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Matador’s Results Were Better Than Feared, But 2026 Headwinds Still MatterMettler-Toledo International NYSE: MTD reported second-quarter results that exceeded its prior sales-growth expectations, supported by improving market conditions, particularly in China and other emerging markets, as well as its sales and marketing initiatives.

Chief Executive Officer Patrick Kaltenbach said the company’s performance reflected “better-than-expected organic sales growth across our portfolio,” with strong execution of its Spinnaker sales and marketing program and productivity initiatives contributing to adjusted earnings-per-share growth.

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3 Mid-Cap Energy Firms Analysts See Moving Up to the Big LeaguesSecond-quarter sales were $1 billion, up 7% in U.S. dollars and 6% in local currency. Acquisitions contributed about 1.5 percentage points of sales growth, while organic local-currency sales increased 4%.

The company said its reported results included a one-time $52 million gross benefit from IEEPA tariff refunds, which was recorded in cost of sales. That benefit was partly offset by a $28 million refund to customers that reduced reported net sales by 3%. Management excluded both tariff-refund items from its discussion of adjusted results and guidance.

Regional and Business-Line Performance 5 Highly Rated Dividends With 50% Upside According to AnalystsOrganic sales, excluding acquisitions and tariff refunds, increased 1% in the Americas, 4% in Europe and 9% in Asia/rest of world. China also grew 9%, exceeding management’s expectations.

Kaltenbach said China’s growth was led by Industrial, which posted double-digit growth in the country. Demand was supported by biopharma, food, batteries and new-energy investments. Laboratory growth in China was more modest, though the company expects further improvement in the second half.

By product area, organic sales in Laboratory increased 4%, while Industrial sales rose 3%. Core Industrial grew 4%, partially offset by 1% growth in Product Inspection. Food Retail sales increased 11%, aided by the timing of project activity, while service revenue rose 9%, or 7% organically.

Laboratory growth was broad-based, according to Kaltenbach. Process analytics and bioproduction performed strongly, while laboratory balances and analytical instruments benefited from newer product introductions. The company also cited demand for its LabX software platform and activity in semiconductors, advanced materials and batteries.

In Industrial, Mettler-Toledo saw strong demand for automation-related solutions across biopharma, food manufacturing, semiconductors and new energy. Product Inspection growth was modest because of customer-project timing, but Chief Financial Officer Shawn Vadala said the company expects organic growth in that business to improve in the second half. He projected mid-single-digit Product Inspection growth for the third quarter and high-single-digit growth for the full year, including acquisition contributions.

Margins, Earnings and Cash Flow Adjusted gross margin was 59.3%, up 30 basis points from a year earlier. Excluding foreign exchange and acquisitions, gross margin expanded about 90 basis points, driven by favorable price realization, lower tariff rates than the prior year, volume growth, productivity initiatives and cost savings. Those benefits were partly offset by higher transportation costs.

Adjusted operating profit rose 9% to $309 million, and adjusted operating margin increased 50 basis points to 29.3%. Excluding unfavorable currency, adjusted operating margin increased 100 basis points.

Adjusted EPS increased 14% year over year to $11.46. Reported EPS was $11.55, compared with $9.76 in the prior-year quarter. Reported EPS included a net tariff-refund benefit of $0.92, along with $0.26 of purchased intangible amortization, $0.22 of restructuring costs, a $0.04 tax headwind tied to stock-option exercise timing, and a $0.31 acquisition-related charge related to higher earn-out achievements.

Year-to-date adjusted free cash flow was $367 million, affected by tax payments that were $55 million higher than the prior year because of timing. The company reported days sales outstanding of 35.6 days and inventory turnover of 4.2 times.

Raised Full-Year Outlook Mettler-Toledo raised its 2026 local-currency sales-growth forecast to approximately 4% to 5%, from approximately 4% previously. The revised outlook implies 3% to 4% organic local-currency growth and excludes the tariff-refund effects.

Full-year adjusted EPS is projected at $47.15 to $47.50, representing growth of 10% to 11%, or 11% to 12% excluding currency. The prior full-year adjusted EPS outlook called for growth of 8% to 10%. Third-quarter local-currency sales growth is expected to be about 4%, including roughly a 0.5% benefit from acquisitions. Third-quarter adjusted EPS is forecast at $12.00 to $12.15, up 8% to 9%, or 9% to 10% excluding currency. Full-year free cash flow is expected to be approximately $900 million. The company now expects to repurchase $875 million of shares during 2026, compared with an annualized repurchase pace of $825 million in the first half. At recent spot rates, the company expects foreign currency to add about 1% to full-year sales growth but create a slight EPS headwind. Currency is expected to be neutral to third-quarter sales and reduce third-quarter adjusted EPS growth by roughly 1 percentage point.

Emerging Markets, Biopharma and Market Conditions Kaltenbach highlighted emerging markets as a long-term source of growth. Emerging markets outside China accounted for approximately 18% of second-quarter sales, slightly more than the company’s China business, and grew at a high-single-digit rate. Management said those markets have grown at a high-single-digit local-currency average over the past five years.

The company cited India, Southeast Asia, Eastern Europe and Latin America as areas of opportunity, including potential benefits from nearshoring investment. Kaltenbach said Mettler-Toledo’s local market organizations, direct sales capabilities, local manufacturing and assembly capabilities in markets such as Mexico, and global data infrastructure position it to pursue growth opportunities.

Management also said biopharma activity improved, particularly in process analytics and bioproduction. Kaltenbach said Mettler-Toledo is seeing requests for quotations tied to U.S. reshoring, but characterized the opportunity as still in its early stages. He said more substantial facility investments could extend into 2027 and 2028.

While the company acknowledged continued geopolitical uncertainty and volatile conditions in the Middle East, Vadala said Mettler-Toledo has limited exposure to the region and has not observed a related change in customer behavior. The company did not include an escalation of the conflict in its forecast.

“We remain focused on capitalizing on our customers’ investments in automation, digitalization, and onshoring around the world,” Kaltenbach said.

About Mettler-Toledo International (NYSE:MTD)Mettler-Toledo International Inc is a global manufacturer and distributor of precision instruments and services for laboratory, industrial and food retail applications. The company's product portfolio includes laboratory balances and analytical instruments, industrial weighing systems, process analytics and sensors, metal detection and x-ray inspection equipment, checkweighers, and a range of automated inspection and data-management solutions. Mettler-Toledo also provides software, calibration and lifecycle services intended to support compliance, quality control and operational efficiency across customer facilities.

The company serves a broad set of end markets including pharmaceutical and biotech laboratories, chemical and food processors, logistics and manufacturing operations, and retail environments where accurate weighing and inspection are critical.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in Mettler-Toledo International Right Now?Before you consider Mettler-Toledo International, you'll want to hear this.

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If you want proof that "very good" still isn't always good enough for investors, look no further than the market's response to SoFi Technologies' (SOFI -0.97%) second-quarter results. Revenue grew 40% year over year to $1.2 billion, pushing per-share earnings up from $0.08 a year ago to $0.12 this time around, both of which topped estimates of $1.12 billion and $0.11, respectively. Yet, largely because the online bank didn't raise its 2026 profit guidance despite raising its full-year revenue outlook, the stock tanked to the tune of 10% on Wednesday.

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The thing is, SoFi reported a seemingly meaningless metric for Q2 that could actually be a pretty big deal for its bottom line in the foreseeable future...even if the company isn't saying as much.

Increasingly tapping more cost-effective prospects It's not a complicated business. SoFi Technologies offers its customers everything a more traditional brick-and-mortar bank can, including checking, loans, savings, credit cards, investment services, and more. It's just all accessed online. And for much of its existence, most of the company's customers used only one of SoFi's products or services.

That's finally changing in a big way, though. Last quarter, 51% of the 2.22 million new products or services it sold were sold to existing customers. That's up from 43% just a quarter earlier and 35% in Q2 of last year. Said another way, while SoFi Technologies added 1.12 million new members last quarter to bring its customer headcount up to 15.81 million, it did just as well selling products to its existing users, who are much cheaper and easier to access and many of whom have now been around long enough to trust SoFi with more of their finances. End result? The average SoFi member now utilizes 1.54 products, up from an average of 1.46 just a year ago.

Image source: SoFi Technologies Q2-2026 investor report.

The new normal At first blush, this doesn't seem to mean much. Although it's progress, it's progress that only extends existing trends.

This is a bigger deal than it seems on the surface, though. That figure of 51%, paired with the fact that SoFi's new customer growth is still accelerating rather than slowing down, says the company is at a tipping point many investors have been waiting for it to reach: being able to cost-effectively add revenue by leveraging -- for free -- its existing customers, most of whom almost certainly have assets held elsewhere. This dynamic ultimately raises each of these customers' lifetime value to SoFi.

Image source: Getty Images.

No, it doesn't look like this growing per-member lifetime value is going to make much positive impact in the immediate future. As was noted, while the online bank now expects to report 2026 revenue of between $4.75 billion and $4.85 billion, versus previous guidance of $4.655 billion, it's still calling for earnings before interest, taxes, depreciation, and amortization (EBITDA) of only $1.6 billion. That's what rattled shareholders.

Just don't lose sight of the bigger picture. SoFi Technologies has proven not only that online banking is marketable but also that it can be profitable. The stock's post-earnings dip, which dragged it back to less than half of its November peak, also leaves it more than 20% below analysts' consensus price target of around $20 per share. That's a hint worth taking.

Amazon logo outside an Amazon warehouse in Manchester, Britain, October 28, 2025. REUTERS/Phil Noble/File Photo Purchase Licensing Rights, opens new tab

SummaryCompaniesLawsuit challenges claims such as 'dolphin safe,' 'sustainable,' 'wild caught'Amazon allegedly misled consumers into buying or overpaying for tuna, salmonJuly 31 (Reuters) - Amazon.com (AMZN.O), opens new tab was sued on Friday by consumers ​who accused the retailer of misrepresenting the environmental benefits of seafood sold ‌on its platform, a practice known as greenwashing.

In a proposed class action in Seattle federal court, consumers said labels containing phrases such as "dolphin safe," "responsibly sourced," "sustainable," "wild caught" and "MSC Certified Sustainable Seafood” misled them ​into believing Amazon's seafood sourcing causes minimal harm to oceans and the ​environment.

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The consumers called such representations unsubstantiated or materially false because most ⁠fishing vessels are not publicly tracked, and some vessels obscure their whereabouts by ​disabling electronic devices known as transponders. They also said at least one-fifth of imported ​wild-caught seafood is not responsibly or sustainably sourced.

