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Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Badger Meter To Contact Him Directly To Discuss Their Options

If you purchased or acquired securities in Badger Meter between April 18, 2024 and April 16, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

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New York, New York--(Newsfile Corp. - June 24, 2026) - Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Badger Meter, Inc. ("Badger Meter" or the "Company") (NYSE: BMI) and reminds investors of the August 3, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See www.faruqilaw.com.

As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that Badger Meter's strong financial results reflected "ongoing favorable industry trends," "secular growth drivers," and "solid operating execution." They likewise touted "strong" demand and said they were seeing "robust order pacing and a strong bid pipeline that positions us well for continued sales and earnings growth," and that Badger Meter possessed a "long runway" for growth.

The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.

Faruqi & Faruqi, LLP also encourages anyone with information regarding Badger Meter's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.

To learn more about the Badger Meter class action, go to www.faruqilaw.com/BMI or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310).

Follow us for updates on LinkedIn, on X, or on Facebook.

Frequently Asked Questions (FAQ) for Investors Regarding the Badger Meter Securities Class Action Lawsuit:

What is the Badger Meter securities fraud lawsuit about?

The Badger Meter securities fraud lawsuit is a federal securities class action alleging that Badger Meter, Inc. (NYSE: BMI) and its executives made false and misleading statements to investors by touting "strong" demand, a "robust" order pipeline, and a "long runway" for growth while concealing that the Company's financial results were not sustainable. As the truth emerged through a series of disclosures — including disappointing Q2 2025 results and a sequential sales decline forecast on July 22, 2025, missed revenue expectations and a 6% sequential decline in utility water sales on January 28, 2026, and Q1 2026 earnings that missed consensus estimates by $0.26 per share with revenue missing by $28.58 million on April 17, 2026 — BMI's stock price dropped sharply, causing significant losses for investors.

Who may be eligible to participate in the Badger Meter class action lawsuit?

Investors who purchased or acquired Badger Meter (BMI) stock between April 18, 2024 and April 16, 2026 — the Class Period — and suffered financial losses may be eligible to participate in the Badger Meter securities class action. Participation as a class member does not require taking any affirmative legal action; eligible investors may recover losses simply by remaining members of the class. Whistleblowers, former Badger Meter employees, and others with relevant information about the Company's conduct are also encouraged to come forward.

What is a lead plaintiff, and how can I seek appointment in the Badger Meter lawsuit?

A lead plaintiff in the Badger Meter class action is a court-appointed investor — typically the one with the largest financial interest in the case — who directs and oversees the litigation on behalf of all class members. Any Badger Meter investor who purchased BMI stock during the Class Period may move the Court to serve as lead plaintiff through counsel of their choice. The deadline to seek lead plaintiff appointment is August 3, 2026. Importantly, choosing not to seek the lead plaintiff role does not affect an investor's ability to share in any recovery obtained for the class.

What should investors do if they purchased Badger Meter stock during the Class Period?

Investors who purchased Badger Meter (BMI) stock between April 18, 2024 and April 16, 2026 and suffered losses should contact Faruqi & Faruqi, LLP immediately to discuss their legal rights. The deadline to seek appointment as lead plaintiff in the Badger Meter securities class action is August 3, 2026. To speak directly with securities litigation partner Josh Wilson, call 877-247-4292 or 212-983-9330 (Ext. 1310), or visit www.faruqilaw.com/BMI for more information.

Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/302713

Source: Faruqi & Faruqi LLP

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Reported EPS (diluted) of $1.23; Adjusted EPS (diluted) of $1.41, up 19% year-on-year

Net income of $68 million; Adjusted EBITDA of $181 million, up 9% year-on-year

Record second quarter operating cash flow; Repurchased 750 thousand shares in the quarter

Increases midpoint of full-year adjusted EBITDA and adjusted EPS guidance

ST. PAUL, Minn.--(BUSINESS WIRE)--H.B. Fuller Company (NYSE: FUL) today reported financial results for its second quarter that ended May 30, 2026.

Second Quarter 2026 Noteworthy Items:

Net revenue was $950 million, up 5.8% year-on-year; organic revenue was up 2.6% year-on-year; Gross margin was 33.6%; adjusted gross margin of 34.2% increased 200 basis points year-on-year driven mainly by pricing execution and restructuring savings; Net income was $68 million; adjusted EBITDA was $181 million, up 9% versus last year; adjusted EBITDA margin was 19.1%, up 70 basis points year-on-year; Reported EPS (diluted) was $1.23; adjusted EPS (diluted) was $1.41, up 19% year-on-year, driven by higher adjusted net income; Record second quarter operating cash flow of $121 million dollars, up approximately 10% year-on-year. Summary of Second Quarter 2026 Results:

The Company’s net revenue for the second quarter of fiscal 2026 was $950 million, up 5.8% versus the second quarter of fiscal 2025. Pricing increased net revenue by 3.0%, which more than offset slightly lower volume, resulting in a 2.6% organic revenue increase year-on-year. Foreign currency translation and the impact of acquisitions increased net revenue by 3.1% and 0.1%, respectively.

Gross profit in the second quarter of fiscal 2026 was $320 million. Adjusted gross profit was $325 million. Adjusted gross profit margin of 34.2% increased 200 basis points year-on-year. The impact of pricing execution and restructuring savings drove the majority of the year-on-year increase in adjusted gross profit margin.

Selling, general and administrative (SG&A) expense was $202 million in the second quarter of fiscal 2026 and adjusted SG&A was $196 million, up 11% year-on-year. Adjusting for the impact of foreign exchange and variable compensation related to higher projected income for the year, adjusted SG&A was up approximately 3% year-on-year.

Net income attributable to H.B. Fuller for the second quarter of fiscal 2026 was $68 million. Adjusted net income attributable to H.B. Fuller for the second quarter of fiscal 2026 was $78 million. Reported EPS (diluted) was $1.23 and adjusted EPS (diluted) was $1.41, up 19% year-on-year.

Adjusted EBITDA in the second quarter of fiscal 2026 was $181 million, up 9% year-on-year, driven principally by the impact of pricing execution and restructuring savings.

“We executed very well in the second quarter, delivering strong year-on-year revenue, EBITDA, and EPS growth, with results above the midpoint of our EBITDA guidance range,” said Celeste Mastin, president and chief executive officer. “Our global sourcing capabilities and swift pricing actions have enabled us to maintain supply continuity and reliably serve our customers through market disruption. These efforts, combined with our Quantum Leap restructuring initiative, have strengthened our competitive position and we remain confident in our ability to deliver strong financial results.”

Mastin continued, “While the external environment remains dynamic, our focus is clear: we are executing on what we can control, leveraging our competitive strengths, and continuing to build a business that is more durable and better positioned to deliver superior long-term growth.”

Balance Sheet and Working Capital:

Net debt at the end of the second quarter of fiscal 2026 was $1,958 million, down $58 million year-on-year. Net debt-to-adjusted EBITDA was 3.1X, down from 3.4X at the end of the second quarter of fiscal 2025.

Net working capital in the second quarter of fiscal 2026 was 16.4% as a percentage of annualized net revenue and decreased 260 basis points sequentially versus the first quarter. Cash flow from operations improved to $121 million, a record second quarter, driven primarily by higher net income. As previously communicated, cash flow delivery for 2026 is expected to be weighted to the second half of the year.

Fiscal 2026 Outlook:

As a result of our year-to-date performance, we are updating our previously communicated financial guidance for fiscal 2026:

Net revenue for fiscal 2026 is still expected to be up mid-single digits; organic revenue is still expected to be up low-single digits and the impact from foreign exchange is still expected to be positive 1% to 2%; Adjusted EBITDA for fiscal 2026 is now expected to be in the range of $650 million to $675 million; Adjusted EPS (diluted) is now expected to be in the range of $4.60 to $4.90; Cash flow from operations for fiscal 2026 is now expected to be in the range of $300 million to $325 million; Net revenue for the third quarter of 2026 is expected to be up mid-single digits; adjusted EBITDA for the third quarter of 2026 is expected to be in the range of $180 million to $190 million. Conference Call:

The Company will hold a conference call on June 25, 2026, at 9:30 a.m. CT (10:30 a.m. ET) to discuss its results. Interested parties may listen to the conference call on a live webcast. The webcast, along with a supplemental presentation, may be accessed from the Company’s website at https://investors.hbfuller.com. Participants must register prior to accessing the webcast using this link and should do so at least 10 minutes prior to the start of the call to install and test any necessary software and audio connections. A telephone replay of the conference call will be available from 12:30 p.m. CT on June 25, 2026, to 10:59 p.m. CT on July 1, 2026. To access the telephone replay dial 1-800-770-2030 (toll free) or 1-609-800-9909 and enter the Conference ID: 6370505.

Regulation G:

The information presented in this earnings release regarding consolidated and segment organic revenue growth, operating income, adjusted gross profit, adjusted gross profit margin, adjusted selling, general and administrative expense, adjusted income before income taxes and income from equity investments, adjusted income taxes, adjusted effective tax rate, adjusted net income, adjusted diluted earnings per share, adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), adjusted EBITDA margin, net debt, net debt-to-adjusted EBITDA, trailing twelve months adjusted EBITDA, net working capital, annualized net revenue and net working capital as a percentage of annualized net revenue does not conform to U.S. generally accepted accounting principles (U.S. GAAP) and should not be construed as an alternative to the reported results determined in accordance with U.S. GAAP. Management has included this non-GAAP information to assist in understanding the operating performance of the company and its operating segments as well as the comparability of results to the results of other companies. The non-GAAP information provided may not be consistent with the methodologies used by other companies. All non-GAAP information is reconciled with reported U.S. GAAP results in the “Regulation G Reconciliation” tables in this press release with the exception of our forward-looking non-GAAP measures contained above in our Fiscal 2026 Outlook, which the company cannot reconcile to forward-looking GAAP results without unreasonable effort.

About H.B. Fuller:

As the largest pureplay adhesives company in the world, H.B. Fuller’s (NYSE: FUL) innovative, functional coatings, adhesives and sealants enhance the quality, safety and performance of products people use every day. Founded in 1887, with 2025 revenue of $3.5 billion, our mission to Connect What Matters is brought to life by more than 7,100 global team members who collaborate with customers across more than 30 market segments in 150 countries to develop highly specified solutions that enable customers to bring world-changing innovations to their end markets. Learn more at www.hbfuller.com

Safe Harbor for Forward-Looking Statements:

Certain statements in this press release are forward-looking statements within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements often address expected future business and financial performance, financial condition, and other matters, and often contain words or phrases such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “opportunity,” “outlook,” “plan,” “project,” “seek,” “should,” “strategy,” “target,” “will,” “will be,” “will continue,” “will likely result,” “would” and similar expressions, and variations or negatives of these words or phrases. These statements are subject to various risks and uncertainties that could cause our actual results to differ materially from those in the forward-looking statements, including but not limited to the following: the availability and pricing of raw materials; the impact of potential cybersecurity attacks and security breaches; failures in our information technology systems; the impact on the supply chain, raw material costs and pricing of our products due to military conflict, including between Russia and Ukraine; the impact on our margins and product demand due to inflationary pressures; the substantial amount of debt we have incurred to finance our acquisition of Royal, our ability to repay or refinance our debt or to incur additional debt in the future, our need for a significant amount of cash to service and repay the debt and to pay dividends on our common stock, and the effect of debt covenants that limit the discretion of management in operating the business or in paying dividends; our ability to pay dividends and to pursue growth opportunities if we continue to pay dividends according to our current dividend policy; our ability to effectively manage and realize expected benefits from completed and future mergers, acquisitions, and divestitures; our ability to achieve expected synergies, cost savings and operating efficiencies from our restructuring initiatives and operational improvement projects within the expected time frames or at all; our ability to effectively implement Project ONE; uncertain political and economic conditions; fluctuations in product demand; competing products and pricing; our geographic and product mix; disruptions to our relationships with our major customers and suppliers; regulatory compliance across our global footprint; trade policies and economic sanctions impacting our markets; changes in tax laws and tariffs; devaluations and other foreign exchange rate fluctuations; the impact of litigation and investigations, including for product liability and environmental matters; impairment charges on our goodwill or long-lived assets; the consequences of catastrophic events on our operations and financial results; the effect of new accounting pronouncements and accounting charges and credits; and similar matters.

