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Ethena price has fallen 7.26% to $0.18653 on October 30 after the attacker behind Binance’s $6.3 billion security breach reportedly sold 217.5 million ENA tokens worth $33.93 million.

Summary

Ethena (ENA) fell 7.26% to $0.18653 on October 30 after heavy selling linked to the Binance hack. Lookonchain reported that the attacker sold 217.5 million ENA for $33.93 million. Santiment recorded a drop of more than 16% in ENA during the four-hour window surrounding the attack. USDe briefly traded at $0.9974, but its supply showed relatively little movement during the incident. ENA faces resistance near $0.20 and $0.22, with support around $0.18 and $0.1658. According to Lookonchain, the hacker exchanged the stolen ENA for Ethereum at an average price near $0.16, alongside six other cryptocurrencies. The combined sales generated 70,480 ETH worth $158.25 million, with UNI and PEPE among the largest positions.

ENA traded between $0.166247 and $0.217081 over the past 24 hours, with volume reaching $1.38 billion. Despite recovering from its intraday low, the token remains down 27.86% over the past month.

Binance hacker’s $33.93M ENA sale adds selling pressure The attack triggered heavy trading across several altcoins as the hacker converted stolen assets into ETH.

Beyond ENA, the attacker sold 7.02 million UNI for $39.63 million and 7.77 trillion PEPE for $31.66 million. LINK, AAVE, ONDO and WLD were included in the transactions.

As crypto.news reported earlier today, the October 29 breach involved an Ethereum wallet authorization mechanism that allowed attackers to redirect funds from a Binance hot wallet.

Blockchain investigators have linked the incident to North Korean cybercriminals, although Binance’s investigation into the full attack remains ongoing.

The selling coincided with falling cryptocurrency prices across the market. Bitcoin lost more than 3% during the period, while the total cryptocurrency market capitalization declined by roughly the same amount.

Following the ENA sales, Lookonchain identified another wallet that deposited 2 million USDC into Hyperliquid and opened a leveraged long position covering 22.78 million ENA.

The position was valued at $4.09 million and carried three times leverage. It represented a bet on higher prices, although the transaction alone does not establish that selling pressure has ended.

Santiment finds USDe relatively stable despite ENA sell-off While ENA suffered heavy losses, blockchain analytics firm Santiment found that Ethena’s USDe stablecoin experienced much smaller movements.

In its October 30 analysis, Santiment reported that ENA fell more than 16% during the four-hour period surrounding the Binance breach, compared with a decline of around 4% for Ethereum.

The governance token recorded its lowest four-hour closing price since September 18. USDe, meanwhile, briefly slipped to $0.9974 at 04:00 UTC on October 30.

Ethena’s governance token $ENA fell more than 16% in the 4h window that contained the Oct 29 Binance hack. USDe, Ethena’s dollar, slipped about 0.2%.

📉 $ENA hit its lowest 4h close since Sep 18, while ETH fell about 4% over the same window.
🧭 USDe dipped to $0.9974 at 04:00… pic.twitter.com/JYl1bgRTJn

— Santiment Intelligence (@SantimentData) October 30, 2026 Despite trading slightly below its intended dollar value, USDe did not experience an equivalent decline in circulating supply.

Santiment reported that USDe supply on Ethereum changed by roughly $1.5 million during the attack, compared with a typical daily movement of around $21 million.

Staked USDe, known as sUSDe, recorded a supply decline of approximately 1.1%. Its transfer activity increased but remained below the highest levels recorded since May.

Ethena had previously said its collateral exposed to centralized exchanges was held through off-exchange custody arrangements, with core USDe minting and redemption functions remaining operational.

Ethena price faces resistance near $0.20 and $0.22 The daily chart continues to show weakness despite ENA’s recovery from the $0.1658 area.

Its Know Sure Thing indicator stood at -86.53, below the signal line at -42.52. The negative readings suggest that the latest rebound has not yet reversed the prevailing downward momentum.

The Aroon Oscillator registered -64.29, providing another indication that recent lows continue to dominate the price trend.

Ethena price chart, source: crypto.news Immediate resistance stands near $0.20, followed by 0.21–0.22. A sustained move above $0.22 could open the way toward 0.24–0.25, while losing $0.1658 would expose $0.15 and $0.14.

Just 2 days ago, analyst Ali Martinez identified a descending channel on ENA’s four-hour chart. He suggested that a close above $0.22 could support a move toward $0.24 or $0.27.

However, Martinez warned that failure to overcome resistance could send ENA toward the channel’s midpoint near $0.18.

Ethena buyback proposal remains another factor for ENA Beyond the immediate selling, ENA’s price remains tied to changes in Ethena’s token economics.

In August, the foundation proposed directing 95% of net revenue from Ethena-branded businesses toward ENA repurchases once USDe supply reaches $7.5 billion.

USDe supply was below $5 billion at the time, leaving the proposed threshold unmet.

The foundation had purchased locked ENA from selected early investors and proposed changes to the remaining investor unlock schedule.

Meanwhile, StablecoinX’s revised agreement removed contractual lockups on its ENA holdings in October, while retaining foundation approval requirements for certain sales.

Under the arrangement, StablecoinX must provide advance notice of proposed funding-related token sales, allowing the foundation five days to consider purchasing the tokens itself.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

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Summary:

AUD/JPY fell towards 110.45 following the BOJ’s policy announcement.
Japan held rates at 1.25%, but a higher inflation forecast kept further tightening in focus.
Australia’s November 3 decision could determine whether the interest-rate advantage continues to support the Aussie.
The Australian dollar fell against the Japanese yen on Friday after the Bank of Japan held interest rates steady but signalled further increases remained possible, while a selloff in technology shares encouraged investors to reduce risk.

AUD/JPY traded around 110.45 at 13:16 GMT, down 0.26%, after reaching 110.98 earlier in the session. The decline brought the pair close to its 20-day moving average near 110.37, leaving its October recovery under pressure.

The next major test comes from Australia. The Reserve Bank of Australia announces its decision on November 3, with persistent inflation strengthening expectations for another increase.

Why Is AUD/JPY Falling Today?
The yen strengthened after the BOJ indicated that its pause did not mark the end of monetary tightening. Reuters reported that the currency was heading for a third daily gain against the US dollar. A renewed selloff in AI-related shares also helped the yen as investors sought defensive assets. The Australian dollar is generally more sensitive to changes in growth expectations and investor appetite for risk, leaving AUD/JPY exposed when equity markets weaken.

The combination put pressure on the cross even though Australian interest rates remain substantially higher than Japan’s. For investors holding Australian dollars against borrowed yen, an adverse currency move can outweigh the interest earned. That makes the pair sensitive to both policy expectations and abrupt changes in market sentiment.

Bank of Japan Holds Rates but Keeps Further Hikes Open
The BOJ kept its short-term policy rate at 1.25% on Friday in an 8–1 vote. Board member Hajime Takata favoured an increase to 1.50%. Policymakers raised their inflation forecast and reiterated their readiness to increase borrowing costs further.

The decision was widely anticipated, making the guidance more important for the yen than the unchanged rate itself. Reuters reported that the bank described a more hawkish phase in which increases could occur every few months.

That gives markets a reason to reassess Japan’s future rate path. However, it does not establish a fixed timetable: the pace of tightening will still depend on economic conditions. For AUD/JPY, the question is whether Japanese rates rise faster than investors previously expected, narrowing Australia’s advantage.

RBA Interest Rate Decision Due November 3
The RBA’s next decision is scheduled for November 3 at 2:30 p.m. AEDT, alongside its updated Statement on Monetary Policy. Australian inflation figures released this week strengthened the argument for another increase. Annual trimmed mean inflation reached 3.7% in the third quarter, above the 3.6% forecast, while the quarterly measure rose 1.0%.

The cash rate currently stands at 4.60%. Following Wednesday’s figures, markets priced an approximately 88% probability of a quarter-point increase, Reuters reported. That pricing reflects the response to the inflation release rather than a confirmed policy decision.

A rate increase could support the Australian dollar, particularly if the RBA signals that inflation requires further action. But with much of the move already anticipated, the accompanying forecasts and guidance may carry greater weight. A hold would challenge those expectations and could leave the Aussie vulnerable against the yen.

The euro is also responding to this week’s central bank decisions. Read our EUR/USD forecast as buyers attempt to reclaim 1.1200.

AUD/JPY Carry Trade Faces a Policy Test
Australia’s 4.60% cash rate exceeds Japan’s 1.25% policy rate by 3.35 percentage points. The difference helps explain the appeal of holding Australian dollars against yen, although actual financing returns depend on market rates and trading costs.

The direction of that gap now matters as much as its size. If both central banks tighten, the advantage may persist. If the BOJ becomes more aggressive while Australian policymakers approach a pause, the incentive could weaken.

Friday’s decline also shows why interest income offers limited protection during sudden currency moves. Investors may reduce positions when volatility rises, adding to pressure on AUD/JPY.

AUD/JPY Technical Analysis: 110.37 Support in Focus
AUD/JPY is testing its 20-day moving average near 110.37 after falling from Friday’s high around 110.98. A sustained break below the average would bring 110.00 into focus, followed by the October lows around 108.80–109.00.

Resistance sits near 111.00, with the recent highs around 111.50 beyond it.

Momentum is mixed. The MACD line remains above its signal line, but below zero, suggesting the recent recovery has improved conditions without establishing a strong upward trend.

AUD/JPY daily chart, October 30, 2026: Australian dollar trades near 110.45, testing the 20-day moving average at 110.37 as the yen strengthens after the BoJ decision.
Will AUD/JPY rise after the RBA decision?

A hike accompanied by firm guidance could support the pair. Because an increase is already widely expected, the Australian dollar may need a stronger policy message to sustain gains.

Why does AUD/JPY fall when stock markets sell off?

Investors often reduce exposure to growth-sensitive currencies such as the Australian dollar and close yen-funded positions, supporting the yen.

Is AUD/JPY still attractive for carry trades?

Australia retains a sizeable rate advantage, but yen appreciation and financing costs can outweigh the interest earned.

Interim Results in Super-Aged Rats Tested Externally Show Preserved Motor Performance and Reduced Fat Mass, Consistent with Prior Findings in Aged Mice Tested at Eos’s R&D Facility; Data Support IND-Enabling Development Ahead of Planned First-in-Human Trials

HOUSTON, Oct. 30, 2026 (GLOBE NEWSWIRE) -- Eos SENOLYTIX, Inc. (“Eos” or the “Company”), a biotechnology company developing mitochondria-targeted geropeptides to improve healthspan, today announced early interim results from a study of its lead MitoXcel™ geropeptide, PTC-2105, in aged rats, conducted at the BIO-VITAL Program Preclinical Testing Core facility of the Albert Einstein College of Medicine (“Einstein”) in the Bronx, New York, under a fee-for-service agreement. According to the Company, in the oldest rats studied (approximately 24 to 26 months of age at enrollment), PTC-2105 administered subcutaneously (“SC”) once weekly preserved Rotarod and treadmill motor performance at Week 16 and increased fat-mass loss at Week 8, compared with vehicle in small interim groups. The findings are consistent with those previously observed in naturally aged mice and add second-species data to support the Company’s Investigational New Drug (“IND”)-enabling program, with first-in-human trials targeted for 2027, subject to IND clearance.

NEW AGED-RAT STUDY CONDUCTED AT EINSTEIN’S BIO-VITAL FACILITY
The Einstein BIO-VITAL Program Preclinical Testing Core is conducting a 32-week study in aged rats, with staggered enrollment across multiple age cohorts, evaluating two once-weekly SC doses of PTC-2105 (0.5 and 12.5 mg/kg) against vehicle control, with assessments at eight-week intervals across five time points. Functional and body composition endpoints - including qMR (EchoMRI)-measured fat and lean mass, grip strength, rotarod, gait analysis, frailty indexing, and cognition - mirroring those used in mouse studies, enabling direct cross-species comparison. The BIO-VITAL Program Preclinical Testing Core provides the aged animal cohorts, IACUC-approved protocols, and longitudinal phenotyping infrastructure required for this work. As the study data is developed, BIO-VITAL provides it to Company’s scientists for analysis. Because mitochondrial dysfunction is a conserved feature of mammalian aging, evaluation of PTC-2105 in a second species at an established academic aging center is an important translational step in PTC-2105’s IND-enabling program.

