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A Colorado-based wealth manager has disclosed a new investment in the Canary XRP ETF. 

It is yet another institutional firm that has gained exposure to XRP through recently launched exchange-traded funds.

According to a Form 13F-HR filed with the U.S. Securities and Exchange Commission on July 17, Gallacher Capital Management LLC reported holding 86,744 shares of the Canary XRP ETF ($961,126 as of June 30).

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Institutional XRP ETF holdings keep growingGallacher's disclosure follows several other recent 13F filings showing fresh institutional exposure to XRP-linked investment products.

On July 16, registered financial advisor Vista Finance reported owning 129,958 shares of the Franklin XRP Trust ETF, with a market value of roughly $11.45 million at the end of the second quarter. 

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A day earlier, CPR Investments, a Michigan-based registered investment adviser, disclosed a new position in the ProShares Ultra XRP ETF. According to its SEC filing, the firm held 36,619 shares valued at approximately $363,627.

T. Rowe Price launches ETF with XRP exposureIn the meantime, yet another product with XRP exposure was recently launched in the US. 

Earlier this week, Wall Street giant T. Rowe Price, which oversees roughly $7 trillion in assets under management, rolled out its first actively managed cryptocurrency ETF.

Trading under the TKNZ ticker, the fund provides diversified exposure to several major digital assets, including Bitcoin, Ethereum, Solana and XRP. The ETF debuted with approximately $15 million in assets and carries a 0.75% management fee.

The entry of the financial giant into the ETF space is viewed as yet another sign of growing mainstream adoption. 

Ethereum outsourced scaling to L2s. Now native proof verification and fast finality can bring them back into the fold.

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One of the critiques of Ethereum's rollup era is that Layer 2s were supposed to be extensions of Ethereum, but they've drifted into being de facto chains that just buy data availability from the L1.

It's a fair critique, even if there's room for nuance.

Yet over the past 18 months, two research arcs have been maturing that could dissolve this argument entirely. The first arc is native rollups, i.e. packaging L2 blocks as proof-carrying transactions that Ethereum verifies directly.

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This concept has bounced around the Ethereum community in recent years (originally known as "enshrined rollups"), and then the EIP-8079 draft formalized an initial approach in November 2025. To understand why it matters, consider how things work now.

Today, every rollup deploys and maintains its own verifier contracts on L1, i.e. bespoke stacks of code that prove the L2's blocks are valid. These verifiers are complex, gas-heavy, and risky to upgrade. For example, Taiko's stack alone spans six contracts.

In contrast, L2BEAT's Head of Research Luca Donno has estimated that major rollups could shed in the ballpark of ~39% of their onchain verifier code under a native approach:

Specifically native rollups would delete that extra load by making Ethereum the verifier, and L2s built this way would inherit L1 security and every future EVM upgrade automatically, with no migration scrambles required. And this architecture is no longer just theory, either.

Earlier this year, the ethrex client team released a full demo of an L2 settling to L1 via re-execution and with working deposits and withdrawals. And per L2BEAT's new dedicated Native Rollups tracker page, ecosystem-wide development milestones are slated through 2027, including a devnet targeted for this December.

All that said, the second key arc here is fast finality. Right now, Ethereum blocks arrive every ~12 seconds, though finality, i.e. the point where a block becomes practically irreversible, takes roughly 15 minutes. That lag caps how "final" any L2 settling to Ethereum can feel.

Ensuring that we have an expressive proof verification interface, native to the Ethereum protocol, should be one of our highest design goals.

Paired with fast finality, it will be a powerful force in the world. https://t.co/kYTpTAwcIm

— punk5736 (@punk5736) July 16, 2026 The fix has long been on the roadmap in the form of single slot finality research, and breakthroughs are nearing.

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For instance, researcher Francesco D'Amato, one of the minds behind Ethereum's SSF and PeerDAS work, just announced his move from the Ethereum Foundation to Ethlabs with a stated mission of making Ethereum "finalize much faster, as soon as possible."

This vision is also not a distant dream. D'Amato's fast confirmation rule, already running on Glamsterdam's devnets, was replayed against a full year of mainnet data and produced zero false confirmations while delivering 1-slot confirmation more than 95% of the time.

Goal is fast *finality* asap, but in the meantime fast confirmation (https://t.co/vFVtjqULOa) is already here and gives a *very strong* confirmation in seconds, 98% faster than finality! Now on Glamsterdam devnets https://t.co/o3cez3gQ6s pic.twitter.com/5LYQgBSWcI

— Francesco (@fradamt) July 16, 2026 In other words, near-instant strong assurances are demonstrably achievable without sacrificing safety.

Now, of course, native rollups and fast finality are great in their own rights, but combined they're transformative. Native verification makes L2 blocks something Ethereum personally checks, and fast finality will make these checks land in seconds rather than minutes.

In this paradigm, an L2's state could finalize with full L1 security almost immediately, i.e. not like a separate chain posting data to Ethereum but more like Ethereum simply having more blockspace.

Ethereum researcher Barnabé Monnot recently pushed this framing even further, noting that the L1 itself will likely eventually verify its own blocks via proofs, effectively becoming "a rollup of itself." If this pans out, the L1-vs-L2 distinction will blur into a matter of how composable everyone's state is, and more composability on Ethereum should accrue more value to Ethereum.

Riffing on this, many analogies collapse when you consider that L1 is likely to eventually turn into a rollup/L2 of itself.

So it's not the fundamental nature of a rollup to not be "value accretive" to ETH or Ethereum.

And the right lens to think about it is state, and one's… https://t.co/OBXRkXvXIH

— Barnabé Monnot | barnabé.eth (@barnabemonnot) July 15, 2026 To be sure, it will take time for these advances to actualize and synergize. EIP-8079 is still just a draft, and so on. The earliest this full meld could come together is likely late 2027. And there's also the sovereignty angle to consider. Today's major L2s differentiate partly through their custom stacks, so some may simply decline tighter integration.

Overall, then, the big open question is how much tighter technical coupling will translate into how much economic flowback for Ethereum. For his part, Monnot summed up the optimistic case well:

"The more external domains/sequencers have the ability to compose with L1 state, e.g., leveraging its liquidity, the more value accrues to it, vs 'islands of state' bootstrapping their own economies without Ethereum's added value."So Ethereum may have spent years outsourcing its scaling, yes, but now it's definitively building the machinery to bring its offspring back into the fold, faster and more unified than ever before. Keep these arcs and their potential on your radar accordingly.

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Charles Hoskinson said the last stage of the Voltaire era is full decentralization of node and reference blueprint development. (CoinDesk)Summary

Cardano developer Input Output will begin handing control of key blockchain components, including its Haskell node, Plutus platform and Daedalus wallet, to external specialist teams starting in August as part of a multi-year decentralization push.Independent companies such as Se7en Labs and Teragone will assume responsibility for parts of the core infrastructure, while at least three Cardano implementations in Haskell, Rust and Go will be maintained under community oversight and formal specifications.The shift comes as Cardano grapples with weak network activity and a steep drop in its ADA token price, with founder Charles Hoskinson framing the restructuring and broader ecosystem setbacks as necessary “growing pains” on the path to full decentralization.Cardano developer Input Output is handing control of core blockchain infrastructure to outside teams, reducing the network’s dependence on the company that built it, Input Output announced Friday.

Input Output said the handover is the next phase of Cardano’s decentralization. It covers Cardano’s Haskell node, Plutus smart-contract platform, Daedalus wallet, Hydra scaling technology and developer relations.

Specialist companies include Se7en Labs, a development agency specializing in Solana blockchain infrastructure, and Teragone, a specialist software development and cryptographic research team that leads the development of Mithril, a stake-based signature protocol for the Cardano blockchain. Both will take responsibility for some of the components. The handover will begin in August and continue into 2027.

Cardano has already moved protocol decisions and governance to its community. Input Output said the next step is to spread responsibility for developing and maintaining the software.

