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Meta plans to hand shareholders one new non-voting Class C share for every Class A and Class B share they hold. Third-quarter revenue grew 26% year over year to $64.6 billion.
Tesla Inc. pulled back its spending plans after investment last quarter trailed expectations, with capital expenditures to be around $20 billion this year. The company had been consistently short of the pace needed to hit its spending goal, particularly after a $4.73 billion outlay in the third quarter, with analysts having expected $7.95 billion on average.
James Talarico's campaign hit back at Elon Musk Thursday, calling the 2026 election cycle's top spender out for his cash infusion in the Texas Senate race amid an ongoing feud between the Democratic nominee and the world's richest man.
A video posted by the Talarico campaign's account on X Thursday of a new ad targets Musk for his record spending in favor of Republican nominee Ken Paxton, telling him "Texas is not for sale."
"Do you keep seeing these attack ads against James Talarico? Look a little closer. The same super PACs are paying for nearly all of them," the video's narrator intones. "But who's funding these dark money groups? Elon Musk."
"He's almost single-handedly bankrolling the effort to install Ken Paxton in the U.S. Senate," the narrator continues.
"Elon wants to buy up our land, he wants to buy up our water, and now, he wants to buy his own personal U.S. senator. He knows that if his millions drag the most corrupt politician in Texas across the finish line, Ken Paxton will owe him everything."
The new ad dropped with less than two weeks until the midterm election and amid an ongoing feud between Talarico and Musk.
In a post Wednesday on X, Musk said, "There is something deeply wrong with James Talarico." And on Thursday, he wrote on X that "Talarico hates Texas and America" while reposting a video about voter-ID requirements.
Talarico fired back Wednesday, replying to the earlier post, "There is something deeply wrong with a political system that allows one trillionaire to buy his own personal U.S. Senator."
The Tesla and SpaceX CEO has spent around $366 million across 40 races so far in the midterms, based on CNBC's calculations, making Musk the largest individual donor of the cycle. Much of that spending is based in Texas, where he moved his corporate headquarters and personal primary residence.
At least $189.6 million of Musk's political spend has been in support of Paxton through various methods, the Republican nominee for U.S. Senate in Texas and Talarico's opponent. An average of polls aggregated by FiftyPlusOne show Talarico with a three-percentage-point advantage over Paxton as of Oct. 23.
Tesla's European sales are telling a story that contradicts everything happening in its home market, and the reason behind the turnaround may surprise investors watching the company's global strategy.
Europe’s car market is OK, and September registration numbers show it. In the first nine months of the year, total registrations in the region were up 5.7% to 8,517,058. The organization reported that 22.7% were EVs. The report came from the ACEA, the official tracker of registrations in the area.
Tesla (NASDAQ: TSLA | TSLA Price Prediction) registrations surged in the same period, up 69.9% to 188,035. The momentum picked up in September. Tesla registrations rose 78.6% to 45,866. The EU appears to be Tesla’s best market as EV sales falter in the US, and Tesla faces dozens of China-based EVs operating in its home market.
The one thing that should make Tesla management nervous about the EU is that archrival BYD registered 206,022 vehicles in the first nine months, which was a 154.4% surge.
Tesla is making an EU comeback. Through much of 2025, its sales dropped precipitously. Some observers believe this was because of Elon Musk’s association with Donald Trump and what was seen as meddling in EU politics. Those problems appear to have disappeared.
In its home market, Tesla has a market share just north of 50%. However, US EV sales overall are down 30.7% year over year in the first nine months compared to the same period last year. In 2025, from January through September, EVs accounted for 8.5% of new car sales. That has fallen to 6%. Most experts believe that this is because the $7,500 federal tax credit for EVs ended September 30.
Gas prices are higher in most of the EU compared to the US. That may be another reason for rapid adoption.
Tesla needs a boost. Its third-quarter earnings drove the stock down, and unit sales were less than thrilling. Tesla said it delivered 486,582 vehicles, which was about flat with the year before.
In China, there were once over 100 EV companies. It was clear that number would drop. However, the leaders have a large market share, and Tesla will not overcome that.
The EU shows that Tesla can turn a market around. Most of its competition in the US has shut down because of poor sales. It has a chance to make its sales in its home market look more like the EU numbers.
Contact [email protected] for any questions or corrections.
Frankfurtská burza zakončila týden v červených číslech. Největší pokles zaznamenaly akcie společností MTU Aero Engines (-4,8 %), Deutsche Telekom (-3,2 %) a Siemens Energy (-2,9 %). Naopak v zelených číslech zakončily obchodní den akcie společností Fresenius Medical Care (+3,3 %), Beiersdorf (+2,4 %) a Zalando (+2,3 %).
Evropský index STOXX 600 uzavřel rovněž v záporu. Z jednotlivých sektorů se nedařilo zbytné spotřebě (-1,74 %), komunikačním službám (-1,47 %) a průmyslu (-1,25 %). Výrazný růst zaznamenal energetický sektor (+4,01 %) v souvislosti s růstem ceny ropy. Dařilo se také materiálům (+0,16 %) a realitám (+0,11 %).
Index DAX -0,75 % na 25181,65 b.
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Fresenius Medical Care (FME)
+3,3 %
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Beiersdorf AG (BEI)
+2,4 %
Deutsche Telekom (DTE)
-3,2 %
In its upcoming report, Alphabet (GOOGL - Free Report) is predicted by Wall Street analysts to post quarterly earnings of $2.94 per share, reflecting an increase of 2.4% compared to the same period last year. Revenues are forecasted to be $111.64 billion, representing a year-over-year increase of 27.6%.
The current level reflects an upward revision of 1.4% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings announcement, it is crucial to consider revisions to earnings estimates. This serves as a significant indicator for predicting potential investor actions regarding the stock. Empirical research has consistently demonstrated a robust correlation between trends in earnings estimate revision and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
Given this perspective, it's time to examine the average forecasts of specific Alphabet metrics that are routinely monitored and predicted by Wall Street analysts.
It is projected by analysts that the 'Revenues- Google advertising' will reach $83.52 billion. The estimate indicates a year-over-year change of +12.6%.
Based on the collective assessment of analysts, 'Revenues- YouTube ads' should arrive at $11.34 billion. The estimate indicates a change of +10.6% from the prior-year quarter.
Analysts forecast 'Revenues- Google Cloud' to reach $29.16 billion. The estimate indicates a year-over-year change of +92.4%.
According to the collective judgment of analysts, 'Revenues- Google subscriptions, platforms, and devices' should come in at $14.85 billion. The estimate indicates a change of +15.4% from the prior-year quarter.
The combined assessment of analysts suggests that 'Revenues- Google Search & other' will likely reach $64.99 billion. The estimate points to a change of +14.9% from the year-ago quarter.
The consensus among analysts is that 'Revenues- Google Services total' will reach $98.42 billion. The estimate suggests a change of +13.1% year over year.
The consensus estimate for 'Revenues- EMEA' stands at $34.62 billion. The estimate points to a change of +15.7% from the year-ago quarter.
The average prediction of analysts places 'Revenues- United States' at $64.36 billion. The estimate suggests a change of +32% year over year.
The collective assessment of analysts points to an estimated 'Revenues- Other Americas (Canada and Latin America)' of $7.15 billion. The estimate indicates a change of +17.9% from the prior-year quarter.
Analysts' assessment points toward 'Revenues- APAC' reaching $22.01 billion. The estimate points to a change of +23.5% from the year-ago quarter.
Analysts expect 'Total TAC (traffic acquisition costs)' to come in at $16.53 billion. The estimate is in contrast to the year-ago figure of $14.88 billion.
Analysts predict that the 'Headcount (Number of employees)' will reach 200,611 . The estimate is in contrast to the year-ago figure of 190,167 .
View all Key Company Metrics for Alphabet here>>>
Over the past month, shares of Alphabet have returned -5.3% versus the Zacks S&P 500 composite's -1.2% change. Currently, GOOGL carries a Zacks Rank #2 (Buy), suggesting that it may outperform. the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Key Takeaways Alphabet's Q3 revenues are projected to rise 27.63% to $111.64 billion, with earnings of $2.94 per share.Google Cloud growth, Search advertising strength and rising Gemini adoption are expected to boost Q3 results.Alphabet's AI expansion supports growth prospects, but premium valuation and rising costs pose challenges.
Alphabet (GOOGL - Free Report) is set to report third-quarter 2026 results on Oct. 28.
For third-quarter 2026, the Zacks Consensus Estimate for earnings is pegged at $2.94 per share, up by a penny over the past 30 days, and indicating 2.44% year-over-year growth.
The consensus mark for third-quarter revenues is pegged at $111.64 billion, implying growth of 27.63% from the year-ago quarter’s reported figure.
Alphabet has an impressive earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in all the trailing four quarters, with the average surprise being 86.65%.
Consensus Estimate Trend
Image Source: Zacks Investment Research
Let’s see how things have shaped up for the upcoming announcement:
Cloud & Search to Aid GOOGL’s Q3 Top-Line GrowthAlphabet’s third-quarter 2026 results are expected to have benefited from accelerating Google Cloud adoption, supported by strong demand for AI infrastructure, enterprise AI solutions and core Google Cloud Platform (GCP) services. In the second quarter of 2026, cloud revenues surged 82% year over year to $24.77 billion, while cloud backlog reached $514 billion, increasing by more than $50 billion sequentially. Cloud revenues are also expected to have benefited from expanding customer relationships, rising consumption and demand for Google’s custom Tensor Processing Units (TPUs) systems.
Google Search & Other is expected to have remained a key revenue contributor in the third quarter, driven by increasing search activity, healthy advertiser spending and AI-powered advertising improvements. In the second quarter of 2026, Search & Other revenues increased 17% year over year to $63.27 billion, primarily supported by retail and financial services advertisers. AI Overviews and AI Mode have been driving incremental search queries, while AI Max and Performance Max are helping advertisers improve campaign effectiveness. However, GOOGL cautioned that third-quarter growth comparisons would become tougher as Alphabet laps the acceleration in Search performance that began in third-quarter 2025.
Alphabet’s third-quarter 2026 performance is likely to have benefited from growth in YouTube advertising, supported by direct-response campaigns, brand advertising, Shorts and connected television. YouTube advertising revenues increased 13% year over year to $11.06 billion in the second quarter of 2026, reflecting strength across direct-response and brand campaigns. AI-powered Demand Gen campaigns, creator partnerships and new advertising formats are improving advertisers’ ability to reach audiences across YouTube and Shorts. The growing popularity of connected television and increasingly effective shopping experiences are also expected to have supported advertising monetization.
Increasing adoption of Gemini across consumer and enterprise applications is expected to have supported Alphabet's third-quarter performance. In the second quarter of 2026, Gemini API usage reached approximately 22 billion tokens per minute, up from more than 16 billion in the preceding quarter. The Gemini application reached 950 million monthly active users, while more than 9 million developers were building with Google's models each month. Strong adoption of Gemini Enterprise, AI development tools and model APIs is creating additional monetization opportunities across Google Cloud, Workspace and other services.
However, higher depreciation, energy expenses, data center operating costs and AI-related hiring are expected to have pressured operating margins. GOOGL also anticipated modest near-term margin pressure from using third-party cloud capacity in the third quarter.
GOOGL Shares Lag Sector, Trades at a PremiumAlphabet’s shares have climbed 3.8% year to date (YTD), underperforming the broader Zacks Computer & Technology sector’s return of 18%. Alphabet shares have underperformed peers including Apple (AAPL - Free Report) , Amazon (AMZN - Free Report) and Microsoft (MSFT - Free Report) over the same timeframe. Shares of Apple, Amazon and Microsoft have returned 28%, 8.6% and 7.8%, respectively, YTD.
GOOGL Stock’s Price Performance
Image Source: Zacks Investment Research
GOOGL shares are overvalued, as suggested by Value Score C.
Currently, GOOGL is trading at a premium, with a forward 12-month price/sales of 7.38X compared with the broader sector’s 5.72X and Amazon’s 2.91X. However, Alphabet shares trade at a discount compared with Microsoft’s 9.37X and Apple’s 9.70X.
GOOGL Shares Trade at a Premium
Image Source: Zacks Investment Research
GOOGL’s Prospects Ride AI Push & CloudAlphabet’s prospects are supported by its integrated AI portfolio spanning custom accelerators, Gemini models, data analytics, cybersecurity and enterprise applications. Google management has highlighted more than 17 product lines generating over $1 billion each in revenue. The company is gaining traction across enterprise AI infrastructure, BigQuery, Gemini Enterprise and Workspace, enabling opportunities to expand customer spending. Alphabet also highlighted that customers using Google’s AI products consume 1.8 times as many products as non-AI customers, indicating significant cross-selling potential.
Growing demand for AI training and inference represents a major long-term opportunity for Alphabet’s infrastructure business. The company's custom TPUs, Axion CPUs and NVIDIA GPU offerings provide customers with multiple computing options. Alphabet is also commercializing TPU systems through cloud subscriptions, direct hardware sales and neocloud partnerships.
Increasing enterprise adoption of agentic AI is expected to strengthen Alphabet’s long-term growth prospects. Gemini Enterprise enables organizations to build autonomous agents, analyze proprietary data, automate business processes and improve operational efficiency. Alphabet has stated that more than 90% of Fortune 100 companies have been using Gemini Enterprise, and the platform is gaining adoption across financial services, retail, insurance and other industries.
Buy GOOGL Ahead of Q3Alphabet’s third-quarter 2026 performance is expected to have benefited from robust Google Cloud demand, growing AI adoption, sustained Search advertising momentum and improving YouTube monetization. The company's expanding Cloud backlog, growing enterprise customer base and increasing adoption of Gemini-powered solutions are encouraging. Despite a premium valuation, Alphabet’s full-stack AI strategy, expanding TPU business, enterprise AI adoption and new advertising opportunities offer plenty of growth opportunities for investors.
Alphabet currently has a Zacks Rank #2 (Buy), suggesting that it may be wise to buy the stock ahead of third-quarter earnings. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
B.A. Schrock Wealth Management Inc. purchased a new position in shares of Amazon.com, Inc. (NASDAQ:AMZN – Free Report) in the third quarter, according to its most recent filing with the SEC. The firm purchased 27,588 shares of the e-commerce giant’s stock, valued at approximately $6,848,000. Amazon.com accounts for 2.3% of B.A. Schrock Wealth Management Inc.’s portfolio, making the stock its 11th largest holding.
Several other hedge funds have also recently made changes to their positions in the business. Red Crane Wealth Management LLC raised its position in shares of Amazon.com by 2.3% during the first quarter. Red Crane Wealth Management LLC now owns 1,663 shares of the e-commerce giant’s stock worth $346,000 after purchasing an additional 38 shares during the period. Stegent Equity Advisors Inc. lifted its position in shares of Amazon.com by 2.7% during the third quarter. Stegent Equity Advisors Inc. now owns 1,462 shares of the e-commerce giant’s stock valued at $364,000 after purchasing an additional 39 shares in the last quarter. Robinson Smith Wealth Advisors LLC lifted its position in shares of Amazon.com by 0.7% during the first quarter. Robinson Smith Wealth Advisors LLC now owns 5,509 shares of the e-commerce giant’s stock valued at $1,147,000 after purchasing an additional 40 shares in the last quarter. Sfam LLC lifted its position in shares of Amazon.com by 3.4% during the first quarter. Sfam LLC now owns 1,224 shares of the e-commerce giant’s stock valued at $255,000 after purchasing an additional 40 shares in the last quarter. Finally, Measured Risk Portfolios Inc. boosted its holdings in Amazon.com by 3.4% during the first quarter. Measured Risk Portfolios Inc. now owns 1,206 shares of the e-commerce giant’s stock worth $251,000 after purchasing an additional 40 shares during the last quarter. 72.20% of the stock is owned by institutional investors.
Insider Activity In other news, VP Shelley Reynolds sold 2,343 shares of Amazon.com stock in a transaction dated Friday, August 21st. The stock was sold at an average price of $259.01, for a total transaction of $606,860.43. Following the completion of the sale, the vice president owned 119,780 shares in the company, valued at approximately $31,024,217.80. This trade represents a 1.92% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Andrew Jassy sold 20,000 shares of the firm’s stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $259.01, for a total transaction of $5,180,200.00. Following the completion of the sale, the chief executive officer directly owned 2,235,766 shares in the company, valued at $579,085,751.66. This represents a 0.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 71,589 shares of company stock worth $18,580,515. Company insiders own 8.90% of the company’s stock.
More Amazon.com News Here are the key news stories impacting Amazon.com this week: Positive Sentiment: Strong AWS and AI growth remain the central bull case. AWS is reportedly expanding at its fastest pace in 18 quarters, while Amazon’s custom Trainium chips are being made available to PyTorch developers. Analysts see cloud growth, advertising, operating leverage and AI infrastructure as potential drivers of substantial long-term upside. Amazon AI growth and upside analysis Positive Sentiment: Institutional and analyst support provided a counterpoint. Morgan Stanley named Amazon a top pick and raised its price target, while Citadel increased its Amazon position. Jefferies also said warehouse automation and Amazon’s logistics network could improve retail margins over time. Citadel Amazon stake and AI bubble article Positive Sentiment: Amazon continues to expand strategic growth opportunities. The company is involved in a proposed 960-megawatt nuclear project in Indiana, and data indicate it is gaining fresh-grocery market share from traditional supermarkets. Amazon nuclear energy project Neutral Sentiment: Third-quarter results are the immediate focus. Wall Street expects earnings growth, but investors are watching AWS growth, operating margins, free cash flow and management’s outlook for capital expenditures. The company’s recent spending plans reportedly approach $200 billion to $220 billion, making the earnings call particularly important. Amazon earnings preview Negative Sentiment: AI investment is raising return-on-capital concerns. Reports say some Nvidia-powered server racks purchased by Amazon are sitting idle because data centers lack sufficient electricity, while Amazon has also abandoned a planned Virginia data-center campus. Such developments could delay monetization of its massive infrastructure spending. Amazon Nvidia chips and data-center power report Negative Sentiment: Competitive, regulatory and labor risks remain overhangs. Debate over whether AI is in a bubble, Walmart’s more open approach to AI-agent commerce, a proposed bill targeting subsidies for large AI data centers, and renewed Teamsters pressure on delivery rules could increase uncertainty or costs. Amazon and Walmart AI-agent commerce article Wall Street Analyst Weigh In Several research firms have commented on AMZN. Telsey Advisory Group set a $335.00 price objective on shares of Amazon.com and gave the company an “outperform” rating in a research note on Friday, July 31st. Wolfe Research reaffirmed an “outperform” rating and issued a $315.00 target price on shares of Amazon.com in a report on Friday, July 31st. Wedbush increased their price target on Amazon.com from $293.00 to $310.00 and gave the company an “outperform” rating in a research report on Friday, July 31st. JPMorgan Chase & Co. boosted their price objective on Amazon.com from $330.00 to $365.00 and gave the stock an “overweight” rating in a research report on Friday, July 31st. Finally, Cantor Fitzgerald reduced their price objective on Amazon.com from $320.00 to $310.00 and set an “overweight” rating for the company in a research note on Monday, October 12th. Fifty-seven research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, Amazon.com presently has an average rating of “Moderate Buy” and an average price target of $322.53.
Get Our Latest Stock Analysis on AMZN
Amazon.com Stock Down 4.6% AMZN opened at $250.38 on Friday. The firm has a market capitalization of $2.70 trillion, a P/E ratio of 35.74, a price-to-earnings-growth ratio of 2.03 and a beta of 1.45. Amazon.com, Inc. has a one year low of $196.00 and a one year high of $287.20. The company has a fifty day moving average price of $255.85 and a 200-day moving average price of $253.33. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.03 and a quick ratio of 0.87.
Amazon.com (NASDAQ:AMZN – Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.82 by $3.93. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%. The company had revenue of $200.61 billion for the quarter, compared to the consensus estimate of $197.03 billion. During the same quarter last year, the business posted $1.68 earnings per share. The firm’s revenue was up 19.6% compared to the same quarter last year. Equities research analysts expect that Amazon.com, Inc. will post 8.01 earnings per share for the current fiscal year.
Amazon.com Profile (Free Report)
Amazon.com, Inc is a global technology and e-commerce company founded by Jeff Bezos in 1994. Originally launched as an online bookstore, the company has expanded into a broad digital marketplace offering consumer products across numerous categories, including electronics, household goods, apparel, groceries and other merchandise. Amazon also sells products under its own brands and provides logistics, fulfillment and delivery services that support its retail operations and third-party sellers.
The company’s principal businesses include online and physical retail, Amazon Web Services (AWS), digital advertising, subscription services and consumer technology.
Featured Stories Five stocks we like better than Amazon.com Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding AMZN? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Amazon.com, Inc. (NASDAQ:AMZN – Free Report).
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Cliftonlarsonallen Wealth Advisors LLC trimmed its position in shares of Amazon.com, Inc. (NASDAQ:AMZN – Free Report) by 19.4% during the 3rd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 34,578 shares of the e-commerce giant’s stock after selling 8,312 shares during the period. Cliftonlarsonallen Wealth Advisors LLC’s holdings in Amazon.com were worth $8,615,000 as of its most recent filing with the Securities and Exchange Commission (SEC).
Other hedge funds and other institutional investors have also recently modified their holdings of the company. Red Crane Wealth Management LLC increased its stake in Amazon.com by 2.3% during the first quarter. Red Crane Wealth Management LLC now owns 1,663 shares of the e-commerce giant’s stock worth $346,000 after acquiring an additional 38 shares during the last quarter. Stegent Equity Advisors Inc. raised its position in Amazon.com by 2.7% during the third quarter. Stegent Equity Advisors Inc. now owns 1,462 shares of the e-commerce giant’s stock valued at $364,000 after purchasing an additional 39 shares during the period. Robinson Smith Wealth Advisors LLC lifted its stake in shares of Amazon.com by 0.7% in the 1st quarter. Robinson Smith Wealth Advisors LLC now owns 5,509 shares of the e-commerce giant’s stock valued at $1,147,000 after purchasing an additional 40 shares during the last quarter. Sfam LLC lifted its stake in shares of Amazon.com by 3.4% in the 1st quarter. Sfam LLC now owns 1,224 shares of the e-commerce giant’s stock valued at $255,000 after purchasing an additional 40 shares during the last quarter. Finally, Measured Risk Portfolios Inc. lifted its stake in shares of Amazon.com by 3.4% in the 1st quarter. Measured Risk Portfolios Inc. now owns 1,206 shares of the e-commerce giant’s stock valued at $251,000 after purchasing an additional 40 shares during the last quarter. 72.20% of the stock is currently owned by institutional investors.
Insider Buying and Selling at Amazon.com In other news, CEO Douglas J. Herrington sold 6,362 shares of the company’s stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $259.01, for a total value of $1,647,821.62. Following the completion of the sale, the chief executive officer owned 476,681 shares of the company’s stock, valued at approximately $123,465,145.81. This represents a 1.32% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Matthew Garman sold 14,541 shares of the company’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $259.06, for a total transaction of $3,766,991.46. Following the completion of the sale, the chief executive officer directly owned 17,794 shares of the company’s stock, valued at $4,609,713.64. The trade was a 44.97% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 71,589 shares of company stock worth $18,580,515. 8.90% of the stock is currently owned by company insiders.
Analyst Ratings Changes Several equities analysts have recently weighed in on the company. Telsey Advisory Group set a $335.00 target price on Amazon.com and gave the company an “outperform” rating in a research report on Friday, July 31st. Truist Financial increased their price target on Amazon.com from $320.00 to $350.00 and gave the company a “buy” rating in a report on Friday, July 31st. DA Davidson restated a “neutral” rating and issued a $250.00 price target on shares of Amazon.com in a research report on Friday, July 31st. Pivotal Research reaffirmed a “buy” rating and set a $333.00 price objective (up from $320.00) on shares of Amazon.com in a research note on Friday, July 31st. Finally, Morgan Stanley reaffirmed an “overweight” rating and set a $350.00 price objective (up from $335.00) on shares of Amazon.com in a research note on Monday. Fifty-seven equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $322.53. Check Out Our Latest Research Report on AMZN
Amazon.com Price Performance AMZN opened at $250.38 on Friday. Amazon.com, Inc. has a 12-month low of $196.00 and a 12-month high of $287.20. The company has a current ratio of 1.03, a quick ratio of 0.87 and a debt-to-equity ratio of 0.23. The business’s fifty day simple moving average is $255.85 and its 200-day simple moving average is $253.33. The company has a market capitalization of $2.70 trillion, a price-to-earnings ratio of 20.14, a PEG ratio of 2.03 and a beta of 1.45.
Amazon.com (NASDAQ:AMZN – Get Free Report) last released its quarterly earnings data on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, beating the consensus estimate of $1.82 by $3.93. Amazon.com had a return on equity of 18.00% and a net margin of 17.44%. The firm had revenue of $200.61 billion during the quarter, compared to the consensus estimate of $197.03 billion. During the same period in the previous year, the company posted $1.68 earnings per share. The firm’s quarterly revenue was up 19.6% on a year-over-year basis. On average, equities research analysts anticipate that Amazon.com, Inc. will post 8.01 earnings per share for the current fiscal year.