EOS REPORTS INTERIM RAT STUDY RESULTS
The study is at an early stage. Of the six planned cohorts, the two oldest (approximately 24 and 26 months of age at enrollment) have reached the 8-week time point, and the oldest cohort (n=39 rats enrolled) has reached the 16-week mid-study time point; 16-week functional data are currently available only for the oldest cohort (n=39 rats enrolled). The Company reports the results below come from planned interim analyses conducted every eight weeks. They are preliminary and based on small groups, while the remaining enrolled rats (167 aged and 62 young) continue to progress through the study, and will therefore add statistical power to the data over time.

In super-aged male rats, Rotarod latency at Week 16 (oldest cohort) remained near baseline with PTC-2105 0.5 mg/kg once weekly, compared with an aging-related decline of approximately -76% with vehicle (difference of 78.4 percentage points; p=0.012; n=3 and n=4, respectively; figure below); Rotarod distance showed a similar difference (90.3 percentage points; p=0.008; not shown). In these same animals, grip-strength at Week 16 increased by +30.7% with once weekly PTC-2105 treatment at 0.5 mg/kg, compared to an increase of 7.3% in the vehicle control group (difference of +23.4 percentage points; not statistically significant, p=0.396, n=3 and n=4, respectively, data not shown).

At Week 8 (two oldest cohorts), fat mass decreased 14.5% from baseline with PTC-2105 12.5 mg/kg once weekly, compared with 8.2% with vehicle (difference of 6.3 percentage points; p=0.018; n=8 per group); the 0.5 mg/kg dose showed a similar trend (18.2% decrease; p=0.064; n=7). The Company interprets these findings as directionally consistent with results previously observed in naturally aged 75- to 80-week-old mice. Analyses of additional cohorts, female rats, and later time points are ongoing.

Figure. Interim Rotarod (left) and qMR (EchoMRI) fat-mass (right) results in super-aged male rats (approximately 24 to 26 months old at enrollment) treated with vehicle or PTC-2105 0.5 or 12.5 mg/kg SC once weekly. Values are mean ± SEM percent change from each animal’s own baseline; n per group as shown. Week-16 Rotarod data are from the oldest cohort only. p values: Welch’s t-test vs. vehicle.

The Company reports that, to date, PTC-2105 has been well tolerated, and no adverse safety signals have been observed in any animals in these studies. Survival, body weight, and clinical observations are being monitored throughout the study, and non-GLP dose-range-finding toxicology studies of PTC-2105 in rats and dogs have begun in preparation for GLP toxicology.

BACKGROUND: PTC-2105 STUDIES IN NATURALLY AGED C57BL/6J MICE PERFORMED BY EOS
PTC-2105 is designed to target the age-related decline in mitochondrial membrane potential (Δψm), which is associated with age-related conditions including cognitive decline, metabolic disease, and sarcopenia (Eos’ lead clinical indication for PTC-2105). In multiple preclinical studies in naturally aged C57BL/6J mice (~80 weeks old at initiation of treatment, equivalent to a ~60-65-year-old human), treatment with PTC-2105 produced improvements across body composition, functional, renal, cognitive, and histological endpoints.

In aged male mice (78 weeks old at initiation of treatment), after 20 weeks of treatment, once-weekly PTC-2105 dosing reduced fat mass by 40.1% (p<0.001) while maintaining lean mass, relative to saline-treated controls. In aged female mice (80 weeks old at initiation of treatment), after 20 weeks of treatment, once-weekly PTC-2105 treatment reduced fat mass by 25.2% (p=0.16) and increased lean mass by 8.51% (p=0.15), relative to saline-treated controls. In aged male mice with diet-induced obesity (82 weeks old at initiation of treatment), weight loss with PTC-2105 alone exceeded weight loss with the GLP-1 drug semaglutide (“SMG”) after about 30 weeks of treatment (-9.6% vs. -2.1% from baseline; n=6 vs. 5 surviving mice; p=0.18), while lean mass increased from baseline by 9.2% (p=0.14).

After 30 weeks of treatment, PTC-2105-treated obese male mice showed improvements in forelimb grip strength (+17.7%, p=0.045), rotarod latency (a preclinical test of motor coordination and balance) (+46.0%, p<0.001), and treadmill endurance (+21.6%, not statistically significant). Histology showed reductions in intermyocyte space and adipocyte area.

Senescent cell burden decreased across various tissue types, as measured by senescent-cell biomarkers SA-β-galactosidase, uPAR, and p16. Reduction in senescent cell burden was associated with decreases in circulating levels of the senescence-associated secretory phenotype, or SASP. After 21 weeks of treatment in aging animals, IP-10 was 62% and IL-6 was 78% lower than in saline-treated animals (p=0.035 and p=0.007, respectively). Effects were generally age-specific: improvements were seen in 75-week-old animals but not in 20-week-old young animals, and food intake was unchanged, consistent with a metabolic rather than anorectic mechanism of action.

In combination with GLP-1 receptor agonists, PTC-2105 preserved and increased lean mass relative to semaglutide or tirzepatide treatment alone, with additive effects on fat mass reduction. Later in life, SMG-treated mice entered an accelerated “terminal decline of aging” and died earlier than both PTC-2105-treated and saline-treated mice. The lean-mass loss that followed SMG cycling may have contributed to that earlier decline. A larger, 180-mouse study is now under way to confirm this observation and to test whether cycling GLP-1 drugs on and off carries a lasting cost in lean mass or lifespan, and whether PTC-2105 can prevent it.

In aged obese mice (85 weeks old at initiation of treatment), after five weeks of treatment with PTC-2105, the urinary albumin-to-creatinine ratio (a marker of kidney health) was reduced by 69.5% (p=0.036) compared with saline controls, suggesting a potential protective effect on the kidney in the setting of aging and obesity.

These data were presented at the 2026 International Conference on Frailty and Sarcopenia Research (ICFSR), held March 10-12, 2026, in Washington, DC, and at the World Mitochondria Society’s 2026 “Targeting Mitochondria” meeting, held October 22–24, 2026, in Berlin, where Kevin Slawin, MD, Founder and Chief Executive Officer of Eos SENOLYTIX, delivered the opening Industry Keynote address.

CLINICAL DEVELOPMENT PLAN FOR PTC-2105
Eos SENOLYTIX is planning first-in-human studies, subject to IND application submission and allowance, followed by a randomized, double-blind, placebo-controlled Phase 1b study of PTC-2105 in participants aged 60 or older with sarcopenia to begin in 2027. The 16-week Phase 1b study’s primary endpoint will be safety; key secondary endpoints will include mechanistic biomarkers (e.g., SASP and SENESCORE™, the Company’s proprietary mechanism-anchored blood measure of biological age integrating T-cell senescence, mitochondrial bioenergetics, and inflammaging). Additionally, the Company plans to measure DEXA body composition, grip strength, and additional measures of muscle mass and composition, muscle strength, and physical function, as well as potential gerotherapeutic effects across the organ systems affected by aging.

  “This preclinical study in aging rats was designed to help evaluate our licensed MitoXcel™ platform technology and its novel mitochondria-targeted geropeptides as we move toward first-in-human clinical trials,” said Dr. Slawin. “These early results, now in a second preclinical model, strengthen our confidence that the benefits we have seen in preclinical studies may translate into meaningful clinical improvements for participants in our trials. We are now conducting IND-enabling studies of PTC-2105, our lead clinical candidate, for older adults with sarcopenia and sarcopenic obesity.”       RAT STUDY: PLANNED ADDITIONAL ANALYSES
In addition to assessing whether results previously observed in mice are reproduced in rats, Eos SENOLYTIX is planning end-of-study sub-studies, conducted at the BIO-VITAL Program Preclinical Testing Core facility to further characterize the biological effects of PTC-2105. These include the blood-based measures that make up the SENESCORE™ panel being developed by SENOTHERAPEUTIX, Inc. (described above): p16-positive senescent T cells measured by flow cytometry, mitochondrial bioenergetics measured by Agilent Seahorse extracellular flux analysis, and circulating inflammatory cytokines. They also include electron microscopy of mitochondrial structure in skeletal muscle, micro-computed tomography of bone, and urinary albumin-to-creatinine ratio as a measure of kidney health.

The Company recently launched Team Speedy (eossenolytix.com/team-speedy), an interactive webpage that follows “Speedy,” the longest-surviving mouse in one of its PTC-2105 survival studies, in real time, along with the full study data. Speedy has been treated with PTC-2105 since he was approximately 80 weeks old. At 168 weeks of age, he has now lived more than 7.2 months past the last of the untreated controls in his study, that died at 137 weeks of age, and past the roughly 155-week lifespan ceiling reported in the scientific literature for his strain.

 
Join Team SpeedyScan the code or visit eossenolytix.com/team-speedy to:

Watch Speedy • Predict how far he goes • Leave him a message • Sign up for milestone alerts

    All data described in this release come from preclinical studies in mice and rats. PTC-2105 is an investigational compound that has not been tested for lifespan in humans and has not been approved by the U.S. Food and Drug Administration or any other regulatory authority for any indication. Results in mice or rats may not translate to humans.

About PTC-2105

PTC-2105 is a once-weekly, subcutaneously injected geropeptide from the MitoXcel platform. It targets the age-related decline in mitochondrial membrane potential, a hallmark of aging, through two mechanisms: enhancing mitochondrial efficiency in aging cells and selectively eliminating senescent cells through mitochondria-mediated apoptosis. Eos SENOLYTIX holds an exclusive license to develop PTC-2105 for FDA-regulated therapeutic uses outside cancer, with an initial focus on sarcopenia and sarcopenic obesity.

Proposed Merger with Pulmatrix, Inc.

As previously reported in Pulmatrix, Inc.’s (Nasdaq: PULM) (“Pulmatrix”) Current Report on Form 8-K filed with the Securities and Exchange Commission (the “SEC”) on March 27, 2026, Pulmatrix, PUOS Merger Sub, Inc., a Delaware corporation and wholly owned subsidiary of Pulmatrix (“Merger Sub”), and Eos entered into an Agreement and Plan of Merger and Reorganization, dated as of March 26, 2026 (the “Merger Agreement”), pursuant to which Merger Sub will merge with and into Eos, with Eos surviving as a wholly owned subsidiary of Pulmatrix (the “Merger”). If the Merger is completed, the business of Eos will continue as the business of the combined company, and the combined company’s common stock is expected to trade on Nasdaq under the new ticker symbol “MTXL.” Merger-associated financings are expected to support advancement of the combined company’s pipeline through key clinical milestones. In connection with the Merger, Pulmatrix filed a registration statement on Form S-4 (File No. 333-297342), with the SEC on July 9, 2026, as amended on August 3, 2026, September 4, 2026, September 17, 2026 and September 23, 2026, and declared effective by the SEC on September 25, 2026 (the “Registration Statement”), which includes a proxy statement/prospectus. Pursuant to the definitive proxy statement/prospectus filed with the SEC on September 25, 2026, as supplemented on October 7, 2026 (the “Proxy Statement/Prospectus”), Pulmatrix held a special meeting of stockholders of Pulmatrix on October 26, 2026 (the “Special Meeting”), at which Pulmatrix’s stockholders approved each of the proposals described in the Proxy Statement/Prospectus, including the proposal to approve the Merger. The Merger is anticipated to close shortly in the fourth quarter of 2026, subject to the satisfaction or waiver of the customary closing conditions set forth in the Merger Agreement.