“The last stage of the Voltaire era is full decentralization of node and reference blueprint development,” Input Output CEO and Cardano founder Charles Hoskinson said in the statement.

The plan calls for independent teams to maintain at least three Cardano implementations written in Haskell, Rust and Go. Member organizations including Intersect and Pragma will oversee formal specifications, with development subject to community review and voting.

Input Output will focus more of its work on research and new ventures through IO Labs and IO Ventures.

The announcement comes as Cardano faces weak network activity, with just $70 million in TVL compared to rival chains like Tron and Solana that boast more than $4 billion respectively. There has also been a sharp decline in the value of its native token. ADA was trading at about 16 cents Friday, almost 95% below its September 2021 record of $3.10.

Hoskinson recently acknowledged the problems facing the network and said further setbacks would be part of its development. The Cardano founder said he had warned earlier this year that the deteriorating market conditions would see many projects shuttering.

“Even Cardano has to go through growing pains that are very uncomfortable,” he said in a video. “Bones have to be broken. Growth spurts have to happen. Exits and entrances. Failures have to occur to build confidence in the system.”

Hoskinson said Cardano needs more specialized teams to set targets and direct resources. He also acknowledged that the network has stopped expanding.

Moving core development to several companies could reduce Cardano’s reliance on Input Output, the statement on Friday said. It will also test whether independent teams can maintain the software without slowing development or creating coordination problems.

“I’m extremely proud that we have arrived at the final stage with IO Labs spinning out the Haskell node to community curation and control,” Hoskinson said. “Our partners are ready and the ecosystem now has many diverse options.”

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BNB Chain just crossed a threshold that puts it firmly in the conversation alongside Ethereum for real-world asset tokenization. The network’s total RWA value has hit $5.2 billion, according to data from RWA.xyz, marking a new all-time high and a 32.26% jump over the past 30 days alone.

That makes BNB Chain the second-largest blockchain for tokenized real-world assets, trailing only Ethereum at $15.5 billion. Not bad for a network that sat at $3 billion just four months ago.

A growth curve that keeps steepening The trajectory here is worth paying attention to. BNB Chain’s RWA value sat at $3 billion in March 2026, climbed to $4 billion by May, and has now vaulted past $5 billion in mid-July.

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The network currently hosts 665 tokenized assets, giving it a 14.91% share of the overall RWA market across blockchains.

The ecosystem powering the growth BNB Chain has assembled a roster of tokenization platforms that includes Avalon Finance, OpenEden, Brickken, Bitbond, Securitize partnered with VanEck, and Ondo Finance. Those projects span treasuries, credit products, real estate, commodities, and equities.

Ondo Finance launched its tokenized equities offering on BNB Chain in late 2025, giving users on-chain exposure to traditional stock market instruments and adding liquidity and DeFi composability to the network, allowing tokenized equities to interact with lending protocols, yield strategies, and other DeFi primitives.

BNB Chain has also been building out stablecoin infrastructure to serve as the settlement and liquidity layer for tokenized assets.

What this means for investors BNB Chain has nearly doubled its RWA value in four months. BNB Chain added roughly $2.2 billion in RWA value over the past four months, while Ethereum’s $15.5 billion in RWA value still leads by a significant margin.

Tokenized RWAs introduce dependencies on off-chain custodians, legal frameworks, and traditional financial infrastructure. A regulatory shift in key jurisdictions could affect how these assets function across any blockchain. Rapid TVL growth can also sometimes be driven by a small number of large depositors. With platforms spanning treasuries, credit, real estate, commodities, and equities, however, BNB Chain’s growth appears distributed across multiple verticals and participants.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.

Andrew McCormick, Chainlink Labs’ Head of Institutional and Market Development, isn’t being subtle about how he sees the CLARITY Act. During a livestream on June 26, he called it “the biggest imaginable unlock for institutions to allocate at scale.”

The Digital Asset Market Clarity Act of 2025, formally known as H.R. 3633, has been slowly grinding through the legislative machinery since it passed the House last year. It hit a notable milestone in May 2026 when the Senate Banking Committee advanced a substitute version with a 15-9 vote.

Why 90-year-old laws are the real problem McCormick identified three primary blockers preventing wider adoption of tokenized assets. First, regulatory clarity, which is exactly what the CLARITY Act aims to provide. Second, trust and confidence, meaning institutions need to believe the infrastructure won’t collapse under them. Third, education, because a surprising number of decision-makers at major financial firms still don’t fully understand how tokenization works or why it matters.

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The CLARITY Act tackles the first blocker head-on by drawing clear jurisdictional lines. Digital commodities would fall primarily under CFTC oversight, while the SEC would retain limited jurisdiction over specific primary-market transactions. Right now, the ambiguity over which agency has authority over what has kept compliance departments at major banks in a permanent state of paralysis.

What this means for tokenized real-world assets McCormick specifically highlighted tokenized equities as a category that could see significant activity once regulatory clarity arrives. Multiple major financial institutions have been running pilot programs and proof-of-concept projects in this space, but actual scaled deployment has been limited precisely because of the legal fog.

Chainlink executives have framed the CLARITY Act as a once-in-a-decade legislative opportunity.

The broader legislative picture The CLARITY Act doesn’t exist in a vacuum. The GENIUS Act, focused on stablecoins, represents another piece of the puzzle. Together, these bills signal that Congress is moving toward a comprehensive approach rather than piecemeal rulemaking.

McCormick was appointed to his role at Chainlink Labs on June 4, 2026, making his public advocacy for the CLARITY Act one of his early priorities in the position.

What investors should be watching If the CLARITY Act becomes law, the immediate beneficiaries would be firms providing the infrastructure that makes institutional onchain finance possible. Oracle networks and cross-chain services, which are Chainlink’s core business, would see increased demand as more traditional financial activity moves onchain.

There’s also a competitive dimension. Jurisdictions like the EU, with its MiCA framework already in effect, Singapore, and the UAE have been actively courting the same institutional capital that the CLARITY Act is designed to attract.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.

OKX Europe has launched a one-way conversion feature allowing customers to deposit USDT and convert it into USDC, offering a regulated migration path as the European Union’s Markets in Crypto-Assets (MiCA) rules limit support for the world’s largest stablecoin.

According to a company announcement shared with Cointelegraph, the feature lets customers deposit Tether’s USDt (USDT) into their OKX Europe account and convert the tokens into USDC (USDC), one of the largest stablecoins available under the European Union’s MiCA framework.

Tether has not obtained authorization to issue USDT under MiCA, prompting many European platforms to restrict deposits, delist trading pairs or convert customer balances into compliant alternatives as the European Union completed the framework’s rollout on July 1.

OKX Europe said the feature is designed for customers whose existing platforms no longer accept USDT or plan to migrate their balances automatically. The exchange said conversions can be completed at the customer’s discretion rather than through a platform-imposed deadline.

The move comes even as USDT remains the dominant stablecoin globally. According to DefiLlama, Tether accounts for about 59% of the nearly $310 billion stablecoin market, with a market capitalization of roughly $184 billion, compared with about $73 billion for Circle’s USDC.

OKX Europe serves customers across 30 EU and European Economic Area countries under its MiCA license.

Source: DefiLlama

Why did Tether reject MiCA?Tether has defended its decision not to seek MiCA authorization for USDT, even as the move prompted many European crypto platforms to delist or restrict the stablecoin. Since the EU’s regulatory framework began taking effect in late 2024, exchanges across the region have been shifting users toward MiCA-compliant alternatives.

Tether CEO Paolo Ardoino has repeatedly criticized MiCA, arguing its reserve requirements create unnecessary risks for stablecoin issuers by requiring a portion of reserves to be held with European credit institutions. 

In a May 2025 interview with Cointelegraph, Ardoino described the framework as “very dangerous when it comes to stablecoins,” saying Tether chose not to pursue authorization despite the likelihood that USDT would lose support on European exchanges.

