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For the quarter ended March 2026, Old Dominion Freight Line (ODFL - Free Report) reported revenue of $1.33 billion, down 2.9% over the same period last year. EPS came in at $1.14, compared to $1.19 in the year-ago quarter.

The reported revenue represents a surprise of +1.51% over the Zacks Consensus Estimate of $1.31 billion. With the consensus EPS estimate being $1.05, the EPS surprise was +8.77%.

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

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

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

Operating Ratio: 76.2% versus the four-analyst average estimate of 78%.LTL tonnage per day: 30.58 Kton/D compared to the 30.40 Kton/D average estimate based on two analysts.LTL shipments per day: 41.04 thousand versus 40.83 thousand estimated by two analysts on average.LTL revenue per hundredweight: $34.52 versus the two-analyst average estimate of $34.38.LTL revenue per hundredweight, excluding fuel surcharges: $29.13 compared to the $29.01 average estimate based on two analysts.Work days: 63.00 Days versus 63.00 Days estimated by two analysts on average.LTL weight per shipment (lbs.): 1,491.00 lbs compared to the 1,488.97 lbs average estimate based on two analysts.LTL shipments: 2,585 compared to the 2,572 average estimate based on two analysts.LTL tons: 1,927.00 KTon versus the two-analyst average estimate of 1,914.89 KTon.View all Key Company Metrics for Old Dominion here>>>

Shares of Old Dominion have returned +13.5% over the past month versus the Zacks S&P 500 composite's +12.2% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Q1: 2026-04-29 Earnings SummaryEPS of $1.14 beats by $0.09

 |

Revenue of

$1.33B

(-2.92% Y/Y)

beats by $20.73M

Old Dominion Freight Line, Inc. (ODFL) Q1 2026 Earnings Call April 29, 2026 10:00 AM EDT

Company Participants

Jack Atkins - Director of Investor Relations
Kevin Freeman - President, CEO & Director
Adam Satterfield - Executive VP, Assistant Secretary & CFO

Conference Call Participants

Jordan Alliger - Goldman Sachs Group, Inc., Research Division
Jason Seidl - TD Cowen, Research Division
Christian Wetherbee - Wells Fargo Securities, LLC, Research Division
Scott Group - Wolfe Research, LLC
Eric Morgan - Barclays Bank PLC, Research Division
Ravi Shanker - Morgan Stanley, Research Division
Jonathan Chappell - Evercore ISI Institutional Equities, Research Division
Ken Hoexter - BofA Securities, Research Division
Thomas Wadewitz - UBS Investment Bank, Research Division
Brian Ossenbeck - JPMorgan Chase & Co, Research Division
Richa Talwar - Deutsche Bank AG, Research Division
Ariel Rosa - Citigroup Inc., Research Division
Jeffrey Kauffman - Vertical Research Partners, LLC
Stephanie Benjamin Moore - Jefferies LLC, Research Division
Matthew Milask - Stifel, Nicolaus & Company, Incorporated, Research Division
Joe Enderlin - Stephens Inc., Research Division

Presentation

Operator

Good day, and welcome to the Old Dominion Freight Line First Quarter 2026 Earnings Conference Call.

[Operator Instructions]

Please note, this event is being recorded. I would now like to turn the conference over to Jack Atkins. Please go ahead.

Jack Atkins
Director of Investor Relations

Thank you, Dorwin. Good morning, everyone, and welcome to the first quarter 2026 conference call for Old Dominion Freight Line. Today's call is being recorded and will be available for replay beginning today and through April 29, 2026, by dialing 1-855-669-9658, access code 7699494. The replay of the webcast may also be accessed for 30 days at the company's website. This conference call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements, among others, regarding Old Dominion's expected financial and operating performance.

For this purpose, any statements made during

Norfolk, VA, May 07, 2026 (GLOBE NEWSWIRE) -- Old Dominion University proudly announces it is becoming a Health Promoting University, an evolution that integrates well-being into all aspects of campus life, including teaching, research, policies, environments and daily experiences. This holistic approach reflects Old Dominion University's dedication to educating tomorrow’s healthcare leaders, while conducting cutting-edge research and providing critical care through community outreach, alongside our medical partners. 

"Our journey to reach this milestone was made possible due to partnership and perseverance," said Old Dominion University President Brian O. Hemphill, Ph.D. "This is a defining shift as health is no longer simply what we do – it is who we are. We are integrating well-being into our operations, systems and spaces, thereby establishing a culture that is enduring and evolving through a collective impact model." 

Home to the largest academic health sciences center in the Commonwealth of Virginia, Old Dominion University’s journey has involved significant milestones, such as the 2024 integration of Eastern Virginia Medical School and the 2025 establishment of the Joan P. Brock Institute for Nutrition Science and Health. Now, in 2026, the University takes a step further in its expertise through a shared commitment to health promotion. 

In partnership with the American College of Lifestyle Medicine (ACLM), the leading authority on lifestyle medicine education, Old Dominion University will further health promotion. ACLM will support education, clinical practice, research, community outreach and engagement at Old Dominion University. 

"Our Health Promoting University agenda will be grounded in evidence, guided by national benchmarks for campus health and measured through shared indicators that hold us accountable to our community," President Hemphill added. "As a preeminent public research institution, we are uniquely positioned to pursue this worthwhile responsibility through the collective efforts of our students, faculty and staff strengthening a culture that prioritizes care, connection and meaningful impact." 

A Health Promoting University Advisory Council has been appointed to advance this initiative. This council includes executive-level sponsorship from Executive Vice President for Health Sciences Alfred Abuhamad, MD; Vice President for Student and Campus Life Brandi Hephner LaBanc, Ed.D.; and Vice President for Talent Management and Culture September Sanderlin. They are joined by Drs. Anca Dobrian, Veleka Gatling and Bridget Weikel, as well as a Well-Being Collective Working Group that guides the creation of a shared agenda shaped by community-wide engagement and collective impact.  

The commitment to becoming a Health Promoting University builds upon Old Dominion University’s strong foundation. By fostering a culture where mental and physical health are supported, belonging and purpose are cultivated and connection and resilience are strengthened, Old Dominion University ensures that when students, faculty, staff and partners thrive, the entire community flourishes. 

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ABOUT OLD DOMINION UNIVERSITY 

Old Dominion University (ODU), located in Norfolk, is Virginia's forward-focused public doctoral research university with more than 24,000 students. A top R1 research institution offering rigorous academics, Old Dominion University is recognized nationally for academic excellence, social mobility and access. Military friendly and home to an energetic residential community and robust initiatives that currently contribute $3.8 billion annually to Virginia's economy, Old Dominion University is a leader in the commonwealth. Macon & Joan Brock Virginia Health Sciences at Old Dominion University, founded July 1, 2024, represents the most comprehensive health sciences center in the Commonwealth of Virginia. At the forefront of digital innovation, Old Dominion University partnered with Google in October 2025 to launch MonarchSphere powered by Google Cloud, a first-of-its-kind AI incubator for higher education. 

THOMASVILLE, N.C.--(BUSINESS WIRE)--Old Dominion Freight Line, Inc. (Nasdaq: ODFL) today announced that its Board of Directors has declared a quarterly cash dividend of $0.29 per share of common stock, payable on June 17, 2026, to shareholders of record at the close of business on June 3, 2026. This dividend payment represents a 3.6% increase to the quarterly cash dividend paid in June 2025. Forward-looking statements in this news release are made pursuant to the safe harbor provisions of the P.