"Amazon nevertheless markets the greenwashed seafood products using broad sustainability messaging without providing disclosures necessary to prevent consumer deception," the complaint said.

The Seattle-based company is ​the second-largest U.S. grocer with more than $150 billion of gross sales in 2025, Chief ​Executive Andy Jassy said on an April 29 conference call with analysts.

Amazon and lawyers who represent ‌it ⁠in other consumer class actions did not immediately respond to requests for comment.

The company faces frequent lawsuits over products sold on its platform, including by outside sellers.

BUMBLE BEE, CHICKEN OF THE SEA, STARKISTThe lawsuit targets dozens of tuna, salmon and other seafood products ​under brands including ​Bumble Bee, Chicken ⁠of the Sea, StarKist and Amazon's own 365 by Whole Foods Market.

Plaintiffs led by Madeleine Rogow of Los Angeles and Adam ​Sorkin of Chicago said they would not have bought or would ​have paid ⁠less for their seafood had Amazon disclosed its "true sustainable nature."

The lawsuit seeks compensatory damages, punitive damages and restitution for people in the United States for Amazon's alleged violations ⁠of Washington ​consumer protection laws.

The respective parents of Bumble Bee, ​Chicken of the Sea and StarKist — Taiwan's FCF, Thai Union Group (TU.BK), opens new tab and South Korea's Dongwon Industries (006040.KS), opens new tab — are not ​defendants in Friday's lawsuit.

Reporting by Jonathan Stempel in New York; editing by David Gaffen

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CompaniesJuly 31 (Reuters) - Becton Dickinson (BDX.N), opens new tab said on Friday it is issuing a recall on certain lots of medical needle sets in the U.S. after users ​reported difficulty in removing a part of the device after ‌using it on patients.

Here are some details:

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The product, called an intraosseous needle set, is used to deliver fluids and medicine quickly into a patient's bone when ​a regular IV line cannot be used fast enough. This is ​often done in emergencies, such as cardiac arrest or severe ⁠trauma.

Becton said the issue involves a part called the obturator, or ​stylet, which sometimes cannot be removed after the needle is inserted.

The company ​said this incident can happen if the drill used to insert the needle is not pulled straight back, or if the obturator is rotated the wrong way ​when taken out.

As of June 2026, BD said it had received 75 ​complaints and 45 reports of serious injury related to the problem. The company also ‌said ⁠four patients died when the part could not be removed during resuscitation efforts for people who had suffered cardiac arrest outside a hospital.

The affected needle sets were made with parts slightly out of the normal ​size range and were ​shipped between ⁠September 30, 2024, and June 12, 2026.

The recall does not include the intraosseous powered driver, which is the ​tool used to insert the needles.

BD said that if ​the obturator ⁠cannot be removed, medical staff may need to get a new needle or switch to another way of giving treatment, like a peripheral IV ⁠catheter. That ​delay could be dangerous, especially for critically ​ill patients, the company said.

The U.S. Food and Drug Administration has been informed about the ​recall, BD said.

Reporting by Padmanabhan Ananthan in Bengaluru; Editing by Shailesh Kuber

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Conflict Profits: Why These 2 Chemical Stocks Are Suddenly SoaringLyondellBasell Industries NYSE: LYB said second-quarter earnings and margins improved sharply as disruptions tied to the Middle East conflict tightened petrochemical supply, altered trade flows and supported pricing across several of its businesses.

Chief Executive Officer Peter Vanacker said the company generated EBITDA of $2.1 billion and earnings of $4.30 per diluted share during the quarter. EBITDA more than tripled sequentially, while the company posted a 23% EBITDA margin. Vanacker said the results demonstrated the effects of LyondellBasell’s value-enhancement program and cash-improvement actions when market conditions are favorable.

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Is LyondellBasell’s Nearly 10% Dividend Safe, or a Warning Sign for Investors?“The scale and duration of the supply loss is unprecedented, and we believe that recovery time will be measured in quarters, not months,” Vanacker said of the market disruption. He said approximately 6 million tons of polyethylene capacity, or about 20% to 25% of Middle East supply, sustained damage and is not expected to restart until at least 2027.

Supply disruptions reshape trade flows The company said the conflict affected production, feedstock availability, logistics and trade flows across petrochemical markets. Higher Asian freight rates effectively closed arbitrage routes from Asia to Europe and Central America, increasing demand for U.S. and European material, according to management.

3 High-Yield Dividend Stocks That Could Rally Near 52-Week LowsVanacker also highlighted an unexpected shift in China, where producers reduced imports and increased exports to Southeast Asia despite lower operating rates. Chinese polyethylene inventories declined about 30% from pre-conflict levels, he said, while local operating rates remained in the mid-70% range.

LyondellBasell expects China may need to increase imports to replenish those inventories. Management said it has not seen broad demand destruction in key end markets, with packaging demand remaining stable and healthcare and infrastructure applications continuing to grow. Housing and automotive demand remained subdued, though the company characterized those conditions as continuing rather than new headwinds.

Kim Foley, executive vice president of Olefins and Polyolefins and Trading, said the company announced a $0.10-per-pound polyethylene price increase for August amid continuing volatility. Foley said export prices and volumes increased in July, while China was no longer exporting at the pace seen in the second quarter.

Americas segment drives earnings growth LyondellBasell’s Olefins and Polyolefins Americas segment generated EBITDA of $1.3 billion, roughly four times the level recorded in the same quarter a year earlier. Integrated polyethylene margins expanded after a $0.30-per-pound increase in April contract pricing, which Foley described as the largest increase on record. June contract prices settled $0.15 per pound lower.

North American polyethylene domestic sales volumes rose approximately 3.5% and reached their highest quarterly level since the first quarter of 2022. Polypropylene demand also increased, aided by lower imports. Segment operating rates were about 90%, while crackers ran at approximately 95%.

For the third quarter, the company expects O&P Americas operating rates of approximately 85% of nameplate capacity. The lower rate reflects planned maintenance at Clinton and Lake Charles. The Clinton turnaround began in July and is expected to last about 70 days, while the Lake Charles outage is scheduled to begin in the second half of the third quarter and continue into the fourth quarter.

The Europe, Asia and International olefins and polyolefins segment reported EBITDA of $331 million, up $337 million sequentially and its strongest quarterly result since 2021. Results included an approximately $50 million gain from the sale of European emissions credits. The segment operated at approximately 75% utilization during the quarter, with crackers at about 85% utilization.

Management expects the segment to operate at about 70% utilization in the third quarter as it aligns output with seasonal demand. Foley said prolonged low water levels on the Rhine could further affect operations.

Bayport outage limited intermediates results The Intermediates and Derivatives segment generated EBITDA of $386 million, supported by stronger margins in several businesses. However, unplanned downtime at the company’s Bayport PO/TBA asset in Houston reduced second-quarter EBITDA by an estimated $250 million, according to Aaron Ledet, executive vice president of Intermediates and Derivatives and Enterprise Services.

Ledet said the Bayport facility was safely restarted and ramped to full rates in June. The company expects improved oxyfuels and propylene oxide derivatives volumes in the third quarter, targeting segment operating rates of about 85%.

The company said oxyfuels benefited from seasonal demand and near-record gasoline crack spreads. Ledet said approximately 40% of Russian refining capacity has been idled amid refinery disruptions associated with the Ukraine war, tightening refined-product supply. He also said 20% of global methanol capacity is supplied from the Middle East, including significant Iranian capacity that largely serves China.

Advanced Polymer Solutions posted second-quarter EBITDA of $78 million. Executive Vice President Torkel Rhenman said margins improved through pricing actions and cost optimization, while automotive demand remained stable. The segment’s first-half EBITDA rose more than 50% from the prior-year period, he said.

Portfolio actions and cash plan continue LyondellBasell completed the divestiture of four European olefins and polyolefins assets in May and intends to close its Brindisi site by the end of 2026. Vanacker said the remaining European portfolio is centered on more advantaged operations, including crackers and integrated polyolefins assets in Wesseling, Germany, as well as PO/TBA sites in Botlek and Fos.

The company said construction of its MoReTec-1 recycling facility in Wesseling remains on schedule for startup near the end of 2027. Vanacker said most of the facility’s expected capacity has already been pre-sold through agreements with brand owners. LyondellBasell has delayed its planned MoReTec-2 project in the U.S., citing less-advanced regulation and its cash-improvement plan.

Chief Financial Officer Agustín Izquierdo said the company generated $752 million in operating cash flow during the quarter, invested $270 million in capital expenditures and returned $224 million to shareholders through dividends. Cash totaled $2.6 billion at quarter-end, while available liquidity was $7.1 billion.

LyondellBasell maintained its 2026 capital-expenditure plan of $1.2 billion. The company expects sustaining capital expenditures to decline by about $100 million following the European asset divestitures. Management said it remains on track to deliver $500 million of incremental cash flow by the end of 2026 through lower fixed costs and capital spending. Headcount has been reduced by approximately 3,400 employees, or 17% of the workforce, since the beginning of last year. Izquierdo said the company’s capital-allocation priorities remain focused on maintaining an investment-grade balance sheet, funding safe and reliable operations, paying dividends and pursuing growth investments selectively. He said the company would consider mergers and acquisitions opportunistically, but that its current priority is rebuilding the balance sheet and improving credit metrics.

About LyondellBasell Industries (NYSE:LYB)LyondellBasell Industries N.V. NYSE: LYB is a global chemical company headquartered in Houston, Texas, that specializes in the production of polyolefins and advanced polymers. Through its extensive portfolio, the company supplies raw materials for a wide range of end markets, including packaging, automotive, construction, electronics and consumer goods. By combining proprietary process technologies with expertise in catalysts, LyondellBasell aims to deliver value-added solutions that enhance product performance and sustainability.

The company's integrated operations encompass the manufacture of olefins and polyolefins, advanced polymer products, chemical intermediates and refining activities.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in LyondellBasell Industries Right Now?Before you consider LyondellBasell Industries, you'll want to hear this.

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A view of the Amgen logo at the BIO International Convention 2026, a meeting of pharmaceutical and biotechnology leaders in San Diego, California, U.S. June 23, 2026. REUTERS/Mike Blake Purchase Licensing Rights, opens new tab

CompaniesJuly 31 (Reuters) - Drugmaker Amgen (AMGN.O), opens new tab ​said on Friday hackers ‌stole company data and patient health information in ​a cybersecurity breach ​involving cloud storage systems run ⁠by third-party providers.

