Carnival Corp (NYSE:CCL) shares fell almost 6% on Tuesday after the cruise operator issued a third quarter profit outlook below Wall Street expectations, overshadowing stronger-than-expected second-quarter results and record revenue.
The company reported adjusted earnings of $0.41 per share for the quarter ended May 31, ahead of analysts' estimates of $0.33 per share.
Revenue rose to a record $6.7 billion, slightly above the consensus forecast of $6.68 billion.
Net income attributable to Carnival reached $537 million, while adjusted net income climbed more than 20% year over year to a record $569 million. Adjusted EBITDA also hit a record $1.6 billion.
Carnival said customer deposits reached an all-time high of $9 billion, up more than $450 million from the previous year's record, while bookings for the remainder of 2026 remain ahead of last year at historically high prices.
For the third quarter, Carnival expects adjusted earnings of $1.35 per share, below analysts' expectations of $1.42. The company projected full-year 2026 adjusted earnings of $2.22 per share, also below the consensus $2.23.
Carnival CEO Josh Weinstein said the company delivered its "twelfth consecutive quarter of record net yields" despite "extreme geopolitical headwinds and nearly 30% higher fuel costs."
The company said booking trends for Mediterranean itineraries were affected by the prolonged conflict in the Middle East, prompting it to prioritize pricing over occupancy. Carnival noted that it is 93% booked for 2026, with less inventory remaining for sale than at the same point last year.
Weinstein said recent booking trends indicate the company is beginning to see "a reversal of these headwinds," adding that demand for 2027 and beyond continues to run ahead of prior-year levels.
For 2026, Carnival expects net yields to increase about 3.2% from 2025 levels and adjusted cruise costs excluding fuel per available lower berth day to rise approximately 3.7%. The company said elevated logistics costs linked to disruptions from the Middle East conflict are incorporated into its outlook.
For the quarter ended May 2026, Carnival (CCL - Free Report) reported revenue of $6.66 billion, up 5.3% over the same period last year. EPS came in at $0.41, compared to $0.35 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $6.64 billion, representing a surprise of +0.33%. The company delivered an EPS surprise of +18.84%, with the consensus EPS estimate being $0.35.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Carnival performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
ALBDs (Available lower berth days): 24.7 million versus the five-analyst average estimate of 24.69 million.Occupancy percentage: 104% compared to the 104.3% average estimate based on five analysts.Passenger cruise days (PCDs): 25.7 million versus the four-analyst average estimate of 25.74 million.Fuel cost per metric ton consumed (excluding emission allowances): $793.00 compared to the $852.67 average estimate based on three analysts.Net yields (per ALBD): $208.69 versus the three-analyst average estimate of $208.26.Fuel consumption in metric tons: 700.00 Kmt versus 706.65 Kmt estimated by two analysts on average.Fuel consumption in metric tons per thousand ALBDs: 28.20 Kmt versus the two-analyst average estimate of 28.71 Kmt.Revenues- Onboard and other: $2.39 billion compared to the $2.39 billion average estimate based on five analysts. The reported number represents a change of +7.5% year over year.Revenues- Passenger ticket: $4.27 billion compared to the $4.26 billion average estimate based on five analysts. The reported number represents a change of +4.1% year over year.View all Key Company Metrics for Carnival here>>>
Shares of Carnival have returned +16.2% over the past month versus the Zacks S&P 500 composite's +0.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
Carnival Corporation Ltd. remains undervalued, trading at a 13% discount to the sector median despite strong top and bottom-line growth. CCL benefits from robust global cruise tourism tailwinds, with the market expected to more than double by 2034, supporting long-term demand. CCL's fundamentals outpace peers, posting 6% revenue and 47% EPS growth over the past year, yet valuation lags competitors like RCL and RRR.
Carnival (NYSE:CCL | CCL Price Prediction) stock is under pressure today, falling 6% to $28.41 as investors react to its latest quarterly earnings report. The move stands out against a relatively stable backdrop for peers, with Royal Caribbean (NYSE:RCL) stock down 1% to $306 and Norwegian Cruise Line (NYSE:NCLH) stock up half a percentage point to $20.14.
The mixed trading action across CCL, RCL, and NCLH suggests investors are taking a highly selective approach after earnings season updates. Even though all three companies operate in the same industry, the market response highlights clear differences in perceived execution and forward guidance.
At the same time, the cruise-line sector continues to show underlying demand strength in key metrics such as revenue growth and pricing power. However, guidance signals and cost pressures appear to be playing a larger role in shaping near-term sentiment across Carnival and its peers.
Carnival’s Guidance Overshadows Earnings Beat Carnival stock is getting hit hard today even after the cruise-line operator reported results that included an earnings beat. The company posted record revenue of $6.7 billion and adjusted earnings per share of $0.41, reinforcing that demand for cruises remains resilient.
However, CCL stock is reacting more strongly to the company’s weaker-than-expected outlook for the next quarter. Investors sometimes place greater weight on forward guidance than on past performance, particularly when valuation expectations are elevated.
Furthermore, Carnival faces pressure from rising scrutiny around fuel costs and profitability normalization. Even strong top-line results may not fully offset concerns when guidance signals a slower trajectory ahead.
Royal Caribbean Stock Holds Up on Strong Profitability At the same time, Royal Caribbean stock is showing relative strength, slipping only 1% despite broader sector volatility. The company reported net income of $950 million and adjusted earnings per share of $3.60, reinforcing its position as one of the stronger operators in the cruise industry.
Royal Caribbean stock continues to benefit from a perception of operational efficiency and stronger pricing power compared with peers. That positioning may help explain why RCL isn’t reacting as sharply to sector-wide concerns.
However, Royal Caribbean isn’t entirely immune to headwinds, as rising fuel costs and cautious broker commentary suggest potential pressure on margins ahead. Even so, Royal Caribbean remains comparatively stable as investors weigh its earnings strength against macroeconomic uncertainty.
Norwegian Gives Mixed Signals Norwegian Cruise Line stock is slightly higher today despite a mixed earnings report. The company generated $2.33 billion in revenue, reflecting 10% year-over-year growth, although results came in below expectations.
Moreover, Norwegian Cruise Line reported an earnings beat, but the company lowered its full-year EBITDA guidance, which adds a layer of caution to the outlook. That combination of stronger current performance and softer forward expectations is shaping a split investor reaction.
Norwegian is also navigating ongoing cost pressures, particularly from fuel expenses, even as some geopolitical risks appear to be easing. That mix of improving demand conditions and cautious guidance helps explain the relatively muted price action compared with Carnival stock.
What to Watch Next for Cruise Stocks Carnival, Royal Caribbean, and Norwegian are now entering a phase where forward guidance may matter more than headline earnings beats. Investors can focus on whether management teams signal continued pricing strength into the next quarter.
Carnival stock in particular may remain sensitive to any updates around cost management and revenue visibility. Royal Caribbean stock and Norwegian stock may also be influenced by how effectively each company manages fuel costs and operational efficiency.
On the other hand, the broader cruise demand environment still appears supportive based on recent revenue trends across the sector. Investors may consider whether current pullbacks in Carnival stock create more attractive entry points or whether caution around guidance continues to cap upside.
For now, the divergence between CCL, RCL, and NCLH highlights how quickly sentiment can shift after earnings season. Investors should consider keeping position sizes measured while monitoring whether forward guidance stabilizes across the cruise industry.
Key Takeaways Carnival reported Q2 adjusted EPS of 41 cents and revenues of $6.66 billion, both above estimates.Carnival posted a 12th straight quarter of record net yields and exceeded March guidance by $100 million.CCL ended Q2 with a record $9.0 billion in customer deposits and 93% of 2026 capacity booked. Carnival Corporation & plc (CCL - Free Report) reported better-than-expected second-quarter fiscal 2026 (ended May 31) results, with both adjusted earnings and revenues surpassing the Zacks Consensus Estimate. The top and bottom lines also increased on a year-over-year basis.
Despite reporting another earnings beat and delivering record quarterly results, Carnival's shares fell 5.7% in pre-market trading today. Investor sentiment was likely weighed down by management's second-half outlook, which reflects the impact of ongoing geopolitical tensions in the Middle East on booking trends for certain European deployments, particularly in the Mediterranean region.
Nevertheless, Carnival posted its twelfth consecutive quarter of record net yields and exceeded the March guidance by $100 million, driven by strong commercial execution and improved cost efficiency despite nearly 30% higher fuel costs. Management noted that recent booking trends are beginning to improve, indicating a gradual easing of geopolitical headwinds and reinforcing confidence in demand, pricing and the company's long-term earnings potential.
CCL’s Q2 Earnings & RevenuesIn the quarter under review, the company reported adjusted earnings per share (EPS) of 41 cents, beating the Zacks Consensus Estimate of 35 cents. In the year-ago quarter, CCL posted an adjusted EPS of 35 cents.
Revenues in the quarter totaled $6.66 billion, beating the consensus mark of $6.64 billion. The metric also increased 5.3% year over year.
During the quarter, passenger ticket revenues amounted to $4.27 billion, up from $4.10 billion reported in the prior-year quarter. Our estimate for passenger ticket revenues was also pegged at $4.23 billion.
Onboard and other revenues increased to $2.39 billion from $2.22 billion reported in the year-ago quarter. Our estimate for Onboard and other revenues was pegged at $2.38 billion.
Carnival’s FinancialsAdjusted net income in the quarter amounted to $569 million compared with $470 million reported in the prior-year quarter.
Adjusted EBITDA totaled $1.58 billion, up from $1.51 billion reported in the prior-year quarter.
CCL’s Balance SheetAs of May 31, 2026, cash and cash equivalents were $2.24 billion compared with $1.93 billion as of Nov. 30, 2025. Total debt (current and long-term) as of May 31, 2026, was $24.89 billion compared with $26.64 billion as of Nov. 30, 2025.
Booking Update of CarnivalThe company delivered another exceptionally strong booking performance, with its booked position for the second half of 2026 running ahead of last year at historically high prices on a constant-currency basis. This strength was achieved despite more than a full quarter of heightened geopolitical volatility that primarily affected booking trends for European deployments, particularly in the Mediterranean region. Management maintained pricing discipline by leveraging its occupancy advantage, supporting continued yield strength.
With 93% of 2026 capacity already booked and less inventory remaining for sale than at the same point last year, Carnival is well positioned to achieve record net yields in the back half of 2026. Demand for 2027 and beyond also remains robust, with booking volumes and pricing for future sailings running ahead of prior-year levels since March, including a significant increase in bookings for European itineraries.
The company's booking curve remains the furthest out on record, underscoring the strength of its portfolio of cruise brands and sustained demand generation efforts. Continued demand momentum was also reflected in higher fiscal second-quarter onboard revenues, increased pre-cruise onboard sales and strong customer engagement, providing enhanced revenue visibility.
Customer deposits reached an all-time high of $9.0 billion, surpassing the prior year's record by more than $450 million despite flat capacity growth over the next 12 months. The record deposit balance highlights the continued strength in consumer demand and further reinforces Carnival's strong cash flow profile.
CCL’s Q3 & FY26 OutlookFor third-quarter fiscal 2026, the company expects adjusted EBITDA to be approximately $2.88 billion. It expects fiscal third-quarter adjusted net income to be nearly $1.86 billion. The company expects fiscal third-quarter adjusted EPS to be $1.35.
For fiscal 2026, CCL now expects adjusted EBITDA of approximately $7.11 billion, down from its prior estimate of $7.19 billion. Adjusted net income is projected to be nearly $3.07 billion compared with the earlier expectation of $3.1 billion. Accordingly, adjusted EPS for the year is anticipated to be $2.22, revised up from the previous outlook of $2.21.
CCL’s Zacks Rank & Stocks to ConsiderCurrently, Carnival has a Zacks Rank #3 (Hold).
Some better-ranked stocks in the Zacks Consumer Discretionary sector are as follows:
Flexsteel Industries (FLXS - Free Report) currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.
The company delivered a trailing four-quarter earnings surprise of 59%, on average. FLXS stock has moved up 65.3% in the past six months. The Zacks Consensus Estimate for Flexsteel’s fiscal 2026 sales and EPS indicates an increase of 14.6% and 3.8%, respectively, from the year-ago levels.
Strategic Education, Inc. (STRA - Free Report) currently holds a Zacks Rank of 2 (Buy). The company delivered a trailing four-quarter earnings surprise of 11.2%, on average. STRA stock has declined 4.7% in the past six months.
The Zacks Consensus Estimate for Strategic Education’s 2026 sales and EPS implies growth of 16.5% and 1.7%, respectively, from the year-ago levels.
OneSpaWorld (OSW - Free Report) currently carries a Zacks Rank of 2. The company delivered a trailing four-quarter earnings surprise of 31.8%, on average. OSW stock has climbed 33.2% in the past six months.
The Zacks Consensus Estimate for OneSpaWorld 2026 sales and EPS implies growth of 17.2% and 7.3%, respectively, from the year-ago levels.
Key Takeaways CCL says its softer back-half yield outlook reflects Europe disruption, not weaker long-term demand.Carnival beat Q2 estimates as record deposits, record yields and cost control offset geopolitical pressure.CCL is investing in destinations, fleet upgrades and buybacks while leverage improved to 3.1X. Carnival Corporation (CCL - Free Report) used its second-quarter 2026 earnings call to make a narrow but important point: the company’s softer back-half yield outlook reflects a temporary Europe disruption, not a break in its longer-term demand story.
Management paired that message with evidence of continued execution, including record yields, record customer deposits and tighter cost control that helped offset pressure tied to the Middle East conflict.
CCL Frames Europe as a Temporary HeadwindChief executive officer Josh Weinstein said second-quarter outperformance came despite extreme geopolitical volatility, weak consumer sentiment and sharply higher fuel prices. He argued the main disruption was concentrated in European deployments, especially the Mediterranean, where the prolonged Middle East conflict hurt booking trends and pressured the timing of demand.
Weinstein emphasized that Carnival entered the period with an occupancy advantage and used that flexibility to protect pricing rather than chase volume. That trade-off left the company still ahead of last year on booked position as it entered the third quarter, with 93% of 2026 inventory already sold and less inventory remaining than a year ago.
The quarter itself remained solid. Adjusted EPS came in at $0.41 versus the Zacks Consensus Estimate of $0.35, a 17.1% surprise, while revenues of $6.66 billion topped the consensus estimate of $6.64 billion by 0.3%. Adjusted net income reached a record $569 million, and net yields in constant currency rose 2.2% year over year.
Carnival Leans on Costs to Protect EarningsChief financial officer David Bernstein said Carnival beat its March guidance by $100 million, with cost control doing most of the work. Cruise costs excluding fuel per ALBD were essentially flat year over year, outperforming prior guidance by about 250 basis points.
Bernstein said some of that benefit reflected timing between quarters, but he also described broader changes that should stick. He pointed to multiple efficiency actions implemented across the organization that lowered the cost base and contributed a $0.06 per share improvement to full-year guidance.
That helped Carnival absorb a roughly 1 percentage point cut to yield growth versus prior guidance. Full-year adjusted EPS guidance now stands at $2.22. On a normalized basis, net yield growth is projected at about 2.25%, and cruise costs excluding fuel are expected to rise about 1.3%.
CCL Keeps Building Its Destination AdvantageWeinstein spent considerable time on destinations, treating them as a core earnings driver rather than a side strategy. He highlighted the pier extension at Celebration Key and the new pier at RelaxAway, Half Moon Cay as moves that increase throughput, flexibility and itinerary differentiation.
The company expects Celebration Key to host 3.5 million visitors next year, while Paradise Collection destinations are projected to welcome more than 9 million guest visits. Management argued that pairing Celebration Key with RelaxAway on the same itinerary creates a differentiated beach offering that competitors cannot easily match.
