Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.
The popular research service can help you become a smarter, more self-assured investor, giving you access to daily updates of the Zacks Rank and Zacks Industry Rank, the Zacks #1 Rank List, Equity Research reports, and Premium stock screens.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank is a proprietary stock-rating model that harnesses the power of earnings estimate revisions, or changes to a company's earnings expectations, to help investors build a successful portfolio.
Investors can count on the Zacks Rank's success, with #1 (Strong Buy) stocks producing an unmatched +23.7% average annual return since 1988, more than double the S&P 500's performance. But the model rates a large number of stocks, and there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.
With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.
That's where the Style Scores come in.
You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
A stock with a #4 (Sell) or #5 (Strong Sell) rating, for instance, even one with Scores of A and B, will still have a declining earnings forecast, and a greater chance its share price will fall too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Dollar General (DG - Free Report) Headquartered in Goodlettsville, Tennessee, Dollar General Corporation is one of the largest discount retailers in the United States. The company trades in low priced merchandise typically $10 or less.
DG is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 14.62; value investors should take notice.
12 analysts revised their earnings estimate higher in the last 60 days for fiscal 2027, while the Zacks Consensus Estimate has increased $0.04 to $7.31 per share. DG also boasts an average earnings surprise of +21%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, DG should be on investors' short list.
Key Takeaways DG Q1 FY2026 same-store sales rose 2%, driven by 1.4% traffic growth and a 0.5% higher ticket.DG saw all four categories post positive comps for a fifth straight quarter, led by non-consumables.DG said business rebounded after the February winter weather. Dollar General Corporation’s (DG - Free Report) first-quarter fiscal 2026 same-store sales growth suggests that the company has multiple drivers supporting its performance for the rest of the year. Same-store sales increased 2% in the quarter, driven by 1.4% growth in customer traffic and a 0.5% rise in the average transaction amount. Traffic-led comps generally indicate that customers are visiting more often, rather than growth being driven only by higher prices or larger baskets.
Dollar General said all four merchandising categories delivered positive comparable sales for the fifth straight quarter, with non-consumables again outpacing consumables. That balance is important because it shows the company is not relying solely on essential categories to drive comps.
Management also pointed to consistency within the quarter. All three periods were positive, with March helped by the Easter shift. The company said the business recovered after severe winter weather hurt the first two weeks of the quarter in February, with the remaining 11 weeks running near the upper end of its range. Trends also continued as May began.
For fiscal 2026, Dollar General continues to expect same-store sales growth of 2.2% to 2.7%. After a 2% first-quarter comp despite weather disruption, the latest update suggests that the company’s value and convenience proposition is still drawing repeat visits and providing a firmer base for same-store sales growth.
How Dollar General Compares With Walmart and TargetWalmart Inc. (WMT - Free Report) posted U.S. comparable sales growth of 4.1% in the first quarter of fiscal 2027, driven by higher customer transactions, increased unit volumes and strong e-commerce performance. Walmart continued to gain market share across income groups while benefiting from growth in advertising, marketplace sales and Walmart+ membership revenues. Walmart’s results reflected steady demand for both grocery and general merchandise offerings.
Meanwhile, Target Corporation (TGT - Free Report) delivered comparable sales growth of 5.6%, supported by a 4.4% increase in traffic and strength across both stores and digital channels. Target reported sales growth in all six core merchandise categories, with broad-based demand across guest demographics. Target also highlighted momentum in beauty, food and wellness categories. As Target executes its merchandising and store experience initiatives, the retailer remains focused on driving sustainable long-term growth.
What the Latest Metrics Say About Dollar GeneralDollar General has seen its shares tumble 26.8% over the past three months compared with the industry’s decline of 1.3%.
Image Source: Zacks Investment Research
From a valuation standpoint, Dollar General's forward 12-month price-to-earnings ratio stands at 14.19, lower than the industry’s ratio of 31.30. However, it is trading below its 12-month median level of 17.52.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Dollar General’s current financial-year sales and earnings per share implies year-over-year growth of 3.9% and 6.7%, respectively. For the next fiscal year, the consensus estimate indicates a 3.9% rise in sales and 8.7% growth in earnings.
Image Source: Zacks Investment Research
Dollar General currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Dollar General, with shares up 6% from a multi-month low hit in May, has the potential to make improvements. (Scott Olson/Getty Images)
Technology stocks have been all over the place. Those looking to veer away from the uncertainty can find alternatives just by looking around their neighborhoods, which might lead them to a Dollar General or CVS Health.
Given the stock's 30% pullback since late February, it would be easy to presume Dollar General's (DG +0.40%) core customers are struggling under the weight of inflation. Indeed, the Bureau of Labor Statistics says the annualized pace of consumer prices grew to 4.2% in May, largely thanks to the soaring cost of food and gasoline.
Yet, the discount retailer is doing surprisingly well, reporting respectable same-store sales growth of 2% for the three months ending in early May and companywide revenue growth of 3.4% year over year. Earnings grew even more thanks to curbed inventory costs, and the company's calling for even faster top- and bottom-line growth than for the full fiscal year.
What gives?
Image source: Getty Images.
Not yesteryear's Dollar General Part of the answer lies in the fact that the company's full-year guidance actually suggests slowing sales growth ahead. Perhaps worse, investors may fear inflation hasn't yet actually affected Dollar General's results but could do so soon.
And these aren't unreasonable concerns. While middle-income consumers are increasingly shopping with Walmart to make their money go farther, there's been no real trade-down option for Dollar General's core demographic.
This is not the Dollar General of 2021 and 2022, though, when steep, unexpected inflation first surfaced that Dollar General wasn't ready for. It's ready now.
Take where most of the retailer's first-quarter sales growth came from as evidence. As it turns out, households earning at least $100,000 per year are becoming more regular patrons, accounting for the biggest piece of last quarter's 1.4% increase in total foot traffic. Gross profits also improved more than 60 basis points in Q1, suggesting the company is enjoying a combination of greater pricing power and lower merchandise costs. During the conference call for first-quarter earnings, Dollar General CEO Todd Vasos even touted the draw of a selection of over 2,000 items priced at $1 or less.
This is largely what was missing as Dollar General emerged from the COVID-19 pandemic in 2022.
Today's Change
(
0.40
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0.46
Current Price
$
114.80
To buy or not to buy? It's not necessarily a slam dunk you absolutely must immediately buy. Even if the retailer has quietly reinvented itself, clearly the market doesn't see it or believe it yet. More investors need to get on board if the stock's going to start recovering anytime soon.
For what it's worth, though, the analyst community seems optimistic, suggesting this stock's worth $130.61 per share versus the ticker's current price of less than $109.
It's also worth acknowledging that Dollar General's seemingly tepid guidance may represent the worst-case scenario, setting the stage for earnings and revenue beats in the year ahead. The company's been racking those up since its regrouping effort was finalized early last year.
Bottom line? It's still not a great core holding, simply because its net growth potential remains modest no matter how well it performs -- never mind the lack of certainty that last quarter's results are an indication of how the rest of the year will turn out. If you've got room in your portfolio for a value name that's underpriced because it's currently underestimated, though, there's a case to be made for stepping into this one.
GOODLETTSVILLE, Tenn.--(BUSINESS WIRE)--Dollar General (NYSE: DG) today announced a $250,000 donation to the American Red Cross Disaster Responder Program to celebrate America’s 250th anniversary. This contribution, which also marks the 25th anniversary of the partnership between Dollar General and the American Red Cross, will help further extend and strengthen Red Cross disaster preparedness, response and recovery efforts nationwide.
“As we commemorate our 25th partnership anniversary with the American Red Cross together during America’s 250th celebrations, we are proud to continue supporting the organization’s lifesaving work to prepare, recover and restore hope when the unthinkable occurs in our hometowns,” said Denine Torr, Dollar General’s vice president of corporate social responsibility and philanthropy. “In the aftermath of hurricanes, tornadoes, floods, home fires, earthquakes and other disasters, we hope this donation strengthens Red Cross response efforts for families, helping them move forward with stability and hope.”
Since 2001, Dollar General has contributed more than $11 million to the Red Cross through corporate donations and in‑store collections, helping to ensure individuals and families have access to safe shelter, warm meals, emotional support and essential resources when emergencies occur.
“As we see increasingly frequent extreme weather events, more families are turning to the Red Cross for help during their most difficult moments,” said Anne McKeough, chief development officer at the American Red Cross. “We greatly appreciate Disaster Responder members like Dollar General whose proactive and compassionate support strengthens our readiness and response efforts — so we can deliver help, care and hope without delay when people need it most.”
In keeping with its mission of Serving Others, Dollar General remains dedicated to supporting its employees, customers and communities before, during and after disasters. In addition to its long‑standing partnership with the Red Cross, the Company partners with organizations such as World Central Kitchen, Feeding America and the Kids In Need Foundation to provide relief. The Company also supports recovery efforts through the DG Employee Assistance Foundation, which provides financial assistance to employees experiencing hardship, and the Dollar General Literacy Foundation’s Beyond Words program, which awards grants to public school libraries to help rebuild and restore collections after disasters.
About Dollar General Corporation
Dollar General Corporation (NYSE: DG) is proud to serve as America’s neighborhood general store. Founded in 1939, Dollar General lives its mission of Serving Others every day by providing access to affordable products and services for its customers, career opportunities for its employees, and literacy and education support for its hometown communities. As of May 1, 2026, the Company’s 21,055 Dollar General, DG Market, DGX and pOpshelf stores across the United States and Mi Súper Dollar General stores in Mexico provide everyday essentials including food, health and wellness products, cleaning and laundry supplies, self-care and beauty items, and seasonal décor from our high-quality private brands alongside many of the world’s most trusted brands such as Coca Cola, PepsiCo/Frito-Lay, General Mills, Hershey, J.M. Smucker, Kraft, Mars, Nestlé, Procter & Gamble and Unilever.
In the latest close session, StoneCo Ltd. (STNE - Free Report) was down 1.15% at $14.61. The stock trailed the S&P 500, which registered a daily gain of 1.18%. At the same time, the Dow added 0.66%, and the tech-heavy Nasdaq gained 1.96%.
Prior to today's trading, shares of the company had gained 5.5% outpaced the Computer and Technology sector's gain of 5.37% and the S&P 500's gain of 3.93%.
Investors will be eagerly watching for the performance of StoneCo Ltd. in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on May 14, 2026. In that report, analysts expect StoneCo Ltd. to post earnings of $0.44 per share. This would mark year-over-year growth of 29.41%. Alongside, our most recent consensus estimate is anticipating revenue of $690.25 million, indicating a 10.29% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.92 per share and a revenue of $2.72 billion, representing changes of +18.52% and +3.06%, respectively, from the prior year.
Any recent changes to analyst estimates for StoneCo Ltd. should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 8.13% downward. At present, StoneCo Ltd. boasts a Zacks Rank of #3 (Hold).
Looking at its valuation, StoneCo Ltd. is holding a Forward P/E ratio of 7.7. This represents a discount compared to its industry average Forward P/E of 18.17.
It is also worth noting that STNE currently has a PEG ratio of 0.33. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Internet - Software was holding an average PEG ratio of 1.01 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 95, this industry ranks in the top 39% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
StoneCo Ltd. (STNE - Free Report) closed the most recent trading day at $15.40, moving +1.99% from the previous trading session. The stock exceeded the S&P 500, which registered a loss of 0.24% for the day. Meanwhile, the Dow experienced a drop of 0.01%, and the technology-dominated Nasdaq saw a decrease of 0.26%.
Shares of the company have appreciated by 13.11% over the course of the past month, outperforming the Computer and Technology sector's gain of 9.41%, and the S&P 500's gain of 6.42%.
The upcoming earnings release of StoneCo Ltd. will be of great interest to investors. The company's earnings report is expected on May 14, 2026. The company's earnings per share (EPS) are projected to be $0.42, reflecting a 23.53% increase from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $708.45 million, indicating a 13.2% increase compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.99 per share and revenue of $2.82 billion, which would represent changes of +22.84% and +6.67%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for StoneCo Ltd. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 4.78% fall in the Zacks Consensus EPS estimate. StoneCo Ltd. is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that StoneCo Ltd. has a Forward P/E ratio of 7.59 right now. This valuation marks a discount compared to its industry average Forward P/E of 19.18.
