Nokia Corporation
Stock Exchange Release
9 June 2026 at 18:30 EEST
Changes in Nokia Corporation's own shares
Espoo, Finland – A total of 216 896 Nokia shares (NOKIA) held by the company were transferred today without consideration to participants of Nokia's equity-based incentive plans in accordance with the rules of the plans. The transfer is based on the resolution of the Board of Directors to issue shares held by the company to settle its commitments to participants of the incentive plans as announced on 2 October 2025.
The number of own shares held by Nokia Corporation following the transfer is 132 136 437.
About Nokia
Nokia is a global leader in connectivity for the AI era. With expertise across fixed, mobile, and transport networks, we’re advancing connectivity to secure a brighter world.
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Key Takeaways Nokia's AI & Cloud revenues rose 49% in Q1 2026, supported by hyperscaler AI investments.NOK raised its Network Infrastructure market growth forecast to 14% CAGR from 9%.NOK launched new optical networking solutions to boost performance and lower ownership costs. Nokia Corporation (NOK - Free Report) is increasingly emerging as an AI infrastructure beneficiary rather than a traditional telecom-equipment vendor. The company's AI & Cloud revenues jumped 49% in the first quarter of 2026. The growth is primarily supported by growing hyperscalers’ investment in AI infrastructure.
AI-driven spending is primarily driving growth in Nokia’s Network Infrastructure segment. The segment’s Optical Networks business revenues grew 20% year over year on a constant-currency basis, driven by rapid AI data center buildouts. In this vertical, Nokia reported strong order intake backed by solid demand for optical pluggables, line systems and data-center interconnect solutions.
Backed by such solid momentum, the company also increased its forecast for Network Infrastructure market growth to 14% CAGR from the previously expected 9%. It has also been stated that projected capital expenditures by the largest hyperscalers for 2026 have risen from roughly $540 billion to more than $700 billion as companies expand their AI computing capacity. To capitalize on this opportunity, Nokia is aggressively investing in AI-related innovation.
The company introduced four new digital signal processors that power 13 application-optimized optical networking solutions. These products are designed to improve network performance while reducing the customer's total cost of ownership by up to 70%. Nokia also unveiled a next-generation hyperscale optical platform. It increases fiber capacity without expanding physical infrastructure, helping customers scale AI workloads more efficiently.
How are Competitors Faring?In the Optical Networks business, Nokia faces competition from Arista Networks, Inc. (ANET - Free Report) and Ciena Corporation (CIEN - Free Report) . Ciena is witnessing encouraging signs in the market that include improvements in customer spending owing to the rapid proliferation of AI applications. It continues to benefit from higher network traffic and demand for bandwidth, which are mainly attributed to increasing AI technology use cases. Ciena’s Cloud and Service Provider customers are prioritizing network investments to support AI-driven traffic growth, highlighting long-term opportunities for its Systems and Interconnects businesses.
The Arista 2.0 strategy continues to resonate with customers as modern networking platforms become increasingly important for AI-driven data center architectures. Arista continues to benefit from the expanding cloud networking market, which is driven by rising demand for scalable infrastructure and AI networking solutions. The company offers a broad portfolio of data center and campus Ethernet switches and routers spanning 1/2.5/5/10/25/40/50/100/400 and emerging 800-gig platforms.
NOK’s Price Performance, Valuation & EstimatesNokia shares have soared 168.7% over the past year compared with the industry’s 56.5% growth.
Image Source: Zacks Investment Research
From a valuation standpoint, Nokia trades at a forward price-to-sales ratio of 3.35, below the industry tally of 5.41.
Image Source: Zacks Investment Research
Earnings estimates for 2026 and 2027 have remained unchanged over the past 60 days.
Image Source: Zacks Investment Research
Nokia currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Nokia introduces agentic AI framework in Network Services Platform to enable trust-based AI operations for IP networks
Nokia NSP adds an agentic AI framework that lets operators deploy AI agents grounded in a real-time, accurate network view — enabling them to reason based on trusted data and take guided, explainable actions within operator-defined policies and security boundaries.Nokia AI-driven Troubleshooting Agent accelerates root-cause analysis, reduces operational noise, and turns complex IP issues into guided, explainable workflows.Framework supports communication with external agents via new AI-based protocols across operators’ multi-vendor, multi-domain networks, empowering them on their journey toward fully autonomous networks. 11 June 2026
Espoo, Finland – Nokia today announced an enhancement to its Network Services Platform (NSP), the company’s comprehensive management and automation platform for multi-vendor IP networks, with the introduction of an agentic AI framework designed specifically for IP network operations. The new framework enables network operators to deploy AI agents that can reason over real network context and take guided actions within defined policy and security boundaries.
As IP networks grow in size and complexity with the rise of AI traffic, operators face increasing pressure to improve efficiency and reliability while maintaining full operational control. While AI has the potential to transform network operations, many operators have remained cautious due to concerns around explainability, trust, and risk in production environments. Nokia’s approach with NSP addresses these concerns by embedding agentic AI capabilities directly into the platform that already serves as the authoritative controller for IP networks.
“Appledore has been advocating for operators to focus on the primary importance of quality data and ontological relationships – which are proving far more important than specific AI models for efficient and accurate AI reasoning. Nokia’s NSP embraces this approach with extensive AI-native infrastructure built on trusted data and operating norms, providing a solid and secure foundation for a myriad of AI use cases. Domain expertise is likely the most critical quality in designing effective automation for complex networks,” said Grant Lenahan, Partner and Principal Analyst, Appledore Research.
NSP grounds AI agents in an accurate and continuously updated view of the network, including topology, protocol behaviour, configuration state, service relationships, and recent network changes. This enables AI agents to reason based on network truth, rather than inferred or fragmented data, and to operate within operator-defined intent, policies, and access controls. The NSP agent framework also allows for communication with external agents via AI-based protocols, such as Model-context protocol (MCP), across operators’ multi-vendor, multi-domain networks empowering them on their journey toward fully autonomous networks.
The first use case built on this new framework is an AI-driven Troubleshooting Agent, aimed at helping operators identify root causes faster, reduce operational noise, and resolve complex IP network issues with greater confidence. This marks a significant step in Nokia’s strategy to help operators adopt AI safely, incrementally, and at scale in live networks.
“The industry is moving quickly toward AI-native operations, but trust remains the deciding factor. We are enhancing NSP with AI agents built on an agent framework in a way that respects how networks are actually operated. This will have a major impact on the way operators manage their networks and will enable them to enhance their operations significantly and accelerate their journey toward autonomous networks with focus on solving real operational problems, starting with high-impact use cases like troubleshooting. This is an incremental, pragmatic step toward AI‑native networks,” said Sasa Nijemcevic, Vice President and General Manager, IP Network Automation software unit, Nokia.
For network operators, the new agentic framework provides a flexible foundation to introduce multiple AI use cases over time without creating siloed solutions. Operators can start with focused, high-confidence scenarios and gradually expand the role of AI as trust builds, using a shared framework that enforces consistent governance and operational controls.
End-users also benefit from this evolution through faster fault resolution, improved service reliability, and reduced likelihood of prolonged or cascading outages—delivering better experiences without increasing operational risk.
This enhancement to NSP, which will be commercially available by the end of 2026, reinforces Nokia’s commitment to enabling trusted, AI‑native network operations, and to helping operators translate AI innovation into real, measurable operational outcomes.
Multimedia, technical information and related news
Webpage: Nokia Network Services Platform
Blog: Bringing trusted agentic AI into IP network operations
White paper: Agentic AI transforms operations in IP networks
About Nokia
Nokia is a global leader in connectivity for the AI era. With expertise across fixed, mobile, and transport networks, we’re advancing connectivity to secure a brighter world.
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Nokia is undergoing a multi-year transformation into an AI optical infrastructure platform, with visible margin expansion and accelerating growth in network infrastructure. Recent upgrades include raising network infrastructure growth guidance from 6-8% to 12-14% and optical/IP networks from 10-12% to 18-20%, reflecting robust demand and supply constraints. EPS revisions outpace revenue, driven by operating leverage, early Infinera synergies, and the upcoming Fab 2 ramp, with AI and Cloud now ~8% of group revenues growing at ~49%.
Nokia Oyj is transitioning from traditional telecom to a leading AI and optical/IP network provider, with AI and cloud sales up 49% YoY in Q1. The Infinera acquisition and Nvidia's $1B investment position Nokia to capture accelerating AI data center demand, with management raising addressable market CAGR to 27% through 2028. Operational improvements are evident: Q1 gross margin rose 320 bps to 45.5%, operating profit increased 54% YoY, and net cash stands at €3.8 billion.
Blaize NASDAQ: BZAI Chief Financial Officer Harminder Sehmi outlined the company’s edge artificial intelligence strategy, customer use cases, partnerships and financial outlook during a recent company event, emphasizing that the chipmaker is focused on AI workloads that require low power, low latency and efficient processing outside traditional data centers.
Sehmi said Blaize was founded 12 to 14 years ago by Dinakar and other co-founders with the goal of designing “a new type of GPU” that is programmable and optimized for edge use cases. He said programmability is central to the company’s strategy, noting that the major surviving GPU companies shared that characteristic.
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Blaize’s platform is built around its Graph Streaming Processor, or GSP. Sehmi described the company’s approach as having three pillars: edge and far-edge processing, hybrid systems that combine the GSP with GPUs, and an AI services platform exposed through application programming interfaces.
Edge AI Focus Includes Smart Cities, Defense and Industrial Uses Sehmi said Blaize’s chips are designed for use cases where inference happens close to where data is created, such as on drones or boxes mounted on rooftops or lampposts. He said a single chip can handle “four to five high-definition streams,” and that the chip can run multiple algorithms at once, including video and sensor-related workloads.
One customer Sehmi discussed was TCC, which he described as a subsidiary of Saudi Arabia’s Public Investment Fund. He said TCC is using Blaize technology in a highway monitoring application involving license plate recognition and fines.
According to Sehmi, Blaize tested its equipment with TCC last September on a rooftop, where the temperature inside the box reached 75 degrees Celsius while the AI workloads continued running. He said a GPU-based system stopped working at “50 something” degrees Celsius.
Sehmi also pointed to Winmate, a Taiwanese company that develops ruggedized boxes for industrial use and drones. In drone applications, he said Blaize cards can support defensive capabilities by allowing drones to identify incoming threats and run navigation or identification algorithms onboard.
Hybrid GPU-GSP Systems Target Data Center Efficiency Sehmi said Blaize is “not here to replace NVIDIA” but to complement GPUs by allowing different silicon to be used for different workloads. He said the company’s hybrid approach is aimed at Tier 2 data centers and can support a range of AI workloads beyond video, including text and document processing.
He said smaller AI models, including those in the seven-billion to eight-billion parameter range, can run well on Blaize chips, while larger models can run on GPUs in hybrid systems.
As an example, Sehmi cited Yotta, a data center company in India, and an end customer related to Indian highways. He said Blaize demonstrated that a Supermicro server powered by 24 Blaize cards could run the relevant workloads at two to four times lower total cost of ownership compared with an NVIDIA-based GPU setup.
Sehmi said Blaize’s efficiency advantage comes partly from avoiding the memory-related penalties GPUs can face on small-batch workloads. He said Blaize systems do not require high-bandwidth memory and instead use LPDDR memory.
Partnerships and Go-to-Market Strategy Sehmi said Blaize uses a mix of direct sales and partnerships. He called the company’s partnership with Nokia a “game changer” because Nokia already has relationships with data centers and provides connectivity. He said Blaize and Nokia can bring AI solutions to those data centers together.
The company also works with independent software vendors, Sehmi said. Blaize has developed some applications internally, but he said it is too expensive to build applications for every use case, so the company works with ecosystem partners that already have relevant software.
Sehmi said Blaize’s chip is taped out by Samsung Foundry in Austin, Texas, a detail he said is important for defense-related applications because it supports “Made in America” requirements. Asked about memory sourcing, Sehmi said he did not yet know the answer and that part of his job is to speak with Samsung and Micron about securing supply.
