Track market-moving stories before they get noisy

A federal appeals court on Friday declined to enforce most of a National Labor Relations Board ruling that Starbucks (SBUX.O) illegally threatened ​employees with reprisals for trying to unionize and pretended it was surveilling ‌attempts to organize.

In a 2-0 decision, the 5th U.S. Circuit Court of Appeals rejected claims that the coffee chain violated federal labor law when a Wichita, Kansas, store manager and assistant manager told ​employees they closed their hiring portal and reduced hours because of union or ​other protected activities.

The New Orleans-based court upheld a finding that Starbucks illegally ⁠threatened to deny maternity leave benefits to a pregnant employee if workers unionized.

A ​Starbucks spokesperson said the Seattle-based company was "encouraged" by the decision, and "remains committed to protecting our ​partners’ rights under the law, engaging directly with our partners, and ensuring our coffeehouses can operate safely and effectively." Starbucks refers to employees as partners.

The NLRB did not immediately respond to requests for comment.

Employees at ​more than 700 Starbucks stores have voted to join unions, and have filed hundreds of ​complaints with the NLRB accusing the company of illegal labor practices.

SECOND LEGAL VICTORY
Circuit Judge Stephen Higginson said ‌statements ⁠about the hiring portal and store hours were not threats of reprisal because a hiring pause didn't appear to imperil employees' job security, while understaffing might have justified shorter hours.

He also said store manager Carmella Neri's statements that she knew about unionization discussions ​and that employees should ​keep in mind the ⁠impact of a successful vote were not coercive, saying the statements were not "out of the ordinary."

Higginson nonetheless found substantial evidence that ​the pregnant employee, Maia Cuellar-Serafini, could "reasonably feel" that union activities could ​reduce her ⁠benefits.

The court ruled two days after Starbucks persuaded the federal appeals court in Manhattan to reverse an NLRB finding that it illegally barred workers at a store in Manhattan's Meatpacking District ⁠from ​wearing t-shirts or multiple pins supporting a union.

That court ​said the NLRB failed to properly balance Starbucks' ability to present its preferred image to customers with employees' right to ​encourage unionizing.

Jim Cramer is sounding an alarm about a beloved retailer that loyal shoppers treat as bulletproof, and the numbers behind his warning point toward a corner of retail that most investors still underestimate.

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

On CNBC’s opening bell on September 3, 2026, Jim Cramer laid out a split that inverts most people’s assumptions about American retail. The membership warehouse with the best reputation in the business is stumbling, and the chains people quietly hit for essentials are running away with the story.

Costco (NASDAQ:COST | COST Price Prediction) trades near 47 times trailing earnings while its comparable sales have gone the wrong way for four straight reporting periods. Meanwhile, Five Below (NASDAQ:FIVE), Dollar Tree (NASDAQ:DLTR), and Dollar General (NYSE:DG) have each reported quarters that would look strong in any market.

Cramer’s read is that the trade-down is real, and it is not treating Costco the way loyal shoppers assume it should.

Trading Down That Actually Works Jim Cramer said, “If you want to know what trading down looks like in a positive way, you just look at what Winnie Park has done at Five Below. Still one more amazing quarter.” The endorsement lines up with the numbers.

Five Below’s second quarter delivered net sales of $1.3 billion, up 23%, with comparable sales growth of 14% and adjusted diluted EPS of $1.68. Park raised full-year adjusted EPS guidance to a midpoint of $10.07.

Trading down describes household dollars migrating toward retailers positioned where the marginal purchase now happens. Park emphasized broad-based growth across all income cohorts, geographies, and categories, which reads as trade-in behavior from higher-income shoppers rather than pure distress buying.

At roughly 31 times earnings, Five Below is priced for growth investors, and estimate revisions have moved higher across every forward quarter. That is a materially different proposition than paying 47 times for a warehouse chain whose top line is decelerating.

Costco’s Problem Runs Deeper Than a Multiple Cramer invoked Charlie Munger’s principle that at extreme multiples the price has already paid for the future, and then applied it to Costco. He is right, and the multiple is best read as a symptom of the underlying problem.

CNBC noted that Costco’s comparable store sales declined across May, June, July, and August, and also flagged weak renewal rates for membership card purchases. Management on the last call reported the worldwide renewal rate at 89.7%, attributing the pressure to a growing mix of online sign-ups that renew at lower rates than warehouse sign-ups.

A membership retailer that struggles to keep its members has a structural issue that a rebound in gasoline traffic cannot fix. Costco’s operating leverage lives in the fees line, and although membership fees ran $1.37 billion, up 10.7% in the most recent quarter, a slower renewal cadence eventually reaches that growth rate.

The stock has noticed. Costco is down 2% over the past year and sits below both its 50-day and 200-day moving averages.

Cramer’s Generational Worry Deserves a Serious Answer Jim Cramer said, “I don’t want it to be a generational thing where my generation is Costco and the newer generations don’t look at it like that.” That is the most interesting thing he said, and the evidence is genuinely mixed.

Bullish evidence: paid executive memberships grew 9.6% to 41.2 million, digitally enabled comparable sales rose 21.5%, and site and app traffic increased 37%. A brand losing the internet does not produce those numbers.

Bearish evidence: digital sign-ups renew at a lower rate than warehouse sign-ups. The new member is easier to acquire and harder to keep, which is the pattern you would expect if the brand’s cultural gravity were weakening at the margins.

Cramer’s fear is reasonable. The data does not yet confirm it.

Where the Value Has Moved, and What Ends the Trade Jim Cramer said, “I’m just wondering whether the great value isn’t in these dollar stores.” CNBC reported strong results from both Dollar Tree and Dollar General.

Dollar Tree posted comparable sales up 3.7% with gross margin expanding 850 basis points to 42.9%. Dollar General reported 3.5% same-store sales growth in its fifth consecutive quarter of traffic growth, and CEO Todd Vasos cited strong trade-in across middle- and high-income cohorts.

The economics are simple. When budgets tighten, the fixed-cost base of a small-box discount format levers hard against small increases in traffic, and a $1 price point does disproportionate merchandising work for a shopper counting pennies.

Dollar Tree at 16 times earnings and Dollar General at 17 times are priced as if the trade-down ends tomorrow, which it likely will not, unless real wages accelerate meaningfully at the low end.

The trade-down winners look like a cyclical opportunity that investors would size to their own risk tolerance. What ends the trade is a genuine improvement in purchasing power at the bottom two income quintiles. Until that shows up in the data, Five Below and the dollar stores are where the incremental household dollar is going.

Contact [email protected] for any questions or corrections.

Jim Cramer mapped a copper rally to $100, then the breakout level collapsed within days. Now one portfolio manager is loading up on the dip and has already named the single event that would force him to abandon the entire…

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

On the August 31 Mad Money “Off the Charts” segment with Bob Lang, Jim Cramer laid out a copper roadmap. Working the technicals on Freeport-McMoRan (NYSE:FCX | FCX Price Prediction), Cramer said “if 75 and change can break out, it goes to $80. That would be terrific. It’s smooth sailing then to “if 75 and change can break out, it goes to $80. That would be terrific. It’s smooth sailing then to $100.”00.” He added that the volume behind the copper miners meant “this rally is the real deal.”

The breakout level failed almost immediately. FCX closed at $75.74 on August 31, the exact level Cramer flagged, then slid 4.2% to $72.56 by September 3. Over the past week the stock is down 6.66% to $73.20. The one-year chart still shows a 59.91% gain, so this is a pullback inside a powerful uptrend.

Kevin Simpson Buys the Drop and Names His Kill Switch Kevin Simpson of Capital Wealth Planning added to both Freeport-McMoRan and Agnico Eagle Mines (NYSE:AEM) into the pullback on CNBC’s Halftime Report, extending a hard commodities theme he started the prior week with CF Industries (NYSE:CF). His reasoning for favoring copper over gold: “you’ve got an application for them with respect to electrification. If you believe in the data center build out.” That buildout runs on more than chips: we rounded up seven of the power, cooling, and infrastructure suppliers behind it in a free report on the AI infrastructure trade.

Simpson publicly named his macro kill switch: “If we get a rate hike in September, October, December, then forget the gold trade. I mean I’m completely off base with this,” he said. That is a rare admission of a specific condition that would invalidate the trade.

Copper Bull Case Freeport Is Selling Freeport’s numbers explain why Cramer and Simpson are aligned. In Q1 2026, FCX reported adjusted EPS of $0.57 versus $0.47 expected on revenue of $6.23 billion, up 12.2% year over year, with a realized copper price of $5.78 per pound versus $4.44 a year earlier. It was FCX’s fourth consecutive EPS beat.

On the Q2 conference call, CEO Kathleen Quirk said “as we look forward, it is clear the market will require additional copper supplies to meet growing demand.” Freeport modeled 2027-2028 EBITDA at roughly roughly $13 billion at $5 copper and $20 billion at $7 copper3 billion at $5 copper and $20 billion at $7 copper, with each 10-cent move in copper worth about $390 million in annual EBITDA. Details are in the company’s Q1 2026 8-K filing.

The macro tailwinds are real. The USGS added copper to the Critical Minerals list in November 2025, and S&P Global projects copper demand reaching 42 million metric tons by 2040, a 50% increase driven by electrification, AI data centers, and defense. Sell-side analysts carry an average price target of $72.05 on FCX, which the stock has already exceeded.

Gold and Fertilizer Legs of Simpson’s Trade Agnico Eagle is a pure gold play. Q2 2026 delivered adjusted EPS of $3.07 on revenue of $3.80 billion, up 35% year over year, with realized gold at $4,483 per ounce, close to today’s spot price near $4,418. AEM is still up 36.23% over the past month at $204.71 even after this week’s 4.76% pullback.

CF Industries has gained 9.56% since August 28 and is up 76.88% year to date.

What to Watch Next The trade hinges on two factors. First, the Grasberg ramp. Freeport targets roughly 65% of capacity in H2 2026, 80% by mid-2027, and near full capacity by end of 2027. Second, the Fed. Simpson has told the market exactly which outcome breaks his thesis. If copper holds the $5.78 realized level and rate cuts stay on the table, Cramer’s path to $100 stays alive. If not, the $75 breakout that failed on August 31 becomes a warning shot for the broader thesis.

Contact [email protected] for any questions or corrections.

Revenue jumped 78% to $39.1 billion last year, but investors are still waiting for more consistent margins. Summary

Supermicro expects $65 billion to $72 billion in fiscal 2027 sales

Super Micro Computer Inc. (SMCI, Financials) is not lacking demand. The AI server division recorded $39.1 billion in sales in fiscal 2026, up from $22 billion a year earlier, and set a record backlog at the start of the next fiscal year after securing more than $60 billion in new orders.

Now the tough part: translating all that growth into more consistent earnings. Supermicro's full year gross margin was marginally lower at 10.8% versus 11.1%, a small decline that is more significant when sales is growing this quickly.

The latest quarter was, nevertheless, rather encouraging. Fourth quarter revenue was more than $11.1 billion and adjusted earnings of $1.70 per share. Gross margin increased to 17.5%

It gives investors something to look at. Supermicro is forecasting revenues between $65 billion and $72 billion in fiscal 2027. At that size, even a small margin rise can result into a big profit increase.

But the opposite is true Aggressive pricing and client mix will continue to squeeze profitability, which is less of an issue if AI-server growth is high. And that's why the stock is a different bet than simply holding greater demand for AI infrastructure.

Supermicro has proven that it can sell the servers. The next hurdle is to prove it can make more money from each one. Its next catalyst will be its fiscal first quarter earnings when investors will evaluate whether the fourth quarter margin rebound was the beginning of a pattern or merely a strong quarter.

Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.

Click for the complete disclosure

Snowflake surged 17% on earnings night, then spent Friday giving it back while every benchmark around it barely budged. That split-screen moment raises a pointed question about who is actually selling and why.

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

Snowflake (NYSE:SNOW | SNOW Price Prediction) is handing back part of Wednesday evening’s post-earnings pop, while enterprise software peers and the broader tape barely register a wobble. That gap between a name-specific giveback and a steady sector reads like textbook profit-taking. The Invesco QQQ Trust (NASDAQ:QQQ) is unchanged at $717.67, and the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is down 0.4% to $769.89.

Snowflake stock is down 5% to $339.60, cooling off after a one-session surge that lifted shares to a fresh multi-month high on Thursday. Meanwhile, Datadog (NASDAQ:DDOG) stock is unchanged at $214.46 as the observability peer holds its ground through Friday afternoon trading.

Profit-Taking Follows a One-Session Surge The move looks mechanical, not fundamental. Snowflake reported Q2 FY2027 results after the close on September 2, delivering non-GAAP EPS of $0.62 against a $0.447 consensus and revenue of $1.55 billion, up 35.1% year over year (YoY). Product revenue climbed 37% YoY to $1.49 billion, remaining performance obligations reached $9 billion, up 30% YoY, and net revenue retention held at 126%.