Trending Headlines about Amazon.com Here are the key news stories impacting Amazon.com this week:
Positive Sentiment: Strong AWS and AI growth remain the central bull case. AWS is reportedly expanding at its fastest pace in 18 quarters, while Amazon’s custom Trainium chips are being made available to PyTorch developers. Analysts see cloud growth, advertising, operating leverage and AI infrastructure as potential drivers of substantial long-term upside. Amazon AI growth and upside analysis Positive Sentiment: Institutional and analyst support provided a counterpoint. Morgan Stanley named Amazon a top pick and raised its price target, while Citadel increased its Amazon position. Jefferies also said warehouse automation and Amazon’s logistics network could improve retail margins over time. Citadel Amazon stake and AI bubble article Positive Sentiment: Amazon continues to expand strategic growth opportunities. The company is involved in a proposed 960-megawatt nuclear project in Indiana, and data indicate it is gaining fresh-grocery market share from traditional supermarkets. Amazon nuclear energy project Neutral Sentiment: Third-quarter results are the immediate focus. Wall Street expects earnings growth, but investors are watching AWS growth, operating margins, free cash flow and management’s outlook for capital expenditures. The company’s recent spending plans reportedly approach $200 billion to $220 billion, making the earnings call particularly important. Amazon earnings preview Negative Sentiment: AI investment is raising return-on-capital concerns. Reports say some Nvidia-powered server racks purchased by Amazon are sitting idle because data centers lack sufficient electricity, while Amazon has also abandoned a planned Virginia data-center campus. Such developments could delay monetization of its massive infrastructure spending. Amazon Nvidia chips and data-center power report Negative Sentiment: Competitive, regulatory and labor risks remain overhangs. Debate over whether AI is in a bubble, Walmart’s more open approach to AI-agent commerce, a proposed bill targeting subsidies for large AI data centers, and renewed Teamsters pressure on delivery rules could increase uncertainty or costs. Amazon and Walmart AI-agent commerce article Amazon.com Company Profile (Free Report)
Amazon.com, Inc is a global technology and e-commerce company founded by Jeff Bezos in 1994. Originally launched as an online bookstore, the company has expanded into a broad digital marketplace offering consumer products across numerous categories, including electronics, household goods, apparel, groceries and other merchandise. Amazon also sells products under its own brands and provides logistics, fulfillment and delivery services that support its retail operations and third-party sellers.
The company’s principal businesses include online and physical retail, Amazon Web Services (AWS), digital advertising, subscription services and consumer technology.
Featured Articles Five stocks we like better than Amazon.com Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding AMZN? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Amazon.com, Inc. (NASDAQ:AMZN – Free Report).
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Fortitude Family Office LLC increased its holdings in shares of Amazon.com, Inc. (NASDAQ:AMZN – Free Report) by 32.2% in the 3rd quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 10,614 shares of the e-commerce giant’s stock after buying an additional 2,584 shares during the quarter. Fortitude Family Office LLC’s holdings in Amazon.com were worth $2,610,000 at the end of the most recent reporting period.
Several other large investors have also bought and sold shares of AMZN. Bank of America Corp DE acquired a new stake in shares of Amazon.com in the 2nd quarter valued at approximately $22,218,775,000. Bank of New York Mellon Corp bought a new stake in shares of Amazon.com during the 2nd quarter valued at approximately $16,341,405,000. Legal & General Group Plc bought a new stake in shares of Amazon.com during the 2nd quarter valued at approximately $12,831,376,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of Amazon.com during the 2nd quarter valued at approximately $6,631,466,000. Finally, Jupiter Topco LLC acquired a new position in Amazon.com during the 2nd quarter worth approximately $5,910,083,000. 72.20% of the stock is owned by institutional investors and hedge funds.
More Amazon.com News Here are the key news stories impacting Amazon.com this week:
Positive Sentiment: Strong AWS and AI growth remain the central bull case. AWS is reportedly expanding at its fastest pace in 18 quarters, while Amazon’s custom Trainium chips are being made available to PyTorch developers. Analysts see cloud growth, advertising, operating leverage and AI infrastructure as potential drivers of substantial long-term upside. Amazon AI growth and upside analysis Positive Sentiment: Institutional and analyst support provided a counterpoint. Morgan Stanley named Amazon a top pick and raised its price target, while Citadel increased its Amazon position. Jefferies also said warehouse automation and Amazon’s logistics network could improve retail margins over time. Citadel Amazon stake and AI bubble article Positive Sentiment: Amazon continues to expand strategic growth opportunities. The company is involved in a proposed 960-megawatt nuclear project in Indiana, and data indicate it is gaining fresh-grocery market share from traditional supermarkets. Amazon nuclear energy project Neutral Sentiment: Third-quarter results are the immediate focus. Wall Street expects earnings growth, but investors are watching AWS growth, operating margins, free cash flow and management’s outlook for capital expenditures. The company’s recent spending plans reportedly approach $200 billion to $220 billion, making the earnings call particularly important. Amazon earnings preview Negative Sentiment: AI investment is raising return-on-capital concerns. Reports say some Nvidia-powered server racks purchased by Amazon are sitting idle because data centers lack sufficient electricity, while Amazon has also abandoned a planned Virginia data-center campus. Such developments could delay monetization of its massive infrastructure spending. Amazon Nvidia chips and data-center power report Negative Sentiment: Competitive, regulatory and labor risks remain overhangs. Debate over whether AI is in a bubble, Walmart’s more open approach to AI-agent commerce, a proposed bill targeting subsidies for large AI data centers, and renewed Teamsters pressure on delivery rules could increase uncertainty or costs. Amazon and Walmart AI-agent commerce article Insider Activity In related news, CEO Douglas J. Herrington sold 6,362 shares of the business’s stock in a transaction on Friday, August 21st. The shares were sold at an average price of $259.01, for a total value of $1,647,821.62. Following the sale, the chief executive officer owned 476,681 shares of the company’s stock, valued at $123,465,145.81. The trade was a 1.32% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP David Zapolsky sold 9,258 shares of the stock in a transaction on Monday, August 24th. The shares were sold at an average price of $259.77, for a total value of $2,404,950.66. Following the completion of the sale, the senior vice president owned 41,190 shares of the company’s stock, valued at $10,699,926.30. The trade was a 18.35% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 71,589 shares of company stock valued at $18,580,515. 8.90% of the stock is currently owned by company insiders. Analysts Set New Price Targets AMZN has been the subject of several research reports. UBS Group set a $200.00 price objective on shares of Amazon.com in a research note on Thursday, September 17th. Telsey Advisory Group set a $335.00 target price on shares of Amazon.com and gave the stock an “outperform” rating in a research note on Friday, July 31st. Wells Fargo & Company set a $329.00 price target on shares of Amazon.com and gave the stock an “overweight” rating in a report on Monday, October 12th. DA Davidson reiterated a “neutral” rating and set a $250.00 price target on shares of Amazon.com in a report on Friday, July 31st. Finally, Bank of America increased their price target on Amazon.com from $310.00 to $320.00 and gave the company a “buy” rating in a research note on Friday, July 31st. Fifty-seven research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to MarketBeat.com, Amazon.com currently has a consensus rating of “Moderate Buy” and a consensus price target of $322.53.
Get Our Latest Analysis on Amazon.com
Amazon.com Stock Down 4.6% Shares of NASDAQ AMZN opened at $250.38 on Friday. The company has a 50 day simple moving average of $255.85 and a 200 day simple moving average of $253.33. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.03 and a quick ratio of 0.87. Amazon.com, Inc. has a 1 year low of $196.00 and a 1 year high of $287.20. The firm has a market cap of $2.70 trillion, a PE ratio of 20.14, a price-to-earnings-growth ratio of 2.03 and a beta of 1.45.
Amazon.com (NASDAQ:AMZN – Get Free Report) last posted its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share for the quarter, topping analysts’ consensus estimates of $1.82 by $3.93. Amazon.com had a net margin of 17.44% and a return on equity of 18.00%. The firm had revenue of $200.61 billion for the quarter, compared to analyst estimates of $197.03 billion. During the same period in the previous year, the firm posted $1.68 EPS. The company’s revenue for the quarter was up 19.6% compared to the same quarter last year. On average, research analysts forecast that Amazon.com, Inc. will post 8.01 EPS for the current year.
Amazon.com Company Profile (Free Report)
Amazon.com, Inc is a global technology and e-commerce company founded by Jeff Bezos in 1994. Originally launched as an online bookstore, the company has expanded into a broad digital marketplace offering consumer products across numerous categories, including electronics, household goods, apparel, groceries and other merchandise. Amazon also sells products under its own brands and provides logistics, fulfillment and delivery services that support its retail operations and third-party sellers.
The company’s principal businesses include online and physical retail, Amazon Web Services (AWS), digital advertising, subscription services and consumer technology.
Featured Articles Five stocks we like better than Amazon.com Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
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Fort Washington Investment Advisors Inc. OH grew its position in Amazon.com, Inc. (NASDAQ:AMZN – Free Report) by 1.8% in the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 2,316,400 shares of the e-commerce giant’s stock after buying an additional 41,788 shares during the quarter. Amazon.com makes up approximately 2.8% of Fort Washington Investment Advisors Inc. OH’s portfolio, making the stock its 8th largest position. Fort Washington Investment Advisors Inc. OH’s holdings in Amazon.com were worth $577,131,000 at the end of the most recent reporting period.
Other institutional investors have also made changes to their positions in the company. TOP Private Wealth LLC. acquired a new position in Amazon.com in the 2nd quarter worth approximately $29,000. Bard Associates Inc. purchased a new position in Amazon.com during the 2nd quarter worth approximately $32,000. Longfellow Investment Management Co. LLC purchased a new position in Amazon.com during the 2nd quarter worth approximately $33,000. Atomic Invest LLC raised its stake in Amazon.com by 41.2% during the 2nd quarter. Atomic Invest LLC now owns 168 shares of the e-commerce giant’s stock valued at $40,000 after purchasing an additional 49 shares during the period. Finally, Strategic Wealth Advisors LLC acquired a new stake in Amazon.com during the 2nd quarter valued at $68,000. 72.20% of the stock is owned by hedge funds and other institutional investors.
Analysts Set New Price Targets A number of research firms have recently issued reports on AMZN. BMO Capital Markets restated an “outperform” rating on shares of Amazon.com in a report on Tuesday. Wells Fargo & Company set a $329.00 target price on Amazon.com and gave the stock an “overweight” rating in a research report on Monday, October 12th. Needham & Company LLC reiterated a “buy” rating and set a $300.00 price target on shares of Amazon.com in a report on Friday, July 31st. Cantor Fitzgerald dropped their price target on Amazon.com from $320.00 to $310.00 and set an “overweight” rating on the stock in a research report on Monday, October 12th. Finally, Roth Capital reissued a “buy” rating and set a $325.00 price target on shares of Amazon.com in a research report on Monday, August 3rd. Fifty-seven analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $322.53.
View Our Latest Research Report on Amazon.com Amazon.com Stock Down 4.6% AMZN stock opened at $250.38 on Friday. Amazon.com, Inc. has a 12-month low of $196.00 and a 12-month high of $287.20. The company has a quick ratio of 0.87, a current ratio of 1.03 and a debt-to-equity ratio of 0.23. The company has a market cap of $2.70 trillion, a price-to-earnings ratio of 20.14, a PEG ratio of 2.03 and a beta of 1.45. The company has a 50 day moving average of $255.85 and a two-hundred day moving average of $253.33.
Amazon.com (NASDAQ:AMZN – Get Free Report) last issued its earnings results on Thursday, July 30th. The e-commerce giant reported $5.75 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.82 by $3.93. Amazon.com had a net margin of 17.44% and a return on equity of 18.00%. The company had revenue of $200.61 billion during the quarter, compared to analyst estimates of $197.03 billion. During the same quarter last year, the business posted $1.68 EPS. The company’s revenue for the quarter was up 19.6% on a year-over-year basis. On average, equities analysts anticipate that Amazon.com, Inc. will post 8.01 earnings per share for the current fiscal year.
Insiders Place Their Bets In related news, CEO Andrew R. Jassy sold 20,000 shares of Amazon.com stock in a transaction on Friday, August 21st. The stock was sold at an average price of $259.01, for a total transaction of $5,180,200.00. Following the completion of the sale, the chief executive officer owned 2,235,766 shares of the company’s stock, valued at approximately $579,085,751.66. This trade represents a 0.89% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Brian T. Olsavsky sold 6,172 shares of the business’s stock in a transaction dated Friday, August 21st. The shares were sold at an average price of $260.31, for a total value of $1,606,633.32. Following the completion of the transaction, the chief financial officer owned 109,207 shares in the company, valued at $28,427,674.17. This trade represents a 5.35% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 71,589 shares of company stock valued at $18,580,515 in the last three months. Company insiders own 8.90% of the company’s stock.
Key Headlines Impacting Amazon.com Here are the key news stories impacting Amazon.com this week:
Positive Sentiment: Strong AWS and AI growth remain the central bull case. AWS is reportedly expanding at its fastest pace in 18 quarters, while Amazon’s custom Trainium chips are being made available to PyTorch developers. Analysts see cloud growth, advertising, operating leverage and AI infrastructure as potential drivers of substantial long-term upside. Amazon AI growth and upside analysis Positive Sentiment: Institutional and analyst support provided a counterpoint. Morgan Stanley named Amazon a top pick and raised its price target, while Citadel increased its Amazon position. Jefferies also said warehouse automation and Amazon’s logistics network could improve retail margins over time. Citadel Amazon stake and AI bubble article Positive Sentiment: Amazon continues to expand strategic growth opportunities. The company is involved in a proposed 960-megawatt nuclear project in Indiana, and data indicate it is gaining fresh-grocery market share from traditional supermarkets. Amazon nuclear energy project Neutral Sentiment: Third-quarter results are the immediate focus. Wall Street expects earnings growth, but investors are watching AWS growth, operating margins, free cash flow and management’s outlook for capital expenditures. The company’s recent spending plans reportedly approach $200 billion to $220 billion, making the earnings call particularly important. Amazon earnings preview Negative Sentiment: AI investment is raising return-on-capital concerns. Reports say some Nvidia-powered server racks purchased by Amazon are sitting idle because data centers lack sufficient electricity, while Amazon has also abandoned a planned Virginia data-center campus. Such developments could delay monetization of its massive infrastructure spending. Amazon Nvidia chips and data-center power report Negative Sentiment: Competitive, regulatory and labor risks remain overhangs. Debate over whether AI is in a bubble, Walmart’s more open approach to AI-agent commerce, a proposed bill targeting subsidies for large AI data centers, and renewed Teamsters pressure on delivery rules could increase uncertainty or costs. Amazon and Walmart AI-agent commerce article Amazon.com Profile (Free Report)
Amazon.com, Inc is a global technology and e-commerce company founded by Jeff Bezos in 1994. Originally launched as an online bookstore, the company has expanded into a broad digital marketplace offering consumer products across numerous categories, including electronics, household goods, apparel, groceries and other merchandise. Amazon also sells products under its own brands and provides logistics, fulfillment and delivery services that support its retail operations and third-party sellers.
The company’s principal businesses include online and physical retail, Amazon Web Services (AWS), digital advertising, subscription services and consumer technology.
Featured Articles Five stocks we like better than Amazon.com Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding AMZN? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Amazon.com, Inc. (NASDAQ:AMZN – Free Report).
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AWS just posted its fastest growth in 18 quarters, yet Amazon shares still sit well below their 52-week high. The path to $500 by 2030 exists, but it hinges on one part of the business clearing a very high bar.
Amazon (NASDAQ:AMZN | AMZN Price Prediction | AMZN Price Prediction) runs the world’s biggest cloud platform, and that cloud is speeding up again. AWS revenue reached $42.23B in Q2 FY26, up 37% YoY. That was its fastest growth in 18 quarters.
The stock is up 13.97% this year, which still trails what the business is doing. CEO Andy Jassy now says AWS could become “a trillion-dollar annual revenue business for us in time.” So can Amazon reach $500 per share by 2030?
Spending Fears Are Holding Amazon Back Right Now
Capex is the concern. Amazon raised its 2026 cash capex estimate to roughly $220 billion, up from about $200 billion, and cited higher memory costs. Free cash flow turned negative at -$7.6B TTM. Q3 guidance calls for only 9-12% sales growth, partly because Prime Day moved into Q2.
CNBC this week called it a “stumbling stock” that needs a path back to record highs. Shares sit at $262.59, below the 52-week high of $287.20. The past week (+1.74%) and month (+3.69%) show only a small rebound. With a beta of 1.456, the stock tends to amplify market moves.
Analysts Are Bullish, but Their Targets Stop Too Soon
Wall Street’s consensus target is $331.46. The ratings include 16 Strong Buys, 43 Buys, 2 Holds, along with 0 Sells. The model puts shares at $334.91, a 27.54% gain. The bear case sits at $287.36, while the bull case reaches $386.57. Confidence in the model is 0.7, which is fairly high.
The consensus looks too short-sighted. Sentiment is 97% bullish, yet earnings growth adds only 0.03 to the factor after a mega-cap drag. One-year targets also leave out the AWS backlog. Our five-year base case puts shares at $489.98 by October 2030.
Here’s What It Takes for Amazon to Reach $500
Getting from today’s price of $262.59 to $500 would take a gain of 90.4%.
Consensus FY2027 EPS is $10.5519. At $500, that is a forward P/E of 47x. The $334.91 estimate works out to 32x on the same EPS, so the bold target needs roughly 16x of additional multiple expansion.
That gap closes if earnings compound through 2030. The highest FY2027 estimate is $15.0435, and at that level $500 is only 33x. The model’s 1.102 adjustment factor reflects “strong earnings acceleration.”
AWS backlog stands at $496 billion and is growing triple digits. The AI and chips businesses each run above $25 billion annualized. Anthropic and OpenAI have signed multi-year, multi-gigawatt Trainium commitments. Jassy added: “We will still not have enough capacity to meet all the demand we have in 2026.”
A key risk is that capex keeps climbing faster than AWS revenue and delays the free cash flow recovery past 2030.
Where Amazon Trades Today vs Its Earnings Power
Amazon trades at about 25x FY2027 EPS, versus a trailing P/E of 36x. For a company whose largest profit engine is growing 37% with a 39.4% operating margin, that multiple looks reasonable.
Shares sit inside a 52-week range of $196 to $287.20. The 10-year return is 542.43%. Today’s valuation gives earnings growth room to carry most of the load toward $500.
$500 Is a Stretch, but Here’s Why It’s Possible
A $500 price needs a 90.4% gain. My conclusion is that this is ambitious yet credible. Three things have to go right. AWS has to keep growing above 30%.
AI margins have to follow the core cloud path, which Jassy says is happening “a little ahead” of schedule. And revenue growth has to outpace capex so free cash flow turns positive again. A recession that hits enterprise cloud budgets would knock this off course.
Such returns shouldn’t be expected every year, but we’ve outlined the plan for how Amazon could reach $500 in 2030.
Contact [email protected] for any questions or corrections.
Capasso Planning Partners LLC acquired a new position in shares of Microsoft Corporation (NASDAQ:MSFT – Free Report) during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 2,554 shares of the software giant’s stock, valued at approximately $953,000. Microsoft makes up about 0.5% of Capasso Planning Partners LLC’s portfolio, making the stock its 17th largest position.
A number of other hedge funds and other institutional investors have also bought and sold shares of the business. Bank of America Corp DE bought a new stake in shares of Microsoft in the 2nd quarter worth approximately $27,338,370,000. Legal & General Group Plc bought a new position in Microsoft during the 2nd quarter valued at approximately $18,306,443,000. Amundi increased its position in Microsoft by 30.8% during the 1st quarter. Amundi now owns 41,675,076 shares of the software giant’s stock valued at $15,426,862,000 after buying an additional 9,814,598 shares in the last quarter. Dimensional Fund Advisors LP increased its position in Microsoft by 10.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 29,323,744 shares of the software giant’s stock valued at $10,852,884,000 after buying an additional 2,784,809 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership raised its stake in Microsoft by 64.3% during the first quarter. Arrowstreet Capital Limited Partnership now owns 24,264,779 shares of the software giant’s stock valued at $8,982,083,000 after buying an additional 9,493,778 shares during the last quarter. Hedge funds and other institutional investors own 71.13% of the company’s stock.
Analyst Ratings Changes A number of equities research analysts have recently commented on the company. Bank of America increased their target price on Microsoft from $500.00 to $600.00 and gave the stock a “buy” rating in a research note on Tuesday, September 1st. Melius Research set a $665.00 price target on shares of Microsoft and gave the stock a “buy” rating in a research note on Monday, October 5th. Cantor Fitzgerald increased their price objective on shares of Microsoft from $522.00 to $608.00 and gave the company an “overweight” rating in a research report on Monday, September 21st. Royal Bank Of Canada restated an “outperform” rating on shares of Microsoft in a research note on Thursday, September 10th. Finally, Weiss Ratings upgraded shares of Microsoft from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, October 8th. Forty-three equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat, Microsoft currently has an average rating of “Moderate Buy” and a consensus price target of $592.15.
View Our Latest Stock Report on MSFT Microsoft Trading Down 2.2% Microsoft stock opened at $521.08 on Friday. Microsoft Corporation has a one year low of $349.20 and a one year high of $553.72. The business’s fifty day moving average is $507.93 and its 200 day moving average is $445.62. The stock has a market capitalization of $3.87 trillion, a PE ratio of 29.01, a price-to-earnings-growth ratio of 1.71 and a beta of 1.10. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.23 and a quick ratio of 1.22.
Microsoft (NASDAQ:MSFT – Get Free Report) last posted its earnings results on Wednesday, July 29th. The software giant reported $4.74 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.24 by $0.50. The business had revenue of $90.01 billion for the quarter, compared to analysts’ expectations of $87.62 billion. Microsoft had a net margin of 40.31% and a return on equity of 31.98%. The business’s revenue for the quarter was up 17.7% compared to the same quarter last year. During the same quarter in the prior year, the business earned $3.65 EPS. On average, sell-side analysts predict that Microsoft Corporation will post 19.65 EPS for the current year.
Microsoft Increases Dividend The business also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Thursday, November 19th will be issued a dividend of $0.98 per share. The ex-dividend date of this dividend is Thursday, November 19th. This is a positive change from Microsoft’s previous quarterly dividend of $0.91. This represents a $3.92 annualized dividend and a dividend yield of 0.8%. Microsoft’s dividend payout ratio is presently 20.27%.
More Microsoft News Here are the key news stories impacting Microsoft this week:
Positive Sentiment: Microsoft’s AI diagnostic system reportedly diagnosed complex medical cases more than twice as often as generalist physicians in a simulation published in Science. The result supports the company’s ambitions in healthcare and “medical superintelligence.” Microsoft AI medical diagnostic study Positive Sentiment: Reports highlighted strong underlying cloud momentum: Azure annual revenue has surpassed $100 billion, cloud-services growth reached 43%, and Microsoft’s commercial backlog rose to approximately $678 billion. These trends could support the investment case if the company demonstrates continued acceleration in its upcoming earnings report. Microsoft cloud demand and backlog Positive Sentiment: CEO Satya Nadella said Microsoft is reorganizing around AI agents, broader model choice and lower-cost computing. The strategy could expand Copilot and Azure adoption across business workflows. Microsoft AI agent strategy Positive Sentiment: A strategic collaboration with Boehringer Ingelheim will pursue AI-backed clinical development and digital patient twins, providing another potential application for Microsoft’s cloud and AI platforms. Microsoft and Boehringer Ingelheim partnership Neutral Sentiment: Investors are focused on next week’s fiscal first-quarter earnings report. Analysts expect double-digit earnings growth, but the market increasingly wants evidence that Azure growth can keep pace with rivals and justify Microsoft’s substantial AI infrastructure investments. Microsoft earnings preview Negative Sentiment: Microsoft’s large AI capital expenditures remain a key valuation risk. While spending may create a long-term competitive moat, investors are concerned that data-center and infrastructure costs could pressure near-term returns, especially amid higher interest rates and market volatility. Microsoft AI spending and investment risk Negative Sentiment: Xbox announced pricing for cloud streaming of games users already own, prompting concerns about consumer reaction and pressure on Microsoft’s gaming business. Xbox cloud gaming pricing Negative Sentiment: Former CEO Bill Gates warned that AI could bring roughly two decades of disruption, reinforcing investor concerns about an AI investment bubble and the potential for expensive projects to produce uncertain returns. Bill Gates AI disruption comments Insider Activity at Microsoft In related news, CEO Judson Althoff sold 10,000 shares of the company’s stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $487.89, for a total transaction of $4,878,900.00. Following the completion of the sale, the chief executive officer owned 100,447 shares in the company, valued at approximately $49,007,086.83. This represents a 9.05% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Amy Hood sold 41,674 shares of the firm’s stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $498.27, for a total transaction of $20,764,903.98. Following the completion of the transaction, the executive vice president directly owned 533,624 shares in the company, valued at approximately $265,888,830.48. The trade was a 7.24% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 150,314 shares of company stock valued at $75,404,992 over the last ninety days. Company insiders own 0.03% of the company’s stock.
Microsoft Profile (Free Report)
Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.
The company’s principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.
Read More Five stocks we like better than Microsoft Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding MSFT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Microsoft Corporation (NASDAQ:MSFT – Free Report).
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Henson Edgewater Management LLC bought a new stake in Microsoft Corporation (NASDAQ:MSFT – Free Report) during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm bought 19,151 shares of the software giant’s stock, valued at approximately $9,430,000. Microsoft accounts for about 5.3% of Henson Edgewater Management LLC’s portfolio, making the stock its 6th biggest holding.
Other large investors have also recently added to or reduced their stakes in the company. Empirical Financial Services LLC d.b.a. Empirical Wealth Management boosted its stake in Microsoft by 4.0% during the second quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 229,490 shares of the software giant’s stock valued at $85,604,000 after buying an additional 8,773 shares in the last quarter. D.B. Root & Company LLC acquired a new position in Microsoft during the second quarter worth about $3,652,000. Dearborn Partners LLC acquired a new position in Microsoft during the second quarter worth about $75,641,000. Markel Group Inc. grew its holdings in Microsoft by 0.4% during the first quarter. Markel Group Inc. now owns 537,630 shares of the software giant’s stock worth $199,014,000 after acquiring an additional 1,950 shares during the period. Finally, Bessemer Group Inc. raised its position in Microsoft by 8.4% in the first quarter. Bessemer Group Inc. now owns 6,921,677 shares of the software giant’s stock worth $2,562,197,000 after acquiring an additional 537,634 shares in the last quarter. 71.13% of the stock is currently owned by institutional investors and hedge funds.