Additional information about these various risks and uncertainties can be found in the “Risk Factors” section of our Form 10-K filings, and any updates to the risk factors in our Form 10-Q and 8-K filings with the SEC, but there may be other risks and uncertainties that we are unable to identify at this time or that we do not currently expect to have a material impact on the business. You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. We do not undertake to update or revise any forward-looking statements, except as required by law.

Three Months Ended

Percent of

Three Months Ended

Percent of

May 30, 2026

Net Revenue

May 31, 2025

Net Revenue

Net revenue

$

950,271

100.0

%

$

898,095

100.0

%

Cost of sales

(630,617

)

(66.4

)%

(611,711

)

(68.1

)%

Gross profit

319,654

33.6

%

286,384

31.9

%

Selling, general and administrative expenses

(202,365

)

(21.3

)%

(186,340

)

(20.7

)%

Other income, net

5,627

0.6

%

7,141

0.8

%

Interest expense

(32,756

)

(3.4

)%

(34,865

)

(3.9

)%

Interest income

1,961

0.2

%

854

0.1

%

Income before income taxes and income from equity method investments

92,121

9.7

%

73,174

8.1

%

Income taxes

(25,584

)

(2.7

)%

(32,726

)

(3.6

)%

Income from equity method investments

1,268

0.1

%

1,397

0.2

%

Net income including non-controlling interest

67,805

7.1

%

41,845

4.7

%

Net income attributable to non-controlling interest

-

0.0

%

(17

)

(0.0

)%

Net income attributable to H.B. Fuller

$

67,805

7.1

%

$

41,828

4.7

%

Basic income per common share attributable to H.B. Fuller

$

1.25

$

0.77

Diluted income per common share attributable to H.B. Fuller

$

1.23

$

0.76

Weighted-average common shares outstanding:

Basic

54,430

54,443

Diluted

55,069

54,952

Six Months Ended

Percent of

Six Months Ended

Percent of

May 30, 2026

Net Revenue

May 31, 2025

Net Revenue

Net revenue

$

1,721,115

100.0

%

$

1,686,758

100.0

%

Cost of sales

(1,165,413

)

(67.7

)%

(1,173,299

)

(69.6

)%

Gross profit

555,702

32.3

%

513,459

30.4

%

Selling, general and administrative expenses

(386,816

)

(22.5

)%

(366,968

)

(21.8

)%

Other income, net

12,377

0.7

%

10,347

0.6

%

Interest expense

(65,627

)

(3.8

)%

(66,906

)

(4.0

)%

Interest income

4,034

0.2

%

1,954

0.1

%

Income before income taxes and income from equity method investments

119,670

7.0

%

91,886

5.4

%

Income taxes

(33,006

)

(1.9

)%

(38,671

)

(2.3

)%

Income from equity method investments

2,186

0.1

%

1,894

0.1

%

Net income including non-controlling interest

88,850

5.2

%

55,109

3.3

%

Net income attributable to non-controlling interest

-

0.0

%

(33

)

(0.0

)%

Net income attributable to H.B. Fuller

$

88,850

5.2

%

$

55,076

3.3

%

Basic income per common share attributable to H.B. Fuller

$

1.63

$

1.01

Diluted income per common share attributable to H.B. Fuller

$

1.61

$

0.99

Weighted-average common shares outstanding:

Basic

54,580

54,721

Diluted

55,291

55,490

Three Months Ended

Six Months Ended

May 30,

May 31,

May 30,

May 31,

2026

2025

2026

2025

Net income attributable to H.B. Fuller

$

67,805

$

41,828

$

88,850

$

55,076

Adjustments:

Acquisition project costs1

1,395

3,602

2,325

13,430

Organizational realignment2

4,413

6,635

14,435

15,409

Project One3

2,387

2,581

5,440

5,646

Other4

3,024

44

2,929

44

Discrete tax items5

356

13,961

454

14,952

Income tax effect on adjustments6

(1,848

)

(3,999

)

(5,386

)

(9,907

)

Adjusted net income attributable to H.B. Fuller7

77,532

64,652

109,047

94,650

Add:

Interest expense

32,584

34,484

64,957

66,514

Interest income

(1,961

)

(854

)

(4,030

)

(1,954

)

Adjusted Income taxes

27,075

22,765

37,937

33,626

Depreciation and Amortization expense8

45,815

44,613

91,838

87,180

Adjusted EBITDA7

$

181,045

$

165,660

$

299,749

$

280,016

Diluted Shares

55,069

54,952

55,291

55,490

Adjusted diluted income per common share attributable to H.B. Fuller7

$

1.41

$

1.18

$

1.97

$

1.71

Revenue

$

950,271

$

898,095

$

1,721,115

$

1,686,758

Adjusted EBITDA margin6

19.1

%

18.4

%

17.4

%

16.6

%

Three Months Ended

Six Months Ended

May 30,

May 31,

May 30,

May 31,

2026

2025

2026

2025

Net Revenue:

Hygiene, Health and Consumable Adhesives

$

421,861

$

397,475

$

768,388

$

765,700

Engineering Adhesives

283,239

276,418

525,688

513,177

Building Adhesive Solutions

245,171

224,202

427,039

407,881

Corporate unallocated

-

-

-

-

Total H.B. Fuller

$

950,271

$

898,095

$

1,721,115

$

1,686,758

Segment Operating Income:

Hygiene, Health and Consumable Adhesives

$

56,370

$

43,401

$

85,361

$

73,349

Engineering Adhesives

46,856

46,977

77,999

75,028

Building Adhesive Solutions

25,013

22,114

30,201

28,691

Corporate unallocated

(10,950

)

(12,448

)

(24,675

)

(30,577

)

Total H.B. Fuller

$

117,289

$

100,044

$

168,886

$

146,491

Adjusted EBITDA7

Hygiene, Health and Consumable Adhesives

$

75,564

$

61,963

$

123,601

$

108,854

Engineering Adhesives

63,544

63,341

111,703

107,529

Building Adhesive Solutions

41,414

37,535

63,024

59,337

Corporate unallocated

523

2,821

1,421

4,296

Total H.B. Fuller

$

181,045

$

165,660

$

299,749

$

280,016

Adjusted EBITDA Margin7

Hygiene, Health and Consumable Adhesives

17.9

%

15.6

%

16.1

%

14.2

%

Engineering Adhesives

22.4

%

22.9

%

21.2

%

21.0

%

Building Adhesive Solutions

16.9

%

16.7

%

14.8

%

14.5

%

Corporate unallocated

NMP

NMP

NMP

NMP

Total H.B. Fuller

19.1

%

18.4

%

17.4

%

16.6

%

NMP = non-meaningful percentage

Three Months Ended

Six Months Ended

May 30,

May 31,

May 30,

May 31,

2026

2025

2026

2025

Income before income taxes and income from equity method investments

$

92,121

$

73,174

$

119,670

$

91,886

Adjustments:

Acquisition project costs1

1,395

3,602

2,325

13,430

Organizational realignment2

4,413

6,635

14,435

15,409

Project One3

2,387

2,581

5,440

5,646

Other4

3,024

44

2,929

44

Adjusted income before income taxes and income from equity method investments9

$

103,340

$

86,036

$

144,799

$

126,415

Three Months Ended

Six Months Ended

May 30,

May 31,

May 30,

May 31,

2026

2025

2026

2025

Income Taxes

$

(25,584

)

$

(32,726

)

$

(33,006

)

$

(38,671

)

Adjustments:

Acquisition project costs1

(230

)

(1,120

)

(466

)

(3,800

)

Organizational realignment2

(727

)

(2,063

)

(3,276

)

(4,455

)

Project One3

(393

)

(803

)

(1,170

)

(1,638

)

Other4

(497

)

(14

)

(473

)

(14

)

Discrete tax items5

356

13,961

454

14,952

Adjusted income taxes10

$

(27,075

)

$

(22,765

)

$

(37,937

)

$

(33,626

)

Adjusted income before income taxes and income from equity method investments

$

103,340

$

86,036

$

144,799

$

126,415

Adjusted effective income tax rate10

26.2

%

26.5

%

26.2

%

26.6

%

Three Months Ended

Six Months Ended

May 30,

May 31,

May 30,

May 31,

2026

2025

2026

2025

Net revenue

$

950,271

$

898,095

$

1,721,115

$

1,686,758

Gross profit

$

319,654

$

286,384

$

555,702

$

513,459

Gross profit margin

33.6

%

31.9

%

32.3

%

30.4

%

Adjustments:

Acquisition project costs1

-

68

-

675

Organizational realignment2

2,583

2,467

7,521

7,923

Project One3

-

(94

)

-

1

Other4

2,500

-

2,501

-

Adjusted gross profit11

$

324,737

$

288,825

$

565,724

$

522,058

Adjusted gross profit margin11

34.2

%

32.2

%

32.9

%

31.0

%

Three Months Ended

Six Months Ended

May 30,

May 31,

May 30,

May 31,

2026

2025

2026

2025

Selling, general and administrative expenses

$

(202,365

)

$

(186,340

)

$

(386,816

)

$

(366,968

)

Adjustments:

Acquisition project costs1

1,223

3,654

1,660

11,360

Organizational realignment2

1,734

3,633

5,623

4,929

Project One3

2,387

2,676

5,440

5,646

Other4

523

44

1,925

44

Adjusted selling, general and administrative expenses12

$

(196,498

)

$

(176,333

)

$

(372,168

)

$

(344,989

)

Hygiene, Health

Building

Three Months Ended:

and Consumable

Engineering

Adhesive

Segment

Corporate

H.B. Fuller

May 30, 2026

Adhesives

Adhesives

Solutions

Total

Unallocated

Consolidated

Net income attributable to H.B. Fuller

$

58,862

$

47,958

$

27,887

$

134,707

$

(66,902

)

$

67,805

Adjustments:

Acquisition project costs1

-

-

-

-

1,395

1,395

Organizational realignment2

-

-

-

-

4,413

4,413

Project One3

-

-

-

-

2,387

2,387

Other4

-

-

-

-

3,024

3,024

Discrete tax items5

-

-

-

-

356

356

Income tax effect on adjustments6

-

-

-

-

(1,848

)

(1,848

)

Adjusted net income attributable to H.B. Fuller7

58,862

47,958

27,887

134,707

(57,175

)

77,532

Add:

Interest expense

-

-

-

-

32,584

32,584

Interest income

-

-

-

-

(1,961

)

(1,961

)

Adjusted Income taxes

-

-

-

-

27,075

27,075

Depreciation and amortization expense8

16,702

15,586

13,527

45,815

-

45,815

Adjusted EBITDA7

$

75,564

$

63,544

$

41,414

$

180,522

$

523

$

181,045

Revenue

$

421,861

$

283,239

$

245,171

$

950,271

-

$

950,271

Adjusted EBITDA Margin7

17.9

%

22.4

%

16.9

%

19.0

%

NMP

19.1

%

Hygiene, Health

Building

Six Months Ended

and Consumable

Engineering

Adhesive

Segment

Corporate

H.B. Fuller

May 30, 2026

Adhesives

Adhesives

Solutions

Total

Unallocated

Consolidated

Net income attributable to H.B. Fuller

$

90,346

$

80,195

$

35,949

$

206,490

$

(117,640

)

$

88,850

Adjustments:

