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Key Takeaways SIMO is gaining share in NAND controllers, with mass production of PCIe NVMe client SSD chips.SIMO rolled out PCIe Gen5 SM2508 on TSMC 6nm, targeting lower power and better efficiency.SIMO targets AI PCs, smartphones and automotive storage; 2026 EPS estimate rose to $8.37. Silicon Motion Technology Corporation (SIMO - Free Report) has emerged as one of the strongest beneficiaries of secular growth trends across the NAND flash storage market. The company continues to expand organically through market-share gains, new product launches and increasing exposure to high-growth end markets such as AI PCs, smartphones, automotive storage and enterprise data centers.

The company is a leading merchant supplier of client SSD (solid state drive) controllers to module makers, including most market leaders in the United States, Taiwan and China. Silicon Motion believes that it is well-equipped to adapt to industry changes with healthy collaborations with flash vendors for developing proprietary controller technology to overcome the existing weakness of 3D NAND and outshine peers. The company has commenced initial sales of 3D SSD controllers to flash partners. It expects this controller to be a significant driver of SSD controller growth over the next year, as NAND Flash partners’ 3D capacity expands.

SIMO Buoyed by Portfolio StrengthThe company has commenced mass production of PCIe NVMe client SSD controllers for flash partners. Accelerated product sales, along with favorable industry trends, portray bright prospects for Silicon Motion. The company has rolled out the world's first PCIe Gen5 client SSD controller, SM2508, leveraging TSMC's 6nm EUV process. This cutting-edge controller is capable of achieving 50% lower power consumption compared to 12nm counterparts, offering up to 1.7x better power efficiency than PCIe Gen4 SSDs.

Silicon Motion has expanded its SSD controller program engagements with PC OEMs and eMMC/UFS controllers for smartphones, automotive applications and IoT/smart devices. The company is adding to this momentum with the upcoming launch of its next-generation enterprise-class SSD controllers. Silicon Motion’s eMMC is showing strong signals of rebound, thereby adding to the strength of its overall embedded storage market that comprises both SSD controllers and eMMC embedded memory. As market trends suggest the balance is tilting from transitioning of eMMC 4.5 toward that of eMMC 5.0, the company foresees lucrative prospects for eMMC 5.1 controller sales.

SIMO’s Key Growth DriversSilicon Motion operates a fabless business model, focusing on chip design while outsourcing manufacturing to foundries like TSMC. Consequently, the company has a low capital investment requirement as it does not require expensive fabrication plants, enabling it to adopt advanced manufacturing nodes quickly, leading to higher margins compared to integrated manufacturers. This enables the company to focus on innovation and product development rather than manufacturing complexity.

The key growth drivers for SIMO include AI and high-performance computing, cloud data centers, automotive storage, smartphones and mobile devices. Each of these end markets is growing fast and offers lucrative growth potential. We believe an expanding customer base and innovative products will act as tailwinds for the company’s top-line growth, going forward. Over the past 10 years, Silicon Motion has shipped more than 5 billion controllers cumulatively – more than any other company in the world. Silicon Motion ships more than 750 million NAND controllers on average every year.

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Price PerformanceThe stock has gained a stellar 231% over the past six months compared with the industry’s growth of 139%. It has also outperformed peers like Advanced Micro Devices, Inc. (AMD - Free Report) and International Business Machines Corporation (IBM - Free Report) . Advanced Micro has gained 141.5% and IBM is up 6.9% over this period. 

Six-Month Price Performance of SIMO 

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Estimate Revision TrendEarnings estimates for Silicon Motion for 2026 have moved up 83.6% to $8.37 over the past year, while the same for 2027 has increased 97.2% to $10.45. The positive estimate revision depicts optimism about the stock’s growth potential.

Image Source: Zacks Investment Research

End NoteWith solid fundamentals and healthy revenue-generating potential, driven by robust demand trends, Silicon Motion appears to be a solid investment proposition. Further, a strong emphasis on quality, diligent execution of operational plans and continuous portfolio enhancements are driving more value for customers. An asset-light fabless semiconductor model, solid growth exposure to AI, cloud and automotive markets, with increasing market share in SSD and mobile controllers and continuous innovation in storage technologies are key growth drivers for the company.

The stock has a long-term earnings growth expectation of 53.6% and delivered a trailing four-quarter average earnings surprise of 18.6%. Silicon Motion sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Riding on a robust earnings surprise history and favorable Zacks Rank, Silicon Motion appears primed for further stock price appreciation. Consequently, investors are likely to profit if they bet on this high-flying stock now.

Shift4’s Explosive Growth Comes With High-Stakes RiskFiserv NASDAQ: FISV executives used the company’s 2026 Investor Day to outline a medium-term plan aimed at restoring what CEO Mike Lyons described as Fiserv’s historical identity as a “constant compounder,” while acknowledging recent service, product delivery and client retention challenges.

Lyons said the company completed a comprehensive review last fall that identified “real issues” in client service, product delivery, technology resilience and capital allocation, but also confirmed that “the underlying strength of our franchise was intact.” The company’s response is the “One Fiserv” action plan, which Lyons said is anchored in five pillars: client focus, Clover growth, product delivery and innovation, AI-driven transformation through Project Elevate, and disciplined capital allocation.

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The Quiet Infrastructure Play on Small-Bank SurvivalLyons said Fiserv is tracking to its financial expectations and expects the current quarter to mark “the trough in revenue growth,” with revenue growth accelerating into the mid-single digits over the plan period. He said the company continues to benefit from its role as “intelligent technology infrastructure” for financial institutions and merchants, processing nearly 1 billion transactions per day for clients.

Medium-Term Targets Emphasize Revenue Growth, Margins and Cash Flow CFO Paul Todd said Fiserv reaffirmed its full-year 2026 guidance, calling the year a transition period. He said the company expects adjusted revenue to decline in the low single digits in the first half of 2026, followed by 6% to 8% year-over-year growth in the second half, supporting full-year adjusted revenue growth of 1% to 3%.

3 Different Fintech Giants: Turnaround, Stability, or Risky Bet?For the 2026 through 2029 period, Todd laid out a financial framework that includes:

Compounded adjusted revenue growth of 4% to 6% from a 2026 base. Adjusted operating margin above 37% by 2029. More than $13.5 billion of free cash flow from 2027 through 2029. Adjusted earnings per share of more than $12 in 2029. Free cash flow conversion of approximately 90% of adjusted net income. Todd said baseline operating leverage should contribute roughly 150 basis points of adjusted operating margin expansion over three years, while Project Elevate is expected to add more than 200 basis points by 2029 through net cost reductions of $500 million. He said Fiserv expects to use the majority of excess cash for share repurchases while reducing gross leverage toward the low end of its 2.5 times to 3 times target range.

Clover Remains Central to Merchant Growth Plan Takis Georgakopoulos, co-president responsible for Merchant Solutions, said the merchant business processed $4.6 trillion of transactions in 2025 and supports 3.9 million small businesses, including 900,000 Clover merchants. He said Fiserv has been consolidating its merchant infrastructure around Commerce Hub, a cloud-native platform that is live with $200 billion in gross payment volume across 40 markets.

Georgakopoulos said Clover generated $3.3 billion in 2025 revenue across Fiserv’s SMB, processing and enterprise segments. He described the company’s goal as making Clover “the true operating system for small businesses,” supported by hardware updates, vertical software, horizontal value-added services, international expansion and efforts to convert non-Clover SMB clients.

Fiserv expects Clover gross payment volume growth to rise above 10% and reach the upper end of a 10% to 15% medium-term range, Georgakopoulos said. Clover revenue is expected to grow 15% to 20% annually, helped by value-added services, Clover Capital, Clover Savings and conversion of non-Clover clients. Merchant Solutions overall is expected to grow 6% to 8% over the medium term, with enterprise in the mid-single digits and processing roughly flat.

Georgakopoulos also highlighted AI adoption inside the merchant organization, saying 40% of engineers use AI daily and 25% of code is written by AI, with a goal of moving both figures close to 100% by year-end. He said AI is helping Fiserv modernize services, improve speed to market and build products tied to agentic commerce.

Financial Solutions Focuses on Stabilization and Modernization Dhivya Suryadevara, co-president responsible for Financial Solutions, said the segment serves more than 6,000 clients globally across banking, digital payments and issuing. She said the banking business has faced “service and delivery issues,” adding, “We have a service problem, not a technology problem, and it’s very much solvable.”

Suryadevara said Fiserv has committed to no forced core migrations and is moving toward modular, core-agnostic capabilities that clients can adopt on their own timelines. Banking delivers $2.4 billion in revenue and serves more than 3,500 financial institutions, according to Suryadevara, who said Fiserv is number one in U.S. core and digital banking.

In digital payments, Suryadevara said Fiserv generated nearly $4 billion in 2025 revenue and supports payment platforms, consumer payment rails and value-added services. She said 41 of the top 50 U.S. banks use Fiserv’s consumer payment solutions. In issuing, she said the company generated more than $3.3 billion in 2025 revenue and serves 25 of the top 50 U.S. credit issuers and 80% of U.S. private-label issuers.

Financial Solutions is expected to grow adjusted revenue at a 2% to 4% medium-term compound annual rate, Suryadevara said, with banking at or slightly below the low end of the range and payments and issuing toward the higher end.

AI, Embedded Finance and Stablecoin Highlighted as New Growth Areas Executives repeatedly pointed to AI as both a cost-efficiency tool and a product opportunity. Lyons said Fiserv announced a strategic collaboration with OpenAI and is using AI to improve authorization rates, fraud prevention, service, testing and product delivery.

Suryadevara introduced agentOS, a platform in beta that allows financial institutions to deploy AI agents across systems of record with banking-grade controls. She said early pilots include commercial loan onboarding with First Interstate Bank and reporting automation with Boulder Dam Credit Union.

Fiserv also highlighted opportunities at the intersection of Merchant Solutions and Financial Solutions, including embedded finance, a two-sided liquidity network, on-us transactions and data products. Georgakopoulos said Fiserv’s bank- and merchant-friendly stablecoin, FYUSD, is expected to go live this summer and will support use cases such as real-time settlement, cross-border remittances, B2B payouts and programmable money.