Meanwhile, STNE's PEG ratio is currently 0.32. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Internet - Software industry stood at 1.1 at the close of the market yesterday.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 94, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
George Town, Grand Cayman--(Newsfile Corp. - April 23, 2026) - StoneCo Ltd. (NASDAQ: STNE) ("Stone" or "the Company") hereby informs its shareholders and the market that has filed today, April 23, its Annual Report on Form 20-F for the fiscal year ended December 31, 2025, with the U.S. Securities and Exchange Commission (the "SEC").
The report is available on the SEC's website, at www.sec.gov, and on StoneCo's Investor Relations website, at https://investors.stone.co.
About StoneCo
Stone Co. is a leading provider of financial technology solutions that empower merchants to conduct commerce seamlessly across multiple channels and help them grow their businesses with our payments, banking, and credit solutions.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made as of the date they were first issued and were based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. These statements identify prospective information and may include words such as "believe," "may," "will," "aim," "estimate," "continue," "anticipate," "intend," "expect," "forecast," "plan," "predict," "project," "potential," "aspiration," "objectives," "should," "purpose," "belief," and similar, or variations of, or the negative of such words and expressions, although not all forward-looking statements contain these identifying words.
Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond Stone's control.
Stone's actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to: more intense competition than expected, lower addition of new clients, regulatory measures, more investments in our business than expected, and our inability to execute successfully upon our strategic initiatives, among other factors.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/294068
Source: StoneCo Ltd.
Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.
In the latest trading session, StoneCo Ltd. (STNE - Free Report) closed at $11.99, marking a -1.88% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.12%. Meanwhile, the Dow experienced a drop of 0.13%, and the technology-dominated Nasdaq saw an increase of 0.2%.
Shares of the company have depreciated by 9.21% over the course of the past month, underperforming the Computer and Technology sector's gain of 16.05%, and the S&P 500's gain of 9.3%.
Analysts and investors alike will be keeping a close eye on the performance of StoneCo Ltd. in its upcoming earnings disclosure. The company's earnings report is set to go public on May 14, 2026. The company is forecasted to report an EPS of $0.42, showcasing a 23.53% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $708.45 million, indicating a 13.2% increase compared to the same quarter of the previous year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.99 per share and revenue of $2.82 billion. These totals would mark changes of +22.84% and +6.67%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for StoneCo Ltd. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 3.86% lower. At present, StoneCo Ltd. boasts a Zacks Rank of #3 (Hold).
In terms of valuation, StoneCo Ltd. is presently being traded at a Forward P/E ratio of 6.14. This signifies a discount in comparison to the average Forward P/E of 18.77 for its industry.
Meanwhile, STNE's PEG ratio is currently 0.26. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Internet - Software industry stood at 1.09 at the close of the market yesterday.
The Internet - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 86, placing it within the top 36% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
On April 29, 2026, StoneCo Ltd STNE shares experienced a significant decline, falling 7.0% to a current price of $10.85. This decline is part of a broader trend, with the stock down 11.2% year-to-date and 6.7% over the past year. The stock has traded within a 52-week range of $10.83 to $19.95.
GF Value™ verdict: Current price of $10.85 is 44.0% below the GF Value™ estimate of $19.36.GF Score™ of 73/100 indicates the stock is rated as Above Average.Most notable signal: Insider activity shows that insiders sold $0.1M in the last 3 months with no buying activity. Is STNE Overvalued or Undervalued? The current price of StoneCo Ltd at $10.85 is significantly below the GF Value™ estimate of $19.36, suggesting that the stock is undervalued by approximately 44.0%. This margin of safety implies a potential upside for investors who believe that the market has mispriced the stock. However, it is essential to note that the GF Valuation label indicates a "Possible Value Trap," which suggests caution. A value trap occurs when a stock is deemed cheap based on traditional metrics but may not deliver returns due to underlying issues.
GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. While the undervaluation presents an opportunity, potential investors should consider the company's financial strength and profitability rankings, which also impact the risk profile.
How Does STNE's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 6.3x 16.0x (5-Year Median) Forward P/E 5.1x N/A StoneCo's current P/E (TTM) of 6.3x is significantly below its 5-year median P/E of 16.0x, indicating that the stock is trading at a substantial discount relative to its historical valuation. This analysis agrees with the GF Value™ verdict, reinforcing the notion that the stock may be undervalued. However, the stark difference between the current and historical P/E suggests that investors should remain cautious, as the low valuation could be a reflection of deeper issues within the company.
What Does STNE's GF Score™ Tell Us? Metric Rating GF Score™ 73/100 Financial Strength 4/10 Profitability 8/10 Growth 4/10 Valuation 4/10 Momentum 5/10 The GF Score™ of 73/100 indicates that StoneCo Ltd is rated as Above Average, reflecting a mix of strengths and weaknesses. Notably, the company scores well in profitability with an 8/10, suggesting strong profit margins compared to peers. However, its financial strength and growth ranks are much weaker at 4/10, indicating potential vulnerabilities that investors should consider. The lower valuation score further emphasizes the need for caution despite the attractive profitability metrics.
What Are Insiders Doing with STNE Stock? Insider activity in StoneCo Ltd has shown some concern, as insiders sold $0.1 million worth of shares in the past three months without any purchasing activity. This pattern raises potential red flags regarding the confidence insiders have in the company's future prospects. Insider selling can often indicate that those closest to the company may not be optimistic about its short-term performance, warranting closer scrutiny from potential investors.
What This Means for Investors Based on the analysis of GF Value™, StoneCo Ltd STNE appears to be undervalued at its current price of $10.85. However, potential investors should approach with caution due to the warning of a possible value trap and the mixed signals from insider activity. An understanding of the company's financial health, profitability, and growth metrics is essential before making any investment decision.
For the complete analysis, visit the StoneCo Ltd STNE stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.
Frequently Asked Questions What is STNE's GF Score™?
STNE has a GF Score™ of 73/100, indicating that it is rated as Above Average, which suggests a potential for higher long-term returns compared to lower-rated stocks.
Is STNE overvalued or undervalued?
STNE is currently undervalued, with a GF Value™ estimate of $19.36 compared to its current price of $10.85, representing a 44.0% discount.
What is STNE's P/E ratio?
STNE's P/E (TTM) is 6.3x, significantly below its 5-year median P/E of 16.0x, suggesting that the stock is trading at a considerable discount to its historical valuation.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
StoneCo Ltd. (STNE - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this company have returned -24.4%, compared to the Zacks S&P 500 composite's +12.2% change. During this period, the Zacks Internet - Software industry, which StoneCo falls in, has gained 16.5%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, StoneCo is expected to post earnings of $0.42 per share, indicating a change of +23.5% from the year-ago quarter. The Zacks Consensus Estimate has changed +3.3% over the last 30 days.
The consensus earnings estimate of $1.99 for the current fiscal year indicates a year-over-year change of +22.8%. This estimate has changed +3.7% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $2.32 indicates a change of +16.4% from what StoneCo is expected to report a year ago. Over the past month, the estimate has changed +8.9%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for StoneCo.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of StoneCo, the consensus sales estimate of $708.45 million for the current quarter points to a year-over-year change of +13.2%. The $2.82 billion and $2.86 billion estimates for the current and next fiscal years indicate changes of +6.7% and +1.5%, respectively.
Last Reported Results and Surprise HistoryStoneCo reported revenues of $689.78 million in the last reported quarter, representing a year-over-year change of +11.7%. EPS of $0.5 for the same period compares with $0.39 a year ago.
Compared to the Zacks Consensus Estimate of $717.92 million, the reported revenues represent a surprise of -3.92%. The EPS surprise was +4.17%.
Over the last four quarters, StoneCo surpassed consensus EPS estimates three times. The company topped consensus revenue estimates just once over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
StoneCo is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about StoneCo. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Wall Street expects a year-over-year increase in earnings on higher revenues when StoneCo Ltd. (STNE - Free Report) reports results for the quarter ended March 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on May 14, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.
Zacks Consensus EstimateThis company is expected to post quarterly earnings of $0.42 per share in its upcoming report, which represents a year-over-year change of +23.5%.
Revenues are expected to be $708.45 million, up 13.2% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 3.33% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for StoneCo?For StoneCo, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +3.94%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination indicates that StoneCo will most likely beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that StoneCo would post earnings of $0.48 per share when it actually produced earnings of $0.50, delivering a surprise of +4.17%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
StoneCo appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Expected Results of an Industry PlayerAnother stock from the Zacks Internet - Software industry, AudioEye (AEYE - Free Report) , is soon expected to post earnings of $0.17 per share for the quarter ended March 2026. This estimate indicates a year-over-year change of +13.3%. Revenues for the quarter are expected to be $10.54 million, up 8.3% from the year-ago quarter.
Over the last 30 days, the consensus EPS estimate for AudioEye has remained unchanged. Nevertheless, the company now has an Earnings ESP of +9.62%, reflecting a higher Most Accurate Estimate.
This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that AudioEye will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
George Town, Grand Cayman--(Newsfile Corp. - May 14, 2026) - StoneCo Ltd. (NASDAQ: STNE) ("Stone" or the "Company") today reported its financial results for the first quarter ended March 31, 2026, in a Earnings Release wich is now posted to the company's Investor Relations website https://investors.stone.co/.
Conference Call
Stone will discuss its 1Q26 results during a teleconference today, May 14, 2026, at 5:00 PM ET/6:00 PM BRT.
The conference call can be accessed live over the Zoom webinar (ID: 811 4841 9160 | Password: 164760).
You can also access the meeting over the phone by dialing +1 646 931 3860 or +1 669 444 9171 from the U.S. Callers from Brazil can dial +55 21 3958 7888. Callers from the UK can dial +44 330 088 5830. The call will also be webcast live and a replay will be available a few hours after the call concludes. The live webcast and replay will be available on Stone's investor relations website at https://investors.stone.co/.
About Stone Co.
Stone Co. is a leading provider of financial technology solutions that empower merchants to conduct commerce seamlessly across multiple channels and help them grow their businesses with payments, banking and credit.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/297506
StoneCo Ltd. (STNE - Free Report) came out with quarterly earnings of $0.42 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $0.34 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of -0.78%. A quarter ago, it was expected that this company would post earnings of $0.48 per share when it actually produced earnings of $0.5, delivering a surprise of +4.17%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
StoneCo, which belongs to the Zacks Internet - Software industry, posted revenues of $679.39 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 4.1%. This compares to year-ago revenues of $625.86 million. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
StoneCo shares have lost about 34.5% since the beginning of the year versus the S&P 500's gain of 8.8%.
What's Next for StoneCo?While StoneCo has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for StoneCo was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.47 on $709.58 million in revenues for the coming quarter and $1.99 on $2.82 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Internet - Software is currently in the top 33% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
ServiceTitan Inc. (TTAN - Free Report) , another stock in the same industry, has yet to report results for the quarter ended April 2026. The results are expected to be released on June 4.
This company is expected to post quarterly earnings of $0.27 per share in its upcoming report, which represents a year-over-year change of +50%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
ServiceTitan Inc.'s revenues are expected to be $256.3 million, up 18.8% from the year-ago quarter.
2 Digital Payment Platforms That Are Crushing PayPal and SquareStoneCo NASDAQ: STNE reported first-quarter 2026 results that management described as broadly in line with expectations for a softer first half, as the Brazilian financial technology company worked through elevated merchant churn, weaker small-business conditions and higher credit provisions.
Chief Executive Officer Mateus Scherer said three factors shaped the quarter: a macro environment weighing on smaller merchants, typical first-quarter seasonality and a credit portfolio that continued to grow profitably despite nonperforming loans coming in above the company’s expectations. Scherer said StoneCo is focused on improving retention, re-accelerating total payment volume, or TPV, and maintaining disciplined capital allocation.
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StoneCo Stock May be Basing Like a Rock “The quarter was broadly consistent with the softer first half dynamics we had anticipated,” Scherer said. He added that the period marked “the beginning of a transition phase” between capital distributions tied to the Linx divestiture and the operational momentum management expects to build in the second half of the year.
Revenue rises, EPS benefits from buybacks Chief Financial Officer Diego Salgado said total revenue and income reached BRL 3.6 billion in the quarter, up 6% from a year earlier. He attributed the increase primarily to continued expansion in credit revenues and healthy profitability in payments, partly offset by lower floating revenues from deposits.
StoneCo Ltd. Stock is in Turnaround Adjusted gross profit was BRL 1.5 billion, broadly stable year over year, as revenue growth was offset mainly by higher credit-loss provisions and increased operating costs. Gross profit margin fell to 41.6% from 44.4% in the first quarter of 2025.