Acquisition project costs1

-

-

-

-

2,325

2,325

Organizational realignment2

-

-

-

-

14,435

14,435

Project One3

-

-

-

-

5,440

5,440

Other4

-

-

-

-

2,929

2,929

Discrete tax items5

-

-

-

-

454

454

Income tax effect on adjustments6

-

-

-

-

(5,386

)

(5,386

)

Adjusted net income attributable to H.B. Fuller7

90,346

80,195

35,949

206,490

(97,443

)

109,047

Add:

Interest expense

-

-

-

-

64,957

64,957

Interest income

-

-

-

-

(4,030

)

(4,030

)

Adjusted Income taxes

-

-

-

-

37,937

37,937

Depreciation and amortization expense8

33,255

31,508

27,075

91,838

-

91,838

Adjusted EBITDA7

$

123,601

$

111,703

$

63,024

$

298,328

$

1,421

$

299,749

Revenue

768,388

525,688

427,039

1,721,115

-

1,721,115

Adjusted EBITDA Margin7

16.1

%

21.2

%

14.8

%

17.3

%

NMP

17.4

%

Hygiene, Health

Building

Three Months Ended:

and Consumable

Engineering

Adhesive

Segment

Corporate

H.B. Fuller

May 31, 2025

Adhesives

Adhesives

Solutions

Total

Unallocated

Consolidated

Net income attributable to H.B. Fuller

$

45,610

$

47,948

$

24,668

$

118,226

$

(76,398

)

$

41,828

Adjustments:

Acquisition project costs1

-

-

-

-

3,602

3,602

Organizational realignment2

-

-

-

-

6,635

6,635

Project One3

-

-

-

-

2,581

2,581

Other4

-

-

-

-

44

44

Discrete tax items5

-

-

-

-

13,961

13,961

Income tax effect on adjustments6

-

-

-

-

(3,999

)

(3,999

)

Adjusted net income attributable to H.B. Fuller7

45,610

47,948

24,668

118,226

(53,574

)

64,652

Add:

Interest expense

-

-

-

-

34,484

34,484

Interest income

-

-

-

-

(854

)

(854

)

Adjusted Income taxes

-

-

-

-

22,765

22,765

Depreciation and amortization expense8

16,353

15,393

12,867

44,613

-

44,613

Adjusted EBITDA7

$

61,963

$

63,341

$

37,535

$

162,839

$

2,821

$

165,660

Revenue

$

397,475

$

276,418

$

224,202

$

898,095

-

$

898,095

Adjusted EBITDA Margin7

15.6

%

22.9

%

16.7

%

18.1

%

NMP

18.4

%

Hygiene, Health

Building

Six Months Ended

and Consumable

Engineering

Adhesive

Segment

Corporate

H.B. Fuller

May 31, 2025

Adhesives

Adhesives

Solutions

Total

Unallocated

Consolidated

Net income attributable to H.B. Fuller

$

77,771

$

76,970

$

33,799

$

188,540

$

(133,464

)

$

55,076

Adjustments:

Acquisition project costs1

-

-

-

-

13,430

13,430

Organizational realignment2

-

-

-

-

15,409

15,409

Project One3

-

-

-

-

5,646

5,646

Other4

-

-

-

-

44

44

Discrete tax items5

-

-

-

-

14,952

14,952

Income tax effect on adjustments6

-

-

-

-

(9,907

)

(9,907

)

Adjusted net income attributable to H.B. Fuller7

77,771

76,970

33,799

188,540

(93,890

)

94,650

Add:

Interest expense

-

-

-

-

66,514

66,514

Interest income

-

-

-

-

(1,954

)

(1,954

)

Adjusted Income taxes

-

-

-

-

33,626

33,626

Depreciation and amortization expense8

31,083

30,559

25,538

87,180

-

87,180

Adjusted EBITDA7

$

108,854

$

107,529

$

59,337

$

275,720

$

4,296

$

280,016

Revenue

$

765,700

$

513,177

$

407,881

$

1,686,758

-

$

1,686,758

Adjusted EBITDA Margin7

14.2

%

21.0

%

14.5

%

16.3

%

NMP

16.6

%

Three Months Ended

Six Months Ended

May 30, 2026

May 30, 2026

Price

3.0

%

1.8

%

Volume

(0.4

)%

(3.5

)%

Organic Growth13

2.6

%

(1.7

)%

M&A

0.1

%

0.4

%

Constant currency

2.7

%

(1.3

)%

F/X

3.1

%

3.3

%

Total H.B. Fuller Net Revenue

5.8

%

2.0

%

Revenue growth versus 2025

Three Months Ended

May 30, 2026

Net Revenue

F/X

Constant Currency

M&A

Organic Growth13

Hygiene, Health and Consumable Adhesives

6.1

%

3.1

%

3.0

%

0.0

%

3.0

%

Engineering Adhesives

2.5

%

3.2

%

(0.7

)%

0.3

%

(1.0

)%

Building Adhesive Solutions

9.4

%

3.2

%

6.2

%

0.0

%

6.2

%

Corporate Unallocated

0.0

%

0.0

%

0.0

%

0.0

%

0.0

%

Total H.B. Fuller

5.8

%

3.1

%

2.7

%

0.1

%

2.6

%

Revenue growth versus 2025

Six Months Ended

May 30, 2026

Net Revenue

F/X

Constant Currency

M&A

Organic Growth13

Hygiene, Health and Consumable Adhesives

0.4

%

3.2

%

(2.8

)%

0.4

%

(3.2

)%

Engineering Adhesives

2.4

%

3.2

%

(0.8

)%

0.6

%

(1.4

)%

Building Adhesive Solutions

4.7

%

3.6

%

1.1

%

0.0

%

1.1

%

Corporate Unallocated

0.0

%

0.0

%

0.0

%

0.0

%

0.0

%

Total H.B. Fuller

2.0

%

3.3

%

(1.3

)%

0.4

%

(1.7

)%

Three Months Ended

Trailing 12 Months14 Ended

August 30, 2025

November 29, 2025

February 28, 2026

May 30, 2026

May 30, 2026

Net income attributable to H.B. Fuller

$

67,160

$

29,732

$

21,045

$

67,805

$

185,742

Adjustments:

Acquisition project costs1

518

1,465

931

1,395

4,309

Organizational realignment2

4,620

11,396

10,022

4,413

30,451

Project One3

2,499

2,091

3,053

2,387

10,030

Other15

1,711

37,400

(95

)

3,024

42,040

Discrete tax items16

(3,742

)

(3,743

)

98

356

(7,031

)

Income tax effect on adjustments6

(3,402

)

(7,745

)

(3,539

)

(1,848

)

(16,534

)

Adjusted net income attributable to H.B. Fuller7

69,364

70,596

31,515

77,532

249,007

Add:

Interest expense

33,369

32,547

32,373

32,584

130,873

Interest income

(1,110

)

(1,756

)

(2,069

)

(1,961

)

(6,896

)

Adjusted Income taxes

23,671

23,420

10,862

27,075

85,028

Depreciation and Amortization expense17

45,298

45,246

46,023

45,815

182,382

Adjusted EBITDA7

$

170,592

$

170,053

$

118,704

$

181,045

$

640,394

May 30, 2026

November 29, 2025

May 31, 2025

Total debt

$

2,072,151

$

2,016,937

$

2,112,428

Less: Cash and cash equivalents

114,102

107,213

96,785

Net debt18

$

1,958,049

$

1,909,724

$

2,015,643

Trailing twelve months14 / Year ended Adjusted EBITDA

$

640,394

$

620,660

$

593,604

Net Debt-to-Adjusted EBITDA18

3.1

3.1

3.4

May 30, 2026

February 28, 2026

May 31, 2025

Accounts receivable, net

$

622,745

$

532,180

$

584,026

Inventories

526,737

506,776

495,588

Accounts payable

(526,321

)

(453,035

)

(481,957

)

Net working capital19

$

623,161

$

585,921

$

597,657

Net revenue three months ended

$

950,271

$

770,844

$

898,095

Annualized net revenue19

3,801,084

3,083,376

3,592,379

Net working capital as a percentage of annualized revenue19

16.4

%

19.0

%

16.6

%

May 30,

November 29,

2026

2025

Assets

Current assets:

Cash and cash equivalents

$

114,102

$

107,213

Accounts receivable (net of allowances of $12,712 and $11,922, as of May 30, 2026 and November 29, 2025, respectively)

622,745

564,339

Inventories

526,737

471,963

Other current assets

135,836

119,750

Total current assets

1,399,420

1,263,265

Property, plant and equipment

2,034,140

1,956,209

Accumulated depreciation

(1,066,347

)

(1,020,948

)

Property, plant and equipment, net

967,793

935,261

Goodwill

1,693,481

1,680,059

Other intangibles, net

766,626

805,867

Other assets

501,473

498,254

Total assets

$

5,328,793

$

5,182,706

Liabilities, non-controlling interest and total equity

Current liabilities:

Accounts payable

$

526,321

$

470,132

Accrued compensation

95,728

114,302

Income taxes payable

19,909

25,018

Other accrued expenses

137,103

133,907

Total current liabilities

779,061

743,359

Long-term debt

2,072,151

2,016,937

Accrued pension liabilities

51,281

51,317

Other liabilities

343,836

367,899

Total liabilities

$

3,246,329

$

3,179,512

Commitments and contingencies

Equity

H.B. Fuller stockholders' equity:

Preferred stock (no shares outstanding) shares authorized – 10,045,900

-

-

Common stock, par value $1.00 per share, shares authorized – 160,000,000, shares issued and outstanding – 53,785,879 and 54,174,963 as of May 30, 2026 and November 29, 2025, respectively

$

53,786

$

54,175

Additional paid-in capital

275,507

298,017

Retained earnings

2,088,749

2,026,071

Accumulated other comprehensive loss

(335,578

)

(375,045

)

Total H.B. Fuller stockholders' equity

2,082,464

2,003,218

Non-controlling interest

-

(24

)

Total equity

2,082,464

2,003,194

Total liabilities, non-controlling interest and total equity

$

5,328,793

$

5,182,706

Six Months Ended

May 30, 2026

May 31, 2025

Cash flows from operating activities:

Net income including non-controlling interest

$

88,850

$

55,109

Adjustments to reconcile net income including non-controlling interest to net cash provided by operating activities:

Depreciation

48,772

44,837

Amortization

43,646

42,443

Deferred income taxes

(9,098

)

(14,068

)

Income from equity method investments, net of dividends received

(2,186

)

(1,894

)

Loss on the sale of business

-

1,515

Loss on impairment of intangible asset

-

478

Gain on sale or disposal of assets

(833

)

(101

)

Share-based compensation

12,580

12,003

Pension and other post-retirement plan benefit

(12,239

)

(11,039

)

Change in assets and liabilities, net of effects of acquisitions:

Accounts receivable, net

(53,893

)

(28,942

)

Inventories

(51,313

)

(40,182

)

Other assets

(9,291

)

2,364

Accounts payable

80,473

11,602

Accrued compensation

(19,643

)

(23,494

)

Other accrued expenses

13,522

1,097

Income taxes payable

(10,287

)

(10,587

)

Pension plan assets and liabilities

698

76

Other liabilities

(6,052

)

24,804

Foreign currency remeasurement

3,463

(8,252

)

Net cash provided by operating activities

117,169

57,769

Cash flows from investing activities:

Purchased property, plant and equipment

(104,380

)

(64,534

)

Proceeds from sale of property, plant and equipment

4,408

1,438

Payment of holdback on acquisitions

(11,627

)

-

Purchased businesses, net of cash acquired

-

(162,032

)

Purchase of cost method investment

-

(2,549

)

Proceeds from the sale of a business

-

75,727

Net cash used in investing activities

(111,599

)

(151,950

)

Cash flows from financing activities:

Proceeds from issuance of long-term debt

627,000

784,900

Repayment of long-term debt

(571,683

)

(687,751

)

Payment of debt issuance costs

-

(1,047

)

Net payment of notes payable

-

(588

)

Dividends paid

(25,970

)

(24,864

)

Proceeds from stock options exercised

10,266

2,475

Repurchases of common stock

(48,771

)

(60,664

)

Net cash (used in) provided by financing activities

(9,158

)

12,461

Effect of exchange rate changes on cash and cash equivalents

10,477

9,153

Net change in cash and cash equivalents

6,889

(72,567

)

Cash and cash equivalents at beginning of period

107,213

169,352

Cash and cash equivalents at end of period

$

114,102

$

96,785

More News From H.B. Fuller Company

Growth stocks are attractive to many investors, as above-average financial growth helps these stocks easily grab the market's attention and produce exceptional returns. But finding a great growth stock is not easy at all.