As part of its capital allocation review, Fiserv announced plans to sell a majority stake in its ATM servicing and related businesses to Bridgepoint Group for approximately $300 million in after-tax proceeds, while retaining a 49% equity stake in a new joint venture. Todd said the business has an annual revenue run rate of about $200 million, with a flat revenue trajectory and margins similar to Fiserv overall.

About Fiserv NASDAQ: FISVFiserv, Inc, founded in 1984 and headquartered in Brookfield, Wisconsin, is a global provider of financial services technology. The company develops and delivers integrated solutions for payments, processing, risk and compliance, customer and channel management, and business insights and optimization. Serving thousands of clients, Fiserv supports banks, credit unions, securities broker-dealers, leasing and finance companies, and retailers.

Fiserv’s core offerings include account processing systems that automate deposit, lending and transaction processing for financial institutions, as well as digital banking platforms that enable mobile and online banking services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Global payments and financial services technology provider Fiserv is spinning off its cash-handling operations into a newly formed joint venture with specialist private equity firm Bridgeport Partners.

The transaction will specifically encompass Fiserv’s ATM Managed Services, Cash & Logistics and MoneyPass business lines, according to a Wednesday (May 13) press release. Under the terms of the agreement, which remains subject to customary closing conditions and regulatory approvals, Bridgeport Partners is slated to take over operational control and direct the day-to-day management of these divisions upon closing.

The maneuver aims to pair Fiserv’s client relationships and foundational industry technology with Bridgeport’s track record of scaling financial technology and payments-adjacent platforms, the release said. Bridgeport’s principals bring more than four decades of experience in the banking and payments sector, focusing heavily on “operational excellence” and product innovation within established financial markets.

Moving forward, the two companies will establish a formal governance structure to align on client outcomes and long-term value creation, according to the release. The targeted businesses will remain fully under Fiserv’s operational umbrella until the deal is finalized.

“Fiserv has built strong, durable businesses serving financial institutions, merchants and consumers across the ATM and cash ecosystem,” Fiserv CEo Mike Lyons said in the release. “This agreement reflects our One Fiserv approach, delivering positive client experiences, aligning each business with the operating model and investment best suited to drive growth and client outcomes.”

The move to offload day-to-day management of its ATM and cash logistics divisions follows a challenging financial quarter for Fiserv, which is framing 2026 as a necessary transition period. The payments processor disclosed during an earnings report May 5 that adjusted revenue for the first quarter decreased 2.4% year over year to $4.68 billion, while organic revenue fell by 4%. The company’s financial solutions segment experienced a 6% decline during the quarter.

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During an accompanying earnings call, Lyons pointed to “higher-than-normal” attrition within the core banking segment as a primary hurdle, attributing the client departures to historical customer service issues that the company is working to address.

To stabilize the business and execute its internal One Fiserv strategic plan, the company has recruited external senior executives and is aggressively deploying artificial intelligence to mitigate its banking segment attrition, a strategy that has already reduced the resolution time for client inquiries by 27% compared to the prior year.

By transferring the operational burden of its legacy ATM and cash divisions to Bridgeport Partners, Fiserv seeks to reshape its portfolio to focus resources on resolving its core banking vulnerabilities and expanding high-growth products like its Clover point-of-sale platform.

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Fiserv, Inc. (FISV) Presents at J.P. Morgan 54th Annual Global Technology, Media and Communications Conference Transcript

Block’s Pivot to Profits and AI Is Turning HeadsFiserv NASDAQ: FISV Chief Executive Officer Mike Lyons said the payments and financial technology company is focused on returning to a “constant compounder” profile by sharpening its business mix, improving execution and investing around two major markets: banking and commerce.

Speaking with J.P. Morgan Managing Director and Senior Analyst Tien-Tsin Huang at the firm’s conference, Lyons said Fiserv benefits from providing “mission-critical services” to large markets undergoing structural change, including digital payments, embedded finance, real-time money movement and AI-enabled services.

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Shift4’s Explosive Growth Comes With High-Stakes RiskLyons said the company’s financial model is supported by highly recurring revenue, positive operating leverage, strong free cash flow conversion and a capital allocation approach that remains centered on share repurchases while staying within a 2.5x to 3x leverage range.

He also pointed to recent portfolio actions as examples of Fiserv’s effort to sharpen capital intensity. The company discussed an ATM joint venture with Bridgeport at its Investor Day and sold its education business, a student loan processing operation, which Lyons described as a good business but not strategic to Fiserv’s broader direction.

Fiserv Reaffirms Outlook, Expects Second-Half Acceleration The Quiet Infrastructure Play on Small-Bank SurvivalLyons said the company’s current-year guidance was maintained and acknowledged that it implies faster growth in the second half. He said Fiserv was down “a little” in the first quarter and expected the second quarter to be slightly worse, resulting in a first half down low single digits.

He outlined three drivers of expected second-half improvement: signed contracts coming online, planned activity ramps from existing enterprise clients and product ramps across Clover Capital, Clover Savings, Clover international, XD and CashFlow Central.

Lyons said those factors support a second-half growth range of 6% to 8% and a full-year range of 1% to 3%. He added that excluding approximately two points from new client contract ramps, the second-half rate aligns with the company’s 4% to 6% forward plan.

On the macro environment, Lyons said banks remain in good shape, with sound credit and a focus on improving technology capabilities. On the consumer side, he described the environment as “cautiously optimistic,” noting that consumers are employed and still spending, though Fiserv’s Small Business Index showed spending shifting toward fuel while some discretionary categories declined year over year. Clover data for April remained consistent with the first quarter, with growth of 12% excluding the gateway, he said.

Financial Segment Focuses on Service, Attrition and Product Delivery Lyons said Fiserv’s financial services segment is expected to grow 2% to 4%, with banking at the lower end and issuing and payments at the higher end. He said customer service concerns have been concentrated in the banking segment and centered on three issues: day-to-day service, delayed product delivery and the prior decision to reduce the number of cores from 16 to five.

Fiserv has rebuilt its day-to-day service approach, added resources and re-engaged the consultant community, Lyons said. He also cited the acquisition of Smith Consulting as part of an effort to provide more value-added services to clients.

On product delivery, Lyons said Fiserv has hit every major milestone since its Forum event in September. XD and CashFlow Central are in implementation mode, core enhancements are being completed and Core Advanced remains on time, he said.

Lyons also said Fiserv has stopped forced conversions and is now emphasizing a “journey approach” to core conversions, using a more modular strategy to help clients modernize over time.

Gross attrition in the financial services business has roughly doubled, creating a 75 to 100 basis point headwind, Lyons said. He said Fiserv expects attrition to return to more normalized levels by the end of its medium-term plan in 2029, supported by better service, product delivery and offerings such as StoneCastle, agentOS and data center modernization.

Clover Growth Plan Includes Value-Added Services and International Expansion Lyons said Clover’s 10% to 15% gross payment volume growth framework is built around a 10% organic growth base, with the potential to reach 15% if Fiserv succeeds in converting non-Clover customers to Clover or adding Clover value-added services to those customers.

He said Clover has consistently grown in the 8% to 12% range in recent years and identified several drivers to sustain growth, including horizontal and vertical value-added services, healthcare through PracticePay, professional services, restaurant offerings, international expansion and distribution through ISOs, ISVs, banks and a direct sales force.

Lyons said international markets now account for more than 20% of Clover volume, with Japan expected to come online later this year and into 2027. He also said the company sees room to improve customer retention and the back-end experience.

For non-Clover merchant customers, Lyons said the business has been stable for a long time. He said those customers are generally satisfied Fiserv clients, and the company will take a targeted approach to offering services such as Clover Savings and Clover Capital without forcing major hardware or platform changes.

Merchant Platform, STAR and Business Synergies Lyons said Fiserv is building a unified gateway across enterprise clients, platform clients and Clover. Commerce Hub is live with $200 billion in volume across 40 countries, he said. He also highlighted Fiserv’s enterprise point-of-sale position, Finxact ledger capabilities, backend processing scale and data assets as advantages in competing across e-commerce and omnichannel payments.

Asked about STAR, Lyons described Fiserv’s debit networks, STAR and Accel, as a strong example of synergy between the merchant and financial services businesses. He said the combined networks represent the third-largest player and allow Fiserv to serve issuers while also routing transactions through its acquiring capabilities.

Lyons said STAR has “strategic optionality,” including potential relevance for on-us settlement, global opportunities and future payments use cases tied to demand deposit accounts and merchants.

Lyons also defended keeping Fiserv’s merchant and financial services businesses together following a strategic review. He cited existing synergies in bank distribution of Clover, acquiring networks, biller products and fraud data, as well as future opportunities in stablecoin, embedded finance and on-us settlement.

AI Push Centers on Agent OS Lyons said Fiserv has received strong feedback on agentOS, which he described as an operating system for banks. He said banks want to use AI but face challenges because they operate in highly regulated environments involving compliant and personally identifiable information.

He said agentOS is intended to bridge the needs of banks and AI providers by allowing agents to be deployed in a safer, more controlled way. Lyons said Fiserv sees potential for agentOS to create value for customers and open addressable markets that previously were not on the company’s radar.

About Fiserv NASDAQ: FISVFiserv, Inc, founded in 1984 and headquartered in Brookfield, Wisconsin, is a global provider of financial services technology. The company develops and delivers integrated solutions for payments, processing, risk and compliance, customer and channel management, and business insights and optimization. Serving thousands of clients, Fiserv supports banks, credit unions, securities broker-dealers, leasing and finance companies, and retailers.

Fiserv’s core offerings include account processing systems that automate deposit, lending and transaction processing for financial institutions, as well as digital banking platforms that enable mobile and online banking services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in Fiserv Right Now?Before you consider Fiserv, you'll want to hear this.

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NEW YORK and SAN FRANCISCO, May 28, 2026 (GLOBE NEWSWIRE) -- Fiserv, Inc. (NASDAQ: FISV), a leading global provider of payments and financial technology, and Cognition, the AI agent lab, today announced a strategic partnership to deploy Cognition’s AI software engineer, Devin, to accelerate the modernization of core banking technology and shorten the time it takes for new capabilities to reach Fiserv financial institution clients. By shortening release cycles and strengthening platform performance, the partnership supports Fiserv’s ability to deliver innovation at speed, while maintaining stability, security, and resilience.