Adjusted net income rose 3% year over year to BRL 549 million, while adjusted basic earnings per share increased 15% to BRL 2.19. Salgado said EPS outperformed net income because of StoneCo’s ongoing share repurchase program.
The company said it has distributed BRL 3.6 billion to shareholders year to date, representing a 27% distribution yield. That total includes an extraordinary dividend paid May 4 using proceeds from the Linx divestiture and about BRL 600 million in ordinary share buybacks. Scherer said StoneCo still expects to repurchase at least another BRL 1.4 billion in shares this year.
TPV growth remains soft as churn weighs on payments StoneCo reported TPV of BRL 137 billion in the quarter, up 3% year over year. Salgado said growth reflected pressure from the microeconomic environment for smaller merchants, relatively stronger digital sales in areas where StoneCo has less exposure, and elevated churn identified in the prior quarter.
Scherer said the churn pressure is not broad-based. The company’s legacy customer base continues to perform in line with historical churn levels, he said, while the pressure has been more concentrated among clients onboarded during 2025. During that period, StoneCo expanded its product offering to include areas such as instant settlement, investments and credit cards, but Scherer said bundles and pricing became too complex.
“That created friction for some clients, and we are addressing it directly,” Scherer said. He said StoneCo is reviewing its offerings, simplifying bundles and moving toward a cleaner and more transparent pricing structure.
Management said early volume indicators have improved, with TPV growth showing improvement in April, though Scherer cautioned it is too early to call a definitive trend. In response to analyst questions, he said the company is adjusting sales-force incentives to better align origination with client retention and long-term value creation.
New client metrics introduced StoneCo also changed how it reports active clients, consolidating prior payment and banking disclosures into a single metric: merchants that generated revenue over the past 30 days across payments, banking or credit solutions.
Under that definition, total active clients were 4.7 million in the first quarter, up 13% year over year but down 5% sequentially. Salgado said the sequential decline largely reflected conscious actions to focus on more engaged and revenue-generating clients.
The company also introduced average revenue per active client, or ARPAC, which was BRL 247 per month in the quarter, down 3% sequentially and 11% from a year earlier. Scherer said the year-over-year decline was driven mainly by client mix, including the addition of clients using lower-ARPAC products such as banking-only solutions. He said clients using multiple products, including payments, banking and credit, have ARPAC “significantly higher” than the company average.
Credit portfolio grows, but provisions increase StoneCo’s total credit portfolio reached BRL 3.2 billion, up 14% sequentially. Merchant solutions, mostly working-capital offerings, totaled BRL 2.9 billion, while the credit card portfolio reached BRL 400 million. Credit revenues rose 25% sequentially to BRL 297 million, and portfolio yield increased to 3.3% from 3.1% in the fourth quarter and 2.6% a year earlier.
Credit quality weakened during the quarter. Salgado said models for micro, small and medium-sized merchants on StoneCo’s automated desk lost efficiency, with newer cohorts performing worse than historical averages. Nonperforming loans 15 to 90 days past due increased by nearly 60 basis points, while loans more than 90 days past due rose to 7% from 5.2% in the prior quarter.
StoneCo provisioned BRL 166 million for credit losses in the quarter, bringing cost of risk to 21.9%. The company maintained a coverage ratio of 229%.
Scherer said the increase in delinquencies reflected a tougher credit environment across Brazil, model underperformance beginning late in the fourth quarter and isolated cases in the dedicated desk. Management said StoneCo responded by increasing pricing, tightening risk selection, deploying new models and reducing maximum ticket sizes in the dedicated desk. The company has also started disbursing secured working-capital products.
Salgado said StoneCo expects cost of risk to decline gradually toward the mid- to high-teens over time, though some early delinquencies from the first quarter will continue to flow through the income statement in coming months.
Deposits and guidance remain in focus Retail deposits ended the quarter at BRL 10.1 billion, up 22% year over year but down 9% sequentially, which Salgado attributed to first-quarter seasonality. Average daily retail deposits grew 7% sequentially and 26% year over year.
Salgado said deposits are becoming a more important funding source. He said StoneCo has reduced its total cost of funding from 100% of CDI in early 2025 to about 87% more recently, helped by client deposits. He also described deposit growth as an important natural hedge against interest-rate fluctuations.
Management said full-year 2026 guidance remains unchanged, with performance expected to be weighted toward the second half as credit revenues compound and commercial initiatives improve retention. However, Salgado said higher interest rates are now one of the most challenging factors in the forecast, noting that StoneCo had previously assumed year-end rates of 12.5%, while the current expectation is closer to 14%.
“I think today we’re probably closer to the bottom of the guidance that we provided, but there is still a long way to go,” Salgado said.
About StoneCo NASDAQ: STNEStoneCo Ltd., commonly known as Stone, is a Brazilian financial technology company that provides integrated digital payment solutions and related financial services to merchants. Through its cloud-based platform, Stone enables businesses of all sizes to accept a variety of payment methods, including point-of-sale (POS) terminals, mobile card readers and e-commerce gateways. In addition to payment acceptance, the company offers value-added services such as working capital loans, digital banking products and automated billing tools designed to help merchants manage cash flow and streamline operations.
Since its founding in 2012 by André Street and Eduardo Pontes, Stone has focused on serving over half a million merchants across Brazil's retail, restaurant and services sectors.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
Should You Invest $1,000 in StoneCo Right Now?Before you consider StoneCo, you'll want to hear this.
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StoneCo is reaffirmed as a Strong Buy, with robust fundamentals and a compelling valuation despite recent macro headwinds. STNE's capital ratio reduction to 17% unlocks capital for growth and buybacks, supporting a projected 30% shareholder yield in 2026. Macroeconomic risks, especially from the Iran conflict and elevated Selic rates, may pressure near-term earnings but do not undermine long-term growth prospects.
StoneCo Ltd. (STNE - Free Report) closed the last trading session at $11.35, gaining 4.6% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $15.6 indicates a 37.4% upside potential.
The mean estimate comprises nine short-term price targets with a standard deviation of $4.83. While the lowest estimate of $9.00 indicates a 20.7% decline from the current price level, the most optimistic analyst expects the stock to surge 102.6% to reach $23.00. It's very important to note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.
While the consensus price target is highly sought after by investors, the ability and unbiasedness of analysts in setting price targets have long been questionable. And investors making investment decisions solely based on this tool would arguably do themselves a disservice.
But, for STNE, an impressive average price target is not the only indicator of a potential upside. Strong agreement among analysts about the company's ability to report better earnings than they predicted earlier strengthens this view. While a positive trend in earnings estimate revisions doesn't gauge how much a stock could gain, it has proven to be powerful in predicting an upside.
Price, Consensus and EPS Surprise
Here's What You May Not Know About Analysts' Price TargetsAccording to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that price targets set by several analysts, irrespective of the extent of agreement, rarely indicate where the price of a stock could actually be heading.
While Wall Street analysts have deep knowledge of a company's fundamentals and the sensitivity of its business to economic and industry issues, many of them tend to set overly optimistic price targets. Are you wondering why?
They usually do that to drum up interest in shares of companies that their firms either have existing business relationships with or are looking to be associated with. In other words, business incentives of firms covering a stock often result in inflated price targets set by analysts.
However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces.
That said, while investors should not entirely ignore price targets, making an investment decision solely based on them could lead to disappointing ROI. So, price targets should always be treated with a high degree of skepticism.
Why STNE Could Witness a Solid UpsideThere has been increasing optimism among analysts lately about the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher. And that could be a legitimate reason to expect an upside in the stock. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Over the last 30 days, the Zacks Consensus Estimate for the current year has increased 16.1%, as one estimate has moved higher compared to no negative revision.
Moreover, STNE currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Therefore, while the consensus price target may not be a reliable indicator of how much STNE could gain, the direction of price movement it implies does appear to be a good guide.
Here at Zacks, our focus is on the proven Zacks Rank system, which emphasizes earnings estimates and estimate revisions to find great stocks. Nevertheless, we are always paying attention to the latest value, growth, and momentum trends to underscore strong picks.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and traditional valuation metrics to find stocks that they believe are being undervalued by the market at large.
In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.
One stock to keep an eye on is StoneCo (STNE - Free Report) . STNE is currently sporting a Zacks Rank #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 11.19, while its industry has an average P/E of 27.17. Over the past 52 weeks, STNE's Forward P/E has been as high as 11.19 and as low as 6.09, with a median of 8.65.
We also note that STNE holds a PEG ratio of 0.37. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. STNE's PEG compares to its industry's average PEG of 0.98. Within the past year, STNE's PEG has been as high as 0.45 and as low as 0.28, with a median of 0.35.
Another notable valuation metric for STNE is its P/B ratio of 2.71. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 4.46. Over the past year, STNE's P/B has been as high as 2.71 and as low as 0.88, with a median of 1.45.
Value investors also use the P/S ratio. The P/S ratio is calculated as price divided by sales. This is a preferred metric because revenue can't really be manipulated, so sales are often a truer performance indicator. STNE has a P/S ratio of 1.05. This compares to its industry's average P/S of 2.8.
These figures are just a handful of the metrics value investors tend to look at, but they help show that StoneCo is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, STNE feels like a great value stock at the moment.
StoneCo Ltd. (STNE - Free Report) is looking like an interesting pick from a technical perspective, as the company reached a key level of support. Recently, STNE crossed above the 20-day moving average, suggesting a short-term bullish trend.
The 20-day simple moving average is a popular investing tool. Traders like this SMA because it offers a look back at a stock's price over a shorter period and helps smooth out price fluctuations. The 20-day can also show more trend reversal signals than longer-term moving averages.
Like other SMAs, if a stock's price is moving above the 20-day, the trend is considered positive. When the price falls below the moving average, it can signal a downward trend.
STNE has rallied 16% over the past four weeks, and the company is a Zacks Rank #2 (Buy) at the moment. This combination suggests STNE could be on the verge of another move higher.
Looking at STNE's earnings estimate revisions, investors will be even more convinced of the bullish uptrend. There have been 2 revisions higher for the current fiscal year compared to none lower, and the consensus estimate has moved up as well.
With a winning combination of earnings estimate revisions and hitting a key technical level, investors should keep their eye on STNE for more gains in the near future.
CORTE MADERA, Calif.--(BUSINESS WIRE)--RH (NYSE: RH) today announced that it will report financial results for the first quarter fiscal 2026 ended May 2, 2026, on Thursday, June 11, 2026, after market close. RH’s first quarter fiscal 2026 financial results will include a shareholder letter from Gary Friedman, RH Chairman and Chief Executive Officer, highlighting the Company’s continued evolution and recent performance. The shareholder letter and financial results will be posted to the Company’s investor relations website at ir.rh.com.
RH leadership will host a live conference call and audio webcast at 2:00 pm Pacific Time (5:00 pm Eastern Time) on June 11, 2026. The live conference call may be accessed by dialing 800.715.9871 or 646.307.1963 for international callers (conference ID: 7345752). The call and replay can also be accessed via audio webcast at ir.rh.com.
ABOUT RH
RH (NYSE: RH) is a global curator of design, taste and style in the luxury lifestyle market. Operating across the United States, Canada, the United Kingdom and Europe, the Company offers collections through its retail galleries, sourcebooks and online at RH.com, RHModern.RH.com, RHBabyandChild.RH.com, RHTEEN.RH.com and Waterworks.RH.com, with integrated hospitality experiences in galleries throughout the United States and internationally.
The stock has key technical support as record short interest creates fuel for further upside
Jun 5, 2026 at 2:14 PM
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Furniture retailer RH (NYSE:RH) last week broke out and above the upper boundary of a three-month basing pattern that followed a multi-year low in April. This low was a fake-out move below the April 2025 lows, and just two weeks ago the equity crossed above the 50-day moving average. This crossover tends to have historically bullish returns, per our quantitative data. Previously, a cross below this trendline was a sell signal.
RH had also cleared the pre-earnings close in late-March that preceded a gap lower, which marked a low in the shares. Short interest is at a record high as well. The security has surged more than 30% since its April post-earnings low, and with the shares clearing the pre-earnings close last week, it could ignite short covering in the weeks ahead.
Our recommended call option has a leverage ratio of 4.0 and will double on a 29.8% rise in the underlying equity.