About Eos SENOLYTIX

Eos SENOLYTIX, based in Houston, Texas, develops MitoXcel geropeptides as FDA-regulated therapeutics for obesity, sarcopenia and other age-related disorders. The Company holds an exclusive license to the MitoXcel platform from its parent company, SENOTHERAPEUTIX, Inc. (f/k/a GEROTHERAPEUTIX), for its therapeutic field. For more information, visit eossenolytix.com.

About Pulmatrix, Inc.

Pulmatrix is a biopharmaceutical company that has focused on the development of novel inhaled therapeutic products intended to prevent and treat migraine and respiratory diseases with important unmet medical needs using its patented iSPERSE™ technology. Pulmatrix’s proprietary product pipeline includes treatments for central nervous system (“CNS”) disorders such as acute migraine and serious lung diseases such as Chronic Obstructive Pulmonary Disease (“COPD”) and allergic bronchopulmonary aspergillosis (“ABPA”). Pulmatrix’s product candidates are based on its proprietary engineered dry powder delivery platform, iSPERSE™, which seeks to improve therapeutic delivery to the lungs by optimizing pharmacokinetics and reducing systemic side effects to improve patient outcomes. For more on Pulmatrix’s inhaled product candidates, please visit: https://www.pulmatrix.com/pipeline.html.

Media Contact
Cameron Hayes
Email: [email protected]
Cell (USA): +1 215-300-7982Investor Contact
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Cell (USA): +1 339-970-2845   Forward-Looking Statements

This communication contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact contained in this press release are forward-looking statements. Forward-looking statements may be identified by words such as “anticipates,” “assumes,” “believes,” “can,” “could,” “estimates,” “expects,” “forecasts,” “guides,” “intends,” “is confident that,” “may,” “plans,” “seeks,” “projects,” “targets,” and “would,” and their opposites and similar expressions. Such forward-looking statements are based on the beliefs of management as well as assumptions made by and information currently available to management. Forward-looking statements in this communication include, but are not limited to, statements regarding: the Merger, including the expected timing of closing and the ability to satisfy the remaining closing conditions; the expected Nasdaq listing of the combined company under the ticker symbol “MTXL”; the expected Merger-associated financings and the combined company’s ability to advance its pipeline through key clinical milestones; the potential of PTC-2105 as an approach to preserving lean mass during late-life aging and mitigating GLP-1-associated lean-mass loss; the design, timing, and results of ongoing preclinical studies in mice and rats, including the interim nature of the rat study results described herein; planned future studies of the Company and anticipated results of such studies, including, but not limited to, the timing of IND submission and clearance, first-in-human studies and studies in patients with sarcopenia. Actual results could differ materially from those contemplated by the forward-looking statements as a result of certain factors, including but not limited to: the risk that the conditions to closing of the proposed Merger are not satisfied; uncertainties as to the timing of completion of the proposed Merger; risks related to the ability to obtain necessary financings to support the combined company’s operations; the risk that preclinical results may not translate into clinical outcomes; risks related to regulatory approvals and the timing thereof; risks related to the Company’s dependence on its license from SENOTHERAPEUTIX, Inc.; risks related to maintaining the Nasdaq listing; and general market, economic, and business conditions. Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained in the Proxy Statement/Prospectus, including under the heading “Risk Factors,” and in Pulmatrix’s Annual Report on Form 10-K for the year ended December 31, 2025 and subsequent Quarterly Reports on Form 10-Q filed with the SEC. Forward-looking statements speak only as of the date of this communication, and, except as required by law, neither Eos nor Pulmatrix undertakes any obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.

No Offer or Solicitation

This communication and the information contained herein is not intended to and does not constitute (i) a solicitation of a proxy, consent or approval with respect to any securities or in respect of the proposed transaction or (ii) an offer to sell or the solicitation of an offer to subscribe for or buy or an invitation to purchase or subscribe for any securities pursuant to the Merger or otherwise, nor shall there be any sale, issuance or transfer of securities in any jurisdiction in contravention of applicable law. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act, or an exemption therefrom.

Important Additional Information about the Proposed Transaction Filed or to be Filed with the SEC

This communication is not a substitute for the Registration Statement, the Proxy Statement/Prospectus or any other document that Pulmatrix has filed or may file with the SEC in connection with the Merger. The Proxy Statement/Prospectus was first mailed to Pulmatrix’s stockholders on or about September 25, 2026. PULMATRIX URGES INVESTORS AND STOCKHOLDERS TO READ THE REGISTRATION STATEMENT, THE PROXY STATEMENT/PROSPECTUS AND ANY OTHER RELEVANT DOCUMENTS FILED OR THAT MAY BE FILED WITH THE SEC, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS, CAREFULLY AND IN THEIR ENTIRETY BECAUSE THEY CONTAIN IMPORTANT INFORMATION ABOUT PULMATRIX, EOS, THE MERGER AND RELATED MATTERS. Investors and stockholders may obtain free copies of the Proxy Statement/Prospectus and other documents filed by Pulmatrix with the SEC through the website maintained by the SEC at www.sec.gov or from Pulmatrix’s website at https://www.pulmatrix.com/investors.html. Stockholders are urged to read the Proxy Statement/Prospectus and the other relevant materials before making any voting or investment decision with respect to the Merger. In addition, investors and stockholders should note that Pulmatrix communicates with investors and the public using its website (https://www.pulmatrix.com/investors.html/).

Photos accompanying this announcement are available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/ac786732-2d41-434a-9859-aca6231ea95c
https://www.globenewswire.com/NewsRoom/AttachmentNg/44a1625d-870f-4ba9-868a-2944b2111567

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Ondo Intelligent Portfolios democratiza el acceso a estrategias de inversión seleccionadas por profesionales, ofreciéndolas en cadena a prácticamente cualquier inversor apto que cuente con conexión a internet y una cartera digital. Desde su lanzamiento, estas carteras han superado los 40 millones de dólares en valor total bloqueado (TVL) en Ethereum y BNB Chain, situándose entre los productos de carteras tokenizadas más grandes en la cadena de bloques. Con esta expansión a Solana, Ondo Intelligent Portfolios llega a una red en la que Ondo ya cuenta con más de 500 millones de dólares en TVL a través de activos tokenizados.

Actualmente hay siete carteras en funcionamiento, que abarcan la generación de ingresos, el crecimiento y la exposición temática, con más previstas:

BLKHIon: Ondo High Income, con el respaldo de BlackRockBLKGRWon: Ondo High Growth, con el respaldo de BlackRockBLKDIGon: Ondo Diversified Growth, con el respaldo de BlackRockMAG7Xon: Cartera Ondo «Magnificent 7» y criptomonedasBRAINon: Cartera Ondo de líderes en IAYLD5on: Cartera Ondo 5 Targeted Income TRYLD8on: Cartera Ondo 8 Targeted Income TRTres de los siete se basan en estrategias de cartera desarrolladas por BlackRock, la mayor gestora de activos del mundo, para su uso por parte de Ondo. Los cuatro restantes son carteras en cadena diseñadas por Ondo, estructuradas en torno a algunas de las temáticas más seguidas del mercado, que van desde las grandes empresas tecnológicas y la inteligencia artificial hasta la generación de ingresos específicos.

Las acciones tokenizadas están cobrando impulso en Solana

Solana se ha convertido en uno de los espacios más importantes para las acciones tokenizadas, con más de 1,6 millones de direcciones que poseen este tipo de activos. En Solana, los inversores pueden operar con acciones y ETF tokenizados las 24 horas del día, a bajo coste y utilizando las mismas carteras y aplicaciones que ya emplean para el resto de sus actividades en la cadena.

Ondo figura entre los mayores emisores de activos del mundo real tokenizados en la red, con más de 500 millones de dólares en valor total bloqueado (TVL) en Solana; además, Ondo Stocks ya ofrece a los inversores en Solana acceso a cientos de acciones y ETF estadounidenses tokenizados.

Cómo funciona: un token, una cartera

Cada Ondo Intelligent Portfolio combina múltiples activos en un único token en cadena. Todos los activos que lo componen son visibles, y la cartera se reequilibra de forma programática, de modo que los inversores no tienen que gestionar manualmente un conjunto de posiciones subyacentes. El resultado es una exposición diversificada a través de un solo token, que los inversores pueden mantener en sus carteras y transferir como cualquier otro activo tokenizado.

Por qué es importante: inversión de nivel institucional, abierta a más inversores

Las carteras diversificadas, elaboradas por gestores profesionales de asignación de activos, se han ofrecido tradicionalmente, en su mayor parte, a instituciones y a inversores que cuentan con gestores de patrimonio privado. El resto de las personas, en cambio, han tenido que ir componiendo su cartera pieza a pieza, a través de distintas cuentas y activos.

Ondo Intelligent Portfolios cambia esto. En Solana, cualquier inversor apto que cuente con una cartera digital puede ahora acceder a una estrategia de asignación de activos diseñada por profesionales a través de las aplicaciones que ya utiliza. Esto les proporciona una exposición diversificada, visibilidad total de cada activo en cartera y un rebalanceo que no requiere de su gestión.

«Ondo Intelligent Portfolios se creó para poner estrategias de inversión seleccionadas por profesionales al alcance de cualquier inversor apto que cuente con una cartera digital; el hecho de contar con siete carteras activas y más de 40 millones de dólares en valor total bloqueado (TVL) en solo cuatro semanas demuestra que eso es exactamente lo que buscan los inversores», afirmó John Hoffman, director gerente y responsable de carteras en Ondo Finance. «La expansión a Solana pone este acceso a disposición de una de las bases de usuarios en cadena más activas, directamente dentro de las aplicaciones que ya utilizan a diario para operar, y hace que cada cartera sea componible en todo el ecosistema de Solana. Esta es una base sobre la que seguiremos construyendo, con más carteras por venir».

«Los activos tokenizados son una de las categorías de más rápido crecimiento en Solana, y la demanda que estamos observando de acciones tokenizadas demuestra que los inversores desean tener exposición a activos del mundo real en la cadena en cadena», explicó Nick Ducoff, director general del segmento institucional en la Solana Foundation. «Gracias a Ondo Intelligent Portfolios, los inversores pueden ir más allá de los activos individuales y mantener una cartera completa en un solo token. Ese es el siguiente capítulo de la tokenización, y está ocurriendo en Solana».

Ondo tiene previsto seguir ampliando su oferta con carteras adicionales en la cadena (onchain) con el paso del tiempo. Para explorar las siete carteras ya disponibles y obtener más información, visite app.ondo.finance.

Acerca de Ondo Finance
Ondo Finance es una plataforma basada en tecnología blockchain, centrada en la tokenización de activos del mundo real y en llevar productos financieros de calidad institucional a la cadena de bloques en cadena. Al tender un puente entre las finanzas tradicionales y la infraestructura descentralizada, Ondo busca hacer que los mercados de capitales sean más accesibles, transparentes y eficientes.

Acerca de Ondo Stocks
Ondo Stocks (anteriormente conocida como Global Markets) es una plataforma de emisión y reembolso de acciones y ETF estadounidenses que cotizan en bolsa y han sido tokenizados. Permite a inversores elegibles fuera de los Estados Unidos obtener exposición económica a estos activos mediante la creación, transferencia y reembolso de tokens respaldados por valores. Cada token está totalmente respaldado por la acción o el ETF correspondiente (junto con efectivo en tránsito).

