Track market-moving stories before they get noisy

Vivid Seats (NASDAQ: SEAT) used its fourth quarter 2025 earnings call to outline a "refresh course" for 2026 and beyond, highlighting leadership changes, a completed cost-reduction push, and a renewed focus on its app-led value proposition as the company works through a challenging industry and competitive backdrop. Leadership changes and strategic reset CEO Larry Fey opened

Vivid Seats (NASDAQ:SEAT) has had a brutal stretch.

The market expects Vivid Seats Inc. (SEAT - Free Report) to deliver a year-over-year increase in earnings on lower revenues when it reports results for the quarter ended March 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on May 5, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

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

Zacks Consensus EstimateThis company is expected to post quarterly loss of $0.99 per share in its upcoming report, which represents a year-over-year change of +1%.

Revenues are expected to be $124.63 million, down 24% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

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

Price, Consensus and EPS Surprise

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

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

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

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

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

How Have the Numbers Shaped Up for Vivid Seats?For Vivid Seats, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -15.87%.

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

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

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

For the last reported quarter, it was expected that Vivid Seats would post a loss of$1.81 per share when it actually produced a loss of -$10.39, delivering a surprise of -474.03%.

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

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

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

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

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

CHICAGO, May 05, 2026 (GLOBE NEWSWIRE) -- Vivid Seats Inc. (NASDAQ: SEAT) (“Vivid Seats” or “we”), a leading marketplace that utilizes its technology platform to connect millions of buyers with thousands of ticket sellers across hundreds of thousands of events each year, today provided financial results for the first quarter ended March 31, 2026.

“Our first quarter performance reflects strong execution and meaningful progress against our Fiscal 2026 priorities with results at or above the high end of our guidance,” said Lawrence Fey, Chief Executive Officer of Vivid Seats. “We delivered sequential growth in GOV and Adjusted EBITDA along with substantial cash generation in the quarter. The improvements we are seeing are important steps as we pursue a return to growth over the course of 2026 and beyond.”

First Quarter 2026 Key Financial Highlights

Marketplace GOV of $612.4 million Revenues of $125.8 million Net loss of $14.6 million Adjusted EBITDA of $9.5 million Key Business Metrics & Non-U.S. GAAP Financial Measure

We use the following key business metrics and non-U.S. GAAP financial measure to evaluate our performance, identify trends, formulate financial projections, and make strategic decisions. We believe this information is useful to investors and others in understanding and evaluating our results of operations in the same manner as management.

The following table summarizes our key business metrics and non-U.S. GAAP financial measure for the three months ended March 31, 2026 and 2025 (in thousands):

  Three Months Ended March 31,   2026 2025 Marketplace GOV(1)
$612,366 $820,359 Marketplace orders(2)
 1,716  2,296 Resale orders(3)
 82  105 Adjusted EBITDA(4)$9,486 $21,721         (1)Marketplace Gross Order Value (“Marketplace GOV”) represents the total transactional amount of Marketplace orders processed on our online platform during a period, inclusive of fees, exclusive of taxes, and net of event cancellations. During the three months ended March 31, 2026 and 2025, event cancellations negatively impacted Marketplace GOV by $9.0 million and $15.5 million, respectively.        (2)Marketplace orders represent the total volume of Marketplace segment transactions processed on our online platform during a period, net of event cancellations. During the three months ended March 31, 2026 and 2025, our Marketplace segment experienced 29,434 and 42,353 event cancellations, respectively.        (3)Resale orders represent the total volume of Resale segment transactions processed on a given platform (including our own) during a period, net of event cancellations. During the three months ended March 31, 2026 and 2025, our Resale segment experienced 467 and 885 event cancellations, respectively.        (4)Adjusted EBITDA is a financial measure not defined under accounting principles generally accepted in the United States of America (“U.S. GAAP”). We believe adjusted EBITDA provides useful information to investors and others in understanding and evaluating our results of operations and serves as a useful measure for making period-to-period comparisons of our business performance. See “Adjusted EBITDA” below for more information, including a reconciliation of adjusted EBITDA to net loss, the most directly comparable U.S. GAAP financial measure.         2026 Financial Outlook

For the year ending December 31, 2026, Vivid Seats anticipates:

Marketplace GOV in the range of $2.2 billion to $2.6 billion Adjusted EBITDA in the range of $30.0 million to $40.0 million* *  We calculate forward-looking adjusted EBITDA based on internal forecasts that omit certain information that would be included in forward-looking net loss, the most directly comparable U.S. GAAP financial measure. We do not attempt to provide a reconciliation of forward-looking adjusted EBITDA to forward-looking net loss because the timing and/or probable significance of certain excluded items that have not yet occurred and are outside of our control is inherently uncertain and unavailable without unreasonable efforts. Such items could have a significant and unpredictable impact on our future U.S. GAAP financial results.

Webcast Details

Vivid Seats will host a webcast at 8:30 a.m. Eastern Time today to discuss the first quarter 2026 financial results, business updates, and financial outlook. Participants may access the live webcast and supplemental earnings presentation on the events page of the Vivid Seats Investor Relations website at investors.vividseats.com/events-and-presentations.

About Vivid Seats

Founded in 2001, Vivid Seats (NASDAQ: SEAT) is a leading online ticket marketplace connecting fans to the live events, artists, and teams they love. Vivid Seats is committed to delivering the most rewarding ticket-buying experience for fans through competitive everyday pricing backed by its Lowest Price Guarantee, an industry-leading rewards program, and award-winning customer service. The Chicago-based company offers one of the widest selections of live events across North America, powered by proprietary technology that makes discovering and buying tickets simple, affordable, and reliable. Learn more by downloading the Vivid Seats app or visiting vividseats.com.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “can,” “continue,” “could,” “design,” “estimate,” “expect,” “forecast,” “future,” “goal,” “intend,” “likely,” “may,” “plan,” “project,” “propose,” “seek,” “should,” “target,” “will,” and “would,” as well as similar expressions that predict or indicate future events and trends or do not relate to historical matters, are intended to identify such forward-looking statements. The forward-looking statements contained in this press release relate to, without limitation: our future operating results and financial performance, including our expectations with respect to our return to growth and our fiscal year 2026 Marketplace GOV and adjusted EBITDA; our expectations with respect to live event industry growth, the supply of and demand for live events, and our competitive positioning; and our business strategy and objectives. Forward-looking statements are not guarantees of future performance, conditions, or results, and are subject to risks, uncertainties, and assumptions that can be difficult to predict and/or are outside of our control. Therefore, actual results may differ materially from those contemplated by any forward-looking statements. Important factors that could cause or contribute to such differences include, but are not limited to: the supply of and demand for live events; the impact of adverse economic conditions and other factors affecting discretionary consumer and corporate spending; our ability to develop and maintain relationships with ticket buyers, sellers, and partners; the impact of changes to internet search engine algorithms and mobile app marketplace rules; the impact of artificial intelligence on how consumers search for live event tickets; our ability to attract ticket sellers and buyers to our platform in the increasingly competitive ticketing industry; our ability to continue to maintain and improve our platform; the impact of extraordinary events, including disease epidemics; our ability to identify suitable acquisition targets and to complete and realize the expected benefits of acquisitions and other strategic investments; our ability to attract, hire, motivate, and retain our senior management team and other highly skilled personnel; our ability to comply with applicable laws and regulations; the ability of ticket holders to sell their tickets on the secondary market unencumbered; the impact of unfavorable outcomes in legislation and legal proceedings; our ability to maintain the integrity of our information systems and infrastructure, and to identify, assess, and manage relevant cybersecurity risks; our ability to generate sufficient cash flows and/or obtain additional financing when necessary or desirable; and other factors discussed in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q, as well as in our press releases and other filings with the Securities and Exchange Commission. You should not place undue reliance on forward-looking statements, which speak only as of the date of this press release. Except as required by applicable law, we undertake no obligation to update or revise any forward-looking statements contained in this press release, whether as a result of new information, future events, or otherwise.

