SummaryMicrosoft Corporation’s earnings setup is unusually asymmetric: Azure can deliver near-40% growth, and the stock could still fall if management raises CapEx again.The key question for Microsoft is no longer whether AI demand exists, but whether it can convert massive infrastructure spending into enough revenue, margins, and free cash flow.Commercial RPO reached $627B, giving Microsoft far more revenue visibility than a company building capacity without committed customers.This article maps the bull, base, and bear scenarios for Microsoft Azure, CapEx, and the likely stock reaction after earnings.I remain bullish on MSFT stock and would view post-earnings weakness as an opportunity, provided Azure demand, AI monetization, and operating leverage remain intact. Getty Images
Executive Summary In chess, there are times when the game isn't won by keeping all your pieces but by accepting the sacrifice of one to capture the center and prepare the decisive attack. This is an awkward choice, because in
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SummaryAdvanced Micro Devices, Inc. is rated a buy, with a fair value range of $550–$690, driven by secular AI compute demand and expanding CPU and GPU TAM.Confidence is highest in AMD's CPU business, given visible pricing power and a 46% x86 server revenue share, while GPU growth is more dependent on price-driven market share gains.Key risks include TSMC CoWoS capacity constraints, ARM's rising CPU market share, and potential multiple compression regardless of earnings delivery.AMD's margin profile is supported by recent results: Q1 2026 gross margin at 55%, data center operating margin at 28%, and further margin expansion guided for Q2. Robert Way/iStock Editorial via Getty Images
Advanced Micro Devices, Inc. (AMD) has been creating a narrative around itself of both an eater of the data center GPU TAM pie and a leader in the CPU inference market, with a
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Analyst’s Disclosure: I/we have a beneficial long position in the shares of AMD 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.
Nike (NKE - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this athletic apparel maker have returned +0.2%, compared to the Zacks S&P 500 composite's +0.6% change. During this period, the Zacks Shoes and Retail Apparel industry, which Nike falls in, has lost 3.2%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Nike is expected to post earnings of $0.43 per share, indicating a change of -12.2% from the year-ago quarter. The Zacks Consensus Estimate has changed -6.1% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $1.74 points to a change of +10.1% from the prior year. Over the last 30 days, this estimate has changed -5.8%.
For the next fiscal year, the consensus earnings estimate of $2.35 indicates a change of +35.1% from what Nike is expected to report a year ago. Over the past month, the estimate has changed -8.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Nike is rated Zacks Rank #4 (Sell).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Nike, the consensus sales estimate of $11.46 billion for the current quarter points to a year-over-year change of -2.2%. The $46.28 billion and $48.15 billion estimates for the current and next fiscal years indicate changes of -0.2% and +4%, respectively.
Last Reported Results and Surprise HistoryNike reported revenues of $10.97 billion in the last reported quarter, representing a year-over-year change of -1.1%. EPS of $0.2 for the same period compares with $0.14 a year ago.
Compared to the Zacks Consensus Estimate of $10.85 billion, the reported revenues represent a surprise of +1.13%. The EPS surprise was +81.82%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Nike is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Nike. However, its Zacks Rank #4 does suggest that it may underperform the broader market in the near term.
Amkor shares are climbing with conviction. Why is AMKR stock up today? Nvidia–Amkor $1.5B Pact Boosts AI PackagingAmkor has already supplied advanced packaging solutions supporting Nvidia platforms across data center processors, networking chipsets, and accelerated computing systems. The expanded partnership is designed to bring new technologies to market at scale as AI infrastructure demand grows, while strengthening domestic semiconductor manufacturing and supply-chain resilience.
“This strategic partnership with NVIDIA underscores the central role advanced packaging plays in enabling the future of AI,” said Kevin Engel, CEO of Amkor Technology. “Our agreement with NVIDIA accelerates our long-term roadmap and supports our ability to deliver full turnkey advanced packaging and test solutions.”
Amkor Shares Race HigherAMKR Price Action: At the time of publication, Amkor shares are trading 4.94% higher at $68.56, according to data from Benzinga Pro.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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Key Takeaways American Airlines reported record Q2 sales, with adjusted EPS of $0.15 and revenues of $16.74B.Premium unit revenues rose more than 13% YoY as AAL expanded premium offerings and fleet upgrades.AAL's AAdvantage enrollment increased over 30% YoY, supported by growth in major markets. American Airlines Group Inc. (AAL - Free Report) used its second-quarter earnings call to highlight progress from its commercial strategy, with management emphasizing premium revenues, loyalty growth and network improvements despite higher fuel costs.
Executives also pointed to a challenging fuel environment while maintaining that revenue momentum and cost discipline can improve profitability as conditions normalize.
AAL Highlights Commercial Strategy ProgressCEO Robert Isom said American Airlines’ four-pillar commercial strategy is producing measurable results across customer experience, network growth, premium revenues and loyalty. He noted that second-quarter revenues reached a record level, helping offset a substantial increase in fuel expense.
The company reported adjusted earnings of $0.15 per share, topping the Zacks Consensus Estimate of $0.03 by 400%. Revenues came in at $16.74 billion, beating the Zacks Consensus Estimate of $16.70 billion.
Management emphasized that American Airlines ended the quarter with $11.3 billion in liquidity while continuing efforts to improve efficiency and strengthen the balance sheet.
American Airlines Expands Premium FocusChief commercial officer Nathaniel Pieper highlighted stronger premium demand as a key driver of revenue improvement. Premium unit revenues increased more than 13% year over year, outperforming Main Cabin performance.
American Airlines said managed corporate revenues increased 26% year over year, marking the fifth consecutive quarter of double-digit growth. Premium demand also benefited from expanded offerings and fleet upgrades.
The company is increasing premium capacity through new Boeing 787-9 and Airbus A321XLR deliveries, along with retrofit programs across existing aircraft. Premium seats are expected to grow faster than non-premium capacity.
AAL Addresses Fuel Pressure and CostsChief financial officer Devon May said fuel expense increased by more than $2.2 billion year over year during the quarter. He noted that revenue strength recovered nearly half of that increase.
American Airlines expects third-quarter capacity growth of 3% to 5% year over year and revenue growth of 16% to 19%. CASM, excluding special items, fuel and profit sharing, is expected to increase 2.5% to 4.5%.
Management guided for full-year adjusted earnings in the range of a loss of $0.65 to a profit of $0.65 per share, citing higher fuel costs as a major factor.
American Airlines Builds Loyalty MomentumPieper said AAdvantage enrollment increased more than 30% year over year in the second quarter, supported by growth in major markets and internationally. The company also highlighted continued engagement through its credit card relationship.
Second-quarter card spend increased 8% year over year. Management described loyalty as a core component of its long-term revenue strategy.
Customer experience improvements were another focus, with American Airlines reporting higher customer satisfaction metrics and continued gains in on-time flight satisfaction.
AAL Faces Analyst Questions on CapacityDuring Q&A, an Evercore ISI analyst questioned why American Airlines was not making larger capacity reductions amid fuel volatility. Isom said the company is adjusting capacity based on demand and fuel conditions while remaining focused on long-term network performance.
A Bernstein analyst asked whether AAL should reduce parts of its network to improve financial returns. Pieper said the company is selectively optimizing its footprint, including adjustments in certain hubs.
Management also defended its premium strategy when questioned about aircraft configurations. Pieper said American Airlines is matching aircraft types and premium offerings with market demand while maintaining operational flexibility.
American Airlines Sets Long-Term PrioritiesManagement maintained that improving revenue generation remains the central opportunity for American Airlines. Isom said the company is focused on customer experience, network strength, premium offerings and loyalty as drivers of future performance.
AAL expects capital expenditures of about $4 billion in 2026 and said it remains committed to reducing debt while maintaining liquidity.
Executives highlighted improving revenue trends entering the second half of the year while acknowledging continued pressure from fuel costs and industry volatility.
Zacks Rank and Style Scores SignalsAAL sports a Zacks Rank #1 (Strong Buy) at present. The Zacks Rank is primarily driven by earnings estimate revisions and is designed to help identify stocks with stronger potential performance over a one-to-three-month timeframe. You can see the complete list of today’s Zacks #1 Rank stocks here.
The stock carries a Value Score of A, Growth Score of B, Momentum Score of D and VGM Score of A. Zacks Style Scores evaluate value, growth and momentum characteristics, with higher grades indicating stronger attributes within each category.
A Zacks Rank #1 combined with favorable Style Scores can indicate stronger stock-selection characteristics, although the Zacks Rank and Style Scores can change as earnings estimates and market conditions evolve after reported results.
This article was written by Doug Nathman, with research by his team at Trefis.
If you own Netflix (NFLX) shares, you already understand this year has been challenging. The stock has declined 44% over the last 12 months, an arduous journey while the overall market has risen. The market is evidently factoring in substantial apprehension. The critical question is whether it is considering the correct issues.
CHONGQING, CHINA - JULY 13: In this photo illustration, a person holds a smartphone in vertical orientation displaying the red N logo of Netflix, Inc. (NASDAQ: NFLX) in front of a blurred background showing the company name in bold red letters on July 13, 2025. (Photo illustration by Cheng Xin/Getty Images)
Getty Images
The primary risk for Netflix at present goes beyond its competition or content expenditure to include a crisis of transparency. As the company’s previous, straightforward growth narrative loses momentum, it is being supplanted by a more intricate and obscure story, calling for investor faith at precisely the time when clear, affirmative signals are becoming more elusive.
When Slowing Growth Meets A New Narrative
The most apparent issue is the deceleration. Following years of vigorous growth, Netflix’s revenue is beginning to show signs of maturation. Year-over-year revenue growth in the latest quarter was 13.4%, the slowest rate in several quarters. Furthermore, the forecast does not indicate a rapid rebound; management’s guidance for the upcoming quarter suggests revenue growth close to 12.0%. An analyst during the company’s earnings call directly inquired about the slowdown, indicating that the market is paying close attention to this trend.
This is significant because a reduction in revenue exerts direct pressure on the earnings growth that supports the stock’s valuation. Although its price-to-earnings ratio of 21.0 is comparatively low based on historical standards, it still necessitates faith in future growth. Should this slowdown become the norm, the stock may undergo further devaluation, even from its current diminished state. The entire investment premise relies on the firm’s ability to maintain what it describes as “healthy revenue and profit growth.”
The Issue With ‘Trust Us’ Metrics
Compounding the growth dilemma is a transition in how Netflix wishes you to assess its success. For many years, investors could monitor subscriber growth and, more recently, viewing hours. However, with management conceding that “reported viewing hours per member have softened,” the focus is shifting toward what the company terms “engagement quality.”
What does that imply? We aren't entirely certain. Executives characterized the specifics of these quality metrics as a “competitive advantage” they intend to keep private. This transition from a clear, albeit flawed, metric to a proprietary obscurity poses a substantial risk. It requires investors to trust that conditions are improving behind the scenes, all while visible metrics are declining. This shift away from clear metrics poses a crucial question for investors, which is explored further in other analyses. The options market appears to reflect this uncertainty, with implied volatility at the 78th percentile of its annual range, indicating expectations of an unusually significant stock movement.
The risk here pertains to confidence. If the main indicator of the platform’s health is a metric that remains visible only to the company, it becomes much more challenging for investors to evaluate the business. This lack of transparency could result in a sustained discount on the stock, as the market requires a greater margin of safety for a narrative it cannot independently verify.
Ultimately, Netflix’s primary vulnerability is that its narrative is becoming more complex just as its growth is slowing down. The real challenge will be whether its new initiatives in advertising, live events, and gaming can revitalize growth and produce the one metric that cannot be obscured: accelerating revenue.
How Much Hidden Risk Are You Already Bearing?
A threat of this nature serves as a reminder that each stock you possess carries risks that may not always be visible, and the options market quantifies that uncertainty: the anticipated movement it indicates for the upcoming year. If you prefer not to shoulder the risk of this one stock alone, an ETF in communication services like XLC diversifies this risk across the sector.