A month has gone by since the last earnings report for Old Dominion Freight Line (ODFL - Free Report) . Shares have added about 4% in that time frame, underperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is Old Dominion due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important catalysts.

Old Dominion Q1 Earnings Beat EstimatesOld Dominion reported solid first-quarter 2026 results, wherein its earnings and revenues surpassed the Zacks Consensus Estimate.

Quarterly earnings per share of $1.14 beat the Zacks Consensus Estimate of $1.05 but dipped 4.2% year over year. The decrease in ODFL’s revenue and an increase in operating ratio resulted in a year-over-year decline in the bottom line in the first quarter.

Revenues of $1.33 billion beat the Zacks Consensus Estimate of $1.31 billion but decreased 2.9% year over year. The downside in ODFL’s first-quarter revenues was owing to a 7.7% decrease in LTL tons per day which was partially offset by an increase in ODFL’s LTL revenue per hundredweight. The decrease in LTL tons per day reflects the net impact of a 7.9% decrease in LTL shipments per day and a 0.3% increase in LTL weight per shipment.

LTL revenue per hundredweight, excluding fuel surcharges, grew 4.4% year over year owing to the company’s long-term, disciplined approach to yield management. Revenues from LTL services came in at $1.32 billion (down 2.9% year over year). Other services revenues fell 8.7% year over year to $12.8 million.

Other Aspects of Q1 Earnings ReportIn the quarter under review, LTL weight per shipment rose 0.3% and LTL revenue per shipment inched up 5.9% year over year. LTL shipments and LTL shipments per day were both down 7.9% on a year-over-year basis. LTL revenue per hundredweight, excluding fuel surcharges, grew 4.4% year over year.

Total operating expenses declined 1.9% year over year to $1.02 billion. The operating income decreased 6.1% year over year to $317.34 million. Operating ratio (operating expenses as a % of revenues) worsened to 76.2% from 75.4% in the year-ago quarter.

Old Dominion exited the March-end quarter with cash and cash equivalents of $288.08 million compared with $120.09 million at the end of the prior quarter. Long-term debt at the end of the final quarter of 2026 was $19.9 million, flat sequentially.

During the first quarter of 2026, Old Dominion rewarded its shareholders with $88.1 million through its share repurchases and paid $60.5 million in the form of dividend payments.

ODFL generated $373.6 million of net cash from operating activities during the first quarter of 2026. Capital expenditures were $62.6 million for the first quarter of 2026.

OutlookFor 2026, ODFL continues to anticipate its aggregate capital expenditures to be around $265 million, which includes planned expenditures of $125 million for real estate and service center expansion projects, $95 million for tractors and trailers, and $45 million for information technology and other assets.

How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a upward trend in estimates review.

The consensus estimate has shifted 6.43% due to these changes.

VGM ScoresAt this time, Old Dominion has a average Growth Score of C, though it is lagging a bit on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a score of F on the value side, putting it in the fifth quintile for value investors.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Old Dominion has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerOld Dominion is part of the Zacks Transportation - Truck industry. Over the past month, Landstar System (LSTR - Free Report) , a stock from the same industry, has gained 10.5%. The company reported its results for the quarter ended March 2026 more than a month ago.

Landstar reported revenues of $1.17 billion in the last reported quarter, representing a year-over-year change of +1.6%. EPS of $1.16 for the same period compares with $0.85 a year ago.

For the current quarter, Landstar is expected to post earnings of $1.41 per share, indicating a change of +17.5% from the year-ago quarter. The Zacks Consensus Estimate has changed +2.9% over the last 30 days.

The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for Landstar. Also, the stock has a VGM Score of B.

Old Dominion Freight Line, Inc. (Nasdaq: ODFL) today reported certain less-than-truckload (“LTL”) operating metrics for May 2026. Revenue per day increased

Key Takeaways Old Dominion's LTL revenue per day increased 12.3% year over year in May 2026.ODFL's higher LTL revenue per hundredweight was partly offset by a 3.8% drop in LTL tons per day.Old Dominion QTD LTL revenue per hundredweight rose 15.6%, while ex-fuel revenue per hundredweight rose 5.4%. Old Dominion Freight Line, Inc. (ODFL - Free Report) has provided an update on the performance of its less-than-truckload (LTL) segment, which is its primary revenue generator, for May.

Old Dominion's revenue per day increased 12.3% year over year in May 2026, owing to an increase in LTL revenue per hundredweight, which was partially offset by a 3.8% decrease in LTL tons per day. The reduction in LTL tons per day was owing to a 5.3% decrease in LTL shipments per day, which was partially offset by a 1.6% increase in LTL weight per shipment.  

Quarter to date, Old Dominion’s LTL revenue per hundredweight and LTL revenue per hundredweight, excluding fuel surcharges, increased 15.6% and 5.4%, respectively, year over year.

Marty Freeman, president and chief executive officer of Old Dominion, stated, “Old Dominion produced solid revenue growth for the first two months of the second quarter. While our LTL tons per day declined on a year-over-year basis in both April and May, demand has continued to improve as the quarter has progressed. In addition, our best-in-class service metrics support our yield management initiatives and the ongoing improvement in our LTL revenue per hundredweight. Our consistent investments in our network, our technology and our OD Family of employees throughout the economic cycle uniquely position us to support our customers as the business environment changes. As a result, we remain confident in our ability to win market share and drive profitable revenue growth over the long-term as we continue to execute on the fundamental elements of our strategic plan.”

ODFL’s Zacks Rank & Price PerformanceODFL currently carries a Zacks Rank #3 (Hold).

Shares of ODFL have gained 20.4% over the past month, outperforming 14.2% growth of the transportation-truck industry.

ODFL Stock’s One-Month Price Comparison Image Source: Zacks Investment Research

Stocks to ConsiderInvestors interested in the Zacks Transportation sector may consider International Seaways (INSW - Free Report) and Expeditors International of Washington, Inc. (EXPD - Free Report) . 

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

INSW has an expected earnings growth rate of more than 100% for the current year. The company has an encouraging earnings surprise history. Its earnings topped the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 33.93%.

EXPD currently carries a Zacks Rank #2 (Buy).

Expeditors has an expected earnings growth rate of 11.9% for the current year.  The company has an encouraging earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average beat of 13.96%.

FDX's consistent efforts to reward its shareholders through dividend hikes highlight its financial bliss.

The logistics sector is shifting as demand for efficient freight moves across North America. Investors must decide between Forward Air (FWRD +12.12%) and Old Dominion Freight Line (ODFL 0.71%) for their industrial portfolio.

Forward Air specializes in expedited ground transportation and air freight services, often serving time-sensitive shipments. Old Dominion Freight Line is a massive less-than-truckload carrier known for its national network and service reliability. Both companies play vital roles in the transport industry, but they offer very different financial profiles and growth strategies.

The case for Forward AirForward Air operates as a North American freight and logistics provider focusing on expedited ground and air freight services. The company relies heavily on leased capacity providers to move shipments for its customers among industrial stocks across the United States, Canada, and Mexico. Customer concentration adds risk, as the top ten clients account for roughly 26% of total sales and typically hold short-term contracts that can be terminated within 60 days.