Contact:

Investors
[email protected]

Media
[email protected]

VIVID SEATS INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share data) (Unaudited)  March 31,
2026
 December 31,
2025
 Assets        Current assets:        Cash and cash equivalents$143,555  $102,702  Restricted cash 604   604  Accounts receivable – net 36,421   30,664  Inventory – net 28,878   18,166  Prepaid expenses and other current assets 33,809   26,336  Total current assets 243,267   178,472  Property and equipment – net 11,824   12,373  Right-of-use assets – net 10,145   10,515  Intangible assets – net 132,371   141,528  Goodwill – net 283,674   283,915  Deferred tax assets – net 1,238   1,123  Investments 5,383   5,365  Other assets 3,833   3,575  Total assets$691,735  $636,866  Liabilities and shareholders' deficit        Current liabilities:        Accounts payable$224,771  $153,418  Accrued expenses and other current liabilities 123,253   125,957  Deferred revenue 19,145   19,973  Current maturities of long-term debt 3,930   3,930  Total current liabilities 371,099   303,278  Long-term debt – net 382,631   383,431  Long-term lease liabilities 15,860   16,452  Other liabilities 17,537   18,834  Total liabilities 787,127   721,995  Commitments and contingencies        Shareholders' deficit:        Class A common stock, $0.0001 par value; 500,000,000 shares authorized, 11,937,076 and 11,712,157 shares issued and
outstanding at March 31, 2026 and December 31, 2025, respectively 23   23  Additional paid-in capital 1,372,262   1,368,067  Treasury stock, at cost, 949,665 shares at March 31, 2026 and December 31, 2025 (93,920)  (93,920) Accumulated deficit (1,374,103)  (1,359,472) Accumulated other comprehensive income 346   173  Total shareholders' deficit (95,392)  (85,129) Total liabilities and shareholders' deficit$691,735  $636,866            VIVID SEATS INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands) (Unaudited)
  Three Months Ended March 31,
  2026
 2025
 Revenues$125,783  $164,023  Costs and expenses:        Cost of revenues (exclusive of depreciation and amortization shown separately below) 39,195   44,525  Marketing and selling 49,951   64,112  General and administrative 33,117   48,082  Depreciation and amortization 12,308   11,625  Total costs and expenses 134,571   168,344  Loss from operations (8,788)  (4,321) Interest expense – net 5,931   5,665  Other expense (income) – net 1,070   (4,154) Loss on extinguishment of debt —   801  Loss before income taxes (15,789)  (6,633) Income tax expense (benefit) (1,158)  3,155  Net loss (14,631)  (9,788) Net loss attributable to redeemable noncontrolling interests —   (3,846) Net loss attributable to Class A common stockholders$(14,631) $(5,942)   VIVID SEATS INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands) (Unaudited)
  Three Months Ended March 31,
  2026
 2025
 Cash flows from operating activities        Net loss$(14,631) $(9,788) Adjustments to reconcile net loss to net cash provided by (used in) operating activities:        Depreciation and amortization 12,308   11,625  Amortization of leases 356   324  Amortization of deferred financing costs 235   241  Equity-based compensation 4,414   10,751  Loss on asset disposals 59   47  Change in fair value of derivative asset 196   350  Deferred income tax benefit (1,206)  (1,464) Non-cash interest expense – net 142   173  Foreign currency loss (gain) – net 806   (2,041) Change in fair value of Intermediate Warrants —   (3,115) Loss on extinguishment of debt —   801  Changes in operating assets and liabilities:        Accounts receivable – net (5,833)  (8,367) Inventory – net (10,713)  (8,049) Prepaid expenses and other current assets (7,558)  (1,964) Accounts payable 71,479   (6,943) Accrued expenses and other current liabilities (2,680)  (6,748) Deferred revenue (828)  (691) Long-term lease liabilities (586)  (560) Other assets and liabilities – net 47   130  Net cash provided by (used in) operating activities 46,007   (25,288) Cash flows from investing activities          Purchases of property and equipment (23)  (1,836) Purchases of personal seat licenses (384)  (563) Investments in developed technology (2,677)  (4,526) Purchases of seat images (20)  (146) Payments toward Acquired Domain Name Obligation —   (500) Net cash used in investing activities (3,104)  (7,571) Cash flows from financing activities          Payments of taxes related to net settlement of equity incentive awards (338)  (1,411) Payment of 2025 First Lien Loan (983)  —  Payments toward Acquired Domain Name Obligation (500)  —  Repurchases of Class A common stock —   (5,992) Payment of liabilities under TRA —   (4,005) Payments of 2024 First Lien Loan —   (76,986) Proceeds from 2025 First Lien Loan —   76,986  Payment of deferred financing costs and other debt-related expenses —   (162) Net cash used in financing activities (1,821)  (11,570) Effect of exchange rate changes on cash, cash equivalents, and restricted cash (229)  474  Net increase (decrease) in cash, cash equivalents, and restricted cash 40,853   (43,955) Cash, cash equivalents, and restricted cash – beginning of period 103,306   244,648  Cash, cash equivalents, and restricted cash – end of period$144,159  $200,693           Supplemental disclosures of cash flow information        Cash paid for interest$6,153  $7,749  Cash paid for income taxes$55  $1,286    Adjusted EBITDA

We present adjusted EBITDA, which is a non-U.S. GAAP financial measure, because it is a key measure used by analysts, investors, and others to evaluate companies in our industry. Adjusted EBITDA is also used by management to make operating decisions, including those related to analyzing operating expenses, evaluating performance, and performing strategic planning and annual budgeting.

We believe adjusted EBITDA is useful for understanding, evaluating, and highlighting trends in our operating results and for making period-to-period comparisons of our business performance because it excludes the impact of items that are outside of our control and/or not reflective of ongoing performance related directly to the operation of our business.

Adjusted EBITDA is not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, financial measures calculated in accordance with U.S. GAAP. Adjusted EBITDA does not reflect all amounts associated with our operating results as determined in accordance with U.S. GAAP and specifically excludes certain recurring costs such as: income tax expense (benefit); interest expense – net; depreciation and amortization; sales tax liabilities; transaction costs; equity-based compensation; litigation, settlements, and related costs; loss on asset disposals; change in fair value of derivative asset; foreign currency loss (gain) – net; severance compensation; change in fair value of the Intermediate Warrants (as defined below); and loss on extinguishment of debt. In addition, other companies may calculate adjusted EBITDA differently than we do, thereby limiting its usefulness as a comparative tool. We compensate for these limitations by providing specific information regarding the U.S. GAAP amounts that are excluded from our presentation of adjusted EBITDA.