Wall Street Analyst Weigh In MSFT has been the subject of several research reports. Deutsche Bank Aktiengesellschaft restated a “buy” rating and set a $600.00 price objective on shares of Microsoft in a research report on Monday, October 12th. Melius Research set a $665.00 price objective on shares of Microsoft and gave the stock a “buy” rating in a research note on Monday, October 5th. The Goldman Sachs Group reiterated a “buy” rating and issued a $640.00 target price on shares of Microsoft in a report on Thursday, July 30th. Raymond James Financial lowered shares of Microsoft from a “moderate buy” rating to a “strong sell” rating in a research note on Wednesday, September 23rd. Finally, CLSA reissued an “outperform” rating on shares of Microsoft in a research note on Thursday, July 30th. Forty-three research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, Microsoft has an average rating of “Moderate Buy” and an average target price of $592.15.
Read Our Latest Report on Microsoft More Microsoft News Here are the key news stories impacting Microsoft this week:
Positive Sentiment: Microsoft’s AI diagnostic system reportedly diagnosed complex medical cases more than twice as often as generalist physicians in a simulation published in Science. The result supports the company’s ambitions in healthcare and “medical superintelligence.” Microsoft AI medical diagnostic study Positive Sentiment: Reports highlighted strong underlying cloud momentum: Azure annual revenue has surpassed $100 billion, cloud-services growth reached 43%, and Microsoft’s commercial backlog rose to approximately $678 billion. These trends could support the investment case if the company demonstrates continued acceleration in its upcoming earnings report. Microsoft cloud demand and backlog Positive Sentiment: CEO Satya Nadella said Microsoft is reorganizing around AI agents, broader model choice and lower-cost computing. The strategy could expand Copilot and Azure adoption across business workflows. Microsoft AI agent strategy Positive Sentiment: A strategic collaboration with Boehringer Ingelheim will pursue AI-backed clinical development and digital patient twins, providing another potential application for Microsoft’s cloud and AI platforms. Microsoft and Boehringer Ingelheim partnership Neutral Sentiment: Investors are focused on next week’s fiscal first-quarter earnings report. Analysts expect double-digit earnings growth, but the market increasingly wants evidence that Azure growth can keep pace with rivals and justify Microsoft’s substantial AI infrastructure investments. Microsoft earnings preview Negative Sentiment: Microsoft’s large AI capital expenditures remain a key valuation risk. While spending may create a long-term competitive moat, investors are concerned that data-center and infrastructure costs could pressure near-term returns, especially amid higher interest rates and market volatility. Microsoft AI spending and investment risk Negative Sentiment: Xbox announced pricing for cloud streaming of games users already own, prompting concerns about consumer reaction and pressure on Microsoft’s gaming business. Xbox cloud gaming pricing Negative Sentiment: Former CEO Bill Gates warned that AI could bring roughly two decades of disruption, reinforcing investor concerns about an AI investment bubble and the potential for expensive projects to produce uncertain returns. Bill Gates AI disruption comments Microsoft Price Performance NASDAQ MSFT opened at $521.08 on Friday. The stock’s 50-day moving average price is $507.93 and its two-hundred day moving average price is $445.62. The company has a current ratio of 1.23, a quick ratio of 1.22 and a debt-to-equity ratio of 0.07. The company has a market cap of $3.87 trillion, a PE ratio of 29.01, a PEG ratio of 1.71 and a beta of 1.10. Microsoft Corporation has a 1 year low of $349.20 and a 1 year high of $553.72.
Microsoft (NASDAQ:MSFT – Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The software giant reported $4.74 EPS for the quarter, beating analysts’ consensus estimates of $4.24 by $0.50. Microsoft had a net margin of 40.31% and a return on equity of 31.98%. The company had revenue of $90.01 billion during the quarter, compared to analyst estimates of $87.62 billion. During the same period in the prior year, the firm earned $3.65 earnings per share. The business’s quarterly revenue was up 17.7% on a year-over-year basis. On average, analysts predict that Microsoft Corporation will post 19.65 EPS for the current year.
Microsoft Increases Dividend The company also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Thursday, November 19th will be issued a dividend of $0.98 per share. This is an increase from Microsoft’s previous quarterly dividend of $0.91. This represents a $3.92 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date is Thursday, November 19th. Microsoft’s dividend payout ratio (DPR) is presently 20.27%.
Insider Activity In related news, EVP Amy Hood sold 7,305 shares of the company’s stock in a transaction that occurred on Tuesday, October 13th. The shares were sold at an average price of $545.42, for a total value of $3,984,293.10. Following the completion of the sale, the executive vice president owned 555,396 shares in the company, valued at approximately $302,924,086.32. This represents a 1.30% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Judson Althoff sold 10,000 shares of the company’s stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $487.89, for a total transaction of $4,878,900.00. Following the completion of the sale, the chief executive officer owned 100,447 shares of the company’s stock, valued at approximately $49,007,086.83. This trade represents a 9.05% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 150,314 shares of company stock worth $75,404,992 over the last three months. 0.03% of the stock is owned by insiders.
Microsoft Profile (Free Report)
Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.
The company’s principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.
Read More Five stocks we like better than Microsoft Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding MSFT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Microsoft Corporation (NASDAQ:MSFT – Free Report).
Receive News & Ratings for Microsoft Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Microsoft and related companies with MarketBeat.com's FREE daily email newsletter.
Concorde Asset Management LLC purchased a new position in shares of Microsoft Corporation (NASDAQ:MSFT – Free Report) during the second quarter, according to its most recent 13F filing with the SEC. The institutional investor purchased 3,698 shares of the software giant’s stock, valued at approximately $1,379,000. Microsoft makes up 0.8% of Concorde Asset Management LLC’s holdings, making the stock its 15th largest holding.
Several other large investors also recently modified their holdings of MSFT. Bank of America Corp DE bought a new position in Microsoft in the second quarter worth approximately $27,338,370,000. Legal & General Group Plc bought a new stake in shares of Microsoft during the second quarter valued at approximately $18,306,443,000. Amundi increased its holdings in shares of Microsoft by 30.8% during the first quarter. Amundi now owns 41,675,076 shares of the software giant’s stock valued at $15,426,862,000 after acquiring an additional 9,814,598 shares in the last quarter. Dimensional Fund Advisors LP increased its holdings in shares of Microsoft by 10.5% during the first quarter. Dimensional Fund Advisors LP now owns 29,323,744 shares of the software giant’s stock valued at $10,852,884,000 after acquiring an additional 2,784,809 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership raised its position in shares of Microsoft by 64.3% during the first quarter. Arrowstreet Capital Limited Partnership now owns 24,264,779 shares of the software giant’s stock worth $8,982,083,000 after purchasing an additional 9,493,778 shares during the period. Institutional investors and hedge funds own 71.13% of the company’s stock.
Key Headlines Impacting Microsoft Here are the key news stories impacting Microsoft this week:
Positive Sentiment: Microsoft’s AI diagnostic system reportedly diagnosed complex medical cases more than twice as often as generalist physicians in a simulation published in Science. The result supports the company’s ambitions in healthcare and “medical superintelligence.” Microsoft AI medical diagnostic study Positive Sentiment: Reports highlighted strong underlying cloud momentum: Azure annual revenue has surpassed $100 billion, cloud-services growth reached 43%, and Microsoft’s commercial backlog rose to approximately $678 billion. These trends could support the investment case if the company demonstrates continued acceleration in its upcoming earnings report. Microsoft cloud demand and backlog Positive Sentiment: CEO Satya Nadella said Microsoft is reorganizing around AI agents, broader model choice and lower-cost computing. The strategy could expand Copilot and Azure adoption across business workflows. Microsoft AI agent strategy Positive Sentiment: A strategic collaboration with Boehringer Ingelheim will pursue AI-backed clinical development and digital patient twins, providing another potential application for Microsoft’s cloud and AI platforms. Microsoft and Boehringer Ingelheim partnership Neutral Sentiment: Investors are focused on next week’s fiscal first-quarter earnings report. Analysts expect double-digit earnings growth, but the market increasingly wants evidence that Azure growth can keep pace with rivals and justify Microsoft’s substantial AI infrastructure investments. Microsoft earnings preview Negative Sentiment: Microsoft’s large AI capital expenditures remain a key valuation risk. While spending may create a long-term competitive moat, investors are concerned that data-center and infrastructure costs could pressure near-term returns, especially amid higher interest rates and market volatility. Microsoft AI spending and investment risk Negative Sentiment: Xbox announced pricing for cloud streaming of games users already own, prompting concerns about consumer reaction and pressure on Microsoft’s gaming business. Xbox cloud gaming pricing Negative Sentiment: Former CEO Bill Gates warned that AI could bring roughly two decades of disruption, reinforcing investor concerns about an AI investment bubble and the potential for expensive projects to produce uncertain returns. Bill Gates AI disruption comments Microsoft Trading Down 2.2% Shares of Microsoft stock opened at $521.08 on Friday. The stock has a fifty day simple moving average of $507.93 and a 200 day simple moving average of $445.62. Microsoft Corporation has a 12-month low of $349.20 and a 12-month high of $553.72. The company has a market capitalization of $3.87 trillion, a P/E ratio of 29.01, a price-to-earnings-growth ratio of 1.71 and a beta of 1.10. The company has a current ratio of 1.23, a quick ratio of 1.22 and a debt-to-equity ratio of 0.07. Microsoft (NASDAQ:MSFT – Get Free Report) last issued its quarterly earnings data on Wednesday, July 29th. The software giant reported $4.74 earnings per share for the quarter, beating the consensus estimate of $4.24 by $0.50. The business had revenue of $90.01 billion for the quarter, compared to analysts’ expectations of $87.62 billion. Microsoft had a return on equity of 31.98% and a net margin of 40.31%. The business’s revenue was up 17.7% on a year-over-year basis. During the same period last year, the business earned $3.65 EPS. On average, sell-side analysts anticipate that Microsoft Corporation will post 19.65 earnings per share for the current fiscal year.
Microsoft Increases Dividend The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Shareholders of record on Thursday, November 19th will be given a $0.98 dividend. This represents a $3.92 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date of this dividend is Thursday, November 19th. This is a positive change from Microsoft’s previous quarterly dividend of $0.91. Microsoft’s payout ratio is currently 20.27%.
Insider Activity In other news, EVP Takeshi Numoto sold 4,810 shares of the business’s stock in a transaction that occurred on Tuesday, August 4th. The stock was sold at an average price of $496.48, for a total value of $2,388,068.80. Following the transaction, the executive vice president owned 42,677 shares in the company, valued at $21,188,276.96. The trade was a 10.13% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Satya Nadella sold 86,525 shares of the company’s stock in a transaction that occurred on Tuesday, September 1st. The shares were sold at an average price of $501.46, for a total value of $43,388,826.50. Following the completion of the transaction, the chief executive officer directly owned 486,763 shares of the company’s stock, valued at approximately $244,092,173.98. This represents a 15.09% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 150,314 shares of company stock worth $75,404,992. Corporate insiders own 0.03% of the company’s stock.
Wall Street Analyst Weigh In A number of equities analysts recently issued reports on the company. Jefferies Financial Group increased their target price on Microsoft from $575.00 to $650.00 and gave the stock a “buy” rating in a report on Wednesday, October 14th. Bank of America boosted their price target on shares of Microsoft from $500.00 to $600.00 and gave the company a “buy” rating in a research note on Tuesday, September 1st. Rothschild & Co Redburn set a $440.00 price objective on shares of Microsoft in a report on Monday, September 21st. Morgan Stanley downgraded shares of Microsoft from an “overweight” rating to a “negative” rating in a report on Monday, October 5th. Finally, Scotiabank raised their price objective on shares of Microsoft from $510.00 to $615.00 and gave the company an “outperform” rating in a research note on Monday, October 5th. Forty-three analysts have rated the stock with a Buy rating, four have given a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $592.15.
View Our Latest Stock Report on Microsoft
Microsoft Company Profile (Free Report)
Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.
The company’s principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.
Read More Five stocks we like better than Microsoft Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
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Glenview Trust Co acquired a new position in Microsoft Corporation (NASDAQ:MSFT – Free Report) in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm acquired 520,772 shares of the software giant’s stock, valued at approximately $194,258,000. Microsoft makes up approximately 1.8% of Glenview Trust Co’s holdings, making the stock its 9th largest position.
Other institutional investors and hedge funds have also made changes to their positions in the company. Strategic Wealth Advisors LLC grew its position in Microsoft by 1.7% in the second quarter. Strategic Wealth Advisors LLC now owns 1,473 shares of the software giant’s stock worth $549,000 after acquiring an additional 24 shares in the last quarter. Friedenthal Financial raised its position in Microsoft by 6.2% during the first quarter. Friedenthal Financial now owns 431 shares of the software giant’s stock valued at $160,000 after purchasing an additional 25 shares during the period. Sequent Planning LLC raised its position in Microsoft by 0.7% during the first quarter. Sequent Planning LLC now owns 3,733 shares of the software giant’s stock valued at $1,382,000 after purchasing an additional 25 shares during the period. Lee Johnson Capital Management LLC raised its position in Microsoft by 3.8% during the second quarter. Lee Johnson Capital Management LLC now owns 687 shares of the software giant’s stock valued at $256,000 after purchasing an additional 25 shares during the period. Finally, Riverpoint Wealth Management Holdings LLC lifted its stake in shares of Microsoft by 0.5% in the 1st quarter. Riverpoint Wealth Management Holdings LLC now owns 5,543 shares of the software giant’s stock valued at $2,052,000 after purchasing an additional 26 shares during the last quarter. 71.13% of the stock is owned by hedge funds and other institutional investors.
Key Microsoft News Here are the key news stories impacting Microsoft this week:
Positive Sentiment: Microsoft’s AI diagnostic system reportedly diagnosed complex medical cases more than twice as often as generalist physicians in a simulation published in Science. The result supports the company’s ambitions in healthcare and “medical superintelligence.” Microsoft AI medical diagnostic study Positive Sentiment: Reports highlighted strong underlying cloud momentum: Azure annual revenue has surpassed $100 billion, cloud-services growth reached 43%, and Microsoft’s commercial backlog rose to approximately $678 billion. These trends could support the investment case if the company demonstrates continued acceleration in its upcoming earnings report. Microsoft cloud demand and backlog Positive Sentiment: CEO Satya Nadella said Microsoft is reorganizing around AI agents, broader model choice and lower-cost computing. The strategy could expand Copilot and Azure adoption across business workflows. Microsoft AI agent strategy Positive Sentiment: A strategic collaboration with Boehringer Ingelheim will pursue AI-backed clinical development and digital patient twins, providing another potential application for Microsoft’s cloud and AI platforms. Microsoft and Boehringer Ingelheim partnership Neutral Sentiment: Investors are focused on next week’s fiscal first-quarter earnings report. Analysts expect double-digit earnings growth, but the market increasingly wants evidence that Azure growth can keep pace with rivals and justify Microsoft’s substantial AI infrastructure investments. Microsoft earnings preview Negative Sentiment: Microsoft’s large AI capital expenditures remain a key valuation risk. While spending may create a long-term competitive moat, investors are concerned that data-center and infrastructure costs could pressure near-term returns, especially amid higher interest rates and market volatility. Microsoft AI spending and investment risk Negative Sentiment: Xbox announced pricing for cloud streaming of games users already own, prompting concerns about consumer reaction and pressure on Microsoft’s gaming business. Xbox cloud gaming pricing Negative Sentiment: Former CEO Bill Gates warned that AI could bring roughly two decades of disruption, reinforcing investor concerns about an AI investment bubble and the potential for expensive projects to produce uncertain returns. Bill Gates AI disruption comments Microsoft Stock Down 2.2% Shares of NASDAQ MSFT opened at $521.08 on Friday. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.23 and a quick ratio of 1.22. The company has a market cap of $3.87 trillion, a P/E ratio of 29.01, a PEG ratio of 1.71 and a beta of 1.10. Microsoft Corporation has a 1 year low of $349.20 and a 1 year high of $553.72. The firm has a 50-day simple moving average of $507.93 and a two-hundred day simple moving average of $445.62. Microsoft (NASDAQ:MSFT – Get Free Report) last announced its earnings results on Wednesday, July 29th. The software giant reported $4.74 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.24 by $0.50. The business had revenue of $90.01 billion during the quarter, compared to analyst estimates of $87.62 billion. Microsoft had a return on equity of 31.98% and a net margin of 40.31%. The company’s revenue for the quarter was up 17.7% compared to the same quarter last year. During the same quarter in the previous year, the business earned $3.65 earnings per share. Research analysts anticipate that Microsoft Corporation will post 19.65 earnings per share for the current year.
Microsoft Increases Dividend The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be paid a dividend of $0.98 per share. The ex-dividend date of this dividend is Thursday, November 19th. This represents a $3.92 dividend on an annualized basis and a dividend yield of 0.8%. This is an increase from Microsoft’s previous quarterly dividend of $0.91. Microsoft’s dividend payout ratio is 20.27%.
Analysts Set New Price Targets MSFT has been the subject of a number of recent research reports. Argus dropped their target price on Microsoft from $620.00 to $510.00 and set a “buy” rating for the company in a report on Friday, July 10th. Weiss Ratings upgraded Microsoft from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, October 8th. Scotiabank increased their price target on Microsoft from $510.00 to $615.00 and gave the company an “outperform” rating in a report on Monday, October 5th. KeyCorp restated an “overweight” rating on shares of Microsoft in a research report on Thursday, September 3rd. Finally, Guggenheim reaffirmed a “buy” rating and set a $586.00 price objective on shares of Microsoft in a research note on Wednesday. Forty-three equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $592.15.
Read Our Latest Stock Report on Microsoft
Insiders Place Their Bets In other Microsoft news, CEO Satya Nadella sold 86,525 shares of the company’s stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $501.46, for a total value of $43,388,826.50. Following the transaction, the chief executive officer owned 486,763 shares of the company’s stock, valued at $244,092,173.98. This represents a 15.09% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Judson Althoff sold 10,000 shares of the stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $487.89, for a total value of $4,878,900.00. Following the completion of the sale, the chief executive officer owned 100,447 shares in the company, valued at approximately $49,007,086.83. The trade was a 9.05% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 150,314 shares of company stock worth $75,404,992 in the last 90 days. 0.03% of the stock is owned by insiders.
Microsoft Profile (Free Report)
Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.
The company’s principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.
Read More Five stocks we like better than Microsoft Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
Receive News & Ratings for Microsoft Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Microsoft and related companies with MarketBeat.com's FREE daily email newsletter.
Fox Hill Wealth Management acquired a new position in shares of Microsoft Corporation (NASDAQ:MSFT – Free Report) in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor acquired 44,074 shares of the software giant’s stock, valued at approximately $16,440,000. Microsoft accounts for about 6.6% of Fox Hill Wealth Management’s holdings, making the stock its largest holding.
A number of other hedge funds have also modified their holdings of MSFT. Empirical Financial Services LLC d.b.a. Empirical Wealth Management increased its stake in Microsoft by 4.0% in the 2nd quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 229,490 shares of the software giant’s stock valued at $85,604,000 after buying an additional 8,773 shares during the last quarter. D.B. Root & Company LLC bought a new stake in Microsoft during the 2nd quarter worth about $3,652,000. Dearborn Partners LLC acquired a new position in shares of Microsoft during the 2nd quarter worth about $75,641,000. Markel Group Inc. boosted its stake in shares of Microsoft by 0.4% during the 1st quarter. Markel Group Inc. now owns 537,630 shares of the software giant’s stock worth $199,014,000 after buying an additional 1,950 shares during the last quarter. Finally, Bessemer Group Inc. boosted its stake in shares of Microsoft by 8.4% during the 1st quarter. Bessemer Group Inc. now owns 6,921,677 shares of the software giant’s stock worth $2,562,197,000 after buying an additional 537,634 shares during the last quarter. 71.13% of the stock is currently owned by institutional investors.
Microsoft News Roundup Here are the key news stories impacting Microsoft this week:
Positive Sentiment: Microsoft’s AI diagnostic system reportedly diagnosed complex medical cases more than twice as often as generalist physicians in a simulation published in Science. The result supports the company’s ambitions in healthcare and “medical superintelligence.” Microsoft AI medical diagnostic study Positive Sentiment: Reports highlighted strong underlying cloud momentum: Azure annual revenue has surpassed $100 billion, cloud-services growth reached 43%, and Microsoft’s commercial backlog rose to approximately $678 billion. These trends could support the investment case if the company demonstrates continued acceleration in its upcoming earnings report. Microsoft cloud demand and backlog Positive Sentiment: CEO Satya Nadella said Microsoft is reorganizing around AI agents, broader model choice and lower-cost computing. The strategy could expand Copilot and Azure adoption across business workflows. Microsoft AI agent strategy Positive Sentiment: A strategic collaboration with Boehringer Ingelheim will pursue AI-backed clinical development and digital patient twins, providing another potential application for Microsoft’s cloud and AI platforms. Microsoft and Boehringer Ingelheim partnership Neutral Sentiment: Investors are focused on next week’s fiscal first-quarter earnings report. Analysts expect double-digit earnings growth, but the market increasingly wants evidence that Azure growth can keep pace with rivals and justify Microsoft’s substantial AI infrastructure investments. Microsoft earnings preview Negative Sentiment: Microsoft’s large AI capital expenditures remain a key valuation risk. While spending may create a long-term competitive moat, investors are concerned that data-center and infrastructure costs could pressure near-term returns, especially amid higher interest rates and market volatility. Microsoft AI spending and investment risk Negative Sentiment: Xbox announced pricing for cloud streaming of games users already own, prompting concerns about consumer reaction and pressure on Microsoft’s gaming business. Xbox cloud gaming pricing Negative Sentiment: Former CEO Bill Gates warned that AI could bring roughly two decades of disruption, reinforcing investor concerns about an AI investment bubble and the potential for expensive projects to produce uncertain returns. Bill Gates AI disruption comments Insiders Place Their Bets In other Microsoft news, CEO Judson Althoff sold 10,000 shares of the business’s stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $487.89, for a total transaction of $4,878,900.00. Following the transaction, the chief executive officer owned 100,447 shares of the company’s stock, valued at $49,007,086.83. The trade was a 9.05% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Takeshi Numoto sold 4,810 shares of the company’s stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $496.48, for a total value of $2,388,068.80. Following the completion of the sale, the executive vice president owned 42,677 shares in the company, valued at $21,188,276.96. This represents a 10.13% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 150,314 shares of company stock worth $75,404,992 in the last three months. 0.03% of the stock is owned by corporate insiders. Analyst Upgrades and Downgrades Several brokerages have recently weighed in on MSFT. Citizens Jmp restated a “market outperform” rating and issued a $550.00 price objective on shares of Microsoft in a report on Tuesday, September 15th. Mizuho upped their target price on Microsoft from $510.00 to $600.00 and gave the stock an “outperform” rating in a report on Thursday, October 15th. Piper Sandler reissued an “overweight” rating on shares of Microsoft in a research report on Tuesday. JPMorgan Chase & Co. restated a “buy” rating on shares of Microsoft in a research note on Monday, September 28th. Finally, William Blair started coverage on Microsoft in a research report on Monday, October 5th. They set an “outperform” rating on the stock. Forty-three analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $592.15.
Get Our Latest Research Report on MSFT
Microsoft Stock Performance Shares of MSFT opened at $521.08 on Friday. The company has a market cap of $3.87 trillion, a PE ratio of 29.01, a price-to-earnings-growth ratio of 1.71 and a beta of 1.10. The firm has a 50-day moving average of $507.93 and a 200-day moving average of $445.62. Microsoft Corporation has a one year low of $349.20 and a one year high of $553.72. The company has a debt-to-equity ratio of 0.07, a current ratio of 1.23 and a quick ratio of 1.22.
Microsoft (NASDAQ:MSFT – Get Free Report) last issued its earnings results on Wednesday, July 29th. The software giant reported $4.74 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.24 by $0.50. Microsoft had a net margin of 40.31% and a return on equity of 31.98%. The company had revenue of $90.01 billion for the quarter, compared to analysts’ expectations of $87.62 billion. During the same period in the prior year, the firm earned $3.65 EPS. Microsoft’s quarterly revenue was up 17.7% compared to the same quarter last year. As a group, equities analysts forecast that Microsoft Corporation will post 19.65 earnings per share for the current year.
Microsoft Increases Dividend The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Thursday, November 19th will be issued a dividend of $0.98 per share. The ex-dividend date is Thursday, November 19th. This is an increase from Microsoft’s previous quarterly dividend of $0.91. This represents a $3.92 dividend on an annualized basis and a yield of 0.8%. Microsoft’s dividend payout ratio is 20.27%.
About Microsoft (Free Report)
Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.
The company’s principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.
Read More Five stocks we like better than Microsoft Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
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Denver PWM LLC bought a new position in shares of Microsoft Corporation (NASDAQ:MSFT – Free Report) during the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The institutional investor bought 5,618 shares of the software giant’s stock, valued at approximately $2,783,000. Microsoft makes up approximately 0.9% of Denver PWM LLC’s portfolio, making the stock its 12th largest position.
A number of other hedge funds and other institutional investors also recently bought and sold shares of the company. Bank of America Corp DE purchased a new position in shares of Microsoft in the second quarter valued at approximately $27,338,370,000. Legal & General Group Plc acquired a new position in shares of Microsoft in the second quarter valued at approximately $18,306,443,000. Amundi increased its stake in Microsoft by 30.8% during the 1st quarter. Amundi now owns 41,675,076 shares of the software giant’s stock worth $15,426,862,000 after buying an additional 9,814,598 shares during the period. Dimensional Fund Advisors LP increased its stake in Microsoft by 10.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 29,323,744 shares of the software giant’s stock worth $10,852,884,000 after buying an additional 2,784,809 shares during the period. Finally, Arrowstreet Capital Limited Partnership increased its stake in Microsoft by 64.3% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 24,264,779 shares of the software giant’s stock worth $8,982,083,000 after buying an additional 9,493,778 shares during the period. 71.13% of the stock is currently owned by hedge funds and other institutional investors.
