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Computer Modelling Group TSE: CMG said first-quarter fiscal 2027 revenue declined as growth from recent acquisitions was outweighed by lower organic revenue and a planned reduction in non-core professional services work, while management reaffirmed its full-year outlook for stable organic recurring revenue and no reduction in adjusted EBITDA from fiscal 2026.

Total revenue for the quarter was C$27.8 million, down year over year. Chief Financial Officer Vipin Khullar said 10% growth from acquisitions was offset by a 16% organic decline. Organic recurring revenue fell 12% during the quarter, which Chief Executive Officer Pramod Jain said marked the final period affected by the comparison with a contract lost last year.

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“Our outlook is for stabilization to return to the business,” Jain said, adding that the company remains focused on organic growth, acquisitions and capital deployment toward what it considers the highest risk-adjusted-return opportunities.

Acquisition Growth Offsets Part of Organic Decline Recurring revenue declined 3% overall in the first quarter. Khullar said acquired businesses contributed 9% recurring revenue growth, including SeisWare and Rose, which were acquired during fiscal 2026. Both acquisitions contributed positively to adjusted EBITDA in the quarter despite seasonal revenue recognition that is weighted toward the second half of the year, he said.

Professional services revenue also declined organically. Khullar attributed the drop primarily to the end of CoFlow-related development funding at the close of calendar 2025 and the continuing wind-down of non-core professional services activity at Bluware. He said CMG had underwritten the Bluware acquisition based on its software growth potential and expected non-core services to be phased out.

Rose partly offset that reduction, with acquired professional services revenue rising 13% and Rose producing a strong first full quarter under CMG ownership, according to Khullar.

Adjusted EBITDA and adjusted EBITDA margin decreased in the quarter because of lower organic recurring revenue and professional services revenue, though the company cited continued cost management. Free cash flow fell to C$3.5 million, reflecting revenue trends and higher income taxes.

Current income tax expense was C$1.5 million, compared with C$900,000 a year earlier. Khullar said the current-quarter amount included a C$400,000 prior-period adjustment and noted that tax expense can fluctuate depending on the jurisdictional mix of income, taxation of cross-border transactions and foreign exchange movements.

Management Reaffirms Full-Year Outlook For the second quarter, CMG expects organic recurring revenue to increase sequentially as a larger portion of renewals occurs in the period. Khullar said the company’s recurring revenue typically builds through the fiscal year, with the first quarter usually its lightest and the fourth quarter generally its heaviest.

However, CMG expects professional services revenue to decline both sequentially and year over year in the second quarter. The company expects the period to be the fiscal year’s lowest quarter for professional services, citing the completion of the Bluware services wind-down, product timing and lower billable activity during summer months.

CMG also expects adjusted EBITDA to decline sequentially and year over year in the second quarter, driven by lower professional services revenue and higher sales and marketing expenses tied to agent commissions on second-quarter contract renewals.

Stable organic recurring revenue growth for fiscal 2027. No reduction in adjusted EBITDA relative to fiscal 2026. Year-over-year improvement in free cash flow. A professional services revenue decline of C$6 million to C$7 million for the year, toward the higher end of the range. Khullar said the revised professional-services outlook reflects a faster-than-forecast wind-down of Bluware’s non-core services operations.

Energy Security and EOR Opportunities Jain said customer discussions point to greater interest in maximizing recovery from existing assets, including through enhanced oil recovery, or EOR, technologies. He said operators are targeting recovery factors as high as 50% and that CMG is directing sales efforts toward the growing importance of EOR globally.

Management also cited increased opportunities for its portfolio approach, in which customers can use multiple technologies from CMG’s acquired businesses alongside its reservoir simulation products. Jain said CMG is increasingly pursuing joint proposals involving two or three companies in its group.

He highlighted renewed interest from international operators in Venezuela, Mexico, Algeria, Angola, Nigeria and Libya, describing those locations as markets with complex reservoirs, heavy oil and mature fields. Jain cautioned that it remains early but said the company sees opportunities developing across the group.

During the question-and-answer session, Jain said EOR processes can take time to move from requests for proposals to commercial wins, but he is seeing more opportunities nearer to commercialization than in the past. He also said CMG renewed all of its contracts in the Middle East, though prospective business in countries where it did not previously have a presence was delayed by regional conflict.

Share Repurchase to Be Funded Through Credit Facility CMG announced a substantial issuer bid and expects to draw up to C$20 million from its existing credit facility to fund it. Jain said the company believes its shares are trading below what the business is worth and views the repurchase as an opportunistic use of capital while maintaining its acquisition strategy.

Over the past two-and-a-half years, CMG has deployed more than C$90 million and completed four major acquisitions. Jain said the acquisition pipeline remains active, but the company is maintaining its standards on price and expected returns.

Khullar said expected fiscal 2027 free cash flow should be more than sufficient to deleverage the portion of the credit facility used to fund the issuer bid. Jain said acquisitions and buybacks are not mutually exclusive, and that CMG intends to continue pursuing transactions that meet or exceed its return thresholds.

About Computer Modelling Group (TSE:CMG)Computer Modelling Group Ltd is a Canada-based provider of reservoir simulation software for the oil and gas industry. Its capabilities include integrated analysis and optimization, black oil and unconventional simulation, reservoir and production system modelling, post-processor visualization, compositional simulation, thermal processes simulation, and fluid property characterization. The firm has operations in over 60 countries in the Americas, Europe, Middle East, Africa, and Asia-Pacific regions.

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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Coinbase will suspend perpetual contract trading for the following assets around 21:00 on August 26: Memecoin (MEME-PERP), The Sandbox (SAND-PERP), Moonbirds (BIRB-PERP), Blur (BLUR-PERP), Katana (KAT-PERP), SPX6900 (SPX-PERP), ZORA (ZORA-PERP), Axie Infinity (AXS-PERP), Gensyn (AI-PERP), and LayerZero (ZRO-PERP). Remaining open positions will be automatically settled, with the final settlement price based on the average index price of the 60 minutes prior to the trading suspension. The funding rate for the last cycle will be set to zero.

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Acadia Pharmaceuticals: A Mid-Cap Biotech Making Large MovesACADIA Pharmaceuticals NASDAQ: ACAD outlined commercial expansion plans for its marketed therapies, DAYBUE and NUPLAZID, while highlighting upcoming clinical data for remlifanserin in Alzheimer’s disease psychosis during a discussion hosted by Canaccord Genuity.

Thomas Garner, Acadia’s chief commercial officer, said the company’s commercial strategy has centered on disease education, targeted outreach to healthcare providers and focused execution in both Parkinson’s disease psychosis and Rett syndrome.

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NUPLAZID Growth Strategy Garner said NUPLAZID, Acadia’s treatment for Parkinson’s disease psychosis, has continued to gain traction. New-to-brand prescriptions rose 20% year over year in the most recent quarter, he said.

The company has focused on raising awareness that hallucinations and delusions can occur during the course of Parkinson’s disease, while also educating healthcare providers about treatment options. Garner said Acadia estimates that about 1 million people in the U.S. are living with Parkinson’s disease and that roughly half may experience hallucinations and delusions during their disease course.

Acadia’s “More to Parkinson’s” awareness campaign, involving actor Ryan Reynolds, has contributed to a threefold increase in awareness of Parkinson’s disease psychosis among people living with Parkinson’s disease over the past two to three years, according to Garner.

To expand NUPLAZID’s reach, Acadia increased its sales force by roughly 40% earlier this year. The expansion increased the number of healthcare providers targeted by the company from approximately 5,000 to 6,000 to roughly 10,000 to 10,500, Garner said.

Garner said new treatments entering the broader Parkinson’s disease market could help improve disease awareness and diagnosis, potentially supporting demand for therapies addressing psychosis.

DAYBUE Formulation and Persistence DAYBUE, Acadia’s treatment for Rett syndrome, launched in 2023 and is the first and only approved treatment for the condition, according to Garner. Acadia estimates that about 6,000 people in the U.S., primarily young girls, are living with Rett syndrome.

Long-term patient persistence remains a central commercial focus. Garner said 12-month persistence is above 50% to 55%, while approximately 50% of patients remain on treatment at 18 months. He added that 70% of current DAYBUE patients have been receiving therapy for more than 12 months.

The company recently introduced DAYBUE STIX, a powder formulation that can be mixed with a non-dairy liquid. Garner said the formulation removes certain excipients contained in the earlier oral-solution version and may help Acadia reach treatment-naive patients as well as patients who previously discontinued DAYBUE.

In the second quarter, 60% of DAYBUE business came from the oral solution and 40% came from STIX. In June alone, however, 60% of prescriptions were for STIX, suggesting the newer formulation could become the leading form of the franchise over time, Garner said. He noted that some patients may remain on the oral solution because of the complexity of Rett syndrome and caregiver preferences.

Acadia also sees an opportunity to reengage approximately 1,000 Rett syndrome patients who previously tried and later stopped DAYBUE.

European and Japanese Expansion Garner said Acadia recently received a positive opinion from the European Medicines Agency’s Committee for Medicinal Products for Human Use for DAYBUE and is preparing for a European Commission decision. The company plans to launch first in Germany after an EC decision and to submit pricing and reimbursement dossiers in additional priority markets.

Acadia estimates there are between 8,000 and 12,000 people living with Rett syndrome in the European Union, compared with about 6,000 in the U.S. Garner said the European opportunity is larger in patient numbers, though pricing and access conditions will vary by country.

The company is also conducting a DAYBUE trial in Japan. Garner said Acadia is evaluating a partnership-based approach to bringing the treatment to Japanese patients.

Pipeline and Business Development Acadia expects Phase II data for remlifanserin in Alzheimer’s disease psychosis in the September-to-October timeframe. Garner described the indication as a large commercial opportunity, estimating that 30% of the 7 million to 7.5 million people currently living with Alzheimer’s disease in the U.S. may develop psychosis.

He said Acadia believes remlifanserin could be differentiated by a profile suited to elderly patients with complex medical needs, though he emphasized that the company must first see how the data develop.

Al Kildani, Acadia’s senior vice president of investor relations and corporate communications, said the company also has a Phase II trial of remlifanserin in Lewy body dementia underway and expects Phase II data for ACP-211 in major depressive disorder in the latter part of next year.

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About ACADIA Pharmaceuticals (NASDAQ:ACAD)ACADIA Pharmaceuticals Inc is a biopharmaceutical company focused on the development and commercialization of innovative therapies for central nervous system (CNS) disorders. Established in 1993 and headquartered in San Diego, California, ACADIA's research centers concentrate on conditions with significant unmet medical needs, including Parkinson's disease psychosis, Alzheimer's disease psychosis, and schizophrenia. The company utilizes a range of scientific platforms, including selective receptor modulation and precision-targeted compounds, to advance its portfolio of small-molecule therapeutics.

The company's flagship product, NUPLAZID® (pimavanserin), received U.S.

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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Key Takeaways DexCom stock has gained 34.9% in 2026 as its growth profile and CGM opportunity improve.G7 15 Day, broader reimbursement and international expansion are widening DexCom's growth opportunities.DexCom faces intensifying competition from Abbott, MiniMed and Senseonics in the CGM market. DexCom (DXCM - Free Report) stock has rebounded sharply in 2026, gaining 34.8% after falling 14.7% in 2025, as investors increasingly recognize the company’s improving growth profile and expanding continuous glucose monitoring (CGM) opportunity. The company’s share price performance so far this year has outperformed the industry’s 6.9% decline and S&P 500 Index’s 13.1% gain.