The following table presents a reconciliation of adjusted EBITDA to net loss, the most directly comparable U.S. GAAP financial measure, for the three months ended March 31, 2026 and 2025 (in thousands):

  Three Months Ended March 31,
   2026
 2025
 Net loss
$(14,631) $(9,788) Adjustments to reconcile net loss to adjusted EBITDA:
        Income tax expense (benefit)
 (1,158)  3,155  Interest expense – net
 5,931   5,665  Depreciation and amortization
 12,308   11,625  Sales tax liability(1)
 237   (1,791) Transaction costs(2)
 792   5,709  Equity-based compensation(3)
 4,414   10,751  Litigation, settlements, and related costs(4)
 149   353  Loss on asset disposals(5)
 59   47  Change in fair value of derivative asset(6)
 196   350  Foreign currency loss (gain) – net(7)
 956   (2,041) Severance compensation(8)
 233   —  Change in fair value of Intermediate Warrants(9)
 —   (3,115) Loss on extinguishment of debt(10)
 —   801  Adjusted EBITDA
$9,486  $21,721            (1)During the three months ended March 31, 2026 and 2025, we accrued for additional uncollected indirect tax liabilities in jurisdictions where we believed it was probable we should remit payment to U.S. and foreign governmental tax authorities before all required amounts are collected from the customer. We also received abatements and recognized other reductions to the balance of the liability related to uncollected indirect taxes (including sales taxes).
          (2)Consists of legal, accounting, tax, and other professional fees, integration costs, and other transaction-related expenses, none of which are considered indicative of our core operating performance. Costs in the three months ended March 31, 2026 primarily related to various strategic transactions and investments. Costs in three months ended March 31, 2025 primarily related to potential strategic transactions that were explored during the period, the February 2025 refinancing of our first lien term loan, repurchases of Class A common stock, and various strategic transactions and investments.
          (3)Relates to equity granted by us pursuant to our 2021 Incentive Award Plan, as amended, which is not considered indicative of our core operating performance.          (4)Relates to external legal costs, settlement costs, and insurance recoveries, none of which are considered indicative of our core operating performance.
          (5)Relates to disposals of fixed assets, which are not considered indicative of our core operating performance.          (6)Relates to the revaluation of derivatives recorded at fair value, which revaluations are not considered indicative of our core operating performance.          (7)Relates to net realized and unrealized losses (gains) resulting from the impact of exchange rate changes on transactions denominated in non-functional currencies, which are not considered indicative of our core operating performance.          (8)Relates to severance-related payments made to terminated employees as a result of a reduction in employee headcount and the departure of certain members of our leadership team, which are not considered indicative of our core operating performance.          (9)Relates to the revaluation of warrants (the “Intermediate Warrants”), issued in connection with the 2021 transaction pursuant to which Horizon Acquisition Corporation merged with and into us, which entitled Hoya Topco, LLC to purchase common units of Hoya Intermediate, LLC, which revaluations are not considered indicative of our core operating performance.          (10)Relates to losses incurred in connection with the extinguishment of our former first lien term loan, which are not considered indicative of our core operating performance.

Vivid Seats Inc. (SEAT) Q1 2026 Earnings Call Transcript

May 15, 2026 20:23 ET  | Source: Constellation Software Inc.

TORONTO, May 15, 2026 (GLOBE NEWSWIRE) -- Constellation Software Inc. (the “Corporation”) (TSX:CSU) is pleased to announce the results of the vote on directors at its May 15, 2026 annual general shareholders’ meeting (the “AGM”). Each of the nine nominees listed in the Corporation's management proxy circular dated March 28, 2026 was elected as a director. Voting was conducted by ballot with the following voting results:

Name of Nominee Votes For%Votes Withheld%Jamal Baksh14,489,17395.80%
635,7404.20%
John Billowits14,643,08496.81%
481,8293.19%
Lawrence Cunningham14,926,28898.69%
198,6251.31%
Claire Kennedy14,992,63699.13%
132,2770.87%
Robert Kittel14,391,50395.15%
733,4094.85%
Mark Miller14,952,51398.86%
172,4001.14%
Donna Parr15,058,46999.56%
66,4440.44%
Andrew Pastor14,853,46498.21%
271,4491.79%
Laurie Schultz14,992,45699.12%
132,4570.88%
Final voting results on all matters voted on at the annual meeting held on May 15, 2026 will be filed with the Canadian securities regulators.

As previously announced by the Corporation on March 27, 2026, Mark Leonard, the former founder and former President of the Corporation, did not stand for re-election to the board of directors at the AGM. On behalf of the board of directors and the entire Constellation community, we express our deep gratitude to Mr. Leonard for his extraordinary leadership and enduring contributions. Mr. Leonard will continue to serve as an advisor to Constellation, with a particular focus on supporting the Corporation’s Permanent Engaged Minority Shareholder strategy – an initiative centered on selective, long-term, and engaged minority investments that complement the Corporation’s longstanding acquisition model.

About Constellation Software Inc.

Constellation Software acquires, manages and builds vertical market software businesses.

For further information:
Jamal Baksh
Chief Financial Officer
416-861-9677
[email protected]
www.csisoftware.com

"Acquisition enhances Juniper Group's corporate travel capabilities and adds to its presence in the U.S. market"

, /PRNewswire/ -- Juniper Group, an operating group of Vela Software and part of Constellation Software Inc. (TSX: CSU), has announced the completion of its acquisition of Deem from Travelport.

Deem is a corporate travel management and booking platform that provides booking, procurement, and trip management solutions for corporations and travel management companies worldwide. Over the past several years, Deem strengthened its technology platform, expanded its operational capabilities, and developed deep integration with Travelport+, helping corporations and travel management companies benefit from broader travel content access and more streamlined corporate travel workflows.

As part of Juniper Group, Deem will continue to operate independently under its current leadership team and brand while benefiting from Juniper Group's long-term ownership philosophy focused on sustainable growth, operational continuity, and customer success. The acquisition was sponsored by Juniper Travel Technology, a business unit of Juniper Group specializing in booking and connectivity solutions for the global travel industry.

"Deem is a strong business with differentiated capabilities, a highly experienced team, and deep, long-standing customer relationships," said Jaime Sastre, CEO of Juniper Group. "The company further strengthens our travel technology portfolio and expands our presence in the U.S. and corporate travel markets."

Juan Mateos, CEO of Juniper Travel Technology, added: "Deem's capabilities complement our travel technology offering. The company brings a highly respected platform, strong enterprise relationships, and meaningful expertise across the corporate travel ecosystem."

Kyle Moore, President of Deem, said: "Deem is incredibly excited about this next step. Our time as a part of Travelport has created opportunities to better partner with corporations and TMCs that utilize Deem with the Travelport+ platform. That integration, alongside the multi-GDS capabilities of Deem, combined with the resources of Juniper Group, supports Deem's continued service to its customers."

John Mangelaars, CEO of Travelport, said: "We are proud of what the Deem team has built and achieved during its time with Travelport. Together we took a strong product and made it more competitive, better integrated, and well-positioned for growth. The time is right for Deem to be part of an organization where it is a core strategic focus, and Juniper Group is exactly that. We look forward to continuing to work closely with the Deem team as a preferred partner, and we're confident Deem's customers are in good hands."

Travelport and Deem will continue to maintain a relationship following the transaction.

