Track market-moving stories before they get noisy

Vanguard Real Estate ETF (VNQ +0.92%) offers a concentrated portfolio of domestic REITs, while Vanguard Global ex-U.S. Real Estate ETF (NASDAQ:VNQI) provides broader international diversification and a higher trailing yield.

Real estate investment trusts (REITs) provide income and growth potential, but geographic concentration can shift a portfolio’s risk profile significantly. While both funds originate from Vanguard, they serve different strategic roles. One focuses exclusively on the domestic property market, while the other looks across more than 30 international markets to capture global real estate trends.

Snapshot (cost & size)MetricVNQIVNQIssuerVanguardVanguardExpense ratio0.12%0.13%1-yr return (as of May 7, 2026)14.10%12.70%Dividend yield4.50%3.60%Beta0.731.00AUM$3.7 billion$64.6 billionBeta measures price volatility relative to the S&P 500; beta is calculated from five-year monthly returns. The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.

These Vanguard offerings are both low-cost, though the international fund is slightly more affordable with an expense ratio of 0.12%. Income-focused investors may find the international option more appealing, as it provides a higher trailing dividend yield of 4.50% compared to the 3.60% offered by the domestic real estate fund.

Performance & risk comparisonMetricVNQIVNQMax drawdown (5 yr)(35.80%)(34.50%)Growth of $1,000 over 5 years (total return)$999$1,185Company data unavailableUnable to load company data for instrument ID: 248576

What's insideVanguard Real Estate ETF (VNQ +0.92%) tracks the MSCI US Investable Market Real Estate 25/50 Index and was launched in 2004. It holds 158 stocks, and its largest positions include Welltower (WELL +1.69%) at 8.96%, Prologis (PLD +0.92%) at 8.19%, and Equinix (EQIX +1.18%) at 6.42%. Over the trailing 12 months, it has paid $3.49 per share in dividends.

Vanguard Global ex-U.S. Real Estate ETF (NASDAQ:VNQI) was launched in 2010 and tracks the S&P Global ex-U.S. Property Index. It is significantly more diversified with 682 holdings across international markets. Top positions include Goodman Group at 3.36%, Mitsubishi Estate at 3.09%, and Mitsui Fudosan at 2.71%. It has paid $2.16 per share over the trailing 12 months.

For more guidance on ETF investing, check out the full guide at this link.

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What this means for investors Vanguard offers two real estate ETFs that together cover the entire global property market. One is focused exclusively on the U.S., the other on everything outside it. VNQ tracks domestic powerhouse REITs like Welltower, Prologis, and Equinix, names that represent healthcare facilities, logistics warehouses, and data center infrastructure. VNQI’s international real estate holdings include Japanese developers Mitsui Fudosan and Mitsubishi Estate, and Australian logistics giant Goodman Group.

Both funds charge nearly identical fees, making the choice purely about geographic preference rather than cost. VNQI offers a higher trailing yield, which may appeal to income-focused investors, though currency risk and varying international property cycles add complexity that domestic-only VNQ avoids entirely.

VNQ is significantly larger and more liquid, with a long track record anchored in familiar U.S. markets. Investors who already hold broad U.S. real estate through VNQ will find VNQI a natural complement for adding international diversification, and many long-term investors own both.

Key Takeaways Welltower posted 16.4% SSNOI growth in Q1 2026, led by 22.1% SHO portfolio growth.WELL closed $3.3B in Q1 investments and targets $4.3B in 2026 dispositions for reinvestment.Welltower expanded U.K. and Canada seniors housing exposure through Barchester, HC-One and Amica deals. Shares of Welltower (WELL - Free Report) have gained 16.9% in the year-to-date period, outperforming the industry’s 12.6% upside.

This healthcare real estate investment trust (REIT) features a well-diversified portfolio of healthcare real estate assets in key markets across the United States, Canada and the UK. With an aging population driving up healthcare spending among senior citizens, its seniors housing operating (SHO) portfolio stands ready to witness strong demand.

Image Source: Zacks Investment Research

Let us decipher the possible factors behind the surge in the stock price of this Zacks Rank #3 (Hold) company.

Welltower continues to benefit from a demand backdrop, supported by an aging population and muted new supply, which have kept occupancy recovery and pricing power intact across the SHO portfolio. Its first-quarter 2026 results reflected total portfolio same-store net operating income (SSNOI) year-over-year growth of 16.4%, driven by 22.1% increase in the SHO portfolio.

Welltower’s investment strategy remains focused on expanding its seniors housing assets in high-growth markets while increasing operator and geographic diversification. In the first quarter of 2026, the company closed $3.3 billion of pro rata gross investments and, after quarter-end, closed or is under contract to close $7.2 billion of pro rata gross investments.

Welltower continues to recycle capital to fund seniors housing investments and simplify the portfolio. The outpatient medical portfolio disposition remains a key source of proceeds, with 60 properties sold in the first quarter of 2026 for a total sales price of $1.38 billion. Total cash proceeds from real estate dispositions were $1.72 billion in the first quarter of 2026, reflecting a mix of outpatient medical, triple-net and seniors housing asset sales. Management’s 2026 guidance framework contemplates $4.3 billion of dispositions, which should continue to provide funding capacity for reinvestment.

Welltower’s recent acquisitions have increased exposure to seniors housing in the United States, the U.K, and Canada. The Barchester acquisition continues to add both SHO and triple-net assets in the U.K., and contributed $238.8 million of revenues in the first quarter of 2026. The HC-One acquisition added 282 seniors housing properties in the U.K. and contributed $289.1 million of revenues in the first quarter of 2026. Subsequent to quarter-end, on April 1, 2026, Welltower completed the previously announced Amica Senior Lifestyles acquisition in Canada for a pro rata purchase price of C$4.1 billion. These transactions expand the company’s scale across high-quality portfolios and are expected to support longer-term NOI growth.

Welltower has a healthy balance sheet position and ample liquidity to support continued investment activity. As of March 31, 2026, it had $11.1 billion of available liquidity, including $4.8 billion of cash and restricted cash, and full capacity under its $6.25 billion line of credit. As of March 31, 2026, the net debt to adjusted EBITDA was 2.73X. Subsequent to quarter-end, the company repaid $700 million of senior unsecured notes at maturity in April 2026 using free cash flow.

Given the above-mentioned factors, we believe the rising trend in the stock is expected to continue in the near term.

Key Risks for WELLA competitive landscape in the senior housing market and tenant concentration in its outpatient medical portfolio are likely to hurt Welltower. Sustained higher interest expenses can weigh on FFO growth.

Stocks to ConsiderSome better-ranked stocks from the broader REIT sector are Lamar Advertising (LAMR - Free Report) and W.P. Carey (WPC - Free Report) , each carrying a Zacks Rank of #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for LAMR’s 2026 FFO per share is pegged at $8.63, which indicates year-over-year growth of 4.5%.

The Zacks Consensus Estimate for WPC’s full-year FFO per share is pinned at $5.26, which suggests an increase of 5.8% from the year-ago period.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.

FrontView REIT Appoints Welltower Co-President and CFO Tim McHugh to Board of Directors FrontView REIT, Inc. (NYSE: FVR) (the “Company,” “FrontView,” “we,” “our,” or “us”) today announced the appointment of Timothy G. “Tim” McHugh to the Company’s Board of Directors as an independent director, effective May 28, 2026.

Mr. McHugh currently serves as Co-President and Chief Financial Officer of Welltower Inc. (NYSE: WELL), the largest REIT in the S&P 500 in terms of market capitalization. In his role at Welltower, Mr. McHugh oversees the company’s corporate finance function and is actively involved in advancing innovation and technology transformation across the Welltower Business System and broader enterprise platform. Since joining Welltower in 2016, Mr. McHugh has helped lead a period of significant strategic transformation and has held roles of increasing responsibility, including Treasurer, Senior Vice President of Capital Markets, and Executive Vice President and Chief Financial Officer, before assuming his current role.

“Tim is one of the most respected finance and capital allocation executives in the public REIT industry, and we are thrilled to welcome him to FrontView’s Board of Directors,” said Stephen Preston, FrontView’s Chairman and Chief Executive Officer. “Tim helped transform Welltower into one of the world’s leading REIT platforms, and his perspective will be especially valuable as it aligns with our differentiated approach to net lease as we scale the business.”

“I am honored to join FrontView’s Board of Directors at an important stage in the Company’s growth,” said Mr. McHugh. “FrontView has built a differentiated platform, anchored by one of the highest-quality real estate portfolios in the sector, and is led by an experienced team with a clear strategy to create durable, long-duration value for shareholders. I look forward to working with the management team and my fellow directors as the Company continues to scale and execute on its strategic priorities.”

About FrontView REIT, Inc.