Carnival also pointed to Alaska and Western Caribbean assets as strategic advantages. Weinstein tied those destination investments to pricing power and stronger demand rather than simple capacity growth, reinforcing management’s view that execution on itineraries and owned infrastructure can support yields over time.
Carnival Balances Growth, Buybacks and DeleveragingManagement also used the call to show that stronger cash generation is widening Carnival’s strategic options. Bernstein said the company has already repurchased more than $450 million of stock under its $2.5 billion authorization and expects to return about $1.3 billion to shareholders this year when dividends are included.
At the same time, Carnival continues to invest in fleet renewal and modernization. The company ordered three new Princess ships for 2035, 2038 and 2039, while also expanding mid-life upgrade programs at AIDA and Holland America. Weinstein said those refurbishments are being underwritten to high-teen returns, with added cabins paying back in just a few years.
Leverage kept moving lower as well. Net debt to adjusted EBITDA improved to 3.1X at quarter-end from 3.4X at year-end 2025, giving management room to fund destination projects, buybacks and balance-sheet repair at the same time.
CCL Q&A Sharpened the Europe DebateAnalyst questions centered on how much of the outlook reset was truly tied to Europe and whether the weakness could spill into 2027. Weinstein was direct in saying the entire yield revision relative to March was tied to the Middle East conflict and its effect on European sailings, especially for fly-based North American customers.
He also said recent weeks showed improving trends, and management made clear that current guidance does not assume a return to second-quarter disruption levels. Bernstein added that third-quarter occupancy should be roughly flat year over year, reflecting a willingness to leave some cabins unsold rather than erode pricing.
In 2027, management stopped short of guidance but sounded constructive. Weinstein said bookings and pricing for 2027 are running ahead of last year, including a mid-teens increase in Europe bookings at higher prices, which he offered as proof that the current slowdown has not changed the longer-term demand backdrop.
Carnival Leaves the Call on OffenseThe clearest message from the call was that Carnival sees the second-half moderation as a temporary interruption, not a structural demand issue. Management’s tone stayed confident because pricing held up, costs improved, and bookings outside the immediate disruption zone remained firm.
Just as important, Carnival used the call to show it can keep investing through volatility. Destination expansion, fleet upgrades, buybacks and deleveraging were all presented as parallel priorities supported by a stronger operating base.
Zacks Signals on CCLCCL currently carries a Zacks Rank #3 (Hold), along with a Value Score of A, Growth Score of B, Momentum Score of F and VGM Score of B. Within the Zacks framework, a Hold-ranked stock can still be worth retaining, and the stronger Value and VGM grades indicate more favorable value and blended style characteristics than momentum at current levels. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
A Style Score is designed to complement, not override, the Zacks Rank. A Zacks Rank #3 calls for more balance than a top-ranked stock, even with an attractive Value or VGM Score, and the rank can change as analysts revise earnings estimates after the quarter.
Market Leaders Including Cisco, MediaTek, NVIDIA, and Samsung Foundry
Demonstrate Measurable Impact, Advancing the Shift from Overdesign to Co-design
Key Highlights
Integrates golden signoff multiphysics analysis directly into timing signoff, design closure, multi-die, and analog workflows, enabling earlier, more accurate design decisions Enables SPICE-accurate multiphysics timing analysis with up to 3x faster runtimes Delivers up to 10x faster design closure with higher ECO success rates and improved PPA Provides concurrent power integrity, electromagnetic, and thermal analysis across dies and packaging, enabling early system-level insights from exploration to signoff , /PRNewswire/ -- Synopsys, Inc. (NASDAQ: SNPS) today announced availability of its first Multiphysics Fusion™ solutions for customer deployment. As chip complexity increases, physics-related challenges including signal integrity, power integrity, thermal integrity, electromagnetic effects, and co-packaged optics are becoming critical constraints at advanced nodes and in multi-die architectures, requiring a unified EDA and multiphysics approach. The Multiphysics Fusion portfolio combines Synopsys' AI-powered EDA solutions with Ansys golden signoff analysis across timing signoff, design closure, multi-die design, and analog workflows. Validated by market leaders, these solutions improve predictability and accelerate convergence for AI and high-performance computing systems.
"Multiphysics is fundamentally reshaping how advanced semiconductor designs are engineered, driving a shift from costly overdesign to integrated, system-aware co-design," said Sanjay Bali, Senior Vice President of EDA Product Management and Strategy at Synopsys. "Our Multiphysics Fusion portfolio unifies Synopsys and Ansys technologies to embed physics directly into digital and analog workflows, enabling engineering teams to design across domains with fewer iterations, improved productivity and more optimized silicon for next-generation systems."
Enabling Multiphysics‑Aware Co-Design Across the Chip Design Flow
Building on the vision introduced at Synopsys Converge 2026, the first Multiphysics Fusion solutions include targeted GPU-accelerated flows powered by NVIDIA CUDA-X libraries such as cuDSS:
Multiphysics Fusion for Timing Signoff: Enables up to 3x faster runtimes, SPICE-accurate multiphysics timing analysis. Integrates Synopsys PrimeTime® with RedHawk-SC™ and RedHawk-SC Electrothermal™, along with unified full-spectrum RC extraction using Synopsys StarRC™ and multiphysics HFSS-IC, to incorporate IR, thermal, and stress effects, improving margins and reducing IR-induced timing escapes. Multiphysics Fusion for Design Closure: Delivers up to 10x faster design closure with higher engineering change order (ECO) success rates and improved power, performance and area (PPA). Combines Synopsys PrimeClosure™ with RedHawk-SC to embed power integrity into golden signoff optimization, accelerating convergence with fewer iterations. Multiphysics Fusion for Multi-die Designs: Unified Synopsys 3DIC Compiler platform with RedHawk-SC, RedHawk-SC Electrothermal and multiphysics HFSS-IC for concurrent power integrity, thermal, and electromagnetic analysis, providing early system insights from exploration to golden signoff with correct-by-construction design. Multiphysics Fusion for Analog & Photonic Design: Integrates Synopsys Custom Compiler™ with multiphysics HFSS-IC for on-chip, high accuracy electromagnetic analysis into the analog design flow, and Synopsys OptoCompiler with Lumerical enabling end-to-end photonic IC and co-packaged optics systems. Demonstrating Real-World Impact with Market Leaders
Early engagements with leading semiconductor and systems companies validate the value of Multiphysics Fusion solutions:
"As multi-die integration becomes increasingly important for high performance compute platforms, it's critical we make the right system-level design decisions early in the development process," said Harrison Hsieh, vice president at MediaTek. "By unifying multiphysics analysis and timing signoff across digital, analog, photonic and multi-die designs, Synopsys Multiphysics Fusion technology gives us earlier insight into cross-domain interactions across silicon, advanced packaging and optical domains, which makes it possible for us to improve predictability, reduce late-stage rework, and achieve a runtime that's 10 times faster than before."
"Advanced AI and high-performance computing platforms are pushing chip design beyond traditional workflows, and to deliver greater performance, efficiency and reliability at scale, multiphysics-aware co-design is essential," said Tim Costa, vice president and general manager of computational engineering at NVIDIA. "Synopsys is using NVIDIA accelerated computing and CUDA-X libraries, including cuDSS, which delivers up to 13x GPU acceleration, to scale increasingly complex SPICE simulations, electromagnetics, and power-integrity workloads. In addition, Synopsys Multiphysics Fusion solutions enable up to 5x faster design closure and up to 86% IR fix rates in selected pilot designs."
"Accurate timing signoff at advanced nodes requires a unified approach that accounts for IR drop, thermal, and stress effects directly within timing analysis," said Hyung-Ock Kim, vice president and head of the Foundry Design Technology Team at Samsung Electronics. "Synopsys' Multiphysics Fusion technology provides a unified, all‑aware timing signoff platform by integrating PrimeTime with multiphysics insight, delivering SPICE-accurate correlation and enabling margin recovery. This is increasingly important as we pursue higher levels of integration, performance, and reliability across advanced process and multi‑die technologies."
In addition, the Cisco Silicon One group is leveraging Synopsys Multiphysics Fusion technology to unify IR drop effects within signoff design closure to gain earlier, more accurate visibility into real-world conditions. Combined with signoff-accurate, timing-aware IR fixing, this enables predictive optimization—helping Cisco Silicon One converge on power integrity issues faster, deliver better PPA, and achieve significantly faster runtime.
Availability
Multiphysics Fusion solutions for timing signoff, design closure, multi-die design, and analog and photonic design are available today. For more information, visit, https://www.synopsys.com/solutions/multiphysics-fusion.html.
Resources
Blog: From Overdesign to Co-Design: Confronting Multiphysics Challenges in Chips Blog: New Synopsys Multiphysics Fusion™ Technology Set to Transform Chip and Product Engineering eBook: Multiphysics Fusion Technology for Multi-Die Designs Explained eBook: Optimizing Analog Design with Multiphysics News Release: Synopsys Outlines Vision for Engineering the Future About Synopsys
Synopsys, Inc. (Nasdaq: SNPS) is the leader in engineering solutions from silicon to systems, enabling customers to rapidly innovate AI-powered products. We deliver industry-leading silicon design, IP, simulation and analysis solutions, and design services. We partner closely with our customers across a wide range of industries to maximize their R&D capability and productivity, powering innovation today that ignites the ingenuity of tomorrow. Learn more at www.synopsys.com.
Forward-Looking Statements
This press release contains forward-looking statements, including, but not limited to, statements concerning our expectations regarding certain of our solutions, including their anticipated performance and benefits, and the development of additional solutions and enhancements. These statements involve risks, uncertainties and other factors that could cause our actual results, time frames, or achievements to differ materially from those expressed or implied in such forward-looking statements. Information on potential risks, uncertainties and other factors that could affect Synopsys' results is included in filings we make with the SEC from time to time, including in the sections entitled "Risk Factors" in our latest Annual Report on Form 10-K and in our latest Quarterly Report on Form 10-Q.
Synopsys (NASDAQ:SNPS | SNPS Price Prediction) has spent 2026 stuck in the penalty box. The stock trades at $448.38, down 10.76% over the past month and 4.54% year to date, even as the chip design software duopoly remains the most strategically vital toll booth in semiconductors.
Our 24/7 Wall St. price target for Synopsys is $490.68 by year-end 2026, implying mid-single-digit upside from here. Our research view leans constructive with high conviction.
24/7 Wall St. Price Target Summary Metric Value Current Price $448.38 24/7 Wall St. Price Target (Year-End 2026) $490.68 Implied Upside ~9.4% Research View Constructive Confidence Level 90% Why the Stock Has Drifted Lower The narrative on Synopsys is mixed, and the price action reflects it. Shares sit 31.20% below the 52-week high of $651.73 set after the Ansys close, with a 52-week low of $376.18.
The Q2 FY2026 report on May 27, 2026 was strong: revenue of $2.276 billion grew 42% YoY, non-GAAP EPS of $3.35 beat consensus by 5.96%, and management raised full-year guidance to a midpoint of $9.665 billion in revenue and $14.76 in non-GAAP EPS.
The pressure is coming from a $10 billion long-term debt load, $403.6 million in quarterly amortization compressing GAAP profit, and a CFO $1.53 million Rule 10b5-1 sale on June 12, 2026.
The Case for $540 and Higher The bull case rests on Synopsys’s structural moat. CEO Sassine Ghazi said at the Mizuho Technology Conference that “no modern chips can be designed without the company’s technology.” Stifel reiterated Buy with a $600 price target on June 11, and Citi raised its target to $610 on the same day, citing the Q2 beat and IP recovery.
Analyst consensus sits at $560.38 with 17 Buy ratings, 7 Holds, and just 1 Strong Sell. Our bull scenario points to a year-end $539.62, driven by the new AI Product Suite, the Murata Ansys partnership, and Design Automation margins expanding to 43.3%.
What Could Push Shares to $466 The bear case centers on integration risk and Design IP. The segment generated $454.2 million in Q2, and the Processor IP Solutions divestiture removes roughly $40M from FY26 guidance.
Bulls would counter that the $234.2 million in H1 restructuring charges are non-recurring and that reallocating IP resources to AI-driven markets should drive sequential recovery in H2. Still, a trailing P/E of 104, shareholder lawsuits tied to Design IP disclosures, and a Morgan Stanley flag on growth deceleration justify caution. Our bear scenario sees year-end $466.25.
Synopsys Price Prediction 2026-2030 The 24/7 Wall St. price target is $490.68 by year-end 2026, with a 90% confidence read on a constructive view. The factor that tips the scale is the EDA duopoly with Cadence, which gives Synopsys pricing power inside every AI chip program on the planet.
The setup looks constructive here as long as Design Automation margins keep expanding and the September 30 Investor Day delivers credible long-term targets. The thesis weakens if Design IP fails to recover in H2 or if the Entity List headwind broadens.
Looking further ahead, here is where our model projects Synopsys could trade, assuming Ansys synergies compound and AI-driven EDA demand holds.
Year 24/7 Wall St. Price Target 2026 $490.68 2027 $559.18 2028 $645 2029 $745 2030 $860 These projections assume Synopsys keeps executing on the silicon-to-systems platform. Significant upside or downside could come from AI capex normalization or further export control escalation.
Synopsys (SNPS - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this maker of software used to test and develop chips have returned -7.5%, compared to the Zacks S&P 500 composite's +0.3% change. During this period, the Zacks Computer - Software industry, which Synopsys falls in, has lost 9.4%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Synopsys is expected to post earnings of $3.68 per share for the current quarter, representing a year-over-year change of +8.6%. Over the last 30 days, the Zacks Consensus Estimate has changed +2.2%.
The consensus earnings estimate of $14.75 for the current fiscal year indicates a year-over-year change of +14.3%. This estimate has changed +3.4% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $17.14 indicates a change of +16.2% from what Synopsys is expected to report a year ago. Over the past month, the estimate has changed +1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Synopsys is rated Zacks Rank #2 (Buy).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of Synopsys, the consensus sales estimate of $2.44 billion for the current quarter points to a year-over-year change of +40.3%. The $9.69 billion and $10.67 billion estimates for the current and next fiscal years indicate changes of +37.4% and +10.1%, respectively.
Last Reported Results and Surprise HistorySynopsys reported revenues of $2.28 billion in the last reported quarter, representing a year-over-year change of +41.9%. EPS of $3.35 for the same period compares with $3.67 a year ago.
Compared to the Zacks Consensus Estimate of $2.25 billion, the reported revenues represent a surprise of +1.13%. The EPS surprise was +5.68%.
Over the last four quarters, Synopsys surpassed consensus EPS estimates three times. The company topped consensus revenue estimates three times over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Synopsys is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Synopsys. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Let's take a look at what these Wall Street heavyweights have to say about Synopsys (SNPS - Free Report) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.
Synopsys currently has an average brokerage recommendation (ABR) of 1.77, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 22 brokerage firms. An ABR of 1.77 approximates between Strong Buy and Buy.
Of the 22 recommendations that derive the current ABR, 14 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 63.6% and 4.6% of all recommendations.
Brokerage Recommendation Trends for SNPS
Check price target & stock forecast for Synopsys here>>>
The ABR suggests buying Synopsys, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation.
Do you wonder why? As a result of the vested interest of brokerage firms in a stock they cover, their analysts tend to rate it with a strong positive bias. According to our research, brokerage firms assign five "Strong Buy" recommendations for every "Strong Sell" recommendation.
This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
Zacks Rank Should Not Be Confused With ABRAlthough both Zacks Rank and ABR are displayed in a range of 1--5, they are different measures altogether.
Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
Analysts employed by brokerage firms have been and continue to be overly optimistic with their recommendations. Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns.
There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.
Is SNPS Worth Investing In?Looking at the earnings estimate revisions for Synopsys, the Zacks Consensus Estimate for the current year has increased 3.7% over the past month to $14.75.
Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Synopsys. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Therefore, the Buy-equivalent ABR for Synopsys may serve as a useful guide for investors.