The Trefis High Quality (HQ) Portfolio assesses the comprehensive quality across thousands of stocks, retains the 30 strongest, and re-balances them according to rules that prevent any one position from jeopardizing the entire portfolio.
Bank of America said on Friday it has increased its quarterly common stock dividend by 4 cents or 14%, to 32 cents a share, with its CEO Brian Moynihan citing the lender's commitment to return excess capital to shareholders.
Walmart (WMT - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Shares of this world's largest retailer have returned -6.4% over the past month versus the Zacks S&P 500 composite's +0.6% change. The Zacks Retail - Supermarkets industry, to which Walmart belongs, has lost 9% over this period. Now the key question is: Where could the stock be headed in the near term?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Walmart is expected to post earnings of $0.74 per share, indicating a change of +8.8% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
The consensus earnings estimate of $2.89 for the current fiscal year indicates a year-over-year change of +9.5%. This estimate has changed +0.1% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $3.27 indicates a change of +13.3% from what Walmart is expected to report a year ago. Over the past month, the estimate has changed +0.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Walmart is rated Zacks Rank #2 (Buy).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of Walmart, the consensus sales estimate of $186.4 billion for the current quarter points to a year-over-year change of +5.1%. The $750.01 billion and $783.74 billion estimates for the current and next fiscal years indicate changes of +5.2% and +4.5%, respectively.
Last Reported Results and Surprise HistoryWalmart reported revenues of $177.75 billion in the last reported quarter, representing a year-over-year change of +7.3%. EPS of $0.66 for the same period compares with $0.61 a year ago.
Compared to the Zacks Consensus Estimate of $174.56 billion, the reported revenues represent a surprise of +1.83%. The EPS surprise was +1.54%.
Over the last four quarters, Walmart surpassed consensus EPS estimates three times. The company topped consensus revenue estimates each time over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Walmart is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Walmart. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.
Dimensional Fund Advisors LP raised its stake in shares of JPMorgan Chase & Co. (NYSE:JPM – Free Report) by 3.3% in the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 18,968,884 shares of the financial services provider’s stock after acquiring an additional 607,288 shares during the quarter. JPMorgan Chase & Co. makes up 1.2% of Dimensional Fund Advisors LP’s portfolio, making the stock its 6th largest holding. Dimensional Fund Advisors LP owned about 0.71% of JPMorgan Chase & Co. worth $5,578,788,000 as of its most recent filing with the SEC.
Several other institutional investors and hedge funds have also modified their holdings of JPM. Fidelis Capital Partners LLC increased its stake in shares of JPMorgan Chase & Co. by 7.9% in the 4th quarter. Fidelis Capital Partners LLC now owns 70,077 shares of the financial services provider’s stock worth $22,580,000 after acquiring an additional 5,101 shares during the last quarter. Howard Capital Management Inc. lifted its holdings in shares of JPMorgan Chase & Co. by 18.2% in the 4th quarter. Howard Capital Management Inc. now owns 25,784 shares of the financial services provider’s stock worth $8,308,000 after acquiring an additional 3,976 shares during the last quarter. Newbridge Financial Services Group Inc. lifted its stake in JPMorgan Chase & Co. by 51.7% during the fourth quarter. Newbridge Financial Services Group Inc. now owns 8,883 shares of the financial services provider’s stock worth $2,862,000 after purchasing an additional 3,027 shares in the last quarter. Brighton Jones LLC lifted its stake in JPMorgan Chase & Co. by 11.0% during the 4th quarter. Brighton Jones LLC now owns 48,732 shares of the financial services provider’s stock worth $11,682,000 after acquiring an additional 4,841 shares in the last quarter. Finally, KTF Investments LLC purchased a new position in JPMorgan Chase & Co. during the 4th quarter valued at about $6,449,000. 71.55% of the stock is owned by institutional investors and hedge funds.
Wall Street Analysts Forecast Growth Several research firms have commented on JPM. Zacks Research upgraded shares of JPMorgan Chase & Co. from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 16th. Truist Financial raised their price objective on shares of JPMorgan Chase & Co. from $344.00 to $352.00 and gave the stock a “hold” rating in a report on Wednesday, July 15th. Evercore reissued an “outperform” rating and issued a $360.00 target price on shares of JPMorgan Chase & Co. in a report on Monday, July 6th. Bank of America increased their price target on shares of JPMorgan Chase & Co. from $408.00 to $420.00 and gave the stock a “buy” rating in a research note on Thursday, July 16th. Finally, Jefferies Financial Group set a $350.00 target price on JPMorgan Chase & Co. in a research note on Tuesday, July 14th. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and eleven have assigned a Hold rating to the stock. According to MarketBeat.com, JPMorgan Chase & Co. currently has an average rating of “Moderate Buy” and a consensus price target of $358.67.
Get Our Latest Report on JPM
Key Stories Impacting JPMorgan Chase & Co. Here are the key news stories impacting JPMorgan Chase & Co. this week:
Positive Sentiment: JPMorgan raised $9 billion through debt offerings, underscoring its access to cheap funding and strong balance-sheet flexibility. JPMorgan Chase Raises $9 Billion Through Debt Offerings Positive Sentiment: The company’s Q2 results showed record revenue and a record $21.2 billion quarterly profit, reinforcing earnings momentum and helping support the stock’s recent strength. JPMorgan Chase Q2 2026 Earnings Call Transcript Positive Sentiment: Multiple market commentary pieces highlighted JPMorgan’s AI-driven efficiency and growth potential, with some suggesting the bank could be on a path toward a $1 trillion market cap. JPMorgan’s AI Advantage Positions the Bank for a $1T Market Cap Neutral Sentiment: JPMorgan amended its bylaws to strengthen board independence, a governance-related move that is unlikely to move the stock on its own. JPMorgan Chase Strengthens Board Independence With Bylaw Change Negative Sentiment: House lawmakers grilled former executive Jes Staley over Jeffrey Epstein ties, keeping reputational risk and regulatory scrutiny in the headlines. House lawmakers grill former JPMorgan executive Jes Staley over Epstein ties JPMorgan Chase & Co. Trading Up 0.3% NYSE JPM opened at $349.40 on Friday. The company has a debt-to-equity ratio of 1.30, a current ratio of 0.85 and a quick ratio of 0.86. The company has a market cap of $936.23 billion, a P/E ratio of 14.97, a P/E/G ratio of 1.54 and a beta of 0.99. JPMorgan Chase & Co. has a 12 month low of $279.10 and a 12 month high of $351.24. The company has a 50-day moving average of $322.64 and a 200-day moving average of $310.84.
JPMorgan Chase & Co. Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Stockholders of record on Monday, July 6th will be paid a $1.50 dividend. The ex-dividend date is Monday, July 6th. This represents a $6.00 dividend on an annualized basis and a dividend yield of 1.7%. JPMorgan Chase & Co.’s dividend payout ratio (DPR) is 25.71%.
Insider Buying and Selling at JPMorgan Chase & Co. In related news, COO Jennifer Piepszak sold 4,919 shares of the firm’s stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $309.42, for a total transaction of $1,522,036.98. Following the completion of the sale, the chief operating officer directly owned 85,082 shares of the company’s stock, valued at approximately $26,326,072.44. This trade represents a 5.47% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Stacey Friedman sold 5,467 shares of JPMorgan Chase & Co. stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $330.73, for a total value of $1,808,100.91. Following the sale, the general counsel directly owned 40,961 shares in the company, valued at approximately $13,547,031.53. The trade was a 11.78% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 18,876 shares of company stock valued at $5,907,051 over the last 90 days. 0.41% of the stock is owned by corporate insiders.
JPMorgan Chase & Co. Company Profile (Free Report)
JPMorgan Chase & Co (NYSE: JPM) is a diversified global financial services firm headquartered in New York City. The company provides a wide range of banking and financial products and services to consumers, small businesses, corporations, governments and institutional investors worldwide. Its operations span retail banking, commercial lending, investment banking, asset management, payments and card services, and treasury and securities services.
The firm’s principal business activities are organized across several core lines: Consumer & Community Banking, which offers deposit accounts, mortgages, auto loans, credit cards and branch and digital banking under the Chase brand; Corporate & Investment Banking, which provides capital markets, advisory, underwriting, trading and risk management services; Commercial Banking, delivering lending, treasury and capital solutions to middle-market and corporate clients; and Asset & Wealth Management, which offers investment management, private banking and retirement services to institutions and high-net-worth individuals.
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Decker Wealth Management LLC acquired a new stake in shares of JPMorgan Chase & Co. (NYSE:JPM – Free Report) during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The firm acquired 2,241 shares of the financial services provider’s stock, valued at approximately $659,000.
A number of other large investors also recently bought and sold shares of JPM. Timmons Wealth Management LLC bought a new position in shares of JPMorgan Chase & Co. in the 4th quarter worth $27,000. Caitong International Asset Management Co. Ltd bought a new stake in JPMorgan Chase & Co. during the fourth quarter valued at about $32,000. MBM Wealth Consultants LLC bought a new stake in JPMorgan Chase & Co. during the first quarter valued at about $29,000. Osbon Capital Management LLC purchased a new position in JPMorgan Chase & Co. in the fourth quarter valued at about $35,000. Finally, Turning Point Benefit Group Inc. purchased a new position in JPMorgan Chase & Co. in the third quarter valued at about $35,000. Institutional investors own 71.55% of the company’s stock.
Analyst Ratings Changes A number of analysts have recently weighed in on JPM shares. DZ Bank restated a “neutral” rating on shares of JPMorgan Chase & Co. in a report on Wednesday, April 15th. Barclays boosted their price objective on shares of JPMorgan Chase & Co. from $391.00 to $420.00 and gave the stock an “overweight” rating in a research note on Wednesday, July 15th. UBS Group raised their target price on shares of JPMorgan Chase & Co. from $375.00 to $384.00 and gave the company a “buy” rating in a research note on Tuesday, July 7th. Morgan Stanley reaffirmed a “positive” rating and set a $370.00 price target on shares of JPMorgan Chase & Co. in a research report on Wednesday, July 15th. Finally, The Goldman Sachs Group reiterated a “buy” rating and set a $418.00 price objective on shares of JPMorgan Chase & Co. in a report on Tuesday, July 14th. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and eleven have assigned a Hold rating to the stock. According to data from MarketBeat.com, JPMorgan Chase & Co. currently has an average rating of “Moderate Buy” and an average target price of $358.67.
View Our Latest Report on JPM
Insider Buying and Selling In other news, CFO Jeremy Barnum sold 3,022 shares of the business’s stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $309.41, for a total value of $935,037.02. Following the completion of the transaction, the chief financial officer owned 32,438 shares of the company’s stock, valued at $10,036,641.58. The trade was a 8.52% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Stacey Friedman sold 5,468 shares of the firm’s stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $300.27, for a total value of $1,641,876.36. Following the sale, the general counsel directly owned 46,428 shares in the company, valued at approximately $13,940,935.56. This trade represents a 10.54% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 18,876 shares of company stock worth $5,907,051. 0.41% of the stock is owned by company insiders.
Key JPMorgan Chase & Co. News Here are the key news stories impacting JPMorgan Chase & Co. this week:
Positive Sentiment: JPMorgan raised $9 billion through debt offerings, underscoring its access to cheap funding and strong balance-sheet flexibility. JPMorgan Chase Raises $9 Billion Through Debt Offerings Positive Sentiment: The company’s Q2 results showed record revenue and a record $21.2 billion quarterly profit, reinforcing earnings momentum and helping support the stock’s recent strength. JPMorgan Chase Q2 2026 Earnings Call Transcript Positive Sentiment: Multiple market commentary pieces highlighted JPMorgan’s AI-driven efficiency and growth potential, with some suggesting the bank could be on a path toward a $1 trillion market cap. JPMorgan’s AI Advantage Positions the Bank for a $1T Market Cap Neutral Sentiment: JPMorgan amended its bylaws to strengthen board independence, a governance-related move that is unlikely to move the stock on its own. JPMorgan Chase Strengthens Board Independence With Bylaw Change Negative Sentiment: House lawmakers grilled former executive Jes Staley over Jeffrey Epstein ties, keeping reputational risk and regulatory scrutiny in the headlines. House lawmakers grill former JPMorgan executive Jes Staley over Epstein ties JPMorgan Chase & Co. Price Performance Shares of JPM opened at $349.40 on Friday. The firm has a market capitalization of $936.23 billion, a PE ratio of 14.97, a price-to-earnings-growth ratio of 1.54 and a beta of 0.99. The company has a debt-to-equity ratio of 1.30, a current ratio of 0.85 and a quick ratio of 0.86. JPMorgan Chase & Co. has a 1-year low of $279.10 and a 1-year high of $351.24. The company’s fifty day moving average price is $322.64 and its 200-day moving average price is $310.84.