The second-quarter performance reflected recovery, with revenues rising 13% year over year and organic growth reaching 12%. U.S. revenues increased 11%, while international revenues jumped 19%, reflecting broader reimbursement, market-share gains and stronger patient starts. DexCom is expanding beyond its traditional insulin-dependent customer base. New evidence supporting CGM use in non-insulin Type 2 diabetes, broader international access and new products such as G7 15 Day and Smart Basal could materially expand the addressable market through 2026 and beyond.

YTD Performance of DXCM vs Industry

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What Is Fueling DXCM’s Growth?Non-Insulin Type 2 Diabetes Could Expand the Addressable Market: DexCom’s CONNECT trial could become an important growth catalyst by strengthening the case for CGM among non-insulin Type 2 patients. The study produced a 1.6% A1c improvement over six months, while commercial coverage has expanded across the four largest U.S. PBMs, reaching more than 7 million eligible patients. Broader reimbursement could significantly accelerate adoption beyond DexCom’s traditional customer base.

G7 15 Day Is Strengthening Product Adoption: The G7 15 Day rollout is creating a meaningful product-cycle opportunity. DexCom expects nearly 50% of its U.S. customer base to transition to the system by year-end, supported by an improved algorithm, longer wear time and stronger customer satisfaction. G7 15 Day also received Health Canada clearance, opening another avenue for international expansion. The product transition contributed to a roughly 400-basis-point improvement in second-quarter gross margin.

International Expansion Provides Another Growth Lever: International markets are growing increasingly important to DexCom’s growth trajectory. International revenues increased 19% in the second quarter, with organic growth of 16%. France and Canada benefited from expanding reimbursement access. DexCom is also rolling out Flex, its 15-day sensor for select Type 2 basal and non-insulin markets. Continued reimbursement wins could help the company replicate the share gains achieved in recently opened markets.

DexCom Is Building a Broader Digital Diabetes Platform: DexCom is expanding beyond sensor hardware through software and digital-health capabilities. The redesigned Stelo app adds AI-driven insights and enhanced food logging, while Smart Basal has reduced the time needed to reach an optimal basal insulin dose to about three weeks in pilot practices. The company also acquired Nutrisense, a CGM-data nutrition platform, creating additional potential for personalized metabolic-health services.

A Glance at DXCM’s EstimatesThe Zacks Consensus Estimate for DXCM’s 2026 and 2027 earnings per share (EPS) implies year-over-year growth of 26.8% and 16.6%, respectively, to $2.64 and $3.08. In the past 60 days, the consensus mark for the company's 2026 EPS has improved 2.7%.

Revenues for 2026 are projected to grow 12.1% to $5.23 billion and another 11.6% to $5.83 billion in 2027.

Image Source: Zacks Investment Research

Competition Remains a Major VariableThe CGM market remains highly competitive, with Abbott (ABT - Free Report) , MiniMed (MMED - Free Report) and Senseonics (SENS - Free Report) pursuing distinct strategies. Abbott remains DexCom’s most formidable direct rival, with Diabetes Care CGM sales exceeding $2 billion in the second quarter, reflecting growth of 9.5%.

Abbott also received CE Mark clearance for Libre Duo, its glucose-ketone monitoring sensor. MiniMed is strengthening its ecosystem, with CGM revenues growing at a low-double-digit rate in fiscal 2026 and its attachment rate reaching 68% in the fiscal fourth quarter. Senseonics is also growing much faster from a smaller base, with second-quarter revenues increasing about 120% and U.S. revenue growing more than 150%, supported by Eversense 365 and its Eon Care network.

Compared with Abbott, MiniMed, and Senseonics, DexCom currently benefits from greater scale, 13% reported revenue growth, and strong international momentum. However, Abbott’s scale, MiniMed’s integrated pump-CGM ecosystem, and Senseonics’ differentiated long-duration sensor could heighten competitive pressures.

Risks and ChallengesThe second half of 2026 will not be without challenges. DexCom remains dependent on reimbursement expansion, particularly for non-insulin Type 2 diabetes, and regulatory or payer delays could slow the addressable-market opportunity. Competition from Abbott could intensify as Libre Duo expands, while MiniMed’s new products could strengthen its integrated pump-CGM proposition. Senseonics also presents a differentiated alternative in long-duration CGM. Execution around the G7 15 Day conversion, international launches and new digital-health initiatives will be critical.

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ConclusionDexCom’s 2026 rally appears to be supported by improving fundamentals rather than short-term momentum alone. Expanding reimbursement, G7 15 Day adoption, international growth and digital-health initiatives provide multiple avenues for sustained expansion. However, competitive intensity and reimbursement execution remain important variables. With a Zacks Rank #3 (Hold), the stock appears better suited to investors willing to balance its strong growth potential against valuation and execution risks. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways DexCom's U.S. CGM opportunity is expanding, with 7M newly covered lives and 9M covered nonusers.DXCM expects nearly half its U.S. customer base to convert to G7 15 Day by year-end 2026.DexCom's premium valuation, competition and litigation leave less room for execution misses. DexCom, Inc. (DXCM - Free Report) is entering the second half of 2026 with healthier margins, broader reimbursement and a larger continuous glucose monitoring opportunity. The investment question is whether that improving setup is enough to justify a premium valuation.

Growth catalysts remain visible across U.S. coverage, product upgrades and international expansion. Yet competition, litigation and a forward earnings multiple above key benchmarks leave less room for execution misses.

DXCM’s Growth Case Is Still BroadeningDexCom’s addressable market is widening beyond intensive insulin users. All four of the largest U.S. commercial pharmacy benefit managers now cover people with type 2 diabetes who are not using insulin, representing more than 7 million covered lives.

Penetration still has room to improve even before additional reimbursement wins. Roughly 9 million people in the United States already have continuous glucose monitoring coverage but are not using the technology, giving DXCM a sizable pool of potential new users.

DexCom’s Valuation Leaves Less Room for ErrorThat runway is not cheap. DXCM trades at a forward 12-month price-to-earnings ratio of 30.68, above 27.25 for the Zacks sub-industry, 21.15 for the Medical sector and 20.66 for the S&P 500.

The premium raises the hurdle for future results. Revenue growth, estimate revisions and margin expansion can support a higher multiple, but investors are already paying for a meaningful portion of that progress. Any slowdown in patient additions, reimbursement or operating leverage could pressure the valuation.

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DXCM’s Coverage and Product Catalysts MatterProduct execution strengthens the growth argument. DexCom is rolling out G7 15 Day and expects to convert nearly half of its U.S. customer base to the system by year-end 2026. Health Canada has cleared G7 15 Day, while Dexcom Flex has launched in Germany for selected type 2 populations.

Clinical evidence could broaden the runway further. In the CONNECT trial, DexCom CGM users with type 2 diabetes not using insulin posted a 1.6% A1c improvement, spent more than five additional hours per day in range and recorded 97% median CGM use. DexCom has submitted the data to CMS in support of expanded non-insulin coverage.

DexCom’s Competition and Litigation Temper UpsideThe category remains crowded. Abbott Laboratories (ABT - Free Report) competes through its FreeStyle Libre continuous glucose monitoring franchise. MiniMed Group (MMED - Free Report) , the recently divested business of Medtronic, also offers continuous glucose monitoring and integrated diabetes technologies, while Senseonics Holdings, Inc. (SENS - Free Report) markets the implantable Eversense 365 system.

More viable alternatives can give payers leverage in negotiations over pricing, rebates and formulary placement. DexCom also faces ongoing patent disputes plus securities, derivative and product-related class actions. These issues may add legal expense and execution uncertainty even if underlying demand remains healthy.

DXCM’s Signal Mix Supports PatienceThe balance of evidence favors patience over an aggressive entry. Earnings estimates for 2026 and 2027 have moved up 2.7% and 1.2% over the past 60 days to $2.65 and $3.08, respectively. Second-quarter adjusted gross margin reached 64.1% and adjusted operating margin improved to 25.1%.

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DXCM currently carries a Zacks Rank #3 (Hold). Likewise, Abbott and Senseonics carry a Zacks Rank of 3, while MiniMed has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

 With estimates rising and margins improving, the fundamental direction is constructive. The premium valuation, competitive pressure and litigation risk still argue for waiting for either a better price or further proof that growth can sustain the current multiple.

Key Takeaways Amphenol benefits from surging AI data center demand, with IT datacom sales up 89% in Q2'26.APH's Q2'26 orders jumped 94% to $10.7 billion, with organic orders rising 63% year over year.Amphenol raised its 2026 CommScope outlook to $4.6 billion in sales and 30 cents of EPS accretion. Amphenol (APH - Free Report) shares closed at $167.23 on Aug. 11, very close to the 52-week high of $178.52 hit on June 30. APH’s shares have risen 23.8% year to date (YTD), outperforming the Zacks Computer and Technology sector’s appreciation of 16.9%. The outperformance can be attributed to accelerating demand for APH’s high-speed and power interconnects that are used in AI servers and networking. Amphenol remains one of the biggest beneficiaries of AI data center investments. This, along with strong organic growth, acquisition synergies and improving profitability, is driving prospects of the stock.

So, is Amphenol stock a buy right now? Let’s dig deep to find out.

AI Demand & Diversified End-Markets Aid APH’s ProspectsAPH appears particularly well positioned as hyperscalers and other customers increase investment in AI data centers. The company participates across the connectivity architecture through its high-speed copper, fiber optics, and power interconnects offerings, rather than relying on a single technology. Management noted that customers are demanding “more of everything,” with AI demand growing faster than the already-strong 63% organic IT datacom growth rate. IT datacom has become APH’s largest end market, accounting for 43% of the second-quarter 2026 sales. Sales in this market surged 89% year over year and 22% sequentially, driven by accelerating demand for products used in AI applications.

Amphenol benefits from a diversified end market. In the second quarter of 2026, revenues jumped 55% year over year to $8.8 billion, including a strong 30% organic increase. The increase to outsized IT datacom demand, together with strong growth in industrial, defense, commercial aerospace and mobile devices, drove the revenue performance. Moreover, second-quarter 2026 orders reached $10.7 billion, up 94% year over year, producing a robust book-to-bill ratio of 1.23X. Organic orders were also up 63%, indicating that the momentum was not merely acquisition-driven.

APH is benefiting from increasing investment in current and next-generation defense technologies globally, while capacity expansions and a broader product portfolio should help it capture this demand. Commercial aerospace is benefiting from higher aircraft production and increasing APH content on next-generation aircraft. On a combined basis, these businesses provide diversification away from the more AI-sensitive IT datacom market.

Meanwhile, industrial sales rose 18% organically in the second quarter of 2026, with growth across virtually all industrial segments and double-digit growth across all three geographic regions. The acquisition of El.Com expands APH’s high-voltage and value-added interconnect capabilities, while continued adoption of electronics, sensors and connectivity in industrial equipment should support longer-term content growth. APH is benefiting from electrified drivetrains and increasing electronic content in next-generation vehicles. Management continues to target design wins in higher-content platforms, which could allow APH to grow even if overall global vehicle production remains relatively subdued.

APH Rides on Acquisitions & Strong Cash Generation AbilityAmphenol’s CommScope acquisition is performing substantially better than anticipated. Management raised its 2026 expectation for CommScope to $4.6 billion of sales and 30 cents per share of adjusted earnings accretion, versus its earlier forecast of $4.1 billion and 15 cents per share, respectively. Better-than-expected integration and earnings contribution have strengthened investor confidence in APH’s acquisition strategy.

