #2 (Buy), reflecting improving earnings expectations and constructive near-term sentiment following stronger operating performance. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The company also earns a Growth Score of A, supported by expanding QNX opportunities, improving profitability, stronger cash generation and multiple long-term technology trends that continue to broaden its addressable markets. These characteristics align well with investors seeking companies benefiting from secular growth themes.

At the same time, BlackBerry's Value Score of F and Momentum Score of F suggest that investors should remain mindful of valuation after the stock's substantial 2026 rally. Together, these produce an overall VGM Score of D, indicating that much of the improving outlook is already reflected in the current share price.

Taken together, BlackBerry's ratings support a balanced investment case. Improving earnings expectations and expanding opportunities across Physical AI, software-defined vehicles and embedded systems reinforce the company's long-term growth potential. However, investors should weigh those favorable industry trends against richer valuation metrics and the execution required to fully capitalize on these emerging markets.

Key Takeaways BlackBerry posted stronger first-quarter results with higher margins, cash flow and raised guidance.BB continues expanding QNX across software-defined vehicles, embedded markets and Secure Communications.BlackBerry's richer valuation means future gains hinge on sustained execution and profitable growth. BlackBerry Limited (BB - Free Report) has been one of the market's biggest turnaround stories in 2026, with its shares surging as investors increasingly recognize the company's successful transformation into a software and cybersecurity business. Strong execution across QNX and Secure Communications, improving profitability and higher financial guidance have fundamentally changed sentiment surrounding the stock.

BB’s shares have gained 148.9% in the past year, significantly outpacing the Internet Software industry’s fall of 23.6%. The broader Zacks Computer & Technology sector and the S&P 500 composite have registered gains of 33.2% and 21.8%, respectively.

Image Source: Zacks Investment Research

However, after such a dramatic rally, the investment question has shifted. Rather than asking whether BlackBerry's business is improving, investors must determine whether those operational gains are sufficient to justify today's valuation. While the company continues to benefit from several long-term growth catalysts, expectations have also risen considerably, making execution increasingly important.

BlackBerry Delivers Better ResultsBlackBerry's latest quarterly results demonstrated that its turnaround is translating into stronger financial performance.

Fiscal first-quarter 2027 revenue increased 26% year over year to approximately $153 million, exceeding the high end of management's guidance. Adjusted earnings per share came in at 4 cents, while adjusted EBITDA more than doubled from the prior-year period to approximately $36 million, representing a 24% margin. Gross margin expanded four percentage points year over year to roughly 79%, highlighting improving operating leverage as higher-margin software revenue becomes a larger portion of the business.

Cash generation also improved meaningfully. BlackBerry produced approximately $5 million in operating cash flow during what management described as a seasonally weaker quarter and generated positive free cash flow while reporting its fifth consecutive quarter of positive GAAP net income. The company also raised its full-year operating cash flow expectation to approximately $100 million, reinforcing management's confidence that revenue growth is increasingly translating into sustainable profitability.

Image Source: Zacks Investment Research

Why BB Still Has Growth CatalystsDespite the stock's sharp advance, BlackBerry still has several long-term growth drivers.

QNX remains the company's primary growth engine as automakers continue adopting software-defined vehicle architectures that require increasingly sophisticated operating systems. Development license revenue reached its highest level in eight quarters, an encouraging indicator because these licenses are typically purchased years before production royalties begin. Management also continues to expand QNX's footprint across advanced driver assistance systems, centralized vehicle computing and commercial vehicles.

Beyond automotive, General Embedded Markets (GEM) represent another attractive opportunity. Robotics, industrial automation, medical devices and semiconductor equipment all require safety-certified embedded operating systems; while emerging Physical AI applications could significantly expand BlackBerry's addressable market over time. Alloy Core also offers the potential to increase software content per vehicle, raising average selling prices and expanding future royalty revenue if customer adoption accelerates.

Licensing has also improved, with fiscal first-quarter revenue exceeding expectations due to stronger licensing agreements and one-time deals. Meanwhile, Secure Communications continues benefiting from digital sovereignty initiatives, cybersecurity modernization and increasing government demand for encrypted communications. Stable recurring revenue, healthy customer retention and opportunities for additional large government contracts provide another avenue for long-term growth.

What Could Slow BlackBerryWhile the long-term outlook has improved, several risks remain.

Macroeconomic uncertainty continues to affect automotive customers, with some manufacturers delaying development programs because of supply chain challenges, tariff concerns and broader economic caution. Since QNX royalties ultimately depend on vehicle production, prolonged delays could slow revenue realization even if design wins remain healthy.

Secure Communications also faces inherent variability because government procurement cycles are unpredictable. Large contracts often require lengthy approval processes, meaning quarterly revenue can fluctuate significantly depending on the timing of major awards. Geopolitical changes across the United States, Canada, Germany and other key markets could also delay procurement decisions or alter government spending priorities.

Competition remains another important consideration. BlackBerry operates in rapidly evolving markets where continuous investment in research and development is necessary to maintain technological leadership. The company competes against well-capitalized software and cybersecurity providers, including CrowdStrike (CRWD - Free Report) and Palo Alto Networks (PANW - Free Report) , requiring ongoing innovation to preserve its competitive position.

BB Trades at a Premium ValuationBlackBerry's improving fundamentals have been accompanied by a significantly richer valuation following the stock's powerful 2026 rally.

The stock currently trades at a forward 12-month P/E of 76.62, compared with the sub-industry average of 24.93. Those multiples represent a substantial premium compared with where the company traded before investors began pricing in its improving growth outlook.

Image Source: Zacks Investment Research

The current Zacks price target of $13 implies additional upside from recent trading levels but suggests a more measured return potential than earlier in the turnaround. While BlackBerry's operational progress clearly supports a higher valuation than in prior years, investors are now paying for anticipated future growth rather than simply a restructuring story.

As a result, future share appreciation will likely depend more on sustained execution across QNX, Secure Communications and cash generation than on multiple expansion alone.