Modernization is among the most significant and historically slowest initiatives in financial services. Devin is uniquely suited to accelerate this work, operating at scale across complex codebases. Fiserv plans to deploy Devin across core platform modernization and other strategic engineering initiatives — executing complex engineering work in parallel and accelerating the pace at which Fiserv ships new capabilities to clients. As part of the deployment, Fiserv is also strengthening governance and security controls for AI-assisted development to help protect the integrity of the software lifecycle. 

This partnership builds on Fiserv's broader commitment to embed AI across its technology operations and product development in ways that translate into tangible client value. Devin's ability to take on end-to-end engineering tasks including understanding codebases, writing, and testing code, and iterating autonomously, extends engineering capacity so teams can focus on delivering high-quality improvements that matter most to clients, from shipping enhancements, strengthening quality checks, to improving platform resilience.

The collaboration reflects Fiserv's strategy to bring AI into every part of how it serves financial institutions — from the technology and engineering that power Fiserv platforms, to the operations that support them.

"Speed matters more than ever in banking, and our clients are counting on us to deliver. With Devin, we can accelerate modernization of the platforms our clients run their business on, ship new capabilities faster, and free our teams to focus on the work that matters most," said Dhivya Suryadevara, Co-President of Fiserv.

"Fiserv is exactly the kind of organization where Devin creates compounding value — massive scale and an engineering organization that has ambitious goals for what it needs to build and maintain," said Russell Kaplan, Co-Founder and President, Cognition. "We are proud to partner with Fiserv to help teams deliver measurable improvements, so clients see faster access to new capabilities, more consistent releases, and continued focus on quality and security."

Fiserv is among a growing number of financial services organizations deploying Devin to accelerate product delivery, modernize platforms, expand automated testing, and strengthen governance for AI-assisted development ensuring innovation reaches clients faster and more reliably.

About Cognition
Cognition is the leading AI software engineering company and makers of Devin, the world's first AI software engineer. Devin works end-to-end on complex engineering tasks — planning, coding, testing, and iterating autonomously — enabling teams to scale their engineering capacity without scaling headcount. Cognition is partnered with leading enterprises across financial services, technology, and beyond. Learn more at cognition.ai.

About Fiserv
Fiserv, Inc. (NASDAQ: FISV), a Fortune 500 company, is a global leader uniting commerce and finance. At the intersection of banking and commerce, the company powers sustained growth and innovation at scale for financial institutions and businesses worldwide across payments, account processing, digital banking, merchant acquiring, network services, e-commerce, and Clover®, the all-in-one business management platform. Fiserv is a member of the S&P 500® Index and one of FORTUNE® America’s Most Innovative Companies. Visit fiserv.com and follow on social media for more information and the latest company news. 

For more information contact:

Media Relations:
Chase Wallace
Senior Director, Communications
470-481-2555
[email protected] 

Fiserv, Inc. (FISV) Presents at Bernstein 42nd Annual Strategic Decisions Conference Transcript

Banks spent years treating core modernization as a lengthy infrastructure project. Dhivya Suryadevara believes artificial intelligence may alter that timetable.

In a conversation with PYMNTS CEO Karen Webster, the Fiserv co-president described AI as a practical tool for rewriting operational workflows, simplifying implementations and modernizing aging banking systems without forcing financial institutions into wholesale platform replacements.

Suryadevara joined Fiserv after senior leadership roles at Stripe, General Motors and UnitedHealth Group. She said the scale of Fiserv’s banking and payments franchise, combined with its access to data and distribution, made the company well positioned for the AI age.

“What struck me right away is just the sheer scale that Fiserv has on the banking side, as well as the merchant side,” Suryadevara said.

The discussion centered on what Suryadevara called the company’s “stabilize, attach and grow” strategy, a framework she said applies primarily to the banking segment of the business. The stabilization effort focuses on servicing, operational resiliency and execution after periods of disruption tied to client support and technology incidents.

Fiserv has committed more than $150 million toward service improvements and technology resiliency initiatives spanning 2025 and 2026.

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The broader objective is modernization without forcing banks into abrupt platform overhauls. Suryadevara said banks increasingly want the ability to modernize individual systems, such as teller functions or digital capabilities, while remaining on existing cores.

That philosophy also extends into payments and issuer processing, two businesses she described as among Fiserv’s strongest franchises. The payments unit includes debit processing, Zelle and account-to-account payment capabilities, while the issuer business remains anchored in credit card processing.

AI now sits at the center of that modernization effort.

Suryadevara said the technology is helping accelerate work that previously consumed years, particularly in areas such as legacy code conversion, implementations and servicing operations. She pointed to advances in rewriting COBOL-based systems and simplifying implementation processes that historically required large amounts of manual work.

“It’s about rewriting entire workflows for the AI era,” she said.

Rather than applying AI incrementally to existing processes, Suryadevara argued banks should reconsider whether entire steps can be removed altogether. She described implementations as one example where AI can materially reduce operational friction and shorten conversion timelines.

The conversation also explored agent-based banking systems, including Fiserv’s Agent OS initiative. Suryadevara described the platform as a governed operating layer that allows banks to deploy AI agents while maintaining policy controls, auditability and regulatory oversight.

The system is designed to support three categories of agents: Fiserv-developed agents, bank-developed agents and third-party agents delivered through a marketplace model.

Those agents are aimed at operational workflows tied to areas such as compliance, fraud management, reporting and deposit servicing. Suryadevara said banks are increasingly interested in using AI to automate repetitive operational work while preserving governance controls required in regulated industries.

The push arrives as banks face mounting pressure to modernize infrastructure while preserving existing customer relationships and operational continuity. Earlier PYMNTS coverage of Fiserv’s issuer business framed that transition as a shift away from treating processing as invisible back-office plumbing and toward viewing it as a strategic layer tied to data, credentials and decisioning.

Suryadevara suggested AI may further raise the stakes because banks increasingly need systems capable of supporting real-time data access, automated workflows and emerging payment models.

“There’s such an opportunity to deploy AI and simplify workflows at scale, but also in a very responsible, compliant way,” she said.

Additional Takeaways

Fiserv notes that banks increasingly want open API ecosystems that allow them to integrate FinTech partners and third-party services without losing control of core infrastructure. Suryadevara said AI is already being used inside servicing operations to resolve client tickets before they reach human agents. The company sees agent marketplaces as a future business opportunity because banks may increasingly purchase workflow-specific AI tools through governed platforms. Dhivya Suryadevara is co-president at Fiserv, where she oversees the company’s financial solutions business.

PYMNTS CEO Karen Webster is one of the world’s leading experts in payments innovation and the digital economy, advising multinational companies and sitting on boards of emerging AI, healthtech and real-time payments firms, including a non-executive director on the Sezzle board, a publicly traded BNPL provider. She founded PYMNTS.com in 2009, a top media platform covering innovation in payments, commerce and the digital economy. Webster is also the author of the NEXT newsletter and a co-founder of Market Platform Dynamics, specializing in driving and monetizing innovation across industries.

Fiserv, Inc. (FISV) Presents at 2026 Baird Global Consumer, Technology & Services Conference Transcript

A month has gone by since the last earnings report for Fiserv (FISV - Free Report) . Shares have lost about 1.8% 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 Fiserv due for a breakout? Well, first let's take a quick look at the most recent earnings report in order to get a better handle on the recent catalysts for Fiserv, Inc. before we dive into how investors and analysts have reacted as of late.

Fiserv Beats Q1 Earnings EstimatesFiserv has reported mixed first-quarter 2026 results, wherein earnings beat the Zacks Consensus Estimate, while revenues missed the same.

FISV’s adjusted earnings of $1.79 per share beat the Zacks Consensus Estimate of $1.57 by 14% but declined 16.4% from the year-ago quarter.

Revenue performance was softer. Adjusted revenues were $4.68 billion, missing the consensus mark of $4.76 billion by 1.7% and decreasing 8.9% year over year. Still, Fiserv pointed to stable underlying account and volume trends, with Clover's annualized gross payment volume (GPV) of $324 billion and 12% growth excluding the previously disclosed gateway conversion.

FISV's Revenue Pressure Tied to Prior-Year ComparablesFiserv’s reported GAAP revenues were $5.03 billion, down 2% from the prior-year period. A key mechanical driver behind the gap between GAAP and adjusted revenues remained postage reimbursements, which reduced revenues by $352 million in the quarter.

On an organic basis, revenues declined 4% year over year. Management noted that year-over-year revenue growth was impacted by prior-period comparables, while describing the broader operating environment as stable across both Merchant Solutions and Financial Solutions.

Fiserv's Merchant Business Holds Ground, Clover Adds MomentumMerchant Solutions revenues were essentially flat year over year at $2.37 billion. Within the segment, Small Business revenues rose 1% to $1.61 billion and Enterprise revenues increased 2% to $512 million, while Processing revenues declined 9% to $252 million.

Clover remained a notable bright spot in activity metrics. The company reported annualized first-quarter Clover GPV of $324 billion, with overall GPV up 12%, excluding the gateway conversion (9% as reported). Value-added services (VAS) penetration was 27% and VAS revenues increased 18%. Management also cited 7% Small Business volume growth and 8% Enterprise transaction growth during the quarter, with April Clover volume trends consistent with first-quarter levels.

Softness in FISV Financial Solutions’ Weighs on Organic ResultsFinancial Solutions revenues fell 5% year over year to $2.30 billion. The pressure was broad-based. Digital Payments revenues decreased 5% to $947 million, Issuing revenues dropped 5% to $769 million and Banking revenues declined 4% to $586 million.

Operational indicators were steadier than revenue trends implied, suggesting a mix-and-timing headwind rather than a sharp deterioration in usage. Fiserv cited low-single-digit growth in debit processing transactions and global accounts on file in Issuing. Zelle transactions grew at a high-teen rate, while Finxact reported more than 70% growth in accounts and positions. CashFlow Central also continued to scale, with 19 wins in the quarter for a total of 174 since launch and 11 live clients.

Fiserv's Margin Compression Reflects Expense Mix & ProgramsProfitability stepped down meaningfully from the prior year. The GAAP operating margin was 18.3% versus 27.2% in the first quarter of 2025, reflecting a higher expense base even as revenues dipped. The segment-level GAAP operating margin also declined to 26.4% in Merchant Solutions from 34.2% a year ago and to 38.1% in Financial Solutions from 47.5%.