Beyond CommScope, APH completed the El.Com and Wilder Technologies acquisitions in the second quarter of 2026. Wilder strengthens high-speed test and measurement capabilities for IT datacom, while El.Com adds high-voltage interconnect solutions for industrial, defense and aerospace customers. Amphenol views its ability to acquire and successfully integrate complementary businesses as a core competitive advantage

Moreover, APH’s strong cash generation ability should support reinvestment and shareholder returns. In the second quarter of 2026, operating cash flow was $1.6 billion and free cash flow was $1.2 billion. APH also returned about $515 million to shareholders through dividends and buybacks. Strong cash generation gives the company flexibility to fund capacity additions, acquisitions and shareholder returns simultaneously.

APH Shares Outperform Peers, Trades at PremiumAPH shares have outperformed peers, including TE Connectivity (TEL - Free Report) , Belden (BDC - Free Report) and Aptiv (APTV - Free Report) in the YTD period. Shares of Belden have jumped 17.3%, while TE Connectivity and Aptiv have lost 4.4% and 35.5%, respectively, over the same time frame.

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

Amphenol is trading at a premium, as suggested by a Value Score of D.

In terms of the forward 12-month price-to-earnings (P/E), APH is trading at 28.18X compared with the broader Zacks Computer and Technology sector and peers. The broader sector is trading at 21.33X while TE Connectivity, Belden and Aptiv trade at 17.02X, 14.03X and 7.93X, respectively.

APH Stock’s Valuation
Image Source: Zacks Investment Research

Technically, APH shares are trading above the 50 and 200-day moving averages (SMAs), indicating a bullish trend.

APH Stock Trades Above 50 & 200-Day SMAs
Image Source: Zacks Investment Research

APH’s 3Q’26 Earnings Estimate Revision Shows Rising TrendAmphenol expects third-quarter 2026 earnings between $1.40 per share and $1.42 per share. Revenues are anticipated between $9.3 billion and $9.4 billion.

The Zacks Consensus Estimate for third-quarter 2026 earnings is pegged at $1.42 per share, up 14.5% over the past 30 days and indicates 52.69% growth over the year-ago quarter’s reported figure.

ConclusionAmphenol’s robust AI-driven demand, diversified end-market exposure, strong order growth and successful acquisition strategy paint a promising growth picture. The better-than-expected performance of CommScope, healthy cash generation and favorable earnings estimate revisions further strengthen APH’s prospects.

APH currently sports a Zacks Rank #1 (Strong Buy), which implies that investors should start accumulating the stock right now. You can see the complete list of today’s Zacks #1 Rank stocks here.

Key Takeaways MP Materials' Q2 revenues surged 89% as NdPr production and sales continued to gain momentum.MP's costs rose as it ramped magnet production, while start-up expenses climbed sharply year over year.MP trades at a premium valuation as 2026 and 2027 earnings estimates have moved lower. MP Materials (MP - Free Report) reported second-quarter 2026 results on Aug. 6, with revenues surging 89% year over year to $108.5 million and beating the Zacks Consensus Estimate. NdPr production and sales also continued to show strong momentum. MP reported an adjusted loss of one cent per share, which missed the Zacks Consensus Estimate of earnings of two cents, but showed significant improvement from the loss of 13 cents in the year-ago quarter.

MP shares have gained 15% since the earnings release. However, despite this climb, the stock’s performance over the past year has remained lackluster with a decline of 26.8%. It has trailed the Zacks Mining - Miscellaneous industry’s growth of 42.4%, the Zacks Basic Materials sector’s 29% gain and the S&P 500’s rise of 22.5%. 

The stock has also lagged other players in the rare earths space like Lynas Rare Earths Limited (LYSDY - Free Report) and Energy Fuels (UUUU - Free Report) , which advanced 55.4% and 29.8%, respectively, in the same timeframe.

MP’s Price Performance Against Industry, Sector, S&P 500 & Peers
Image Source: Zacks Investment Research

Before addressing the critical question of how investors should position themselves regarding the stock, let us first review the company’s second-quarter results.

MP’s Q2 Results Show Strong Revenue MomentumMP Materials produced 840 metric tons of NdPr, up 41% year over year, while NdPr sales volumes surged 127% to 1,006 metric tons. However, MP reported no rare earth concentrate sales reflecting its decision to halt these sales to China in July 2025.

The Materials segment generated revenues of $95.6 million, up 155% year over year, driven by stronger NdPr sales volumes and pricing, partially offset by the absence of concentrate sales.

The Magnetics segment generated revenues of $16.5 million in the second quarter, down 17% year over year. While the segment benefited from an increase in the production of magnetic precursor products at the Independence Facility, revenues were down due to the start-up of magnet production and related pricing mechanisms.  

Total revenues rose 89% year over year to $108.5 million. MP also recorded $17.58 million in income tied to a price protection agreement (PPA) with the Department of War (DoW).

Higher Costs to Keep Pressure on MP’s EarningsCost of sales climbed 43% in the second quarter due to higher sales volumes of NdPr oxide and metals. Selling, general and administrative expenses rose 28%, due to higher personnel costs to support its downstream expansion. Start-up costs surged to around $14 million from $0.76 million in the year-ago quarter due to the ramp-up of start-up activities for magnet production and chlor-alkali facilities, and costs associated with initial production of magnets at Independence. 

Despite higher costs, adjusted EBITDA improved sharply to $28.5 million from a loss of $12.5 million in the year-ago quarter, supported by higher revenues and PPA income.

The company’s adjusted loss narrowed to one cent per share from 13 cents. Higher adjusted EBITDA and interest income benefited earnings, partly offset by amortization related to the PPA upfront asset and higher interest expense mainly due to the July 2025 DoW loan to support the buildout of samarium oxide production.

Costs are likely to remain elevated as producing separated rare earth products and magnetic materials involves significantly higher costs than concentrate production, due to additional processing requirements, chemical inputs, labor and maintenance. Costs associated with magnetic precursor products and start-up costs are also likely to increase further in the coming quarters.

MP Sees Downward Revision Activity in Earnings EstimatesThe Zacks Consensus Estimate for MP Materials’ 2026 revenues indicates a 102% increase year over year. The consensus estimate for 2026 earnings is currently pegged at 18 cents per share, suggesting a solid improvement from the loss of 24 cents reported in 2025. 

The consensus estimate for MP’s 2027 revenues suggests year-over-year growth of 72% with earnings expected to surge 445%.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for earnings for both 2026 and 2027 has moved down over the past 60 days.

Image Source: Zacks Investment Research

MP Materials Stock Trades at a PremiumMP Materials stock is trading at a forward 12-month price/sales multiple of 14.91X, a significant premium to the industry’s 1.42X. MP’s Value Score of F suggests that the stock is not so cheap and a stretched valuation at this moment. Energy Fuels trades at an even steeper multiple of 19.26X, while Lynas Rare Earths appears comparatively cheaper at 10.49X.

Image Source: Zacks Investment Research

Strategic Expansion & Partnership Strengthen MP’s Long-Term ProspectsMP Materials continues to benefit from strong demand for domestic rare earth materials and magnets. NdPr sales exceeded 1,000 metric tons for the second consecutive quarter, and the company expects production to exceed 1,000 metric tons in the third quarter.

The company remains on track to begin producing terbium and dysprosium later this year and expects first samarium production in 2028. MP recently entered into a multiyear agreement to supply gadolinium oxide to a leading U.S. aerospace and defense manufacturer. The deal is expected to be worth a sizable nine-figure amount.

During the second quarter, MP Materials delivered magnets to General Motors for in-vehicle qualification testing and expects to begin commercial shipments in the fourth quarter, followed by a steady production ramp. 

The company delivered magnets to General Motors for vehicle qualification testing in the second quarter and expects commercial shipments to begin in the fourth quarter, followed by a production ramp.

MP Materials has also worked with U.S. and allied drone manufacturers to launch Project Swarm, an industrial coordination initiative designed to aggregate and standardize future magnet demand. It has already signed subscription agreements with a number of participants. The company’s partnership with Apple on magnet recycling, magnet production and joint development also continues to advance. 

Meanwhile, construction of the 10X facility remains on track. The second U.S. rare earth magnet facility is expected to begin commissioning in 2028 and produce approximately 7,000 metric tons of magnets annually. Combined with the 3,000-metric-ton capacity of the Independence facility, MP’s U.S. magnet capacity is expected to reach 10,000 metric tons annually.

Should You Buy MP Stock Right Now?MP Materials offers an attractive long-term growth story, supported by its strategic U.S. position, rising NdPr demand, expanding magnet production and partnerships with major industrial and technology companies.

However, the stock’s premium valuation, weak recent performance, rising operating and start-up costs, and downward estimate revisions temper the near-term outlook. Existing shareholders may consider holding the stock, while new investors may want to wait for a more attractive entry point. MP Materials currently carries a Zacks Rank #3 (Hold).

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

Worldcoin’s 4.418 million WLD unlock intensified distribution concerns after substantial team-linked tokens entered a personal cryptocurrency wallet. 

According to Nazoku, a market analyst on X, the wallet also received 2.779 million WLD from the team one year ago. 

Source: X Those tokens remained unsold, possibly because a one-year lock-up agreement restricted their movement. 

The analyst therefore estimated more than 7 million WLD could become available for distribution during the coming days. 

The combined amount reached approximately 7.197 million WLD across both transfers. 

However, the 2.779 million allocation represented potential supply rather than a newly confirmed unlock. 

Any distribution would increase available tokens while Worldcoin already faced fragile market conditions. 

Buyers would therefore need stronger absorption to prevent additional supply from weighing heavily on price.

Seller dominance leaves absorption capacity under pressure Spot Taker CVD added an additional bearish factor to the ongoing supply picture. 

The 90-day indicator saw taker sell dominance, with the market-order activity being dominated by aggressive sellers. 

Therefore, WLD entered the potential distribution period without convincing evidence of strong taker demand. 

The imbalance was significant because an increase in supply would have necessitated a sufficient demand to offset the downside pressure. 

Rather, seller dominance was already bringing absorption capacity into question even before a potential distribution was made. 

However, the wallet activity alone did not confirm immediate selling from the team-linked address. 

Whether those available tokens eventually would find their way into active trading venues would have been a significant factor in the market pressure. 

Still, persistent taker selling weakened Worldcoin’s ability to comfortably absorb a substantial increase in circulating supply.

Source: CryptoQuant Can $0.2995 anchor Worldcoin’s recovery? Price action offered buyers some relief after Worldcoin [WLD] rebounded from the $0.2995 support zone. 

The recovery carried WLD toward $0.3392, placing $0.3600 directly above the developing advance. 

Meanwhile, DMI readings captured a narrow directional battle rather than strong buyer control. The +DI reached 21.2868, narrowly exceeding the -DI reading of 18.9691. 

ADX registered 22.5158, indicating the developing directional strength remained relatively limited. 

Therefore, the slight DMI advantage supported recovery attempts but lacked enough strength to dismiss supply risks. 

A push through $0.3600 would strengthen the rebound and expose the higher $0.4413 level. 

Failure around $0.3600 could redirect attention toward $0.2995, especially alongside persistent taker selling. 

Team-linked distribution would further increase pressure around that support during another decline.

Source: TradingView Liquidity puts key levels in play  Nearby liquidation concentrations created immediate pressure points around WLD’s $0.339 trading region. 