About Juniper Group

Juniper Group is an operating group of Constellation Software Inc. (TSX: CSU) focused on acquiring and managing vertical market software businesses. Juniper Group includes travel and hospitality technology businesses and allows its software companies to operate independently. For more information, visit www.juniper-group.com

About Juniper Travel Technology

Juniper Travel Technology, a business unit of Juniper Group, is a global travel software specialist focused on providing booking and connectivity solutions to tour operators, wholesalers, online travel agencies, airlines, cruise companies, and travel suppliers worldwide. For more information, visit www.ejuniper.com

About Deem

Deem is a corporate travel management platform that provides booking, procurement, and trip management solutions for corporations and travel management companies worldwide. For more information, visit https://www.deem.com/

About Travelport

Travelport is a multi-source content provider that powers bookings for hundreds of thousands of travel suppliers worldwide. Buyers and sellers of travel are connected by the company's next-generation marketplace, Travelport+, which simplifies how brands connect, upgrades how travel is sold, and enables modern digital retailing. Headquartered in London, United Kingdom, Travelport operates in more than 165 countries. For more information, visit www.travelport.com.

Brinker International EAT is experiencing a significant stock surge of 14% following its Q3 earnings report for March. Investors are shifting their focus from moderating growth to improving trends and enhanced guidance. The company reported earnings per share (EPS) that exceeded expectations, although the increase was less pronounced than in previous quarters. Revenue rose by 3.2% year-over-year to $1.47 billion, aligning with forecasts but marking the slowest growth rate in 14 quarters.

Same-restaurant sales increased by 3.3%, with Chili's comparable sales up 4.0% while Maggiano's Little Italy saw a decline of 4.6%. Results faced challenges due to tough comparisons from last year's impressive 28.2% comp growth, although the two-year stack remains robust. Chili's comparable sales accelerated throughout the quarter, reaching 5.9% in both February and March, following a weather-impacted January. The company raised its FY26 EPS guidance to a range of $10.60-10.85, up from $10.45-10.85. Chili's plans to launch a new Chicken Sandwich platform in Q4 (June), highlighting in-restaurant hand-breading as a key differentiator.Brinker's strong stock performance indicates a market that is willing to overlook short-term moderation in comparable sales and revenue growth. The company faced challenging year-ago comparisons and weather-related disruptions early in the quarter, which obscured solid underlying momentum—particularly at Chili's, where trends improved significantly as the quarter progressed. Investors are optimistic about the chicken sandwich launch, which could drive traffic, and early signs of stabilization at Maggiano's, even though that turnaround may take longer. With increased guidance, strong trends in April, and reset expectations following recent share price declines, Brinker appears well-equipped to handle macroeconomic challenges while continuing to gain market share in the casual dining sector.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Jim Cramer spent a chunk of Wednesday night’s Mad Money trying to figure out how a casual dining operator manages to print better numbers while every line on the cost ledger is moving against it. His guest, Brinker International (NYSE:EAT) CEO Kevin Hochman, had just reported a quarter the market was clearly not expecting.

“How is it possible? A little bit of magician on your part,” Cramer asked. “You’ve got beef inflation, you’ve got higher repair and maintenance costs, you got general inflation areas like utilities and rent, to-go supplies, delivery fees, beverage and food costs. Unfavorable by 60 basis points. How are you able to make even more money when every one of those is unfavorable?”

The macro backdrop validates the framing. Core PCE, the Fed’s preferred inflation gauge, has climbed from 125.502 in April 2025 to 129.279 in March 2026, which sits in the 91.7th percentile of its 12-month range. Moreover, CPI tells the same story, with the headline index at 330.3 in March.

The Numbers Behind Cramer’s Question Brinker’s fiscal Q3 2026 release showed adjusted EPS of $2.90 against a $2.86 estimate on revenue of $1.47 billion. Operating income reached $166.6 million, up 6.18% year-over-year, with net income of $127.9 million.

Chili’s, which generates over 90% of company sales, posted its 20th consecutive quarter of comparable sales growth at +4.0%, which lapped a 31.6% increase from the prior year. The intra-quarter cadence Cramer highlighted: January at +0.6% (Winter Storm Fern), February and March both at +5.9%.

“Investors were braced for a disaster somehow, and instead they got a just a real good number,” Cramer said. EAT closed the session at $147.80, a 14.45% jump from the prior day’s $129.14, and traded at $150.82 intraday Thursday.

Hochman’s Answer Hochman’s pitch to Cramer leaned on the value-and-experience flywheel. “Our extreme value that’s working in the marketplace combined with that experience is unbeatable,” he said, citing Chili’s status as the #2 casual dining brand by sales, #1 traffic brand, and #1 alcohol restaurant brand in America.

Plus, the traffic-driven sales leverage story shows up in the franchise data, where Chili’s franchise sales grew to $274.1 million from $237.4 million with franchise comps of +5.7%. Maggiano’s was the offset, with comps of -4.6% and operating margins that compressed to 9.6% from 14.3%.

What To Watch Brinker raised the low end of its FY2026 EPS range to $10.60-$10.85 and narrowed revenue guidance to $5.78 billion-$5.82 billion. Year-to-date share repurchases stand at $343.4 million.

In addition, Raymond James reiterated a Buy with a $195 price target, against a Wall Street average of $186.86. With the stock trading at a forward P/E near 11, the question is whether menu-pricing power of +4.6% can keep outrunning input inflation when commodity and labor lines refuse to cooperate.

Brinker International (EAT - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.

Over the past month, shares of this operator of restaurant chains Chili's Grill & Bar and Maggiano's Little Italy have returned +2.4%, compared to the Zacks S&P 500 composite's +10% change. During this period, the Zacks Retail - Restaurants industry, which Brinker International falls in, has gained 1.8%. The key question now is: What could be the stock's future direction?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Revisions to Earnings EstimatesRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.

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.

Brinker International is expected to post earnings of $3.07 per share for the current quarter, representing a year-over-year change of +23.3%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.6%.

The consensus earnings estimate of $10.72 for the current fiscal year indicates a year-over-year change of +20.5%. This estimate has changed +0.2% over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $12.35 indicates a change of +15.2% from what Brinker International is expected to report a year ago. Over the past month, the estimate has changed +0.2%.

With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Brinker International.

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.

In the case of Brinker International, the consensus sales estimate of $1.53 billion for the current quarter points to a year-over-year change of +4.7%. The $5.81 billion and $6.12 billion estimates for the current and next fiscal years indicate changes of +7.9% and +5.3%, respectively.

Last Reported Results and Surprise HistoryBrinker International reported revenues of $1.47 billion in the last reported quarter, representing a year-over-year change of +3.2%. EPS of $2.9 for the same period compares with $2.66 a year ago.

Compared to the Zacks Consensus Estimate of $1.48 billion, the reported revenues represent a surprise of -0.59%. The EPS surprise was +1.75%.

The company beat consensus EPS estimates in each of the trailing four quarters. 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.

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.

Brinker International is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Brinker International. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.

The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.

Zacks Premium also includes the Zacks Style Scores.

What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreValue investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and many other multiples, the Value Style Score identifies the most attractive and most discounted stocks.

Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.

Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.

VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.

Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.93% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.

With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.

That's where the Style Scores come in.

To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.

As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.

Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Brinker International (EAT - Free Report) Based in Dallas, TX, Brinker International owns, operates, develops and franchises various restaurants under Chili’s Grill & Bar (Chili’s) and Maggiano’s Little Italy (Maggiano’s) brands. The company took over Chili’s, Inc., a Texas-based corporation, in September 1983 and completed the acquisition of Maggiano’s in August 1995.

EAT is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.

Additionally, the company could be a top pick for growth investors. EAT has a Growth Style Score of A, forecasting year-over-year earnings growth of 20.6% for the current fiscal year.