JPMorgan Chase & Co. Dividend Announcement The company also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Monday, July 6th will be paid a dividend of $1.50 per share. This represents a $6.00 annualized dividend and a yield of 1.7%. The ex-dividend date is Monday, July 6th. JPMorgan Chase & Co.’s payout ratio is presently 25.71%.
JPMorgan Chase & Co. Profile (Free Report)
JPMorgan Chase & Co (NYSE: JPM) is a diversified global financial services firm headquartered in New York City. The company provides a wide range of banking and financial products and services to consumers, small businesses, corporations, governments and institutional investors worldwide. Its operations span retail banking, commercial lending, investment banking, asset management, payments and card services, and treasury and securities services.
The firm’s principal business activities are organized across several core lines: Consumer & Community Banking, which offers deposit accounts, mortgages, auto loans, credit cards and branch and digital banking under the Chase brand; Corporate & Investment Banking, which provides capital markets, advisory, underwriting, trading and risk management services; Commercial Banking, delivering lending, treasury and capital solutions to middle-market and corporate clients; and Asset & Wealth Management, which offers investment management, private banking and retirement services to institutions and high-net-worth individuals.
Further Reading Five stocks we like better than JPMorgan Chase & Co. Premium Retail’s Stress Test Is Separating Winners From Losers D-Wave Quantum or a Quantum ETF: Which Is the Better Bet? GE Vernova Just Sent a Mixed AI Signal to Investors Alphabet Crushed Earnings, But One Number Spooked the Market
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Jamie Dimon, a legend on Wall Street, gave some pretty cautious commentary a few days ago in a sit-down with CNBC, commenting on global and fiscal risks that the market may very well be underestimating. Indeed, given the escalating tensions in the Middle East and the latest ascent in the price of oil, it’s hard to disagree with the JPMorgan (NYSE:JPM | JPM Price Prediction) veteran. But just because he’d not be a personal buyer of U.S. stocks or long-dated Treasury securities in this market doesn’t mean you should hit the sell button.
Are there a lot of risks that could derail this latest market rally? Most definitely. The situation in the Middle East is not going well, to say the least, and the oil markets are responding.
Jamie Dimon is right about the risks facing this market As oil rises and pockets of overvaluation within the AI trade begin to unwind, it certainly feels like the stage is set for the next big market spill. Valuations still seem quite frothy, and the lists of risks outlined by Mr. Dimon, I think, are very much worth careful consideration before making a move.
Moving ahead, it feels like stocks are about to roll over, but for long-term thinkers, I view any indiscriminate slide, like the one we had on Thursday, as more of an opportunity to do some buying if your cash hoard has been building up and you haven’t been tempted by anything in recent months.
At the end of the day, Mr. Dimon tends to sound more cautious than not. After all, he’s the top boss of JPMorgan, and he’s not exactly looking to take big swings or big risks on AI or anything else.
When it comes to market gurus, I take what they have to say with a grain of salt because, at the end of the day, the market will continue to act in unpredictable ways. And while markets are starting to feel a bit of pain amid rising tensions in the Middle East and increased chances of interest rate hikes in the second half, I do think that the AI revolution is the theme that matters most for investors willing to stick around for at least the next few years.
Jamie Dimon’s comments might be scary to some. But a little caution never hurt So, in short, Mr. Dimon’s latest comments might be frightening to some retail investors. And while I do think many investors are far too willing to pay a premium price for a wide range of stocks with less consideration for the downside risks, I also view pockets of value out there for investors who are looking for the productivity benefits from the AI revolution to come in steadily over the next three years. At the end of the day, bankers are supposed to think about managing risks.
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While Mr. Dimon’s cautious tone is worth keeping in mind, I wouldn’t necessarily look for the start of a bear market. The man didn’t even remark on one coming. At the end of the day, it feels like markets are already in the process of digesting the heightened risks, especially on the geopolitical front.
As oil, fiscal deficits, and rates climb, investors might not like the environment we find ourselves in come the end of the year. Either way, panicking and emotion-driven investing never pays off.
Alphabet stock might be a deep-value outlier Right now, I think margin of safety isn’t all too hard to find when you look at a name like Alphabet (NASDAQ:GOOG), which cratered after earnings. The massive cloud backlog wasn’t enough to convince investors to forgive the swelling CapEx.
With shares trading at around 24.0 times forward price-to-earnings (P/E), I think the behemoth AI lab is going for a massive discount, especially as the backlog continues to swell and the firm takes more control over the AI stack, from models to infrastructure and hardware (TPUs and the reported “Frozen v2” chip) to applications (Generative UX looks intriguing).
Perhaps there’s a reason Warren Buffett admitted it was him who initiated the purchase for Berkshire Hathaway (NYSE:BRK.B). It is a very Buffett-esque business with a remarkable track record and, odds are, the CapEx won’t be for nothing. While Mr. Dimon might be right about the market risks, I still think there are margins of safety in individual names for those willing to look.
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Ford Motor Company (F - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Shares of this company have returned +0.3% over the past month versus the Zacks S&P 500 composite's +0.6% change. The Zacks Automotive - Domestic industry, to which Ford Motor belongs, has lost 13.7% over this period. Now the key question is: Where could the stock be headed in the near term?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Ford Motor is expected to post earnings of $0.33 per share, indicating a change of -10.8% from the year-ago quarter. The Zacks Consensus Estimate has changed -5.3% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $1.62 points to a change of +48.6% from the prior year. Over the last 30 days, this estimate has changed -1.2%.
For the next fiscal year, the consensus earnings estimate of $1.77 indicates a change of +9.6% from what Ford Motor is expected to report a year ago. Over the past month, the estimate has changed -4.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Ford Motor is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of Ford Motor, the consensus sales estimate of $45.72 billion for the current quarter points to a year-over-year change of -2.6%. The $176.15 billion and $176.89 billion estimates for the current and next fiscal years indicate changes of +1.2% and +0.4%, respectively.
Last Reported Results and Surprise HistoryFord Motor reported revenues of $39.82 billion in the last reported quarter, representing a year-over-year change of +6.4%. EPS of $0.66 for the same period compares with $0.14 a year ago.
Compared to the Zacks Consensus Estimate of $39.34 billion, the reported revenues represent a surprise of +1.21%. The EPS surprise was +230%.
Over the last four quarters, Ford Motor surpassed consensus EPS estimates three times. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Ford Motor is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Ford Motor. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Tesla (NASDAQ: TSLA | TSLA Price Prediction) and General Motors (NYSE: GM) reported Q2 2026 results within a day of each other. Tesla posted record deliveries of 480,126 vehicles but missed on earnings. GM raised full-year guidance for the second time in 2026 on the back of truck and SUV demand.
Record Deliveries for Tesla, Record Cash for GM Tesla’s top line looked healthy. Revenue rose 25.5% year over year to $28.24 billion, and Services & Other jumped 50% to $4.58 billion at a record 14% gross margin. Under the surface, though, operating margin collapsed to 1.4% as operating expenses surged 47% on AI infrastructure, R&D, and stock-based comp tied to the 2025 CEO Performance Award.
Non-GAAP EPS came in at $0.33 versus a $0.5367 estimate, a miss of nearly 40%. Free cash flow flipped to negative $1.09 billion. FSD attach rate above 55% of new North American deliveries is a bright spot, but the software story has to carry a very heavy capex load.
GM’s quarter looked steady by comparison. Adjusted EPS of $3.57 topped the $3.1844 estimate, the fifth consecutive beat. North America carried the freight: $39.9 billion in revenue, 8.6% EBIT margin, and adjusted EBIT up 42.7%.
Adjusted auto free cash flow climbed 78% to $5.03 billion. GAAP net income fell 31% because CEO Mary Barra took a $2.28 billion EV strategic realignment charge to right-size battery capacity. That is a rare admission from a legacy automaker, and investors rewarded it.
Growth Bet vs. Cash Machine Lens Tesla GM Core Bet Robotaxi, Optimus, FSD software Trucks, SUVs, disciplined capital returns Capex Posture $25B budget under scrutiny Trimming EV overbuild Shareholder Returns None disclosed $2.8B buybacks H1, $0.18 dividend Valuation P/E 344 P/E 29 Tesla is spending like an AI hyperscaler with a car company attached. Robotaxi is now unsupervised in six US metros including Austin, Dallas, Houston, Miami, Orlando, and Tampa, and Optimus lines are being installed at Fremont.
GM is folding Cruise back into the mothership and running its truck franchise for cash. Tesla shares are down 16.83% year to date. GM is up 69.53% over the past year.
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Margins Will Decide the Second Half I will be watching whether Tesla can hold operating margin above the low single digits while capex runs hot.
The Reddit post “Tesla misses on earnings despite revenue beat” drew 184 upvotes and 91 comments, so retail is already flagging the profitability question. Piper Sandler analyst Alexander Potter lowered the firm’s price target on Tesla to $450 from $500 and keeps an Overweight rating on the shares.
For GM, the tell is whether pricing power on Silverado, Tahoe, and Escalade holds as tariff policy shifts. Prediction markets currently give Tesla only a 16.5% chance of launching robotaxis in California by year end, which tells you the crowd is not extrapolating the Texas rollout.
Where the Numbers Point Right Now If you want optionality on autonomy, humanoid robots, and AI compute inside a car company, Tesla is still the only pure play, and I understand paying up for it.
On the numbers, GM screens more defensively: a P/E near 29, a raised full-year outlook of $12 to $14 in adjusted EPS, and real buybacks anchor the story. The signal to watch on Tesla is operating margin recovering above 5% and free cash flow turning positive again.
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Commitment for ~1,800 engines*, including largest LEAP agreement ever with IndiGo Commitment for ~1,800 engines*, including largest LEAP agreement ever with IndiGo
Earnings are arguably the most important single number on a company's quarterly financial report. Wall Street clearly dives into all of the other metrics and management's input, but the EPS figure helps cut through all the noise.
We know earnings results are vital, but how a company performs compared to bottom line expectations can be even more important when it comes to stock prices, especially in the near-term. This means that investors might want to take advantage of these earnings surprises.
Hunting for 'earnings whispers' or companies poised to beat their quarterly earnings estimates is a somewhat common practice. But that doesn't make it easy. One way that has been proven to work is by using the Zacks Earnings ESP tool.
The Zacks Earnings ESP, ExplainedThe Zacks Expected Surprise Prediction, or ESP, works by locking in on the most up-to-date analyst earnings revisions because they can be more accurate than estimates from weeks or even months before the actual release date. The thinking is pretty straightforward: analysts who provide earnings estimates closer to the report are likely to have more information.
With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure. The system also utilizes our core Zacks Rank to provide a stronger system for identifying stocks that might beat their next quarterly earnings estimate and possibly see the stock price climb.
When we join a positive earnings ESP with a Zacks Rank #3 (Hold) or stronger, stocks posted a positive bottom-line surprise 70% of the time. Plus, this system saw investors produce roughly 28% annual returns on average, according to our 10 year backtest.
Stocks with a #3 (Hold) ranking, which is most stocks covered at 60%, are expected to perform in-line with the broader market. But stocks that fall into the #2 (Buy) and #1 (Strong Buy) ranking, or the top 15% and top 5% of stocks, respectively, should outperform the market. Strong Buy stocks should outperform more than any other rank.