Insider Activity In other news, CEO Judson Althoff sold 10,000 shares of Microsoft stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $487.89, for a total transaction of $4,878,900.00. Following the completion of the sale, the chief executive officer directly owned 100,447 shares of the company’s stock, valued at approximately $49,007,086.83. The trade was a 9.05% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Amy Hood sold 7,305 shares of the business’s stock in a transaction on Tuesday, October 13th. The stock was sold at an average price of $545.42, for a total transaction of $3,984,293.10. Following the transaction, the executive vice president owned 555,396 shares of the company’s stock, valued at approximately $302,924,086.32. The trade was a 1.30% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 150,314 shares of company stock valued at $75,404,992 in the last 90 days. Company insiders own 0.03% of the company’s stock.
Analyst Upgrades and Downgrades A number of equities research analysts have issued reports on the stock. Weiss Ratings upgraded shares of Microsoft from a “hold (c+)” rating to a “buy (b-)” rating in a report on Thursday, October 8th. Melius Research set a $665.00 price target on shares of Microsoft and gave the stock a “buy” rating in a research note on Monday, October 5th. Truist Financial reaffirmed a “buy” rating and set a $575.00 price objective on shares of Microsoft in a research report on Wednesday, July 22nd. Rothschild & Co Redburn set a $440.00 price objective on Microsoft in a research note on Monday, September 21st. Finally, Yorkville Ives started coverage on Microsoft in a report on Monday, October 5th. They issued an “outperform” rating and a $615.00 target price for the company. Forty-three research analysts have rated the stock with a Buy rating, four have given a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, Microsoft currently has an average rating of “Moderate Buy” and an average target price of $592.15. Read Our Latest Stock Analysis on Microsoft
Microsoft Stock Down 2.2% Shares of NASDAQ:MSFT opened at $521.08 on Friday. The firm’s 50 day moving average price is $507.93 and its 200 day moving average price is $445.62. The stock has a market cap of $3.87 trillion, a price-to-earnings ratio of 29.01, a price-to-earnings-growth ratio of 1.71 and a beta of 1.10. Microsoft Corporation has a fifty-two week low of $349.20 and a fifty-two week high of $553.72. The company has a quick ratio of 1.22, a current ratio of 1.23 and a debt-to-equity ratio of 0.07.
Microsoft (NASDAQ:MSFT – Get Free Report) last posted its quarterly earnings results on Wednesday, July 29th. The software giant reported $4.74 EPS for the quarter, topping the consensus estimate of $4.24 by $0.50. Microsoft had a net margin of 40.31% and a return on equity of 31.98%. The company had revenue of $90.01 billion during the quarter, compared to analysts’ expectations of $87.62 billion. During the same quarter in the previous year, the business posted $3.65 EPS. The firm’s revenue was up 17.7% on a year-over-year basis. As a group, equities research analysts predict that Microsoft Corporation will post 19.65 earnings per share for the current fiscal year.
Microsoft Increases Dividend The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Thursday, November 19th will be given a dividend of $0.98 per share. This is an increase from Microsoft’s previous quarterly dividend of $0.91. The ex-dividend date of this dividend is Thursday, November 19th. This represents a $3.92 annualized dividend and a dividend yield of 0.8%. Microsoft’s dividend payout ratio is presently 20.27%.
Key Stories Impacting Microsoft Here are the key news stories impacting Microsoft this week:
Positive Sentiment: Microsoft’s AI diagnostic system reportedly diagnosed complex medical cases more than twice as often as generalist physicians in a simulation published in Science. The result supports the company’s ambitions in healthcare and “medical superintelligence.” Microsoft AI medical diagnostic study Positive Sentiment: Reports highlighted strong underlying cloud momentum: Azure annual revenue has surpassed $100 billion, cloud-services growth reached 43%, and Microsoft’s commercial backlog rose to approximately $678 billion. These trends could support the investment case if the company demonstrates continued acceleration in its upcoming earnings report. Microsoft cloud demand and backlog Positive Sentiment: CEO Satya Nadella said Microsoft is reorganizing around AI agents, broader model choice and lower-cost computing. The strategy could expand Copilot and Azure adoption across business workflows. Microsoft AI agent strategy Positive Sentiment: A strategic collaboration with Boehringer Ingelheim will pursue AI-backed clinical development and digital patient twins, providing another potential application for Microsoft’s cloud and AI platforms. Microsoft and Boehringer Ingelheim partnership Neutral Sentiment: Investors are focused on next week’s fiscal first-quarter earnings report. Analysts expect double-digit earnings growth, but the market increasingly wants evidence that Azure growth can keep pace with rivals and justify Microsoft’s substantial AI infrastructure investments. Microsoft earnings preview Negative Sentiment: Microsoft’s large AI capital expenditures remain a key valuation risk. While spending may create a long-term competitive moat, investors are concerned that data-center and infrastructure costs could pressure near-term returns, especially amid higher interest rates and market volatility. Microsoft AI spending and investment risk Negative Sentiment: Xbox announced pricing for cloud streaming of games users already own, prompting concerns about consumer reaction and pressure on Microsoft’s gaming business. Xbox cloud gaming pricing Negative Sentiment: Former CEO Bill Gates warned that AI could bring roughly two decades of disruption, reinforcing investor concerns about an AI investment bubble and the potential for expensive projects to produce uncertain returns. Bill Gates AI disruption comments Microsoft Company Profile (Free Report)
Microsoft Corporation (NASDAQ:MSFT) is a global technology company that develops software, cloud services, devices and digital platforms. Its products and services are used by consumers, businesses, governments and educational institutions worldwide.
The company’s principal offerings include the Windows operating system; Microsoft 365 productivity applications such as Word, Excel, Teams and Outlook; Azure cloud computing and infrastructure services; Dynamics business applications; and enterprise security solutions.
Read More Five stocks we like better than Microsoft Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding MSFT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Microsoft Corporation (NASDAQ:MSFT – Free Report).
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Microsoft Corporation (NASDAQ:MSFT) shares are in the spotlight, with earnings on deck, Azure growth and capital spending in focus, recent analyst activity, a technical setup showing a short-term cooldown and Edge Rankings all drawing attention.
Microsoft shares are feeling bearish pressure. Where is MSFT stock headed? Earnings Preview & HistoryMicrosoft is scheduled to report fiscal first-quarter earnings on Oct. 28 after the market closes. Analysts estimate earnings per share of $4.72 along with revenue of $90.69 billion. For the prior quarter, Microsoft reported earnings per share of $4.74, beating the consensus estimate of $4.24. The company also posted revenue of $90.01 billion, beating the consensus estimate of $87.62 billion.
What to Watch: Azure Growth, AI Spending and Microsoft 365 Copilot MomentumInvestors will be closely tracking Azure, which grew 43% in the fourth quarter, after Microsoft guided to about 45% in constant currency for the first quarter and said growth should keep accelerating through the first half of fiscal 2027. Quarterly revenue is guided to $89.85 billion to $90.95 billion, up 16% to 17%. Capital spending will be in focus too. Microsoft said first-quarter capex would exceed $50 billion and kept its calendar 2026 capex outlook at about $175 billion, down from about $190 billion in April.
Free cash flow fell 23% in the fourth quarter on heavy spending, and management expects it to stay positive in fiscal 2027. Commercial remaining performance obligation rose 84% to $678 billion, and Microsoft 365 Copilot passed 30 million paid seats, so the pace of both will be watched. Shares jumped about 25% over two days after the last report, per FinancialGurkha.
Analyst Consensus & Recent Actions The stock carries a Buy rating with an average price forecast of $605.65. Recent analyst moves include:
Guggenheim: Buy (Maintains Target to $586.00) (Oct. 21) BMO Capital: Outperform (Raises Target to $600.00) (Oct. 20) Bernstein: Outperform (Raises Target to $662.00) (Oct. 19) Microsoft Trades 2.1% Above Its 50-Day Average, With an August Golden Cross IntactFrom a trend perspective, Microsoft is still in a constructive longer-term setup: it’s trading about 2.1% above its 50-day SMA ($508.31) and well above its 100-day SMA ($459.86) and 200-day SMA ($436.49). At the same time, it’s now about 1.4% below its 20-day SMA ($526.41), which frames this move as a short-term cooldown inside a broader uptrend.
RSI is the cleaner momentum read right now, sitting at 48.07, which points to neutral momentum rather than an overbought or oversold extreme. Simply put, RSI helps gauge whether recent buying or selling has become "stretched," and this reading suggests neither side has clear control.
The moving-average structure still leans bullish, with the 20-day SMA above the 50-day SMA and the golden cross that formed in August (50-day SMA above the 200-day SMA) still intact. Traders will be watching whether this dip stays "above the 50-day" (trend support) or turns into a deeper mean-reversion move.
Key Resistance: $551.00 — a round-number area sitting just below the 52-week high zone ($553.72), where rallies can stall Key Support: $486.00 — a nearby downside level that lines up as a prior buyer-defense zone if selling pressure builds Benzinga Edge RankingsBelow is the Benzinga Edge scorecard for Microsoft, highlighting its strengths and weaknesses compared to the broader market:
Momentum: Bullish (Score: 86.92) — The stock is showing strong relative strength versus the broader market despite today’s dip. Quality: Bullish (Score: 86.65) — The scorecard suggests strong underlying business quality versus most peers. Value: Weak (Score: 20.03) — Valuation looks expensive versus the market, which can make the stock more sensitive during selloffs. Growth: Bullish (Score: 96.52) — Expectations for growth remain a key pillar supporting the longer-term trend. The Verdict: Microsoft’s Benzinga Edge signal reveals a classic High-Flyer setup, with growth and momentum doing most of the heavy lifting while value screens poorly. For longer-term bulls, the main question is whether the stock can hold trend support into earnings, because premium names can see sharper swings when sentiment turns.
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Microsoft Shares Trade FlatMSFT Price Action: At the time of publication, Microsoft shares are trading 0.19% lower at $520.07, according to data from Benzinga Pro.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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Wall Street analysts expect Microsoft (MSFT - Free Report) to post quarterly earnings of $4.71 per share in its upcoming report, which indicates a year-over-year increase of 14%. Revenues are expected to be $90.58 billion, up 16.6% from the year-ago quarter.
The consensus EPS estimate for the quarter has undergone an upward revision of 0.4% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
With that in mind, let's delve into the average projections of some Microsoft metrics that are commonly tracked and projected by analysts on Wall Street.
The consensus among analysts is that 'Revenue- Product' will reach $17.94 billion. The estimate indicates a change of +12.7% from the prior-year quarter.
Analysts' assessment points toward 'Revenue- Service and other' reaching $72.55 billion. The estimate indicates a change of +17.5% from the prior-year quarter.
Based on the collective assessment of analysts, 'Percentage Change Y/Y (GAAP)- Revenue' should arrive at 16.6%. Compared to the present estimate, the company reported 18.0% in the same quarter last year.
Analysts predict that the 'Long-term unearned revenue' will reach $4.12 billion. The estimate is in contrast to the year-ago figure of $2.55 billion.
Analysts forecast 'Short-term unearned revenue' to reach $65.30 billion. The estimate is in contrast to the year-ago figure of $58.99 billion.
View all Key Company Metrics for Microsoft here>>>
Over the past month, Microsoft shares have recorded returns of +4.7% versus the Zacks S&P 500 composite's -1.2% change. Based on its Zacks Rank #3 (Hold), MSFT will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Focus List MethodologyWhen stocks are picked for the Focus List, it reflects our enduring reliance on the power of earnings estimate revisions.
Brokerage analysts are in charge of determining a company's growth and profitability expectations, or earnings estimates. These analysts work together with company management to evaluate all factors that may affect future earnings, like interest rates, the economy, and sector and industry optimism.
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The Zacks Rank consists of four main pillars: Agreement, Magnitude, Upside, and Surprise. Each one is given a raw score, which is recalculated every night and compiled into the Rank. Then, stocks are classified into five groups, ranging from "Strong Buy" to "Strong Sell," using this data.
The Focus List is comprised of stocks hand-picked from a long list of #1 (Strong Buy) or #2 (Buy) ranked companies, meaning that each new addition boasts a bullish earnings consensus among analysts.
Because stock prices react to revisions, buying stocks with rising earnings estimates can be very profitable. Focus List stocks offer investors a great opportunity to get into companies whose future earnings estimates will be raised, potentially leading to price momentum.
Focus List Spotlight: Microsoft (MSFT - Free Report) Redmond, WA-based Microsoft Corporation is one of the largest broad-based technology providers in the world. The company holds the leading position in the PC software market with its Windows operating system.
MSFT, a #3 (Hold) stock, was added to the Focus List on February 1, 2016 at $55.09 per share. Since then, shares have increased 845.87% to $521.08.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2027, while the Zacks Consensus Estimate has increased $0.04 to $19.65. MSFT also boasts an average earnings surprise of 9.3%.
Earnings for MSFT are forecasted to see growth of 9.5% for the current fiscal year as well.
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Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
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Stock to Watch: Advanced Micro Devices (AMD - Free Report) Advanced Micro Devices has strengthened its position in the semiconductor market on the back of its strong product portfolio. Santa Clara, CA-based AMD generated revenues of $34.64 billion in 2025. The company reports operations under three segments – Data Center, Client and Gaming, and Embedded – which accounted for 48%, 42%, and 10% of revenues, respectively.
AMD is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.
Additionally, the company could be a top pick for growth investors. AMD has a Growth Style Score of A, forecasting year-over-year earnings growth of 81.1% for the current fiscal year.
Five analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.00 to $7.55 per share. AMD boasts an average earnings surprise of +6.7%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, AMD should be on investors' short list.
AMD has surged 156% this year as AI contracts rolled in, but one unproven product cycle could either justify a run past $689 or expose just how much faith is already baked into the stock.
Advanced Micro Devices (NASDAQ:AMD | AMD Price Prediction) shares are trading at $549.35 this morning. Our 24/7 Wall St. price target for AMD is $546.06 over the next 12 months. That implies 0.6% downside, so our model rates the stock a hold. Confidence is high, at 90%.
24/7 Wall St. Price Target Summary Metric Value Current Price $549.35 Price Target from 24/7 Wall St. $546.06 Upside/Downside -0.6% Recommendation HOLD Confidence Level 90% The stock is up 156.51% year to date as the AI accelerator story moved from plans to signed contracts. Our model says most of that good news is already in the price.
One growth opportunity, the Helios rack-scale AI ramp, is the swing factor that could push shares well past our target.
Why We Could Be Wrong The 24/7 Wall St. price target sits just below where AMD trades today. Real upside could come from Helios shipments ramping faster than planned, or from server CPU demand that management says is exceeding supply.
Consider our target one datapoint among many. A detailed bull case appears below.
A 9% Pullback Interrupts a 156% Rally AMD fell 9.28% over the past week and 1.87% over the past month. Shares now sit 16.6% below the 52-week high of $658.52, though still far above the $188.22 low.
Fundamentals support much of the run. Second-quarter revenue rose 50.1% to $11.54 billion, beating the $11.31 billion consensus, and non-GAAP EPS of $1.66 exceeded the $1.61 estimate. Data Center revenue jumped 107% to $6.72 billion. Third-quarter guidance calls for about $13 billion, plus or minus $300 million.
Helios Could Drive a Run to $689 AMD holds gigawatt-scale commitments from OpenAI (6 gigawatts), Meta Platforms (NASDAQ:META) (up to 6 GW) and Anthropic (up to 2 gigawatts of MI450 GPUs, starting in the first half of 2027). Microsoft (NASDAQ:MSFT) plans Helios at scale on Azure.
CEO Lisa Su said in August that “customer pull for Helios is very strong and tracking ahead of our initial forecast,” with revenue per gigawatt in the “double-digit billions.”
Management expects Data Center revenue to more than double in 2027 and projects the AI accelerator market reaching about $1.4 trillion by 2030. Analysts agree: 45 rate AMD a buy or strong buy, none rate it a sell, and the consensus target is $627.65. Our bull scenario reaches $689.35.
Valuation Leaves Little Margin for Stumbles At 137x trailing earnings, AMD needs clean execution. Management noted supply limits on wafers, packaging and HBM, plus early Helios yields. Gaming revenue fell 31%, and Q2 free cash flow slipped 9.89% as capex jumped 186.52%. Export controls already cost an $800M MI308 charge.
Counterpoint: that capex funds the Helios ramp, and the 40x forward P/E looks far more reasonable. Our bear scenario lands at $433.06.
How AMD Compares to NVIDIA and Broadcom NVIDIA (NASDAQ:NVDA) is AMD’s direct AI accelerator rival. Its latest quarterly revenue rose 105.85% to $96.22 billion, yet it trades at just 44x earnings. Faster growth at a lower multiple caps how much premium AMD deserves.
Broadcom (NASDAQ:AVGO) competes for the same hyperscaler budgets with custom accelerators. AI semiconductor revenue grew 221% to $16.7 billion, showing how the market rewards proven AI scale.
Company Trailing P/E Latest Quarter Revenue Growth AMD 137x 50.1% NVIDIA 44x 105.85% Broadcom n/a 85.5% Against this group, our target looks reasonable.
Our HOLD Rating Stands, With Helios as the Trigger The 24/7 Wall St. price target of $546.06 and hold rating carry 90% confidence. Valuation tips the scale.
I would turn more positive if Q3 results confirm the Helios step-up and guidance tops $13 billion. I would stay cautious if supply or yield problems push the ramp further into 2027. Today, AMD is fairly valued.
Year Price Target (Base) from 24/7 Wall St. Bull Case 2026 $557.08 $565.62 2027 $546.06 $689.35 2028 $580.42 $768.63 2029 $601.18 $833.38 2030 $606.62 $889.79 The projections rest on AMD continuing to execute on its current AI strategy. A faster MI500 ramp would move results toward the bull column, while tighter export controls or HBM shortages could pull them lower.
The accelerator story also keeps pulling in the companies that power and cool the racks, which is why we put together a report on seven AI infrastructure suppliers that aren’t chipmakers.
Contact [email protected] for any questions or corrections.
Key Takeaways Nokia's Q3 earnings call signaled 25-30% Optical and IP Networks growth in 2027, driven by AI demand.AI and cloud sales surged 123%, while supply constraints drove NOK to expand optical manufacturing capacity.Nokia upheld its 2026 profit outlook despite margin pressures, cash outflows and higher restructuring costs.
Nokia Oyj (NOK - Free Report) emphasized accelerating AI infrastructure demand, improving operating leverage and capacity expansion during its third-quarter 2026 earnings call. Management outlined stronger growth expectations for Optical and IP Networks in 2027 while acknowledging supply constraints and near-term profitability pressures.
Nokia’s third-quarter 2026 comparable profit from continuing operations was $0.10 per share, which beat the Zacks Consensus Estimate of $0.08. Net sales of $5.93 billion also surpassed the consensus estimate of $5.80 billion. Management maintained its full-year operating profit outlook despite increased restructuring and working capital requirements.
NOK Sees Stronger AI and Cloud DemandPresident and CEO Justin Hotard highlighted AI and cloud as Nokia's fastest-growing customer segment, with sales increasing 123% year over year and representing 12% of group revenues. Gross order intake climbed 118% to €1.5 billion.
IP Networks revenues grew 43%, while Optical Networks expanded 18%, reflecting hyperscaler demand and increasing investment in data center connectivity.
Hotard expects combined Optical and IP Networks growth of 25-30% in 2027. During discussions with Raymond James, he emphasized that demand extends beyond 2027, although the company's formal projection covers next year.
Nokia Expands Optical Capacity Amid Supply ConstraintsHotard acknowledged that demand continues to exceed supply across Optical and IP Networks. Shipments of 800-gig coherent pluggables more than doubled sequentially, supported by design wins involving 29 customers.
Nokia's San Jose indium phosphide manufacturing facility remains scheduled to begin production before year-end. Management reported completing 90% of process development, with production yields and output becoming important milestones during 2027.
Responding to BNP Paribas, Hotard described the planned Chandler manufacturing facility as a longer-term capacity investment targeting a 2029 timeframe. Its production capabilities will depend on emerging customer requirements.
NOK Targets Margin Recovery as New Products ScaleChief financial officer Marco Wiren attributed Network Infrastructure's gross margin decline to product mix and initial costs associated with ramping AI-focused IP products. Segment gross margin fell 150 basis points to 41.2%.
During questioning from Danske Bank, Wiren characterized these pressures as temporary, expecting improvement in the fourth quarter as production volumes increase and pricing discipline supports profitability.
Comparable group operating margin nevertheless expanded 220 basis points to 11.7%. Management emphasized that scaling AI infrastructure revenues should generate additional operating leverage despite near-term manufacturing costs.
Nokia Faces Higher Cash RequirementsWiren reported negative free cash flow of €99 million, reflecting restructuring payments, higher receivables and inventory accumulation.
Management plans an additional €400 million working capital investment during 2026 to secure supplies and support anticipated growth next year. Consequently, Nokia lowered its free cash flow conversion assumption to 35-55%.
Restructuring charges are now expected to reach approximately €1.1 billion, with associated cash outflows of €800-€900 million. Accelerated restructuring and integration efforts aim to establish a more efficient operating cost structure.
NOK Maintains Caution on Mobile InfrastructureMobile Infrastructure sales increased 5%, supported by 10% growth in Radio Networks. However, management clarified that some deliveries originally expected in the fourth quarter occurred earlier.
Responding to DNB Carnegie, Hotard rejected the characterization of these deliveries as customer prebuying. He reiterated that Nokia does not anticipate an imminent broader telecom investment cycle.
Management expects the overall telecom market to remain broadly flat. Hotard also highlighted increasing component costs and supply shortages, while Wiren emphasized ongoing mitigation through commercial discipline and operational improvements.
Nokia Remains Focused on Execution and ProfitabilityManagement maintained its 2026 comparable operating profit outlook of €2.1 billion to €2.6 billion, expecting performance above the midpoint. Fourth-quarter revenues are projected to increase sequentially by 20-24%.
Hotard emphasized continued portfolio simplification and the Infinera integration, with €200 million in synergies targeted by year-end, one year ahead of schedule.
The overarching message centered on converting AI-driven demand into profitable growth while addressing capacity limitations, working capital pressures and restructuring requirements.
What NOK's Zacks Rank & Style Scores IndicateNOK currently carries a Zacks Rank #3 (Hold), indicating a neutral near-term earnings estimate revision outlook. Its Value Score of B reflects favorable valuation characteristics, while its Momentum Score of A indicates strong price momentum. However, its Growth Score of F signals comparatively weak growth characteristics. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The stock's VGM Score of C reflects a mixed overall assessment across value, growth and momentum. Although favorable individual scores highlight certain strengths, the combined ratings fall short of the highest-ranked Zacks combinations. The Zacks Rank remains subject to change as analysts revise earnings estimates following the latest quarterly results.
CMH Wealth Management LLC raised its stake in The Boeing Company (NYSE:BA – Free Report) by 3.9% during the third quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 74,324 shares of the aircraft producer’s stock after purchasing an additional 2,766 shares during the quarter. Boeing comprises approximately 2.1% of CMH Wealth Management LLC’s holdings, making the stock its 15th biggest holding. CMH Wealth Management LLC’s holdings in Boeing were worth $13,828,000 at the end of the most recent reporting period.
A number of other hedge funds also recently made changes to their positions in the stock. Jupiter Topco LLC acquired a new stake in shares of Boeing during the 2nd quarter worth $911,878,000. Bank of New York Mellon Corp purchased a new position in shares of Boeing in the 2nd quarter worth $747,763,000. Legal & General Group Plc acquired a new position in Boeing in the second quarter valued at $710,816,000. Deutsche Bank AG acquired a new position in Boeing in the second quarter valued at $539,456,000. Finally, Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in Boeing in the second quarter valued at $441,997,000. Institutional investors and hedge funds own 64.82% of the company’s stock.
Wall Street Analysts Forecast Growth BA has been the subject of a number of research reports. BNP Paribas Exane raised Boeing from an “underperform” rating to an “outperform” rating and boosted their price target for the company from $230.00 to $300.00 in a research report on Monday, August 3rd. JPMorgan Chase & Co. reiterated a “buy” rating on shares of Boeing in a research note on Sunday, September 27th. Wolfe Research raised shares of Boeing from a “hold” rating to a “strong-buy” rating in a research report on Thursday, September 24th. Rothschild & Co Redburn increased their price objective on shares of Boeing from $260.00 to $285.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. Finally, DZ Bank reissued a “buy” rating on shares of Boeing in a research note on Thursday, August 6th. Two research analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, three have assigned a Hold rating and four have issued a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $266.96.
Get Our Latest Stock Report on BA Boeing Trading Down 2.5% NYSE BA opened at $187.46 on Friday. The company’s fifty day simple moving average is $201.61 and its 200-day simple moving average is $215.33. The Boeing Company has a 52 week low of $176.77 and a 52 week high of $254.35. The company has a current ratio of 1.14, a quick ratio of 0.33 and a debt-to-equity ratio of 6.77. The stock has a market cap of $148.17 billion, a P/E ratio of 81.15 and a beta of 1.26.
Boeing (NYSE:BA – Get Free Report) last released its quarterly earnings results on Tuesday, July 28th. The aircraft producer reported ($0.76) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.34) by ($0.42). The firm had revenue of $24.56 billion for the quarter, compared to analyst estimates of $24.26 billion. Boeing had a net margin of 2.41% and a negative return on equity of 346.82%. Boeing’s revenue for the quarter was up 8.0% on a year-over-year basis. During the same period in the previous year, the business posted ($1.24) earnings per share. Equities research analysts predict that The Boeing Company will post -1.08 EPS for the current fiscal year.
Key Boeing News Here are the key news stories impacting Boeing this week:
Positive Sentiment: The FAA granted final certification to the 737 MAX 10, clearing the way for deliveries of an aircraft with approximately 1,555 orders. The approval could help Boeing compete more effectively with Airbus’ A321neo and ease a key delivery bottleneck. Boeing 737 MAX 10 certification Positive Sentiment: Analysts said MAX 10 approval could support more stable production and deliveries as aircraft demand builds in 2027 and 2028, potentially improving Boeing’s cash flow and turnaround prospects. Boeing wins FAA certification Neutral Sentiment: Boeing is scheduled to report third-quarter results before the market opens on October 27. Analysts are focused on aircraft deliveries, services demand, production rates and other operating metrics, with some forecasts calling for double-digit earnings growth. Boeing earnings preview Negative Sentiment: Investors still face execution concerns ahead of earnings, including supply-chain delays, the need to ramp 737 MAX production and Boeing’s negative return on invested capital. These issues could limit the benefit of the MAX 10 certification if deliveries and profitability do not improve. Boeing stock before earnings Negative Sentiment: The certification news has not translated into sustained buying, likely because approval was widely expected. With Boeing trading at a high earnings multiple and carrying substantial leverage, investors may be demanding clearer evidence of improving cash generation before bidding the shares higher. Boeing receives FAA approval About Boeing (Free Report)
The Boeing Company (NYSE: BA) is a global aerospace company that designs, manufactures and supports commercial airplanes, military aircraft, satellites, space systems and related products and services. Its offerings serve airlines, government agencies, defense organizations and other customers worldwide.