On ​July 29, Amgen determined ​the incident was material, based on its evaluation of how ​many files appeared ​to be affected and the ‌possibility ⁠that the information in those files could be sensitive, it said ​in a ​regulatory ⁠filing.

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The company has activated its ​cybersecurity response plan, put ​containment ⁠measures in place, and brought in independent ⁠forensic ​experts to ​investigate.

Reporting by Padmanabhan Ananthan in Bengaluru; ​Editing by Shilpi Majumdar

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Invesco Mortgage Capital Inc. (IVR) Q2 2026 Earnings Call July 31, 2026 9:00 AM EDT

Company Participants

Greg Seals - Investor Relations
Kevin Collins - Chief Executive Officer
Brian Norris - Chief Investment Officer

Conference Call Participants

Ameeta Lobo Nelson - UBS Investment Bank, Research Division
Trevor Cranston - Citizens JMP Securities, LLC, Research Division
Douglas Harter - BTIG, LLC, Research Division
Jason Weaver - JonesTrading Institutional Services, LLC, Research Division
Jason Stewart - Compass Point Research & Trading, LLC, Research Division

Presentation

Operator

Welcome to the Invesco Mortgage Capital Second Quarter 2026 Earnings Call. [Operator Instructions] As a reminder, this call is being recorded. I would like to turn the call over to Greg Seals in Investor Relations. Mr. Seals, you may begin the call.

Greg Seals
Investor Relations

Thanks, operator, and to all of you joining us on Invesco Mortgage Capital's Second Quarter 2026 Earnings Call. In addition to today's press release, we have provided a presentation that covers the topics we plan to address today.

The press release and presentation are available on our website, invescomortgagecapital.com. This information can be found by going to the Investor Relations section of the website. Our presentation today will include forward-looking statements and certain non-GAAP financial measures. Please review the disclosures on Slide 2 of the presentation regarding these statements and measures as well as the appendix for the appropriate reconciliations to GAAP.

Finally, Invesco Mortgage Capital is not responsible for and does not edit nor guarantee the accuracy of our earnings. Teleconference transcripts provided by third parties. The only authorized webcasts are located on our website.

Again, welcome, and thank you for joining us today. I'll now turn the call over to IVR's CEO, Kevin Collins, for his comments.

Kevin Collins
Chief Executive Officer

Good morning, and welcome to Invesco Mortgage Capital's Second Quarter Earnings

Agree Realty Corporation (ADC) Q2 2026 Earnings Call July 31, 2026 10:00 AM EDT

Company Participants

Reuben Treatman - Senior Director of Corporate Finance
Joey Agree - President, CEO & Director
Peter Coughenour - CFO, Secretary & Investor Relations Professional

Conference Call Participants

Michael Goldsmith - UBS Investment Bank, Research Division
William John Kilichowski - Wells Fargo Securities, LLC, Research Division
James Kammert - Evercore ISI Institutional Equities, Research Division
Spenser Allaway - Green Street Advisors, LLC, Research Division
Eric Borden - BMO Capital Markets Equity Research
Robert Stevenson
Ronald Kamdem - Morgan Stanley, Research Division

Presentation

Operator

Good morning, and welcome to the Agree Realty Second Quarter 2026 Earnings Call. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions] Note this event is being recorded. I would now like to turn the conference over to Reuben Treatman, Senior Director of Corporate Finance. Please go ahead, Reuben.

Reuben Treatman
Senior Director of Corporate Finance

Thank you. Good morning, everyone, and thank you for joining us for Agree Realty's Second Quarter 2026 Earnings Call. Before turning the call over to Joey and Peter to discuss our results for the quarter, let me first run through the cautionary language. Please note that during this call, we will make certain statements that may be considered forward-looking under Federal Securities Law including statements related to our updated 2026 guidance.

Our actual results may differ significantly from the matters discussed in any forward-looking statements for a number of reasons. Please see yesterday's earnings release and our SEC filings, including our latest annual report on Form 10-K for a discussion of various risks and uncertainties underlying our forward-looking statements. In addition, we discuss non-GAAP financial measures, including core funds from operations or core FFO, adjusted funds from operations, or AFFO, net debt to enterprise value, fixed charge coverage ratio and pro forma net debt to

Update! What Is Congress Trading So Far In 2025? Markel Group NYSE: MKL reported second-quarter adjusted operating income of $436 million, down from $578 million a year earlier, while net income to common shareholders rose to $1.2 billion, or $93 per diluted share, from $631 million, or $50 per diluted share. The company said quarterly net income was aided by $1.2 billion of net investment gains, which more than offset investment losses recorded in the first quarter.

Operating revenue, excluding net investment gains, was flat at $4 billion in the quarter. For the first half of 2026, adjusted operating income totaled $934 million, compared with $1.1 billion in the prior-year period, while net income to common shareholders increased to $957 million from $753 million.

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Buffett's latest portfolio additions, trims and cuts in Q3Chief Executive Officer Tom Gayner said the company evaluates near-term progress using adjusted operating income, which excludes public-equity market swings and amortization expense, while using a longer time horizon to assess operating performance and capital allocation.

For the five years ended June 2026, Gayner said average annual operating income was $2.5 billion, up from $1.2 billion in the prior five-year period, representing a 15% compound annual growth rate. Average operating income per share rose at a 16% compound annual rate to $188.94, while the company reduced its outstanding share count by just under 10% over the period.

Insurance underwriting improved, despite catastrophe losses Don't Overlook Hidden Gem Kinsale As Rallies To New HighsMarkel Insurance reported a 93% combined ratio for the fourth consecutive quarter, improving from 97% in the second quarter of 2025. The result reflected favorable prior-year reserve development and a slightly lower expense ratio, partly offset by $41 million, or 2 points on the combined ratio, of catastrophe losses tied to the Middle East conflict.

Underwriting gross written premiums declined to $2.4 billion from $2.8 billion. However, premiums grew 10% excluding the company’s exit from Global Reinsurance and the transition of its Hagerty program to a fronting model. Adjusted operating income in the insurance operation rose to $376 million from $270 million, supported by improved underwriting profitability and higher net investment income.

International gross written premiums rose 31% to $890 million, led by marine and energy, general liability, and professional liability. Its combined ratio was 82%, including 6 points of Middle East-related losses. U.S. wholesale and specialty premiums fell 4% to $799 million amid intentional reductions in binding contractors and casualty lines and softer property pricing. Its combined ratio improved to 97% from 102%. Programs and solutions premiums fell 27% to $717 million due primarily to the Hagerty shift. Excluding that effect, premiums grew 6%. The combined ratio increased to 94% from 91%, reflecting a higher accident-year loss ratio in personal umbrella and certain delegated programs. Markel Insurance CEO Simon Wilson said the company has prioritized “the sanity of bottom-line profit over the vanity of top-line growth.” He said the insurer has reorganized into three divisions and 14 business units, each with assigned leadership and financial and strategic plans.

Wilson also described a series of technology initiatives, including the launch of Cortex, a new business unit focused on hard-to-place U.S. casualty risks. Markel partnered with Bain & Co. on the initiative. The insurer also said it has applied agentic AI to six classes of business totaling more than $500 million of existing gross written premiums, with initial risk-assessment time declining by 50% to 90%, depending on the line of business.

State National charge weighs on financial segment The financial segment recorded an adjusted operating loss of $149 million in the quarter, compared with adjusted operating income of $78 million a year earlier. The decline stemmed primarily from a $205 million bad-debt charge at State National, related to a collateral shortfall associated with a capacity provider in bankruptcy.

Gayner said the affected business began in 2012 and Markel stopped writing on the programs in 2021. He described the event as State National’s first substantial credit loss in more than 40 years and said Markel’s reserve estimate was intended to be conservative.

During the question-and-answer session, Chief Financial Officer Brian Costanzo said the company obtained more granular program data, completed an internal actuarial review and engaged an outside third party. The business was primarily primary habitational casualty, with a smaller excess-casualty component concentrated in a handful of states.

Gayner said the collateral itself was sound, but loss estimates had developed faster than the collateral level. Executive Vice President Andrew Crowley added that the company’s review would result in collateral increases from other financially healthy reinsurers for similar lines of business.

Investments, consumer operations and capital allocation Net investment income increased 11% to $256 million, reflecting a higher average book yield and larger average fixed-maturity balances. The fair value of Markel’s public-equity portfolio rose to $13.5 billion at quarter-end from $12.3 billion at the end of the first quarter. The company reported cumulative pretax unrealized gains of $9.3 billion on its equity holdings.

Industrial revenue increased 2% to $1 billion, supported by a December 2025 bolt-on acquisition, while adjusted operating income declined to $75 million from $105 million. Costanzo cited tighter margins and softer demand in the car-hauling equipment business. Crowley said the segment was also affected by cyclical declines in car hauling and industrial bakery equipment, as well as long-term selling, general and administrative investments at some businesses.

Consumer and other segment revenue rose 4% to $552 million, driven by ornamental plants during its seasonally strongest period. Adjusted operating income increased to $122 million from $102 million, primarily due to higher sales volume.

Markel repurchased $237 million of its shares during the quarter and $371 million year to date, reducing shares outstanding to 12.4 million. Gayner said the company has repurchased more than $2 billion of stock since the start of 2022 and funded the buybacks through earnings rather than borrowing.

About Markel Group (NYSE:MKL)Markel Group NYSE: MKL is a diversified insurance holding company best known for underwriting specialty insurance products. Founded in 1930 and headquartered in Richmond, Virginia, the company provides a wide range of commercial property and casualty coverages tailored to niche and hard-to-place risks. Its underwriting operations focus on specialty lines across multiple industries, delivering customized policy structures, program administration, and claims management services for complex exposures.

In addition to primary specialty insurance, Markel operates reinsurance and alternative risk-transfer activities and manages invested assets derived from underwriting float.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in Markel Group Right Now?Before you consider Markel Group, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Markel Group wasn't on the list.

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Key Takeaways BWX Technologies' Q2 sales are estimated to rise 16.7%, while earnings are projected to decline 1%.Naval propulsion, uranium programs and manufacturing gains are expected to support Government Operations.Commercial nuclear demand, medical growth and Kinectrics are likely to lift Commercial Operations revenues. BWX Technologies, Inc. (BWXT - Free Report) is scheduled to report second-quarter 2026 results on Aug. 3, 2026, after market close. The company delivered an earnings surprise of 21.74% in the last reported quarter.

Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.

Factors Likely to Affect BWXT’s Q2 2026 ResultsHigher revenues from naval nuclear propulsion programs, supported by steady production on the Virginia-class and Columbia-class submarine programs, as well as early work on the next Ford-class aircraft carrier, are likely to have boosted the overall top-line performance of BWXT’s Government Operations segment. Growth in defense fuels enrichment and High-Purity Depleted Uranium (HPDU) programs, along with improved manufacturing efficiency, is also expected to have supported this segment’s performance.

Higher demand for commercial nuclear components and services is expected to have boosted the top-line performance of BWXT’s Commercial Operations segment. Strong growth in its medical business, along with continued contributions from the Kinectrics acquisition, is also likely to have supported this segment’s revenues.

However, higher corporate expenses due to restructuring initiatives and business transformation efforts are likely to have offset some of the positives in the to-be-reported quarter.

Q2 Estimates for BWXTThe Zacks Consensus Estimate for BWXT’s second-quarter sales is pegged at $891.8 million, which indicates an increase of 16.7% from the prior-year number.

The consensus estimate for earnings is pegged at $1.01 per share, which indicates a year-over-year decline of 1%.

What the Zacks Model Unveils for BWX TechnologiesOur proven model predicts an earnings beat for BWX Technologies this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.

Earnings ESP: BWX Technologies has an Earnings ESP of +0.66%. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Zacks Rank: BWXT currently carries a Zacks Rank of 3.

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

Other Stocks to ConsiderCurtissWright (CW - Free Report) is slated to report its second-quarter 2026 results on Aug. 5, after market close. It has an Earnings ESP of +0.36% and a Zacks Rank of 3 at present.

CW’s long-term (three to five years) earnings growth rate is 14.3%. The Zacks Consensus Estimate for earnings is pegged at $3.62 per share, which suggests a year-over-year rise of 12.1%.

ATI INC (ATI - Free Report) is slated to report its second-quarter 2026 results on Aug. 6, before market open. It has an Earnings ESP of +1.32% and a Zacks Rank of 2 at present.

ATI’s long-term earnings growth rate is 28%. The Zacks Consensus Estimate for earnings is pegged at $1.03 per share, which suggests a year-over-year rise of 39.2%.

Vertical Aerospace (EVTL - Free Report) is set to report second-quarter 2026 earnings on Aug. 13, before market open. It has an Earnings ESP of +15.39% and a Zacks Rank of 3 at present.

The Zacks Consensus Estimate for EVTL’s loss is pegged at 39 cents per share, indicating year-over-year improvement. The company delivered an earnings surprise of 4.76% in the last reported quarter.

, /PRNewswire/ -- Leidos Holdings, Inc. (NYSE: LDOS) announced today that its board of directors has declared a quarterly cash dividend of $0.43 per outstanding share of the company's common stock. The cash dividend is payable on September 30, 2026, to stockholders of record as of the close of business on September 15, 2026.

The board also authorized a new stock repurchase program for up to 20 million shares of common stock. This supersedes the prior authorization of 20 million shares made in February 2022, which has been exhausted.  Whether repurchases are made, and the timing and actual number of shares repurchased, will depend on a variety of factors including innovation and production capacity investment needs, other corporate capital requirements, price, market conditions, and regulatory requirements.   

Stock repurchases may be made on the open market at prevailing market prices or in privately negotiated transactions, including through accelerated share repurchase or derivative transactions, transactions with Leidos retirement and deferred compensation plans, transactions under 10b5-1 plans or 10b-18 plans or any of the foregoing combined or otherwise.

About Leidos

Leidos is an industry and technology leader serving government and commercial customers with smarter, more efficient digital and mission innovations. Headquartered in Reston, Virginia, with 50,000 global employees, Leidos reported annual revenues of approximately $17.2 billion for the fiscal year ended January 2, 2026. For more information, visit www.leidos.com.

Media Contact:

Todd Blecher
(571) 926-3822

[email protected] 
Investor Relations:

Stuart Davis
(571) 526-6124
[email protected] 

SOURCE Leidos Holdings Inc.

Why Elastic Could Be the Next AI Winner in 2026Eversource Energy NYSE: ES reported second-quarter 2026 GAAP earnings of $0.14 per share, down from $0.96 per share a year earlier, as the company recorded charges tied to the completed sale of Aquarion Water Company and its remaining offshore-wind-related contingent liability.

Excluding those items, recurring earnings were $0.87 per share for the quarter, compared with $0.96 per share in the second quarter of 2025. Chairman, President and Chief Executive Officer Joe Nolan said the result was in line with the company’s expectations. Eversource reaffirmed its 2026 non-GAAP earnings guidance of $4.57 to $4.72 per share and its long-term EPS growth target of 5% to 7%.

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Buyback Boom: 3 Companies Betting Big on ThemselvesChief Financial Officer John Moreira said the decline in recurring earnings from the prior-year period primarily reflected lower results in electric transmission and gas distribution. Transmission earnings were affected by the Federal Energy Regulatory Commission’s March decision reducing the base return on equity, while gas distribution results faced a comparison with a prior-year benefit related to recoverable expenses. Higher electric distribution revenue partly offset those pressures.

Aquarion Sale and Revolution Wind Charges Eversource completed the sale of Aquarion on June 30, generating $1.7 billion of net proceeds. Nolan said the transaction advances the company’s strategy to operate as a pure-play regulated electric and natural gas utility, with the proceeds slated to reduce parent-company debt.

3 Big Dividend Plays With Strong Earnings to Back ThemThe quarter’s GAAP results included a non-cash, after-tax charge of $111.4 million, or $0.30 per share, related to Aquarion’s carrying value at closing. The company also recorded an after-tax charge of $164 million, or $0.43 per share, to increase its estimated offshore wind contingent liability associated with its sale of Revolution Wind.

Nolan said revised Revolution Wind construction-cost estimates included higher costs resulting from two stop-work orders. He said the project is approximately 97% complete, is currently delivering more than 300 megawatts to the ISO New England grid, and remains expected to reach commercial operation later this year. Nolan said the stop-work orders caused the project to lose a vessel that had to be remobilized, but he expressed confidence that the remaining installation work is straightforward.

Transmission Opportunity and FERC Proceedings ISO New England has preliminarily selected a joint Eversource and Avangrid proposal as its preferred solution in a longer-term transmission planning process. The approximately $2.2 billion project would expand capacity between Maine and New Hampshire and strengthen transmission between northern and southern New England. Eversource’s share is expected to be about $700 million, with an anticipated in-service date of 2032.

Nolan said stakeholder comments are expected Aug. 14, followed by ISO New England’s review and a potential final recommendation in September. Moreira said roughly half of Eversource’s anticipated $700 million share could fall within the company’s current five-year capital forecast through 2030 if the project moves forward.

The company continues to challenge FERC’s March decision that reduced the base transmission return on equity and ordered refunds extending back more than a decade. Moreira said FERC approved an extension delaying refunds until mid-2027, while Eversource has also petitioned the U.S. Court of Appeals for the D.C. Circuit for review and sought a stay.

Eversource has separately filed for a prospective transmission ROE of 11.39%, based on FERC’s existing methodology and current market conditions. Briefs in that proceeding are due Aug. 28 and Sept. 28, and the company expects a new rate to take effect Nov. 30. Its current earnings outlook assumes a 9.57% base transmission ROE.

Connecticut Rates and Storm-Cost Recovery Eversource’s Connecticut Light & Power unit filed its first general rate request since 2017 on July 14. The filing seeks to address a $451 million revenue deficiency and proposes a 10.25% ROE. The proposed increase would raise total customer bills by about 11%, according to Moreira.

About 90% of the requested deficiency is tied to capital investment, storm resiliency, storm restoration costs, depreciation and taxes, while 11% relates to operating and maintenance costs, Moreira said. The filing also includes a proposed multiyear performance-based ratemaking mechanism, economic development and heat-pump rates, and a plan for advanced metering infrastructure.

The AMI proposal includes nearly $1 billion of capital investment and $300 million in operating expense. Moreira said Eversource is seeking an expedited decision this fall and, if approved, could begin mobilizing the Connecticut project next year. He said full implementation would take about five years, with part of the capital spending falling outside the current forecast period.

Connecticut regulators also issued a final storm-cost decision. Of roughly $975 million requested, the Public Utilities Regulatory Authority approved about $870 million, including approximately $200 million already recovered through rates. Eversource expects to securitize about $670 million. PURA deferred approximately $60 million pending a third-party audit and excluded about $40 million, while declining recovery of requested carrying charges.

Moreira said Eversource is evaluating its options regarding the carrying charges. The company expects to submit its financing plan in early fall, receive a final financing decision in the first quarter of next year, and potentially receive securitization proceeds about a year from now.

Capital Plan and Balance Sheet The company reaffirmed its $26.5 billion five-year capital plan through 2030, while identifying potential additions from the preliminary transmission selection and Connecticut AMI proposal. Eversource said its five-year equity needs remain $800 million to $1.1 billion and that it does not expect to issue equity during the remainder of 2026.

Moreira said Eversource’s March 31 funds-from-operations-to-debt metrics were 14.3% under S&P’s methodology and 15.7% under Moody’s methodology, each more than 100 basis points above downgrade thresholds. Moody’s recently revised the outlooks for Eversource and NSTAR Electric to stable from negative.

Management said it expects earnings growth to move toward the upper half of its 5% to 7% long-term target range by 2028, supported by regulatory outcomes, storm-cost securitization efforts, the Aquarion sale and planned utility investment.

About Eversource Energy (NYSE:ES)Eversource Energy NYSE: ES is a publicly traded, regulated energy company headquartered in Hartford, Connecticut. The company's core business is the delivery and transmission of electricity and natural gas to residential, commercial and industrial customers across parts of New England. Eversource operates transmission and distribution networks, maintains electrical infrastructure, responds to outages and storms, and manages natural gas pipeline and distribution systems in the regions it serves.

Eversource serves customers primarily in Connecticut, Massachusetts and New Hampshire, operating through locally regulated utility subsidiaries that administer customer service, billing, meter reading and localized operations.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in Eversource Energy Right Now?Before you consider Eversource Energy, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Eversource Energy wasn't on the list.

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Federated Hermes NYSE: FHI ended the second quarter with record assets under management of $912 billion, supported by growth in equities and private markets, while money market assets declined modestly from the prior quarter, executives said during the company’s analyst call.