Acerca de BlackRock
El propósito de BlackRock es ayudar a más personas a alcanzar el bienestar financiero. En nuestra calidad de fiduciarios de los inversores y como proveedor líder de tecnología financiera, ayudamos a millones de personas a crear ahorros que les sirvan a lo largo de toda su vida, haciendo que la inversión sea más sencilla y accesible. Para obtener más información sobre BlackRock, visite www.blackrock.com/corporate | Twitter: @blackrock | LinkedIn: www.linkedin.com/company/blackrock

Avisos legales

[*] Los activos tokenizados a los que se hace referencia en el presente documento —es decir, (i) las acciones tokenizadas, los ETF tokenizados y los ADR tokenizados, denominados actualmente «Ondo Stocks» (y anteriormente conocidos como acciones y ETF tokenizados de Ondo, o como tokens de «Ondo Global Markets»; en conjunto, los «Ondo Stocks») y (ii) los tokens USDY (en conjunto, los «tokens»)— no han sido registrados conforme a la Ley de Valores de Estados Unidos de 1933, en su versión modificada (la «ley»), ni conforme a la legislación sobre valores o instrumentos financieros de ninguna otra jurisdicción. Los tokens no pueden ofrecerse ni venderse en los Estados Unidos ni a personas estadounidenses, a menos que estén registrados conforme a la ley o que exista una exención de los requisitos de registro establecidos en la misma. En determinadas jurisdicciones, incluidas el Reino Unido, Suiza y Singapur, los Ondo Stocks y los tokens USDY se ofrecen y venden únicamente a inversores cualificados o clientes profesionales, según corresponda (o a sus equivalentes en dichas jurisdicciones). Asimismo, existen otras prohibiciones y restricciones aplicables en función de la jurisdicción. El emisor de los tokens no está registrado como sociedad de inversión conforme a la Ley de Sociedades de Inversión de los Estados Unidos de 1940, en su versión modificada, ni como Fondo de Inversión Alternativa o Institución de Inversión Colectiva en Valores Mobiliarios en el Espacio Económico Europeo (EEE), ni conforme a la legislación sobre valores o instrumentos financieros de ninguna otra jurisdicción.

Los Ondo Stocks brindan a sus titulares una exposición económica al valor de sus activos subyacentes, incluido el valor de los dividendos (tras deducir las retenciones fiscales aplicables). No obstante, los Ondo Stocks no son, en sí mismos, acciones, ETF ni ADR, y no otorgan a sus titulares el derecho a poseer o recibir los activos subyacentes correspondientes. Del mismo modo, los tokens USDY ofrecen a sus titulares una exposición económica a bonos del Tesoro de Estados Unidos a corto plazo; sin embargo, dichos tokens no constituyen, por sí mismos, bonos del Tesoro estadounidense ni otorgan a sus titulares el derecho a poseer o recibir tales bonos.

En el EEE/UE, un folleto base relativo a los tokens ha sido aprobado por la Autoridad del Mercado Financiero de Liechtenstein (FMA) y notificado, a petición del emisor, a determinados Estados miembros del EEE (los «estados del EEE pertinentes»), lo que permite que muchos de los activos de Ondo estén disponibles tanto para inversores profesionales como minoristas; no obstante, algunos activos de Ondo están reservados exclusivamente a inversores profesionales en el EEE/UE. El folleto se encuentra publicado en app.ondo.finance, en la página web correspondiente a cada token. La aprobación del folleto no debe interpretarse como un respaldo a los tokens. Los inversores residentes en la UE/EEE deben leer el folleto, así como las condiciones finales pertinentes y el documento de datos fundamentales (KID) de cada token, antes de invertir, a fin de comprender plenamente los posibles riesgos y beneficios asociados a su decisión de inversión. El presente aviso constituye una comunicación comercial y no un folleto.

Determinados valores de Ondo (denominados en los EAU «valores digitales») han sido admitidos a negociación en Nest Exchange Limited, un sistema multilateral de negociación de activos digitales operado por Binance en el Abu Dhabi Global Market («ADGM») y autorizado por la Financial Services Regulatory Authority («FSRA»). Dichos valores digitales están disponibles para su negociación por parte de aquellos inversores que reúnan los requisitos para tener una cuenta en Binance. La FSRA del ADGM no asume responsabilidad alguna por la revisión o verificación de los documentos relacionados con la admisión a negociación de dichos valores digitales en el ADGM. La FSRA no ha aprobado los documentos relativos a dicha admisión a negociación, ni ha tomado medidas para verificar la información en ellos contenida, por lo que no asume responsabilidad alguna al respecto. No se está realizando ninguna oferta de valores en el ADGM. Los posibles adquirentes de dichos valores digitales admitidos a negociación deben llevar a cabo su propia diligencia debida sobre los mismos.

En el Reino Unido, las comunicaciones aquí contenidas podrían considerarse una «promoción financiera» de conformidad con la Sección 21 de la Ley de Servicios y Mercados Financieros de 2000 (Financial Services and Markets Act 2000). En caso de que así se determine, estas comunicaciones están destinadas exclusivamente a —y dirigidas a— profesionales de la inversión, tal como se definen en el artículo 19 de la Orden de 2005 sobre Servicios y Mercados Financieros (Promociones Financieras) —Financial Services and Markets Act 2000 (Financial Promotions) Order 2005, denominada «FPO»—, que cuenten con experiencia en la interacción con los activos «Ondo Stocks» y los tokens «USDY»; a empresas de alto patrimonio, según se definen en el artículo 49 de la FPO; y/o a cualquier otra persona a la que se permita legalmente recibir dicha comunicación. Toda persona que no se ajuste a estas categorías no está autorizada a actuar basándose en el contenido de estas comunicaciones, ni podrá fundamentar sus decisiones en dicho contenido. Ondo Global Markets (BVI) Limited no establecerá acuerdos con dichas personas en relación con los activos «Ondo Stocks» ni los tokens «USDY» como resultado de esta o cualquier otra comunicación.

Los tokens son emitidos por Ondo Global Markets (BVI) Limited, una sociedad mercantil de las Islas Vírgenes Británicas. Los tokens OUSG son emitidos por Ondo I LP, una sociedad en comandita (limited partnership) constituida en Delaware (Estados Unidos) (el «fondo»). Ondo Finance Inc., una sociedad anónima (corporation) constituida en Delaware (Estados Unidos), presta servicios de tokenización a Ondo Global Markets (BVI) Limited y, además, es titular de una participación en el capital de dicha entidad.

Las comunicaciones aquí contenidas están dirigidas exclusivamente a compradores que cumplan con los requisitos, o a partes con las que existan —o puedan existir— relaciones comerciales o integraciones técnicas en relación con los tokens. Nada de lo aquí expuesto constituye una oferta de venta ni una solicitud de oferta de compra de tokens. Asimismo, el contenido de este documento no constituye asesoramiento en materia de inversiones, legal, fiscal o financiera. La adquisición de tokens conlleva riesgos. El titular de los tokens puede sufrir pérdidas, incluida la pérdida total del importe pagado por su adquisición. El rendimiento pasado no constituye un indicador de resultados futuros. Los inversores son responsables de realizar sus propias investigaciones, verificaciones, comprobaciones o consultas para obtener asesoramiento profesional o en materia de inversiones.

Las comunicaciones aquí contenidas pueden incluir declaraciones prospectivas, que incluyen, entre otras, declaraciones relativas al desempeño financiero futuro, estrategias comerciales o expectativas sobre el crecimiento o desarrollo de Ondo Finance, Ondo Global Markets (BVI) Limited o cualquiera de sus respectivas entidades afiliadas (cada una de ellas, una «Entidad Correspondiente»). Dichas declaraciones se basan en las expectativas, estimaciones, proyecciones y convicciones actuales de la dirección, y están sujetas a diversos riesgos, incertidumbres y supuestos que podrían provocar que los resultados reales difieran sustancialmente de los previstos. Las declaraciones prospectivas pueden identificarse mediante el uso de términos como «podría», «podrá», «debería», «esperar», «tener la intención de», «planificar», «anticipar», «creer», «estimar», «predecir», «potencial», «continuar», o sus formas negativas, así como otras expresiones similares. Entre los factores que podrían provocar que los resultados reales difieran sustancialmente de los contemplados en las declaraciones prospectivas se incluyen, a título enunciativo pero no limitativo, los siguientes: factores económicos, competitivos, legales, gubernamentales y tecnológicos que afecten a las operaciones, mercados, productos, servicios o precios de cualquier Entidad Correspondiente. Ninguna Entidad Correspondiente asume obligación alguna de actualizar o revisar las declaraciones prospectivas, ya sea como resultado de nueva información, acontecimientos futuros o por cualquier otro motivo, salvo cuando así lo exija la ley.

Los emisores de tokens, sus entidades afiliadas, sus respectivos accionistas y miembros, así como sus respectivos directores, funcionarios, empleados, consultores, agentes y representantes (las «Personas de Ondo»), no respaldan —ni realizan declaración o garantía alguna (ya sea expresa o implícita, incluyendo, sin carácter limitativo, cualquier garantía de comerciabilidad, idoneidad para un fin determinado o no infracción)— respecto a los productos, servicios o tecnologías de terceros a los que se hace referencia en el presente documento; asimismo, las Personas de Ondo no asumirán responsabilidad alguna en relación con el uso que cualquier persona haga de dichos productos, servicios o tecnologías de terceros.

Se aplican términos y restricciones adicionales. Consulte docs.ondo.finance/legal/terms-of-service, docs.ondo.finance/ondo-stocks, ondo.finance/stocks, app.ondo.finance y (según corresponda) los documentos de la oferta de tokens para obtener más detalles.

BlackRock Fund Advisors («BlackRock») no actúa como asesor de inversiones, subasesor, gestor de carteras, gestor, patrocinador, promotor, suscriptor, comercializador o distribuidor de las Onchain Portfolios (carteras en cadena) ni de los tokens; asimismo, no gestiona dichas Onchain Portfolios ni ejerce discrecionalidad alguna sobre ellas. El papel de BlackRock se limita exclusivamente a proporcionar una o más estrategias de cartera modelo no discrecionales («Estrategias de Cartera») a Ondo Global Markets (BVI) Limited («Ondo»), basándose en las especificaciones que Ondo ha facilitado a BlackRock. BlackRock no selecciona, respalda ni recomienda ninguna Onchain Portfolio ni los activos que estas contengan, ni toma decisiones de inversión al respecto; además, una Onchain Portfolio puede diferir de la Estrategia de Cartera correspondiente por diversos motivos. BlackRock no tiene la obligación de actualizar las Estrategias de Cartera tras su entrega inicial a Ondo, salvo en circunstancias muy limitadas. Depende de Ondo decidir si las Onchain Portfolios relacionadas se actualizan de forma análoga. Por consiguiente, es posible que las Onchain Portfolios no reflejen cambios en el mercado u otros acontecimientos, ni se actualicen en consonancia con las Estrategias de Cartera. BlackRock no mantiene ninguna relación —ya sea de asesoramiento de inversiones, gestión de inversiones, fiduciaria, de cliente o de otro tipo— con los inversores o posibles inversores en los tokens o en las Onchain Portfolios, ni tiene responsabilidades u obligaciones hacia ellos. Las Estrategias de Cartera no han sido diseñadas para adaptarse a un inversor en particular y no tienen en cuenta las necesidades, objetivos o tolerancia al riesgo individuales de ningún inversor o posible inversor. BlackRock no ha elaborado ni aprobado este documento ni ningún otro material de oferta o comercialización, y no asume responsabilidad alguna por la tokenización, emisión, distribución, custodia u operativa de los tokens o de las Onchain Portfolios. BlackRock no realiza ninguna oferta de venta ni solicita ofertas de compra de valores. La inversión en los tokens conlleva riesgos, incluida la posible pérdida del capital invertido; asimismo, la rentabilidad pasada no constituye un indicador de resultados futuros.

Los inversores no poseen derechos, títulos, intereses ni reclamaciones sobre ninguno de los fondos o valores subyacentes a cualquier Cartera Onchain (los «Fondos Subyacentes»), ni tienen derecho a interponer acciones contra los gestores de dichos Fondos Subyacentes. Asimismo, BlackRock y Ondo no ofrecen, comercializan ni distribuyen estos Fondos Subyacentes a los inversores, ya sea de forma directa o indirecta a través de los tokens o de las Carteras Onchain. Los tokens constituyen valores independientes y distintos, emitidos por Ondo, y no representan ningún tipo de participación en los Fondos Subyacentes.