FrontView is an internally managed net-lease real estate investment trust (“REIT”) focused on acquiring, owning, and managing properties with frontage that are leased to a diversified tenant base. Our real estate investment strategy is centered around highly visible properties in prominent retail corridors with strong underlying real estate fundamentals. We target properties along high-traffic roads that offer strong consumer visibility and adaptable building formats capable of supporting various businesses over time.

As of March 31, 2026, FrontView owned a diversified portfolio of 309 direct frontage properties across 36 U.S. states, leased primarily to service and necessity-based tenants across 16 industries, including medical and dental providers, quick-service and casual dining restaurants, financial institutions, cellular retailers, automotive-related, fitness, and general retail, along with several other diversified industries.

Forward-Looking Statements

This press release contains “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding, among other things, our plans, strategies, and prospects, both business and financial. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as “outlook,” “potential,” “may,” “will,” “should,” “could,” “seeks,” “approximately,” “projects,” “predicts,” “expect,” “intends,” “anticipates,” “estimates,” “plans,” “would be,” “believes,” “continues,” or the negative version of these words or other comparable words. Forward-looking statements, including our ability to execute our business and acquisition strategies, involve known and unknown risks and uncertainties, which may cause FVR’s actual future results to differ materially from expected results, including, without limitation, risks and uncertainties related to general economic conditions, including but not limited to fluctuations in the rate of inflation and/or interest rates, local real estate conditions, tenant financial health, property investments and acquisitions, and the timing and uncertainty of completing these property investments and acquisitions, and uncertainties regarding future distributions to our stockholders. These and other risks, assumptions, and uncertainties are described in Item 1A. “Risk Factors” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, which the Company filed with the SEC on February 25, 2026, which you are encouraged to read, and is available on the SEC’s website at www.sec.gov. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. Accordingly, you are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date they are made. The Company assumes no obligation to, and does not currently intend to, update any forward-looking statements after the date of this press release, whether as a result of new information, future events, changes in assumptions, or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260528792133/en/

, /PRNewswire/ -- Welltower Inc. (NYSE: WELL) ("Welltower" or the "Company") today announced that it expects to raise its quarterly common stock dividend to $0.85 per share, beginning with the second quarter of 2026. The declaration and payment of any future dividend remains subject to further review and approval by the Board.

"Following low double-digit increases to our common stock dividend in each of the past two years, we are pleased to report that the Board has approved a further mid-teens percentage increase to our dividend. This action not only reflects the Company's low dividend payout ratio driven by strong cash flow per share growth in recent years, but also the Board's confidence regarding outsized levels of growth in the coming years supported by extraordinary balance sheet strength," stated Shankh Mitra, Welltower's Chief Executive Officer. He continued, "While strong secular tailwinds are expected to propel our business going forward, the Company's growth is expected to be meaningfully amplified by the digital transformation of our portfolio through the Welltower Business System, our end-to-end operating and technology platform, and an expanding capital deployment opportunity set. In fact, even after completing approximately $11 billion of net investment activity in 2025 and $10.5 billion of closed or announced investment activity through the first four months of 2026, our investment pipeline has never been stronger. While asset prices have bounced off pandemic lows, our ability to drive cash flow growth post-acquisition has meaningfully improved over the past year by leveraging the Welltower Business System and through the joint efforts of our world-class technology talent and core operating partners. As a result, we expect unlevered returns on acquisitions that are comparable to, if not slightly higher than, returns achieved on acquisitions made in prior years. Additionally, we continue to retain significant free cash flow and maintain extraordinarily low balance sheet leverage metrics, providing us with ample capacity and flexibility to support our robust, visible, and actionable organic and inorganic growth opportunities across the US, UK, and Canada."

About Welltower Welltower Inc. (NYSE: WELL), an S&P 500 company, is positioned at the center of the silver economy, focusing on rental housing for aging seniors across the United States, United Kingdom and Canada. Our portfolio of 2,500+ seniors and wellness housing communities is positioned at the intersection of housing and hospitality, creating vibrant communities for mature renters and older adults. We believe our real estate portfolio is unmatched, located in highly attractive micromarkets with stunning built environments. Yet, we are an unusual real estate organization as we view ourselves as an operating company in a real estate wrapper, driven by highly-aligned partnerships and an unconventional culture. Through our disciplined approach to capital allocation powered by our Data Science platform and superior operating results driven by the Welltower Business System - our end-to-end operating platform - we aspire to deliver long-term compounding of per share growth for our existing investors, our North Star.

We routinely post important information on our website at www.welltower.com in the "Investors" section, including corporate and investor presentations and financial information. We intend to use our website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Such disclosures will be included on our website under the heading "Investors." Accordingly, investors should monitor such portion of our website in addition to following our press releases, public conference calls and filings with the Securities and Exchange Commission. The information on our website is not incorporated by reference in this press release and our web address is included as an inactive textual reference only.

Forward-Looking Statements and Risk Factors This document contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. When Welltower uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project" or similar expressions that do not relate solely to historical matters, Welltower is making forward-looking statements. These statements include, among others, future dividend payments. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause Welltower's actual results to differ materially from Welltower's expectations discussed in the forward-looking statements. This may be a result of various factors, including, but not limited to: the impact of macroeconomic and geopolitical developments, including economic downturns, elevated inflation and interest rates, political or social conflict, unrest or violence or similar events; the status of the economy; the status of capital markets, including availability and cost of capital; issues facing the healthcare industry, including compliance with, and changes to, regulations and payment policies, responding to government investigations and punitive settlements, public perception of the healthcare industry and operators'/tenants' difficulty in cost effectively obtaining and maintaining adequate liability and other insurance; changes in financing terms; competition within the healthcare and seniors housing industries; negative developments in the operating results or financial condition of operators/tenants, including, but not limited to, their ability to pay rent and repay loans; Welltower's ability to transition or sell properties with profitable results; the failure to make new investments or acquisitions as and when anticipated; natural disasters, public health emergencies and extreme weather affecting Welltower's properties; Welltower's ability to re-lease space at similar rates as vacancies occur; Welltower's ability to timely reinvest sale proceeds at similar rates to assets sold; operator/tenant or joint venture partner bankruptcies or insolvencies; the cooperation of joint venture partners; government regulations affecting Medicare and Medicaid reimbursement rates and operational requirements; liability or contract claims by or against operators/tenants; unanticipated difficulties and/or expenditures relating to future investments or acquisitions; environmental laws affecting Welltower's properties; changes in rules or practices governing Welltower's financial reporting; the movement of U.S. and foreign currency exchange rates and changes to U.S. and global monetary, fiscal or trade policies; Welltower's approach to artificial intelligence; Welltower's ability to maintain its qualification as a REIT; key management personnel recruitment and retention; geopolitical tensions or conflicts, such as the ongoing conflict between Russia and Ukraine and in the Middle East, and other risks described in Welltower's reports filed from time to time with the SEC. Welltower undertakes no obligation to update or revise publicly any forward-looking statements, whether because of new information, future events or otherwise, or to update the reasons why actual results could differ from those projected in any forward-looking statements.

SOURCE Welltower Inc.

Investors looking for stocks in the REIT and Equity Trust - Other sector might want to consider either FrontView REIT, Inc. (FVR) or Welltower (WELL). But which of these two stocks is more attractive to value investors?

Launching at Cisco Live 2026, this solution helps enterprises safely deploy generative AI, strengthen zero trust, and simplify access management

LAS VEGAS & MUMBAI, India--(BUSINESS WIRE)--LTM, the Business Creativity partner to the world’s largest enterprises, launches its new Managed Secure Service Edge (SSE) solution at Cisco Live 2026. Built directly upon Cisco Secure Access- Cisco's dedicated SSE solution, this offering is designed for cloud-first and hybrid work environments. By combining the robust security of Cisco Secure Access with LTM’s AI-powered managed services, the solution secures access to applications and enables secure use of AI applications and models for the modern enterprise.

Cisco SSE brings networking and security together in a cloud-native, zero-trust framework, enabling identity- and context-aware access with consistent protection across users, devices, and locations. By unifying Zero Trust Network Access, Secure Web Gateway and Cloud Access Security Broker capabilities under centralized policy control, the solution simplifies security operations while delivering end‑to‑end visibility at enterprise scale.  

In addition to Cisco SSE capabilities, LTM’s managed SSE offering combines deep cybersecurity domain expertise with AI-led managed services, ensuring seamless transformation and robust operations. Backed by 4,000+ security professionals and nine Cyber Defense Resiliency Centers, LTM delivers 24x7 AI‑driven threat detection and optimization.

“Modern enterprises need AI-powered security that adapts to how people work today, anywhere, on any device, at any time. Our partnership with Cisco delivers a unified, cloud-native SSE solution that simplifies protection, improves visibility, and empowers organizations to operate securely at scale,” said Chandan Pani, Chief Information Security Officer, LTM.