The company has shown little sign of changing course. In a July 2025 post on X, Ardoino said Tether would reconsider seeking MiCA authorization only “when MiCA becomes safer for consumers and stablecoin issuers.”

Source: Paolo Ardoino

Recently, digital banking platform Revolut said it will stop supporting USDT for customers in the European Economic Area and Switzerland, giving users until Aug. 31 to sell or withdraw their holdings before automatically converting any remaining balances into their base currency.

Magazine: The British Virgin Islands are a top crypto hub no one ever talks about: Here’s why

Cointelegraph is committed to independent, transparent journalism. This news article is produced in accordance with Cointelegraph’s Editorial Policy and aims to provide accurate and timely information. Readers are encouraged to verify information independently.

Super Heavy v3 Booster 20 hangs from the chop sticks at Pad 2 as it prepares to roll back to the SpaceX launch production facility in Starbase, Texas, U.S., July 17, 2026. REUTERS/Steve Nesius Purchase Licensing Rights, opens new tab

SummaryCompaniesSpaceX plans to replace two booster Raptor engines before the next launch attempt, Musk saidFour of the booster's 33 engines did not ignite during Thursday's aborted test flightStarship could carry 20 Starlink satellites on its 13th flight test, the company saidWASHINGTON, July 17 (Reuters) - SpaceX (SPCX.O), opens new tab is targeting Monday for another attempt to ​launch its Starship rocket after a last-second abort during engine ignition on Thursday, a brief setback that nevertheless wiped roughly $100 billion from the newly public ‌company's market value.

The company's Starship rocket ignited its engines for a 13th test flight from Texas, but stopped short of lifting off when an automated abort command shut the engines down early. Four of the Starship booster's 33 engines did not ignite, according to a live SpaceX depiction of the booster's engines.

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A launch delay for the $15 billion rocket development program better known for ​dramatic engineering feats and explosive testing failures is not uncommon. Still, SpaceX shares have dropped by roughly 6% to $124.30 since the abort, erasing roughly $100 ​billion in equity value.

Musk wrote on X that the abort was triggered because "some of the engines didn't start." SpaceX on Friday ⁠hoisted the Starship upper stage off its Super Heavy booster and plans to replace two of the booster's Raptor engines "to be confident of a good flight," Musk ​said, without explaining why some engines didn't start.

"Most probable launch timing is early next week," he added. SpaceX's website said Starship could launch "as early as Monday, July ​20."

The share price drop offers an early glimpse into how the newly public company's investors might judge the progress of a high-tech rocket program on which SpaceX's most lofty ambitions rely.

The stock had already been sliding from a post-IPO high of $225.64 and fell below SpaceX's $135 IPO price on Wednesday. The abort accelerated the decline.

"If this is how the market reacts to a precautionary ​abort, I can't wait to see how it responds to a successful flight," Chad Anderson, CEO of Space Capital and a SpaceX investor since 2017, said via ​text message.

"Zoom out and none of this changes the thesis: we're in the early innings of a multi-decade infrastructure cycle, and Starship is the centerpiece," he added. "Day-to-day price action is ‌noise against ⁠the backdrop. This is a long-term opportunity."

Some SpaceX employees on X, which is owned by SpaceX, sought to explain the abort and delay to next week.

Director of Starship engineering Shana Diez said on X that the Thursday launch scrub was the first time a fully stacked Starship rocket lit its engines and then aborted.

"While similar to a wet dress rehearsal," she said, referring to a practice run of a rocket launch, "there is a lot going on and any first time operation comes with ​additional risk."

"This is how we learn safely ​and implement mitigations for all scenarios," ⁠said Jessie Anderson, a Starship production engineer who sometimes hosts the company's launch live streams.

PRESSURE RISINGSpaceX has launched 12 Starship test flights since 2023, some ending in explosive failures and other hard testing setbacks that have become hallmarks of SpaceX's test-to-failure development ethos, ​a risky and capital-intensive approach that has been key to the company's quick growth.

But the pressure is rising for Starship ​to begin operational flights ⁠after nearly a decade in development and over $15 billion spent so far.

Two pillars of SpaceX's future growth hinge on Starship: expanding the Starlink network to beam service directly to mobile devices and eventually launching thousands to potentially a million AI-processing satellites into space.

SpaceX aims to launch the first Starlink satellites to orbit on Starship by year's end, followed ⁠by routine ​launches, the company said in its prospectus.

Starship will carry 20 Starlink satellites on its 13th flight ​test to demonstrate its satellite-dispensing system and the Starlink network's laser communication links, but those satellites will follow the ship's suborbital trajectory and burn up in Earth's atmosphere soon after deployment.

The rocket will launch ​out of Florida for the first time "potentially" by year's end, SpaceX engineer Kate Tice said Thursday on the Starship live stream.

Reporting by Joey Roulette; Editing by Sanjeev Miglani

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Joey Roulette is a space reporter for Reuters covering the business and politics of the global space industry, often focusing on space power competition and how commercial interests intersect with international relations. He was part of a team that won the 2024 Pulitzer Prize in national reporting for Reuters' coverage of Elon Musk's business empire. On the space beat for roughly a decade, Joey previously worked for the New York Times, the Verge, and various publications in Florida.

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Apple filed a trade secrets lawsuit against OpenAI last Friday, and it’s not messing around. The complaint alleges a pattern of misconduct reaching all the way up to OpenAI’s chief hardware officer and claims more than 400 former Apple employees now work at the company. OpenAI’s response so far has been carefully hedged, and the timing couldn’t be worse with the company reportedly eyeing an IPO as early as later this year. 

On this episode of TechCrunch’s Equity podcast, hosts Kirsten Korosec, Anthony Ha, and Sean O’Kane dig into what the lawsuit could mean for OpenAI’s own hardware ambitions and IPO timeline, plus a bigger theme running through the week’s news: how much should anyone trust AI companies with their data? 

Subscribe to Equity on YouTube, Apple Podcasts, Overcast, Spotify and all the casts. You also can follow Equity on X and Threads, at @EquityPod. 

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Theresa Loconsolo is an audio producer at TechCrunch focusing on Equity, the network’s flagship podcast. Before joining TechCrunch in 2022, she was one of 2 producers at a four-station conglomerate where she wrote, recorded, voiced and edited content, and engineered live performances and interviews from guests like lovelytheband. Theresa is based in New Jersey and holds a bachelors degree in Communication from Monmouth University.

You can contact or verify outreach from Theresa by emailing [email protected].

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Anthropic is in very preliminary talks to lease computing power from Meta, a person familiar with the matter told CNBC's Kate Rooney.

Shares of the social media giant climbed off their lows of the day Friday following a report from the New York Times that a potential deal was being discussed worth about $10 billion.

The talks come weeks after Anthropic announced a similar deal with Elon Musk's SpaceX to use the computing capacity at its Colossus 1 data center to improve capacity for paid subscribers.

They are a sign that Anthropic, one of the leading artificial intelligence labs, continues to make big commitments with other AI labs to use their access to AI chips made by Nvidia.

Access to enough AI chips remains a challenge for firms like Anthropic, which places usage limits on its most advanced models like Fable.

The talks also come after Meta CEO Mark Zuckerberg said in May that the social media company was considering entering the cloud computing business, in an effort to show investors that the firm can make money from AI investments beyond improvements to its current business. Dave Brown, a former senior executive at Amazon Web Services, is set to join Meta, CNBC has confirmed.

Meta could spend as much as $145 billion on capital expenditures, including for AI infrastructure, in 2026.

Last October, Zuckerberg said that companies are regularly "asking if we have compute that they could buy from us at some premium to what we've bought it at."

Meta declined to comment.