The highest area of concentration from the nearby upside was found between $0.342 and $0.343, just above the current price. 

There was also a significant liquidity band between $0.349 and $0.350, which reinforced the pull from the current price. 

Below price, substantial liquidation liquidity accumulated near $0.329 to $0.330. 

Additional clusters extended beneath $0.325, leaving meaningful downside liquidity available during renewed selling. 

Accordingly, the $0.343 region could attract price before Worldcoin confronts the broader $0.3600 resistance. 

Yet seller-dominant CVD and potential distribution increased the significance of the $0.330 downside pool. 

The loss of that area could speed up the move to lower clusters and ultimately pose a threat to $0.2995. 

Buyers therefore faced nearby upside liquidity but carried heavier fundamental supply risks.

Source: CoinGlass Final Summary WLD’s rebound faces growing pressure from potential team-linked supply and taker selling. Buyers hold a slight DMI advantage, but $0.3600 remains a crucial recovery barrier.

Key Takeaways Cboe Global shares fell 22% in three months, underperforming the industry, sector and S&P 500.CBOE raised its 2026 organic net revenue growth outlook to the mid-to-high teens amid strong activity.Cboe Global's 2026 consensus estimates call for 16.3% revenue growth and 29.2% earnings growth. Shares of Cboe Global Markets (CBOE - Free Report) have lost 22% in the past three months, underperforming the industry, the sector as well as the Zacks S&P 500 composite.

 Cboe Global Markets is one of the largest stock exchange operators by volume in the United States and a leading market globally for ETP trading.  As global capital markets continue to become increasingly electronic and data-driven, CBOE is well-positioned to capitalize on secular trends in trading volumes, demand for market data and the expansion of index-based investing.

CBOE vs Industry, Sector, S&P 500 in 3-Months
Image Source: Zacks Investment Research

Shares of Nasdaq Inc (NDAQ - Free Report) have gained 5.6% in the past three months, while those of Intercontinental Exchange (ICE - Free Report) have lost 2.6% in the same time frame.

CBOE Shares Are AffordableThe stock is overvalued compared with its industry. It is currently trading at a forward price-to-earnings multiple of 19.81, lower than the industry average of 20.1 and the median of 21.64 over five years.  
 

Image Source: Zacks Investment Research

CBOE is relatively cheap compared to Nasdaq but expensive compared to Intercontinental Exchange.

The Case for CBOE StockCboe Global Markets holds a dominant position in the U.S. listed options market, operating multiple exchanges and consistently maintaining an industry-leading market share.

Through acquisitions and international expansion, Cboe has developed a diversified portfolio spanning European equities and derivatives, foreign exchange venues, and clearing infrastructure. This diversification reduces its dependence on any single asset class or geographic market. Its proprietary market data, index licensing, and technology solutions also generate stable, high-margin recurring revenues supported by substantial customer switching costs.

Strong activity in index options, European equities and foreign exchange continues to fuel transaction-fee growth, while the Data Vantage segment is expanding recurring revenues. Reflecting this momentum, management raised its 2026 organic total net revenue growth outlook to the mid-to-high teens from its previous low-double-digit to mid-teens range. It also increased Data Vantage’s organic net revenue growth target from the low double digits to the low teens.

Cboe continues to strengthen its long-term prospects through strategic acquisitions and investments that broaden its geographic reach, product offerings and capital-markets infrastructure. The company is also pursuing opportunities in digital assets, carbon markets, next-generation trading technologies and innovative derivatives products.

Meanwhile, management is streamlining the portfolio and cost base. Planned divestitures of its Canadian and Australian exchanges are expected to lower adjusted operating expenses in 2026 and improve efficiency.

Supported by robust free cash flow and a strong balance sheet, Cboe maintains disciplined capital allocation. The company has increased its dividend for 15 consecutive years and retains $536.8 million under its share-repurchase authorization, demonstrating its commitment to shareholder returns.

Cboe Global’s Growth ProjectionsThe Zacks Consensus Estimate for 2026 revenues indicates a 16.3% year-over-year increase, while that for earnings suggests a 29.2% year-over-year increase. The consensus estimate for 2027 revenues indicates a 2.8% year-over-year increase, while that for earnings suggests an increase of 5.6% year over year.

The expected long-term earnings growth rate is pegged at 18.6%, better than the industry average of 13.1%.

Optimist Analyst Sentiment on CBOEThe consensus estimate for 2026 and 2027 earnings has moved 2.3% and 2.6% north, respectively, in the past 30 days, reflecting analysts' optimism.
 

Image Source: Zacks Investment Research

The consensus estimates for 2026 earnings of Nasdaq and Intercontinental Exchange have moved north in the past 30 days.

Parting Thoughts on CBOE SharesA diversified business mix with recurring revenues, accelerated growth banking on recurring non-transaction revenues, use of technology and prudent buyouts poise CBOE well for growth.

Given affordable valuation, solid growth projections and optimistic analyst sentiment, it’s time to add this Zacks Rank #2 (Buy) stock to one’s portfolio. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Reddit's ad revenues jumped 64% to $762 million, marking its eighth straight quarter of 60% growth. Reddit Max usage rose more than 60%, while revenues from Max campaigns surged more than 150% in Q2 2026. Scaled channel revenues doubled, while active advertisers grew more than 70% in the second quarter. Reddit (RDDT - Free Report) is benefiting from a unique position in the digital advertising landscape, especially as it strengthens its ad game against major competitors like Meta Platforms (META - Free Report) (Facebook/Instagram) and Snap (SNAP - Free Report) .

A major driver of Reddit’s advertising success is its robust financial and user growth. In the second quarter of 2026, Reddit achieved its eighth consecutive quarter of more than 60% revenue growth, with advertising revenues rising 64% year over year to $762 million. The platform now reaches more than 0.5 billion people weekly, including more than 130 million daily users. Notably, new app user retention improved 50% year over year, indicating that product enhancements are translating into deeper engagement and higher-quality user growth.

Reddit’s innovation in its ad stack is another key factor in strengthening its competitive edge against Meta Platforms and Snap. The launch and rapid adoption of Reddit Max, an AI-driven suite for ad automation and optimization, has delivered significant results. Advertiser usage of Max grew more than 60% from the first quarter, and revenues from Max campaigns increased by more than 150%. Features like tailored creatives and dynamic product ads are helping brands achieve better outcomes, such as Lenovo’s 40% higher purchase value with Max campaigns compared to standard campaigns.

The company is also expanding its advertiser base and ecosystem, making it easier for businesses of all sizes to succeed on Reddit. Scaled channel revenues, which include mid-market and SMBs, doubled year over year, and active advertisers grew more than 70% in the second quarter of 2026. Integrations with platforms like Shopify and a growing ads API ecosystem are streamlining onboarding and campaign management, further fueling Reddit’s commercial momentum.

With ongoing investments in product innovation, user experience and ad technology, Reddit is poised to capture more advertising dollars and further strengthen its position against Meta Platforms and Snap in the digital ad market. For the third quarter of 2026, management expects revenues between $860 million and $870 million, representing 47% to 49% year-over-year growth. The midpoint implies about 48% year-over-year growth.

How Competitors Fare Against RDDTDespite Reddit’s expanding portfolio, the company faces stiff competition from Meta Platforms and Snap. Both Meta Platforms and Snap are also expanding their footprint in the rapidly growing digital ad market.

Meta Platforms is benefiting from strong advertising demand and improving monetization. In the second quarter of 2026, advertising revenues rose 27% year over year to $59.36 billion, reflecting healthy engagement, user growth, and ad load optimization across Meta Platforms’ services. Ad impressions increased 14% year over year, while the average price per ad advanced 12%.

Snap’s strong advertising revenue has been a major growth driver for the company. In the second quarter of 2026, Snap’s advertising revenues rose 9% year over year to $1.28 billion, reflecting improved momentum with large advertisers in North America, broader adoption of the company’s AI-powered Smart Campaign Solutions and continued strength among small and medium-sized businesses.

RDDT’s Share Price Performance, Valuation and EstimatesRDDT shares have plunged 32.1% year to date, underperforming the broader Zacks Computer & Technology sector’s 17.7% appreciation and the Internet - Software industry’s 1.8% decline.

RDDT Stock Performance
Image Source: Zacks Investment Research

RDDT shares are overvalued, with a forward 12-month Price/Sales of 7.42X compared with the Computer & Technology sector’s 6.54X. RDDT has a Value Score of D.

RDDT Valuation
Image Source: Zacks Investment Research

The Zacks Consensus Estimate for 2026 earnings is pegged at $5.22 per share, which has been unchanged over the past 30 days. This suggests 8.07% year-over-year growth.

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

Key Takeaways Sezzle's Q2 revenues rose 51.7, while GMV climbed 37.9% to a record $1.3 billion.Active subscribers surged 76.4 to 854,000, with purchase frequency rising to 7.2 times.Sezzle raised 2026 revenue growth guidance to 35% and adjusted EPS guidance to $5.25. Sezzle Inc. (SEZL - Free Report) shares entered August carrying high expectations, but the sharp post-earnings reset has changed the investment setup. The company had already attracted attention in 2026 with rapid subscriber growth, rising profitability and an expanding set of financial products. After the recent correction, investors have a different question to consider: whether the lower share price now offers a better entry into a business that is still delivering growth well above that of many payments peers.

SEZL closed at $178.53 on Aug. 6 before plunging nearly 34% on Aug. 7 following its second-quarter report. The selling pressure did not mark the end of the story. Shares subsequently recovered and jumped 8.7% on Aug. 11 to $128.27. Even after that rebound, SEZL remained roughly 28% below its pre-results close. The move has been far more dramatic than recent trading in PayPal (PYPL - Free Report) , while Shift4 Payments (FOUR - Free Report) has also experienced earnings-related volatility. The correction has removed a meaningful part of the valuation risk that surrounded Sezzle before the report.

The reset makes the investment case more interesting. Sezzle continues to grow considerably faster than PayPal and has a different growth profile from Shift4 Payments, while its expanding subscriber base, high engagement and new products could support further earnings gains. Credit costs and execution remain worth watching, but the current share price offers a better balance between growth potential and valuation than it did before earnings.

Year-to-date Price Performance

Image Source: Zacks Investment Research

Sezzle's Growth Story Remains StrongSezzle's second-quarter results showed that the underlying business has not lost momentum. Gross merchandise volume increased 37.9% year over year to a record $1.3 billion, while total revenues climbed 51.7% to $149.7 million. Net income rose to $40.8 million, representing a 27.2% margin, and adjusted EBITDA reached $58 million with a 38.8% margin. Total revenue less transaction-related costs represented 63.5% of revenues, placing the metric near the upper end of management's 55%-65% target range.

The customer metrics make the growth story even stronger. Active subscribers increased 76.4% year over year to 854,000, while Sezzle added a record 140,000 net new subscribers during the quarter. Average quarterly purchase frequency reached 7.2 times, up from 6.1 times in the prior-year period. This combination suggests Sezzle is benefiting from both a larger customer base and deeper engagement among existing users, giving it more than one driver of revenue growth.

Higher Marketing Spending Holds PotentialMarketing expense climbed to $19.4 million during the second quarter as Sezzle deliberately tested how aggressively it could invest in customer acquisition. The encouraging part is that management said the payback period remained below its six-month threshold. Sezzle intends to reduce core marketing spending sequentially in the third quarter, although spending tied to newer products could partly offset that decline. This suggests management is pursuing growth without abandoning its return requirements.