Revenue Outlook and Margin Mix On financials, Sehmi said Blaize closed last year at about $39 million in revenue after exceeding a tightened guidance range. He said the company has tightened its 2026 revenue guidance to $130 million, adding that the year is expected to be back-end loaded because contracts require the company to secure chips, cards and servers as proofs of concept move into production.
Sehmi said Blaize has not provided projections for 2027. However, he said the company is considering introducing metrics such as backlog and bookings as its revenue mix begins to include more software and recurring revenue.
Asked about revenue mix, Sehmi said 2025 and 2026 revenue will be mostly hardware, with 2026 including more system-level hardware. He said some deployments, including Yotta, already include a software component, which helped margins. As AI services deployments expand, Sehmi said he expects margins to improve significantly in 2027 and 2028 as software becomes a larger portion of the mix.
Sehmi said hardware will remain important because Blaize expects to continue providing hybrid servers combining GPUs and GSPs. He also cited the company’s relationship with NeoTensr and a white-labeled server manufacturer as factors supporting margins.
Next-Generation Chip Plans Sehmi said Blaize is on its third chip, after two test chips and one production chip, and that all “lit up within the first hour.” He said the next-generation chip is intended to help run model sizes expected over the next two to three years and strengthen the company’s hybrid strategy by increasing the Blaize component in systems relative to GPUs.
Sehmi closed by saying the company’s focus is on executing existing contracts and ensuring new opportunities do not divert Blaize into unnecessary development efforts. He said the company will rely on its ecosystem for applications outside its core focus areas.
About Blaize NASDAQ: BZAIBlaize NASDAQ: BZAI is a fabless semiconductor company that designs and develops hardware and software solutions for artificial intelligence (AI) and machine learning applications at the edge. The company’s core technology is centered on its proprietary Graph Streaming Processor (GSP) architecture, which combines dataflow computing with a highly parallel matrix processing engine to deliver real-time AI inference with low power consumption. Blaize’s platform is aimed at customers seeking to deploy sophisticated AI workloads in environments where power efficiency, latency and form factor are critical.
The company offers a hardware portfolio that includes standalone GSP modules, PCIe cards and M.2 form-factor boards, alongside its Blaize AI software stack.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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The AI wave will soon hit public markets with Anthropic and OpenAI set to go public later this year. However, you don't have to wait to invest. This report shows seven AI stocks that you can buy today while the big model providers get ready to go public.
Nokia stock is among today’s top performers. What’s fueling NOK momentum? What Is Driving Nokia’s Recent Stock Movement?Nokia said its Network Services Platform is adding an agentic AI framework designed to automate and secure IP-network operations, with commercial availability targeted by the end of 2026. Separately, the company disclosed it will expand 5G work in Indonesia with Indosat Ooredoo Hutchison, aiming for mid-band coverage to reach about 80% of the network over the next 3.5 years.
Nokia has also been stacking security-focused product catalysts alongside the AI narrative, including Deepfield Genome Shield for proactive, network-wide DDoS detection and mitigation.
Nokia Stock: Key Technical Levels To WatchFrom a trend perspective, Nokia is still in a strong longer-term uptrend (up 177.26% over the past 12 months), and the big-picture structure remains supported by the golden cross that formed in October 2025. The near-term setup is more of a digestion phase: the stock is trading 1.5% below its 20-day SMA ($14.91) but still 16.2% above its 50-day SMA ($12.64), which often reads as consolidation inside an uptrend rather than a clean breakout.
Momentum is neutral, with RSI at 49.81, suggesting buying and selling pressure are currently balanced rather than stretched. In plain English, RSI helps gauge whether a move is getting overheated or washed out, and this reading implies the next push likely needs a fresh catalyst (or broader market help) to regain strong upside traction.
Overhead, the chart is running into a nearby "decision zone" where sellers often show up, especially after a big 12-month run.
Key Resistance: $15.00 — a nearby round-number area where rebounds can stall What Does Nokia Corporation Do?Nokia is a networking equipment vendor focused primarily on supporting wireless networks and, to a growing extent, Internet Protocol and optical systems. It operates across mobile infrastructure (wireless network core equipment and software), network infrastructure (IP, optical, and fixed-network gear like routing/switching and fiber access), and a portfolio segment that includes businesses the company views as less central longer term.
That mix matters for Friday's move because the "agentic AI" NSP update is aimed directly at day-to-day IP-network operations, where automation and security can translate into measurable operator outcomes. The Indonesia expansion also ties into Nokia's push to pair 5G buildouts with AI-ready network architecture, including AI-RAN and an AI Grid deployment with NVIDIA, with field trials expected by the end of 2026.
Nokia’s Benzinga Edge Rankings ExplainedBelow is the Benzinga Edge scorecard for Nokia, highlighting its strengths and weaknesses compared to the broader market:
The Verdict: Nokia’s Benzinga Edge signal reveals a momentum-driven profile with supportive quality, but a valuation that's no longer doing the stock any favors. For longer-term bulls, the key question is whether execution (and upcoming catalysts like earnings) can keep price supported above the 50-day trend while it works through resistance near $15.00.
Nokia Stock Price Movement on FridayNOK Stock Price Activity: Nokia shares were up 5.54% at $14.87 at the time of publication on Friday, according to Benzinga Pro data.
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We're in uncharted territory when it comes to IPOs. Prior to 2026, the largest IPO in U.S. history was Alibaba (BABA +0.02%), which raised about $25 billion in late 2024 at a market capitalization of roughly $230 billion.
This year, there's a possibility we'll see not one but three companies with trillion-dollar valuations when their shares start trading. SpaceX, Anthropic, and OpenAI are all expected to go public before the end of the year, and the trio could raise $240 billion at a combined valuation of more than $4 trillion.
SpaceX is furthest along in the process. It has already made its S-1 filing public, and its shares are expected to start trading on June 12 at a valuation of about $1.77 trillion. Anthropic is the next in line, having recently filed a confidential S-1, indicating that we're within a few months of its public debut.
Image source: Getty Images.
To be sure, there's a lot we don't know yet, especially when it comes to Anthropic. But based on what we know now, one looks like the more attractive option to me.
What you're buying with each company SpaceX is the more complex business of the two, with three distinct parts:
Starlink's satellite internet business, which is the fastest-growing telecom company in history. SpaceX's rocket launch business, which has a near monopoly on heavier launches with its Falcon rockets and upcoming Starship. The xAI business, which includes the Grok AI tools as well as the X (formerly Twitter) platform. Starlink itself is highly profitable, but the business is losing money overall. The company produced about $18.7 billion in revenue in 2025 (up 33% year-over-year) and produced a $4.9 billion net loss. However, the company was profitable on an adjusted EBITDA basis.
At its core, Anthropic is a software business. It has emerged as the leader in AI models with its Claude family of products. Claude subscribers include enterprises, developers, individuals, and more, and tools like Claude Code are gaining popularity rapidly.
As mentioned, we don't have all the details about Anthropic's financials, but we do know a lot. The company's revenue run rate was $9 billion at the start of 2026 and has since grown exponentially to $47 billion. The company's leaders expect to generate more revenue in the current quarter than Anthropic produced all of last year.
For both of these businesses, it's difficult to quantify the true market opportunity. SpaceX gave a $28.5 trillion addressable market in its S-1, but this figure includes the entire global broadband market, launch services, AI tools, and even things that don't exist yet, such as data centers in space.
With Anthropic, the generative AI market is growing rapidly, so it's also tough to say. The global generative AI market was estimated at about $54 billion last year and is projected to reach nearly $1 trillion in annual revenue by 2035. If Anthropic can remain a leader (it currently has about 32% of the enterprise market but a small percentage of the consumer market), its potential could be massive.
Does either have a reasonable valuation? Neither of these IPOs is going to be a cheap stock when they go public, assuming that their share prices trade close to expected IPO valuations. Based on a $1.75 trillion valuation, SpaceX will trade for about 94 times sales, a level that we've never seen with any of the trillion-dollar companies in the market.
Anthropic recently raised capital at a $965 billion valuation, but many experts believe it will command a valuation of $1.2 trillion or more by the time it goes public. Even at this level, Anthropic will be trading for about 25 times sales, and that's for a business whose revenue is growing exponentially. By the time it actually makes its public debut, it's fair to assume that its annual revenue run rate will be significantly higher than the $47 billion it recently revealed.
The verdict: Which one might I buy? To be sure, both businesses have risks to consider. SpaceX is pricing in significant growth from revenue streams that don't yet exist. Plus, Elon Musk will be in full control thanks to his super-voting shares, and building out the xAI side of the business will require significant capital.
On the other hand, Anthropic is in an ongoing legal dispute with the Pentagon; it faces stiff competition from OpenAI, Alphabet (GOOGL +0.53%)(GOOG +0.45%), and others, and there's a lot we won't know until its S-1 becomes publicly available.
To me, the answer is clear. Anthropic has a valuation based on exceptional revenue growth and is defensible by the actual business momentum, rather than on a potential future growth narrative.
Although I'm watching Anthropic's IPO closely and may add shares to my portfolio, I'm still likely to take a cautious approach. My specific plan could change based on market conditions, but the most likely strategy will be to open a small starter position shortly after the IPO and add incrementally over time, assuming the stock remains attractive and the long-term thesis remains intact.
Alibaba (BABA - 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 online retailer have returned -12.6%, compared to the Zacks S&P 500 composite's +0.2% change. During this period, the Zacks Internet - Commerce industry, which Alibaba falls in, has lost 9.9%. 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.
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.
For the current quarter, Alibaba is expected to post earnings of $2.59 per share, indicating a change of +25.7% from the year-ago quarter. The Zacks Consensus Estimate has changed +31.9% over the last 30 days.
The consensus earnings estimate of $7.38 for the current fiscal year indicates a year-over-year change of +89.7%. This estimate has changed +0.7% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $10.11 indicates a change of +37.1% from what Alibaba is expected to report a year ago. Over the past month, the estimate has changed -2.4%.
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, Alibaba 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 GrowthEven 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 Alibaba, the consensus sales estimate of $38.72 billion for the current quarter points to a year-over-year change of +12%. The $166.74 billion and $182.26 billion estimates for the current and next fiscal years indicate changes of +14.7% and +9.3%, respectively.
Last Reported Results and Surprise HistoryAlibaba reported revenues of $35.28 billion in the last reported quarter, representing a year-over-year change of +8.3%. EPS of $0.09 for the same period compares with $1.73 a year ago.
Compared to the Zacks Consensus Estimate of $35.23 billion, the reported revenues represent a surprise of +0.15%. The EPS surprise was -92.62%.
Over the last four quarters, Alibaba surpassed consensus EPS estimates times. The company topped consensus revenue estimates three times over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
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.
Alibaba 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 Alibaba. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
The Pentagon has added several prominent Chinese businesses, including the tech giant Alibaba, electric car maker BYD and search engine Baidu, to its list of Chinese military companies, preventing them from getting U.S. defense contracts.
The list, updated and published Monday by the Pentagon, now sanctions well-known, non-state-owned Chinese companies that are not traditionally considered to be in the defense or security sector. It reflects growing wariness of Beijing’s strategy of tapping the strength of non-state businesses for military purposes.
Created in 2021 by a congressional mandate, the list seeks to identify Chinese companies that the Pentagon considers to have links to the Chinese military — not only those directly controlled by the Chinese military and security forces but also those contributing to the country’s defense industrial base.
When updating the list last year, the Pentagon said the Chinese military sought to acquire advanced technologies and expertise developed by Chinese companies, universities and research programs that “appear to be civilian entities.”
The Chinese Embassy on Monday accused the U.S. of “overstretching the concept of national security and making discriminatory lists to go after Chinese companies.” It said Chinese companies observe the laws and regulations of the countries where they do business. “The U.S. should stop its wrong practice and create a fair, just and non-discriminatory environment for Chinese companies,” the embassy said in a statement.
Alibaba, BYD and Baidu said there is no basis for including them on the list. “Alibaba is not a Chinese military company nor part of any military-civil fusion strategy,” a statement from the leading e-commerce company said. Baidu, which has expanded into artificial intelligence and self-driving taxis, said the suggestion that it is a military company is “entirely baseless.”