In FY 2025, revenue reached nearly $2.5 billion, representing a slight increase of approximately 0.8% over the previous year. The company reported a net loss of approximately $107.8 million, which resulted in a negative net margin of roughly 4.3%. While still a loss, this performance is an improvement over the much larger net loss of close to $817.0 million recorded in fiscal 2024.

As of its December 2025 balance sheet, the debt-to-equity ratio is approximately 19.1x, which measures total debt relative to shareholders’ equity. The current ratio, measuring the ability to pay short-term debts, is roughly 1.2x, while free cash flow was nearly $15.3 million. Note that stock-based compensation accounted for roughly 30.3% of operating cash flow, thereby inflating reported cash generation, since SBC is a non-cash expense added back in the cash flow statement.

Old Dominion Freight Line is a major North American carrier specializing in regional and national less-than-truckload shipping. Its customer base is highly diversified, with the largest single client accounting for only about 4% of total revenue. This high level of diversification helps protect the business from the loss of any individual partner while demand remains tied to the health of the domestic economy.

During FY 2025, the company generated revenue of approximately $5.5 billion, a decrease of roughly 5.5% from the prior year. Despite lower sales, the company remained profitable with a net income of close to $1.0 billion and a net margin of roughly 18.6%. This solid net margin demonstrates the company's ability to maintain high efficiency even when freight volumes experience seasonal or economic softness.

The company maintains a conservative financial profile, with a debt-to-equity ratio of approximately 0.0x as of its December 2025 balance sheet. Its current ratio is roughly 1.4x, and free cash flow for the year was approximately $955.1 million. These figures reflect strong cash generation and a balance sheet in which total liabilities do not exceed equity, enabling continued investment in its service center network.

Risk profile comparisonForward Air faces risks from labor regulations that could reclassify its independent contractors as employees, significantly increasing costs. Its high debt load of over $1.7 billion in senior notes and term loans restricts financial flexibility and requires meeting strict lender covenants. The company also faces stiff competition from established logistics giants like United Parcel Service (UPS 1.06%) and FedEx (FDX 0.57%).

Old Dominion is sensitive to diesel fuel costs and broader economic shifts that can reduce freight volumes and shipment weights. While the company applies fuel surcharges, they often lag price changes and may not cover all costs. The company competes for market share against other large trucking firms such as XPO and Saia.

Valuation comparisonOld Dominion carries a higher forward P/E and P/S ratio than Forward Air, reflecting its superior profitability and debt-free balance sheet.

MetricForward AirOld Dominion Freight LineSector BenchmarkForward P/En/a44.9x30.4xP/S ratio0.1x9.2xSector benchmark uses the SPDR XLI sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.

Which stock would I buy in 2026?Just about every business relies on trucking companies to transport retail goods, commodities, food, equipment, machinery, and more. Here we compare two such companies, Old Dominion and Forward Air. Which one is best for investors in 2026?

Old Dominion focuses on the less-than-truckload industry, which lets multiple shippers pay for space within the same truck. This lets the company diversify its business among many customers rather than relying on just a few big shippers. Demand and revenue have held up relatively well despite economic uncertainty. Of note to investors, however, is its valuation. It has a proven business model, but shares trade at a premium, reflecting this expectation.

Forward Air has faced significant challenges as it tries to improve its profitability and reduce its reliance on debt. It has been downsizing its operations and focusing on its expedited ground network, and these efforts have shown signs of progress. The company continues to post losses. If its restructuring strategy succeeds, however, investors could reap outsize returns.

Some investors have a high risk tolerance and are willing to bet on companies with high growth potential, while others are more risk-averse. In this case, the conservative choice also means paying a premium for shares, which imparts the risk that returns could fall short of expectations. While Old Dominion’s shares may not be a bargain right now, it would be my choice for a long-term investment in a diversified portfolio.

Exelon Corporation (EXC) is rated Buy, supported by a robust balance sheet, a 3.65% dividend yield, and a fully funded $41.3B capital plan. EXC's growth is driven by data center demand, supporting a projected 7.9% annualized rate base growth and 5-7% long-term EPS growth through 2029. My DCF valuation implies a long-term share price of ~$60 and a 1-year price target of $50-52, with limited downside volatility and neutral-to-bullish sentiment.

Electric power transmission pylon miniatures and Exelon Corporation logo are seen in this illustration taken, December 9, 2022. REUTERS/Dado Ruvic/Illustration Purchase Licensing Rights, opens new tab

May 6 (Reuters) - U.S. utility Exelon (EXC.O), opens new tab raised its capital expenditure plan and beat Wall Street estimates for ​first-quarter adjusted profit on Wednesday, driven by higher electricity ‌prices, strong demand and favorable weather.

With tech giants racing to build data centers to support complex artificial intelligence-related tasks, U.S. utilities are stepping up their ​capital expenditure budgets to keep pace with the surge in ​power demand.

The Reuters Power Up newsletter provides everything you need to know about the global energy industry. Sign up here.

Exelon too increased its projected capital expenditures for ⁠the next four years to $41.7 billion, up from $41.3 billion previously.

On the ​post-earnings call, executives said the company and Invenergy had bid on ​two Illinois transmission projects in regional grid operator MISO's Tranche 2.1 process, worth roughly $1.9 billion.

They added that Exelon's data-center pipeline is supported by Federal Energy Regulatory ​Commission-approved transmission security agreements, with roughly $1 billion in associated collateral.

The company ​now expects the value of its transmission assets for rate-setting purposes to grow ‌16% ⁠through 2029, while its overall regulated asset base is expected to increase 7.9%.

Regulated utilities rely on rate-case processes to determine how much customers are charged for electricity, natural gas and services such as ​private water and ​steam.

Meanwhile, net income ⁠at Exelon's Commonwealth Edison unit (ComEd), Illinois' largest electric utility, rose slightly to $310 million.

Earnings at its PECO unit, ​Pennsylvania's largest electric and natural gas utility, rose ​4.5% to $278 ⁠million.

Exelon reported an overall revenue of $7.24 billion for the quarter ended March 31, beating analysts' average estimate of $6.93 billion, according to data compiled ⁠by ​LSEG.

The Chicago-based company's adjusted profit came in at ​91 cents per share, compared with analysts' average estimate of 89 cents, according to data compiled ​by LSEG.

Reporting by Varun Sahay in Bengaluru; Editing by Diti Pujara

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Exelon Corporation (EXC) Q1 2026 Earnings Call Transcript

Alliance to Save Energy presents ComEd with Stars of Energy Efficiency Award for efforts that help low-income customers achieve nearly $63 million in lifetime bill savings

CHICAGO--(BUSINESS WIRE)--ComEd’s Energy Efficiency Program won the Stars of Energy Efficiency award in the Power & Utilities category from the Alliance to Save Energy (ASE). The award highlights ComEd’s efforts to lower energy costs for customers facing high energy burdens. ASE announced the recognition at its 33rd annual gala May 6 in Washington, DC, where five finalists competed in the Power & Utilities category.

Last year, the ComEd EE Program – which offers a variety of services and incentives to help customers manage energy use, lower costs and protect the environment – achieved its most impactful year to date. It offered energy efficiency solutions to low-income customers and communities focused on environmental justice throughout northern Illinois – showing that an equity-driven utility portfolio can significantly enhance affordability and deliver widespread energy savings.