Read more CNBC tech newsElon Musk's Memphis AI empire is the epicenter of the data center backlashChinese startup Moonshot AI unveils Kimi model it says rivals OpenAI, AnthropicSpaceX stock falls after Starship test flight abortedMicrosoft's Nadella criticizes Anthropic's Fable for being 'editorially controlled'

Amazon (AMZN 0.90%) just completed a large bond sale, and it's a direct sign of where CEO Andy Jassy is pointing the company. Amazon sold $25 billion worth of bonds to finance its data center build-out, telling investors it's going all in on the artificial intelligence (AI) build-out.

This is a big deal because there have been some concerns proliferating over the past month about the health of the AI build-out trend. This bond sale is a solid indicator that the trend is robust, so investors can refocus on what Amazon's future will look like as an AI-first infrastructure company.

Image source: Amazon.com Inc.

Jassy has some insight into what's coming In Jassy's annual letter to investors, he made the case for Amazon spending $200 billion on data center capital expenditures this year. One major factor he discussed was that the faster a cloud computing business grows, the more money it has to spend to build the data centers and purchase the chips necessary to run the workloads. Plus, he reiterated that Amazon's investments aren't being made on blind faith; the company has secured several data center clients that will start using the new computing capacity being developed the first day it's available.

That should calm investors' nerves a bit, as Amazon is doing everything right to secure a long-term opportunity in the cloud computing market.

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Another factor that could set Amazon apart is its custom AI chips. Amazon Web Services (AWS) has already been successful in developing in-house Graviton central processing units (CPUs) for data centers, and its Trainium chips could also be a huge advantage, as Amazon has touted their cost effectiveness over graphics processing units for AI training workloads. It can't fully finance its ambitious expansion plans with its current cash flows, so Amazon is doing the right thing by issuing debt to secure this opportunity, even if some investors don't like it.

However, with Amazon becoming a more cloud-focused business, the stock looks even more attractive.

AWS' operating margins are far superior to those of Amazon's commerce divisions. This is evidenced by the fact that AWS accounted for 59% of operating profit in the first quarter, despite making up only 21% of revenue. As this division grows faster on the back of the company's increasingly large capital investments, Amazon's profits will likely soar, making the stock a no-brainer buy at today's levels. I think that Amazon's transformation into a cloud-focused business will surprise a lot of investors, and that the upside in the stock is real and immense.

Keithen Drury has positions in Amazon. The Motley Fool has positions in and recommends Amazon. The Motley Fool has a disclosure policy.

Item 1 of 2 The engine of a 737 MAX on the final assembly production line during a media tour of the Boeing factory in Renton, Washington, U.S., April 15, 2026. REUTERS/Genna Martin

[1/2]The engine of a 737 MAX on the final assembly production line during a media tour of the Boeing factory in Renton, Washington, U.S., April 15, 2026. REUTERS/Genna Martin Purchase Licensing Rights, opens new tab

CompaniesWASHINGTON, July 17 (Reuters) - The Federal Aviation ‌Administration told Congress on Friday it will allow Boeing (BA.N), opens new tab to issue ​airworthiness certificates for all ​737 MAX and 787 airplanes starting ⁠next week, a significant ​milestone for the U.S. planemaker as it ​ramps up production.

The FAA told Congress the "decision follows months of thorough data ​and safety review demonstrating consistent ​production quality and reflects the FAA's confidence ‌in ⁠Boeing's ability to issue airworthiness certificates under FAA oversight," according to an email seen by ​Reuters.

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The ​FAA revoked ⁠Boeing's right to approve individual MAX planes in ​2019 after a second ​fatal ⁠MAX crash in Ethiopia, and for Boeing 787 airplanes in ⁠2022 ​due to production ​quality issues.

Boeing did not immediately comment.

Reporting by ​David Shepardson; Editing by Chris Reese

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Delta Air Lines (DAL - Free Report) ) and United Airlines (UAL - Free Report) ) have both delivered better-than-expected Q2 results, demonstrating that demand for premium, international, and corporate travel remains resilient despite significantly higher fuel costs.

Both carriers exceeded Wall Street's earnings expectations and expressed confidence in the second half of the year. However, they took slightly different approaches to guidance.

Delta reaffirmed its full-year outlook despite the challenging fuel environment, while United became even more optimistic by raising its earnings forecast.

For those looking to capitalize on the continued strength in the airline industry, the question is whether Delta's operational consistency or United's accelerating earnings momentum makes for the better investment.

Delta Delivered Another Strong QuarterLast Friday, Delta reported Q2 adjusted EPS of $1.56, topping expectations of $1.51 despite an expected dip from last year's record Q2 profit of $2.10 per share.

This came on a quarterly peak in revenue at $17.66 billion, which increased 14% year over year but slightly missed estimates of $17.76 billion. Premium travel, corporate demand, and international routes remained key growth drivers.

The quarter was particularly impressive considering Delta absorbed the highest quarterly fuel expense in company history, with fuel costs surging roughly 77% from a year ago due to higher oil prices. Despite the headwind, Delta generated approximately $1.4 billion in adjusted pre-tax income while maintaining an industry-leading balance sheet.

Perhaps most encouraging was management's outlook. Delta reaffirmed its full-year adjusted EPS guidance range of $6.50-$7.50 while maintaining expectations for $3 billion-$4 billion in free cash flow.

Management also projected continued momentum during the September quarter, expecting double-digit operating margins as premium demand remains healthy. Delta further rewarded shareholders by announcing a 15% dividend increase.

Image Source: Zacks Investment Research

United Raises the BarReporting Q2 results this week, United Airlines posted the more bullish earnings report.

Adjusted EPS reached $1.99, comfortably ahead of expectations of $1.92 despite a dip from a quarterly peak of $3.87 per share a year ago. Still, United posted a new record in quarterly revenue as well, at $17.67 billion, which was up 16% YoY but very narrowly missed estimates.

Strong growth across premium cabins, loyalty programs, cargo operations, and international travel helped offset sharply higher fuel expenses. The company highlighted record passenger volumes while continuing to expand its global network and premium offerings.

Most impressive, United raised the low end of its full-year adjusted EPS guidance to $9.00-$11.00, up from its prior outlook of $7.00-$11.00.

Notably, United acknowledged that fuel prices remain volatile but believes stronger pricing and revenue trends should allow the airline to recover most of those higher costs over the remainder of the year.

Image Source: Zacks Investment Research

Stock Performance & Valuation Comparison (P/E)Delighting investors is that both stocks have impressively outperformed the benchmark S&P 500 in the last three years and even the Nasdaq, although United’s gains of more than 120% have noticeably topped Delta’s 85%.

Image Source: Zacks Investment Research

Despite their strong rallies, both airlines continue to trade at valuations that offer steep discounts to the broader market.

United typically commands the lower forward earnings multiple, reflecting its more cyclical earnings profile and greater sensitivity to economic conditions.

Delta generally trades at a modest premium to United because investors have historically assigned higher multiples to its stronger balance sheet, more consistent profitability, premium revenue mix, and industry-leading operational execution.

Still, after a very extensive rally and more explosive earnings growth, United stock certainly stands out with a forward P/E of 11X compared to Delta’s 13X.

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Delta’s Dividend Levels The Playing FieldIncome investors have a clear favorite.

Delta currently pays a dividend yielding roughly 1%, and management reinforced its confidence in future cash generation by announcing the 15% dividend increase following its Q2 report.

United, meanwhile, does not currently pay a dividend, choosing to prioritize debt reduction, aircraft investments, and strengthening its balance sheet following the pandemic.

While United may offer greater earnings leverage during favorable airline cycles, Delta remains the more appealing option for investors seeking a combination of capital appreciation and residual income.

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Bottom LineDelta and United delivered impressive Q2 reports that reinforced the strength of the airline industry's recovery despite elevated fuel costs.

For investors seeking a steadier long-term compounder with a dividend, industry-leading margins, and more predictable cash flows, Delta Air Lines appears to be the more balanced investment.