How BB's Ratings Fit Investor DecisionsBlackBerry currently carries a Zacks Rank #2 (Buy), reflecting improving earnings expectations and constructive near-term sentiment. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The stock also earns a Growth Score of A, supported by accelerating revenue growth, expanding margins and improving operating cash flow. However, its Value Score of F indicates that shares no longer appear inexpensive after the rally, while its Momentum Score of F suggests recent price action already reflects much of the improving outlook. Together, these produce an overall VGM Score of D.

Taken together, the ratings reinforce a balanced investment case. BlackBerry continues to benefit from strong execution, expanding QNX opportunities and improving financial performance that support a favorable near-term outlook. At the same time, richer valuation metrics mean investors should expect future returns to depend increasingly on the company's ability to sustain profitable growth rather than simply improving sentiment.

For investors with a long-term horizon, BlackBerry's transformation appears increasingly credible. However, after its massive 2026 rally, the stock now offers a more balanced risk-reward profile, where continued operational execution will be essential to justify further upside.

BlackBerry Ltd (BB) has undergone a massive fundamental transformation, culminating in its Q1 earnings beat on June 24th. Driven by a 26% year-on-year increase in the QNX software division and the first positive operating cash flow in nine years, BB shares hit a new 52-week high of $12.15 on Monday morning.

Teladoc (TDOC) was a big mover last session on higher-than-average trading volume. The latest trend in earnings estimate revisions might not help the stock continue moving higher in the near term.

OXY's stronger ROE, cheaper valuation, earnings estimate growth and six-month share gains give it an edge over CVX.

Key Takeaways Globus Medical outpaced Medtronic in share gains and analyst price target upside over the past year. GMED posted strong Spine and Trauma growth, stayed debt-free and continued investing in R&D and new product. MDT expanded robotics and digital surgery, increased its dividend and returned $4.2 billion to shareholders. Over the past year, shares of Globus Medical (GMED - Free Report) and Medtronic (MDT - Free Report) have gained 46.1% and 7.6%, respectively, significantly outperforming the industry’s 9.6% decline. U.S. medical stocks offer strong structural growth prospects driven by an aging global population, rising chronic disease prevalence and rapid technological integration. 

Given these positives, Globus Medical posted revenue growth of 27% year over year in the first quarter. Medtronic experienced 9.9% year-over-year revenue growth in the fiscal fourth quarter. 

It is time for investors to assess whether this momentum can extend through 2026. Let’s find out.

Image Source: Zacks Investment Research

The Case for GMEDGlobus Medical is taking share in Musculoskeletal Solutions, supported by broad-based growth across its core categories. In the first quarter of 2026, U.S. Spine marked its third straight quarter of 10% growth, with double-digit growth cited across standard fixation, minimally invasive surgery pedicle screws, expandable transforaminal lumbar interbody fusion, anteriorlumbar interbody fusion, posterior cervical and cervical plating. 

International Spine also grew 16.4% in the first quarter. Trauma revenues increased 30.4%, aided by continued adoption of the core trauma line and the Precice limb lengthening portfolio, with ANTHEM Elbow continuing to exceed expectations. 

The company continues to invest in R&D and product cadence as core part of its competitive positioning. In the first quarter of 2026, R&D expenses were 4.8% of sales, with management expecting it to be 5-6% of net sales for the full year, with spend ramping methodically through the year as product efforts progress. 

Its early FDA 510(k) clearances for patient-specific lumbar spacers and rods reinforced its roadmap of linking planning software, enabling technologies and implants into one workflow. This launch activity complements the broader post-merger strategy of compressing development timelines and keeping the portfolio fresh across spine and orthopedics.

Globus Medical ended the first quarter of 2026 with $560.9 million of cash and cash equivalents and $68.9 million of short-term marketable securities. The company remains debt-free, which preserves the capacity to fund R&D, sales-force investments and manufacturing expansion without relying on external financing. Liquidity is also being replenished internally, with $202.4 million of operating cash flow generated in the quarter. This supports continued capital spending and buybacks alongside ongoing integration work.

The Case for MDTWithin Medtronic’s Medical Surgical portfolio, growth is supported by Hugo robotic-assisted surgery, Touch Surgery, Endoscopy and Acute Care & Monitoring. Surgical & Endoscopy rose 3.5% organically in the fourth quarter, with Hugo contributing as procedure volumes expanded globally. 

Acute Care & Monitoring grew 10.5% organically in the fourth quarter, driven by Nellcor pulse oximetry, respiratory and airway products, and perioperative offerings. Management expects MedSurg growth to normalize in fiscal 2027, but the portfolio enters the year with broader robotics and digital capabilities.

Also, the company submitted Hugo to the FDA for general surgery and gynecologic indications, as well as for the LigaSure RAS vessel sealer. It received FDA clearance for ProGrip Advanced, a mesh optimized for robotic-assisted ventral hernia repair. Touch Surgery installations exceeded 1,400 and increased more than 30% sequentially, adding a digital layer to the robotics ecosystem.

Medtronic exited fiscal 2026 with $9.2 billion in cash and investments compared with $8.38 billion at the end of the fiscal third quarter. On the debt side, the company issued $1.75 billion of long-term debt and repaid $2.93 billion during fiscal 2026, while current debt obligations increased $9 million on a net basis.

Medtronic returned $4.2 billion to shareholders in fiscal 2026 and raised its quarterly dividend to $0.72 per share for the first quarter of fiscal 2027, marking the 49th consecutive year of dividend increases. The balance sheet position gives the company room to support tuck-in deals in coronary, neurovascular, neuromodulation and EP imaging while maintaining shareholder returns.

Valuation: GMED vs. MDTGlobus Medical currently trades at a forward, one-year, price-to-sales (P/S) of 3.55X, higher than its median. Medtronic’s 2.67X P/S sits below its median. Additionally, Globus Medical trades expensive than Medtronic. 

Image Source: Zacks Investment Research

Short Term Price Target Favors GMED Over MDTGMED: Based on short-term price targets offered by 12 analysts, the average price target of $109.83 represents an increase of 29.75% from the last closing price.

Image Source: Zacks Investment Research

MDT: Based on short-term price targets offered by 25 analysts, the average price target of $96.96 represents an increase of 20.42% from the last closing price.

