Track market-moving stories before they get noisy

Key Takeaways Williams Companies posted higher Q2 earnings and revenues year over year despite missing analyst estimates.WMB agreed to buy Momentum Midstream for up to $5.5B to expand its natural gas infrastructure.WMB raised 2026 adjusted EBITDA guidance to $8.3-$8.5B and forecast growth capex of $7.3-$7.9B. The Williams Companies, Inc. (WMB - Free Report) reported second-quarter 2026 adjusted earnings per share of 50 cents, which missed the Zacks Consensus Estimate of 52 cents. However, the bottom line increased from the year-ago period’s level of 46 cents, driven by better-than-expected performance of its Transmission, Power & Gulf, Northeast G&P and West segments.

The Tulsa, OK-based oil and gas storage and transportation company’s revenues of $3 billion missed the Zacks Consensus Estimate by $2 million. The figure increased by 9.8% from the year-ago quarter’s reported revenues. This can be attributed to higher service revenues and increased product sales.

Adjusted EBITDA totaled $1.9 billion in the quarter under review, which was up 6% year over year. Cash flow from operations amounted to $1.4 billion, down 5.1% from the corresponding quarter of 2025.

WMB’s Momentum Midstream AcquisitionWilliams Companies has agreed to acquire Momentum Midstream in a deal worth up to $5.5 billion, strengthening its Haynesville footprint and expanding its integrated natural gas infrastructure to meet rising Gulf Coast LNG, power and industrial demand. Momentum adds more than 4,000 miles of pipelines, 6 Bcf/d gathering capacity and key processing assets, with the deal expected to boost AFFO and EPS. Williams Companies also announced the Delta Aces and Shelby Trough Connector expansions, positioning the company to capture growing natural gas demand and enhance basin connectivity.

WMB’s Q2 Segmental AnalysisTransmission, Power & Gulf: The segment reported an adjusted EBITDA of $959 million, up 6.2% from the year-ago quarter’s level. The increase was driven by contributions from projects placed in service, new Gulf volumes and higher storage revenues. However, the figure missed the Zacks Consensus Estimate by 2.5%.

Northeast G&P: Driven primarily by higher volumes at Ohio Valley Midstream and higher proportional EBITDA from Blue Racer Midstream and Bradford within Appalachia Midstream, this segment registered an adjusted EBITDA of $540 million. This represents a 7.8% increase from $501 million in the year-earlier quarter. It beat the Zacks Consensus Estimate of $518 million.

West: This segment focuses on the gathering and processing of assets in the Western United States. Adjusted EBITDA for this segment totaled $359 million, up 5.3% from the prior-year quarter’s level of $341 million. Strong results were fueled by Louisiana Energy Gateway, placed into service in third-quarter 2025, as well as higher gathering volumes, including contributions from the 2025 Rimrock and Saber acquisitions. However, the figure missed the Zacks Consensus Estimate of $389 million.

Gas & NGL Marketing Services: The segment posted a negative adjusted EBITDA of $1 million, narrowing down from the year-ago negative EBITDA of $15 million, resulting from higher gas marketing margins due to winter storms. The Zacks Consensus Estimate for the same was pegged at a negative $7.27 million.

Other: This segment posted an adjusted EBITDA of $64 million, representing a 17.9% decrease from $78 million in the year-earlier quarter, caused by unfavorable changes in net realized results from upstream operations, including the impact of the divested South Mansfield interests. However, the figure beat the Zacks Consensus Estimate of $57 million.

WMB’s Costs, Capex & Balance SheetIn the reported quarter, total costs and expenses of $1.9 billion increased by about 2% from the year-ago quarter’s figure.

Total capital expenditure (capex) was $1.8 billion. As of June 30, 2026, this Zacks Rank #3 (Hold) company had cash and cash equivalents of $203 million and long-term debt of $28.1 billion, with a debt-to-capitalization of 64.7%.

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

WMB’s 2026 GuidanceWilliams Companies raised its 2026 guidance and now expects adjusted EBITDA of $8.3-$8.5 billion, with growth capital expenditures projected at $7.3-$7.9 billion. Factoring in the pro forma contribution from the Momentum Midstream acquisition over the past four quarters, the company expects its 2026 leverage ratio to be approximately 3.75x at the midpoint. The growth capex and debt-to-adjusted EBITDA guidance exclude certain reimbursable long-lead equipment costs.

Important Earnings at a GlanceWhile we have discussed WMB’s second-quarter results in detail, let us take a look at three other key reports in this space.

Expand Energy Corporation (EXE - Free Report) reported second-quarter 2026 adjusted earnings per share of $1.33, beating the Zacks Consensus Estimate of $1.22. The company’s bottom line increased from the year-ago adjusted profit of $1.10 per share, fueled by strong production and lower operating expenses.

Expand Energy’s ‘natural gas, oil and NGL’ revenues of $1.8 billion missed the Zacks Consensus Estimate of $2 billion. The top line was also below the year-ago figure of $2 billion.

As of June 30, 2026, the company had $663 million in cash and cash equivalents. Expand Energy had a long-term debt of $3.7 billion, reflecting a debt-to-capitalization of 16%.

NOV Inc. (NOV - Free Report) reported second-quarter 2026 adjusted earnings of 31 cents per share, which beat the Zacks Consensus Estimate of 16 cents. The bottom line also increased 6.9% from the year-ago quarter’s 29 cents, driven by outperformance of the Energy Equipment segment.

The oil and gas equipment and services company’s total revenues of $2.1 billion beat the Zacks Consensus Estimate by $39 million. However, NOV’s revenues fell 2.5% from the year-ago quarter’s figure of $2.2 billion due to lower year-over-year revenues from the Energy Products and Services segment.

As of June 30, the company had cash and cash equivalents of $1.2 billion and long-term debt of $1.7 billion with a debt-to-capitalization of 21.3%.

Core Laboratories Inc. (CLB - Free Report) reported second-quarter 2026 adjusted earnings of 11 cents per share, which beat the Zacks Consensus Estimate of 8 cents, driven by outperformance of the Production Enhancement segment. However, the bottom line decreased from the year-ago quarter’s reported figure of 19 cents due to the underperformance of the Reservoir Description segment and increased costs and expenses.

This oilfield service provider reported second-quarter operating revenues of $124.6 million, missing the Zacks Consensus Estimate of $128 million and decreasing from the earlier-year quarter’s reported figure of $130.1 million. This can be attributed to military conflicts in the Middle East and the Russia-Ukraine region, which disrupted energy infrastructure, delaying projects, disrupting crude oil trade and reducing demand for the company's international laboratory services.

As of June 30, 2026, the company had cash and cash equivalents of $22.7 million and long-term debt of $113.9 million. CLB’s debt-to-capitalization was about 29%.

Key Takeaways Lumentum expects fiscal Q4 revenues of $960M-$1.01B and non-GAAP EPS of $2.85-$3.05.Strong cloud and AI demand, 1.6T transceivers and OCS contributions are expected to support growth.Supply constraints in EMLs, pump lasers and OCS could limit Lumentum's ability to meet customer demand. Lumentum (LITE - Free Report) is set to report its fourth-quarter fiscal 2026 results on Aug. 11.

For the to-be-reported quarter, Lumentum expects revenues between $960 million and $1.01 billion. LITE expects non-GAAP earnings in the $2.85-$3.05 per share range.

The Zacks Consensus Estimate for revenues is pegged at $988.56 million, indicating an increase of 105.65% from the year-ago quarter’s reported figure. The consensus mark for earnings is pegged at $2.99 per share, up by 3 cents over the past 30 days. Lumentum reported earnings of 88 cents in the year-ago quarter.

Consensus Estimate Trend
Image Source: Zacks Investment Research

LITE’s earnings have surpassed the Zacks Consensus Estimate in all the trailing four quarters, the average surprise being 9.59%. 

Let us see how things have shaped up for the upcoming announcement.

Key Factors to Note Ahead of LITE’s Q4 ResultsLumentum’s fourth-quarter fiscal 2026 results are expected to have benefited from continued robust demand across its cloud and AI portfolio, supported by strength in both components and systems. More than half of the anticipated sequential revenue growth (21.3% at current guidance) is expected to have come from components, with the balance driven mainly by high-speed transceivers and additional Optical Circuit Switch (OCS) contributions.

Demand for EML laser chips and scale-across products, including pump lasers and narrow-linewidth laser assemblies, is likely to have remained particularly strong. In the third quarter of fiscal 2026, narrow-linewidth laser shipments had increased more than 120% year over year, and pump laser shipments grew 80%, with these products effectively sold out for the foreseeable future.

Another important fiscal fourth-quarter catalyst is likely to have been the ramp of 1.6T transceivers. Lumentum entered the quarter expecting to increase shipments of 1.6T products, including initial integration of internally sourced CW lasers, while continued yield improvements and lower scrap rates were expected to support transceiver profitability. The transition from 800G to 1.6T also represents a favorable content and pricing dynamic for the company. LITE noted that 200G EMLs used for 1.6T applications carry roughly twice the ASP of the 100G EMLs predominantly used in 800G transceivers.

Meanwhile, favorable product mix, pricing discipline, manufacturing utilization and operating leverage should have supported further earnings expansion. These factors had already lifted fiscal third-quarter non-GAAP gross margin by 540 basis points (bps) sequentially to 47.9% and operating margin by 700 bps to 32.2%.

Despite the favorable demand backdrop, supply constraints could have limited Lumentum’s ability to fully capitalize on customer demand in the fourth quarter of fiscal 2026. Management indicated that the EML supply-demand gap remained above 30%, while pump-laser constraints were even more pronounced, forcing the company to make allocation decisions among customers. OCS growth has similarly been gated by supply-chain tightness amid a substantial increase in requested output.

LITE Shares Outperform Sector Lumentum shares have jumped a whopping 127.4% in the year-to-date period (YTD), outperforming the broader Zacks Computer and Technology sector’s appreciation of 16.9%. The company has outperformed peers like Coherent (COHR - Free Report) and Ciena (CIEN - Free Report) but lagged Marvell Technology (MRVL - Free Report) YTD. Shares of Coherent, Ciena and Marvell Technology have returned 81.1%, 72.7% and 147.6%, respectively, over the same time frame.

LITE Stock’s Price Performance
Image Source: Zacks Investment Research

Lumentum and Coherent are competitors in high-speed optical modules and transceivers used in data centers and optical links for AI infrastructures. Ciena is a leading provider of optical networking equipment, software and services. Marvell Technology is a competitor in optical networking for AI and data center applications.

The LITE stock is not so cheap, as suggested by the Value Score of F. In terms of the forward 12-month price-to-sales (P/S), LITE is trading at 10.93X, higher than the broader sector and peers. While the sector is trading at 6.54X, Ciena and Coherent trade at 7.63X, and 6.42X, respectively. However, LITE is trading at a discount compared with Marvell Technologies, shares of which trade at 13X.

LITE Stock is Trading at a Premium
Image Source: Zacks Investment Research

LITE's Prospects Ride on Strong AI DemandLumentum appears well positioned to benefit from a multiyear expansion in optical content as AI infrastructure increasingly shifts from copper toward optics. Beyond its current EML and transceiver strength, the company sees four major growth vectors — OCS, optical scale-out, optical scale-up and transceivers — with several still making only modest contributions to revenues. Management expects OCS and scale-out contributions to become more meaningful ahead, while optical scale-up could see major inflection points beginning in 2027.