In 2025, ComEd delivered $95 million in incentives to income-eligible customers – about one-third of total incentives for that year. Incentives help defray the costs of energy-efficiency improvements. These efforts resulted in an estimated $62.9 million in lifetime bill savings for participating households by lowering energy use, improving heating and cooling performance, and replacing inefficient appliances. Some programs offer no-cost delivery, which eliminates upfront expenses to help customers further reduce monthly bills.

“We are grateful to be recognized by an organization that is a leading international authority on energy efficiency,” said Gil Quiniones, President & CEO at ComEd. “ComEd boasts one of the nation’s largest EE programs, and for years we have been helping customers reduce consumption and costs. Since we launched the EE program in 2008, we saved customers enough electricity to power 12 million ComEd homes for one year, while taking over $13 billion off our customers’ bills and avoiding 77 billion pounds of carbon dioxide from entering the atmosphere.”

These environmental savings are the equivalent of planting 38 million acres of trees or removing nearly 9 million cars from the road for one year.

“There has never been a more important time to embrace energy efficiency,” Alliance president Paula Glover said. “With the United States set to shatter records for electricity demand this and next year, and energy being increasingly unaffordable for millions of Americans, it’s time to get serious about saving energy and embrace efficiency as the fastest, lowest cost way to address what is now an energy crisis.”

ASE’s award is the latest recognition for the ComEd EE Program. In 2024, ComEd received the ENERGY STAR® Partner of the Year—Sustained Excellence Award, the highest honor from the U.S. Environmental Protection Agency, for the 12th year in a row. This award is given to select organizations chosen from thousands of ENERGY STAR partners, honoring those whose programs show measurable energy savings and help mitigate climate change.

Company Efforts to Maintain Lowest Possible Energy Bills

The ComEd Energy Efficiency Program is one of several options that the energy company offers to help address rising energy supply costs – driven by increasingly extreme temperatures and supply-demand imbalances which account for nearly half of customers' energy bills – that continue to impact families and businesses. ComEd does not set supply prices, which are passed on without profit to ComEd.

ComEd’s energy efficiency programs reflect the energy company’s dedication to The Exelon Promise. This customer-focused strategy from parent company Exelon aims to provide quick relief, strong protections and lasting solutions to rising energy costs. This includes:

the January launch of the Low-Income Discount (LID) program, which offers qualifying income-eligible ComEd customers percentage-based discounts on their electric bills based on income level up to 300 percent of the federal poverty level. These discounts are intended to reduce energy costs to 3 to 6 percent of total household income; the January launch of ComEd’s Delivery Time-of-Day pricing rate, which helps households save money by shifting energy use to times when electricity prices are lower and demand is reduced; last year’s launch of the $10 million Customer Relief Fund, which provided bill relief to more than 30,000 ComEd customers. Later this year, ComEd plans an extension of the program, which launched in collaboration with its parent company, Exelon; and ongoing support for legislation that resulted in customers receiving bill credits of over $803 million – or approximately $13 a month depending on usage – over each of the first five months of this year. ComEd residential customers can find energy efficiency services, incentives, and rebates at ComEd.com/HomeSavings, while business offerings are listed at ComEd.com/BizSavings.

To help customers sort through the full range of energy-efficiency and bill-assistance programs, ComEd offers its Smart Assistance Manager at ComEd.com/SAM. This online resource asks customers a few questions, then sorts through all the options ComEd has available to recommend personalized options. SAM will also provide links for more information and to apply.

About ComEd

ComEd is a unit of Chicago-based Exelon Corporation (NASDAQ: EXC), a Fortune 200 company and one of the nation’s largest utility companies, serving almost 11 million customers through six fully regulated transmission and distribution utilities — Atlantic City Electric, BGE, ComEd, Delmarva Power, PECO, and Pepco. ComEd powers the lives of more than 4 million customers across northern Illinois, or 70 percent of the state's population. For more information visit ComEd.com, and connect with the company on Facebook, Instagram, LinkedIn, X, and YouTube.

About the Alliance

The Alliance to Save Energy is a leading bipartisan, fuel-neutral nonprofit coalition dedicated to advancing energy efficiency as the fastest, most cost-effective way to meet growing energy demand and strengthen economic competitiveness. Convening leaders from industry, government, and the nonprofit sector, the Alliance drives policy, informs regulatory frameworks, and expands awareness of energy efficiency’s role in lowering costs and improving energy resilience. Since 1977, the Alliance has worked to champion energy efficiency as a foundational energy resource that reduces demand, avoids costly infrastructure, and delivers measurable, system-wide impact.

CHICAGO--(BUSINESS WIRE)--Exelon today announced that approximately $13 million will be returned to natural gas customers in the form of refunds and lower long-term costs, following the successful resolution of a multi-year federal pipeline rate case that would have increased natural gas delivery costs for customers. Exelon's advocacy also helped avoid more than $12 million annually in additional costs that would have otherwise been passed on to customers. Customers of three Exelon operating co.

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Ferrero’s Franklin Park facility saves $777,000 in annual energy costs through ComEd Energy Efficiency (EE) Program

CHICAGO--(BUSINESS WIRE)--ComEd and Ferrero today celebrated significant energy savings, sustainability achievements and partnership through the award-winning ComEd Energy Efficiency (EE) Program. Through energy-saving projects and operational improvements at its Franklin Park, Ill. manufacturing facility that began in 2020, Ferrero has saved nearly 8.5 million kilowatt-hours (kWh) of electricity, resulting in annual energy-bill savings of $777,000. These energy savings also have an equal environmental impact to planting more than 2,800 acres of trees or removing more than 680 gas-powered cars from the road for one year.

“Ferrero is a great example of the value of making energy efficiency an ongoing business priority,” said Gil Quiniones, ComEd’s President and CEO. “ComEd is eager to work with local businesses to establish long-term operational improvements and support their financial and sustainability goals.”

In addition to savings from reduced energy use, Ferrero received $366,000 in incentives from ComEd for completing energy saving projects such as comprehensive lighting and temperature control enhancements. These incentives help offset the costs of EE improvements, which helps Ferrero manage overall operational costs. Ferrero’s participation in the ComEd EE Program reflects a collaborative, long-term commitment to energy management and sustainability.

“As a manufacturer and an employer in this community, we take our responsibility seriously,” said Robert Po, Plant Manager of Ferrero’s Franklin Park facility. “Improving energy performance at Franklin Park helps reduce emissions while also strengthening the efficiency and resilience of our operations.”

Ferrero took advantage of a key component of the ComEd EE Program for commercial customers, the Strategic Energy Management (SEM) offering. Through SEM, Ferrero received a free assessment of its facility equipment and operations to identify energy-saving opportunities. This was followed by employee training to embed smart energy practices into day-to-day operations.

“Congratulations to Ferrero for this well-deserved recognition. As a best-in-class manufacturer, Ferrero is leading the way on energy management and sustainability, while producing iconic brands beloved by families across the globe,” said Mark Denzler, president & CEO of the Illinois Manufacturers’ Association. “We applaud ComEd for their commitment to work with manufacturers across Illinois to reduce their environmental impact and lower energy costs, helping them achieve operational excellence and continued community investment.”

Since its launch in 2008, the ComEd EE Program has saved customers a total of over $13 billion on their energy bills and reduced electricity consumption by nearly 112 million megawatt-hours (MWh). These savings are comparable to preventing nearly 84 billion pounds of carbon emissions that contribute to climate change, which is the equivalent of planting 38 million acres of trees.