“By combining Cisco’s world-class innovation with LTM’s deep technical expertise, we are making enterprise-grade security more accessible for today’s organizations. LTM’s managed SSE solution balances business agility with a seamless user experience. Cisco’s security portfolio—including Secure Access—has been purpose-built to be consumed as a service, enabling organizations to adopt and scale modern security with greater simplicity and speed,” said Raj Chopra, Senior Vice President and Chief Product Officer, Cisco Security.

Cisco Live 2026 is Cisco’s premier global event, bringing together industry leaders and technology experts to explore the latest innovations in networking, security, and cloud through keynotes, technical sessions, and live demonstrations. [https://www.ltm.com/services/cyber-security/secure-service-edge]

About LTM

LTM is a global technology services and consulting company and the business creativity partner to the world’s largest and most disruptive companies. We bring human insights and intelligent systems together to help enterprises across industries rewire their business models, accelerate innovation, and drive AI-centric growth. With our integrated operations, transformation, and business AI services, we design and deliver solutions that create new productivity paradigms and new roads to value. Together with 87,000 employees across 40 countries and our global network of hyperscaler partners, LTM—a Larsen & Toubro company—owns business outcomes for over 700 clients, helping them to not simply outperform the market, but to Outcreate it.

For much of the past year, Wall Street has debated whether the semiconductor rally is a once-in-a-generation earnings cycle or bubble. The Compound and Friends podcast turned that into a clean event-versus-precedent debate, with Josh Brown invoking Cisco Systems (NASDAQ:CSCO | CSCO Price Prediction) as the 2000 ghost in the room and Fidelity strategist Denise Chisholm pushing back with a line that has bounced around chip desks all week: "price might be understanding something you don’t quite get." But the data she brought does more work than the quote. Her pattern study lands on the opposite conclusion from what a casual look at the charts would suggest.

The SOX index, per the panel, is sitting 69% above its 200-day moving average, which the show called unprecedented over the last 25 years. Semiconductors as a group are up roughly 100% over the past year. NVIDIA (NASDAQ:NVDA) is up 62% over the past year and carries a $5.4 trillion market cap. Broadcom (NASDAQ:AVGO) is up 95% in twelve months. Micron Technology (NASDAQ:MU) has vaulted 986% over the same window, which Brown framed by noting the stock moved from the 127th largest S&P 500 name a year ago to number 11 today.

The 2000 Mirror The precedent Brown reached for is the one every veteran knows. Cisco was briefly the most valuable company on the planet in March 2000, traded at a triple-digit multiple, then surrendered most of its value over two years. Cisco today sits at a $504.5 billion market cap with a trailing P/E of 43 and a forward P/E of 26, and even after a 68% year-to-date run, it remains a reminder that infrastructure-buildout darlings can take decades to revisit a parabolic top. The fiber that fueled Cisco’s 1999 boom sat unlit in the ground for years. For a deeper look at how today’s AI leaders compare to that era, see our prior coverage of the AI infrastructure trade.

I’ve been watching this sector since the original GPU compute thesis took shape, and the Cisco parallel is the first thing any honest bull must address.

Chisholm’s Counter Chisholm’s pushback rests on base rates. She argued that semiconductors are up roughly 100%, exactly in line with their earnings growth, and that historically, when an industry runs 70% to 100%, about 65% of the time it outperforms the following year. Layering valuation onto the pattern, she put the odds of semis outperforming over the next twelve months at roughly 70%.

The structural distinction she drew from 2000 matters. Micron’s memory "is put into use immediately," she said, contrasting that with the dark fiber problem two decades ago. Data centers, in her words, are "literally saying we’re short compute based on today’s demand." Micron just posted Q1 FY26 revenue of $13.64 billion, up 56.6% year over year in its most recent 10-Q filing, with non-GAAP EPS of $4.78 and a Cloud Memory unit running at a 66% gross margin. NVIDIA’s most recent quarter delivered $81.61 billion in revenue, up 85.2% year over year, and Data Center Networking grew 199%. Broadcom’s AI semiconductor revenue jumped 106% year over year to $8.4 billion, and CEO Hock Tan has staked out a goal of $100 billion-plus in AI sales by 2027.

The Valuation Gut-Check NVIDIA trades at a trailing P/E of 34 and a forward P/E of 26, with a PEG of 0.69. Micron, even after its run, sits at a forward P/E of 11. Cisco in 2000 traded north of 150x earnings. This setup looks structurally different. UBS captured the bullish edge with its Micron price target of $1,625, raised from $535, more than double the $700.51 close cited on the show.

The speed remains a problem even inside the bull case. One portfolio manager on the podcast described watching Micron rise 5% daily, which historically precedes air pockets. Chisholm conceded semis are still cyclical, only suggesting the cycle may be stretching from roughly three years to seven. Cycles mean-revert harder when margins are at all-time highs, which is exactly where NVIDIA’s 75% non-GAAP gross margin and Broadcom’s 68% adjusted EBITDA margin sit now.

What the Pattern Says The Long Memory verdict is clean. The 2000 precedent screams caution at the price. The base-rate study Chisholm cited says price has historically been a leading indicator of fundamentals catching up. Both can be partly right. Cisco was a real company that earned its way back. The internet still ate the world. Long term, the buildout of AI infrastructure looks more like rails and grids than unused fiber, and Wall Street has a way of paying off patient owners of pick-and-shovel cycles even when entry was uncomfortable.

What I’m watching now: whether order books stretching into 2027 hold up when hyperscaler capex guidance refreshes, and whether NVIDIA’s $119 billion in total supply commitments turns into delivered revenue or sticky inventory. The pattern favors the bulls. The speed of Micron’s chart says not to confuse a favorable base rate with a free lunch.

© hxyume / iStock via Getty Images

The artificial intelligence boom that’s pushing market caps to records is reshaping employment. Challenger, Gray & Christmas data highlighted on CNBC’s Closing Bell Overtime on June 4 indicates that more than 87,000 layoffs this year have been tied to AI, already eclipsing all of 2025’s full-year total just five months in. Chip leader NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) keeps minting AI fortunes, but the same trend is hollowing out white-collar tech roles.

This morning’s May jobs report seemed to push back on the gloom. Nonfarm payrolls rose 172,000, well above the 80,000 to 100,000 economists had penciled in, and the unemployment rate held at 4.3%. Hiring tied to the NVIDIA-led AI buildout helped lift total nonfarm payrolls to 159,001 thousand, a fresh record.

Beneath that headline, the composition of the cuts tells a sharper story. Tech accounted for nearly 40% of all job cuts in May, the highest monthly tech share since last August. Bellwethers including IBM (NYSE:IBM) and Qualcomm (NASDAQ:QCOM) face pressure on slowing cloud and chip guidance, with the Dow recently shedding more than 400 points on losses in IBM and Cisco Systems (NASDAQ:CSCO) shares.

Inside the Challenger Numbers May’s announced layoffs jumped 16% versus April, the third straight monthly increase. Qualcomm shares moved down 10% on June 5 amid AI PC competition and flat earnings outlook, showing how the layoff narrative and the tape feed each other.

Weekly unemployment claims have ticked higher even as business-services openings stay firm. Initial claims reached 225,000 for the week ending May 30, up 35,000 over the prior month. IBM and other legacy software vendors trimming headcount fit the same softening picture.

“Anybody Who’s Coding for a Living Is Feeling It” A guest on the segment summed up the labor stakes, stating that “anybody who’s coding for a living is feeling it for sure.” Engineers at NVIDIA partners and legacy code shops alike are watching coding copilots compress how many bodies a project needs.

The same guest urged caution on the raw count, noting, “It’s announced layoffs, right? Sometimes it just means general position eliminations, headcount reductions,” and that “Companies are pretty headcount aware at this point and they want to keep things pretty tight going into this summer.” Some firms tracking Qualcomm-style chip cycles may tag cuts as AI-driven for narrative purposes, so the figure is best treated as directional.

Even healthy operators are restructuring. Starbucks (NASDAQ:SBUX) is tying part of tech-team bonuses to AI usage and anticipates roughly $400 million in restructuring charges associated with the company’s “Back to Starbucks” push, a sign that AI-linked workforce optimization is spreading beyond pure-play tech.

A Two-Speed Labor Market The host raised the economic stakes, noting these technology jobs are “higher-paid jobs, presumably. And the impact on the economy could actually be pretty significant.” Average hourly earnings ran at $37.53 in May, but tech salaries at IBM, NVIDIA, and similar firms sit well above that average. Each displaced engineer hits consumer spending harder than the headline number suggests.

Consumer sentiment already reflects that anxiety. The University of Michigan index sat at 49.8 in April, down from 61.7 last July and squarely in recessionary territory. Apple (NASDAQ:AAPL) is preparing to unveil its biggest AI push yet at the Worldwide Developers Conference (WWDC) on June 9, with Wedbush’s Dan Ives anticipating significant Siri-related announcements.