The company has also highlighted the transition toward 1.6T and eventually 3.2T connectivity, which should increase optical content requirements. Lumentum’s strong position in differentiated high-performance lasers, where reliability, performance and customer manufacturing yields create meaningful barriers to entry, could enable the company to capture a sizable share of this expansion.

Scale-up connectivity and CPO/NPO represent particularly compelling longer-term opportunities. Lumentum expects optical scale-up to significantly increase optical intensity as connectivity moves inside and between AI racks, potentially creating an opportunity substantially larger than scale-out. According to LITE, optical intensity could increase by at least three times when scale-up takes hold, while CPO demand remained strong and CW-laser requirements continued to rise. OCS offers another substantial runway as customer engagements and use cases broaden, including higher and lower-port-count configurations and potential in-rack applications.

Longer term, Lumentum also intends to broaden its component portfolio beyond lasers into areas such as photonic ICs, photodiodes, laser drivers and potentially TIAs, expanding the company's addressable content within next-generation optical systems.

ConclusionLumentum appears to have entered the fiscal fourth quarter with strong momentum, backed by surging AI-related optical demand, the 1.6T transceiver ramp, tight EML and scale-across supply, improving mix and substantial operating leverage. More importantly, many of its potentially largest opportunities — including OCS, scale-out CPO and especially optical scale-up — remain at relatively early stages of adoption. Lumentum's differentiated laser portfolio, expanding optical footprint and exposure to rising AI connectivity requirements provide a favorable foundation for sustained revenue and earnings growth over the longer term.

Lumentum currently has a Zacks Rank #2 (Buy), which implies that investors should buy the stock ahead of fiscal fourth-quarter earnings. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Microchip fiscal Q1 sales rose 38% to $1.485B as demand improved and inventory days fell to 175.Data center revenues jumped 97.8%, while PCIe Gen6 connectivity design wins doubled to 12 programs.Microchip sees fiscal Q2 sales of $1.589B-$1.618B and non-GAAP EPS of 91-95 cents. Microchip Technology (MCHP - Free Report) reported first-quarter fiscal 2027 non-GAAP earnings of 76 cents per share, up 181.5% year over year and beating the Zacks Consensus Estimate by 8.6%.

Net sales of $1.485 billion rose 38% and beat the $1.448 billion consensus mark by 2.5%.

Improving demand, continued inventory normalization and stronger factory utilization supported the quarter. Inventory days declined to 175 from 185 at March-end, while bookings remained strong and the book-to-bill ratio stayed well above 1.

MCHP Demand Recovery Gains MomentumSales increased 13.2% sequentially and exceeded the high end of management’s prior guidance. Distribution sell-through increased meaningfully, while customer activity improved across several key end markets.

Microchip credited higher factory utilization, lower underutilization charges and disciplined expense management for improving operational leverage. The company also said stronger customer engagement and healthy booking activity reinforced confidence in the ongoing business recovery.

Mixed-signal microcontrollers remained Microchip’s largest product line, generating $739.1 million in sales. Analog contributed $410.9 million, while other products generated $334.7 million.

Geographically, Asia led with $769.5 million in revenues, followed by the Americas at $430.8 million and Europe at $284.4 million. Distribution accounted for 52% of first-quarter sales, while the direct channel represented 48%, highlighting a relatively balanced channel mix.

Microchip Data Center Momentum BuildsData center represented 17.1% of the June-quarter revenue mix and posted 97.8% year-over-year growth, the strongest growth rate among Microchip’s disclosed end markets.

Communications grew 53.3%, while aerospace and defense increased 45.6%.

Microchip also doubled its PCIe Gen6 connectivity design wins sequentially, exiting the quarter with 12 programs versus six at the end of March. The company expects its total data center portfolio to grow 69.3% year over year to $1 billion in calendar 2026, supported by products spanning connectivity, storage, power, timing and security.

MCHP Margin Expansion AcceleratesNon-GAAP gross margin reached 63.8%, expanding 949 basis points (bps) year over year.

Non-GAAP operating expenses represented 28.7% of sales compared with 33.7% in the year-ago period.

Non-GAAP operating income was $521.1 million, up from $222.3 million a year earlier, underscoring the operating leverage generated by the revenue rebound. Non-GAAP operating margin climbed 1,443 bps to 35.1%, reflecting stronger absorption of manufacturing costs as utilization improved.

MCHP Cash Flow and Leverage ImproveAs of June 30, 2026, Microchip had cash and short-term investments of $272.3 million.

Cash flow from operations totaled $511.5 million compared with $275.6 million in the year-ago quarter. Free cash flow increased to $497.6 million from $257.7 million, representing 33.5% of net sales.

Microchip reduced net debt by approximately $170 million during the quarter. Net debt to adjusted trailing 12-month EBITDA improved to 2.85x from 3.54x in the prior quarter. The company also returned $246.9 million to common stockholders through dividends.

Microchip Guides Strong September QuarterFor the second quarter of fiscal 2027, Microchip expects net sales between $1.589 billion and $1.618 billion, which represents sequential growth of 7-9%, with the midpoint implying approximately 40.6% year-over-year growth.

The company expects non-GAAP gross margin of 66-67%, operating margin of 38.5-39.5% and operating expenses at 27.5% of sales.

Non-GAAP earnings are projected at 91-95 cents per share.

Capital expenditures are expected at $20-$25 million for the September quarter and approximately $100 million for fiscal 2027.

Zacks Rank & Upcoming Earnings to ConsiderMicrochip currently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks in the broader Zacks Computer and Technology sector that are set to report their quarterly results are NVIDIA (NVDA - Free Report) , Inuvo (INUV - Free Report) and Kimball Electronics (KE - Free Report) . While Inuvo and Kimball Electronics sport a Zacks Rank #1 (Strong Buy) each at present, NVIDIA has a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

NVIDIA, Inuvo and Kimball Electronics are set to report their quarterly results on Aug. 26, 11 and 12, respectively. Year to date, shares of Kimball Electronics and Inuvo have dropped 5.1% and 58.9%, respectively, while NVIDIA has jumped 17.4%.

Key Takeaways NYT shares fell 12.8% in four weeks as investors weigh growth and execution risks.NYT added 280,000 digital-only subscribers in Q2, below prior quarters' stronger gains.Digital-only subscription and advertising revenues grew, while print declines added pressure. The New York Times Company (NYT - Free Report) shares have fallen 12.8% over the past four weeks, putting attention on whether the retreat has improved the stock’s risk-reward profile.

The business still shows digital strength, but slower subscriber additions, print declines and elevated costs complicate the case. Investors must weigh recurring digital revenue growth and pricing power against those execution risks.

NYT Subscriber Growth Faces New QuestionsNYT ended the second quarter of 2026 with 13.35 million total subscribers, including 12.80 million digital-only subscribers. It added 280,000 net digital-only subscribers during the quarter, down from 310,000 in the first quarter.

The slowdown is clearer against the second half of 2025, when quarterly digital-only net additions reached 460,000 and 450,000.

Digital Revenue Supports NYT’s Business ModelDigital-only subscription revenues rose 16.4% year over year to $407.9 million in the second quarter. Digital-only average revenue per user increased 3.1% to $9.94, supported by subscribers moving from promotional offers to higher prices and pricing actions for certain tenured subscribers.

Digital advertising revenues climbed 20.7% to $114 million, helped by marketer demand and greater advertising supply. News Corporation (NWSA - Free Report) offers a relevant comparison, with Dow Jones continuing to grow digital-only subscriptions while print volume declines. Fox Corporation (FOXA - Free Report) is also leaning on digital growth, including streaming, as media companies compete for audience attention and advertising budgets.

NYT Print Declines Add PressurePrint remains a structural drag. Second-quarter print advertising revenues fell 11.1% year over year to $35.2 million, while print subscription revenues declined 0.8% to $130 million.

Print subscribers also slipped to about 550,000 from 580,000 a year earlier. That makes continued digital growth increasingly important because the newer revenue streams must absorb ongoing erosion in the legacy business.

NYT Valuation Tests Investor ConfidenceThe recent pullback has brought NYT’s forward 12-month earnings multiple down to 20.9X. That compares with 19.6X for its Zacks sub-industry, 17.2X for the Zacks sector and 20.7X for the S&P 500.

The discount from NYT’s five-year median multiple of 27.3X is meaningful, but the stock is not clearly cheap relative to current benchmarks. The Zacks Consensus Estimate calls for 2026 earnings of $2.92 per share and revenues of $3.10 billion, while the current-year earnings estimate has edged 0.3% lower over the past four weeks.

Image Source: Zacks Investment Research

NYT’s Rankings Reflect Mixed SignalsThe pullback creates a more measured valuation setup, but near-term caution remains warranted given slowing subscriber additions, print weakness and continued spending on journalism, marketing and product development. Second-quarter adjusted operating costs rose 10% year over year to $607.2 million.

NYT currently carries a Zacks Rank #4 (Sell), a short-term signal tied to earnings estimate revisions. Its Growth Score of A and Momentum Score of A point to favorable growth and momentum characteristics, while its Value Score of D indicates weaker value characteristics. The VGM Score of B is favorable, but Style Scores are designed to complement the Zacks Rank rather than override it. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

CareTrust REIT, Inc. (CTRE) Q2 2026 Earnings Call August 7, 2026 11:00 AM EDT

Company Participants

Lauren Beale - Senior VP & Chief Accounting Officer
David Sedgwick - CEO, President & Director
James Callister - Chief Investment Officer & Secretary
Derek Bunker - CFO & Treasurer

Conference Call Participants

William John Kilichowski - Wells Fargo Securities, LLC, Research Division
Austin Wurschmidt - KeyBanc Capital Markets Inc., Research Division
Robin Haneland - BMO Capital Markets Equity Research
Michael Goldsmith - UBS Investment Bank, Research Division
Michael Carroll - RBC Capital Markets, Research Division
Farrell Granath - BofA Securities, Research Division
Richard Anderson - Cantor Fitzgerald & Co., Research Division
Alec Feygin - Robert W. Baird & Co. Incorporated, Research Division
David Rodgers - Raymond James & Associates, Inc., Research Division
Michael Stroyeck - Green Street Advisors, LLC, Research Division
Jyoti Yadav - Mizuho Securities USA LLC, Research Division

Presentation

Operator

Hello, everyone. Thank you for joining us, and welcome to the CareTrust Second Quarter Earnings Call. [Operator Instructions] I will now hand the conference over to Lauren Beale, Chief Accounting Officer. Lauren, please go ahead.

Lauren Beale
Senior VP & Chief Accounting Officer

Thank you, and welcome to CareTrust REIT's Second Quarter 2026 Earnings Call. Today, we will make forward-looking statements based on management's current expectations, including statements regarding future financial performance, dividends, acquisitions, investments, financing plans, business strategies and growth prospects. These forward-looking statements are subject to risks and uncertainties that could cause actual results to materially differ from our expectations. These risks are discussed in CareTrust REIT's most recent Form 10-Q filing with the SEC. We do not undertake a duty to update or revise these statements, except as required by law.