"On behalf of the Village of Franklin Park, I join ComEd in applauding Ferrero's efforts in energy efficiency and sustainability which will have an important benefit for our town," said Irene Avitia, Trustee for the Village of Franklin Park. "By implementing lighting and facility improvements, Ferrero was able to help reduce emissions in our community. I congratulate them on their continued commitment to utilizing sustainable practices that will help protect our planet."

Business customers that use more than 5,000 MWh of electricity annually can take advantage of the ComEd EE Program’s SEM offering by visiting ComEd.com/SEM. All customers can explore ComEd’s full range of energy management programs at ComEd.com/WaysToSave.

About ComEd

ComEd is a unit of Chicago-based Exelon Corporation (NASDAQ: EXC), a Fortune 200 company and one of the nation’s largest utility companies, serving more than 10.7 million electricity and natural gas customers. ComEd powers the lives of more than 4.2 million customers across northern Illinois, or 70 percent of the state’s population. For more information, visit ComEd.com, and connect with the company on Facebook, Instagram, LinkedIn, X and YouTube.

About Ferrero

Ferrero began its journey in the small town of Alba in Piedmont, Italy, in 1946. Today, it is one of the world’s largest sweet-packaged food companies, with over 35 iconic brands sold in more than 170 countries. The Ferrero Group brings joy to people around the world with much-loved treats and snacks, including Nutella®, Kinder®, Tic Tac® and Ferrero Rocher®. More than 50,000 employees are passionate about helping people celebrate life's special moments. The Ferrero Group’s family culture, now in its third generation, is based on dedication to quality and excellence, heritage, and a commitment to the planet and communities in which we operate.

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CHICAGO--(BUSINESS WIRE)--The Exelon Foundation has added two new companies to the Climate Change Investment Initiative (2c2i) portfolio—Blackcurrant AI and Natrion—each tackling different, but critical, energy innovations and positioned to scale as demand for more efficient, lower-cost energy solutions grows.

Now in its seventh year, 2c2i is continuing to invest in early-stage companies building practical solutions with both strong commercial potential and the ability to deliver meaningful climate and community impact. The program focuses on companies doing work that will benefit one or more of Exelon’s six major markets—Atlantic City, Baltimore, Chicago, Philadelphia, Washington, D.C., and Wilmington—and investing in solutions that:

Reduce greenhouse gas emissions Boost the resiliency of urban infrastructure (e.g., the power grid, transportation systems, buildings, vacant land) against flood, stormwater and rising temperatures Help communities adapt to climate change Advance local sustainability goals “Exelon is excited to continue growing the 2c2i portfolio with the addition of these two companies that have developed innovative climate solutions that will benefit the communities we serve,” said Sunny Elebua, Exelon’s Chief Strategy and Sustainability Officer. “Helping companies scale up and bring new tools and technologies to market is critical as we work to lead the energy transformation while keeping customer bills as low as possible.”

Reimagining battery performance for electrification: Natrion

Natrion is a growing company that is developing advanced battery components designed to improve energy storage system safety, cost efficiency, and longevity.

By improving battery performance and lowering system costs, Natrion’s technology has the potential to enhance the affordability and return on investment of energy storage and electrification projects — helping make solutions like solar, electric mobility, and distributed energy systems more economically viable. Over time, these efficiencies can support lower-cost energy solutions for customers while accelerating adoption of cleaner technologies.

With a growing presence in the Chicago region, Natrion’s work supports increased solar deployment and broader adoption of electrified technologies — positioning the company to benefit from accelerating demand for safe, cost-effective battery innovation.

Modernizing energy decision-making: Blackcurrant AI

Blackcurrant AI, based in Chicago and an NVIDIA Inception company, is building a platform to simplify decisions for large energy users, who are increasingly faced with fragmented data, slow procurement processes, and complex financial tradeoffs. Its software enables companies to model and evaluate speed-to-power for AI infrastructure — from site selection and rate negotiation to fuel and equipment procurement.

As AI workloads reshape grid planning, platforms like Blackcurrant are increasingly critical and well positioned to grow. Operators are racing to stand up gigawatts of AI capacity while distinguishing viable sites from grid liabilities, and they need scalable software tools to move efficiently and make cost-effective decisions.

Applications now open

The Exelon Foundation is now accepting new applications for investment. Startups developing innovative clean energy and climate solutions are encouraged to apply through September 2026.

More information about the application and previous investees is available at exeloncorp.com/2c2i.

Exelon remains committed to investing in clean energy and sustainability-focused groups with a $20 million commitment to support innovative startups. 2c2i continues to pave the way for groundbreaking technologies that will help mitigate climate change and create a sustainable future for all.

The Exelon Foundation would like to recognize law firm sponsor, Katten, which is providing in-kind legal services in support of the 2c2i program climate investments.

ComEd today announced the launch of the ComEd Breweries Pilot, a new energy efficiency program designed to help breweries, distillers, and wineries reduce ener

A month has gone by since the last earnings report for Exelon (EXC - Free Report) . Shares have added about 0.5% in that time frame, underperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is Exelon due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent drivers for Exelon Corporation before we dive into how investors and analysts have reacted as of late.

Exelon Q1 Earnings Beat Estimates, Sales Increase Y/Y, Capex Plan Up

Exelon Corporation’s first-quarter 2026 earnings of 91 cents per share surpassed the Zacks Consensus Estimate of 89 cents by 2.25%. The bottom line decreased 1.09% from the year-ago level of 92 cents.

 On a GAAP basis, earnings were 90 cents per share, remaining unchanged from the year-ago quarter.

Total Revenues of ExelonExelon reported revenues of $7.24 billion, which surpassed the Zacks Consensus Estimate of $6.91 billion by 4.76%. The top line was 7.86% up from the year-ago quarter’s figure of $6.71 billion.

Highlights of Exelon’s Q1 ReleaseIn the quarter reported, the number of customers served by the company increased 1.09% from the year-ago quarter. Total electric deliveries touched 21,084 gigawatt hours in the reported quarter and were down 1.08%, primarily due to lower volumes sold across all customer groups.

Due to revenue decoupling, Exelon’s distribution earnings were unaffected by actual weather conditions or customer-usage patterns.

Exelon's total operating expenses increased nearly 8.89% year over year to $5.63 billion. The rise was primarily driven by higher purchased-power and fuel costs, increased operation and maintenance expenses, and higher taxes other than income taxes.

Operating income amounted to $1.61 billion, up 4.49% year over year.

Interest expenses totaled $555 million, up nearly 8.82% from the year-ago quarter’s level.

In the reported quarter, adjusted net income was $919 million, up 1.21% from $908 million in the year-ago quarter.

Segmental Details of EXCCommonwealth Edison Company (ComEd): Adjusted earnings in the first quarter were $310 million, down 4.62% from the year-ago quarter. The year-over-year decrease was primarily due to distribution timing, partly offset by a rise in AFUDC and rate-base investments that improved reliability.

PECO Energy Company (PECO): Adjusted operating earnings for the reported quarter increased 4.91% year over year to $278 million, primarily driven by the absence of customer surcharge credits, favorable weather and a decline in income taxes from tax repairs, partly offset by higher depreciation and interest expenses.

Baltimore Gas and Electric Company (BGE): Adjusted earnings for the quarter increased 14.62% year over year to $298 million, driven by improved distribution rates, partially offset by higher credit loss expense.