For fiscal 2026, five analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.05 to $10.73 per share. EAT boasts an average earnings surprise of +6.8%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, EAT should be on investors' short list.

Brinker International (EAT - 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 operator of restaurant chains Chili's Grill & Bar and Maggiano's Little Italy have returned -9.5% over the past month versus the Zacks S&P 500 composite's +7.7% change. The Zacks Retail - Restaurants industry, to which Brinker International belongs, has lost 4.7% over this period. Now the key question is: Where could the stock be headed in the near term?

While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.

Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.

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.

Brinker International is expected to post earnings of $3.08 per share for the current quarter, representing a year-over-year change of +23.7%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.9%.

The consensus earnings estimate of $10.74 for the current fiscal year indicates a year-over-year change of +20.7%. This estimate has changed +0.5% over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $12.38 indicates a change of +15.3% from what Brinker International is expected to report a year ago. Over the past month, the estimate has changed +0.5%.

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 Brinker International.

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.

In the case of Brinker International, the consensus sales estimate of $1.53 billion for the current quarter points to a year-over-year change of +4.7%. The $5.81 billion and $6.12 billion estimates for the current and next fiscal years indicate changes of +7.9% and +5.3%, respectively.

Last Reported Results and Surprise HistoryBrinker International reported revenues of $1.47 billion in the last reported quarter, representing a year-over-year change of +3.2%. EPS of $2.9 for the same period compares with $2.66 a year ago.

Compared to the Zacks Consensus Estimate of $1.48 billion, the reported revenues represent a surprise of -0.59%. The EPS surprise was +1.75%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates three times over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Brinker International is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

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 Brinker International. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.

Brinker International (EAT - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.

Shares of this operator of restaurant chains Chili's Grill & Bar and Maggiano's Little Italy have returned +2.5% over the past month versus the Zacks S&P 500 composite's +4.4% change. The Zacks Retail - Restaurants industry, to which Brinker International belongs, has lost 3.3% over this period. Now the key question is: Where could the stock be headed in the near term?

While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.

Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

Brinker International is expected to post earnings of $3.08 per share for the current quarter, representing a year-over-year change of +23.7%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.7%.

For the current fiscal year, the consensus earnings estimate of $10.74 points to a change of +20.7% from the prior year. Over the last 30 days, this estimate has changed +0.3%.

For the next fiscal year, the consensus earnings estimate of $12.4 indicates a change of +15.5% from what Brinker International is expected to report a year ago. Over the past month, the estimate has changed +0.1%.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Brinker International is rated Zacks Rank #3 (Hold).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.

For Brinker International, the consensus sales estimate for the current quarter of $1.53 billion indicates a year-over-year change of +4.7%. For the current and next fiscal years, $5.81 billion and $6.12 billion estimates indicate +7.9% and +5.3% changes, respectively.

Last Reported Results and Surprise HistoryBrinker International reported revenues of $1.47 billion in the last reported quarter, representing a year-over-year change of +3.2%. EPS of $2.9 for the same period compares with $2.66 a year ago.

Compared to the Zacks Consensus Estimate of $1.48 billion, the reported revenues represent a surprise of -0.59%. The EPS surprise was +1.75%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates three times over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.

The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Brinker International is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Brinker International. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.

Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.

Zacks Premium also includes the Zacks Style Scores.

What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.

Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.

Momentum ScoreMomentum traders and investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum stocks.

VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.

#1 (Strong Buy) stocks have produced an unmatched +23.7% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.

That's where the Style Scores come in.

To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.

Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.

A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Brinker International (EAT - Free Report) Brinker International, Inc. is based in Dallas, TX. The company owns, operates, develops and franchises restaurants under the Chili’s Grill & Bar (Chili’s) and Maggiano’s Little Italy (Maggiano’s) brands. The company took over Chili’s, Inc., a Texas-based corporation, in September 1983. It completed the acquisition of Maggiano’s in August 1995.

EAT is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.

Additionally, the company could be a top pick for growth investors. EAT has a Growth Style Score of A, forecasting year-over-year earnings growth of 20.7% for the current fiscal year.

Six analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.05 to $10.74 per share. EAT also boasts an average earnings surprise of +6.8%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, EAT should be on investors' short list.

Brinker International is rated Buy, trading at 13.8x forward earnings with improving traffic, cost structure, and emerging unit growth runway. Chili's delivered its twentieth consecutive quarter of positive same-store sales, outperforming peers, with underlying traffic momentum and durable operational improvements. Balance sheet strength is increasing: revolving credit fully repaid, $350M high-cost notes to be refinanced, leverage at 2.1x EBITDA, and ongoing share buybacks.

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.

The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.

It also includes access to the Zacks Style Scores.

What are the Zacks Style Scores? The Zacks Style Scores is a unique set of guidelines that rates stocks based on three popular investing types, and were developed as complementary indicators for the Zacks Rank. This combination helps investors choose securities with the highest chances of beating the market over the next 30 days.

Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.

The Style Scores are broken down into four categories:

Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.

Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.

Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.

VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.

#1 (Strong Buy) stocks have produced an unmatched +23.7% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.

But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.

That's where the Style Scores come in.

You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.

Since the Scores were created to work together with the Zacks Rank, the direction of a stock's earnings estimate revisions should be a key factor when choosing which stocks to buy.

Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Brinker International (EAT - Free Report) Brinker International, Inc. is based in Dallas, TX. The company owns, operates, develops and franchises restaurants under the Chili’s Grill & Bar (Chili’s) and Maggiano’s Little Italy (Maggiano’s) brands. The company took over Chili’s, Inc., a Texas-based corporation, in September 1983. It completed the acquisition of Maggiano’s in August 1995.

EAT is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.

It also boasts a Value Style Score of B thanks to attractive valuation metrics like a forward P/E ratio of 13.07; value investors should take notice.

Six analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.05 to $10.75 per share. EAT boasts an average earnings surprise of +6.8%.

With a solid Zacks Rank and top-tier Value and VGM Style Scores, EAT should be on investors' short list.

Brinker International (EAT +4.69%) has excelled at driving traffic to its restaurant chains over the past couple of years. Since arriving in 2022, CEO Kevin Hochman has engineered an impressive turnaround of the company's flagship Chili's Grill & Bar concept, positioning it to outperform the average in the casual dining category.

As a result of his multiyear effort to improve operations and the brand's image, Chili's just recorded its 20th consecutive quarter of same-store sales growth.

While Hochman deserves credit for simplifying the menu and kitchen operations, the social media team may have actually kicked things off after a TikTok video featuring Chili's mozzarella sticks went viral during the fourth quarter of its fiscal 2024. This was followed by the first quarter of traffic growth for Chili's since Hochman's arrival, and the customers just kept coming.

Image source: Getty Images.

Chili's continues to deliver Management's focus on core menu offerings like burgers and fajitas while avoiding the constant rotation of limited-time deals has worked. The "3 for Me" value platform, which starts at $10.99 for a three-course meal, has been particularly effective at attracting customers from lower-income households, a demographic that many competitors are losing.

At the height of the turnaround in the second and third quarters of its fiscal 2025, Chili's posted same-store sales growth of 31.4% and 31.6%, respectively.

This year, growth on a percentage basis has slowed as the chain has lapped those monster quarters. In April, Brinker's reported that Chili's had same-store sales growth of 4% in its fiscal third quarter after posting 8.6% growth in its fiscal 2026 Q2, which ended Dec. 24, 2025.