By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss.

However, the Zacks Growth Style Score (part of the Zacks Style Scores system), which looks beyond the traditional growth attributes to analyze a company's real growth prospects, makes it pretty easy to find cutting-edge growth stocks.

Our proprietary system currently recommends Dillard's (DDS - Free Report) as one such stock. This company not only has a favorable Growth Score, but also carries a top Zacks Rank.

Studies have shown that stocks with the best growth features consistently outperform the market. And returns are even better for stocks that possess the combination of a Growth Score of A or B and a Zacks Rank #1 (Strong Buy) or 2 (Buy).

Here are three of the most important factors that make the stock of this department store operator a great growth pick right now.

Earnings GrowthEarnings growth is arguably the most important factor, as stocks exhibiting exceptionally surging profit levels tend to attract the attention of most investors. For growth investors, double-digit earnings growth is highly preferable, as it is often perceived as an indication of strong prospects (and stock price gains) for the company under consideration.

While the historical EPS growth rate for Dillard's is 0.5%, investors should actually focus on the projected growth. The company's EPS is expected to grow 6.3% this year, crushing the industry average, which calls for EPS growth of -0.3%.

Impressive Asset Utilization RatioGrowth investors often overlook asset utilization ratio, also known as sales-to-total-assets (S/TA) ratio, but it is an important feature of a real growth stock. This metric shows how efficiently a firm is utilizing its assets to generate sales.

Right now, Dillard's has an S/TA ratio of 1.67, which means that the company gets $1.67 in sales for each dollar in assets. Comparing this to the industry average of 1.14, it can be said that the company is more efficient.

While the level of efficiency in generating sales matters a lot, so does the sales growth of a company. And Dillard's looks attractive from a sales growth perspective as well. The company's sales are expected to grow 2.1% this year versus the industry average of 0%.

Promising Earnings Estimate RevisionsSuperiority of a stock in terms of the metrics outlined above can be further validated by looking at the trend in earnings estimate revisions. A positive trend is of course favorable here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

There have been upward revisions in current-year earnings estimates for Dillard's. The Zacks Consensus Estimate for the current year has surged 6.2% over the past month.

Bottom LineDillard's has not only earned a Growth Score of B based on a number of factors, including the ones discussed above, but it also carries a Zacks Rank #1 because of the positive earnings estimate revisions.

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

This combination positions Dillard's well for outperformance, so growth investors may want to bet on it.

Shares of Arm Holdings continued to decline on Wednesday, extending losses after the semiconductor stock tumbled more than 10% in the previous session as investors rotated out of several high-flying artificial intelligence names.

Arm shares fell 4.7% to $349.03 and are down about 19% since the beginning of the week.

Despite the recent selloff, the stock remains one of the strongest performers in the semiconductor sector, having surged 227% this year and gained 127% over the past 12 months, according to Dow Jones Market Data.

The weakness in the stock comes amid a broader reassessment of valuations across AI-related companies.

However, Wall Street analysts remain optimistic about Arm's long-term prospects and continue to raise their price targets on the chip designer.

Both UBS and TD Cowen increased their targets on the stock on Wednesday, arguing that Arm remains well positioned to benefit from the next phase of AI infrastructure spending.

UBS raised its price target on Arm to $470 from $260 while maintaining a Buy rating on the stock.

The new target implies about 33% upside from Wednesday's trading levels.

UBS analyst Timothy Arcuri said investor attention is increasingly centered on the revenue potential of Arm's internally developed central processing units.

“The real investor debate, in our view, is revenue potential for Arm’s standalone CPU,” Arcuri wrote Wednesday.

The analyst team expects revenue from Arm's internal CPUs to grow to around $14 billion by 2030.

According to the company, its internal chip business is not expected to become financially material until fiscal 2028.

“Arm’s core competency lies in latency and efficiency—which aligns well with hyperscaler needs,” Arcuri wrote.

TD Cowen also raised its price target to $475 from $265 and reiterated its Buy rating, implying roughly 35% upside from current levels.

The brokerage said the changing AI workloads are increasing the importance of central processing units.

“The Doing Behind The Thinking: As agentic AI shifts more work from the thinking GPUs do to the doing CPUs handle, CPUs are becoming an AI beneficiary,” the analyst stated.

TD Cowen added that Arm's target of generating $15 billion in annualized AGI CPU revenue by fiscal 2031 appears reasonable, identifying GPU-to-CPU attachment rates and pricing per core as key factors influencing that outlook.

Arm has traditionally generated revenue by licensing its instruction-set architecture and collecting royalties from customers, including Apple, Nvidia, Samsung, and Qualcomm.

At its core, Arm develops the fundamental interface between CPU chips and software and serves as the principal alternative to the x86 architecture used by Intel and Advanced Micro Devices.

However, the company is increasingly moving beyond intellectual property licensing and into full-scale chip production, creating a new investment debate around the size of its future semiconductor business.

TD Cowen suggested the market may be applying a 15% share estimate too mechanically to Nvidia's estimated $200 billion CPU total addressable market, while maintaining a more constructive view on Arm's intellectual property opportunities.

Bank of America also raised its target on Arm earlier this week to $460 from $335 and reiterated its Neutral rating.

“We see Arm as one of the most prominent beneficiaries of the rising server CPU tide,” Bank of America analyst Vivek Arya wrote.

He added that Arm at $420 is “fairly valued.”

Key Takeaways Aveanna Healthcare joins four GARP picks with discounted PEG and P/E plus a 14.9% long-term growth rate. Hewlett Packard offers discounted PEG and P/E alongside a 32% long-term expected growth rate.Lenovo combines discounted PEG and P/E with a 10.2% long-term expected growth rate as a GARP pick. The current macroeconomic backdrop makes a balanced investment approach particularly compelling. While the U.S. economy continues to expand, sticky inflation, elevated interest rates and lingering geopolitical uncertainties have kept market volatility high. At its June 2026 meeting, the Federal Reserve kept interest rates unchanged while signaling a higher-for-longer policy stance as inflation remained above its 2% target. In such an environment, combining reasonably valued companies with consistent earnings growth can help investors participate in upside opportunities while reducing the risk of overpaying for high-growth stocks.

In fact, the investing track of the Oracle of Omaha over the past few decades and his gradual shift from being a pure-play value investor to a GARP (growth at a reasonable price) investor might give us all the answers.

Per the GARP theory, the strategic mingling of growth and value-investing principles gives us a hybrid strategy, offering an ideal investment by utilizing the best features of both. What GARPers look for is whether or not the stocks are somewhat undervalued and have solid, sustainable growth potential (Investopedia).

Several stocks that have surged significantly in recent years have demonstrated the overwhelming success of this hybrid investing strategy over pure-play value and growth investments. Here, we will discuss the success of four such stocks. These are Aveanna Healthcare (AVAH - Free Report) , Nexa Resources (NEXA - Free Report) , Hewlett Packard (HPE - Free Report) and Lenovo Group (LNVGY - Free Report) .

A Few More Words on GARPGARP investing gives priority to one of the popular value metrics — the price/earnings growth (PEG) ratio. Although it is categorized under value investing, this strategy follows the principles of both growth and value investing.

The PEG ratio is defined as (Price/ Earnings)/Earnings Growth Rate

It relates the stocks’ P/E ratios to the future earnings growth rates.

While P/E alone gives an idea of stocks that are trading at a discount, PEG, while adding the growth element to it, helps identify stocks with solid future potential.

A lower PEG ratio, preferably less than 1, is always better for GARP investors.

Say, for example, if a stock's P/E ratio is 10 and the expected long-term growth rate is 15%, the company's PEG will come down to 0.66, a ratio indicating both undervaluation and future growth potential.

Unfortunately, this ratio is often neglected due to investors' limitations in calculating the future earnings growth rate of a stock.

There are some drawbacks to using the PEG ratio, though. It does not consider the very common situation of changing growth rates, such as the forecast of the first three years at a very high growth rate, followed by a sustainable but lower growth rate over the long term.

Hence, PEG-based investing can be even more rewarding if some other relevant parameters are also taken into consideration.

Here are the screening criteria for a winning strategy:

PEG Ratio less than X Industry Median

P/E Ratio (using F1) less than X Industry Median (For more accurate valuation purpose)

Zacks Rank of 1 (Strong Buy) or 2 (Buy) (Whether good market conditions or bad, stocks with a Zacks Rank #1 or #2 have a proven history of success.)

Market Capitalization greater than $1 Billion (This helps us to focus on companies that have strong liquidity.)

Average 20-Day Volume greater than 50,000: A substantial trading volume ensures that the stock is easily tradable.

Percentage Change F1 Earnings Estimate Revisions (4 Weeks) greater than 5%: Upward estimate revisions add to the optimism, suggesting further bullishness.

Value Score of less than or equal to B: Our research shows that stocks with a Value Style Score of A or B, when combined with a Zacks Rank #1, 2 or 3 (Hold), offer the best upside potential.

Growth Score of less than or equal to B: Our research shows that stocks with a Growth Style Score of A or B, when combined with a Zacks Rank #1, 2 or 3, offer the best upside potential.

Our PEG-Driven PicksHere are four stocks that qualified the screening:

Aveanna is a diversified U.S. home healthcare provider offering pediatric and adult care that helps patients remain at home, reducing reliance on hospitals and skilled nursing facilities. It operates through three segments: Private Duty Services, Home Health & Hospice and Medical Solutions, providing skilled nursing, therapy, personal care and related services.

AVAH can be an impressive GARP investment pick with its Zacks Rank #2, a Value Score of A and a Growth Score of A. Apart from a discounted PEG and P/E, the stock has an impressive long-term expected growth rate of 14.9%.

Nexa Resources is a global zinc mining and smelting company operating through its Mining and Smelting segments. It produces zinc, gold, sulfuric acid, zinc oxide and other metals and by-products, with five polymetallic mines across Peru and Brazil, plus one zinc smelter in Peru and two in Brazil.

NEXA has a Zacks Rank #1, a Value Score of A and a Growth Score of A. Nexa Resources also has an impressive five-year historical growth rate of 49%.

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

Hewlett Packard develops enterprise IT solutions across five segments: Server, Hybrid Cloud, Networking, Financial Services and Corporate Investments. Hewlett Packard’s portfolio includes servers, hybrid cloud and storage platforms, networking and security products, software and related support services, serving customers worldwide.

HPE stock can be an impressive GARP investment pick with its Zacks Rank #1, a Value Score of B and a Growth Score of B. Apart from a discounted PEG and P/E, Hewlett Packard has an impressive long-term expected growth rate of 32%.

Lenovo develops, manufactures and markets technology products and services through its Intelligent Devices, Infrastructure Solutions and Solutions and Services segments. Its portfolio includes PCs, servers, smartphones, tablets, software, IT infrastructure, consulting, managed services and digital solutions, serving customers worldwide.

LNVGY can also be an impressive GARP investment pick with its Zacks Rank #1, a Value Score of B and a Growth Score of B. Apart from a discounted PEG and P/E, Lenovo also has a solid long-term expected growth rate of 10.2%.

Wendy’s stock exploded Wednesday after a viral Reddit post sparked a meme stock frenzy that sent shares of the struggling fast-food chain soaring as much as 42% in a matter of hours.