Snowflake’s management raised the company’s FY27 product revenue guide to $6.07 billion, or 36% growth, and lifted its non-GAAP operating margin guide to 14.5%. The company added 692 net new customers, up 32% YoY, its Cortex AI suite surpassed 9,100 accounts, and CoWork reached 5,800 accounts. CEO Sridhar Ramaswamy asserted, “Snowflake delivered another strong quarter, with product revenue of $1.49 billion, up 37% year-over-year, as Snowflake continues to power the enterprise AI revolution.” Snowflake stock surged 17% on the release day, and today’s pullback still leaves it up 3% over the past week.

Peer Read Confirms the Setup Datadog is a clean observability comp for a Snowflake move, and its calm trading through the session cuts against any read that enterprise software is being sold as a group. Datadog delivered its own beat on August 6, posting Q2 2026 revenue of $1.12 billion, up 35.6% YoY, and raised its full-year revenue guide to $4.45 billion to $4.47 billion. Non-GAAP operating margin expanded to 23%, and free cash flow reached $278.7 million.

With Datadog roughly flat, QQQ unchanged, and SPY only marginally lower, the Snowflake pullback registers as position unwinding rather than a reassessment of the business. Nothing about Snowflake changed overnight. Guidance held steady, disclosures were routine, and no analyst event of consequence emerged, leaving a large one-session gain to meet the natural supply of holders who had waited for exactly that gain to arrive.

The pattern isn’t new. In Q2 FY2026, Snowflake stock jumped 20% on the day of the report, then slid 6% over the following week. Post-earnings gap-fills are the norm here, and Snowflake’s operational trajectory keeps improving through them.

Session Scorecard Ticker Today Year to Date SNOW down 5% up 55% DDOG unchanged up 57% Both names have run hard in 2026. Snowflake stock is up 55% year to date (YTD), and Datadog stock is up 57% YTD. That backdrop matters. When a name this extended posts a 17% single-session pop on earnings, a giveback the following session is often the price of a crowded book meeting a natural exit. Datadog’s one-month chart tells a different story, with shares down 26% over the past month after a large-customer usage reset that management folded into guidance. Today’s steady tape under Datadog suggests investors have moved past that reset.

What to Watch Next The question price action can’t settle is whether the raised outlook deserved the size of Wednesday’s move. That answer comes with Q3 FY2027 results. Snowflake’s management guided Q3 product revenue to $1.588 billion to $1.593 billion, or 37% to 38% growth. Traders can watch for whether AI adoption keeps pulling core platform consumption higher into that report (the supplier side of that AI buildout, from power to networking, is the subject of a free report we put together here).

Anyone who bought before Snowflake’s report can treat today’s decline as normal digestion. For those who chased the pop, it’s a reminder that liquidity events aren’t information. Investors sizing new exposure to Snowflake stock here should scale their positions carefully given the YTD run and elevated near-term volatility, keeping their allocation modest until the next quarterly cadence validates the raised outlook.

Contact [email protected] for any questions or corrections.

NEW YORK, Sept. 04, 2026 (GLOBE NEWSWIRE) -- Moody’s Ratings has assigned insurance financial strength ratings to two Freedom Holding Corp. (Nasdaq: FRHC) insurance subsidiaries for the first time. Freedom Finance Insurance JSC, operating as Freedom Insurance, received Ba1 local- and foreign-currency insurance financial strength ratings, while Freedom Life JSC received Baa3 ratings. Both carry stable outlooks.

The Baa3 rating makes Freedom Life the first company within Freedom Holding Corp. to receive an investment-grade rating from Moody’s. The agency began expanding its coverage of Freedom earlier this year, assigning a Ba3 rating to Freedom Bank Kazakhstan in March.

“Moody’s ratings for our insurance companies confirm that within the Freedom ecosystem we can support not only the rapid growth of the ecosystem as a whole, but also the development of each individual business. We see significant potential in combining traditional insurance products with modern technology. This allows us to offer the market more effective solutions, reduce our own costs and launch unique products,” said Timur Turlov, CEO of Freedom Holding Corp.

Moody’s highlights Freedom Insurance’s market position, asset quality, conservative investment strategy and capital adequacy among its key strengths. The company ranked third in Kazakhstan’s non-life insurance market by gross written premiums in 2025, with a market share of around 10%. Approximately 90% of its invested assets were held in fixed-income instruments.

Freedom Life is among Kazakhstan’s three largest life insurers and held approximately 20% of the market by premiums in 2025. Moody’s points to the company’s asset quality, capitalization and profitability as key strengths.

Moody’s also points to the insurers’ integration into the wider Freedom Holding Corp. ecosystem as a factor supporting their market positions. The shared brand, cross-selling opportunities and Freedom SuperApp help both companies reach customers across the ecosystem. By March 2026, the SuperApp had surpassed 5 million registered users.

About Freedom Holding Corp.

Freedom Holding Corp. provides financial services in 24 countries, including Kazakhstan, the United States, multiple EU countries, Uzbekistan, and Armenia. The Company’s principal executive office is located in New York City. In Kazakhstan, Freedom is actively developing its financial and digital ecosystem, which includes Freedom Bank, Freedom Broker, the insurance companies Freedom Life and Freedom insurance, as well as a lifestyle segment that features Arbuz.kz, Freedom Ticketon, and Aviata. Freedom Holding Corp. shares are traded on the U.S. technology exchange NASDAQ, the Kazakhstan Stock Exchange (KASE), and the Astana International Exchange (AIX) under the ticker symbol FRHC. Freedom Holding Corp. is regulated by the U.S. Securities and Exchange Commission (SEC) and the common stock is included in the Russell 3000 Index.

Contact

Head of Public Relations
Natalia Kharlashina
Freedom Holding Corp.
[email protected]
+77013641454

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/a9699382-765c-4884-a2ac-96ecca37f246

Hyperscalers are signing multi-year leases at a pace that is rewriting the income playbook, and three REITs are quietly collecting the rent on every server warehouse in the deal. The question is which one fits a portfolio built for the…

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

Data centers are the physical layer under the AI buildout: leased, powered warehouses that house the servers running training and inference. Landlords sign multi-year rent contracts, often with hyperscalers (the largest cloud and AI operators such as Amazon, Microsoft, Google, Meta, and Oracle), which makes the cash flows look like industrial real estate with a technology tailwind. Iron Mountain management has cited an industry expectation that data center capacity grows at a 15% to 25% CAGR, and leasing activity across the three names below supports that framing. All three are US-listed equity REITs that own the properties and collect the rent, not mortgage REITs. (we profiled seven suppliers powering this same buildout, from power to cooling, in a free report you can grab here: 7 Stocks Powering the AI Boom.)

Digital Realty Trust: Global Landlord to the Hyperscalers Digital Realty Trust (NYSE:DLR | DLR Price Prediction) operates PlatformDIGITAL, Interxion, and ServiceFabric across 733 data centers in 39 metros, with major development markets in Northern Virginia, Charlotte, Atlanta, São Paulo, and Marseille. The customer base spans traditional hyperscalers, network carriers, and enterprise AI adopters.

Q1 2026 delivered $707 million in annualized GAAP base rent bookings at 100% share, anchored by a 200 megawatt AI inference lease, the largest hyperscale deal in company history. In Q2, backlog reached a record $1.9 billion at 100% share and $1.4 billion at Digital Realty share, which management called roughly 30% of in-place data center revenue. Cash releasing spreads on renewals exceeded 25% in the quarter.

The quarterly dividend of $1.22 per share, implies an annual $4.88, compared with a share price of $187.79. That payout has been held at $1.22 quarterly since the March 2022 ex-date, so this is a dividend that has been maintained rather than raised through the AI cycle. Coverage on Core FFO is comfortable: 2026 guidance was raised to $8.15 to $8.20 per share of Core FFO excluding net promote income, well ahead of the $4.88 annual dividend.

Bull case: a 1.4 gigawatt development pipeline that is 63% pre-leased pro forma for July signings, with an average expected stabilized yield of 11.5%, plus 600 megawatts of secured Kansas City utility power ramping in 2028, points to multi-year rent growth without heroic assumptions.

Bear case: development capital intensity. Digital Realty already sold 7.3 million shares under its ATM for about $1.3 billion of net proceeds and raised 2026 net capex guidance to $4.25 billion to $4.75 billion. A flat dividend during a heavy equity-issuance phase is the cost of growth, and an AI capex slowdown would leave that unfunded pipeline exposed.

Equinix: Interconnection Moat Meets AI Inference Equinix (NASDAQ:EQIX) runs a global colocation and interconnection platform, with 52 expansion projects underway across 33 markets. The differentiator is density of network connections. Interconnection is the paid cross-connect that lets a tenant plug directly into another tenant, a cloud, or a carrier inside the same building, which cuts latency and backhaul cost. Equinix says its ecosystem is approximately twice the size of the next largest provider, and that eight of the top 10 model providers and eight of the top 10 neoclouds are already running key networking workloads on Equinix.

Revenue reached $2.625 billion, up 16.4% year over year, with annualized gross bookings of $424 million, up 23%, and a record 9,700 net interconnections added. Adjusted EBITDA margin was 53%, up 300 basis points year over year. Management raised full-year AFFO per share growth expectations to 10% to 12% and called it “the largest single guidance raise in the history of our company”.

Currently the quarterly dividend pays out $5.16 per share, annualized for $20.64, against a share price of $1,040.83. The dividend has moved from $4.26 in 2024 to $4.69 in 2025 to $5.16 in 2026. AFFO coverage is conservative: full-year 2026 AFFO per share is guided to $42.69 to $43.29 against expected cash dividends of roughly $2.039 billion for the full year. Long term, management expects dividend per share growth to approximate AFFO per share growth, which is guided at 9% to 12% annually through 2029.

Bull case: CEO Adaire Fox-Martin said “the AI-driven infrastructure cycle continues to accelerate and it’s playing directly to our strengths”, and the stabilized portfolio is already generating a 27% cash-on-cash yield on gross property and equipment. That is the kind of unit economics that funds continued dividend growth.

Bear case: power, land, and cost of capital. Equinix is committing to $5 billion to $7 billion of annual capex through 2029, and management expects the blended cost of capital to rise by approximately 150 basis points and leverage to increase by about a turn across the plan.

Iron Mountain: Records Storage Cash Cow Bankrolling a Data Center Ramp Iron Mountain (NYSE:IRM) is a hybrid equity REIT: a legacy physical records storage business with record storage volume of 735 million cubic feet and a 93.4% retention rate, layered with fast-growing data center, digital, and asset lifecycle management segments. Those three growth segments grew more than 50% year over year and now account for 35% of second-quarter revenue.

Revenue was $263 million in Q2, up 39% year over year, with renewal pricing spreads of 12% cash and 14% GAAP. Year-to-date leasing reached 110 megawatts through July, including 75 megawatts in July alone, capped by a 51 megawatt Mumbai lease with a major global hyperscaler on a 10-year contract and a 25 megawatt lease that fully leased London 3. Approximately 325 megawatts of leasable capacity is expected to energize over the next 24 months.

T quarterly dividend comes in at $0.864 per share, for an annualized $3.456, compared with a share price of $114.98. The dividend has stepped up in four consecutive years, from $0.65 through mid-2024, to $0.715, to $0.785, and now $0.864 quarterly. AFFO coverage: full-year AFFO per share guidance of $5.87 to $5.93 against the $3.456 annualized dividend, consistent with management’s stated low-60s% AFFO payout ratio target.

Bull case: the records business funds a data center build with signed, hyperscaler-anchored backlog that supports additional revenue growth of $370 million beyond 2026, and the ALM segment now runs at $288 million of quarterly revenue, up 88% year over year, giving Iron Mountain a second growth lever tied to the same hyperscaler refresh cycle.

Bear case: the balance sheet. Iron Mountain carries $17.3 billion of net debt, negative shareholders’ equity of $955 million, and net lease-adjusted leverage of 4.8 times. It recently issued a $1.5 billion bond with a 6.25% fixed coupon maturing in 2035. Higher rates and continued data center capex needs mean interest expense is a real headwind if hyperscale leasing lumpiness slows the AFFO ramp.

Bottom Line for Income Portfolios Current yields here are moderate by design: dividends are covered by AFFO or Core FFO, and the growth is coming from real, signed hyperscale leases against gigawatt-scale pipelines. Equinix is the compounder with the interconnection moat and a rising dividend. Iron Mountain is the highest-growth data center story on the roster, funded by a records business that keeps paying the bills. Digital Realty is the pure-play landlord with the largest hyperscale lease in its history in the bag, though income buyers should recognize the dividend has been flat while the company issues equity to fund the build. For a retirement income sleeve tied to the AI buildout, owning the physical rent stream beats owning the chip cycle.

Contact [email protected] for any questions or corrections.

da-kuk/E+ via Getty Images

Software’s Second Act: AI Shifts From Threat to Catalyst In my opinion, software stocks are resurfacing after a difficult 2026 because investors may have become too pessimistic about AI’s disruptive impact. I have seen concerns that generative AI could undermine traditional SaaS models, reduce per-seat pricing, and make customized software dramatically cheaper to build. Those fears drove significant multiple compression, particularly among small-cap software stocks.