While the days of double-digit percentage growth may be behind Chili's, if you've been following restaurant stocks for the past year or so, you're aware that its results in the current macroeconomic environment could've been far worse.

Margin pressure is beginning to build Despite strong operations from the larger of its two chains (Chili's has over 1,500 locations, while its Maggiano's Little Italy chain has just 51), Brinker is not immune to industrywide cost pressures. Restaurant operating margins declined by 50 basis points year over year in the third quarter.

While the company has used menu price increases to cover some of these costs, the most recent quarter revealed a potential shift in traffic trends. Customer traffic at Chili's turned slightly negative by 1.2%, with the 4% same-store sales growth driven primarily by a 4.6% increase in price.

The pressure is even more pronounced at Maggiano's, which continues to be a drag on overall performance. The brand posted negative comparable sales of 4.6% in the third quarter, driven by a 10% decline in customer traffic.

While the Italian chain represents a small piece of the pie, along with its franchise operations, Brinker needs all of its assets to contribute as Chili's growth normalizes in the 3% to 5% range.

Last year, Hochman stepped in as interim president, installing new leadership and a "Back to Maggiano's" strategy to address the issues, but it will take time to turn the corner at that chain, particularly given its higher price point.

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Food inflation is expected to reach mid-single-digit percentages in the second half of the fiscal year, led by higher beef prices. Chili's will need to prove that its traffic trends can stabilize while management continues to find efficiencies to offset rising costs.

Brinker's trades at a forward price-to-earnings ratio of around 13, which is a reasonable valuation, but with high gas prices likely to further weigh on consumer discretionary spending, investors may want to be patient as Hochman attempts to reinvigorate Maggiano's.

Vancouver, British Columbia--(Newsfile Corp. - May 12, 2026) - Body and Mind Inc. (CSE: BAMM) (the "Company" or "BaM") is pleased to announce that it has closed the New Jersey equity interest transaction, which it had previously disclosed in a news release dated August 27, 2025. As per prior disclosure, the Company's wholly owned subsidiary, DEP Nevada, Inc. ("DEP"), entered into a Purchase Agreement with Ascend New Jersey, LLC (the "Purchaser"), whereby DEP, which owned 100% of BaM Body and Mind Dispensary NJ, Inc. ("BAM NJ") agreed to sell all of the equity interests (the "Interests") in BAM NJ to the Purchaser and a social equity partner (the "Social Equity Partner"), which resulted in Purchaser owning 35% of BAM NJ and Purchaser's Social Equity Partner owning 65% of BAM NJ.

REIT buyouts are heating up as private equity targets deep discounts. We recently profited from three REIT takeovers. Two small REITs could be next, with big upside potential.

Investors looking for stocks in the Financial - Miscellaneous Services sector might want to consider either Bread Financial Holdings (BFH - Free Report) or Brookfield Asset Management (BAM - Free Report) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.

The best way to find great value stocks is to pair a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.

Right now, Bread Financial Holdings is sporting a Zacks Rank of #1 (Strong Buy), while Brookfield Asset Management has a Zacks Rank of #4 (Sell). The Zacks Rank favors stocks that have recently seen positive revisions to their earnings estimates, so investors should rest assured that BFH has an improving earnings outlook. But this is just one piece of the puzzle for value investors.

Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.

Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years.

BFH currently has a forward P/E ratio of 8.19, while BAM has a forward P/E of 26.02. We also note that BFH has a PEG ratio of 0.82. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. BAM currently has a PEG ratio of 1.84.

Another notable valuation metric for BFH is its P/B ratio of 1.05. The P/B ratio is used to compare a stock's market value with its book value, which is defined as total assets minus total liabilities. For comparison, BAM has a P/B of 9.14.

Based on these metrics and many more, BFH holds a Value grade of B, while BAM has a Value grade of F.

BFH is currently sporting an improving earnings outlook, which makes it stick out in our Zacks Rank model. And, based on the above valuation metrics, we feel that BFH is likely the superior value option right now.

© audioundwerbung / iStock via Getty Images

Shares of FuelCell Energy (NASDAQ:FCEL) are ripping higher in midday trading Wednesday, up 15% as hydrogen bulls rotate back into the most beaten-down name in the complex. Bloom Energy (NYSE:BE) stock is participating as well, gaining 9%.

Plug Power (NASDAQ:PLUG) shares, by contrast, are barely budging with a 1% uptick. That’s the story today: the hydrogen trade isn’t participating equally across all stocks in the fuel-cell sector today.

The split caps a volatile week. On Monday, May 18, this column flagged FCEL and PLUG getting hit hard in a hot-trade pullback. Today marks a reversal, but only for the names with a credible AI data center hook.

Mean Reversion Meets an AI Data Center Catalyst FCEL stock is the day’s clear winner because it had the most room to bounce. The shares were heading in with a one-month gain of 139% and a year-to-date move of 137%, yet the five-year chart still shows a 92% drawdown.

The fundamental peg is FuelCell’s pivot to data center power. Q4 FY2025 revenue came in at $55.02M, beating estimates by 16%, and unrestricted cash jumped to $278.1M (per the company’s 8-K filing on sec.gov). FuelCell Energy CEO Jason Few stated, “Our strategy is deeply focused on the data center market where we see significant opportunities for our efficient, resilient power solutions.”

Retail is paying attention. One WallStreetBets thread this week framed FCEL stock as “one of 3 fuel cell players among BE, PLUG” riding the AI catalyst, a sign sentiment has flipped after the pullback.

Bloom Energy Is the Structural Leader [bs_stock_chart symbol=”BE”]

Bloom Energy stock is up less today, but the one-year return tells the bigger story. BE shares are up 1,386% over the past year and 169% year to date. The market has already priced in much of the on-site power thesis.

The numbers back the narrative. Bloom Energy’s Q1 2026 revenue hit $751.05M, up 130% year over year, with non-GAAP EPS of $0.44 blowing past the $0.1285 consensus (see Bloom’s 8-K on sec.gov). Management raised FY26 revenue guidance to $3.4B to $3.8B on the back of a $5 billion Brookfield Asset Management (NYSE:BAM | BAM Price Prediction) AI infrastructure partnership.

Bloom Energy CEO KR Sridhar declared, “Bring-your-own-power has shifted from a slogan to a business necessity for AI hyperscalers and manufacturing facilities. This shift is secular and growing.” That’s the anchor Bloom Energy has and FuelCell is still trying to build.

Why Plug Power Is Sitting This One Out [bs_stock_chart symbol=”PLUG”]

Plug Power’s quiet tape reflects end-market positioning rather than weak results. Q1 2026 revenue of $163.5 million grew 22% year over year, and Plug Power’s GAAP gross margin improved from -55% to -13%. The issue is end-market exposure.

Plug Power’s franchise leans on hydrogen production, electrolyzers, and material handling. Bloom and FuelCell pitch themselves directly to data center operators and hyperscalers, which is the narrative paying premiums today. Even insider activity skews defensive, with Plug’s April 1 Form 4s showing director acquisitions at just $2.26 per share.

PLUG stock did catch a retail bid earlier this month. WallStreetBets sentiment hit 88 on May 11 around a short-squeeze thread, but that euphoria faded. By May 17, the sentiment score had reverted to null.