Synopsys (NASDAQ:SNPS | SNPS Price Prediction) is one of the most strategically positioned software franchises in the AI-era semiconductor stack, and the recent pullback has reset the setup for investors evaluating the name.
The 24/7 Wall St. price target for Synopsys is $561.40, implying 23.25% upside from $455.51. Our model classifies SNPS as a high-conviction setup, with 90% confidence in the target.
24/7 Wall St. Price Target Summary Metric Value Current Price $455.51 24/7 Wall St. Price Target $561.40 Upside 23.25% Recommendation BUY Confidence 90% A Strong Quarter Met With a Sleepy Stock SNPS is down 7.77% over the past month and 3.03% year to date, trading 14% below its 52-week high of $651.73 and well off the low of $376.18.
The cooldown followed a strong Q2 FY26 print on May 27, 2026: revenue of $2.276B, up 42% YoY, with non-GAAP EPS of $3.35 beating estimates by 5.96%. Design Automation operating margin expanded to 43.3% from 40.9% a year earlier. Management raised FY26 guidance to $9.625B to $9.705B in revenue and $14.72 to $14.80 in non-GAAP EPS.
The Case for $667 and Beyond Bulls have a clean thesis. CEO Sassine Ghazi said on the Q2 call that “AI is scaling semiconductor demand, architectural diversity and complexity of chips and the systems they power, driving demand across our portfolio.”
Synopsys sits at the choke point for every advanced-node design, and the $35 billion Ansys acquisition that closed July 17, 2025 extends that moat into multi-physics simulation.
Q1 FY26 revenue grew 65.4% YoY, and the backlog stood at $11.4B exiting FY25. Of 25 analysts, 17 rate the stock Buy or Strong Buy against just one Strong Sell. Our bull case scenario puts SNPS at $667.14 within 12 months, a 46.46% return, if Ansys synergies accelerate and the September 30 Investor Day reveals raised long-term targets.
The Risks Worth Watching The bear case starts with the balance sheet. SNPS carries roughly $10B in long-term debt and $403.6M in quarterly intangibles amortization, which crushed GAAP net income to $17.1M in Q2.
Bulls will counter that this is purely a non-cash artifact of purchase accounting and that non-GAAP EPS and free cash flow of $2B tell the real story. Design IP remains soft, with management divesting Processor IP Solutions, and export controls into China remain an overhang.
Year-over-year quarterly earnings growth of -0.96% trimmed our factor by 0.03. The bear scenario lands the stock at $494.55 over the next year, still 8.57% above today.
Synopsys Price Prediction 2026-2030 The 24/7 Wall St. price target of $561.40 reflects a high-confidence buy. The tipping factor is the disconnect between accelerating non-GAAP fundamentals and a stock that has gone nowhere YTD.
The bull case rests on AI-driven design complexity remaining a multi-year tailwind and Ansys synergies landing as guided. The bear case strengthens if the trailing P/E of 104 matters more than the forward P/E of 31, or if China export controls tighten further.
Looking further out, here is where our model projects SNPS could trade, assuming current growth and margin trajectories hold.
Year 24/7 Wall St. Price Target 2026 $561.40 2027 $666.63 2028 $710.01 2029 $805.26 2030 $849.44 These projections assume Synopsys keeps executing on Ansys integration and AI design demand stays robust. Significant upside or downside could come from China export policy, EDA pricing power, or the pace of advanced-node design starts.
Pre-Market Stock Futures: Futures are trading lower after a mixed start to trading on Monday, following the holiday-shortened week due to the Juneteenth Federal holiday. We may start to see some end-of-the-quarter reallocations and selling for Hedge funds, ETFs, and Mutual Funds this week, and today looks like a starting point. With most corporate buybacks now on hold due to the second-quarter earnings blackouts, we could see additional volatility as the week progresses. The only indices to finish Monday positive were the Dow Jones Industrial Average, which closed at 51,712, up just 0.29%, and the Russell 2000 small-cap index, which closed at 3,005, up 0.88%. The Nasdaq took a beating, closing down 1.33% at 26,166, while the S&P 500 also closed lower, down 0.37% at 7,472. The Nasdaq and S&P 500 dropped on Monday as megacap tech stocks sold off sharply, dragging both indexes lower. Investors are growing increasingly uneasy about the steep infrastructure spending required to scale AI, while ongoing geopolitical tensions add another layer of uncertainty to markets.
Treasury Bonds: Treasury yields soared on Monday, and one likely reason we cover today at 24/7 Wall St. Bank of America came out Monday with a report saying the bank now expects a stunning 75 basis points of rate increases from the Federal Reserve for the rest of 2026. The BofA team sees a 25-basis-point increase in September, October, and December, effectively wiping out the 2025 cuts. Citing sticky inflation and a hawkish first meeting by new Fed Chairman Kevin Warsh, as reasons for a potential big shift in policy. The 30-year long bond closed the day at 4.95%, while the benchmark 10-year note was last seen at 4.51%
Oil and Gas: Despite some ambiguity about the Strait of Hormuz’s status on Monday, both major benchmarks finished the day lower. Brent Crude closed Monday at $78.18, down 2.97%, while West Texas Intermediate closed the session at $74.20, down 2.18%. Natural gas continued its hot streak, closing at $3.25, up 0.37%, with some pointing to the announcement CNBC reported that Chevron (NYSE: CVX | CVX Price Prediction) signed a 20-year agreement to supply natural gas to Project Kilby, a massive West Texas AI data center built by Microsoft. Located in Reeves County, this “behind-the-meter” plant will generate 2.67 gigawatts of electricity directly for the data center, bypassing the traditional power grid when it begins delivering power in 2028.
Gold: Gold started the week off right, closing 0.89% higher at $4,189, while Silver was last seen at $65.03, up 0.49%. Energy strategists pointed to the hefty pullback in crude oil prices following a 60-day roadmap toward a peace deal between the US and Iran in Switzerland. Easing geopolitical tensions can reduce inflation risk premiums and provide precious metals with relief from interest rates.
Crypto: Crypto markets moved quietly higher Monday as easing geopolitical tensions boosted investor confidence, with Bitcoin holding its ground above $64,000. BTC opened around $63,242 before climbing to $65,218, while Ethereum shook off early weakness to reach $1,775. The broader market followed suit, with altcoins gaining ground and ETFs tied to XRP, Solana, and Hyperliquid drawing notable inflows. At 8 AM EDT, Bitcoin traded at $62,360 while Ethereum traded at $1,657.
24/7 Wall St. reviews dozens of analyst research reports every day to identify fresh investment ideas for investors and traders alike. These daily analyst notes include recommendations on stocks to buy, sell, or avoid, as well as new coverage initiations. No single analyst report should ever be the sole basis for buying or selling a stock.
Here are some of the best Wall Street analyst upgrades, downgrades, and initiations seen on Tuesday, June 23, 2026.
Upgrades: American Healthcare REIT (NYSE: AHR) was upgraded to Buy from Neutral at Citigroup, with a $55 target price. International Business Machines (NYSE: IBM) was upgraded to Overweight from Neutral at JPMorgan, which lifted the price target for the legacy tech giant to $291 from $270. Qiagen NV (NYSE: QGEN) was raised to Overweight from Equal Weight at Morgan Stanley, which nudged the price target for the stock to $42 from $40. Synopsys (NASDAQ: SNPS) was upgraded to Overweight from Neutral at Piper Sandler, which raised the target price for the shares to $550 from $450. Target (NYSE: TGT) was raised to Outperform from Peer Perform at Wolfe Research, with a $162 price target. Downgrades: Arcosa (NYSE: ACA) was downgraded to Hold from Buy at Texas Capital, with a $150 target price. Darden Restaurants (NYSE: DRI) was downgraded to In Line from Outperform at Evercore ISI, with a $230 target price. Nike (NYSE: NKE) was downgraded to In Line from Outperform at Evercore ISI, with a $46 target price, down from $57, for the sports apparel and shoe giant. Ross Stores (NASDAQ: ROST) was cut to Equal Weight from Overweight at Wells Fargo, with an unchanged $245 target price. Sabra Health Care REIT (NASDAQ: SBRA) was downgraded to Neutral from Buy at Citigroup, which trimmed the target price for the stock to $19 from $24. Initiations: Centene (NYSE: CNC) was started with a Sector Perform rating at RBC Capital, which has a $70 target price for the stock. Flutter Entertainment (NYSE: FLUT) was initiated with a Hold rating at Freedom Capital, with a $105 target price objective. GE Healthcare Technologies (NASDAQ: GEHC) was initiated with an Outperform rating at RBC Capital, with an $80 target price. Permian Resources (NYSE: PR) was initiated with an Outperform rating at Evercore ISI, which has a $25 target price for the shares. Space Exploration Technologies (NASDAQ: SPCX) was started with a Neutral rating at Susquehanna, with a $170 target price.
Key Takeaways SNPS benefits from AI chip design demand, with DSO.ai used in more than 700 tape-outs.Synopsys expects fiscal 2026 revenue growth of 14.3%, with 83% of revenue recurring.APLD has 1.2 GW under contract, but nearly 90% of contracted revenues come from two customers. Synopsys (SNPS - Free Report) and Applied Digital (APLD - Free Report) are two of the biggest beneficiaries of surging AI capital expenditure by global investors in the semiconductor industry. All the layers of the semiconductor industry, including electronic and design automation, integrated device manufacturing, chip fabrication, fabless chip designers, packaging and assembly equipment players are gaining from the AI trend. These companies are not only growing on the back of their products but are also cashing in on the sale of intellectual property and patents of their technology.
Although Synopsys and Applied Digital serve separate verticals of the semiconductor industry, the AI tailwind is helping both companies grow. APLD serves as an infrastructure provider to new-age AI and high performance computing companies and builds, owns and operates large-scale data centers for them. Synopsys, on the other hand, automates engineering workflows, improves customer productivity and gains from the system-level and semiconductor R&D spending and robust AI compute design activity.
Given these dynamics, let's discuss the fundamentals of these two giants and pick the one that has more upside in the AI landscape.
The Case for Synopsys StockSynopsys is gaining from a multi-trillion-dollar AI infrastructure buildout as it leverages its decades of deep engineering expertise, proprietary codebases and solvers, silicon-proven design technologies and foundry co-optimization capabilities. The company has been able to provide its customers with up to 50% faster knowledge assistance, 70% faster workflow assistance and 5x faster formal testbench generation.
SNPS is using AI in two ways, which include making chip design faster and better and preparing for a broader shift where AI becomes a more autonomous workflow layer across design, verification and simulation. Synopsys provides DSO.ai and VSO.ai. DSO.ai is an optimization engine focused on tape-outs, while VSO.ai is being used more deeply in SoC blocks and verification workflows.
Synopsys’ customers have used DSO.ai to optimize more than 700 cumulative tape-outs, and VSO.ai has been deployed in up to 90% of SoC blocks on some chips, per its most recent earnings call. Synopsys has implemented AI in its product layer, which it calls XSO.ai, that enables its customers to train AI on their own workflow to create knowledge-assistant tools.
Another major contributor to Synopsys’ top line is its Design IP business. Over the years, Synopsys has heavily invested in developing and acquiring intellectual property for semiconductor electronic design automation and these IPs are now licensed by other companies, making SNPS a strong link in the AI semiconductor chain. Synopsys has expanded beyond its traditional silicon design business with the acquisition of Ansys, adding multi-physics simulation capabilities to its portfolio.
Synopsys generates most of its revenue from recurring sources, which made up 83% of total revenues in the second quarter of fiscal 2026. The Zacks Consensus Estimate for the SNPS’ fiscal 2026 revenues is pegged at $9.69 billion, suggesting year-over-year growth of 14.3%. The estimate for fiscal 2026 earnings implies year-over-year growth of 37.4%, which has remained unchanged over the past 30 days.
Image Source: Zacks Investment Research
The Case for Applied Digital StockApplied Digital is building its next growth phase around power infrastructure, which is becoming an increasingly important factor in AI data center deployment. As hyperscalers continue expanding AI workloads, access to reliable and scalable power is expected to play a larger role in data center site selection. APLD's strategy of securing utility-connected power capacity and developing campuses in energy-abundant regions could strengthen its position in the rapidly growing AI infrastructure market.
The company's North Dakota campuses are expected to provide a competitive advantage through access to low-cost grid power, favorable cooling conditions and an established operating footprint. These factors may help APLD offer customers long-term efficiency benefits while supporting the economics of multi-year hyperscale leases. The company already has 1.2 gigawatts of critical IT capacity under contract and is actively marketing additional development sites with more than 3.5 gigawatts of utility-connected power capacity. As AI infrastructure demand rises, these assets could support future leasing activity and expand APLD's revenue base.
However, customer concentration remains elevated despite continued efforts to diversify its hyperscale customer base. APLD has expanded its development pipeline and is actively pursuing additional leasing opportunities, but contracted revenues remain heavily concentrated among a limited number of customers, creating an ongoing risk to long-term revenue visibility.
The concentration remains significant. Of the company's approximately $36 billion in total contracted lease revenues, $11 billion is attributable to CoreWeave, while a separate hyperscaler anchors Delta Forge 1, Polaris Forge 3 and Delta Forge 2 and accounts for $20 billion. The remaining $5 billion is tied to a third hyperscaler at Polaris Forge 2. Together, just two customers represent close to 90% of total contracted revenues.
Applied Digital also works on a capex-heavy business model, which is keeping its bottom-line growth modest. The Zacks Consensus Estimate for APLD's fiscal 2026 revenues is pegged at $395 million, suggesting year-over-year growth of 83.5%. The estimate for fiscal 2026 earnings implies modest year-over-year growth of 15.2%, which has been revised downward in the past 30 days.
Image Source: Zacks Investment Research
SNPS vs. APLD: Price Performance & Valuation CheckSynopsys shares have lost 1.3% in the past year, while shares of Applied Digital have soared 358%.
Past One-Year Performance Chart
Image Source: Zacks Investment Research
On the valuation front, Applied Digital trades at a forward 12-month price-to-sales (P/S) multiple of 16.48 above its one-year median of 16.28x, while Synopsys’ 8.62x trades below its one-year median of 9.11x.
Forward 12-Month (P/S) Valuation Chart
Image Source: Zacks Investment Research
Conclusion: SNPS vs APLDWhile both Synopsys and Applied Digital are positioned to benefit from the ongoing AI infrastructure boom, Synopsys appears to be the stronger investment choice based on the quality, durability and profitability of its growth. Applied Digital remains highly capital-intensive, relies on a small number of hyperscale customers and carries greater execution risk as it continues building out data center infrastructure. Given these factors, we suggest SNPS to be a safer choice over APLD stock. SNPS carries a Zacks Rank #2 (Buy), while APLD has a Zacks Rank #5 (Sell) at present.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
I rate Synopsys (SNPS) a Buy with a $657 price target, implying 43% upside from the current level of $461. The Ansys acquisition expands SNPS into system-level engineering, unlocking cross-selling, margin expansion, and a broader platform for AI-driven complexity. In my model, I estimate that core EDA contributes $4.13 of 2028-EPS, Ansys integration adds $1.26, and design IP adds $0.67. This gets me to a 2028 EPS-estimate of $20.92.
GoPro (GPRO) is an Extremely Speculative Buy with a base-case target of $1.45, reflecting a binary, event-driven investment thesis. GPRO faces severe distress: negative equity, ongoing dilution from a death-spiral convertible, and explicit going-concern risk, but a live strategic sale process is underway. The market misprices GPRO as a melting ice cube, while a competitive sale could deliver significant upside; downside is total loss if no deal materializes.
Few of the market's large-cap software names have fallen as hard this year as Salesforce (CRM +2.22%). The stock recently set a fresh 52-week low and is down about 40% year to date, leaving it among the worst performers in enterprise software. What makes the slide unusual is that the underlying business keeps setting records.