The rally, which briefly triggered a volatility halt, appeared to have little to do with the company’s fundamentals and everything to do with the online trading crowd searching for its next target.

Traders zeroed in on Wendy’s after a post on Reddit’s WallStreetBets forum urged users to “save Wendy’s before it’s too late.” The post was removed, but not before helping ignite a rush into the stock.

Wendy’s stock soared Wednesday as day traders and Reddit users targeted the burger chain in a meme stock rally. Christopher Sadowski By midday, some of the gains had faded, though shares remained sharply higher and were up roughly 24% as of the afternoon.

The sudden surge marked Wendy’s biggest jump since March 2020, when markets rebounded from the pandemic-driven crash.

The burger chain — known for menu staples like the Frosty, Dave’s Triple burger and the Biggie Deal — has endured a painful stretch on Wall Street.

Its shares fell more than 70% since mid-2023, making it the type of beaten-down stock that often attracts speculative traders looking for a dramatic rebound.

The company also had another characteristic that meme-stock investors frequently seek out: a large number of investors betting against it.

A now-deleted post on Reddit’s WallStreetBets forum urging traders to “save Wendy’s before it’s too late” helped spark a meme stock rally that sent shares soaring Wednesday. Short interest in Wendy’s shares stood at roughly 24% of the stock’s public float, according to data cited by Bloomberg News.

That means a sizable group of traders had wagered that the stock would continue falling.

When heavily shorted stocks suddenly surge, those bearish investors can be forced to buy shares to limit losses, creating additional demand and driving prices even higher in a phenomenon known as a short squeeze.

Scott Martin, a partner at Kingsview Wealth Management, told The Post that the Wendy’s rally “has much more to do with trading activity than it does with the underlying business.”

“Investors are focusing on momentum and short interest right now, not necessarily restaurant sales or earnings expectations,” he said.

Wendy’s is in the midst of a turnaround effort after reporting declining US sales and softer customer traffic in recent quarters. Christopher Sadowski Martin added that the meme stock dynamic was familiar.

“We’ve seen this movie before,” he said.

“When a stock has a recognizable brand name and a large short position, it doesn’t take much to attract attention from retail traders looking for the next big move.”

Martin cautioned that the longer-term question is whether Wendy’s business has actually changed.

“There’s a big difference between a stock moving because of improving fundamentals and a stock moving because traders are piling into the same theme at the same time,” Martin said.

The rally came despite a weak operating backdrop.

Wendy’s reported first-quarter US same-restaurant sales declined 7.8%, while global same-restaurant sales fell 6.8% as the chain struggled with soft traffic and weaker consumer spending.

The Wendy’s surge evoked memories of 2021, when videogame retailer GameStop became the face of the meme-stock movement.

Wendy’s shares surged as much as 42% on Wednesday before paring gains to trade up about 27.5% amid a Reddit-fueled meme stock frenzy. Perplexity AI At the time, retail investors coordinated online and piled into the company’s stock, triggering a historic short squeeze that inflicted billions of dollars in losses on professional investors who had bet against the company.

Last year, Krispy Kreme and Opendoor Technologies both experienced similar bursts of speculative buying as retail traders hunted for heavily shorted stocks with recognizable brands.

The Post has sought comment from Wendy’s.

© rodenkoff / iStock via Getty Images

Power has become the bottleneck in the AI buildout. CNBC’s Seema Mody walked the floor of GE Vernova‘s (NYSE:GEV | GEV Price Prediction) 400-acre South Carolina plant on June 24, 2026, and her reporting captured the single most important pricing signal in the energy supercycle: gas turbine pricing has risen roughly 300% over the last three years, with the order book sold out for years.

That single data point reframes the GE Vernova thesis. Here is what investors need to take away.

Inside the World’s Largest Gas Turbine Plant The machine at the center of Mody’s segment is GE Vernova’s most powerful gas turbine. It is roughly 30 feet long, weighs about 280 tons, uses controlled explosions to spin its rotors, and generates enough electricity to power about half a million homes. Hyperscalers are buying them in fleets.

The marquee example: Microsoft recently bought seven of these turbines for its Texas data center project, totaling roughly 2.7 gigawatts of capacity. That aligns with the Microsoft and Chevron Project Kilby announcement, a 2.67 gigawatt facility in West Texas tied to a 20-year power purchase agreement using GE Vernova turbines, with first power expected in 2028.

The demand picture goes well beyond Microsoft. According to Mody’s reporting, executives from every hyperscaler, including OpenAI’s head of power, have walked the floor to vet the plant’s output. The order book is full through 2029, with orders extending to 2031. A GE executive in the segment acknowledged the supply-demand imbalance and pointed to higher manufacturing throughput and lean discipline as the response.

The Numbers Behind the Surge The pricing power shows up in the financials. In Q1 2026, GE Vernova reported revenue of $9.30 billion, up 15.8% year over year, with orders of $18.30 billion, up 71% organically. The Electrification segment alone booked $2.4 billion in data center equipment orders in the quarter, more than all of 2025. Gas Power combined backlog and slot reservations moved from 83 GW to 100 GW, with management targeting at least 110 GW by year-end 2026.

CEO Scott Strazik framed it directly in the Q1 2026 release: “Demand is accelerating for our Power and Electrification solutions from a diverse set of customers, with our backlog growing by more than $13 billion quarter-over-quarter.” Management raised 2026 guidance to $44.5 to $45.5 billion in revenue, 12% to 14% adjusted EBITDA margin, and $6.5 to $7.5 billion in free cash flow.

Investor Lens: Is GEV Still a Top Stock to Buy? The stock has already priced in much of this. Shares trade at $1,066.01 as of June 24, 2026, with a market cap near $303 billion. GEV is up 58.65% year to date and 107.6% over one year. Valuation sits at 33x trailing earnings and 40x forward (as a note, trailing earnings were inflated by one-time sale benefits, so forward earnings are a better measure for GEV), with analyst sentiment skewed positive: 6 Strong Buy, 23 Buy, 7 Hold, 0 Sell ratings, and a $1,211.72 average target. Bernstein recently initiated with an Outperform rating and a $1,206 price target.

Bull case: a multi-year sold-out backlog, demonstrated pricing power, hyperscaler validation across every major buyer, and 2028 targets of $56 billion in revenue at a 20% EBITDA margin. Natural gas remains the cheapest, most deployable bridge fuel for AI campuses that cannot wait on grid interconnect queues.

Risk case: the stock’s five-year return of 691.87% leaves little room for execution slips. The Wind segment is still guided to roughly $400 million in EBITDA losses in 2026. Demand visibility past 2031 thins out as small modular reactors and other nuclear options come online. Recent retail sentiment has cooled from bullish on May 26, 2026 to bearish by June 9, 2026, and shares fell 7.32% on June 23 on broader AI-infrastructure risk-off flows.

Power generation has become the choke point of the AI arms race, and GE Vernova sits at the narrowest part of that funnel through the end of the decade. The question for investors is whether a sold-out 2029 justifies paying for the uncertain 2032.

D-Wave Quantum (QBTS 9.95%) stock jumped 2.3% on Tuesday as momentum investors swarmed to buy the stock in the wake of a Trump Administration order promoting the development of quantum computing. StreetInsider.com reported massive buying of call options in D-Wave stock yesterday -- 5.3 calls purchased for every put -- indicating traders were heavily bullish on the stock.

But it didn't last. As of 2:40 p.m. ET, D-Wave stock has given up all yesterday's gains and is crashing 8.9% today.

Image source: Getty Images.

Some good news for D-Wave? As NBC reports, President Trump on Monday signed an order "to build a powerful quantum computer for ​scientific research," aiming to have the device operational before he leaves office in 2029.

Further out, the President called for protecting government computer systems from cyberattacks made more powerful by the use of quantum computers, using other quantum computers to build "post-quantum cryptography" by 2030 or 2031.

And I must say, all of this sounds pretty bullish for a leading quantum computing stock like D-Wave, and a good reason for investors to be bidding up D-Wave stock yesterday.

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No bad news for D-Wave stock The other good news is that there's no specific bad news driving the sell-off today. It's just that all the buying yesterday may have gone a bit overboard, and the lack of any more good news like Monday's meant day-traders couldn't sustain the momentum.

Nor may it for a while.

2028? 2030? 2031? These are some long-range targets, even stretching into a new Presidential administration, which may or may not sustain government support for quantum computing efforts. Meanwhile, analysts polled by S&P Global Market Intelligence expect D-Wave to remain unprofitable the whole time -- through at least 2030.

Even with the prospect of government subsidies, D-Wave stock remains a risky bet.

Rich Smith has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Key Takeaways BigBear.ai is reshaping around government-focused AI, with Q1 gross margin expanding to 34%.BBAI's Ask Sage won new contracts with NASA, Army intelligence and the Naval Research Laboratory.BigBear.ai trails Palantir and C3.ai in scale but may carve out a niche in government GenAI. BigBear.ai Holdings, Inc. (BBAI - Free Report) has spent the past year reshaping its business around government-focused artificial intelligence, and first-quarter 2026 results suggest that strategy is gaining traction. While first-quarter revenues slipped 1% year over year to $34.4 million, the quality of revenue improved as higher-margin generative AI software and platform offerings drove gross margin expansion of 1,278 basis points to 34%. The company also reaffirmed its 2026 revenue guidance of $135-$165 million.

Government GenAI Strategy Is Taking ShapeBigBear.ai is increasingly positioning itself as a pure-play government GenAI company through its growing Ask Sage platform and deepening relationships with U.S. federal agencies. During the quarter, Ask Sage secured new contracts with NASA, the Army Intelligence and Security Command and the Naval Research Laboratory, expanding its footprint across mission-critical national security applications. Management noted that these wins are accelerating the company's transition from lower-margin services toward recurring technology revenue.

The broader government pipeline also appears encouraging. BigBear.ai signed a classified $53 million sole-source intelligence contract, increased backlog 14% sequentially to $281.9 million and continues to benefit from stronger demand across homeland security, defense and trade and travel markets. The company is also pursuing additional Department of Homeland Security opportunities following recent budget and leadership developments, while integrating Ask Sage and CargoSeer to expand its AI capabilities.

Financial flexibility has improved as well. BigBear.ai ended the quarter with $431.5 million in cash and investments after substantially reducing debt, giving it resources to invest in product development and potential acquisitions. However, investors should recognize that adjusted EBITDA remained negative and revenue growth has yet to fully reflect the expanding pipeline. If Ask Sage continues winning federal GenAI programs and technology revenue becomes a larger share of sales, BigBear.ai could increasingly emerge as one of the few publicly traded AI companies focused almost exclusively on government generative AI.

How Does BigBear.ai Compare With Government AI Rivals?BigBear.ai faces competition from Palantir Technologies (PLTR - Free Report) and C3.ai (AI - Free Report) , two companies that are also expanding their presence in government artificial intelligence.

Palantir has built a dominant position across U.S. defense, intelligence and federal civilian agencies through its Gotham and Artificial Intelligence Platform offerings. Palantir also benefits from a much larger installed customer base and greater financial resources, enabling it to scale GenAI deployments across government organizations.

Meanwhile, C3.ai continues to strengthen its federal business through enterprise AI applications for defense, aerospace and public-sector customers. C3.ai is increasingly integrating generative AI capabilities into its platform while leveraging long-standing government relationships to win new contracts.

However, unlike these broader enterprise AI providers, BigBear.ai remains more narrowly focused on mission-ready AI for national security, border protection and defense operations. That specialization, together with its growing Ask Sage platform, could help BigBear.ai carve out a differentiated niche as a government-focused GenAI provider, although it still trails Palantir and C3.ai in scale, profitability and commercial reach.

BBAI’s Price Performance, Valuation & EPS Estimate TrendShares of BBAI have trended 5.9% upward over the past three months, outperforming the Zacks Computers - IT Services industry, as shown below.