Boeing operates through three principal business areas: Commercial Airplanes, which develops and produces passenger and cargo aircraft; Defense, Space & Security, which provides military aircraft, weapons systems, satellites and space-related platforms; and Global Services, which offers parts, maintenance, training, engineering and other lifecycle support.
Founded in 1916 by William Boeing, the company has grown into one of the world’s major aerospace manufacturers.
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Key Takeaways C's 30-day and 90-day card delinquencies rose sequentially in September, while receivables fell to $18.7B.The annualized net principal loss rate climbed to 2.18% in September from 2.03% in August.Citigroup expects a 4%-4.5% U.S. card net credit loss rate in 2026 amid ongoing consumer credit pressures.
Citigroup Inc. (C - Free Report) continues to navigate credit-quality challenges amid an uncertain economic environment. According to its latest SEC filing, its subsidiary, Citibank N.A., reported higher credit card delinquencies and net principal losses in September 2026, while outstanding principal receivables declined during the month.
For the period ended Sept. 25, 2026, the Citibank Credit Card Master Trust I reported principal receivables of $18.7 billion, down from $19.1 billion at the beginning of the period. Receivables delinquent for 30 days or more increased to 1.35% in September from 1.29% in August, while those delinquent for 90 days or more rose to 0.65% from 0.63%. The Citibank Credit Card Issuance Trust’s annualized net principal loss rate climbed to 2.18% from 2.03% in August and 1.90% in July, signaling a pickup in credit losses.
The detailed filing also showed that 97.3% of receivables were current in September. However, balances delinquent for 31-60 days were $80.7 million, while those delinquent for 151-180 days totaled $37.4 million. The portfolio's annualized gross yield was 25.03%, while the principal payment rate was 41.45%. Although the high portfolio yield provides a revenue cushion against credit losses, the increase in delinquencies and net principal losses warrants monitoring. These figures relate to the securitized credit card portfolios and should not be interpreted as representing Citigroup's entire loan portfolio.
Citigroup’s broader asset-quality picture remains a concern. Although provisions for credit losses declined 2% year over year to $7.91 billion in the first nine months of 2026, the metric recorded a compound annual growth rate (CAGR) of 24.5% from 2022 to 2025. However, credit quality showed improvement in the third quarter, with the U.S. Cards net credit loss rate declining to 3.6% from 4.0% a year earlier. Management’s earlier 2026 guidance projected a U.S. card net credit loss rate of 4-4.5%, highlighting continued credit risks.
Citigroup's organizational overhaul, business simplification initiatives and focus on operational efficiency could support profitability over the longer term. However, persistent inflation, pressure on borrowers' repayment capacity and rising card losses could weigh on asset quality. Any sustained deterioration in credit trends may lead to higher provisions and constrain earnings growth, even as the company benefits from resilient net interest income and a stronger focus on core businesses.
How Citigroup Stacks Up Against Peers in Card DelinquencyU.S. credit card metrics were mixed in September 2026, with delinquency rates increasing at both Bank of America (BAC - Free Report) and JPMorgan Chase (JPM - Free Report) , although the latter's rate remained relatively low. Both issuers reported lower outstanding receivables, while net charge-off and loss rates improved compared with the previous month.
Bank of America reported that the BA Master Credit Card Trust II delinquency rate increased to 1.37% in September 2026 from 1.28% in August. However, its net charge-off rate declined to 2.09% from 2.15% in August, indicating some improvement in credit losses. Total receivables fell to $14.53 billion from $14.63 billion at the beginning of the month.
JPMorgan Chase reported a delinquency rate of 0.81% for the Chase Issuance Trust in September 2026, with $95.1 million in delinquent receivables against a pool balance of $11.81 billion. Its annualized net loss rate was 1.52%. Principal receivables declined to $11.65 billion from $11.84 billion at the beginning of the month.
Citigroup’s Price Performance & Zacks RankShares of Citigroup have gained 26.7% over the past year compared with the industry’s growth of 8.7%.
One-Year Performance
Image Source: Zacks Investment Research
Currently, C carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Corient Private Wealth LP lessened its stake in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 17.4% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 9,069,030 shares of the computer hardware maker’s stock after selling 1,907,428 shares during the quarter. NVIDIA makes up 2.5% of Corient Private Wealth LP’s holdings, making the stock its 5th biggest position. Corient Private Wealth LP’s holdings in NVIDIA were worth $1,795,911,000 as of its most recent filing with the Securities and Exchange Commission.
Several other hedge funds and other institutional investors have also made changes to their positions in the company. Formuepleje A S lifted its holdings in NVIDIA by 0.7% during the 2nd quarter. Formuepleje A S now owns 460,938 shares of the computer hardware maker’s stock valued at $92,229,000 after purchasing an additional 3,410 shares during the last quarter. Tucker Asset Management LLC increased its holdings in shares of NVIDIA by 2.8% in the second quarter. Tucker Asset Management LLC now owns 108,000 shares of the computer hardware maker’s stock valued at $21,610,000 after purchasing an additional 2,930 shares during the last quarter. HORAN Wealth LLC increased its holdings in shares of NVIDIA by 5.6% in the second quarter. HORAN Wealth LLC now owns 57,377 shares of the computer hardware maker’s stock valued at $11,480,000 after purchasing an additional 3,018 shares during the last quarter. Wellington Grp LLC increased its holdings in shares of NVIDIA by 8.7% in the second quarter. Wellington Grp LLC now owns 29,558 shares of the computer hardware maker’s stock valued at $5,914,000 after purchasing an additional 2,376 shares during the last quarter. Finally, Brown Financial Advisors raised its position in shares of NVIDIA by 21.3% in the second quarter. Brown Financial Advisors now owns 42,229 shares of the computer hardware maker’s stock valued at $8,450,000 after purchasing an additional 7,404 shares during the period. 65.27% of the stock is owned by institutional investors.
Wall Street Analyst Weigh In Several brokerages have recently weighed in on NVDA. Morgan Stanley set a $230.00 price objective on shares of NVIDIA in a research report on Friday, October 2nd. Zacks Research raised shares of NVIDIA from a “hold” rating to a “strong-buy” rating in a report on Monday, September 21st. Truist Financial boosted their price objective on NVIDIA from $307.00 to $346.00 and gave the stock a “buy” rating in a report on Thursday, August 27th. Mizuho set a $315.00 target price on NVIDIA and gave the company an “outperform” rating in a research report on Thursday, August 27th. Finally, KeyCorp reiterated an “overweight” rating and set a $330.00 target price on shares of NVIDIA in a research note on Monday, August 24th. Five investment analysts have rated the stock with a Strong Buy rating, forty-nine have given a Buy rating and one has given a Hold rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Buy” and a consensus price target of $321.47.
Check Out Our Latest Stock Analysis on NVIDIA Key Headlines Impacting NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: AI infrastructure demand remains robust. CEO Jensen Huang said neocloud demand is “off the charts,” while Super Micro’s significantly higher revenue outlook and SpaceX’s plans to add substantial computing capacity provided evidence that customers continue expanding AI infrastructure. Nvidia CEO Jensen Huang says neocloud demand is off the charts but capital is scarce Positive Sentiment: GTC Berlin expanded NVIDIA’s addressable market. The company introduced DSX POD modular Vera Rubin AI factories, designed to reduce deployment timelines from roughly six months to as little as 14 days. Its DSX platform also targets up to 30% lower power consumption and near-zero cooling-water usage, potentially easing customers’ power and permitting constraints. NVIDIA introduces DSX POD AI factories Positive Sentiment: Platform expansion supports the long-term bull case. New partnerships involving AI-agent security, robotics, autonomous vehicles, telecom networks, quantum-computing interfaces and industrial AI reinforce NVIDIA’s strategy of selling a broader full-stack computing ecosystem rather than only GPUs. Neutral Sentiment: Quantum news is strategically relevant but not yet a material earnings driver. Quantum X Labs reported improved error-correction results using NVIDIA CUDA-Q, illustrating ecosystem adoption, although the announcement does not provide meaningful near-term revenue information for NVIDIA. Negative Sentiment: Investors are questioning AI-spending sustainability and financing. Concerns that hyperscalers, neoclouds and other customers may struggle to fund massive data-center buildouts are weighing on the entire AI trade. Rising-rate risk adds pressure to high-growth technology valuations. Negative Sentiment: Semiconductor-sector pressure compounded the decline. Chip stocks weakened after Lam Research cited supply-chain constraints, while broader technology indexes also fell. NVIDIA’s high valuation and upcoming earnings raise the risk of a “sell-the-news” reaction even if results exceed expectations. Insider Activity In related news, CFO Colette Kress sold 34,918 shares of the business’s stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $219.05, for a total value of $7,648,787.90. Following the completion of the sale, the chief financial officer directly owned 765,103 shares in the company, valued at approximately $167,595,812.15. The trade was a 4.36% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Timothy Teter sold 30,460 shares of the business’s stock in a transaction that occurred on Monday, September 21st. The shares were sold at an average price of $222.80, for a total value of $6,786,488.00. Following the completion of the sale, the executive vice president owned 2,687,660 shares of the company’s stock, valued at approximately $598,810,648. This trade represents a 1.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 1,766,118 shares of company stock worth $399,450,353. Corporate insiders own 3.94% of the company’s stock.
NVIDIA Price Performance NASDAQ:NVDA opened at $212.21 on Friday. NVIDIA Corporation has a 52 week low of $164.27 and a 52 week high of $243.37. The company has a debt-to-equity ratio of 0.14, a quick ratio of 3.85 and a current ratio of 4.59. The firm’s 50-day simple moving average is $222.86 and its 200 day simple moving average is $212.57. The firm has a market cap of $5.11 trillion, a price-to-earnings ratio of 26.83, a P/E/G ratio of 1.71 and a beta of 2.22.
NVIDIA (NASDAQ:NVDA – Get Free Report) last posted its quarterly earnings data on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.09 by $0.13. The firm had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. The business’s revenue for the quarter was up 105.9% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.05 EPS. As a group, sell-side analysts predict that NVIDIA Corporation will post 9.30 earnings per share for the current year.
NVIDIA Announces Dividend The firm also recently announced a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th were issued a dividend of $0.25 per share. The ex-dividend date of this dividend was Thursday, September 10th. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. NVIDIA’s dividend payout ratio (DPR) is currently 12.64%.
NVIDIA declared that its board has approved a share buyback plan on Monday, September 28th that authorizes the company to repurchase $150.00 billion in outstanding shares. This repurchase authorization authorizes the computer hardware maker to reacquire up to 2.8% of its shares through open market purchases. Share repurchase plans are typically a sign that the company’s board of directors believes its shares are undervalued.
NVIDIA Company Profile (Free Report)
NVIDIA Corporation (NASDAQ: NVDA) is a technology company that designs graphics processing units (GPUs), accelerated computing platforms, networking products and related software. Its technologies support artificial intelligence, machine learning, scientific computing, data analytics, professional visualization and computer graphics.
The company’s products include GeForce GPUs for gaming and personal computing, data center GPUs and systems for AI and high-performance computing, and networking solutions used to connect and manage large-scale computing infrastructure.
Featured Stories Five stocks we like better than NVIDIA Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
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Groupe la Francaise grew its stake in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 4.3% during the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 2,618,791 shares of the computer hardware maker’s stock after acquiring an additional 107,074 shares during the quarter. NVIDIA accounts for 6.2% of Groupe la Francaise’s portfolio, making the stock its biggest holding. Groupe la Francaise’s holdings in NVIDIA were worth $520,898,000 as of its most recent filing with the Securities and Exchange Commission.
Several other hedge funds have also added to or reduced their stakes in NVDA. Longview Financial Advisors Inc. purchased a new position in shares of NVIDIA in the 1st quarter worth about $27,000. Montgomery Financial Services LLC purchased a new stake in NVIDIA during the 2nd quarter valued at about $28,000. Langley Wealth Management LLC purchased a new stake in NVIDIA during the 2nd quarter valued at about $34,000. Phillip James Consulting Co. purchased a new stake in NVIDIA during the 1st quarter valued at about $40,000. Finally, Bard Associates Inc. grew its position in NVIDIA by 8,866.7% during the 2nd quarter. Bard Associates Inc. now owns 269 shares of the computer hardware maker’s stock valued at $54,000 after purchasing an additional 266 shares during the last quarter. 65.27% of the stock is owned by institutional investors.
Insiders Place Their Bets In other news, EVP Timothy S. Teter sold 30,460 shares of the stock in a transaction on Monday, September 21st. The stock was sold at an average price of $222.80, for a total transaction of $6,786,488.00. Following the transaction, the executive vice president directly owned 2,687,660 shares of the company’s stock, valued at $598,810,648. This represents a 1.12% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Colette Kress sold 34,918 shares of the firm’s stock in a transaction on Thursday, September 17th. The stock was sold at an average price of $219.05, for a total value of $7,648,787.90. Following the completion of the transaction, the chief financial officer owned 765,103 shares in the company, valued at approximately $167,595,812.15. This trade represents a 4.36% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 1,766,118 shares of company stock valued at $399,450,353. Company insiders own 3.94% of the company’s stock.
Trending Headlines about NVIDIA Here are the key news stories impacting NVIDIA this week: Positive Sentiment: AI infrastructure demand remains robust. CEO Jensen Huang said neocloud demand is “off the charts,” while Super Micro’s significantly higher revenue outlook and SpaceX’s plans to add substantial computing capacity provided evidence that customers continue expanding AI infrastructure. Nvidia CEO Jensen Huang says neocloud demand is off the charts but capital is scarce Positive Sentiment: GTC Berlin expanded NVIDIA’s addressable market. The company introduced DSX POD modular Vera Rubin AI factories, designed to reduce deployment timelines from roughly six months to as little as 14 days. Its DSX platform also targets up to 30% lower power consumption and near-zero cooling-water usage, potentially easing customers’ power and permitting constraints. NVIDIA introduces DSX POD AI factories Positive Sentiment: Platform expansion supports the long-term bull case. New partnerships involving AI-agent security, robotics, autonomous vehicles, telecom networks, quantum-computing interfaces and industrial AI reinforce NVIDIA’s strategy of selling a broader full-stack computing ecosystem rather than only GPUs. Neutral Sentiment: Quantum news is strategically relevant but not yet a material earnings driver. Quantum X Labs reported improved error-correction results using NVIDIA CUDA-Q, illustrating ecosystem adoption, although the announcement does not provide meaningful near-term revenue information for NVIDIA. Negative Sentiment: Investors are questioning AI-spending sustainability and financing. Concerns that hyperscalers, neoclouds and other customers may struggle to fund massive data-center buildouts are weighing on the entire AI trade. Rising-rate risk adds pressure to high-growth technology valuations. Negative Sentiment: Semiconductor-sector pressure compounded the decline. Chip stocks weakened after Lam Research cited supply-chain constraints, while broader technology indexes also fell. NVIDIA’s high valuation and upcoming earnings raise the risk of a “sell-the-news” reaction even if results exceed expectations. NVIDIA Price Performance NVDA opened at $212.21 on Friday. The company has a debt-to-equity ratio of 0.14, a quick ratio of 3.85 and a current ratio of 4.59. The stock has a market capitalization of $5.11 trillion, a P/E ratio of 26.83, a P/E/G ratio of 1.71 and a beta of 2.22. The company’s 50-day simple moving average is $222.86 and its two-hundred day simple moving average is $212.57. NVIDIA Corporation has a 52-week low of $164.27 and a 52-week high of $243.37.
NVIDIA (NASDAQ:NVDA – Get Free Report) last announced its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, topping analysts’ consensus estimates of $2.09 by $0.13. The firm had revenue of $96.22 billion during the quarter, compared to analyst estimates of $92.27 billion. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. The business’s revenue for the quarter was up 105.9% on a year-over-year basis. During the same period in the previous year, the business posted $1.05 earnings per share. As a group, analysts predict that NVIDIA Corporation will post 9.30 EPS for the current year.
NVIDIA announced that its board has approved a share repurchase plan on Monday, September 28th that permits the company to repurchase $150.00 billion in outstanding shares. This buyback authorization permits the computer hardware maker to reacquire up to 2.8% of its shares through open market purchases. Stock buyback plans are generally a sign that the company’s board of directors believes its shares are undervalued.
NVIDIA Announces Dividend The business also recently announced a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Thursday, September 10th were given a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. The ex-dividend date of this dividend was Thursday, September 10th. NVIDIA’s payout ratio is 12.64%.
Analyst Upgrades and Downgrades A number of research firms have weighed in on NVDA. Rosenblatt Securities restated a “buy” rating and set a $390.00 price objective on shares of NVIDIA in a research note on Tuesday, September 29th. Zacks Research upgraded shares of NVIDIA from a “hold” rating to a “strong-buy” rating in a research note on Monday, September 21st. Rothschild & Co Redburn increased their price target on shares of NVIDIA from $300.00 to $325.00 in a report on Thursday, August 27th. Cantor Fitzgerald reissued an “overweight” rating and set a $350.00 price target on shares of NVIDIA in a research report on Thursday, October 1st. Finally, Evercore set a $465.00 price target on shares of NVIDIA and gave the company an “outperform” rating in a research report on Thursday, August 27th. Five research analysts have rated the stock with a Strong Buy rating, forty-nine have issued a Buy rating and one has issued a Hold rating to the stock. According to data from MarketBeat.com, NVIDIA has an average rating of “Buy” and a consensus target price of $321.47.
Check Out Our Latest Research Report on NVIDIA
NVIDIA Profile (Free Report)
NVIDIA Corporation (NASDAQ: NVDA) is a technology company that designs graphics processing units (GPUs), accelerated computing platforms, networking products and related software. Its technologies support artificial intelligence, machine learning, scientific computing, data analytics, professional visualization and computer graphics.
The company’s products include GeForce GPUs for gaming and personal computing, data center GPUs and systems for AI and high-performance computing, and networking solutions used to connect and manage large-scale computing infrastructure.
Read More Five stocks we like better than NVIDIA Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding NVDA? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NVIDIA Corporation (NASDAQ:NVDA – Free Report).
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Empirical Finance LLC increased its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 3.5% during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 844,676 shares of the computer hardware maker’s stock after acquiring an additional 28,693 shares during the period. NVIDIA makes up 7.0% of Empirical Finance LLC’s investment portfolio, making the stock its largest holding. Empirical Finance LLC’s holdings in NVIDIA were worth $169,011,000 as of its most recent SEC filing.
A number of other hedge funds and other institutional investors have also bought and sold shares of NVDA. Longview Financial Advisors Inc. bought a new stake in shares of NVIDIA in the 1st quarter worth approximately $27,000. Montgomery Financial Services LLC purchased a new stake in shares of NVIDIA in the 2nd quarter worth approximately $28,000. Langley Wealth Management LLC bought a new position in NVIDIA during the 2nd quarter valued at approximately $34,000. Phillip James Consulting Co. bought a new position in NVIDIA during the 1st quarter valued at approximately $40,000. Finally, Bard Associates Inc. increased its position in NVIDIA by 8,866.7% during the 2nd quarter. Bard Associates Inc. now owns 269 shares of the computer hardware maker’s stock valued at $54,000 after buying an additional 266 shares in the last quarter. Hedge funds and other institutional investors own 65.27% of the company’s stock.
Wall Street Analyst Weigh In
A number of brokerages have issued reports on NVDA. JPMorgan Chase & Co. lifted their price objective on NVIDIA from $280.00 to $320.00 and gave the company an “overweight” rating in a research note on Thursday, August 27th. Jefferies Financial Group reissued a “buy” rating on shares of NVIDIA in a research note on Wednesday, August 26th. Truist Financial raised their price target on NVIDIA from $307.00 to $346.00 and gave the company a “buy” rating in a report on Thursday, August 27th. Evercore set a $465.00 price target on NVIDIA and gave the stock an “outperform” rating in a research report on Thursday, August 27th. Finally, KeyCorp reaffirmed an “overweight” rating and issued a $330.00 price target on shares of NVIDIA in a research report on Monday, August 24th. Five investment analysts have rated the stock with a Strong Buy rating, forty-nine have given a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat, NVIDIA currently has a consensus rating of “Buy” and an average price target of $321.47.
Check Out Our Latest Stock Analysis on NVIDIA
NVIDIA Price Performance
Shares of NASDAQ NVDA opened at $212.21 on Friday. The firm has a market cap of $5.11 trillion, a P/E ratio of 26.83, a PEG ratio of 1.71 and a beta of 2.22. NVIDIA Corporation has a twelve month low of $164.27 and a twelve month high of $243.37. The company has a quick ratio of 3.85, a current ratio of 4.59 and a debt-to-equity ratio of 0.14. The company has a 50 day moving average of $222.86 and a 200 day moving average of $212.57.
NVIDIA (NASDAQ:NVDA – Get Free Report) last issued its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, beating the consensus estimate of $2.09 by $0.13. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%. The business had revenue of $96.22 billion for the quarter, compared to the consensus estimate of $92.27 billion. During the same period last year, the business posted $1.05 EPS. The company’s revenue was up 105.9% compared to the same quarter last year. As a group, research analysts expect that NVIDIA Corporation will post 9.30 EPS for the current fiscal year.
NVIDIA Dividend Announcement
The firm also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Thursday, September 10th were paid a $0.25 dividend. The ex-dividend date was Thursday, September 10th. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. NVIDIA’s payout ratio is currently 12.64%.
NVIDIA announced that its Board of Directors has approved a share repurchase program on Monday, September 28th that authorizes the company to repurchase $150.00 billion in shares. This repurchase authorization authorizes the computer hardware maker to repurchase up to 2.8% of its shares through open market purchases. Stock repurchase programs are typically an indication that the company’s board believes its shares are undervalued.
Key NVIDIA News
Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: AI infrastructure demand remains robust. CEO Jensen Huang said neocloud demand is “off the charts,” while Super Micro’s significantly higher revenue outlook and SpaceX’s plans to add substantial computing capacity provided evidence that customers continue expanding AI infrastructure. Nvidia CEO Jensen Huang says neocloud demand is off the charts but capital is scarce
Positive Sentiment: GTC Berlin expanded NVIDIA’s addressable market. The company introduced DSX POD modular Vera Rubin AI factories, designed to reduce deployment timelines from roughly six months to as little as 14 days. Its DSX platform also targets up to 30% lower power consumption and near-zero cooling-water usage, potentially easing customers’ power and permitting constraints. NVIDIA introduces DSX POD AI factories
Positive Sentiment: Platform expansion supports the long-term bull case. New partnerships involving AI-agent security, robotics, autonomous vehicles, telecom networks, quantum-computing interfaces and industrial AI reinforce NVIDIA’s strategy of selling a broader full-stack computing ecosystem rather than only GPUs.
Neutral Sentiment: Quantum news is strategically relevant but not yet a material earnings driver. Quantum X Labs reported improved error-correction results using NVIDIA CUDA-Q, illustrating ecosystem adoption, although the announcement does not provide meaningful near-term revenue information for NVIDIA.
Negative Sentiment: Investors are questioning AI-spending sustainability and financing. Concerns that hyperscalers, neoclouds and other customers may struggle to fund massive data-center buildouts are weighing on the entire AI trade. Rising-rate risk adds pressure to high-growth technology valuations.
Negative Sentiment: Semiconductor-sector pressure compounded the decline. Chip stocks weakened after Lam Research cited supply-chain constraints, while broader technology indexes also fell. NVIDIA’s high valuation and upcoming earnings raise the risk of a “sell-the-news” reaction even if results exceed expectations.
Insider Activity
In related news, CFO Colette Kress sold 34,918 shares of the stock in a transaction on Thursday, September 17th. The stock was sold at an average price of $219.05, for a total transaction of $7,648,787.90. Following the sale, the chief financial officer directly owned 765,103 shares of the company’s stock, valued at $167,595,812.15. This trade represents a 4.36% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark Stevens sold 622,239 shares of the stock in a transaction on Friday, September 4th. The shares were sold at an average price of $231.62, for a total value of $144,122,997.18. Following the sale, the director directly owned 2,336,531 shares in the company, valued at $541,187,310.22. This trade represents a 21.03% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 1,766,118 shares of company stock valued at $399,450,353 over the last ninety days. 3.94% of the stock is currently owned by corporate insiders.
NVIDIA Company Profile
(Free Report)
NVIDIA Corporation (NASDAQ: NVDA) is a technology company that designs graphics processing units (GPUs), accelerated computing platforms, networking products and related software. Its technologies support artificial intelligence, machine learning, scientific computing, data analytics, professional visualization and computer graphics.
The company’s products include GeForce GPUs for gaming and personal computing, data center GPUs and systems for AI and high-performance computing, and networking solutions used to connect and manage large-scale computing infrastructure.
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Formuepleje A S boosted its position in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 0.7% during the 2nd quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 460,938 shares of the computer hardware maker’s stock after purchasing an additional 3,410 shares during the period. NVIDIA accounts for 7.2% of Formuepleje A S’s investment portfolio, making the stock its biggest holding. Formuepleje A S’s holdings in NVIDIA were worth $92,229,000 at the end of the most recent reporting period.
Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Retirement Wealth Solutions LLC grew its holdings in shares of NVIDIA by 1.2% during the second quarter. Retirement Wealth Solutions LLC now owns 4,121 shares of the computer hardware maker’s stock valued at $825,000 after buying an additional 47 shares in the last quarter. LightSquare Wealth Management LLC raised its position in NVIDIA by 0.3% during the second quarter. LightSquare Wealth Management LLC now owns 18,695 shares of the computer hardware maker’s stock valued at $3,741,000 after buying an additional 49 shares during the period. Defender Capital LLC. lifted its stake in NVIDIA by 0.7% in the 2nd quarter. Defender Capital LLC. now owns 7,534 shares of the computer hardware maker’s stock worth $1,507,000 after acquiring an additional 50 shares in the last quarter. Kooman & Associates lifted its stake in NVIDIA by 0.6% in the 2nd quarter. Kooman & Associates now owns 8,464 shares of the computer hardware maker’s stock worth $1,694,000 after acquiring an additional 50 shares in the last quarter. Finally, Roof Eidam Maycock Peralta LLC lifted its stake in NVIDIA by 0.3% in the 2nd quarter. Roof Eidam Maycock Peralta LLC now owns 18,827 shares of the computer hardware maker’s stock worth $3,767,000 after acquiring an additional 50 shares in the last quarter. 65.27% of the stock is currently owned by hedge funds and other institutional investors.
Wall Street Analysts Forecast Growth NVDA has been the subject of a number of research reports. Stifel Nicolaus set a $315.00 price objective on NVIDIA in a research report on Thursday, August 27th. Royal Bank Of Canada upped their target price on NVIDIA from $300.00 to $330.00 and gave the company an “outperform” rating in a report on Thursday, August 27th. Cantor Fitzgerald reiterated an “overweight” rating and issued a $350.00 target price on shares of NVIDIA in a report on Thursday, October 1st. Wells Fargo & Company set a $210.00 price target on shares of NVIDIA in a report on Friday, October 2nd. Finally, Yorkville Ives started coverage on shares of NVIDIA in a research report on Tuesday, October 6th. They set an “outperform” rating and a $300.00 price objective on the stock. Five investment analysts have rated the stock with a Strong Buy rating, forty-nine have issued a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat, NVIDIA presently has a consensus rating of “Buy” and a consensus target price of $321.47.
Get Our Latest Report on NVIDIA Insider Buying and Selling In related news, EVP Timothy Teter sold 30,460 shares of the stock in a transaction that occurred on Monday, September 21st. The stock was sold at an average price of $222.80, for a total value of $6,786,488.00. Following the transaction, the executive vice president owned 2,687,660 shares in the company, valued at approximately $598,810,648. This represents a 1.12% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark Stevens sold 622,239 shares of the firm’s stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $231.62, for a total transaction of $144,122,997.18. Following the transaction, the director directly owned 2,336,531 shares in the company, valued at approximately $541,187,310.22. The trade was a 21.03% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 1,766,118 shares of company stock worth $399,450,353. Insiders own 3.94% of the company’s stock.
Key Headlines Impacting NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: AI infrastructure demand remains robust. CEO Jensen Huang said neocloud demand is “off the charts,” while Super Micro’s significantly higher revenue outlook and SpaceX’s plans to add substantial computing capacity provided evidence that customers continue expanding AI infrastructure. Nvidia CEO Jensen Huang says neocloud demand is off the charts but capital is scarce Positive Sentiment: GTC Berlin expanded NVIDIA’s addressable market. The company introduced DSX POD modular Vera Rubin AI factories, designed to reduce deployment timelines from roughly six months to as little as 14 days. Its DSX platform also targets up to 30% lower power consumption and near-zero cooling-water usage, potentially easing customers’ power and permitting constraints. NVIDIA introduces DSX POD AI factories Positive Sentiment: Platform expansion supports the long-term bull case. New partnerships involving AI-agent security, robotics, autonomous vehicles, telecom networks, quantum-computing interfaces and industrial AI reinforce NVIDIA’s strategy of selling a broader full-stack computing ecosystem rather than only GPUs. Neutral Sentiment: Quantum news is strategically relevant but not yet a material earnings driver. Quantum X Labs reported improved error-correction results using NVIDIA CUDA-Q, illustrating ecosystem adoption, although the announcement does not provide meaningful near-term revenue information for NVIDIA. Negative Sentiment: Investors are questioning AI-spending sustainability and financing. Concerns that hyperscalers, neoclouds and other customers may struggle to fund massive data-center buildouts are weighing on the entire AI trade. Rising-rate risk adds pressure to high-growth technology valuations. Negative Sentiment: Semiconductor-sector pressure compounded the decline. Chip stocks weakened after Lam Research cited supply-chain constraints, while broader technology indexes also fell. NVIDIA’s high valuation and upcoming earnings raise the risk of a “sell-the-news” reaction even if results exceed expectations. NVIDIA Stock Performance Shares of NASDAQ NVDA opened at $212.21 on Friday. The business’s 50-day moving average price is $222.86 and its two-hundred day moving average price is $212.57. The company has a debt-to-equity ratio of 0.14, a current ratio of 4.59 and a quick ratio of 3.85. NVIDIA Corporation has a one year low of $164.27 and a one year high of $243.37. The company has a market capitalization of $5.11 trillion, a P/E ratio of 26.83, a price-to-earnings-growth ratio of 1.71 and a beta of 2.22.
NVIDIA (NASDAQ:NVDA – Get Free Report) last posted its quarterly earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share for the quarter, topping analysts’ consensus estimates of $2.09 by $0.13. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%. The company had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. During the same period last year, the business earned $1.05 EPS. The business’s quarterly revenue was up 105.9% on a year-over-year basis. Analysts anticipate that NVIDIA Corporation will post 9.30 earnings per share for the current fiscal year.
NVIDIA Announces Dividend The company also recently disclosed a quarterly dividend, which was paid on Thursday, October 1st. Investors of record on Thursday, September 10th were issued a $0.25 dividend. The ex-dividend date was Thursday, September 10th. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. NVIDIA’s dividend payout ratio is currently 12.64%.
NVIDIA announced that its board has initiated a stock repurchase plan on Monday, September 28th that allows the company to repurchase $150.00 billion in outstanding shares. This repurchase authorization allows the computer hardware maker to reacquire up to 2.8% of its stock through open market purchases. Share repurchase plans are often a sign that the company’s board of directors believes its stock is undervalued.
About NVIDIA (Free Report)
NVIDIA Corporation (NASDAQ: NVDA) is a technology company that designs graphics processing units (GPUs), accelerated computing platforms, networking products and related software. Its technologies support artificial intelligence, machine learning, scientific computing, data analytics, professional visualization and computer graphics.
The company’s products include GeForce GPUs for gaming and personal computing, data center GPUs and systems for AI and high-performance computing, and networking solutions used to connect and manage large-scale computing infrastructure.
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HighTower Advisors LLC lessened its holdings in shares of NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 4.0% in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 7,407,961 shares of the computer hardware maker’s stock after selling 305,188 shares during the period. NVIDIA makes up 1.4% of HighTower Advisors LLC’s holdings, making the stock its 11th biggest position. HighTower Advisors LLC’s holdings in NVIDIA were worth $1,482,259,000 as of its most recent SEC filing.
Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Kirkwood Financial Services acquired a new stake in NVIDIA during the second quarter worth about $864,000. Tobias Financial Advisors Inc. raised its position in NVIDIA by 50.0% during the second quarter. Tobias Financial Advisors Inc. now owns 29,786 shares of the computer hardware maker’s stock valued at $5,960,000 after acquiring an additional 9,924 shares in the last quarter. Groupe la Francaise raised its position in NVIDIA by 4.3% during the second quarter. Groupe la Francaise now owns 2,618,791 shares of the computer hardware maker’s stock valued at $520,898,000 after acquiring an additional 107,074 shares in the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in NVIDIA in the second quarter valued at approximately $1,036,586,000. Finally, Financial Insights Inc. lifted its holdings in NVIDIA by 1.3% in the second quarter. Financial Insights Inc. now owns 16,681 shares of the computer hardware maker’s stock valued at $3,338,000 after acquiring an additional 219 shares during the period. 65.27% of the stock is currently owned by institutional investors and hedge funds.
Insider Activity at NVIDIA In related news, Director Mark Stevens sold 622,239 shares of the business’s stock in a transaction on Friday, September 4th. The shares were sold at an average price of $231.62, for a total value of $144,122,997.18. Following the completion of the sale, the director owned 2,336,531 shares of the company’s stock, valued at approximately $541,187,310.22. The trade was a 21.03% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Timothy Teter sold 30,460 shares of the company’s stock in a transaction on Monday, September 21st. The stock was sold at an average price of $222.80, for a total transaction of $6,786,488.00. Following the transaction, the executive vice president owned 2,687,660 shares of the company’s stock, valued at $598,810,648. This represents a 1.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 1,766,118 shares of company stock valued at $399,450,353. 3.94% of the stock is owned by company insiders.
NVIDIA Stock Down 4.4% Shares of NVDA opened at $212.21 on Friday. The company has a current ratio of 4.59, a quick ratio of 3.85 and a debt-to-equity ratio of 0.14. NVIDIA Corporation has a 12 month low of $164.27 and a 12 month high of $243.37. The stock’s 50 day moving average is $222.86 and its two-hundred day moving average is $212.57. The firm has a market cap of $5.11 trillion, a P/E ratio of 26.83, a PEG ratio of 1.71 and a beta of 2.22. NVIDIA (NASDAQ:NVDA – Get Free Report) last posted its quarterly earnings data on Wednesday, August 26th. The computer hardware maker reported $2.22 EPS for the quarter, beating analysts’ consensus estimates of $2.09 by $0.13. The business had revenue of $96.22 billion during the quarter, compared to analysts’ expectations of $92.27 billion. NVIDIA had a return on equity of 96.04% and a net margin of 63.66%. The business’s revenue was up 105.9% compared to the same quarter last year. During the same period in the previous year, the business earned $1.05 earnings per share. Analysts predict that NVIDIA Corporation will post 9.30 earnings per share for the current fiscal year.
NVIDIA declared that its board has authorized a stock repurchase program on Monday, September 28th that authorizes the company to repurchase $150.00 billion in outstanding shares. This buyback authorization authorizes the computer hardware maker to reacquire up to 2.8% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s management believes its stock is undervalued.
NVIDIA Dividend Announcement The business also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Investors of record on Thursday, September 10th were paid a $0.25 dividend. The ex-dividend date of this dividend was Thursday, September 10th. This represents a $1.00 dividend on an annualized basis and a yield of 0.5%. NVIDIA’s dividend payout ratio (DPR) is currently 12.64%.
Key NVIDIA News Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: AI infrastructure demand remains robust. CEO Jensen Huang said neocloud demand is “off the charts,” while Super Micro’s significantly higher revenue outlook and SpaceX’s plans to add substantial computing capacity provided evidence that customers continue expanding AI infrastructure. Nvidia CEO Jensen Huang says neocloud demand is off the charts but capital is scarce Positive Sentiment: GTC Berlin expanded NVIDIA’s addressable market. The company introduced DSX POD modular Vera Rubin AI factories, designed to reduce deployment timelines from roughly six months to as little as 14 days. Its DSX platform also targets up to 30% lower power consumption and near-zero cooling-water usage, potentially easing customers’ power and permitting constraints. NVIDIA introduces DSX POD AI factories Positive Sentiment: Platform expansion supports the long-term bull case. New partnerships involving AI-agent security, robotics, autonomous vehicles, telecom networks, quantum-computing interfaces and industrial AI reinforce NVIDIA’s strategy of selling a broader full-stack computing ecosystem rather than only GPUs. Neutral Sentiment: Quantum news is strategically relevant but not yet a material earnings driver. Quantum X Labs reported improved error-correction results using NVIDIA CUDA-Q, illustrating ecosystem adoption, although the announcement does not provide meaningful near-term revenue information for NVIDIA. Negative Sentiment: Investors are questioning AI-spending sustainability and financing. Concerns that hyperscalers, neoclouds and other customers may struggle to fund massive data-center buildouts are weighing on the entire AI trade. Rising-rate risk adds pressure to high-growth technology valuations. Negative Sentiment: Semiconductor-sector pressure compounded the decline. Chip stocks weakened after Lam Research cited supply-chain constraints, while broader technology indexes also fell. NVIDIA’s high valuation and upcoming earnings raise the risk of a “sell-the-news” reaction even if results exceed expectations. Analyst Upgrades and Downgrades Several research firms have commented on NVDA. Sanford C. Bernstein restated a “buy” rating on shares of NVIDIA in a research report on Monday, September 21st. BMO Capital Markets set a $340.00 target price on shares of NVIDIA and gave the company an “outperform” rating in a report on Thursday, August 20th. China Renaissance boosted their target price on shares of NVIDIA from $319.00 to $330.00 and gave the company a “buy” rating in a research note on Monday, August 31st. UBS Group reissued a “buy” rating on shares of NVIDIA in a report on Friday, October 9th. Finally, Zacks Research upgraded shares of NVIDIA from a “hold” rating to a “strong-buy” rating in a research report on Monday, September 21st. Five investment analysts have rated the stock with a Strong Buy rating, forty-nine have given a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Buy” and a consensus target price of $321.47.
Read Our Latest Stock Report on NVIDIA
About NVIDIA (Free Report)
NVIDIA Corporation (NASDAQ: NVDA) is a technology company that designs graphics processing units (GPUs), accelerated computing platforms, networking products and related software. Its technologies support artificial intelligence, machine learning, scientific computing, data analytics, professional visualization and computer graphics.
The company’s products include GeForce GPUs for gaming and personal computing, data center GPUs and systems for AI and high-performance computing, and networking solutions used to connect and manage large-scale computing infrastructure.
Read More Five stocks we like better than NVIDIA Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
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HORAN Wealth LLC boosted its position in NVIDIA Corporation (NASDAQ:NVDA – Free Report) by 5.6% in the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 57,377 shares of the computer hardware maker’s stock after purchasing an additional 3,018 shares during the period. NVIDIA comprises 1.4% of HORAN Wealth LLC’s investment portfolio, making the stock its 15th biggest position. HORAN Wealth LLC’s holdings in NVIDIA were worth $11,480,000 at the end of the most recent reporting period.
Several other hedge funds and other institutional investors have also recently bought and sold shares of NVDA. Jupiter Topco LLC purchased a new position in shares of NVIDIA in the second quarter valued at $16,156,076,000. Van ECK Associates Corp raised its stake in shares of NVIDIA by 34.7% during the 2nd quarter. Van ECK Associates Corp now owns 75,849,721 shares of the computer hardware maker’s stock worth $15,176,771,000 after buying an additional 19,522,304 shares during the last quarter. Amundi boosted its position in shares of NVIDIA by 10.4% in the 1st quarter. Amundi now owns 133,768,018 shares of the computer hardware maker’s stock worth $23,329,141,000 after buying an additional 12,575,177 shares in the last quarter. Nykredit A S purchased a new stake in shares of NVIDIA in the 2nd quarter worth about $2,315,956,000. Finally, SEB Asset Management AB purchased a new stake in shares of NVIDIA in the 1st quarter worth about $1,692,807,000. 65.27% of the stock is owned by institutional investors and hedge funds.
Insiders Place Their Bets In related news, Director Mark A. Stevens sold 622,239 shares of the company’s stock in a transaction that occurred on Friday, September 4th. The shares were sold at an average price of $231.62, for a total transaction of $144,122,997.18. Following the transaction, the director owned 2,336,531 shares of the company’s stock, valued at approximately $541,187,310.22. This represents a 21.03% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Timothy S. Teter sold 30,460 shares of the company’s stock in a transaction that occurred on Monday, September 21st. The shares were sold at an average price of $222.80, for a total transaction of $6,786,488.00. Following the transaction, the executive vice president directly owned 2,687,660 shares in the company, valued at $598,810,648. The trade was a 1.12% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 1,766,118 shares of company stock valued at $399,450,353 in the last ninety days. Insiders own 3.94% of the company’s stock.
Analysts Set New Price Targets NVDA has been the topic of a number of research reports. Deutsche Bank Aktiengesellschaft reissued a “buy” rating on shares of NVIDIA in a research note on Monday, August 31st. DA Davidson restated a “buy” rating and set a $300.00 target price on shares of NVIDIA in a research report on Thursday, August 27th. Wells Fargo & Company set a $210.00 price target on shares of NVIDIA in a report on Friday, October 2nd. Melius Research set a $420.00 price target on shares of NVIDIA in a research report on Thursday, August 27th. Finally, DZ Bank reiterated a “buy” rating on shares of NVIDIA in a research report on Wednesday, August 26th. Five investment analysts have rated the stock with a Strong Buy rating, forty-nine have assigned a Buy rating and one has issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Buy” and an average price target of $321.47. Read Our Latest Analysis on NVDA
Trending Headlines about NVIDIA Here are the key news stories impacting NVIDIA this week:
Positive Sentiment: AI infrastructure demand remains robust. CEO Jensen Huang said neocloud demand is “off the charts,” while Super Micro’s significantly higher revenue outlook and SpaceX’s plans to add substantial computing capacity provided evidence that customers continue expanding AI infrastructure. Nvidia CEO Jensen Huang says neocloud demand is off the charts but capital is scarce Positive Sentiment: GTC Berlin expanded NVIDIA’s addressable market. The company introduced DSX POD modular Vera Rubin AI factories, designed to reduce deployment timelines from roughly six months to as little as 14 days. Its DSX platform also targets up to 30% lower power consumption and near-zero cooling-water usage, potentially easing customers’ power and permitting constraints. NVIDIA introduces DSX POD AI factories Positive Sentiment: Platform expansion supports the long-term bull case. New partnerships involving AI-agent security, robotics, autonomous vehicles, telecom networks, quantum-computing interfaces and industrial AI reinforce NVIDIA’s strategy of selling a broader full-stack computing ecosystem rather than only GPUs. Neutral Sentiment: Quantum news is strategically relevant but not yet a material earnings driver. Quantum X Labs reported improved error-correction results using NVIDIA CUDA-Q, illustrating ecosystem adoption, although the announcement does not provide meaningful near-term revenue information for NVIDIA. Negative Sentiment: Investors are questioning AI-spending sustainability and financing. Concerns that hyperscalers, neoclouds and other customers may struggle to fund massive data-center buildouts are weighing on the entire AI trade. Rising-rate risk adds pressure to high-growth technology valuations. Negative Sentiment: Semiconductor-sector pressure compounded the decline. Chip stocks weakened after Lam Research cited supply-chain constraints, while broader technology indexes also fell. NVIDIA’s high valuation and upcoming earnings raise the risk of a “sell-the-news” reaction even if results exceed expectations. NVIDIA Stock Down 4.4% NVDA opened at $212.21 on Friday. The firm has a market cap of $5.11 trillion, a P/E ratio of 26.83, a PEG ratio of 1.71 and a beta of 2.22. The business’s fifty day simple moving average is $222.86 and its 200 day simple moving average is $212.57. NVIDIA Corporation has a 52 week low of $164.27 and a 52 week high of $243.37. The company has a quick ratio of 3.85, a current ratio of 4.59 and a debt-to-equity ratio of 0.14.
NVIDIA (NASDAQ:NVDA – Get Free Report) last announced its earnings results on Wednesday, August 26th. The computer hardware maker reported $2.22 earnings per share for the quarter, beating the consensus estimate of $2.09 by $0.13. NVIDIA had a net margin of 63.66% and a return on equity of 96.04%. The firm had revenue of $96.22 billion during the quarter, compared to the consensus estimate of $92.27 billion. During the same quarter in the previous year, the company posted $1.05 EPS. The firm’s revenue for the quarter was up 105.9% on a year-over-year basis. As a group, equities research analysts anticipate that NVIDIA Corporation will post 9.30 EPS for the current fiscal year.
NVIDIA declared that its Board of Directors has authorized a stock buyback plan on Monday, September 28th that allows the company to repurchase $150.00 billion in shares. This repurchase authorization allows the computer hardware maker to repurchase up to 2.8% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board of directors believes its stock is undervalued.
NVIDIA Announces Dividend The company also recently declared a quarterly dividend, which was paid on Thursday, October 1st. Shareholders of record on Thursday, September 10th were paid a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a dividend yield of 0.5%. The ex-dividend date of this dividend was Thursday, September 10th. NVIDIA’s dividend payout ratio (DPR) is currently 12.64%.
NVIDIA Profile (Free Report)
NVIDIA Corporation (NASDAQ: NVDA) is a technology company that designs graphics processing units (GPUs), accelerated computing platforms, networking products and related software. Its technologies support artificial intelligence, machine learning, scientific computing, data analytics, professional visualization and computer graphics.
The company’s products include GeForce GPUs for gaming and personal computing, data center GPUs and systems for AI and high-performance computing, and networking solutions used to connect and manage large-scale computing infrastructure.
Read More Five stocks we like better than NVIDIA Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
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Wall Street already sees more than 50% upside in NVIDIA, but one analyst thinks even that target is too conservative. Here is the specific combination of catalysts that could push shares well beyond what most investors are pricing in.
Jensen Huang put it simply in August: “AI has reached its inflection point. It’s doing useful work. Its tokens are productive and profitable. Now, compute is revenue.” That line explains why NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) remains the center of the AI expansion.
Shares are up 15.08% year-to-date at $214.13, even after a 6.61% drop last week tied to a global tech rout on AI funding worries. Over five years, the stock has gained 883.76%. I think that decline sets up the next leg. Here’s what NVIDIA needs to do to hit $350 in 2027.
Wall Street Already Sees More Than 50% Upside
The consensus price target sits at $328.72, roughly 54% above today’s price. Analysts are nearly unanimous, with 10 Strong Buy and 49 Buy ratings against 1 Sell.
Estimates keep climbing. Fiscal 2028 EPS forecasts rose from $12.7636 90 days ago to $15.9146, with 7 upward revisions and 0 downward over the last 30 days. In the latest quarter, EPS of $2.22 topped the $2.09 consensus, marking a fifth consecutive earnings beat, on revenue up 105.8%.
Here’s What It Takes for NVIDIA to Reach $350
At $214.13, NVIDIA changes hands at about 13x fiscal 2028 earnings estimates. At $350, that multiple would be roughly 22x, close to a market-average valuation for a company projected to grow EPS about 71% from fiscal 2027’s $9.3124 estimate.
How might NVIDIA reach $350?
Vera Rubin: Management expects the fastest product ramp in company history, lifting revenue opportunity per gigawatt from $25 billion with Blackwell to $40 billion.
Hyperscaler capex: Top-five hyperscaler spending is expected to reach $1.3 trillion in 2027, and AWS is deploying an additional 2 million GPUs.
Untapped demand: Management guided to roughly 70% fiscal 2028 revenue growth while noting “Customers’ forecasts point to our growth doubling next year.” Supply, rather than demand, is the limiting factor.
Beat streak: Five straight beats suggest actual results may outrun forecasts again.
All of that expansion has to be powered, cooled, and networked by somebody other than NVIDIA, which is why we rounded up seven non-chip AI infrastructure names in a free report you can grab here.
NVIDIA’s History Says a 63% Gain Is Within Reach
Hitting $350 requires a 63% gain. NVIDIA has posted triple-digit annual returns in 2016, 2021, 2023, and 2024, and shares are up 13002.9% over ten years.
With a market cap near $5.17 trillion, repeating those moves is harder, but a beta of 2.216 means big swings remain part of this stock’s character.
Is $350 Realistic? Here’s My Take
Reaching $350 asks for a 63% gain, but Wall Street already projects about 54% upside and estimates are rising. The challenges are real: guidance assumes zero China data center compute revenue, supply commitments reached $279 billion, and AI funding worries could weigh on the group.
A 22x multiple on next year’s earnings looks reasonable, assuming Vera Rubin ramps as planned and NVIDIA keeps beating expectations. Such returns shouldn’t be expected every year, but we’ve outlined the blueprint for how NVIDIA could see outsized returns in 2027.
Contact [email protected] for any questions or corrections.
The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?
Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Nvidia (NVDA - Free Report) .
Nvidia currently has an average brokerage recommendation (ABR) of 1.13, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 53 brokerage firms. An ABR of 1.13 approximates between Strong Buy and Buy.
Of the 53 recommendations that derive the current ABR, 49 are Strong Buy and three are Buy. Strong Buy and Buy respectively account for 92.5% and 5.7% of all recommendations.
Brokerage Recommendation Trends for NVDA
Check price target & stock forecast for Nvidia here>>>
While the ABR calls for buying Nvidia, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.
ABR Should Not Be Confused With Zacks RankIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.
In contrast, the Zacks Rank is driven by earnings estimate revisions. And near-term stock price movements are strongly correlated with trends in earnings estimate revisions, according to empirical research.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements.
Is NVDA Worth Investing In?Looking at the earnings estimate revisions for Nvidia, the Zacks Consensus Estimate for the current year has increased 0.6% over the past month to $9.3.
Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #1 (Strong Buy) for Nvidia. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Therefore, the Buy-equivalent ABR for Nvidia may serve as a useful guide for investors.
Every time NVIDIA pulls back, the same question resurfaces: is the selloff a warning sign or a rare entry point into the most entrenched platform in AI computing? The answer depends on one software layer that almost nobody talks about.
I have bought NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) on dip after dip, and this latest slide put the stock back at the top of my research list. Shares fell 4.4% in the most recent session and 7.28% over the past month, closing at $212.21. That pullback stands out given NVIDIA’s position in AI computing.
Why I Keep Coming Back to NVIDIA
My thesis comes down to one point. AI models run on NVIDIA, and the CUDA software layer makes leaving expensive. On the August call, CEO Jensen Huang said “Our position in open models is very good because the CUDA ecosystem is literally everywhere.” Developers write for CUDA, clouds rent CUDA, and each new chip generation inherits that installed base. That lock-in strengthens with each chip generation.
Three Reasons My Conviction Keeps Growing
First, growth at scale. Revenue for the second quarter of fiscal 2027 reached $96.22B, up 105.8% year over year. Data Center revenue hit $89.02B, up 117%, and networking grew 138%. That tells me customers buy the whole AI factory, chips and connections together. Guidance calls for $108.0B ±2% next quarter.
Second, profitability. NVIDIA runs a 71.07% gross margin, a 60.38% operating margin, and a 101.49% return on equity. Fiscal 2026 free cash flow came in at $96.58B.