On an adjusted basis, the operating margin was 29.7% compared with 37.8% in the year-ago quarter. The quarter included costs tied to the company’s One Fiserv transformation program, severance, merger and integration activity, and acquisition-related intangible amortization, while benefiting from a net gain on the sale of assets tied to a sale-leaseback of certain facilities.

FISV's Cash Flow & Buybacks Stay ActiveFiserv generated $599 million in net cash from operating activities, down from $648 million in the prior-year quarter. The free cash flow was $259 million versus $371 million a year ago, reflecting lower operating cash generation and higher capital investment.

Capital expenditure totaled $458 million in the quarter, which management characterized as in line with expectations. The company also remained in repurchase mode, buying back 3.3 million shares for $200 million during the quarter. In the earnings presentation, management described the balance sheet as strong, with leverage tracking to plan.

Fiserv's 2026 Guidance Unchanged, With EPS Boost From TaxesFiserv reaffirmed its 2026 outlook, expecting organic revenue growth of 1-3% and adjusted earnings per share of $8.00-$8.30. The company also reiterated expectations for an adjusted operating margin of about 34% and a free cash flow conversion of roughly 90% of adjusted net income.

A notable feature of the quarter was a tax-driven lift to profitability. The first quarter included a net $254-million income tax benefit related to the release of various foreign valuation allowances, partially offset by $74 million of other discrete tax items, contributing to a lower effective tax rate.

In the earnings presentation, Fiserv quantified the discrete tax impact as a 17-cent benefit to adjusted earnings per share versus results calculated at the midpoint of its anticipated adjusted annual effective tax rate range.

How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a downward trend in estimates revision.

VGM ScoresCurrently, Fiserv 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 was allocated a score of A on the value side, putting it in the top 20% for this investment strategy.

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.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Fiserv has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

March 18, 2026 07:00 ET  | Source: Harrow, Inc.

NASHVILLE, Tenn., March 18, 2026 (GLOBE NEWSWIRE) -- Harrow (Nasdaq: HROW), a leading provider of ophthalmic disease management solutions in North America, today announced that three scientific abstracts highlighting its commercial products VEVYE® (cyclosporine ophthalmic solution) 0.1% and ILEVRO® (nepafenac ophthalmic suspension) 0.3% have been accepted for presentation at the American Society of Cataract and Refractive Surgery (ASCRS) 2026 Annual Meeting, taking place April 10–13 at the Walter E. Washington Convention Center in Washington, D.C.

The accepted research underscores Harrow’s continued commitment to advancing evidence-based treatment options for ophthalmic diseases, including dry eye disease and post-cataract surgery complications.

The abstracts will be presented in the following scientific sessions:

Ocular Surface Disease
Date: Saturday¸ April 11, 2026
Time: 8:00 AM – 9:30 AM

VEVYE: Real-World Treatment Patterns and Clinical Outcomes with Cyclosporine 0.1% in Semifluorinated Alkane for Dry Eye Disease Presenter: A. Epitropoulos, MD VEVYE: Dual-Function Cyclosporine 0.1% in Perfluorobutylpentane as an Alternative to Corticosteroids in Post-Fungal Keratoplasty Presenter: T. Shoshany, MD Medications (Preoperative, Postoperative, Intraoperative)
Date: Sunday, April 12, 2026
Time: 8:00 AM – 9:30 AM

ILEVRO: Post-Hoc Analysis of the Effect of Nepafenac 0.3% on Reducing Clinically Significant Visual Acuity Loss Associated with Cataract Surgery in subjects with Macular Edema Presenter: I. Mac, MD The ASCRS Annual Meeting is one of the world’s premier gatherings for ophthalmic surgeons and ophthalmic professionals, showcasing the latest clinical research, surgical techniques, and therapeutic innovations in ophthalmology.

Additional details regarding the abstracts and supporting data will be available at the time of presentation.

About Harrow

Harrow, Inc. (Nasdaq: HROW) is a leading provider of ophthalmic disease management solutions in North America, offering a comprehensive portfolio of products that address conditions affecting both the front and back of the eye, such as dry eye disease, wet (or neovascular) age-related macular degeneration, cataracts, refractive errors, glaucoma and a range of other ocular surface conditions and retina diseases. Harrow was founded with a commitment to deliver safe, effective, accessible, and affordable medications that enhance patient compliance and improve clinical outcomes. For more information about Harrow, please visit harrow.com and connect with us on LinkedIn.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Any statements in this release that are not historical facts may be considered such “forward-looking statements.” Forward-looking statements are based on management's current expectations and are subject to risks and uncertainties which may cause results to differ materially and adversely from the statements contained herein. Some of the potential risks and uncertainties that could cause actual results to differ from those predicted include, among others, risks related to: liquidity or results of operations; our ability to successfully implement our business plan, develop and commercialize our products, product candidates and proprietary formulations in a timely manner or at all, identify and acquire additional products, manage our pharmacy operations, service our debt, obtain financing necessary to operate our business, recruit and retain qualified personnel, manage any growth we may experience and successfully realize the benefits of our previous acquisitions and any other acquisitions and collaborative arrangements we may pursue; competition from pharmaceutical companies, outsourcing facilities and pharmacies; general economic and business conditions, including inflation and supply chain challenges; regulatory and legal risks and uncertainties related to our pharmacy operations and the pharmacy and pharmaceutical business in general, including the ongoing communications with the U.S. Food and Drug Administration relating to compliance and quality plans at our outsourcing facility in New Jersey; physician interest in and market acceptance of our current and any future formulations and compounding pharmacies generally. These and additional risks and uncertainties are more fully described in Harrow’s filings with the Securities and Exchange Commission (SEC), including its Annual Report on Form 10-K for the year ended December 31, 2025, and other filings with the SEC. Such documents may be read free of charge on the SEC's web site at sec.gov. Undue reliance should not be placed on forward-looking statements, which speak only as of the date they are made. Except as required by law, Harrow undertakes no obligation to update any forward-looking statements to reflect new information, events, or circumstances after the date they are made, or to reflect the occurrence of unanticipated events.

Contacts:
Mike Biega
Vice President of Investor Relations and Communications
[email protected]
617-913-8890

Opaleye Management Inc, a 10% Owner of Harrow (HROW +7.29%), reported the indirect sale of 198,572 shares of common stock in multiple open-market transactions on March 3 and March 4, 2026, for a total value of approximately $7.8 million, according to an SEC Form 4 filing.

Transaction summaryMetricValueShares sold (indirect)198,572Transaction value$7.8 millionPost-transaction shares (indirect)3.7 millionPost-transaction value (indirect ownership)$125.1 millionTransaction value based on SEC Form 4 weighted average prices ($39.15 on March 3; $39.67 on March 4); post-transaction value based on March 4, 2026 market close ($34.00).

Key questionsWas the transaction executed via direct or indirect ownership, and what entities were involved? All shares were disposed of indirectly through Opaleye, L.P. and a separately managed account, with Opaleye Management Inc. acting as investment manager and portfolio manager, respectively. No direct share transactions occurred.Does Opaleye Management Inc. retain a material position in Harrow following this transaction? Yes. Following the sale, Opaleye L.P. holds 3,622,000 shares and the managed account holds 59,428 shares, for a combined indirect position of approximately 3.68 million shares.Company overviewMetricValueMarket capitalization$1.3 billionRevenue (TTM)$272.3 millionNet income (TTM)-$5.1 million1-year price change*19.7%*1-year price change calculated as of March 23, 2026.

Company snapshotHarrow is a leading ophthalmic pharmaceutical company focused on the discovery, development, and commercialization of eye-care products for the North American market. Its portfolio of branded products includes VEVYE for dry eye disease, IHEEZO for ocular anesthesia, and TRIESENCE for ocular inflammation, as well as ImprimisRx, its ophthalmology-focused compounded medications division.

The company generates revenue through the sale of branded and specialty ophthalmic drugs and compounded pharmaceutical products. Primary customers include ophthalmologists, outpatient surgical centers, hospitals, and specialty healthcare providers. Harrow reported full-year 2025 revenue of $272.3 million -- a 36% increase over 2024 -- and guided 2026 revenue to a range of $350-$365 million.

What this transaction means for investorsOn its face, a sale of nearly $8 million worth of stock sounds like a significant vote of no-confidence -- but the context here is more nuanced.

The timing is worth noting. Harrow reported Q4 2025 earnings on March 2 -- the day before Opaleye began selling. The company missed analyst EPS estimates by a wide margin, and the stock dropped sharply. Selling into that kind of post-earnings weakness looks more like opportunistic profit-taking after a strong prior run than a fundamental change in outlook.

More importantly, the sale needs to be weighed against what Opaleye still holds. The fund retains approximately 3.7 million shares across Opaleye L.P. and its managed account -- a position that, based on Harrow's diluted share count as of Q4 2025, still represents close to 10% of the company. That’s a substantial retained stake by any measure, and it is consistent with Opaleye's long-standing role as one of Harrow's most prominent institutional backers.

Opaleye Management is a Boston-based hedge fund focuses on small- and mid-cap healthcare companies. Funds like this sell for a wide variety of reasons -- portfolio rebalancing, redemption pressure, or simply locking in gains after a strong run. The 198,572 shares sold here represent roughly 5% of Opaleye's total pre-sale HROW position, which is a meaningful trim but far from an exit. Opaleye’s substantial remaining position suggests this is far more likely a tactical adjustment than a strategic retreat.

Posted by Defense World Staff on Apr 8th, 2026

JPMorgan Chase & Co. lowered its position in Harrow, Inc. (NASDAQ:HROW – Free Report) by 53.9% during the 3rd quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 36,167 shares of the company’s stock after selling 42,246 shares during the quarter. JPMorgan Chase & Co. owned about 0.10% of Harrow worth $1,743,000 at the end of the most recent quarter.