BBAI’s 3-Month Price Performance

Image Source: Zacks Investment Research

BBAI stock is currently trading at a premium compared with the industry peers, with a forward 12-month price-to-sales (P/S) ratio of 11.74, as evidenced by the chart below.

BBAI’s P/S Ratio (Forward 12-Month) vs. Industry

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for BBAI’s 2026 loss per share has narrowed in the past 60 days, as shown below. The estimated figure indicates a narrower loss from the year-ago level of 82 cents per share.

EPS Trend of BBAI

Image Source: Zacks Investment Research

STOCKHOLM--(BUSINESS WIRE)--Klarna Group plc (NYSE: KLAR) wishes to update investors that the Patent and Market Court in Stockholm, Sweden (Patent- och marknadsdomstolen) has again postponed publication of its judgment in the antitrust damages proceedings brought by PriceRunner, a Klarna subsidiary, against Google.

The Court has rescheduled publication of its judgment from June 26, 2026 to July 1, 2026 at 13:00 CET. As with the Court's two previous notifications, the rescheduling is a procedural decision by the Court and relates solely to the timing of the judgment delivery. In its notification, the Court cited high workload as the reason for needing additional time to finalize the judgment. No inference about the outcome should be drawn from it.

Important Notice

The outcome of the proceedings is inherently uncertain. No assurance can be given that PriceRunner will succeed on liability or quantum. Any award would be subject to appeal by Google, to sharing arrangements with former PriceRunner shareholders and Klarna's litigation funder, and to applicable taxation. The dollar amount of the claim should not be taken as an indication of any likely recovery. This announcement does not constitute a profit forecast.

If someone approached you and offered you the chance to buy a stock that's already up 700% this year, would you be interested? A lot of investors would immediately say no because they would think that all the upside has already been priced into the stock. However, that's the wrong way to approach it.

Investors should look at a stock fresh, without acknowledging prior gains. If it's priced right and there is more growth ahead, they should consider buying even if they missed the initial run-up.

One stock where I think this is the case is Sandisk (SNDK 4.73%). It has risen 727% as of market close Tuesday, which may have some investors ignoring it due to its strong past. However, its future is bright, and there can be more upside ahead for the bold investor.

Image source: Getty Images.

Its core business is still expanding Sandisk makes NAND memory, which is nonvolatile memory that maintains information even after power is cut off. This type of memory is slower than DRAM used in computing units, but it's still important for products like solid-state drives (SSDs).

Data centers need truckloads of SSDs for long-term data storage, and Sandisk cannot keep up with demand. As a result, prices for its SSDs are soaring, leading to record revenue and earnings growth.

The company and its peers are scrambling to get more production capacity ready to meet demand, but it may not be enough. AI hyperscalers plan on $650 billion in capital expenditures this year, breaking previous records. Next year, Nvidia predicts the amount will rise to $1 trillion. It likely has sound information on future demand, and trusting Nvidia is a smart idea for investors.

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If SSD demand is proportional to data center spending, demand will nearly double from now through 2027. That bodes well for Sandisk, and Wall Street prognosticators are on board. 

Analysts estimate that revenue will rise 122% during fiscal year 2027 (ending June 2027). That's another year of incredible growth, and earnings per share (EPS) estimates are also noteworthy. From fiscal 2026 to fiscal 2027, analysts expect EPS to rise from $65.45 to $183.05. If I price the stock on 2027 estimates, that values the stock at only 12 times forward earnings.

And 12 times forward earnings is a low price to pay for a company that's growing as fast as Sandisk is in an industry vital for data center expansion. I think that makes it a strong buy, and even though its stock has risen so much in 2026, it could still rise even further.

Silence Therapeutics Plc (NASDAQ:SLN) stock rose Wednesday after Cantor Fitzgerald initiated coverage with an Overweight rating and a positive outlook for its lead drug candidate.

Cantor Fitzgerald initiated coverage of Silence Therapeutics with an Overweight rating, arguing that the biotech’s lead candidate divesiran could emerge as a major challenger in the polycythemia vera market, with upcoming Phase 2 data expected in August serving as a potentially transformative catalyst and supporting a valuation upside of more than 160%.

Ongoing Phase 2 Study Could Be Major CatalystPV is a rare, slow-growing blood cancer that causes the bone marrow to produce too many red blood cells.

SANRECO Phase 2 study evaluating divesiran 6 mg (Q6W and Q12W dosing intervals) in 48 phlebotomy-dependent PV patients is ongoing, with topline results on track for August 2026.

Cantor analyst Prakhar Agrawal wrote, “We are positive on the upcoming P2 PV trial and expect divesiran to show rusfertide-like efficacy while offering a meaningful dosing convenience advantage (every 6-weeks or every 12 weeks), compared with rusfertide’s weekly dosing regimen.”

Dosing Convenience Seen As Competitive AdvantageThe study met its primary endpoint and all four key secondary endpoints. Rusfertide is a first-in-class investigational hepcidin mimetic peptide therapeutic, which has received FDA Orphan Drug and Fast Track designations.

Cantor noted that KOL checks suggest that, assuming comparable efficacy and safety to rusfertide, even an every 6-week dosing schedule could support meaningful uptake of divesiran in PV.

At a market cap of just $300 million, analyst Agrawal sees Silence Therapeutics as materially undervalued and initiated with an Overweight rating.

The analyst sees a high 75% probabilty of success for the Phase 2 PV trial, supported by divesiran’s strong Phase 1 data in PV with 100% response rate in well-controlled PV patients, and the valuation benchmark set by rusfertide in PV following its positive Phase 2 results.

Cantor says the valuation range implies over 160% upside from current levels. Risk/reward is very attractive for Phase 2.

Silence Therapeutics Price ActionSLN Price Action: Silence Therapeutics shares were up 22.90% at $8.93 at the time of publication on Wednesday. The stock is trading at a new 52-week high, according to Benzinga Pro data.

Image via Shutterstock

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Cerebras Systems CBRS shares tanked over 15% on Wednesday morning following its inaugural quarterly earnings report since its blockbuster initial public offering (IPO) last month.

While the artificial intelligence (AI) chipmaker nearly doubled its Q1 revenue to $193 million and topped Street estimates, investors are concerned about the compressed profitability guidance.

Cerebras expects its core gross margin to fall between 36% and 38% in the current quarter, which would represent a sharp decline from 47% in its fiscal Q1.

However, speaking with CNBC, Cerebras co-founder and CEO Andrew Feldman forcefully pushed back against the negative reaction, arguing the updated margin outlook is heavily “misunderstood”.

At the time of writing, Cerebras stock is down nearly 40% versus its year-to-date high.

Feldman clarified that the projected sequential decline in gross margin reflects an infrastructure bottleneck rather than a flaw in product pricing or core demand.

To satisfy an unprecedented rush of orders, the company is temporarily leasing back high-performance systems from its largest buyers while fresh data center infrastructure is constructed.

“Everybody wants more tokens,” he told CNBC, explaining that Cerebras Systems Inc chose to maximize customer satisfaction over short-term numbers.

“We had a choice and we could pass on the demand or we could keep our customers delighted... by renting some of our own gear back and taking a slightly lower margin.”

Crucially, CBRS shares may be attractive to buy on the post-earnings dip today because full-year core gross margin expectations were actually raised by 10 points versus the pre-IPO roadmap.

The sharp sell-off in Cerebras shares today may be exacerbated due to structural equity dynamics, specifically an unconventional lockup expiration framework.

Unlike traditional IPOs that restrict early investors from selling until a single 180-day cliff passes, CBRS opted for a phased approach designed to mitigate sudden market flooding.

Feldman said the company chose to “titrate out” its lockup restrictions – allowing partial tranches to unlock immediately on day one, followed by additional allocations directly after the first and second earnings calls.

This structured release may have triggered a wave of localized selling volume on Jun 24 as insiders liquidated early positions, creating intense downward pressure despite the underlying operational beat.

Despite immediate market friction, CBRS stock remains attractive because the firm's commercial trajectory is remarkably robust, anchored by a multi-year backlog exceeding $24 billion.

The chipmaker has fully finalized its massive master reseller agreement with OpenAI, a staggering contract worth "north of $20 billion" to deploy 750 megawatts of specialized inference capacity.

Moreover, the company recently finalized its definitive collaboration agreement with Amazon Web Services (AWS), a partnership designed to put its blazing-fast hardware directly in front of global enterprises.

As the data center shortage eases throughout the back half of 2026 and these mega-contracts begin to filter into official consensus forecasts next year, Feldman remains confident that Cerebras’s hardware advantages will ultimately eclipse near-term infrastructure bottlenecks.

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

© Thongden Studio / Shutterstock.com

A friend of Paula Pant’s bought SpaceX (NASDAQ:SPCX) at $171, sold at $191, and walked away with roughly $400 to $500 in profit. Then he walked away convinced that stock-picking is easy. On a recent Afford Anything Q&A, financial commentator Joe Salci summed up the problem in four words. “He learned the wrong lesson,” Salci said.

That sentence is the personal-finance lesson of the SpaceX IPO, compressed. The trade worked. The decision was still bad. And if you internalize the win without understanding the math behind it, the next trade is the one that funds somebody else’s vacation home.

The verdict before the math Salci and Pant are right, and the reasoning matters more than the call. A profitable trade does not validate the process that produced it. “Sometimes it works out, and that doesn’t mean that it was a good idea,” Pant said on the show. This is survivorship bias dressed up as a brokerage statement. You see the friend who flipped SpaceX for a few hundred bucks. You do not see the dozens of retail buyers who chased about $202 a week ago and are now looking at about $158.

One IPO doubled 71 others combined Salci’s framing is the cleanest illustration of why this IPO is structurally different from the ones around it. “That IPO raised $75 billion. Get this, there were 71 other IPOs since January 1st. Combined, they raised $35 billion. One IPO doubled the amount of the other 71 IPOs,” he said.

Sit with that. SpaceX is the outlier that distorts the average for IPOs. If a retail investor concludes from SpaceX that IPOs print money, they are generalizing from a single data point that is, by the speakers’ own numbers, larger than the rest of the 2026 IPO calendar put together. The base rate for new listings looks like a coin flip with worse odds, longer lockups, and institutions on the other side of your trade.

The price action since launch makes the point in dollars. SPCX fell 23% in a single week, from June 16 to June 23. Reddit’s sentiment score on the name collapsed from a peak of 75 on June 13 to 17 on June 18, when the dominant thread was titled “SPCX – Beware, institutional money is NOT buying this trash on the open market.” The friend who sold at $191 looks brilliant. Anyone who bought from him looks like a cautionary tale.

The variable that decides whether this hurts you The single factor that determines whether a SpaceX-style trade is harmless or ruinous is the job the money was supposed to do. Salci and Pant were responding to a caller holding individual stocks inside a short-term house fund, which both flagged as clearly wrong. That is the variable. Time horizon.

Run the two scenarios. A 28-year-old puts $5,000 of long-dated retirement money into SPCX, watches it drop 22% in a week, and waits. The portfolio has 30 years to recover, and the dollars were never earmarked for a near-term goal. A 33-year-old puts a $40,000 down payment into the same trade three months before closing on a house. A 22% drawdown becomes a canceled offer.

The instrument did not change. The job changed. Short-term money belongs in instruments that match short-term liabilities. T-bills, money market funds, or a high-yield savings account, not an IPO trading on hype that hasn’t cleared its lockup.

What to actually do Use the SpaceX moment to pressure-test your own setup with three specific moves.