What to Watch The bull case for the AI data center fuel cell trade rests on durable hyperscaler power demand, with Bloom Energy’s Oracle (NYSE:ORCL) and Brookfield deployments providing real revenue validation. The bear case is unit economics. FuelCell still posted a Q4 net loss of $29.34M, and the 93% five-year drawdown shows how brutal these cycles can be.

The takeaway from today’s tape is simple. The market wants AI-data-center-adjacent fuel cell exposure specifically. That’s why FCEL stock is leading on mean reversion, BE shares are participating as the structural leader, and PLUG stock is drifting.

Investors should watch for fresh hyperscaler power purchase announcements, Bloom Energy’s next earnings update, and whether Plug Power can keep narrowing its losses toward its Q4 2026 EBITDAS-positive target. The divergence is the signal, for the time being at least.

One is designed for growth; the other for stable income.

Joint venture includes an eight-property, 5.3 million-square-foot portfolio anchored by high-quality industrial assets in Canada's largest urban markets June 03, 2026 09:00 ET  | Source: Concert Properties

Vancouver, BC, June 03, 2026 (GLOBE NEWSWIRE) -- Concert Properties Ltd., through Concert Income Properties ("Concert"), today announced the formation of a joint venture with a Brookfield affiliate for an eight-property Canadian industrial portfolio totaling approximately 5.3 million square feet. The transaction values the portfolio at approximately C$1 billion. 

The portfolio comprises a mix of single-tenant and multi-tenant industrial properties across Canada’s largest urban logistics markets, including Vancouver, Toronto, Calgary, and Ottawa. Fully leased to a diverse roster of credit tenants, the assets benefit from strong connectivity to critical highway, airport, and rail infrastructure and represent stabilized, high-quality industrial real estate with embedded income growth potential.

“We are pleased to be partnering with Brookfield, a globally recognized firm with deep expertise and a strong track record in real estate,” said Lindsay Brand, Chief Investment Officer of Concert Properties Ltd. “Concert has a history of building partnerships defined by shared alignment and a long-term view, and this one is no different. Brookfield brings global scale and a disciplined approach to real estate investment, and we are excited about what we can build together. We look forward to actively managing this portfolio on behalf of the joint venture and to identifying ways to grow this relationship over time.”

“This investment reflects Brookfield’s conviction in high-quality logistics real estate in supply-constrained, high-barrier markets,” said Andy Smith, Managing Partner, Real Estate, Brookfield. “Concert has assembled and managed a strong Canadian industrial portfolio, and we are pleased to partner with them on assets that align well with our global logistics strategy. We look forward to working together to create long-term value across the portfolio.”

CIBC and CBRE acted as advisors to Concert on the transaction.

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About Concert Properties

Founded in 1989, Concert Properties is a diversified Canadian real estate corporation owned by 49 union and management pension plans and institutional investors representing over 200,000 Canadians. Concert develops, owns and manages rental apartments; develops condominium homes; and develops, acquires and manages industrial and office properties. Concert Income Properties, an open-ended Canadian limited partnership fund formed in 2016, acquires, develops and manages industrial, office and multi-family real estate across Canada on behalf of Canadian pension funds and institutional investors.

About Brookfield

Brookfield Asset Management Ltd. (NYSE: BAM, TSX: BAM) is a leading global alternative asset manager, headquartered in New York, with over $1 trillion of assets under management across infrastructure, energy, private equity, real estate, and credit. We invest client capital for the long-term with a focus on real assets and essential service businesses that form the backbone of the global economy.We offer a range of alternative investment products to investors around the world — including public and private pension plans, endowments and foundations, sovereign wealth funds, financial institutions, insurance companies and private wealth investors. We draw on Brookfield's heritage as an owner and operator to invest for value and generate strong returns for our clients, across economic cycles.

https://www.concertproperties.com/ https://www.brookfield.com/ Contact Data Concert Media Contact Katie Stevens Talk Shop Media [email protected] 778-686-0906 Brookfield Media Contact Laura Montross [email protected] 508-769-5942

Today - and likely for the next decade - the market is facing an uncertain inflation and interest rate environment, AI disruption, and geopolitical unrest. I detail two infrastructure dividend growth stocks that are remarkably well positioned to navigate these challenges.

Listen to the audio version of this article (generated by AI).

AVGO rattles Wall Street… Alphabet’s $80 billion proof point… AI just entered your brokerage account… why the smart money is betting $50 billion on the AI backbone … As I write Thursday morning, chip stocks are selling off, pulling the AI complex down alongside it.

The culprit: Broadcom (AVGO) reported earnings last night that were, by any objective measure, extraordinary. AI semiconductor revenues climbed 143% year over year, and Q3 guidance calls for $29.4 billion in revenue.

And yet Wall Street is hammering the stock, down 13% as I write.

Why?

Mostly because Broadcom didn’t raise its full-year AI chip guidance. CEO Hock Tan reiterated the existing forecast rather than upgrading it.

Beyond that, the software segment results were light. And Tan said Broadcom would offer “chips only,” rather than the complete integrated AI systems the company had previously said it would provide to customers.

On a stock that had run more than 60% since its late-March low, this was enough to trigger profit-taking – and the ripple has spread to the broader AI trade this morning.

Now, let’s be clear…

The selloff isn’t about Broadcom’s AI business. That business didn’t disappoint – it more than doubled, and AI revenue is expected to triple to $16 billion next quarter. That makes this selloff a valuation story: what happens when a stock priced for perfection only delivers excellence instead.

But that doesn’t mean we can write it off. It prompts a genuine question that all AI investors must answer…

Is this the beginning of growth rates failing to match lofty expectations? Or is the underlying AI buildout powerful enough to keep delivering at the scale the market needs?

To help answer that, let’s rewind to Monday’s news that Alphabet (GOOG) is raising $80 billion – not to survive a downturn, but because the demand for its AI products is outrunning its ability to build the infrastructure to deliver them.

This has massive implications for tomorrow’s AI growth story.

In yesterday’s Digest, I wrote: “If you’re nervous today, listen to your fears – but frame them in facts.”

So, as the AI complex sells off this morning, let’s take our own advice.

A breather or a bust? As we try to read where we are in this AI bull run – and how much growth remains in front of us – Alphabet’s $80 billion raise is one of the clearest signals we’ve seen. Let’s talk about why.

Every time you ask Gemini a question or run an AI-powered search, that query flows through a data center packed with specialized chips, networking equipment and cooling systems.

Billions of people do this daily. But that’s just consumer-side demand…

On top of that, corporations are paying Google directly to run their AI workloads – customer service systems, coding tools, data pipelines – all of it pulling on the same infrastructure.

Now, is Google making money on all this?

Yes, handsomely.

Google Cloud’s operating margin expanded to nearly 33% last quarter. Search revenue grew 19% as AI features drove queries to all-time highs.

On the consumer side, advertising revenue subsidizes the free users. On the enterprise side, companies are paying directly and profitably. Net income jumped 81% year over year to $62.58 billion.

So, with cash flooding in Google’s front door, why raise $80 billion?

Because it’s winning so fast that even one of the most profitable companies on earth can’t build AI infrastructure quickly enough to keep up with its own demand.

It’s no wonder why, when asked earlier this year what keeps him up at night, CEO Sundar Pichai’s answer was two words: compute capacity.

The only way to solve that is to spend at a scale that even Alphabet’s cash machine can’t fully self-fund.

If you’re worried about an AI bubble, trillion-dollar valuations with nothing underneath, or hype outrunning reality – this is one of the most ringing endorsements of the real thing you’re going to see.