Pepco Holdings LLC (PHI): Adjusted operating earnings for the quarter decreased 7.22% year over year to $180 million due to adverse impacts from the Pepco Maryland multi-year plan reconciliation and higher depreciation expense. These negatives were partially offset by the implementation of new distribution and transmission rates.

EXC’s Financial HighlightsAs of March 31, 2026, cash and cash equivalents totaled $713 million compared with $626 million as of Dec. 31, 2025.

As of March 31, 2026, long-term debt was $47.86 billion compared with $47.41 billion as of Dec. 31, 2025.

Cash provided by operating activities in the first quarter of 2026 totaled $1.72 billion compared with $1.2 billion in the year-ago period.

Guidance of ExelonExelon expects earnings in the range of $2.81-$2.91 per share for 2026. The Zacks Consensus Estimate for the same is pinned at $2.85, which is near the midpoint of the company’s guided range.

 The company expects its adjusted (non-GAAP) operating EPS compounded annual growth near the top end of 5-7% through 2029.

Exelon now plans to invest $41.7 billion in its energy infrastructure during 2026-2029, up from its previous guidance of $41.3 billion. The planned capital expenditure is expected to support 7.9% rate-base growth.

How Have Estimates Been Moving Since Then?Investors have witnessed a upward trend in estimates revision over the past two months.

VGM ScoresCurrently, Exelon has a average Growth Score of C, a grade with the same score on the momentum front. Charting a somewhat similar path, the stock was allocated a score of B on the value side, putting it in the top 40% for this investment strategy.

Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook Exelon has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerExelon is part of the Zacks Utility - Electric Power industry. Over the past month, PSEG (PEG - Free Report) , a stock from the same industry, has gained 0.3%. The company reported its results for the quarter ended March 2026 more than a month ago.

PSEG reported revenues of $3.85 billion in the last reported quarter, representing a year-over-year change of +19.4%. EPS of $1.55 for the same period compares with $1.43 a year ago.

For the current quarter, PSEG is expected to post earnings of $0.81 per share, indicating a change of +5.2% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.6% over the last 30 days.

PSEG has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of C.

Atlassian (TEAM - Free Report) closed the last trading session at $85.42, gaining 19.4% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $127.92 indicates a 49.8% upside potential.

The mean estimate comprises 25 short-term price targets with a standard deviation of $40. While the lowest estimate of $95.00 indicates an 11.2% increase from the current price level, the most optimistic analyst expects the stock to surge 245.4% to reach $295.00. It's very important to note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.

While the consensus price target is highly sought after by investors, the ability and unbiasedness of analysts in setting price targets have long been questionable. And investors making investment decisions solely based on this tool would arguably do themselves a disservice.

However, an impressive consensus price target is not the only factor that indicates a potential upside in TEAM. This view is strengthened by the agreement among analysts that the company will report better earnings than what they estimated earlier. Though a positive trend in earnings estimate revisions doesn't give any idea as to how much the stock could surge, it has proven effective in predicting an upside.

Price, Consensus and EPS Surprise

Here's What You Should Know About Analysts' Price TargetsAccording to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that price targets set by several analysts, irrespective of the extent of agreement, rarely indicate where the price of a stock could actually be heading.

While Wall Street analysts have deep knowledge of a company's fundamentals and the sensitivity of its business to economic and industry issues, many of them tend to set overly optimistic price targets. Are you wondering why?

They usually do that to drum up interest in shares of companies that their firms either have existing business relationships with or are looking to be associated with. In other words, business incentives of firms covering a stock often result in inflated price targets set by analysts.

However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces.

That said, while investors should not entirely ignore price targets, making an investment decision solely based on them could lead to disappointing ROI. So, price targets should always be treated with a high degree of skepticism.

Why TEAM Could Witness a Solid UpsideAnalysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason to expect an upside in the stock. That's because empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For the current year, nine estimates have moved higher over the last 30 days compared to no negative revision. As a result, the Zacks Consensus Estimate has increased 2055.6%.

Moreover, TEAM currently has a Zacks Rank #1 (Strong Buy), which means it is in the top 5% of more than 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Therefore, while the consensus price target may not be a reliable indicator of how much TEAM could gain, the direction of price movement it implies does appear to be a good guide.

Atlassian Corporation (TEAM) Presents at Jefferies Software, Internet & AI Conference Transcript

CHICAGO--(BUSINESS WIRE)--The hunt for the next generation of exceptional engineers is on as Atlassian Williams F1 Team and Komatsu launch the third edition of the Komatsu Williams Engineering Academy.

The hunt for the next generation of exceptional engineers is on as Atlassian Williams F1 Team and Komatsu launch the third edition of the Komatsu Williams Engineering Academy.

Share The global program aims to recruit the world’s most talented young engineers, and supercharge their career ambitions through e-learning, visits to cutting edge manufacturing facilities, and mentorship from experts at industry-leading machinery manufacturer Komatsu and iconic F1 team Williams.

From 2026, the Academy will be run in collaboration with Formula Student, a leading engineering competition for university students, and with the support of Formula SAE, its sister competition for students around the world. Academy members will be selected from the competition’s finalist pools, both at Silverstone in the UK and virtually through global assessment centers.

The Komatsu Williams Engineering Academy is a staple of Williams’ grid-leading Early Careers offering and is entering its third year. The team is committed to investing in the talent of the future through their industrial placements, graduate programs, and work experience. Today, 12 percent of all staff members are from Early Careers. Komatsu supports community-based programs around the world designed to attract and train new generations of engineering and technical talent.

Formula Student UK finalists can apply for the academy from June 8th. All other Formula Student and FSAE competitors should stay tuned for virtual applications later this year.

Ann Perrins, Chief People Officer, Atlassian Williams F1 Team:
“Here at Atlassian Williams F1 Team, we know that our success depends on the talent of the future. Programmes like the Komatsu Williams Engineering Academy give us a unique opportunity to identify talent and accelerate their rise whether that’s in motorsport, industrial engineering, or machinery. We look forward to meeting the finalists at Silverstone and virtually later this year.”

Takuya Imayoshi, President and CEO, Komatsu
“Over the past 105 years, Komatsu has prided itself on developing the technical expertise of our people around the world. Our partnership with Atlassian Williams F1 Team is designed to attract and develop the next generation of diverse technical talent as we continue growing and delivering innovative solutions for customers around the world. The Komatsu Williams Engineering Academy is a great opportunity for young engineers to fast track their career – we look forward to seeing this amazing talent on display.”

Dan Jones, Chief Judge, IMechE Formula Student:
“Since its inception, the goal of Formula Student has been to provide opportunities for young engineers to develop their skills and gain experience to better prepare them for their careers in industry. For many competitors, including myself, this has helped in achieving their dream of working in F1. This collaboration with the Komatsu Williams Engineering Academy aligns perfectly with the competition's goal and is an amazing chance for our student competitors to take an invaluable next step toward working at the highest levels of motorsport. Best of luck to all applicants!”