List every dollar you’ll need in the next 36 months. Down payment, tuition, tax bill, wedding. If any of it sits in single stocks or recent IPOs, move it into cash equivalents this week. For the long-term bucket, compare your IPO trade to the boring alternative. SPDR S&P 500 ETF (NYSEARCA:SPY) charges 0.0945% a year and gives you fractional ownership of hundreds of leading U.S. companies. Your edge over that benchmark is the thing you have to justify, not assume. Write down the thesis before the trade and the exit before the entry. If the only reason you can articulate is “it went up for my friend,” that is survivorship bias talking, and Salci already named the cost. “Huge risk for non-life-changing returns.” The friend who made $400 on SPCX sampled one outcome from a distribution he never saw. The real lesson is that a good outcome and a good decision are different things, and confusing them is how everyday investors fund the next bubble.

David George, a general partner at Andreessen Horowitz LLC and early SpaceX investor, says Elon Musk's newly public company has the capability to pull off the big bet on artificial-intelligence computing capacity in space. He speaks with Ed Ludlow on "Bloomberg Tech.

Space Exploration Technologies (SPCX +0.44%), aka SpaceX, has been the talk of the town. The rocket launch, satellite, and artificial intelligence (AI) company had its initial public offering (IPO) earlier this month, and to say it was a success might well be an understatement. The company raised $85.7 billion, the stock jumped 19% on its first day of trading, and its market cap jumped to a cool $2 trillion.

And while it was undoubtedly the biggest, SpaceX wasn't the only blockbuster IPO so far this year. AI chipmaker Cerebras Systems (CBRS 18.18%) debuted to much fanfare last month, soaring 68% on its first day of trading after selling 34.5 million shares in all and raising $6.38 billion. Moreover, the successful debut was seen as paving the way for the upcoming SpaceX IPO.

Cerebras reported its first financial results as a public company, offering an important lesson for SpaceX investors. Let's dive into the details.

Image source: The Motley Fool.

All investors wanted and moreFor the first quarter, Cerebras generated revenue of $193.4 million, up 94% year over year and 13% sequentially. The results were driven higher by hardware revenue of $110.6 million, up 59% year over year, and by cloud and other services revenue, which surged 178% to $82.8 million. The company also edged closer to profitability, with an adjusted loss per share of $0.04.

For context, Wall Street's consensus estimates were guiding for revenue of $181 million and an adjusted loss per share of $0.16, so the chipmaker surpassed expectations on both counts.

Cerebras highlighted several recent wins that bode well for the future. The company entered into a multi-year partnership with Amazon Web Services (AWS) to bring its fast AI inferencing technology to the company's cloud customers. It also underscored a multi-year agreement with start-up OpenAI to provide 750 megawatts (MW) of computing capacity, in a deal valued at $20 billion.

The chipmaker provided an upbeat forecast. For the second quarter, Cerebras is guiding for revenue of $194 million, up 88% year over year, outpacing Wall Street's estimates of $174.3 million. The company also increased its full-year guidance for core revenue to a range of $855 million to $865 million, well ahead of expectations for $828 million. Management noted that its 47% gross margin would narrow as the year progressed.

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Cerebras' Wafer Scale Engine (WSE) is an AI chip that uses the entire silicon wafer, rather than cutting it down into hundreds of smaller chips. This process keeps all processing on a single chip, reducing the latency (time delay) inherent in communication between semiconductors.

Management noted that this gives the company an advantage over the competition, as it "delivers the fastest AI in the world." Speed is increasingly important in AI, as users seek answers and solutions more quickly. 

This is all good news, right? In response to better-than-expected results and an improved outlook, the stock plunged 18% (as I write this).

What does this have to do with SpaceX?The first few quarters can be fraught with peril for any newly public company -- particularly in the wake of a blockbuster IPO. Investor expectations can be unrealistic, and the results may not go to plan, causing increased volatility. The stock could face a reckoning when SpaceX reports its first quarterly results in late July or early August.

Today's Change

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Moreover, the volatility could be amplified, as the company's staggered lockup expiration will likely complicate matters. Specifically, the first tier will be released just two days after SpaceX reports results, allowing the sale of 20% of shares held by employees and early investors. Furthermore, if the stock trades at 30% above its IPO price -- or $175 -- that could trigger the release of another 10% of insider shares.

Finally, SpaceX is selling for 110 times sales and 54 times next year's expected sales, which is exorbitant by any measure. A valuation of this magnitude will likely amplify volatility even further.

SpaceX could deliver a stellar earnings report, outpacing Wall Street expectations across the board -- and the stock could still plunge.

Forewarned is forearmed.

Shares of tech giant Apple Inc. NASDAQ: AAPL are trading just under $300 this week, as they continue to bounce off their low from earlier this month and move back towards the all-time high they hit a few weeks ago.

Apple Today

$294.98 +0.68 (+0.23%)

As of 03:17 PM Eastern

This is a fair market value price provided by Massive. Learn more.

52-Week Range$199.26▼

$317.40Dividend Yield0.37%

P/E Ratio35.67

Price Target$314.85

The bull case for the stock has been quietly strengthening despite the wobble that followed the recent Siri AI announcement. The latest piece of news adds another credible reason to think the next leg higher could already be underway.

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It was reported late last week that Apple has agreed to partner with Intel NASDAQ: INTC to design and manufacture some of its chips in the United States. It's a deal that, at first glance, seems to come out of nowhere, given Apple's history of moving away from Intel chips to its own in-house Apple Silicon several years ago.

However, when you start digging into the timing and the broader pressures the company has been navigating, it's hard to see this as anything other than a seriously strategic move. Let's jump in and see why below.

Why the Timing Is So CompellingThe big picture here is that Apple has been quietly grappling with several significant supply chain headaches, and this deal helps to ease them. The main one is memory chip pricing. As we covered recently, surging costs have begun to bite into Apple's margins to the point that Tim Cook has publicly acknowledged that the "situation has become unsustainable" and that "price increases are unavoidable." That's the kind of statement that doesn't get made lightly, particularly by a CEO famous for measured language.

Layered on top of that is Apple's longstanding overdependence on Taiwan Semiconductor Manufacturing Company NYSE: TSM for its most advanced chips. TSMC's production lines are in extraordinary demand from AI chipmakers like NVIDIA NASDAQ: NVDA and Advanced Micro Devices NASDAQ: AMD, which have steadily pushed up costs and intensified the risk of bottlenecks for everyone who relies on the foundry.

The Right Deal at the Right TimeApple has been chasing a more diversified manufacturing footprint for years, with expansion into Vietnam, India, and the US, but a deal of this scale with Intel takes that effort to a whole new level.

The team at Wedbush put it well, noting that "this is the right time to do this deal with Apple looking to diversify its manufacturing footprint" while demand for advanced chips continues to climb. Coming as it does just ahead of what's expected to be a multi-year AI-driven device cycle, the deal effectively locks in domestic capacity right as Apple's AI ambitions begin to take shape.

A Political Tailwind That's Hard to IgnoreThe other reason this deal looks so well-timed is the wider political backdrop. The US administration has made it a stated priority to bring semiconductor manufacturing back to American soil, and Intel has emerged as the central beneficiary of that policy. Apple's agreement to partner with Intel on domestic production, therefore, brings the company directly into alignment with that political direction of travel.

For a multinational of Apple's scale, that's a strategic move on multiple levels. As we've seen with other big tech names in recent months, being on the wrong side of US trade and manufacturing policy can quickly turn into a sustained headwind.

By proactively committing to domestic chip production, Apple has essentially insulated itself from a chunk of that risk in one move, while also strengthening its standing as one of the largest investors in US manufacturing.

How This Supports Higher PricesOverall MarketRank™91st Percentile

Analyst RatingModerate Buy

Upside/Downside5.6% Upside

Short Interest LevelHealthy

Dividend StrengthStrong

News Sentiment0.88 Insider TradingSelling Shares

Proj. Earnings Growth9.50%

See Full Analysis

There's a third reason this deal is being received so well: it lays the groundwork for Apple to potentially raise prices on its core products with significantly less risk. With Tim Cook already flagging that price hikes are coming, likely in September alongside the new iPhone lineup, the Intel partnership gives Apple a credible story to tell consumers and shareholders about why those higher prices are sustainable.

Wedbush analyst Dan Ives said Apple is in a strong position to raise prices without sacrificing hardware performance or increasing customer churn, citing the company’s growing focus on higher-end consumers. That bullish view is also reflected in Apple’s Moderate Buy consensus rating, which suggests Wall Street remains constructive despite the stock’s recent wobble. For investors, that’s close to the dream scenario, and one that few companies could deliver at Apple’s scale.

The Bigger Picture for the StockWith Apple now firmly in motion on its AI strategy, the Intel partnership cementing a more resilient supply chain, and the broader political winds at its back, the company is going into the second half of the year with arguably its strongest setup in a long time.

And while the price action at the start of June briefly suggested otherwise, the underlying picture is becoming more optimistic by the day.

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Meta Platform’s NASDAQ: META last earnings report disappointed investors, leading shares to fall more than 8% to $611 afterward. This drop has so far indicated the start of a larger slide for the stock, as Meta has continued to tumble, recently falling below $575.

Meta Platforms Today

$558.48 -3.72 (-0.66%)

As of 03:17 PM Eastern

This is a fair market value price provided by Massive. Learn more.

52-Week Range$520.26▼

$796.25Dividend Yield0.38%

P/E Ratio20.30

Price Target$840.60

The company’s increased capital expenditure guidance was the main culprit for that initial drop. Additionally, although Meta grew revenue by 33% year over year (YOY), the company did not make any substantial artificial intelligence product announcements, which likely added fuel for the bears.

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Unfortunately, as Meta looks to roll out such offerings, there appears to be significant internal turmoil at the company. Meta's Chief Technology Officer (CTO) recently made stark comments about employee morale, and a top AI executive recently left the firm.

While this may seem innocuous at first, it is important to remember that an investment in any stock is also an implicit bet on the people behind the ticker. Meta’s internal struggles are worth paying attention to, especially given the company’s current position. At the same time, Meta Platforms has made tangible progress with its AI strategy, and the machine won’t stop chugging amid the noise.

Morale Nears Basement Levels as Investors Eye AI Product DevelopmentThe question surrounding Meta in 2026 is whether it can justify hundreds of billions in AI spending based on advertising optimization alone. This creates a need for the company to develop other AI products to drive growth.

Against this backdrop, Meta recently laid off 10% of its employees, aimed at helping it cut down costs as AI spending rides higher. Just as significant was the company’s move to reallocate 10% of its remaining workforce to AI-related positions. This could allow the firm to more quickly develop the alternate AI revenue sources investors are watching for.

In that context, recent comments made by CTO Andrew Bosworth are somewhat concerning. In an internal meeting, Bosworth said employee morale is “maybe not the worst it’s ever been in 20 years here, but it’s probably up there. It’s definitely up there,” per Business Insider. In a staff memo, Bosworth also called Meta’s explanation of its AI restructuring to employees "atrocious."

For a company facing pressure to offset its AI spending with AI growth, employee morale sitting near a 20-year low is unlikely to help its mission. This is further exacerbated by the AI component of the restructuring, which appears to be a significant driver of dissatisfaction. Meta has undergone large-scale layoffs before, but this was the first time AI played a significant role in such a move.

Adding to the list of investor concerns is the departure of Emily Dalton Smith. Meta assigned Smith the task of leading improvements in internal AI usage among its employees. However, after only about two months in this role, Smith is leaving the Magnificent Seven company following a 10-year overall stint. While a single departure does not make or break a company, this suggests that even high-up, long-standing employees are unhappy with Meta’s AI shakeup.

Meta’s AI Successes: Sky-High Advertising Growth & Muse Spark DevelopmentDespite this, it is worth detailing the important successes that Meta has achieved recently. As noted, Meta’s growth hit 33% YOY last quarter. This was the company’s fastest growth rate in four years and a huge acceleration compared to 24% YOY growth in the prior quarter. Excluding pandemic-era spikes in revenue growth seen as people spent more time online, Meta’s growth last quarter was its fastest since 2018.