Several other institutional investors have also recently made changes to their positions in the company. Penn Capital Management Company LLC bought a new position in shares of Harrow in the third quarter worth $15,717,000. Verition Fund Management LLC bought a new position in Harrow in the third quarter valued at $296,000. Scientech Research LLC bought a new position in Harrow in the third quarter valued at $731,000. Luxor Capital Group LP bought a new position in Harrow in the third quarter valued at $14,807,000. Finally, Larson Financial Group LLC increased its stake in Harrow by 848.2% in the third quarter. Larson Financial Group LLC now owns 2,162 shares of the company’s stock valued at $104,000 after acquiring an additional 1,934 shares during the last quarter. Institutional investors own 72.76% of the company’s stock.

Harrow Stock Performance NASDAQ HROW opened at $35.43 on Wednesday. The company has a 50-day simple moving average of $41.75 and a two-hundred day simple moving average of $43.05. The company has a quick ratio of 2.06, a current ratio of 2.20 and a debt-to-equity ratio of 4.67. Harrow, Inc. has a 12-month low of $20.85 and a 12-month high of $54.85. The firm has a market cap of $1.32 billion, a price-to-earnings ratio of -208.40 and a beta of 0.31.

Analyst Ratings Changes HROW has been the topic of a number of research analyst reports. Nomura cut Harrow to a “neutral” rating in a research note on Wednesday, March 18th. William Blair reissued an “outperform” rating on shares of Harrow in a research note on Tuesday, March 3rd. B. Riley Financial reissued a “buy” rating and issued a $65.00 target price (down from $74.00) on shares of Harrow in a research note on Tuesday. Cantor Fitzgerald reduced their target price on Harrow from $94.00 to $91.00 and set an “overweight” rating on the stock in a research note on Wednesday, March 4th. Finally, BTIG Research reissued a “buy” rating and issued a $63.00 target price on shares of Harrow in a research note on Wednesday, March 18th. Eight equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $69.86.

Read Our Latest Stock Report on Harrow

Harrow Company Profile (Free Report)

Harrow Health, Inc (NASDAQ: HROW) is a U.S.-based commercial-stage biopharmaceutical company specializing in ophthalmic therapeutics and diagnostics. The company focuses on the development, manufacturing and distribution of proprietary, generic and branded eye care products designed to treat a range of ocular conditions, including glaucoma, ocular hypertension, dry eye disease and other anterior segment disorders.

Through its wholly owned affiliate ImprimisRx, Harrow Health offers a direct-to-physician model for customized formulations as well as low-cost generic alternatives.

Read More Five stocks we like better than Harrow Want to see what other hedge funds are holding HROW? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Harrow, Inc. (NASDAQ:HROW – Free Report).

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Harrow is rated a 'Strong Buy' with a fair value of $73.25, implying 104% upside from current levels (~$35.90). I project robust long-term growth driven by Vevye, Iheezo, and pipeline assets, despite recent short-term guidance disappointment and market volatility. I model a bit conservatively, with peak sales, a 32–45% EBIT margin for 2029–2035, and an 11.3% WACC, giving undervaluation even under some risk scenarios.

Reimbursement for Office-Based Utilization to Begin in July 2026 April 16, 2026 07:00 ET  | Source: Harrow, Inc.

NASHVILLE, Tenn., April 16, 2026 (GLOBE NEWSWIRE) -- Harrow (Nasdaq: HROW), a leading provider of ophthalmic disease management solutions in North America, today announced that IOPIDINE® 1% (apraclonidine hydrochloride ophthalmic solution) has been assigned a permanent J-Code (J2374) by the Centers for Medicare & Medicaid Services (CMS). Effective July 1, 2026, IOPIDINE 1% will be reimbursed when administered in the in-office setting.

J-Codes are CMS billing designations that allow physicians to be reimbursed directly for drugs administered in their offices. The assignment of a permanent J-Code removes a longstanding practical barrier to routine use of IOPIDINE 1% for office-based procedures, making it administratively and economically feasible for physicians to incorporate IOPIDINE 1% into standard glaucoma and ophthalmic laser procedure workflows.

Addressing a Well-Defined Clinical Need

IOPIDINE 1% is the only FDA-approved product indicated to prevent intraocular pressure (IOP) spikes following ophthalmic procedures, including in-office laser procedures such as Yttrium Aluminum Garnet (YAG), Nd capsulotomy, selective laser trabeculoplasty (SLT), argon laser trabeculoplasty (ALT), laser peripheral iridotomy (LPI), and others. With its established efficacy and safety profile, IOPIDINE 1% is positioned to be the front-line standard of care—administered at the time of the procedure – to help mitigate risk before IOP elevations occur.

IOP spikes — sudden, acute elevations in pressure inside the eye — are a recognized complication of these procedures. In patients who experience significant spikes, symptoms can include sudden eye pain, blurred vision, nausea, and, in vulnerable patients, optic nerve damage. Prophylactic use of IOPIDINE 1% has been shown to reduce severe IOP spikes from approximately 23% in untreated patients to approximately 2% — a roughly 91% relative risk reduction.i

Dr. Ben Gaddie, OD, added, “Optometrists are the front-line physicians diagnosing and managing glaucoma in the United States, and increasingly, performing laser procedures such as YAGs, SLTs, and LPIs. I am thrilled to now have reimbursed access to an on-label therapy to best ensure my patients are protected from intraocular pressure spikes. I truly appreciate Harrow’s commitment to helping my patients gain affordable access to sight-preserving products like Iopidine 1%.”

“This is ultimately about removing friction—for physicians and for patients,” said Dr. Jason Bacharach, MD. “As a glaucoma specialist, having a reimbursed, in-office option means I can treat patients in real time as I am counseling my patients about the worrisome potential effects of not controlling their eye pressure. For many patients, especially those patients new to navigating their glaucoma diagnosis, that first experience sets the tone. Making therapy accessible at that moment can have a meaningful impact on adherence, outcomes, and peace of mind.”

With the J-Code now issued and effective as of July 1, 2026, Harrow believes physicians will have both the clinical and economic rationale to make prophylactic IOP management a consistent part of their procedural care.

A Growing Market with Room for Adoption

Aside from the greater than 4 millionii American glaucoma patients who are regularly seen in clinics, in-office laser procedures represent a large and expanding segment of ophthalmic care. More than 1.5 millioniii ophthalmic laser procedures are performed annually in the United States, a figure that continues to grow as the population ages and earlier intervention becomes standard practice.

The J-Code designation establishes the reimbursement infrastructure to support broader and more consistent utilization of IOPIDINE 1% over time. Preventing IOP spikes also has the potential to reduce overall healthcare costs by minimizing the need for additional follow-up visits, urgent interventions, and the risk of complications that may require more complex procedures.

"Every decision we make around the time of a procedure matters,” said Dr. Kyle Linsey, DO, Cataract and Refractive Surgeon. “When I can administer a proven pressure-lowering therapy immediately following a procedure—especially for high-risk patients—it’s a game-changer for my practice protocols. It gives both the physician and the patient confidence that we’re starting from a position of control, not uncertainty. It’s a must-have for high-risk patients after a laser procedure."

“We are excited to deliver this wonderful news on IOPIDINE 1%, the first of the three Specialty products I highlighted earlier this year in my Letter to Stockholders,” said Mark L. Baum, Chief Executive Officer of Harrow. “This permanent J-Code represents an opportunity to ensure more patients in need have access to a medicine that can protect and preserve their vision. IOPIDINE 1% has a long-established and highly differentiated clinical profile, and now, with assured reimbursement from use in the physician’s office, the elimination of longstanding reimbursement friction is expected to drive broader, more consistent adoption—and is a particularly natural complement to IHEEZO® for so many office-based procedures requiring an anesthetic.”

About IOPIDINE® 1% (apraclonidine hydrochloride ophthalmic solution) as base

Indications and Usage
IOPIDINE 1% Ophthalmic Solution is indicated to control or prevent post-surgical elevations in IOP that occur in patients after argon laser trabeculoplasty, argon laser iridotomy or Nd:YAG posterior capsulotomy.

Important Safety information
CONTRAINDICATIONS
IOPIDINE 1% Ophthalmic Solution is contraindicated for patients receiving monoamine oxidase inhibitor therapy and for patients with hypersensitivity to any component of this medication or to clonidine

WARNINGS AND PRECAUTIONS
Since IOPIDINE 1% Ophthalmic Solution is a potent depressor of IOP, patients who develop exaggerated reductions in IOP should be closely monitored. Although the acute administration of two drops of IOPIDINE 1% Ophthalmic Solution has minimal effect on heart rate or blood pressure in clinical studies evaluating patients undergoing anterior segment laser surgery, the preclinical pharmacologic profile of this drug suggests that caution should be observed in treating patients with severe cardiovascular disease including hypertension. IOPIDINE 1% Ophthalmic Solution should also be used with caution in patients with severe coronary insufficiency, recent myocardial infarction, cerebrovascular disease, chronic renal failure, Raynaud’s disease or thromboangiitis obliterans. The possibility of a vasovagal attack occurring during laser surgery should be considered and caution used in patients with history of such episodes. Topical ocular administration of two drops of 0.5%, 1%, and 1.5% IOPIDINE Ophthalmic Solution to New Zealand Albino rabbits three times daily for one month resulted in sporadic and transient instances of minimal corneal cloudiness in the 1.5% group only. No histopathological changes were noted in those eyes. No adverse ocular effects were observed in cynomolgus monkeys treated with two drops of 1.5% IOPIDINE Ophthalmic Solution applied three times daily for three months. No corneal changes were observed in 320 humans given at least one dose of IOPIDINE 1% Ophthalmic Solution.

ADVERSE REACTIONS
The following adverse events, occurring in less than 2% of patients, were reported in association with the use of IOPIDINE 1% Ophthalmic Solution in laser surgery: ocular injection, upper lid elevation, irregular heart rate, nasal decongestion, ocular inflammation, conjunctival blanching, and mydriasis.

DOSAGE AND ADMINISTRATION
Instill one drop of IOPIDINE® 1% in the operative eye one hour before anterior segment laser surgery. Instill a second drop immediately after the procedure. Use a new single-use container for each drop and discard after use.

About IHEEZO (chloroprocaine HCl ophthalmic gel) 3%

Indications and Usage
IHEEZO® (chloroprocaine HCl ophthalmic gel) 3% is indicated for ocular surface anesthesia.