Las Estrategias de Cartera incluirán fondos patrocinados y gestionados por BlackRock y sus entidades afiliadas, los cuales abonarán comisiones a BlackRock y a dichas entidades por la prestación de servicios de gestión, administración u otros servicios. Por consiguiente, BlackRock tiene un posible conflicto de intereses en relación con la provisión de las Estrategias de Cartera, dado que la inversión en tales fondos por parte de la Cartera Onchain (Onchain Portfolio) incrementará la remuneración que perciben BlackRock y sus entidades afiliadas. BlackRock tiene un incentivo para ofrecer una Estrategia de Cartera que incluya fondos que generen mayores niveles de remuneración para BlackRock y sus entidades afiliadas.

Se puede obtener información adicional sobre BlackRock, incluido su formulario ADV, a través del sitio web «Investment Adviser Public Disclosure» de la Comisión de Bolsa y Valores de Estados Unidos (U.S. Securities and Exchange Commission), en https://adviserinfo.sec.gov.

The artificial intelligence (AI) infrastructure boom is here to stay. SemiAnalysis, which provides independent research on the semiconductor industry, predicts that the data center build-out will accelerate next year.

SemiAnalysis notes that global data center capacity net additions could surge to 51.2 gigawatts (GW) in 2027, more than double this year's 25 GW. The planned additions for next year point to an acceleration over 2026's estimated 60% capacity addition. This is great news for Nvidia, as its strong share of the AI chip market should help sustain its impressive growth next year.

However, there is another company that's winning big from the huge investments in AI data centers and is poised to grow faster than Nvidia. Celestica (CLS -6.53%), which designs, engineers, and builds hardware used in data centers and cloud computing infrastructure, released phenomenal results for the third quarter on Oct. 26.

Shares of the Canadian company surged 12% following its report. Let's see why that was the case.

Image source: Getty Images.

The AI infrastructure build-out has led to terrific acceleration in Celestica's growthCelestica is a contract electronics manufacturer that provides services across multiple verticals. However, it is the company's connectivity and cloud solutions (CCS) business that's fueling its growth right now.

CLS Celestica$264.30-$18.45 (-6.53%)

NYSE · As of 9:32 AM ET 10/30/26

Celestica's Q3 revenue increased 83% year over year to $5.83 billion. What's more, the company's adjusted earnings more than doubled from the year-ago period to $3.30 per share. The CCS segment produced 84% of Celestica's top line last quarter, and its revenue increased by 102% from the year-ago period.

Celestica divides its CCS segment into networking & computing and storage. The networking sub-segment's revenue increased by 68% from last year to $3.26 billion. Meanwhile, compute and storage saw stronger growth of 242% to $1.61 billion. The company has built a solid customer base that includes Advanced Micro Devices, Broadcom, and Intel, and all these chip giants have been growing at a solid pace.

As these customers are tapping Celestica to build high-speed networking components such as switches, along with storage controllers and custom AI chips, it is easy to see why Celestica's growth has taken off. The company has raised its 2026 guidance, now expecting a 69% revenue increase to $21 billion. Adjusted earnings per share (EPS) are projected to jump by 91% to $11.55.

Celestica has constantly increased its guidance throughout the year. It was originally expecting $16 billion in 2026 revenue, along with adjusted EPS of $8.20. Clearly, the strong data center spending environment has supercharged its growth as the year has progressed. More importantly, Celestica's 2027 guidance of $40 billion in revenue implies a 90% jump from 2026. Additionally, it expects adjusted EPS to jump by 86% to $21.50.

However, don't be surprised to see Celestica raise its guidance in the future due to higher planned data center net capacity additions for 2027.

The valuation makes the stock a screaming buyTrading at just 14 times forward earnings, Celestica stock is a steal right now. In fact, Celestica's forward earnings multiple is identical to that of industry bellwether Nvidia. But what's worth noting is that Celestica's 2027 forecast indicates that it is on track to clock faster growth than Nvidia.

The semiconductor giant expects 70% revenue growth next year, and we have just seen that Celestica has issued a stronger forecast that may improve. That's why I won't be surprised to see Celestica stock trade at a premium valuation in the future. In fact, Celestica's earnings could nearly triple in just two years, according to consensus estimates.

CLS EPS Estimates for Current Fiscal Year data by YCharts

If the stock trades at even 21 times earnings at the end of 2028, in line with the tech-laden Nasdaq-100 index's forward earnings multiple, its price could soar to $660 (based on 2028's projected EPS of $31.27). That implies potential upside of 144% in just over two years, indicating that Celestica's earnings-driven bull run is sustainable.

Finally, the valuation suggests that Celestica is a value stock that's capable of growing at a phenomenal pace, which is why buying it is a no-brainer right now.

Elon Musk's promise to gift every American child a SpaceX share sounds generous, but for families relying on SSI and Medicaid, where that share lands could trigger a cascade of consequences no parent sees coming.

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Picture a third-grader with a disability whose family relies on Supplemental Security Income (SSI) and Medicaid eligibility tied to that benefit. If Musk follows through in 2027, a single SpaceX (NASDAQ:SPCX | SPCX Price Prediction) share could land in an account for her benefit. Her parents want to know when that stock would start counting toward SSI and whether Medicaid could be affected.

Social Security generally counts property when the child owns it and has the legal right, authority or power to turn it into cash. A promise on X does not meet that test. If the share is delivered through a Trump Account, SSA excludes the account’s value from SSI resources through December 31 of the year she turns 17.

Musk’s 2027 Promise to Run Through Trump Accounts
On October 19, 2026, Elon Musk said he would give one SpaceX share to every child in America the following year, calling it the first of multiple planned gifts. He did not initially explain how the shares would be distributed. President Trump later said the giveaway would run through Trump Accounts.

SpaceX went public in June and now trades on the NASDAQ. That takes care of the usual problem of valuing private shares, since anyone can look up the price. A share trades at $143.89 as of October 29, 2026.

SSI’s Resource Test: Ownership Plus the Power to Sell
Under Social Security’s resource rules, property generally counts when a person owns it and has the legal power to liquidate it. Stocks are normally presumed liquid because they can usually be converted to cash within 20 workdays. But liquidity alone does not determine whether an asset counts. The key question is whether the child owns the property and can legally access or dispose of it.

So the resource question begins when ownership actually transfers, followed by whether the child has the legal ability to liquidate the asset. During a Trump Account’s growth period, distributions are generally prohibited, and SSA excludes the entire account from SSI resources. Direct contributions typically do not count as SSI income either. That protection lasts through December 31 of the year the child turns 17.

SSI is a federal cash benefit, while Medicaid is the state-run health program often tied to SSI eligibility. Where a family lives changes how that connection works. In 34 states and Washington, D.C., SSA makes the Medicaid decision for SSI recipients. The eight 209(b) states, including Illinois, Minnesota and Virginia, can apply stricter rules. Three of them, Connecticut, Missouri and New Hampshire, do not treat non-blind children under 18 as disabled for this purpose, so those children qualify for Medicaid under other standards.

$2,000 Ceiling, Parental Deeming and the Age-18 Switch
In 2026, SSI caps countable resources at $2,000 for an individual and $3,000 for a couple. A child gets the individual limit. SSA also “deems” some parental resources to a child under 18 living at home. It first protects $2,000 for one parent or $3,000 for two, then counts excess parental resources toward the child’s $2,000 limit. Certain parental retirement and pension funds are excluded.

That’s why the share’s location matters. Inside a Trump Account, its value is excluded during the growth period. If a parent owns the share in a personal brokerage account, it can become a parental resource subject to deeming, and a family already near the line can cross it. Musk’s promise of more gifts makes that distinction more important.

Things change in the year she turns 18. On January 1, the Trump Account becomes countable, valued at what she could withdraw after any early-withdrawal penalty. Parental deeming does not stop until the month after she turns 18, so both can matter for part of that year. A direct ABLE rollover of the Achieving a Better Life Experience (ABLE) Act of 2014  is available only during the calendar year she turns 17.

Kathleen Romig, a senior fellow at the Center on Budget and Policy Priorities, told Disability Scoop that exceeding the SSI asset test can suspend and eventually end benefits. Because many disabled people qualify for Medicaid through SSI, she said, excess savings can also jeopardize health coverage and home and community-based services.

Families that keep the transfer confirmation, the account type, the date ownership began, the withdrawal restrictions and the share’s market value on that date can give a caseworker a clean answer. Families that assume Musk’s post changed eligibility one way or the other end up explaining a guess.

Contact [email protected] for any questions or corrections.

Walter Piecyk of Lightshed Partners is not impressed with the Apple iPhone Duo and says it's going to be a tough year for the company. Apple reports earnings on Monday.

On news that the company is planning to raise $95 billion to fund artificial intelligence (AI) spending, including a $35 billion stock offer, shares of Meta Platforms (META) have been walloped in recent weeks, shedding more than 16% over the past month. Declines of more than 10% mark a correction.

A month after President Donald Trump ordered that the term "super intelligence" replace artificial intelligence within executive branch departments and agencies, his leading tech allies — Elon Musk and Mark Zuckerberg — followed suit on earnings calls. Their fellow tech CEOs were less eager to do the same.

Trump's declaration took place on Sept. 29, while he was hosting an AI luncheon at the White House for industry leaders. At the time, he was working to ensure the growth of AI in the U.S. with limited regulations. The president this week announced on Truth Social that he's banning the use of AI or artificial intelligence in "all relevant documents" and "everything else."

SpaceX and Tesla adhered to Trump's wishes on earnings calls last week after Musk, earlier in October, changed the name of his rocket company's AI division to SpaceXSI. Speaking on Tesla's call about his work on humanoid robots, Musk said, "Some of them look very impressive, but they're not really using any kind of advanced AI or SI."

Zuckerberg was equally compliant on Meta's earnings call on Oct. 21, emphasizing his company's "goal of delivering personal superintelligence to everyone." However, Meta was already using the term, having created a unit called Meta Superintelligence Labs last year.

While Musk and Zuckerberg have been perhaps the fiercest supporters of the Trump administration among tech's CEOs, they're by no means outliers. Leaders of all the tech giants have contributed to Trump's inauguration festivities or his plan for the White House ballroom, and some have been intentional about getting rid of diversity, equity and inclusion (DEI) programs that the president opposed.

But for now at least, they're holding out when it comes to eliminating the term AI.

Amazon CEO Andy Jassy peppered his call with use of AI on Thursday, uttering the acronym well over a dozen times in his introductory remarks. A day earlier, Microsoft CEO Satya Nadella said one of the company's three points of focus is "designing AI to empower people." And Alphabet CEO Sundar Pichai was seconds into his quarterly earnings commentary when he said the search giant's "AI investments are driving increased usage and overall user growth."

Trump's attempted rebrand comes just ahead of the midterm elections next week, with the Republican Party in jeopardy of losing control of both the House and Senate. Trump's job approval has been dropping and his economic approval rating just hit an all-time low, according to the latest CNBC All-America Economic Survey released last week.  

'Real-world outcomes'That's not to suggest tech execs sticking with "AI" on this week's earnings calls are openly defying the president. Trump's preferred term is seeping into other correspondence and documents. Microsoft's annual report filed last week included eight mentions of super intelligence, starting at the top of the letter to shareholders.

"For Microsoft, the central question as we enter this Super Intelligence era is not just how big the opportunity becomes, but how we deliver the real-world outcomes that every country, community, and company demands and deserves," Nadella wrote.

IBM CEO Arvind Krishna, who didn't attend Trump's September lunch, used SI alongside AI during his company's earnings call last week. Krishna said, "technology innovation in both hybrid infrastructure and super intelligence is leading to better business performance," adding that IBM is advancing as a "software-led hybrid cloud and AI platform company."