This is largely a product of Meta's use of AI to improve its ranking and recommendation algorithms. Increasingly, its apps are showing users content and ads they are more likely to engage with, boosting growth.

Furthermore, Meta released its latest Muse Spark model in April. According to AI model evaluation site Artificial Analysis, Muse Spark is by far the company’s most intelligent model. On its Intelligence Index, Muse Spark currently holds a score of 43. This is more than three times higher than Meta’s previous model Llama 4 Maverick, which has a score of 14. However, Muse Spark is still well behind Anthropic and OpenAI’s top models, which have scores of 55 to 60.

Nonetheless, Meta has dramatically improved its top model. Furthermore, Muse Spark’s score is now within spitting distance of Alphabet’s NASDAQ: GOOGL top model, Gemini 3.1 Pro Preview, which has a score of 46. Importantly, the shift came just 10 months after Meta hired Alexandr Wang as its first Chief AI Officer. This demonstrates that Meta can still improve quickly—providing confidence that it can do the same going forward.

Meta: Clear AI Wins Overshadow Morale ConcernsMeta Platforms Stock Forecast Today12-Month Stock Price Forecast:
$840.60
49.43% Upside

Moderate Buy
Based on 48 Analyst Ratings

Current Price$562.52High Forecast$1,015.00Average Forecast$840.60Low Forecast$700.00Meta Platforms Stock Forecast Details

Meta’s internal turmoil is not exactly what investors want to see as the company aims to provide new revenue-generating AI products. Infighting could delay that development exactly when Meta needs to accelerate it.

Still, the huge improvement in top-line growth and the quick turnaround of Muse Spark are testaments to the company's AI success. While internal issues may slow it down, they are very unlikely to stop Meta from delivering key AI improvements in the long term.

Notably, as Meta shares have slid, Wall Street analysts continue to take a bullish outlook on the stock. The MarketBeat consensus price target of $840 implies upside of about 50%.

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People visit a Tesla service center and gallery in Austin, Texas, U.S., June 21, 2025. REUTERS/Joel Angel Juarez/File Photo Purchase Licensing Rights, opens new tab

SummaryCompaniesModel 3 driver used Autopilot before crash, lawsuit saysSeventy-six-year-old grandmother pinned in her home, later diedNHTSA has probed dozens of Tesla crashes linked to driver assistanceTesla unavailable for comment, has said driver drove fastJune 24 (Reuters) - Tesla (TSLA.O), opens new tab has been sued by the family of a 76-year-old Texas grandmother killed ‌last week when a driver using his Model 3's automated driving assistance system crashed into her suburban Houston home, the family's lawyers said.

According to a complaint filed on Tuesday, Elon Musk's electric vehicle maker should be liable for the wrongful death of ​Martha Avila, reflecting its gross negligence and failure to warn that its Autopilot and Full Self-Driving ​systems were defective.

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Avila's daughter, Jennifer Barbour, and her husband, Justin Barbour, said the Model ⁠3's driver, Michael Butler, told law enforcement he engaged Autopilot before plowing through the front wall of ​Avila's home in Katy, Texas, on June 19, pinning her.

She died later at a nearby hospital, the complaint said. ​Justin Barbour said he was also injured.

The lawsuit filed in a Harris County, Texas, state court seeks more than $1 million in damages, and punitive damages reflecting Tesla's alleged "reckless disregard for a substantial risk of severe bodily injury."

Tesla and Musk did not ​immediately respond to requests for comment.

Musk, the world's richest person, posted on X on Monday night: "FSD drives ​slowly through neighborhood streets and this was a high speed crash!"

Ashok Elluswamy, vice president of AI software at Tesla, posted ‌separately on ⁠X that "the driver manually overrode self-driving by pressing the accelerator all the way to 100% of the accel pedal in this residential area."

DOZENS OF TESLA PROBESThe National Highway Traffic Safety Administration has been investigating the crash.

It has since 2016 opened nearly 50 special investigations of Tesla crashes believed to involve advanced driver assistance systems. About two ​dozen deaths were reported.

In March, ​the NHTSA escalated its ⁠probe into 3.2 million Teslas equipped with Full Self-Driving, on concern the system may fail to detect or warn drivers in poor visibility.

And in 2023, Tesla recalled ​about 2 million vehicles, nearly all of its electric vehicles on U.S. roads, ​to better ⁠ensure that drivers pay attention when using Autopilot.

Tesla has said Autopilot enables vehicles to steer, accelerate and brake within their lanes, while Full Self-Driving lets vehicles obey traffic signals and change lanes.

The automaker has also said both technologies require "fully ⁠attentive" drivers ​whose hands are on the wheel.

Butler is also a defendant ​in the Barbours' lawsuit. It is unclear whether he has a lawyer. Efforts to reach him were not immediately successful.

The Barbours' lawyers did ​not immediately respond to requests for additional comment.

Reporting by Jonathan Stempel in New York; Editing by Matthew Lewis

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

HomeIndustriesSunrun, a provider of home battery storage, is working with Tesla to meet the energy needs of AI data centersPublished: June 24, 2026 at 2:28 p.m. ET

Shares of Sunrun, the home solar-panel and battery-storage provider, are surging as investors consider the company’s ability to play a more substantial role in the expensive artificial-intelligence buildout.

Sunrun RUN on Wednesday said it would work with Elon Musk’s Tesla TSLA and the energy-management platform Renew Home to deliver more than 16 gigawatts of flexible energy capacity to hyperscalers and utilities.

Uber Technologies UBER shares are ripping higher on Wednesday morning after the ride-hailing giant confirmed it has added five major, diverse brands to its on-demand Uber Eats marketplace.

As investors cheered the announcement, UBER broke above its key moving averages (20-day, 50-day, and 100-day), indicating bulls are beginning to take back control across multiple timeframes.

Despite today’s rally, Uber stock remains down nearly 10% versus the start of this year (2026).

Uber has added five prominent, high-profile brands to its on-demand marketplace, significantly broadening its reach beyond traditional restaurant and grocery delivery, including FedEx Office, Kiehl’s, Academy Sports + Outdoors, Blick Art Materials, and Choice Pet.

This multi-vertical rollout deepens UBER’s “high-margin” retail delivery segment and builds on its partnerships with Home Depot, Sephora, and Best Buy.

Uber shares are extending gains because this expansion shifts users from transactional food ordering to lower-churn, recurring Uber One memberships.

Note that UBER’s relative strength index (RSI) sits in the early 50s currently, indicating significant room to the upside before the stock climbs into the “overbought” territory.

Uber Technicals Wall Street values this because it shifts users from transactional food ordering to lower-churn, recurring Uber One memberships, expanding their non-restaurant retail scale.

Heading into Jun. 24, UBER stock was trading at a rather compelling 2.8x sales, weighed down by structural operating costs and competitive concerns surrounding Waymo’s scale-up in the autonomous vehicle (AV) space.

Capital is flowing back into the equity today also because it was trading just a few percentage points above its 52-week low – signaling an attractive valuation cushion.

Analysts at Wall Street firms like Tigress Financial have recently flagged Uber Technologies Inc as “undervalued”, maintaining a $115 price target that suggests potential upside of more than 50% from current levels.

With gross bookings projected to hit at least $56.25 billion in Q2, institutional investors are using today’s retail news as a technical trigger to step in and buy the dip – banking on Uber's robust free cash flow growth.

All in all, the announced marketplace expansion gives UBER shares exactly what they needed to turn the narrative around: a tangible growth catalyst that rewards patient investors.

By successfully leveraging its massive logistics engine to capture steady, high-margin retail spend, Uber is proving it can grow its profitable Uber One subscriber base even while facing long-term autonomous vehicle pressures.

Crucially, technicians and institutional dip-buyers are clearly liking what they see today.

If Uber’s upcoming Q2 numbers can validate the margin-expansion thesis and keep gross bookings on track, today’s technical breakout could easily be the first leg of a sustained summer recovery.

Created by Charles Dow in 1896, the Dow Jones Industrial Average began with 12 stocks and later expanded to 30 in 1928 with a goal of covering the broader U.S. economy with the names represented in the index.

Over time, the 30 companies have changed, with the index updating every couple of years to better reflect the U.S. economy.

The latest change will happen on Monday, June 29, with Alphabet replacing Verizon. The move is the first change made by the Dow Jones Industrial Average since Nov. 8, 2024.

Since that date, here are the stock returns for the four names:

Nvidia: +34.3% Sherwin-Williams: -13.8% Intel: +412.0% Dow: -40.1% For comparison, the SPDR S&P 500 ETF (NYSE:SPY), which tracks the S&P 500 Index, is up 23.2% over the same time period.

The last change prior to November 2024 was a move in February 2024 that saw Amazon.com Inc (NASDAQ:AMZN) replace struggling drugstore Walgreens, which is now privately held.

Since Feb. 26, 2024, Amazon’s stock has been up 36.9%.

Walgreens shares lost around 42% of their value from the day they were removed from the Dow Jones Industrial Average to the day they were taken private.

The SPDR S&P 500 ETF is up 45.3% since Feb. 26, 2024.

Of the three stocks added to the Dow Jones Industrial Average in 2024, only Nvidia has outperformed the S&P 500 since it joined.

What’s Next For Alphabet, Dow Jones Industrial AverageWith the latest addition to the Dow Jones Industrial Average, the index of 30 stocks may trend more towards big technology.

"Its largest market capitalization and share price, together with the breadth of its businesses, make it a more representative Communication Services constituent in the DJIA," S&P Dow Jones Indices said of the move.

The index company cited the advertising, cloud, AI, hardware, autonomous mobility, health care technology and media distribution segments of Alphabet as making it a strong entry in the Dow Jones Industrial Average.

With Alphabet added, five of the Magnificent Seven stocks will now be part of the Dow Jones Industrial Average. Here are the addition dates to the index for the five stocks:

Alphabet: June 2026 Nvidia: November 2024 Amazon.com: February 2024 Apple: March 2015 Microsoft: November 1999 Photo: Shutterstock

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Zoox plans to move the new robotaxi into large-scale production soon, expecting it will become available to riders later this year.

Investors have spent much of the past year debating whether Big Tech’s massive artificial intelligence spending spree is getting out of hand. Chamath Palihapitiya thinks they’re asking the wrong question.

Instead, he says the companies are pouring cash into one of the largest infrastructure buildouts in technology history. “Capex has exploded,” Palihapitiya wrote, arguing that investors should not confuse lower free cash flow with weaker operating performance.

The Free Cash Flow MisunderstandingAt a basic level, free cash flow equals operating cash flow minus capital expenditures.

Palihapitiya noted that operating cash flow remains strong across the hyperscalers. What has changed is the amount of money being spent on AI infrastructure, including data centers, chips, networking equipment and power systems.

As a result, free cash flow has come under pressure—not because the businesses are generating less cash, but because they’re spending more of it.

The distinction matters.

Investors often view declining free cash flow as a warning sign. Palihapitiya argues that in this case, it may actually reflect an aggressive investment cycle.

Think Amazon, Not Quarterly EarningsTo make his point, Palihapitiya pointed to Amazon.com Inc. (NASDAQ:AMZN).

For years, Amazon reinvested heavily in logistics infrastructure and Amazon Web Services, sacrificing near-term profitability to build long-term competitive advantages. Today, AWS is one of the most profitable businesses in technology.

Palihapitiya believes the current AI buildout could follow a similar pattern.

“The question should be what moat did Amazon create at the end of that cycle and what kind of moat could the hyperscalers build now related to AI after this cycle?” he wrote.

Who Benefits If He’s Right?The answer could extend well beyond Microsoft, Alphabet and Meta.

The hyperscalers are collectively spending hundreds of billions of dollars on AI infrastructure, creating demand across the supply chain.

For investors, the debate may ultimately come down to whether AI spending should be viewed as a cost or an investment.

Palihapitiya’s view is clear: the hyperscalers aren’t bleeding cash. They’re building moats.

Image via Shutterstock

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