The balance sheet and capital return also look strong. Its debt-to-equity stands at 0.073, and interest coverage at 503.42x. NVIDIA returned about $26.0B in Q2 and holds $99.0B of remaining buyback authorization. The 0.019% yield pays me little, so I own this for compounding, and a P/E of 43 looks reasonable for that growth rate.
Why AMD and Broadcom Trail NVIDIA in My Analysis
Advanced Micro Devices (NASDAQ:AMD) grew Data Center revenue 107% last quarter. Still, it trades at a P/E of 191, with a gross margin near 49.5%, and its Q2 free cash flow fell 9.89%. AMD itself lists ROCm’s competition with established developer ecosystems as a risk.
Broadcom (NASDAQ:AVGO) posted AI semiconductor revenue of $16.70 billion, up 221%. Its own filings flag dependence on a limited number of AI customers and significant indebtedness. I prefer NVIDIA’s near-debt-free platform.
Risks I Track Every Quarter
Supply commitments rose to $279.0B from $119.0B one quarter earlier, mostly linked to Vera Rubin memory. Days sales outstanding extended to 60 days from 45, and guidance excludes China Data Center compute. If AI spending stalls, those commitments could hurt margins and cash flow.
Demand still exceeds supply. Huang said “Even though our demand is much greater than 70%, our supply allows us to confidently deliver 70%.” NVIDIA holds Vera Rubin purchase orders from every major hyperscaler, AI cloud and system OEM. Those orders make the commitments look like preparation to me.
What Keeps NVIDIA at the Top of My Watchlist
NVIDIA’s revenue opportunity per gigawatt rises to $40 billion with Vera Rubin from $25 billion with Blackwell. Top hyperscaler capex should reach nearly $800 billion in 2026 and $1.3 trillion in 2027. The stock has returned 837.87% over five years, and my long-term view remains the same. The expansion also needs power, cooling, and networking suppliers that rarely make the headlines, which we profiled in a free report on seven AI infrastructure stocks that aren’t chipmakers.
Contact [email protected] for any questions or corrections.
Short sellers piled into AI data center stocks and walked away with billions in October gains, but a $76 billion funding gap and bond yields near 15% suggest the pain for these companies may have only just started.
Short sellers in U.S. neocloud and AI data center stocks held about $6 billion in October paper profits through October 22, 2026, by ORTEX’s estimate. These gains are unrealized and get marked again at every close, so they can disappear quickly.
CoreWeave (NASDAQ:CRWV) fell 10.06% to $55.60 on October 22, leaving it with a $30.67 billion market value. During the session it reached $53.50, which is now the bottom of a 52-week range that tops out at $141.79. About 79.7 million shares changed hands, roughly 122% above the three-month average.
Nebius Group (NASDAQ:NBIS | NBIS Price Prediction) fell 7.23% to $159.17, a $43.63 billion market value, on the same day it announced new financing from Citi. Demand for AI computing looks strong, but investors doubt these companies can pay for the expansion that demand requires.
What Short Sellers Actually Won in October Nebius shorts made the most in October, $2.94 billion, but for 2026 as a whole they still show a $3.33 billion paper loss. That is because the stock is still up 90.16% year-to-date.
CoreWeave shorts made close to $1.7 billion. Shorts in IREN (NASDAQ:IREN) and Applied Digital (NASDAQ:APLD) made $1.2 billion-plus between them. CoreWeave is the clearer win for shorts, since the stock is down 22.36% for 2026.
From September 30 to October 22, CoreWeave fell about 36% from $87.12. Nebius fell about 33% from $235.88 over that span.
How Crowded the Short Trade Has Become Across the group’s five most-shorted names, short interest runs about 20% to 26% of free float. Free float refers to the shares actually available to trade. CoreWeave’s figure is 23.7%, up from 19.6% at the start of October and 22.7% in January. Nebius rose to 20% from 15.4%.
About $17 billion of stock is sold short across those names, and borrowing the shares is still cheap. Low fees let shorts hold their positions for months. The risk is that a crowded trade can reverse fast. If good news forces many shorts to buy shares back at the same time, the price jumps, and that is called a short squeeze.
Debt Math Driving the Selloff Bernstein kept its Underperform rating on CoreWeave and cut its price target to $51 from $74. The firm estimates CoreWeave needs about $85 billion to deliver on its existing contracts. Current facilities cover about $9 billion of that, leaving roughly $76 billion to raise from outside. If the company sells stock to fill that gap, existing shareholders get diluted.
CoreWeave’s unsecured bonds recently yielded around 15%, and its 2032 notes yielded near 14.8%. Double-digit yields mean lenders see real default risk, and the bond market often signals trouble before the stock market does.
Nearly half of the data center bonds sold in 2026 are junk-rated, meaning rated below investment grade. That junk total is more than four times last year’s. Bonds linked to data centers that CoreWeave rents yield about 11% on average.
New Money That Didn’t Calm the Market Nebius’s $3.5 billion senior secured facility from Citi will pay for data center development and GPU purchases. It charges Term SOFR, a benchmark lending rate, plus 2.75%, and that margin can rise to a maximum of 3.50%. The company’s COO, Ophir Nave, said, “This facility provides additional financing to support our near-term capacity build-out.”
The stock fell anyway. The loan matures in 364 days, so Nebius will face the refinancing question again within a year.
Can AI Data Center Stocks Close Their Funding Gap? The most bullish voices have a stake in the result. NVIDIA (NASDAQ:NVDA) CEO Jensen Huang said at GTC Berlin that “the demand for the neoclouds is off the charts” and that the capital shortage is “going to get solved.” NVIDIA sells the GPUs these companies borrow to buy, and its own stock fell 4.40% to $212.21 on October 22.
Blackstone President and COO Jon Gray said “the underlying business is actually quite strong” and thinks CoreWeave can get through its financing pressure. He also claims compute pricing is up 50% for neoclouds that make it through. That figure is his opinion and has not been verified. Whatever happens to the neoclouds, the power, cooling, and networking suppliers behind the data centers keep collecting checks, which is why we pulled seven of them into a free report on the AI buildout.
For now, the bear case is stronger. Strong demand still leaves a $76 billion funding gap at CoreWeave, and bond yields near 15% show lenders are worried too. NVIDIA gets paid for its chips without carrying the neoclouds’ funding gap.
The next test comes with third-quarter reports, which are expected but not confirmed by the companies: IREN around November 5, CoreWeave around November 9, and Nebius around November 10. If CoreWeave closes below $53.50, or its unsecured bond yields stay near 15% after it reports, the short sellers’ case holds.
Contact [email protected] for any questions or corrections.
Axxcess Wealth Management LLC lowered its holdings in shares of AT&T Inc. (NYSE:T – Free Report) by 22.5% during the third quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 100,210 shares of the technology company’s stock after selling 29,056 shares during the quarter. Axxcess Wealth Management LLC’s holdings in AT&T were worth $2,445,000 at the end of the most recent reporting period.
Other institutional investors also recently bought and sold shares of the company. Albion Financial Group UT grew its holdings in AT&T by 32.5% in the third quarter. Albion Financial Group UT now owns 2,301 shares of the technology company’s stock valued at $56,000 after purchasing an additional 565 shares during the period. Inlet Private Wealth LLC raised its stake in shares of AT&T by 22.1% during the 3rd quarter. Inlet Private Wealth LLC now owns 20,178 shares of the technology company’s stock worth $492,000 after buying an additional 3,650 shares during the period. Ellis Investment Partners LLC lifted its position in shares of AT&T by 3.8% during the 3rd quarter. Ellis Investment Partners LLC now owns 21,076 shares of the technology company’s stock valued at $514,000 after buying an additional 776 shares in the last quarter. Physician Wealth Advisors Inc. lifted its position in shares of AT&T by 11.5% during the 3rd quarter. Physician Wealth Advisors Inc. now owns 12,158 shares of the technology company’s stock valued at $297,000 after buying an additional 1,254 shares in the last quarter. Finally, Carnegie Investment Counsel grew its stake in AT&T by 27.0% in the 3rd quarter. Carnegie Investment Counsel now owns 142,506 shares of the technology company’s stock valued at $3,477,000 after acquiring an additional 30,302 shares during the period. 57.10% of the stock is owned by institutional investors and hedge funds.
Key Stories Impacting AT&T Here are the key news stories impacting AT&T this week:
Positive Sentiment: AT&T reported third-quarter adjusted EPS of $0.65 and revenue of $32.32 billion, exceeding analyst estimates. Revenue increased roughly 5.2% year over year, supported by fiber and wireless growth. AT&T quarterly earnings results Positive Sentiment: Record Advanced Connectivity additions included 769,000 internet customers, 442,000 fiber additions and 379,000 postpaid phone additions. Management raised its 2026 adjusted EPS outlook to approximately $2.40 and plans roughly $10 billion in share repurchases. AT&T third-quarter results Positive Sentiment: Argus reaffirmed its buy rating with a $30 price target, while JPMorgan and KeyCorp maintained positive ratings despite reducing their targets to $31 and $33, respectively. Analyst ratings Neutral Sentiment: AT&T plans to reduce annual capital spending by about $1 billion in 2027–2028 while retaining its goal of reaching more than 60 million fiber locations by 2030. The lower spending supports cash flow but could raise questions about growth investment and fiber execution. AT&T fiber spending strategy Negative Sentiment: Investors are concerned that debt reduction is taking longer than expected. Net debt rose following the EchoStar spectrum transaction, and management now expects to return to its targeted net-debt-to-EBITDA range in 2029. A $2.6 billion noncash impairment tied to the Mexico wireless business also weighed on sentiment. AT&T debt and impairment analysis Negative Sentiment: Potential competition from SpaceX’s Starlink Mobile service is amplifying concerns about wireless subscriber growth, pricing and the need for additional customer incentives. Fiber introductory promotions are also pressuring pricing. Telecom stocks and Starlink concerns AT&T Stock Up 3.7% T stock opened at $22.73 on Friday. The firm has a market cap of $155.72 billion, a PE ratio of 9.17, a PEG ratio of 1.04 and a beta of 0.25. The company has a debt-to-equity ratio of 1.22, a quick ratio of 0.93 and a current ratio of 0.87. The firm’s 50 day moving average price is $24.86 and its 200-day moving average price is $24.25. AT&T Inc. has a one year low of $19.89 and a one year high of $29.43. AT&T (NYSE:T – Get Free Report) last announced its quarterly earnings results on Wednesday, October 21st. The technology company reported $0.65 EPS for the quarter, beating the consensus estimate of $0.60 by $0.05. The business had revenue of $32.32 billion for the quarter, compared to analyst estimates of $31.69 billion. AT&T had a return on equity of 13.41% and a net margin of 10.19%. The company’s quarterly revenue was up 5.2% on a year-over-year basis. During the same quarter in the prior year, the company posted $0.54 EPS. On average, equities research analysts anticipate that AT&T Inc. will post 2.39 EPS for the current year.
AT&T Announces Dividend The business also recently announced a quarterly dividend, which will be paid on Monday, November 2nd. Shareholders of record on Monday, October 12th will be paid a dividend of $0.2775 per share. This represents a $1.11 annualized dividend and a yield of 4.9%. The ex-dividend date of this dividend is Friday, October 9th. AT&T’s dividend payout ratio (DPR) is 36.75%.
Analyst Ratings Changes Several research firms have issued reports on T. Sanford C. Bernstein downgraded shares of AT&T from an “outperform” rating to a “market perform” rating and set a $24.00 price objective on the stock. in a report on Tuesday, October 13th. KeyCorp cut their target price on shares of AT&T from $36.00 to $33.00 and set an “overweight” rating for the company in a research note on Thursday. Royal Bank Of Canada reduced their price target on shares of AT&T from $31.00 to $27.00 and set an “outperform” rating for the company in a research report on Monday, July 20th. Scotiabank decreased their price target on shares of AT&T from $27.50 to $26.50 and set a “sector perform” rating on the stock in a research note on Friday, October 9th. Finally, Weiss Ratings upgraded AT&T from a “hold (c+)” rating to a “buy (b-)” rating in a report on Monday, August 3rd. Twelve investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $28.55.
Read Our Latest Stock Report on T
AT&T Company Profile (Free Report)
AT&T Inc (NYSE: T) is a telecommunications company that provides wireless communications, broadband, and related connectivity services. Its offerings include mobile voice and data plans, internet access, fiber broadband, fixed wireless services, and business communications solutions.
The company serves consumers, businesses, government agencies, and other organizations primarily in the United States. AT&T’s business operations include wireless network services, wireline connectivity, fiber-optic internet, voice services, and networking solutions designed to connect locations, devices, and applications.
AT&T traces its history to the Bell System and has operated under its current corporate name since 2005, following the acquisition of AT&T Corp.
Featured Articles Five stocks we like better than AT&T Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding T? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for AT&T Inc. (NYSE:T – Free Report).
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Telecom stocks are tumbling on news that SpaceX is aiming to secure 80,000 cell sites across the US, raising the specter of fierce competition between the industry's big three and Starlink Mobile.
AT&T Inc. (NYSE:T) shares are sliding Thursday after a report that SpaceX wants access to at least 80,000 cell sites across the U.S., a prospect that is stoking competition fears for wireless carriers.
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Stock to Watch: AT&T (T - Free Report) Based in Dallas, TX, AT&T Inc. is the second largest wireless service provider in North America and one of the world’s leading communications service carriers. It provides wireless, local exchange, long-distance, broadband, Internet, video, managed networking, wholesale and cloud-based services.
T is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
It also boasts a Value Style Score of A thanks to attractive valuation metrics like a forward P/E ratio of 9.62; value investors should take notice.
For fiscal 2026, seven analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.02 to $2.36 per share. T boasts an average earnings surprise of +8.4%.
With a solid Zacks Rank and top-tier Value and VGM Style Scores, T should be on investors' short list.
Carnegie Investment Counsel lessened its position in Netflix, Inc. (NASDAQ:NFLX – Free Report) by 45.3% during the third quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 14,002 shares of the Internet television network’s stock after selling 11,617 shares during the quarter. Carnegie Investment Counsel’s holdings in Netflix were worth $974,000 as of its most recent filing with the SEC.
Several other institutional investors have also recently bought and sold shares of NFLX. American Capital Advisory LLC raised its holdings in shares of Netflix by 0.8% in the first quarter. American Capital Advisory LLC now owns 13,990 shares of the Internet television network’s stock valued at $1,345,000 after purchasing an additional 109 shares during the last quarter. CWS Financial Advisors LLC boosted its holdings in Netflix by 3.2% during the first quarter. CWS Financial Advisors LLC now owns 3,612 shares of the Internet television network’s stock worth $347,000 after purchasing an additional 112 shares during the last quarter. Warner Group LLC boosted its holdings in Netflix by 2.2% during the first quarter. Warner Group LLC now owns 5,230 shares of the Internet television network’s stock worth $503,000 after purchasing an additional 114 shares during the last quarter. Financial Avengers Inc. grew its position in Netflix by 9.8% in the first quarter. Financial Avengers Inc. now owns 1,290 shares of the Internet television network’s stock valued at $124,000 after purchasing an additional 115 shares in the last quarter. Finally, PAX Financial Group LLC grew its position in Netflix by 2.5% in the first quarter. PAX Financial Group LLC now owns 4,847 shares of the Internet television network’s stock valued at $466,000 after purchasing an additional 116 shares in the last quarter. Institutional investors own 80.93% of the company’s stock.
Analysts Set New Price Targets Several brokerages have issued reports on NFLX. Guggenheim lowered their price target on shares of Netflix from $80.00 to $78.00 and set a “buy” rating on the stock in a research note on Wednesday. Pivotal Research restated a “hold” rating and set a $65.00 price objective (down from $70.00) on shares of Netflix in a research note on Wednesday. Loop Capital reduced their price objective on shares of Netflix from $115.00 to $95.00 and set a “buy” rating for the company in a research note on Friday, July 24th. DZ Bank restated a “buy” rating on shares of Netflix in a report on Monday, July 20th. Finally, Wolfe Research downgraded Netflix from an “outperform” rating to a “peer perform” rating in a research report on Thursday. Three investment analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, seventeen have assigned a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $89.59.
Get Our Latest Research Report on NFLX Netflix Stock Performance Shares of NASDAQ NFLX opened at $67.05 on Friday. The company has a current ratio of 1.07, a quick ratio of 1.14 and a debt-to-equity ratio of 0.43. The company has a market capitalization of $279.19 billion, a P/E ratio of 19.38, a P/E/G ratio of 0.92 and a beta of 1.62. Netflix, Inc. has a 12 month low of $64.10 and a 12 month high of $116.73. The stock has a 50 day moving average of $74.52 and a 200-day moving average of $79.74.
Netflix (NASDAQ:NFLX – Get Free Report) last announced its quarterly earnings results on Tuesday, October 20th. The Internet television network reported $0.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.82 by $0.05. Netflix had a return on equity of 42.69% and a net margin of 29.69%. The business had revenue of $12.87 billion during the quarter, compared to the consensus estimate of $12.87 billion. During the same quarter last year, the firm posted $0.59 EPS. The company’s quarterly revenue was up 11.9% on a year-over-year basis. As a group, equities research analysts predict that Netflix, Inc. will post 3.58 EPS for the current year.
Insider Buying and Selling In other news, CFO Spencer Neumann sold 9,248 shares of the stock in a transaction dated Monday, August 10th. The shares were sold at an average price of $75.79, for a total value of $700,905.92. Following the transaction, the chief financial officer directly owned 73,787 shares of the company’s stock, valued at $5,592,316.73. This represents a 11.14% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO Theodore Sarandos sold 105,850 shares of the firm’s stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $73.03, for a total transaction of $7,730,225.50. Following the sale, the chief executive officer owned 206,266 shares of the company’s stock, valued at approximately $15,063,605.98. This represents a 33.91% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders sold 179,045 shares of company stock valued at $13,132,194. 1.24% of the stock is currently owned by insiders.
Key Stories Impacting Netflix Here are the key news stories impacting Netflix this week:
Positive Sentiment: Investors are treating the sell-off as a potential buying opportunity. Netflix beat third-quarter EPS expectations, generated $12.87 billion in revenue, and increased operating income 34.6% year over year. Several analysts—including UBS, JPMorgan, Bank of America, and TD Cowen—retained positive ratings despite lowering price targets. Stock Market Today, Oct. 22: Netflix Rises as Investors Capitalize on Post-Earnings Sell-Off Positive Sentiment: Netflix’s valuation has become more attractive after the decline, with investors emphasizing rising profits, more than 300 million subscribers, pricing power, and potential long-term growth from advertising, live events, and international content. The company’s buybacks are substantial, although management appears to follow a systematic rather than opportunistic repurchase strategy. The Truth About Netflix’s Massive Stock Buybacks Neutral Sentiment: Management continues to target double-digit revenue growth and expects advertising revenue to grow more than 80% in 2026. Netflix is investing in original programming, theatrical releases, live sports, and events such as NFL games, but executives acknowledge that viewer-hour growth and content execution need to improve. Negative Sentiment: The principal pressure is Netflix’s fourth-quarter outlook: EPS guidance of $0.67 trails the $0.73 consensus, while projected revenue of $13.4 billion is below the $13.5 billion estimate. Full-year revenue guidance was also slightly reduced. ETFs in Focus as Netflix Shares Tumble Amid Q3 Earnings Beat, Guidance Cut Negative Sentiment: Netflix cut its 2026 advertising-revenue forecast from approximately $3 billion to $2.7 billion, reinforcing concerns about slower growth, delayed ad execution, weaker engagement, and competition from YouTube, TikTok, and lower-cost streaming options. Multiple analysts consequently lowered price targets, while Needham downgraded the stock to Hold. Why Netflix Stock Dropped Today Netflix Company Profile (Free Report)
Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.
The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.
See Also Five stocks we like better than Netflix Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
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Compass Wealth Management LLC grew its stake in Netflix, Inc. (NASDAQ:NFLX – Free Report) by 26.5% in the third quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 89,926 shares of the Internet television network’s stock after acquiring an additional 18,836 shares during the quarter. Netflix comprises approximately 1.2% of Compass Wealth Management LLC’s investment portfolio, making the stock its 25th biggest position. Compass Wealth Management LLC’s holdings in Netflix were worth $6,257,000 at the end of the most recent reporting period.
Several other institutional investors have also modified their holdings of the stock. Royal Fund Management LLC lifted its stake in shares of Netflix by 1.5% in the 3rd quarter. Royal Fund Management LLC now owns 34,593 shares of the Internet television network’s stock valued at $2,407,000 after purchasing an additional 528 shares during the last quarter. WP Advisors LLC lifted its position in Netflix by 7.3% in the third quarter. WP Advisors LLC now owns 141,341 shares of the Internet television network’s stock valued at $9,835,000 after buying an additional 9,611 shares during the last quarter. Strategic Planning Group LLC boosted its stake in Netflix by 4.1% during the third quarter. Strategic Planning Group LLC now owns 152,979 shares of the Internet television network’s stock worth $10,644,000 after buying an additional 6,082 shares during the period. Indiana Trust & Investment Management Co boosted its stake in Netflix by 120.2% during the third quarter. Indiana Trust & Investment Management Co now owns 1,145 shares of the Internet television network’s stock worth $80,000 after buying an additional 625 shares during the period. Finally, Benin Management CORP boosted its stake in Netflix by 12.9% during the third quarter. Benin Management CORP now owns 5,690 shares of the Internet television network’s stock worth $396,000 after buying an additional 650 shares during the period. Hedge funds and other institutional investors own 80.93% of the company’s stock.
Wall Street Analysts Forecast Growth A number of equities research analysts have weighed in on NFLX shares. Itau BBA Securities dropped their price target on shares of Netflix from $151.40 to $96.00 and set an “outperform” rating for the company in a research report on Wednesday, August 5th. New Street Research upped their price objective on shares of Netflix from $96.00 to $102.00 and gave the stock a “neutral” rating in a report on Friday, July 17th. Deutsche Bank Aktiengesellschaft set a $93.00 price objective on shares of Netflix in a research report on Wednesday. KGI Securities downgraded shares of Netflix from an “outperform” rating to a “neutral” rating and set a $75.00 target price for the company. in a report on Friday, July 17th. Finally, Daiwa Securities Group cut their target price on Netflix from $102.00 to $76.00 and set an “outperform” rating on the stock in a research report on Wednesday, July 22nd. Three research analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, seventeen have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, Netflix has a consensus rating of “Moderate Buy” and a consensus price target of $89.59.
Read Our Latest Report on Netflix Key Headlines Impacting Netflix Here are the key news stories impacting Netflix this week:
Positive Sentiment: Investors are treating the sell-off as a potential buying opportunity. Netflix beat third-quarter EPS expectations, generated $12.87 billion in revenue, and increased operating income 34.6% year over year. Several analysts—including UBS, JPMorgan, Bank of America, and TD Cowen—retained positive ratings despite lowering price targets. Stock Market Today, Oct. 22: Netflix Rises as Investors Capitalize on Post-Earnings Sell-Off Positive Sentiment: Netflix’s valuation has become more attractive after the decline, with investors emphasizing rising profits, more than 300 million subscribers, pricing power, and potential long-term growth from advertising, live events, and international content. The company’s buybacks are substantial, although management appears to follow a systematic rather than opportunistic repurchase strategy. The Truth About Netflix’s Massive Stock Buybacks Neutral Sentiment: Management continues to target double-digit revenue growth and expects advertising revenue to grow more than 80% in 2026. Netflix is investing in original programming, theatrical releases, live sports, and events such as NFL games, but executives acknowledge that viewer-hour growth and content execution need to improve. Negative Sentiment: The principal pressure is Netflix’s fourth-quarter outlook: EPS guidance of $0.67 trails the $0.73 consensus, while projected revenue of $13.4 billion is below the $13.5 billion estimate. Full-year revenue guidance was also slightly reduced. ETFs in Focus as Netflix Shares Tumble Amid Q3 Earnings Beat, Guidance Cut Negative Sentiment: Netflix cut its 2026 advertising-revenue forecast from approximately $3 billion to $2.7 billion, reinforcing concerns about slower growth, delayed ad execution, weaker engagement, and competition from YouTube, TikTok, and lower-cost streaming options. Multiple analysts consequently lowered price targets, while Needham downgraded the stock to Hold. Why Netflix Stock Dropped Today Insider Activity In other Netflix news, CEO Theodore A. Sarandos sold 27,312 shares of the business’s stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $73.35, for a total value of $2,003,335.20. Following the completion of the transaction, the chief executive officer owned 178,954 shares in the company, valued at $13,126,275.90. The trade was a 13.24% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Richard N. Barton sold 720 shares of the business’s stock in a transaction on Thursday, September 10th. The stock was sold at an average price of $75.27, for a total transaction of $54,194.40. Following the completion of the transaction, the director owned 2,460 shares of the company’s stock, valued at approximately $185,164.20. This trade represents a 22.64% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 179,045 shares of company stock worth $13,132,194 over the last 90 days. Company insiders own 1.24% of the company’s stock.
Netflix Stock Up 3.1% Shares of NASDAQ:NFLX opened at $67.05 on Friday. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.07 and a quick ratio of 1.14. The firm has a market capitalization of $279.19 billion, a PE ratio of 19.38, a price-to-earnings-growth ratio of 0.92 and a beta of 1.62. The firm’s 50-day moving average is $74.52 and its two-hundred day moving average is $79.74. Netflix, Inc. has a 1 year low of $64.10 and a 1 year high of $116.73.
Netflix (NASDAQ:NFLX – Get Free Report) last issued its quarterly earnings results on Tuesday, October 20th. The Internet television network reported $0.87 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.82 by $0.05. Netflix had a net margin of 29.69% and a return on equity of 42.69%. The business had revenue of $12.87 billion for the quarter, compared to analysts’ expectations of $12.87 billion. During the same quarter in the prior year, the company earned $0.59 earnings per share. The business’s quarterly revenue was up 11.9% on a year-over-year basis. Analysts predict that Netflix, Inc. will post 3.58 EPS for the current year.
Netflix Company Profile (Free Report)
Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.
The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.