During the call, the company will reference non-GAAP metrics such as EBITDA, FFO and FAD. A reconciliation of these measures to the most comparable GAAP financial measures is available in our

Key Takeaways Gartner raised 2026 adjusted EPS guidance to at least $14 and free cash flow to at least $1.185B.Gartner cut adjusted revenue guidance to at least $6.375B as Consulting revenues fell 8.8% in Q2.Gartner's Q2 adjusted EBITDA margin rose to 27.8%, while buybacks helped adjusted EPS climb 23.8%. Gartner, Inc. (IT - Free Report) raised its 2026 profit and cash-flow expectations even as it lowered its adjusted revenue outlook. The divergence shifts investor attention toward cost control, margins and capital allocation.

The key question is whether those levers can keep supporting per-share earnings while top-line growth remains restrained.

Gartner Raises Its 2026 Profit ExpectationsGartner lifted adjusted EPS guidance to at least $14 from $13.25. Adjusted EBITDA excluding the divested operation is now expected to reach at least $1.570 billion, up from $1.545 billion previously.

Free cash flow guidance also increased to at least $1.185 billion from $1.160 billion. The higher targets point to greater confidence in profitability and cash generation despite a more measured revenue outlook.

IT Trims Its Revenue OutlookAdjusted revenue guidance declined to at least $6.375 billion from $6.405 billion. The Insights revenue outlook also moved lower to at least $5.170 billion from $5.200 billion.

The simultaneous profit upgrade and revenue reduction puts more weight on operating efficiency and business mix. Gartner said expenses reflect agile cost management while it continues investing in experts and artificial intelligence to support future top-line growth.

Gartner’s Q2 Margins Show Why Profits Can RiseSecond-quarter adjusted EBITDA excluding the divested operation increased 6.4% to $466 million. The corresponding margin reached 27.8%, expanding 90 basis points year over year.

GAAP operating income rose to $378.5 million from $327.1 million. Operating margin improved to 22.6% from 19.4%, reinforcing the margin expansion behind the higher full-year profit expectations.

IT’s Segment Mix Creates Both Support and PressureInsights revenues rose 2.1% to $1.290 billion, while Conferences revenues increased 15.5% to $244 million. Conferences contribution margin reached 59.5%, up from 57.4% a year earlier.

Consulting revenues fell 8.8% to $142 million and contribution declined 12.6% to $54 million. Forrester Research, Inc. (FORR - Free Report) , an independent research and advisory firm, is a relevant peer for the Insights business. Accenture plc (ACN - Free Report) , which offers broad consulting and technology services, provides context for Gartner’s Consulting exposure.

Gartner’s Cash Flow and Buybacks Add LeverageSecond-quarter free cash flow increased 8.9% to $378 million. Gartner also repurchased 3.6 million shares for $547 million during the quarter, while its board increased the repurchase authorization by $500 million in July.

Adjusted EPS rose 23.8% to $4.37, faster than the 6.6% increase in adjusted net income to $291 million. The diluted share count fell to 66.6 million from 77.4 million, showing how buybacks amplified per-share growth.

                                                                 Image Source: Zacks Investment Research

IT’s Positive Signals Reinforce the Profit StoryGartner’s raised earnings and free cash flow outlook, wider margins and lower share count support the profit case, but slower revenue expectations keep execution risk in focus. Improvement in Consulting and sustained margin discipline remain important variables.

The stock currently carries a Zacks Rank #1 (Strong Buy), You can see the complete list of today’s Zacks #1 Rank stocks here.It carries a Value Score of A and VGM Score of A. It also has a Growth Score of B and Momentum Score of B.

The Zacks Rank places IT among the top-ranked stocks based on earnings estimate revisions, while the A and B Style Scores indicate favorable value, growth and momentum characteristics. These signals are positive, but revenue growth and segment execution still warrant monitoring.

Enterprise Products Partners (EPD - Free Report) reported $18.27 billion in revenue for the quarter ended June 2026, representing a year-over-year increase of 60.8%. EPS of $0.84 for the same period compares to $0.66 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $13.6 billion, representing a surprise of +34.33%. The company delivered an EPS surprise of +12%, with the consensus EPS estimate being $0.75.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Enterprise Products performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

NGL Pipelines & Services net - NGL fractionation volumes per day: 1858 millions of barrels of oil per day versus 1925.72 millions of barrels of oil per day estimated by two analysts on average.NGL Pipelines & Services net - Fee-based natural gas processing per day: 7448 millions of barrels of oil per day versus 7539.53 millions of barrels of oil per day estimated by two analysts on average.NGL Pipelines & Services net - NGL pipeline transportation volumes per day: 4913 millions of barrels of oil per day versus the two-analyst average estimate of 4883.57 millions of barrels of oil per day.Natural Gas Pipelines & Services net - Natural gas transportation volumes per day: 21,048.00 BBtu/D versus 20,887.46 BBtu/D estimated by two analysts on average.Petrochemical Services net - Butane isomerization volumes per day: 115 millions of barrels of oil per day compared to the 121.81 millions of barrels of oil per day average estimate based on two analysts.Petrochemical Services net - Propylene fractionation volumes per day: 134 millions of barrels of oil per day versus 124.37 millions of barrels of oil per day estimated by two analysts on average.Petrochemical Services net - Octane enhancement and related plant sales volumes per day: 37 millions of barrels of oil per day versus 30.47 millions of barrels of oil per day estimated by two analysts on average.NGL Pipelines & Services net - Equity NGL production per day: 230 millions of barrels of oil per day compared to the 226.81 millions of barrels of oil per day average estimate based on two analysts.Gross operating margin- Petrochemical & Refined Products Services- Propylene production and related activities: $154 million versus the two-analyst average estimate of $138.38 million.Gross operating margin- NGL Pipelines & Services: $1.55 billion versus the two-analyst average estimate of $1.52 billion.Gross operating margin- Crude Oil Pipelines & Services: $485 million versus $389.99 million estimated by two analysts on average.Gross operating margin- Natural Gas Pipelines & Services: $556 million versus $462.48 million estimated by two analysts on average.View all Key Company Metrics for Enterprise Products here>>>

Shares of Enterprise Products have returned +2% over the past month versus the Zacks S&P 500 composite's +2.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Key Takeaways ANET topped 100 cumulative AI fabric customers and expects at least $3.6B in AI revenue in 2026. Arista Networks reported record Q2 2026 revenue of $3.04B and non-GAAP EPS of $1.02. ANET is expanding beyond cloud switching through enterprise networking, routing and software offerings. Arista Networks (ANET - Free Report) has surged 30.1% over the past three months, reflecting growing investor confidence in the company's expanding role in AI networking. The rally has been supported by another quarter of stronger-than-expected financial results, accelerating AI infrastructure demand and continued expansion beyond its traditional cloud switching business. The key question for investors is whether these fundamentals can continue supporting further gains or whether much of the optimism has already been priced into the stock. 

What Is Fueling ANET's AI Networking Story?AI networking remains Arista's biggest growth driver. Management said AI fabric momentum has expanded dramatically, with cumulative AI fabric customers surpassing 100 compared with only four to five customers in 2024. The company expects AI-related revenue to reach at least $3.6 billion in 2026 as hyperscalers and enterprises continue building large-scale AI clusters. 

To strengthen its position, Arista recently introduced new Etherlink AI fabric platforms featuring 1.6-terabit technology, including liquid-cooled options designed for next-generation AI deployments. The company also highlighted innovations such as Multipath Reliable Connection (MRC), Smart System Upgrade (SSU) and Segment Routing over IPv6 (SRv6), which improve utilization, resiliency and efficiency across AI clusters. These capabilities expand Arista's opportunity beyond traditional scale-out networking into scale-across AI architectures, a market management believes could represent a $15-$20 billion opportunity by 2030. 

How Arista Is Expanding Beyond Cloud SwitchingAlthough AI has attracted most investor attention, Arista continues diversifying its business across enterprise networking. The company has steadily expanded into campus networking, routing, cloud automation and software through its Extensible Operating System (EOS) and CloudVision platform. EOS remains a major competitive differentiator because it provides a unified, programmable operating system spanning data centers, campus networks and AI infrastructure. This software-centric architecture simplifies network management while supporting automation, security and scalability across customer environments.

Arista also competes with networking leader Cisco Systems, Inc. (CSCO - Free Report) and NVIDIA Corporation (NVDA - Free Report) in AI networking. Cisco is expanding its AI infrastructure offerings through its enterprise networking portfolio, while NVIDIA continues to strengthen its AI networking business with high-performance Ethernet and InfiniBand technologies. Arista has differentiated itself through its software-driven EOS architecture, growing AI Ethernet leadership and increasing exposure to hyperscale AI deployments, positioning the company well in the rapidly expanding AI networking market.

The strategy is producing broader adoption outside hyperscale cloud customers. During the quarter, Arista highlighted recognition as a Leader in Gartner's 2026 Magic Quadrant for Enterprise Wired and Wireless LAN, reflecting continued traction in campus networking. Enterprise, routing and software offerings provide additional growth avenues while reducing dependence on any single product category over the long run.

Can Strong Financial Momentum Continue?Recent operating performance suggests business momentum remains robust. Second-quarter 2026 revenue increased 37.7% year over year to a record $3.04 billion, while non-GAAP EPS climbed nearly 40% to $1.02, exceeding the Zacks Consensus Estimate. Product revenue remained the primary growth engine as AI, cloud and enterprise demand accelerated.

Profitability also remains impressive. The company generated a non-GAAP operating margin of 49.9% despite continued investment in research and development. Management expects third-quarter revenue of approximately $3.3 billion while projecting non-GAAP operating margins between 48% and 49%, indicating confidence that demand remains healthy.

Image Source: Zacks Investment Research

The balance sheet also remains a significant strength. As of June 30, 2026, Arista held more than $13 billion in cash, cash equivalents and marketable securities, providing ample financial flexibility for future investment and innovation. 

What Could Slow ANET After a Strong Run?Despite its strong outlook, several risks could limit additional upside. Competition remains intense across AI Ethernet networking, cloud switching and routing, with large networking vendors and emerging AI infrastructure providers pursuing the same high-growth opportunities. 

Customer concentration also remains an important consideration, as a meaningful portion of revenue continues to come from a relatively small number of large cloud customers. Any reduction in capital spending from hyperscalers could create revenue volatility.

Execution risks also remain. AI deployments require timely product availability, efficient supply-chain management and continued technology leadership. In addition, if AI infrastructure spending moderates after the current investment cycle or customer deployments are delayed, revenue growth could slow from its current pace.

How the Zacks Signals Fit the StoryANET currently carries a Zacks Rank #2 (Buy), reflecting favorable earnings estimate trends. The stock also has a Growth Score of A, highlighting its strong earnings and revenue expansion prospects. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Its Momentum Score of C suggests that while the shares have appreciated significantly, momentum characteristics appear more balanced following the recent rally. Meanwhile, the Value Score of F indicates that investors are paying a premium valuation for the company's growth prospects, an unsurprising outcome given the stock's sharp advance and leadership position in AI networking. The VGM Score of C reflects a blend of outstanding growth characteristics offset by a rich valuation and more moderate momentum profile. Together, these signals suggest Arista remains an attractive growth story, although investors should recognize that much of its near-term upside depends on the company continuing to deliver exceptional execution to justify its premium valuation. 