Lip-Bu Tan, CEO of chipmaker Intel, said on Thursday the supply shortage the chip industry is navigating has been "driven by the unprecedented demand for super intelligence."

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Some in the tech industry have been explicit in their support of Trump's terminology ahead of their forthcoming earnings reports next month.

Palo Alto Networks CEO Nikesh Arora repeatedly referred to SI on CNBC, and posted on X on Sept. 30, "The meeting at the WH on SI was an epic moment."

Then there's Nvidia's Jensen Huang, who runs the world's most valuable company and the chipmaker that's powered much of the AI boom. Along with Musk and Zuckerberg, Huang has been one of Trump's most vocal supporters in tech and the president's top ally on the AI safety debate.

Like Arora, Huang took to X after last month's AI meeting to praise the "White House Accord on Super Intelligence."

"Super Intelligence offers an extraordinary opportunity to advance discovery, productivity, security, health, and prosperity," Huang wrote. "The future of Super Intelligence will be shaped not only by what it can do, but by the confidence it earns."

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Alphabet just reported a quarter where it spent more cash than it earned, while simultaneously revealing nearly a trillion dollars in future purchase commitments. The math behind its AI ambitions is starting to raise questions that demand answers.

A Negative $9.065 Billion Quarter Changes the AI Math Alphabet (NASDAQ:GOOGL | GOOGL Price Prediction) spent more cash than its business brought in last quarter. Free cash flow was negative $9.065 billion in Q3 2026, according to results released after the close on Oct. 28. The shortfall came from capital expenditures of $51.355 billion, which exceeded operating cash flow of $42.29 billion, per the company’s SEC filing. Free cash flow changed -137.06% year over year.

CFO Anat Ashkenazi addressed it directly on the earnings call, saying “We had negative free cash flow of $9.1 billion in the third quarter, driven by our investments in CapEx.”

What It Means for Alphabet’s Cash Engine Two lines moved in opposite directions. Capex rose 114.4% year over year, while operating cash flow fell 12.65%. The business itself is still growing: revenue rose 24.65% to $127.577 billion, and operating income grew 29.93% to $40.576 billion. The spending is simply growing faster than the cash.

Earnings also took a hit. GAAP EPS of $2.12 came in well short of the $2.97 consensus, ending a 12-quarter beat run. An $8.7 billion loss on equity securities caused most of that gap.

Market Reaction: Shares Slide After Hours Investors responded quickly. Alphabet shares fell 10.13% in after-hours trading on October 28, dropping from $324.89 to $291.99. Microsoft (NASDAQ:MSFT), which reported the same afternoon, rose 2.41% in the same session.

Bear Case: Obligations Are Stacking Up 1. Forward commitments are enormous: Ashkenazi said that at the end of the quarter, Alphabet had future purchase commitments of $924 billion and pre-commencement leases and other obligations of $152 billion.

2. Spending is still climbing: Management guided 2026 capex to between $195 billion and $205 billion, and signaled that 2027 CapEx will rise substantially from there.

3. Outside capital is filling the gap: Alphabet raised $28.7 billion in net proceeds from senior unsecured notes, plus $4.3 billion from Class A and $8.1 billion from Class C share sales through its at-the-market program. Selling new shares spreads ownership across more stock, which reduces each existing holder’s slice of future profits. Another $27.6 billion remains available under the program.

4. The engine that funds it all is moderating: Google Search and other revenue came in at $63.35 billion, missing the Wall Street analyst consensus estimate of $64.85 billion.

Fair Counterpoints Worth Weighing Some of the burn has specific causes. Part of it came from a TPU inventory build tied to signed customer contracts, and part from a one-time EU fine payment of $5.2 billion. Ashkenazi also said return on invested capital, which measures the profit earned on every dollar put into the business, remains “meaningfully above our cost of capital.” She described the commitment figure as a maximum, with many agreements carrying flexible pricing and volume.

Demand is there, too. Google Cloud revenue grew 103%, and Cloud operating income reached $11.121 billion, up from $3.594 billion a year earlier. Quarterly capex also came in below the Wall Street analyst consensus estimate of $55.78 billion, which suggests Alphabet is spending within the plan analysts expected.

Microsoft Shows the Other Path Microsoft is spending heavily as well. Additions to property and equipment reached $39.367 billion in fiscal Q1 2027, and operating cash flow of $58 billion covered that bill. Its commercial remaining performance obligation, which is signed revenue it hasn’t yet recognized, stood at $677 billion. In July, CFO Amy Hood said, “And we expect to remain free cash flow positive in FY ’27.”

Bottom Line: Alphabet’s AI Spending Has Reached a Riskier Phase Risks are mounting. Alphabet now needs debt markets and new share sales to fund its AI expansion (the same expansion feeding the power, cooling, and networking suppliers we profiled in a free report on seven AI infrastructure stocks that aren’t chipmakers), it carries $924 billion in future purchase commitments, and its core Search business missed expectations in the same quarter. Cloud growth and a strong return on invested capital give the strategy a real foundation. Even so, Microsoft has shown that heavy AI spending can still be paid for out of operating cash. Alphabet hasn’t shown that yet.

Income-focused holders have the next scheduled 22-cent dividend, with a record date of Dec. 7 and payment on Dec. 14. The test to watch is next quarter’s results. If free cash flow turns positive and Search growth speeds up from 12%, the bear case weakens. If the cash burn continues and the share-sale program keeps drawing down, dilution becomes the main concern for long-term shareholders.

Contact [email protected] for any questions or corrections.

Faruqi & Faruqi, LLP Securities Litigation Partner James (Josh) Wilson Encourages Investors Who Suffered Losses In Alphabet To Contact Him Directly To Discuss Their Options If you purchased or acquired securities in Alphabet between May 19, 2026 and July 16, 2026 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). [You may also click here for additional information] New York, New York--(Newsfile Corp. - October 30, 2026) - Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Alphabet Inc. (""Alphabet" or the "Company") (NASDAQ: GOOGL) and reminds investors of the November 30, 2026 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

Alphabet shares cratered after snapping a 12-quarter earnings beat streak, yet one major Wall Street bank sees the selloff as a misreading of what actually drove the miss and where the real growth story is heading.

Alphabet (NASDAQ: GOOGL | GOOGL Price Prediction) just ended a run of 12 straight quarterly earnings beats, and investors sold hard. Shares traded at $285.31 this morning, down 12.18% in the session. Business Insider reported that the drop erased a huge amount of market value. The miss looks worse than the business, though, and Goldman Sachs (NYSE: GS) still rates the stock a Buy as a top AI pick.

An Investment Write-Down Drove the Miss
GAAP EPS came in at $2.12, missing the $2.97 consensus by 28.52%. Revenue of $127.58 billion was essentially in line with the $127.83 billion estimate and grew 24.6% year over year. An $8.7 billion loss on equity securities took $0.55 off EPS, so much of the shortfall came from an investment mark, with operations playing a smaller role. Operating income rose 29.93% to $40.58 billion.

Investment swings distort GAAP results across the group. During the quarter, Microsoft (NASDAQ: MSFT) recorded a $207 million OpenAI gain, and Amazon (NASDAQ: AMZN) reported $53.4 billion of mostly Anthropic-related other income in its second quarter.

Search Growth Is the Key Question
Search and other revenue reached $63.35 billion, up 12%, which fell short of expectations. Goldman Sachs reports that management blamed currency headwinds and tougher comparisons, and described AI-driven searches as additive to the business rather than a drain on it. Chief Executive Sundar Pichai backed that up:

“Our AI investments are driving overall Search query growth, including commercial queries. In fact, our year-over-year query growth rate is the highest it’s been in the last five years.”

Cloud Is Growing Faster Than Azure and AWS
Google Cloud revenue grew 103%. Azure grew 48%, and AWS grew 37% in its most recent quarter. Pichai said:

“Google Cloud revenues grew 103%, powered by huge demand for our AI infrastructure and AI solutions. We’re also seeing strong demand for our TPU systems across a wide range of customers.”

Goldman Sachs reports that management cited a $561 billion backlog. Goldman Sachs says that figure is up 256%, and that management expects about 55% of it to turn into revenue within 24 months. Management also said compute availability is the main thing holding back even faster growth. Sundar Pichai said, “The Gemini app has reached one billion users.” Agents are the next product layer. These are Universal Cart and Gemini Agent in Search and Workspace, with plans to bring agents to Chrome and Android, all running on the Gemini 4 Argon and Carbon models.

Spending Opens a Free Cash Flow Gap
Capital spending reached $51.355 billion in the quarter, and free cash flow came in at negative $9.065 billion. Goldman Sachs reports that management repeated 2026 capex guidance of $195 billion to $205 billion and expects a further material increase in 2027. Goldman Sachs estimates about $203 billion for 2026 and about $350 billion for 2027. All of that spending has to be powered, cooled, and networked by someone, and we rounded up seven of those suppliers in a free AI infrastructure report. Management expects returns to stay above its cost of capital, but the cash gap is real. Amazon faces the same pressure, with trailing free cash flow at -$7.6 billion.

Goldman Lowers Its Target but Keeps a Buy
Goldman Sachs repeated its Buy rating and cut its price target from $435 to $385. Goldman Sachs says the stock trades at about 18x its 2027 GAAP EPS estimate and 15x its 2028 estimate, both excluding net cash. Goldman’s view is that the market underrates how widely Alphabet can distribute AI through its billion-user apps, as well as its scale in compute and custom chips.

Alphabet is still a top AI name. Its cloud business is growing faster than its two biggest rivals, and the EPS miss was mostly an accounting mark, so watch the Search growth rate and a clearer view of normalized free cash flow.

Contact [email protected] for any questions or corrections.

Wall Street saw a massive earnings miss and hit the sell button. I read the footnotes, checked what the actual businesses returned, and opened my wallet instead.

I added to my Alphabet (NASDAQ:GOOGL | GOOGL Price Prediction) position again on Thursday. The stock fell 12.64% to $283.82 that day, which CBS News called its worst day since the company went public. My reason for buying hasn’t changed. Alphabet controls where billions of people search, watch, and now work with AI, and it keeps turning that reach into faster-growing, more profitable businesses. This sell-off lets me buy that same company at a lower price.

One Accounting Line Explains the Miss Wall Street focused on GAAP EPS of $2.12 against a $2.97 estimate. That was a 28.52% miss, and it ended a 12-quarter run of beats. I focused on the footnote. Alphabet reported an $8.70 billion loss on equity securities, which cut net income by $6.70 billion and reduced EPS by $0.55. Other income shifted to a net loss of $8.22 billion from a $12.76 billion gain a year earlier. Investment values move with the market. They tell me little about how Google’s businesses are running.

The businesses ran hot. Operating income rose 29.93% to $40.58 billion. Revenue climbed 24.6% to $127.58 billion, the 13th consecutive quarter of double-digit growth.

Three Reasons I Keep Adding Google Cloud comes first. Revenue grew 103% to $30.71 billion, and segment operating income reached $11.12 billion versus $3.59 billion a year ago. CEO Sundar Pichai pointed to “strong demand for our TPU systems across a wide range of customers.” Alphabet sells its own AI chips alongside its cloud capacity, and having that whole stack is why I keep coming back.

Second, Search keeps growing alongside AI. Search and other revenue rose 12% to $63.35 billion. Pichai said query growth is “the highest it’s been in the last five years.” The Gemini app reached 1 billion users.

Third, the balance sheet pays for all of it. The debt-to-equity ratio stands at 0.143, interest coverage at 175.5x, and return on equity at 35.7%. The stock’s trailing earnings multiple is 13. I discount that multiple because equity gains inflated earlier quarters, including Q2 EPS of $9.11. I apply the same one-time logic in both directions, and operating income still shows a business that keeps growing. For income, the $0.22 quarterly dividend was raised 5% this year and yields 0.60%.