Image Source: Zacks Investment Research

End NoteBoth Globus Medical and Medtronic are well positioned to benefit from long-term growth trends in musculoskeletal and medical technology markets, but they offer different investment profiles.

Globus Medical stands out for its strong execution in Spine and Trauma, robust product innovation pipeline, debt-free balance sheet and disciplined investment in R&D, positioning it as a higher-growth company. Meanwhile, Medtronic benefits from greater scale and a diversified portfolio, supported by expanding robotic-assisted surgery capabilities, digital surgery platforms and a long track record of shareholder returns through dividends and capital allocation. 

For investors, Globus Medical, currently carrying a Zacks Rank #2 (Buy), appears to be the stronger choice, given that it has outperformed Medtronic over the past year. However, for investors seeking a more discounted entry, Medtronic, carrying a Zacks Rank #4 (Sell) at present, may offer deeper value but with meaningfully higher risk. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Getting big returns from financial portfolios, whether through stocks, bonds, ETFs, other securities, or a combination of all, is an investor's dream. But when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.

Cash flow can come from bond interest, interest from other types of investments, and, of course, dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends account for significant portions of long-term returns, with dividend contributions exceeding one-third of total returns in many cases.

Headquartered in Omaha, Union Pacific (UNP - Free Report) is a Transportation stock that has seen a price change of 16.01% so far this year. The railroad is currently shelling out a dividend of $1.38 per share, with a dividend yield of 2.06%. This compares to the Transportation - Rail industry's yield of 0.78% and the S&P 500's yield of 1.41%.

Looking at dividend growth, the company's current annualized dividend of $5.52 is up 1.5% from last year. Over the last 5 years, Union Pacific has increased its dividend 3 times on a year-over-year basis for an average annual increase of 7.19%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Union Pacific's current payout ratio is 46%, meaning it paid out 46% of its trailing 12-month EPS as dividend.

UNP is expecting earnings to expand this fiscal year as well. The Zacks Consensus Estimate for 2026 is $12.55 per share, with earnings expected to increase 7.63% from the year ago period.

From greatly improving stock investing profits and reducing overall portfolio risk to providing tax advantages, investors like dividends for a variety of different reasons. But, not every company offers a quarterly payout.

Big, established firms that have more secure profits are often seen as the best dividend options, but it's fairly uncommon to see high-growth businesses or tech start-ups offer their stockholders a dividend. During periods of rising interest rates, income investors must be mindful that high-yielding stocks tend to struggle. With that in mind, UNP is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of #3 (Hold).

RTX (RTX - Free Report) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.

The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.

The power of a changing earnings picture in determining near-term stock price movements makes the Zacks rating system highly useful for individual investors, since it can be difficult to make decisions based on rating upgrades by Wall Street analysts. These are mostly driven by subjective factors that are hard to see and measure in real time.

As such, the Zacks rating upgrade for RTX is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.

Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. The influence of institutional investors has a partial contribution to this relationship, as these big professionals use earnings and earnings estimates to calculate the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their transaction of large amounts of shares then leads to price movement for the stock.

Fundamentally speaking, rising earnings estimates and the consequent rating upgrade for RTX imply an improvement in the company's underlying business. Investors should show their appreciation for this improving business trend by pushing the stock higher.

Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.

The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .

Earnings Estimate Revisions for RTXThis an aerospace and defense company is expected to earn $6.91 per share for the fiscal year ending December 2026, which represents no year-over-year change.

Analysts have been steadily raising their estimates for RTX. Over the past three months, the Zacks Consensus Estimate for the company has increased 1.5%.

Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.

You can learn more about the Zacks Rank here >>>

The upgrade of RTX to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.

© New Africa / Shutterstock.com

David Bahnsen, Chief Investment Officer at The Bahnsen Group, appeared on CNBC’s Squawk Box this morning with a specific warning. His tell is more clinical. “I think a bubble gets ready to pop is when you start seeing companies have the good news everyone’s been talking about and cheerleading and then the stocks don’t respond,” he told CNBC.

The companies are still delivering. The buyers have stopped showing up at the price.

Price action in the AI bellwethers backs him up.

The Palantir and NVIDIA disconnect Palantir (NASDAQ:PLTR | PLTR Price Prediction) just printed one of the cleanest quarters any large-cap software company has produced. Revenue grew 84.71% year over year to $1.63 billion, U.S. commercial revenue jumped 133%, and CEO Alex Karp announced a Rule of 40 score of 145%, a number he claimed only NVIDIA (NASDAQ:NVDA), Micron (NASDAQ:MU), and SK Hynix can match. Management raised the full-year guide to roughly 71% growth. You can read the press release on the SEC’s site.

The stock filed at $144.45 on May 4 and has traded down to $116.86. Year to date PLTR is down 36.47%. Bahnsen on CNBC: “Palantir just had the two greatest quarters it’s ever going to have and the stock is down 50%. Nvidia has not moved in nine months.”

NVIDIA reported Q1 FY27 revenue of $81.6 billion, up 85.2% year over year, with Data Center at $75.25 billion and a Q2 guide of $91.0 billion. Yet over the past nine months, from September 29, 2025 through June 26, 2026, NVDA is up only 6.01%. For the most important compute platform on earth posting free cash flow growth of 74.51%, that is something close to a stall.

Broadcom (NASDAQ:AVGO) follows the same pattern. AI semiconductor revenue grew 143% to $10.8 billion, with management guiding to $16.0 billion next quarter, up over 200% year over year. The stock filed at $495 on June 3, traded to $419.60 within an hour, and now sits near $373.90. Three companies, three blowouts, three weak responses.

The 50x-forever problem Bahnsen separates the chip from the multiple. “You don’t have to be a doubter in AI. You don’t have to be a doubter in even some of these individual companies.” Rather, you “just have to doubt that it’s worth 50 times earnings forever and ever,” he said on CNBC. PLTR currently trades at a P/E near 159x. That sets a high bar for the next decade of execution.

Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.

His complaint about Wall Street’s S&P 500 targets near 7,800 applies the same logic at the index level. Those targets assume roughly 20x multiples and flawless earnings. “I think the forward earnings are not realistic. And I also think the assumptions of continued growth to rationalize even a lower multiple are very likely not realistic,” he told the show. The S&P is already up 8% year to date, much of that carried by the same names now stalling.