BYD said in a statement it is “not a military enterprise” and that the determination “seriously contradicts the facts.” It also said it “will actively safeguard its legitimate rights and interests through all feasible administrative and legal means.”
This year’s list has grown to 188 Chinese entities, up from last year’s roughly 130 named by the Pentagon. It already had covered companies such as DJI, a major maker of consumer drones. While a company on the list can still do business in the U.S., it faces reputational damage and could be subject to more restrictions.
After the Pentagon released the updated list, the House Select Committee on the Chinese Communist Party called it “a warning to American businesses, all levels of government, and the American people.” It said the companies on the list that are traded publicly on U.S. exchanges should be delisted and no American company should do business with those on the list, “otherwise they are enabling China’s military ascendance.”
In naming Alibaba, the Pentagon said the tech giant helps boost China’s defense industrial base because it is affiliated with the country’s Ministry of Industry and Information Technology. Alibaba is traded on the New York Stock Exchange.
The Pentagon said BYD and Baidu are affiliated with the same ministry, which oversees China’s technology and industrial policies. BYD is dominant in the global electric vehicle market, and President Donald Trump said in January that he would welcome Chinese carmakers such as BYD if they built plants in the U.S. and hired American workers.
However, a number of U.S. lawmakers have said they will seek a ban on Chinese electric vehicles.
Another addition is the Chinese robotics company Unitree, whose dancing robots impressed Simon Cowell on NBC’s “America’s Got Talent.” The Pentagon said the company “knowingly received assistance” from the Chinese government through its designation as a small or medium-sized company that is highly innovative, highly competitive globally and critical to the country’s supply chain. Unitree did not immediately respond to a request for comment.
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LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz continues its investigation of Alibaba Group Holding Ltd. (“Alibaba” or the “Company”) (NYSE: BABA) on behalf of investors concerning the Company’s possible violations of federal securities laws.
IF YOU ARE AN INVESTOR WHO LOST MONEY ON ALIBABA GROUP HOLDING LTD. (BABA), CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING A CLAIM TO RECOVER YOUR LOSS.
What Is The Investigation About?
On November 14, 2024, Financial Times published an article entitled “White House memo claims Alibaba is helping Chinese military target US.” According to the article, the memo provided declassified intelligence about how Alibaba provides “the People’s Liberation Army with capabilities that the White House believes threaten US security.” Moreover, “Alibaba also provides the Chinese government and PLA with access to customer data that includes IP addresses, WiFi information and payment records, as well as different AI-related service.”
On this news, Alibaba’s shares fell $6.04, or 3.78%, to close at $153.80 per share on November 14, 2025.
Then, on February 13, 2026, the Pentagon added Alibaba to a list of companies aiding the Chinese military before withdrawing the list only minutes later without explanation.
On this news, Alibaba’s stock price fell $3.00, or 1.9%, to close at $155.73 per share on February 13, 2026.
Then, on March 19, 2026, Alibaba reported weaker-than-expected financial results, with revenue missing consensus estimates “primarily due to weaker transaction activities and phase-out of the impact of software service fee implementation.”
On this news, Alibaba’s stock price fell $9.53, or 7.1%, to close at $124.90 per share on March 19, 2026..
Then, on June 11, 2026, Bloomberg News reported that the Beijing branch of State Administration for Market Regulation summoned Alibaba representatives "over what officials said was false advertising during the annual '618' midyear online shopping festival."
On this news, Alibaba’s stock price fell as much as 4.6% during intraday trading on June 11, 2026, thereby injuring investors further.
Contact Us To Participate or Learn More:
If you purchased Alibaba securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
The Law Offices of Frank R. Cruz,
2121 Avenue of the Stars, Suite 800,
Century City, California 90067
Call us at: 310-914-5007
Email us at: [email protected]
Visit our website at: www.frankcruzlaw.com.
Follow us for updates on Twitter at twitter.com/FRC_LAW.
If you inquire by email, please include your mailing address, telephone number, and number of shares purchased.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
The Law Offices of Frank R. Cruz continues its investigation of Alibaba Group Holding Ltd.(“Alibaba” or the “Company”) (NYSE: BABA) on behalf of investors concerning the Company’s possible violations of federal securities laws.
IF YOU ARE AN INVESTOR WHO LOST MONEY ON ALIBABA GROUP HOLDING LTD. (BABA), CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING A CLAIM TO RECOVER YOUR LOSS.
What Is The Investigation About?
On November 14, 2024, Financial Times published an article entitled “White House memo claims Alibaba is helping Chinese military target US.” According to the article, the memo provided declassified intelligence about how Alibaba provides “the People’s Liberation Army with capabilities that the White House believes threaten US security.” Moreover, “Alibaba also provides the Chinese government and PLA with access to customer data that includes IP addresses, WiFi information and payment records, as well as different AI-related service.”
On this news, Alibaba’s shares fell $6.04, or 3.78%, to close at $153.80 per share on November 14, 2025.
Then, on February 13, 2026, the Pentagon added Alibaba to a list of companies aiding the Chinese military before withdrawing the list only minutes later without explanation.
On this news, Alibaba’s stock price fell $3.00, or 1.9%, to close at $155.73 per share on February 13, 2026.
Then, on March 19, 2026, Alibaba reported weaker-than-expected financial results, with revenue missing consensus estimates “primarily due to weaker transaction activities and phase-out of the impact of software service fee implementation.”
On this news, Alibaba’s stock price fell $9.53, or 7.1%, to close at $124.90 per share on March 19, 2026..
Then, on June 11, 2026, Bloomberg News reported that the Beijing branch of State Administration for Market Regulation summoned Alibaba representatives "over what officials said was false advertising during the annual '618' midyear online shopping festival."
On this news, Alibaba’s stock price fell as much as 4.6% during intraday trading on June 11, 2026, thereby injuring investors further.
Contact Us To Participate or Learn More:
If you purchased Alibaba securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
The Law Offices of Frank R. Cruz,
2121 Avenue of the Stars, Suite 800,
Century City, California 90067
Call us at: 310-914-5007
Email us at: [email protected]
Visit our website at: www.frankcruzlaw.com.
Follow us for updates on Twitter at twitter.com/FRC_LAW.
If you inquire by email, please include your mailing address, telephone number, and number of shares purchased.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260611957940/en/
Alibaba has reportedly offered $1.5 billion to buy Chinese grocery delivery firm Pupu, more than double an earlier $600 million bid from Sun Art Retail.
The reported bid, cited by Bloomberg, is not just about buying a grocery delivery company, but a bet on frequency, logistics and consumer habit.
For Alibaba, Pupu offers something difficult to build quickly: a dense 30-minute delivery network in a market where Meituan, JD.com and Alibaba have already spent heavily to win the next phase of Chinese retail.
Pupu is not a household name outside China, but it is one of the most valuable remaining independent assets in the country’s front-warehouse grocery market.
Based in Fujian province, the company generates annual revenue of more than 30 billion yuan, or about $4.2 billion, according to Bloomberg.
Its model is built around local warehouses that stock fresh food, daily essentials and fast-moving consumer goods, allowing orders to reach customers in about 30 minutes across several provinces.
That matters because China’s instant retail market has moved beyond restaurant meals.
Consumers increasingly expect fruit, meat, milk, medicine, snacks and household products to arrive almost as quickly as takeaway food.
The company that controls that habit gains not just grocery sales, but daily access to the consumer.
Pupu’s value has also risen because the field has thinned.
In February, Meituan agreed to buy Dingdong’s China business for $717 million, giving it another front-warehouse grocery platform.
That left Pupu as one of the last sizable independent players available. If Alibaba does not move now, it may not get another similar target.
Also read- Alibaba stock hands investors an AI business for free: find out more
The price tag looks steep, but less surprising when set against the cost of China’s delivery war.
According to 36Kr, Meituan, Alibaba and JD.com burned at least 150 billion yuan over the past year competing in food delivery and instant retail.
Daily order volumes, once around 80 million to 90 million, crossed 200 million at the peak of the battle.
The economics were brutal as a securities analyst cited by 36Kr estimated that at the worst point, Meituan was losing about 2 yuan per order, while rivals were losing as much as 6 yuan per order.
That gap helps explain why Alibaba may prefer acquisition over endless subsidies.
Buying Pupu could give Alibaba an operational shortcut.
Instead of spending years building warehouse density, supplier relationships, cold-chain systems and local delivery habits city by city, it can plug an existing network into its own ecosystem.
The comparison with Meituan is important as the company has long used food delivery as the entry point into broader local commerce.
Alibaba is trying to do the same from the other direction: turning its e-commerce traffic into daily-use quick commerce traffic.
Alibaba Group (BABA, Financials) has reportedly offered $1.5 billion to acquire Chinese grocery delivery company Pupu, a move that could deepen its push into local commerce and online grocery.
The reported bid would put Alibaba more directly against Meituan, one of China's strongest players in food delivery and local services. For Alibaba, buying Pupu could add more delivery capacity, customer reach and grocery expertise at a time when competition for everyday consumer spending remains intense.
The deal is not just about groceries. It is about owning more of the customer's daily shopping habits, from fresh food to household items.
For investors, the key question is whether Alibaba can turn this kind of acquisition into stronger growth without adding too much cost. China's internet market is competitive, and price battles can pressure margins.
If completed, the deal would show Alibaba is still willing to spend to defend and expand its consumer ecosystem.
BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith continues its investigation on behalf of Alibaba Group Holding Ltd. (“Alibaba” or the “Company”) (NYSE: BABA) investors concerning the Company’s possible violations of federal securities laws.
IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN ALIBABA GROUP HOLDING LTD. (BABA), CONTACT THE LAW OFFICES OF HOWARD G. SMITH ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS.
Contact the Law Offices of Howard G. Smith to discuss your legal rights by email at [email protected], by telephone at (215) 638-4847 or visit our website at www.howardsmithlaw.com.
What Happened?
On November 14, 2024, Financial Times published an article entitled “White House memo claims Alibaba is helping Chinese military target US.” According to the article, the memo provided declassified intelligence about how Alibaba provides “the People’s Liberation Army with capabilities that the White House believes threaten US security.” Moreover, “Alibaba also provides the Chinese government and PLA with access to customer data that includes IP addresses, WiFi information and payment records, as well as different AI-related service.”
On this news, Alibaba’s shares fell $6.04, or 3.78%, to close at $153.80 per share on November 14, 2025.
Then, on February 13, 2026, the Pentagon added Alibaba to a list of companies aiding the Chinese military before withdrawing the list only minutes later without explanation.
On this news, Alibaba’s stock price fell $3.00, or 1.9%, to close at $155.73 per share on February 13, 2026.
Then, on March 19, 2026, Alibaba reported weaker-than-expected financial results, with revenue missing consensus estimates “primarily due to weaker transaction activities and phase-out of the impact of software service fee implementation.”
On this news, Alibaba’s stock price fell $9.53, or 7.1%, to close at $124.90 per share on March 19, 2026..
Then, on June 11, 2026, Bloomberg News reported that the Beijing branch of State Administration for Market Regulation summoned Alibaba representatives "over what officials said was false advertising during the annual '618' midyear online shopping festival."
On this news, Alibaba’s stock price fell $1.64, or 1.4%, to close at $112.69 per share on June 11, 2026, thereby injuring investors further.
Contact Us To Participate or Learn More:
If you purchased Alibaba securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Law Offices of Howard G. Smith,
3070 Bristol Pike, Suite 112,
Bensalem, Pennsylvania 19020
Telephone: (215) 638-4847
Email: [email protected],
Visit our website at: www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Law Offices of Howard G. Smith continues its investigation on behalf of Alibaba Group Holding Ltd.(“Alibaba” or the “Company”) (NYSE: BABA) investors concerning the Company’s possible violations of federal securities laws.
IF YOU ARE AN INVESTOR WHO SUFFERED A LOSS IN ALIBABA GROUP HOLDING LTD. (BABA), CONTACT THE LAW OFFICES OF HOWARD G. SMITH ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS.
Contact the Law Offices of Howard G. Smith to discuss your legal rights by email at [email protected], by telephone at (215) 638-4847 or visit our website at www.howardsmithlaw.com.