What Investors Can Watch From Here The Challenger figure should be read as directional rather than precise. Announced cuts don’t always fully materialize, and AI attribution can be marketing as much as measurement, so investors tracking Apple, NVIDIA, and the broader hyperscaler complex shouldn’t extrapolate a recession from one report.

That said, the trend warrants consideration. Three straight monthly increases in announced layoffs, rising jobless claims, and a 40% tech share of cuts together suggest that the pain is concentrated in high-paid coding roles even while the overall payroll number from IBM-style enterprises holds up. Investors may want to right-size their exposure to companies leaning hardest on AI-driven cost cuts.

The takeaway is a bifurcated economy: the broad labor market looks resilient, but the engine rooms of Silicon Valley are running leaner. Watch for whether June’s Challenger report and the next initial-claims releases from companies like Qualcomm confirm or counteract the softening.

After Friday's tech wreck sent the Nasdaq Composite (^IXIC +0.31%) index tumbling 4% and vaporizing over $1 trillion from semiconductor stocks, Monday's market looks a lot friendlier. Chip stocks are back in the driver's seat, and investors are largely pretending last week's panic never happened.

The Nasdaq Composite has gained 1.5% as of 12:46 p.m. ET, clawing back some of Friday's painful losses. The S&P 500 (^GSPC +0.50%) is up 0.8%, while the Dow Jones Industrial Average (^DJI +0.70%) is barely in the green at 0.2%.

Trillion-dollar tech giants are doing the heavy lifting here. The equal-weighted Invesco S&P 500 Equal Weight ETF (RSP +0.91%) is only up 0.2%, far behind the cap-weighted versions of the same stock list. In other words, megacap stocks are having a party on an otherwise quiet market day.

^IXIC data by YCharts

Why chip stocks are leading this market rally Chipmakers Intel (INTC +6.49%) and Micron Technology (MU 1.02%) are the standout performers today.

Intel's stock is up 11.8% on reports that Alphabet (GOOG +0.44%) (GOOGL +0.53%), Nvidia (NVDA +0.15%), and Tesla (TSLA +1.65%) are at least considering Intel's manufacturing services for their future AI accelerator chips. In the case of Alphabet, the Google parent reportedly placed a firm order for 3 million AI chips. Tesla is more interested in using Intel's chip-building technology in its own fabs, but license royalties can also be lucrative.

Nvidia is the main driver of Micron's big jump. CEO Jensen Huang is securing long-term memory chip contracts with Micron rival SK Hynix, and semiconductor investors are taking this move as a good sign for memory makers in general. Nvidia is known to include the Big Three memory makers in its AI accelerator designs. A tighter partnership with SK Hynix might tilt the balance of order volumes away from Micron and Samsung, but it could also be part of a broader strategy to lock down multiple large-scale supply channels.

Image source: Getty Images.

I don't have much to say about the Dow today. Among its 30 components, only Cisco Systems (CSCO 0.65%) moved more than 2% as of this writing, adding just 22 points with a 3% gain. Goldman Sachs (GS +2.61%) made a bigger difference of 82 Dow points, though its 1.3% price gain was just normal market noise.

Meanwhile, geopolitics stirred volatility again. Iran and Israel exchanged missile strikes over the weekend, sending oil prices spiking before both sides agreed to cool things down. Brent crude touched nearly $98 a barrel before retreating, and the United States Oil Fund (USO 2.64%) is up 1.6% on Monday.

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Keeping it all in perspective Last week's sell-off followed a hot jobs report that revived fears of Fed rate hikes, ending the S&P 500's nine-week winning streak. Today's bounce is concentrated in the same mega-cap tech names that led on the way down.

The week ahead brings more potential plot twists: Wednesday delivers both the Consumer Price Index report and Oracle (ORCL 0.05%) earnings, while Friday brings SpaceX to the market in what's expected to be the largest IPO ever.

One day's rally doesn't erase one day's panic, and neither tells you much about where stocks will be in five years. The AI story hasn't changed since Friday; only the mood has. Long-term investors can safely tune out the drama and check back after Wednesday's inflation report.

Anders Bylund has positions in Alphabet, Intel, Invesco S&P 500 Equal Weight ETF, Micron Technology, and Nvidia. The Motley Fool has positions in and recommends Alphabet, Cisco Systems, Goldman Sachs Group, Intel, Micron Technology, Nvidia, Oracle, and Tesla. The Motley Fool has a disclosure policy.

Key Takeaways Cisco introduced Zero Trust Access for AI agents and new tools for securing AI lifecycles.CSCO security revenues were flat at $2.01B, but saw double-digit order growth in Q3 FY2026.Cisco expanded partnerships with NVIDIA, OpenAI and Anthropic to strengthen AI security capabilities. Cisco Systems (CSCO - Free Report) is focusing on AI security as companies increasingly use agentic AI systems that can work on their own, make decisions and complete tasks.

In its third-quarter fiscal 2026, Cisco announced Zero Trust Access for AI agents and revealed plans to acquire Galileo and Astrix to strengthen its AI security and observability capabilities. This extends Cisco’s security framework to AI-driven digital workers and helps ensure secure access and control. These additions are expected to expand the company’s security and observability platform with agent identity, access management and behavior-monitoring capabilities.

Cisco is also building new tools to protect the entire AI lifecycle. The company officially introduced DefenseClaw in its AI security announcement tied to RSA 2026-related security updates on March 23, 2026. DefenseClaw is an open-source solution designed to help customers safely deploy AI agents by enforcing guardrails and protecting against malicious behavior and attacks. In addition, Cisco launched new capabilities for its agentic Security Operations Center and AI observability platform, allowing organizations to identify and respond to threats faster and at greater scale.

Partnerships remain an important part of Cisco’s AI security strategy. The company expanded its Secure AI Factory collaboration with NVIDIA, giving customers a framework to deploy AI securely across infrastructure environments ranging from data centers to local sites. Cisco is also working with Project Glasswing, participating in the testing of Anthropic’s Claude Mythos Preview model and taking part in OpenAI’s Trusted Access for Cyber program.

Cisco’s security business is showing encouraging momentum. Cisco’s Security revenues were flat year over year at $2.01 billion in the third quarter of fiscal 2026. The company reported double-digit order growth in its core security portfolio and added more than 1,000 new customers for Secure Access, XDR, Hypershield and AI Defense during the quarter. As AI adoption grows, Cisco believes demand for advanced AI security solutions will continue to increase.

CSCO Faces Tough Competition in the Security DomainCisco is facing stiff competition from Fortinet (FTNT - Free Report) and Okta (OKTA - Free Report) in the security domain.

Fortinet is benefiting from the increasing adoption of AI. As organizations deploy more AI applications, cybersecurity needs are becoming more complex due to higher network traffic, larger attack surfaces and greater data security requirements. In the first quarter of 2026, AI-driven security operations billings of Fortinet rose 23% year over year, supported by a broad portfolio of AI-enabled solutions. Demand for secure networking, Unified SASE and security operations remained strong, while FortiGate products gained traction in securing AI infrastructure and data centers. Fortinet expects its FortiOS platform, custom ASIC technology and long-term AI investments to help capture future AI-driven security opportunities.

Okta reported strong momentum driven by rising demand for its expanding identity security portfolio. In the first quarter, new products contributed about 25% of bookings, with Identity Governance leading adoption, followed by growing traction in Privileged Access and other security offerings. The company emphasized that the rapid rise of AI agents is increasing the importance of identity management and boosting customer engagement and deal sizes. Although AI agent products are still in the early stages of adoption and are not yet a major revenue driver, Okta highlighted record pipeline levels and strong customer interest. The company expects AI-driven identity security to become a key long-term growth opportunity. Okta expects revenues between $3.185 billion and $3.205 billion for fiscal 2027, indicating year-over-year growth of 9-10%.

CSCO’s Share Price Performance, Valuation & EstimatesCisco shares have gained 54.3% year to date, outperforming the broader Zacks Computer and Technology sector’s 15.9% increase.

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

The CSCO stock is trading at a premium, with a trailing 12-month price/book of 9.58X compared with the Zacks Computer Networking industry’s 9.37X. Cisco has a Value Score of F.

                                        CSCO Stock Is Overvalued  
Image Source: Zacks Investment Research

The Zacks Consensus Estimate for fourth-quarter fiscal 2026 earnings is currently pegged at $1.17 per share, up 9 cents over the past 30 days. This suggests 18.1% growth from the figure reported in the year-ago quarter.     

Cisco currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Cisco Systems (CSCO - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.

Over the past month, shares of this seller of routers, switches, software and services have returned +5.5%, compared to the Zacks S&P 500 composite's -0.2% change. During this period, the Zacks Computer - Networking industry, which Cisco falls in, has gained 23.2%. The key question now is: What could be the stock's future direction?