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Key Takeaways RH will report fiscal Q1 2026 results on June 11 after market close; estimates call for a $2.07 loss.RH revenues are expected at $791.6M, down 2.7% YoY, amid weak housing, high mortgage rates and uncertainty.RH sees EBITDA margin 5.5%-6.5%; Milan/London startup costs may cut margin 420 bps plus tariffs. RH (RH - Free Report) is scheduled to report its first-quarter fiscal 2026 (ended May 2, 2026) results on June 11, after the closing bell.
In the last reported quarter, the company’s adjusted earnings per share of $1.53 missed the Zacks Consensus Estimate of $2.21 by 30.8%. The reported figure decreased slightly by 3.2% from $1.58 in the year-ago period. Net revenues of $842.6 million also lagged the consensus mark of $872 million but improved 3.7% year over year.
RH’s earnings surpassed estimates in only one of the trailing four quarters and missed on the other three occasions, but the average surprise was positive 46.5%.
How Are Estimates Placed for RH Stock?The Zacks Consensus Estimate for the fiscal first quarter indicates a loss of $2.07 per share, which has remained unchanged over the past 30 days. In the year-ago period, the company reported earnings of 13 cents per share.
The consensus estimate for revenues is pegged at $791.6 million, indicating a 2.7% year-over-year decline.
Factors Likely to Have Shaped RH’s Q1 PerformanceAssessing the Sales Environment: RH’s fiscal first-quarter revenue performance is likely to have been pressured by continued weakness in the U.S. housing market, which management has described as one of the most difficult environments in decades for home-related spending. Elevated mortgage rates and macroeconomic uncertainty may have weighed on furniture demand, particularly for larger discretionary purchases. Management guided for first-quarter fiscal 2026 revenue growth of negative 2% to negative 4%, reflecting expectations for a soft demand environment.
Despite these headwinds, several company-specific initiatives may have provided support. RH entered fiscal 2026 with momentum from market-share gains and revenue growth that outpaced many industry peers. The company continued to benefit from its luxury positioning, expansive gallery network and integrated hospitality model, which help drive customer engagement and brand awareness. Management also remained optimistic about growth opportunities tied to new gallery concepts and international expansion efforts.
However, the quarter is likely to have seen limited contribution from RH Estates, the company’s new traditional luxury furnishings concept. Management indicated that major launch activities would occur during the second quarter, with meaningful revenue benefits expected later in the year.
Factors Affecting Profitability: Profitability is expected to have remained under pressure during the quarter. RH forecasted a fiscal first-quarter adjusted EBITDA margin of 5.5% to 6.5%, substantially below its longer-term targets. A major factor is the elevated level of pre-opening and startup expenses tied to international expansion initiatives, including RH Milan and RH London. Management estimated that these costs alone would reduce first-quarter adjusted EBITDA margin by roughly 420 basis points.
Tariff-related costs and supply-chain adjustments are likely to have been another challenge. During the fourth-quarter earnings discussion, management noted that tariff-related sourcing transitions had already created operational disruptions and margin pressure. Continued investments in global expansion, product development and the upcoming RH Estates launch were also expected to weigh on earnings in the near term.
Overall, RH’s fiscal first-quarter results are expected to reflect a balance between near-term macroeconomic pressures and substantial investments intended to strengthen the company’s long-term growth platform.
What the Zacks Model Says for RHOur proven model does not conclusively predict an earnings beat for RH this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here, as you will see below.
Earnings ESP: The company has an Earnings ESP of 0.00%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank stocks here.
Peer ReleasesWilliams-Sonoma’s (WSM - Free Report) first-quarter fiscal 2026 earnings topped the Zacks Consensus Estimate by 7.2%, while net revenues met the same at $1.81 billion. Year over year, both metrics grew 4.3% and 4.4%, respectively, owing to the broad-based comparable growth across brands and channels and steady earnings delivery.
For fiscal 2026, WSM expects annual net revenues to increase in the range of 2.7-6.7%, with comparable brand revenue growth (comps) in the range of 2-6%. WSM also continues to project an operating margin between 17.5% and 18.1% for the year.
Lowe’s (LOW - Free Report) reported first-quarter fiscal 2026 results, wherein both earnings and sales surpassed the Zacks Consensus Estimate. Adjusted earnings were $3.03 per share, rising 3.8% year over year and beating the Zacks Consensus Estimate of $2.96 by 2.4%. Net sales came in at $23.1 billion, rallying 10.3% from the year-ago quarter and surpassing the consensus mark of $22.9 billion by 0.6%.
Lowe’s reaffirmed its fiscal 2026 guidance and expects total sales between $92 billion and $94 billion, indicating year-over-year growth of 7-9%. Comparable sales are anticipated to be flat to up 2%. The company expects the adjusted operating margin to be 11.6-11.8%. Lowe’s expects EPS of $11.75-$12.25 and adjusted EPS of $12.25-$12.75.
The Home Depot Inc.’s (HD - Free Report) first-quarter fiscal 2026 top and bottom lines outpaced the Zacks Consensus Estimate. Adjusted earnings were $3.43 per share, down 3.7% from the year-ago quarter but beat the consensus mark of $3.40. Net sales rose 4.8% year over year to $41.77 billion and topped the consensus estimate of $41.49 billion.
Home Depot reaffirmed its fiscal 2026 framework, calling for total sales growth of approximately 2.5-4.5% and comparable sales growth of roughly flat to 2%. The company also expects to open about 15 stores this year. HD anticipates EPS growth of approximately flat to 4% from $14.23 in fiscal 2025.
RH (NYSE:RH) will release earnings for its first quarter after the closing bell on Thursday, June 11.
Analysts expect the Corte Madera, California-based company to report a quarterly loss of $2.07 per share, versus a profit of 13 cents per share in the year-ago period. The consensus estimate for RH's quarterly revenue is $792.38 million (it reported $813.95 million last year), according to Benzinga Pro.
On March 31, RH reported worse-than-expected fourth-quarter financial results and issued FY26 sales guidance below estimates.
RH shares fell 0.9% to close at $148.69 on Wednesday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let's have a look at how Benzinga's most-accurate analysts have rated the company in the recent period.
Considering buying RH stock? Here’s what analysts think:
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Chicago, June 11, 2026 (GLOBE NEWSWIRE) -- RH CPAs is proud to announce it has received the Audit & Accountancy Services award at the Captive Review Awards USA 2026, presented on June 10 by Captive Review. This is the fifth consecutive year the firm has earned this recognition.
The award was presented at the Captive Review Awards USA 2026 ceremony in Chicago, which celebrates excellence and innovation in the U.S. captive insurance sector.
The independent judging panel cited the firm’s distinguished performance, noting: "RH CPAs stands out for its responsive, efficient service, specialized knowledge in captive insurance, and ability to deliver personalized solutions for complex audit and tax requirements. The firm's strong industry reputation, innovative service approach, and sustained domestic and international growth further reinforce its position as a highly respected and well-recommended specialist provider."
"Being recognized for five years is an honor that reflects our team's ongoing dedication to our clients," said Leon Rives II, Chief Visionary Officer at RH CPAs. "We appreciate the trust our clients entrust to us and remain committed to setting the standard for audit and accountancy services in the captive industry."
Captive Review has been a trusted voice for the risk management and captive insurance communities since 1999. The Captive Review Awards event was held in conjunction with the 2026 Captive Review Conference USA, which brought together senior captive owners, risk managers, regulators, brokers, reinsurers and advisers to explore how captives are evolving in structure, governance and purpose. For more information about the Captive Review Awards USA 2026 winners, please visit: captivereview2026/en/page/2026-winners
About RH CPAs
RH CPAs is a growth-focused professional services firm dedicated to providing more than compliance. It partners with clients to help build their future. Led by Chief Visionary Officer Leon Rives II, RH CPAs serves a diverse client base spanning nonprofits, school districts, and multi-billion dollar life insurance companies, with offices in North Carolina and operations in Karachi, Pakistan. The firm thrives on being different, not for its own sake, but because its clients deserve partners who think beyond the expected. Learn more at www.rh-accounting.com.
That wraps up our initial coverage of RH’s Q1 results. Thank you for stopping by!
Check out management’s earnings call at 5 PM EST for more updates.
Yesterday
RH raised its fiscal 2026 outlook after reporting first-quarter results that exceeded management’s expectations. The luxury furniture retailer now expects fiscal 2026 revenue growth of 4.5-8.0%, adjusted EBITDA margins of 14.2-16.0%, and adjusted free cash flow of $300-$400 million.
Management identified RH Estates, alongside backlog conversion and new gallery openings, as key factors supporting its expectation for revenue growth to accelerate in the second half of fiscal 2026.
Management said tariff-related sourcing disruptions delayed approximately $45 million of revenue in the quarter, but expects much of that business to be recognized later this year.
Yesterday
RH just reported earnings, with shares initially up about 9% following the report. Here are the key numbers:
Revenue: $800.3 million Adjusted EBITDA: $56.9 million (7.1% margin) Free Cash Flow: $13.3 million Guidance:
FY2026 Revenue Growth: 4.5% to 8.0% FY2026 Adjusted EBITDA Margin: 14.2% to 16.0% FY2026 Adjusted Free Cash Flow: $300 million to $400 million Q2 2026 Revenue Growth: 0.5% to 2.5% Q2 2026 Adjusted EBITDA Margin: 11.5% to 13.0% Quick read:
RH exceeded the high end of management’s expectations in Q1 despite tariff-related sourcing issues that delayed roughly $45 million of revenue.
Management raised its full-year outlook and expects backlog normalization to drive a meaningful revenue acceleration in the second half of 2026.
Investors appear encouraged that RH’s recovery thesis remains intact, with management pointing to backlog reduction, new store openings, and the launch of RH Estates as key growth drivers for the back half of the year.
Yesterday
With RH’s (NYSE:RH | RH Price Prediction) first-quarter results at 4:05 PM ET approaching, here are some key topics analysts will be watching for:
Key Topics Management Must Address Whether the 420 bps international drag is tracking to plan after Paris “exceeded RH New York” traffic. RH Estates rollout across the top 30-40 galleries and the mid-May sourcebook reception. Progress on the $0.5 billion real estate monetization plan. Macro Signals to Weigh Consumer sentiment at 49.8, a fresh 12-month low. Housing starts slipping to 1.47M in April. Red Flags Any softening of the $300M to $400M FCF range, or evasive answers on pending securities probes. Yesterday
With the bar set at -$2.05 non-GAAP EPS, the surprise risk lies in factors beyond the headline beat.
Tariff backorder unwind. Q4 lost ~$30 million in revenue to resourcing. Faster-than-expected resolution as China sourcing moves toward the 2% target could flip the guided -2% to -4% revenue decline. FX exposure. Euro and GBP swings now matter materially with RH Paris live and RH London/Milan launching Spring 2026. Housing inflection. Starts rebounded to 1,465 thousand units in April, the 81.8th percentile historically, challenging Friedman’s “worst in 50 years” framing. Litigation overhang. Investor law firms probing the Q4 miss adds sentiment risk absent from sell-side models. Earnings results are expected at 4:05 PM ET, while the earnings call will be at 5:00 PM ET.
Yesterday
What the Crowd Is Pricing In Polymarket traders are betting heavily on a beat. The active market “Will RH (RH) beat quarterly earnings?” shows a 98.5% implied probability of RH (NYSE:RH) topping the non-GAAP EPS threshold of -$2.05, with 9,614.76 contracts traded. Conviction has surged, with the “Yes” price climbing +48% over the past week and +53% in the last day.
The low bar matters. A negative consensus makes the hurdle easy to clear, even though RH missed in both Q3 and Q4 2025. History suggests the stakes are high: misses have averaged a -12.93% same-day move, while the lone beat delivered +6.93%. Shares trade at $153.23 into the earnings report, down 17% year-to-date.
Yesterday
Luxury home furnishings retailer RH (NYSE:RH) reports Q1 FY2026 results tonight at 4:05 PM ET. With shares at $153.14 and Polymarket pricing a 98.5% probability of beating the -$2.05 non-GAAP EPS bar, here is what to listen for on the 5:00 PM ET call.
Top 5 Analyst Questions How quickly is China sourcing tracking toward the 2% target from 16%? Is the $250M-$350M free cash flow range still intact? RH Paris productivity and RH Milan Spring 2026 readiness? Demand cadence versus the guided 2% to 4% revenue contraction? Path to deleveraging from 4.6x net debt/EBITDA? Key Topics & Buzzwords Listen for “strategic separation,” “climbing the luxury mountain,” and “demand vs. revenue.” Brand extension launch timing, hospitality (Guesthouses, RH One/Two/Three). Red Flags Full-year guide cut, widening negative shareholders’ equity beyond -$110.8 million, or fresh tariff backorder commentary. Yesterday
RH enters earnings under pressure after a difficult year marked by weak housing activity, tariff concerns, and investor skepticism around the company’s spending plans.