President and CEO Chris Donahue said equity assets reached a record $110 billion at quarter-end, rising $8.8 billion, or 9%, from the first quarter, primarily reflecting market appreciation. Gross equity sales totaled $9.1 billion, near the prior quarter’s record level, while net redemptions were $1.1 billion. That figure included an expected $3 billion global equity sub-advisory redemption previously discussed by the company.

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Equity and Fixed-Income Activity Equity sales were led by Federated Hermes’ MDT fundamental quantitative strategies. MDT equity and market-neutral strategies generated a record $6 billion in gross sales and more than $3.5 billion in net sales during the quarter. Across the company’s equity platform, 35 equity fund and separately managed account strategies posted net sales, including $2.7 billion from MDT offerings, excluding market-neutral strategies, and $470 million from Strategic Value.

At the end of the quarter, 54% of the company’s equity funds outperformed their Morningstar peer groups over three years, while 30% ranked in the top quartile of their categories. Through July 24, combined equity funds and separately managed accounts had $61 million in net sales for the third quarter to date.

Fixed-income assets ended the second quarter at slightly more than $100 billion, up $689 million. Market appreciation added roughly $1 billion, partly offset by net redemptions and exchanges. The company cited net sales in 26 fixed-income funds and separately managed accounts, led by Core Plus and Core Aggregate SMAs, ultrashort bond funds and the Conservative Muni Micro Short Fund.

Donahue said the firm believes its fixed-income product range and investment management capabilities position it for positive flows. He noted increased interest in shorter-duration offerings such as ultrashort and conservative micro-short strategies. Through July 24, fixed-income funds and SMAs had generated $362 million of net sales in the third quarter.

Private Markets Expansion and Pipeline Alternative private-market assets increased $2.6 billion during the quarter to $21.6 billion. The increase included $3.2 billion in U.S. multifamily real estate assets added through the early-April completion of Federated Hermes’ acquisition of an 80% interest in FCP Fund Manager, L.P.

The company said its MDT market-neutral fund and ETF recorded $150 million in net sales. Federated Hermes is also raising capital for the sixth vintage of its global private equity co-investment fund, which had closed on $300 million to date. The company said its first four private equity co-investment funds raised between $400 million and $600 million each, while the fifth raised $500 million.

At the beginning of the third quarter, the company had about $3.4 billion of net institutional wins yet to fund into funds and separate accounts. The expected inflows include approximately $1.7 billion in equity strategies, $1.3 billion in private-market strategies and $300 million in fixed income. Private-market commitments include expected additions in direct lending, private equity and trade finance.

Money Market Assets and Digital Initiatives Total money market assets declined $7.9 billion, or about 1%, in the second quarter. Money market fund assets fell $2.9 billion from the first quarter to $500 billion, though they remained nearly $32 billion, or 7%, above the year-earlier level. Money market separate-account assets declined about $5 billion, which Donahue said was consistent with seasonal patterns among large state pools managed by the company.

The company estimated its money market mutual fund market share, including sub-advised funds, at about 6.7% at quarter-end, compared with 6.9% in the first quarter. Donahue said market-share movements can reflect a variety of factors, including client activity, retail yield programs, large capital-markets transactions and investors moving into ultrashort strategies.

Chief Investment Officer for Money Markets Debbie Cunningham said the first half saw volatility tied to large IPO and long-term debt transactions, including activity involving Amazon, Alphabet, Anthropic and SpaceX. She said money market funds remain attractive in a short-end rate environment of roughly 3.5% to 4.5% and that the company expects money market funds, separate accounts and pools to continue gathering assets.

Federated Hermes also discussed early-stage digital asset efforts. It recently launched the Money Market Management Digital Treasury Fund, designed to support traditional and on-chain distribution. The fund’s initial reserve shares class is non-tokenized and intended for institutional investors and stablecoin issuers seeking investments aligned with stablecoin reserve requirements. The company is also developing an on-chain share class using blockchain infrastructure for its official books and records.

Revenue, Expenses and Outlook Chief Financial Officer Tom Donahue said second-quarter revenue increased $23.8 million, or 5%, from the first quarter. The FCP acquisition contributed approximately $14 million of revenue, while equity asset growth added $7.6 million and the additional calendar day added $5.1 million. Lower average money market assets reduced revenue by $8.4 million.

Operating expenses rose $17.3 million, or 5%, sequentially, driven largely by FCP acquisition costs, including $6.5 million in nonrecurring acquisition-related compensation and $3.2 million in higher professional service fees. Advertising and promotional costs increased $3.2 million, while intangible asset amortization rose $3 million, primarily because of the acquisition.

Donahue said some acquisition-related costs should decline in the next quarter, including the one-time compensation expense and professional service fees. Federated Hermes ended the quarter with $481 million in cash investments, or $416 million excluding the portion attributable to non-controlling interests. The company estimated its tax rate would range from 25% to 28% for 2026.

About Federated Hermes (NYSE:FHI)Federated Hermes, Inc is a global investment manager that provides a range of asset management solutions to institutional and individual investors. The company offers active strategies across equity, fixed income, multi-asset, liquidity, and alternative investments. Through its suite of mutual funds, separate accounts and collective investment vehicles, Federated Hermes seeks to deliver performance-driven outcomes aligned with client objectives and risk tolerances.

In addition to traditional investment management, Federated Hermes has developed specialized capabilities in sustainability and responsible investing, integrating environmental, social and governance (ESG) research into its investment process.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Key Takeaways Pinnacle West's Q2 EPS is estimated at $1.49, down 5.7%, while revenues are seen rising 3.08%. Arizona customer growth and semiconductor expansion likely boosted PNW's retail electricity demand.Grid investments and cost controls likely aided PNW, though financing costs and property taxes weighed. Pinnacle West Capital Corporation (PNW - Free Report) is scheduled to release second-quarter 2026 results on Aug. 4, before the market opens. The company delivered an earnings surprise of 1000% in the last reported quarter.

Let’s discuss the factors that are likely to be reflected in the upcoming quarterly results.

PNW’s Q2 ExpectationsThe Zacks Consensus Estimate for earnings is pegged at $1.49 per share, which implies a year-over-year decrease of 5.70%.

The Zacks Consensus Estimate for revenues is pinned at $1.40 billion, indicating an increase of 3.08% from the year-ago reported number.

The Zacks Consensus Estimate for total electric sales is pegged at 9,722.3 gigawatt-hour, up 3.09% from the year-ago quarter’s reported figure.

Factors Likely to Have Impacted PNW’s Q2 EarningsPinnacle West's second-quarter earnings are expected to have benefited from robust economic growth across its Arizona service territory. Strong expansion in semiconductor manufacturing and customer growth are likely to have driven higher retail electricity sales in the second quarter.  Continued expansion by Taiwan Semiconductor Manufacturing Company and its supply-chain partners likely boosted industrial electricity demand for Pinnacle West.

The company's second-quarter earnings are expected to have been supported by sustained retail customer growth and rising electricity demand. Pinnacle West's continued focus on cost management is expected to have supported the to-be-reported quarter's earnings by improving operating efficiency and controlling expenses.

PNW's second-quarter earnings are expected to have benefited from continued investments in grid modernization and transmission infrastructure. The investments likely contributed to higher transmission revenues and improved grid reliability, benefiting the company's upcoming quarterly results.

However, higher financing costs and property taxes associated with increased plant-in-service are likely to have partially offset these positive factors in the second quarter.

What Our Quantitative Model Predicts for PNWOur proven model predicts an earnings beat for Pinnacle West Capital this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, as is the case here, as you will see below.

Earnings ESP: The company’s Earnings ESP is +0.95%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Currently, Pinnacle West Capital carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Other Stock to ConsiderInvestors may also consider the following player from the same sector, as it has the right combination of elements to post an earnings beat this reporting cycle.

Duke Energy Corporation (DUK - Free Report) is scheduled to report second-quarter 2026 results on Aug. 4 and is likely to have registered an earnings beat. It has an Earnings ESP of +0.16% and a Zacks Rank #3 at present.

DUK’s long-term (three to five years) earnings growth rate is 6.76%. The Zacks Consensus Estimate for second-quarter EPS is pinned at $1.29, which implies a year-over-year increase of 3.20%.

Southwest Gas (SWX - Free Report) is scheduled to report second-quarter 2026 results on Aug. 5 and is likely to have come up with an earnings beat. It has an Earnings ESP of +5.64% and a Zacks Rank #2 at present.

SWX’s long-term earnings growth rate is 9.89%. The Zacks Consensus Estimate for second-quarter EPS is pinned at 47 cents, which implies a year-over-year decrease of 11.32%.

Spire (SR - Free Report) is set to report third-quarter fiscal 2026 results on Aug. 5 and is likely to have come up with an earnings beat. It has an Earnings ESP of +16.67% and a Zacks Rank #3 at present.

SR’s long-term earnings growth rate is 11.17%. The Zacks Consensus Estimate for third-quarter fiscal sales is pinned at $397.87 million, which suggests a year-over-year decline of 5.70%.

Key Takeaways KVUE is expected to post Q2 revenue and earnings growth, supported by iconic consumer health brands.Skin Health and Beauty is expected to grow 3%, while Tylenol, Zyrtec and Nicorette trends support demand.Tariffs, inflation, FX and weak seasonal incidence remain key risks to Kenvue's performance. Kenvue Inc. (KVUE - Free Report) is slated to report second-quarter 2026 results on Aug. 6, before market open. The company is likely to report top and bottom-line increase when it posts the quarterly results.

For revenues, the consensus mark is pegged at $4 billion, implying a rise of 3.9% from the year-ago quarter. The Zacks Consensus Estimate for the company’s earnings is pegged at 32 cents per share, which reflects an increase of 10.3% from the year-ago quarter’s figure. The consensus mark has been stable in the past 30 days.

In the last reported quarter, the company delivered an earnings surprise of 18.5%. Its earnings beat the Zacks Consensus Estimate by 12.1%, on average, in the trailing four quarters.

Key Factors to Influence KVUE’s Q2 ResultsKenvue’s quarterly performance is likely to have benefited from its iconic consumer health brands and strength in the Skin Health and Beauty division. The company is focused on strengthening its consumer health brands through product innovation, increased marketing investments and deeper consumer engagement. The Zacks Consensus Estimate for the Skin Health and Beauty segment is currently pegged at $1.1 billion, indicating a rise of 3% year over year.