More recently, I have seen encouraging evidence that AI may be an accelerant rather than an existential threat. I was very impressed with the earnings results from Snowflake (SNOW) and the possibility that the positive trend will impact other software stocks. Snowflake reported product revenue growth of 37% YoY, while remaining performance obligations increased 30%. Management also raised its full-year outlook and indicated that AI products contributed meaningfully to its recent growth acceleration. ServiceNow (NOW) has similarly reported strong adoption of AI-enabled products.

In my view, this creates an attractive setup for smaller software companies. If earnings continue to validate AI monetization, the AI trade could broaden from companies building the infrastructure to software companies monetizing it.

Small-Cap Tech Stocks Quietly Outperform Big Tech Despite AI concentration concerns and shifting interest rate expectations, the stock market has remained resilient as investor confidence improves. In the latest AAII Sentiment Survey, bulls retook the lead, with expectations stock prices will rise in the next six months up 6.8 percentage points. According to its August Asset Allocation Survey, equities reached 71.1% of investor portfolios, the highest level since late last year.

Bullish Investor Sentiment Regains The Upper Hand (Week Ending 9/2/2026)

Bloomberg

Tech stocks in particular have been able to endure volatility in the past month to post positive returns, lifted by blowout earnings from software giants like Salesforce (CRM) and Palantir (PLTR) and rising sector earnings expectations.

However, investors suffering from AI mega-cap exhaustion could consider select small-cap tech stocks whose earnings are not directly dependent on the hyperscaler capex cycle. In addition, these same stocks offer growth potential and stand to benefit from AI and tech-driven secular demand trends.

Although momentum has recently slowed, small-cap tech stocks have outperformed larger peers in the past year, and are trading at more attractive valuations. After gaining more than 60% in the past twelve months, Invesco’s small-cap technology ETF (PSCT) is trading at 18.3x forward earnings, a 29% discount to the S&P 500 Technology Sector (XLK), which has a forward P/E of 25.9x.

Seeking Alpha

Although small caps can offer significant upside potential, investors should assess their risk tolerance. Due to high volatility and risk, small caps are not for everyone. When any investment research firm issues a small-cap recommendation, for example, the stock can surge quickly due to low liquidity. This makes it even more crucial to ensure small-cap tech stocks have strong fundamentals, and Seeking Alpha’s quantitative tools can help investors achieve this objective.

How I Chose Top Small-Cap Tech Stocks Using Seeking Alpha’s Stock Screener, I filtered for small-cap tech stocks with Strong Buy Quant Ratings and solid Growth and Revision Factor Grades. I then narrowed the list by filtering for stocks with forward EPS growth rates above 30%. My small-cap tech basket includes two AI software names and a cloud communications company, showcasing accelerating momentum and bullish revisions, while trading at attractive earnings multiples. Moreover, their underlying businesses have little direct dependence on the hyperscaler capex cycle that has fueled the AI infrastructure boom.

1. Sprout Social, Inc. (SPT) Market Capitalization: $688.93M

Quant Rating: Strong Buy

Sector: Information Technology

Industry: Application Software

Quant Sector Ranking (as of 9/4/2026): 31 out of 530

Quant Industry Ranking (as of 9/4/2026): 5 out of 166

A provider of social media management software, Sprout Social’s revenue has continued to climb as the company expands the capabilities of its agentic AI offerings and business intelligence solutions. Sprout’s revenue grew by a CAGR of 25% over the past five years, and is projected to reach $494.61M in FY 2026. Exceptional price performance and earnings revisions helped drive the stock’s quant rating into Strong Buy territory in August.

Seeking Alpha

Broadening adoption among higher-value customers and increased renewal rates helped lift Sprout’s Q2 2026 revenue by 11% YoY. The number of customers generating at least $50K in ARR grew 16% YoY to 2,127, while customers with ARR above $30K now account for 60.1% of total subscription revenue. Total remaining performance obligations (RPO) surged 16% YoY, and multi-year deals now represent about half of Sprout’s contract mix.

Sprout Social Investor Presentation

Sprout raised its Q4 exit operating margin from 15% to 17%, citing a headcount reduction that is expected to yield $50M in annualized cost savings. The results contributed to an improving outlook, backed by 9 upward earnings revisions to no downward revisions in the last 90 days. Forward EPS growth of 45.49% underpins a solid factor grade, alongside surging operating cash flow.

Seeking Alpha

Trading at only 10x earnings vs. the sector’s 22x, Sprout continues to look attractively priced, in my opinion, even with the recent momentum, supporting an A+ Valuation Grade. Meanwhile, forward PEG - a crucial valuation metric that combines P/E and growth - sits at a whopping 71% discount to the sector. Long-term earnings visibility and an attractive valuation make Sprout a strong AI-fueled small cap to consider.

2. Pagaya Technologies Ltd. (PGY) Market Capitalization: $1.91B

Quant Rating: Strong Buy

Sector: Information Technology

Industry: Application Software

Quant Sector Ranking (as of 9/4/2026): 16 out of 530

Quant Industry Ranking (as of 9/4/2026): 1 out of 166

The top quant-rated Application Software stock, Pagaya offers AI-powered products to help lenders and institutional partners make better loan decisions. PGY soared after a huge Q2 earnings beat, and is now up more than 40% in the past three months for an outstanding Momentum Grade.

As the chart below illustrates, the stock’s accelerating price performance and bullish EPS revisions led to a dramatic turnaround in its Quant Rating over the past six months.

Seeking Alpha

The company achieved record network volume of $3.5B in Q2 2026, up 33% YoY. The network expansion helped drive revenue up by 19% to $387M, while adjusted EBITDA jumped 43%, demonstrating strong operating leverage as the business scales.

Pagaya Investor Presentation

Based on record EPS and strong visibility on the remainder of 2026, PGY raised full-year net income guidance by 25%. Anchored in a forward EPS growth rate of 70.94%, PGY showcases an A+ Growth Grade. PGY’s long-term EPS growth rate (3-5Y CAGR) of 139% is especially impressive when compared to the sector median of 19%.

The long-term EPS growth rate is a key element in the stock’s attractive valuation framework, with forward PEG at a 96% discount to the sector. PGY is also trading at a significant sector discount based on a forward P/E ratio of 6x, in addition to attractive EV/EBITDA, price/sales, and price/cash flow multiples.

Seeking Alpha

While I strongly believe PGY offers solid potential upside, investors should also weigh its elevated risk profile. PGY’s 24M beta of 2.52 indicates the stock has been substantially more volatile than the broader market. PGY also carries a short interest of 15.87%. However, when you consider the AI fintech’s strong fundamentals, exceptional growth, and attractive valuation, the reward could outweigh the risk.

3. Ooma, Inc. (OOMA) Market Capitalization: $642.36M

Quant Rating: Strong Buy

Sector: Information Technology

Industry: Application Software

Quant Sector Ranking (as of 9/4/2026): 21 out of 530

Quant Industry Ranking (as of 9/4/2026): 3 out of 166

A provider of cloud-based communication technologies, including telephony, messaging, and video solutions, OOMA has crushed the Russell 2000 in the past year, driving an A+ Momentum Grade. The company is targeting a fast-growing Unified Communications as a Service (UCaaS) and equipment market, which OOMA projects could reach $34.4B by 2029.

OOMA vs. Russell 2000 (IWM): 1Y Price Return

Seeking Alpha

Rapid growth in core business subscription and services drove Q2 FY27 revenue up by 25% YoY to $83.2 million, while EBITDA jumped by 74%. OOMA management said it expects profitable growth to continue as it expands AirDial, its analog phone line replacement solution, and integrates the FluentStream and Phone.com acquisitions. The Q2 surge in EBITDA has contributed to a solid Growth Grade, underpinned by a forward EPS growth rate of 32.02%.

Ooma Investor Presentation

Showcasing strong earnings visibility over the next three years, OOMA’s EPS and revenue outlook have increasingly improved. OOMA has seen a string of bullish EPS revisions from sell-side analysts in the past three months for a top-notch factor grade.

Seeking Alpha

Despite incredible price performance, the stock’s forward PEG represents a 41% discount to the sector, although elevated GAAP P/E metrics have weighed on the valuation grade. OOMA wraps up my small-cap tech picks, a basket of stocks showcasing strong forward earnings growth, solid EPS revisions, and accelerating momentum.

Seeking Alpha

Beyond Mega Tech: Top Small Caps With Big Earnings Growth Despite volatility fueled by concerns over an AI bubble, and shifting interest rate expectations, the market has proven resilient amid improving investor sentiment. Tech stocks have remained steady, driven by huge earnings beats by leading software companies and growing EPS targets. However, high concentration around large AI stocks has remained a top risk among fund managers, and investors may be seeking growth outside mega caps. Select small-cap tech stocks can offer similar earnings growth upside through businesses not directly tied to the hyperscaler capex cycle. In this article, I recommended three Strong Buy small-cap tech stocks offering exposure to AI and communications technology tailwinds. The three stocks showcase robust forward earnings growth, solid momentum, and bullish earnings revisions.

We have many stocks with strong buy recommendations, and you can filter them using Stock Screens to suit your specific investment objectives. Alpha Picks might be ideal if you're interested in two monthly stock picks of the top "strong buy" Quant stocks. Check out our new Alpha Picks app in the Apple App Store!

If you're looking for more frequent investment ideas, consider the PRO Quant Portfolio. It's a weekly rebalanced selection of our Top 30 Quant Strong Buy stocks, spanning multiple regions and market caps.

If you're looking for a data-driven income strategy, explore our new Quant Growth & Income Portfolio—a systematic model built to outperform dividend ETFs by focusing on yield, growth, and safety. Seeking Alpha's Quant ratings and investment research tools help to ensure you are furnished with the best resources to make informed investment decisions while taking the emotion out of investing. Happy investing!

100.87K Followers

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

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given that any particular security, portfolio, transaction or investment strategy is suitable for any specific person. The author is not advising you personally concerning the nature, potential, value or suitability of any particular security or other matter. You alone are solely responsible for determining whether any investment, security or strategy, or any product or service, is appropriate or suitable for you based on your investment objectives and personal and financial situation. Steven Cress is the Head of Quantitative Strategy at Seeking Alpha. Any views or opinions expressed herein may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank.

Key Takeaways CRCL's growth case is supported by USDC expansion, Arc and CPN, but valuation remains demanding.Circle lifted RLDC margin guidance as better platform economics offset pressure from lower reserve yields.CRCL still faces heavy reserve-income reliance, rising spending and limited room for execution setbacks. Circle Internet Group, Inc. (CRCL - Free Report) offers exposure to stablecoin adoption, payments and blockchain infrastructure, but the growth case carries a demanding valuation. The question is whether expanding utility and improving economics can justify that premium.

New products and better margins support the bull case. Rate sensitivity, reserve-income reliance and rising investment spending keep the risk-reward balance from becoming one-sided.

Circle’s Growth Case Extends Beyond Reserve IncomeManagement continues to target roughly 40% compound annual growth in USDC circulation over several years through the cycle. Circle is also building revenue sources around Arc and Circle Payments Network (CPN), broadening the business beyond reserve income.

CPN had 175 enrolled financial institutions across 58 countries, while annualized total payment volume reached about $23 billion as of July 31. Coinbase Global, Inc. (COIN - Free Report) reported record average USDC holdings of $20 billion in its products in the second quarter. Visa Inc. (V - Free Report) said its stablecoin settlement pilot reached a $7 billion annualized run rate and supported nine blockchains as of April, showing that a large payments company is expanding stablecoin settlement capabilities.

CRCL’s Margin Trends Strengthen the Bull CaseRevenue less distribution costs (RLDC) margin improved to 41.2% in the second quarter from 38.2% a year earlier. Net reserve margin also rose to 38.5% from 35.9%, even as short-term rates moved lower.

Circle raised its full-year RLDC margin outlook to 41.7-43.7% from 38-40%. USDC held on Circle’s platform more than doubled year over year to $12.4 billion, supporting better economics under its distribution arrangements.

CRCL’s Valuation Leaves Less Room for ErrorCRCL trades at 7.41 times forward 12-month sales compared with 2.58 times for its Zacks sub-industry and 4.8 times for the S&P 500. The premium leaves less room for slower growth or execution setbacks.

Continued USDC circulation growth, Arc adoption and CPN monetization need to translate into durable revenues and margins. A slower ramp in those areas could make the valuation harder to defend.

Image Source: Zacks Investment Research

Circle’s Rate Exposure Keeps Earnings FragileReserve income represented 95.2% of second-quarter revenues. The reserve return rate fell to 3.48% from 4.14% a year earlier, showing how lower short-term rates can pressure a business still dominated by income earned on reserve assets.

Average USDC circulation increased 25.2% year over year and helped offset the lower yield. Further rate declines would increase the burden on circulation growth and non-reserve products to sustain earnings expansion.