While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.

Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

Cisco is expected to post earnings of $1.17 per share for the current quarter, representing a year-over-year change of +18.2%. Over the last 30 days, the Zacks Consensus Estimate has changed +7.4%.

For the current fiscal year, the consensus earnings estimate of $4.28 points to a change of +12.3% from the prior year. Over the last 30 days, this estimate has changed +3.6%.

For the next fiscal year, the consensus earnings estimate of $4.72 indicates a change of +10.3% from what Cisco is expected to report a year ago. Over the past month, the estimate has changed +5.1%.

With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Cisco.

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

In the case of Cisco, the consensus sales estimate of $16.85 billion for the current quarter points to a year-over-year change of +14.9%. The $62.53 billion and $67.75 billion estimates for the current and next fiscal years indicate changes of +10.4% and +8.3%, respectively.

Last Reported Results and Surprise HistoryCisco reported revenues of $15.84 billion in the last reported quarter, representing a year-over-year change of +12%. EPS of $1.06 for the same period compares with $0.96 a year ago.

Compared to the Zacks Consensus Estimate of $15.58 billion, the reported revenues represent a surprise of +1.71%. The EPS surprise was +1.92%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.

ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.

Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.

As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Cisco is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Cisco. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.

A month has gone by since the last earnings report for Cisco Systems (CSCO - Free Report) . Shares have added about 5.5% in that time frame, outperforming the S&P 500.

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

CSCO Q3 Earnings Beat Estimates, Strong Networking Aids Top LineCisco Systems reported third-quarter fiscal 2026 non-GAAP earnings of $1.06 per share, beating the Zacks Consensus Estimate by 1.92%. The figure increased 10% year over year.

Revenues of $15.841 billion topped the consensus mark by 1.71% and grew 12% year over year. Annualized recurring revenues were $31.2 billion at the end of the reported quarter, up 2%, underscoring the continued buildout of subscription and maintenance streams.

Total subscription revenues were $7.83 billion and represented 51% of Cisco’s total revenues. Total software revenue increased 36.9% year over year to $5.6 billion.

CSCO Rides Networking Strength Across Key PlatformsNetworking revenues were $8.82 million, up 25% year over year, highlighting accelerating demand for the company’s switching and routing portfolio.

That strength aligned with management’s view that customers are modernizing networks to handle AI-driven traffic growth and campus refresh cycles. Cisco pointed to record campus networking orders growing more than 25% year over year and data center switching orders up more than 40%, supported by strong uptake in wireless and campus switching.

Cisco Scales AI Infrastructure With Systems and OpticsCisco’s hyperscaler AI infrastructure business remained a major engine of demand. AI infrastructure orders taken from hyperscalers were $1.9 billion in the quarter, helping lift the year-to-date total to $5.3 billion.

Reflecting that momentum, Cisco raised expected hyperscaler AI orders to approximately $9 billion for fiscal 2026 and lifted expected AI infrastructure revenue from hyperscalers to about $4 billion. Cisco also highlighted a balanced mix between Silicon One-based networking systems and optics, alongside multiple hyperscaler design wins during the quarter.

CSCO Sees Mixed Trends Outside Core NetworkingSecurity revenues were $2 billion, essentially flat year over year, as gains in newer offerings continued to be weighed down by declines in prior-generation products.

Management noted progress in refreshed security products and highlighted that over 1,000 new customers purchased products such as Secure Access, XDR, Hypershield and AI Defense in the quarter, bringing net new customers since launch to roughly 5,000. At the same time, Cisco reiterated that Splunk’s transition toward cloud subscriptions from on-premise deals is creating a near-term revenue drag, even as the company targets more than 1,000 new Splunk customer logos in fiscal 2026.

Observability revenues were $269 million, up 3% year over year.

Cisco Holds Operating Discipline Amid Cost PressuresIn the third quarter of fiscal 2026, non-GAAP gross margin was 66%, down 260 basis points (bps) year over year. Non-GAAP product gross margin was 64.3%, down 330 bps, partially offset by non-GAAP services gross margin of 71.6%, up 30 bps.

In the third quarter of fiscal 2026, Cisco reported total non-GAAP operating expenses of $5.05 billion, up 4.6% year over year. As a percentage of revenues, operating expenses declined 220 bps year over year.

Cisco still delivered operating leverage, posting a non-GAAP operating margin of 34.2% on non-GAAP operating expenses of $5 billion.

CSCO’s Balance Sheet DetailsAs of April 25, 2026, cash and cash equivalents and investments totaled $16.64 billion, which increased from $15.8 billion as of Jan. 24, 2026. Total debt was $31.30 billion as of April 25, 2026.

The remaining performance obligations (RPO) at the end of the third quarter of fiscal 2026 were $43.5 billion, up 4% year over year. Product RPO increased 6% year over year, of which long-term RPO was $11.7 billion, up 6% year over year. Services RPO was up 2% year over year.

The company returned $2.912 billion to shareholders, including dividends of 42 cents per share and $1.252 billion in share repurchases, with $9.6 billion remaining under the repurchase authorization.

CSCO Lifts Outlook and Details Restructuring PlansCisco’s guidance pointed to a strong finish to fiscal 2026. For the fourth quarter of fiscal 2026, the company expects revenues of $16.7 billion to $16.9 billion and non-GAAP earnings of $1.16 to $1.18 per share.

For fiscal 2026, management raised its outlook to revenue of $62.8 billion to $63.0 billion and non-GAAP earnings of $4.27 to $4.29 per share.

Cisco also announced a restructuring plan to reallocate resources toward silicon, optics, security and AI, and expects up to $1 billion of pretax charges, including roughly $450 million in the fourth quarter of fiscal 2026, with the remainder in fiscal 2027.

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

The consensus estimate has shifted 7.44% due to these changes.

VGM ScoresCurrently, Cisco has a subpar Growth Score of D, however its Momentum Score is doing a lot better with an A. However, the stock has a score of F on the value side, putting it in the bottom 20% quintile for this investment strategy.

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

OutlookEstimates have been trending upward for the stock, and the magnitude of these revisions looks promising. It comes with little surprise Cisco has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.

W. P. Carey projects FY2026 AFFO per share of $5.21 (+4.8% YoY) and investment volumes of $1.75B, driven by high-yield investments and cheap borrowing costs from the EU/Canada. Given their robust long-term investment yields at over 9% and the weighted average interest rate of 3.1%, the REIT may deliver rich investment spreads at over 5% ahead. WPC remains discounted at Price/AFFO of 13.90x, with it triggering the rich dividend yield of 5.14% and the excellent upside potential to my LTPT of $90.30.

Adds $400 Million of Investment Volume Since Announcing First Quarter Results

, /PRNewswire/ -- W. P. Carey Inc. (NYSE: WPC) (W. P. Carey or the Company), a leading net lease REIT specializing in corporate sale-leasebacks, build-to-suits and the acquisition of single-tenant net lease properties, today announced year-to-date investment volume totaling approximately $1.1 billion, including investment volume totaling approximately $400 million completed since the Company reported its first quarter 2026 financial results on April 28, 2026.

GardenCore Sale-leaseback

On May 8, 2026, the Company closed the sale-leaseback of a 43-property manufacturing portfolio with newly branded GardenCore (formerly Oldcastle Lawn & Garden), a leading U.S. manufacturer of lawn and garden consumables, offering a broad portfolio of mulch, soil, stone and lime products. GardenCore has deep, long-standing partnerships with major home improvement retailers and garden centers, and delivers consistent, high-quality execution across large-scale private label and branded programs.

Located in 24 states across the U.S., the portfolio is triple-net master leased for a term of 20 years with fixed annual rent escalations. It represents the entirety of GardenCore's owned real estate, contributing a significant portion of its overall revenue. Pacific Avenue Capital Partners, a leading private equity firm, recently acquired GardenCore as part of a corporate carve-out from CRH's packaged mulch, soil and stone business.

At the time of investment, GardenCore ranked among W. P. Carey's top 10 largest tenants by annualized base rent (ABR).

Investment Volume Outlook

Based on the investment volume it has completed year-to-date, the capital investments and commitments it has scheduled to deliver over the remainder of 2026, and its investment pipeline, W. P. Carey currently has visibility into investment volume totaling approximately $1.5 billion.