What Happened?
On November 14, 2024, Financial Times published an article entitled “White House memo claims Alibaba is helping Chinese military target US.” According to the article, the memo provided declassified intelligence about how Alibaba provides “the People’s Liberation Army with capabilities that the White House believes threaten US security.” Moreover, “Alibaba also provides the Chinese government and PLA with access to customer data that includes IP addresses, WiFi information and payment records, as well as different AI-related service.”
On this news, Alibaba’s shares fell $6.04, or 3.78%, to close at $153.80 per share on November 14, 2025.
Then, on February 13, 2026, the Pentagon added Alibaba to a list of companies aiding the Chinese military before withdrawing the list only minutes later without explanation.
On this news, Alibaba’s stock price fell $3.00, or 1.9%, to close at $155.73 per share on February 13, 2026.
Then, on March 19, 2026, Alibaba reported weaker-than-expected financial results, with revenue missing consensus estimates “primarily due to weaker transaction activities and phase-out of the impact of software service fee implementation.”
On this news, Alibaba’s stock price fell $9.53, or 7.1%, to close at $124.90 per share on March 19, 2026..
Then, on June 11, 2026, Bloomberg News reported that the Beijing branch of State Administration for Market Regulation summoned Alibaba representatives "over what officials said was false advertising during the annual '618' midyear online shopping festival."
On this news, Alibaba’s stock price fell $1.64, or 1.4%, to close at $112.69 per share on June 11, 2026, thereby injuring investors further.
Contact Us To Participate or Learn More:
If you purchased Alibaba securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Law Offices of Howard G. Smith,
3070 Bristol Pike, Suite 112,
Bensalem, Pennsylvania 19020
Telephone: (215) 638-4847
Email: [email protected],
Visit our website at: www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260612716965/en/
Securities Fraud Investigation Into Alibaba Group Holding Ltd. (BABA) Continues -- Investors Who Lost Money Urged To Contact Glancy Prongay Wolke & Rotter LLP, A Leading Securities Fraud Law Firm Glancy Prongay Wolke & Rotter LLP, a leading national shareholder rights law firm, continues its investigation on behalf of Alibaba Group Holding Ltd. (“Alibaba” or the “Company”) (NYSE: BABA) investors concerning the Company’s possible violations of the federal securities laws.
IF YOU ARE AN INVESTOR WHO LOST MONEY ON ALIBABA GROUP HOLDING LTD. (BABA), CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS.
What Happened?
On November 14, 2024, Financial Times published an article entitled “White House memo claims Alibaba is helping Chinese military target US.” According to the article, the memo provided declassified intelligence about how Alibaba provides “the People’s Liberation Army with capabilities that the White House believes threaten US security.” Moreover, “Alibaba also provides the Chinese government and PLA with access to customer data that includes IP addresses, WiFi information and payment records, as well as different AI-related service.”
On this news, Alibaba’s shares fell $6.04, or 3.78%, to close at $153.80 per share on November 14, 2025.
Then, on February 13, 2026, the Pentagon added Alibaba to a list of companies aiding the Chinese military before withdrawing the list only minutes later without explanation.
On this news, Alibaba’s stock price fell $3.00, or 1.9%, to close at $155.73 per share on February 13, 2026.
Then, on March 19, 2026, Alibaba reported weaker-than-expected financial results, with revenue missing consensus estimates “primarily due to weaker transaction activities and phase-out of the impact of software service fee implementation.”
On this news, Alibaba’s stock price fell $9.53, or 7.1%, to close at $124.90 per share on March 19, 2026.
Then, on June 11, 2026, Bloomberg News reported that the Beijing branch of State Administration for Market Regulation summoned Alibaba representatives "over what officials said was false advertising during the annual '618' midyear online shopping festival."
On this news, Alibaba’s stock price fell $1.64, or 1.4%, to close at $112.69 per share on June 11, 2026, thereby injuring investors further.
Contact Us To Participate or Learn More:
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us.
Charles Linehan, Esq.,
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100,
Los Angeles California 90067
Email: [email protected]
Telephone: 310-201-9150 (Toll-Free: 888-773-9224)
Visit our website at www.glancylaw.com.
Follow us for updates on LinkedIn, Twitter, or Facebook.
Whistleblower Notice
Persons with non-public information regarding Alibaba should consider their options to aid the investigation or take advantage of the SEC Whistleblower Program. Under the program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Charles H. Linehan at 310-201-9150 or 888-773-9224 or email [email protected].
About Glancy Prongay Wolke & Rotter LLP
Glancy Prongay Wolke & Rotter LLP (“GPWR”) is a premier law firm representing investors and consumers in securities litigation and other complex class action litigation. GPWR has been consistently ranked in the Top 50 Securities Class Action Settlements by ISS Securities Class Action Services. In 2018, GPWR was ranked a top five law firm in number of securities class action settlements, and a top six law firm for total dollar size of settlements.
With four offices across the country, GPWR’s nearly 40 attorneys have won groundbreaking rulings and recovered billions of dollars for investors and consumers in securities, antitrust, consumer, and employment class actions. GPWR’s lawyers have handled cases covering a wide spectrum of corporate misconduct and relating to nearly all industries and sectors. GPWR’s past successes have been widely covered by leading news and industry publications such as The Wall Street Journal, The Financial Times, Bloomberg Businessweek, Reuters, the Associated Press, Barron’s, Investor’s Business Daily, Forbes, and Money.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260612930473/en/
Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.
LOS ANGELES--(BUSINESS WIRE)--Glancy Prongay Wolke & Rotter LLP, a leading national shareholder rights law firm, continues its investigation on behalf of Alibaba Group Holding Ltd. (“Alibaba” or the “Company”) (NYSE: BABA) investors concerning the Company’s possible violations of the federal securities laws.
IF YOU ARE AN INVESTOR WHO LOST MONEY ON ALIBABA GROUP HOLDING LTD. (BABA), CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS.
What Happened?
On November 14, 2024, Financial Times published an article entitled “White House memo claims Alibaba is helping Chinese military target US.” According to the article, the memo provided declassified intelligence about how Alibaba provides “the People’s Liberation Army with capabilities that the White House believes threaten US security.” Moreover, “Alibaba also provides the Chinese government and PLA with access to customer data that includes IP addresses, WiFi information and payment records, as well as different AI-related service.”
On this news, Alibaba’s shares fell $6.04, or 3.78%, to close at $153.80 per share on November 14, 2025.
Then, on February 13, 2026, the Pentagon added Alibaba to a list of companies aiding the Chinese military before withdrawing the list only minutes later without explanation.
On this news, Alibaba’s stock price fell $3.00, or 1.9%, to close at $155.73 per share on February 13, 2026.
Then, on March 19, 2026, Alibaba reported weaker-than-expected financial results, with revenue missing consensus estimates “primarily due to weaker transaction activities and phase-out of the impact of software service fee implementation.”
On this news, Alibaba’s stock price fell $9.53, or 7.1%, to close at $124.90 per share on March 19, 2026.
Then, on June 11, 2026, Bloomberg News reported that the Beijing branch of State Administration for Market Regulation summoned Alibaba representatives "over what officials said was false advertising during the annual '618' midyear online shopping festival."
On this news, Alibaba’s stock price fell $1.64, or 1.4%, to close at $112.69 per share on June 11, 2026, thereby injuring investors further.
Contact Us To Participate or Learn More:
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us.
Charles Linehan, Esq.,
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100,
Los Angeles California 90067
Email: [email protected]
Telephone: 310-201-9150 (Toll-Free: 888-773-9224)
Visit our website at www.glancylaw.com.
Follow us for updates on LinkedIn, Twitter, or Facebook.
Whistleblower Notice
Persons with non-public information regarding Alibaba should consider their options to aid the investigation or take advantage of the SEC Whistleblower Program. Under the program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Charles H. Linehan at 310-201-9150 or 888-773-9224 or email [email protected].
About Glancy Prongay Wolke & Rotter LLP
Glancy Prongay Wolke & Rotter LLP (“GPWR”) is a premier law firm representing investors and consumers in securities litigation and other complex class action litigation. GPWR has been consistently ranked in the Top 50 Securities Class Action Settlements by ISS Securities Class Action Services. In 2018, GPWR was ranked a top five law firm in number of securities class action settlements, and a top six law firm for total dollar size of settlements.
With four offices across the country, GPWR’s nearly 40 attorneys have won groundbreaking rulings and recovered billions of dollars for investors and consumers in securities, antitrust, consumer, and employment class actions. GPWR’s lawyers have handled cases covering a wide spectrum of corporate misconduct and relating to nearly all industries and sectors. GPWR’s past successes have been widely covered by leading news and industry publications such as The Wall Street Journal, The Financial Times, Bloomberg Businessweek, Reuters, the Associated Press, Barron’s, Investor’s Business Daily, Forbes, and Money.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Item 1 of 2 A Boeing 737 MAX 7 aircraft lands at Boeing Field in Seattle, Washington, U.S. September 30, 2020. REUTERS/Lindsey Wasson//File Photo
[1/2]A Boeing 737 MAX 7 aircraft lands at Boeing Field in Seattle, Washington, U.S. September 30, 2020. REUTERS/Lindsey Wasson//File Photo Purchase Licensing Rights, opens new tab
SummaryCompaniesBoeing's goal remains 63 MAX jets per monthRival Airbus aiming to make 75 A320neo jets per monthSEATTLE, June 5 (Reuters) - As Boeing (BA.N), opens new tab increases production of its best-selling 737 MAX from 42 to 47 jets a month, the U.S. planemaker is looking at how it can climb to 70 a month, its highest ever, CEO Kelly Ortberg told CNBC on Friday.
"We'll look at that to understand where our constraints are, what the resilience is of the supply chain, but that's a study activity right now," Ortberg said.
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The planemaker's stated goal is to raise production to 63 jets a month.
The Air Current trade journal reported on Thursday that Boeing is drafting plans and assessing whether its suppliers could support raising production of the single-aisle jet to 70 per month.
Turning out more 737 MAX jets is critical to Boeing's financial recovery after losing more than $30 billion in recent years and taking on historically high levels of debt.
Boeing has methodically increased output since it restarted 737 production in December 2024. The U.S. Federal Aviation Administration capped production at 38 jets per month after a panel blew out of a nearly new 737 MAX, revealing widespread production quality and safety problems. The cap was lifted in October 2025.
"We've made sure that we're not moving (the rate up) until the production system is stable," Ortberg said.
After consulting the FAA, the company said in May it is aiming to raise production to 47 per month in mid-summer.
Boeing plans to load the first plane on its new 737 production line in Everett, Washington, on July 6, Ortberg told CNBC.
The line is critical to the company's plans to take 737 production to the next stage of 52 jets a month, he said.
The supply chain will have to increase capacity to support Boeing's increased production, Ortberg said on a first-quarter earnings conference call in April.
European rival Airbus (AIR.PA), opens new tab has long aimed for monthly output of 75 A320neo-family jets, but repeatedly delayed the target due to supply-chain constraints. It expects to reach 70 to 75 jets per month by the end of 2027, with plans to stabilize production at 75 thereafter.
Reporting by Dan Catchpole in Seattle Editing by Rod Nickel
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Boeing's top services executive said on Saturday that the planemaker can provide aftermarket parts support to China to back a 200-plane order announced by the planemaker following a visit by U.S President Donald Trump to Beijing earlier this year.
After years of delays, Boeing is increasing production of it's best selling airplane the 737 MAX. The company is adding a 4th assembly line at its plant north of Seattle.
Saudi Arabia's Riyadh Air's first two Boeing 787 Dreamliner jets are delivered as the Kingdom's new national carrier prepares to take off, launching five new destinations. CEO Tony Douglas speaks to CNBC's Dan Murphy on Access Middle East.
Dubai's Emirates expects to receive its long-delayed first Boeing 777X by June next year, but has yet to see progress on Rolls-Royce engine improvements that would allow it to order the competing Airbus A350-1000 , its president said.