What Bahnsen actually predicts His call diverges from the usual perma-bear script. “I think you will have a moment in which things reprice. We saw it with dot com and you had five companies survive and you had 99% go to the graveyard,” he said, then walked it back from a timing call. “I’m not talking about timing anything. I’m just simply saying the investor psychology always 100% of the time gets ahead of itself.”

His base case for the next couple of years is a grind. “What I would say is a better prediction is that you wake up in a couple of years and you have a very muted return that along the way there’s rallies but there’s sell offs.” Margin debt at record levels gives him pause, though the composition differs from the 1999 retail mania.

Strong fundamentals do not mechanically beat starting valuations. If you own these names, the question is whether the next leg of earnings growth has already been priced in. Retail is starting to wonder out loud.

Reddit data shows Palantir sentiment flipping from a bullish 72 in early June to a very bearish 18 by June 3, triggered partly by a viral Michael Burry post calling the stock “a sand castle supported only by AI applications narrative.” Bahnsen would put it less colorfully. The good news stopped working, and that is the data point worth tracking.

Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.

Pan American Silver Corp (NYSE:PAAS) has seen choppy trading this year, most recently pulling back to familiar support at the $44 level. A fresh, strong bullish signal has the shares looking at a strong bounce off this region, however. 

According to Schaeffer's Senior Quantitative Analyst Rocky White, PAAS is trading within 0.75 times the 260-day moving average's 20-day average true range (ATR), after spending at least 80% of the previous two weeks and 80% of the prior 42 trading sessions above that trendline. This setup has appeared nine times over the last decade, after which the stock was higher one month later 100% of the time, averaging a large 15.4% gain. A similar move from the stock's current perch at $44.61 would have it trading at $51.47.

An unwinding of pessimism amongst options traders could provide a tailwind as well. PAAS' 50-day put/call volume ratio of 2.71 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) ranks higher htan 90% of readings from the past year, showing puts being picked up at a much faster-than-usual rate. 

Key Takeaways Palo Alto Networks partnered with IBM and Red Hat to speed protection against software vulnerabilities.PANW teamed up with Deutsche Telekom to launch Sovereign Cortex for regulated European industries.PANW's partnerships expand AI security capabilities and support broader enterprise customer opportunities. Palo Alto Networks (PANW - Free Report) is using strategic partnerships to expand its AI security platform and address new cybersecurity challenges. Rapid adoption of AI by enterprises requires the need for better protection against cyber threats and solutions that meet regulatory requirements. The company's recent partnerships with IBM, Red Hat and Deutsche Telekom support the above-mentioned goals as they expand PANW's security capabilities, while helping the company reach new customer segments.

PANW's partnership with IBM and Red Hat focuses on reducing the time between vulnerability discovery and protection. AI has made it possible to identify software vulnerabilities much faster, giving attackers less time to exploit them before organizations apply software patches. Under the partnership, PANW's Virtual Patching technology can immediately block attacks at the network level, while IBM and Red Hat's Project Lightwell provide software fixes that customers can test and deploy later. The solution also expands protection across open-source software, commercial applications, operational technology and healthcare systems.

The partnership with Deutsche Telekom is aimed at regulated industries in Europe. The companies launched Sovereign Cortex with T Security, an AI-driven security operations platform with additional data sovereignty controls. The solution provides European data residency, Europe-based support, encryption key controls and audited access logs to help organizations comply with regulations such as GDPR, NIS2 and DORA. The solution is scheduled to be released in the third quarter of fiscal 2026 and is initially targeted at customers in healthcare, financial services, the public sector and critical infrastructure.

The above-mentioned strategic partnerships strengthen different parts of PANW's business. The IBM and Red Hat partnership strengthens PANW's vulnerability management capabilities, while the Deutsche Telekom partnership expands PANW's presence in regulated European markets. Together, these partnerships should strengthen PANW's AI security platform, while creating additional opportunities for the company to win enterprise customers as AI adoption continues to grow.

How Competitors Fare Against PANWCompetitors like CrowdStrike (CRWD - Free Report) and SentinelOne (S - Free Report) are also gaining ground through platform expansion and AI innovation.

CrowdStrike ended its first quarter of fiscal 2027 with $5.51 billion in ARR, reflecting 24% year-over-year growth. The robust increase was fueled by the growing adoption of CrowdStrike’s Falcon Flex subscription model.

Though comparatively a small competitor, SentinelOne posted first-quarter fiscal 2027 year-over-year growth of 23% in its ARR. The growth was fueled by the rising adoption of SentinelOne’s AI-first Singularity platform and Purple AI.

PANW’s Price Performance, Valuation & EstimatesShares of Palo Alto Networks have jumped 65.1% in the year-to-date period compared with the Zacks Security industry’s return of 49.8%.

PANW’s YTD Price Return Performance
Image Source: Zacks Investment Research

From a valuation standpoint, Palo Alto Networks trades at a forward price-to-sales ratio of 18.35X compared with the industry’s average of 16.34X. The Zacks Value Score of F also suggests that PANW stock is overvalued.

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

The Zacks Consensus Estimate for Palo Alto Networks’ fiscal 2026 and 2027 earnings implies year-over-year growth of 12.9% and 8.1%, respectively. The estimates for fiscal 2026 and 2027 have been revised up by 6 cents and 8 cents, respectively, over the past 30 days.

Image Source: Zacks Investment Research

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

Key Takeaways STM is growing its automotive sensing business with new design wins and the NXP MEMS acquisition.NXPI is gaining traction in software-defined vehicles with processors, radar and automotive Ethernet products.Both companies are expanding AI and automotive offerings while expecting higher 2026 sales growth. The automotive semiconductor market is evolving rapidly as vehicles become more connected, software-driven and electrified. Growing adoption of advanced driver assistance systems, electric vehicles, smart sensors and in-vehicle connectivity is creating long-term growth opportunities for chipmakers with strong automotive businesses.