The company finished fiscal 2025 with roughly $2.6 billion in debt and net debt running at about 4.0x EBITDA, leaving little room for disappointment. Management has argued that current investments, including the RH Estates strategy, will drive long-term growth, but investors want evidence that the payoff is beginning to materialize.
Tonight’s report will be closely watched for signs that demand is stabilizing, luxury consumers remain engaged, and tariff pressures are easing. If RH can deliver on those fronts, there’s a potential for the recovery narrative to quickly regain momentum.
RH (NYSE: RH) reports first-quarter fiscal 2026 results today, June 11, at 4:05 PM ET. After two straight misses and a stock down 21.49% over the past year, this report carries unusual weight.
Proving the Investment Cycle Is Worth It Last quarter, RH posted adjusted EPS of $1.53, below the $2.20 consensus, and revenue of $842.6 million, below the $873.3 million consensus. Management blamed roughly $30 million in tariff-related backorders and $10 million in weather disruption. The stock dropped 19.5% intraday on the earnings report.
For the quarter ahead, CEO Gary Friedman guided to a revenue decline of 2% to 4% and an adjusted EBITDA margin of 5.5% to 6.5%, which incorporates roughly a 420-basis-point negative margin impact from international pre-opening costs. RH Paris opened on the Champs-Élysées last September, with RH London and RH Milan slated for Spring 2026. Shares have rebounded 15.09% over the past month to $153.50, suggesting some traders see the bar as already low enough. However, shares are up 3% today heading into Q1 earnings.
Consensus Estimates Metric Q1 FY2026 Consensus Full Year FY2026 Guide Adjusted EPS $(2.05) Implied from 14% to 16% EBITDA margin Revenue ~$792M 4% to 8% growth Adjusted Free Cash Flow Not guided $300M to $400M Estates Launch and Europe Will Decide Tonight’s Tone Tonight, I will be watching three things. First, the launch of RH Estates, the brand extension delayed from Fall 2025 to Spring 2026. Friedman told investors it will “become our largest and highest margin brand extension” and premiered at RH Milan during Salone.
Second, Europe. Friedman said Paris traffic in the first six days exceeded RH New York, and RH England demand ran +76% in Q2 and +47% in Q1. Investors will watch whether that comp momentum held through the London and Milan ramp, as international costs are eating into margins right now.
Third, tariffs and sourcing. CFO Jack Preston flagged “some tailwinds from the relatively lower rate that exists under Section 122 today” in the first half. RH has shifted its China sourcing target from 16% to 2% and aims for 52% U.S.-made upholstery. The macro backdrop helps modestly: housing starts hit 1.47 million in April, near the high end of the healthy range.
Polymarket traders are pricing a 98.5% probability of a beat against that loss estimate, signaling the bar may be low.
CORTE MADERA, Calif.--(BUSINESS WIRE)--RH (NYSE: RH) has released its financial results for the first quarter ended May 2, 2026, in a shareholder letter from Chairman and Chief Executive Officer Gary Friedman, available on the Investor Relations section of its website at ir.rh.com.
RH leadership will host a live conference call and audio webcast at 2:00 pm Pacific Time (5:00 pm Eastern Time) today. The live conference call may be accessed by dialing 800.715.9871 or 646.307.1963 for international callers (conference ID: 7345752). The call and replay can also be accessed via audio webcast at ir.rh.com.
ABOUT RH
RH (NYSE: RH) is a global curator of design, taste and style in the luxury lifestyle market. Operating across the United States, Canada, the United Kingdom and Europe, the Company offers collections through its retail galleries, sourcebooks and online at RH.com, RHModern.RH.com, RHBabyandChild.RH.com, RHTEEN.RH.com and Waterworks.com, with integrated hospitality experiences in galleries throughout the United States and internationally.
RH (RH - Free Report) came out with a quarterly loss of $1.97 per share versus the Zacks Consensus Estimate of a loss of $2.13. This compares to earnings of $0.13 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +7.59%. A quarter ago, it was expected that this furniture and housewares company would post earnings of $2.21 per share when it actually produced earnings of $1.53, delivering a surprise of -30.77%.
Over the last four quarters, the company has surpassed consensus EPS estimates just once.
RH, which belongs to the Zacks Consumer Products - Staples industry, posted revenues of $800.33 million for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 1.10%. This compares to year-ago revenues of $813.95 million. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
RH shares have lost about 17% since the beginning of the year versus the S&P 500's gain of 6.2%.
What's Next for RH?While RH has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for RH was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.78 on $951.58 million in revenues for the coming quarter and $5.35 on $3.62 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Consumer Products - Staples is currently in the bottom 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
WD-40 (WDFC - Free Report) , another stock in the same industry, has yet to report results for the quarter ended May 2026.
This maintenance and cleaning product company is expected to post quarterly earnings of $1.58 per share in its upcoming report, which represents a year-over-year change of +2.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
WD-40's revenues are expected to be $171.8 million, up 9.5% from the year-ago quarter.
Arhaus Stock Drops to 52-Week Low After Q1 EarningsRH NYSE: RH raised its fiscal 2026 outlook after first-quarter revenue and adjusted EBITDA margin exceeded the high end of its expectations, even as the luxury home furnishings company said tariff-related resourcing kept back orders and special orders elevated.
Chairman and Chief Executive Officer Gary Friedman said first-quarter revenue was $800.3 million and adjusted EBITDA margin was 7.1%. He said results came despite back order and special order balances that were approximately $75 million higher than a year earlier, primarily due to tariff-related resourcing.
Get RH alerts:
MarketBeat Week in Review – 04/27 - 05/01“As a result of our better-than-expected first quarter results, we are raising our outlook for fiscal year 2026,” Friedman said while reading the company’s shareholder letter.
RH Raises Fiscal 2026 Outlook For fiscal 2026, RH now expects:
Revenue growth of 4.5% to 8%. Adjusted EBITDA margin of 14.2% to 16%. Adjusted free cash flow of $300 million to $400 million. Could RH’s Recent 40% Slide Represent a Buying Opportunity?The company said the full-year outlook includes an approximate 270-basis-point negative impact to adjusted EBITDA margin from pre-opening and start-up costs tied to international expansion.
For the second quarter, RH guided for revenue growth of 0.5% to 2.5% and adjusted EBITDA margin of 11.5% to 13%. That outlook includes an approximate 380-basis-point negative adjusted EBITDA margin impact from pre-opening and start-up costs to support international expansion.
Friedman said the company expects its business to accelerate from roughly flat revenue growth in the first half to about 12% growth in the second half. He identified three elements behind that expected acceleration: backlog reduction contributing 4.5 percentage points, new store growth adding 2.5 percentage points and new concept growth from RH Estates contributing five points.
Chief Financial Officer Jack Preston clarified during the question-and-answer session that the $75 million backlog figure represents back orders and special orders above the company’s normal rate. “This is elevated because of unnatural things happening,” Preston said, citing resourcing and transportation impacts.
RH Estates Takes Center Stage Much of the call focused on RH Estates, a new concept Friedman described as a major step in the company’s effort to build a global luxury brand. Friedman said the concept is intended to bring high-end, trade-only design and craftsmanship to a broader audience through RH’s platform.
Friedman said the company has aggregated brands and ateliers including Dmitriy & Co, Joseph Jeup, Dennis & Leen, Formations, Waterworks and Michael Taylor. He characterized RH Estates as an effort to remove barriers that have historically limited consumer access to certain categories of luxury home design.
“With the launch of RH Estates, we are removing the barriers that have segregated taste from scale,” Friedman said. “We are amplifying the work of the world’s most elite designers, artisans, and manufacturers on our global platform.”
Friedman also outlined new customization capabilities, including RH Bespoke Furniture and RH Couture Upholstery. He said RH Bespoke will allow interior designers and architects to specify dimensions for case goods such as dressers, dining tables, sideboards and cabinets. RH Couture Upholstery will include custom sizing and customer’s own material, or COM, for sofas, sectionals, chairs, ottomans and beds.
In response to a question from Guggenheim analyst Steven Forbes about the addressable market, Friedman said the traditional classic market represents roughly 60% of the luxury home market and that RH is “vastly under-penetrated” in that category. He said the company now views its business around three major aesthetic segments: Estates, Interiors and Modern.
Trade Program Aimed at Designers and Architects RH also plans to introduce an exclusive program for interior designers, architects and trade members. Friedman said the program is designed to compensate professionals for the value they create for consumers and to encourage them to use RH’s platform.
During the call, Friedman said RH already has a large trade business and provides services such as design support, renderings, presentations, delivery and installation assistance. He said the company has not historically offered the same kind of incentive structure to the design trade that some professionals use in their business models.
“Interior designers have a markup model, right? An hourly model. They kind of need both to make the business work,” Friedman said. He added that RH Estates makes this the right time to more directly engage high-end designers because the new assortment is aimed at the top of the market.
When Jefferies analyst Jonathan Matuszewski asked why now was the right time to pursue a loyalty program that compensates trade clients, Friedman said the timing is tied to Estates. “Estates opens up the very top of the market for this brand,” he said.
International Expansion Remains a Major Investment Friedman described RH Paris, Milan and London as key foundational openings for the company’s global luxury ambitions. He said the three markets are important to earning recognition from European, U.K. and global customers.
Asked by Wells Fargo analyst Zach Fadem about the initial response from Milan and expectations for Paris, Milan and London, Friedman said the company is still building brand awareness, customer relationships and design books in Europe. He said London is expected to be an accelerator for the broader international platform.
“London is the accelerator for all of it,” Friedman said. “Because everybody goes to London.” He said London has higher brand awareness for RH than some other international markets, citing expats and customer familiarity with the brand.
Preston said first-quarter pre-opening costs ended up at about 450 basis points of margin impact, compared with prior commentary of 420 basis points. He said the second-quarter guide includes a 380-basis-point impact, while the full-year figure is expected to be 270 basis points.
Margins, Cash Flow and Balance Sheet Executives said RH expects margin leverage as investments peak and sales improve. Friedman said the company is not assuming a recovery in the housing market in its guidance and said he would be surprised if RH did not beat the numbers if the market worsened, absent more severe macroeconomic disruption.
On tariffs, Preston said the free cash flow guidance does not assume any additional tariff refunds. “The refunds started coming, but they’ve been kind of paused,” he said.
On the balance sheet, Morgan Stanley analyst Simeon Gutman asked about RH’s goal of becoming debt-free by 2029. Friedman said debt reduction remains a priority and pointed to planned asset sales of $200 million to $250 million per year over the next two years. He said RH recently completed a transaction related to its Aspen real estate that gave the company 100% control of eight properties, which he said could help monetization efforts.
Preston said free cash flow is expected to build over time and reiterated that making progress on debt reduction remains a focus. Friedman added that as spending declines and sales rise, the company expects asset sales and business performance to support the balance sheet.
Friedman closed the call by thanking RH employees and saying the company is entering “one of the most important times in the history of RH,” driven by new products, international galleries and the company’s broader luxury positioning.
About RH NYSE: RHRH, formerly Restoration Hardware, is a design-driven luxury retailer specializing in high-end home furnishings, décor, textiles, lighting and outdoor living products. The company offers a curated collection of furniture pieces—including seating, casegoods, beds and dining items—alongside rugs, art and decorative accessories. RH's product lines are organized into distinct collections, each reflecting a cohesive design philosophy and premium craftsmanship aimed at the residential and hospitality markets.
Founded in 1979 in Eureka, California, by Stephen Gordon, Restoration Hardware began as a small warehouse in Northern California.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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RH (NYSE:RH) reported better-than-expected first-quarter financial results and raised its FY2026 sales guidance on Thursday.
RH reported quarterly losses of $1.97 per share, which beat the analyst consensus estimate of losses of $2.11 per share. The company reported quarterly sales of $800.328 million, which beat the analyst consensus estimate of $792.780 million.
RH raised its FY2026 sales guidance from $3.577 billion-$3.715 billion to $3.594 billion-$3.715 billion.
RH shares fell 5.8% to trade at $149.95 on Friday.
These analysts made changes to their price targets on RH following earnings announcement.