Why Alphabet Gets My Money Over Microsoft and Amazon The obvious AI cloud alternatives are Microsoft (NASDAQ:MSFT) and Amazon (NASDAQ:AMZN). Microsoft carries an earnings multiple of 29, and Azure grew 48% last quarter. Amazon carries an earnings multiple of 34, and AWS grew 39%. Google Cloud grew faster than both, and its parent costs me the lowest multiple of the three. I’ll take the faster grower at the cheaper price.

Risk I Watch Closely Spending is the real risk. Capital expenditures rose 114.4% to $51.36 billion, which drove free cash flow to negative $9.07 billion. Alphabet covered the gap by issuing $28.7 billion in senior notes. The company also sold 12 million Class A shares and 24 million Class C shares through its at-the-market program, which still has $27.6 billion available. That reduces my stake and adds interest expense. CNBC described the quarter as AI taking a bite out of search. If this spending doesn’t pay off, I own the consequences.

My thesis holds because the spending already produces profits. Operating cash flow reached $42.29 billion this quarter, and Alphabet generated $73.27 billion of free cash flow in fiscal 2025. Cloud profits show the expansion turning into earnings.

What Keeps My Buy Button Active The stock sits 16.75% below where it traded a month ago and is down 9.15% year to date, even as operating income and Cloud revenue sped up. Pichai now describes a “half-trillion dollar revenue run rate.” Over 10 years, the shares rose 607.59%. The market read this quarter wrong, and every share I add at this price buys more of the business the market missed.

Contact [email protected] for any questions or corrections.

Alphabet (GOOGL -12.64%) (GOOG -12.29%) shares were slammed following the company's third-quarter earnings report, as its search revenue growth slowed and it missed expectations. However, this problem looks fixable, and the company's cloud computing business delivered exceptional results.

Let's take a closer look at the search giant's Q3 results and why I think the stock is a buy on this dip.

GOOGL Alphabet$283.82-$41.07 (-12.64%)

NASDAQ · As of 4:00 PM ET 10/29/26

Search revenue misses
The biggest reason Alphabet shares sank was that its search revenue growth decelerated from 17% from the second quarter and missed expectations. For Q3, search revenue grew 12% to $63.35 billion, below analyst estimates of $64.96 billion. The slower growth stemmed from a combination of currency fluctuations, the timing of the World Cup, the end of the European Union de minimis exception (no duties on low-cost items), and lower monetization of AI queries compared with traditional search.

While the company said currency was the biggest drag, the last one is what caught everyone's attention. Alphabet said it saw its highest query growth in five years, but revenue growth still slowed. This means it was seeing lower revenue per search with its newer AI queries. The worry is that this could become a structural issue. However, this looks fixable as it works to find the right ad formats. The company will start offering ads in AI international markets for the first time, while also introducing new multi-turn ads (ads that adapt to evolving content during AI queries) in the U.S.

Management also spoke positively about Alphabet's stand-alone Gemini app, which recently reached 1 billion users. It said it was the fastest-growing product in its history. The company also launched its new Carbon model the same day as its earnings report, shortly after introducing its Argon model.

While Alphabet's search segment was a disappointment, its cloud computing unit was a huge bright spot. Google Cloud revenue more than doubled to $30.7 billion, and topped the $28.7 billion cloud revenue consensus. The company's cloud growth is far outpacing that of rivals Microsoft and Amazon as it takes market share. Impressively, cloud operating income more than tripled to $11.1 billion, as its operating margins climbed from 23.7% a year ago to 36.2%. Cloud computing is a high-fixed-cost business, and Alphabet is seeing significant operating leverage. As such, expect its cloud computing operating income to continue to outpace revenue growth.

Alphabet ended the quarter with a backlog of $561 billion. It expects about 55% of that to convert to revenue over the next two years. This also includes sales of tensor processing units (TPUs).

Looking at Alphabet's other segments, YouTube ad revenue climbed 9% to $11.2 billion, while Google Network revenue edged up 1% to $7.5 billion. Subscription (YouTube Premium and Music) revenue, meanwhile, rose 11% to $14.3 billion.

Overall, Alphabet's Q3 revenue jumped 25% to $127.6 billion, while its earnings per share fell 26% to $2.12. Much of this was due to a paper loss on its SpaceX investment, and adjusted EPS was around $2.67. However, the results still missed analyst expectations for EPS of $3.02 on revenue of $128.2 billion

Also notable during the quarter was Alphabet's negative free cash flow of $9.1 billion as it ramped up its AI infrastructure spending. That was also below the negative $2.7 billion analysts expected, but it did include a $5.2 billion fine. Operating cash flow, meanwhile, was a robust $42.3 billion for the quarter.

Image source: The Motley Fool

Following the stock's dip, Alphabet trades at a forward P/E of just above 18.5 times 2027 analyst estimates. That ultimately should prove to be a bargain for a company with the most complete tech stack.

Google Cloud has become a monster, with rapid revenue growth and great operating leverage, and its TPUs give the company a distinct advantage and additional underappreciated growth driver. Meanwhile, Alphabet is seeing strong query growth, but it needs to find a way to better monetize AI Mode searches, which should be fixable.

In typical Wall Street fashion, investors are shooting first and asking questions later, creating a great opportunity to buy this top AI stock on this dip.

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

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

Amazon.com Inc. (NASDAQ:AMZN) ran a more profitable business last quarter than Wall Street expected, though earnings per share still fell short. The difference between the two results traces back to one line on the income statement: interest.

AMZN stock is down after earnings. See the chart and price action here.  The Seattle-based company’s operating profit beat forecasts by about $1.8 billion. Even so, EPS landed at $1.89, below the $1.96 analysts had penciled in. A 7-cent miss in a quarter where the core business outperformed calls for a closer look below the operating line.

Amazon paid $1.69 billion in interest during the third quarter, according to its earnings release. A year earlier, the figure was $538 million. Interest income also rose modestly to $1.19 billion from $1.1 billion.

In the third quarter of 2025, Amazon earned $562 million more in interest than it paid. One year later, in the third quarter of 2026, it paid $504 million more than it earned. The net change comes to roughly $1.07 billion.

Applying a tax rate of about 23% shrinks the swing to around $820 million after tax. Spread across Amazon’s share count, the hit works out to about 7.5 cents per share. The reported miss was 7 cents.

The match suggests the business itself held up. Amazon generated more operating profit than forecast, then sent a larger slice of it to lenders before anything reached shareholders. Interest sits below operating income on the income statement, so a beat at the operating line can vanish by the time results reach the bottom line.

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Debt More Than Doubles in 9 MonthsLong-term debt climbed from $65.6 billion in December to $173.1 billion at the end of September, per the same release. Debt more than doubled in nine months. Much of the money is going toward AI data centers, which Amazon views as essential to meeting demand at Amazon Web Services.

Bigger debt carries a predictable cost. Each new bond adds to the quarterly interest bill, and the bill comes due whether or not the data centers it funded are producing revenue yet.

Amazon has tried to cap the near-term buildup. In July, the company said it would not borrow again in 2026, CNBC reported. The pledge accompanied a large bond sale tied to AI spending.

A 2026 Borrowing Pause Meets a Bigger 2027 BudgetAmazon expects 2027 capital spending to be "meaningfully more" than the roughly $220 billion it plans to spend in 2026. 

Funding a larger outlay could send Amazon back to the bond market once the calendar turns. The company has already shown it will borrow to close the gap between the cash it generates and the cash it spends. Fresh debt in 2027 would push the interest line higher again, and the cost would show up in the same place it did this quarter.

The third quarter report offers a useful template for investors. Amazon’s operating business can keep beating expectations while EPS lags, as long as interest costs rise faster than interest income.

The spread between those two lines may say more about Amazon’s per-share earnings next year than the headline profit figures.

Short of a slowdown in AI spending, Amazon’s debt bill is likely to keep growing. Wall Street may need to start modeling it as closely as it models AWS.

AMZN Stock Price Activity: Amazon stock was down 6.72% at $227.40 during premarket trading Friday, according to Benzinga Pro market data.

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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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Plus, an Italian insurer's 20-year pact looks like one of the most lucrative naming-rights agreements in sports history.

Amazon (AMZN) and Intel (INTC) earnings did no favors in easing concerns around an already fragile AI trade. Kevin Hincks discusses how rising CapEx in Amazon continues to make investors uncomfortable even as AI adds muscle to AWS.

Before Microsoft reported a single number this quarter, the decision was already made. Here is the thesis that keeps the buy button active even as capital spending doubles and cash reserves shrink.

I bought more Microsoft (NASDAQ:MSFT | MSFT Price Prediction) this week. I had decided to do it before the company reported a single number. The earnings report on October 28 showed enough good signs to make the decision easy, and it backed up the mid-to-long-term strategy I already believed in.

Here is my thesis in plain terms. Businesses already run on Microsoft software. Now Microsoft leases them the computing power to put AI on top of that software. That strategy shows up more clearly in the numbers each quarter, and each quarter I add shares.

Three Reasons I Keep Adding Shares
First, growth is speeding up, and at this size that is rare. Fiscal first-quarter revenue reached $92.28 billion, up 18.8%, ahead of the $90.75B consensus. Microsoft Cloud revenue hit $63.9 billion, with growth accelerating to 30%, and Azure revenue rose 48%. Non-GAAP EPS came in at $4.89 against a $4.72 consensus. That was the sixth consecutive EPS beat.

Second, the backlog. Commercial remaining performance obligations are revenue customers have signed for that Microsoft has yet to book. They rose 73% to $677 billion. CFO Amy Hood put it bluntly: “Customer demand continues to exceed available supply.” When customers are waiting in line, I want to own the company they are waiting for.

Third, quality and income. Microsoft runs a 46.78% operating margin and a 34.04% return on equity. Debt-to-equity stands at 0.29, and interest coverage is 50.88x. The quarterly dividend just rose to $0.98 from $0.91, up from $0.36 in 2016. The 0.67% yield looks small today. What I am really buying is the increase that keeps coming.

Valuation helps too. Fiscal 2026 net income rose 31.34%, yet the stock fell 1.3% over the past year and trades at about 29 times earnings. Profits went up while the price stood still, and that kind of gap tends to reward patient owners.

Why My Money Skips Alphabet and Amazon
Alphabet (NASDAQ:GOOGL) looks cheaper at about 13 times earnings. Those earnings got a lift from investment gains, including a $99.03 billion gain on equity securities in one quarter. Under that, I see third-quarter free cash flow of negative $9.065 billion, long-term debt that rose from $46.5 billion to $98.2 billion, and new share sales that reduce existing owners.

Amazon (NASDAQ:AMZN) pays no dividend and trades near 34 times earnings. It reported trailing free cash flow of negative $42.4 billion. AWS rose 39%, which is a strong number. Azure rose faster, and Microsoft pays me while I wait.

Spending Is the Risk I Watch Most
Capital expenditures reached $39.37B, up 102.99%, and management expects calendar-year capex of about $170 billion. Cash fell 29.70% to $20.28B. Fiscal 2026 free cash flow slipped 6.46% to $66.99B, and Microsoft just finalized terms on a bond sale. If AI demand cools, those data centers become an expensive burden. Microsoft itself warns that its cloud and AI investments may not achieve expected returns.

Cash and signed contracts back the spending, keeping my thesis intact. Operating cash flow rose 28.73% to $58.00B. The quarter still produced $18.6 billion of free cash flow, and Microsoft returned $10.2 billion to shareholders.

What Keeps the Buy Button Active
Satya Nadella told analysts that enterprise AI adoption “is a decade-long process.” I plan to own Microsoft through that whole decade, just as I owned it through the last one, when shares rose 896.35%. I was going to buy anyway, and this quarter gave me the numbers to back it up.

Contact [email protected] for any questions or corrections.