Should You Consider TransDigm Group?Now that we understand what the ESP is and how beneficial it can be, let's dive into a stock that currently fits the bill. TransDigm Group (TDG - Free Report) earns a #3 (Hold) right now and its Most Accurate Estimate sits at $10.26 a share, just 11 days from its upcoming earnings release on August 4, 2026.
By taking the percentage difference between the $10.26 Most Accurate Estimate and the $10.21 Zacks Consensus Estimate, TransDigm Group has an Earnings ESP of +0.42%. Investors should also know that TDG is one of a large group of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
TDG is part of a big group of Aerospace stocks that boast a positive ESP, and investors may want to take a look at GE Aerospace (GE - Free Report) as well.
GE Aerospace is a Zacks Rank #3 (Hold) stock, and is getting ready to report earnings on October 20, 2026. GE's Most Accurate Estimate sits at $2.01 a share 88 days from its next earnings release.
The Zacks Consensus Estimate for GE Aerospace is $1.99, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of +0.78%.
Because both stocks hold a positive Earnings ESP, TDG and GE could potentially post earnings beats in their next reports.
Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
Verizon CEO Dan Schulman said on Friday the company has secured a deal with Google , valued at more than $1 billion, to provide dark fiber connectivity for the search engine giant's data centers.
Verizon Communications (VZ - Free Report) came out with quarterly earnings of $1.3 per share, beating the Zacks Consensus Estimate of $1.27 per share. This compares to earnings of $1.22 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +2.36%. A quarter ago, it was expected that this largest U.S. cellphone carrier would post earnings of $1.22 per share when it actually produced earnings of $1.28, delivering a surprise of +4.92%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Verizon, which belongs to the Zacks Wireless National industry, posted revenues of $34.25 billion for the quarter ended June 2026, missing the Zacks Consensus Estimate by 3%. This compares to year-ago revenues of $34.5 billion. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Verizon shares have added about 7.6% since the beginning of the year versus the S&P 500's gain of 8.2%.
What's Next for Verizon?While Verizon has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Verizon was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.30 on $34.98 billion in revenues for the coming quarter and $4.98 on $142.32 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Wireless National is currently in the bottom 18% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Uniti Group (UNIT - Free Report) , is yet to report results for the quarter ended June 2026. The results are expected to be released on July 30.
This real estate investment trust is expected to post quarterly loss of $0.43 per share in its upcoming report, which represents a year-over-year change of -975%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Uniti Group's revenues are expected to be $883.47 million, up 193.8% from the year-ago quarter.
As consumer spending patterns evolve in 2026, many investors are choosing between two titans of the retail landscape. Deciding between Home Depot (HD +0.45%) and Walmart (WMT +0.36%) requires understanding their distinct growth strategies.
While both companies dominate their respective niches, they serve different consumer needs and operate under different financial structures. Home Depot focuses on the specialized home improvement sector, whereas Walmart provides a broad array of general merchandise and essential groceries to a global audience.
The case for Home DepotHome Depot is a home improvement retailer that caters to both DIY homeowners and Professional customers, often called Pros. The company competes broadly among retail stocks while pursuing a strategic pivot toward these Professional customers. Recent acquisitions like SRS Distribution and GMS underscore this focus, as Home Depot seeks to capture a larger share of the complex construction and renovation market.
In the fiscal year ended Feb. 1, 2026, revenue reached nearly $164.7 billion, growing approximately 3.2% versus the prior year. The company generated net income of close to $14.2 billion, despite a slight decline in net margin to roughly 8.6%. This net margin reflects the portion of total revenue that remains as profit after all expenses are paid.
As of Home Depot’s February 2026 balance sheet, the debt-to-equity ratio is roughly 5.1. This ratio measures total debt against shareholder equity, reflecting the company's financial leverage and use of borrowed funds. The current ratio, which measures the ability to pay short-term obligations, is approximately 1.1, while free cash flow reached nearly $12.6 billion. Free cash flow is calculated as cash flow from operations minus capital expenditures.
The case for WalmartWalmart is the world's largest omnichannel retailer, serving approximately 280 million weekly customers through its global network of stores and digital platforms. The company is currently driving growth by leveraging its massive data footprint and the integration of smart TV-maker Vizio to expand its advertising business. This strategy allows the company to monetize shopper insights while maintaining its traditional focus on high-volume, low-cost fulfillment for general merchandise.
In the fiscal year ended Jan. 31, 2026, revenue reached approximately $713.2 billion, a 4.7% increase year over year. The company reported net income of nearly $21.9 billion, supported by a net margin of close to 3.1%. While this net margin is lower than that of specialty retailers, it is characteristic of the high-volume discount retail model, where efficiency is paramount to profitability.
As of Walmart’s January 2026 balance sheet, the debt-to-equity ratio is roughly 0.7, indicating that the company uses less debt relative to its equity than more leveraged peers. The current ratio is close to 0.8, suggesting that short-term liabilities exceed short-term assets, which is common for retailers with high inventory turnover. Free cash flow for the year was approximately $14.9 billion, providing substantial capital for continued investments in automation and AI.
Risk profile comparisonHome Depot faces risks related to a class action lawsuit involving the use of AI-powered license plate readers, which creates potential legal and regulatory exposure. The company must also successfully integrate large acquisitions like SRS and GMS while balancing its Pro-focused pivot with its core retail business. Furthermore, intense competition from traditional retailers and digital platforms requires constant investment to maintain its price and delivery advantages in a shifting market.
Walmart recently settled lawsuits in Texas and California regarding driver pay and product pricing, but it faces ongoing legal risks from new class action suits involving AI surveillance. The company is heavily dependent on its digital infrastructure, making it vulnerable to cybersecurity threats and data privacy regulations as its advertising business expands. Additionally, Walmart must contend with fierce competition from Amazon (AMZN -0.52%) and other digital disruptors while navigating macroeconomic factors like inflation.
Valuation comparisonHome Depot appears more reasonably priced based on its lower forward P/E relative to future earnings estimates, while Walmart carries a lower P/S ratio.
MetricHome DepotWalmartForward P/E22.238.0P/S ratio2.01.2Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
I'd like to start by acknowledging I'm a Home Depot shareholder. It has been, to put it kindly, a disappointing investment. Since I purchased it roughly four years ago, it has underperformed the S&P 500 by more than 70 percentage points. Meanwhile, Walmart has outperformed the S&P 500 in that time frame by nearly 60 percentage points. So just going by recent historical returns, Home Depot compares very unfavorably.
The key word, however, is "recent." Since 1990, Home Depot has blown Walmart out of the water, with a 17,000%-plus return versus Walmart's roughly 5,400% gain. Both companies also pay dividends, with the home improvement specialist offering a juicy 2.8% yield, which is nearly 2 percentage points higher than Walmart's current payout.
Despite Home Depot being a laggard since I've owned it, I would still prefer it in my portfolio versus Walmart simply due to some basic differences in how the retailers operate. Big, high-volume merchandisers typically have smaller margins; it's just kind of the nature of the business. (Notice above how much more net income Home Depot was able to produce as a percentage of revenue in its most recent fiscal year.) With few exceptions, I find companies with higher margins to be more attractive. But ideally, I like to invest in businesses with high margins and outperforming stocks. Maybe next time.
HOUSTON--(BUSINESS WIRE)--HPE (NYSE: HPE) today announced the appointment of David Goulden to its Board of Directors, effective today. Goulden joins the Board's Finance & Investment Committee and HR & Compensation Committee. Goulden brings more than 35 years of experience, including extensive management and financial leadership at global technology companies. Most recently, he served as Executive Vice President and Chief Financial Officer of Booking Holdings Inc., the global online trav.
HPE (NYSE: HPE) today announced the appointment of David Goulden to its Board of Directors, effective today. Goulden joins the Board's Finance and Investment Com
Qualcomm (QCOM - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this chipmaker have returned -16.5% over the past month versus the Zacks S&P 500 composite's +0.6% change. The Zacks Electronics - Semiconductors industry, to which Qualcomm belongs, has lost 11.4% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Qualcomm is expected to post earnings of $2.22 per share, indicating a change of -19.9% from the year-ago quarter. The Zacks Consensus Estimate has changed -1% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $10.78 points to a change of -10.4% from the prior year. Over the last 30 days, this estimate has changed -0.1%.
For the next fiscal year, the consensus earnings estimate of $10.88 indicates a change of +1% from what Qualcomm is expected to report a year ago. Over the past month, the estimate has changed +1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Qualcomm is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Qualcomm, the consensus sales estimate for the current quarter of $9.71 billion indicates a year-over-year change of -6.3%. For the current and next fiscal years, $42.69 billion and $44.01 billion estimates indicate -3.3% and +3.1% changes, respectively.
Last Reported Results and Surprise HistoryQualcomm reported revenues of $10.6 billion in the last reported quarter, representing a year-over-year change of -2.2%. EPS of $2.65 for the same period compares with $2.85 a year ago.
Compared to the Zacks Consensus Estimate of $10.62 billion, the reported revenues represent a surprise of -0.19%. The EPS surprise was +3.11%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates just once over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Qualcomm is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Qualcomm. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Intel Corp (NASDAQ:INTC) on Thursday reported better-than-expected second-quarter financial results.
Intel posted second-quarter revenue of $16.13 billion, beating analyst estimates of $14.42 billion. The company reported second-quarter adjusted earnings of 42 cents per share, doubling estimates of 21 cents per share, according to Benzinga Pro.
"AI is driving unprecedented demand for compute, and as we continue to execute, Intel is well-positioned to capture sustainable growth across our CPU franchise, ASICs, advanced packaging and vast wafer foundry network," said Lip-Bu Tan, CEO of Intel.
Intel expects third-quarter revenue to be in the range of $15.8 billion to $16.8 billion versus estimates of $15.01 billion. The company anticipates third-quarter adjusted earnings of 38 cents per share versus estimates of 24 cents per share.
Intel shares gained 1.7% to $103.00 in pre-market trading.
These analysts made changes to their price targets on Intel following earnings announcement.
Mizuho analyst Vijay Rakesh maintained the stock with a Neutral and lowered the price target from $135 to $109. Wells Fargo analyst Aaron Rakers maintained the stock with an Equal-Weight rating and raised the price target from $110 to $120. Considering buying INTC stock? Here’s what analysts think:
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Intel sits at 100.23 after sliding from the 133.00 area, holding the shaded 100 support zone. Source: TradingView The market for Intel is positive early during the session. It looks like it’s going to jump pretty significantly, maybe about $4 or roughly 4% from the close, and if that’s going to be the case, one would have to say that’s pretty healthy. The 50-day EMA sits at the $107 region, $108 or so, and this is a market that will, more likely than not, pay close attention to it based on recent market memory and the way it’s behaved around this indicator.
Regardless, the $100 level, I think, is going to remain important as well from a psychological standpoint. This looks like a market that’s trying to turn things around, but it is worth noting that the last couple of days have seen shots higher that have been faded pretty significantly later in the session.
Intel stock was rallying into Friday after the chipmaker reported blowout earnings supported by strong demand for hardware used in artificial intelligence. With the shares coming off a rough patch, this could be a buying opportunity as Wall Street sees more gains ahead.
The Data Center and AI (DCAI) division generated $2.5 billion in operating income, while Intel Foundry posted a $2.1 billion operating loss. Put side by side, the foundry loss equaled 84% of the operating profit generated by Intel’s fastest-growing major division.
INTC stock is moving after earnings. See the chart and price action here. Chips Business Fires on All CylindersDCAI revenue reached $6.3 billion, up 59% year-over-year from $3.9 billion, as hyperscalers and enterprises kept buying server processors for AI workloads. Operating margin expanded from 16.1% a year ago to 39.5%.
CFO Dave Zinsner said the jump reflected higher revenue, improved product margins and lower operating expenses, calling the roughly $1 billion sequential gain in operating profit meaningfully ahead of expectations.