Baird analyst Peter Benedict maintained RH with a Neutral and raised the price target from $125 to $150. Wells Fargo analyst Zachary Fadem maintained the stock with an Overweight rating and raised the price target from $160 to $175. Stifel analyst W. Andrew Carter maintained RH with a Hold and raised the price target from $110 to $130. Considering buying RH stock? Here’s what analysts think:
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RH RH is experiencing a decline in stock value following its Q1 report, where below-consensus Q2 guidance overshadowed better-than-expected results. The luxury home furnishings retailer posted an adjusted loss of $1.97 per share, with revenue decreasing by 1.7% year-over-year to $800.3 million. For Q2, RH anticipates revenue growth of only 0.5-2.5%, amounting to approximately $904-922 million, which falls short of market expectations. The company did increase the lower end of its FY26 revenue outlook, now forecasting growth of 4.5-8.0%, or around $3.59-3.73 billion, but this projection is contingent on a significant acceleration in the latter half of the year.
Revenue Timing: Q1 revenue was negatively impacted by about $45 million due to high backorder and special order balances, which were approximately $75 million above last year, largely due to tariff-related resourcing. RH expects these balances to stay elevated in Q2 before normalizing by year-end. Second-Half Bridge: Management forecasts revenue growth to shift from roughly flat in the first half to around 12% in the second half. This growth includes 4.5 points from backlog reduction, 2.5 points from new store openings, and 5.0 points from new concept growth, primarily RH Estates. Margin Framework: Margins faced pressure, with the adjusted EBITDA margin dropping to 7.1% from 13.1% last year due to gross margin compression and expense deleverage. RH projects a Q2 adjusted EBITDA margin of 11.5-13.0% and an FY26 adjusted EBITDA margin of 14.2-16.0%, indicating a significant recovery from Q1 levels, although international pre-opening and startup costs continue to be a burden. Platform Expansion: RH is focused on establishing a global luxury brand, with Paris, Milan, and London serving as key galleries for international visibility. Initiatives like RH Estates, RH Bespoke Furniture, and RH Couture Upholstery are part of this strategy to enter more customized, designer-led categories. Despite RH's Q1 results exceeding expectations, investor attention is shifting to the weaker Q2 guidance and the ambitious second-half growth implied by the FY26 outlook. The company suggests that some immediate challenges stem from timing issues related to elevated backorder and special order balances. However, transitioning from flat first-half revenue growth to approximately 12% in the second half remains a significant challenge, given the ongoing difficulties in the housing market and uneven demand for luxury home furnishings. While RH anticipates revenue growth in Q2, the 0.5-2.5% growth forecast is considerably below expectations, and the adjusted EBITDA margin still needs substantial improvement from Q1 levels to align with the full-year framework. Nevertheless, RH's long-term vision surrounding international galleries, RH Estates, Bespoke Furniture, and Couture Upholstery remains appealing, as it aims to create a broader luxury platform that extends beyond the housing cycle. However, with Q2 guidance disappointing, international startup costs impacting profitability, and a recovery that heavily relies on second-half performance, investor concerns regarding the timing and sustainability of the rebound persist.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Earnings Top ExpectationsRH reported a first-quarter loss of $1.97 per share, beating analysts’ estimates for a loss of $2.11 per share. Revenue rose to $800.3 million, ahead of the consensus estimate of $792.8 million.
RH projected second-quarter revenue of $903.6 million to $921.6 million, below the Wall Street consensus estimate of $937.8 million.
Despite the softer quarterly outlook, RH raised its fiscal 2026 revenue guidance. The company now expects full-year sales of $3.594 billion to $3.715 billion, up from its prior forecast of $3.577 billion to $3.715 billion. The updated range compares with the analyst estimate of $3.619 billion.
RH Analysts Raise Price ForecastsFollowing the results, several analysts increased their price forecasts on the stock.
Baird analyst Peter Benedict maintained a Neutral rating and raised his price forecast to $150 from $125. Wells Fargo analyst Zachary Fadem reiterated an Overweight rating and increased his price forecast to $175 from $160. Stifel analyst W. Andrew Carter maintained a Hold rating and lifted his price forecast to $130 from $110. Guggenheim Sees Margin Expansion AheadGuggenheim analyst Steven Forbes reiterated a Buy rating on the stock with a $200 price forecast.
Forbes said RH’s first-quarter performance exceeded expectations and marked the first time since the second quarter of 2023 that results reached the high end of management’s guidance range. He also noted adjusted EBITDA came in about 30% above expectations.
The analyst said RH’s second-quarter guidance and implied second-half outlook support expectations for accelerating market share gains and improving profitability.
Forbes added that RH is nearing the end of a major product refresh cycle, including the upcoming RH Estates launch, while international expansion efforts, including the planned opening of RH London in Mayfair, could serve as important catalysts. As a result, he said the next 12 months “could reshape the consensus investment narrative” around the company.
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Advance work at the Bailey site prepared the property for a significant industrial investment by USA Rare Earth
Collaboration underscores the power of ready-to-go sites; adds to the $3.5 billion of capital investments and more than 5,200 new jobs the Site Readiness Program has helped bring to South Carolina, /PRNewswire/ -- USA Rare Earth's announcement this week of a major investment and new jobs in Cherokee County highlights the impact of Duke Energy's Site Readiness Program, which helped prepare the Bailey Industrial Site for major economic development. Through upfront due diligence, infrastructure planning and site marketing, the program made Bailey more competitive for companies looking to move quickly on a new project.
Since 2005, the program has helped attract significant investment across South Carolina, and Bailey is the latest example. After completing the site-readiness process, the Cherokee County property was better positioned to compete for transformative projects – culminating in USA Rare Earth's announcement that it will build a facility there, bringing a $1.2 billion investment and 490 new jobs in one of the county's biggest economic wins.
Our view: "Duke Energy is proud to help bring this transformative project to Cherokee County and strengthen America's domestic rare earth supply chain," said Tim Pearson, Duke Energy South Carolina president. "The Bailey site is a strong example of how our Site Readiness Program helps communities compete for game-changing projects. By working with state and local partners to prepare the site in advance – from diligence and coordination to energy planning – we helped make this property more appealing for a company ready to invest, create jobs and move quickly. As we continue to prioritize reliable power at the lowest possible cost for our customers, we stand ready to use this program and every tool in our toolbox to help South Carolina win more opportunities like this."
Zoom out: The Duke Energy Site Readiness Program includes detailed site assessments by partners in site selection and engineering to identify opportunities, address challenges and improve a property's competitiveness before a prospect is on the table. That proactive work can help communities shorten timelines, reduce uncertainty and better position sites like Bailey for major industrial announcements.
Under the program, Duke Energy works with local economic development organizations on the overall strategy to improve and add to South Carolina's site inventory.Large-scale economic development projects play a key role in keeping costs as low as possible by helping pay for fixed infrastructure costs that benefit all customers through capacity expansion and improvements to reliability.By the numbers: For 22 consecutive years, Duke Energy's economic development efforts have been recognized by Site Selection magazine in the publication's annual list of "Top Utilities in Economic Development."
Since 2005, projects that have located on Site Readiness Program sites have announced $3.5 billion of capital investments and more than 5,200 new jobs for South Carolina.Duke Energy has evaluated 102 sites in South Carolina, and 26 companies have selected sites that have gone through the program.Examples of successful program sites include EA Sween in Greenwood County, Thermo King in Greenville County, Fancy Pokket in Lancaster County, Cyclic Materials in Chesterfield County and most recently USA Rare Earth in Cherokee County.The Site Readiness Program is a key example of how Duke Energy helps create jobs and bring more value to South Carolina. In fact, in 2025, Duke Energy helped recruit $3.4 billion in capital investment and 2,000 new jobs throughout the state.
More sites set for success: In addition to the Cherokee County site, two other prime locations for development recently went through the Site Readiness Program:
The Anderson Area Airport Industrial Park is a 226-acre property adjacent to the airport. Owned by Anderson County, it contains 175 buildable acres and is well positioned from both a utility and accessibility standpoint. The Carolina's Centre Industrial Park in Chesterfield County is a 296-acre site with frontage along Highway 9 between the towns of Chesterfield and Cheraw. The property contains a 52,000 square foot spec building, water and heavy electrical infrastructure.What they're saying
Ken Moon, Cherokee County Development Board executive director: "Duke Energy's Site Readiness Program was instrumental in USA Rare Earth's decision to choose the Bailey site for a major expansion and new facility in South Carolina. The program's preparation helped make the site competitive and ready to meet the company's needs, creating a major economic win for Cherokee County. Duke Energy continues to be a strong partner in helping position our community for growth."Tommy Dunn, Anderson County Council chairman: "Duke Energy remains an essential partner in advancing economic development in Anderson County, and the Site Readiness Program is a powerful example of that collaboration. By proactively identifying and preparing sites past, present and future, the Site Readiness Program investment has enhanced our competitiveness and strengthened our ability to attract transformative projects."Libby Lear, Chesterfield County Economic Development director: "I cannot emphasize enough the importance of site readiness and how significantly it impacts community growth. Duke Energy's Site Readiness Program is instrumental in attracting businesses, creating jobs, and fostering economic development in Chesterfield County. By preparing sites for potential investment, we are not only enhancing the appeal of our area but also paving the way for sustainable growth and prosperity."Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,700 megawatts of energy capacity. Its natural gas utilities serve 1.6 million customers in North Carolina, South Carolina, Ohio and Kentucky.
Duke Energy is executing an energy modernization strategy, keeping customer value at the forefront as it invests in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.
More information is available at duke-energy.com. Follow Duke Energy on X, LinkedIn, Instagram, TikTok and Facebook for stories about the people and innovations powering its communities.
Media Contact: Ryan Mosier
24-Hour: 800.559.3853
View original content to download multimedia:https://www.prnewswire.com/news-releases/duke-energy-site-readiness-efforts-help-land-1-2-billion-advanced-manufacturing-project-in-cherokee-county-302790078.html
Duke Energy is a top-tier regulated utility with strong exposure to high-growth regions and a robust nuclear fleet. Q1 results were solid, with adjusted EPS of $1.93 and revenue up 11% YoY, supporting reaffirmed 2026 EPS guidance of $6.55–$6.80. DUK's $103 billion capital plan targets grid upgrades, data center demand, and renewables, balancing growth with manageable leverage at 5x Debt/EBITDA.
Duke Energy Corporation is well positioned for AI-driven power demand, leveraging its nuclear capabilities and geographic advantages in fast-growing states. I maintain a Buy rating on DUK after its recent dip to $120, supported by strong Q1 results and long-term growth prospects. DUK's strategy to partner with tech companies on capital-intensive nuclear projects is prudent, given elevated industry-wide debt-servicing costs.
Eligible nonprofit organizations can apply for grants of up to $25,000 by June 30 Nonprofit organizations will use the funds to provide awards of up to $5,000 to individual small businesses , /PRNewswire/ -- The Duke Energy Foundation today announced $500,000 in grants to support nonprofit-led programs that help small businesses start, grow and thrive across North Carolina.
Zoom in: Nonprofit organizations can apply for $25,000 grants, which will then fund microgrants of up to $5,000 to individual small businesses. Funding can be used by local businesses like restaurants and retail stores to complete renovations, buy equipment or technology, purchase inventory or meet other business needs.
Flashback: Twenty North Carolina organizations were awarded funding for small business support in 2025, including Beaufort Business Association and Moore County Economic Development Partnership. Since 2020, Duke Energy Foundation has committed more than $2.9 million to support small businesses across North Carolina.
Why it matters: "Small businesses are the backbone of the economy, especially in North Carolina where they employ nearly half of the state's workforce," said Kendal Bowman, Duke Energy's North Carolina president. "Through strategic grantmaking, the Foundation helps to stimulate local economies, create jobs and foster economic growth in the communities where Duke Energy operates."
How to apply: Eligible nonprofits can find additional program details and apply via the Duke Energy Foundation's website. Applications are open now through June 30, 2026.
Duke Energy Foundation
Duke Energy Foundation provides nearly $30 million annually in philanthropic support to meet the needs of communities where Duke Energy customers live and work. The Foundation is funded by Duke Energy shareholders.
Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,700 megawatts of energy capacity. Its natural gas utilities serve 1.6 million customers in North Carolina, South Carolina, Ohio and Kentucky.
Duke Energy is executing an energy modernization strategy, keeping customer value at the forefront as it invests in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.
More information is available at duke-energy.com. Follow Duke Energy on X, LinkedIn, Instagram, TikTok and Facebook for stories about the people and innovations powering its communities.