Key Takeaways CRH beat Q2 EPS estimates by 12.8%, with revenues up 6% to $10.78 billion and guidance reaffirmed.Infrastructure was 40% of CRH's fiscal 2025 exposure, while 40% of U.S. IIJA funding remained unspent.CRH faces subdued housing, cost inflation and Arcosa deal demands, with net debt at $15.4 billion. CRH plc (CRH - Free Report) presents investors with a valuation-versus-execution decision. Better-than-expected second-quarter results, sizable infrastructure exposure and reaffirmed 2026 guidance support the case for the shares.

The offsets are meaningful. Subdued U.S. new-build housing, inflationary costs and acquisition-related capital demands argue for a measured approach rather than an aggressive entry.

CRH’s Valuation Offers a Relative DiscountCRH’s forward 12-month price-to-earnings ratio is 15.32, below 18.41 for its Zacks sub-industry, 20.3 for the Zacks Construction sector and 20.71 for the S&P 500. The spread supports the relative-valuation argument.

The stock is not unusually cheap relative to its own history. Its five-year median multiple is 14.58, below the current level, which tempers the apparent discount and keeps execution central to the valuation case.

CRH’s Earnings Beat Supports the Bull CaseSecond-quarter adjusted earnings of $2.21 per share topped the Zacks Consensus Estimate of $1.96 by 12.8% and increased 14% year over year. Revenues rose 6% to $10.78 billion and exceeded the consensus mark by 0.5%.

CRH also reaffirmed 2026 adjusted EBITDA guidance of $8.1-$8.5 billion and earnings guidance of $5.60-$6.05 per share. The outlook assumes favorable demand across key end markets, while new-build residential activity remains subdued.

CRH’s Infrastructure Mix Supports DemandInfrastructure represented 40% of CRH’s fiscal 2025 end-market exposure, giving the company substantial participation in public construction spending. Management said about 40% of U.S. Infrastructure Investment and Jobs Act funding remained unspent in 2026, supporting momentum into 2027.

Transportation, water and reindustrialization remain important demand drivers. Martin Marietta Materials, Inc. (MLM - Free Report) , another large U.S. aggregates supplier, reported 16% year-over-year growth in second-quarter 2026 aggregates revenues, although acquisitions contributed significantly to shipment growth. Vulcan Materials Company (VMC - Free Report) , the nation’s largest producer of construction aggregates, reiterated its 2026 adjusted EBITDA outlook of $2.4-$2.6 billion after reporting second-quarter results, providing another reference point for the aggregates market.

CRH Still Faces Housing and Cost PressureAmericas Building Solutions revenues declined 2% in the second quarter to $2.12 billion. Adjusted EBITDA fell 8% to $462 million and margin contracted 140 basis points to 21.8%, as divestitures, subdued residential demand and cost inflation weighed on performance.

Housing is not the only constraint. CRH continues to face elevated costs, including haulage expenses, while the planned Arcosa acquisition adds financing and integration requirements. Net debt was $15.4 billion at June 30, 2026, up from $14.2 billion at year-end 2025, and CRH paused new share-buyback tranches after announcing the deal.

CRH’s Mixed Scores Favor a Balanced ViewCRH’s operating and valuation positives are credible, but the risk-reward setup does not point to an aggressive buy. The stock currently carries a Zacks Rank #3 (Hold), which supports a patient stance while investors watch housing conditions, cost control and acquisition execution. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The company has a Value Score of B, Growth Score of C, Momentum Score of F and VGM Score of C. The Value Score supports the relative-valuation case, but the weaker Momentum Score and middling Growth and VGM Scores suggest that valuation alone is not enough to make the near-term setup compelling.

Shares of quickly growing, hand-crafted beverages chain Dutch Bros (BROS -0.28%) are down 20% this week after the company reported second-quarter earnings on Wednesday. The company grew sales and net income by 32% and 34%, respectively, easily sailing past analysts' expectations. Same-shop sales rose 5.8% during the quarter as well, highlighting that this was not solely expansion-driven growth. Management also raised sales guidance for 2026 to roughly a 29% increase compared to last year.

Despite the impressive figures, Dutch Bros' stock dropped as the market wrestled with a couple of surprising new items.

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The first thing the market seems to be assessing is Dutch Bros' hefty capital expenditures guidance of $350 million to $370 million. While the company is in high-growth mode as it tries to expand from 1,200 locations today to 2,029 by 2029, this new capex outlook represented a 49% increase from 2025 -- surpassing its sales growth this year. That said, this isn't an inherently bad thing. It just means that Dutch Bros is making a bigger bet on its growth opportunities right now, slightly upping its risk-reward potential.

Image source: The Motley Fool.

In addition to this guidance, management announced it was acquiring 65 Salad and Go locations across Texas, Oklahoma, Nevada, and Arizona after the chain went bankrupt. While this probably helps explain some of the higher 2026 capex, it also suggests that 2027's capex may be elevated as the company transforms these locations into new Dutch Bros shops. Again, this isn't inherently bad, but it raises the stakes for Dutch Bros' already ambitious expansion plans.

Ultimately, I think this was an excellent quarter from the company -- especially considering that cash from operations still covers its expansion spending. Trading at 27 times cash from operations, Dutch Bros isn't outrageously priced considering its growth prospects, loyal customer base, and nascent food and rewards programs. I'll be looking to add to my position in the company over the coming weeks and believe Dutch Bros' culture and blend of iced coffees, homemade energy drinks, and other handcrafted drinks stand out from the crowd.

Key Takeaways Whirlpool's Q2 results showed margin improvement, but net sales fell 6.8% year over year.WHR's pricing actions lifted North America margins as promotional and list increases took effect.Whirlpool expects structural cost cuts to deliver future EBIT benefits through facility changes. Whirlpool Corporation (WHR - Free Report) shares have gained 13.6% over the past month as investors weigh improving margin trends against continued weakness in appliance demand. The stock remains down 40.4% year to date, highlighting the gap between recent price momentum and the broader earnings recovery challenge.

The company’s second-quarter 2026 results showed sequential margin improvement as pricing actions began offsetting cost pressures, but sales remained under pressure. Whirlpool reported second-quarter net sales of $3.52 billion, down 6.8% year over year, while ongoing EBIT margin declined to 1.8% from 5.3% a year ago.

WHR Margin Recovery Gets Support From Pricing ActionsWhirlpool’s pricing initiatives are beginning to support profitability, particularly in North America. In the second quarter, MDA North America net sales increased 8% sequentially, while EBIT margin improved 240 basis points from the first quarter, driven mainly by promotional price increases.

The company executed a promotional price increase of more than 10% compared with first-quarter prices and implemented an additional list price increase of approximately 4% effective in July. Management expects these actions, along with builder pricing, to provide further benefits in the second half of 2026.

Whirlpool maintained its 2026 operational outlook, including expectations for approximately $15 billion in net sales and an ongoing EBIT margin of about 4%, supported by pricing actions and structural cost reductions.

Image Source: Zacks Investment Research

Cost Cuts Could Become a Longer-Term CatalystWhirlpool is advancing structural cost-reduction initiatives aimed at improving efficiency and supporting margins. The company remains on track to deliver more than $150 million in structural cost takeout in 2026, including savings from automation, strategic sourcing and fixed-cost actions.

Additional benefits are expected from manufacturing and distribution changes. Whirlpool expects the Amana facility modernization to generate approximately $70 million in annualized EBIT improvement, while the Perrysburg facility could add about $30 million. The company also expects distribution network changes to generate another $60 million in annualized EBIT benefits.

Most of these footprint-related benefits are expected to build more meaningfully in 2027 and 2028, creating a longer runway for cost improvements.

Weak Appliance Demand Remains a ChallengeDespite progress on pricing and costs, Whirlpool continues to operate in a difficult demand environment. Second-quarter sales reflected softer appliance demand in North America and promotional intensity in Latin America. Competition remains intense across the appliance industry, with companies such as SharkNinja, Inc. (SN - Free Report) and Newell Brands Inc. (NWL - Free Report) also competing across major appliance categories, including kitchen and household consumer products.

MDA North America sales declined 1.5% year over year as lower industry demand weighed on volumes, although favorable price/mix partially offset the decline. U.S. appliance industry demand fell 3.4% year over year during the quarter.

Cost pressures also remain a concern. Whirlpool’s margin improvement from pricing and mix was partly offset by tariffs and raw-material inflation, including higher steel and base-metal costs.

Investor Signals Remain Mixed for Whirlpool StockWHR currently carries a Zacks Recommendation of Neutral and a Zacks Rank #3 (Hold). The stock has a Value Score of B, Growth Score of F, Momentum Score of F and VGM Score of D, indicating valuation support but weaker growth and momentum characteristics.

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

Whirlpool has strengthened liquidity through balance-sheet actions, including completing a $2 billion asset-based lending facility and issuing $2 billion in secured bonds. These steps extended debt maturities and improved financial flexibility.

The recent stock rebound reflects progress on pricing, cost reductions and product execution, but continued gains may depend on whether Whirlpool can sustain margin expansion while navigating weak demand, tariffs and elevated financing costs.

For the quarter ended June 2026, Plains All American Pipeline (PAA - Free Report) reported revenue of $17.69 billion, up 66.3% over the same period last year. EPS came in at $0.41, compared to $0.36 in the year-ago quarter.

The reported revenue represents a surprise of +20.55% over the Zacks Consensus Estimate of $14.68 billion. With the consensus EPS estimate being $0.40, the EPS surprise was +2.5%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Plains All American performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Crude oil pipeline tariff volumes- Total: 10595 thousands of barrels of oil versus 10320.09 thousands of barrels of oil estimated by two analysts on average.Segment Adjusted EBITDA- NGL: $40 million versus $25.28 million estimated by two analysts on average.Segment Adjusted EBITDA- Crude oil: $690 million compared to the $700.17 million average estimate based on two analysts.View all Key Company Metrics for Plains All American here>>>

Shares of Plains All American have returned +3% over the past month versus the Zacks S&P 500 composite's +2.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Arlo Technologies, Inc. (ARLO) Q2 2026 Earnings Call August 6, 2026 5:00 PM EDT

Company Participants

Tahmin Clarke - Investor Relations Executive
Matthew McRae - CEO & Director
Kurt Binder - CFO & COO

Conference Call Participants

Jacob Stephan - Lake Street Capital Markets, LLC, Research Division
Dylan Becker - William Blair & Company L.L.C., Research Division
Rian Bisson - Craig-Hallum Capital Group LLC, Research Division
Scott Searle - ROTH Capital Partners, LLC, Research Division
Adam Tindle - Raymond James & Associates, Inc., Research Division
Martin Yang - Oppenheimer & Co. Inc., Research Division

Presentation

Operator

Ladies and gentlemen, thank you for standing by. [Operator Instructions] I would now like to turn the conference over to Tahmin Clarke. Please go ahead.