The Client Computing and Physical AI Group added $8.9 billion in revenue, up 13% to 15%, at a 26% operating margin, giving Intel’s two product segments a combined $4.8 billion of operating profit.
Foundry Narrows the Gap, But Stays RedIntel Foundry revenue climbed to $5.8 billion, up 31% year-over-year, driven by stronger fab volumes on the Intel 18A process, which ran roughly 25% above target and more than 50% higher quarter-over-quarter.
The operating loss narrowed to $2.1 billion from $3.2 billion a year earlier, an improvement of $348 million sequentially. Zinsner credited stronger yields, faster cycle times, and increased factory scale across Intel 43 and 18A for the improved wafer costs.
Tension in Intel’s ComebackTotal revenue hit $16.1 billion, up 25% year-over-year, the fastest growth rate since 2011, and non-GAAP earnings per share of 42 cents doubled the 21 cents consensus estimate, per Benzinga Pro. Shares jumped as much as 12% in after-hours trading following the report.
AI-related server demand is reviving Intel’s most profitable franchise, but the cost of rebuilding manufacturing competitiveness continues to consume most of that operating contribution.
At the current run rate, Intel Foundry is losing roughly $8 billion annually with no confirmed break-even date, even as management touts narrowing losses and rising external interest as proof the turnaround under CEO Lip-Bu Tan is gaining traction.
INTC Stock Price Activity: Intel stock was up 3.15% at $103.39 during premarket trading Friday, according to Benzinga Pro data.
Over the past month, INTC has declined about 22.3% versus a 0.4% rise in the S&P 500 and is up roughly 174% year-to-date compared to the index’s 7.7% gain.
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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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Intel (NASDAQ:INTC | INTC Price Prediction) shares rose 3% Friday morning to $103.05, extending a striking turnaround after a blowout Q2 2026 report delivered Thursday after the close. The chipmaker carries a market value of $503.76 billion, and Intel stock is up 178% year to date (YTD).
The move looks idiosyncratic. Broadcom (NASDAQ:AVGO) stock is down 1% at $390.41, Advanced Micro Devices (NASDAQ:AMD) shares are up 1% at $546.20, and NVIDIA (NASDAQ:NVDA) stock sits flat at $208.20. The iShares Semiconductor ETF (NASDAQ:SOXX), a concentrated fund holding all four names, trades flat at $549.68.
Traders are treating Intel’s report as a single-name earnings reaction rather than a broad chip-sector catalyst. The NASDAQ 100 is essentially unchanged as well.
Earnings Beat and Upbeat Q3 Guide Drive the Pop Intel reported Q2 revenue of $16.13 billion, up 25% year over year (YoY), topping the $14.45 billion consensus by 12%. The company’s non-GAAP EPS came in at $0.42, nearly double the $0.2166 estimate, swinging from a $0.10 loss a year earlier.
Intel’s segment strength was broad. Data Center and AI revenue surged 59% to $6.26 billion, Client Computing rose 13% to $8.88 billion, and Intel Foundry climbed 31% to $5.77 billion. Management guided Q3 revenue to $15.8 billion to $16.8 billion, above the $15.06 billion consensus, with non-GAAP EPS of $0.38.
Intel CEO Lip-Bu Tan, driving the ongoing turnaround, stated that “Our Q2 results represent our strongest revenue growth in more than fifteen years, enabled by greater speed, accountability, and customer focus.” He added that “AI is driving unprecedented demand for compute.”
Foundry Wins and Analyst Response Foundry momentum is fueling the response. Alphabet‘s (NASDAQ:GOOGL) Google reportedly ordered 3 million custom TPUs from Intel’s foundry, per The Information, while NVIDIA is said to be weighing Intel as a backup manufacturer given Taiwan Semiconductor Manufacturing‘s (NYSE:TSM) capacity constraints serving NVIDIA, Advanced Micro Devices, and Apple (NASDAQ:AAPL).
Intel also raised its full-year capex to $20 billion from $18 billion, signaling confidence in foundry and product demand. Wall Street is following through: at least six analysts raised their price targets on Intel stock, and the median target sits 9% above the last close, per LSEG.
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The execution numbers back the enthusiasm. Intel’s non-GAAP operating margin swung from -4% a year ago to 17%, and operating cash flow jumped 242% YoY to $7.01 billion. Panther Lake began high-volume manufacturing, and Xeon 6+ launched as the first server-class product on Intel 18A.
The Caveats Behind the Beat Foundry losses remain a drag. Intel Foundry ran a $2.1 billion operating loss in Q2 despite the revenue jump, and GAAP results reflected an $11 billion net loss tied to a $12.53 billion non-cash CHIPS Act escrow charge. The turnaround is real; Intel’s manufacturing arm still needs to prove sustained profitability.
Data center layoffs announced earlier this week also linger as a workforce question. However, with AI capex from hyperscalers still ramping (Alphabet reported strong quarterly capex and NVIDIA guided to strong Q2 revenue), near-term product demand remains supportive for Intel and its foundry pipeline.
What to Watch Traders may want to watch for whether Intel stock holds above $100 into the close and whether analyst target hikes broaden into rating upgrades next week. Execution on the Intel 18A-P ramp, Panther Lake shipments, and additional foundry customer signings could shape the next leg of the story.
Intel’s foundry narrative is a major swing factor. Confirmation of the Google engagement and any incremental customer wins, particularly with NVIDIA reportedly evaluating Intel as a backup, would validate the 18A investment case and help offset the ongoing Intel Foundry losses.
The sector context also matters. If AI capex momentum from Alphabet, Microsoft (NASDAQ:MSFT), and Meta Platforms (NASDAQ:META) continues to accelerate into second-half prints, Intel’s DCAI franchise and foundry pipeline should stay supported even as peers like NVIDIA, Broadcom, and AMD trade flat on the day.
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The 10-year yield is near a 12-month high as the U.S.-Iran war continues to serve as an overhang for equities. Kevin Hincks offers his thoughts on the volatility as crude oil prices remain elevated and tariff developments add more questions to the macro picture.
Just three months after warning that its next-generation 14A manufacturing process could be delayed—or even abandoned—without enough customer demand, Intel has officially committed to high-volume production in 2028.
The decision removes one of the biggest questions hanging over Intel Foundry. It also starts a new countdown. After committing billions of dollars to the technology, Intel now has roughly two years to prove customers will place enough orders to justify the investment.
Three Months Changed EverythingEarlier this year, Intel made it clear that 14A wasn’t guaranteed.
In its first-quarter filing, the company said future investments in 14A and factory expansion would depend on securing meaningful external customer commitments and achieving acceptable returns on capital.
This quarter, that language changed materially.
CEO Lip-Bu Tan said Intel has “made the decision in Q2 to fully commit to high volume ramps in 2028,” citing stronger customer engagement, rising demand from Intel’s own product roadmap and encouraging technical progress across the node.
“We remain on track for 14A risk production for our internal products in the second half of 2027,” Tan said, adding that the company is seeing “increasing momentum on customer engagements” and growing confidence that 14A will be competitive on performance, power, density, cost and schedule.
CFO Dave Zinsner echoed that message, saying Intel increased investments during the quarter to prepare for 14A risk production in 2027 while committing to high-volume manufacturing the following year.
The Countdown Has StartedThe commitment doesn’t mean Intel’s foundry turnaround is complete.
Far from it.
Intel still reported a $2.1 billion operating loss in its Foundry business during the quarter, although operating margin improved to negative 36.2% from negative 71.7% a year earlier as revenue climbed to $5.8 billion, according to the earnings presentation.
The company also entered risk production for 18A-P, while the next major milestone for 14A—the 0.9 Process Design Kit (PDK)—remains on track for October, giving prospective customers another opportunity to evaluate the technology before committing future chip designs.
The company’s latest Form 10-Q also makes clear that the investment case now hinges on converting technical momentum into commercial success. Intel said it intends to accelerate manufacturing expansion projects for 14A, but “the scale and pace” of those investments will ultimately depend on demand from Intel’s own products and design wins from major external foundry customers.
For investors, the story is no longer whether Intel will build 14A.
It’s whether, by 2028, enough customers will be waiting for it.
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Key Takeaways INTC beats earnings and revenue estimates as Q2 2026 revenues rose 25% year over year.INTC witnessed growth from Xeon CPUs, AI PCs, Intel 18A output, pricing and advanced packaging.Intel expects Q3 2026 revenues of $15.8B-$16.8B and non-GAAP EPS of about 38 cents. Intel Corporation (INTC - Free Report) reported strong second-quarter 2026 results, with both adjusted earnings and revenues beating the Zacks Consensus Estimate.
The company reported 25% year-over-year revenue growth, supported by strong demand for Xeon server CPUs and AI PCs, higher Intel 18A output, improving yields and cycle times, favorable product mix and pricing, and continued momentum in purpose-built silicon application-specific integrated circuit products and advanced packaging.
Net IncomeThe company reported a GAAP loss of $11.03 billion or a loss of $2.16 per share compared with a net loss of $2.92 billion or a loss of 67 cents per share in the year-ago quarter. Despite higher revenues, GAAP earnings declined sharply due to higher interest and other expenses during the quarter.
Excluding non-recurring items, non-GAAP earnings in the reported quarter were $2.2 billion or 42 cents per share against a net loss of $0.44 billion or a loss of 10 cents per share a year ago. The bottom line surpassed the Zacks Consensus Estimate by 21 cents.
RevenuesGAAP revenues increased to $16.13 billion from $12.86 billion in the year-ago quarter. The company witnessed solid growth in its total Products and Foundry business segments. The top line beat the consensus estimate of $14.41 billion.
Segment Performance Client Computing and Physical AI Group revenues increased to $8.88 billion from $7.87 billion, driven by strong demand for client CPUs, growing adoption of AI PCs, the launch of Intel Core Ultra Series 3 and Intel Core Series 3 processors, and a favorable product mix with higher average selling prices.
Datacenter and AI Group revenues improved to $6.26 billion from $3.94 billion, driven by strong demand from hyperscale and enterprise customers, robust adoption of Xeon 6 processors for AI infrastructure, continued growth in purpose-built silicon products, and additional strategic customer wins and long-term agreements.
While total Intel Products revenues were up to $15.14 billion from $11.81 billion, Intel Foundry revenues increased to $5.77 billion from $4.42 billion, owing to higher fab volumes, strong growth in Intel 18A output, improving yields, better cycle times, and increasing wafer starts across Intel 7, Intel 3, and Intel 18A. All Other revenues, which include Altera, Mobileye and other businesses, were $0.7 billion.
Other DetailsNon-GAAP gross profit was $6.74 billion compared with $3.81 billion in the year-ago quarter, with respective margins of 41.8% and 29.7%. Non-GAAP research and development and marketing, general and administrative expenses totaled $3.97 billion compared with $4.32 billion in the year-ago period. Non-GAAP operating income was $2.77 billion against an operating loss of $0.5 billion in the year-ago quarter, with respective margins of 17.2% and a negative 3.9%.
Cash Flow & LiquidityAs of June 27, 2026, Intel had cash and cash equivalents of $12.87 billion and long-term debt of $48.55 billion. In the first six months of 2026, the company generated $8.1 billion in cash compared with $2.86 billion in the year-ago period. In the second quarter of 2026, Intel generated $7.01 billion of cash from operating activities compared with $2.05 billion in the year-ago quarter.
OutlookFor the third quarter of 2026, Intel expects GAAP revenues to be in the range of $15.8-$16.8 billion. Non-GAAP gross margin is expected to be 42%. Non-GAAP earnings are expected to be around 38 cents per share. Non-GAAP tax rate is anticipated to be 11%.
Zacks RankIntel currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Upcoming ReleasesArista Networks Inc. (ANET - Free Report) is scheduled to release second-quarter 2026 earnings on Aug. 4. The Zacks Consensus Estimate for earnings is pegged at 89 cents per share, suggesting growth of 21.92% from the year-ago reported figure.