This ability to add customers profitably helps distinguish Sezzle from larger peers. PayPal has far greater scale and a more mature payments ecosystem, while Shift4 Payments has broader exposure to merchant acquiring and payment processing. Sezzle's advantage is its current pace of expansion. If it can continue converting marketing dollars into subscribers with short payback periods, the company can sustain a growth rate that justifies some premium over slower-growing payments businesses.

Raised Guidance Could Still Prove ConservativeManagement lifted its 2026 revenue-growth forecast to 35%, effectively moving to the top of the previous 30%-35% range. Adjusted net income guidance increased to $185 million from $180 million, while adjusted diluted EPS guidance rose to $5.25 from $5.10. Raising both top- and bottom-line expectations after a quarter of elevated marketing investment is a positive signal about the underlying economics of the business.

There may also be upside that is not fully captured in those numbers. Management said the guidance includes very little contribution from SezzleCash and no contribution from Sezzle Send. Nearly 10% of eligible new Sezzle Anywhere subscribers were already requesting a SezzleCash advance as their first transaction, while Sezzle Send had attracted about 100,000 people to its waitlist ahead of launch. If adoption develops without materially weakening credit performance, these products could create another leg of growth.

SEZL’s Estimate Revisions Depict a Bright OutlookOver the past week, earnings estimates for both 2026 and 2027 have been revised upward, signaling a bullish outlook from analysts. These figures also suggest year-over-year growth of 45.96% and 27.10%, respectively.

Image Source: Zacks Investment Research

The Pullback Makes Valuation More AppealingThe biggest improvement in the investment argument may simply be the price investors now have to pay. The stock trades at 6.31X forward 12-month sales per share versus 5.20X for the Zacks sub-industry. On the other hand, PYPL trades at 1.42X forward 12-month sales per share, while FOUR trades near 1.19X forward 12-month sales per share.

This is still not a bargain multiple in isolation, but it looks much more reasonable for a company targeting 35% revenue growth while producing strong profitability. The multiple is also substantially less demanding than it was immediately before second-quarter earnings.

Valuation

Image Source: Zacks Investment Research

Sezzle's faster subscriber and revenue growth gives investors something different from either PYPL or FOUR. If earnings continue to compound quickly, today's valuation could become increasingly reasonable rather than expensive.

SEZL: Credit Is the Main IssueCredit performance remains the most important counterweight to the bullish case. Management expects the provision for credit losses to equal 2.5%-3% of GMV for 2026 and expects normal seasonal increases during the second half. Rapid user acquisition can also increase provisions because newer customers generally produce higher loss rates than established users.

Still, management said it was not seeing an underlying deterioration in repayment behavior or consumer credit health. Sezzle also finished the second quarter with more than $205 million of liquidity, while total debt to trailing-12-month adjusted EBITDA was only 0.5 times. This financial position gives the company room to invest in growth while absorbing normal fluctuations in credit costs.

What Should Investors Do With SEZL Now?The market's initial reaction to the second quarter appears more severe than the change in Sezzle's business outlook. Revenues, GMV, subscribers and earnings remain on a strong upward path, while management raised its 2026 forecasts despite heavier marketing spending. New products provide additional upside that is barely included in guidance.

The rebound on Tuesday also suggests some investors are already reassessing the selloff. SEZL carries volatility and credit risk, but the pullback from its Aug. 6 close has improved the potential reward relative to those risks. For investors comfortable with fintech volatility, the current level looks increasingly attractive for building exposure.

At present, SEZL sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

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

Seagate Technology (NASDAQ:STX | STX Price Prediction) has quietly become one of the AI trade’s most explosive winners, with shares up 445.36% over the past year on surging hyperscaler demand for mass-capacity storage.

Our 24/7 Wall St. price target for Seagate is $916.25, implying 11.67% upside from the current $820.52 price. We rate the stock a buy with high conviction.

24/7 Wall St. Price Target Summary Metric Value Current Price $820.52 24/7 Wall St. Price Target $916.25 Upside 11.67% Recommendation BUY Confidence Level 90% Our confidence is anchored in four consecutive quarterly EPS beats, accelerating cloud demand tied to AI infrastructure, and a HAMR technology roadmap now qualified with every major U.S. hyperscaler.

Q4 Results Anchor the Setup Seagate closed fiscal 2026 in July with a blowout Q4: revenue of $3.629 billion (up 48.5% year over year) and non-GAAP EPS of $5.71, beating consensus by 12.11%. Full-year free cash flow hit a record $3.105 billion, up 279.58%.

Shares have pulled back 9.87% over the past month after peaking near $1,144.18, but the YTD gain still stands at 198.7%. CEO Dave Mosley credited “robust cloud data center demand and disciplined execution” for the run.

The Case for $1,200+ Bulls point to a demand backdrop management has called extraordinary. Mosley told investors “our nearline capacity is fully allocated through calendar year 2026”, with pricing negotiations already underway for 2027 and 2028.

The Mozaic HAMR platform is qualified with all major U.S. cloud service provider customers, and Q1 FY27 guidance calls for revenue of $4.10 billion and EPS of $7.30.

Wall Street’s average target is $1,115.87, with 22 buy ratings against one sell. Our bull-case scenario gets Seagate to $1,217.52, a 48.38% gain.

What Could Go Wrong The trailing P/E of 58 leaves no margin for error if hyperscaler capex cools. Insiders have been net sellers across 252 recent transactions, and Seagate flagged tariff uncertainty and Middle East conflict as guidance risks. A beta above 2 means volatility cuts both ways.

It should be noted, however, that insider selling near record highs often reflects routine profit-taking rather than a fundamental warning, and Seagate retired $1.40 billion in debt during FY26, materially reducing balance-sheet risk. Our bear case sees shares at $682.09.

How Seagate Compares to Western Digital and Micron Western Digital (NASDAQ:WDC) is the closest pure-play HDD peer and directly competes for the same hyperscaler orders. WDC trades at a forward P/E of 22 with a trailing P/E of 18, nearly identical to Seagate’s forward multiple but with slower quarterly revenue growth of 43.8%.

Micron Technology (NASDAQ:MU) offers a memory-side view of the AI storage boom, trading at a forward P/E of just 6, a reminder that memory economics differ sharply from HDD. On balance, peer multiples make our Seagate target look reasonable rather than aggressive.

Company Forward P/E Trailing P/E Seagate 23 58 Western Digital 22 18 Micron 6 20 Seagate Price Prediction 2026-2030 The 24/7 Wall St. price target of $916.25 reflects a buy rating with 90% confidence. The key factor tipping the scale is capacity allocation: Seagate is sold out through 2026 with pricing power intact.

The bull thesis holds if hyperscaler capex commentary stays firm through the next earnings cycle. The setup weakens if forward EPS estimates flatten or HAMR qualifications slip at Mozaic 4.

Year 24/7 Wall St. Price Target 2026 $916 2027 $1,015 2028 $1,100 2029 $1,160 2030 $1,208 These projections assume Seagate continues executing on its HAMR roadmap and hyperscaler demand for mass-capacity storage remains durable. Significant upside or downside could come from a step-change in AI storage architecture or a cyclical hyperscaler capex reset.

Contact [email protected] for any questions or corrections.

In Brief

Posted:

9:18 AM PDT · August 12, 2026

Image Credits:View Stock (opens in a new window) / Getty Images Tesla intends to build a massive solar panel factory 45 minutes southwest of Houston, according to documents filed with the state of Texas.

The new factory, called Project Crystal Sun, could cost as much as $10.1 billion. Tesla has applied for tax incentives to partially offset the cost, saying that it is exploring other sites “across multiple U.S. states.” The factory would create about 9,700 full-time jobs, Tesla said.

Without incentives, Tesla’s accountants estimated that the property tax liability for the project would be about $1.1 billion over 37 years.

The project aims to break ground this year and be completed by 2028, and Tesla said the first solar panels would roll off the line in 2029. The company hasn’t indicated whether the panels would be destined for terrestrial installations or satellites. However, Tesla CEO Elon Musk, who also runs SpaceX, is famously bullish on orbital data centers.

In the filings, Tesla did not publicly disclose the factory’s annual output, though it has said that it plans to build 100 gigawatts’ worth of manufacturing capacity in the U.S. by 2028.

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A hacking and extortion gang has taken credit for a cyberattack and data breach at Uber Freight, the ride-sharing giant’s logistics subsidiary.

A spokesperson for Uber Freight told Reuters, which first reported the incident, that there was no effect on its business operations and that its systems were running normally (The company did not immediately respond to TechCrunch’s questions about the incident.)

The shipping company is the latest victim in a spate of hacks in recent weeks conducted by the Helix hacking group, which has targeted transportation companies, financial giants, and private equity firms throughout the year. The hackers are known for targeting companies and exfiltrating large amounts of data from their cloud environments, which they then threaten to publish if the victim companies do not pay a ransom.

In a post on its data leak site, which it uses to host the stolen files, the Helix hackers claim to have taken mailboxes, cloud storage drives, files relating to accounts payable and dispatch documents from Uber Freight.

Some of the files seen by TechCrunch appear to show email correspondence between Uber Freight and several of its customers. TechCrunch could not immediately verify the authenticity of the files, which appeared to be dated around mid-June.

Uber Freight has not yet said if it received any correspondence from the hackers, or if it paid the hackers a ransom. 

Google said earlier this week that the Helix hacking group is part of a wider umbrella collective of hackers that it tracks as UNC6671. The gang relies on social engineering tactics, such as voice phishing, a tactic that involves calling up IT helpdesks and requesting the reset of employee passwords. Security researchers have long warned that these attacks, while crude and rudimentary, are highly effective at tricking humans into granting access to sensitive systems.

In its blog post, Google said a review of the gang’s bitcoin wallets shows it has made at least $10.6 million in ransom payments between January and May this year.

When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.

Zack Whittaker is the security editor at TechCrunch. He also authors the weekly cybersecurity newsletter, this week in security.

He can be reached via encrypted message at zackwhittaker.1337 on Signal. You can also contact him by email, or to verify outreach, at [email protected].

Key Takeaways AT&T added over 1M fiber locations in Q2, reaching 38.6M, and targets 40M by year-end.AT&T added 432,000 postpaid phone customers as bundled services helped create higher switching friction.High capex and debt remain concerns as AT&T plans $23-$24B in annual investment and $10B in 2026 buybacks. Earnings estimates for AT&T, Inc. (T - Free Report) for fiscal 2026 and fiscal 2027 have moved up 1.29% to $2.35 and 1.18% to $2.57, respectively, over the past 60 days. The positive estimate revision depicts bullish sentiments about the stock’s growth potential.

Image Source: Zacks Investment Research

T Rides on Solid Wireless and Fiber Traction, Convergence StrategyAT&T is aggressively expanding its fiber footprint. It added more than 1 million fiber locations in the second quarter. Total fiber locations reached are now 38.6 million. The company expects to exceed 40 million locations by the end of 2026 and reach more than 60 million by 2030. The acquisition of Lumen's mass-market fiber business has accelerated AT&T’s fiber expansion strategy.

Wireless remains a major contributor to overall growth. AT&T added 432,000 postpaid phone customers in the second quarter, with churn of just 0.86%. The company added 279,000 fixed wireless connections in the second quarter. The company has been taking several steps to become the customer's single connectivity provider by bundling home internet and wireless. In the second quarter, 42.5% of advanced home internet customers also had an AT&T postpaid wireless account. When customers get dependent on multiple services from a single vendor, it becomes difficult for them to change service providers. This higher switching friction lowers churn rate and boosts customer retention. This significantly boosts the company’s cross-selling opportunities as well.