The company reported results for its fiscal first quarter of 2027 (the period ended April 30, 2026) in late May, and the numbers were strong. So why does the stock keep falling?
The answer has little to do with the latest quarter and almost everything to do with a single fear: that artificial intelligence (AI) agents will erode the per-seat subscriptions that software companies like Salesforce have long sold. If a handful of agents can do the work of many employees, the worry goes, customers will eventually need fewer paid seats. In addition, there's an overarching fear that AI will increasingly handle what software companies do today.
Image source: Getty Images.
What the latest quarter actually showed The fiscal first-quarter results suggest that fear may be overblown, at least for now. Salesforce's revenue rose 13% year over year to $11.1 billion, though about 4.4 percentage points of that growth came from its recent Informatica acquisition. Stripping that out, organic growth was closer to the high-single-digit pace the company has run at for a while.
More telling, however, was what happened beneath the top line. Salesforce's AI and data products generated $3.4 billion in annual recurring revenue (ARR), up about 200% from a year earlier, and its Agentforce agentic AI offering alone crossed $1 billion in ARR after more than tripling. And rather than shrinking, the seat count in the company's largest products grew.
"Our largest applications, sales and service, saw year-over-year seat growth with humans and agents both expanding on the platform," said Salesforce chief operating and finance officer Robin Washington in the company's fiscal first-quarter earnings call.
That dynamic, with customers paying for more seats rather than fewer even as they adopt automation, sits at the center of the bull case. Salesforce is also leaning hard into new ways to charge for AI, including usage-based pricing and a recent $3.6 billion deal to acquire Fin, an AI customer service platform.
The profit picture looks healthy, too. Salesforce's non-GAAP (adjusted) operating margin reached a record 34.8%, and the company generated $6.6 billion in free cash flow during the quarter. Salesforce also returned $27.5 billion to shareholders, the bulk of it through a $25 billion accelerated share repurchase that was the largest in its history. That buyback shrank the share count by about 10% from a year earlier.
Is the sell-off a buying opportunity? Not everything in the quarter, however, was reassuring. Management pointed to ongoing weakness in the company's commerce and Tableau businesses. Salesforce has also cut staff repeatedly over the past year as it reorganizes around AI. Of course, this can be viewed as both a negative and a positive.
Additionally, investors will need patience. Management is guiding for organic revenue growth to reaccelerate in the back half of the fiscal year -- a recovery investors will have to wait to see.
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The real problem for the stock recently may have been valuation. Only now is the stock starting to look reasonably priced in light of the risks of technological change that software companies face. After the sell-off, Salesforce trades at a forward price-to-earnings ratio of about 12, using the midpoint of management's full-year adjusted earnings outlook. For a profitable business still growing revenue at a double-digit rate and expanding its margins while buying back stock aggressively, that is a fairly attractive multiple.
So, is it finally time to buy? I'm staying cautious. The numbers increasingly suggest AI is acting as a catalyst for Salesforce rather than a threat. But the broader uncertainty over how AI will reshape software isn't going away soon, and that overhang could keep a lid on the valuation premium investors are willing to pay for software stocks for years, even ones executing as well as this one.
Overall, buying a small, undersized position here could make sense for investors comfortable with the AI disruption overhang that could plague the stock for years. From there, I'd only build the position into a meaningful stake if the stock falls significantly further. Approaching the stock this way gives investors the flexibility to profit if things go well, and to potentially keep buying a good business at an even better price.
Stripe, Alphabet GOOGL , Anthropic and Salesforce CRM are committing $915 million to carbon dioxide removal technologies through Frontier, the buyer coalition created to help early-stage climate startups scale. Frontier, which launched in 2022 with $925 million in backing, pools capital to buy future carbon removals from companies developing durable solutions.
The timing matters for investors because Microsoft MSFT , described in the source as the world's biggest investor in carbon removals, may be scaling back its activity. That could raise new questions about whether corporate demand can keep pace, even as climate scientists say the world may need to remove billions of tons of CO2 annually to reduce the worst effects of global warming.
Frontier's new fund will be more concentrated than its first commitment, focusing on 10 to 15 companies after previously backing more than 20 through offtake agreements. Companies seeking support will need to show a path to government subsidies or other public backing, as Frontier looks for startups that could become more scalable, affordable and efficient.
CRM announces 13 acquisitions over the past twelve months, with it building upon their historical growth-by-acquisition strategy albeit triggering a deteriorating balance sheet health. Otherwise, the strong free cash flow generation and the expanding multi-year backlog mitigate risks, significantly aided by the adj EPS accretion from the accelerated share repurchase cadence. Agentic AI integration and strategic acquisitions like Slack/Informatica drive accelerating workflow and ARR growth, lending credibility to CRM's AI beneficiary status and reiterated FY2030 guidance.
Salesforce is undervalued as investors overlook its transformation into an AI-driven digital labor platform through Agentforce. Agentforce, integrated with Slack, positions CRM to automate enterprise workflows, leveraging deep client integration and a robust data foundation. CRM's consumption-based model and Slack's role as the enterprise AI interface are driving rapid adoption and revenue growth, underappreciated by the market.
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.
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What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
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How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +24% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
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To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Salesforce (CRM - Free Report) Salesforce is the leading provider of on-demand Customer Relationship Management (CRM - Free Report) software, which enables organizations to better manage critical operations, such as sales force automation, customer service and support, marketing automation, document management, analytics and custom application development. Its offerings are delivered on the Agentforce 360 Platform, which connects customer data with integrated AI across systems, apps and devices.
CRM is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. CRM has a Growth Style Score of B, forecasting year-over-year earnings growth of 12.8% for the current fiscal year.
For fiscal 2027, 17 analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.97 to $14.12 per share. CRM boasts an average earnings surprise of +17.3%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, CRM should be on investors' short list.
Salesforce (NYSE: CRM | CRM Price Prediction) and Oracle (NYSE: ORCL) both delivered fresh earnings inside a three week window, and the contrast is striking.
Salesforce sells AI agents that sit on top of customer data. Oracle sells the cloud plumbing those agents increasingly run on. Both are leaning into generative AI, but the way each one funds, prices, and books that growth tells two very different stories about where enterprise software dollars are flowing.
Agentforce Carries Salesforce. Cloud Infrastructure Carries Oracle. Salesforce posted Q1 FY27 revenue of $11.133 billion, up 13.27%, with EPS of $3.88 against a $3.1271 estimate. The real headline is Agentforce ARR at $1.2 billion, up 205%, with 3.8 billion Agentic Work Units delivered.
CEO Marc Benioff called it “an outstanding quarter for Salesforce, record revenue, record deals, and cash flow.” Over 50% of Agentforce bookings came from existing customers, which is reassuring but also raises a fair question about new logo velocity.
Oracle’s Q4 FY26 told a wilder story. Revenue hit $19.184 billion with cloud infrastructure surging 93% to $5.787 billion. Remaining performance obligations exploded to $638 billion, up 363%, with $75 billion tied to prepaid or customer supplied GPU arrangements.
That cushions Oracle’s capital risk, but capex still ran to $55.663 billion on a trailing basis, dragging free cash flow to negative $23.686 billion.
Capital Light vs. Capital Heavy Lens Salesforce Oracle Core Bet Agentic CRM on top of Customer 360 Hyperscale AI datacenters and OCI FY27 Revenue Guide $45.9B to $46.2B $90B Free Cash Flow $6.556B positive -$23.686B Forward P/E 12x 23x Salesforce funded a $25 billion accelerated share repurchase by issuing debt, taking noncurrent debt to $39.3 billion from $10.4 billion.
Oracle plans to raise roughly $40 billion in FY27 through debt and equity to keep building. Co-CEO Clay Magouyrk framed the strategy plainly, saying Oracle has “over 211 live and planned regions worldwide, more than any of our cloud competitors.”
The Next Test Is Whether AI Bookings Convert to Cash I want to see Agentforce monetization broaden beyond the installed base, and I will be watching whether Slack MCP, which crossed 1 million active users in six weeks, becomes a paid hook.
For Oracle, the question is how quickly that $638 billion RPO turns into recognized revenue without further blowing out capex. The Q1 FY27 cloud growth guide of 58% to 64% is the proof point.
Sentiment is telling, too. Reddit chatter on Oracle stayed bullish post-earnings, with sentiment scores 67 to 78. Salesforce drew the opposite reaction, with scores collapsing to 12 to 33 by June 11.
Why I Lean Toward Salesforce on Valuation, but Respect Oracle’s Backlog Personally, I find the setup awkward for both. Salesforce trades near a 12x forward P/E with a 38.64% year to date drawdown, which is unusual for a profitable software leader. For value-oriented investors who trust the Agentforce ramp, that valuation stands out.
Oracle is the bolder bet. The 450.97% ten year return and that backlog suggest real demand, but the FY27 capital raise and negative free cash flow mean you are underwriting Larry Ellison’s AI thesis with a heavier balance sheet.
On valuation alone, Salesforce screens cheaper, while Oracle’s backlog underwrites the growth case; one clean quarter of free cash flow improvement at Oracle would meaningfully de-risk the thesis.
Salesforce is transitioning from seat-based SaaS to metered, workflow-driven pricing, positioning itself as the metering layer for agentic enterprise software. Q1 FY27 results highlight robust 13% revenue growth, 34.8% non-GAAP operating margin, and $6.6B in free cash flow, with data/agentic layers growing 3x faster than legacy apps. Agentforce's usage-based model decouples revenue from headcount, compounding within the installed base; audit-lineage and zero-copy federation create a regulatory moat.
From the garage to a first-of-its-kind fan community, VCARB is redefining what it means to be a next-generation Formula 1® team through the power of AI
SAN FRANCISCO & FAENZA, Italy--(BUSINESS WIRE)--Salesforce (NYSE: CRM), the world’s #1 Agentic CRM, and Visa Cash App Racing Bulls (VCARB) Formula 1 Team today announced a new partnership — unifying fans, data, and team operations on a single agentic platform to transform fan engagement, hospitality, and the race day experience.
The collaboration will utilize the full power of Agentforce 360 – the complete portfolio of Salesforce AI solutions that power the Agentic Enterprise. This includes leveraging Slack to further connect VCARB's global teams and streamline workflows, from race day operations to fan community management.
VCARB is one of motorsports’ most digitally native teams, and the partnership marks a significant step in VCARB's broader vision to transform how it operates, engages, and delivers race day experiences. Together, the organizations are demonstrating what it looks like when a next-generation F1 team decides to become a true Agentic Enterprise. By deploying Agentforce 360 for real-time fan and VIP engagement and Slack to keep the entire operation connected, the result is more than a sponsorship; it's a showcase of how AI, data, and CRM power personalized fan moments at race speed.
As part of the partnership, VCARB is giving fans and VIP guests an exclusive window into the sport through the Salesforce Intelligence Centre — a first-of-its-kind installation displayed on garage screens featuring Tableau dashboards that visualize comparative track data and historical performance metrics. At its core is TORO, an AI agent powered by Agentforce 360 that surfaces insights and generates custom data visualizations on the spot. This offers a compelling view of VCARB performance data that deepens engagement and brings fans closer to the action, strategy, and decision-making that define Formula 1.
Looking ahead, VCARB will bring fans closer to the action with a dedicated Slack fan community, built around exclusive content, real-time collaboration, and race weekend connection. And for VIPs, VCARB is looking to reimagine the Paddock Club experience, leveraging Agentforce 360 to help guests easily navigate hospitality and logistics so human support teams can focus on the high-touch moments that matter most.
“Formula 1 is one of the most data-rich and fast-moving sports in the world, and our ambition is to use that data to create deeper, more meaningful connections with our fans,” said Peter Bayer, CEO at Visa Cash App Racing Bulls. “Partnering with Salesforce allows us to bring together AI, data, and real-time insights in ways that enhance every aspect of the fan experience, from the garage to our global community. As a team that embraces innovation, we’re excited to work with Salesforce to redefine what fan engagement can look like in this new era of Formula 1.”
"Formula 1 runs on precision, and with Agentforce 360, we've already seen how unifying data, agents, and human teams transforms fan engagement and support at a global scale,” said Patrick Stokes, CMO at Salesforce. “VCARB is building on that foundation in its own way. By bringing Agentforce 360 into the garage, VCARB is setting the bar for what an Agentic Enterprise looks like in motorsports."
About Salesforce
Salesforce helps organizations of any size become Agentic Enterprises — integrating humans, agents, apps, and data on a trusted, unified platform to unlock unprecedented growth and innovation. Visit www.salesforce.com for more information.
About Visa Cash App Racing Bulls Formula One Team
Visa Cash App Racing Bulls has been one of the sport's most consistent competitors since 2006. VCARB is one of two Red Bull-owned Formula One teams, serving as the talent incubator and launch pad for young drivers who have gone on to win races and World Championships in Formula One and beyond. Powered by Red Bull Ford Powertrains, the team is based both in Faenza, Italy and Milton Keynes, United Kingdom. VCARB also competes in the all-female F1 Academy series, extending its long-standing commitment to developing the next generation of racing talent.
Off track, VCARB is the team for a new generation of fans, democratising the world of F1 and giving people wiiings through its Creator Platform and wider fan initiatives. The team not only creates champions, it champions creativity.
Salesforce Inc. shares CRM extended their decline on Monday, falling 1.44% to $149.6 and putting the stock on track for a record 14th consecutive daily loss.
The move comes amid continued pressure on software companies as investors reassess the impact of artificial intelligence on the software-as-a-service (SaaS) model.
The stock has dropped 43% year to date, with much of the recent weakness attributed to concerns that customers could use AI coding agents to build alternatives to Salesforce’s Agentforce platform.
The current downturn marks the company’s longest losing streak on record and reflects broader sector-wide anxiety over AI disruption.
Salesforce last closed higher on June 1, following mixed first-quarter earnings released on May 27.
However, optimism around a potential re-rating of AI risk in software proved short-lived, as shares have since fallen 28% over the ongoing losing streak.
The broader software sector has also come under pressure amid what some analysts have described as a “SaaSpocalypse,” referring to concerns that AI could reshape or displace traditional SaaS business models.
AI agents—software systems capable of completing complex tasks using language models—have become central to these concerns.
While still early in development, the technology has raised questions about whether future workflows in knowledge industries could be handled increasingly by machines rather than traditional software platforms.
Salesforce itself attempted to address investor concerns last week by announcing a $3.6 billion acquisition of an AI agent-focused company, alongside the integration of a proprietary AI model and expanded agent capabilities.
Jefferies noted that Salesforce’s 15 mergers and acquisitions since May 2025 have helped “accelerate innovation.”
Despite this, shares continued to decline, suggesting the acquisition did little to shift near-term sentiment.
Analysts remain divided despite valuation-driven upgradesEven as Salesforce stock has fallen sharply, Wall Street sentiment remains broadly constructive.
Monness Crespi analyst Brian White upgraded the stock to Buy from Neutral with a $200 price target, citing valuation rather than operational improvements.
White noted that Salesforce has “earned the unflattering title as the second-worst performing stock in our coverage universe in 2026,” but argued that current levels present a compelling valuation opportunity.
He maintained the Buy rating based on discounted pricing and the company’s progress in supporting customers transitioning toward agentic enterprise models.
The stock’s recent weakness also follows a 52-week low of $146.32, underscoring the scale of the selloff.
According to FactSet data, Salesforce carries an average Overweight rating across 54 analysts, with a $244.58 price target.
The stock currently has 40 Buy-equivalent ratings, two Underweight ratings, and 12 Hold ratings.
Recent developments, including a $3.6 billion acquisition of Fin and partnerships such as one with a Formula 1 racing team for AI-driven operations, reflect Salesforce’s ongoing push into applied AI.
However, investor sentiment remains cautious as concerns over long-term software disruption continue to dominate trading behavior.