Those with a higher risk tolerance looking for stronger earnings acceleration may prefer United Airlines, particularly after management raised its full-year profit outlook. 

That said, both stocks currently land a Zacks Rank #3 (Hold), although United is likely to reattain a buy rating as earnings estimate revisions should move higher in the coming weeks. 

Key Takeaways INTC is expanding its Google Cloud partnership to deploy generative AI and accelerate chip development.Intel will deploy Gemini Enterprise to automate tasks and enhance workflows across engineering and operations.INTC is adding Google Cloud C4 and N4 instances to speed silicon design simulations and improve engineering. Intel Corporation (INTC - Free Report) is advancing its enterprise-wide artificial intelligence (AI) transformation through an expanded multi-year collaboration with Alphabet Inc.'s (GOOGL - Free Report) Google Cloud. The partnership will help Intel integrate generative AI and cloud technologies across its global operations to support innovation and business growth.

Under the agreement, Intel will deploy Gemini Enterprise across its workforce, enabling employees to automate tasks and enhance workflows across engineering, supply chain and corporate operations. The platform’s advanced reasoning capabilities will support software development by streamlining coding tasks and automating complex, multi-step workflows.

The company will also utilize the Gemini Enterprise Agent Platform to create custom AI tools for different business functions. In addition, Intel is exploring AI solutions to improve marketing and communications by generating targeted content, identifying relevant subject-matter experts and preparing executive materials more efficiently.

Intel is expanding its use of Google Cloud's high-performance computing infrastructure to speed up chip development. By adding Google Cloud's C4 and N4 instances to its existing computing resources, the company can run more silicon design simulations simultaneously, reducing development time and improving engineering performance. Through this collaboration, Intel aims to strengthen its position in AI-driven enterprise and semiconductor innovation.

How Are Competitors Performing in the AI Space?Intel faces competition from Qualcomm Incorporated (QCOM - Free Report) and Advanced Micro Devices (AMD - Free Report) . Qualcomm is expanding its presence in the AI market by broadening its focus into data center, enterprise and edge. The company has acquired AI software startup Modular to strengthen its AI capabilities and make it easier to develop and deploy AI applications across different hardware platforms. Qualcomm is improving AI features in its Snapdragon chips and working with partners to bring more AI-powered solutions to vehicles, smartphones, PCs and connected devices.

AMD is strengthening its AI business by growing its data center and enterprise AI offerings with its Instinct GPUs, EPYC processors and ROCm software. The company has partnered with Nutanix and Meta to develop AI infrastructure and support large-scale AI deployments. AMD is investing in AI research, infrastructure and innovation to support the growing demand for advanced technologies.

INTC’s Price Performance, Valuation & EstimatesShares of Intel have skyrocketed 319.8% over the past year compared with the industry’s growth of 26.7%.

Image Source: Zacks Investment Research

Going by the price/book ratio, the company's shares currently trade at 3.9 book value, lower than the industry average of 25.74.

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INTC’s earnings estimates for 2026 have increased 1.9% to $1.07 per share, while those for 2027 have increased 2.1% to $1.47 over the past 60 days.

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Intel stock currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Take-Two Interactive Software Inc (NASDAQ:TTWO) is expected to deliver a largely in-line fiscal first quarter performance, with investor attention likely to remain focused on management commentary around the highly anticipated release of Grand Theft Auto VI, according to Jefferies analysts.

Jefferies wrote that Wall Street expectations for the quarter remain muted, with bookings forecast to decline about 4% year over year, largely reflecting weakness in the company’s mobile business as several key titles slow. The analysts noted that the stock’s reaction is likely to depend more on updates around GTA VI than on the quarter itself, with potential discussion points including pre-orders and the timing of GTA VI Online.

The analysts expect limited new information on GTA VI during the earnings call, writing that disclosure of pre-order figures is unlikely and that Take-Two is unlikely to adjust its fiscal 2027 outlook.

The analysts highlighted that mobile trends weakened during the quarter, based on Sensor Tower in-app purchase data, including softness across the company’s three largest mobile titles. Jefferies wrote that the company’s first-quarter mobile revenue guidance already reflects much of this pressure, with Street expectations calling for a mid-single-digit percentage decline year over year.

The analysts added that mobile advertising trends and shifts toward web-based payments are unlikely to provide a meaningful offset, and said they would look for commentary on whether the slowdown reflects reduced marketing investment or broader demand issues.

Take-Two’s NBA 2K franchise is expected to perform in line with expectations despite a challenging comparison period, Jefferies wrote. The analysts noted that the company’s guidance for high-single-digit revenue growth in the segment is supported by early engagement trends, including Steam concurrent users during the NBA playoffs that were significantly higher than at the game’s launch last year.

Meanwhile, Jefferies expects Grand Theft Auto Online revenue to face pressure in the first quarter due to timing differences around major content updates. The analysts wrote that the large summer GTA Online update arrived in July this year compared with June last year, creating a difficult year-over-year comparison, though engagement trends remain stable heading into GTA VI.

“Overall trends appear stable into GTA VI,” Jefferies wrote, noting that Steam concurrent users for GTA Online increased significantly following the latest update, while anticipation around the next installment continues to build.

The analysts maintained that expectations remain for GTA VI to generate a strong initial launch, with more than 40 million units forecast for fiscal 2027. Jefferies identified the timing and scope of GTA VI Online as the biggest outstanding question, noting that a delay into calendar 2027 could weigh on long-term player retention.

Jefferies also pointed to broader industry shifts as supportive of Take-Two’s strategy, highlighting changes across gaming platforms toward fewer, larger content releases. The analysts wrote that PlayStation’s move away from physical discs and Xbox’s shift away from subscription-focused models toward a “fewer, bigger, better” content approach align with Take-Two’s long-term strategy.

The analysts maintained their ‘Buy’ rating and $300 price target, above current levels of about $238, noting that they expect the stock to continue trading higher into the game’s release.

Take-Two will report its Q1 earnings on August 7.

Key Takeaways Occidental expects the Permian Basin to generate more than 56% of its total output in 2026.A $3.1 billion Permian investment supports plans to drill 460 to 510 wells by year-end.Enhanced oil recovery is expected to produce more than 100,000 barrels of oil equivalent per day. Occidental Petroleum Corporation (OXY - Free Report) is a leading operator in the Permian Basin, a key driver of its U.S. oil and gas production. The CrownRock L.P. acquisition has expanded its operations in the region, which is expected to generate more than 56% of the company's total output in 2026.

Occidental plans to invest $3.1 billion in the Permian throughout 2026 to upgrade and expand operations. The company aims to drill 460 to 510 wells by year-end. Occidental controls 1.4 million acres in unconventional areas and 1.4 million acres in conventional zones in the Permian Basin, underscoring its strong regional presence.

Operational efficiency remains a key focus for Occidental. The company projects to drill many wells in the Permian Basin region this year and a 7% expected drop in average well costs in 2026 compared with 2025 will be beneficial. These improvements stem from enhanced well designs, consistent scheduling and technology upgrades that streamline development.

Courtesy of its operational efficiency and usage of new technology, Occidental will be able to generate more oil from the reserve. Through the Enhanced Oil Recovery technique, the company is expected to produce more than 100,000 barrels of oil equivalent per day, boosting its overall production volumes.

With nearly a decade of high-return inventory in the Permian Basin, Occidental is well positioned for sustained growth. Ongoing technological advancements are improving drilling efficiency, increasing production, minimizing environmental impact and unlocking additional resources, driving long-term value creation.

Permian Basin Reserves Support Long-Term Value CreationThe Permian Basin's abundant, low-cost reserves offer oil and gas producers long-term production visibility, robust margins and strong cash flow generation. Its vast resource base and operational efficiencies continue to drive sustainable earnings growth and shareholder value.

Devon Energy's (DVN - Free Report) high-quality Permian Basin assets enable low-cost production, strong cash flow generation and long-term reserve growth. Efficient operations, disciplined capital spending and cash flow support Devon Energy's sustainable earnings growth.