AI Infrastructure Expansion Can Be a Growth Opportunity in the Long RunThe rising usage of Agentic AI is driving network traffic growth. To support the significant surge of data traffic, the companies need a network that can support near-real-time communication, high bandwidth and significantly greater uplink capacity. A major part of AI processing is expected to move closer to the end user, or the edge, to reduce latency. With a dense metro fiber network combined with nationwide wireless spectrum, AT&T can benefit from this AI infrastructure expansion initiative.

Major Challenges for TAT&T's growth strategy is heavily reliant on continued investment in fiber and wireless infrastructure. The company is expanding fiber aggressively while also investing in its wireless network and spectrum. Such a high capex requirement may impact free cash flow growth in the near term.

AT&T is competing for both wireless and broadband customers. Rivals like Verizon and T-Mobile are also expanding network infrastructure and taking several approaches to drive customer addition. Verizon has also taken a convergence strategy to improve churn rate. Stiff competition in a saturated telecom market is impacting margins.

Amid this high investment requirement, AT&T’s leveraged balance sheet remains a major concern. Net debt-to-adjusted EBITDA was 2.68X at the end of second-quarter 2026, with total debt of $144 billion and cash and equivalents of $17.6 billion. Management expects leverage to rise to about 3.2X after the planned EchoStar spectrum acquisition, before returning to the 2.5X range within about three years. The company also plans $23 to $24 billion of annual capital investment and $10 billion of 2026 buybacks, leaving less flexibility if operating execution weakens.

Price PerformanceAT&T has lost 14% in the past year compared with the Wireless National industry’s decline of 78.9%. The stock has also underperformed the Zacks Computer & Technology sector and the S&P 500’s growth during this period.

Image Source: Zacks Investment Research

The company has underperformed its peers like Verizon Communications Inc. (VZ - Free Report) but outperformed T-Mobile, US, Inc. (TMUS - Free Report) . Verizon has gained 9.3%, while T-Mobile has lost 29.2% year to date.

Key Valuation Metric of TFrom a valuation standpoint, AT&T appears to be trading relatively cheaper compared to the industry and trading below its mean. Going by the price/earnings ratio, the company shares currently trade at 9.86 forward earnings, lower than 33.07 for the industry.

Image Source: Zacks Investment Research

End NoteRapid fiber expansion, healthy traction in the postpaid wireless business are major growth drivers. Effort to reduce churn through bundled product offering is a positive factor. Upward estimate revision underscores growing investors’ confidence on stock’s growth potential. However, fierce competition is weighing on margin. High capex requirement amid elevated debt obligation remains major concern. With a Zacks Rank #3 (Hold), AT&T appears to be treading in the middle of the road, and new investors could be better off if they trade with caution. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Boot Barn opened 27 stores in Q1, bringing its footprint to 566 locations across 49 states.BOOT plans to add 70 stores in fiscal 2027, targeting 12%-15% store growth.Every location generates positive 4-wall EBITDA, supporting continued store expansion. Boot Barn Holdings, Inc. (BOOT - Free Report) continues to expand its store footprint, with new store openings continuing to exceed expectations, supporting its ongoing store expansion efforts. The company opened 27 new stores in the first quarter of fiscal 2027, bringing its footprint to 566 locations across 49 states. Management said that the pace of new-store openings has continued to outperform expectations, reinforcing the company’s plans to expand its retail presence.

The company expects a typical new store to generate about $3.2 million in annual revenue, with the investment expected to be recovered in less than two years. BOOT also remains on track to add 70 stores during fiscal 2027, with its existing pipeline supporting the planned expansion. The combination of new-store productivity and relatively short payback periods provides support for continued investment in the store base.

Store-level profitability also remains intact, with every location generating positive 4-wall EBITDA. Although the addition of new stores can place some pressure on occupancy rates, management noted that these locations are still contributing earnings to the bottom line. This indicates that the recently added stores are generating positive earnings while the company continues to expand its footprint.

Over the past 12 months, Boot Barn has added 93 stores, resulting in a 20% increase in its store count. Despite the strong pace of expansion, management continues to prioritize the quality of individual locations rather than opening stores that do not meet its standards. The company is targeting 12% to 15% store growth and remains encouraged by the pipeline for the remainder of the year. Overall, Boot Barn remains well positioned to expand its brand nationwide, with a long-term opportunity to build a network of 1,200 stores across the United States.

Zacks Rundown for BOOTBoot Barn’s shares have gained 14.1% in the past three months compared with the industry’s growth of 16.2%. BOOT presently carries a Zacks Rank #2 (Buy).

Image Source: Zacks Investment Research

From a valuation standpoint, Boot Barn trades at a forward price-to-earnings ratio of 17.51, higher than the industry’s average of 15.28.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for BOOT’s current and next fiscal-year earnings implies year-over-year rallies of 22.6% and 10.5%, respectively.

Image Source: Zacks Investment Research

Other Stocks to ConsiderSome other top-ranked stocks have been discussed below:

Urban Outfitters, Inc. (URBN - Free Report) offers lifestyle products and services in the United States and internationally. At present, URBN carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for URBN’s current fiscal-year sales and earnings implies growth of 8.8% and 12.7%, respectively, from the year-ago figures. URBN has delivered a trailing four-quarter earnings surprise of 12.2%, on average.

Victoria’s Secret & Co. (VSXY - Free Report) operates as a specialty retailer of women's intimate apparel and other apparel and beauty products worldwide. At present, VSXY carries a Zacks Rank of 2.

The Zacks Consensus Estimate for VSXY’s current fiscal-year sales and earnings implies growth of 9.1% and 55.7%, respectively, from the year-ago figures. VSXY has delivered a trailing four-quarter earnings surprise of 81.9%, on average.

Gap, Inc. (GAP - Free Report) operates as an apparel retail company in the United States, Canada, Japan, Taiwan, and internationally. At present, GAP carries a Zacks Rank of 2.

The Zacks Consensus Estimate for GAP’s current fiscal-year sales and earnings implies growth of 1.1% and 9.9%, respectively, from the year-ago figures. GAP has delivered a trailing four-quarter earnings surprise of 2%, on average.

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Jim Cramer put Intel (NASDAQ:INTC | INTC Price Prediction) back in the spotlight this afternoon, telling followers on X that the chipmaker will be a “major focus name” on the CNBC Investing Club segment, with specific attention on CEO Lip-Bu Tan. The post landed Wednesday, August 12, 2026, teeing up Thursday’s Club discussion and directing retail investor attention toward one of the most closely followed turnaround stories in semiconductors.

Cramer has been building this narrative for months. On his May 18, 2026 Mad Money broadcast, he told viewers that when Tan took the CEO job, the stock was “sitting at around 20 bucks.” He went on to describe the recovery “one of the greatest turnarounds I’ve ever seen.” By June 30, he was calling Intel “currently my favorite stock.”

The Turnaround by the Numbers Intel shares changed hands at $102.15 as of August 12, 2026, following a 4.6% bounce in the session off a recent pullback. The longer lookback tells the real story: shares are up 176.8% year to date and 368.3% over the past year, climbing from a 52-week low of $21.36. Market cap now sits near $515.2 billion.

The rally has been powered by operating results. Intel’s Q2 2026 revenue hit $16.128 billion, up 25.42% year over year and 11.64% above consensus. Non-GAAP EPS came in at $0.42 against a $0.2166 estimate, a 93.1% beat. In the Q2 earnings release filed with the SEC, Tan called it “our strongest revenue growth in more than 15 years.”

Segment mix is where the AI thesis becomes firm. Data Center and AI (DCAI) revenue jumped 59% year over year to $6.262 billion. Client Computing and Physical AI came in at $8.877 billion, up 13%. Intel Foundry revenue reached $5.765 billion, up 31%, though the segment still ran a $2.1 billion operating loss for the quarter.

What Tan Is Building On the earnings call, Tan framed Intel’s position around hard-core AI compute demand, saying “strong demand for our products continues to outpace our growing supply” as the company notched its seventh consecutive quarter of beating financial expectations. He also flagged the process roadmap: Intel 18A output ran roughly 25% above target with yields tracking ahead of expectations, and the company committed to a high-volume ramp of Intel 14A in 2028.

Intel has also received two high-profile votes of confidence. NVIDIA (NASDAQ: NVDA) and the U.S. government took stakes last year, investments Cramer has repeatedly pointed to as proof the turnaround is gaining traction. Intel plans to spend more than $20 billion on capex in 2026 and “significantly” more in 2027, boosting its U.S. investment since 2021 closer to $100 billion.

 What Wall Street Sees While Cramer is amped up, the Street remains cautious. Analyst consensus rating skews neutral, with 31 Hold ratings, 12 Buys, 2 Strong Buys, 2 Sells and 1 Strong Sell. The consensus price target sits at $114.05, implying modest upside from current levels. Valuation reflects the recovery: shares trade at a forward P/E of 77 and price-to-sales of 8.64, though the PEG ratio of 0.501 suggests growth is doing some of the work.

What to Watch Next Intel guided Q3 2026 revenue to between $15.8 billion and $16.8 billion, non-GAAP EPS of $0.38, and non-GAAP gross margin near 42%. The market has been unforgiving on earnings reports: even after the Q2 beat, shares fell 7.89% on the earnings day, and INTC is down 7.01% over the past month. Foundry losses, U.S. government equity ownership, and competitive pressure from AMD (NASDAQ:AMD) and ARM-based server designs remain the near-term overhangs Cramer’s Club audience will likely hear discussed on the risk/reward side.

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Gap Inc (NYSE:GPS) shares fell 3.8% on Wednesday after Jefferies downgraded the retailer to "Hold" from "Buy," citing growing concerns over softening trends at its Old Navy division.

The brokerage cut its price target to $23, rolling forward a roughly 9x price-to-earnings multiple on its fiscal 2028 earnings estimate of $2.56 per share.

“We are increasingly concerned about softer trends at Old Navy (data pointing to higher promos & weakening survey metrics),” analysts wrote.

“Importantly, 2Q represents the easiest comparison of the year, yet trends have lagged;;;and only become tougher in 2H.”

Gap guided to low-single-digit percentage comp growth for Old Navy in the quarter, while Jefferies is modeling a 4% decline.

Comparisons get tougher in the back half of the year, with Old Navy lapping a 6% comp gain in the third quarter and a 3% gain in the fourth, according to the note.

Morning Consult survey data cited by Jefferies showed purchase consideration for Old Navy fell 13% year-over-year in July and has weakened sequentially in recent months, while value perception has also deteriorated. The analysts said discounting has increased at the brand alongside several months of pressure on average selling prices. “We are concerned these trends could persist longer than anticipated,” they wrote.

Still, Jefferies said it remains encouraged by the turnaround underway at the Gap brand itself under CEO Richard Dickson, pointing to nine consecutive quarters of positive comps and strong sell-through from initiatives including the Gap x Hailey Bieber partnership. The firm also cited early customer engagement with Gap's beauty and accessories rollout, including fragrance products that have sold out online, though it said it no longer expects a low-single-digit percentage lift to 2027 sales and EBITDA from those initiatives.

Quantinuum Inc. (NASDAQ:QNT) drew bullish analyst reactions after its second-quarter results, with analysts pointing to stronger revenue visibility, rising bookings and a major Oracle Cloud Infrastructure partnership as signs of growing commercial momentum.