HomeIndustriesSoftwareTech StocksTech StocksShares of Salesforce posted their 14th consecutive day of losses as investors remain unconvinced of the company’s AI momentumPublished: June 22, 2026 at 4:50 p.m. ET
Shares of Salesforce deepened their record losing streak on Monday as the company continues to grapple with what investors see as an existential risk to its business posed by artificial intelligence.
Salesforce CRM shares fell 1% Monday, marking their 14th consecutive day of losses. Over that period, the stock has shed 28%. It’s an extension of Salesforce’s longest losing streak on record, based on available data going back to 2004, according to Dow Jones Market Data.
Arizona-based supplier of bath and shower products connects sales and operations to support smarter planning, stronger coordination, and continued growth
SAN RAMON, Calif.--(BUSINESS WIRE)--Rootstock Software, a recognized leader in cloud ERP for product-based companies, today announced that Petty Products has successfully gone live on Rootstock ERP and Agentforce Revenue Management. Together, the solutions help connect sales, purchasing, inventory, and operational workflows on one platform to support the company’s continued growth.
"It's great timing as residential construction is picking up just as we've completed deployment, enabling us to work faster and smarter with Rootstock ERP and Agentforce Revenue Management." — Jack Petty, VP of Operations, Petty Products
ShareHeadquartered in Arizona, Petty Products supplies and installs bath accessories, mirrors, and shower enclosures for many of the nation’s leading residential builders across the Phoenix and Tucson markets. As the company grew, it needed a more connected business environment to better support purchasing decisions, inventory coordination, order management, and long-term scalability.
Built on the Salesforce Platform, Rootstock ERP is currently available on AgentExchange at https://appexchange.salesforce.com/appxListingDetail?listingId=a0N30000005uSuCEAU.
“We’ve made a tremendous leap forward, moving from manual, paper-based and spreadsheet-driven processes to now having a modern business platform,” said Jack Petty, VP of Operations at Petty Products. “It’s great timing as residential construction is picking up just as we’ve completed deployment, enabling us to work faster and smarter with Rootstock ERP and Agentforce Revenue Management. With everything now connected on one platform, our teams have been able to better coordinate, streamline, and automate processes. We’re already seeing employees become more proactive and aligned in how they manage day-to-day operations.”
The Rootstock ERP implementation was initiated by Praxis Solutions, an implementation partner acquired by Rootstock Software in November 2025. After the acquisition, Petty Products continued working with the same implementation team — now part of Rootstock’s professional services organization — to successfully complete deployment.
Since going live, Petty Products has leveraged Rootstock’s MRP and operational capabilities to strengthen coordination between supply and demand, as well as ensure process consistency across the organization.
“We were going live with two systems, but we wanted them to operate as one seamless solution,” added Petty. “This is where Praxis brought deep expertise to the project. As the Praxis team became integrated with Rootstock, they did an amazing job inspiring confidence in our ability to achieve our goals, and we’re continuing to work with their team to further align sales and operational workflows, so we’re prepared to handle increased project volumes.”
“Petty Products undertook a significant transformation, modernizing both back-end and customer-facing workflows,” said Caroline Marty, SVP of Global Professional Services & Enablement at Rootstock Software. “By unifying ERP and revenue management processes, the company is establishing a more agile, data-driven model with stronger end-to-end coordination across the business. As Petty Products looks to expand into new markets and product lines, the organization is better positioned to scale operations, improve market responsiveness, and support long-term growth.”
To learn how Rootstock helps product companies modernize operations and scale with confidence, schedule a demo today or meet Rootstock at one of its upcoming events.
Salesforce, Agentforce, and AgentExchange are among the trademarks of Salesforce, Inc.
About Rootstock
Rootstock Software provides the leading ERP for product companies, empowering manufacturers, wholesalers, and distributors to turbocharge their operations. Natively built on the Salesforce Platform, Rootstock is a modern, future-proof ERP with a fresh user experience. Users appreciate Rootstock’s focus on customer success and its AI capabilities that offer a human-first approach. IT teams value Rootstock’s platform as it minimizes the need to coordinate complex customizations and third-party integrations. All of these factors have contributed to delighted customers. As Rootstock continues to grow, stay tuned to hear about its new customers, career opportunities, and LinkedIn posts.
Salesforce (CRM - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this customer-management software developer have returned -16.6%, compared to the Zacks S&P 500 composite's +0.1% change. During this period, the Zacks Internet - Software industry, which Salesforce falls in, has lost 4.7%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
Salesforce is expected to post earnings of $3.27 per share for the current quarter, representing a year-over-year change of +12.4%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.5%.
The consensus earnings estimate of $14.12 for the current fiscal year indicates a year-over-year change of +12.8%. This estimate has changed +5.9% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $15.49 indicates a change of +9.7% from what Salesforce is expected to report a year ago. Over the past month, the estimate has changed +4.9%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Salesforce is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Salesforce, the consensus sales estimate for the current quarter of $11.3 billion indicates a year-over-year change of +10.4%. For the current and next fiscal years, $46.09 billion and $50.48 billion estimates indicate +11% and +9.5% changes, respectively.
Last Reported Results and Surprise HistorySalesforce reported revenues of $11.13 billion in the last reported quarter, representing a year-over-year change of +13.3%. EPS of $3.88 for the same period compares with $2.58 a year ago.
Compared to the Zacks Consensus Estimate of $11.06 billion, the reported revenues represent a surprise of +0.68%. The EPS surprise was +24.36%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates three times over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Salesforce is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Salesforce. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Salesforce has experienced a sharp decline, falling over 40% since January and hitting multi-year lows. Despite this outsized fear, Salesforce is actually delivering revenue acceleration, and is planning for continued top-line acceleration in 2H'27. ARR in Agentforce is growing at more than a 2x y/y clip, proving that Salesforce's AI innovation are driving true monetization rather than just a rebrand.
Tech stocks of all descriptions took it on the chin in Tuesday's trading session, with many of them landing in the red on generally gloomy sentiment. Happily for Salesforce (CRM +2.22%) investors, the veteran customer relationship management (CRM) company wasn't swept up in the rout. Instead, a positive analyst update helped push the shares to a gain of over 2%.
Still a Force in the industry Tuesday was an ideal day to be on the receiving end of a bullish pundit note. Patrick Walravens, who covers Salesforce for Citizens, reiterated his market-outperform (i.e., buy) recommendation on the tech stock and his $315-per-share price target. That's more than double the company's most recent closing price.
Image source: Getty Images.
Walravens' optimism was fueled by Salesforce's latest acquisition, according to reports. The analyst said that the company's deal to purchase Fin, announced last week, will secure it a top customer agent business. Fin's artificial intelligence (AI) agent handles sophisticated customer inquiries across a wide range of both social and traditional media, Walravens added.
In his view, Fin's technology will unquestionably bolster its new owner's Agentforce platform and make it even more appealing, especially to small and medium-sized businesses.
Today's Change
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3.33
Current Price
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153.45
A fine time for a bullish note The prognosticator's latest positive review of Salesforce comes at a time when many software companies continue to be punished by investors. One of the main concerns for these folks is the considerable spending by such businesses on cutting-edge technologies, particularly artificial intelligence (AI).
Yes, Salesforce is spending a considerable amount to rope in Fin (the deal is valued at $3.6 billion). We have to keep in mind that management has never been shy to dip into the coffers, at times deeply, to buy a complementary and beneficial asset. I feel its track record has been quite good in this respect, and I'm buying Walravens' assessment that the deal will bolster Salesforce.
Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Salesforce. The Motley Fool has a disclosure policy.
Innovative Industrial Properties (IIPR - Free Report) closed the most recent trading day at $59.60, moving +1.62% from the previous trading session. This change outpaced the S&P 500's 1.09% gain on the day. Elsewhere, the Dow gained 0.14%, while the tech-heavy Nasdaq added 1.91%.
The company's shares have seen an increase of 4.36% over the last month, not keeping up with the Finance sector's gain of 4.44% and outstripping the S&P 500's gain of 0.29%.
The upcoming earnings release of Innovative Industrial Properties will be of great interest to investors. The company's upcoming EPS is projected at $1.85, signifying a 8.19% increase compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $66.67 million, indicating a 6.01% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $7.47 per share and a revenue of $269.85 million, indicating changes of +3.18% and +1.46%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for Innovative Industrial Properties. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. As of now, Innovative Industrial Properties holds a Zacks Rank of #4 (Sell).
In the context of valuation, Innovative Industrial Properties is at present trading with a Forward P/E ratio of 7.85. Its industry sports an average Forward P/E of 12.72, so one might conclude that Innovative Industrial Properties is trading at a discount comparatively.
The REIT and Equity Trust - Other industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
MONTRÉAL, June 18, 2026 (GLOBE NEWSWIRE) -- Saputo Inc. (TSX: SAP) today announced the completion of the previously disclosed sale of an 80% interest in its Dairy Division (Argentina) to Gloria Foods, the dairy and food holding company of Grupo Gloria.
In connection with the closing, Saputo received net proceeds of approximately $543 million ($400 million USD) and retains a 20% ownership interest in the business.
Following the transaction, the Argentina platform will continue to manufacture select products for Saputo, supporting Saputo’s international product portfolio.
About Saputo
Saputo, one of the top ten dairy processors in the world, produces, markets, and distributes a wide array of dairy products of the utmost quality, including cheese, fluid milk, extended shelf-life milk and cream products, cultured products, and dairy ingredients. Saputo is a leading cheese manufacturer and fluid milk and cream processor in Canada, and a leading dairy processor in Australia. In the USA, Saputo is a leading cheese producer and extended shelf-life and cultured dairy products manufacturer. In the United Kingdom, Saputo is the leading manufacturer of branded cheese and dairy spreads. In addition to its dairy portfolio, Saputo produces, markets, and distributes a range of dairy alternative products. Saputo products are sold in several countries under market-leading brands, as well as private label brands. Saputo Inc. is a publicly traded company, and its shares are listed on the Toronto Stock Exchange under the symbol “SAP”. Follow Saputo’s activities at Saputo.com or via Facebook, Instagram, and LinkedIn.
Investor Inquiries
Nicholas Estrela
Senior Director, Investor Relations
1-514-328-3117
On June 22, 2026, SAP SE SAP shares fell 3.7% to $149.51, continuing a downward trend that has seen the stock decline 37.4% year-to-date and 47.1% over the past year. The stock has traded in a range between $149.19 and $313.28 over the last 52 weeks.
GF Value™ verdict: Current price represents a 41.4% discount to the GF Value™ of $255.09.GF Score™: 77/100, indicating an above-average potential for long-term returns.Most notable signal: Financial Strength rated 8/10, suggesting robust financial health. Is SAP Overvalued or Undervalued? The current price of SAP SE at $149.51 is significantly below the GF Value™ of $255.09, marking the stock as 41.4% undervalued. This disparity indicates a potential buying opportunity, especially considering the GF Valuation label of "Significantly Undervalued." However, potential investors should exercise caution, as the stock's recent performance and market trends could introduce risks. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.
With a substantial margin of safety, the current valuation suggests that SAP SE could be an attractive proposition for value-seeking investors, provided they are willing to navigate the risks associated with the stock's recent volatility.
How Does SAP's Valuation Compare to Its History? MetricCurrentHistorical P/E (TTM)20.2x33.7x Forward P/E17.6xN/A The current P/E (TTM) of 20.2x is notably lower than its 5-year median P/E of 33.7x, indicating that the stock is trading at a significant discount to its historical valuation. This analysis aligns with the GF Value™ verdict, reinforcing the notion that SAP SE is undervalued in the market presently.
What Does SAP's GF Score™ Tell Us? MetricRating GF Score™77 Financial Strength8/10 Profitability8/10 Growth8/10 Valuation4/10 Momentum2/10 SAP's GF Score™ of 77 suggests a solid investment potential based on its financial health, profitability, and growth prospects. The strongest areas are Financial Strength, Profitability, and Growth, all rated at 8/10. However, the stock’s low Valuation rank of 4/10 and Momentum rank of 2/10 indicate that while the company possesses strong fundamentals, its market performance and valuation are currently lagging. This divergence highlights an opportunity for value investors while also stressing the need for caution regarding price momentum.
What Are Insiders Doing with SAP Stock? There have been no insider transactions in the last three months for SAP SE. This lack of activity might signal that insiders are not currently making significant moves, which could reflect their confidence in the stock’s long-term prospects or a wait-and-see approach due to recent market volatility.
What This Means for Investors Based on the analysis of GF Value™, SAP SE is currently undervalued. The significant difference between the current price and GF Value™ suggests a potential opportunity for long-term investment, though market conditions and momentum should be considered carefully.
For the complete analysis, visit the SAP SE SAP stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is SAP's GF Score™?
SAP has a GF Score™ of 77, indicating an above-average potential for long-term returns based on key financial metrics.
Is SAP overvalued or undervalued?
SAP is currently undervalued, with a GF Value™ of $255.09 compared to its current price of $149.51, reflecting a 41.4% margin of safety.
What is SAP's P/E ratio?
SAP's P/E ratio is 20.2x, which is significantly lower than its 5-year median P/E of 33.7x, indicating that the stock is trading at a discount to its historical valuation.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Emerson Electric (EMR - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this maker of process controls systems, valves and analytical instruments have returned +13.9%, compared to the Zacks S&P 500 composite's +1.6% change. During this period, the Zacks Manufacturing - Electronics industry, which Emerson Electric falls in, has gained 4.9%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Emerson Electric is expected to post earnings of $1.68 per share for the current quarter, representing a year-over-year change of +10.5%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.
The consensus earnings estimate of $6.49 for the current fiscal year indicates a year-over-year change of +8.2%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $7.13 indicates a change of +9.8% from what Emerson Electric is expected to report a year ago. Over the past month, the estimate has remained unchanged.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Emerson Electric is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Emerson Electric, the consensus sales estimate of $4.8 billion for the current quarter points to a year-over-year change of +5.5%. The $18.81 billion and $19.72 billion estimates for the current and next fiscal years indicate changes of +4.4% and +4.8%, respectively.
Last Reported Results and Surprise HistoryEmerson Electric reported revenues of $4.56 billion in the last reported quarter, representing a year-over-year change of +2.9%. EPS of $1.54 for the same period compares with $1.48 a year ago.
Compared to the Zacks Consensus Estimate of $4.6 billion, the reported revenues represent a surprise of -0.76%. The EPS surprise was 0%.
Over the last four quarters, Emerson Electric surpassed consensus EPS estimates two times. The company topped consensus revenue estimates times over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Emerson Electric is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Emerson Electric. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
In the latest close session, Emerson Electric (EMR - Free Report) was down 4.71% at $143.14. This change lagged the S&P 500's daily loss of 1.44%. Meanwhile, the Dow lost 0.09%, and the Nasdaq, a tech-heavy index, lost 2.22%.
Coming into today, shares of the maker of process controls systems, valves and analytical instruments had gained 10.11% in the past month. In that same time, the Industrial Products sector gained 9.25%, while the S&P 500 gained 0.08%.
The investment community will be closely monitoring the performance of Emerson Electric in its forthcoming earnings report. It is anticipated that the company will report an EPS of $1.68, marking a 10.53% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $4.8 billion, reflecting a 5.48% rise from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $6.49 per share and revenue of $18.81 billion, which would represent changes of +8.17% and +4.41%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Emerson Electric. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.01% higher. Emerson Electric currently has a Zacks Rank of #3 (Hold).
In the context of valuation, Emerson Electric is at present trading with a Forward P/E ratio of 23.13. This indicates a discount in contrast to its industry's Forward P/E of 23.32.
It's also important to note that EMR currently trades at a PEG ratio of 2.4. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Manufacturing - Electronics industry stood at 1.85 at the close of the market yesterday.