About Komatsu
Komatsu is an industry-leading manufacturer and supplier of equipment, technologies and services for the construction, materials handling, mining, industrial and forestry markets. For over a century, Komatsu equipment and services have been used by companies worldwide to develop modern infrastructure, extract fundamental minerals, maintain forests, and create technology and consumer products. The company’s global service and distributor networks support customer operations, tapping into the power of data and technology to enhance safety and productivity while optimising performance.
To learn more, visit www.komatsu.jp/en/williamsracing

About Atlassian Williams F1 Team
Atlassian Williams F1 Team is one of the world’s most iconic Formula 1 teams. Founded in 1977 by Sir Frank Williams and Sir Patrick Head, the team has won nine Constructors’ World Championships, seven Drivers’ World Championships and 114 Grand Prix races – making it one of the three most-successful teams in history. Based in Grove, Oxfordshire and competing at the pinnacle of motorsport, Williams continues to build for the future of Formula 1 through world-class engineering, racing excellence and a commitment to bringing fans closer to the sport than ever before.

Atlassian (TEAM 1.64%) developed a suite of software products designed to foster collaboration and productivity for its enterprise customers. There is Jira, which helps software development teams manage their projects, and then there is Confluence, which is a digital town square where employees can discuss work and share operational updates.

Atlassian stock was trading at over $300 at the beginning of 2025, until Wall Street formed the view that artificial intelligence (AI) was about to decimate the software industry. As a result, by April this year, the stock had fallen to as low as $57.

That's when I got interested, and I added it to my portfolio at around $58. I don't have a crystal ball; I simply felt Wall Street was overreacting to the potential threat of AI, especially because Atlassian was successfully using it to make more money. The stock has since rocketed 83% higher and closed at $107 on Friday, May 29. Here's why I think significantly more upside is ahead.

Image source: Getty Images.

AI is actually helping Atlassian's business Wall Street thought AI was a threat to software companies for two reasons. First, analysts thought tools such as Anthropic's Claude Code would allow businesses to develop their own versions of products such as Jira and Confluence, making companies like Atlassian redundant. Second, if AI resulted in widespread job losses, the Street felt software companies with seat-based revenue models would lose a chunk of their income.

To counter the first issue, Atlassian doesn't just sell software. It provides the security, infrastructure, and technical support required to deploy Jira and Confluence successfully. These things cost a ton of money to set up and maintain, which is only profitable at scale. In other words, the average business might be able to clone Jira and Confluence using an AI coding assistant, but preventing data breaches and maintaining uptime is a whole other challenge.

Plus, Atlassian developed its own AI platform called Rovo, which comes with an entire suite of features to enhance the capabilities of Jira and Confluence. It includes an advanced search tool that can instantly locate information from across the organization, even if it isn't stored within the Atlassian ecosystem. Rovo can also serve as a coding assistant to help software developers accelerate their workflows, which is the ultimate addition to a product like Jira.

More than 350,000 businesses worldwide use Atlassian, so the company has a treasure trove of data with which to improve its AI models. This advantage makes Rovo more useful than most generic AI assistants, which further entrenches the Atlassian software ecosystem deeper into each organization.

Now, on to Wall Street's second concern.

A surprise acceleration in revenue growth Atlassian generated $1.8 billion in total revenue during its fiscal 2026 third quarter (ended March 31), which blew away Wall Street's estimate of $1.7 billion. It was a 32% increase from the year-ago period, marking a sharp acceleration from the 23% growth the company delivered three months earlier in the second quarter. That alone squashed concerns that AI was causing a loss in revenue for software companies.

In fact, Atlassian said annual recurring revenue (ARR) from Rovo customers grew at twice the pace of ARR from non-Rovo customers. So, again, AI is proving to be a massive tailwind for this company, not a threat.

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To ease concerns even further, Atlassian launched a new pricing option for customers on May 6. It's called Flex, and it allows enterprises to set a budget they can allocate to any Atlassian products during their contract period, without having to negotiate new terms. The company calls it a value-based pricing model, because customers are paying based on what they use, not how many seats, or users, they might have within a specific time frame.

Flex will make it significantly easier for new customers to get up and running with Atlassian, which could drive further momentum at the top line. Cybersecurity giant CrowdStrike launched a similar flexible subscription option in 2023, and it continues to fuel an acceleration in the company's revenue growth to this day.

Why Atlassian still has room to run Despite the blistering gains in Atlassian stock since April, it's still trading at a price-to-sales (P/S) ratio of just 4.5 -- far below its three-year average of 10.7, and even further below last year's peak of 17.5.

TEAM PS Ratio data by YCharts

Atlassian stock would have to soar by 137% from last Friday's close just to match its three-year average P/S ratio, which I think is entirely possible considering the company's accelerating revenue growth. That would result in a stock price of $255.

But I intend to hold the stock beyond that point, because I think the company is entering an era of faster growth and innovation as it capitalizes on the AI opportunity over the next few years.

Atlassian Corporation (TEAM) Presents at Bank of America 2026 Global Technology Conference Transcript

New Rovo agents and Maestro Program help organizations reduce complexity and stop strategic drift before it compounds

BOSTON--(BUSINESS WIRE)--Tempo Software, a leader in adaptive portfolio management, is expanding its AI roadmap with new capabilities in the Atlassian Marketplace, including four new Rovo agents and the introduction of the Tempo Maestro Program. Introduced following Team ’26, the new offerings are designed to help organizations streamline execution, reduce operational complexity, and better govern work in an increasingly AI-driven enterprise environment.

"Our expanding Rovo portfolio is designed to take on the manual work that slows teams down and creates operational blind spots, so people can focus on higher-value execution," said Tempo CPO Kevin Nanney.

Share “We’re entering a new era of execution, where AI and cloud are reshaping how organizations plan and deliver work, but speed without alignment creates noise,” said Vic Chynoweth, CEO of Tempo. “As AI adoption accelerates, organizations are looking for smarter ways to connect strategy to execution, surface problems before they compound, and help teams move faster with greater clarity.”

Expanding AI Execution: New Rovo Agents

Building on its AI roadmap, Tempo is expanding its Rovo portfolio, with four new agents designed to streamline complex enterprise workflows:

Structure Creation and Configuration Agent: Simplifies the setup of portfolio hierarchies using natural language Reporting Agents – Three New Business Intelligence (BI) Connectors: Automates data source creation for advanced analytics for Tableau, Power BI, and Data Studio “Most organizations are still figuring out how to operationalize AI in a way that meaningfully improves execution,” said Kevin Nanney, Chief Product Officer at Tempo. “Our expanding Rovo portfolio is designed to take on the manual work that slows teams down and creates operational blind spots, so people can focus on higher-value execution.”

Tempo’s new Rovo agents are directly integrated into its apps via Atlassian's Forge platform, replacing individual Marketplace downloads. This embeds AI capabilities into core workflows such as Structure, Timesheets, Custom Charts, and BI Connectors to create a secure, seamless experience. Jira users with active Rovo subscriptions can access the new integrations now.

Orchestrating Mastery: The Maestro Program

To support the expert practitioners driving these strategic transformations, Tempo is also launching the Tempo Maestro Program – an initiative that recognizes practitioners who are shaping how modern enterprises operate.

The program is built on three pillars:

Product Co-Innovation: Enterprise-scale expertise and high-fidelity feedback that sharpen how Tempo builds its solutions Thought Leadership: Proven frameworks using Tempo for addressing high-stakes business challenges at scale Ecosystem Leadership: Deep cross-platform fluency and a track record of solving complex architectural problems “The most impactful innovation doesn’t happen in isolation – it’s shaped by practitioners solving real-world complexity every day,” said Marie Michéle Caron, Chief Revenue Officer at Tempo. “The Maestro Program creates a more intentional way to recognize those leaders and accelerate how we learn, co-innovate, and solve at scale.”