Arista has a long-term earnings growth expectation of 19.86%. The company delivered an average earnings surprise of 8.31% in the last four reported quarters.
Amphenol Corporation (APH - Free Report) is set to release second-quarter 2026 earnings on July 29. The Zacks Consensus Estimate for earnings is pegged at $1.19 per share, implying growth of 46.91% from the year-ago reported figure.
Amphenol has a long-term earnings growth expectation of 24.01%. The company delivered an average earnings surprise of 14.08% in the last four reported quarters.
Corning Incorporated (GLW - Free Report) is set to release second-quarter 2026 earnings on July 28. The Zacks Consensus Estimate for earnings is pegged at 76 cents per share, implying growth of 26.67% from the year-ago reported figure.
Corning has a long-term earnings growth expectation of 23.89%. The company delivered an average earnings surprise of 2.41% in the last four reported quarters.
Adobe Systems (ADBE - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Shares of this software maker have returned +9.7% over the past month versus the Zacks S&P 500 composite's +0.6% change. The Zacks Computer - Software industry, to which Adobe belongs, has lost 2.5% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Adobe is expected to post earnings of $6.08 per share, indicating a change of +14.5% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.1% over the last 30 days.
The consensus earnings estimate of $24.31 for the current fiscal year indicates a year-over-year change of +16.1%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $27.4 indicates a change of +12.7% from what Adobe is expected to report a year ago. Over the past month, the estimate has changed +0.6%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Adobe is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Adobe, the consensus sales estimate for the current quarter of $6.69 billion indicates a year-over-year change of +11.8%. For the current and next fiscal years, $26.56 billion and $28.92 billion estimates indicate +11.7% and +8.9% changes, respectively.
Last Reported Results and Surprise HistoryAdobe reported revenues of $6.62 billion in the last reported quarter, representing a year-over-year change of +12.7%. EPS of $5.96 for the same period compares with $5.06 a year ago.
Compared to the Zacks Consensus Estimate of $6.46 billion, the reported revenues represent a surprise of +2.5%. The EPS surprise was +2.23%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Adobe is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Adobe. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
HomeIndustriesBusiness/Consumer ServicesEarnings ResultsEarnings ResultsCardholder perks are resonating, an executive says. ‘It’s really about access.’Updated July 24, 2026, 8:11 a.m. ET
American Express customers just registered their highest spending growth in three years — and the company is seeing particularly strong interest in its Platinum cards.
The credit-card giant has been investing in premium customers, with the Platinum card portfolio now the fastest-growing franchise in the broader business. The card comes with an annual fee of $895, and Amex AXP recently refreshed its array of perks, which now include things like a quarterly Lululemon credit and $200 annually toward an Oura Ring.
While crude oil prices stay elevated near $90 and inflation keeps investors wary, Alex Coffey makes the case that the current environment isn't as dire as some may believe. However, that depends on the U.S.-Iran war and yields.
Stock futures are higher this morning as investors look to recover from yesterday's punishing sell-off sparked by AI spending fears and soaring oil prices; Intel stock rose after the chipmaker's earnings blew past estimates; shares of SpaceX fell after it delayed a test flight of its next-generation Starship for the second time in a week; mega-cap tech stocks stabilized after suffering one of their worst sell-offs in over a year; shares of American Express slid after the credit card provider's mixed quarterly earnings report. Here's what you need to know today.
American Express (AXP - Free Report) came out with quarterly earnings of $4.53 per share, beating the Zacks Consensus Estimate of $4.41 per share. This compares to earnings of $4.08 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +2.72%. A quarter ago, it was expected that this credit card issuer and global payments company would post earnings of $4.03 per share when it actually produced earnings of $4.28, delivering a surprise of +6.2%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
American Express, which belongs to the Zacks Financial - Miscellaneous Services industry, posted revenues of $19.64 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.01%. This compares to year-ago revenues of $17.86 billion. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
American Express shares have lost about 7.9% since the beginning of the year versus the S&P 500's gain of 8.2%.
What's Next for American Express?While American Express has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for American Express was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $4.64 on $20.07 billion in revenues for the coming quarter and $17.67 on $79.3 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Miscellaneous Services is currently in the bottom 27% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Qfin Holdings Inc. - Sponsored ADR (QFIN - Free Report) , has yet to report results for the quarter ended June 2026.
This company is expected to post quarterly earnings of $0.99 per share in its upcoming report, which represents a year-over-year change of -44.4%. The consensus EPS estimate for the quarter has been revised 0.5% higher over the last 30 days to the current level.
Qfin Holdings Inc. - Sponsored ADR's revenues are expected to be $520.01 million, down 28.6% from the year-ago quarter.
American Express Company (NYSE:AXP, XETRA:AEC1) shares fell about 6% on Friday after the company reported second-quarter revenue that came in slightly below Wall Street expectations, despite beating profit estimates.
The company reported earnings per share of $4.53 for the quarter ended June 30, ahead of the consensus estimate of $4.40. Revenue, net of interest expense, increased 10% year over year to $19.64 billion, slightly below analyst expectations of approximately $19.69 billion.
Net income rose 8% to $3.11 billion from $2.89 billion a year earlier, while diluted earnings per share increased 11% from $4.08. Total billed business, a measure of card spending, rose 9% year over year to $455.8 billion.
American Express raised its full-year 2026 revenue growth guidance to 10% from its prior range of 9% to 10%, while maintaining its earnings per share outlook of $17.30 to $17.90.
For the first six months of 2026, revenue, net of interest expense, increased 11% to $38.54 billion, while net income rose 11% to $6.08 billion. Earnings per share for the period climbed 14% to $8.81.
American Express CEO Stephen Squeri highlighted the company's stronger-than-expected first-half performance, noting that revenue grew 10%, earnings per share reached $4.53, and card member spending increased 9%, marking "the highest rate we've seen in three years on an FX-adjusted basis."
Squeri said that the stronger first-half results prompted the company to raise its full-year revenue growth guidance to 10%, while maintaining its earnings per share outlook of $17.30 to $17.90.
He added that American Express plans to reinvest the outperformance into growth initiatives "given the significant opportunities we see ahead."
He also highlighted accelerating spend and revenue growth driven by investments in the company's value proposition, growth in its US Consumer Platinum portfolio, strengthening credit performance, and continued customer acquisition, particularly among Millennials and Gen Z consumers.
American Express (NYSE:AXP | AXP Price Prediction) stock is sliding Friday morning, trading at $320.55 and down 6% after the card issuer reported a Q2 2026 beat that traders opted to fade. The reaction hit within an hour of the 8:30 a.m. ET 8-K Form, pulling American Express stock down from a prior close of $340.84.
The drop extends a rough stretch for shareholders. American Express stock entered the release already 7% lower year to date (YTD), and today’s move deepens that underperformance versus the broader market.
American Express’s payments-sector peers are barely budging. Visa (NYSE:V) stock and Mastercard (NYSE:MA) stock are both holding steady in early trading, signaling the reaction is company-specific rather than a payments-segment rotation.
Beat Headline, Cautious Follow-Through American Express posted Q2 EPS of $4.53, topping the $4.40 consensus estimate, while revenue net of interest expense of $19.6 billion came in just below estimates. Net income landed at $3.11 billion.
Billed business climbed 9% to $455.8 billion, the strongest Card Member spending growth in three years on an FX-adjusted basis. American Express’s management raised its full-year revenue growth guidance to 10%, yet held FY 2026 EPS guidance unchanged at $17.30 to $17.90.
That combination is the friction point for American Express. Better top-line trajectory is being funneled back into growth spending rather than dropping to the bottom line. American Express CEO Stephen Squeri expressed his confidence:
Based on our better-than-expected performance in the first half of the year, we are raising our full-year revenue growth guidance to 10 percent and plan to reinvest this outperformance in growth initiatives given the significant opportunities we see ahead.
However, cost trends compound the concerns for American Express. The company’s consolidated expenses grew 12% to $14.5 billion, outpacing revenue growth, and the effective tax rate jumped to 24% from 19% a year ago.
Credit was a bright spot, though. Provisions of $1.1 billion came in well below the $1.4 billion booked a year ago, and the company’s net write-off rate held flat at 2%. American Express also disclosed a proposed acquisition of TheFork, a European restaurant booking platform with 50,000 restaurants across 11 countries, adding to the reinvestment narrative reshaping expectations.
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Peers Hold Firm as the Move Stays Idiosyncratic Visa stock is essentially flat at $352.40, and Mastercard stock is holding at $532.29. That divergence undercuts any read-through to broader payments weakness on the day.
Zooming out, Visa stock is up 1% YTD, while Mastercard stock sits down 7% YTD. Both networks have posted clean beats in their most recent quarters, keeping their sentiment backdrop intact heading into Visa’s upcoming report.
The Financial Select Sector SPDR Fund (NYSEARCA:XLF), which holds all three names, is trading flat at $55.78. The XLF ETF‘s stability reinforces the idiosyncratic framing, since American Express carries a meaningful weighting inside the fund but isn’t dragging the entire sector down with it today.
The historical pattern matters here too. Four of the last five American Express earnings beats produced negative same-day reactions, so the fade itself follows a familiar script. The magnitude of today’s drop is notably larger than the recent five-quarter average day-of change on beats.
What to Watch Now The next signal is whether American Express stock stabilizes above $320. A hold there could suggest the reinvestment message has been absorbed, while a break lower may invite analyst target trims into next week.
Traders can watch for follow-through in Visa stock and Mastercard stock as Visa’s own report approaches, which could test whether the payments group stays resilient. Sell-side notes focused on American Express expense growth and Platinum Card refresh economics are the likely catalysts for the next leg.
The read for now is straightforward: American Express delivered strong spending and revenue trends, then chose to spend the upside rather than book it. That posture may prove defensible over the long term, but it explains why a clear beat isn’t translating into an AXP stock rally today.
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Willing and Abel: Berkshire's New CEO Makes Huge Portfolio Changes in Q1American Express NYSE: AXP reported second-quarter results that extended its recent growth momentum, with revenue rising 10% and earnings per share reaching $4.53. The company raised its full-year revenue-growth outlook to 10% while maintaining its EPS forecast of $17.30 to $17.90, saying it plans to reinvest stronger-than-expected revenue performance into customer acquisition, technology and other growth initiatives.
Chairman and Chief Executive Officer Stephen Squeri said the company chose to prioritize investment over directing the outperformance entirely to the bottom line or additional share repurchases. “We can either drop the overperformance to the bottom line and buy back more shares, or we can invest to grow the business further,” Squeri said, adding that management believes reinvestment creates more long-term shareholder value.
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Premium Products Drive Spending and Fee Growth Capital One’s Big Bet Faces Rising Credit RiskThe company’s U.S. Platinum Card refresh, launched in September of last year, was a key contributor to higher customer engagement and spending, according to management. Squeri said the Platinum portfolio has become the fastest-growing portfolio within American Express’ U.S. consumer business.
Chief Financial Officer Christophe Le Caillec said overall spending increased 9.4% on an FX-adjusted basis, accelerating from the first quarter. Goods and services spending grew 9%, while travel and entertainment spending rose 10%. Retail spending increased 13%, restaurant spending rose 10%, and airline spending also advanced 10%.
3 Sectors to Buy While They're Down and 1 to Walk Away FromGlobal American Express Travel bookings increased 22% year over year during the quarter. U.S. consumer spending rose 11%, which Le Caillec described as the strongest growth rate since the first quarter of 2018, excluding pandemic-related periods. Millennials and Gen Z consumers remained the company’s fastest-growing cohorts and represented the largest share of U.S. consumer spending.
American Express acquired 3 million new cards during the quarter. More than 70% of new accounts acquired year to date were on fee-based products, while 75% of new accounts in the second quarter came through fee-paying products, the highest level since the company increased its focus on premium offerings.
Net card fees rose 15.4%, reaching record levels and remaining the company’s fastest-growing revenue line. Le Caillec said card-fee growth is expected to accelerate in the third quarter and exit the year in the high teens, reflecting the gradual recognition of higher Platinum Card fees as customers are repriced and those fees are amortized over 12 months.