Important Safety information
IHEEZO is contraindicated in patients with a history of hypersensitivity to any component of this preparation.
IHEEZO should not be injected or intraocularly administered.
Patients should not touch the eye for at least 10 to 20 minutes after using anesthetic as accidental injuries can occur due to insensitivity of the eye.
Prolonged use of a topical ocular anesthetic may produce permanent corneal opacification and ulceration with accompanying visual loss.
Do not touch the dropper tip to any surface as this may contaminate the gel.
IHEEZO is indicated for administration under the direct supervision of a healthcare provider. IHEEZO is not intended for patient self-administration.
The most common adverse reactions in studies following IHEEZO administration (incidence greater than or equal to 5%) were mydriasis, conjunctival hyperemia, and eye irritation.

About Harrow

Harrow, Inc. (Nasdaq: HROW) is a leading provider of ophthalmic disease management solutions in North America, offering a comprehensive portfolio of products that address conditions affecting both the front and back of the eye, such as dry eye disease, wet (or neovascular) age-related macular degeneration, cataracts, refractive errors, glaucoma and a range of other ocular surface conditions and retina diseases. Harrow was founded with a commitment to deliver safe, effective, accessible, and affordable medications that enhance patient compliance and improve clinical outcomes. For more information about Harrow, please visit harrow.com and connect with us on LinkedIn.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Any statements in this release that are not historical facts may be considered such “forward-looking statements.” Forward-looking statements are based on management's current expectations and are subject to risks and uncertainties which may cause results to differ materially and adversely from the statements contained herein. Some of the potential risks and uncertainties that could cause actual results to differ from those predicted include, among others, risks related to: liquidity or results of operations; our ability to successfully implement our business plan, develop and commercialize our products, product candidates and proprietary formulations in a timely manner or at all, identify and acquire additional products, manage our pharmacy operations, service our debt, obtain financing necessary to operate our business, recruit and retain qualified personnel, manage any growth we may experience and successfully realize the benefits of our previous acquisitions and any other acquisitions and collaborative arrangements we may pursue; competition from pharmaceutical companies, outsourcing facilities and pharmacies; general economic and business conditions, including inflation and supply chain challenges; regulatory and legal risks and uncertainties related to our pharmacy operations and the pharmacy and pharmaceutical business in general, including the ongoing communications with the U.S. Food and Drug Administration relating to compliance and quality plans at our outsourcing facility in New Jersey; physician interest in and market acceptance of our current and any future formulations and compounding pharmacies generally. These and additional risks and uncertainties are more fully described in Harrow’s filings with the Securities and Exchange Commission (SEC), including its Annual Report on Form 10-K for the year ended December 31, 2025, and other filings with the SEC. Such documents may be read free of charge on the SEC's web site at sec.gov. Undue reliance should not be placed on forward-looking statements, which speak only as of the date they are made. Except as required by law, Harrow undertakes no obligation to update any forward-looking statements to reflect new information, events, or circumstances after the date they are made, or to reflect the occurrence of unanticipated events.

Contacts:

Mike Biega
Vice President of Investor Relations and Communications
[email protected]
617-913-8890

_______________________
i Iopidine® (apraclonidine HCl ophthalmic solution) 0.5% and 1% Prescribing Information. Harrow, Inc
ii Ehrlich et al. JAMA Ophthalmol 2024
iii CMS Part B laser procedure estimates

Posted by Defense World Staff on Apr 23rd, 2026

State of Alaska Department of Revenue lifted its holdings in shares of Harrow, Inc. (NASDAQ:HROW – Free Report) by 807.4% in the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 15,807 shares of the company’s stock after acquiring an additional 14,065 shares during the quarter. State of Alaska Department of Revenue’s holdings in Harrow were worth $774,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other large investors have also recently modified their holdings of HROW. Penn Capital Management Company LLC bought a new stake in shares of Harrow during the 3rd quarter valued at about $15,717,000. Luxor Capital Group LP bought a new stake in shares of Harrow during the 3rd quarter valued at about $14,807,000. New York State Common Retirement Fund boosted its stake in shares of Harrow by 1,944.7% during the 3rd quarter. New York State Common Retirement Fund now owns 213,789 shares of the company’s stock valued at $10,300,000 after purchasing an additional 203,333 shares in the last quarter. Bank of America Corp DE boosted its stake in shares of Harrow by 266.8% during the 2nd quarter. Bank of America Corp DE now owns 213,448 shares of the company’s stock valued at $6,519,000 after purchasing an additional 155,258 shares in the last quarter. Finally, Invesco Ltd. raised its position in shares of Harrow by 967.6% in the 2nd quarter. Invesco Ltd. now owns 150,948 shares of the company’s stock worth $4,610,000 after acquiring an additional 136,809 shares in the last quarter. Institutional investors own 72.76% of the company’s stock.

Harrow Price Performance Shares of NASDAQ HROW opened at $39.14 on Thursday. Harrow, Inc. has a fifty-two week low of $21.12 and a fifty-two week high of $54.85. The company has a 50 day simple moving average of $40.21 and a two-hundred day simple moving average of $42.40. The company has a market capitalization of $1.46 billion, a price-to-earnings ratio of -230.22 and a beta of 0.31. The company has a debt-to-equity ratio of 4.67, a quick ratio of 2.06 and a current ratio of 2.20.

Analyst Ratings Changes Several brokerages have recently issued reports on HROW. Cantor Fitzgerald decreased their target price on Harrow from $94.00 to $91.00 and set an “overweight” rating for the company in a research report on Wednesday, March 4th. HC Wainwright reissued a “buy” rating and issued a $70.00 target price on shares of Harrow in a research report on Thursday, March 19th. B. Riley Financial reissued a “buy” rating and issued a $65.00 target price (down from $74.00) on shares of Harrow in a research report on Tuesday, April 7th. Zacks Research upgraded shares of Harrow from a “strong sell” rating to a “hold” rating in a report on Friday, April 3rd. Finally, Weiss Ratings restated a “sell (e+)” rating on shares of Harrow in a report on Thursday, January 22nd. Eight research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $69.86.

Check Out Our Latest Report on HROW

Harrow Profile (Free Report)

Harrow Health, Inc (NASDAQ: HROW) is a U.S.-based commercial-stage biopharmaceutical company specializing in ophthalmic therapeutics and diagnostics. The company focuses on the development, manufacturing and distribution of proprietary, generic and branded eye care products designed to treat a range of ocular conditions, including glaucoma, ocular hypertension, dry eye disease and other anterior segment disorders.

Through its wholly owned affiliate ImprimisRx, Harrow Health offers a direct-to-physician model for customized formulations as well as low-cost generic alternatives.

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

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on May 11. On the other hand, if they miss, the stock may move lower.

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

Zacks Consensus EstimateThis pharmaceutical and drug compounding company is expected to post quarterly loss of $0.43 per share in its upcoming report, which represents a year-over-year change of -13.2%.

Revenues are expected to be $50.33 million, up 5.2% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 89.66% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

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

Price, Consensus and EPS Surprise

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

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

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

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

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

How Have the Numbers Shaped Up for Harrow?For Harrow, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -62.35%.

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

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

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

For the last reported quarter, it was expected that Harrow would post earnings of $0.4 per share when it actually produced earnings of $0.26, delivering a surprise of -35.00%.

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

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

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

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

Expected Results of an Industry PlayerStevanato Group (STVN - Free Report) , another stock in the Zacks Medical - Drugs industry, is expected to report earnings per share of $0.12 for the quarter ended March 2026. This estimate points to a year-over-year change of +9.1%. Revenues for the quarter are expected to be $311.41 million, up 15.4% from the year-ago quarter.

Over the last 30 days, the consensus EPS estimate for Stevanato has remained unchanged. Nevertheless, the company now has an Earnings ESP of -1.64%, reflecting a lower Most Accurate Estimate.

When combined with a Zacks Rank of #4 (Sell), this Earnings ESP makes it difficult to conclusively predict that Stevanato will beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.

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

Harrow (HROW - Free Report) came out with a quarterly loss of $0.63 per share versus the Zacks Consensus Estimate of a loss of $0.43. This compares to a loss of $0.38 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of -48.24%. A quarter ago, it was expected that this pharmaceutical and drug compounding company would post earnings of $0.4 per share when it actually produced earnings of $0.26, delivering a surprise of -35%.

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

Harrow, which belongs to the Zacks Medical - Drugs industry, posted revenues of $44.2 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 12.17%. This compares to year-ago revenues of $47.83 million. The company has topped consensus revenue estimates just once over the last four quarters.

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

Harrow shares have lost about 22% since the beginning of the year versus the S&P 500's gain of 8.1%.

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

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

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

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

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.02 on $81.91 million in revenues for the coming quarter and $0.48 on $351.26 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Drugs is currently in the top 42% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Merck KGaA (MKKGY - Free Report) , another stock in the same industry, has yet to report results for the quarter ended March 2026.

This company is expected to post quarterly earnings of $0.45 per share in its upcoming report, which represents a year-over-year change of -23.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Merck KGaA's revenues are expected to be $5.78 billion, up 4.1% from the year-ago quarter.

Harrow, Inc. (HROW) Q1 2026 Earnings Call Transcript

May 27, 2026 07:00 ET  | Source: Harrow, Inc.

NASHVILLE, Tenn., May 27, 2026 (GLOBE NEWSWIRE) -- Harrow (Nasdaq: HROW), a leading provider of ophthalmic disease management solutions in North America, today announced that management will present at William Blair’s 46th Annual Growth Stock Conference on Wednesday, June 3, 2026, at 8:40 AM CT, in Chicago, IL.

The presentation will be webcast live and can be found on the Company’s website. A replay will be on the website for approximately 90 days following the event.

About Harrow
Harrow, Inc. (Nasdaq: HROW) is a leading provider of ophthalmic disease management solutions in North America, offering a comprehensive portfolio of products that address conditions affecting both the front and back of the eye, such as dry eye disease, wet (or neovascular) age-related macular degeneration, cataracts, refractive errors, glaucoma and a range of other ocular surface conditions and retina diseases. Harrow was founded with a commitment to deliver safe, effective, accessible, and affordable medications that enhance patient compliance and improve clinical outcomes. For more information about Harrow, please visit harrow.com and connect with us on LinkedIn.