CRCL’s Spending Could Delay Operating LeverageAdjusted operating expenses increased 23% year over year to $146 million in the second quarter. Spending reflected product development, go-to-market infrastructure, Arc marketing, general and administrative needs, infrastructure and artificial intelligence capabilities.

Full-year adjusted operating expense guidance remains $570-$585 million, with management expecting results near the high end. If Arc activity and CPN monetization build gradually, the investment pace could limit near-term operating leverage.

CRCL’s Growth Scores Beat Its Value ProfileCRCL presents a credible growth case, but its premium valuation, rate exposure and spending needs argue against treating growth alone as a buy signal. The setup remains balanced because platform expansion must translate into enough earnings power to support the multiple.

The stock currently carries a Zacks Rank #3 (Hold). Its Growth Score of B and Momentum Score of A indicate favorable growth and momentum characteristics, while the Value Score of F and VGM Score of C show a weaker valuation profile and a mixed combined style picture. The Rank supports a measured stance rather than a clear short-term buy call. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Seven disputed patents touch products responsible for almost 60% of Apple's fiscal-year-to-date revenue. Summary

Unspecified damages look manageable; a broad product remedy would create the harder problem.

Apple AAPL fell approximately 1.1% to $324.66 Friday as a new patent battle dragged Face ID into the courtroom. Reuters reported that BASF subsidiary trinamiX claims Apple violated seven patents tied to technology that distinguishes real skin from spoofing materials.

The Texas lawsuit reaches across multiple generations of iPhones, iPad Pro models and other Apple devices. TrinamiX is pursuing unspecified damages and an injunction against further infringement. The case remains an allegation, not a judgment, and Apple had not issued a public response when Reuters published its report.

The financial exposure runs straight through Apple's biggest profit engine. Its financial statements show that iPhones and iPads generated a combined $218.22 billion during the nine months ended June 27—59.9% of total revenue. Meanwhile, the stock sits 14.1% above its $284.55 GF Value™, signaling that investors are still paying a premium despite the legal cloud. A licensing payment could be absorbed. A forced redesign would carry a much sharper bite.

Disclosures I/we have no positions in any stocks mentioned, and have no plans to buy any new positions in the stocks mentioned within the next 72 hours.

Click for the complete disclosure

It has been about a month since the last earnings report for Uber Technologies (UBER - Free Report) . Shares have added about 7.8% in that time frame, outperforming the S&P 500.

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

UBER Q2 Earnings Beat EstimatesUber Technologies reported mixed second-quarter 2026 results, wherein earnings surpassed the Zacks Consensus Estimate while revenues missed the mark.

Quarterly earnings of $1.17 per share, beat the Zacks Consensus Estimate of 83 cents by 41%. The figure surged 85.7% from 63 cents in the year-ago quarter. Revenues increased 12.2% year over year on a reported basis and 11% on a constant currency basis to $14.19 billion but missed the consensus estimate of $14.21 billion by 0.1%.

Adjusted EBITDA advanced 33% to $2.81 billion. Adjusted EBITDA margin as a percentage of gross bookings improved to 4.9% from 4.5%, highlighting faster earnings growth relative to platform transaction growth.

UBER's Bookings and Engagement Accelerate

Gross bookings grew 24% year over year on a reported basis and 22% year over year on a constant-currency basis to $58.02 billion, while trips increased 18% to 3.87 billion, reflecting expanding platform usage.

Mobility bookings rose 22% year over year on a reported basis and 20% on a constant currency basis to $28.98 billion, supported by continued demand for rides across Uber’s global platform.

Delivery gross bookings advanced 26% year over year on a reported basis and 25% on a constant currency basis to $27.46 billion, while Freight bookings increased 25% year over year on a reported basis as well as on a constant currency basis to $1.57 billion. Growth across all three offerings demonstrated the breadth of the company’s platform during the quarter.

Monthly active platform consumers, or users completing at least one Mobility ride or Delivery order in a month, increased 16% year over year to 208 million. Trips per monthly active consumer rose 2%, signaling higher engagement alongside user growth.

Uber's Mobility Growth Supports Profits

Mobility revenues increased 1% year over year to $7.36 billion and remained flat on a constant-currency basis. Business model changes limited reported revenue growth even as the underlying value of transactions completed through the platform expanded.

Mobility segment operating income climbed 28% year over year to $2.21 billion. The improvement showed that the company converted higher bookings and platform activity into stronger segment profitability.

The Mobility business remained Uber’s largest revenue contributor. Its profit growth also provided an important counterbalance to rising corporate general and administrative expenses and platform research and development spending.

UBER's Delivery and Freight Revenues Surge

Delivery revenues jumped 28% year over year on a reported basis and 26% on a constant-currency basis to $5.24 billion. The segment continued to benefit from higher order activity and growing consumer participation across the platform.

Delivery operating income surged 38% year over year to $1.05 billion. The growth rate exceeded the segment’s revenue increase, reflecting improved operating leverage as the business scaled.

Freight revenues rose 26% year over year on a reported basis and 25% on a constant-currency basis to $1.58 billion. The segment’s operating loss narrowed to $24 million from $26 million a year ago, indicating modest progress toward improved profitability despite continued losses.

Balance Sheet & Cash Flow

Uber exited the second quarter with cash and cash equivalents of $4.87 billion compared with $5.55 billion at the end of the prior quarter. Long-term debt, net of the current portion, was $10.7 billion, compared with $10.5 billion at the end of prior quarter.

Operating cash flow was $2.86 billion in the reported quarter. The free cash flow was $2.79 billion.

The company repurchased $518 million of common stock during the reported quarter.

Uber Issues Q3 Growth Outlook

For the third quarter of 2026, Uber expects gross bookings between $58.25 billion and $60.25 billion. The range implies constant-currency growth of 18-22%, with an anticipated currency headwind of roughly 1 percentage point to reported growth.

Non-GAAP earnings are projected between 84 cents and 88 cents per share, representing year-over-year growth of 28-35%. Adjusted EBITDA is expected in the range of $2.86 billion to $2.96 billion.Top of FormBottom of Form

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

The consensus estimate has shifted 18.48% due to these changes.

VGM ScoresCurrently, Uber has a nice Growth Score of B, a score with the same score on the momentum front. Charting a somewhat similar path, the stock has a score of C on the value side, putting it in the middle 20% for value investors.

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

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

Nvidia NVDA , the artificial-intelligence chip king, climbed roughly 2% to $230.69 in Friday premarket trading after locking in an October debut for the first RTX Spark Windows computers. Lenovo and Acer will lead the charge. The message is clear: Nvidia wants serious AI processing on the user's desk, not just inside a distant data center.

RTX Spark packs a Blackwell graphics processor alongside a Grace central processor developed through Nvidia's MediaTek partnership. Nvidia's product update promises one petaflop of AI performance, up to 128 gigabytes of unified memory and the firepower to run demanding AI agents locally. Investors still need two crucial numbers—price and expected shipments. Those figures will decide whether RTX Spark becomes a major PC catalyst or an expensive specialist machine.

The bigger prize remains the data center, which produced $89 billion—or roughly 92.5%—of Nvidia's latest quarterly revenue. But RTX Spark opens another front without weakening that core money machine. The GuruFocus chart captures the setup: Nvidia carries an elite 95 out of 100 GF Score, with profitability and growth near the top of the scale, while GF Value is the obvious weak spot. Translation: the business is firing on nearly every cylinder, but the stock's valuation leaves little room for a stumble.

It has been about a month since the last earnings report for Shopify (SHOP - Free Report) . Shares have lost about 1.1% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Shopify due for a breakout? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent drivers for Shopify Inc. before we dive into how investors and analysts have reacted as of late.

Shopify Q2 Earnings Beat Estimates, Revenues Rise on Strong GMV GrowthShopify reported second-quarter 2026 adjusted earnings of 42 cents per share, beating the Zacks Consensus Estimate by 7.69%. The figure increased 20% year over year.

Revenues jumped 33.7% year over year to $3.58 billion and surpassed the consensus mark by 4.36%.

The upside reflected broad-based Gross Merchandise Volume (GMV) growth and higher payments penetration. GMV increased 31.6% to $115.57 billion, while Shopify Payments penetration expanded three percentage points to 68% of global GMV.

SHOP’s Merchant Solutions Revenue JumpsMerchant Solutions revenues increased 37.4% year over year to $2.78 billion. Growth was primarily driven by higher GMV, increased payments penetration and strength in partner revenue shares and financial services.

Shopify Payments expanded into the United Arab Emirates, bringing availability to 40 countries. Payments penetration in Europe rose more than 350 basis points (bps), supported by newer market launches and additional local payment methods.

Shop Pay GMV advanced 53% year over year. Shopify added more local payment options to Shop Pay and continued expanding installment adoption, giving buyers additional ways to complete purchases.

Shopify’s Subscription Business Maintains MomentumSubscription Solutions revenues rose 22% year over year to $802 million. Standard-plan monthly subscriptions were the largest growth contributor, supported by strong merchant net additions.

Monthly recurring revenue increased 19% year over year to $221 million. Plus represented 34% of MRR and also grew 19%, reflecting continued demand from larger and more complex merchants.

SHOP’s Commerce Channels Deliver Broad GrowthInternational GMV advanced 37%, while North America GMV grew 28%. Europe posted 34% constant-currency GMV growth, highlighting continued geographic breadth.

Offline GMV climbed 32% and B2B GMV surged 76%. Shopify expanded native B2B capabilities beyond Plus, allowing more merchants to manage wholesale and direct-to-consumer operations from the same administration platform.

The company also added or expanded relationships with brands including Holt Renfrew, Guess, Avon, Arhaus and Canada Goose. These wins support Shopify’s unified-commerce push across online, physical retail and wholesale channels.

Shopify’s AI Tools Gain Merchant AdoptionAI-driven traffic and orders to Shopify stores tripled year over year. New-buyer orders from AI channels came in at nearly twice the rate of other channels, while 75% of AI-attributed orders originated outside the top 100 product categories.

Sidekick handled nearly 34 million conversations during the quarter. Daily active merchants using the tool increased 3.6-fold, daily sessions rose 4.8-fold, and merchants created more than 36,000 custom apps, up from 12,000 in the prior quarter.

Shopify’s Catalog contains more than 1 billion products. AI searches powered by Catalog converted at twice the rate of searches relying on scraped data, demonstrating the value of accurate and structured product information.

SHOP’s Profitability Benefits From Operating LeverageGross profit increased 31.2% year over year to $1.71 billion.

Merchant Solutions gross profit rose 39%, with margin improving slightly as growth in higher-margin revenue streams offset pressure from increased payments volume. Subscription Solutions gross margin remained just below 80%, in line with the first quarter. Shopify maintained that level despite increased Sidekick usage, reflecting cost efficiencies as adoption of the AI assistant scaled.

Operating expenses were $1.22 billion, or 34% of revenues, compared with 37.7% a year earlier. Sales and marketing represented less than 14% of revenues, improving about 160 bps.

Operating income increased 47% to $623 million as gross profit dollars grew faster than expenses. Transaction and loan losses were 3.9% of revenues, with Shopify Capital serving as the largest driver during the quarter.

Shopify’s Cash Flow and Balance Sheet Stay StrongShopify ended the quarter with $1.66 billion in cash and cash equivalents and $3.29 billion in marketable securities. Loans and merchant cash advances totaled $2.18 billion, while the company repurchased $1.42 billion of common stock.

Net cash provided by operating activities increased to $658 million from $428 million. Free cash flow rose to $654 million from $422 million, while the free cash flow margin expanded to 18% from 16%.

SHOP’s Q3 Outlook Signals Continued ExpansionFor the third quarter of 2026, Shopify expects revenue growth in the low-30% range. Gross profit dollars are projected to increase in the mid-to-high-20% range.

Operating expenses are expected to equal 33% to 34% of revenues. Free cash flow margin is projected in the high-teens to low-20% range, including less than one percentage point of benefit from the merchant cash advance accounting change.

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

VGM ScoresAt this time, Shopify has a great Growth Score of A, though it is lagging a bit on the Momentum Score front with a B. However, the stock has a grade 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 C. If you aren't focused on one strategy, this score is the one you should be interested in.

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

It has been about a month since the last earnings report for Phillips 66 (PSX - Free Report) . Shares have added about 23.9% 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 Phillips 66 due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent catalysts for Phillips 66 before we dive into how investors and analysts have reacted as of late.

Phillips 66 Q2 Earnings Top Estimates on Higher Realized Refining MarginsPhillips 66 reported second-quarter 2026 adjusted earnings of $9.41 per share, up 295.4% from $2.38 per share a year ago. The bottom line beat the Zacks Consensus Estimate of $7.68 by 22.5%.

Total revenues and other income increased 56.2% to $52.04 billion from $33.52 billion a year earlier. The top line surpassed the consensus estimate of $36.17 billion by 43.9%.

The strong quarterly results were driven by higher refining margins. The refining system achieved 96% crude capacity utilization and a clean product yield of 86%.