Against this backdrop, STMicroelectronics N.V. (STM - Free Report) and NXP Semiconductors N.V. (NXPI - Free Report) have established themselves as key suppliers to global automakers, providing a broad range of chips that power next-generation vehicles. While both companies are well positioned to benefit from these industry trends, differences in their product offerings, customer exposure, financial performance and growth strategies make the investment choice less straightforward. So, which stock stands out as the better pick now?

The Case for STMSTMicroelectronics is strengthening its position in the automotive semiconductor market through a combination of product innovation and strategic expansion. During the first quarter, the company reported a return to year-over-year growth in automotive revenues and highlighted strong design activity with global automakers and Tier 1 suppliers. New wins across electric vehicles, hybrid platforms and traditional internal combustion models covered onboard chargers, powertrain systems, active suspension, vehicle control electronics and automotive sensors. The acquisition of NXPI's MEMS sensor business further expands STMicroelectronics' automotive sensing capabilities by adding complementary technologies, broadening its product portfolio and deepening customer relationships.

Beyond automotive, STMicroelectronics is benefiting from several high-growth technology trends that can support long-term earnings expansion. Management pointed to strong booking momentum across all end markets, normalized channel inventories and rising demand tied to artificial intelligence infrastructure. The company expects AI-related revenues to exceed $500 million in 2026 and surpass $1 billion in 2027, supported by silicon photonics, power semiconductors, microcontrollers and optical connectivity solutions. A multiyear commercial engagement with Amazon Web Services and collaborations with NVIDIA further reinforce ST's growing role in next-generation AI data centers and intelligent robotics.

STMicroelectronics also appears well-positioned to improve profitability as demand recovers. Management expects double-digit revenue growth in 2026, backed by stronger bookings, expanding customer programs and increasing AI opportunities. Gross margin is projected to improve sequentially throughout the year as factory utilization rises, product mix becomes more favorable and manufacturing efficiency gradually improves. At the same time, the company continues to invest in advanced manufacturing, silicon carbide and next-generation technologies that should strengthen its competitive position and support sustainable growth over the coming years.

The Case for NXPINXP Semiconductors continues to strengthen its leadership in automotive chips by capitalizing on the industry's transition toward software-defined vehicles, advanced driver assistance systems and vehicle electrification. During the first quarter, the company delivered automotive revenue growth driven by rising demand for its processing platforms, radar solutions and automotive Ethernet products. Management highlighted strong customer adoption of its next-generation S32N and S32K5 processors, which are expected to become the foundation of future vehicle architectures. New design wins across radar, connectivity and zonal computing also expand semiconductor content per vehicle and reinforce NXP Semiconductors' long-term growth prospects in the automotive market.

Beyond automotive, NXP Semiconductors is benefiting from powerful secular trends in industrial automation, physical AI and data center infrastructure. The company reported robust growth in Industrial and IoT, supported by strong demand for its latest processing platforms and increasing customer commitments to AI-enabled edge computing. Management also expects its data center business to more than double this year as customers adopt NXPI solutions for power management, cooling, networking and secure control applications. These opportunities diversify the company's revenue base while creating additional avenues for sustained growth.

NXPI's financial outlook also reflects improving business momentum and disciplined execution. Management expects broad-based growth across all major end markets in the second quarter, supported by strengthening order visibility and expanding customer adoption of its differentiated products. At the same time, the company projects further gross margin expansion through higher factory utilization, a richer product mix and operational efficiencies while maintaining its long-term commitment to shareholder returns through dividends and share repurchases. These factors position NXP Semiconductors to deliver profitable growth while remaining focused on long-term value creation.

How Does the Zacks Consensus Estimate Compare for STM & NXPI?The Zacks Consensus Estimate for STM’s 2026 sales implies a 21.6% year-over-year increase. The consensus estimate for earnings per share for 2026 is $1.17, compared with 53 cents reported in 2025. Earnings estimates for the current year have increased in the past 30 days.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for NXPI’s 2026 sales and EPS implies year-over-year growth of 14.3% and 25.2%, respectively. Earnings estimates for 2026 have remained stable in the past 30 days.

Image Source: Zacks Investment Research

Price Performance & ValuationSTM stock has surged 134.8% in the past year compared with the S&P 500’s growth of 21.8%. Conversely, NXPI’s shares have risen 26.8% in the same time frame.

Price Performance
Image Source: Zacks Investment Research

STM is trading at a forward 12-month price-to-earnings ratio of 36.78X, above its median of 25.35X over the last year. NXPI’s forward earnings multiple sits at 18.71X, down from its median of 19.06X over the same time frame.

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

End NotesBoth STMicroelectronics and NXP Semiconductors are well positioned to benefit from the growing demand for automotive chips, backed by expanding product portfolios, strong design wins and exposure to long-term trends such as vehicle electrification and software-defined vehicles.

However, STMicroelectronics appears to hold a slight edge at present. The company is expected to deliver stronger revenue and earnings growth, supported by its expanding presence in automotive sensing, silicon carbide and AI infrastructure. The company has also seen upward revisions to earnings expectations, reflecting improving confidence in its near-term outlook. Although STM trades at a richer valuation following the strong share price rally, its superior growth profile and favorable earnings momentum justify the premium.

STMicroelectronics sports a Zacks Rank #1 (Strong Buy), while NXP Semiconductors has a Zacks Rank #2 (Buy), making the former a slightly more attractive choice for investors seeking exposure to the automotive semiconductor space. You can see the complete list of today’s Zacks #1 Rank stocks here.

, /PRNewswire/ -- Class Action Attorney Juan Monteverde with Monteverde & Associates PC (the "M&A Class Action Firm"), has recovered millions of dollars for shareholders and is recognized as a Top 50 Firm in the 2025 ISS Securities Class Action Services Report. The firm is headquartered at the Empire State Building in New York City and is investigating Iridium Communications Inc. (NASDAQ: IRDM) related to its sale to Rocket Lab Corporation. Under the terms of the proposed transaction, Iridium shareholders are expected to receive $27.00 in cash and a number of shares of Rocket Lab common stock calculated pursuant to an exchange ratio. Is it a fair deal?

Click here for more info https://monteverdelaw.com/case/iridium-communications-inc/. It is free and there is no cost or obligation to you.