W. P. Carey Inc.

W. P. Carey ranks among the largest net lease REITs with a well-diversified portfolio of high-quality, operationally critical commercial real estate, which includes 1,703 net lease properties covering approximately 185 million square feet as of March 31, 2026. With offices in New York, London, Amsterdam and Dallas, the company remains focused on investing primarily in single-tenant industrial, warehouse and retail properties located in the U.S. and Europe, under long-term net leases with built-in rent escalations.

www.wpcarey.com

Certain of the matters discussed in this communication constitute forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, both as amended by the Private Securities Litigation Reform Act of 1995. The forward-looking statements include, among other things, statements regarding the intent, belief or expectations of W. P. Carey and can be identified by the use of words such as "may," "will," "should," "would," "will be," "goals," "believe," "project," "expect," "anticipate," "intend," "estimate," "opportunities," "possibility," "strategy," "maintain" or the negative version of these words and other comparable terms. There are a number of risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Other unknown or unpredictable risks or uncertainties, like the risks related to fluctuating interest rates, the impact of inflation and tariffs on our tenants and us, the effects of pandemics and global outbreaks of contagious diseases, and domestic or geopolitical crises, such as terrorism, military conflict, war or the perception that hostilities may be imminent, political instability or civil unrest, or other conflict, and those additional risk factors discussed in reports that we have filed with the SEC, could also have material adverse effects on our future results, performance or achievements. Discussions of some of these other important factors and assumptions are contained in W. P. Carey's filings with the SEC and are available at the SEC's website at http://www.sec.gov, including Part I, Item 1A. Risk Factors in W. P. Carey's Annual Report on Form 10-K for the fiscal year ended December 31, 2025. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this communication, unless noted otherwise. Except as required under the federal securities laws and the rules and regulations of the SEC, W. P. Carey does not undertake any obligation to release publicly any revisions to the forward-looking statements to reflect events or circumstances after the date of this communication or to reflect the occurrence of unanticipated events.

Institutional Investors:
Peter Sands
1 (212) 492-1110
[email protected]

Individual Investors:
W. P. Carey Inc.
1 (212) 492-8920
[email protected]

Press Contact:
Amanda Woodward
1 (212) 492-1171
[email protected]

SOURCE W. P. Carey Inc.

W.P. Carey (WPC - Free Report) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.

A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.

The power of a changing earnings picture in determining near-term stock price movements makes the Zacks rating system highly useful for individual investors, since it can be difficult to make decisions based on rating upgrades by Wall Street analysts. These are mostly driven by subjective factors that are hard to see and measure in real time.

As such, the Zacks rating upgrade for W.P. Carey is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.

Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, has proven to be strongly correlated with the near-term price movement of its stock. That's partly because of the influence of institutional investors that use earnings and earnings estimates for calculating the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their transaction of large amounts of shares then leads to price movement for the stock.

For W.P. Carey, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.

Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.

The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .

Earnings Estimate Revisions for W.P. CareyFor the fiscal year ending December 2026, this real estate investment trust is expected to earn $5.26 per share, which is unchanged compared with the year-ago reported number.

Analysts have been steadily raising their estimates for W.P. Carey. Over the past three months, the Zacks Consensus Estimate for the company has increased 1.5%.

Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.

You can learn more about the Zacks Rank here >>>

The upgrade of W.P. Carey to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.

OSAKA, Japan--(BUSINESS WIRE)--Ono Pharmaceutical Co., Ltd. (Headquarters: Osaka, Japan; President and COO: Toichi Takino; “Ono”) announced the presentation of data from the randomized, double-blind, placebo-controlled, Phase 2 study of ONO-2808（ONO-2808-03 study）for the treatment of multiple system atrophy (MSA) at the 7th World Parkinson Congress, held from May 24 to May 27, 2026, in Phoenix, Arizona, USA.

This presentation includes results of the double-blind core part of the ONO-2808-03 study at 24 weeks. In addition to the incidence of treatment-emergent adverse events (TEAEs), which is the primary endpoint, efficacy is evaluated using multiple exploratory indicators, including the modified Unified Multiple System Atrophy Rating Scale* (mUMSARS). TEAEs incidence was similar to placebo (91%, n=21/23) and ONO-2808 (93%, n=64/69), with no unexpected safety signals. As exploratory efficacy endpoints, in the subgroup of parkinsonism-predominant type (MSA-P), the change from baseline (95% CI) of the mUMSARS score at 24 weeks was 3.90 (1.76 to 6.04) in the placebo group, compared to 1.39 (-0.85 to 3.64) and 1.16 (-1.1 to 3.41) in the medium-dose and high-dose groups, respectively. In brain volume assessment using MRI (magnetic resonance imaging), the ONO-2808 group showed a tendency toward a dose-dependent response to the suppression of brain atrophy progression. These data suggest that ONO-2808 has the potential for continued development, and Ono and its affiliate company Deciphera plan to initiate a pivotal Phase 3 study.

* Unified Multiple System Atrophy Rating Scale (UMSARS): Used as an objective indicator for evaluating the severity and progression of MSA, and mUMSARS (modified UMSARS) is an index extracted from UMSARS in a one-year clinical trial, selecting nine items (speech, eating, dressing, hygiene, walking, excretory function, standing, posture, and gait) as indicators that clinically capture disease progression in a meaningful and sensitive manner 1).

About ONO-2808-03 Study

The ONO-2808-03 study is a multicenter, randomized, double-blind, placebo-controlled Phase 2 clinical study in early MSA patients within 5 years of symptom onset in Japan and the US. This study consisted of 2 parts. In the core part, 92 participants were randomly allocated to ONO-2808 (3 doses) or placebo at a ratio of 1:1:1:1, and orally received the treatment once daily for 24 weeks in a blinded manner. The objective of the core part is to assess the safety, tolerability, pharmacokinetics, and potential efficacy of ONO-2808 in comparison with placebo. After the completion of the core part, ONO-2808 will be administered for up to 80 weeks in the extension part to assess the safety, tolerability, and potential efficacy of long-term treatment with ONO-2808.

About Multiple System Atrophy (MSA)

MSA is a progressive neurodegenerative disease, which leads to the gradual loss of neurons in the brain due to abnormal accumulation of a protein called α-synuclein. Major symptoms include Parkinson's symptoms such as muscle stiffness, cerebellar ataxia such as difficulty walking, and autonomic dysfunction such as orthostatic dizziness and urinary incontinence. MSA is a rare and aggressive intractable disease with an average life expectancy of 9 to 10 years 2) - 4). It is reported that approximately 80% of patients become aid-requiring walking within 5 years of onset and only 20% of patients survive for at least 12 years 2). In Japan, MSA has been designated as an intractable disease, and the number of patients is estimated to be approximately 10,000 as of the end of fiscal year 2019 5). The number of patients in the US is estimated to be 15,000 to 50,000 or approximately 40,000 6), 7).

At present, no radical treatment has been established for MSA, and symptomatic treatment and rehabilitation are mainly used to maintain patients’ quality of life.

About ONO-2808

ONO-2808 is an orally bioavailable selective agonist to a Sphingosine 1-Phosphate (S1P) receptor 5, one of the S1P receptors, discovered by Ono. S1P5 receptors play an important role in the maintenance of normal functions of nerves, such as the stabilization and regeneration of myelin sheath that covers nerve axons, by promoting the differentiation of oligodendrocytes, a type of glial cells present in the central nervous system such as the brain and spinal cord 8), 9). ONO-2808, a selective S1P5 receptor agonist, is expected to alleviate the progression of MSA by promoting remyelination and inhibiting the accumulation of α-synuclein in the central nervous system, which is the cause of MSA.

About Ono Pharmaceutical Co., Ltd

Ono Pharmaceutical Co., Ltd. delivers innovative therapies for patients worldwide. Upholding its philosophy of “Dedicated to the Fight against Disease and Pain,” Ono targets areas with unmet medical needs including oncology, immunology & inflammation, and neurology, and fosters partnerships with academic and biotech organizations to accelerate drug discovery. Through its affiliate, Deciphera Pharmaceuticals, Ono is accelerating clinical development and commercial operations in the US and Europe to drive global business expansion and further its commitment to patient care. For more information, please visit the company's website at https://www.ono-pharma.com/en.

References:

1) Michele Potashman, et al. Neurology 2023 April 25: https://www.neurology.org/doi/10.1212/WNL.0000000000202223
2) Watanabe H, et al. Brain. 2002;125:1070-83.
3) Low PA, et al. Lancet Neurol. 2015;14:710-9.
4) Wenning GK, et al. Lancet Neurol. 2013;12:264-74.
5) Japan Intractable Diseases Information Center: https://www.nanbyou.or.jp/entry/59
6) National Institutes of Health: https://www.ninds.nih.gov/health-information/disorders/multiple-system-atrophy
7) Kaplan S, et al. Parkinsonism Relat Disord. 2023;117:105920.
8) Chun J, Hartung HP. Clin Neuropharmacol. 2010;33:91-101.
9) Jaillard C, et al. J Neurosci. 2005;25:1459-69.