The Manufacturing - Electronics industry is part of the Industrial Products sector. Currently, this industry holds a Zacks Industry Rank of 95, positioning it in the top 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
, /PRNewswire/ -- SIKORA, part of MAAG Group and Dover (NYSE: DOV), today announced the release of LINE PERFORMANCE OPTIMIZER (LPO), a new software program designed to detect early-stage quality fluctuations in wire and cable production.
Data cable manufacturing requires consistently high product quality, as even minor disturbances can impair signal and transmission quality. SIKORA's new LPO software uses highly accurate individual measurement values from SIKORA measuring devices without averaging them. These measurement values are then consolidated in an ECOCONTROL processor system and clearly displayed, allowing the operator to immediately assess the quality of the entire production line. Deviations detected early on can be precisely identified and specifically addressed by operating personnel, resulting in more stable processes and rapid troubleshooting in the extrusion process.
The LPO was first unveiled to the public in April at this year's wire Düsseldorf tradeshow, the world's leading trade fair for the wire and cable industry, with over 1,500 exhibitors from 60 countries.
For more information, visit sikora.net.
About SIKORA:
Technology To Perfection – that is SIKORA's trademark. Originally known for measuring devices for the industrial production of wires and cables, the company has continuously developed over more than 50 years. Since 2025 SIKORA is part of the MAAG Group, a leading international group of companies for integrated solutions in polymer processing and part of the Dover Corporation. Within MAAG's new field of competence for "Measurement & Control Systems" SIKORA delivers innovative solutions based on AI, laser, X-ray, radar, optics, ultrasound and electromagnetic technologies. Being also a well-known manufacturer of inspection, analysis and sorting systems, SIKORA sets standards with solutions for quality control, process optimization and cost savings in many industrial sectors. With around 500 employees at its headquarters in Bremen/Germany and its 13 international subsidiaries, SIKORA provides customized customer service that meets the needs of the markets. The company lives the culture of innovation, pioneering spirit and perfection. SIKORA's experts continuously research and develop pioneering technologies that make production processes more efficient and economical. SIKORA's success is measurable: in the success of its customers.
About MAAG Group:
The MAAG Group is a broadly diversified global solutions provider with integrated and customizable systems in process technology for the polymer, chemical, petrochemical, pharmaceutical and food industries. Its Pump & Filtration Systems, Pelletizing & Pulverizing Systems, Recycling Systems and Measurement & Control Systems divisions consolidate the many years of experience and in-depth know-how of the AMN, AUTOMATIK, ETTLINGER, GALA, MAAG, REDUCTION, SCHEER, SIKORA, WITTE and XANTEC product brands. The MAAG Group currently employs over 1,900 people at production sites in Switzerland, Germany, France, Italy, the USA, and China. Additional sales and service centers in France, Taiwan, Malaysia, India, Thailand and Brazil ensure close attention to customers' needs. The MAAG Group is a business unit of Pumps & Process Solutions, a segment of the Dover Corporation. For more information, please visit www.maag.com.
About Dover:
Dover is a diversified global manufacturer and solutions provider with annual revenue of over $8 billion. We deliver innovative equipment and components, consumable supplies, aftermarket parts, software and digital solutions, and support services through five operating segments: Engineered Products, Clean Energy & Fueling, Imaging & Identification, Pumps & Process Solutions and Climate & Sustainability Technologies. Dover combines global scale with operational agility to lead the markets we serve. Recognized for our entrepreneurial approach for over 70 years, our team of approximately 24,000 employees takes an ownership mindset, collaborating with customers to redefine what's possible. Headquartered in Downers Grove, Illinois, Dover trades on the New York Stock Exchange under "DOV." Additional information is available at dovercorporation.com.
SIKORA Contact:
Katja Giersch, Global Marketing & Communications Director
+49 421 48900 60
[email protected]
Dover Media Contact:
Adrian Sakowicz, VP, Communications
(630) 743-5039
[email protected]
, /PRNewswire/ - Mayfair Gold Corp. ("Mayfair", "Mayfair Gold", or the "Company") (TSXV: MFG) (NYSE American: MINE) is pleased to announce final results and evaluation of the tight-spaced Grade Control ("GC") drilling program.
Highlights and analysis from the Grade Control ("GC") drilling test area1:
Grade Control program tested ~1.0M tonnes of the probable mineral reserves from the 2026 Pre-Feasibility Study (the "PFS")2, about 25% of Phase 1 Reserve model validated in test area At a 0.8 g/t Au cut-off grade, the Grade Control model returned the similar grade as the reserve model, with approximately 2% more contained metal 28% more tonnes at 7% higher grade for material above 3.0 g/t Au De-risking of early years' high-grade feed and cash flow profile Improved confidence in early cash flows will facilitate project financing discussions with counter parties Potential to bring forward higher-grade production Mayfair Gold reports positive results from the analysis of the grade control ("GC") program completed in late 2025 at the Fenn-Gib Project, confirming approximately 1 million tonnes of ore-grade material that was categorized as probable reserves in the PFS, or roughly 25% of the Phase 1 planned design. The program was designed to validate the distribution and continuity of mineralization and refine planning assumptions related to ore shapes, dilution and ore loss. Previous, interim results were released in the News Release dated February 11, 2026.
Drew Anwyll, P.Eng Mayfair's CEO said, "The grade control drilling program has reinforced our confidence and further de-risked the Fenn‑Gib deposit. The results confirm that the Mineral Reserve Estimate is an accurate representation of the orebody, demonstrating strong predictability between the model and what we are seeing in the field. Importantly, the program gives us confidence that the high‑grade material scheduled for the early years of the mine plan is present and can be delivered as modeled. Grade control drilling has also identified the potential strengthening of the early production profile by utilizing more tonnes of a higher-grade material."
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1 Please note: The results, analysis and conclusions from the Grade Control program are specific to the area tested. Readers should not infer that these results are representative of, or applicable to, the remainder of the Mineral Reserve or Mineral Resource Estimate.
2 Please refer to the technical report entitled "Fenn-Gib Gold Project NI 43-101 Technical Report and pre-Feasibility Study" dated effective December 19, 2025 available on SEDAR+ at www.sedarplus.ca for further details.
The program included 56 diamond drill holes to a nominal depth of 75 metres, designed to simulate the outcomes of a reverse circulation or blast-hole GC program. Gold grades were estimated in a block model and mineable ore shapes were developed to assess the tonnage and grade of material that could be classified for production.
Results from the program confirmed the mineral reserve model and metal content in the area tested while providing valuable information of contacts between high- and low-grade material. For material above a 0.80 g/t gold cut-off grade ("COG"), the GC model returned similar grade and 2% more tonnes than predicted by the probable reserve model. For the higher-grade portion, above a 3.0 g/t Au COG, the GC model identified 28% more tonnes at 7% higher grade, representing 37% more gold than the probable reserve model for the GC drilling test area.
The findings support the accuracy of the mineral reserve block model in the Stage 1 starter pit area tested and validate the higher-grade component of the mineral reserve for mine planning. The results also suggest there may be opportunities to process higher-grade ore earlier in the initial mining sequence.
The drilling campaign was completed on a 10-by-10 metre spacing across an area measuring 60 by 70 metres. All NQ-size holes were planned as nominally vertical holes to a depth of 75 metres. Overburden thickness encountered during the program ranged from 5.7 to 13.0 metres and averaged 8.7 metres. All core was logged and sampled, with one half submitted for gold assay and the other retained for reference.
Assays were completed on one-metre intervals to capture close-spaced variability and support compositing analysis. Gold assay procedures and QA/QC protocols were consistent with previous Mayfair drilling programs and are summarized in the QA/QC section. Three holes, totalling 78 metres, were abandoned because of excessive downhole deviation and were redrilled from the same locations.
A defined test area surrounding the grade control drilling was used to compare new assay data with the existing exploration database. Within that area, average gold grades were identical at a zero COG. The new grade control drilling returned a slightly higher proportion of material below 0.30 g/t Au, while material above a 0.80 g/t Au COG showed a similar tonnage distribution and a modestly higher grade.
Grade control evaluation
The program targeted approximately 1.0 million tonnes of probable mineral reserves from the PFS. To evaluate the conversion of the mineral reserve model into a production model, all GC assays were composited to 1.5 metres and estimated on five-cubic-metre blocks using an inverse distance squared methodology. Mineable ore shapes were then designed to reflect practical open-pit mining conditions. This methodology therefore addresses the conversion of a reserve to a production model by addressing the minability of economic material.
These results indicate that, in areas of similar ore characteristics, the current mineral reserve model should provide sufficient definition for mine planning without requiring significant additional dilution, ore loss assumptions or conversion factors. The Company believes the program also highlights the potential to bring forward some gold production by identifying zones of higher-grade material that may be processed earlier in the mine sequence.
Overall, the program demonstrated that tighter-spaced grade control drilling can enhance confidence in ore boundary definition while confirming the reliability of the existing mineral reserve model in the area tested. Mayfair is evaluating the potential for a second GC test area to assess whether similar results can be replicated in other ore types across the project.
Furthermore, the program highlighted areas of higher-grade material and may potentially allow for processing while deferring lower grade tonnes, thus bringing forward some gold production.
These results further indicate that, for areas with similar ore behavior as the area tested, the reservemodel is an excellent indicator of what the project can expect from production.
QA/QC
Mayfair Gold maintains a Quality Assurance/Quality Control (QA/QC) program aligned with NI 43‑101 requirements and industry best practices. NQ‑size surface drilling was carried out by Black Diamond Drilling of Matheson, Ontario, under the supervision of Mayfair Gold's exploration team. The drill program includes detailed geological logging and systematic sampling of drill core at Mayfair's secure facility in Matheson, Ontario.
Drill core selected for analysis was cut longitudinally using a diamond‑blade saw. One half of the core was retained in the core box for reference, and the other half was bagged, sealed, and prepared for shipment. Analytical work was completed by Swastika Laboratories Ltd. in Swastika, Ontario. Swastika Laboratories is independent of Mayfair Gold and accredited by the Canadian Association for Laboratory Accreditation Inc. (CALA) and meets the ISO/IEC 17025 standards for gold analysis by fire assay with gravimetric finish and fire assay with flame atomic absorption spectroscopy (FAAS) finish.
Samples were delivered directly to Swastika Laboratories by Mayfair personnel. Samples are crushed to minimum 80% passing 1,700 μm. Samples are then split to obtain a 300–500 g sample using a rotary divider. 300–500 g samples are pulverized to minimum 85% passing 74 μm. Gold assays were completed using a 30‑gram fire assay with FAAS finish. Samples returning gold grades greater than 10 g/t were re‑assayed using a 30‑gram fire assay with gravimetric finish. As part of Mayfair's QA/QC protocol, one certified reference material (CRM), one coarse blank, and one coarse duplicate sample were inserted into the sequence of every 25 samples. Routine third‑party check assays are also performed.
All holes in the program were drilled fully vertical (-90° dip) and true thickness is not estimated.
About Mayfair Gold
Mayfair Gold is a Canadian development-stage gold company focused on advancing the 100% controlled Fenn-Gib Project in the Timmins region of Northern Ontario. Fenn-Gib hosts a 4.3 million ounce indicated mineral resource of gold (181.3Mt at an average grade of 0.74 g/t) and the expected strategy outlined in the 2026 Pre-Feasibility Study (the "PFS") is to develop the project under the provincial permitting process, targeting the higher-grade 1 million ounce probable mineral reserve (25.1Mt at an average grade of 1.29g/t) sitting near-surface, highlighting the optionality and scalability provided by the deposit. The PFS also outlines the potential to develop Fenn-Gib into a new Canadian gold producer, with initial development capital of C$450 million, a base-case payback period of 2.7 years, and cumulative free cash flow3 of US$896 million over the first six years of production based on a US$3,100/oz gold price. The Company is advancing permitting activities, detailed engineering, and stakeholder engagement with the goal of starting construction in 2028 with initial production in 2030. The Company also remains focused on exploration around the broader land package with the goal of enhancing mineral resource scale and growth opportunities.
The content of this news release has been reviewed on behalf of the Company and approved by Drew Anwyll, P.Eng., Chief Executive Officer of Mayfair, a QP as defined in NI 43-101.
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3 free cash flow does not have a standardized meaning and may not be comparable to similar measures presented by other issuers, referred to as non-GAAP financial measures. As the Company is not in production, the company does not have historical non-GAAP financial measures nor historical comparable measures under IFRS, and therefore the foregoing prospective non-GAAP financial measures may not be reconciled to the nearest comparable measures under IFRS.
Cautionary Note Regarding Forward-Looking Information
This news release contains certain forward-looking information within the meaning of applicable Canadian securities legislation and forward-looking statements within the meaning of applicable United States securities legislation (collectively, "forward-looking information"). The use of the words "will" and "expected" and similar expressions is intended to identify forward-looking information. Forward-looking information in this news release includes, but is not limited to, the expected strategy to develop the project under the provincial permitting process, de-risking of early years' high-grade feed and cash flow profile, the potential to bring forward higher-grade production, targeting the higher-grade mineral reserve, building and operating the Fenn-Gib Project and all disclosure related to the PFS, including commencement of construction and production. Although Mayfair Gold believes that the expectations reflected in such forward-looking information is reasonable, readers are cautioned that actual results may vary from the forward-looking information. The Company has based the forward-looking information on the Company's current expectations and assumptions about future events. This information also involves known and unknown risks, uncertainties, and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information, including the risks, uncertainties, and other factors identified in the annual information form and Form 40-F of the Company for the year ended December 31, 2025, available under the Company's profiles on SEDAR+ at www.sedarplus.ca and EDGAR at www.sec.gov, respectively. Furthermore, the forward-looking information contained in this news release is as at the date of this news release, and Mayfair does not undertake any obligation to publicly update or revise any of this forward-looking information except as may be required by applicable securities laws.
Neither the TSX Venture Exchange ("TSXV") nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.
Vancouver, British Columbia--(Newsfile Corp. - June 18, 2026) - Rua Gold Inc. (TSX: RUA) (NZX: RGI) (OTCQX: NZAUF) (WKN: A40QYC) ("RUA GOLD" or the "Company") is pleased to provide an update on exploration and development activities at its Auld Creek Gold-Antimony Project in the Reefton Goldfield, New Zealand.
The Company's exploration team continues to advance an extensive resource expansion and technical evaluation program at Auld Creek. Alongside resource growth drilling, detailed geotechnical, hydrogeological and metallurgical studies are underway to support the Company's Pre-Feasibility Study ("PFS") and planned Fast-Track Mining Application, anticipated in Q4 2026.
Highlights:
Recent drilling continues to demonstrate significant potential to expand the gold-antimony resource over a strike length exceeding 1,000 meters and depths greater than 500 meters.
The Company is on track to complete and incorporate the 19,000-meter drill program and the additional technical studies into the upcoming PFS with completion anticipated in Q4 2026.
Highlighted assay results from drilling at Auld Creek include:
ACDDH072: 2.3m @ 3.5 g/t AuEq1 (2.9 g/t Au & 0.3% Sb) from 227m ACDDH073: 2.7m @ 7.6 g/t AuEq1 (1.8 g/t Au & 2.7% Sb) from 269m ACDDH073: 0.9m @ 6.4 g/t Au from 77m (upper fault) ACDDH075: 10.1m @ 2.2 g/t AuEq1 (2.0 g/t Au & 0.1% Sb) from 331m ACDDH076: 0.6m @ 4.4 g/t Au from 317m ACDDH078: 2.9m @ 5.6 g/t Au (incl 0.9m @ 15.9 Au) from 194m The Company’s 100th drill hole at Auld Creek was collared this week with approximately 10,000 meters of the planned 19,000-meter drill program completed to date.
Geotechnical studies, including rock strength, hydrogeology, specific gravity and rock porosity studies, are advancing to support detailed PFS mine methodology.
Approximately 1,000 kilograms of resource grade mineralization has been shipped to Intertek, Australia for advanced metallurgical testing.