NOT ALL LAW FIRMS ARE EQUAL. Before you hire a law firm, you should talk to a lawyer and ask:

Do you file class actions and go to Court? When was the last time you recovered money for shareholders? What cases did you recover money in and how much? About Monteverde & Associates PC

Our firm litigates and has recovered money for shareholders…and we do it from our offices in the Empire State Building. We are a national class action securities firm with a successful track record in trial and appellate courts, including the U.S. Supreme Court. 

No one is above the law. If you own common stock in the above listed company and have concerns or wish to obtain additional information free of charge, please visit our website or contact Juan Monteverde, Esq. either via e-mail at [email protected] or by telephone at (212) 971-1341.

Contact:
Juan Monteverde, Esq.
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350 Fifth Ave. Suite 4740
New York, NY 10118
United States of America
[email protected]
Tel: (212) 971-1341

Attorney Advertising. (C) 2026 Monteverde & Associates PC. The law firm responsible for this advertisement is Monteverde & Associates PC (www.monteverdelaw.com). Prior results do not guarantee a similar outcome with respect to any future matter.

SOURCE Monteverde & Associates PC

Are IRDM, TBPH, SYNA, TECH Obtaining Fair Deals for their Shareholders? PR Newswire NEW YORK, June 29, 2026

Key Takeaways PLUG is gaining from electrolyzer demand, while FLUX faces order delays and weak sales.Plug Power's electrolyzer pipeline exceeds $8B, but cash fell 39% in Q1 2026.Flux Power posted a 60.5% revenue drop in Q3 FY26 amid tariffs and lower volumes. Plug Power Inc. (PLUG - Free Report) and Flux Power Holdings, Inc. (FLUX - Free Report) are well-known names in the clean energy space. Both companies are engaged in developing advanced energy solutions for commercial and industrial equipment worldwide.

Plug Power continues to capitalize on opportunities in the expanding green hydrogen market, while Flux Power is benefiting from robust demand for sustainable energy storage solutions in the material handling industry. Which of these companies has the stronger upside potential? Let us take a detailed look at their fundamentals, growth drivers and challenges to find out.

The Case for PLUGPlug Power's first-quarter 2026 results continued to show signs of improvement. After growing12.9% in 2025, PLUG’s revenues surged 22% year over year in the quarter. Revenues were driven by an increase in demand for its electrolyzer product line and a volume increase in hydrogen fuel sales. In the quarter, revenues from the electrolyzer product line rose steeply approximately 345% on a year-over-year basis.

The robust growth was fueled by rising demand for the company's GenEco proton exchange membrane (PEM) electrolyzers in the industrial and energy markets. The company has more than 320 MW of electrolyzer capacity deployed worldwide and more than $8 billion in project pipeline across industrial and energy applications. With strong expertise in providing and installing electrolyzers, Plug Power is well-positioned to capitalize on the increasing demand for renewable fuels and green ammonia globally.

Also, last month, PLUG secured a contract for supplying 30 MW of GenEco PEM electrolyzers for the industrial hydrogen production plant located in Barrow-in-Furness, Cumbria. The project will deploy PLUG’s six 5 MW GenEco PEM electrolyzers for the production of green hydrogen.

Also, in April, Plug Power finalized one of the largest electrolyzer project deals in its history. The company received the Front-End Engineering Design (FEED) contract from Hy2gen Canada to deliver a 275 MW GenEco PEM electrolyzer system for the latter’s “Courant” decarbonized ammonium nitrate project.

PLUG’s Project Quantum Leap is also enabling it to boost its cash flow and reduce its cash burn rate. As part of the project, it is benefiting from sales growth, pricing actions, inventory and capex management, and increased leverage of its hydrogen production platform.

However, a key challenge facing Plug Power is its continued inability to generate positive gross margins and cash flows. In the first quarter, the company reported a negative gross margin of 13%, while operating cash outflow amounted to $150 million.

Plug Power's liquidity position also remains a concern. The company ended the first quarter of 2026 with cash equivalents of $223.2 million, down 39% from the level at 2025-end.

The Case for Flux PowerFlux Power has been witnessing a decline in customer orders due to delays in new orders for its energy storage solutions, reflecting deferrals of new forklift purchases by certain large customer fleet amid lower capital spending and global tariff uncertainties. Tariffs have also negatively impacted the company’s revenues, profitability and cash flows. These factors hurt the company’s performance in the third quarter of fiscal 2026 (ended March 31, 2026), with revenues declining 60.5% year over year. Lower volumes in the material handling and airport ground support equipment markets further weighed on results.

Flux Power has been dealing with the adverse impacts of lower volumes and pricing pressures. In the third quarter of fiscal 2026 (ended March 2026), cost of sales declined 58.2% year over year, but gross profit fell 66%. Although the company lowered expenses through labor and overhead cost reductions, it continued to face profitability challenges. It reported an operating loss of $3 million in the quarter, wider than the prior-year quarter's operating loss of $1.6 million.

Also, given its weak liquidity position, the company has continued to rely on debt and equity financing to fund operations. As of March 31, 2026, Flux Power had an accumulated deficit of $111.5 million and cash and cash equivalents of only $0.4 million. During the first nine months of fiscal 2026, the company used $5.7 million in operating activities and incurred a net loss of $5.1 million.

Despite these headwinds, the company remains focused on improving profitability through cost-reduction, sourcing and pricing recovery initiatives. Flux Power also continues to invest in research and development and expand its portfolio of advanced lithium-ion energy storage solutions. With increasing electrification trends across industrial and commercial sectors, demand for lithium-ion and environmentally friendly energy storage solutions should support FLUX’s long-term growth prospects.

How Does the Zacks Consensus Estimate Compare for PLUG & FLUX?The Zacks Consensus Estimate for PLUG’s 2026 sales is $812.5 million, implying year-over-year growth of 14.5%. The consensus estimate for its bottom line is pegged at a loss of 35 cents per share.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for FLUX’s fiscal 2026 (ending June 2026) sales is approximately $41.8 million, indicating a decline of 37.1% year over year. The consensus estimate for its bottom line is pegged at a loss of 34 cents per share.