Diamondback Energy's (FANG - Free Report) premium Permian Basin acreage drives low-cost, high-margin production and long-term growth. Backed by operational efficiency, disciplined capital investments and strategic expansion, Diamondback Energy is well-positioned to benefit from the basin's long-term growth potential.

The Zacks Rundown on OXYReturn on equity (“ROE”) is a key indicator of a company’s financial performance. It reflects how effectively a corporation uses shareholders' equity to generate profits and is widely regarded as a measure of profitability and operational efficiency.

Occidental’s ROE is lower than the industry average in the trailing 12 months. ROE of OXY is 9.65% compared with the industry average of 10.94%.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for Occidental’s 2026 and 2027 earnings per share indicates an increase of 10.12% and 4.53%, respectively, in the past 60 days.
 

Image Source: Zacks Investment Research

Occidental’s shares have gained 25.6% in the past six months compared with the Zacks Oil and Gas-Integrated-United States industry’s rise of 16.3%.

Image Source: Zacks Investment Research

OXY’s Zacks Rank

Key Takeaways Intuit is embedding AI across TurboTax, QuickBooks, Credit Karma, Mailchimp and Enterprise Suite.INTU expects TurboTax Live revenues to reach about $2.8 billion in fiscal 2026 with 36% growth.Intuit's AI-powered enterprise business grew 38%, driven by QuickBooks Online Advanced and Enterprise Suite. Intuit Inc. (INTU - Free Report) is rapidly transforming from a financial software provider into an artificial intelligence (AI)-powered financial technology platform. Rather than adding AI as a standalone feature, the company is embedding it across TurboTax, QuickBooks, Credit Karma, Mailchimp and Intuit Enterprise Suite to automate financial tasks, improve decision-making and create new growth opportunities.

While the company's long-term AI strategy is gaining momentum, investor sentiment has remained cautious in recent months. The company's shares have declined 27.2% over the past three months compared with the industry's 8.4% fall and the S&P 500 composite's 6.7% rise. Its peers, Automatic Data Processing, Inc. (ADP - Free Report) and Paychex Inc. (PAYX - Free Report) have gained 27% and 23.2%, respectively, during the same period.

The weakness reflects challenges in the price-sensitive do-it-yourself tax market. Management acknowledged losing share among lower-income filers due to pricing, with TurboTax Online units expected to decline modestly during fiscal 2026.

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How AI Is Becoming the Core of Intuit's StrategyIntuit now describes itself as an AI-driven expert platform rather than a traditional software company. Its AI capabilities already generate recommendations across more than 50 million financial transactions every week, and management expects these AI agents to increasingly automate accounting, tax compliance, payments, cash-flow management and business decision-making, making its software more valuable while improving customer productivity.

Another key advantage is Intuit's ecosystem of approximately 10 million business customers and one million accountants. This large user base provides proprietary financial data that continuously improves AI models, creating a competitive advantage that becomes stronger as adoption expands.

How Is INTU Embedding AI Across Its Verticals?In May, Intuit launched Analytics AI within Mailchimp, enabling marketers to ask questions in natural language instead of manually building reports. The AI analyzes campaign performance, customer engagement, ecommerce activity and revenue trends before recommending actions businesses should take.

In the same month, the company expanded Intuit Enterprise Suite, its AI-native enterprise resource planning platform for mid-market businesses. The cloud-based platform integrates accounting, payroll, payments, HR, project management, marketing and business intelligence while using conversational AI and virtual agents to automate recurring financial workflows.

Importantly, AI is already translating into measurable business growth. Revenues from QuickBooks Online Advanced and Enterprise Suite increased about 38%, indicating growing customer adoption of Intuit's AI-powered enterprise solutions.

TurboTax is also shifting toward higher-value AI-assisted services. Instead of relying primarily on do-it-yourself tax software, Intuit is expanding TurboTax Live, which combines AI with human tax professionals.

Management expects TurboTax Live revenues to reach approximately $2.8 billion in fiscal 2026, representing 36% growth year over year. Customers are projected to increase 38%, while TurboTax Live is expected to contribute about 53% of total TurboTax revenues. The company estimates the assisted-tax market represents a $37 billion opportunity, highlighting the significant runway for future expansion.

INTU’s Estimate Revision & ValuationAnalysts remain constructive on Intuit's earnings outlook despite near-term headwinds. The Zacks Consensus Estimate for Intuit's fiscal 2026 earnings per share (EPS) has marginally increased to $23.86 over the past month. The 2026 EPS estimate suggests 18.41% growth from the prior-year quarter, supported by continued expansion across the company's AI-driven businesses and higher-value service offerings.

Image Source: Zacks Investment Research

Shares of Intuit are trading at a discount. Based on the forward 12-month Price-to-Sales (P/S) ratio, INTU trades at 3.39X, below the Zacks Computer - Software industry average of 5.24X.

The stock also carries a lower valuation than several industry peers. For comparison, PAYX trades at a forward P/S multiple of 5.95, while ADP trades at 4.41, highlighting Intuit's relatively discounted valuation.

Image Source: Zacks Investment Research

Investment OutlookWhile pricing pressure in the DIY tax business and continued AI investments could weigh on near-term results, Intuit appears well-positioned to benefit from the long-term expansion of AI-powered financial services. Investors should monitor AI monetization, TurboTax performance and margin trends for evidence that these initiatives are translating into sustainable earnings growth.

Given the current balance of opportunities and risks, the stock appears well-suited for existing shareholders to hold. Prospective investors, however, may prefer to wait for a more attractive entry point or greater visibility into future growth.

Currently, Intuit carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Chubb is expected to report Q2 revenue growth of 7.3% and EPS growth of 7.5%. Premium growth and higher investment income are expected to support results. CB's underwriting discipline and share buybacks are likely to support earnings. Chubb Limited (CB - Free Report) is expected to have registered an improvement in both top and bottom lines when it reports second-quarter 2026 results on July 21, after market close.

The Zacks Consensus Estimate for CB’s second-quarter revenues is pegged at $15.89 billion, indicating 7.3% growth from the year-ago reported figure. The consensus estimate for earnings is pegged at $6.60 per share.

The Zacks Consensus Estimate for CB’s second-quarter earnings has moved up 0.5 % in the past 60 days. The figure suggests a year-over-year rise of 7.5%.

What the Zacks Model Unveils for CBOur proven model predicts an earnings beat for Chubb this time around. This is because a stock needs to have the right combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). This is not the case, as you can see below:

Earnings ESP: Chubb has an Earnings ESP of +1.09%. This is because the Most Accurate Estimate of $6.67 is pegged higher than the Zacks Consensus Estimate of $6.60. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Factors Likely to Shape CB's Q2 ResultsChubb's second-quarter revenues are likely to have benefited from higher investment income and solid premium growth, driven by strong new business generation, healthy policy retention, favorable pricing in casualty and specialty lines, increased insured exposures and continued expansion across international markets. The high-net-worth personal lines business is also likely to have contributed through robust new business, strong retention and favorable pricing. Additionally, digital initiatives and AI-enabled underwriting are also expected to have supported premium growth and operational efficiency.

Premium growth in the Life Insurance segment is also expected to have been supported by strong new business in North Asia, particularly in Huatai, Hong Kong, Taiwan and Korea, reflecting continued momentum across Chubb's international life operations. The Zacks Consensus Estimate for net premiums earned is pegged at $14 billion. We expect net premiums earned to be $13.9 billion, indicating a 6.6% year-over-year increase.

Net investment income is likely to have benefited from higher average invested assets and higher reinvestment rates on fixed maturities. Chubb expects quarterly adjusted net investment income of $1.825-$1.85 billion in the second quarter of 2026. We expect net investment income to be $2 billion in the quarter to be reported, indicating a 27.6% year-over-year increase. The Zacks Consensus Estimate is pegged at $1.86 billion, indicating an 19.2% year-over-year increase.