Credit Performance Remains Strong Total balances increased 9% year over year on an FX-adjusted basis, generally keeping pace with spending growth. Management said delinquency and write-off rates remained below 2019 levels, with delinquency rates holding between 1.2% and 1.3% for more than three years.
Provision expense was $1.1 billion and included a $191 million reserve release, primarily reflecting improved portfolio credit performance. The second-quarter write-off rate was flat from the prior quarter, while the delinquency rate declined.
Squeri and Le Caillec attributed the credit performance to the company’s strategy of attracting high-credit-quality, premium customers. The company said 65% of new consumer accounts came from Millennial and Gen Z customers, and about 70% of new consumer Platinum accounts outside the United States came from those generations.
International spending rose 12% on an FX-adjusted basis, with four of the company’s five largest international countries reporting double-digit growth. International Platinum Card spending grew 20% on an FX-adjusted basis after American Express refreshed the card in approximately 80% of the countries where it is issued.
Investment Plans Include Technology, Dining and Customer Acquisition American Express said it will increase investment in customer acquisition and technology during the second half of 2026. Marketing expense is expected to rise about 10% year over year in the second half, while operating expenses are projected to increase in the mid-single digits for the full year.
The company also expects to invest in its proposed acquisition of TheFork, a European online restaurant-booking platform with 50,000 restaurants across 11 countries. Squeri said the transaction would support American Express’ dining strategy and complement its existing Resy and Tock platforms.
Management said it does not view the dining platforms primarily as standalone profit centers. Instead, it sees them as components of the broader card-member value proposition that can support retention, customer acquisition, merchant relationships and spending. Resy and Tock are expected to come together from a front-end user-experience perspective, while TheFork is expected to remain a standalone European-focused entity.
The company also highlighted new and expanded partnerships, including a global partnership with ALL Accor, as well as sports-related relationships with the NFL and Fanatics. Squeri said these partnerships are intended to provide card members with access to events, experiences, merchandise and other benefits.
Portfolio Sales Create Revenue-Line Effects, Not Material Earnings Impact American Express said sales of two small-business co-brand portfolios will affect reported spending and net interest income growth during the remainder of the year. One portfolio, Lowe’s, transferred in April, while the Amazon portfolio is expected to transfer in the third quarter.
Starting in the fourth quarter, management expects the portfolio sales to reduce quarterly spending growth by about 1 percentage point and net interest income growth by about 2.5 percentage points until the company laps the sales. The combined effect on total revenue is expected to be about 1 percentage point.
Le Caillec said the sales will have a negligible impact on pretax income and were already included in the company’s full-year guidance.
American Express returned $2.9 billion of capital to shareholders during the quarter, including $600 million in dividends and $2.2 billion in share repurchases. The company reported a 36% return on equity for the quarter.
For the first half of 2026, American Express reported 11% revenue growth and 14% EPS growth. Management said it expects spending momentum to continue through the second half, though portfolio transfers will create a modest headwind to reported billing growth.
About American Express (NYSE:AXP)American Express is a global financial services company primarily known for its payment card products, travel services and merchant network. Founded in 1850 as an express mail business, the company evolved through the 20th century into a payments and travel-focused organization. Its core activities include issuing consumer and commercial charge and credit cards, operating a global card acceptance and processing network, and providing travel-related services and customer loyalty programs.
American Express issues a range of products for individuals, small businesses and large corporations, including personal cards, business and corporate cards, and co‑brand partnerships with airlines, hotels and retailers.
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Jeetu Patel, Cisco president and chief product officer, talks about an upcoming AI tool named '"Antares" that will be used to hunt down software bugs and protect sensitive customer data. He also talks about the recent security breach at Hugging Face by OpenAI models and how companies can protect themselves.
UnitedHealth Group (UNH - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this largest U.S. health insurer have returned +1.9%, compared to the Zacks S&P 500 composite's +0.6% change. During this period, the Zacks Medical - HMOs industry, which UnitedHealth falls in, has gained 3.5%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, UnitedHealth is expected to post earnings of $3.93 per share, indicating a change of +34.6% from the year-ago quarter. The Zacks Consensus Estimate has changed +8.9% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $19.48 points to a change of +19.1% from the prior year. Over the last 30 days, this estimate has changed +7.5%.
For the next fiscal year, the consensus earnings estimate of $22.17 indicates a change of +13.8% from what UnitedHealth is expected to report a year ago. Over the past month, the estimate has changed +6.8%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, UnitedHealth is rated Zacks Rank #1 (Strong Buy).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For UnitedHealth, the consensus sales estimate for the current quarter of $111.36 billion indicates a year-over-year change of -1.6%. For the current and next fiscal years, $446.04 billion and $457.22 billion estimates indicate -0.3% and +2.5% changes, respectively.
Last Reported Results and Surprise HistoryUnitedHealth reported revenues of $112.03 billion in the last reported quarter, representing a year-over-year change of +0.4%. EPS of $6.38 for the same period compares with $4.08 a year ago.
Compared to the Zacks Consensus Estimate of $110.12 billion, the reported revenues represent a surprise of +1.74%. The EPS surprise was +29.15%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates two times over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
UnitedHealth is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about UnitedHealth. However, its Zacks Rank #1 does suggest that it may outperform the broader market in the near term.
Charter Communications on Friday reported steeper-than-expected losses in its quarterly broadband customer base, as traditional cable internet faces stiff competition from telecom rivals that have doubled down on promotional offers.
Charter Communications (CHTR - Free Report) came out with quarterly earnings of $10.66 per share, beating the Zacks Consensus Estimate of $9.96 per share. This compares to earnings of $9.18 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +7.03%. A quarter ago, it was expected that this cable provider would post earnings of $9.97 per share when it actually produced earnings of $9.17, delivering a surprise of -8.02%.
Over the last four quarters, the company has surpassed consensus EPS estimates just once.
Charter, which belongs to the Zacks Cable Television industry, posted revenues of $13.53 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.06%. This compares to year-ago revenues of $13.77 billion. The company has topped consensus revenue estimates two times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Charter shares have lost about 39.4% since the beginning of the year versus the S&P 500's gain of 8.2%.
What's Next for Charter?While Charter has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Charter was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $9.98 on $13.55 billion in revenues for the coming quarter and $41.29 on $54.3 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Cable Television is currently in the bottom 21% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Cable One (CABO - Free Report) , is yet to report results for the quarter ended June 2026.
This telecommunications company is expected to post quarterly earnings of $9.20 per share in its upcoming report, which represents a year-over-year change of +184.8%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Cable One's revenues are expected to be $348.64 million, down 8.5% from the year-ago quarter.
HomeIndustriesTelecommunicationsEarnings ResultsEarnings ResultsThe company lost more broadband subscribers than expected, although it hauled in more than 400,000 new mobile linesJuly 24, 2026, 9:30 a.m. ET
Charter Communications’ latest earnings results highlight the increasingly competitive broadband market, which has proved challenging for established cable providers.
The company posted further broadband subscriber declines in the second quarter. It shed a net of 172,000 internet accounts, more than the 116,000 it lost in the same period a year before.
Comcast’s NBCUniversal Split Puts Broadband Back in FocusCharter Communications NASDAQ: CHTR reported a larger internet customer loss in the second quarter as competitive pressure continued to weigh on new customer additions, while mobile line growth remained strong and video losses improved substantially.
The company lost 172,000 internet customers during the quarter, compared with a smaller loss a year earlier. President and CEO Chris Winfrey said weaker gross additions, rather than increased churn, remained the primary reason for the broadband performance. He said expanded fixed-wireless competition, fiber overlap and softer activity among low-income consumers have affected customer acquisition.
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SpaceX Achieves Escape Velocity With Nasdaq Fast-Track“Internet customer growth is taking longer to reverse,” Winfrey said, adding that Charter expects competitive expansion to eventually subside. The company expects to return to broadband growth over time through its converged internet and mobile offerings, improved network capabilities and better customer satisfaction scores.
Second-Quarter Results Charter’s consolidated revenue declined 1.7% year over year in the second quarter. Adjusted EBITDA fell 4.3%, or 3.2% excluding $65 million of transition expenses associated with the pending Cox Communications transaction.
Disney: How the Fubo Sports Deal Became a Game ChangerChief Financial Officer Jessica Fischer said residential revenue declined 3.5%, though the decline was 1.8% excluding the effect of programmer streaming-app costs allocated to video revenue. Residential revenue per customer relationship also declined 1.8%, but was essentially flat excluding that app-allocation effect.
Commercial revenue increased 1.5%, including 2.8% growth in mid-market and large-business revenue. Advertising revenue rose 12.3%, helped by political advertising. Excluding political revenue, advertising revenue declined 4.6%.
Charter generated $1.3 billion in net income attributable to shareholders, essentially unchanged from the prior-year quarter. Lower EBITDA was offset by a gain on debt extinguishment related to open-market debt repurchases.
For the full year, Fischer said Charter now expects standalone EBITDA, excluding transition costs, to decline by approximately 1%. The second half is expected to benefit from political advertising, internet cost pass-throughs and efficiency initiatives. Management said it is pursuing additional expense-reduction measures, including benefit-plan changes, overhead simplification and other cost actions.
Mobile Growth and Video Improvement Spectrum Mobile added 406,000 lines in the quarter, bringing Charter’s mobile base to more than 12.5 million lines. Winfrey said the company added 1.7 million lines over the past 12 months, representing 16% growth.
Management emphasized mobile’s role in customer retention. Winfrey said internet customers with Spectrum Mobile churn nearly 40% less than customers without mobile service, while customers who also take video churn more than 40% less.
Charter’s video customer loss narrowed to 21,000 from 80,000 in the second quarter of 2025. Fischer attributed the improvement to fewer downgrades, lower churn and more upgrades, supported by the company’s programmer-app inclusion packages and pricing changes introduced late in 2024. New connects to its fully featured video package also improved, with some benefit from the World Cup, she said.
In subsidized rural markets, Charter added 47,000 net customer relationships during the quarter. Subsidized rural passings increased by 127,000 in the quarter and 487,000 over the past 12 months.
Charter said it is making pricing adjustments that include speed upgrades for most affected customers. Fischer said the changes did not affect second-quarter results but should support residential revenue in the second half. Broadband average revenue per user is expected to improve sequentially in the third quarter, aided by the normalization of earlier retention offers and the new cost pass-through.
Cox Transaction and Integration Plans Charter said it now expects its acquisition of Cox Communications to close in mid-to-late August. Winfrey said Charter plans to introduce Spectrum pricing and packaging in Cox markets shortly after closing, aiming to improve internet customer performance and expand penetration of mobile and video services.
The company continues to expect at least $800 million in annual run-rate transaction expense synergies and said that estimate could rise to $1 billion after closing. The synergy estimate excludes potential operating and capital-expenditure benefits.
Charter is recruiting more than 1,000 residential and business sales employees in Cox territories. It also plans over the next year to onshore and insource Cox call-center activity, moving service coverage in those markets to a 24/7 platform. Winfrey said Charter expects to absorb most or all of the work currently handled by Cox’s offshore contractors through Spectrum’s operating efficiencies and digital capabilities.
Management said Cox’s customer and revenue trends have been “a couple clicks lower” than Spectrum’s, but said there has been no major change in the company’s integration strategy. Charter expects the combined company to have approximately 70 million passings, 37 million customers, roughly $67 billion in revenue and about $28 billion in EBITDA.
Capital Spending, Debt and Capital Returns Second-quarter capital expenditures totaled $2.9 billion, nearly flat from a year earlier. Charter maintained its expectation for approximately $11.4 billion in standalone capital expenditures in 2026. Looking beyond 2026, Fischer said annual standalone capital spending is expected to decline to less than $8 billion after network evolution and expansion initiatives are completed.
Free cash flow was $1 billion in the second quarter, down about $75 million from a year earlier, reflecting lower EBITDA and less favorable working-capital changes.