SummaryMicrosoft boasts a $677bn RPO, doubling TTM revenue and growing at 73% annually, signaling exceptional forward visibility.MSFT delivered accelerating revenue growth of 19% in the quarter and maintains robust 23.5% TTM unlevered pretax FCF margins.The stock trades at 47x TTM UFCF for 18% revenue growth, reflecting a premium for RPO visibility and strong fundamentals.We rate MSFT a Hold at this level but expect potential selling pressure in the $558-$605 range after significant gains from our prior Accumulate levels.This idea was discussed in more depth with members of my private investing community, Growth Investor Pro. Learn More » Yuriy Komarov/iStock Editorial via Getty Images

DISCLAIMER: This note is intended for US recipients only and, in particular, is not directed at, nor intended to be relied upon by any UK recipients. Nothing in this note is intended to be investment advice, and neither should

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

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

NEW YORK--(BUSINESS WIRE)--The Estée Lauder Companies Inc. (NYSE: EL) today announced a new strategic partnership with Microsoft Corp. to advance its cloud and data foundation and support the responsible adoption of AI-enabled capabilities across the enterprise. The collaboration will help connect data and intelligent tools to support faster innovation, more efficient operations, and more relevant consumer experiences. This new partnership is a critical part of The Estée Lauder Companies' One O.

Nike was once one of the most dominant brands on the planet, but a decade of holding its stock tells a story that even loyal fans might struggle to defend. The numbers behind that decade reveal a troubling gap between…

Nike (NYSE:NKE | NKE Price Prediction) shares trade at $38.35, down from a $52.02 close on October 28, 2016. Considering price alone, $1,000 invested a decade ago is worth $737.22 today, a 26.28% loss. If you reinvested the dividends, the total-return loss shrinks to 14.75%, leaving $852.50. Either way, ten years of having one of the world’s best-known brands cost you money.

From Record Highs to 12-Year Lows
The early years went well. The stock closed at a high of $177.51 in November 2021, when Nike ran hard into selling directly to consumers. Nike has since reversed that strategy and is rebuilding its wholesale relationships. Last quarter, NIKE Direct fell 8%, and NIKE Brand Digital fell 13%.

The weakness runs across the business. In fiscal Q1 2027, Greater China revenue fell 22% to $1.18 billion, Converse dropped 28%, and total revenue slipped 4.3% to $11.21 billion. For fiscal 2026, revenue grew just 0.19% to $46.4 billion, while net income fell 3.45%. In September, the shares hit 12-year lows after Kylian Mbappé left for a rival brand, and Nike had already been dropped from the S&P 100.

Through it all, Nike kept raising its payout. The quarterly dividend is $0.41 today, up from $0.16 in 2016 (both figures adjusted for the 2015 two-for-one split).

Your $1,000 Shrank While the Market More Than Tripled
1-Year Return

Initial Investment: $1,000
Current Value: $587.50
Total Return: -41.25%
S&P 500 (same period): $1,116.30 (11.63%)

5-Year Return

Initial Investment: $1,000
Current Value: $251.20
Total Return: -74.88%
Annualized Return: -24.14%
S&P 500 (same period): $1,670 (67%)

10-Year Return

Initial Investment: $1,000
Current Value: $852.50 with dividends; $737.22 on price only
Total Return: -14.75%
Annualized Return: -1.58%
S&P 500 (same period): $3,608.60 (260.86%)

Entry timing counted most. Buyers at the 2021 peak are down 78.40% on price. The five-year window captures most of the slide: Nike returned -24.14% over that period, while the index gained 10.80% per year. The S&P 500 figures above count price only, so including its dividends would widen the gap further.

What Has to Go Right Before Nike Recovers
The recovery case strengthens if the Pace restructuring hits its target of $2.5 billion in total savings through fiscal 2031 and the performance business grows fast enough to offset Sportswear, Jordan, and China. Running grew double digits last quarter. CFO Dave Denton also said that “under all scenarios, we have support for maintaining and ultimately growing the dividend over time.”

The case damps if China keeps getting worse. On the October 1 call, Denton said the guidance “assumes that China actually gets worse from a revenue perspective for the balance of this year,” and Nike expects fiscal 2027 revenue to fall by a high-single-digit percentage.

For retirement savers, the main risk is that the dividend ends up being the only return for years while the share price keeps sliding. The key is a margin recovery once Pace savings peak in fiscal years 29 and 30. November’s investor day is the next checkpoint for a credible five-year plan.

Contact [email protected] for any questions or corrections.

A suspected Chinese intelligence asset built a close relationship with Jensen Huang while her employer spent billions on NVIDIA chips, and US officials briefed Trump but chose not to act. Now Congress wants answers, and the stakes go well beyond…

On Thursday, October 29, a report said US intelligence agencies concluded that Alice Huang, also known as Huang Le, was gathering information for Beijing. She is a Chinese citizen and a senior executive at Megaspeed, a Singapore-based data center company that buys from NVIDIA (NASDAQ:NVDA | NVDA Price Prediction). The report said she also built a close relationship with Jensen Huang, who is NVIDIA’s President and Chief Executive Officer.

The claim comes from anonymous US officials. No charges have been reported, and the report accuses Jensen Huang of nothing. Outlets differ on whether Alice Huang still works at Megaspeed, and no source says whether she is related to him.

The stock closed at $213.66 that day, down 0.8%, for a market value of $5.16 trillion. It then slipped to $210.09 after hours, down 1.67%, amid a broad tech sell-off and a busy night of earnings reports.

For shareholders, the question is about governance. NVIDIA is at the center of a national security fight over AI chips, so the open issue is whether its controls on customer access and executive security match that role.

What the Spy Report Alleges
When officials told President Trump about a year earlier, they did not believe Jensen Huang knew of her alleged role. The report said it is unclear whether that view has changed, and that Trump chose not to act, reportedly because he did not want to cut off chip sales and trade with Beijing.

Jensen Huang has not received a defensive briefing, which is a warning from US officials that someone close to you may be a target or an asset of a foreign intelligence service. The White House, the CIA and the NSA declined to comment.

NVIDIA spokesperson John Rizzo said, “Jensen’s interactions with Ms. Huang are not unusual or unexpected. Meetings with customers are part of a C.E.O.’s job; Jensen talks with thousands of customer executives every year.” Megaspeed said it hired outside counsel and will cooperate with the US government.

Megaspeed’s Export History Matters More
US officials began looking at Megaspeed in late 2024, after a Commerce Department official visiting its Malaysia data center found NVIDIA equipment still in boxes. The case went to the Justice Department in 2026, and a Malaysian sister company reportedly spent at least $4.8 billion on NVIDIA-based equipment from June 2024 to February 2026.

Operators in Singapore and Malaysia draw scrutiny because they can legally buy chips that China cannot, which makes them possible routes around export controls. NVIDIA said the earlier allegations “were thoroughly investigated and debunked last year,” and Jensen Huang said, “We’ve studied all their deployments of our GPUs and counted every one.”

Political Risk Outweighs Revenue Risk
The direct revenue exposure is small. NVIDIA’s guidance of $108.0 billion, plus or minus 2% for the third quarter of fiscal 2027 already excludes any Data Center compute revenue from China.

The political exposure is larger. Sen. Elizabeth Warren wrote on X on October 29 that “Huang and NVIDIA’s board owe Congress answers” and called for bipartisan legislation to keep advanced AI technology “out of China’s hands.” Separately, the Justice Department is asking antitrust questions about NVIDIA’s planned Hugging Face acquisition, so Washington is now looking at the company from two unrelated directions.

What Could Change the Outlook for NVIDIA Stock
In the second quarter of fiscal 2027, revenue reached $96.22 billion, up 105.8%, and non-GAAP EPS of $2.22 beat the $2.09 consensus. The allegation concerns information gathering by a customer executive and stays separate from any claim that NVIDIA itself diverted chips.

The shares were up 14.83% for the year through October 29 but down 5.96% over the past month. Given that, a small drop on a weak day for tech suggests investors see the report as a headline with limited effect on earnings, and that reading looks right for now.

That view changes if Congress calls Jensen Huang to testify, if new export rules target Southeast Asian data center buyers, or if anyone tied to Megaspeed is charged. At the upcoming earnings report, check whether NVIDIA lands within that $108.0 billion range and says anything about how it vets customers. Silence on screening while Washington keeps asking questions would be the warning sign.

Contact [email protected] for any questions or corrections.

Netflix (NFLX +0.10%) recently gave investors a fresh look at its financial performance. During the third quarter, the company posted year-over-year revenue growth of 11.8%. The $12.9 billion total revenue matched Wall Street estimates. Diluted earnings per share jumped 47% to $0.87, beating analyst forecasts.

Investors always pay close attention to those two headline numbers. But sometimes, it's smart to focus on certain actions that management took and what that could signal. This exercise can provide valuable insights that can impact your assessment of the streaming stock.

On a related note, the business spent $4.8 billion on share repurchases in Q3. Here's what that data point tells you.

Image source: The Motley Fool.

A vote of confidence Netflix repurchased 63.9 million shares throughout the third quarter. As noted, this amounted to $4.8 billion. The company started this cycle of buybacks in 2021, and it still has $22.3 billion left on its current authorization. But the recent activity was its largest repurchase ever.

The total repurchase amount was substantially higher than free cash flow, which came in at $2.9 billion. Consequently, the leadership team drew down its cash balance to bet on itself. That's a strong vote of confidence from the people who know the business best.

The overarching takeaway is that executives must believe the stock is cheap. If they didn't think this was the case, they would've repurchased far fewer shares or paid down debt, for instance.

On Sept. 30, Netflix shares traded 48% below their peak from June 2025. And during the third quarter, the stock's price-to-earnings ratio averaged 23.6. History says that this valuation is low. Directing capital to buybacks in this situation can have a greater impact to boost earnings per share, as it allows the company to more rapidly reduce its outstanding share count.

NFLX Netflix$62.05+$0.06 (+0.10%)

NASDAQ · As of 4:00 PM ET 10/29/26

Dominance meets deceleration Investors who have watched Netflix over the years and patiently waited to buy the stock now see a window of opportunity. If the leadership team is being aggressive, maybe they should also adopt this perspective. The valuation is hard to overlook.

Adding to the bull case is Netflix's dominance. With over 325 million subscribers (data from year-end 2025) and expected 2026 revenue of $51.1 billion, it operates with tremendous scale. That supports brand power. And it allows the business to spread its rising content costs across a huge user base.

This results in sizable profits. The company reported operating income of $12.6 billion through the first nine months of 2026, supporting an impressive operating margin of 33.4%. The business model is working.

But the bear case is also worth exploring. The market has soured on Netflix stock because it no longer promises outsize growth potential in an investment portfolio. A company that transitions from brisk expansion to moderate gains will be hit with weaker investor sentiment. We're watching this play out right before our eyes.

Management's Q4 revenue guidance calls for a year-over-year increase of 11.5%. This would mark the fourth consecutive quarter of decelerating top-line gains. After learning about this trend, it makes more sense why the valuation has come down. The years of 20% annual sales growth might be in the past.

The U.S. and Canada are saturated markets. And monetization is naturally softer in emerging parts of the world.

Competition is another concern. Netflix battles for viewer eyeballs not only with direct streaming rivals, but with the burgeoning popularity of short-form video content coming from dominant social media platforms. Attention spans are getting shorter, playing to Netflix's disadvantage.

Pricing power has been a major lever. However, it certainly has limits. The company has continued to raise subscription prices in recent years. At some point, further hikes risk pushing customers to cancel. This is especially true if engagement trends weaken.

Ask Netflix's C-suite what they think, and they'll tell you the stock is a bargain right now. Investors must decide if they believe them.

SAN FRANCISCO--(BUSINESS WIRE)--There may be a Secret Sant-AI behind your presents this year. New Visa research finds 41% of Americans wouldn't tell someone that AI helped choose their gift as more shoppers quietly hand AI the job of finding gifts and tracking down deals. More than half of U.S. adults (54%) have already used AI for at least one shopping task, up from 47% last year. The findings come from Visa's 2026 Holiday Spending Shift Survey, which polled more than 1,000 U.S. adults in late.