Tahmin Clarke
Investor Relations Executive

Before we begin the formal remarks, we advise you that today's conference call contains forward-looking statements. Forward-looking statements include statements regarding our potential future business, operating results and financial condition, including our description of revenue, gross margins, operating margins, earnings per share, expenses, cash outlook, free cash flow and free cash flow margin, ARR and other KPIs, guidance for the third quarter and full year 2026, the long-range plan targets, the rate and timing of paid subscriber growth, the commercial launch and momentum of new products and services, the timing and impact of tariffs, strategic objectives and initiatives, market expansion and future growth, partnerships with various market leaders and strategic collaborators, continued new product and service differentiation and the impact of general macroeconomic conditions on our business, operating results and financial condition.

Actual results or trends could differ materially from those contemplated by these forward-looking statements. For more information, please refer to the risk factors discussed in Arlo's periodic filings with the SEC, including our quarterly report on Form 10-Q filed earlier today. Any forward-looking statements that we make on this call are

Oklo Inc. (OKLO) Q2 2026 Earnings Call August 7, 2026 8:30 AM EDT

Company Participants

Sam Doane - Senior Director of Investor Relations
Jacob Dewitte - Co-Founder, CEO & Chairman
Richard Bealmear - Chief Financial Officer

Conference Call Participants

Nathaniel Pendleton - Texas Capital Securities, Research Division
George Gianarikas - Canaccord Genuity Corp., Research Division
Joseph Osha - Guggenheim Securities, LLC, Research Division
Ryan Pfingst - B. Riley Securities, Inc., Research Division
Brian Lee - Goldman Sachs Group, Inc., Research Division
Christopher Souther - Truist Securities, Inc., Research Division
Jeremy Tonet - JPMorgan Chase & Co, Research Division
Rinny Singh - BofA Securities, Research Division
Derek Soderberg - Cantor Fitzgerald & Co., Research Division
Jonathan Dorsheimer - William Blair & Company L.L.C., Research Division
Maxwell Hopkins - CLSA Limited, Research Division
Sherif Elmaghrabi - BTIG, LLC, Research Division
Craig Shere - Tuohy Brothers Investment Research, Inc.

Presentation

Operator

Hello, everyone. Thank you for joining us, and welcome to Oklo's Second Quarter 2026 Financial Results and Webcast. [Operator Instructions] I will now hand the conference over to Sam Doane, Senior Director of Investor Relations. Sam, please go ahead.

Sam Doane
Senior Director of Investor Relations

Thank you, operator, and welcome, everyone, to Oklo's Second Quarter 2026 Earnings and Company Update Call. I'm Sam Doane, Oklo's Senior Director of Investor Relations. Joining me today are Jake Dewitte, Oklo's Co-Founder and Chief Executive Officer; and Craig Bealmear, our Chief Financial Officer. Earlier today, we released our second quarter 2026 financial results. Today's accompanying slide presentation is available on the Investor Relations section of our website.

Before we begin, I'd like to remind everyone that today's discussion, including our prepared remarks and the question-and-answer session that follows, will include forward-looking statements. These statements reflect our current views regarding trends, assumptions, risks, uncertainties and other factors that could cause actual results to differ materially from those discussed today. We encourage you to review our forward-looking

Key Takeaways TSCO gained 13% in a month, but shares remain down 44.6% over the past 52 weeks.Tractor Supply cut its 2026 outlook as weaker traffic and discretionary spending pressured results.TSCO's digital sales grew at a double-digit rate, while Fusion, pet and Final Mile investments advanced. Tractor Supply Company (TSCO - Free Report) shares have gained 13% in the past month, extending a near-term rebound after a much weaker longer-term stretch. The move has revived interest in whether operating initiatives can support a more durable recovery.

That question remains unsettled. Softer discretionary demand, expense pressure and lower earnings visibility continue to weigh on the setup, while digital growth, store investments and pet initiatives provide potential offsets.

TSCO's One-Month Rebound Meets Mixed FundamentalsTSCO's 13% one-month gain follows an 11.9% rise over the past three months, but the shares are still down 44.6% over 52 weeks. The contrast shows how sharp the latest bounce has been relative to the stock's broader decline.

Fundamentals remain mixed. Management lowered its 2026 outlook after weaker traffic and discretionary spending hurt seasonal and big-ticket categories, while the current-fiscal-year earnings estimate has fallen 8.6% over the past four weeks. That revision trend keeps earnings visibility limited even as the share price recovers.

Tractor Supply's Sales Trends Still Look FragileSecond-quarter comparable-store sales fell 1.5% as transactions declined 1.7% and average ticket increased just 0.2%. Positive comps in April and June were more than offset by a weak May, when big-ticket and hardlines spring goods reduced the quarterly comp by about two percentage points.

Image Source: Zacks Investment Research

Needs-based consumable, usable and edible categories remained resilient, but discretionary demand stayed soft. The Home Depot, Inc. (HD - Free Report) reported 0.6% comparable-sales growth in the first quarter of fiscal 2026 while citing consumer uncertainty and housing affordability pressure. Lowe's Companies, Inc. (LOW - Free Report) also posted 0.6% comparable-sales growth in its first quarter, with spring execution and online growth supporting results despite a challenging housing backdrop.

TSCO's Cost Pressures Cloud the Earnings SetupAdjusted selling, general and administrative expenses rose 7.3% in the second quarter and deleveraged 118 basis points to 25.1% of sales. Lower comps were the main pressure, while higher medical claims and legal settlements added about 35 basis points.

More cost pressure is still ahead. Start-up spending for Tractor Supply's 11th distribution center is expected to create an SG&A headwind of about 20 basis points in both the third and fourth quarters. Management now expects 2026 adjusted operating margin of 8.5%-8.8%, below its prior range.

Tractor Supply Has Real Operational OffsetsTractor Supply is not relying only on a demand recovery. Digital sales grew at a double-digit rate in the second quarter, supported by delivery from store, higher traffic and improved conversion. Final Mile deliveries in the first half already matched the total completed in all of 2025.

Project Fusion, localized assortments and pet initiatives offer additional levers. Freshpet was in about 250 stores at quarter-end and remains on track for at least 700 by year-end. New stores continue to generate attractive returns, while capital is being shifted toward Fusion remodels, localization and Final Mile delivery.

TSCO's Signals Still Favor CautionThe rebound has improved the stock's recent price action, but the broader investment signals still argue for restraint. TSCO currently carries a Zacks Rank #5 (Strong Sell), which reflects unfavorable earnings-estimate revision trends and points to a weaker near-term outlook.

The stock also has a VGM Score of F, with a Value Score of D, Growth Score of D and Momentum Score of F. Those readings suggest the recent share-price strength has not been matched by favorable value, growth or momentum characteristics, leaving the rebound vulnerable until the underlying signals improve.

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

Key Takeaways Zeta Global shares rose 12.9% as Q2 revenues jumped 43.5% and adjusted EBITDA climbed 56% y/y.ZETA raised 2026 revenue guidance to $1.811-$1.824 billion as its sales pipeline expanded more than 60%.Zeta Global saw Athena adoption rise as customer metrics improved, though margin and integration risks remain. Zeta Global Holdings Corp. (ZETA - Free Report) shares gained 12.9% in the past week as investors weighed accelerating growth, improving customer metrics and a higher 2026 outlook.

The rally raises a tougher question. Can stronger execution and rising AI adoption support additional gains as expectations, integration work and near-term margin demands also increase?

ZETA's Rally Follows a Strong Q2 BeatSecond-quarter revenues rose 43.5% year over year to $442.8 million, topping the consensus mark by 5.4%. Non-GAAP earnings of 21 cents per share beat estimates by 5%, while adjusted EBITDA climbed 56% to $92 million.

Zeta also raised full-year 2026 revenue guidance to $1.811-$1.824 billion. At the midpoint, the outlook implies about 39% year-over-year growth. Free cash flow guidance increased to $254.8-$255.8 million, giving investors another measure of operating progress.

Zeta's Pipeline Supports Further GrowthThe sales pipeline expanded more than 60% year over year and increased by more than $100 million during the prior 90 days. Pipeline creation per seller more than doubled, indicating that productivity is improving alongside the larger opportunity set.

Average contract values on deals won rose more than 40%. That mix matters because larger wins can support future revenue growth, although long sales cycles can make the timing of conversion uneven from quarter to quarter.

ZETA's AI Adoption Deepens Customer ValueMore than 40% of super-scaled customers became monthly active Athena users within 130 days of its enterprise launch. Super-scaled customer average revenue per user reached $1.8 million, up 17% year over year, while the customer count rose 17% to 197.

Zeta said momentum from collaborations with Snowflake Inc. (SNOW - Free Report) and Palantir Technologies Inc. (PLTR - Free Report) is supporting its AI positioning. Snowflake operates an AI Data Cloud spanning data engineering, analytics and AI, while Palantir's Artificial Intelligence Platform connects AI with enterprise operations. Those relationships broaden Zeta's ecosystem as Athena adoption develops.

Zeta Still Faces Margin and Timing RisksNew agency business that initially ramps through social channels can lift GAAP cost of revenues before customers move toward Zeta-owned channels. That creates a potential margin timing issue even when customer activity is expanding.

Other risks remain. Zeta cites acquisition integration, including Marigold's Enterprise Business, as a potential execution challenge. Customer spending can also be affected by broader economic conditions, while Athena usage may precede monetization and produce uneven near-term results.

ZETA's Mixed Signals Temper the RallyThe stock currently carries a Zacks Rank #3 (Hold), which points to a neutral near-term earnings-revision signal rather than a clear bullish call. You can see the complete list of today’s Zacks #1 Rank stocks here.

That tempers the price move even as revenue growth, customer expansion and guidance have improved.

ZETA has a Growth Score of A, highlighting favorable growth characteristics, but its Value Score of D and Momentum Score of F are less supportive. The VGM Score of C reflects that mixed profile. The latest operating trends strengthen the fundamental case, but the Rank and Style Scores suggest investors should balance that progress against valuation, momentum and estimate-revision considerations.

Key Takeaways SPCX fell 24.5% in a month even as Q2 revenues surged 91.9% and its per-share loss narrowed sharply.Starlink subscribers doubled to 12 million, lifting Connectivity revenue 65.8% and operating income 79.4%.AI revenue jumped 247.5%, but heavy capex, operating losses and Starship execution risks weigh on the setup. Space Exploration Technologies Corp. (SPCX - Free Report) shares have fallen 24.5% in the past month even as the company posted rapid second-quarter growth across its three operating segments. The sell-off has reset the share price, but not the investment debate.

Starlink is profitable and AI revenues are expanding quickly. Heavy capital spending, reported losses, Starship execution requirements and a demanding valuation keep the risk-reward balanced.

SpaceX Growth Signals Remain Strong Beneath the SlideSecond-quarter 2026 revenues surged 91.9% year over year to $7.81 billion, beating the Zacks Consensus Estimate by 16.3%. The loss of 9 cents per share was 73.5% narrower than a year earlier and beat the consensus loss estimate of 26 cents.

Growth was broad. Connectivity remained the largest revenue contributor, AI grew the fastest and Space benefited from a more favorable customer launch mix. Consolidated operating loss narrowed to $143 million from $970 million.