Contact:
Mike Biega, Vice President of Investor Relations and Communications
[email protected]
617-913-8890

AUSTIN, Texas--(BUSINESS WIRE)--Core Scientific, Inc. (Nasdaq: CORZ) (“Core Scientific” or the “Company”), a leader in digital infrastructure for high-density colocation (“HDC”), today announced a multi-tiered strategy to scale its Pecos, Texas campus to approximately 1.5 gigawatts (“GW”) of gross power, or approximately 1.0 GW of leasable power. Earlier this year, Core Scientific began transforming its Pecos campus, where 300 megawatts (“MW”) of gross power capacity are currently used for bitc.

AUSTIN, Texas--(BUSINESS WIRE)--Core Scientific, Inc. (NASDAQ: CORZ), a leader in digital infrastructure for high-density colocation services (“HDC”), today announced financial results for the first quarter of 2026.

“Core Scientific is differentiated by our ability to combine capital readiness with speed to delivery,” said Adam Sullivan, Chief Executive Officer of Core Scientific. “We are investing ahead of contracts, advancing ready-for-service dates and moving development forward across multiple sites. That execution capability is accelerating customer discussions and reinforcing the value of our high-density compute infrastructure platform.”

First Quarter 2026 Financial Results

Total revenue was $115.2 million compared to $79.5 million in the first quarter of 2025. Colocation revenue was $77.5 million, up from $8.6 million in the first quarter of 2025, driven by incremental billable customer power capacity delivered to our customer during the quarter. Digital asset self-mining revenue was $30.1 million, down from $67.2 million in the first quarter of 2025, driven by the 45% decrease in bitcoin mined primarily due to the continued strategic shift to our colocation business and the 18% decrease in the average bitcoin price. Gross profit was $30.1 million compared to $8.2 million in the same period last year. Net loss was $347.2 million, compared to net income of $576.3 million in the first quarter of 2025. The net loss included $266.5 million of non-cash impairment charges, and a $30.8 million non-cash loss from changes in the fair value of warrants and contingent value rights. Non-GAAP Adjusted EBITDA was $4.4 million, compared to $(6.1) million for the prior year period, driven by a $35.7 million increase in total revenue and a $4.1 million favorable change in fair value of digital assets, partially offset by a $17.5 million increase in cash cost of revenue and a $11.9 million increase in adjusted operating expenses. Capital expenditures were $389.2 million, $129.9 million of which were funded by CoreWeave, Inc. pursuant to its existing colocation service agreements with the Company. Liquidity was $1.04 billion as of March 31, 2026, consisting of $1.01 billion of cash and cash equivalents and $37.3 million of bitcoin. Conference Call and Earnings Presentation

In conjunction with this release, Core Scientific, Inc. will host a conference call today, Wednesday, May 6, 2026, at 4:30 pm Eastern Time that will be webcast live. Adam Sullivan, Chief Executive Officer, Matt Brown, Chief Operating Officer, Jim Nygaard, Chief Financial Officer and Jon Charbonneau,Vice President, Investor Relations will host the call.

Investors with Internet access may listen to the live audio webcast via the Investor Relations page of the Core Scientific, Inc. website, http://investors.corescientific.com or by using the following link https://event.choruscall.com/mediaframe/webcast.html?webcastid=VZaoQ5yv.

A supplementary investor presentation for the first quarter 2026 may be accessed at https://investors.corescientific.com/news-events/presentations.

Audio Replay

An audio replay of the event will be archived on the Investor Relations section of the Company's website at http://investors.corescientific.com.

Upcoming Investor Events

Core Scientific will be attending the following investor events in May:

TD Cowen 54th Annual Technology, Media & Telecom Conference, May 28, 2026; and B. Riley Annual Investor Conference, May 20, 2026 If applicable, live presentation webcasts and replay information will be available on the Company’s Investor Relations website.

About Core Scientific

Core Scientific is a leader in designing, building and operating large scale, purpose-built data centers for high-density colocation (“HDC”) services. Core Scientific operates facilities for high-density colocation services serving artificial intelligence-related (“AI”) workloads and is a premier provider of digital infrastructure, software solutions and services to its third-party customers. The majority of the Company's revenue is derived from high-density colocation services, with the remainder derived from earning digital assets for the Company's own account and from digital asset mining hosting services. The Company is in the process of repurposing its remaining mining facilities to support its high-density colocation services business as circumstances allow. Core Scientific’s facilities are located in Alabama (1), Georgia (2), Kentucky (1), North Carolina (1), North Dakota (1), Oklahoma (1) and Texas (4). To learn more, visit www.corescientific.com.

Special Note Regarding Forward-Looking Statements

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934, as amended, (the “Exchange Act”). Forward-looking statements may include words such as “aim,” “estimate,” “plan,” “project,” “forecast,” “goal,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding projections, estimates and forecasts of revenue and other financial and performance metrics, projections of market opportunity and expectations, the Company’s ability to scale and grow its business, successfully complete construction of its data centers, source sufficient electrical energy, necessary long lead infrastructure components, supplies and equipment, the advantages and expected growth of the Company, the Company’s ability to source and retain talent, and our ability to source and consummate acquisitions of entities holding suitable land and power. These statements are provided for illustrative purposes only and are based on various assumptions, whether or not identified in this press release, and on the current expectations of the Company’s management. These forward-looking statements are not intended to serve, and must not be relied on by any investor, as a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of the Company.

These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions, known or unknown, that could cause actual results to vary materially from those indicated or anticipated. These risks, assumptions and uncertainties include those described in Part I. Item 1A. — “Risk Factors” of the Company’s Annual Report on Form 10-K for the year ended December 31, 2025. If one or more of these risks or uncertainties materializes, or if underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements.

There may be additional risks that the Company could not presently know or that the Company currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In addition, forward-looking statements reflect the Company’s expectations, plans or forecasts of future events and views as of the date of this press release and should not be relied upon as representing the Company’s assessments as of any date subsequent to the date of this press release. The Company anticipates that subsequent events and developments will cause the Company’s assessments to change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. Accordingly, you should not place undue reliance on these forward-looking statements, which speak only as of the date they are made.

  Core Scientific, Inc.

Condensed Consolidated Balance Sheets

(in thousands, except par value)

  March 31,
2026

December 31,
2025

Assets

Current Assets:

Cash and cash equivalents

$

1,005,148

$

311,378

Restricted cash, current portion

60,244

—

Digital assets

37,312

222,000

Customer funding receivable and other current assets

352,128

362,159

Total Current Assets

1,454,832

895,537

Property, plant and equipment, net

1,344,924

1,293,299

Operating lease right-of-use assets

105,986

108,484

Restricted cash, net of current portion

80,593

—

Other noncurrent assets

83,229

50,324

Total Assets

$

3,069,564

$

2,347,644

Liabilities and Stockholders’ Deficit

Current Liabilities:

Accounts payable

$

218,857

$

126,106

Accrued expenses

364,479

511,957

Deferred revenue

219,555

127,561

Notes payable, current portion

993,944

—

Warrant liabilities, current portion

844,752

—

Other current liabilities

20,196

15,777

Total Current Liabilities

2,661,783

781,401

Convertible and other notes payable, net of current portion

1,061,651

1,060,325

Warrant liabilities, net of current portion

116,495

936,107

Deferred revenue, net of current portion

434,672

428,290

Other noncurrent liabilities

100,649

104,261

Total Liabilities

4,375,250

3,310,384

Commitments and contingencies

Stockholders’ Deficit:

Preferred stock; $0.00001 par value; 2,000,000 shares authorized; none issued and outstanding at March 31, 2026 and December 31, 2025

—

—

Common stock; $0.00001 par value; 10,000,000 shares authorized at March 31, 2026 and December 31, 2025; 316,949 and 314,231 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively

3

3

Additional paid-in capital

3,188,202

3,183,960

Accumulated deficit

(4,493,891

)

(4,146,703

)

Total Stockholders’ Deficit

(1,305,686

)

(962,740

)

Total Liabilities and Stockholders’ Deficit

$

3,069,564

$

2,347,644

  Certain prior year amounts have been reclassified for consistency with the current year presentation.

  Core Scientific, Inc.

Condensed Consolidated Statements of Operations

(in thousands, except per share amounts)

(Unaudited)

  Three Months Ended March 31,

2026

2025

Revenue:

Colocation revenue

$

77,539

$

8,573

Digital asset self-mining revenue

30,105

67,179

Digital asset hosted mining revenue from customers

7,600

3,773

Total revenue

115,244

79,525

Cost of revenue:

Cost of Colocation services

33,618

8,106

Cost of digital asset self-mining

47,189

61,170

Cost of digital asset hosted mining services

4,331

2,036

Total cost of revenue

85,138

71,312

Gross profit

30,106

8,213

Decrease in fair value of digital assets

6,558

10,688

Loss on disposal of property, plant and equipment

13,638

6

Impairment of property, plant and equipment

266,488

—

Colocation organizational and site startup costs

8,665

11,667

Advisor fees

333

603

Selling, general and administrative

44,846

32,287

Operating loss

(310,422

)

(47,038

)

Non-operating expense (income), net:

Interest expense (income), net

4,857

(2,187

)

Change in fair value of warrants and contingent value rights

30,799

(621,464

)

Loss on legal settlements

500

—

Other non-operating expense, net

10

157

Total non-operating expense (income), net

36,166

(623,494

)

(Loss) income before income taxes

(346,588

)

576,456

Income tax expense

600

205

Net (loss) income

$

(347,188

)

$

576,251

Net (loss) income per share, basic

$

(1.06

)

$

1.42

Net (loss) income per share, diluted

$

(1.06

)

$

1.24

Weighted average shares outstanding, basic

322,911

315,186

Weighted average shares outstanding, diluted

322,911

363,314

  Certain prior year amounts have been reclassified for consistency with the current year presentation.

  Core Scientific, Inc.