Prudent pricing in casualty and specialty lines, disciplined underwriting and favorable prior-year reserve development are expected to have supported underwriting profitability and the combined ratio. However, softer commercial property pricing and higher catastrophe losses from severe weather events are likely to have partially offset these benefits. The Zacks Consensus Estimate for the combined ratio is pegged at 85.6.

Expenses are expected to have increased because of higher policy acquisition costs, administrative expenses and interest expenses. We estimate the metric to be $12.6 billion, indicating an 13.5% year-over-year increase.

Nevertheless, share buybacks in the to-be-reported quarter are likely to have aided the bottom line.

Other Stocks to ConsiderHere are three P&C insurance stocks you may want to consider, as our model shows that these also have the right combination of elements to post an earnings beat:

Cincinnati Financial Corporation (CINF - Free Report) has an Earnings ESP of +8.84% and a Zacks Rank #2 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at $1.77, indicating a year-over-year decrease of 7.6%.

CINF’s earnings beat estimates in each of the last four reported quarters.

The Allstate Corporation (ALL - Free Report) has an Earnings ESP of +23.32% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at $4.92, indicating a year-over-year decrease of 17.1%.

ALL’s earnings beat estimates in each of the last four reported quarters.

Kinsale Capital Group, Inc. (KNSL - Free Report) has an Earnings ESP of +1.33% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at $5.09 per share, indicating a year-over-year increase of 6.5%.

KNSL’s earnings beat estimates in each of the last four reported quarters.

Key Takeaways CCI reports Q2 2026 results on July 22 after the closing bell, following four straight AFFO beats.Crown Castle faces customer concentration risks despite expected growth in wireless data demand. CCI's Q2 revenues is projected at $992.9M, while AFFO per share is expected at $1.00. Crown Castle Inc. (CCI - Free Report) is scheduled to release its second-quarter 2026 results on July 22, after the closing bell. In anticipation of the announcement, industry analysts and investors are eager to assess the company's performance and prospects in the current economic climate.

In the last reported quarter, this Houston, TX-based real estate investment trust’s (REIT) adjusted funds from operations (AFFO) per share outpaced the Zacks Consensus Estimate by 0.99%. Results reflected a decline in site rental revenues.

Over the preceding four quarters, CCI’s AFFO per share surpassed estimates on all occasions, with the average surprise being 3.84%. This is depicted in the graph below:

Let’s see how things have shaped up before this announcement.

Factors to Consider Ahead of CCI’s ResultsCrown Castle has an unmatched portfolio of wireless communication infrastructure assets in the United States. As wireless data consumption is expected to increase significantly over the next few years, service providers are likely to have continued their network expansion and densification efforts to meet this incremental demand.

However, customer concentration remains a concern. Any loss of its customers or consolidation among them is likely to have impacted the company’s top line. Rapid technology change and uneven carrier build cycles might also have increased revenue variability for site leasing and related services.

CCI’s Projections for Q2The Zacks Consensus Estimate for second-quarter revenues is pegged at $992.9 million, indicating a decrease of 6.3% from the year-ago reported number.

Our estimate for quarterly site rental revenues is pinned at $937.3 million, implying a 7% decrease year over year. However, we estimate services and other revenues to increase 2.3% year over year to $53.2 million.

Crown Castle’s activities in the to-be-reported quarter were inadequate to garner analysts’ confidence. The Zacks Consensus Estimate for quarterly AFFO per share remained unchanged at $1.00 over the past three months. The estimate indicates a 2% decrease from the prior-year quarter’s reported figure.

What Our Quantitative Model Predicts for CCIOur proven model does not conclusively predict a surprise in terms of AFFO per share for Crown Castle this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an AFFO beat, which is not the case here.

Crown Castle currently has an Earnings ESP of 0.00% and a Zacks Rank of 3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Stocks That Warrant a LookHere are two stocks from the broader REIT industry — SL Green Realty (SLG - Free Report) and BXP, Inc. (BXP - Free Report) — that you may want to consider, as our model shows that these have the right combination of elements to report a surprise this quarter.

SL Green is slated to report quarterly results on July 22. SLG has an Earnings ESP of +7.20% and carries a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

BXP is scheduled to report quarterly results on July 28. The company has an Earnings ESP of +0.18% and a Zacks Rank of 3.

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

The U.S. cryptocurrency industry is entering what one of its leading lobbyists describes as a decisive moment. 

During her Friday appearance on Fox Business, Kristin Smith, president of Solana Policy Institute, said the coming days could determine whether the industry finally secures a comprehensive federal regulatory framework after years of uncertainty.

"We've come so far with this legislation since the House passed the Clarity Act a year ago," Smith said. "There has been a lot of bipartisan input into this bill, and it is the best, most comprehensive language we've seen."

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However, despite her optimism, betting markets have become increasingly skeptical that the legislation will cross the finish line this year.

Ethics negotiations become central obstacleEthics negotiations have stalled the passage of the much-talked-about bill, and Smith claims that the crypto industry itself cannot dictate the outcome.

"It is absolutely essential," she said. "It's one of those tricky issues where it's not the crypto industry's place to decide what the deal is."

According to Smith, discussions with Democratic lawmakers have made it clear that they will insist on the addition of "ethics language."

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"I have met with members of Congress, especially Democrats. They need to have some sort of ethics language to be able to vote for it," she said. 

The proposed provisions would establish conflict-of-interest rules governing elected officials' involvement with crypto businesses.

Smith believes a compromise remains achievable. "This is a president who knows the art of the deal. If we get the president and the Democrats to agree on this issue, that will break the logjam, and we will be able to get the votes needed to get this through the Senate sometime next week or the following," she added. 

The most significant crypto legislation Smith described the legislation as the most significant crypto reform effort to date. If enacted, Smith argues, the legislation would dramatically improve investor protections while accelerating institutional adoption.

"Once we get this passed, we are going to see an unleashing of economic activity around the crypto space," she said.

She predicted the bill would lead to an upgrade to the financial services system, more traditional institutions adopting crypto technology and integrating it into their services.

Betting markets turn increasingly pessimisticDespite the industry's public optimism, prediction markets have actually become more pessimistic. 

According to Kalshi, the probability that U.S. crypto market structure legislation becomes law before Jan. 1, 2027, has fallen to roughly 36%. 

There is still some hope. The House Financial Services Committee will hold an informational field hearing in New York examining how the Clarity Act could foster innovation. Updated legislative text remains rather elusive so far, according to recent reports. 

Key Takeaways CME Group is expected to benefit from market data growth and higher clearing and transaction fee income. CME's equity index and agricultural volumes rose, while interest rate, energy and FX trading declined. Higher employee compensation and technology investments are expected to increase quarterly expenses. CME Group Inc. (CME - Free Report) is expected to register a decline in both top and bottom lines when it reports second-quarter 2026 results on July 22, before the opening bell.

The Zacks Consensus Estimate for CME’s second-quarter revenues is pegged at $1.69 billion, indicating a 0.1% decrease from the year-ago reported figure.

The consensus estimate for earnings is pegged at $2.93 per share. The Zacks Consensus Estimate for CME’s second-quarter earnings has moved 2.3% south in the past 30 days. The estimate suggests a year-over-year decrease of 1%.

What the Zacks Model SaysOur proven model does not conclusively predict an earnings beat for CME Group this time around. This is because the stock has the right combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), which increases the chances of an earnings beat. This is not the case, as you can see below.

Earnings ESP: CME Group has an Earnings ESP of -1.04%. This is because the Most Accurate Estimate of $2.90 is pegged lower than the Zacks Consensus Estimate of $2.93. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Zacks Rank: CME Group currently carries a Zacks Rank of 4 (Sell). 