KVUE’s diversified portfolio reduces dependence on any single product or category. The Tylenol and Zyrtec consumption trends have been improving while Nicorette is gaining share across major international markets, and brand innovation supported broader consumer engagement. Continued investment in these franchises is likely to have boosted sustainable demand and market-share growth in the quarter under review.

The company is prioritizing science-backed innovation and expanding products in categories to drive organic growth. Kenvue is simplifying its operating model, improving supply-chain efficiency and implementing productivity initiatives to reduce costs and support margins. The company is also working to improve execution across markets, optimize its portfolio and enhance digital and e-commerce capabilities. Such factors are likely to have aided the company’s performance during the quarter under review.

On the flip side, the company has been witnessing weakness in its Self Care business for a while. The business remains exposed to unpredictable cold, flu and allergy seasons, which can create volatility in demand. Weak seasonal incidence across major markets has been hurting results, highlighting the segment’s dependence on external health patterns. Also, headwinds like tariffs, inflation, foreign exchange movements and supply-chain volatility remain deterrents.

What the Zacks Model Unveils for KenvueOur proven model does not conclusively predict an earnings beat for Kenvue this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Kenvue currently has an Earnings ESP of 0.00% and a Zacks Rank of 3.

Valuation Picture & Price PerformanceKenvue has a forward 12-month price-to-earnings ratio of 16.11X, lower than the Consumer Products - Staples industry’s average of 18.75X. The stock is trading above its median of 15.72X.

The recent market movements show that KVUE’s shares have gained 10.8% in the past three months compared with the industry's 4.2% growth.

Stocks With the Favorable CombinationHere are some companies, which according to our model, have the right combination of elements to beat on earnings this reporting cycle.

Archer Daniels Midland Company (ADM - Free Report) currently has an Earnings ESP of +11.52% and a Zacks Rank of 2. The consensus estimate for ADM’s quarterly revenues is pinned at $22.4 billion, which calls for 5.7% growth from the figure reported in the prior-year quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Archer Daniels’ upcoming quarter’s EPS is pegged at $1.27, which implies a 36.6% rise year over year. ADM delivered a trailing four-quarter earnings surprise of 5.4%, on average.

Coty (COTY - Free Report) has an Earnings ESP of +0.03% and a Zacks Rank of 3 at present. The company is expected to register a bottom and top-line decline when it reports fourth-quarter fiscal 2026 numbers. The Zacks Consensus Estimate for COTY’s quarterly bottom line has remained unchanged in the past 30 days at a loss of a cent per share. The consensus mark for earnings indicates an improvement of 80% from the figure reported in the year-ago quarter.

The consensus estimate for quarterly revenues is pegged at $1.2 billion, which indicates a drop of 4.8% from the figure reported in the year-ago quarter. COTY has delivered a negative earnings surprise of 214.1%, on average, in the trailing four quarters.

Monster Beverage Corporation (MNST - Free Report) currently has an Earnings ESP of +2.61% and a Zacks Rank of 3. The company is likely to register bottom and top-line growth when it reports second-quarter 2026 numbers.

The Zacks Consensus Estimate for Monster Beverage’s quarterly revenues is pegged at $2.4 billion, indicating an increase of 14.5% from the figure reported in the prior-year quarter. The consensus estimate for MNST’s quarterly earnings of 59 cents per share implies a rise of 13.5% from the year-ago quarter’s level. MNST has a trailing four-quarter earnings surprise of 9.6%, on average.

Sonalee Elizabeth Parekh, Chief Financial Officer of SentinelOne, Inc. (S +3.07%), sold 12,987 shares on July 27, 2026, according to an SEC Form 4 filing.

Transaction summaryMetricValueShares sold (directly held)12,987Transaction value~$237,013Post-transaction shares (directly held)964,281Post-transaction value$17.49 millionTransaction value based on SEC Form 4 weighted average sale price ($18.25); post-transaction value based on July 27, 2026 market close ($18.14).

Key questionsWhat initiated this sale of Class A Common Stock?
The transaction was a non-discretionary "sell to cover" execution to satisfy tax withholding obligations arising from the settlement of restricted stock units (RSUs) and does not reflect a discretionary trading decision by the insider.What is the scale of the insider’s remaining direct equity position?
The CFO retains 964,281 shares of direct ownership, which carries a market valuation of $17.49 million as of the July 27, 2026 market close.How has the stock performed leading up to this vesting event?
Shares of the cybersecurity firm were priced at $18.14 as of the July 27, 2026 market close, reflecting a return of -7% over the one-year period.Company OverviewMetricValueShare Price (as of market close 2026-07-24)$18.14Market Capitalization$6.1 billionRevenue (TTM)$1.0 billionNet Income (TTM)-$318.7 millionCompany SnapshotSentinelOne develops and commercializes the Singularity XDR Platform, an Extended Detection and Response data stack that unifies endpoint protection, endpoint detection and response, cloud workload protection, and IoT security capabilities powered by artificial intelligence.The company operates a subscription-based software-as-a-service (SaaS) business model, generating revenue through recurring subscriptions for its unified cybersecurity platform and related professional services.SentinelOne serves enterprise customers and mid-market organizations globally that require comprehensive endpoint and cloud security solutions to protect their critical infrastructure and data assets.SentinelOne is a global cybersecurity infrastructure software provider with approximately 2,900 employees headquartered in Mountain View, California. The company has achieved $1 billion in trailing 12-month revenue while investing significantly in product development and market expansion.

SentinelOne's competitive differentiation centers on its AI-powered unified platform architecture that consolidates multiple security functions into a single data stack. This enables customers to reduce complexity and improve threat detection and response capabilities across their entire infrastructure footprint.

What this transaction means for investorsCFO Sonalee Parekh’s July 27 sale of SentinelOne stock is not a cause for investor concern, given it was a mandatory disposition to fulfill tax withholding obligations related to the vesting of RSUs. The sale came not long after shares hit a 52-week high of $20.71 on July 15.

SentinelOne shares rose after Scotiabank analysts upgraded their outlook from sector perform to sector outperform. The upgrade makes sense given the company’s strong sales growth coupled with the rising importance of cybersecurity now that artificial intelligence agents are sophisticated enough to hack defenses.

SentinelOne posted 21% year-over-year revenue growth to $277 million in its fiscal first quarter ended April 30. It expects sales to accelerate to a range between $289 million to $291 million in fiscal Q2, up from $242 million in the prior year. This indicates the cybersecurity company is successfully attracting customers.

Despite the rapid revenue growth, SentinelOne is not profitable. It exited fiscal Q1 with an operating loss of $79.7 million, although that was a reduction from the prior year’s $87.5 million loss.

Robert Izquierdo has positions in SentinelOne. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Garmin (GRMN +0.07%) reported record second-quarter results this week, and the stock took off. As of midday Friday, shares were up 22.4% for the week, according to data provided by S&P Global Market Intelligence.

Investors already expected a strong year, with the company guiding for 9% year-over-year revenue growth in 2026. Management boosted that guidance after Q2 results. That helps explain why the stock popped, but Garmin shares are still cheaper than they look.

Image source: The Motley Fool.

Don't overlook the cash hoard Garmin operates five segments, selling devices that use GPS technology and artificial intelligence (AI) to track and monitor health and fitness, provide training plans, and offer navigation and solutions tailored specifically for marine and aviation activities.

Its fitness segment has become the largest after averaging 32% year-over-year revenue growth in every quarter since the start of 2024. That growth has helped drive the stock higher and was one reason Garmin boosted its full-year 2026 revenue and earnings guidance. Management now sees 11% year-over-year revenue growth this year, and almost 17% earnings per share (EPS) growth, partly thanks to improving margins.

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Now investors need to decide if this week's jump means it's too late to buy Garmin stock. It is now trading at a P/E of almost 30 based on this year's EPS guidance. But there's a catch. Garmin has $4.4 billion in cash and marketable securities with no debt on its balance sheet. That's about 8% of its market cap and should be taken into consideration when determining its valuation.

That cash will eventually make its way to shareholders through a combination of growth investments, dividends, and share buybacks. With new products being rolled out, including the recent launch of the screenless Cirqa smart band, growth should continue. That makes the recent stock price still a good buy for investors looking beyond 2026.

Howard Smith has positions in Garmin. The Motley Fool has positions in and recommends Garmin. The Motley Fool has a disclosure policy.

Advanced nuclear fission developer Oklo (OKLO) reached a major regulatory milestone after receiving official startup authorization from the U.S. Department of Energy (DOE) for its Groves Isotope Test Reactor in Lockhart, Texas.

Key Takeaways Oklo received formal U.S. Department of Energy (DOE) authorization to load nuclear fuel and begin startup testing at its Groves reactor in Caldwell County, Texas. The facility progressed from groundbreaking to regulatory startup clearance in under 10 months, demonstrating unprecedented execution speed for advanced nuclear builds. Commercial radioisotope production offers the nuclear developer a rare near-term revenue model while broader small modular reactor deployments target AI data center demand. Oklo DOE Startup Authorization Signals Shift in Commercial Fission The DOE approval grants Oklo permission to begin fuel loading, commissioning, and initial criticality at the Texas facility. Moving from groundbreaking to full authorization in just over 10 months sets a remarkably fast precedent for advanced nuclear infrastructure.

For investors in the nuclear space, this operational speed proves that nuclear capital can clear regulatory hurdles quickly. Furthermore, it stands out in a sector often critiqued for prolonged development timelines.

Near-Term Revenue Model Complements Data Center Ambitions Most advanced reactor coverage centers on powering massive hyperscale data centers. However, the Groves facility unlocks an immediate commercial runway via isotope production. This milestone accelerates Oklo’s strategic expansion into local radioisotope manufacturing, addressing vital supply needs across oncological medicine, industrial applications, as well as high-level physics research.

This cash-flow strategy helps offset early-stage capital intensity, distinguishing Oklo. As tech giants look toward bridging natural gas, nuclear, and AI data centers, early cash flows give Oklo an advantage.

Capitalizing on the Nuclear Value Chain via NUKZ The Range Nuclear Renaissance ETF (NUKZ) is designed to capture the entire nuclear value chain, incorporating multiple companies at every stage of the nuclear renaissance. This includes advanced reactor developers, utilities, construction services, and fuel suppliers. This allows investors to capture the secular growth of nuclear power while bypassing the complexity of managing foreign currency conversions or international brokerage accounts.