Condensed Consolidated Statements of Cash Flows

(in thousands) (Unaudited)

  Three Months Ended March 31,

2026

2025

Cash flows from Operating Activities:

Net (loss) income

$

(347,188

)

$

576,251

Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:

Depreciation and amortization

16,648

19,731

Loss on disposal of property, plant and equipment

13,638

6

Impairment of property, plant and equipment

266,488

—

Change in right-of-use assets 

3,169

2,676

Stock-based compensation

17,761

16,185

Digital asset self-mining

(30,119

)

(67,441

)

Proceeds from sale of digital assets generated by self-mining revenues1

208,249

—

Decrease in fair value of digital assets

6,558

10,688

Change in fair value of warrant liabilities

31,835

(634,280

)

Change in fair value of contingent value rights

(1,036

)

12,816

Amortization of debt discount

1,675

1,732

Changes in operating assets and liabilities:

Customer funding receivable and other current assets

10,107

(10,463

)

Accounts payable

5,874

(14,295

)

Accrued expenses

(16,361

)

2,712

Deferred revenue from colocation services

98,832

42,005

Deferred revenue from hosted mining services

(456

)

734

Other noncurrent assets and liabilities, net

(35,797

)

(4,098

)

Net cash provided by (used in) operating activities

249,877

(45,041

)

Cash flows from Investing Activities:

Purchases of property, plant and equipment

(389,226

)

(83,980

)

Proceeds from sales of property and equipment

2,629

—

Purchase of equity investments

—

(5,000

)

Investments in intangible assets

(55

)

(36

)

Net cash used in investing activities

(386,652

)

(89,016

)

Cash flows from Financing Activities:

Principal repayments of finance leases

(1,095

)

(509

)

Principal payments on debt

—

(3,955

)

Taxes paid related to net share settlement of equity awards

(21,722

)

—

Proceeds from exercise of warrants

81

266

Proceeds for the issuance of term loan facility, net

995,000

—

Issuance costs for term loan facility

(882

)

—

Net cash provided by (used in) financing activities

971,382

(4,198

)

Net increase (decrease) in cash, cash equivalents and restricted cash

834,607

(138,255

)

Cash, cash equivalents and restricted cash—beginning of period

311,378

836,980

Cash, cash equivalents and restricted cash—end of period

$

1,145,985

$

698,725

Certain prior year amounts have been reclassified for consistency with the current year presentation.

1 Proceeds from digital assets received as noncash revenue consideration liquidated upon management’s discretion.

  Core Scientific, Inc.

Segment Results

(in thousands, except percentages)

(Unaudited)

  Three Months Ended March 31,

2026

2025

Colocation Segment

(in thousands, except percentages)

Colocation revenue:

License fees

$

59,195

$

5,995

Power fees passed through to customer

21,059

2,586

Maintenance and other

(2,715

)

(8

)

Total colocation revenue

77,539

8,573

Cost of colocation services:

Power fees passed through to customer

21,059

2,586

Depreciation expense

2,075

67

Employee compensation

2,986

1,295

Facility operations expense

6,755

3,852

Other segment items

743

306

Total cost of colocation services

33,618

8,106

Colocation gross profit

$

43,921

$

467

Colocation gross margin

57

%

5

%

Digital Asset Self-Mining Segment

Digital asset self-mining revenue

$

30,105

$

67,179

Cost of digital asset self-mining:

Power fees

27,271

30,319

Depreciation expense

13,909

19,259

Employee compensation

3,527

7,335

Facility operations expense

1,972

3,280

Other segment items

510

977

Total cost of digital asset self-mining

47,189

61,170

Digital Asset Self-Mining gross profit

$

(17,084

)

$

6,009

Digital Asset Self-Mining gross margin

(57

)%

9

%

Digital Asset Hosted Mining Segment

Digital asset hosted mining revenue from customers

$

7,600

$

3,773

Cost of digital asset hosted mining services:

Power fees

3,303

1,367

Depreciation expense

306

145

Employee compensation

427

332

Facility operations expense

234

148

Other segment items

61

44

Total cost of digital asset hosted mining services

4,331

2,036

Digital Asset Hosted Mining gross profit

$

3,269

$

1,737

Digital Asset Hosted Mining gross margin

43

%

46

%

Consolidated

Consolidated total revenue

$

115,244

$

79,525

Consolidated cost of revenue

$

85,138

$

71,312

Consolidated gross profit

$

30,106

$

8,213

Consolidated gross margin

26

%

10

%

  Core Scientific, Inc.
Non-GAAP Financial Measures
(Unaudited)

Adjusted EBITDA is a non-GAAP financial measure defined as our net (loss) income, adjusted to eliminate the effect of (i) interest income, interest expense, and other income (expense), net; (ii) provision for income taxes; (iii) depreciation and amortization; (iv) stock-based compensation expense; (v) loss on disposal and impairment of property, plant and equipment; (vi) site demolition costs incurred in connection with the conversion of existing facilities to colocation data center operations; (vii) change in fair value of warrant and contingent value rights; (viii) loss on legal settlements; (ix) post-emergence bankruptcy advisory costs incurred related to reorganization, and (x) certain additional non-cash items that do not reflect the performance of our ongoing business operations. For additional information, including the reconciliation of net income (loss) to Adjusted EBITDA, please refer to the table below. We believe Adjusted EBITDA is an important measure because it allows management, investors, and our Board of Directors to evaluate and compare our operating results, including our return on capital and operating efficiencies, from period-to-period by making the adjustments described above. In addition, it provides useful information to investors and others in understanding and evaluating our results of operations, as well as provides a useful measure for period-to-period comparisons of our business, as it removes the effect of net interest expense, taxes, certain non-cash items, variable charges and timing differences. Moreover, we have included Adjusted EBITDA in this earnings release because it is a key measurement used by our management internally to make operating decisions, including those related to operating expenses, evaluate performance, and perform strategic and financial planning.

The above items are excluded from our Adjusted EBITDA measure because these items are non-cash in nature or because the amount and timing of these items are not related to the current results of our core business operations which renders evaluation of our current performance, comparisons of performance between periods and comparisons of our current performance with our competitors less meaningful. However, you should be aware that when evaluating Adjusted EBITDA, we may incur future expenses similar to those excluded when calculating this measure. Our presentation of this measure should not be construed as an inference that its future results will be unaffected by unusual items. Further, this non-GAAP financial measure should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). We compensate for these limitations by relying primarily on GAAP results and using Adjusted EBITDA on a supplemental basis. Our computation of Adjusted EBITDA may not be comparable to other similarly titled measures computed by other companies because not all companies calculate this measure in the same fashion. You should review the reconciliation of net (loss) income to Adjusted EBITDA below and not rely on any single financial measure to evaluate our business.

The following table reconciles the non-GAAP financial measure to the most directly comparable U.S. GAAP financial performance measure, which is net (loss) income, for the periods presented (in thousands):

Three Months Ended March 31,

2026

2025

Adjusted EBITDA

Net (loss) income

$

(347,188

)

$

576,251

Adjustments:

Interest expense (income), net

4,857

(2,187

)

Income tax expense

600

205

Depreciation and amortization

16,553

19,731

Stock-based compensation expense

17,761

16,185

Loss on disposal of property, plant and equipment

13,638

6

Impairment of property, plant and equipment

266,488

—

Site conversion demolition costs

—

4,442

Change in fair value of warrants and contingent value rights

30,799

(621,464

)

Loss on legal settlements

500

—

Post-emergence bankruptcy advisory costs

317

603

Other

27

157

Adjusted EBITDA

$

4,352

$

(6,071

)

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More News From Core Scientific, Inc.

Core Scientific, Inc. (CORZ - Free Report) came out with a quarterly loss of $0.1 per share versus the Zacks Consensus Estimate of a loss of $0.02. This compares to a loss of $0.1 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of -566.67%. A quarter ago, it was expected that this company would post a loss of $0.27 per share when it actually produced a loss of $0.29, delivering a surprise of -7.41%.

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

Core Scientific, Inc., which belongs to the Zacks Financial - Miscellaneous Services industry, posted revenues of $115.24 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 4.12%. This compares to year-ago revenues of $79.53 million. The company has not been able to beat consensus revenue estimates over the last four quarters.

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

Core Scientific, Inc. shares have added about 52.4% since the beginning of the year versus the S&P 500's gain of 6%.

What's Next for Core Scientific, Inc.?While Core Scientific, Inc. has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

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

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

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

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is breakeven on $148.07 million in revenues for the coming quarter and $0.07 on $629.9 million in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Miscellaneous Services is currently in the top 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

TeraWulf Inc. (WULF - Free Report) , another stock in the same industry, has yet to report results for the quarter ended March 2026. The results are expected to be released on May 8.

This company is expected to post quarterly loss of $0.17 per share in its upcoming report, which represents a year-over-year change of -6.3%. The consensus EPS estimate for the quarter has been revised 12.1% higher over the last 30 days to the current level.

TeraWulf Inc.'s revenues are expected to be $33.62 million, down 2.3% from the year-ago quarter.

Core Scientific, Inc. (CORZ) Q1 2026 Earnings Call Transcript

Stock Momentum Joins Top 10%Despite reporting a wider-than-expected first-quarter loss this week, the digital infrastructure company is experiencing a massive surge in market momentum.

According to Benzinga Edge’s Stock Rankings, CORZ‘s momentum score leaped from 89.33 to 91.95 week-on-week, officially placing the stock in the top 10% of market performers. This quantitative surge aligns with universally bullish technical indicators, flashing green across short, medium, and long-term price trends.

Earnings Miss Overshadowed By AI ExpansionWhile the company reported a first-quarter loss of 10 cents per share—missing the consensus estimate of a 7-cent loss—Wall Street quickly looked past the bottom line.

Armed with a $3.3 billion project bond, the company is accelerating its infrastructure builds, including massive 1.5 GW capacity plans at its Pecos, Texas, and Muskogee, Oklahoma campuses.

The CoreWeave Catalyst And Road AheadCentral to this bullish narrative is Core Scientific’s execution with AI cloud provider CoreWeave. The company has already delivered and is billing for 243 megawatts (MW) of capacity, which translates to roughly $350 million in annualized colocation revenue.

As Core Scientific intentionally winds down its Bitcoin mining operations throughout 2026 to free up power, it is cementing its position as a premier infrastructure provider for the AI revolution, making its first quarter earnings dip a minor footnote in a much larger growth story.

CORZ Stock Gains In 2026The shares are up 53.57% year-to-date and have soared over 151% over the past year. Over the last six months, the stock was 10.75% higher.

With a 52-week range of $9.17 to $25.01, it closed Thursday 9.22% lower at $22.36 apiece, and it was higher by 1.30% in premarket on Friday.

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

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