Image Source: Zacks Investment Research

Price Performance and Valuation of PLUG & FLUXIn the past six months, shares of Plug Power have soared 30.9%, while Flux Power stock has declined 39.9%.

Image Source: Zacks Investment Research

From a valuation standpoint, both PLUG and FLUX are trading at a negative forward price-to-earnings ratio.

Image Source: Zacks Investment Research

ConclusionDespite PLUG's ongoing challenges related to negative gross margins, cash burn and a weakening liquidity position, its strong presence in the green hydrogen market, expanding electrolyzer business, robust project pipeline and cost-saving initiatives under Project Quantum Leap are expected to support its long-term growth prospects. On the other hand, Flux Power continues to grapple with weak customer demand, lower sales volumes, pricing pressures, persistent operating losses and a fragile liquidity position, which are likely to weigh on its near-term performance.

Considering the long-term growth prospects, expanding market opportunities and recent revenue momentum, PLUG appears to be a better investment choice than FLUX at present. While PLUG currently carries a Zacks Rank #3 (Hold), FLUX has a Zacks Rank #5 (Strong Sell).

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

CHIP: USD.AI and Fluid Launch $100M Liquidity Facility

LOS ANGELES, June 29, 2026 (GLOBE NEWSWIRE) -- Glancy Prongay Wolke & Rotter LLP reminds investors of the upcoming July 28, 2026 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased or otherwise acquired Lucid Group, Inc. (“Lucid” or the “Company”) (NASDAQ: LCID) securities between February 25, 2026 and April 13, 2026, inclusive (the “Class Period”).

IF YOU SUFFERED A LOSS ON YOUR LUCID INVESTMENTS, CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS UNDER THE FEDERAL SECURITIES LAWS.

What Happened?
On April 3, 2026, Lucid announced its first quarter 2026 production and delivery totals, revealing that is had “produced 5,500 vehicles” but only “delivered 3,093 vehicles.” The Company explained that “deliveries of the Lucid Gravity were disrupted for 29 days due to a supplier quality issue with the second-row seats” and, “[a]s a result of this, the company’s ability to meet customer demand was impacted.”

The same day, Reuters published an article regarding Lucid’s delivery results, noting that deliveries had been impacted over a month earlier in February 2026 when Lucid paused to reverse an unauthorized supplier change and inspect vehicles already produced.

Then, on April 6, 2026, 24/7 Wall St. published an article stating that Lucid “cannot sell fewer than 4,000 vehicles and even pretend this is sustainable.”

On this news, Lucid’s stock price fell $1.13, or 11.35%, over two consecutive trading days, to close at $8.83 per share on April 7, 2026, thereby injuring investors.

Then, on April 14, 2026, Lucid released preliminary first quarter 2026 financial results, including revenue in the range of $280 million to $284 million, missing consensus estimates of $433.8 million, and losses from operations in the range of $985 million to $1.005 billion. The Company also revealed plans for a $1.05 billion capital raise, including a $300 million public stock offering.

On this news, Lucid’s stock price fell $0.44, or 4.76%, to close at $8.80 per share on April 14, 2026.

Then, on May 5, 2026, Lucid released its first quarter 2026 financial results, reporting GAAP earnings per share of -$3.46, missing consensus estimates by $0.83, a net loss of over $1 billion, and revenue of $282.47 million, missing consensus estimates by $76.04 million. The Company explained that the “supplier issue . . . during the quarter had an impact,” while also acknowledging that it “ended the quarter with elevated inventory[.]”

On this news, Lucid’s stock price fell $0.50, or 7.47%, over two consecutive trading days, to close at $6.19 per share on May 6, 2026, thereby injuring investors further.

What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) a supplier quality issue had significantly disrupted deliveries of the Lucid Gravity; (2) the foregoing was likely to, and did, have a material negative impact on the Company’s business and financial results; (3) accordingly, the Defendants had overstated the purported enhancements to Lucid’s manufacturing and delivery capabilities and overall operations; and (4) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

If you purchased or otherwise acquired Lucid securities during the Class Period, you may move the Court no later than July 28, 2026 to request appointment as lead plaintiff in this putative class action lawsuit.

Contact Us To Participate or Learn More:
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Charles Linehan, Esq.,
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100,
Los Angeles California 90067
Email:  [email protected]
Telephone: 310-201-9150,
Toll-Free: 888-773-9224
Visit our website at www.glancylaw.com.
Follow us for updates on LinkedIn, Twitter, or Facebook.

If you inquire by email, please include your mailing address, telephone number and number of shares purchased.

To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Contact Us:
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100
Los Angeles, CA 90067
Charles Linehan
Email:  [email protected]
Telephone: 310-201-9150
Toll-Free: 888-773-9224
Visit our website at: www.glancylaw.com.

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

If you purchased or acquired securities in Lucid Group between February 25, 2026 and April 13, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

[You may also click here for additional information]

New York, New York--(Newsfile Corp. - June 29, 2026) - Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Lucid Group, Inc. ("Lucid Group" or the "Company") (NASDAQ: LCID) and reminds investors of the July 28, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

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

As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) a supplier quality issue had significantly disrupted deliveries of the Lucid Gravity; (2) the foregoing was likely to, and did, have a material negative impact on the Company's business and financial results; (3) accordingly, the Defendants had overstated the purported enhancements to Lucid's manufacturing and delivery capabilities and overall operations; and (4) as a result, Defendants' public statements were materially false and misleading at all relevant times.

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

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

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

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

Frequently Asked Questions (FAQ) for Investors Regarding the Lucid Group, Inc. Securities Class Action Lawsuit:

What is the Lucid Group securities fraud lawsuit about?

The Lucid Group securities fraud lawsuit is a federal securities class action alleging that Lucid Group, Inc. (NASDAQ: LCID) and its executives made false and misleading statements to investors by concealing that a supplier quality issue had significantly disrupted deliveries of the Lucid Gravity SUV and overstating the Company's manufacturing and delivery capabilities. As the truth emerged through a series of disclosures - including an April 3, 2026 announcement that only 3,093 vehicles were delivered in Q1 2026 due to a 29-day delivery disruption caused by a supplier seat defect, an April 14, 2026 filing revealing Q1 revenue of just $280-$284 million against a consensus estimate of $433.8 million and a $1.05 billion capital raise, and a May 5, 2026 earnings report showing a net loss of over $1 billion and GAAP EPS of -$3.46 - LCID's stock price fell sharply across multiple trading sessions, causing significant losses for investors.