Charter ended the quarter with $94 billion of debt principal, a weighted average debt maturity of 11.7 years and a weighted average cost of debt of 5.2%. The company repurchased $1.2 billion of its debt in the open market for $1 billion in cash during the quarter, capturing about $250 million of discount.
The company also repurchased 4 million shares for $838 million, at an average price of $210 per share. However, it has paused buybacks through the end of the third quarter because of the pending Cox closing, related financing and liability-management efforts. Charter expects repurchases to resume in the fourth quarter.
Management lowered its post-transaction leverage target to 3.5 times net debt to adjusted EBITDA and expects to reach that level within three years of the Cox and Liberty Broadband transactions closing. Fischer said Charter expects leverage to be just above 3.9 times at the end of the third quarter, assuming the transactions close and its newly announced debt exchange offer succeeds.
About Charter Communications (NASDAQ:CHTR)Charter Communications, Inc is a U.S.-based telecommunications and mass media company that provides broadband communications and video services to residential and business customers. Operating primarily under the Spectrum brand, the company offers high-speed internet, cable television, digital voice (phone) and wireless services, as well as managed and enterprise networking solutions for commercial customers. Charter's service portfolio targets both consumer and business markets with bundled and standalone offerings designed to meet streaming, connectivity and communications needs.
The company's consumer-facing products include Spectrum Internet, Spectrum TV and Spectrum Voice, while Spectrum Mobile provides wireless service through arrangements with national wireless carriers.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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Ocean Power Technologies Inc (NYSE-A:OPTT) announced that it has acquired strategic subsea developmental technology assets from Columbia Power Technologies, expanding its operational infrastructure portfolio to include capabilities designed for underwater operations.
The acquisition extends the company's offerings from the ocean surface to the seabed, adding intellectual property and engineering assets focused on subsea power technology. Ocean Power Technologies said the transaction strengthens its position as a provider of infrastructure supporting autonomous maritime operations.
According to the company, the acquired portfolio complements its existing offshore power, autonomous surface vehicle, maritime sensing, communications and AI-enabled software capabilities. The addition of subsea power technology is intended to support persistent underwater operations, creating a broader operational infrastructure platform for maritime missions.
"The future of maritime operations will depend on resilient, persistent operational infrastructure that supports autonomous systems above and below the surface," Ocean Power Technologies CEO Philipp Stratmann said in a statement.
"This acquisition expands our technology portfolio with an innovative subsea capability that complements our existing solutions and reinforces our strategy to deliver operational infrastructure across the maritime domain for defense, security and commercial customers."
Ocean Power Technologies said the acquisition could expand its ability to support applications including resident autonomous systems, subsea sensing, distributed communications, underwater vehicle support and long-duration maritime missions. The company added that the technology provides a foundation for addressing future requirements in both defense and commercial maritime markets.
The transaction was structured as an asset acquisition, securing ownership of strategic intellectual property and technical capabilities while preserving financial flexibility, the company said.
Ocean Power Technologies also noted that the acquisition includes developmental work and early customer engagement that it believes could accelerate commercialization, reduce development risk and shorten the path to market for future subsea solutions.
American Resources Corp (NASDAQ:AREC) announced on Friday that its board of directors has approved a special cash dividend of $0.0431 per share as the company returns capital to shareholders while continuing to invest in its critical minerals business.
The dividend will be paid on August 25, 2026, to shareholders of record as of August 15, 2026.
The company stated that the special dividend reflects its financial position, capital allocation strategy and confidence in its ability to fund future growth opportunities while returning capital to long-term shareholders.
American Resources also noted that its board believes the company's current market valuation does not fully reflect the value of its cash position, strategic investments and ownership interests, as well as opportunities across its critical minerals platform.
American Resources CEO Mark Jensen highlighted the company's balance sheet, its minority ownership interest in ReElement Technologies, majority ownership of Electrified Materials, ongoing negotiations with the US Department of Energy related to coal-based critical mineral byproduct initiatives, and its pipeline of rare earth and critical mineral feedstock sourcing opportunities.
Jensen also noted that the company has repositioned its business over the past two years to focus on supplying feedstocks and owning critical mineral assets while leveraging ReElement Technologies' refining platform.
"This special dividend, together with our recently authorized share repurchase program, reflects our commitment to disciplined capital allocation,” Jensen said.
“We believe we have the financial flexibility to continue investing in attractive growth opportunities while simultaneously returning capital to shareholders when we believe the market does not fully recognize the intrinsic value of our business."
American Resources said it has transformed its business in recent years through the separation and repositioning of ReElement Technologies, strengthening its balance sheet, expanding Electrified Materials Corp.'s feedstock aggregation platform and advancing domestic critical mineral initiatives. The company stated that these efforts have created a portfolio of strategic assets while maintaining flexibility to pursue additional investments.
Newmont Corporation (NYSE:NEM, TSX:NGT, ASX:NEM, XETRA:NMM) reported mixed results for the second quarter, with revenue falling short of expectations as the company generated record free cash flow and maintained its full-year production guidance.
The gold miner reported adjusted earnings of $2.10 per diluted share for the quarter ended June 30, ahead of the consensus estimate of $2.05.
Revenue rose 15.1% year over year to $6.12 billion but missed analyst expectations of approximately $6.35 billion.
Net income totaled $2.2 billion, while adjusted EBITDA reached $3.8 billion. The company generated $2.9 billion in operating cash flow, excluding working capital impacts of $90 million, and reported record quarterly free cash flow of $2.2 billion.
Newmont produced approximately 1.3 million attributable gold ounces during the quarter, along with 7 million ounces of silver and 17,000 tonnes of copper, keeping the company on track to meet its full-year production guidance of 5.3 million attributable gold ounces.
Gold costs applicable to sales were $1,043 per ounce, while all-in sustaining costs were $1,621 per ounce. The company noted that year-to-date costs remain below its full-year cost guidance.
During the quarter, the company also received key regulatory approvals from the Province of British Columbia for the Red Chris Block Cave project, including an amended Environmental Assessment Certificate and an amended Mines Act permit, advancing the project toward a final investment decision.
"Newmont delivered another quarter of strong operational and financial performance, producing approximately 1.3 million attributable gold ounces and generating record second quarter free cash flow of $2.2 billion, while remaining on track to achieve our full-year 2026 guidance,” Newmont CEO Natascha Viljoen said in a statement.
Newmont’s shares were set to open about 1.5% higher at about $95 on Friday.
Key Takeaways Newmont beat Q2 adjusted earnings estimates despite revenue missing expectations. NEM's higher realized gold prices offset lower gold sales volumes, lifting quarterly revenue. Newmont reaffirmed 2026 guidance for gold production, CAS and AISC. Newmont Corporation (NEM - Free Report) reported second-quarter 2026 earnings of $2.06 per share compared with $1.85 in the year-ago quarter.
Barring one-time items, adjusted earnings were $2.10 per share, up 46.9% from $1.43 reported in the prior-year quarter. The figure topped the Zacks Consensus Estimate of $2.05.
Newmont’s revenues for the second quarter were roughly $6.12 billion, up 15.1% from the prior-year quarter. The figure missed the Zacks Consensus Estimate of $6.35 billion. The year-over-year improvement in the top line was primarily driven by higher realized gold prices, partly offset by lower gold sales volumes.
Newmont Corporation Price, Consensus and EPS SurpriseOperational HighlightsNewmont’s attributable gold production in the second quarter was roughly 1.29 million ounces, down 12.5% year over year. The figure surpassed our estimate of 1.23 million.
The average realized price of gold rose around 33% year over year to $4,414 per ounce. The figure lagged our estimate of $4,913 per ounce.
The company’s CAS for gold on a co-product basis was $1,463 per ounce, up 20.4% year over year. The figure outpaced our estimate of $1,228.8 per ounce.
AISC for gold on a co-product basis increased around 21.7% year over year to $1,938 per ounce. The figure beat our estimate of $1,881 per ounce.
FinancialsThe company ended the quarter with cash and cash equivalents of roughly $9 billion, up 45.7% year over year. At the end of the quarter, Newmont had debt of around $5.08 billion, down 28.7% year over year.
Net cash provided by operating activities amounted to $2.92 billion in the reported quarter, up 22.7% from $2.38 billion in the year-ago quarter. Free cash flow increased to $2.21 billion from $1.71 billion a year earlier.
OutlookNewmont remains on track to achieve its previously announced 2026 guidance. The company expects attributable gold production of approximately 5.26 million ounces. It also projects gold by-product CAS of $1,055 per ounce and gold by-product AISC of $1,680 per ounce.
General and administrative expenses for 2026 are expected to be around $375 million. Reclamation and remediation accretion is projected at approximately $385 million, while exploration and advanced-project expenses are anticipated to total $525 million.
NEM’s Price PerformanceShares of Newmont have gained 44% over the past year compared with a 39.2% rise in its industry.
Image Source: Zacks Investment Research
NEM’s Zacks Rank & Key PicksNEM currently carries a Zacks Rank #4 (Sell).
Some better-ranked stocks in the Basic Materials space are CSW Industrials, Inc. (CSW - Free Report) , Carpenter Technology Corporation (CRS - Free Report) and Ternium S.A. (TX - Free Report) .
CSW Industrials is expected to report second-quarter results on July 30. The Zacks Consensus Estimate for CSW’s second-quarter earnings is pegged at $3.66 per share. It carries a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
CRS is slated to report second-quarter results on July 30. The Zacks Consensus Estimate for earnings is pegged at $3.03 per share. CRS has a Zacks Rank #1 at present.
Ternium is scheduled to report second-quarter results on Aug. 4. The Zacks Consensus Estimate for TX’s second-quarter earnings is pegged at $1.06 per share. It currently carries a Zacks Rank #1.
SummaryNewmont Corporation remains a buy, trading at under 10x normalized EPS with a compelling valuation despite technical weakness.NEM delivered record free cash flow and strong operational results, but faces headwinds from lower gold prices and a bearish technical setup.Management reaffirmed 2026 targets, projecting $8.5 billion in FCF and robust EPS growth, supported by aggressive share buybacks.Key NEM risks include further declines in precious metals, rising energy costs, and geopolitical tensions impacting operations and costs. showcake/iStock via Getty Images
Newmont Corporation (NEM) reported mixed earnings on Thursday, July 23. Shares rose by the following morning, however, as the volatility in the gold market continues to cause wide swings in the gold mining company’s stock price. Record
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Newmont Corporation (NYSE:NEM, TSX:NGT, ASX:NEM, XETRA:NMM) reported mixed results for the second quarter, with revenue falling short of expectations as the company generated record free cash flow and maintained its full-year production guidance.
The gold miner reported adjusted earnings of $2.10 per diluted share for the quarter ended June 30, ahead of the consensus estimate of $2.05.
Revenue rose 15.1% year over year to $6.12 billion but missed analyst expectations of approximately $6.35 billion.
Net income totaled $2.2 billion, while adjusted EBITDA reached $3.8 billion. The company generated $2.9 billion in operating cash flow, excluding working capital impacts of $90 million, and reported record quarterly free cash flow of $2.2 billion.
Newmont produced approximately 1.3 million attributable gold ounces during the quarter, along with 7 million ounces of silver and 17,000 tonnes of copper, keeping the company on track to meet its full-year production guidance of 5.3 million attributable gold ounces.
Gold costs applicable to sales were $1,043 per ounce, while all-in sustaining costs were $1,621 per ounce. The company noted that year-to-date costs remain below its full-year cost guidance.
During the quarter, the company also received key regulatory approvals from the Province of British Columbia for the Red Chris Block Cave project, including an amended Environmental Assessment Certificate and an amended Mines Act permit, advancing the project toward a final investment decision.
"Newmont delivered another quarter of strong operational and financial performance, producing approximately 1.3 million attributable gold ounces and generating record second quarter free cash flow of $2.2 billion, while remaining on track to achieve our full-year 2026 guidance,” Newmont CEO Natascha Viljoen said in a statement.
Newmont’s shares were set to open about 1.5% higher at about $95 on Friday.