A Boeing 737 MAX is parked outside the Renton facility during a media tour, Washington, U.S., April 15, 2026. REUTERS/Genna Martin/File Photo Purchase Licensing Rights, opens new tab
SEATTLE, June 9 (Reuters) - Boeing (BA.N), opens new tab said on Tuesday that it delivered 60 jets in May, a 33% increase over the same period last year, though fewer than the 81 delivered by European rival Airbus (AIR.PA), opens new tab.
Boeing's May deliveries included 51 737 MAX jets, the highest number of its popular single-aisle model in one month since restarting production in December 2024 following a strike.
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Boeing is increasing the 737 production rate from 42 jets a month to 47 per month this summer.
The company also booked 27 new orders, including 14 737s that will be converted into military aircraft for an unidentified customer.
Lufthansa (LHAG.DE), opens new tab ordered 10 787s. Boeing also received cancellations for 16 737 MAX orders, resulting in 11 net new orders in May.
Boeing has delivered 250 jets through the end of May, including 198 737 MAX jets.
May's deliveries included six 787s, which continue to be hampered by certification delays for premium seats, one 777 freighter and one 767 freighter.
Boeing has booked 324 new orders through May, with 29 cancellations or conversions, for a total of 295 net new orders.
The U.S. planemaker's order backlog was 6,178 at the end of May.
Reporting by Dan Catchpole in Seattle; Editing by Jamie Freed
Our Standards: The Thomson Reuters Trust Principles., opens new tab
The aerospace market is witnessing a split between established giants regaining their footing and agile newcomers reaching for the stars. Choosing between Boeing Co. (BA 1.16%) and Firefly Aerospace depends on your appetite for legacy recovery versus speculative growth.
Boeing remains an essential pillar of global travel and national security, while Firefly focuses on the rapid deployment of small satellites and lunar missions. Comparing them involves looking at Boeing's massive manufacturing scale against Firefly's rapid revenue expansion from a much smaller financial base.
The case for Boeing Co.Boeing serves a massive global market through its commercial airplanes, defense systems, and space divisions. For 2025, U.S. government contracts accounted for nearly 35% of total revenue, which includes sales to foreign allies. Customer concentration like this adds a layer of risk among defense stocks, as a change in government priorities could impact the bottom line.
In FY 2025, revenue reached approximately $89.5 billion, a 34.5% increase from the prior year. The company reported net income of roughly $2.2 billion for the period. This resulted in a net margin of about 2.5%, a notable improvement from the net loss and negative net margin reported in the previous fiscal year.
As of its December 2025 balance sheet, the debt-to-equity ratio was nearly 10x, indicating that total liabilities are 10 times shareholder equity. The current ratio, which measures the ability to pay short-term obligations with short-term assets, was roughly 1.2x. Free cash flow, calculated as cash from operations minus capital expenditures, was approximately negative $1.9 billion for the fiscal year. Note that stock-based compensation (SBC) accounted for roughly 40% of operating cash flow, thereby inflating reported cash generation, since SBC is a non-cash expense added back in the cash flow statement.
The case for Firefly AerospaceFirefly Aerospace operates in the high-growth niche of small- to medium-sized launch vehicles and lunar exploration systems. The company focuses on launching satellites and operating space systems for both commercial and government agencies. It faces extreme customer concentration, with its top five customers accounting for over 86% of total revenue in 2025.
For FY 2025, the company reported revenue of nearly $159.9 million, which is an increase of 163% over the previous year. Despite this growth, the company recorded a net loss of $298.3 million. This reflects heavy investmment in its launch capabilities and infrastructure.
As of the December 2025 balance sheet, the current ratio was nearly 4.5x, suggesting a strong ability to cover short-term liabilities with liquid assets. The debt-to-equity ratio was approximately 0.3x, showing a relatively low level of debt compared to equity. Free cash flow was roughly negative $237.8 million for the fiscal year, indicating that the company is still spending more on operations and equipment than it generates.
Risk profile comparisonBoeing faces significant operational challenges, particularly regarding production stability and quality control for the 737 program. Financial results are also pressured by reach-forward losses on fixed-price development projects, such as the 777X program. Furthermore, the company faces stiff competition from global rivals like Airbus and exposure to shifting trade relations between the U.S. and China.
Firefly Aerospace relies on successful missions, but a launch anomaly in April 2025 highlighted the inherent dangers of the space industry. The company also faces intense competition from established players like Northrop Grumman Corp. (NOC 0.40%) and larger private launch providers. Because five customers provide nearly 86% of revenue, the loss of a single contract or a change in government budgetary priorities could significantly harm financial results.
Valuation comparisonBoeing trades at a higher forward P/E relative to future earnings estimates than the sector average, while Firefly Aerospace trades at an even higher P/S ratio due to its smaller revenue base.
MetricThe BoeingFirefly AerospaceSector BenchmarkForward P/E52.4x72.2x30.4xP/S ratio1.9x37.1xn/aSector benchmark uses the SPDR XLI sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
Boeing Co. is the bigger name, but Firefly Aerospace offers the bigger potential return.
There are some obvious risks to FLY, including the fact that it has only been public since August 2025, when it sold shares at its initial public offering for $45. The large loss for fiscal 2025 is another. But its worth considering the road ahead for Firefly.
Firefly Aerospace is the only private company to execute a successful lunar landing, landing on the Moon in March 2025 with its Blue Ghost Mission I. The success of that effort has ingratiated Firefly with NASA, which sent 10 payloads to the Moon with last year’s mission. The company now plans annual missions to the Moon to deliver payloads for NASA as part of the agency’s aim to construct a permanent lunar base. Exciting stuff, and considering the attention the SpaceX IPO will bring to space businesses, that can only be another positive for FLY.
While future projections are inherently speculative, Wall Street analysts expect Firfly to top $440 million this year and reach $1 billion in annual revenue in its fiscal 2028.
Investing in a young company like Firefly Aerospace probably will bring some turbulence, but it offers fast potential growth for those going along for the ride.
Brazil's National Civil Aviation Agency (ANAC) Director-President Tiago Chagas Faierstein speaks during an interview session at the International Air Transport Association (IATA) Annual... Purchase Licensing Rights, opens new tab Read more
RIO DE JANEIRO, June 9 (Reuters) - Brazilian aviation regulator ANAC expects its U.S. counterpart, the Federal Aviation Administration, to certify the Boeing 737 MAX 10 this year and will work quickly to validate the decision locally, agency head Tiago Faierstein told Reuters.
Certification of the MAX 10, which has been long delayed, would be key for Boeing and carriers such as Brazilian airline Gol, which is counting on the largest variant of the 737 narrowbody for its growth plans.
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"Because that is an FAA timeline, I can't really comment, but I strongly believe it will happen this year," Faierstein said in an interview on the sidelines of a gathering of global airline chiefs in Rio de Janeiro on Monday.
"We will work to make it quick here as well. We know Gol really needs these aircraft."
ANAC and the FAA are both members of the Certification Management Team (CMT), which also includes the European and Canadian regulators.
Boeing has faced delays in the certification of its MAX 7 and MAX 10 models due to an engine de-icing issue.
Following a visit to the United States in May, Faierstein also called for cooperation between Brazilian and U.S. authorities to certify a new class of electric vertical takeoff and landing (eVTOL) aircraft.
Embraer's (EMBJ3.SA), opens new tab Eve has given Brazil a strong start in the race to develop the battery-powered aircraft that can ferry travelers on short city trips, helping to beat traffic.
Eve recently pushed back the timeline for its eVTOL vehicle to enter service, to 2028 from 2027, after it slipped previously from an initial 2026 target.
Faierstein said the new time frame was realistic amid work to develop an ecosystem for the vehicle, including recharging infrastructure, pilot licensing and air-traffic-control rules.
"Regarding the aircraft process, we are very confident. Embraer is making progress and the tests have been successful. The issue is the ecosystem," the ANAC head said.
Reporting by Gabriel Araujo and Luciana Magalhaes in Rio de Janeiro Editing by Brad Haynes and Matthew Lewis
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Gabriel is a Sao Paulo, Brazil-based reporter covering Latin America's financial and breaking news from the region's largest economy. A graduate of the University of Sao Paulo, joined Reuters while in college as a Commodities & Energy intern and has been with the firm ever since. Previously covered sports - including soccer and Formula One - for Brazilian radios and websites.
An aerial view of a Boeing KC-46 Pegasus aerial refueling tanker parked at King County International Airport-Boeing Field in Seattle, Washington, U.S, June 1, 2022. REUTERS/Lindsey... Purchase Licensing Rights, opens new tab Read more
June 9 (Reuters) - The U.S. Air Force is confident a fix has been found for long-running troubles with a key system on Boeing's (BA.N), opens new tab KC-46 aerial refueling tanker, Air Force Secretary Troy Meink told a Senate subcommittee on Tuesday.
Boeing and the Air Force have been trying for several years to fix problems with the tanker's remote vision system, which is critical for midair refueling with the plane's boom, a rigid pipe used to transfer fuel.
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"I think the good news is that we believe we've fixed and have tested the new 2.0 vision system and that we should start rolling that into the production line in '28," Meink said during Tuesday's defense appropriations subcommittee hearing.
That is five years later than initially planned.
The company has delivered more than 100 of the 188 tankers ordered by the Air Force, which is considering the purchase of another 75 for a total of 263.
Boeing has lost more than $7 billion on the fixed-price contract for the 767 commercial model derivative that leaves it on the hook for cost overruns.
Air Force officials have said they will only order more tankers if Boeing fixes lingering problems.
The U.S. planemaker announced on June 4 that it had completed initial flight testing of the Remote Vision System 2.0 upgrade.
Retrofitting existing aircraft with the new system will take seven years, the Air Force announced in May.
The KC-46 has also had problems with its boom and leaks in its fuel system.
"Obviously, this has been a bad contract for the last decade, this existing contract," Boeing CEO Kelly Ortberg told investors in January.
Boeing did not respond immediately to a request for comment.
Reporting by Dan Catchpole in Seattle; Editing by Jamie Freed
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Boeing (BA - 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 airplane builder have returned -9.4% over the past month versus the Zacks S&P 500 composite's no change. The Zacks Aerospace - Defense industry, to which Boeing belongs, has gained 1.6% 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.
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.
For the current quarter, Boeing is expected to post a loss of $0.23 per share, indicating a change of +81.5% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
The consensus earnings estimate of -$0.15 for the current fiscal year indicates a year-over-year change of +98.6%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $4.06 indicates a change of +0% from what Boeing is expected to report a year ago. Over the past month, the estimate has remained unchanged.
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 Boeing.
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 Boeing, the consensus sales estimate of $23.55 billion for the current quarter points to a year-over-year change of +3.5%. The $96.7 billion and $110.91 billion estimates for the current and next fiscal years indicate changes of +8.1% and +14.7%, respectively.
Last Reported Results and Surprise HistoryBoeing reported revenues of $22.22 billion in the last reported quarter, representing a year-over-year change of +14%. EPS of -$0.2 for the same period compares with -$0.49 a year ago.
Compared to the Zacks Consensus Estimate of $21.46 billion, the reported revenues represent a surprise of +3.53%. The EPS surprise was +78.95%.
Over the last four quarters, Boeing surpassed consensus EPS estimates two times. The company topped consensus revenue estimates each time over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
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.
Boeing 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 Boeing. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
In the latest trading session, Boeing (BA - Free Report) closed at $209.15, marking a -2.5% move from the previous day. The stock trailed the S&P 500, which registered a daily loss of 1.62%. Meanwhile, the Dow experienced a drop of 1.87%, and the technology-dominated Nasdaq saw a decrease of 1.98%.
The airplane builder's shares have seen a decrease of 9.44% over the last month, not keeping up with the Aerospace sector's gain of 2.43% and the S&P 500's loss of 0.03%.
The investment community will be closely monitoring the performance of Boeing in its forthcoming earnings report. On that day, Boeing is projected to report earnings of -$0.23 per share, which would represent year-over-year growth of 81.45%. Our most recent consensus estimate is calling for quarterly revenue of $23.55 billion, up 3.51% from the year-ago period.
For the full year, the Zacks Consensus Estimates are projecting earnings of -$0.15 per share and revenue of $96.7 billion, which would represent changes of +98.59% and +8.09%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Boeing. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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 last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Boeing is holding a Zacks Rank of #3 (Hold) right now.