Looking for nuclear insights in your inbox? Subscribe here to keep a pulse on nuclear investing through our weekly research.

For more news, information, and analysis, visit the Nuclear Energy Content Hub.

vettafi.com is owned by VettaFi LLC (“VettaFi”). VettaFi is the index provider for NUKZ, for which it receives an index licensing fee. However, NUKZ is not issued, sponsored, endorsed, or sold by VettaFi. VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of NUKZ.

HomeEarnings AnalysisCommunication Services

SummaryMeta Platforms, Inc. delivered strong 28% revenue growth, but margins and free cash flow suffered due to aggressive AI-driven capex.I remain Buy-rated on META, emphasizing the resilient ad business, robust user engagement, and tangible AI-driven monetization improvements.The market is overly focused on the free cash flow shock, underappreciating AI's immediate positive impact on ad performance and platform economics.Risks include prolonged high capex, unclear AI monetization beyond ads, and regulatory/legal pressures, but I prefer buying META on this weakness. Stockyme/iStock via Getty Images

Meta Platforms, Inc. (META) delivered one of the more complicated Mag 7 earnings reports of this quarter. The company did not miss the top line. Revenue grew 28% year-over-year to $60.80 billion, advertising revenue grew 27%, ad impressions increased

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Analyst’s Disclosure: I/we have a beneficial long position in the shares of META either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Alphabet (NASDAQ: GOOGL | GOOGL Price Prediction) and Amazon (NASDAQ: AMZN) posted Q2 FY2026 results built around the same idea: their custom chips are now real Nvidia alternatives. Google leaned on TPUs powering a 82% Cloud surge. Amazon leaned on Trainium and Graviton driving 37% AWS growth, the fastest in 18 quarters. Two silicon playbooks, two very different customer bases.

TPUs Carry Google Cloud. Trainium Carries AWS. Google Cloud hit $24.77 billion in Q2, with operating margin jumping to 35.6% from 20.7%. That margin lift is the TPU story in one number: owning the silicon means owning the cost curve. Sundar Pichai told investors Google now offers “the industry’s broadest range of accelerators from Google and NVIDIA”, and notably began recognizing revenue from TPU system sales delivered into customer data centers for the first time.

Amazon went the other way. AWS reached $42.23 billion at a 39.4% operating margin, and Andy Jassy said “our AI and Chips businesses each eclipsed run rates of more than $25 billion” with triple-digit growth. Graviton5 shipped with up to 25% better compute performance than Graviton4, and Trainium capacity is being leased in bulk to Anthropic and OpenAI.

Cost Leader vs. Volume Leader Lens Alphabet Amazon Silicon TPU, Axion CPU Trainium, Graviton, Nitro Primary customer Internal Gemini + Cloud enterprises External AI labs on AWS 2026 CapEx guide $195B to $205B ~$200B Cloud backlog $514B Not disclosed Google’s edge is efficiency. Pichai flagged that Chrome engineers are “on track to accelerate delivery by eight times” using their own models on their own chips. Amazon’s edge is distribution. Bedrock now hosts Claude Opus 5, GPT-5.6, Gemma 4 and Grok 4.3, and customers spent more on Bedrock in Q2 than in all prior quarters combined. One monetizes silicon through margin. The other monetizes it through rented capacity.

The Next Test Is Free Cash Flow Both bets are expensive. Alphabet burned $44.92 billion of CapEx in Q2 and posted negative $5.86 billion of free cash flow, with the buyback suspended. Amazon spent $54.21 billion and TTM free cash flow turned negative at $7.6 billion. I want to see TPU external revenue ramp in 2027, and I want Trainium bookings from OpenAI and Anthropic to translate into AWS margin, not just top line.

Why I Lean Toward Google for Silicon Efficiency, Amazon for Silicon Distribution If you want the cheapest tokens in the industry, Google’s TPU stack looks like the better long-term asset. Cloud margin nearly doubled year over year, and shares rose 5.03% in the past week as investors digested the raise. If you want the widest customer roster leasing custom chips, Amazon wins. AWS jumped 3.9% on earnings day, and the Anthropic and OpenAI Trainium commitments give it a commercial moat Google does not have yet. For investors weighing exposure, the trade-off is efficiency versus distribution, and free cash flow recovery by mid-2027 will be the key checkpoint for both names.

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

Contact [email protected] for any questions or corrections.

3 Dividend Kings With Income, Stability, and a Possible CatalystColgate-Palmolive NYSE: CL said its second-quarter 2026 results reflected broad-based organic sales growth, gross-margin expansion and higher advertising spending, while executives outlined steps to improve performance in North America amid softer category trends and elevated competition.

Chairman, President and Chief Executive Officer Noel Wallace said organic sales grew in four of the company’s five divisions and in three of its four categories. Growth was led by emerging markets, including India, Brazil, Mexico and China, while Europe and the Hill’s pet nutrition business also contributed.

Get Colgate-Palmolive alerts:

3 Up-and-Coming Stocks That Could Be the Next NVIDIA“We’re pleased to have delivered another quarter of strong top and bottom-line growth, particularly in the context of continued global volatility,” Wallace said. The company’s free cash flow increased 18% through the second quarter, and it returned $1.4 billion to shareholders, according to Wallace.

The company also said John Faucher, executive vice president of M&A and special projects, will retire at the end of September. Wallace said the call was Faucher’s 40th quarterly earnings call with Colgate-Palmolive.

Margins Supported by Pricing, Mix and Productivity 3 Sectors That Look Most Vulnerable Ahead of May 15Colgate-Palmolive reported gross-margin expansion of 100 basis points in the quarter, including a modest benefit from tariff refunds. Wallace said most of the improvement came from the company’s core operations, including pricing, revenue growth management, productivity initiatives and product mix.

Chief Financial Officer Stan Sutula said material costs were slightly below the company’s expectations during the quarter, as higher raw-material costs were partially offset by tariff refunds. He said the company does not expect meaningful additional refunds.

Management said it now expects gross margin to be roughly flat for the full year, an improvement from its prior expectation for a decline. Sutula cautioned that raw-material costs and tariffs are expected to be higher in the second half than in the second quarter, although comparisons will be easier year over year. He said oil prices around $90 could make fourth-quarter costs somewhat lower than the company had previously assumed.

Wallace said the company has been incorporating expected cost increases into its profit-and-loss planning and is using pricing, revenue growth management and promotional artificial-intelligence tools to protect profitability. The company increased advertising by double digits during the quarter and plans to maintain elevated investment behind its brands.

“We believe our efforts in revenue growth management, promo AI, and funding the growth give us the ability to invest in advertising to build our brands while driving profit and EPS growth,” Wallace said.

North America Improvement Plan Wallace said the company was not satisfied with its U.S. performance. He attributed part of the weakness to category softness in May, heightened competition and inventory reductions by certain retailers. While category conditions improved in June and remained steadier in July, Wallace said they were still below historical levels.

Management said retailer inventory reductions caused shipments to trail consumption in North America, and Wallace said the company has not assumed that retailers will rebuild inventories during the second half.

Colgate-Palmolive plans to increase distribution and support for recent launches, including Optic White Pro Series with ActivShine technology and Fabuloso products in new formats. The company also plans to take “surgical” actions in specific categories and retail channels where it identified price and promotional gaps versus competitors.

Increase brand support across core U.S. businesses. Expand premium innovation in 2026 and 2027. Address selected price and promotion gaps without broadly escalating promotional activity. Focus on improving market share and delivering sequential improvement in the second half. Wallace said the company is particularly focused on premium opportunities, where it believes it is under-indexed in North America. He pointed to the company’s experience in Asia and Europe, where stronger innovation, premium offerings, go-to-market changes and online expansion have supported improvement.

Hill’s Gains Share in a Soft Pet Market Hill’s continued to outperform the broader pet-food category, according to Wallace. Excluding discontinued private-label business, Hill’s organic sales rose 4%, compared with a category that Wallace characterized as roughly flat, particularly in the U.S.

Private-label discontinuations reduced Hill’s volume by 200 basis points. Excluding those discontinuations, volume was approximately flat during the quarter, while the therapeutic business delivered growth in both volume and pricing, supporting mix and gross-margin improvement.

Wallace said Hill’s gained traction in cat food, wet food and small-pet offerings, while Science Diet dog food was weaker as consumers shifted toward smaller pets and ownership of larger pets declined. International Hill’s sales rose at a solid mid-single-digit rate, he said.

The company is also rolling out fresh pet food in the U.S. following its Prime acquisition. Wallace described the rollout as deliberate and said the company’s initial objective is to establish the brand’s scientific credentials and professional support rather than pursue significant early volume.

The offering includes three single-protein diets, with the company emphasizing their intended benefits for digestion, coat condition and overall pet health. Distribution will be phased through professional, pet-specialty and neighborhood veterinary channels rather than launched simultaneously across all retailers.

Emerging Markets, China and AI Initiatives Latin America delivered approximately 5% organic growth, with pricing up 2.8% and volume up 2.6%, Wallace said. Brazil grew at a high-single-digit rate and Mexico grew at a mid-single-digit rate. Management said Colgate Total market shares have been rebuilding, particularly in Brazil, following prior reformulation-related issues.

In India, the company reported double-digit growth, supported by both indirect trade and modern trade. Wallace said the company is pursuing premiumization while also maintaining price-pack architectures designed to attract consumers entering its categories.

Greater China rose at a mid-single-digit rate, while the Colgate China business delivered mid-single-digit growth and Hawley & Hazel, which includes the Darlie brand, posted low-single-digit organic growth. Wallace said China remains a challenging market due to declining brick-and-mortar sales, rapid e-commerce shifts and aggressive competition, but he highlighted the market’s role in developing digital talent and social-first innovation.

Wallace also said Colgate-Palmolive is scaling AI across pricing, productivity, innovation, marketing and data analytics. The company has trained much of its workforce on AI tools, including about 70% of vice presidents in advanced AI training, according to Wallace. He said the company is moving from AI pilots toward broader implementation, including promotional optimization, content creation and more automated internal processes.

About Colgate-Palmolive (NYSE:CL)Colgate-Palmolive Company is a global consumer products company with a long history in household and personal care categories. The business traces its roots to the early 19th century and has evolved into a multinational manufacturer and marketer of everyday consumer goods focused on health, hygiene and home care.