Refining Profit Surges on Wider MarginsRefining adjusted pre-tax income jumped to $3.09 billion from $392 million in the year-ago quarter. The segment benefited from stronger market crack spreads, favorable mark-to-market impacts and solid operating performance across the refining system.

Worldwide realized refining margins increased to $24.08 per barrel from $11.25 per barrel a year earlier. Total processed inputs averaged 2.05 million barrels per day (MMBbl/d), while turnaround expenses increased to $123 million from $53 million in the prior-year quarter. Refining adjusted EBITDA totaled $3.31 billion.

Phillips 66 Midstream Sets Volume RecordsMidstream adjusted pre-tax income increased 7.4% to $785 million. The segment’s adjusted EBITDA reached $1.05 billion, driven by higher margins and volumes following the absence of disruptions caused by Winter Storm Fern in the prior quarter.

Natural gas liquids (NGL) pipeline throughput to market averaged 943,000 barrels per day (Bbl/d), while fractionation volumes reached a record 1.02 MMBbl/d. Phillips 66 achieved record liquefied petroleum gas export volumes and brought the 220-million-cubic-feet-per-day (MMcf/d) Dos Picos II gas plant to full production.

Chemicals Results Improve on PricingChemicals adjusted pre-tax income rose sharply to $404 million from $20 million in the prior-year quarter. The improvement primarily reflected stronger margins across Chevron Phillips Chemical Company’s olefins and polyolefins operations.

Global olefins and polyolefins capacity utilization was 91% compared with 92% a year ago. The ethylene-to-high-density-polyethylene chain cash margin increased to 43.6 cents per pound from 7.4 cents per pound, providing a significant earnings tailwind despite slightly lower utilization. Chemicals adjusted EBITDA was $528 million.

Marketing and Renewables ReboundMarketing and Specialties generated adjusted pre-tax income of $514 million compared with $660 million a year earlier.

Renewable Fuels posted pre-tax income of $544 million, reversing a loss of $133 million in the year-ago period. Higher regulatory-credit pricing, increased production and favorable mark-to-market impacts supported the turnaround. Renewable fuel production increased to 53,000 Bbl/d from 40,000 Bbl/d a year ago.

Balance Sheet and Cash FlowsPhillips 66 generated $7.26 billion of operating cash flow. Excluding working-capital movements, operating cash flow totaled $4.32 billion. Adjusted EBITDA increased to $5.89 billion from $2.50 billion a year earlier.

As of June 30, 2026, Phillips 66 had total debt of $20.6 billion and net debt of $16.47 billion. Quarter-end liquidity included $4.10 billion of cash and $6.40 billion of committed credit capacity.

Phillips 66 Advances Growth & Shareholder ReturnsPSX returned $887 million to shareholders during the quarter. This included $508 million in dividends and $379 million in share repurchases. Capital expenditures and investments totaled $726 million, comprising $469 million of growth spending and $257 million of sustaining capital.

The company announced plans to construct the 300 MMcf/d Zeus Gas Plant in the Permian Basin and a 100,000 Bbl/d Coastal Bend NGL fractionator in Corpus Christi. CPChem also continued advancing the Golden Triangle Polymers and Ras Laffan Polymers projects, with full operations expected in 2027.

How Have Estimates Been Moving Since Then?It turns out, estimates review have trended upward during the past month.

The consensus estimate has shifted 8.99% due to these changes.

VGM ScoresAt this time, Phillips 66 has a great Growth Score of A, though it is lagging a bit on the Momentum Score front with a B. Following the exact same course, the stock was allocated a grade of B on the value side, putting it in the top 40% for this investment strategy.

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

OutlookEstimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Interestingly, Phillips 66 has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerPhillips 66 is part of the Zacks Oil and Gas - Refining and Marketing industry. Over the past month, Par Petroleum (PARR - Free Report) , a stock from the same industry, has gained 18.9%. The company reported its results for the quarter ended June 2026 more than a month ago.

Par Petroleum reported revenues of $2.97 billion in the last reported quarter, representing a year-over-year change of +56.8%. EPS of $10.10 for the same period compares with $1.54 a year ago.

For the current quarter, Par Petroleum is expected to post earnings of $4.84 per share, indicating a change of -18.7% from the year-ago quarter. The Zacks Consensus Estimate has changed -9.5% over the last 30 days.

Par Petroleum has a Zacks Rank #1 (Strong Buy) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of A.

It has been about a month since the last earnings report for Fastly (FSLY - Free Report) . Shares have lost about 6.9% in that time frame, underperforming the S&P 500.

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

Fastly Q2 Earnings Beat as Security Growth Spurs 2026 Outlook HikeFastly reported second-quarter 2026 adjusted earnings of 15 cents per share versus a loss of 3 cents a year ago. The figure topped the Zacks Consensus Estimate by 114.29%.

Revenues rose 23.3% year over year to $183.32 million and surpassed the consensus mark by 5.34%. Strength across Network Services, Security and Compute supported the upside, while the last-12-month net retention rate climbed to 117%.

FSLY's Platform Strategy Drives Broad GrowthNetwork Services revenues increased 17% year over year to $133.9 million, accounting for 73% of total revenues. Management attributed the performance to higher traffic among its largest customers, along with a smaller contribution from live sporting events.

Fastly also said it is gaining share where performance is critical. The company highlighted major global sporting events that generated record traffic and cited customer wins tied to resilience, flexibility and consolidated edge services.

Fastly's Security Momentum Lifts Revenue MixSecurity revenues advanced 43% year over year to $41.7 million and represented 23% of revenues, up from 20% a year earlier. Management said DDoS protection and bot management grew at triple-digit rates, while its next-generation web application firewall continued to gain traction.

Other revenues, which include Compute and Observability, climbed 69% to $7.7 million. Compute demand benefited from customers building low-latency applications and managing artificial intelligence (AI)-related traffic, supporting a combined Security and Other annual revenue run rate of nearly $200 million.

Fastly's Platform Strategy Gains TractionManagement said customers are adopting more products on Fastly’s unified platform, strengthening cross-sell and upsell activity. The company highlighted triple-digit growth in DDoS protection and bot management, while its web application firewall continued to gain traction.

AI-generated and agentic traffic also remained a demand catalyst. Fastly noted that machine traffic requires real-time decisions around authorization, caching, throttling and blocking, supporting adoption across Security, Compute and Network Services.

The company expanded its product reach through a partnership with Skyfire, designed to verify AI-agent identities and enable transactions at the edge. It also released a C++ software development kit for Fastly Compute to support low-latency AI, gaming and other workloads.

Fastly also highlighted its collaboration with LALIGA on an AI-driven system that detects and stops pirated streams in real time. The project illustrates how the company is pairing content delivery with security and edge-compute capabilities.

FSLY's Customer Metrics Show Deeper AdoptionThe last-12-month net retention rate improved from 113% in the first quarter and 104% in the year-ago quarter. The increase reflected broader product adoption and higher usage across a range of customers as Fastly expanded cross-selling and upselling efforts.

Large customer count was 624 at the end of the quarter. Average annualized spend per large customer was $1.11 million, reflecting broader use of the platform across delivery, security and emerging edge-compute workloads.

The top 10 customers represented 37% of revenues. Revenues from this group grew 48% year over year, while revenues from customers outside the top 10 increased 12%. Remaining performance obligations climbed 38% to $341 million, with the current portion rising 44%.

Fastly Expands Margins & Operating LeverageNon-GAAP gross margin expanded 680 basis points year over year to a record 65.8%. Management attributed the improvement to higher revenues relative to infrastructure costs and continued cost discipline.

Non-GAAP operating expenses were $93.7 million. Non-GAAP operating income totaled $27 million compared with an operating loss of $4.6 million a year ago. Adjusted EBITDA increased to $38.1 million from $8.9 million, while adjusted EBITDA margin reached 21%.

FSLY’s Balance Sheet DetailsAs of June 30, 2026, cash, cash equivalents, marketable securities and investments totaled approximately $337 million, up $7 million from March 31, 2026. Fastly ended the quarter with a positive net cash balance of $14 million.

Net cash provided by operating activities was $39.3 million, compared with $25.8 million a year earlier. Free cash flow totaled $3.6 million versus $10.9 million in the prior-year quarter, as infrastructure capital expenditures represented approximately 17% of revenues.

FSLY Raises 2026 Outlook, Sees AI as TailwindFor the third quarter of fiscal 2026, FSLY expects revenues to be in the range of $184-$190 million and non-GAAP earnings of 11-13 cents per share. The company projects non-GAAP operating income of $20-$24 million.

Fastly raised its 2026 revenue guidance to $732-$746 million and non-GAAP earnings outlook to 50-54 cents per share. Non-GAAP operating income is expected between $88 million and $96 million, reflecting an operating margin of approximately 12% at the midpoint.

Management views AI-driven demand as a tailwind across the business. AI tool usage is contributing to traffic growth among some of Fastly’s fastest-growing customers, with the impact most pronounced in Security and Compute and also evident in Network Services.

How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended upward during the past month.

The consensus estimate has shifted 45.33% due to these changes.

VGM ScoresAt this time, Fastly has a strong Growth Score of A, though it is lagging a bit on the Momentum Score front with a B. However, the stock was allocated a grade of F on the value side, putting it in the lowest quintile for value investors.

Overall, the stock has an aggregate VGM Score of B. 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 Fastly has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.

Performance of an Industry PlayerFastly belongs to the Zacks Internet - Software industry. Another stock from the same industry, CCC Intelligent Solutions Holdings Inc. (CCC - Free Report) , has gained 11.1% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.

CCC Intelligent Solutions reported revenues of $285.93 million in the last reported quarter, representing a year-over-year change of +9.8%. EPS of $0.10 for the same period compares with $0.09 a year ago.

CCC Intelligent Solutions is expected to post earnings of $0.11 per share for the current quarter, representing a year-over-year change of +22.2%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.

CCC Intelligent Solutions has a Zacks Rank #2 (Buy) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of B.

A month has gone by since the last earnings report for Goodyear (GT - Free Report) . Shares have lost about 9.6% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Goodyear due for a breakout? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent drivers for The Goodyear Tire & Rubber Company before we dive into how investors and analysts have reacted as of late.

Goodyear Q2 Loss Wider Than ExpectedGoodyear incurred an adjusted loss of 61 cents per share in the second quarter of 2026, wider than the Zacks Consensus Estimate of a loss of 59 cents. The adjusted loss widened 258.8% year over year, translating into a 3.4% earnings miss.

Net sales fell 4.8% year over year to $4.25 billion but topped the consensus estimate of $4.23 billion by 0.6%. Tire unit volume declined 4% to 36.5 million units as lower consumer replacement demand weighed on results, particularly in the Americas.

Total segment operating income declined to $36 million from $159 million a year ago, while segment operating margin contracted to 0.8% from 3.6%. Excluding the impact of the Chemical business and Dunlop brand sales, segment operating income decreased $79 million.

Lower volume reduced segment operating income by $132 million, while tariffs and other costs were a $100 million headwind and inflation reduced results by $53 million. These pressures were partly offset by $123 million of favorable price and mix versus raw materials and $95 million of Goodyear Forward benefits.

Goodyear Americas Faces Replacement PressureAmericas net sales declined 10.5% year over year to $2.38 billion, while tire unit volume fell 8.7% to 17.4 million. Replacement volume decreased 13% due to lower-tier product rationalization, lower industry sell-in volume in North America and increased competition. OE volume rose 8.7% on market share gains.

The segment posted an operating loss of $10 million against an income of $141 million a year ago, with margin falling to negative 0.4% from 5.3%. Goodyear expects the planned Fayetteville facility closure to improve Americas segment operating income by about $90 million in 2027 and around $270 million annually beginning in 2028.

GT EMEA Improves Despite Soft Replacement DemandEMEA sales increased 2.1% year over year to $1.37 billion, supported by price and mix and favorable currency effects. Tire unit volume slipped to 11.2 million from 11.3 million, as replacement volume fell 7.1% amid consumer market softness, competition and continued rationalization of lower-tier offerings.

The segment operating loss narrowed to $17 million from $25 million, and margin improved to negative 1.2% from negative 1.9%. OE tire unit volume rose 8.3%, marking the 10th consecutive quarter of consumer market share gains.

Goodyear Asia Pacific Extends Margin GainsAsia Pacific net sales rose 8.1% year over year to $496 million, aided by higher volume and price and mix benefits. Tire unit volume increased 5.3% to 7.9 million, with replacement volume up 6.4% on stronger consumer demand and OE volume rising 4.2%, mainly on growth in China and Japan.

Segment operating income increased to $63 million from $43 million, while margin expanded to 12.7% from 9.4%. The improvement reflected favorable price and mix versus raw materials, Goodyear Forward savings and higher volume.

Cash Flow Improves as Net Debt DeclinesCash flow from operating activities was $98 million in the second quarter, improving from an outflow of $180 million a year ago. Free cash flow was negative $69 million compared with negative $387 million in the prior-year quarter.