The Aerospace - Defense industry is part of the Aerospace sector. Currently, this industry holds a Zacks Industry Rank of 109, positioning it in the top 45% of all 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
Key Takeaways Boeing Global Services revenues rose 6% to $5.4B in Q1, driven by government and aftermarket demand.Boeing Global Services delivered $971M in operating earnings and an 18.1% operating margin.Boeing Global Services ended Q1 with a record $33B backlog, boosting revenue visibility. The Boeing Company’s (BA - Free Report) Global Services ("BGS") segment is increasingly becoming an important contributor to the company's recovery and long-term growth strategy.
During the first quarter of 2026, BGS generated revenues of $5.4 billion, representing a 6% increase from the prior-year period’s level. The growth was primarily driven by higher government-related service activity and continued demand for aviation aftermarket solutions. While Boeing's commercial aircraft business remains cyclical and heavily dependent on production rates, the services segment provides a more stable source of recurring revenues.
BGS generated operating earnings of $971 million, resulting in an operating margin of 18.1%. Although margins declined modestly from the prior year due to the impact of the Digital Aviation Solutions divestiture, the segment continues to generate significantly higher margins than Boeing's commercial and defense operations. This demonstrates the attractive economics of maintenance, repair, parts distribution, training, and digital aviation services.
Several strategic developments during the quarter further strengthened the business. Boeing inked the largest-ever Landing Gear Exchange Program agreement with Singapore Airlines Group and received initial FAA and EASA qualification for 777-9 training devices. These wins highlight Boeing's ability to monetize its growing installed aircraft base through long-term support contracts and training solutions.
BGS ended the quarter with a record backlog of $33 billion, providing substantial revenue visibility and demonstrating sustained customer demand across both commercial and government markets. As airlines continue to expand fleets and defense customers seek long-term maintenance support, Boeing appears well positioned to benefit from growing aftermarket spending.
Companies Expanding Aftermarket and Services BusinessesGrowing global aircraft utilization continues to increase demand for maintenance, repair, overhaul, and aviation support services. Several aerospace companies benefiting from this trend are discussed below:
Airbus SE (EADSY - Free Report) continues to expand its services portfolio through Airbus Services, offering maintenance, training, fleet management, and digital solutions to airline customers worldwide. The company increasingly views services as a key contributor to long-term profitability.
RTX Corporation (RTX - Free Report) maintains one of the aerospace industry's largest aftermarket businesses through its Collins Aerospace and Pratt & Whitney units. The company's growing installed base of engines and aircraft systems supports recurring revenues from maintenance, spare parts and repair services.
BA Stock’s Earnings EstimatesThe Zacks Consensus Estimate for 2026 and 2027 EPS indicates a year-over-year improvement of 98.6% and 2,813.2%, respectively.
Image Source: Zacks Investment Research
BA Stock Trades at a DiscountIn terms of valuation, BA’s forward 12-month price-to-sales (P/S) is 1.6X, a discount to the industry’s average of 2.54X.
Image Source: Zacks Investment Research
BA Stock’s Price PerformanceIn the past three months, the company’s shares have risen 2.1% against the industry’s 8.5% decline.
Image Source: Zacks Investment Research
BA’s Zacks RankThe company currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The market's perception of The Boeing Company NYSE: BA remains anchored to a narrative of regulatory friction and production stalls. While retail sentiment is paralyzed by legacy headline risk, the aerospace sector giant quietly delivered 60 commercial aircraft in May, a 33% year-over-year (YOY) surge that mechanically drives the free cash flow required for aggressive balance sheet deleveraging.
Boeing Today
$219.22 -2.41 (-1.09%)
As of 03:59 PM Eastern
This is a fair market value price provided by Massive. Learn more.
52-Week Range$176.77▼
$254.35P/E Ratio106.42
Price Target$262.32
This post-strike production high indicates that manufacturing bottlenecks are resolving, offering buyers an asymmetric entry point into a duopoly operating with a massive global backlog.
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The disconnect between factory output and stock valuation has created a compelling opportunity for investors who prioritize operational data over media sentiment. At Boeing's current share price, the market appears to be pricing in continued disruption rather than the emerging reality of a stabilized and accelerating industrial machine.
For investors willing to look past the noise, the foundational metrics of a powerful industrial turnaround are aligning.
From Factory Floor to Free Cash FlowFor an industrial titan like Boeing, deliveries are the ultimate arbiter of financial health. Each aircraft handover triggers final customer payment, injecting high-margin revenue directly into the treasury. The May delivery of 60 jets, with 51 being the critical 737 MAX narrowbody, is the most concrete evidence yet that Boeing is moving past the wiring defects and supplier constraints that previously capped output. This operational cadence is fundamental to achieving management's stated fiscal year 2026 free cash flow (FCF) target of $5 billion.
Understanding the importance of this FCF generation is critical, especially when analyzing Boeing's balance sheet. Boeing currently has a debt-to-equity ratio of 7.42, which requires robust, predictable cash flow to manage effectively. The recent 14% YOY revenue growth reported in the first quarter of 2026, which led to an earnings-per-share figure that handily beat consensus estimates, demonstrates the powerful earnings leverage that comes from scaling production against fixed costs.
As Boeing continues to smooth out its supply chain, particularly with key fuselage suppliers, reduced rework hours per airframe should translate into further margin expansion. This is the core of the bull thesis: as deliveries normalize, cash flow swells, allowing for rapid deleveraging and a fundamental re-rating of Boeing's valuation.
Boeing's Revenue Is More Secure Than You ThinkWhile the current production ramp provides immediate financial relief, two recent catalysts have significantly de-risked Boeing's long-term revenue and backlog profile.
First, the U.S. Federal Aviation Administration (FAA) granted Type Inspection Authorization for the 777X program in early June. This initiates the final phase of flight testing for the next-generation widebody jet. Securing this regulatory milestone clears a path for late 2026 certification and the commencement of highly profitable 777X deliveries in 2027, unlocking a new and vital product cycle.
Second, a landmark agreement confirmed a Chinese order for 200 Boeing aircraft. For years, geopolitical tensions had largely sidelined Boeing from one of the world's fastest-growing aviation markets, allowing its primary competitor, Airbus OTCMKTS: EADSF, to gain significant ground.
This new order signals a crucial reopening of a multi-billion-dollar sales channel, adding substantial depth and visibility to Boeing's production backlog for years to come. These two events provide a powerful defense against the bearish argument that the current recovery is temporary, cementing a clear and durable path to future earnings growth.
Insiders and Institutions Are Quietly Boarding BoeingOverall MarketRank™77th Percentile
While retail investors may be hesitant, institutional players and corporate insiders appear to be positioning for an upside move.
The options market reveals a telling trend, a significant build-up of open interest in the January 2027 $250 call options. This positioning suggests that sophisticated investors are hedging against, or speculating on, a sharp share price appreciation that would push Boeing well above its current trading range and closer to the average analyst price target of $259.80.
Further reinforcing this view is the low level of short interest, currently around 2% of the float. Despite the negative headlines, institutional bears are demonstrating a clear unwillingness to bet against the fundamental operational recovery underway.
Perhaps the most compelling signal comes from within Boeing itself. On May 23, 2026, Boeing Director Bradley Tilden acquired 1,370 shares on the open market. Insider buying from a director is a powerful vote of confidence in Boeing's strategic direction and future valuation. When insiders with the most intimate knowledge of a company's operations are willing to invest their own capital, it sends an unambiguous message to the market about their conviction in the long-term value proposition.
What Boeing's Turnaround Means for Your WatchlistFor investors focused on industrial turnarounds, Boeing presents a case where the underlying financial and operational metrics are improving far more rapidly than the public narrative suggests. The confluence of accelerating deliveries, a de-risked product pipeline, and clear signals of institutional accumulation suggests that the worst of the turbulence may be passing.
Potential headwinds, including persistent supply chain vulnerabilities and any renewed regulatory scrutiny, remain notable risks that warrant careful monitoring.
However, the data points to an inflection point. The operational momentum seen in May provides a tangible foundation for financial recovery and balance sheet repair. Investors looking for a long-term position in a global industrial champion might consider the current disconnect between sentiment and reality as a window of opportunity.
Those convinced by the operational turnaround may find the current valuation an attractive entry point for a long-term hold, while more cautious investors might add Boeing to their watchlist to monitor for continued delivery consistency and margin improvement in the upcoming quarters.
Should You Invest $1,000 in Boeing Right Now?Before you consider Boeing, you'll want to hear this.
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NEW YORK--(BUSINESS WIRE)--Citigroup Inc. is announcing the redemption, in whole, constituting $2,750,000,000 of its 1.462% Fixed Rate / Floating Rate Notes due 2027 (the “fixed rate/floating rate notes”) (ISIN: US172967NA50) and the redemption, in whole, constituting $400,000,000 of its Floating Rate Notes due 2027 (the “floating rate notes” and, together with the fixed rate/floating rate notes, the “notes”) (ISIN: US172967MZ11).
The redemption date for the notes is June 9, 2026 (the “redemption date”). The cash redemption price for the notes payable on the redemption date will equal par plus accrued and unpaid interest, to but excluding, the redemption date.
The redemptions announced today are consistent with Citigroup's liability management strategy and reflect its ongoing efforts to enhance the efficiency of its funding and capital structure. Citigroup will continue to consider opportunities to redeem or repurchase securities, based on several factors, including without limitation, the economic value, regulatory changes, potential impact on Citigroup's net interest margin and borrowing costs, the overall remaining tenor of Citigroup's debt portfolio, capital impact, as well as overall market conditions.
Beginning on the redemption date, interest will no longer accrue on the notes.
Citibank, N.A. is the paying agent for the notes. For further information on the fixed rate/floating rate notes, please see the related prospectus supplement at the following web address: https://www.citigroup.com/rcs/citigpa/akpublic/storage/public/146due060927.pdf
For further information on the floating rate notes, please see the related prospectus supplement at the following web address: https://www.citigroup.com/rcs/citigpa/akpublic/storage/public/FRNdue060927.pdf
About Citi
Citi is a preeminent banking partner for institutions with cross-border needs, a global leader in wealth management and a valued personal bank in its home market of the United States. Citi does business in more than 180 countries and jurisdictions, providing corporations, governments, investors, institutions and individuals with a broad range of financial products and services.
Additional information may be found at www.citigroup.com | X: @Citi | LinkedIn: www.linkedin.com/company/citi | YouTube: www.youtube.com/citi | Facebook: www.facebook.com/citi
Banks have spent years launching artificial intelligence (AI) chatbots and virtual assistants. Citigroup’s latest deployment is less visible and more valuable: an AI document-processing system that compresses account opening review time from over an hour to 15 minutes.
Tim Ryan, the bank’s head of technology, told Reuters in April that the improvement is part of a broader push to automate compliance-heavy workflows across the institution.
The use case is one of roughly 50 processes the bank has flagged for automation, with client and employee onboarding and know-your-customer (KYC) compliance among the first in line. Ryan told Reuters the same tools compressing review times are also automating coding, testing and legacy system migration.
Why Account Opening Is the Right Problem Account opening sits at the intersection of every operational bottleneck a large bank carries. It requires document collection, identity verification, sanctions screening, KYC checks and data entry across systems that rarely communicate cleanly. Manual review doesn’t just slow the process. It introduces errors, creates compliance exposure and consumes staff time that could be better used elsewhere.
Ryan told Reuters Citi has identified roughly 50 critical internal processes for review and automation. Client and employee onboarding are among the first. The bank’s tech workforce now numbers around 50,000 people, he said, with more software engineers hired as it shifts away from contractors.
What the 15 Minutes Actually Means The 75% reduction in review time isn’t a one-account result. The services division handles institutional and corporate clients, where documentation requirements are dense and volumes are high. Citi’s annual report detailed that the bank has empowered more than 182,000 employees with proprietary AI tools and provided 30,000 developers with AI tools generating approximately 100,000 hours of weekly capacity.