It has been about a month since the last earnings report for Duke Energy (DUK - Free Report) . Shares have lost about 3.6% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Duke Energy due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
Duke Energy Q1 Earnings Beat Estimates, Revenues Increase Y/Y
Duke Energy Corporation's first-quarter 2026 earnings of $1.93 per share surpassed the Zacks Consensus Estimate of $1.79 by 7.6%. The bottom line increased 9.7% from $1.76 reported in the year-ago quarter.
DUK’s RevenuesTotal operating revenues were $9.18 billion, which beat the Zacks Consensus Estimate of $8.4 billion by 9%. The top line increased 11.3% from $8.25 billion in the year-ago period.
Highlights of DUK’s Earnings ReleaseOperating expenses amounted to $6.84 billion, up 15.6% year over year. The increase was primarily driven by higher expenses for fuel used in electric generation and purchased power, cost of natural gas, operation, maintenance and other and depreciation and amortization.
The operating income totaled $2.73 billion compared with $2.34 billion in the year-ago quarter.
Interest expenses rose to $968 million from $889 million in the first quarter of 2025.
The average number of customers in its Electric Utilities and Infrastructure increased 1.4% year over year.
Total electric sales volume for the reported quarter went up 0.3% year over year to 65,454 gigawatt-hours.
DUK’s Segmental HighlightsElectric Utilities & Infrastructure: This segment’s adjusted earnings totaled $1.4 billion, up from $1.28 billion in the first quarter of 2025. This was primarily driven by the recovery of infrastructure investments aimed at reliably serving customers across its expanding jurisdictions, along with favorable weather conditions. These positives were partially offset by higher O&M expenses, including storm-related costs, as well as increased depreciation tied to a growing asset base.
Gas Utilities & Infrastructure: Adjusted earnings from this segment amounted to $361 million compared with $349 million in the first quarter of 2025.
Other: The segment includes corporate interest expenses not allocated to other business units, resulting from Duke Energy’s captive insurance company and other investments. On an adjusted basis, this segment incurred a loss of $263 million compared with a loss of $260 million in the first quarter of 2025.
Financial Condition of DUKAs of March 31, 2026, Duke Energy had cash & cash equivalents of $2.14 billion compared with $0.245 billion as of Dec. 31, 2025.
As of March 31, 2026, the long-term debt was $80.48 billion compared with $80.11 billion as of Dec. 31, 2025.
During the first three months of 2026, the company generated net cash from operating activities of $1.51 billion compared with $2.18 billion in the same period last year.
2026 Guidance by DUKDuke Energy expects to generate 2026 adjusted EPS in the range of $6.55-$6.80. The Zacks Consensus Estimate for 2025 earnings is pegged at $6.70, which is higher than the midpoint of the company’s projected range.
The company expects its long-term adjusted EPS growth of 5-7% through 2030.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a flat trend in estimates revision.
VGM ScoresCurrently, Duke Energy has a poor Growth Score of F, however its Momentum Score is doing a bit better with a D. Charting a somewhat similar path, the stock has a grade of C on the value side, putting it in the middle 20% for value investors.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook Duke Energy has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.
New DOE funding would be applied to critical upgrades at Duke Energy plants in Kentucky and North Carolina Latest funding would bring total federal support to nearly $96 million while helping keep costs down for customers This news builds on recent Duke Energy announcements delivering billions in customer savings , /PRNewswire/ -- Duke Energy was selected by the U.S. Department of Energy (DOE) for new grant funding totaling up to $61.8 million to support reliability and refurbishment projects at coal-fired power plants in Kentucky and North Carolina. This news builds on a previously announced $34 million grant for Belews Creek Steam Station in North Carolina, bringing total DOE funding for Duke Energy projects at these sites to nearly $96 million. Duke Energy will now enter negotiations to finalize funding amounts. The new funding includes:
Up to $33.4 million for East Bend Station in Kentucky Up to $28.4 million for Roxboro Station units 2 and 3 in North Carolina What this means: Duke Energy filed applications requesting grant funding late last year, as these plants were identified for needed refurbishment of critical components to maintain operational reliability. As energy demand continues to grow across Duke Energy's service areas, maintaining and enhancing existing power plants remains one of the most efficient ways to deliver dependable service. DOE funding helps to offset the cost of these projects and reduce the amount that would otherwise be borne by customers.
Our view:
"We take every opportunity at Duke Energy Kentucky to reduce costs for our customers while continuing to deliver the reliable energy they depend on, and we appreciate the partnership of the Trump administration and DOE in this regard," said Amy Spiller, president of Duke Energy's utility operations in Ohio and Kentucky. "These investments at East Bend will strengthen reliability for the communities and businesses we serve while helping lower the cost of necessary upgrades over time." "This funding supports previously planned critical upgrades that help ensure we can continue delivering reliable power to our North Carolina customers while keeping costs as low as possible," said Kendal Bowman, president of Duke Energy's utility operations in North Carolina. "As our state continues to grow, investments like these help us meet increasing demand, support local communities and maintain the dependable service our customers expect." Bigger picture: Duke Energy is focused on strengthening the reliability of its generation fleet while identifying opportunities to reduce costs for customers. This announcement comes on the heels of other recent Duke Energy actions designed to reduce long-term customer costs while supporting reliability and growth:
Recently, Duke Energy announced more than $5 billion in customer savings, including: approximately $2.3 billion in net customer savings from 2027 to 2040 through the planned combination of the company's two electric utilities in the Carolinas up to $3.1 billion in net tax credit value through a multi-year agreement covering nuclear and solar production tax credits and solar and battery investment tax credits expected to be generated between 2025 and 2028 in Florida and the Carolinas – savings that will be used to reduce customer bills The company announced in May that it submitted an application for loans from the U.S. Department of Energy that represent potentially billions of dollars in additional customer savings as the company strengthens the electric grid, adds capacity and reliably serves some of the fastest-growing states in the country. Duke Energy Florida is implementing its third rate reduction of 2026 from June through September, lowering residential customer bills by a total of approximately $50 when compared to January, or 25%, for every 1,000 kilowatt-hours (kWh) of energy used. Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,700 megawatts of energy capacity. Its natural gas utilities serve 1.6 million customers in North Carolina, South Carolina, Ohio and Kentucky.
Duke Energy is executing an energy modernization strategy, keeping customer value at the forefront as it invests in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.
More information is available at duke-energy.com. Follow Duke Energy on X, LinkedIn, Instagram, TikTok and Facebook for stories about the people and innovations powering its communities.
Funding goes to 34 nonprofits and government agencies across the Palmetto State Since 2022, Duke Energy's HERO Grant Program has funded 133 grants with $2.5 million, delivering critical support to nonprofits and local agencies , /PRNewswire/ -- As emergency managers, first responders and community leaders are preparing their communities for the 2026 hurricane season, the Duke Energy Foundation is awarding $500,000 through the 2026 Helping Emergency Response Organizations (HERO) Grant Program to help South Carolina communities be prepared for the impacts from severe weather.
By the numbers: More than 30 organizations are receiving grants of up to $20,000 each. The grants will fund training, life-saving equipment and innovative technology identified as needs following severe weather events – all aimed to aid in weather-related disaster planning and recovery efforts. A complete list of recipients can be found here.
Our view: "Duke Energy is proud to work alongside first responders when severe weather hits, and a critical part of emergency response is preparation," said Tim Pearson, Duke Energy's South Carolina president. "We strive to help fill the gaps in emergency preparedness our communities have, and hope that these grants can help emergency managers, first responders and community leaders better prepare to protect and help our communities."
Proven success:
In the fifth year of the program, past grant recipients were able to help fill the gaps in emergency preparedness for their communities. Read more about the impact.
In Dorchester County, HERO funding supported the launch of a Cut & Toss Team to clear debris and restore emergency access during severe weather. When Winter Storm Fern brought down limbs across key routes, the team rapidly cleared priority roadways – reducing delays and easing pressure on fire, rescue and public works crews. In Anderson County, Hurricane Helene in 2024 created dozens of hazardous road closures at once, quickly stretching emergency resources. Using a $15,000 HERO grant, the county purchased a fully stocked traffic‑control trailer with cones, barriers and portable speed bumps. The centralized trailer allows crews to quickly mobilize and secure multiple sites at the same time. The investment proved valuable during Winter Storm Fern in 2026, when crews quickly blocked unsafe routes and warned motorists as conditions worsened. In Oconee County, HERO funding supported the addition of a second shelter trailer, allowing officials to operate two warming shelters simultaneously – including one equipped for residents with special medical needs. Positive response:
Dr. Mandy Gattis, Grants and Special Projects Director, South Carolina EMS Association: "We are thankful to the Duke Energy Foundation for their commitment to strengthening emergency preparedness across South Carolina. This grant will ensure that EMS agencies, hospitals, and emergency management teams have the reliable communication tools they need to coordinate and respond effectively during disasters." Katherine Jones, York County Parks Director: "York County is committed to safety and this grant from Duke Energy will allow us to upgrade our weather-related safety measures in and around our parks, which will impact over 300,000 visitors annually at seven different locations. With these tools in place, we'll be able to monitor severe weather more closely and respond more quickly helping keep visitors informed and safe." Robbie Swofford, Emergency Management Coordinator, Spartanburg County: "Our Duke Energy Foundation HERO grant award will provide Spartanburg County Emergency Management the opportunity to partner with fire departments across the county to conduct Weather Radio and Fire Alarm Blitzes in their communities. Thanks to this funding, we will be able to fully address the unmet needs of nine fire departments and partially address the unmet needs of two additional departments. These blitzes will help place critical preparedness and life-safety resources directly into the hands of residents who need them most." Rob Lybrand, Director, Sumter County Emergency Management: "Sumter County is honored to be among this year's grant recipients. Duke Energy Foundation funding will enhance roadway safety and accessibility during winter weather events by supporting roadway clearing and salt-spreading operations, improving travel conditions and strengthening the county's emergency response capabilities." Duke Energy Foundation
Duke Energy Foundation provides more than $30 million annually in philanthropic support to meet the needs of communities where Duke Energy customers live and work. The Foundation is funded by Duke Energy shareholders.
Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,700 megawatts of energy capacity. Its natural gas utilities serve 1.6 million customers in North Carolina, South Carolina, Ohio and Kentucky.
Duke Energy is executing an energy modernization strategy, keeping customer value at the forefront as it invests in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.
More information is available at duke-energy.com. Follow Duke Energy on X, LinkedIn, Instagram, TikTok and Facebook for stories about the people and innovations powering its communities.
Media Contact: Catherine Ramirez
24-Hour: 800.559.3853
Duke Energy supports South Carolina first responders with $500,000 in grants for emergency preparedness Duke Energy supports South Carolina first responders with $500,000 in grants for emergency preparedness PR Newswire
GREENVILLE, S.C., June 5, 2026
Funding goes to 34 nonprofits and government agencies across the Palmetto StateSince 2022, Duke Energy's HERO Grant Program has funded 133 grants with $2.5 million, delivering critical support to nonprofits and local agencies, /PRNewswire/ -- As emergency managers, first responders and community leaders are preparing their communities for the 2026 hurricane season, the Duke Energy Foundation is awarding $500,000 through the 2026 Helping Emergency Response Organizations (HERO) Grant Program to help South Carolina communities be prepared for the impacts from severe weather.
By the numbers: More than 30 organizations are receiving grants of up to $20,000 each. The grants will fund training, life-saving equipment and innovative technology identified as needs following severe weather events – all aimed to aid in weather-related disaster planning and recovery efforts. A complete list of recipients can be found here.
Our view: "Duke Energy is proud to work alongside first responders when severe weather hits, and a critical part of emergency response is preparation," said Tim Pearson, Duke Energy's South Carolina president. "We strive to help fill the gaps in emergency preparedness our communities have, and hope that these grants can help emergency managers, first responders and community leaders better prepare to protect and help our communities."
Proven success:
In the fifth year of the program, past grant recipients were able to help fill the gaps in emergency preparedness for their communities. Read more about the impact.