Cash and cash equivalents totaled $861 million as of June 30, 2026, up from $801 million as of Dec. 31, 2025. Net debt stood at $6.33 billion, down from $722 million year over year. During the quarter, Goodyear issued about $1 billion of senior notes and plans to use the proceeds to repay its 2027 senior notes.

Outlook Calls for Higher Price and Mix BenefitsFor the third quarter of 2026, Goodyear expects global unit volumes to be roughly flat year over year. Price and mix are projected to provide about $110 million of benefit and Goodyear Forward about $70 million, while raw materials are expected to be a roughly $20 million headwind.

The company also expects about $70 million of unabsorbed overhead pressure, roughly $10 million of tariff headwinds and around $95 million of inflation and other cost increases in the third quarter. For full-year 2026, Goodyear expects about $325 million of Goodyear Forward benefits, capital expenditures of roughly $725 million and interest expense of approximately $425 million.

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

The consensus estimate has shifted -69.45% due to these changes.

VGM ScoresAt this time, Goodyear has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a score of A on the value side, putting it in the top quintile for this investment strategy.

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

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

A month has gone by since the last earnings report for CF Industries (CF - Free Report) . Shares have added about 18.1% in that time frame, outperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is CF 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.

CF Industries’ Q2 Earnings Miss Estimates Despite Strong Nitrogen PricingCF Industries reported second-quarter 2026 earnings of $4.73 per share, up 99.6% from $2.37 in the year-ago quarter. The figure missed the Zacks Consensus Estimate of $5.65 by 16.3%. 

Net sales increased 17.6% year over year to $2.22 billion but missed the consensus estimate of $2.43 billion by 8.7%. Higher average selling prices across all segments supported growth, while total sales volume declined 15.3% to 4.25 million tons. 

Segmental Review Ammonia segment net sales rose 19.3% year over year to $586 million. Adjusted gross margin increased to $288 million from $188 million. An increase in the average selling price more than offset a decline in sales volume. Higher prices supported profitability, while lower supply availability and maintenance costs remained headwinds. 

Granular Urea segment net sales climbed 38.8% to $759 million. Adjusted gross margin advanced to $551 million from $351 million. Sales volume and the average selling price rose. Greater product availability and a production mix favoring granular urea supported volumes, while stronger pricing lifted margins despite higher natural gas costs. 

UAN segment net sales edged up 0.5% to $613 million. Adjusted gross margin rose to $403 million from $342 million. A rise in the average selling price offset a reduction in sales volume. Lower global demand and a production mix favoring granular urea pressured volumes, while higher freight, distribution and natural gas costs partly offset the pricing benefit. 

AN segment’s net sales decreased 39.3% to $71 million. The segment recorded an adjusted gross loss of $1 million compared with an adjusted gross margin of $35 million a year earlier. Sales volume plunged because of lost production at the Yazoo City Complex, outweighing an increase in the average selling price. Higher purchased ammonia costs and outage-related expenses also pressured results. 

Financials As of June 30, 2026, CF Industries had cash and cash equivalents of $2.48 billion. Long-term debt was $3.22 billion. Net cash provided by operating activities totaled $878 million in the second quarter. CF Industries repurchased 2 million shares for $230 million during the quarter. The company bought back 2.2 million shares for $245 million in the first half, leaving roughly $1.48 billion under its current authorization. 

Outlook CF Industries expects full-year 2026 gross ammonia production of approximately 9.5 million tons, including the effect of the ongoing Yazoo City outage. Management expects ammonia, AN solution, nitric acid, UAN solution and urea liquor production at the complex to resume during the first half of 2027. The company projects 2026 capital expenditures of about $1.3 billion on a consolidated basis. 

Management expects nitrogen supply to remain constrained and demand to remain constructive through the end of 2026 and into 2027. Lower nitrogen prices entering the second half of 2026 are expected to support demand in India, Southeast Asia, Brazil and other import markets. North American nitrogen demand for the 2027 growing season is also expected to remain firm. 

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

The consensus estimate has shifted -20% due to these changes.

VGM ScoresAt this time, CF has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of A on the value side, putting it in the top 20% for this investment strategy.

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

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, CF has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerCF belongs to the Zacks Fertilizers industry. Another stock from the same industry, Mosaic (MOS - Free Report) , has gained 8.7% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.

Mosaic reported revenues of $2.82 billion in the last reported quarter, representing a year-over-year change of -6%. EPS of $0.13 for the same period compares with $0.51 a year ago.

Mosaic is expected to post earnings of $0.09 per share for the current quarter, representing a year-over-year change of -91.4%. Over the last 30 days, the Zacks Consensus Estimate has changed -64.2%.

The overall direction and magnitude of estimate revisions translate into a Zacks Rank #4 (Sell) for Mosaic. Also, the stock has a VGM Score of D.

It has been about a month since the last earnings report for Albemarle (ALB - Free Report) . Shares have added about 5.4% 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 Albemarle due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent drivers for Albemarle Corporation before we dive into how investors and analysts have reacted as of late.

Albemarle’s Q2 Earnings Beat Estimates on Lithium Pricing StrengthAlbemarle posted second-quarter 2026 adjusted earnings of $3.75 per share, up from 11 cents a year ago. The figure beat the Zacks Consensus Estimate of $3.35 by 11.9%, supported by stronger lithium pricing, Specialties growth and productivity gains.

On a reported basis, net income (attributable to Albemarle common shareholders) was $438.3 million or $3.52 per share. This compares favorably with a loss of $18.8 million or 16 cents per share in the prior-year quarter.

Net sales increased 31.1% year over year to $1.74 billion and topped the consensus mark of $1.59 billion by 9.9%. Energy Storage sales volume rose 11% to 65 kilotons of lithium carbonate equivalent, while average realized pricing advanced 60.5% to $19.53 per kilogram.

Adjusted EBITDA climbed 155% year over year to $858.1 million. The increase reflected higher Energy Storage pricing, stronger Specialties pricing and volumes, and ongoing cost and productivity improvements.

Segment HighlightsEnergy Storage net sales surged 77.9% year over year to $1.28 billion. It beat the consensus estimate of $1.19 billion. The improvement was driven by higher pricing, with volume also increasing from the year-ago period.

The segment’s adjusted EBITDA advanced 229.3% to $723.5 million. Higher lithium pricing drove the gain, partly offset by increased CORFO commissions.

Specialties net sales rose 20.5% year over year to $423.5 million. It was above the consensus estimate of $363 million. Volumes increased 8%, while pricing improved 11%, reflecting strength across bromine and derivatives.

Adjusted EBITDA for the segment increased 61.3% to $117.7 million. Favorable pricing, higher volumes, productivity gains and proactive management of Middle East-related cost escalation supported profitability.

Cash Flow and LiquidityCash from operating activities totaled $710 million in the quarter, while free cash flow was $638.3 million. Operating cash flow conversion reached 83%, helped by the timing of a larger Talison joint venture dividend and non-recurring working capital benefits.

As of June 30, 2026, cash and cash equivalents were $1.63 billion, and estimated liquidity was about $3.2 billion. Total debt totaled $1.9 billion, with net debt to adjusted EBITDA of roughly 0.5.

For the first half of 2026, operating cash flow increased $518 million year over year to $1.06 billion. Capital expenditures declined $131.8 million to $170.4 million.

OutlookAlbemarle increased its 2026 Specialties net sales outlook to $1.4-$1.6 billion from the prior $1.3-$1.5 billion range. The adjusted EBITDA forecast rose to $275-$325 million from $225-$275 million, reflecting stronger-than-expected year-to-date pricing and volume performance.

The company cut its capital expenditure forecast to about $500 million from $550-$600 million expected earlier.

Albemarle also expects Energy Storage sales volumes of 225-235 kilotons, as higher Wodgina output partly offsets a delay in the Talison CGP3 ramp following the June 9 fire.

How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a downward trend in estimates review.

The consensus estimate has shifted -30.79% due to these changes.

VGM ScoresAt this time, Albemarle has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a score of B on the value side, putting it in the top 40% for this investment strategy.

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

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Albemarle has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerAlbemarle is part of the Zacks Chemical - Diversified industry. Over the past month, LyondellBasell (LYB - Free Report) , a stock from the same industry, has gained 5.4%. The company reported its results for the quarter ended June 2026 more than a month ago.

LyondellBasell reported revenues of $9.18 billion in the last reported quarter, representing a year-over-year change of +19.8%. EPS of $4.30 for the same period compares with $0.62 a year ago.

For the current quarter, LyondellBasell is expected to post earnings of $2.46 per share, indicating a change of +143.6% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.1% over the last 30 days.

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

A month has gone by since the last earnings report for CVS Health (CVS - Free Report) . Shares have added about 1% in that time frame, outperforming the S&P 500.

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

CVS Health Tops Q2 Earnings and Revenue EstimatesCVS Health Corporation reported second-quarter 2026 adjusted earnings per share of $2.58 per share, up 42.5% year over year. The figure beat the Zacks Consensus Estimate by 37.97%. Revenues rose 7.3% to $106.10 billion and surpassed the consensus mark by 5.91%.

The upside reflected stronger adjusted operating income across all operating segments, led by Health Care Benefits. Medical membership was 26.0 million at quarter-end.

CVS’ Segment Performance Reflects Broad-Based Improvement

Health Care Benefits revenues increased 3.5% year over year to $37.54 billion. The rise was driven by growth in the Government business, partly offset by the company’s exit from the individual exchange business in 2026.

Health Services revenues rose 11.5% to $51.80 billion. The improvement was supported by pharmacy drug mix and brand inflation, partially offset by continued pharmacy client price improvements.

Pharmacy & Consumer Wellnes srevenues jumped 0.7% to $33.82 billion. Growth from pharmacy drug mix, higher prescription volume, Rite Aid asset contributions and brand inflation was largely offset by regulatory-related price reductions, generic drug introductions and reimbursement pressure.

CVS Health’s Margin Performance Improves

CVS Health’s gross profit, calculated as total revenues less cost of products sold and health care costs, came in at $15.75 billion, up 15.9% year over year. Gross margin expanded 110 basis points (bps) year over year to 14.8%.

Operating income surged 97.5% to $4.70 billion, outpacing revenue growth. The improvement reflected higher adjusted operating income across all operating segments and the absence of $833 million in legacy litigation charges recorded in the prior-year quarter. Operating margin expanded 200 bps to 4.4%.

Adjusted operating income rose 35.4% to $5.16 billion. Adjusted operating margin improved 100 bps to 4.9%, aided by operating expenses declining to $11.05 billion from $11.21 billion in the year-ago quarter.

CVS Health’s Liquidity and Capital Position Improve

CVS Health ended the quarter with cash and cash equivalents of $11.33 billion, up from $9.54 billion at March-end.  Long-term debt stood at $59.45 billion, down from $60.53 billion at first quarter-end.

Cumulative net cash provided by operating activities was $10.59 billion compared with $6.45 billion in the prior-year period.

CVS Health also paid $1.73 billion in dividends during the first half of 2026. Continued debt reduction and disciplined capital returns remain important watch items as the company advances its operating recovery.

CVS Health Raises 2026 Guidance

Management raised its full-year 2026 targets following the quarter’s performance. CVS lifted its GAAP diluted earnings per share outlook to a range of $6.84-$7.04 from $6.24-$6.44 and boosted adjusted earnings guidance to $7.90-$8.10 from $7.30-$7.50. The Zacks Consensus Estimate expects 2026 adjusted earnings per share  to be $7.46.

Revenues for the year are projected to be at least $414 billion, up from the earlier projection of at least $405 billion. The Zacks Consensus Estimate for the same stands at $409.0 billion.

The company also increased its cash flow from operations outlook to at least $11.5 billion from at least $9.5 billion. CVS said the update reflects improved expectations for the Health Care Benefits and Pharmacy & Consumer Wellness segments while maintaining a cautious view for the remainder of the year, given elevated cost trends and potential macroeconomic headwinds.

How Have Estimates Been Moving Since Then?It turns out, estimates revision have trended downward during the past month.

The consensus estimate has shifted -6.08% due to these changes.

VGM ScoresAt this time, CVS Health has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with a D. However, the stock was allocated a grade of A on the value side, putting it in the top quintile for this investment strategy.

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

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, CVS Health has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerCVS Health belongs to the Zacks Medical Services industry. Another stock from the same industry, Icon PLC (ICLR - Free Report) , has gained 1.5% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.

Icon PLC reported revenues of $2.06 billion in the last reported quarter, representing a year-over-year change of +2.3%. EPS of $2.56 for the same period compares with $3.26 a year ago.

Icon PLC is expected to post earnings of $2.69 per share for the current quarter, representing a year-over-year change of -18.7%. Over the last 30 days, the Zacks Consensus Estimate has changed +0.3%.