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Faster review means earlier revenue recognition on new client relationships, fewer errors from manual data entry and compliance staff spending less time on routine document checks. Ryan told Reuters the bank plans to use AI to migrate data from legacy systems, automate coding and test more and faster. Account opening is the use case Citi chose to disclose. The list of 50 targeted processes suggests the ambition runs further.
PYMNTS Intelligence found that 85% of financial services firms are increasing AI budgets over the next 12 months, with productivity and efficiency gains cited as the top justification by 65%. Yet AI adoption for KYC and identity verification across the industry sits at just 20%, the report found, meaning the gap Citi is closing is still wide open at most institutions.
Last month, PYMNTS reported that financial institutions are adopting AI more deeply, with emphasis on back-office functions where data is structured, outcomes are measurable and the return on investment is easier to quantify.
South32 Ltd (LSE:S32, ASX:S32, OTC:SHTLF) is Citi's preferred mining stock as the bank becomes more bullish on copper and aluminium prices, while Glencore PLC (LSE:GLEN) is its favoured way to play the copper theme among the major diversified miners.
The US bank has raised its long-term copper forecasts and now expects prices to reach $15,000 a tonne within the next year, versus a current LME price below $13,800.
Citi's view is based on support from supply shortages extending into 2027 and 2028.
That outlook has prompted a series of target price upgrades across the sector. Citi increased its target price on South32 to 320p from 300p, while lifting BHP Group Ltd (LSE:BHP, ASX:BHP) to £35 from £29 and Rio Tinto Ltd (LSE:RIO, ASX:RIO, OTC:RTNTF) to £81 from £76.
Versus BHP or Rio, the bank's analysts argued that Glencore "among global diversifieds as better exposure to copper upside", though Anglo American PLC (LSE:AAL) and Antofagasta PLC (LSE:ANTO) are viewed by investors as the FTSE 100 miners to buy for copper exposure.
Citi maintained 'neutral' ratings on BHP and Rio Tinto, saying the benefits from higher copper prices are partly offset by a more subdued outlook for iron ore, which remains a major earnings driver for both groups.
By contrast, South32 continues to stand out because of its exposure to both copper and aluminium, where Citi also sees upside. The company's Hermosa project in Arizona was highlighted as a source of long-term structural growth.
Citi said consensus earnings forecasts for South32 still have room to move higher as analysts incorporate stronger assumptions for copper and aluminium prices.
The bank expects the company to be one of the biggest beneficiaries of commodity price upgrades over the next two years.
Key Takeaways C expects 5-6% y/y NII growth in 2026, excluding Markets, driven by stronger core earnings.Citigroup benefits from loan growth in Cards and Wealth, and rising deposits supporting NII expansion.C gains from its transformation plan, $2-$2.5B savings and lower funding-cost pressure supporting NII. Citigroup, Inc. (C - Free Report) expects its net interest income (NII), excluding Markets, to grow 5-6% year over year in 2026, supported by improving loan demand, stabilizing deposit costs and disciplined balance-sheet management. The outlook reflects the bank’s efforts to benefit from a more favorable rate and funding environment while continuing to reshape its business toward higher-quality growth.
A key driver is the improvement in loan and deposit trends. At the end of the first quarter of 2026, Citigroup reported $761.6 billion in loans, up 1% sequentially, and $1.45 trillion in deposits, up 3% from the prior quarter. This steady balance-sheet growth provides a stronger base for interest income generation. In the first quarter of 2026, NII rose 12% year over year to $15.7 billion, while NII excluding Markets increased 7% to $12.9 billion, indicating solid momentum heading into the rest of the year.
For 2026, management expects strong loan growth in Cards and Wealth businesses, driven by continued product innovation, solid customer engagement and its high-quality card portfolio, which is further expected to support NII expansion. Citigroup is also likely to benefit from stabilizing funding costs.
After initial monetary easing in 2024 and three rate cuts in 2025, the Federal Reserve has kept rates steady so far in 2026. As such, lower rates are easing pressure on deposit costs while allowing the bank to capture better spreads as loan demand improves.
The company’s broader transformation plan further supports the NII growth target. Citigroup is simplifying operations, exiting non-core consumer businesses and reallocating resources toward core franchises. These moves are expected to generate $2-$2.5 billion in annualized savings by 2026 and help the company deliver positive operating leverage.
Overall, Citigroup’s 5-6% NII growth goal rests on three pillars: balance-sheet growth, lower funding-cost pressure and a leaner operating model focused on core banking opportunities.
What Do C’s Peers Say About Their 2026 NII Expectations?Bank of America (BAC - Free Report) and JPMorgan (JPM - Free Report) are two peers of Citigroup, which also expects their NII to grow in 2026.
Bank of America indicated that 2026 NII could reach the upper end of 6-8% growth. Bank of America expects growth to be driven by higher yields on fixed-rate assets and steady consumer spending.
JPMorgan expects NII to reach $103 billion in 2026, even as it builds against a lower rate backdrop. Part of the lift is likely to come from Markets NII. JPMorgan expects 2026 NII, excluding Markets, of $95 billion, implying Markets NII of $8 billion, an area that can be more variable than the core lending-and-deposit engine.
C’s Price Performance & Zacks RankShares of Citigroup have gained 69.5% over the past year compared with the industry’s growth of 27%.
Image Source: Zacks Investment Research
Currently, C carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
As we ready up for a hot summer, many investors seem ready for the stock markets to really heat up. With Citigroup (NYSE:C | C Price Prediction) strategist Scott Chronert — a man who has a pretty solid track record — recently raising the bar on its S&P 500 price targets, now expecting the index to climb all the way to 8,100, a rise of around 9.5% from current levels, questions linger as to what the shape of the chart will be to get there.
Of course, a summertime surge or “melt-up” can’t be ruled out just because the semiconductors caused the S&P 500 and Nasdaq 100 to experience their worst single-day drop in a while. But, at the same time, it still feels like we’re in the midst of one of the least-loved market rallies.
Whether that’s because of the bearish headlines, the stretched valuation metrics, or doubts that AI CapEx will ultimately pay off in a timeline that’s quick enough, I do think you have to respect the resilience of Mr. Market, especially as the conflict in Iran continues. While hike price targets on the S&P are encouraging, I certainly wouldn’t look to get too bullish, especially given the risks that the semiconductors could, once again, drag down the broad markets once the trade reverses course.
Even with the iShares Semiconductor ETF (NASDAQ:SOXX) turning higher on Monday, gaining 6%, or close to half of the ground lost on Friday’s turbulent session, I think it’s a tad too early to be racing for the hills when it comes to the AI trade, especially as the supercycle enters its next stages.
The AI supercycle is alive and well. That’s enough reason to stay invested as the market stays active into the summer While Citi highlighted the AI boom or “supercycle” as part of its year-end price target hike (a 9.5% gain is pretty good for six months or so!), I do think the debut of some massive AI IPOs is going to generate some pretty significant, perhaps off-the-charts trading volume.
Indeed, that looming SpaceX (SPCX) IPO, which is now days away, is going to cause more than just a ripple across the market. I think it could cause a tsunami, as investors move money out of some names and into SpaceX, as well as other plays tied to the monetization phase of the AI revolution.
As a part of Citi’s S&P price target hike, they argue that it’s earnings, rather than just multiple expansion (like what we’ve witnessed in the past year), that could do more of the talking. A wide range of companies have real AI strategies and, what’s more, they have real milestones to target. As more firms set a dollar amount for their AI-related goals, I think the AI supercycle could enter a new kind of phase, one where applications actually make big money after the hardware has been spent and put to good use.
In any case, given the year-end price target rise, I think investors should care less about the specifics of the timing (whether the majority of the gains come in summer or into fall and winter) and more about staying invested.
The bottom line After a session like Friday, it’s easy to worry, but with SpaceX poised to make waves for the next couple of weeks and months that follow the big IPO, my guess is that the summer of 2026 could have the potential to be far more liquid than prior summers.
Whether it’s heated, though, remains the big question. I have no idea, nor does anyone else. But I think it matters less, considering what could be in the cards for the rest of the year and going into 2027.
Like it or not, SpaceX’s $1.77+ trillion landing is a major market liquidity event. And one that could make this summer far less quiet as the AI boom progresses and Elon Musk’s innovations get put under the microscope. For traders, there’s just too much happening to vacation without having that app open.
Citigroup has hired Andrew Conway as its global chair of consumer and retail investment banking to expand its banking franchise in the sector, according to a memo seen by Reuters.
Key Takeaways Citigroup says its turnaround is moving from remediation to execution, growth and efficiency focus.C is driving expense discipline through automation, AI tools and the removal of stranded costs.C expects strong Q2'26 trading revenue growth and mid-teen IB fee gains as client activity improves. Citigroup Inc. (C - Free Report) management’s latest commentary suggests that CEO Jane Fraser’s turnaround strategy is moving into a new phase, from repair and remediation toward execution, efficiency and growth. Speaking at the Morgan Stanley U.S. Financials Conference held yesterday, chief financial officer Gonzalo Luchetti emphasized that C is now focused on client-driven growth, stronger operating performance, disciplined capital use and a culture of accountability.
Management highlighted that the bank has spent the past several years simplifying operations, strengthening controls and addressing structural issues that had weighed on its performance. With approximately 90% of its transformation initiatives either completed or nearing completion, Citigroup is now increasingly shifting its attention to improving returns and driving durable revenue growth across its core businesses.
Expense discipline remains central to the turnaround. Citigroup expects to benefit from lower stranded costs, reduced temporary transformation spending and structural efficiencies from automation, technology and artificial intelligence. Management said that more than 100 large-scale manual processes are being reviewed for automation, with senior leaders monitoring progress weekly.
AI is already producing measurable benefits across the company. In customer service, Citigroup has reduced call times by about 60 seconds using generative AI, while CitiDirect agents have improved containment rates by roughly 50%. In credit cards, AI and machine learning have helped improve approval rates by about 100 basis points. The bank is also continuing to invest in targeted growth areas, including markets, investment banking, wealth, cards and services.
Against this backdrop, management reaffirmed several key 2026 outlooks. C expects net interest income, excluding markets, to grow 5-6% this year. The bank also remains on track to achieve an efficiency ratio of 60% and a return on tangible common equity (ROTCE) of 10-11% in 2026.
Solid Trading & Investment Banking OutlooksAt the conference, Citigroup signaled stronger momentum in its markets business. The bank expects second-quarter 2026 trading revenues to rise in the high-single-digit to low-double-digit range year over year despite comparing against a strong second-quarter 2025 base that included tariff-driven volatility. The expected trading revenue increase is being driven by strength across equities, prime finance, derivatives, currencies and commodities, along with solid volumes in financing and securitization. Luchetti said that client engagement remains “good and intense,” continuing the momentum Citigroup saw in the first quarter.
For Citigroup, the strength in markets is an important proof point. The bank has been investing in its equities platform while maintaining its historical strength in fixed income. Management pointed to equities, prime finance and derivatives as areas aligned with C’s strategy to scale the business, while fixed income continues to benefit from strength in currencies and commodities.
Investment banking (IB) is also showing signs of recovery. C expects IB fees to grow in the mid-teens year over year in the second quarter of 2026, supported by stronger equity capital market activity, including IPOs and follow-on offerings.
Similar to Citigroup, Bank of America (BAC - Free Report) and JPMorgan (JPM - Free Report) expect their IB and trading revenues to improve in the second quarter of 2026.
Bank of America’s trading revenues are expected to jump 15% year over year in the second quarter of 2026, driven by higher client activity and market volatility. BAC also highlighted that its IB pipelines remain “pretty good,” supported by steady deal-making activity.
JPMorgan’s IB fees could rise nearly 10% or more year over year in the second quarter of 2026, reflecting improving deal pipelines and stronger capital markets activity, although higher expenses may limit operating leverage. Further, JPMorgan noted that its markets business, which includes its trading operations, is also on track to grow 11% in the second quarter and could perform "a little better" than that forecast.
Final Words on CCitigroup’s latest outlook suggests that the bank’s transformation is gaining traction. The turnaround is increasingly being measured not only by cost reductions and remediation progress, but also by stronger revenue momentum, improved operating efficiency and disciplined capital deployment.