The launches build on Tempo’s continued leadership within the Atlassian ecosystem, including being named a 2025–2026 Atlassian Partner of the Year in Cloud Transformation Apps at Team ’26.

About Tempo Software

Tempo Software is a leading provider of Strategic Portfolio Management (SPM) solutions. Its modular platform extends Jira with its #1 add-ons for time tracking, capacity management, financial oversight, and portfolio management – connecting strategy, investment, people, and delivery in a unified system. Trusted by 30,000+ customers and 350+ global solution partners, Tempo is a leading partner in the Atlassian ecosystem. Discover more at Tempo.io.

Key Takeaways Palantir Technologies is monetizing AI via AIP as demand grows for production-scale deployments.Block uses AI across Square and Cash App to boost engagement, risk management and efficiency.Atlassian and DocuSign are expanding AI-powered platforms to automate workflows and improve productivity. The artificial intelligence (AI) boom has been one of the biggest drivers of stock market gains over the past two years. Much of the excitement has centered on semiconductor companies that supply the chips powering AI models, data centers and next-generation computing infrastructure. Investors have poured billions into AI hardware stocks, helping many chipmakers achieve massive valuation gains and market-beating returns.

However, as the AI investment cycle matures, attention is gradually shifting from the infrastructure layer to the software companies that monetize AI technologies. While chips remain essential, the real long-term value creation may come from businesses that use AI to improve productivity, automate workflows and deliver measurable returns to customers.

This shift is expected to bring the spotlight toward software companies, including Palantir Technologies, Inc. (PLTR - Free Report) , Block, Inc. (XYZ - Free Report) , Atlassian Corporation (TEAM - Free Report) and DocuSign, Inc. (DOCU - Free Report) , which can effectively monetize AI across large customer bases. History shows that once a new technology platform is established, software companies often capture a significant share of the economic benefits.

This transition creates an attractive opportunity for investors. The aforementioned software stocks have lagged the spectacular gains seen in AI-focused hardware names, despite delivering strong revenue growth, expanding profit margins and increasing adoption of AI-powered products. As enterprises move beyond building AI infrastructure and focus on practical applications, software providers could emerge as the next major beneficiaries of the AI revolution.

The independent market research firm Gartner predicts that worldwide IT spending on software will increase 15.1% year over year to $1.44 trillion in 2026. The projected surge in software spending will benefit the companies in this space.

Palantir Technologies, Block, Atlassian and DocuSign stand out as four software stocks that could deliver impressive gains as hardware mania fades and software-driven AI adoption accelerates. These stocks have a favorable combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or #2 (Buy), offering solid investment opportunities.

Our PicksBlock continues to strengthen its position in digital payments and financial services through its Square and Cash App ecosystems. AI is helping Block improve customer engagement, enhance risk management and deliver more personalized financial services. The company is also leveraging AI to streamline merchant operations and improve payment processing efficiency. Cash App continues to attract active users, while merchant adoption remains strong across businesses of all sizes.

As digital payments and financial automation continue to expand globally, Block has multiple growth drivers beyond traditional payment processing. Its ability to combine AI capabilities with a large financial ecosystem positions the company to benefit from increasing demand for intelligent financial solutions.

In the first quarter of 2026, Block’s revenues and adjusted earnings per share (EPS) increased 4.9% and 51.8%, respectively, on a year-over-year basis. The Zacks Consensus Estimate for 2026 revenues and EPS suggests a year-over-year increase of 8.3% and 62.9%, respectively. The consensus mark for 2026 earnings has been revised upward over the past 30 days.

Shares of XYZ have risen 3.5% over the past year, underperforming the broader Zacks Computer and Technology’s gain of 43.6%. Currently, Block sports a Zacks Rank #1 and has a Growth Score of A. You can see the complete list of today’s Zacks #1 Rank stocks here.

Atlassian’s latest focus on adding generative AI features to some of its collaboration software is likely to drive the top line over the long run. The company has collaborated with OpenAI to enhance the capabilities of its Confluence, Jira Service Management and other programs with generative AI features. The company is offering generative AI-enabled features under the Atlassian Intelligence brand, which is designed to help employees be more efficient while users remain in control of data.

Atlassian’s AI-powered capabilities are seeing rapid adoption. The company’s AI-powered Rovo platform and automation tools are driving significant growth in premium and enterprise editions, demonstrating high demand for AI-enhanced workflows. In the third quarter of fiscal 2026, Atlassian continued to add millions of monthly active users to Rovo and saw Rovo customers growing their ARR two times faster than customers not using Rovo. Investments in multi-model AI strategies and advanced search capabilities further differentiate Atlassian’s offerings in an increasingly competitive landscape.

In the third quarter of fiscal 2026, Atlassian’s revenues and non-GAAP EPS surged 31.7% and 80.4%, respectively, on a year-over-year basis. The Zacks Consensus Estimate for fiscal 2026 revenues and EPS suggests a year-over-year increase of 23.6% and 48.9%, respectively. The consensus mark for fiscal 2026 earnings has been revised upward over the past 60 days.

Currently, Atlassian sports a Zacks Rank #1 and has a Growth Score of B. TEAM shares have fallen 53.7% over the past year.

Palantir Technologies has become one of the biggest software beneficiaries of the AI revolution. The company’s Artificial Intelligence Platform enables governments and enterprises to deploy AI models across real-world operations, helping organizations improve decision-making, automate workflows and increase efficiency.

Palantir Technologies' commercial business has been a major growth engine, driven by rising demand for AI-powered solutions. The company has consistently reported strong customer additions and expanding contract values as businesses move from AI experimentation to production-scale deployments. Unlike many software firms still developing AI strategies, Palantir Technologies is already generating meaningful revenues from AI adoption.

In the first quarter of 2026, Palantir Technologies’ revenues and non-GAAP EPS surged 85% and 154%, respectively, on a year-over-year basis. The Zacks Consensus Estimate for 2026 revenues and EPS suggests a year-over-year increase of 71.8% and 98.7%, respectively. The consensus mark for 2026 earnings has been revised upward over the past 60 days.

Currently, Palantir Technologies carries a Zacks Rank #2 and has a Growth Score of A. PLTR shares have gained 2.6% over the past year.

DocuSign is moving far beyond electronic signatures. The company is transforming itself into a comprehensive agreement management platform powered by artificial intelligence. Its Intelligent Agreement Management offering helps organizations analyze contracts, identify risks and automate workflows throughout the agreement lifecycle.

Businesses generate enormous volumes of contracts and legal documents, creating a significant opportunity for AI-driven automation. DocuSign’s large customer base provides a strong foundation for cross-selling these advanced solutions. The company has also delivered improved profitability and steady subscription revenue growth. As enterprises focus on reducing manual processes and increasing operational efficiency, DocuSign’s AI-enhanced platform could become a critical business tool, supporting long-term growth.

In the first quarter of fiscal 2027, DocuSign’s revenues and non-GAAP EPS grew 9% and 21%, respectively, on a year-over-year basis. The Zacks Consensus Estimate for fiscal 2027 revenues and EPS suggests a year-over-year increase of 8.4% and 15.4%, respectively. The consensus mark for fiscal 2027 earnings has been revised upward over the past 60 days.

Currently, DocuSign carries a Zacks Rank #2 and has a Growth Score of A. Shares of DOCU have plunged 39.8% over the past year.