The company's core activities center on oral care, personal care, home care and pet nutrition. Its product portfolio includes toothpaste, toothbrushes and mouthwash in oral care; soaps, body washes and deodorants in personal care; dishwashing liquids, surface cleaners and other household products in home care; and scientifically formulated pet foods under its pet nutrition business.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

Should You Invest $1,000 in Colgate-Palmolive Right Now?Before you consider Colgate-Palmolive, you'll want to hear this.

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Key Takeaways IBM is shifting toward software, hybrid cloud and AI to build steadier, more predictable revenue.IBM's software ARR rose 8% to $24.6 billion, while Red Hat revenues increased 11%.Delayed deals and a 42% drop in IBM Z revenues show infrastructure and timing risks remain. International Business Machines Corporation (IBM - Free Report) is leaning harder into software, hybrid cloud and artificial intelligence to make its revenue base more predictable. That shift is improving visibility, but it has not removed exposure to enterprise budget timing.

The key investor question is whether recurring software streams and AI-related demand can offset near-term execution pressure and the uneven infrastructure cycle.

IBM Builds Around Recurring Software RevenueSoftware is now the center of IBM’s business mix, accounting for 45.2% of GAAP revenues in second-quarter 2026. Segment revenues rose 5% in the quarter, while annual recurring revenue increased 8% to $24.6 billion.

That recurring base matters because about 80% of annual software revenues come from subscription, consumption and support streams. IBM expects Software revenues to grow 6%-8% in 2026 and now targets 100 basis points of operating pretax margin expansion for the year.

IBM Deepens Its Hybrid Cloud PortfolioIBM’s hybrid cloud strategy rests on Red Hat, OpenShift and a broader set of software assets that help enterprises manage applications, data and workloads across complex environments. Red Hat revenues increased 11% in the second quarter, and OpenShift annual recurring revenue reached $2.2 billion.

HashiCorp and Confluent add more depth to that platform approach. HashiCorp posted record bookings, while Confluent remained on track after its first full quarter following the acquisition. Hybrid Cloud revenues rose 11%, and Data revenues advanced 18% on a constant-currency basis.

Microsoft Corporation (MSFT - Free Report) remains a relevant comparison because Azure Arc is designed to run Azure artificial intelligence and data services across cloud and edge environments. Oracle Corporation (ORCL - Free Report) also competes in the same enterprise modernization theme through multicloud deployments and AI database services.

IBM Consulting Turns AI Demand Into BacklogIBM’s Consulting business is showing that enterprise AI work is moving beyond small experiments. Consulting signings rose 6% to $5 billion in the second quarter, marking a second straight quarter of growth.

Generative AI represented about half of Consulting signings and more than 30% of backlog. Revenue growth remained limited at 1% on a constant-currency basis, but segment profit rose 15.1%, and the margin expanded 160 basis points to 12.1%.

That mix suggests AI demand is present, but conversion into revenue remains gradual. IBM still expects Consulting revenues to grow in the low-to-mid-single-digit range in 2026, supported by backlog quality and enterprise transformation work.

IBM Faces Deal Timing and Mainframe PressureThe second quarter also showed why the growth outlook remains exposed to enterprise spending shifts. Total revenues rose 1.1% to $17.16 billion but missed the Zacks Consensus Estimate of $17.32 billion by 0.9%.

The shortfall reflected delayed capital-expenditure-sensitive software transactions and weakness in IBM Z revenues. Clients redirected spending toward servers, storage and memory amid supply constraints and expected price increases.

Infrastructure revenues declined 7% year over year, with IBM Z revenues down 42%. Transaction Processing revenues fell 9% on a constant-currency basis, showing that recurring software strength does not fully shield IBM from infrastructure and enterprise license agreement timing.

IBM’s Mixed Scores Temper the Growth StoryIBM’s transformation remains credible, but the stock’s setup is not one-sided. Recurring software, Red Hat momentum, AI Consulting backlog and productivity actions support the case for steadier growth and margin leverage.

At the same time, delayed deals, mainframe volatility and acquisition-related balance sheet demands keep the story balanced. IBM currently carries a Zacks Rank #3 (Hold), which points to a more neutral near-term earnings revision backdrop.

The Value Score of C and Growth Score of C suggest neither valuation nor growth characteristics stand out strongly. The Momentum Score of D and VGM Score of D point to weaker share-price trends and limited near-term conviction across the combined style framework.

For investors, IBM’s 2026 outlook depends on execution. The software-led model gives the company a stronger base than in past cycles, but the stock still needs clearer evidence that AI demand and recurring revenue can absorb deal timing and infrastructure pressure.

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

HomeEarnings AnalysisHealthcare 

SummaryMerck has extended Keytruda's lifecycle by launching subcutaneous Qlex, securing its exclusivity through 2039, and other extensions supporting market confidence.Recent regulatory approvals, promising pipeline updates, and two major acquisitions (Terns, Cidara) have broadened MRK’s oncology and virology portfolios.Analyst long-term EPS estimates have improved, but the stock’s 17% rally since the latest quarterly results and 2030–32 P/E of ~13.5 suggest the current valuation is fully justified.I maintain a HOLD rating, as risk-reward is less compelling post-rally, though MRK’s innovation and management execution remain strong. hapabapa/iStock Editorial via Getty Images

Intro As my last call on Merck (MRK) was about nine months ago in October, I think it’s the right time, ahead of the upcoming Q2 earnings release, to update my view on how the business

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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

U.S. stocks are drifting slightly higher at midday Friday as two of the market's largest companies move in opposite directions.

The Dow Jones Industrial Average (^DJI +0.58%) is up 0.3% as of 12:14 p.m. ET. The S&P 500 (^GSPC +0.66%) has added 0.2%, on pace for its first winning week in three. The Nasdaq Composite (^IXIC +0.87%) index is also up 0.2%, well off an intraday high near 1.3% reached shortly after the open.

^DJI data by YCharts

Why Amazon and Apple went their separate ways Amazon (AMZN +15.02%) stole the show, jumping 14.9% after posting $200.6 billion in second-quarter revenue. The real headline was Amazon Web Services, where sales grew 37% from a year ago; that's the fastest AWS has grown in 18 quarters. Management reaffirmed a full-year capex outlook of near $220 billion. The report confirmed that heavy AI infrastructure investment is translating into accelerating cloud demand. Amazon alone added roughly 208 points to the Dow.

Apple (AAPL -9.31%) subtracted about 188 points from the Dow, nearly erasing Amazon's contribution. The iPhone maker's stock fell 9.4% despite an analyst-stumping Q3 report. Management's next-quarter guidance was muted, citing component supply constraints tied to the AI hardware boom. Many chips are both pricey and hard to come by in this market.

Image source: Getty Images.

It was a mixed bag of chips today. The iShares Semiconductor ETF (SOXX +1.23%) gained 0.7%, but memory names lagged. Micron Technology (MU -4.40%) fell 5.3%, for instance. Investors at the corner of Wall Street and Silicon Valley are sorting out mixed signals from four Magnificent 7 stocks this week.

Macro pressures capped the bullish market mood. Oil prices rose as Middle East tensions flared back up. The 10-year Treasury yield ticked up 5 basis points to 4.7% and gold slipped 1.6%.

The Invesco S&P 500 Equal Weight ETF (RSP +0.03%) dipped 0.3% while the cap-weighted index trackers rose by the same amount. In other words, the typical stock is actually red today. Mega caps are the ones lifting the S&P 500 above breakeven.

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Zooming out on a wild July Sound familiar? It should. You saw a similar script playing out earlier this week.

Prove that AI spending pays off, and the market throws you a party; show up without a cloud business to justify the hype, and you get sent to the corner. The dunce cap is optional.

Microsoft's (MSFT +2.35%) Azure numbers sparked Thursday's rally, Amazon's AWS numbers are fueling Friday's, and Apple just got the same cold shoulder that Meta Platforms (META +2.15%) did yesterday.

That's July 2026 in a nutshell: noisy, headline-driven, and carried by a handful of giants while the average stock quietly drifts lower. Apple's slide and Amazon's surge will fade from the headlines soon enough. The businesses converting AI spending into cloud revenue are the ones worth tracking long after today.

Anders Bylund has positions in Amazon, Invesco S&P 500 Equal Weight ETF, and Micron Technology. The Motley Fool has positions in and recommends Amazon, Apple, Meta Platforms, Micron Technology, Microsoft, and iShares Trust-iShares Semiconductor ETF. The Motley Fool has a disclosure policy.

Federal Realty Investment Trust (FRT) Q2 2026 Earnings Call July 31, 2026 9:00 AM EDT

Company Participants

Jill Sawyer - Senior Vice President of Investor Relations
Donald Wood - CEO, President & Director
Wendy Seher - Executive VP, Eastern Region President and Chief Operating Officer
Daniel Guglielmone - Executive VP, CFO & Treasurer
Jan Sweetnam - Executive VP & Chief Investment Officer

Conference Call Participants

Michael Goldsmith - UBS Investment Bank, Research Division
Alexander Goldfarb - Piper Sandler & Co., Research Division
Haendel St. Juste - Mizuho Securities USA LLC, Research Division
Greg McGinniss - Scotiabank Global Banking and Markets, Research Division
Andrew Reale - BofA Securities, Research Division
Juan Sanabria - BMO Capital Markets Equity Research
Conor Peaks - Wells Fargo Securities, LLC, Research Division
Michael Griffin - Evercore ISI Institutional Equities, Research Division
Floris Gerbrand Van Dijkum - Ladenburg Thalmann & Co. Inc., Research Division
Craig Mailman - Citigroup Inc., Research Division
Richard Hightower - Barclays Bank PLC, Research Division
Michael Mueller - JPMorgan Chase & Co, Research Division
Paulina Rojas Schmidt - Green Street Advisors, LLC, Research Division

Presentation

Operator

Good day, and welcome to the Federal Realty Investment Trust Second Quarter 2026 Earnings Conference Call. [Operator Instructions] Please note this event is being recorded.

I would now like to turn the conference over to Jill Sawyer, Senior Vice President of Investor Relations.

Jill Sawyer
Senior Vice President of Investor Relations

Thanks, Debbie. Good morning. Thank you for joining us today for Federal Realty's Second Quarter 2026 Earnings Conference Call. Joining me on the call are Don Wood, Federal's Chief Executive Officer; Dan Guglielmone, Chief Financial Officer; Wendy Seher, Eastern Region President and Chief Operating Officer; and Jan Sweetnam, Chief Investment Officer; as well as other members of our executive team that are available to take your questions at the conclusion of our prepared remarks.

A reminder that certain matters discussed