Scout drilling has commenced to evaluate the full 2,500-meter length of the surface gold-arsenic-antimony soil geochemical anomalies.
The Company's Fast-Track Referral Application is currently under review by the New Zealand Government, with a decision anticipated in July 2026.
More than 30 consultants and independent advisors are supporting environmental, social and economic studies for future permitting activities.
Since November 2025, the Company has conducted more than 500 engagements with local communities, stakeholders and regulatory agencies.
Robert Eckford, Chief Executive Officer of RUA GOLD, commented, "With our Fast-Track Referral Application submitted and the Preliminary Economic Assessment completed, the team has accelerated resource expansion drilling while simultaneously advancing the technical studies required for the PFS. At the halfway point of our planned drilling campaign, we are ahead of schedule and continuing to build confidence in the resource while advancing development planning. We are encouraged by the consistency of the mineralization being intersected and remain focused on delivering the PFS in the fourth quarter of 2026."
Figure 1: Auld Creek Fraternal long section
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/10755/302030_1d1b82fac4f1db9f_007full.jpg
AULD CREEK EXPLORATION UPDATE
Recent drilling continues to demonstrate strong evidence to expand the gold-antimony resource over 1,000 meters in length and over 500 meters in depth. Continuous drilling will complete the planned 19,000-meter drill program by the beginning of September 2026. Details on each reported intercept are below.
ACDDH073, 075, and 076 provide strong evidence of grade continuity within the southern Fraternal zone, increasing confidence in the mineralized envelope approximately 300 meters below surface.
Notable intercepts include:
ACDDH073: 2.7m @ 7.6 g/t AuEq1 (1.8 g/t Au & 2.7% Sb) from 268mACDDH073: 0.9m @ 6.4 g/t Au (from 77m (Upper Fault))ACDDH075: 10.1m @ 2.2 g/t AuEq1 (2.0 g/t Au & 0.1% Sb) from 331mACDDH076: 0.6m @ 4.4 g/t Au from 317mHole ACDDH078 represents the first in a series of infill holes designed to evaluate the northern portion of the resource area.
ACDDH078: 2.85m @ 5.6 g/t Au (incl 0.9m @ 15.9 Au) from 193.95mThe results complement earlier intersections of increasing gold tenor that are indicating a near horizontal attitude, similar to the Bonanza lode dipping gently north.
Refer to Table 1 and Table 2 for a full description of recent drill hole data.
The active drill program is also generating critical geotechnical, hydrogeological and metallurgical data required for the PFS. These studies include rock strength testing, hydrogeological characterization, specific gravity measurements and detailed ore zone characterization, all of which are scheduled for incorporation into the PFS expected in Q4 2026.
Figure 2: Core photo gold assays ACDDH078 and ACDDH073. Location of Auld Creek drilling
To view an enhanced version of this graphic, please visit:
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PRE-FEASIBILITY STUDY UPDATE
Following completion of the Preliminary Economic Assessment, the Company's technical partners, Mining One and Pitch Black, commenced work on the PFS in late May 2026.
A comprehensive metallurgical testwork program is underway and is expected to inform the final process flowsheet. Mine infrastructure and surface layout designs have been refined and are being presented to local communities, stakeholders and regulatory agencies as part of ongoing consultation efforts.
Simon Delander, VP Risk, Stakeholder and Regulatory Affairs, commented, "We have welcomed delegations from central government, regional and district councils to the project area for detailed technical briefings and site visits. Maintaining open dialogue with government agencies and stakeholders is important as we advance permitting activities and continue to refine development plans for Auld Creek."
The resource model is being updated regularly as new drill results become available, supporting mine planning and scheduling activities. The Company expects the integrated PFS work program to be completed during the fourth quarter of 2026.
Technical consultants and independent advisors supporting the Fast-Track permitting process recently met in Christchurch to coordinate workstreams and align project deliverables in preparation for submission of a substantive Fast-Track permit application later this year.
REGIONAL EXPLORATION UPDATE
In May 2026, RUA GOLD mobilized a fifth drill rig to support exploration activities at the Alexander River and Big River gold targets in the southern Reefton Goldfield.
These programs form part of the Company's broader strategy of evaluating multiple high-grade gold deposits that could ultimately support a regional mining and processing hub centred on Auld Creek. Drilling is ongoing, and assay results are pending.
Figure 3: Overview of the Reefton Goldfield highlighting active drilling at Auld Creek, Big River and Alexander River
To view an enhanced version of this graphic, please visit:
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ABOUT RUA GOLD
RUA GOLD is an exploration company, strategically focused on New Zealand. With decades of expertise, our team has successfully turned major discoveries into producing world-class mines in multiple continents. The team is now focused on maximizing the asset potential of RUA GOLD's two highly prospective high-grade gold projects.
The Company controls the Reefton Gold District as the dominant landholder in the Reefton Goldfield on New Zealand's South Island with over 120,000 hectares of permits, in a district that historically produced over 2Moz of gold grading from 9-50g/t(2).
The Company's Glamorgan Project solidifies RUA GOLD's position as a leading high-grade gold explorer on New Zealand's North Island. This highly prospective project is located within the North Islands' Hauraki District, a region that has produced an impressive 15Moz of gold and 60Moz of silver(3).
For further information, please refer to the Company's disclosure record on SEDAR+ at www.sedarplus.ca.
TECHNICAL INFORMATION
Simon Henderson CP, AUSIMM, a qualified person under National Instrument 43-101 Standards of Disclosure for Mineral Projects and Chief Operating Officer and a director of RUA GOLD, has reviewed and approved the technical disclosure contained herein. Mr. Henderson has verified the data disclosed, including sampling, analytical and test data underlying the information or opinions contained in the technical information herein. Mr. Henderson supervised the Company's drill program and verified the data disclosed, including sampling, analytical and QA/QC data, including reviewing the reports of SGS Laboratories, methodologies, results, and all procedures undertaken for quality assurance and quality control in a manner consistent with industry practice, and all matters were consistent and accurate according to his professional judgement. There were no limitations on the verification process.
QA/QC Drill Core
Core samples were sent to SGS Laboratories, Westport for sample preparation. SGS is independent of the Company. Samples were crushed and pulverized to 85% passing 75 µm. The pulverized rock-chips were split into two samples: a ~50 g sent for laboratory analysis, and the reject returned to RGL for pXRF analysis and storage. Pulverized rock-chip samples were analyzed for gold (Au) by 50-g fire assay with AAS finish at SGS Waihi (SGS Code FAA505); and for antimony (Sb) by Sodium Peroxide Fusion Analysis by ICP-MS at SGS Waihi.
RUA GOLD Contact
This news release includes certain statements that may be deemed "forward-looking statements". All statements in this new release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur and specifically include statements regarding: the Company's strategies, expectations, planned operations or future actions, including but not limited to drill program at the Auld Creek target and the timing and results thereof, the timing or results of PFS, and the timing or result of an application for a mine permit. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements.
Investors are cautioned that any such forward-looking statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. A variety of inherent risks, uncertainties and factors, many of which are beyond the Company's control, affect the operations, performance and results of the Company and its business, and could cause actual events or results to differ materially from estimated or anticipated events or results expressed or implied by forward-looking statements. Some of these risks, uncertainties and factors include: general business, economic, competitive, political and social uncertainties; risks related to the effects of the Russia-Ukraine war; risks related to climate change; operational risks in exploration, delays or changes in plans with respect to exploration projects or capital expenditures; the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; changes in labour costs and other costs and expenses or equipment or processes to operate as anticipated, accidents, labour disputes and other risks of the mining industry, including but not limited to environmental hazards, flooding or unfavorable operating conditions and losses, insurrection or war, delays in obtaining governmental approvals or financing, and commodity prices. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements and reference should also be made to the Company's short form base shelf prospectus dated July 11, 2024, and the documents incorporated by reference therein, filed under its SEDAR+ profile at www.sedarplus.ca for a description of additional risk factors.
Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
Table 1: Location of Auld Creek reported drill holes from RUA GOLD program
Hole IDEastingNorthingrLTotal DepthSite _IDDipAzimuth (true)YearACDDH06515070745332955606.24586.4Pad 18-78622026ACDDH06615071835333523452.38267.7Pad 05-631312026ACDDH06715070875333094584309.4Pad 08-62972026ACDDH0681507321533382743284.4Pad 26-501102026ACDDH06915070745332955606.24281.5Pad 18-52722026ACDDH07015071925333293515.05168.3Pad 04-631392026ACDDH07115071185333160500224.8Pad 09-531122026ACDDH07215070875333094584255.5Pad 08-531002026ACDDH07315070875333094584285.5Pad 08-57.51132026ACDDH07415071925333293515.05208Pad 04-72.51352026ACDDH07515070745332955606.24369Pad 18-7088.52026ACDDH07615070875333094584337.1Pad 08-66.51152026ACDDH07715071185333160500225.5Pad 09-59732026ACDDH07815071925333293515.05228Pad 04-651532026Table 2: Significant drilling intercepts at Auld Creek, full mineralized zone composites.
Hole IDFromToIntervalAu (g/t)Sb (%)ACDDH065541.6542.30.70.260.01ACDDH065542.35430.70.420.01ACDDH06554354410.080.01ACDDH06554454510.690.01ACDDH065545545.80.81.10.01ACDDH065545.8546.70.91.150.01ACDDH065546.7547.350.651.090.02ACDDH065547.355480.650.310.01ACDDH065548548.70.70.50.01ACDDH066606110.320.00ACDDH0666161.40.40.490.00ACDDH06661.4620.60.20.00ACDDH066626310.20.00ACDDH066636410.10.00ACDDH0666464.60.60.110.00ACDDH06664.665.20.60.120.01ACDDH06665.2660.80.020.00ACDDH066213.7214.60.90.020.01ACDDH066214.6215.30.70.090.11ACDDH066215.3215.60.30.330.29ACDDH066215.6215.90.30.020.01ACDDH066215.9216.40.50.010.01ACDDH066216.4216.70.30.010.01ACDDH067263.3263.750.450.570.01ACDDH067263.75264.30.550.110.01ACDDH067264.3265.41.10.130.00ACDDH067265.4266.51.10.070.01ACDDH071205.3205.80.50.020.01ACDDH071205.8206.20.41.370.14ACDDH071206.2206.60.41.310.01ACDDH071206.62070.40.590.01ACDDH071207207.50.50.060.01ACDDH071207.52080.50.140.00ACDDH071208208.50.50.540.01ACDDH072227.7228.20.53.431.26ACDDH072228.2228.750.554.160.02ACDDH072228.75229.30.552.850.02ACDDH072229.32300.71.410.01ACDDH072230230.70.70.160.01ACDDH07377.1780.96.420.01ACDDH073267.95268.30.350.460.02ACDDH073268.3268.80.50.810.02ACDDH073268.8269.40.60.390.01ACDDH073269.4269.70.34.030.02ACDDH073269.7270.40.70.180.01ACDDH073270.4270.750.351.790.01ACDDH073270.75271.40.650.530.07ACDDH073271.4271.80.41.386.17ACDDH073271.8272.10.36.3516.00ACDDH074168.21690.80.780.04ACDDH07416917012.330.01ACDDH074170170.350.350.280.00ACDDH074170.351710.650.250.01ACDDH07417117210.470.03ACDDH074172172.850.850.280.01ACDDH074172.85173.80.950.790.00ACDDH074173.8174.30.51.730.01ACDDH074174.31750.70.680.02ACDDH07417517611.450.00ACDDH07417617710.970.01ACDDH07417717810.460.00ACDDH075331.5331.850.352.391.73ACDDH075331.853331.150.310.02ACDDH075333333.20.20.40.07ACDDH075333.23340.84.060.01ACDDH075334334.60.62.370.01ACDDH075334.6335.614.350.01ACDDH075335.6336.50.91.170.01ACDDH075336.5337.40.90.380.01ACDDH075337.4337.70.34.140.37ACDDH075337.73380.33.460.02ACDDH07533833910.680.03ACDDH07533934011.010.20ACDDH07534034112.020.04ACDDH075341341.60.63.560.13ACDDH076317317.30.37.140.06ACDDH076317.3317.60.31.570.03ACDDH078193.95194.250.320.70.01ACDDH078194.25194.850.613.50.01ACDDH078194.85195.750.90.970.01ACDDH078195.75196.81.050.680.01Using recent the 43-101 Reefton Technical Report, the AuEq calculation was made using a gold price of $US3,000 per ounce and an antimony price of $US25,000 per tonne. Total gravity/float recoveries of 97% for gold and 85% for antimony were used to calculate the Equivalency Factor at 2.15 for EqSb. Technical Report on the Reefton Project, New Zealand, with an effective date of February 27, 2026 available under the Company's SEDAR+ profile at www.sedarplus.ca.Christie, A., Simpson, M., Barker, R., and Braithwaite, R. 2019. Exploration for epithermal Au-Ag deposits in New Zealand: history and strategy. New Zealand Journal of Geology and Geophysics, 62:1, 414-441. NI 43-101 Technical Report, Waihi District Pre-feasibility Study, New Zealand. OceanaGold Corporation, Report Date: December 11, 2024.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/302030
Source: Rua Gold Inc.
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For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Gold.com (GOLD - Free Report) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Finance sector should help us answer this question.
Gold.com is a member of our Finance group, which includes 831 different companies and currently sits at #4 in the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.
The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. Gold.com is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for GOLD's full-year earnings has moved 22.4% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the latest available data, GOLD has gained about 25.4% so far this year. Meanwhile, the Finance sector has returned an average of 3.6% on a year-to-date basis. As we can see, Gold.com is performing better than its sector in the calendar year.
Another Finance stock, which has outperformed the sector so far this year, is Andersen (ANDG - Free Report) . The stock has returned 48% year-to-date.
In Andersen's case, the consensus EPS estimate for the current year increased 215.2% over the past three months. The stock currently has a Zacks Rank #2 (Buy).
Looking more specifically, Gold.com belongs to the Financial - Miscellaneous Services industry, which includes 107 individual stocks and currently sits at #109 in the Zacks Industry Rank. This group has lost an average of 6.5% so far this year, so GOLD is performing better in this area. Andersen is also part of the same industry.
Gold.com and Andersen could continue their solid performance, so investors interested in Finance stocks should continue to pay close attention to these stocks.
Vancouver, British Columbia--(Newsfile Corp. - June 19, 2026) - Rua Gold Inc. (TSX: RUA) (NZX: RGI) (OTCQX: NZAUF) (WKN: A40QYC) ("RUA GOLD" or the "Company") is pleased to announce the filing of a Preliminary Economic Assessment for the Auld Creek Gold Antimony Project located in the Reefton Goldfield on the West Coast of New Zealand. A copy of the Technical Report is available on www.sedarplus.ca and on the Company's website www.ruagold.com.
The scientific and technical information contained in this news release has been prepared and approved by the following independent Qualified Persons, each within the meaning of National Instrument 43 101 - Standards of Disclosure for Mineral Projects ("NI 43 101"):
Abraham Whaanga, BSc, MAusIMM (CP) of RSC has reviewed and verified the resource-related information disclosed herein. Gary Davison, FAusIMM, Principal Mining Engineer and Director of Mining One Consultants, has reviewed the mining methods, mining capital and operating costs and is responsible for Economic Analysis.Marius Phillips, NHD Ex Met, MAusIMM (CP), RPEQ and Technical Director of Pitch Black Group is responsible for information relating to plant capital and operating costs, mineral processing and metallurgical testing and recovery methods.Each Qualified Person:
has independently reviewed and verified relevant underlying data in the MRE and PEA.has consented to the disclosure of the information in this news release in the form and context in which it appears. is independent of Rua Gold Inc. within the meaning of NI 43 101. The Mineral Resource Estimate (MRE) presented in RUA's press release on 5 May 2026 was based on mineable shapes created by RSC for the February 2026 Independent Technical Report (Whaanga, 2026). This MRE is comparable to the 'RAW MSO' MRE presented in Table 14-21 of the PEA Technical Report, which was based on Mineable Stope Optimiser (MSO)-generated shapes produced by Mining One for the PEA.