Featured Articles Five stocks we like better than Netflix Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check Want to see what other hedge funds are holding NFLX? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Netflix, Inc. (NASDAQ:NFLX – Free Report).
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Adams Diversified Equity Fund Inc. reduced its position in shares of Netflix, Inc. (NASDAQ:NFLX – Free Report) by 30.4% in the third quarter, according to its most recent filing with the SEC. The fund owned 146,520 shares of the Internet television network’s stock after selling 64,000 shares during the quarter. Adams Diversified Equity Fund Inc.’s holdings in Netflix were worth $10,195,000 at the end of the most recent reporting period.
Other institutional investors and hedge funds have also recently modified their holdings of the company. BlackRock Inc. bought a new stake in Netflix in the second quarter worth $24,902,221,000. Bank of New York Mellon Corp purchased a new stake in Netflix in the 2nd quarter worth about $1,906,482,000. Legal & General Group Plc purchased a new stake in Netflix in the 2nd quarter worth about $1,886,526,000. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in Netflix in the second quarter worth about $1,481,303,000. Finally, Assenagon Asset Management S.A. lifted its stake in Netflix by 194.9% in the third quarter. Assenagon Asset Management S.A. now owns 16,111,438 shares of the Internet television network’s stock worth $1,121,034,000 after purchasing an additional 10,647,803 shares during the last quarter. 80.93% of the stock is owned by hedge funds and other institutional investors.
More Netflix News Here are the key news stories impacting Netflix this week:
Positive Sentiment: Investors are treating the sell-off as a potential buying opportunity. Netflix beat third-quarter EPS expectations, generated $12.87 billion in revenue, and increased operating income 34.6% year over year. Several analysts—including UBS, JPMorgan, Bank of America, and TD Cowen—retained positive ratings despite lowering price targets. Stock Market Today, Oct. 22: Netflix Rises as Investors Capitalize on Post-Earnings Sell-Off Positive Sentiment: Netflix’s valuation has become more attractive after the decline, with investors emphasizing rising profits, more than 300 million subscribers, pricing power, and potential long-term growth from advertising, live events, and international content. The company’s buybacks are substantial, although management appears to follow a systematic rather than opportunistic repurchase strategy. The Truth About Netflix’s Massive Stock Buybacks Neutral Sentiment: Management continues to target double-digit revenue growth and expects advertising revenue to grow more than 80% in 2026. Netflix is investing in original programming, theatrical releases, live sports, and events such as NFL games, but executives acknowledge that viewer-hour growth and content execution need to improve. Negative Sentiment: The principal pressure is Netflix’s fourth-quarter outlook: EPS guidance of $0.67 trails the $0.73 consensus, while projected revenue of $13.4 billion is below the $13.5 billion estimate. Full-year revenue guidance was also slightly reduced. ETFs in Focus as Netflix Shares Tumble Amid Q3 Earnings Beat, Guidance Cut Negative Sentiment: Netflix cut its 2026 advertising-revenue forecast from approximately $3 billion to $2.7 billion, reinforcing concerns about slower growth, delayed ad execution, weaker engagement, and competition from YouTube, TikTok, and lower-cost streaming options. Multiple analysts consequently lowered price targets, while Needham downgraded the stock to Hold. Why Netflix Stock Dropped Today Wall Street Analysts Forecast Growth NFLX has been the topic of several recent analyst reports. UBS Group set a $90.00 price target on Netflix in a report on Wednesday. The Goldman Sachs Group set a $84.00 price target on shares of Netflix in a report on Wednesday. HSBC lowered Netflix from a “buy” rating to a “hold” rating and lowered their target price for the stock from $96.00 to $76.00 in a report on Tuesday, September 22nd. Wolfe Research cut Netflix from an “outperform” rating to a “peer perform” rating in a research report on Thursday. Finally, DZ Bank reiterated a “buy” rating on shares of Netflix in a report on Monday, July 20th. Three investment analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, seventeen have issued a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $89.59. Get Our Latest Stock Analysis on Netflix
Insider Buying and Selling at Netflix In related news, CEO Theodore A. Sarandos sold 27,312 shares of the stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $73.35, for a total value of $2,003,335.20. Following the completion of the transaction, the chief executive officer directly owned 178,954 shares of the company’s stock, valued at $13,126,275.90. This trade represents a 13.24% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Richard N. Barton sold 720 shares of Netflix stock in a transaction that occurred on Thursday, September 10th. The stock was sold at an average price of $75.27, for a total transaction of $54,194.40. Following the completion of the sale, the director owned 2,460 shares of the company’s stock, valued at $185,164.20. This trade represents a 22.64% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 179,045 shares of company stock valued at $13,132,194. Insiders own 1.24% of the company’s stock.
Netflix Trading Up 3.1% Shares of NASDAQ:NFLX opened at $67.05 on Friday. The business’s 50-day moving average is $74.52 and its 200 day moving average is $79.74. Netflix, Inc. has a 1 year low of $64.10 and a 1 year high of $116.73. The firm has a market capitalization of $279.19 billion, a P/E ratio of 22.20, a P/E/G ratio of 0.92 and a beta of 1.62. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.07 and a quick ratio of 1.14.
Netflix (NASDAQ:NFLX – Get Free Report) last released its quarterly earnings results on Tuesday, October 20th. The Internet television network reported $0.87 EPS for the quarter, beating analysts’ consensus estimates of $0.82 by $0.05. The company had revenue of $12.87 billion during the quarter, compared to analysts’ expectations of $12.87 billion. Netflix had a return on equity of 42.69% and a net margin of 29.69%. The firm’s revenue was up 11.9% compared to the same quarter last year. During the same period last year, the business posted $0.59 earnings per share. On average, research analysts predict that Netflix, Inc. will post 3.58 earnings per share for the current fiscal year.
Netflix Profile (Free Report)
Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.
The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.
Read More Five stocks we like better than Netflix Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
Receive News & Ratings for Netflix Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Netflix and related companies with MarketBeat.com's FREE daily email newsletter.
AMF Tjanstepension AB trimmed its position in shares of Netflix, Inc. (NASDAQ:NFLX – Free Report) by 4.1% in the third quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund owned 1,215,346 shares of the Internet television network’s stock after selling 52,511 shares during the period. AMF Tjanstepension AB’s holdings in Netflix were worth $84,564,000 as of its most recent SEC filing.
Several other large investors have also made changes to their positions in the company. BlackRock Inc. acquired a new position in Netflix in the second quarter valued at $24,902,221,000. State Street Corp increased its stake in Netflix by 4.9% during the second quarter. State Street Corp now owns 180,129,582 shares of the Internet television network’s stock worth $12,861,252,000 after acquiring an additional 8,474,820 shares during the last quarter. Bank of America Corp DE increased its stake in Netflix by 4.3% during the first quarter. Bank of America Corp DE now owns 57,942,812 shares of the Internet television network’s stock worth $5,571,201,000 after acquiring an additional 2,376,349 shares during the last quarter. Bank of New York Mellon Corp acquired a new stake in Netflix during the second quarter worth about $1,906,482,000. Finally, Legal & General Group Plc purchased a new position in shares of Netflix in the 2nd quarter worth about $1,886,526,000. 80.93% of the stock is owned by hedge funds and other institutional investors.
Insider Transactions at Netflix In other Netflix news, Director Richard Barton sold 2,160 shares of the stock in a transaction that occurred on Wednesday, August 5th. The shares were sold at an average price of $75.10, for a total value of $162,216.00. Following the completion of the sale, the director owned 246 shares of the company’s stock, valued at $18,474.60. This trade represents a 89.78% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider David Hyman sold 5,723 shares of Netflix stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $72.85, for a total transaction of $416,920.55. Following the sale, the insider owned 316,100 shares in the company, valued at $23,027,885. This represents a 1.78% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 179,045 shares of company stock worth $13,132,194 over the last 90 days. 1.24% of the stock is owned by corporate insiders.
Analyst Ratings Changes Several equities analysts have recently weighed in on NFLX shares. KeyCorp reduced their price objective on Netflix from $92.00 to $85.00 and set an “overweight” rating on the stock in a research note on Tuesday, October 13th. UBS Group set a $90.00 target price on shares of Netflix in a research report on Wednesday. DZ Bank reissued a “buy” rating on shares of Netflix in a research report on Monday, July 20th. BMO Capital Markets restated an “outperform” rating and issued a $125.00 price target (down from $135.00) on shares of Netflix in a report on Friday, October 16th. Finally, Wells Fargo & Company cut shares of Netflix from a “neutral” rating to an “underweight” rating and reduced their price target for the company from $80.00 to $57.00 in a research report on Friday, September 18th. Three investment analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating, seventeen have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $89.59. View Our Latest Report on NFLX
Netflix Price Performance Shares of NASDAQ NFLX opened at $67.05 on Friday. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.07 and a quick ratio of 1.14. Netflix, Inc. has a 1-year low of $64.10 and a 1-year high of $116.73. The company has a market capitalization of $279.19 billion, a price-to-earnings ratio of 19.38, a PEG ratio of 0.92 and a beta of 1.62. The business has a 50-day moving average of $74.52 and a 200-day moving average of $79.74.
Netflix (NASDAQ:NFLX – Get Free Report) last announced its earnings results on Tuesday, October 20th. The Internet television network reported $0.87 EPS for the quarter, beating the consensus estimate of $0.82 by $0.05. The business had revenue of $12.87 billion for the quarter, compared to the consensus estimate of $12.87 billion. Netflix had a return on equity of 42.69% and a net margin of 29.69%. The company’s revenue was up 11.9% on a year-over-year basis. During the same period last year, the business posted $0.59 EPS. On average, equities analysts anticipate that Netflix, Inc. will post 3.58 EPS for the current fiscal year.
Key Netflix News Here are the key news stories impacting Netflix this week:
Positive Sentiment: Investors are treating the sell-off as a potential buying opportunity. Netflix beat third-quarter EPS expectations, generated $12.87 billion in revenue, and increased operating income 34.6% year over year. Several analysts—including UBS, JPMorgan, Bank of America, and TD Cowen—retained positive ratings despite lowering price targets. Stock Market Today, Oct. 22: Netflix Rises as Investors Capitalize on Post-Earnings Sell-Off Positive Sentiment: Netflix’s valuation has become more attractive after the decline, with investors emphasizing rising profits, more than 300 million subscribers, pricing power, and potential long-term growth from advertising, live events, and international content. The company’s buybacks are substantial, although management appears to follow a systematic rather than opportunistic repurchase strategy. The Truth About Netflix’s Massive Stock Buybacks Neutral Sentiment: Management continues to target double-digit revenue growth and expects advertising revenue to grow more than 80% in 2026. Netflix is investing in original programming, theatrical releases, live sports, and events such as NFL games, but executives acknowledge that viewer-hour growth and content execution need to improve. Negative Sentiment: The principal pressure is Netflix’s fourth-quarter outlook: EPS guidance of $0.67 trails the $0.73 consensus, while projected revenue of $13.4 billion is below the $13.5 billion estimate. Full-year revenue guidance was also slightly reduced. ETFs in Focus as Netflix Shares Tumble Amid Q3 Earnings Beat, Guidance Cut Negative Sentiment: Netflix cut its 2026 advertising-revenue forecast from approximately $3 billion to $2.7 billion, reinforcing concerns about slower growth, delayed ad execution, weaker engagement, and competition from YouTube, TikTok, and lower-cost streaming options. Multiple analysts consequently lowered price targets, while Needham downgraded the stock to Hold. Why Netflix Stock Dropped Today Netflix Profile (Free Report)
Netflix, Inc (NASDAQ:NFLX) is a global entertainment company that provides subscription-based streaming services. Its platform offers a broad selection of television series, films, documentaries, stand-up specials and other programming, including content produced by Netflix and licensed from third-party studios and creators.
The company also develops and distributes original productions under the Netflix brand and has expanded into additional entertainment offerings, including mobile and cloud-based games in select markets and live programming.
Featured Articles Five stocks we like better than Netflix Is Texas Instruments Setting Up for Its Next Big Breakout? Pegasystems’ Q3 Miss Exposed the Problem Standing Between AI and Cash Flow Lam Research’s Earnings Beat Wasn’t the Real Story—Its 2027 Outlook Was Tesla’s Flying-Car Hype Hits an Earnings Reality Check
Receive News & Ratings for Netflix Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Netflix and related companies with MarketBeat.com's FREE daily email newsletter.
Billionaire investor Bill Ackman lost more than $400 million on Netflix Inc. (NASDAQ:NFLX) in 2022 after deciding its future was too difficult to predict. Four years later, he’s back, forecasting annualized investment returns above 20% despite another disappointing earnings reaction.
“We expect our go-forward IRR to be well into the 20s,” Ackman told CNBC Thursday.
From a $400 Million Loss to a ‘High-Growth Utility’Ackman’s Pershing Square sold its entire Netflix stake in April 2022, just three months after buying it. Subscriber losses and uncertainty over advertising and password-sharing plans had shaken his confidence.
“We have lost confidence in our ability to predict the company’s future prospects with a sufficient degree of certainty,” he wrote to investors.
Now Ackman calls Netflix a “high-growth utility,” citing subscriber loyalty, pricing power and earnings growth he expects to remain in the high teens to 20% for years.
“They’ve won the streaming wars. I don’t know who displaces Netflix,” he said.
Ackman even welcomed this week’s results, despite the post-earnings selloff.
“We actually view the quarter very favorably,” he said.
Netflix’s third-quarter operating income climbed 37% to $4.46 billion, while subscriber cancellations declined globally and in the United States despite recent price increases.
Why Ackman Welcomes Cheaper SharesNetflix generated $2.9 billion in quarterly free cash flow and spent a record $4.8 billion repurchasing shares, its latest results showed.
Ackman believes falling share prices could benefit long-term investors by allowing Netflix to buy back more stock for the same money.
“We’ll make more money over time if the stock is cheaper in the short to intermediate term because they’re going to cancel a lot more shares as a result,” he said.
He described Netflix as trading at roughly 18 times earnings, although trailing profits include a one-time $2.8 billion payment received earlier this year following the failed Warner Bros. Discovery deal.
But Netflix’s growth is showing signs of strain. The company cut its advertising revenue forecast by $300 million to $2.7 billion, while its U.S. programming has reportedly struggled to produce major hits.
Netflix is bringing in a new content chief to turn things around, even as YouTube captures a growing share of Americans’ viewing time.
Investor and YouTube commentator Joseph Carlson pushed back on the YouTube threat in a video Wednesday.
“People do not necessarily cancel Netflix because they watch more YouTube,” Carlson said.
Ackman also said Meta Platforms Inc. (NASDAQ:META) could finance its ambitious AI expansion with additional borrowing, pointing to its $82 billion in cash and securities.
On Polymarket, traders gave Netflix a roughly 10% chance of reaching $75 by October’s end, about 12% above Thursday’s $67.05 close. The market had approximately $35,000 traded.
While prediction-market traders focus on the next few trading sessions, Ackman’s return to Netflix reflects a longer-term bet that rising profits and aggressive buybacks can deliver exceptional returns even as revenue growth slows.
Image: Shutterstock
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Key Takeaways Netflix's operating margin rose to 34.6% from 28.2%, as operating income climbed 37% to $4.46 billion.Content asset additions surged 24% to $14.93B in 9 months, while Netflix reaffirmed its 31.5% margin target.NFLX cut ad revenue and free cash flow outlooks, while ad-tier expansion offer growth opportunities. Netflix (NFLX - Free Report) is testing whether its margin gains can withstand a steadily rising content bill. Third-quarter 2026 results showed operating margin expanding to 34.6% from 28.2% a year ago, even as additions to content assets climbed 10.9% year over year to $5.16 billion. Content amortization rose just 5.8% to $4.24 billion, while revenues grew 11.8% to $12.87 billion, lifting operating income 37% to $4.46 billion.
Spending is not flattening, however. Nine-month additions to content assets totaled $14.93 billion, up 24%, while amortization grew 9.5%. Netflix expects an annual cash content spend-to-amortization ratio of about 1.1x and reaffirmed its 2026 operating margin target of 31.5%, up from 29.5% in 2025. Third-quarter outperformance partly reflected expense timing, shifting some costs into the final quarter.
Netflix projects revenues of $13.4 billion, suggesting a 12% increase, and a 26% operating margin, including about 120 basis points of drag from headcount reductions. The holiday quarter carries its biggest live slate yet, with the NFL’s Thanksgiving Eve game, a Christmas Day doubleheader and the Tyson Fury vs. Anthony Joshua bout. Films include The Further Mis-Adventures of Cliff Booth, Animals and animated titles Steps and Ray Gunn, while series include East of Eden, The Diplomat Season 4, Lupin: Part 4 and Emily in Paris’ final season. Early 2027 brings Blue Eye Samurai Season 2 and Sakamoto Days Season 2 in January, along with the live reality series Will You Marry Me? on Netflix.
Mixed signals persist. Netflix cut its 2026 ad revenue outlook to about $2.7 billion from roughly $3 billion and trimmed free cash flow guidance to roughly $12 billion from $12.5 billion. Positively, licensing deals with Disney and TF1 and ad-tier launches in 15 new countries from March 2027 broaden engagement cost-effectively. Sustaining margins hinges on revenues keeping pace with content outlay.
Disney and Paramount Skydance Navigate Similar Trade-OffsDisney (DIS - Free Report) and Skydance Corporation (SKYD - Free Report) are also balancing content outlays with streaming profitability. Disney’s direct-to-consumer business posted third-quarter fiscal 2026 operating income of $712 million, reflecting a 12.9% margin, and Disney remains on track for double-digit streaming margins in fiscal 2026. Disney plans about $24 billion in companywide content spending this fiscal year, up modestly. Paramount Skydance’s second-quarter 2026 direct-to-consumer revenues grew 9% to $2.5 billion, with Paramount+ reaching 81.6 million subscribers. However, Paramount Skydance expects a year-over-year decline in second-half streaming profit due to higher sports and original content amortization. Paramount Skydance guides 2026 adjusted EBITDA of $3.8-$3.9 billion.
NFLX’s Price Performance, Valuation & EstimatesNetflix’s shares have plunged 28.5% year to date, underperforming the Zacks Broadcast Radio and Television industry and Zacks Consumer Discretionary sector’s decline of 23.5% and 10%, respectively.
NFLX’s YTD Price Performance
Image Source: Zacks Investment Research
Netflix’s valuation remains elevated, with the stock trading at a forward 12-month price/sales ratio of 4.99X versus the industry’s 4.06X. NFLX carries a Value Score of D.
NFLX’s Valuation
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for NFLX’s 2026 earnings is pegged at $3.59 per share and has remained unchanged over the past 30 days. This indicates a 41.9% increase from the previous year.
NFLX currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Walmart is on pace for its best month in over two decades while a trillion-dollar milestone sits just out of reach, but the real question is whether the buying surge reflects the retailer's strength or something more fragile hiding behind…
Walmart (NASDAQ:WMT | WMT Price Prediction) rose 2.82% on Thursday, October 22, 2026, and closed at $121.12. On the same day, the Nasdaq Composite fell 2.60% to 26,008.86, its worst day since June.
That close left Walmart’s market value at $960.94 billion. That is about $39 billion, or 4.1%, short of $1 trillion. The shares added 0.42% after hours to $121.63.
From a September 30 close of $103.92, Walmart is up 16.6% in October with six trading sessions left, which puts it on pace for its best month since 1999. A discount retailer is trading like a growth stock because money is leaving AI and tech, so a buyer at this price is paying as much for the sector rotation as for Walmart’s business.
What Getting Back to $1 Trillion Requires Walmart first passed $1 trillion on February 3, 2026, the first retailer to do so. It hit an intraday record of about $126 a share two weeks after it joined the Nasdaq-100.
With 7.93 billion shares outstanding, a return to breakeven requires roughly $126.05 a share. That is still below the 52-week high of $135.16, so the milestone means recovering lost ground.
Thursday’s gain came with no new contract, filing, or guidance change. The most recent reported results are from the second quarter of fiscal 2027, when adjusted EPS of $0.81 beat the $0.7413 consensus.
Walmart’s Lead Over Staples Is Narrower Than It Looks For October as a whole, Walmart is ahead of the State Street Consumer Staples Select Sector SPDR ETF (NYSEARCA:XLP), which is up 11.7% from $80.60. The fund is close to its best month since it launched in December 1998.
On Thursday, though, XLP rose 3.31% to $89.99 and beat Walmart. Procter & Gamble (NYSE:PG) rose 5.58% after its fiscal first-quarter results, while Costco (NASDAQ:COST) gained 1.99%.
The S&P staples sector gained 11.1% over October’s first 16 trading days, its third-best start to a month since 1990. It now trails its February 27 record close by 0.26%.
Bank of America clients sold a record $14.8 billion of individual U.S. stocks in the week through October 16. Staples were among the few sectors those clients bought.
Valuation and Crowding Risks Behind a Defensive Label Walmart trades at 44 times earnings, and its $0.99 annual dividend yields 0.82%. That income does little to pay you for waiting. Bank of America also placed staples among the highest readings on its Bubble Risk Indicator.
Five of the seven earlier months with similar staples gains came in 2000 and 2001, before the recession that began in March 2001. In February 2026, however, XLP rose 7.8% while the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) fell 0.9%, and SPY was up 11.8% six months later.
Prediction-market traders put the odds of a recession by the end of 2026 at 7.5%. Those odds rise to 35% by the end of 2027. If AI concerns ease before then, the money that moved into staples can move back out, which is the whole question our free bubble survivor’s handbook is built around: riding the move while planning the exit.
What Could Change the Case for WMT Stock The risk outweighs the reward at this price. The business is strong, but Thursday’s move followed sector flows, and at 44 times earnings, the current price already assumes those flows will last.
For investors who want staples exposure, XLP offers a wider alternative worth exploring. Walmart made up 10.80325246068% of the fund’s net assets as of June 30, so you still own some Walmart with far less risk linked to a single stock’s valuation.
Walmart’s next earnings report is scheduled for November 19, 2026, before the market opens, although the company has not yet confirmed the date. The third-quarter adjusted EPS guidance is $0.62-$0.64. A close above $126.05 before then, followed by results above that range, would prove this view wrong. The next ex-dividend date is December 11, 2026.
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Procter & Gamble (PG -1.93%) gave investors something to celebrate with its latest earnings report. Shares of the consumer household products giant jumped more than 5% after it delivered stronger-than-expected sales growth.
However, while demand for its products is improving, earnings growth remains sluggish. That raises an important question for investors: Is P&G's recovery gaining enough momentum to justify buying the stock after its recent earnings-driven rally?
Image source: The Motley Fool.
P&G is showing encouraging signs of a turnaroundP&G's organic sales grew 4% in its fiscal 2027 first quarter. That's a notable improvement from the fourth quarter of its 2026 fiscal year when organic sales only grew 1%. The primary growth drivers were volume (2.4%) and mix (1.1%), not price increases (0.4%). That's an important distinction because it shows that demand for its products is largely improving.
Fabric and home care delivered the strongest volume growth at 4.3%, followed by baby, feminine, and family care at 2.3% and beauty at 2.2%, offsetting declines in healthcare (-2.9%) and grooming (-0.4%). The company noted that innovation-based pricing in certain markets helped drive volume growth. It also benefited from a more favorable premium product mix.
Despite the strong start to its fiscal year, P&G didn't change its full-year organic sales guidance, which it still expects will be between 1% and 3%. That suggests the company isn't yet fully confident that it's seeing a sustained recovery.
$161.33-$3.17 (-1.93%)
NYSE · As of 11:45 AM ET 10/23/26
Higher costs are weighing on earningsWhile its organic sales growth rate accelerated, its margins remain under pressure. P&G's core adjusted earnings per share (EPS) only increased 1% to $2.00. While that is better than the 3% decline in core EPS it reported in the fourth quarter, it's far below its long-term target of delivering mid-to-high single-digit core EPS growth. The company is battling cost pressures, including higher commodity costs and the impact of tariffs.
P&G expects these headwinds will continue to impact its results this year. That's driving its rather tepid outlook of 0% to 3% adjusted EPS growth ($6.89-$7.11). The company noted that higher commodity costs, interest expenses, and other headwinds will impact EPS by $0.79 this year, or an 11% drag. So, while the company's growth strategy is starting to drive volume improvement, continued margin pressures will weigh on EPS.
Is P&G stock attractively valued?All that brings us back to the central question: is P&G a buy after its mixed earnings report?
With the recent spike in the share price, P&G currently trades at around $165 a share. With the company reaffirming its full-year adjusted EPS outlook at $7.00 (at the midpoint), it trades at about 23.5 times forward earnings. That's not as cheap as it was earlier this year when it traded at less than 21 times forward earnings. However, its valuation is still well off its peak of more than 26x in late 2024. The recent move higher has also lowered P&G's dividend yield from around 3% to 2.7%.
Investors are paying a premium because P&G owns a laundry list of durable consumer brands like Tide, Mr. Clean, and Pampers. It also generates very resilient cash flows. During the first fiscal quarter, the company generated $5.8 billion in operating cash flow and $4.4 billion in free cash flow. That supported continued strong shareholder cash returns ($2.6 billion of dividend payments and $1.3 billion of share repurchases). The company expects to return over $15 billion to shareholders this year (more than $10 billion in dividends and $5 billion in share repurchases).
The issue is that P&G now requires its earnings growth to accelerate and its valuation multiple to expand further to deliver a compelling total return from here. For example, it would need to grow its earnings per share at a 5% to 6% compound annual rate, and its valuation multiple would need to expand to 25x-26x to generate a 10% annualized total return over the next five years, including its dividend. That's certainly possible, as P&G has traded at a premium valuation in the past and aims to deliver that growth rate again. However, the margin of safety is razor-thin after its post-earnings pop.
Is Procter & Gamble a buy?P&G remains a high-quality defensive dividend stock. However, it's not as attractive an investment as it was before its post-earnings pop. It could still deliver a solid total return over the next five years if it can execute its turnaround. The risk is that it can't return to mid-single-digit EPS growth. That would cause the company to lose some of its valuation premium, resulting in lackluster returns. I think it's better to wait for a more favorable entry point than to buy P&G after earnings.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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