Quantinuum reported an adjusted loss of 28 cents per share, wider than the 26-cent loss expected by analysts. Revenue reached $8 million, topping the $7.598 million estimate and rising 279% from a year earlier.

The company forecast full-year 2026 revenue of $28 million to $32 million, above the $26.485 million analyst estimate.

Quantinuum ended June with $2.1 billion in cash, cash equivalents and short-term investments.

Analysts at Rosenblatt Securities and TD Cowen maintained bullish ratings following the report. Rosenblatt reiterated its Buy rating and $155 price forecast, while TD Cowen maintained a Buy rating without assigning a price forecast.

Quantinuum A ‘Core Quantum Name To Own’: RosenblattRosenblatt said Quantinuum delivered a strong “beat and raise” in its first quarter as a public company, with revenue coming in 5% above consensus.

The firm said the company’s 2026 revenue outlook midpoint was 13% above the $26.5 million consensus estimate. Quantinuum also provided an initial 2027 outlook calling for revenue growth of more than 100%, compared with Street expectations of about 68% growth.

Rosenblatt said rising bookings are also improving visibility. Second-quarter bookings reached $4.3 million, nearly triple the first quarter’s $1.3 million. Cumulative bookings reached about $81 million after the quarter, including the Oracle agreement and other deals. Management expects at least $120 million in bookings for 2026, up from $79 million in 2025.

The analyst called Quantinuum a “core quantum name to own,” citing its commercial backlog, Oracle partnership and progress toward its next-generation systems. Rosenblatt said its confidence in the company’s technology roadmap and financial estimates increased following the quarter.

Oracle Deal Validates Quantinuum TechnologyRosenblatt highlighted Oracle Corporation’s (NYSE:ORCL) decision to buy a Helios system for deployment in a U.S. Oracle Cloud Infrastructure data center.

The firm called Oracle a discerning technology customer and said its selection of Helios provides strong validation for Quantinuum’s technology. Rosenblatt expects limited revenue from the agreement in 2026, with a greater contribution around system delivery in 2027.

The system will be tightly integrated with OCI’s compute, networking, storage, identity and data services. The companies aim to support quantum, artificial intelligence and high-performance computing workflows in areas including pharmaceuticals, molecular discovery, materials science and energy.

TD Cowen Sees GenAI Opportunity MaterializingTD Cowen also highlighted Quantinuum’s stronger-than-expected outlook and improving visibility into 2027.

The firm said the midpoint of Quantinuum’s 2026 revenue forecast exceeded expectations and was supported by $81 million in cumulative bookings. TD Cowen said the company’s backlog and customer pipeline provided enough visibility for management to forecast revenue growth of more than 100% in 2027.

TD Cowen described the Oracle partnership as a major customer win because of both its revenue potential and its role in quantum-enhanced generative AI computing. The firm said successful development could open new use cases, expand Quantinuum’s software and algorithm expertise and drive broader adoption of its quantum computing services.

The analyst also sees potential for additional on-premise system sales to hyperscalers, sovereign customers, research institutions and enterprises. TD Cowen said Quantinuum’s latest Helios system offers about 50 high-fidelity logical qubits, creating scope for its 2027 prospects to expand further.

Quantum Roadmap Remains On TrackAnalysts also pointed to progress on Quantinuum’s technology roadmap.

The Sol quantum processing unit remains targeted for the second half of 2027, with early chips undergoing testing and validation. Apollo remains scheduled for 2029.

Quantinuum said it demonstrated near-five-nines logical fidelity on Helios and that Sol’s trap chip has returned from fabrication and entered product validation. The company also said Apollo remains on schedule for 2029.

Rosenblatt said those developments are gradually reducing technology-roadmap risk and strengthening the path toward commercially relevant quantum computing. The firm maintained its $155 price forecast, implying substantial upside from Quantinuum’s $56.06 closing price on Aug. 11.

Price ActionQNT Stock Price Activity: Quantinuum shares were up 21.94% at $68.36 at the time of publication on Wednesday, according to Benzinga Pro data.

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Key Takeaways APA's Q2 earnings beat estimates, fueled by higher oil prices and lower year-over-year expenses.APA's realized oil price surged nearly 50%, while natural gas prices fell sharply from a year ago.APA raised 2026 U.S. oil output guidance and cut lease operating expense guidance by $25 million. U.S. energy operator APA Corporation (APA - Free Report) reported second-quarter 2026 adjusted earnings of $1.89 per share, beating the Zacks Consensus Estimate of $1.85. The bottom line rose from the year-ago adjusted profit of 87 cents. The outperformance was primarily driven by higher realized oil prices and lower year-over-year expenses.

Revenues of $2.4 billion were down 8.2% from the year-ago quarter’s sales and missed the Zacks Consensus Estimate by 1.5%, caused by a decrease in natural gas revenues.

Meanwhile, APA continues to reward its shareholders, having paid out $189 million through dividends and share repurchases during the second quarter of 2026.

APA’s Q2 Production & Selling PricesProduction of oil and natural gas averaged 409,959 BOE/d, which comprised 69% liquids. The figure was down 11.8% from the year-ago quarter but surpassed our expectation of 404,982 BOE/d.

U.S. output (accounting for 64% of the total) fell 9.2% year over year to 263,187 BOE/d, but production from the company’s international operations decreased 16.2% to 146,772 BOE/d. APA’s oil and natural gas liquids (NGLs) production was 284,605 barrels per day (Bbl/d). Natural gas output totaled 752,125 thousand cubic feet per day (Mcf/d).

The average realized crude oil price during the second quarter was $98.24 per barrel, up almost 50% from the year-ago realization of $65.58. The number also significantly surpassed our projection of $76.35. The average realized natural gas price fell to 60 cents per thousand cubic feet (Mcf) from $2.28 in the year-ago period and missed our estimate of $2.03.

Costs & Financial PositionAPA’s second-quarter lease operating expenses totaled $353 million, down 3.8% from $367 million in the year-ago period. Moreover, proceeds from purchased oil/gas of $122 million meant that total operating expenses decreased nearly 29.2% from the corresponding period of 2025 to $1.1 billion. The number was below our model projection of $1.4 billion.

During the quarter under review, APA generated $1.7 billion of cash from operating activities while it incurred $546 million in upstream capital expenditures. The Zacks Rank #3 (Hold) company registered a free cash flow of $738 million compared to $134 million a year ago.

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

As of June 30, APA had $444 million in cash and cash equivalents and $3.7 billion in long-term debt, representing a debt-to-capitalization of 34.8%.

2026 Guidance by APAFor full-year 2026, APA has raised its U.S. oil production guidance to 123,000 barrels per day while keeping its U.S. capital spending plan unchanged at $1.3 billion. Total upstream capital investment is projected at $2.07 billion, with exploration spending slightly lower due to the timing shift of exploration activities at Suriname Block 58. Meanwhile, lease operating expense guidance has been reduced by $25 million to $1.5 billion, reflecting continued cost-saving initiatives.

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

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

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

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

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

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

As of June 30, 2026, the company had cash and cash equivalents of $1.2 billion and long-term debt of $1.7 billion with a debt-to-capitalization of 21.3%.

The Williams Companies, Inc. (WMB - Free Report) reported second-quarter 2026 adjusted earnings per share of 50 cents, which missed the Zacks Consensus Estimate of 52 cents. However, the bottom line increased from the year-ago period’s level of 46 cents, driven by better-than-expected performance of its Transmission, Power & Gulf, Northeast G&P and West segments.

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

As of June 30, 2026, the company had cash and cash equivalents of $203 million and long-term debt of $28.1 billion, with a debt-to-capitalization of 64.7%.

Key Takeaways ADM raised its 2026 adjusted EPS forecast to $5.15-$5.60 after strong second-quarter results.Biofuel demand, energy prices and ethanol margins are supporting ADM's crushing and earnings momentum.ADM faces fourth-quarter crush-margin exposure alongside risks from trade, weather and energy costs. Archer Daniels Midland Company (ADM - Free Report) raised its 2026 adjusted earnings outlook following a strong second quarter, supported by robust commercial and operational execution and a constructive biofuels environment. Favorable renewable-fuel economics, elevated global energy prices and improving Nutrition performance contributed to the earnings momentum. Management expects the favorable margin backdrop across its crushing and ethanol operations to continue through the second half, providing an important foundation for the upgraded outlook.

ADM now projects 2026 adjusted EPS of $5.15-$5.60, up sharply from its previous forecast of $4.15-$4.70. In the second quarter, adjusted EPS came in at $1.84, while total segment operating profit reached $1.5 billion. AS&O operating profit surged 129% year over year to $867 million, with Crushing contributing $363 million as global crush volumes increased nearly 5%. Carbohydrate Solutions operating profit advanced 22% to $411 million, aided by strong ethanol margins.

Biofuel economics remain central to ADM's growth prospects. The finalization of renewable volume obligations for 2026 and 2027 has supported domestic biofuel demand, while elevated global energy prices have strengthened crush economics. Ethanol has also benefited from favorable domestic blending economics and competitive U.S. export conditions. ADM raised its expected 2026 net benefit from the 45Z tax credit to roughly $250 million from $150 million, reflecting greater visibility into carbon-intensity verification, ethanol production and operational improvements.

Still, sustaining the earnings momentum will depend on commodity markets, energy prices, trade flows and ADM's ability to capture favorable crush margins. North American crushing was roughly 90% locked for the third quarter but only 30% for the fourth quarter, leaving greater exposure to margin volatility later in the year. Management also flagged geopolitical tensions, weather and fluctuating energy costs as external uncertainties. Nevertheless, continued strength in biofuels, disciplined execution and improving Nutrition operations could help ADM deliver within its raised 2026 earnings range.

ADM’s Zacks Rank & Share Price PerformanceShares of this Zacks Rank #1 (Strong Buy) company have gained 15.8% in the past six months, outperforming the industry, which rose 2.1%, and the broader Consumer Staples sector, which fell 5.8%.

ADM Stock's Six-Month Performance
Image Source: Zacks Investment Research

Is ADM a Value Play Stock?From a valuation standpoint, ADM trades at a forward price-to-earnings ratio of 14.82X, higher than the industry’s average of 13.99X.

ADM P/E Ratio (Forward 12 Months)
Image Source: Zacks Investment Research

Other Stocks to ConsiderDarling Ingredients Inc. (DAR - Free Report) , which is a global developer and producer of sustainable natural ingredients, currently sports a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here. 

The Zacks Consensus Estimate for Darling Ingredients' current financial-year sales indicates growth of 12.7% from the prior-year level. DAR delivered a trailing four-quarter earnings surprise of 38.9%, on average.

The Coca-Cola Company (KO - Free Report) is a leading beverage company with a portfolio of 32 billion-dollar brands spanning sparkling beverages, water, sports drinks, dairy and value-added beverages. KO currently carries a Zacks Rank #2 (Buy).

The Zacks Consensus Estimate for Coca-Cola’s current fiscal-year sales and earnings implies growth of 3.8% and 9.7%, respectively, from the year-ago reported figures. Coca-Cola delivered a trailing four-quarter earnings surprise of 4.6%, on average.

Primo Brands Corporation (PRMB - Free Report) is a leading North American branded beverage company focused on healthy hydration. It currently has a Zacks Rank #2.

The Zacks Consensus Estimate for Primo Brands’ current fiscal-year sales indicates growth of 2.4% from the prior year’s reported levels. PRMB delivered a trailing four-quarter earnings surprise of 7.7%, on average.