Starlink Gives SPCX a Profitable Growth EngineStarlink subscribers doubled year over year to 12 million, helping Connectivity revenues climb 65.8% to $4.29 billion. Operating income rose 79.4% to $1.66 billion, producing a 38.6% operating margin. Adjusted EBITDA reached $2.60 billion.

Consumer revenues increased 44.4% to $2.49 billion and Enterprise & Government revenues more than doubled to $1.81 billion. Connectivity remains the company’s only segment-level source of operating income, giving Starlink a distinct role within the portfolio.

AI Upside Comes With SPCX Spending PressureAI revenues jumped 247.5% to $2.56 billion, driven largely by new cloud-services agreements. Segment adjusted EBITDA swung to positive $1.15 billion from a $276 million loss a year earlier, but the segment still posted a $1.26 billion operating loss under generally accepted accounting principles (GAAP).

AI accounted for $15.83 billion of SpaceX’s $18.37 billion in second-quarter capital expenditures. Management expects total capital spending in each of the next two quarters to remain near the second-quarter level, keeping capital efficiency central to returns.

Starship Keeps SpaceX's Execution Risk ElevatedTwo successful Starship V3 flights in the 90 days before the second-quarter call moved the program forward. Upcoming milestones include deploying V3 Starlink satellites to operational orbit and attempting catches of the vehicle stages, with some steps still subject to regulatory approval.

Starship is designed to quadruple payload capacity and reduce launch costs tenfold versus Falcon 9. Delays in reusability, regulatory clearance or flight cadence could slow launch, Connectivity and future AI deployment plans at the same time.

Valuation Could Limit SPCX's Rebound CaseSPCX trades at 335.4X enterprise value to EBITDA versus 7.2X for its industry, while its 11.8X price-to-book multiple compares with 1.7X for the industry. The wide gaps raise the importance of converting elevated investment into more consistent returns.

Rocket Lab Corporation (RKLB - Free Report) provides launch services and space systems, making it relevant to SpaceX’s launch exposure. AST SpaceMobile, Inc. (ASTS - Free Report) is building space-based cellular broadband, offering context for satellite connectivity. Neither captures SpaceX’s combined launch, broadband and AI mix, which limits clean peer comparisons.

SPCX Signals Favor Patience After the PullbackAfter the pullback, SPCX still presents a balanced setup rather than a clear-cut bargain. Rapid growth remains evident, but valuation, capital intensity and execution are meaningful offsets.

SPCX currently carries a Zacks Rank #3 (Hold), a VGM Score of D, Value Score of F, Growth Score of C and Momentum Score of A. The favorable Momentum Score contrasts with weak value and combined VGM characteristics, while the Hold rank supports patience rather than treating the decline alone as a buying signal.

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

Alphabet (NASDAQ: GOOG | GOOG Price Prediction) and Meta Platforms (NASDAQ: META) both dropped Q2 2026 results in late July, with sharply diverging results.

Google leaned on Cloud and Gemini adoption to power a clean beat. Meta grew ad revenue at a healthy clip but watched costs blow past guidance, snapping a long earnings streak and rattling investors.

Cloud Carries Google. Costs Bite Meta. Alphabet posted revenue of $119.8 billion, up 24.23% year over year, with Google Cloud accelerating to $24.77 billion and 82% growth.

Sundar Pichai told investors that “nearly 90% of the Fortune 100” now use Gemini Enterprise, while Gemini models process 22 billion API tokens per minute. Search still did the heavy lifting at $63.27 billion, up 17%, and YouTube pulled in 1.7 billion unique viewers for World Cup content. Operating margin expanded to 34%. Clean.

Meta’s top line looked fine on the surface: revenue of $60.8 billion, up 27.96%, ad revenue of $59.36 billion, and impressions up 14% with pricing up 12%. The problem sat below the fold.

EPS came in at $6.18 versus $7.2173 expected, missing expectations by 14.42% and ending a six-quarter beat streak. Total costs jumped 55%, weighed down by $2.40 billion in legal charges and $1.18 billion in severance tied to an 8,000-employee reduction. Operating margin collapsed from 43% to 31%.

Business Driver Alphabet Meta Main growth engine Cloud + Gemini Enterprise AI-priced ad targeting Margin direction Expanding Compressing Q2 capex $44.9 billion $30.1 billion Full Stack vs. Superintelligence Moonshot Alphabet is monetizing AI across a stack it already owns: TPUs, Gemini models, Cloud, Search, YouTube, Workspace. Pichai framed it as a “differentiated, full stack approach“, and the Cloud number backs him up.

Meta is spending to invent something further out. Zuckerberg’s Meta Superintelligence Labs is chasing consumer AI on top of a family of apps that reaches 3.60 billion daily users. He called AI “accelerating our core business today“, but the P&L is doing the paying.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Google didn't make the cut. Grab the names FREE today.

Both are borrowing heavily. Alphabet raised roughly $70 billion in combined equity and debt and suspended its buyback. Meta guided full-year capex to $130 billion to $145 billion, with expenses raised to $165 billion to $169 billion. Free cash flow tells the story: Alphabet swung to negative $5.86 billion, and Meta’s fell 91.31% to $784 million.

The Next Test Is Whether Capex Pays I want to see three things. For Google, whether Cloud can hold that 82% pace as capacity floods online, and whether Search query growth truly benefits from AI features rather than getting cannibalized.

For Meta, whether the Q3 revenue guide of $61 billion to $64 billion materializes without another cost surprise. The youth-related U.S. trials scheduled for 2026 are a wildcard I do not think retail has priced in.

Why I Lean Google Right Now On the fundamentals, Alphabet looks like the cleaner setup. Cloud is compounding, margins are widening, and shares are up 14.06% in the past week and 96.65% over one year.

Meta is a harder call. The ad engine still works, but shares are down 21.05% over the last year, and Polymarket traders assign only a 44% probability that META revisits $640 in August.

If you like turnarounds with defined catalysts, Meta has more upside variance. For investors focused on current fundamentals, Alphabet screens more favorably until Meta demonstrates cost discipline.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Google didn't make the cut. Grab the names FREE today.

Contact [email protected] for any questions or corrections.

Key Takeaways AMD shares fell despite a Q2 earnings beat, as a sharp capex increase weighed on investor sentiment. AMD reported record data center revenues and expects strong server and AI platform growth into 2027. ETFs like SMH and SOXQ offer notable AMD exposure while spreading risk across chip stocks. Shares of Advanced Micro Devices (AMD - Free Report) dropped 7% on Aug. 5, despite the tech firm reporting better-than-expected second-quarter 2026 results the previous day. AMD’s share price slump reflects that despite comfortably beating Wall Street’s revenue and earnings estimates, the chipmaker failed to improve investor sentiment, likely due to concerns over the sharp rise in second-quarter capital expenditures. 

While the stock regained its footing in the following trading session by inching up 1.5%, it remains 5.7% below the price level it boasted before the second-quarter results. 

Against this recent pullback, one must not forget that AMD has nearly tripled over the past year, backed by the soaring demand for its artificial intelligence (AI) chips, and remains up 128% year to date.

Management expects the company’s data center segment revenues to more than double year over year in 2027, while its server revenues are projected to soar more than 80% on an annual basis in the second half of 2026.

These growth projections are expected to provide a sustained tailwind for AMD’s share price, with the recent pullback suggesting to be only a momentary one, thereby offering a golden opportunity for investors to make an entry in this chipmaker right now. 

However, considering the huge 187% year-over-year increase in its Capex, capacity constraints in advanced packaging and volatile HBM4 memory pricing, some investors might remain skeptical of investing in AMD and would instead look for a safer bet. 

For them, a more prudent strategy would be to invest in Exchange-Traded Funds (ETFs) with significant exposure to this chipmaker. This approach will allow investors to capture the potential upside of AMD’s innovation cycle as well as the gains of other tech leaders while mitigating the risks associated with individual stock ownership in a high-valuation environment.

But before diving straight into these ETFs, let us check AMD’s overall performance in the second quarter in terms of other metrics.

A Brief Analysis of AMD’s Q2 ResultsAMD’s second-quarter earnings beat the Zacks Consensus Estimate by 3.1%, while revenues topped the mark by 1.9%. 

Its data center revenues grew 107% year over year to a record $6.7 billion, driven by strong demand for EPYC processors and Instinct accelerators. In the server segment, AMD delivered its fifth consecutive quarter of record server CPU revenues with cloud and enterprise sales each growing more than 70% year over year. 

Impressively, within its enterprise segment, more than 230 fifth-gen EPYC platforms are now in market from HPE, Dell, Lenovo, Supermicro and others.  

Revenues from its data center AI business more than doubled in the second quarter, driven by strong demand for its Instinct accelerators. 

Meanwhile, its AI software stack, ROCm reached an important inflection point with the performance, capabilities, and developer experience customers need to deploy AI in production at scale. The breadth of the ecosystem is also expanding with more than 3 million models now run out of the box. 

Looking ahead, Helios, AMD’s rackscale AI platform, which is currently in production, remains on track for initial shipments later in the third quarter, with volume ramp-up expected through the fourth quarter and into 2027, driven by strong customer demand. The company aims to launch a new rack-scale AI platform every year, with each generation delivering significant performance, efficiency and TCO gains. 

With AMD now projecting the data center AI accelerator market to reach $1.4 trillion and the server CPU market to hit $220 billion by 2030 — growing at annual rates of 45% and 50%, respectively — expanding AI workloads across both categories should provide a continuous tailwind for the chipmaker.

AMD-Heavy ETFs to BuyiShares Semiconductor ETF (SOXX - Free Report)   

This fund, with net assets worth $44.99 billion, offers exposure to 30 U.S. companies that design, manufacture, and distribute semiconductors. Of these, AMD carries the third spot, holding 8.10% of the fund. NVIDIA (NVDA) holds the first spot in this fund, holding 9.01% weightage. 

SOXX has surged 76.8% year to date. This fund charges 33 basis points (bps) as fees. It traded at a volume of 7.64 million shares in the last trading session. This fund sports a Zacks ETF Rank #1 (Strong Buy). 

Invesco AI and Next Gen Software ETF (IGPT - Free Report)   

This fund, with a market value of $899 million, offers exposure to 101 companies that manufacture technologies or products that contribute to future software development through direct revenues. Of these, AMD carries the sixth spot, holding 6% of the fund. SK Hynix holds the first spot in this fund, with 9.69% weightage. 

IGPT has rallied 40.5% year to date. This fund charges 56 bps as fees.  It traded at a volume of 0.26 million shares in the last trading session.  This fund holds a Zacks ETF Rank #1.

Invesco Semiconductors ETF (PSI - Free Report)   

This fund, with a market value of $2.47 billion, offers exposure to 31 semiconductor companies. Of these, AMD carries the fifth spot, with 5.43% of the fund. Applied Materials holds the first spot in this fund, with 6.67% weightage. 

PSI has soared 83.4% year to date. This fund charges 56 bps as fees.  It traded at a volume of 0.31 million shares in the last trading session.  This fund sports a Zacks ETF Rank #1.

VanEck Semiconductor ETF (SMH - Free Report)  

This fund, with total assets worth $70.42 billion, offers exposure to 26 companies involved in semiconductor production and equipment. Of these, AMD carries the fourth spot, with 5.38% of the fund. NVDA holds the first spot in this fund, with 22.11% weightage. 