In Dorchester County, HERO funding supported the launch of a Cut & Toss Team to clear debris and restore emergency access during severe weather. When Winter Storm Fern brought down limbs across key routes, the team rapidly cleared priority roadways – reducing delays and easing pressure on fire, rescue and public works crews.In Anderson County, Hurricane Helene in 2024 created dozens of hazardous road closures at once, quickly stretching emergency resources. Using a $15,000 HERO grant, the county purchased a fully stocked traffic‑control trailer with cones, barriers and portable speed bumps. The centralized trailer allows crews to quickly mobilize and secure multiple sites at the same time. The investment proved valuable during Winter Storm Fern in 2026, when crews quickly blocked unsafe routes and warned motorists as conditions worsened.In Oconee County, HERO funding supported the addition of a second shelter trailer, allowing officials to operate two warming shelters simultaneously – including one equipped for residents with special medical needs.Positive response:
Dr. Mandy Gattis, Grants and Special Projects Director, South Carolina EMS Association: "We are thankful to the Duke Energy Foundation for their commitment to strengthening emergency preparedness across South Carolina. This grant will ensure that EMS agencies, hospitals, and emergency management teams have the reliable communication tools they need to coordinate and respond effectively during disasters."Katherine Jones, York County Parks Director: "York County is committed to safety and this grant from Duke Energy will allow us to upgrade our weather-related safety measures in and around our parks, which will impact over 300,000 visitors annually at seven different locations. With these tools in place, we'll be able to monitor severe weather more closely and respond more quickly helping keep visitors informed and safe."Robbie Swofford, Emergency Management Coordinator, Spartanburg County: "Our Duke Energy Foundation HERO grant award will provide Spartanburg County Emergency Management the opportunity to partner with fire departments across the county to conduct Weather Radio and Fire Alarm Blitzes in their communities. Thanks to this funding, we will be able to fully address the unmet needs of nine fire departments and partially address the unmet needs of two additional departments. These blitzes will help place critical preparedness and life-safety resources directly into the hands of residents who need them most."Rob Lybrand, Director, Sumter County Emergency Management: "Sumter County is honored to be among this year's grant recipients. Duke Energy Foundation funding will enhance roadway safety and accessibility during winter weather events by supporting roadway clearing and salt-spreading operations, improving travel conditions and strengthening the county's emergency response capabilities."Duke Energy Foundation
Duke Energy Foundation provides more than $30 million annually in philanthropic support to meet the needs of communities where Duke Energy customers live and work. The Foundation is funded by Duke Energy shareholders.
Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,700 megawatts of energy capacity. Its natural gas utilities serve 1.6 million customers in North Carolina, South Carolina, Ohio and Kentucky.
Duke Energy is executing an energy modernization strategy, keeping customer value at the forefront as it invests in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.
More information is available at duke-energy.com. Follow Duke Energy on X, LinkedIn, Instagram, TikTok and Facebook for stories about the people and innovations powering its communities.
Media Contact: Catherine Ramirez
24-Hour: 800.559.3853
View original content to download multimedia:https://www.prnewswire.com/news-releases/duke-energy-supports-south-carolina-first-responders-with-500-000-in-grants-for-emergency-preparedness-302792693.html
What's happening: Temperatures are forecast to reach the 90s, pushing cooling systems to run longer and use more energy to maintain indoor temperatures Why it matters: Acting now with a few simple steps can help reduce energy use during the heat wave , /PRNewswire/ -- High temperatures are forecast across the Carolinas this weekend and next week, and Duke Energy has tips to help you take control of your energy use while keeping you and your family cool.
Tips to save energy and money
Set your thermostat to the highest comfortable setting. Even a couple of degrees can help save energy and money. Keep in mind: Your system will run longer – using more energy – the hotter it is outside even if your thermostat setting never changes. Use cooler water for washing clothes. Switching your temperature setting from hot to warm can cut a laundry load's energy use in half. Run heat-producing appliances during cooler morning hours for additional savings. Close curtains and blinds on the sunny side of your home to help prevent the sun from heating your home. Operate ceiling fans in a counterclockwise direction in the summer, which pushes cooler air back down into the room. Savings programs and incentives
Get a free home energy assessment. Customers receive a free energy efficiency kit, customized usage report, low-cost tips and expert recommendations to help them see energy savings by signing up for our free Home Energy House Call. Get paid for shifting energy use. Customers can receive a credit on their bill for automatically shifting their energy use to times when demand for energy is lower. Enroll your smart thermostat in our Power Manager® (Duke Energy Carolinas customers)/ EnergyWise® Home (Duke Energy Progress customers) program. Find more ways to get ready for the heat
Duke Energy is here to help customers manage energy use during the summer heat with programs, solutions and practical tips.
Explore tools, programs and practical solutions at: duke-energy.com/SummerSolutions
Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,700 megawatts of energy capacity. Its natural gas utilities serve 1.6 million customers in North Carolina, South Carolina, Ohio and Kentucky.
Duke Energy is executing an energy modernization strategy, keeping customer value at the forefront as it invests in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.
More information is available at duke-energy.com. Follow Duke Energy on X, LinkedIn, Instagram, TikTok and Facebook for stories about the people and innovations powering its communities.
U.S. electricity consumption is reaching record highs, forcing utility providers to rethink long-term capacity plans. Duke Energy (DUK), which operates the largest nuclear fleet of any regulated utility in the country, is actively exploring strategic hyperscaler partnerships to offset the massive financial risks of building new nuclear reactors. The move underscores a broader sector trend where utilities must aggressively add grid capacity while remaining risk-averse to protect both shareholders and ratepayers.
Key Takeaways Exponential growth in data centers is pushing U.S. electricity consumption to record highs, forcing utilities to significantly expand grid capacity. Duke Energy is pursuing cost-sharing partnerships with big tech hyperscalers to mitigate the capital risks of building new nuclear plants. Duke’s existing nuclear fleet achieved a record 97% capacity factor in 2025, generating $600 million in customer value via federal tax credits. Utilities Look to Hyperscaler Partnerships to De-Risk Nuclear Buildout Duke Energy CEO Harry Sideris confirmed in a recent Reuters NEXT Newsmaker interview that the company has discussed adding more nuclear energy to its fleet to meet unprecedented tech demand. This focus on scaling infrastructure while also mitigating financial risks is reflected in the company’s regulatory approach.
Duke recently submitted an early site permit application for potential new nuclear development in North Carolina, alongside its comprehensive 2025 Carolinas Resource Plan focused on modernizing grid infrastructure.
Notably, Duke reported an all-time high systemwide capacity factor of nearly 97% across its 11 Carolina units in 2025. Furthermore, this performance provided carbon-free electricity to over eight million homes and yielded roughly $600 million in value for customers via federal tax credits. By shifting a portion of new capital expenditure risk onto hyperscalers, regulated utilities aim to preserve stable shareholder returns during a historic demand cycle.
Duke is a constituent in the VettaFi Nuclear Renaissance Index (NUKZX), which tracks the full nuclear ecosystem, including advanced reactors, utilities, construction and services, as well as fuel providers. Investors can access the index via the Range Nuclear Renaissance ETF (NUKZ)
To learn more about the merits of a diversified approach to nuclear and global tailwinds for nuclear power, watch the replay of our recent webcast, Investing as Nuclear Moves from Chalkboards to Construction Sites.
Looking for nuclear insights in your inbox? Subscribe here to keep a pulse on nuclear investing through our weekly research. For more news, information, and analysis, visit the Nuclear Energy Content Hub.
vettafi.com is owned by VettaFi LLC (“VettaFi”). VettaFi is the index provider for NUKZ, for which it receives an index licensing fee. However, NUKZ is not issued, sponsored, endorsed, or sold by VettaFi. VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of NUKZ.
Duke Energy (DUK - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Over the past month, shares of this electric utility have returned -1%, compared to the Zacks S&P 500 composite's no change. During this period, the Zacks Utility - Electric Power industry, which Duke Energy falls in, has lost 1.6%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Duke Energy is expected to post earnings of $1.33 per share, indicating a change of +6.4% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.6% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $6.71 points to a change of +6.3% from the prior year. Over the last 30 days, this estimate has remained unchanged.
For the next fiscal year, the consensus earnings estimate of $7.14 indicates a change of +6.5% from what Duke Energy is expected to report a year ago. Over the past month, the estimate has remained unchanged.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Duke Energy is rated Zacks Rank #2 (Buy).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Duke Energy, the consensus sales estimate for the current quarter of $7.7 billion indicates a year-over-year change of +2.6%. For the current and next fiscal years, $33.66 billion and $35.49 billion estimates indicate +4.4% and +5.4% changes, respectively.
Last Reported Results and Surprise HistoryDuke Energy reported revenues of $9.18 billion in the last reported quarter, representing a year-over-year change of +11.3%. EPS of $1.93 for the same period compares with $1.76 a year ago.
Compared to the Zacks Consensus Estimate of $8.42 billion, the reported revenues represent a surprise of +8.97%. The EPS surprise was +7.82%.
Over the last four quarters, Duke Energy surpassed consensus EPS estimates three times. The company topped consensus revenue estimates each time over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Duke Energy is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Duke Energy. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.
The coalition aims to train 25,000 workers over the next 10 years, creating pathways to stable, well-paying careers , /PRNewswire/ -- Duke Energy has joined the newly launched Careers Electric coalition, a new sector-driven approach to workforce development in America's skilled trades, with a targeted focus on North Carolina.
Why it matters: As electrification accelerates across energy, infrastructure and advanced manufacturing, electrical careers are projected to grow by roughly 10% over the next decade, with workforce gaps widening as experienced workers retire.
Our role: Duke Energy will help connect training to real-world job opportunities and ensure programs are aligned with industry needs, with a focus on commercial electricians, where demand is most acute. The company will:
Connect students to careers: Partner with companies like Zachry Group to create clearer pathways from training to job opportunities, particularly tied to major energy infrastructure and generation projects. Invest in training capacity: Support community colleges and workforce programs through Duke Energy Foundation funding, which has provided more than $6 million over the past five years to strengthen the energy workforce pipeline. Support local expansion: Champion new or expanded programs near Duke Energy construction sites to better align workforce supply with regional demand. Engage students early: Participate in graduation events and career fairs at training academies to raise awareness of electrical careers and connect students directly to employers. North Carolina focus: The coalition's early work in North Carolina could become a blueprint for other states and centers on two key pathways:
High schools: In 2026, the program aims to train 200-250 students and plans to scale annually. Community colleges: Ten North Carolina community colleges will expand existing advanced electrician programs by 20% over the next three years, with plans to grow to additional schools. What they're saying:
Kendal Bowman, Duke Energy's North Carolina president: "The energy transition and our state's growth depend on a strong skilled workforce. We're grateful to Siemens for their leadership in launching Careers Electric and bringing partners together for this first-of-its-kind effort. This initiative is about creating clear, accessible pathways into high-paying electrical careers – especially those that don't require a four-year degree – and helping build a pipeline of electricians ready to support North Carolina's future." David Etzwiler, CEO of the Siemens Foundation: "High-quality workforce training is essential not only to meet employers' growing demand for skilled talent, but also to expand access to well-paying trade careers for more Americans. Seeing industry leaders, including competitor companies, come together as part of this powerful coalition underscores just how important workforce training is to the strength of our economies and communities." Who's involved: Duke Energy joins founding industry partners ABB, Amazon Web Services, JetZero, Hitachi Energy and Siemens, alongside workforce development organizations and education leaders working to scale proven training models nationwide.
Local partners include:
NC Chamber, NC Department of Commerce, NC Electric Cooperatives NC Business Committee for Education, Wake Technical Community College, NC Community College System Office and Foundation, EVITP, and Families and Workers Fund Duke Energy
Duke Energy (NYSE: DUK), a Fortune 150 company headquartered in Charlotte, N.C., is one of America's largest energy holding companies. The company's electric utilities serve 8.7 million customers in North Carolina, South Carolina, Florida, Indiana, Ohio and Kentucky, and collectively own 55,700 megawatts of energy capacity. Its natural gas utilities serve 1.6 million customers in North Carolina, South Carolina, Ohio and Kentucky.
Duke Energy is executing an energy modernization strategy, keeping customer value at the forefront as it invests in electric grid upgrades and efficient generation resources to strengthen the system and serve growing energy needs.
More information is available at duke-energy.com. Follow Duke Energy on X, LinkedIn, Instagram, TikTok and Facebook for stories about the people and innovations powering its communities.
I am rating Duke Energy (DUK) a Buy with a $159 price target, implying 29% upside potential from current price of $123. My growth drivers are the large-load and data center pipeline, $103 Bn capital plan from 2026-2030, DUK's generation expansion program that adds about 14 GW of capacity by 2030. I estimate these growth drivers support the EPS increase from 2026 adjusted midpoint $6.68 to 2030 adjusted EPS estimate of $8.64.