Key Takeaways Fortinet raised 2026 revenues, billings, service revenues and non-GAAP EPS guidance.SASE convergence, firewall refreshes and AI integration are driving broad-based demand.Fortinet's Intel collaboration aims to advance its ASIC roadmap and strengthen supply chain resilience. Fortinet, Inc. (FTNT - Free Report) has given investors fresh reason to pay attention after raising its full-year 2026 guidance on the back of accelerating firewall refresh cycles and surging SASE adoption. The upgraded outlook, delivered alongside second-quarter results, points to durable, broad-based demand across the company's security fabric, and the fundamentals underpinning that demand suggest the stock deserves a place in growth-oriented portfolios in the near term.

Fortinet shares have gained 103.9% in the year-to-date period, outperforming the Zacks Security industry and the broader Computer and Technology sector’s growth of 86.2% and 17.7%, respectively. The rally is best viewed as the market catching up to accelerating billings and guidance rather than a stretched move, making the current entry point still reasonable for new positions.

FTNT’s 6-Month Price Performance
Image Source: Zacks Investment Research

Guidance Raised Across the BoardFollowing second-quarter 2026 results that topped the high end of prior guidance, management lifted full-year revenue guidance to $8.02-$8.18 billion, implying roughly 19% year-over-year growth, compared with the prior outlook of $7.71-$7.87 billion. Billings are raised to $9.35-$9.55 billion, service revenues are projected at $5.18-$5.22 billion, and non-GAAP EPS is anticipated between $3.41 and $3.47. Non-GAAP operating margin guidance stands at 35-37%, with non-GAAP gross margin guided to 79-81%.

The Zacks Consensus Estimate for 2026 earnings stands at $3.40 per share, implying 23.19% year-over-year growth.

For the third quarter, the company guided revenues to be in the range of $2.01-$2.10 billion and non-GAAP EPS to be between 83 cents and 87 cents. Infrastructure investment guidance for the full year was set at $350-$550 million, while full-year cash taxes are expected between $400 million and $450 million. This breadth of upward revisions across revenue, billings, margin and earnings metrics signals management's confidence that current demand trends are structural rather than a one-quarter pop.

SASE Firewall Convergence Driving the CycleThe core fundamental thesis rests on Fortinet's "SASE Firewall" positioning — the convergence of firewall, SD-WAN and SASE functionality on a single FortiOS operating system powered by purpose-built FortiASIC silicon. This architecture lets customers deploy consistent security policy on-premises, at the edge, or in the cloud without stitching together multiple vendors. That convergence was extended in late July with the launch of the FortiGate 1200G series paired with FortiSASE Outpost, which delivers up to 397 Gbps of firewall throughput and brings cloud-delivered SASE services into customer-controlled environments, targeting the sovereignty, latency and compliance needs of AI-era, encrypted-traffic workloads. Fortinet was also recognized as a Challenger in the 2026 Gartner Magic Quadrant for SASE Platforms, reinforcing its expanding footprint in that category.

AI Woven Into the Security FabricArtificial intelligence is increasingly central to Fortinet's product roadmap and go-to-market motion. FortiOS 8.0, introduced at Fortinet Accelerate 2026, added Secure AI Controls for shadow-AI visibility and fabric-based AI agents. In June, the company launched FortiSOC, a cloud-delivered security operations platform that embeds agentic AI to autonomously investigate and correlate alerts and recommend or execute response actions under analyst oversight. In mid-July, Fortinet expanded FortiEndpoint with new AI-era capabilities, consolidating AI visibility and governance, endpoint detection and response, and data security into one agent, console and license, with availability expected in the third quarter. On the infrastructure side, Fortinet deepened integration with NVIDIA to accelerate its FortiAIGate solution, protecting AI workloads, data and autonomous agents across data centers and cloud environments. Management has also credited internal AI initiatives with contributing to record non-GAAP operating margin, pointing to an efficiency tailwind alongside the revenue opportunity.

Silicon Roadmap Strengthens the MoatIn late July, Fortinet announced a strategic collaboration with Intel to develop its next-generation Fortinet Security Processor 6, combining Fortinet's purpose-built ASIC expertise with Intel's advanced design, packaging and manufacturing capabilities. This is expected to advance Fortinet's long-term ASIC roadmap while strengthening supply chain resilience and geographic diversification — a fundamental input into the performance and cost advantages that differentiate FortiGate appliances from software-only competitors.

Valuation and Competitive LandscapeFrom a valuation standpoint, FTNT appears overvalued, trading at a forward 12-month price-to-earnings ratio of 44.39, higher than the sector's average of 21.53. The company carries a Value Score of F, though the premium is justified by Fortinet's superior margin profile, raised guidance trajectory and expanding AI- and SASE-driven total addressable market.

FTNT’s Valuation
Image Source: Zacks Investment Research

Competitively, Fortinet operates alongside Palo Alto Networks (PANW - Free Report) , Qualys (QLYS - Free Report) and Cisco (CSCO - Free Report) . Palo Alto Networks remains the largest platform rival, competing directly in firewall and SASE; Cisco leverages its networking incumbency to bundle security, competing with Fortinet's converged approach; and Qualys, more focused on vulnerability and exposure management, overlaps with Fortinet's broader security operations ambitions. Against Palo Alto Networks, Cisco and Qualys, Fortinet's ASIC-driven cost structure remains a differentiator.

ConclusionFortinet's raised 2026 guidance reflects genuine fundamental momentum — a firewall refresh cycle, expanding SASE convergence, deepening AI integration across SecOps and endpoint products and a strengthening silicon supply chain via Intel. While valuation is undeniably rich, the depth and breadth of Fortinet's product-led growth drivers support a constructive near-term stance on the stock. Fortinet currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. 

Key Takeaways MED's revenues stabilized at $76.4 million in the second quarter of 2026 as coach productivity rose.MED's revenue per active earning coach rose 41% year over year to $6,529.Medifast expects further productivity gains and is targeting a return to profitability in Q4 2026. Medifast, Inc.’s (MED - Free Report) revenues have stabilized sequentially over recent quarters, supported by higher coach productivity, which increased for the third consecutive time in the second quarter of fiscal 2026. The company views coach productivity as an important metric because positive trends in this area have historically preceded revenue and profitability growth. In the second quarter of fiscal 2026, revenues reached $76.4 million, in line with the guidance provided in May.

Although the number of active earning coaches continues to decline, active earning coach productivity has shown meaningful improvement, increasing 41% year over year. Revenue per active earning coach reached its highest level since the second quarter of 2022, at $6,529 for the second quarter, highlighting the continued improvement in productivity. The company expects this trend to continue through 2026, with management also forecasting further year-over-year and sequential productivity growth in the third quarter.

The improvement is also reflected in the growing percentage of active earning coaches reaching the executive director rank or above. Management said that this percentage continues to climb and remains above its 10% benchmark for a healthy, scalable field organization, as the field embraces the company's strategic transition toward metabolic health. Continued improvement in coach productivity and the development of higher-producing executive directors remain important parts of the company's strategy.

At its last earnings call, Medifast highlighted that stronger coach productivity and improved client retention are providing encouraging signs of stabilization across the business. These improvements are consistent with management's view that key operating indicators are starting to turn more positive, while the company expects continued productivity improvement as it works toward a return to profitability in the fourth quarter of 2026.

The Zacks Rundown for MEDThe company's shares have gained 8.2% in the past six months against the industry’s decline of 8.4%. MED currently carries a Zacks Rank #3 (Hold).

Image Source: Zacks Investment Research

From a valuation standpoint, MED trades at a forward price-to-sales ratio of 0.48, lower than the industry’s average of 0.80.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for MED’s current fiscal year earnings implies a year-over-year decline of 140.2%, and the same for next fiscal year earnings implies 4.1% growth year over year.

Image Source: Zacks Investment Research

Stocks to ConsiderSome better-ranked stocks have been discussed below:

Darling Ingredients Inc. (DAR - Free Report) develops, produces, and sells sustainable natural ingredients from edible and inedible bio-nutrients in North America, Europe, China, South America, and internationally. DAR currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for DAR’s current fiscal-year sales and earnings implies growth of 12.8% and 926.5%, respectively, from the year-ago actuals. DAR delivered a trailing four-quarter negative earnings surprise of 38.9%, on average.

The Chef’s Warehouse, Inc. (CHEF - Free Report) distributes specialty food and center-of-the-plate products in the United States, the Middle East, and Canada. CHEF currently carries a Zacks Rank #1.

The Zacks Consensus Estimate for CHEF’s current fiscal-year sales and earnings indicates growth of 10.8 and 24.7%, respectively, from the year-ago reported figures. CHEF delivered a trailing four-quarter earnings surprise of 30.4%, on average.

US Foods Holding Corporation (USFD - Free Report) , together with its subsidiaries, markets, sells and distributes fresh, frozen, and dry food and non-food products to foodservice customers in the United States. USFD currently carries a Zacks Rank #2 (Buy).

The Zacks Consensus Estimate for US Foods’ current fiscal-year sales and earnings implies growth of 5.1% and 16.3%, respectively, from the year-ago actuals. USFD delivered a trailing four-quarter earnings surprise of 1.5%, on average.

Biopharmaceutical company Incyte Corporation (INCY) gets Big Money support to gain 23% so far in 2026.

In this article:INCY

-0.33%

INCY discovers, develops, and sells proprietary therapeutics focused on hematology, oncology, inflammation, and autoimmunity. The company’s second-quarter fiscal 2026 earnings report, INCY showed $1.67 billion in quarterly revenue (a 38% year-over-year gain) led by Jakafi ($817 million) and Opzelura ($450 million), net sales of $1.49 billion (a 40% rise), and raised annual net sales guidance to a high end of $5.26 billion.

It’s no wonder INCY shares are up 23% this year, and they could rise more. MoneyFlows data shows how Big Money investors are again betting heavily on the stock.

Incyte Attracts Big Money Institutional volumes reveal plenty. In the last year, INCY has endured some choppiness. But it’s once again enjoying strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in INCY shares. They reflect our proprietary inflow signal, pushing the stock higher:

INCY is up 48.4% in a year thanks to institutional support – green inflow signals came in bursts throughout the period. Source: www.moneyflows.com Plenty of health care names are under accumulation right now. But there’s a powerful fundamental story happening with Incyte.

Incyte Fundamental Analysis Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, INCY has had strong sales and earnings growth:

3-year sales growth rate (+15%) 3-year EPS growth rate (+1,355%) Source: FactSet

Also, EPS is estimated to ramp higher this year by +106.4%.

Now it makes sense why the stock has been generating Big Money interest. INCY has a track record of strong financial performance.

Marrying great fundamentals with MoneyFlows software has found some big winning stocks over the long term.

Incyte has been a top-rated stock at MoneyFlows for years. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

In the last year, INCY has drawn five outlier inflow signals and gained 48.4%. The blue bars below show when INCY was a top pick on the Outlier 20 report…institutions can move shares higher:

Five outlier inflow signals have sent INCY shares higher – it’s attracted 30 outlier inflow signals since 2000. Source: www.moneyflows.com Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

Incyte Price Prediction The INCY action isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in INCY at the time of publication.

If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level and follow our free weekly MoneyFlows insights.

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Lucas is a well-versed equity investor and educator. He currently is co-founder of research and analytics firm, MAPsignals.com, which focuses on finding outlier stocks by following the Big Money.

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