The final MSO set presented in Table 14-21 of the PEA Technical Report is materially different to the MRE in the 5 May 2026 press release, with a -22-27% change in AuEq ounces. This is due to the consideration of additional geotechnical, engineering, and economic factors, including partial extraction of a crown pillar, for the purpose of meeting the criteria for reasonable prospects for eventual economic extraction (RPEEE) at the PEA level. Further details of the factors considered are provided in Section 14.10 of the Technical Report.
ABOUT RUA GOLD
RUA GOLD is an exploration company, strategically focused on New Zealand. With decades of expertise, our team has successfully turned major discoveries into producing world-class mines in multiple continents. The team is now focused on maximizing the asset potential of RUA GOLD's two highly prospective high-grade gold projects.
The Company controls the Reefton Gold District as the dominant landholder in the Reefton Goldfield on New Zealand's South Island with over 120,000 hectares of permits, in a district that historically produced over 2Moz of gold grading from 9-50g/t(1).
The Company's Glamorgan Project solidifies RUA GOLD's position as a leading high-grade gold explorer on New Zealand's North Island. This highly prospective project is located within the North Islands' Hauraki District, a region that has produced an impressive 15Moz of gold and 60Moz of silver(2).
For further information, please refer to the Company's disclosure record on SEDAR+ at www.sedarplus.ca.
TECHNICAL INFORMATION
Simon Henderson CP, AUSIMM, a qualified person under National Instrument 43-101 Standards of Disclosure for Mineral Projects and Chief Operating Officer and a director of RUA GOLD, has reviewed and approved the technical disclosure contained herein. Mr. Henderson has verified the data disclosed, including sampling, analytical and test data underlying the information or opinions contained in the technical information herein. Mr. Henderson supervised the Company's drill program and verified the data disclosed, including sampling, analytical and QA/QC data, including reviewing the reports of SGS Laboratories, methodologies, results, and all procedures undertaken for quality assurance and quality control in a manner consistent with industry practice, and all matters were consistent and accurate according to his professional judgement. There were no limitations on the verification process.
This news release includes certain statements that may be deemed "forward-looking statements". All statements in this new release, other than statements of historical facts, that address events or developments that the Company expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur and specifically include statements regarding: the Company's strategies, expectations, planned operations or future actions, including but not limited to drill program at the Auld Creek target and the timing and results thereof, the timing or results of PFS, and the timing or result of an application for a mine permit. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements.
Investors are cautioned that any such forward-looking statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. A variety of inherent risks, uncertainties and factors, many of which are beyond the Company's control, affect the operations, performance and results of the Company and its business, and could cause actual events or results to differ materially from estimated or anticipated events or results expressed or implied by forward looking statements. Some of these risks, uncertainties and factors include: general business, economic, competitive, political and social uncertainties; risks related to the effects of the Russia-Ukraine war; risks related to climate change; operational risks in exploration, delays or changes in plans with respect to exploration projects or capital expenditures; the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; changes in labour costs and other costs and expenses or equipment or processes to operate as anticipated, accidents, labour disputes and other risks of the mining industry, including but not limited to environmental hazards, flooding or unfavorable operating conditions and losses, insurrection or war, delays in obtaining governmental approvals or financing, and commodity prices. This list is not exhaustive of the factors that may affect any of the Company's forward-looking statements and reference should also be made to the Company's short form base shelf prospectus dated July 11, 2024, and the documents incorporated by reference therein, filed under its SEDAR+ profile at www.sedarplus.ca for a description of additional risk factors.
Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
1. Technical Report on the Reefton Project, New Zealand, with an effective date of February 27, 2026 available under the Company's SEDAR+ profile at www.sedarplus.ca.
2. Christie, A., Simpson, M., Barker, R., and Braithwaite, R. 2019. Exploration for epithermal Au-Ag deposits in New Zealand: history and strategy. New Zealand Journal of Geology and Geophysics, 62:1, 414-441. NI 43-101 Technical Report, Waihi District Pre-feasibility Study, New Zealand. OceanaGold Corporation, Report Date: December 11, 2024.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/302263
Source: Rua Gold Inc.
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, /PRNewswire/ - Gold Strategy Inc. (TSXV: GST) (the "Company") is pleased to announce the voting results from the Company's Annual General and Special Meeting of the Shareholders (the "Meeting") held on June 23, 2026. A total of 1,432,625 common shares ("Common Shares") were voted, representing the votes attached to 69.48% of all outstanding Common Shares. All matters submitted to shareholders for approval as set out in the Company's Notice of Meeting and Information Circular (the "Circular"), both dated May 15, 2026, were approved by the requisite majority of votes cast at the Meeting.
Election of Directors
Each of the incumbent members of the board of directors, being Reno Calabrigo, Tyler Burpee, Herbert Markgraf and Melanie Samuels, was re-elected.
Appointment of Auditor
Davidson & Company LLP was re-appointed auditors of the Company for the ensuing year with the remuneration to be fixed by the directors.
Approval of 20% Fixed Option Plan
The Company's 20% fixed stock option plan was approved and, accordingly, the amount of common shares reserved for issuance thereunder has been increased to 412,395.
About Gold Strategy
Gold Strategy Inc. is a mineral exploration and development company focused on the acquisition, exploration and advancement of mineral properties.
GOLD STRATEGY INC.
Reno J. Calabrigo, Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.
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Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.
Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +24% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.
The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Agnico Eagle Mines (AEM - Free Report) Toronto, Canada-based Agnico Eagle Mines Limited is a gold producer with mining operations in Canada, Mexico and Finland, and exploration activities in Canada, Europe, Latin America and the United States. It successfully completed its merger with Kirkland Lake Gold in February 2022.
AEM is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. AEM has a Growth Style Score of A, forecasting year-over-year earnings growth of 59.4% for the current fiscal year.
Five analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.02 to $13.20 per share. AEM also boasts an average earnings surprise of +9.9%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, AEM should be on investors' short list.
Agnico Eagle Mines (AEM - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Shares of this gold mining company have returned -6.2% over the past month versus the Zacks S&P 500 composite's +1.4% change. The Zacks Mining - Gold industry, to which Agnico belongs, has lost 4.7% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Agnico is expected to post earnings of $3.14 per share for the current quarter, representing a year-over-year change of +61.9%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.6%.
For the current fiscal year, the consensus earnings estimate of $13.2 points to a change of +59.4% from the prior year. Over the last 30 days, this estimate has changed +0.5%.
For the next fiscal year, the consensus earnings estimate of $13.41 indicates a change of +1.6% from what Agnico is expected to report a year ago. Over the past month, the estimate has changed +0.1%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Agnico.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
For Agnico, the consensus sales estimate for the current quarter of $3.94 billion indicates a year-over-year change of +40%. For the current and next fiscal years, $16.66 billion and $16.94 billion estimates indicate +39.9% and +1.7% changes, respectively.
Last Reported Results and Surprise HistoryAgnico reported revenues of $4.1 billion in the last reported quarter, representing a year-over-year change of +66.1%. EPS of $3.4 for the same period compares with $1.53 a year ago.
Compared to the Zacks Consensus Estimate of $3.84 billion, the reported revenues represent a surprise of +6.68%. The EPS surprise was +6.58%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Agnico is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Agnico. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Agnico Eagle Mines (AEM - Free Report) ended the recent trading session at $160.16, demonstrating a -4.01% change from the preceding day's closing price. The stock's change was less than the S&P 500's daily loss of 1.44%. Meanwhile, the Dow lost 0.09%, and the Nasdaq, a tech-heavy index, lost 2.22%.
Prior to today's trading, shares of the gold mining company had lost 5.15% lagged the Basic Materials sector's loss of 0.5% and the S&P 500's gain of 0.08%.
Analysts and investors alike will be keeping a close eye on the performance of Agnico Eagle Mines in its upcoming earnings disclosure. The company is predicted to post an EPS of $3.14, indicating a 61.86% growth compared to the equivalent quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $3.94 billion, indicating a 39.96% growth compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $13.2 per share and a revenue of $16.66 billion, signifying shifts of +59.42% and +39.89%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for Agnico Eagle Mines. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 0.51% rise in the Zacks Consensus EPS estimate. Agnico Eagle Mines is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Agnico Eagle Mines is presently being traded at a Forward P/E ratio of 12.64. This signifies a premium in comparison to the average Forward P/E of 9.3 for its industry.
We can additionally observe that AEM currently boasts a PEG ratio of 3.66. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Mining - Gold stocks are, on average, holding a PEG ratio of 0.93 based on yesterday's closing prices.
The Mining - Gold industry is part of the Basic Materials sector. At present, this industry carries a Zacks Industry Rank of 164, placing it within the bottom 33% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.
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Zacks Premium includes access to the Zacks Style Scores as well.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.
Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +24% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
This totals more than 800 top-rated stocks, and it can be overwhelming to try and pick the best stocks for you and your portfolio.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Kinross Gold (KGC - Free Report) Based in Ontario, Canada, Kinross Gold Corporation is involved in the exploration and operation of gold mines. It ranks among the top 10 gold mining companies in the world, with a 2025 production of around 2.07 million gold equivalent ounces. The company's operations are primarily located in the Americas (roughly 76% of 2025 production). It holds major assets in Canada and the United States. It is mainly involved in the exploration and operation of gold mines. Kinross also produces and sells silver.
KGC is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. KGC has a Growth Style Score of A, forecasting year-over-year earnings growth of 58.2% for the current fiscal year.
For fiscal 2026, five analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.14 to $2.91 per share. KGC boasts an average earnings surprise of +18.1%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, KGC should be on investors' short list.
Hormel Foods remains a Buy, with a conservative valuation and solid dividend yield supporting patient investors amid sector weakness. HRL delivered its sixth consecutive quarter of organic top-line growth, with Foodservice and International segments outperforming despite macro headwinds. Management maintains long-term targets of 2%-3% organic sales and 5%-7% operating income growth, while robust cash flow and a balance sheet provide flexibility.
Hormel Foods has been in a slow-motion bear hug. The stock sits 22.8% below its 52-week high, and the trailing GAAP payout ratio looks ugly after a $234 million non-cash impairment and a $61 million whole-bird turkey divestiture loss. But underneath the noise, the cash engine at Hormel Foods (NYSE:HRL | HRL Price Prediction) is still humming, and this Dividend King‘s payout looks safer than the headlines suggest.
Dividend Snapshot Metric Value Annual Dividend $1.17 per share Dividend Yield 4.79% Consecutive Years of Increases 60 years Most Recent Increase 1% (December 2025) Dividend King Status Yes The GAAP Optics Look Worse Than the Cash Reality Metric Value Assessment GAAP EPS Payout (FY25) 132.4% Distorted by impairments Adjusted EPS Payout (FY25) ~81% ($1.16/$1.43) Elevated FCF Payout (FY25) 118.5% Cyclical trough 5-Yr Avg FCF Payout 77.7% Healthy norm FY25 dividends of $633.2 million outran free cash flow of $534.3 million, a $98.8 million shortfall. That’s the panic. But Q1 FY26 operating cash flow jumped to $349.2 million and Q2 surged 217% to $178.9 million. The trough is behind them.
A Fortress Balance Sheet With Room to Spare Metric Value Cash on Hand (Q2 FY26) $826.75 million Total Liabilities $5.477 billion Shareholders Equity $7.916 billion EBITDA (TTM) $1.251 billion Beta 0.343 Equity meaningfully exceeds total liabilities, and the cash pile grew 23.45% year over year. This balance sheet has the cushion to sustain the dividend through a cyclical trough.
60 Years of Increases and Counting Year Annual Dividend 2026 $1.17 2025 $1.16 2024 $1.13 2023 $1.10 2022 $1.04 No cuts across the 27-year dataset, including 2008 and 2020. Recent growth has slowed to a token 1%, which tells me management is preserving the streak while it rebuilds margins.
Management Calls Out the “Legacy” CEO Jeff Ettinger said on the Q4 FY25 call: “Demonstrating our long-standing commitment to shareholder returns, we recently announced a 1% increase in our quarterly dividend… This marks an impressive milestone, 60 years of uninterrupted dividend increases at Hormel Foods, a legacy we’re extremely proud of.” On Q2 FY26, he added that results gave them “even greater confidence in our ability to deliver our full-year outlook.” Five directors, including Chairman William Newlands, bought stock at $22.65 on March 31, 2026. Insiders are voting with their wallets.
Verdict: Safe, With an Asterisk Dividend Safety Rating: Safe. The adjusted EPS payout near 81% is tight, but FY26 guidance of $1.43 to $1.51 in adjusted EPS pulls forward coverage back toward historical norms, and food spending has been remarkably stable at 7.1% to 7.4% of total PCE through 2026. The bull case strengthens if the Transform and Modernize initiative continues to lift margins (Q2 adjusted operating margin already expanded to 9.9% from 9.1%). The risk case builds if commodity inflation reignites and Retail segment growth stays flat. For retirees, a 4.79% yield from a 60-year Dividend King is a reliable anchor.
Baidu Inc. (BIDU - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this web search company have returned -17.5% over the past month versus the Zacks S&P 500 composite's +0.3% change. The Zacks Internet - Services industry, to which Baidu Inc. belongs, has lost 7.9% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
Baidu Inc. is expected to post earnings of $2.13 per share for the current quarter, representing a year-over-year change of +12.1%. Over the last 30 days, the Zacks Consensus Estimate has changed -5.9%.
For the current fiscal year, the consensus earnings estimate of $8.03 points to a change of +5.1% from the prior year. Over the last 30 days, this estimate has changed -1.3%.
For the next fiscal year, the consensus earnings estimate of $10.13 indicates a change of +26.2% from what Baidu Inc. is expected to report a year ago. Over the past month, the estimate has changed +0.2%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Baidu Inc..
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Baidu Inc., the consensus sales estimate for the current quarter of $5.03 billion indicates a year-over-year change of +10.1%. For the current and next fiscal years, $20.09 billion and $22.4 billion estimates indicate +11% and +11.5% changes, respectively.
Last Reported Results and Surprise HistoryBaidu Inc. reported revenues of $4.65 billion in the last reported quarter, representing a year-over-year change of +4%. EPS of $1.75 for the same period compares with $2.55 a year ago.
Compared to the Zacks Consensus Estimate of $4.66 billion, the reported revenues represent a surprise of -0.28%. The EPS surprise was -6.42%.
Over the last four quarters, Baidu Inc. surpassed consensus EPS estimates three times. The company topped consensus revenue estimates just once over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Baidu Inc. is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Baidu Inc.. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Baidu Inc. (BIDU - Free Report) .
Baidu Inc. currently has an average brokerage recommendation (ABR) of 1.52, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 21 brokerage firms. An ABR of 1.52 approximates between Strong Buy and Buy.
Of the 21 recommendations that derive the current ABR, 15 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 71.4% and 4.8% of all recommendations.
Brokerage Recommendation Trends for BIDU
Check price target & stock forecast for Baidu Inc. here>>>
While the ABR calls for buying Baidu Inc., it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements.
With an impressive externally audited track record, our proprietary stock rating tool, the Zacks Rank, which classifies stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), is a reliable indicator of a stock's near-term price performance. So, validating the Zacks Rank with ABR could go a long way in making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
Broker recommendations are the sole basis for calculating the ABR, which is typically displayed in decimals (such as 1.28). The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.
Should You Invest in BIDU?Looking at the earnings estimate revisions for Baidu Inc., the Zacks Consensus Estimate for the current year has remained unchanged over the past month at $8.03.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Baidu Inc. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Baidu Inc.