A Wall Street elephant just put $10 billion behind that same conclusion Our technology investing expert, Luke Lango, editor of Innovation Investor, reported that Berkshire Hathaway just sunk a boatload of money into Google, and their piece of this deal carries significance well beyond Google’s compute capacity problem:

Either Berkshire finally started understanding technology — or they stopped seeing Alphabet’s AI infrastructure buildout as a technology investment and started seeing it as a utility.

Regulated demand. Contracted revenue. Infrastructure moat. Predictable cash flows at scale. The framework Berkshire has used for railroads, energy pipelines, and insurance for decades.

When Berkshire sees utility economics, they write enormous checks.

That $10 billion tells us more about the AI infrastructure thesis than any earnings report could.

But the implications run well beyond Google. Microsoft (MSFT), Amazon (AMZN), Meta (META) and the rest are locked in the same arms race.

If Alphabet is pulling in $80 billion to accelerate, the pressure on everyone else to keep the gas pedal down only intensifies.

Here’s Luke on what that means for investors:

The winners are the chipmakers, memory suppliers, networking vendors, server builders, power providers, cooling companies, and high-beta compute clouds supplying the rails of the AI economy.

Luke has been positioning Innovation Investor subscribers in precisely those names… And he believes the biggest catalyst for repricing them is still ahead.

OpenAI and Anthropic are on track for what could be the two largest IPOs in American history – reportedly targeting valuations of roughly $1 trillion and $900 billion, respectively.

When those S-1 filings hit, every Wall Street analyst and institutional investor will scramble to identify the AI infrastructure companies supplying, powering and enabling those businesses – many of them will be the same ones benefitting from Google’s AI ramp-up.

Luke calls getting there first the “Pre-IPO Backdoor.”

The historical pattern supports this. When Facebook went public in 2012, the IPO buyers had a rough ride. But a chipmaker supplying the memory behind the data-center buildout that powered the social media boom quietly returned hundreds of percent over the same window. Luke believes that pattern is about to repeat – at a far larger scale.

The window to position ahead of the repricing is now, before the filings arrive.

Luke lays out the full Pre-IPO Backdoor strategy here — including a free ticker that gives ordinary investors exposure to both OpenAI and Anthropic while they’re still private.

Now, as we assess the overall AI trade and future growth rates, the buildout is one thing. But what about the applications?

Get ready for what’s coming…

The age of agentic AI just arrived in your brokerage account Last week, Robinhood (HOOD) announced two new products: Agentic Trading and an Agentic Credit Card.

The first lets you connect a third-party AI assistant to your brokerage account to execute investing strategies on your behalf – rebalancing your portfolio, monitoring themes, executing trades – with minimal human involvement.

The second lets a separate AI agent hunt for deals and complete purchases using a designated virtual credit card.

In other words, you set the goals, the AI handles the execution.

Robinhood isn’t alone. Google has already launched agentic checkout across Search and Gemini – a live “Buy for me” button that executes purchases directly on merchant websites.

Meanwhile, Amazon’s AI shopping assistant Rufus now serves 300 million users. Etsy (ETSY) and over a million Shopify (SHOP) merchants are live with agentic commerce capabilities.

And that’s just retail…

Gartner projects agentic AI will autonomously resolve 80% of common customer service issues without human intervention by 2029, cutting operational costs by 30%.

The pace of all this is striking. According to research from the Institute of Electrical and Electronics Engineers (IEEE), 96% of global technologists predict that agentic AI development and integration will accelerate through 2026, with many experts expecting near-mass consumer adoption this year.

Here’s TechRadar with the impact:

For consumers, this shift is profound, as autonomous agents begin managing the complexities of personal finance, travel, and household logistics, turning once-manual digital tasks into hands-off, automated experiences.

We’re not talking about a chatbot that answers questions. We’re talking about AI that acts on your behalf, in the real world, right now.

For investors still on the fence about whether AI is real or just hype, this is your answer.

But still, for nervous AI investors watching their portfolio sink into the red today, is there another proof point to calm nerves?

“We’re just rewiring the world” If Alphabet’s $80 billion raise and Robinhood’s agentic trading accounts didn’t convince you about AI, consider what Brookfield Asset Management (BAM) is doing.

Brookfield built one of the world’s great fortunes on bridges, toll roads, freight railways, and utilities – the unglamorous, load-bearing infrastructure that quietly powers civilization.

It doesn’t chase trends. It doesn’t do hype. It writes enormous checks into assets it expects to collect cash from for decades.

It is now going all-in on AI infrastructure.

The firm is raising $50 billion across a new suite of AI-focused infrastructure funds. Its first major deployment: a $5 billion commitment to install Bloom Energy (BE) fuel cells at AI data centers – with the first project tied to an Oracle (ORCL) data center campus spanning 1,400 acres of New Mexico desert, built to support OpenAI’s compute needs.

Brookfield CEO Bruce Flatt recently summed up the firm’s view at the Milken Institute Global Conference:

We’re just rewiring the world.

This framing should sound familiar…

Earlier in this Digest, Luke noted that Berkshire sees Alphabet’s AI buildout through the lens of utility economics – railroads, pipelines, contracted cash flows.

Brookfield is saying the same thing, just more explicitly.

Its CEO, Connor Teskey, described the strategy as “focused on investing in long-life, critical assets,” betting that well-structured contracts will deliver reliable cash flows for years – regardless of which AI model or platform ultimately wins the race.

And here’s Bloomberg, noting the scope of the growth in the area:

These asset managers are plowing ever-more cash into AI, stepping in to finance deals when banks can’t supply the sheer magnitude of cash needed to construct massive data facilities.

The ever-larger deals are turning infrastructure, once a staid and sleepy corner of finance, into a buzzy space that’s sparking both ebullience and trepidation.

That last point is critical for investors to recognize.

Brookfield and these asset managers at large aren’t betting on OpenAI versus Anthropic, or Nvidia versus the next chipmaker. They’re betting on the physical layer beneath it all – the power, the land, the cooling, the connectivity. That’s a bet that pays off no matter who wins the AI arms race above it.

The scale of the opportunity, in Brookfield’s own assessment: $7 trillion.

Bridges. Toll roads. Freight railways. Now AI data centers…

Brookfield doesn’t do bubbles – it does decades.

The bottom line Step back from this morning’s selloff for a moment and look at what today’s Digest actually contains.

Three stories. Three different vantage points – a tech giant, a retail brokerage, and a global infrastructure empire. All pointing in the same direction.

Yes, AVGO is down 13% as I write. But Broadcom’s AI revenue more than doubled, and next quarter it’s expected to triple. The stock is being punished for not beating elevated expectations by enough. That’s a very different problem from a broken thesis.

Meanwhile, Alphabet is raising $80 billion because it can’t build AI infrastructure fast enough to meet demand. Berkshire is writing $10 billion checks because it sees utility economics. Brookfield is committing $50 billion because it sees a $7 trillion opportunity. And AI agents are already executing trades and buying groceries on behalf of ordinary consumers.

A stock getting punished for tripling its AI revenue doesn’t change any of that.

As always, factor in valuations, your personal timeline and your own risk tolerance before acting. Smart investing is never one-size-fits-all. But on the foundational questions – is this AI boom real? And can massive growth continue?

The evidence speaks clearly.

Have a good evening,

Jeff Remsburg

(Disclaimer: I own AVGO, GOOGL, AMZN, and MSFT.)