Who may be eligible to participate in the Lucid Group class action lawsuit?

Investors who purchased or acquired Lucid Group, Inc. (LCID) stock between February 25, 2026 and April 13, 2026 - the Class Period - and suffered financial losses may be eligible to participate in the Lucid Group securities class action. Participation as a class member does not require taking any affirmative legal action; eligible investors may recover losses simply by remaining members of the class. Whistleblowers, former Lucid Group employees, and others with relevant information about the Company's conduct are also encouraged to come forward.

What is a lead plaintiff, and how can I seek appointment in the Lucid Group lawsuit?

A lead plaintiff in the Lucid Group class action is a court-appointed investor - typically the one with the largest financial interest in the case - who directs and oversees the litigation on behalf of all class members. Any Lucid Group investor who purchased LCID stock during the Class Period may move the Court to serve as lead plaintiff through counsel of their choice. The deadline to seek lead plaintiff appointment is July 28, 2026. Importantly, choosing not to seek the lead plaintiff role does not affect an investor's ability to share in any recovery obtained for the class.

What should investors do if they purchased Lucid Group stock during the Class Period?

Investors who purchased Lucid Group, Inc. (LCID) stock between February 25, 2026 and April 13, 2026 and suffered losses should contact Faruqi & Faruqi, LLP immediately to discuss their legal rights. The deadline to seek appointment as lead plaintiff in the Lucid Group securities class action is July 28, 2026. To speak directly with securities litigation partner Josh Wilson, call 877-247-4292 or 212-983-9330 (Ext. 1310), or visit www.faruqilaw.com/LCID for more information.

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

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/303282

Source: Faruqi & Faruqi LLP

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Key Takeaways Worldpay acquisition expands Global Payments' reach to 6M merchants worldwide.Digital payment trends and recurring revenues continue supporting long-term growth.Rising earnings estimates and strong cash flow reinforce the long-term investment case. Global Payments Inc. (GPN - Free Report) is well-poised to grow on the back of highly recurring, transaction-based revenues, strong free cash flow generation and secular digital payment tailwinds. However, increasing costs and intensifying competition remain concerns.

Global Payments — with a market cap of $19.1 billion — is a global payment solutions provider based in Atlanta, GA. Courtesy of solid prospects, this Zacks Rank #3 (Hold) stock is worth holding on to at the moment.

Where Do GPN’s Estimates Stand?The Zacks Consensus Estimate for Global Payments’ 2026 earnings is pegged at $13.86 per share, indicating a 13.4% year-over-year increase. The estimate has witnessed 12 upward revisions and one downward movement over the past 60 days. Furthermore, the consensus mark for revenues is pegged at $12.44 billion for 2026, indicating a 33.6% year-over-year jump.

It beat earnings estimates thrice in the past four quarters and met once, with the average surprise being 2.1%.

GPN’s Growth DriversGlobal Payments has entered a new phase with the completion of its Worldpay acquisition, creating one of the world's largest merchant acquirers. The combined company now serves more than six million merchants across 175 countries, processing about 94 billion transactions and $3.7 trillion in annual payment volume. The larger scale strengthens its position in enterprise payments while expanding its e-commerce and omnichannel offerings.

The business also benefits from a highly recurring revenue model. Once merchants integrate Global Payments' software and payment solutions into their operations, switching providers becomes costly and disruptive. That helps the company retain customers, generate steady transaction revenues and produce consistent cash flows.

Long-term industry trends remain another major advantage. Consumers and businesses continue shifting from cash to digital payments, supported by rising ecommerce activity, contactless transactions, embedded payments, software-integrated solutions, digital wallets and cross-border commerce. These trends should continue driving payment volumes over time.

Global Payments ended the first quarter of 2026 with about $5.9 billion in cash and generated $544 million in adjusted free cash flow, equal to nearly 70% of adjusted net income. Management expects free cash flow conversion above 90% for the full year and plans to return more than $2 billion to shareholders in 2026 while maintaining an investment-grade balance sheet.

Price Target for GPNBased on short-term price targets offered by 26 analysts, the Wall Street average price target for Global Payments is at $92.62 per share, suggesting a 32.7% upside from current levels.

Key ConcernsThere are a few factors that can hinder the stock’s growth.

Despite implementing various cost-control measures, the company's operating expenses are on the rise. Adjusted operating margin fell to 39.9% in the first quarter from 42.4% a year ago. Additionally, intensifying competition in the payments industry presents a challenge. Emerging fintech companies with strong growth potential are rapidly gaining market share, increasing the need for innovation and differentiation.

Nevertheless, GPN’s strategic approach — focusing on partnerships, technology investments and maintaining financial flexibility — positions it for long-term success despite these headwinds.

Better-Ranked PlayersSome better-ranked stocks from the broader payments space are Klarna Group plc (KLAR - Free Report) , Paymentus Holdings, Inc. (PAY - Free Report) and Remitly Global, Inc. (RELY - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Klarna’s current-year earnings indicates a 105.1% year-over-year improvement. KLAR has witnessed four upward estimate revisions over the past 60 days against no movement in the opposite direction. The consensus estimate for current-year revenues is pegged at $4.44 billion, indicating 26.5% year-over-year growth.

The Zacks Consensus Estimate for Paymentus’ current-year earnings indicates a 19.7% year-over-year jump. PAY beat earnings estimates in each of the trailing four quarters, with the average surprise being 12%. The consensus estimate for current-year revenues implies 19.9% year-over-year growth.

The consensus estimate for Remitly Global’s current-year earnings indicates a 331.3% year-over-year surge to $1.38 per share. It has witnessed one upward estimate revision and no downward movement over the past 60 days. The consensus estimate for RELY’s current-year revenues is pegged at $1.97 billion, implying 20.4% year-over-year growth.