Despite ongoing macroeconomic uncertainties, including geopolitical risks and potential shifts in interest rates, management pointed to continued strength in client activity, resilient consumer spending and stable credit trends. With trading revenues poised for a solid increase and Citigroup reaffirming its 2026 financial targets, the latest update provides evidence that Fraser’s strategy is beginning to translate into improved operating performance.
Citigroup Price Performance & Zacks RankC shares have gained 71.9% in the past year compared with the industry’s growth of 27.3%.
Image Source: Zacks Investment Research
The company currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
President Donald Trump congratulated Citigroup and CEO Jane Fraser for being the top adviser on mergers and acquisitions. But the bank is nowhere near the top of the list in the first quarter and has actually slipped.
Citigroup outperformed the broad market as well as some other major bank stocks Wednesday after President Donald Trump lauded the bank and its CEO Jane Fraser in a social media post.
At 9:30 a.m. ET, Trump praised Citigroup on Truth Social, writing: "Wow! CITI was ranked Number 1 in topping M&A Advisory Market by Value in Q1. Congratulations to Jane F and ALL of her great people. They've worked really hard! BIG comeback for CITI!!! President DONALD J. TRUMP"
The president's post went up just as the stock market was opening, and at one point Citigroup shares touched a high of $137.12, up almost 1.8%. By the end of the day, however, Citi fell 1%, still less than JPMorgan and Goldman Sachs and the S&P 500.
It wasn't immediately clear which investment banking league rankings President Trump was referring to. So far in 2026, for example, Goldman Sachs, JPMorgan, Morgan Stanley and BofA Securities all rank ahead of Citigroup in the latest Global M&A Advisor Ranking on Dealogic, a leading financial analytical platform.
While Goldman Sachs was the lead advisor on 196 deals worth a combined $992.3 billion this year, Citi was the lead on 97 deals worth $285.3 billion.
In fact, according to Dealogic, Citigroup has fallen to number 5 among leading mergers and acquisitions advisors in 2026, down from number 4 in 2025.
Leon Kalvaria, Citigroup's global chair for banking, appeared on Fox Business News early Wednesday, where he was asked about Citi's position as the leading advisor on power sector deals. Citi advised on four deals worth a combined $41.4 billion in the energy industry so far in 2026, according to Global Data Financial Deals Database.
What is clear is that Citigroup stock has outperformed the S&P 500 this year, climbing 14.3% against an S&P 500 gain of 6.2%, according to FactSet data. By contrast, Wells Fargo is down 12.1%, JPMorgan is lower by 4.1% and Bank of America is off 1% in 2026. Goldman is 13.9% higher, also trailing Citi.
Citigroup is in the midst of a multiyear turnaround under Fraser, involving streamlining business units, cutting jobs and focusing on high-margin markets and services. The stock has risen for three straight years after jumping more than 70% in 2025, almost 42% in 2024 and 19% in 2023.
Citigroup launched tokenized depositary receipts that are designed to broaden access to private markets.
The new Digital Depositary Receipts on private shares provide investors with direct access to private companies’ equity through a familiar investment structure and offer private companies access to liquidity through expanded investor outreach, the bank said in a Thursday (June 11) press release.
Citi is collaborating with SIX, a fully regulated digital central securities depositary, and will use that company’s blockchain infrastructure. The bank will serve as a custodian on the platform and will be responsible for the settlement and safekeeping of the tokenized depositary receipts, according to the release.
Citi is considering extending the offering across other financial market infrastructures and blockchain networks, per the release.
Bis Chatterjee, head of partnerships and innovation, services at Citi, said in the release that this new offering helps meet the need for diverse and trusted access points to private markets as those markets continue to grow.
“Our Digital Depositary Receipts product is designed to provide superior client service, safeguard assets and facilitate capital markets activity with the same rigor that underpins traditional financial markets,” Chatterjee said. “The interoperability of the product will further enable Citi to support a wider range of issuers and investors as digital asset market infrastructure continues to evolve.”
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Deborah Querub, head of digital assets for Wealth at Citi, said in the release: “We’re focused on responsibly expanding access to new types of investment opportunities while preserving the structures, protections and experience our clients expect.”
The new solution’s first transaction was between Citi portfolio company Kaleido, which is an institutional tokenization and digital asset platform, and investors within its Wealth business, the release said.
Kaleido Founder and CEO Steve Cerveny said in the release that private companies like Kaleido are scaling faster than the structures for private market capital formation.
“Citi’s Digital Depositary Receipts allow us to explore new paths for growth while keeping the agility that makes private companies competitive, and that’s an advantage for founders planning long term,” Cerveny said.
PYMNTS reported June 4 that Citigroup is among the major commercial banks that plan to launch a tokenized deposit network in the first half of 2027. The network will be operated by The Clearing House, the real-time payment company co-owned by the same banks.
Chatterjee told PYMNTS in an interview posted in April that executives in the banking sector are increasingly confident that tokenized deposits could become the preferred on-chain dollar for institutional and wholesale use.
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Citigroup has made another hire this week to strengthen its consumer and retail investment banking group, with Ryan Beaupré joining as a managing director, according to a memo seen by Reuters on Thursday. A spokesperson from Citi confirmed the contents of the memo.
Key Takeaways Citigroup launched Digital Depositary Receipts to provide access to private company shares.C completed the first DDR transaction involving Kaleido and investors from its Wealth business.C's DDR platform combines issuance, custody and settlement in a single framework. In a notable move within the evolving digital assets space, Citigroup Inc. (C - Free Report) has launched Digital Depositary Receipts (DDRs) on private company shares. This creates a new avenue for issuers and investors to participate in private markets.
The new structure is designed to simplify private market investing by bringing issuance, custody and settlement under a single platform. By serving as both issuer and custodian of the tokenized depositary receipts, C aims to reduce the complexity and costs that are often associated with traditional private market transactions.
The company also completed the first transaction on the platform involving Kaleido and investors from its Wealth business. The transaction highlights its efforts to expand private market access while leveraging its wealth management, custody and securities services franchises.
Details of C’s Digital Depositary Receipts PlatformThe company's DDRs are tokenized instruments that provide investors with exposure to private company shares through a familiar depositary receipt structure.
The offering is designed to help private companies raise capital and provide liquidity opportunities for existing shareholders without pursuing a public listing. At the same time, companies retain control over ownership rights and shareholder records. The structure also provides an institutional-grade alternative to traditional private market arrangements.
Built on C's established Depositary Receipts and Custody businesses, the platform uses blockchain infrastructure operated by SIX to issue, settle and safeguard tokenized securities while reducing reliance on multiple intermediaries and special-purpose vehicles commonly used in private market transactions.
For wealth clients, the product is integrated into C's existing wealth platforms, allowing access to private company investments through a familiar investment structure while maintaining institutional safeguards and compliance standards.
Rationale Behind C’s Latest Tokenized DDR LaunchThe launch reflects growing structural changes in global capital markets, particularly the prolonged timeline for Initial Public Offerings (IPOs) and increasing demand for private market liquidity solutions.
Employees and early investors in private companies often have limited options to sell their holdings and access liquidity, forcing them to rely on fragmented secondary markets. Citigroup's DDRs address this gap by offering a more standardized, scalable and regulated framework for accessing private markets.
The model also simplifies capital formation and investor distribution without requiring a public listing, allowing companies to raise capital while maintaining control over ownership and governance structures.
The latest launch builds on C's broader efforts to expand its digital asset and tokenization capabilities. In 2025, the company partnered with SDX to develop a platform for tokenizing and distributing pre-IPO equities on regulated digital market infrastructure, further expanding its presence in private market tokenization. In 2024, it introduced the Citi Integrated Digital Assets Platform, which supports the issuance, custody and management of tokenized financial instruments.
These initiatives, along with the launch of DDRs, reinforce Citigroup's position in the evolving private markets ecosystem while supporting fee-based revenue growth across custody, issuance, settlement and wealth management services.
C’s Price Performance & Zacks RankOver the past six months, shares of Citigroup have gained 22.4% compared with the industry’s growth of 1.4%.
Image Source: Zacks Investment Research
Citigroup currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Firms’ Efforts to Expand Digital Asset InitiativesMajor financial firms, including Franklin Resources, Inc. (BEN - Free Report) and State Street Corporation (STT - Free Report) , have also been advancing their digital asset capabilities.
Last week, Franklin Templeton, the asset management arm of Franklin Resources, partnered with MoonPay to expand the distribution of its tokenized money market funds. The partnership integrates Franklin Templeton's Benji platform with MoonPay's trading infrastructure, allowing eligible institutions to move between stablecoins and tokenized fund products more efficiently while broadening access to digital investment solutions.
In January 2026, State Street launched its Digital Asset Platform, a secure infrastructure designed to support tokenized assets, tokenized money market funds, exchange-traded funds, tokenized deposits and stablecoins. The platform provides wallet management, custody and cash capabilities, enabling institutional clients to access digital asset services through an integrated and compliant framework.
Nike Inc (NYSE:NKE, XETRA:NKE) is leaning on its football division to sustain the brand's ongoing turnaround, positioning the category as the next major proof point following a successful revival in running, according to analysts who attended a company investor event in New York.
Jefferies analysts, after attending Nike's Global Football investor event, said it reinforced CEO Elliott Hill's strategy of rebuilding the brand one sport and one region at a time.
Nike showcased a full range of federation kits and cleats anchored by Aero-FIT, a new platform designed to deliver higher airflow and scale across sports. The cleat lineup spans the Mercurial, Phantom, Tiempo, and Vapor franchises at multiple price points. New launches including updated Tiempo and Mercurial lines are intended to signal a return to consistent product cadence and category leadership.
The company is also overhauling its marketing approach, building what it describes as a connected football "universe" anchored by a campaign called "Rip the Script." The campaign spans athletes, cities, and culture with a 12-week activation schedule tied to the upcoming World Cup. Distribution is being upgraded simultaneously, with Nike elevating roughly 6,000 doors across wholesale and owned retail to increase brand visibility during the tournament window.
Jefferies analysts said the strategy mirrors the running playbook: lead with performance storytelling and better product in higher-quality retail doors to convert consumer engagement into purchase.
Beyond the tournament itself, Nike is positioning football as a multi-year growth engine spanning footwear, apparel, and streetwear. The company is aiming to build a unified football marketplace that extends from on-pitch performance to street culture, sustaining demand beyond the World Cup cycle.
The analysts remain constructive on Nike's turnaround but cautioned that execution is uneven, with China, Europe, and direct-to-consumer still works in progress. A full earnings recovery is not expected before fiscal 2028.
Nike Inc (NYSE:NKE, XETRA:NKE) is leaning on its football division to sustain the brand's ongoing turnaround, positioning the category as the next major proof point following a successful revival in running, according to analysts who attended a company investor event in New York.
Jefferies analysts, after attending Nike's Global Football investor event, said it reinforced CEO Elliott Hill's strategy of rebuilding the brand one sport and one region at a time.
Nike showcased a full range of federation kits and cleats anchored by Aero-FIT, a new platform designed to deliver higher airflow and scale across sports. The cleat lineup spans the Mercurial, Phantom, Tiempo, and Vapor franchises at multiple price points. New launches including updated Tiempo and Mercurial lines are intended to signal a return to consistent product cadence and category leadership.
The company is also overhauling its marketing approach, building what it describes as a connected football "universe" anchored by a campaign called "Rip the Script." The campaign spans athletes, cities, and culture with a 12-week activation schedule tied to the upcoming World Cup. Distribution is being upgraded simultaneously, with Nike elevating roughly 6,000 doors across wholesale and owned retail to increase brand visibility during the tournament window.
Jefferies analysts said the strategy mirrors the running playbook: lead with performance storytelling and better product in higher-quality retail doors to convert consumer engagement into purchase.
Beyond the tournament itself, Nike is positioning football as a multi-year growth engine spanning footwear, apparel, and streetwear. The company is aiming to build a unified football marketplace that extends from on-pitch performance to street culture, sustaining demand beyond the World Cup cycle.
The analysts remain constructive on Nike's turnaround but cautioned that execution is uneven, with China, Europe, and direct-to-consumer still works in progress. A full earnings recovery is not expected before fiscal 2028.