SMH has soared 58.7% year to date. This fund charges 35 bps as fees.  It traded at a volume of 6.23 million shares in the last trading session. 

This fund sports a Zacks ETF Rank #1.

Invesco PHLX Semiconductor ETF (SOXQ - Free Report)   

This fund, with a market value worth $2.82 billion, provides exposure to the 31 largest U.S.-listed securities of companies engaged in the semiconductor business. Of these, AMD carries the 10th spot, holding 4.03% of the fund. NVDA holds the first spot in this fund, with 13.43% weightage. 

SOXQ has surged 70% year to date. This fund charges 19 bps as fees. It traded at a volume of 0.98 million shares in the last trading session. This fund sports a Zacks ETF Rank #1.     

Key Takeaways NVIDIA shares gained 11.2% in a month, outperforming the broader technology sector and chip peers.NVIDIA's fiscal Q1 revenues surged 85% to $81.62 billion, while non-GAAP EPS jumped 140% to $1.87.NVDA trades at 20.17 times forward earnings, below the technology sector average of 21.50 NVIDIA Corporation (NVDA - Free Report) shares have gained 11.2% over the past month, comfortably beating the broader Zacks Computer and Technology sector, which advanced only 1.6%.

The stock has also outperformed major semiconductor peers such as Intel Corporation (INTC - Free Report) , Marvell Technology, Inc. (MRVL - Free Report) and Advanced Micro Devices, Inc. (AMD - Free Report) , all of which posted declines during the same period. Over the past month, shares of Intel, Marvell Technology and Advanced Micro Devices have plunged 9.4%, 8.9% and 5.4%, respectively.

The recent rally reflects growing investor confidence in NVIDIA’s leadership in artificial intelligence (AI) despite ongoing geopolitical tensions and trade-related uncertainty. This strength is backed by solid business fundamentals rather than market hype. With AI spending continuing to accelerate worldwide, NVIDIA still appears well-positioned for long-term growth.

NVIDIA One-Month Price Return Performance
Image Source: Zacks Investment Research

NVDA’s Financial Results Reinforce the Investment CaseNVIDIA continues to deliver outstanding financial results. In the first quarter of fiscal 2027, revenues surged 85% year over year to $81.62 billion, while non-GAAP earnings per share jumped 140% to $1.87. These numbers demonstrate that demand for NVIDIA's AI products remains exceptionally strong.

Management expects this momentum to continue. For the second quarter of fiscal 2027, NVIDIA projects revenues of approximately $91 billion, representing nearly 95% year-over-year growth. The company also expects a non-GAAP gross margin of around 75%, up from 72.7% a year ago, highlighting its strong pricing power and operating efficiency.

Wall Street also remains optimistic. The Zacks Consensus Estimates point to healthy revenue and earnings growth in both fiscal 2027 and fiscal 2028, suggesting that AI infrastructure spending is still in its early stages.

Image Source: Zacks Investment Research

NVIDIA's cash generation further strengthens the investment story. During the first quarter, the company generated $50.3 billion in operating cash flow and $48.6 billion in free cash flow. Cash, cash equivalents and marketable securities rose to $80.6 billion, up from $62.6 billion in the previous quarter.

Such a massive cash reserve gives NVIDIA tremendous flexibility to expand manufacturing, invest in next-generation AI technologies and reward shareholders. During the quarter, the company repurchased $19.3 billion worth of shares while paying $243 million in dividends.

NVIDIA’s AI Leadership Continues to Drive GrowthThe company remains the clear leader in AI infrastructure. Cloud providers, enterprises and governments continue to invest billions of dollars in building AI data centers, and NVIDIA's GPUs remain the preferred choice for training and running advanced AI models.

The company's newest Blackwell and Vera Rubin AI platforms are seeing strong customer adoption due to their superior performance and energy efficiency. NVIDIA is also strengthening its position beyond GPUs through networking products like InfiniBand, Spectrum-X Ethernet and NVLink, allowing it to capture a larger portion of AI infrastructure spending.

The company's latest numbers highlight this leadership. During the first quarter of fiscal 2027, the data center business generated $75.25 billion in revenues, accounting for roughly 92% of total sales. Revenues from the segment climbed 92% year over year and 21% sequentially, driven by rapid deployment of Blackwell 300 systems and growing networking demand.

Another key advantage is NVIDIA's software ecosystem. CUDA, along with its expanding AI software portfolio, creates high switching costs for customers, making it difficult for competitors to take market share. This competitive advantage extends well beyond hardware and should continue supporting long-term growth.

As AI adoption expands from model training to large-scale inference and enterprise deployment, NVIDIA is positioned to benefit across every major phase of the AI investment cycle.

NVDA’s Valuation Still Looks ReasonableDespite its recent rally, NVIDIA's valuation remains attractive relative to its growth potential.

The stock currently trades at a forward 12-month price-to-earnings (P/E) ratio of 20.13, below the Zacks Computer and Technology sector average of 21.50.

NVIDIA Forward 12-Month P/E Ratio
Image Source: Zacks Investment Research

It also trades at a much lower valuation than several semiconductor peers. Intel carries a forward P/E of 57.33, Advanced Micro Devices trades at 45.19, while Marvell Technology is valued at 41.08.

Given NVIDIA's superior revenue growth, industry-leading margins, dominant AI position and exceptional cash generation, its current valuation appears far from excessive.

Conclusion: Buy NVIDIA StockNVIDIA continues to strengthen its leadership in the AI industry through rapid revenue growth, expanding profitability, unmatched cash generation and a growing ecosystem of hardware, networking and software products. Demand for AI infrastructure remains robust, and the company is well-positioned to benefit as enterprises and cloud providers continue increasing AI investments.

Even after its recent 11% rally, NVIDIA's valuation remains reasonable compared with both its growth prospects and many semiconductor peers. With strong execution, an expanding competitive moat and multiple long-term growth drivers, NVIDIA remains one of the best-positioned AI companies in the market. Investors should consider buying NVDA stock for now as the company appears well-equipped to deliver sustained long-term returns.

Currently, NVIDIA carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Ford plans to launch the midsize Fathom electric pickup below $30,000, with deliveries expected in 2027.Ford's UEV platform and new assembly process aim to cut costs and support profitability within a year.Fathom targets a gap in the sub-$30K EV market, where rival affordable models do not offer truck utility. U.S. legacy automaker Ford (F - Free Report) is planning to bring an affordable electric truck to the market by next year. The e-pickup is named “Fathom”, with a starting price of $28,350 that extends to $29,945 with destination and delivery charges. Built under Ford's Universal Electric Vehicle (UEV) platform, the Fathom hits the sub-$30,000 mark the company had promised for years.

Where Ford Lightning Went WrongFord’s first major electric pickup, the F-150 Lightning, generated plenty of excitement when it was launched. Yet it never became the profitable product Ford had hoped for, weighed down by high battery costs and expensive manufacturing for premium electric trucks. Slower-than-expected EV adoption due to the elimination of EV tax credits made matters worse.

As a result, Ford discontinued the F-150 Lightning— its flagship, full-size electric truck. The company incurred $19.5 billion EV-related write-down charges last year. It scrapped plans for a next-generation all-electric full-size pickup, choosing instead to develop a range-extended model that combines a gasoline engine with an electric drivetrain.

In short, Lightning's problem came down to big batteries, big trucks and thin margins.

Ford’s New EV PlaybookThe Fathom appears to have been designed with that lesson in mind. Unlike the full-size Lightning, it's a midsize pickup — built on the UEV architecture, created specifically for lower-cost electric vehicles. Ford expects every model on this platform to turn profitable within roughly a year of launch.

Ford is also trying to lower costs beyond the battery pack. The company has developed a new "assembly tree" manufacturing process for its Louisville plant, aimed at simplifying production and improving efficiency. If those savings materialize, they could help Ford avoid the margin pressure that weighed on Lightning.

Notably, Ford isn't stripping the truck down to hit its price target. The Fathom will offer a large touchscreen with built-in Apple Maps EV routing, wireless smartphone connectivity, BlueCruise compatibility, bidirectional charging, a digital key and a front trunk. If Ford can offer this level of technology while maintaining healthy margins, the Fathom could stand out in the affordable EV segment.

The Sub-$30K CompetitionThe Fathom isn't the only sub-$30K EV, but it is the only truck. General Motors' (GM - Free Report) Chevrolet Bolt EUV is a compact hatchback/crossover in the $28-29K range and is already shipping. Nissan's (NSANY - Free Report) Leaf is one of the longest-running affordable EVs, similarly priced. Neither offers truck utility— which is exactly the gap the Fathom is aiming to fill.

Can Ford Deliver This Time?Of course, the Fathom is still far from proving itself. Pre-orders are expected to open in early 2027, with customer deliveries beginning later that year. Until production ramps up, investors have little evidence that Ford can consistently build and sell an affordable electric truck at attractive margins.

Even so, the Fathom looks less like a continuation of Ford's previous EV strategy and more like a reset. Rather than chasing the premium electric truck market, the company is focusing on affordability, manufacturing efficiency and profitability.

If Ford executes well, the Fathom could succeed not because it's another electric pickup, but because it's built around a very different business model than the F-150 Lightning.

The Zacks Rundown on Ford StockShares of Ford have gained more than 7% year to date, outperforming the industry. During the same timeframe, Ford’s closest peer, General Motors, also saw its shares rise over 7%, but Japan’s Nissan fell around 14%.

YTD Price Performance Comparison Image Source: Zacks Investment Research

From a valuation standpoint, Ford trades at a forward price-to-earnings ratio of 7.24, way lower than the industry. It carries a Value Score of A.

Image Source: Zacks Investment Research

See how the Zacks Consensus Estimate for Ford’s EPS has been revised over the past 60 days.

Image Source: Zacks Investment Research

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

Key Takeaways Moderna reiterated up to 10% revenue growth for 2026 while lowering cost-of-sales and R&D guidance.MRNA expects $4.7B-$5.2B in year-end cash and investments, with no further credit-facility draw assumed.Moderna expects key second-half milestones in flu, melanoma and propionic acidemia programs. Moderna, Inc. (MRNA - Free Report) used its second-quarter 2026 earnings call to reinforce two priorities: preserving revenue growth while lowering costs and moving several late-stage programs toward regulatory and clinical milestones.

Revenues of $145 million topped the Zacks Consensus Estimate of $126.60 million. The GAAP loss of $1.97 per share matched the Zacks Consensus Estimate. 

MRNA Keeps 2026 Growth Target IntactChief financial officer James Mock reiterated Moderna’s target for up to 10% revenue growth in 2026. First-half revenues were about $0.5 billion, with strategic partnerships supporting international sales.

Mock expects full-year revenues to be split roughly 50% U.S. and 50% international, with the third quarter representing about 55% of second-half revenues.

The outlook assumes potential declines in COVID vaccination rates and no revenues from mFLUSIVA or mCOMBRIAX. In Q&A, Mock told a Citigroup analyst that the U.S. vaccination market remains the biggest second-half variable.

Moderna Tightens Cost and Cash OutlookManagement cut 2026 cost-of-sales guidance to $1.7 billion from $1.8 billion and R&D guidance to $2.9 billion from $3 billion. SG&A remains projected at about $1 billion.