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

News Highlights:

Empowers AI builders, creators, gamers, and developers with HP’s newest OmniBook PCs powered by NVIDIA RTX SparkAccelerates intelligent workflows with personal agents, local AI experiences and advanced content creation capabilitiesEnables ambitious AI development and creative projects with the HP OmniBook Ultra 16, designed for users building what’s nextExtends next-generation AI experiences to a highly portable form factor with the HP OmniBook X 14, built for creators on the moveExpands HP’s portfolio of RTX Spark-powered AI PCs for creators, gamers, developers, and advanced AI users BERLIN, Sept. 04, 2026 (GLOBE NEWSWIRE) -- Today, HP Inc. (NYSE: HPQ) announced its new HP OmniBook Ultra 16 and HP OmniBook X 14 along with new details around the upcoming HP OmniDesk, all powered by NVIDIA RTX Spark and Windows. Together, the devices expand HP’s portfolio of next-generation AI PCs designed for creators, developers, entrepreneurs, gamers, and advanced AI users. First previewed at Computex in June, the world’s thinnest RTX Spark laptopsi bring personal agents, local AI, advanced content creation and RTX technologies into premium designs, redefining how people create, develop, play, and work on their PCs.

“As AI transforms the way people create, develop, game, and work, HP is focused on delivering devices that help bring intelligent experiences directly into everyday workflows,” said Samuel Chang, Senior Vice President and Division President, Consumer Personal Systems at HP Inc. “The HP OmniBook Ultra 16, HP OmniBook X 14, and HP OmniDesk powered by RTX Spark represent a new generation of Windows PCs designed for developers, creators, gamers, and innovators who want local intelligent assistants and AI-powered applications, including open-source tools working alongside them.”

NVIDIA RTX Spark reinvents personal computing, combining personal agents, advanced content creation and high-performance gaming in a new platform engineered from the ground up for the next wave of Windows PC experiences. Designed for creators, AI developers, and gamers, RTX Spark brings NVIDIA’s full-stack AI platform and full suite of RTX technologies to slim laptops with all-day battery life and compact desktops.

AI PCs Built for Builders, Creators, and Advanced Users

AI is rapidly evolving from simple prompts to intelligent agents and assistants capable of helping people create, automate and solve problems in entirely new ways. The newest OmniBooks and OmniDesk powered by RTX Spark and Windows are designed for this next generation of personal computing, bringing together agents, local AI, advanced content creation capabilities, and RTX technologies in premium devices built around the needs of modern creators, developers, gamers, and innovators. Whether building intelligent applications, creating content, exploring emerging AI workflows or balancing productivity with entertainment, these devices are designed to help users accomplish more with AI working alongside them on-device or cloud.

Build What’s Next with the HP OmniBook Ultra 16
Designed for AI builders, developers, creators, gamers, and entrepreneurs tackling complex projects, the HP OmniBook Ultra 16 delivers the performance, scale and immersive experiences needed to bring ambitious ideas to life. Engineered for users developing AI-powered applications, experimenting with emerging agentic workflows, creating content, and tackling demanding creative projects, the laptop allows users to:

Build bigger, faster: Intelligent assistants, local AI capabilities, and agentic workflows help users automate repetitive work, accelerate creativity, and focus on solving larger challenges. For developers and creators working at scale, configurations with up to 128 GB of unified memory and up to 1 petaflop FP4 AI performance are designed to enable larger models, including open source and open weight, powering more complex workflows and faster iteration.Sustain demanding AI workloads: HP’s first consumer tower hinge and trunk architecture maximizes airflow and heat dissipation in an exceptionally thin premium design. Combined with larger heat pipes and dual ultra-thin fans, the system is designed to support sustained AI development, creative production, and emerging agentic workloads.See every detail and hear every difference: A 16-inch 3K OLED display with VESA DisplayHDR™ True Black 1000 certification is paired with quad speakers powered by smart amplifiers to deliver vibrant visuals, deep contrast and immersive audio experiences for content creation, entertainment, and everyday productivity.Power through ambitious projects: Designed for creators and developers working across demanding AI and creative workflows, the OmniBook Ultra 16 combines a 99 Wh battery for up to 17 hours of battery lifeii with fast charging support, enabling users to spend more time creating and less time tethered to an outlet, with the ability to recharge up to 50% in approximately 30 minutes.iii Create Anywhere with the HP OmniBook X 14
For creators, developers, and AI enthusiasts who want powerful AI experiences in a device built for mobility, the HP OmniBook X 14 extends RTX Spark experiences into HP’s thin-and-light OmniBook X portfolio. Designed for users who move fluidly between work, creativity, and entertainment, the device brings personal agents, local AI and creator-focused experiences into a highly portable premium design.

Access AI wherever inspiration strikes: The OmniBook X 14 brings personal agents, local AI, creator workflows, and RTX graphics into a compact form factor designed to support productivity, content creation, and emerging AI experiences wherever users work and create.Designed for everyday creators: Built for users who want one device for both professional work and personal passions, the OmniBook X 14 supports modern workflows that blend productivity, content creation, AI-assisted experiences, and entertainment into a single premium PC experience.Travel light without sacrificing capability: A thin-and-light design combined with HP’s advanced rear thermal architecture, heat-pipe design, and optimized airflow helps enable demanding AI-powered experiences while maintaining portability.Immerse yourself in every project: A premium OLED display with VESA DisplayHDR™ True Black 1000 certification delivers vibrant visuals, deep contrast, and rich detail for content creation, collaboration, gaming, and entertainment.Stay productive from anywhere: Built for creators and AI enthusiasts on the move, the OmniBook X 14 delivers up to 15 hours of battery lifeii and supports fast charging with a 140W USB-C® GaN adapter, allowing users to recharge up to 50% in approximately 30 minutes.iii Bring Advanced AI Computing to the Desktop with HP OmniDesk
The HP OmniDesk powered by RTX Spark further expands HP’s exploration of compact, high-performance AI computing designed to bring advanced capabilities closer to where people create, develop, and work. With always-on performance, the desktop is designed to keep long-running AI agents and tasks moving, even when users step away. Additional details on experiences, features, and availability will be shared closer to availability.

Pricing and Availabilityiv

The HP OmniBook Ultra 16 is expected to be available at HP.com and Best Buy this fall. Pricing will be provided closer to availability.The HP OmniBook X 14 is expected to be available at HP.com and other retailers this fall. Pricing will be provided closer to availability.The HP OmniDesk pricing will be provided closer to availability. About HP
HP Inc. (NYSE: HPQ) is a global technology leader and creator of solutions that enable people to bring their ideas to life and connect to the things that matter most. Operating in more than 170 countries, HP delivers a wide range of innovative and sustainable devices, services, and subscriptions for personal computing, printing, 3D printing, hybrid work, gaming, and more. For more information, please visit http://www.hp.com.

i Based on publicly available information and HP’s internal analysis of 14-inch and 16-inch display consumer notebooks from major manufacturers with Windows on Arm and a thermal design power of greater than 45W as of June 2026. Slimness is determined by the notebook’s rear height of 15.73 millimeters on HP OmniBook Ultra 16 inch Laptop Next Gen AI PC and 13.53mm on HP OmniBook X 14 inch Laptop Next Gen AI PC. Rear height measurement is near the back edge where the chassis bottom cover taper ends, excluding transition area to rubber feet and hinge cap.
ii Battery life tested by HP using continuous FHD video playback, 1080p (1920x1080) resolution, 200 nits brightness, system audio level as image default, player audio level at 100%, played full-screen from local storage, headphone attached or through speaker (if no audio jack port), wireless on but not connected. Actual battery life will vary depending on configuration and maximum capacity will naturally decrease with time and usage.
iii Recharges your battery up to 50% within 30 minutes when the system is off using “shut down” command, using the HP adapter provided with the notebook or recommended power adapter disclosed in specifications.
iv Pricing and availability subject to change without notice.

Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/1a361f11-9579-42e3-87fd-57c5caea29fc
https://www.globenewswire.com/NewsRoom/AttachmentNg/a0b39f3b-f315-4737-a3fe-e555d6f0652c
https://www.globenewswire.com/NewsRoom/AttachmentNg/10df3a4a-55b0-49ad-b18b-b50e7330fdcb

ChargePoint's CEO is calling a two-day stock surge the opening act of something bigger, but the charging peers sitting flat tell a very different story about who actually believes him.

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

ChargePoint Holdings (NYSE:CHPT) stock is rallying for a second straight session as CEO Rick Wilmer publicly frames the surge as the opening act of a longer move. The Global X Autonomous & Electric Vehicles ETF (NASDAQ:DRIV) is up 0.6% to $34.71; at the same time, the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is down 0.4% to $770.42, so the broad tape isn’t providing any lift for the EV names.

ChargePoint stock is up 7% to $9.70 in Friday afternoon trading, extending Wednesday’s post-earnings surge into a second consecutive advance. Meanwhile, EVgo (NASDAQ:EVGO) stock is up 2% to $1.47, a modest tick that leaves the charging peer read looking thin. Blink Charging (NASDAQ:BLNK) stock is down 0.3% to $0.59, essentially flat as it declines to rally alongside ChargePoint.

Earnings Beat Fuels the Momentum Call Wednesday’s Q2 FY2027 numbers from ChargePoint cleared the bar with room to spare. Revenue landed at $116 million, above the top of the company’s own guidance range and up 18% year over year (YoY), while networked charging systems revenue climbed 25% YoY. ChargePoint’s adjusted EBITDA loss narrowed to $4.8 million from a $22 million loss in the same quarter last year, and non-GAAP gross margin reached 38%, a company record on that measure.

That record margin figure includes a one-time tariff refund of $4.2 million, so ChargePoint’s normalized number sits closer to 35%. Wilmer stated in an interview that the rally is “the beginning of the momentum” and that growth is accelerating on the back of new products such as the Express Solo fast charger and a deeper Eaton partnership. It’s ChargePoint’s fourth consecutive quarter of year-over-year revenue growth, and management said cash usage during the period was essentially zero.

Second Day Is the One That Matters A swift single-session rally may or may not be indicative of short covering, so the follow-through session is the more informative data point. A second straight day of gains argues the market is genuinely rerating the turnaround rather than unwinding a squeeze, because nothing in ChargePoint’s outlook changed overnight. Buyers today are paying a higher price for exactly the same information that was available Wednesday afternoon, which reads as conviction rather than mechanical short covering.

The tension inside the quarter is real. ChargePoint’s Q3 FY2027 revenue guidance of $105 million to $115 million only brackets consensus rather than lifting it, and the record margin leaned partly on a tariff refund that won’t repeat. Wilmer’s bull case rests on new hardware and accelerating growth rather than on the quarter just reported, and that’s the right place to look, because the Q2 report is already in the price.

Charging Peers Refuse to Rerate Charging infrastructure stocks aren’t all moving as a group today. EVgo’s modest tick sits against a Q2 2026 report that showed $83 million in revenue and a fresh agreement with Tesla to deploy EVgo-owned V4 Superchargers across dozens of U.S. cities starting this year. Blink Charging is essentially flat after cutting full-year 2026 revenue guidance to $83 million to $90 million from $105 million to $115 million alongside its Envoy Technologies divestiture and pivot toward higher-margin service revenue.

The scoreboard through Friday’s action tells the story. ChargePoint stock is up 77% over the past week and 49% year to date (YTD), a stunning turn given the shares are still down 9% over the trailing year. EVgo stock is down 49% YTD and Blink Charging stock is down 12% YTD, so the divergence points to a company-specific reappraisal of ChargePoint rather than capital rotating into charging infrastructure as a theme.

What to Watch Next Ahead of ChargePoint’s Q3 FY2027, the question is whether Express Solo bookings translate into a report that clears consensus rather than merely meeting it. That’s the moment where Wilmer’s momentum thesis gets tested against a reduced tariff benefit and normalized margins, and it’s the point at which the second-day repricing either extends or reverses. In the meantime, the interview cadence and any commentary at investor conferences can also shape sentiment.

The company-specific nature of today’s move is also its risk. Without sector support, a broader charging selloff could pull ChargePoint back quickly, since there’s no thematic bid underneath the shares. Investors sizing their exposure to a sub-$10 stock with a reported stockholders’ deficit should keep their positions modest and their risk tightly capped.

Contact [email protected] for any questions or corrections.

It has been about a month since the last earnings report for Atmos Energy (ATO - Free Report) . Shares have lost about 1.7% in that time frame, underperforming the S&P 500.

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

Atmos Energy Q3 Earnings Beat Estimates, Revenues Increase Y/Y

Atmos Energy reported fiscal third-quarter 2026 earnings of $1.43 per share, beating the Zacks Consensus Estimate of $1.34 by 6.7%. The bottom line improved 23.3% from $1.16 in the year-ago quarter.

ATO’s RevenuesThe company reported revenues of $879 million, which missed the Zacks Consensus Estimate of $1.04 billion by 15.3%. The top line increased 4.8% from $838.8 million in the prior-year quarter.

ATO’s Quarterly Operating HighlightsOperation and maintenance expenses in the third quarter of fiscal 2026 amounted to $223.2 million, up 0.5% year over year.

Operating income in the third quarter of fiscal 2026 was $320.4 million, up 27.1% from $252.1 million in the prior-year quarter.