Cautionary Note Regarding Forward-Looking Statements

In this press release, statements made with respect to current plans, estimates, strategies and beliefs, and other statements that are not historical facts are forward-looking statements about the future performance of the company. These statements are based on current assumptions and beliefs in light of the information currently available and involve known and unknown risks and uncertainties. A number of factors could cause actual results to differ materially from those discussed in the forward-looking statements. Such factors include, but are not limited to: (i) changes in the business environment in the pharmaceutical market and amendments to relevant laws and regulations, (ii) disruptions to product supply due to stagnation or delays in production caused by natural disasters, fires, etc., (iii) the possibility that sales activities for new and existing products may not achieve the expected results, (iv) the emergence of new side effects in post-marketing drugs, and (v) infringements of intellectual property rights by third parties. Information about pharmaceutical products included in this press release is not intended to constitute an advertisement or medical advice.

More News From Ono Pharmaceutical Co., Ltd.

W. P. Carey Inc. (WPC) Presents at Nareit REITweek: 2026 Investor Conference Transcript

Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- W. P. Carey Inc. (W. P. Carey, NYSE: WPC) reported today that its Board of Directors increased its quarterly cash dividend to $0.940 per share, equivalent to an annualized dividend rate of $3.76 per share. The dividend is payable on July 15, 2026 to stockholders of record as of June 30, 2026.

W. P. Carey Inc.   

W. P. Carey ranks among the largest net lease REITs with a well-diversified portfolio of high-quality, operationally critical commercial real estate, which includes 1,703 net lease properties covering approximately 185 million square feet as of March 31, 2026. With offices in New York, London, Amsterdam and Dallas, the company remains focused on investing primarily in single-tenant industrial, warehouse and retail properties located in the U.S. and Europe, under long-term net leases with built-in rent escalations.

www.wpcarey.com

Institutional Investors:
Peter Sands
1 (212) 492-1110
[email protected]

Individual Investors:
W. P. Carey Inc.
1 (212) 492-8920
[email protected]

Press Contact:
Amanda Woodward
1 (212) 492-1171
[email protected]

SOURCE W. P. Carey Inc.

Also from this source

New tech-enabled capability simplifies estimating, saves time and helps Pros respond faster

, /PRNewswire/ -- Lowe's is helping Pro customers save time on estimating and quoting with the launch of Material Lists, an AI-powered solution that converts handwritten notes, photos, spreadsheets and other supported file types into quote-ready orders in minutes, with support for both English and Spanish language.  

Video produced by Lowe's For many Pros, balancing purchasing, project management and back-office work also means managing time-consuming estimating processes that require translating a variety of jobsite material lists into accurate quotes for their customers. The process can slow response times, increase the risk of errors and take time away from projects. Using SKU matching and automated list digitization developed by Lowe's Technology, Material Lists helps Pros turn raw material information into organized product lists and quotes in minutes, reducing manual entry and simplifying the estimating process.

"We know time is one of the most valuable resources for Pros and every minute spent manually building estimates or organizing material lists is time taken away from serving customers and growing their businesses," said Quonta (Que) Vance, executive vice president of Pro and Home Services at Lowe's. "Material Lists is part of our broader commitment to building smarter, faster solutions that simplify the customer journey and help Pros save time, work more efficiently and stay competitive. "

Together, capabilities like Material Lists; Blueprint Takeoffs, which helps Pros generate material lists and estimates directly from project plans; and Pro Extended Aisle, which expands product availability and order quantities far beyond what Pros see on the store shelves, reflect Lowe's continued investment in connected and AI-driven intelligent tools that keep projects moving from planning to purchase.

Through Lowes.com and the Lowe's app, MyLowe's Pro Rewards members can manage quotes, track orders, review purchase history and handle purchasing workflows from the field or in store. Lowe's continues to invest in connected tools, savings and solutions that help Pros manage and grow their businesses more efficiently. As Pros increasingly adopt digital platforms, Lowe's is enhancing the experience with streamlined operations and services designed to simplify everyday work.

For more information about Lowe's Pro capabilities, please visit Lowes.com/Pro.

About Lowe's
Lowe's Companies, Inc. (NYSE: LOW) is a FORTUNE® 100 home improvement company with total fiscal year 2025 sales of more than $86 billion. Lowe's employs approximately 300,000 associates and operates over 1,750 home improvement stores, 540 branches and 120 distribution centers. Based in Mooresville, N.C., Lowe's supports the communities it serves through programs focused on creating safe, affordable housing, improving community spaces, helping to develop the next generation of skilled trade experts and providing disaster relief to communities in need. For more information, visit Lowes.com.

Contact:
Erin Devaney
Lowe's Companies, Inc. 
[email protected] 

SOURCE Lowe's Companies, Inc.

Lowe’s Companies, Inc. (NYSE:LOW) on Wednesday posted upbeat first-quarter earnings and revenue.

The home improvement retailer reported first-quarter fiscal 2026 adjusted EPS of $3.03, beating analyst estimates of $2.97, while revenue of $23.1 billion topped estimates of $22.98 billion.

"Strong spring execution and continued momentum in Pro, Appliances, Online, and Home Services supported a solid start to the year as we delivered our fourth consecutive quarter of positive comp sales," said Marvin R. Ellison, Lowe's chairman, president, and CEO.

Lowe's affirmed its fiscal 2026 outlook, forecasting sales of $92 billion to $94 billion, in line with analyst estimates of $93.25 billion. The company expects comparable sales ranging from flat to up 2%.

Lowe's projected fiscal 2026 GAAP EPS of $11.75 to $12.25, below analyst estimates of $12.44, while adjusted EPS guidance of $12.25 to $12.75 brackets estimates of $12.60.

Lowe’s shares fell 2.2% to trade at $216.60 on Thursday.

These analysts made changes to their price targets on Lowe’s following earnings announcement.

Considering buying LOW stock? Here’s what analysts think:

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Lowe's (LOW - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.

Shares of this home improvement retailer have returned -11.8% over the past month versus the Zacks S&P 500 composite's +5.1% change. The Zacks Retail - Home Furnishings industry, to which Lowe's belongs, has lost 8.5% over this period. Now the key question is: Where could the stock be headed in the near term?

Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.

Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.

Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.

For the current quarter, Lowe's is expected to post earnings of $4.31 per share, indicating a change of -0.5% from the year-ago quarter. The Zacks Consensus Estimate has changed -3% over the last 30 days.

The consensus earnings estimate of $12.5 for the current fiscal year indicates a year-over-year change of +1.7%. This estimate has changed -0.9% over the last 30 days.

For the next fiscal year, the consensus earnings estimate of $13.51 indicates a change of +8.1% from what Lowe's is expected to report a year ago. Over the past month, the estimate has changed -2.1%.

Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Lowe's is rated Zacks Rank #3 (Hold).

The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:

12 Month EPS

Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.

For Lowe's, the consensus sales estimate for the current quarter of $26.27 billion indicates a year-over-year change of +9.7%. For the current and next fiscal years, $93.03 billion and $96.12 billion estimates indicate +7.8% and +3.3% changes, respectively.

Last Reported Results and Surprise HistoryLowe's reported revenues of $23.08 billion in the last reported quarter, representing a year-over-year change of +10.3%. EPS of $3.03 for the same period compares with $2.92 a year ago.

Compared to the Zacks Consensus Estimate of $22.94 billion, the reported revenues represent a surprise of +0.62%. The EPS surprise was +2.36%.

The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates two times over this period.

ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.

While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.

The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.

Lowe's is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.

ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Lowe's. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.

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Lowe’s (NYSE:LOW | LOW Price Prediction) just delivered its fourth consecutive quarter of positive comp sales, yet the stock sits 9.01% lower year-to-date and 13.02% off its April peak. That disconnect is the foundation of our call.

Our 24/7 Wall St. price target for Lowe’s is $265.24 over the next 12 months, implying 22% upside from the current $217.41. The recommendation is buy, with high confidence at 90%.

Metric Value Current Price $217.41 24/7 Wall St. Price Target $265.24 Upside 22.0% Recommendation BUY Confidence 90% A Spring Selling Season That Beat the Mood The selloff has been sharp. LOW is down 2.77% over the past week and 2.51% over one year, even as the broader story improved.

Q1 FY27 results, reported May 20, 2026, showed revenue of $23.08 billion, up 10.3% YoY, lifted by the Foundation Building Materials and Artisan Design Group acquisitions. Adjusted EPS of $3.03 narrowly missed the $3.06 consensus, comparable sales rose 0.6%, and online grew 15.5%.

CEO Marvin Ellison framed the quarter directly: “Strong spring execution and continued momentum in Pro, Appliances, Online, and Home Services supported a solid start to the year.”

Management affirmed FY2026 guidance for $92B to $94B in sales and adjusted EPS of $12.25 to $12.75. Shares trade at roughly 19x earnings, a discount we view as unjustified given guidance integrity.