Excluding the $0.9 billion litigation settlement charge, Moderna now expects $4.7 billion of GAAP operating expenses and about $4 billion of cash costs, each $0.2 billion better than prior guidance.

Year-end cash and investments are projected at $4.7 billion to $5.2 billion. Mock said the forecast assumes no further draw on the remaining $0.9 billion credit facility.

MRNA Builds Around Flu and mNEXSPIKEPresident Stephen Hoge highlighted mRNA-1010’s unanimous U.S. advisory committee recommendation ahead of its Aug. 5 PDUFA date. The seasonal flu vaccine is also under review in Europe, Canada and Australia.

Hoge said mNEXSPIKE captured about 24% of the U.S. retail COVID vaccine market in the 2025-2026 season and about 34% among adults age 65 and older.

A Morgan Stanley analyst asked about flu pricing. Hoge said discussions are ongoing and positioned mRNA-1010 in the enhanced-vaccine category based on its Phase III profile, with pricing dependent on approval and payer discussions.

Moderna Centers the Second Half on Key ReadoutsChief development officer David Berman said the Phase III adjuvant melanoma study of intismeran is fully enrolled, with an interim analysis expected in the second half of 2026.

The propionic acidemia registrational study is also fully enrolled. Berman told a Citigroup analyst that roughly 20 patients were enrolled and the primary endpoint uses 12 months of follow-up, placing the expected readout in the fourth quarter.

The broader intismeran program spans nine Phase II and Phase III studies. Berman said the renal cell carcinoma event threshold may be reached this year or next, while the muscle-invasive bladder cancer readout is currently expected in 2027.

MRNA Q&A Tests Intismeran and Norovirus TimingAnalysts from Goldman Sachs, TD Cowen, UBS and JPMorgan pressed for more detail on the intismeran melanoma interim. Berman declined to disclose statistical thresholds but emphasized that the Phase III design requires at least 18 months of follow-up.

Hoge added the interim analysis is expected in the second half and that Moderna will issue a press release when data are available. He also said the Massachusetts manufacturing facility can support the initial commercial indication.

Norovirus drew separate scrutiny. Hoge told a Bernstein analyst that primary-endpoint cases accrued more slowly than planned and Moderna is preparing another cohort for the coming winter.

Moderna Stays Focused on ExecutionChief executive officer Stéphane Bancel framed the second half around cost discipline, the flu regulatory decision, mNEXSPIKE expansion and major oncology and rare-disease readouts.

Management’s stated priorities are to deliver up to 10% revenue growth, reach the lowered cash-cost target and advance late-stage programs while broadening the commercial portfolio.

Zacks Signals Show a Mixed Setup for MRNAMRNA carries a Zacks Rank #3 (Hold). Its Growth Score of A is the strongest style reading, while the Value Score of F is weak and the Momentum Score and VGM Score are both C, producing a mixed style profile. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Style Scores complement the Zacks Rank, with A and B representing stronger grades. A Zacks Rank #3 can still pair with varied style characteristics, but the current mix is not uniformly favorable. The Zacks Rank can change as earnings estimates are revised after the just-reported results.

Take-Two Interactive Software, Inc. (TTWO) Q1 2027 Earnings Call August 7, 2026 8:00 AM EDT

Company Participants

Nicole Shevins - Senior Vice President of Investor Relations & Corporate Communications
Strauss Zelnick - Executive Chairman & CEO
Karl Slatoff - President
Lainie Goldstein - Chief Financial Officer

Conference Call Participants

Douglas Creutz - TD Cowen, Research Division
Andrew Marok - Raymond James & Associates, Inc., Research Division
Brian Pitz - BMO Capital Markets Equity Research
Eric Handler - ROTH Capital Partners, LLC, Research Division
Colin Sebastian - Robert W. Baird & Co. Incorporated, Research Division
Christopher Schoell - UBS Investment Bank, Research Division
Michael Hickey - The Benchmark Company, LLC, Research Division
Alec Brondolo - Wells Fargo Securities, LLC, Research Division
Matthew Cost - Morgan Stanley, Research Division
Jason Bazinet - Citigroup Inc., Research Division
Eric Sheridan - Goldman Sachs Group, Inc., Research Division
Taebin Song - Wolfe Research, LLC
Martin Yang - Oppenheimer & Co. Inc., Research Division

Presentation

Operator

Hello, everyone. Thank you for joining us, and welcome to the Take-Two Interactive Software First Quarter Fiscal Year 2027 Results Conference Call. [Operator Instructions]

I will now hand the conference over to Nicole Shevins, SVP, Investor Relations and Corporate Communications. Nicole, please go ahead.

Nicole Shevins
Senior Vice President of Investor Relations & Corporate Communications

Good morning. Thank you for joining our conference call to discuss our results for the first quarter of fiscal year 2027 ended June 30, 2026. Today's call will be led by Strauss Zelnick, Take-Two's Chairman and Chief Executive Officer; Karl Slatoff, our President; and Lainie Goldstein, our Chief Financial Officer. We will be available to answer your questions during the Q&A session following our prepared remarks.

Before we begin, I'd like to remind everyone that statements made during this call that are not historical facts are considered forward-looking statements under federal securities laws. These forward-looking statements are based on the

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

The GraniteShares 2x Long PLTR Daily ETF (NASDAQ:PTIR) is ripping higher this session as the market — and especially technology stocks like Palantir Technologies (NASDAQ:PLTR | PLTR Price Prediction) — celebrated a weak jobs print that likely reduces the odds of a near-term rate hike by the Federal Reserve. This is especially important for stocks levered to the AI trade, as new compute requires enormous capex and therefore cheap debt. PTIR, a single-stock leveraged ETF that targets twice the daily return of Palantir shares, has had a fantastic week since Palantir reported blowout earnings on August 3rd, and today it’s up another 18%.

GraniteShares 2x Long PLTR Daily ETF (PTIR) Over the post-earnings window from August 3 through August 6, the fund gained 45%, and it is up 54% over the trailing week. This is a complex, single-stock-linked leveraged product distinct from a diversified index ETF. It seeks twice the daily performance of Palantir stock and resets that exposure at the end of each session, typically using total-return swaps on a cash and Treasury collateral base.

The mechanic matters. Because leverage is reset daily, returns compound off a new base each session, and over multi-day and multi-week horizons the fund’s performance drifts from a simple 2x of the underlying. Volatility decay works against holders during choppy stretches, which is why PTIR is best used as a short-term tactical instrument rather than a buy-and-hold vehicle. The trailing figures make the point plainly: PTIR is down 43% year to date and down 51% over the past year, even as Palantir itself is down only 12% year to date and 13% over one year. A supposed 2x fund lagging its underlying that badly over a year is compounding decay in action.

Palantir Technologies (PLTR) Palantir shares are quoted at $169.42, up 9% today and 28% over the trailing week. The Q2 report reset the growth story. Reported revenue of $1.94 billion grew 92.83% year over year, with U.S. commercial revenue at $764 million, up 149%, and U.S. government revenue at $809 million, up 90%. GAAP operating income was $912 million, a 47% margin, and net income reached $1.06 billion.

Guidance did the rest of the work. Full-year revenue was raised to a range of $8.15 billion to $8.158 billion, implying 82% year-over-year growth, with adjusted free cash flow guided to $4.5 billion to $4.7 billion. Q3 revenue was framed at $2.160 billion to $2.164 billion. CEO Alex Karp did not undersell it: “Demand for AI sovereignty has now been unleashed… This quarter was otherworldly: our U.S. commercial revenue grew 149% year-over-year, our overall revenue grew 93% year-over-year, and our Rule of 40 score climbed to 155%.” The beat marks Palantir’s 10th consecutive earnings beat.

What the Move Actually Tells You Same catalyst, two very different payoff profiles. Palantir’s fundamentals reset higher on a 46% EPS surprise and a raised full-year outlook, and the stock repriced accordingly. PTIR converted that single-day repricing into an outsized daily return because it is engineered to double Palantir’s session move. That amplification cuts both ways, and the fund’s 51% one-year decline against Palantir’s 13.16% one-year decline is the receipt for how daily reset mechanics behave when the underlying chops around. Use the product for what it is: a short-window tactical bet on Palantir’s next session rather than a proxy for owning the stock.

Contact [email protected] for any questions or corrections.

Unity Software Inc (NYSE:U) shares moved higher on Friday after analysts at Wedbush and Bank of America raised their outlooks for the company, citing stronger-than-expected growth in its Vector advertising platform and the potential for further gains from the integration of runtime data.

Shares were up about 4% at $43 in Friday trading.

Wedbush raised its price target on Unity to $50 from $36 while reiterating its ‘Outperform’ rating. The firm wrote that the company’s “flywheel is beginning to turn,” pointing to accelerating growth in Vector and a business mix increasingly focused on the platform and Unity’s core game engine following the sunset of the ironSource Ad Network and the sale of Supersonic.

Unity reported second quarter revenue of $546 million, up 24% year over year and 8% sequentially. The result exceeded the firm’s $510 million estimate, the $515 million consensus estimate and Unity’s guidance range of $505 million to $515 million.

Strategic revenue, which excludes ironSource and Supersonic, increased 38% year over year to $486 million. Strategic Grow revenue rose 63% to $329 million, while Strategic Create revenue increased 5% to $157 million.

Adjusted EBITDA increased 77% year over year to $160 million, above Wedbush’s $132 million estimate, while non-GAAP earnings of $0.28 per share exceeded consensus of $0.25. Free cash flow increased to $202 million from $127 million a year earlier, and Unity ended the quarter with $2.4 billion in cash.

Wedbush highlighted 20 major Vector updates released during the quarter, including the incorporation of runtime data and a shift to Day-28 return on ad spend, or ROAS, from seven days previously. The firm wrote that the change drove a threefold sequential increase in user-acquisition spending.

For the third quarter, Unity guided to strategic revenue of $540 million to $550 million, including Strategic Grow revenue of $380 million to $385 million. Adjusted EBITDA is expected at $185 million to $190 million.

Wedbush wrote that the contribution from runtime data should become more significant in the second half of the year and beyond, prompting the firm to raise its longer-term estimates. It now expects fiscal 2028 adjusted EBITDA of $1.35 billion, compared with its previous estimate of $915 million.

Bank of America also upgraded Unity to ‘Buy’ from ‘Neutral’ and raised its price objective to $50 from $30. The firm wrote that the latest results provide an early indication that runtime data is improving the effectiveness of Vector’s targeting model and could support sustained growth through the end of 2027.

Bank of America noted that Vector revenue increased 23% sequentially in the second quarter, with growth benefiting from the rollout of the Day-28 ROAS product and the integration of runtime data.

The firm expects Vector to maintain sequential growth of more than 20% in both the third and fourth quarters, compared with its previous expectations for a more gradual slowdown. Bank of America wrote that Unity’s third-quarter guidance could prove conservative because it does not reflect an acceleration despite a full quarter of runtime data contribution.

Bank of America raised its 2027 adjusted EBITDA estimate to $1.29 billion from $789 million, based on continued growth in Vector and further expansion of the runtime data set. The firm wrote that additional success with runtime data could provide further upside to its estimates.