As of Aug. 5, 2026, Atmos Energy had implemented $396.1 million of annualized rate outcomes, while $334.1 million remained in progress.

ATO reported net income of $242.7 million in the third quarter of fiscal 2026, up 37.8% from $186.4 million in the year-ago quarter.

Atmos Energy incurred interest expenses of $33.1 million, down 20.2% from the year-earlier quarter’s level.

The company reported consolidated distribution throughput of 73.1 million cubic feet per day for the third quarter, down 2.93% from the year-ago quarter’s reported actual.

ATO’s Segmental PerformanceDistribution: Net income totaled $89.4 million, up 26.8% from $70.5 million in the year-ago quarter. The increase was driven by a $21 million benefit from rate adjustments, primarily in the Mid-Tex Division, along with $26.7 million of deferred infrastructure-related costs and a $3.9 million contribution from residential customer growth and higher industrial demand.

Pipeline and Storage: Net income increased 32.2% year over year to $153.3 million. The improvement was driven partly by a $35.1 million benefit from rate adjustments, primarily related to Gas Reliability Infrastructure Program filings approved in June 2025 and May 2026.

Atmos Energy’s Balance Sheet and Infrastructure SpendingAs of June 30, 2026, cash and cash equivalents were $521 million, up from $202.7 million at fiscal 2025-end.

As of June 30, 2026, Atmos Energy reported a strong balance sheet with approximately $4.6 billion of available liquidity.

Net cash provided by operating activities totaled $1.67 billion during the first nine months of fiscal 2026 compared with $1.70 billion a year earlier.

Capital expenditure totaled $1.04 billion in the third quarter, up 19.9% year over year. For the first nine months of fiscal 2026, spending reached $3.08 billion, with $2.72 billion directed toward safety and reliability projects.

Atmos Energy Reaffirms Fiscal 2026 GuidanceATO reaffirmed fiscal 2026 guidance of $8.40-$8.50 per share. The Zacks Consensus Estimate for EPS is pegged at $8.44, slightly lower than the midpoint of the company’s guided range.

Total net income is expected to be in the range of $1.41-$1.43 billion.

ATO anticipates its fiscal 2026 capital expenditure to be $4.2 billion.

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

VGM ScoresAt this time, Atmos has a subpar Growth Score of D, a score with the same score on the momentum front. Following the exact same course, the stock was allocated a grade of D on the value side, putting it in the bottom 40% 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.

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

Performance of an Industry PlayerAtmos belongs to the Zacks Utility - Gas Distribution industry. Another stock from the same industry, ONE Gas (OGS - Free Report) , has gained 1.2% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.

ONE Gas reported revenues of $411.64 million in the last reported quarter, representing a year-over-year change of -2.9%. EPS of $0.82 for the same period compares with $0.53 a year ago.

ONE Gas is expected to post earnings of $0.50 per share for the current quarter, representing a year-over-year change of +13.6%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.

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

Docusign Inc. (NASDAQ:DOCU) drew bullish commentary from analysts after its fiscal second-quarter results showed accelerating growth in its Intelligent Agreement Management business (IAM), improving retention and stronger-than-expected profitability.

Citizens Sees More UpsideCitizens analyst Patrick Walravens maintained a Market Outperform rating and an $86 price forecast.

The analyst highlighted Docusign’s 9.4% revenue growth, improving net retention, and IAM annual recurring revenue of about $529 million. IAM accounted for 15.1% of total ARR, ahead of Citizens’ $474 million estimate.

Walravens said Docusign is using its dominant e-signature position to become the “agreement layer” across enterprises. He expects IAM ARR to exceed $650 million by the end of fiscal 2027 and account for roughly 18.5% of total ARR.

Citizens also pointed to Docusign’s Iris AI engine, which is trained on more than 300 million private, consented agreements, as a potential competitive advantage.

The firm raised its fiscal 2027 non-GAAP earnings estimate to $4.67 per share from $4.61. It also lifted its fiscal 2028 estimate to $5.22 from $5.12.

RBC Says Valuation Caps UpsideRBC Capital Markets analyst Rishi Jaluria took a more measured view. The firm maintained its Sector Perform rating but raised its price forecast to $70 from $55 following Docusign’s results.

Jaluria said the quarter marked another solid step in Docusign’s transition toward IAM. Revenue reached $875.7 million, up 9% year over year, while non-GAAP earnings came in at $1.16 per share. Both topped consensus estimates.

RBC highlighted improving retention and larger customer deals. Customers generating more than $300,000 in annual contract value rose 14% year over year to 1,296, marking the second straight quarter of double-digit growth.

The firm also sees an opportunity in Docusign’s growing integrations with third-party AI platforms. Its connectors span platforms from OpenAI, Anthropic and Microsoft Copilot to Google Cloud and Perplexity. RBC believes those integrations could eventually become a distribution channel for Docusign.

Still, RBC said the shares appear fully valued. The firm noted that Docusign trades at roughly nine times estimated calendar 2027 free cash flow, limiting potential upside despite improving IAM adoption, retention and deal sizes.

The analysts’ differing ratings reflect a common theme: Docusign’s IAM strategy is gaining traction, but the debate is shifting toward how much of that improvement is already reflected in the stock.

Photo via Shutterstock

DOCU Price Action: Docusign shares were up 3.54% to $68.30 at the time of publication on Friday, according to Benzinga Pro data.

Photo via Shutterstock

Read Next

© 2026 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Key Takeaways MED's 3.0 strategy shifts its focus from weight loss toward a comprehensive metabolic health system.The Catalyst program targets facility rationalization, AI efficiencies and other cost savings in 2026.MED aims to return to profitability by the fourth quarter of 2026 while pursuing revenue growth. Medifast, Inc.’s (MED - Free Report) 3.0 strategy represents its most significant strategic shift since the launch of OPTAVIA in 2017, moving the company beyond its traditional weight-loss positioning toward a comprehensive metabolic health system under its new consumer brand, Trilivy. The strategy is built around a 10-year roadmap aimed at expanding the company’s offering to coaches and clients within a comprehensive metabolic health system. At the same time, Medifast plans to broaden its geographic and demographic footprints, positioning 3.0 as a long-term strategic shift for the company.

Medifast’s 3.0 organization is centered on four core characteristics: speed, simplicity, scale, and stewardship. The company is emphasizing the need to move quickly to capture the opportunity in metabolic health while simultaneously working to return the business to profitability. This focus on speed is reflected in the launch of a series of new initiatives, alongside an emphasis on maintaining a sustainable pace of execution. Management is also looking for ways to do more with less as it executes the 3.0 strategy.

To accelerate its path back to profitability, the company launched its Catalyst program, with the majority of execution expected in the third quarter of 2026, to drive additional cost savings across the business. The program focuses on facility rationalization, AI-related efficiencies, and other cost-saving measures while ensuring that the company’s ability to grow is not negatively impacted.

Management is simultaneously working to improve profitability by pursuing revenue growth initiatives and eliminating costs across the business. The near-term objective is to return to profitability by the fourth quarter of 2026, with management believing it remains on track to achieve this goal. Overall, Medifast’s renewed strategic direction is intended to broaden its opportunity in metabolic health, while improving cost efficiency and positioning the business for a return to profitability.

The Zacks Rundown for MEDThe Zacks Rank #2 (Buy) company's shares have gained 17.5% in the past six months against the industry’s decline of 1.3%.

Image Source: Zacks Investment Research

From a valuation standpoint, MED trades at a forward price-to-sales ratio of 0.50, lower than the industry’s average of 0.82.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for MED’s current fiscal year bottom line calls for a year-over-year decline of 26.8%, whereas the same for next fiscal year earnings suggests 54.8% growth year over year.

Image Source: Zacks Investment Research

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

The Chef’s Warehouse, Inc. (CHEF - Free Report) distributes specialty food and center-of-the-plate products in the United States, the Middle East, and Canada. CHEF currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for CHEF’s current fiscal-year sales and earnings indicates growth of 10.6% and 33.7%, respectively, from the year-ago reported figures. CHEF delivered a trailing four-quarter earnings surprise of 30.4%, on average.

Darling Ingredients Inc. (DAR - Free Report) develops, produces, and sells sustainable natural ingredients from edible and inedible bio-nutrients in North America, Europe, China, South America, and internationally. DAR currently carries a Zacks Rank #2.

The Zacks Consensus Estimate for DAR’s current fiscal-year sales and earnings implies growth of 11.5% and 926.5%, respectively, from the year-ago actuals. DAR delivered a trailing four-quarter negative earnings surprise of 38.9%, on average.

Utz Brands, Inc. (UTZ - Free Report) , together with its subsidiaries, markets, sells and distributes fresh, frozen, and dry food and non-food products to foodservice customers in the United States. UTZ currently carries a Zacks Rank #2.

The Zacks Consensus Estimate for UTZ’s current fiscal-year sales implies growth of 3.7%, and the same for earnings implies a decline of 2.4%, from the year-ago actuals. UTZ delivered a trailing four-quarter earnings surprise of 1.8%, on average.

Zscaler posted a clean earnings beat and still sent the whole cybersecurity sector into retreat, raising an uncomfortable question about whether even the strongest growth numbers can justify where these stocks are priced right now.

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

Cybersecurity software is under pressure again Friday morning after Zscaler (NASDAQ:ZS | ZS Price Prediction) issued fiscal 2027 growth guidance that overshadowed a clean fourth-quarter beat, and peers are drifting with it. The move sits against a broader tape that’s only modestly softer, so the group weakness stands out.

The SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is down 0.5% to $769.39, giving back a small piece of a hot summer run. The Invesco QQQ Trust (NASDAQ:QQQ) is essentially flat at $717.38, with large-cap tech holding its ground even as software wobbles.

Zscaler stock is down 4% to $170.25 and was down 21% year to date (YTD) through Thursday’s close, the sharpest post-earnings move in the group and a clear signal that fiscal 2027 guidance is what set the tone. Meanwhile, Palo Alto (NASDAQ:PANW) shares are unchanged at $331.96, perhaps still digesting a similar guidance-day reaction from earlier in the week. CrowdStrike (NASDAQ:CRWD) stock is down 1% to $212.99, seemingly slipping in sympathy on a day the company itself has no catalyst.

Guidance Steals the Show Zscaler reported fiscal fourth-quarter revenue of $898.2 million, up 25% year over year (YoY), alongside adjusted earnings of $1.19 per share that topped consensus. CEO Jay Chaudhry credited adoption of the company’s Zero Trust architecture and pointed to agentic AI as a durable driver. Annual recurring revenue reached $3.77 billion, up 25%, with organic ARR growing 20% once the Red Canary contribution is stripped out, according to Zscaler.

For fiscal 2027, Zscaler guided revenue and annual recurring revenue growth to a range of 16.6% to 17.5%, well below the 25% pace Zscaler just delivered in fiscal 2026. The company also announced a restructuring expected to reduce its global workforce by 3%, a cost signal that lines up with a slower growth rate. Management framed the deceleration as the effect of lapping Red Canary’s contribution, though investors aren’t waiting for that reconciliation to travel through the model.

Palo Alto and CrowdStrike Fit the Same Pattern Palo Alto reported strong fiscal fourth-quarter results on September 1, with revenue up 34.5% YoY to $3.41 billion and next-generation security ARR growing 63% to $9.10 billion, according to Zscaler. In the following session, Palo Alto stock still slipped, echoing a familiar setup where a valuation-heavy leader beats and gives back ground anyway. Its fiscal 2027 revenue guide of $14.10 billion to $14.20 billion implies 23% to 24% growth, a step down from fiscal 2026, and Palo Alto stock was up 80% YTD through Thursday’s close, even after this week’s slide.

CrowdStrike delivered its own strong quarter on August 26, with Q2 FY2027 net new ARR of $332.8 million growing 51% YoY and management raising the full-year revenue guide to $5.99 billion to $6.01 billion, according to Zscaler. The shares are easing today without a fresh CrowdStrike catalyst, which reads as sector sentiment traveling through the group after Zscaler’s outlook shock. CrowdStrike stock was up 81% YTD through Thursday’s close, so the three-name pattern points to a market repricing growth durability across cybersecurity leaders, with the two names that entered the session at rich multiples leaking less than the one whose multiple already reflected weaker growth.

What to Watch Next Zscaler’s Investor Day in New York on October 6, together with a September 9 launch webcast for the company’s agentic SecOps solution, gives management two near-term chances to reframe the growth conversation with fresh product detail. The Q1 fiscal 2027 revenue guide of $935 million to $939 million already implies 19% YoY growth, above the full-year midpoint and suggesting the deceleration back-loads later in the year as Red Canary comps normalize, according to Zscaler.

Investors can watch for whether Zscaler’s product cadence, its Security for AI ramp, and Z-Flex momentum stabilize the growth narrative before Q2 fiscal 2027 guidance lands. Anyone weighing cybersecurity-sector exposure here should size their positions to survive multi-quarter guidance resets, since valuation compression across the group can outlast any single earnings reaction.

Contact [email protected] for any questions or corrections.