The Case for $300+ Our bull case lands at $300.18, a 38.07% total return. The thesis: Pro penetration accelerates as the $8.8B Foundation Building Materials and $1.31B Artisan Design Group deals deliver synergies.

Online momentum at +15.5%, the $250M tradesperson training program, and the Mylow AI advisor (5M associate questions) all expand the addressable wallet. If mortgage rates ease alongside expected Fed cuts, housing turnover unlocks the discretionary big-ticket purchases currently in hibernation.

Analyst sentiment supports this scenario, with 22 buy ratings against just 1 sell, and insider activity tilts net buying across 27 recent transactions.

The Risks Worth Watching Our bear case targets $241.36, an 11.02% return. The risks are concrete: gross margin compressed 70 bps to 32.68% on intangible amortization, comp transactions fell 0.9%, and the balance sheet now carries -$9.27B in shareholders equity with higher interest expense.

The counterfactual matters. That margin pressure stems from acquisition amortization, a non-cash item tied to deal integration. Gross profit still grew 15.34% YoY to $7.54B, and management is investing through a soggy housing cycle that JPMorgan research expects to remain rate-sensitive and soggy into 2026.

Lowe’s Price Prediction 2026-2030 The 24/7 Wall St. price target of $265.24, a buy at 90% confidence, rests on one tipping factor: Lowe’s is executing through the housing downturn while building Pro share that compounds when the cycle turns.

The bull thesis holds for investors with a 12 to 18 month horizon who expect Fed cuts to unlock housing turnover. The bear thesis holds if mortgage rates remain elevated through 2027 and consumer big-ticket weakness deepens.

Looking further out, here is where our model projects LOW could trade, extending the base case 12.72% annualized return.

Year 24/7 Wall St. Price Target 2026 $265.24 2027 $276.24 2028 $311.37 2029 $350.98 2030 $395.56 These projections assume Lowe’s continues executing on its Total Home strategy. Significant upside or downside could result from the housing cycle inflection or sustained pressure on big-ticket discretionary spending.

When businesses reach a certain level of maturity and have a history of consistent profits, they often return excess cash to investors through dividends. For certain market participants, these companies are at the top of their wish lists.

Here are three dividend stocks to hold for the next 10 years. All of them pay dividend yields that are vastly greater than what the S&P 500 produces.

Just to be clear, investors should realize that these companies aren't likely to deliver market-beating returns. But they have proven their worth by generating a steady income stream for shareholders.

Image source: Getty Images.

1. Coca-Cola

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0.13

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0.10

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$

82.64

The first company on this list is Coca-Cola (KO +0.13%). In more than 200 countries and territories across the globe, this business sells over 200 different drink varieties. And 2.2 billion servings are consumed every single day, a clear sign of incredible adoption.

Over the past five years, Coca-Cola has reported an average quarterly operating margin of 26.6%, indicating robust profitability. Adjusted free cash flow is projected to total $12.2 billion in fiscal 2026. This bottom-line performance is made possible due to the business model, which outsources capital-intensive bottling and distribution operations to third parties.

Sizable earnings allow the company to pay a dividend that totals $2.12 on an annual basis, translating to a current dividend yield of 2.64%. What's really impressive is that in February, Coca-Cola's board of directors raised the dividend payout, marking 64 straight years of implementing a hike. Any business with a streak of more than 50 years is considered a Dividend King.

Steady demand for its beverages, coupled with proven pricing power, supports Coca-Cola's dividend. This is a huge draw for investors.

2. Lowe's

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220.62

Lowe's (LOW 0.20%) is next on this list. The home improvement enterprise, which collected $23.1 billion in revenue in the fiscal 2026 first quarter (ended May 1), is only behind Home Depot in the industry when it comes to sales. However, it has certainly developed brand recognition, inventory availability, and omnichannel capabilities to succeed in the long run.

Last May, the company's board of directors increased the dividend payout by 4% to $1.20, supporting a current dividend yield of 2.2%. Lowe's has raised its dividend for more than 25 straight years, driven by consistent profitability.

It's no surprise that this business is highly exposed to macroeconomic forces, particularly interest rates and their impact on the broader housing market. Add in stubborn inflationary pressures, and it makes sense why households might be hesitant to take on expensive renovation projects.

Same-store sales at Lowe's rose just 0.6% in the latest fiscal quarter, which isn't an encouraging trend. And management expects this key metric to grow 1% (at the midpoint) for the entire fiscal year. But the company has successfully weathered past economic cycles.

3. Procter & Gamble

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149.51

The final dividend stock investors should hold for the next 10 years is Procter & Gamble (PG +0.79%). This company sells some of your favorite household items. These include Tide laundry detergent, Head & Shoulders shampoo, and Bounty paper towels, among many others.

This is a recession-resilient business. In robust economic times, as well as during recessionary periods, consumers need Procter & Gamble's products. They've even developed an affinity for the brand, resulting in customer loyalty that's difficult to disrupt.

Of the three companies on this list, Procter & Gamble might have the most incredible streak going. The business just increased its dividend payout in April, marking the 70th consecutive year.

And it has paid dividends for 136 straight years. It's impossible for investors not to be impressed by this, as it highlights Procter & Gamble's staying power over an extremely long period.

Procter & Gamble's dividend yield of 2.98% tops the other stocks on this list. It can be a nice addition to a portfolio for income investors.

A home maintenance program offered by Lowe's could lift its subscription revenue, Jefferies analysts say.

If you own SNPD (NYSEARCA:SNPD) for the income, the question worth answering is whether the distribution stream is built on companies that can keep paying through a recession or whether it leans on yield-chasing names that crack under pressure. SNPD is structured to target the kind of long-tenured dividend payers that have raised distributions through multiple cycles. Based on the underlying mechanics and the financial profile of those stalwart holdings, the SNPD distribution looks durable, with the caveat that total return depends heavily on whether defensive equities stay in favor as the 10-year Treasury sits near 4.5%.

How the income actually gets generated SNPD is an equity-dividend ETF. There are no option premiums, no leverage, no synthetic exposure. The fund collects cash dividends from the operating companies it owns and passes them through to shareholders on a regular schedule. That means distribution safety is a direct function of the underlying companies’ ability to keep writing dividend checks out of free cash flow. When you evaluate SNPD, you are really evaluating the dividend policies of the businesses inside the basket.

The strategy targets companies with multi-decade increase streaks. Five names exemplify the methodology:

Johnson & Johnson – a healthcare giant with one of the longest dividend-increase streaks on the market and broad diversification across pharma, medtech, and consumer health. Coca-Cola – a global beverage Dividend King with decades of uninterrupted increases and a capital-light franchise model. Procter & Gamble – a household and personal care leader that has paid dividends continuously since 1890 and raised them annually for seven decades. PepsiCo – a snack-and-beverage operator with a multi-decade increase streak and a diversified international footprint. Lowe’s – a home-improvement retailer with one of the leanest payout ratios in the group and aggressive capital return. Why the underlying payers hold up Johnson & Johnson just declared its 64th consecutive year of dividend increases, raising the quarterly to $1.34. The coverage is not close: 2025 free cash flow of $19.7 billion against a dividend payout of $12.4 billion, a roughly 1.59x ratio.$330M in litigation charges

Coca-Cola is the cleanest sustainability story in the group. Q1 2026 operating income rose 19%, and free cash flow guidance points to roughly $12.2 billion for the year against dividend obligations comfortably below that.35%$0.53 The streak is north of 60 years.

Procter & Gamble just paid its 136th consecutive year of dividends, marking the 70th straight annual increase. Management guides to roughly $10 billion in dividends for fiscal 2026 against fiscal Q3 operating cash flow of $4.05 billion.$400 million after-tax

PepsiCo is the one to watch. The 54th consecutive annual increase just took the quarterly to $1.48, but FCF coverage compressed to 1.00x in 2025, down from 1.79x in 2017. The dividend is still funded, but there is no cushion left, and management is now drawing on cash to fund the combined dividend-plus-buyback program.

Lowe’s runs the leanest payout ratio of the group, with the dividend representing roughly 34% of free cash flow. The catch is the balance sheet: shareholders’ equity is negative $9.27 billion after the $8.8 billion FBM acquisition, and cash fell to $786 million. The distribution is safe; the buyback machine is the variable that flexes.

Total return and the verdict SNPD is up nearly 10% year to date and about 15% over one year, so income holders have not been bleeding capital to collect the distribution, a common failure mode for high-yield equity strategies. The constituent mix delivers blended FCF coverage near 1.5x, sector spread across healthcare, staples, and discretionary, and average dividend streaks measured in decades.

The distribution looks safe. The real risk is valuation-driven: with the 10-year Treasury near the 96th percentile of its trailing range, the relative case for owning low-yield defensive equities for income gets harder. SNPD makes sense for investors who want a growing distribution backed by real cash flow. For investors purely chasing current yield, the math is less compelling here.