Factors Likely to Shape Q2 ResultsCME Group’s second-quarter results are likely to benefit from its diversified product portfolio, heightened market volatility and strong competitive position.

Revenue growth is likely to have been aided by gains in market data and information services, as well as higher clearing, transaction and other fee-based income.

Increased volatility across asset classes appears to have boosted trading volumes, which, in turn, supported clearing and transaction fees. The Zacks Consensus Estimate for clearing and transaction fees stands at $1.4 billion, indicating a 1.7% decrease compared with the same period last year.

CME Group reported a quarterly average daily volume (ADV) of 29.8 million contracts in the second quarter, which declined 1% year over year. Trading activity decreases across multiple segments, including interest rates, energy and foreign exchange. Agricultural ADV of 2.1 million contracts in the second quarter of 2026 increased 6% from the prior-year period. Equity Index ADV of 8.6 million contracts increased 13% year over year.

Market data and information services revenues are likely to have benefited from pricing adjustments on certain products as well as increased demand and usage. The Zacks Consensus Estimate for this segment is pegged at $227 million, suggesting a 14.6% year-over-year increase.

On the cost side, expenses are expected to have risen during the quarter, primarily due to higher spending on employee compensation and benefits, along with increased investment in technology.

Stocks to ConsiderHere are three finance stocks you may want to consider, as our model shows that these also have the right combination of elements to post an earnings beat.

Cboe Global Markets, Inc. (CBOE - Free Report) has an Earnings ESP of +1.82% and carries a Zacks Rank #2 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at $3.41, indicating a year-over-year increase of 38.6%. You can see the complete list of today’s Zacks #1 Rank stocks here.

CBOE’s earnings beat estimates in each of the last four reported quarters.

Cincinnati Financial Corporation (CINF - Free Report) has an Earnings ESP of +8.84% and a Zacks Rank #2 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at $1.77, indicating a year-over-year decrease of 10.1%.

CINF’s earnings beat estimates in each of the last four reported quarters.

The Allstate Corporation (ALL - Free Report) has an Earnings ESP of +23.32% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for second-quarter 2026 earnings is pegged at $4.92, indicating a year-over-year decrease of 17.1%.

ALL’s earnings beat estimates in each of the last four reported quarters.

Wise Group PLC (LSE:WISE, NASDAQ:WSE) has kicked off its 2027 financial year with another strong quarter, as more customers turned to the fintech group for fast, low-cost international payments.

The company reported first-quarter net revenue of $714 million, up 25% from a year ago, driven by continued growth in cross-border payment volumes and customer numbers.

Customers transferred $69.3 billion through the platform during the three months to 30 June, a 26% increase on the same period last year, while active customers climbed 21% to 11.9 million. Customer balances also surged 31% to $41.2 billion, highlighting the growing use of Wise's multi-currency accounts.

Transaction revenue rose 27% to $540.9 million, even as the average fee fell to a record-low 0.50%. The lower pricing reflects Wise's strategy of passing on efficiency gains to customers while continuing to grow volumes.

Speed also improved, with 77% of transfers arriving instantly, up from 70% a year earlier.

"We continue building 'the' network for the world's money," co-founder and chief executive Kristo Käärmann said, noting that almost 12 million people and businesses used Wise during the quarter.

The company also expanded into Chile, where customers can now send money abroad and top up multi-currency accounts using local instant payment methods.

Looking ahead, Wise reaffirmed its full-year guidance, expecting revenue growth to remain comfortably within its medium-term target range and profitability towards the top end of its target margin.

Key Takeaways Inspire Medical is positioned for growth as Inspire V drives a major product transition.Inspire V cuts implant time by over 20%, while FDA approvals broaden patient eligibility.Coding uncertainty and WISeR delays may worsen in Q2 before easing in the second half of 2026. Inspire Medical Systems (INSP - Free Report) is well-positioned for solid growth over the next few quarters as it navigates a significant product transition.

Shares of this Zacks Rank #3 (Hold) company have declined 44.1% in the year-to-date period compared with the industry’s 6.8% fall. However, the S&P 500 Index has increased 10% in the same timeframe.

Inspire Medical, a medical technology company focused on the development and commercialization of innovative, minimally invasive solutions for patients with obstructive sleep apnea, has a market capitalization of $1.46 billion.

The company’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 181.2%.

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Positive Factors Driving INSP’s ProspectsStrong Clinical Innovation & Growing Clinical Evidence: Inspire Medical continues to strengthen its leadership in hypoglossal nerve stimulation through product innovation and expanding clinical evidence. The Inspire V system remains a key growth driver, offering a simplified implant procedure by integrating the respiratory sensor within the neurostimulator while reducing implant time by more than 20% versus Inspire IV. Clinical studies have demonstrated superior respiratory sensing, improved sleep apnea outcomes and strong patient adherence.

The recently published PREDICTOR study suggests many patients may be screened without drug-induced sleep endoscopy (DISE), reducing diagnostic burden and time to treatment. Long-term data from the ADHERE registry and independent studies presented at SLEEP 2026 demonstrated sustained improvements in apnea severity, therapy adherence and cardiovascular outcomes, with Inspire patients showing lower risks of stroke, myocardial infarction, atrial fibrillation and hospitalization than CPAP-treated or untreated patients. Having treated more than 135,000 patients globally and supported by more than 385 peer-reviewed publications, Inspire Medical continues to strengthen physician confidence and long-term adoption.

Regulatory Expansion & Commercial Execution: Inspire Medical continues expanding its addressable market through regulatory approvals while strengthening commercial execution. Recent FDA approvals broadened patient eligibility by increasing the upper apnea-hypopnea index threshold, expanding BMI criteria and authorizing Inspire therapy for certain pediatric Down syndrome patients. The launch of Inspire V and new CMS HCPCS Level II C-codes has further supported adoption while improving facility reimbursement clarity. Management is also pursuing a dedicated CPT code expected to take effect in 2028, providing a long-term reimbursement solution. The company has optimized its sales organization by strategically consolidating territories while increasing field clinical representatives to achieve its targeted one-to-one ratio with territory managers. International momentum remains encouraging, with first-quarter 2026 international revenues increasing 16.5% year over year, reflecting growing physician awareness and market penetration despite reimbursement headwinds.

Disciplined Financial Execution & Investment in Growth: Inspire Medical delivered resilient financial performance while maintaining a disciplined investment strategy. Revenues increased 1.6% year over year, while the company improved adjusted operating margin through favorable product mix and higher adoption of Inspire V, generating stronger operating cash flow than the prior-year period. Management remains focused on investments that directly support long-term expansion, including reimbursement education, field reimbursement specialists, digital patient engagement tools, marketing effectiveness, operational efficiencies and next-generation product development. These initiatives will begin contributing more meaningfully during the second half of 2026 and accelerate further in 2027 as reimbursement challenges ease.

Key Challenges for INSP StockCoding & Reimbursement Uncertainty: The biggest near-term challenge remains coding and reimbursement uncertainty for Inspire V procedures. Differences in billing practices across Medicare and commercial insurers have slowed prior authorizations, reduced patient pipeline activity and delayed procedures. Although CMS introduced facility billing codes and management is working toward a dedicated CPT code expected in 2028, reimbursement uncertainty is expected to continue affecting procedure volumes until providers gain confidence in billing practices.

Coding and reimbursement disruption, along with the WISeR program, negatively impacted first-quarter 2026 revenues by approximately $20 million and could reduce full-year 2026 revenues by $120-$150 million. The company expects second-quarter revenue pressure to worsen with an estimated revenue headwind of $40-$50 million due to lower prior authorization activity during the first quarter, before improving gradually during the second half of 2026.

WISeR Program Disrupting Procedure Volumes: The rollout of the WISeR’s prior authorization program across six Medicare pilot states has created additional administrative hurdles for providers. AI-driven authorization requirements and varying state-specific workflows have delayed procedures and reduced Medicare volumes during the first quarter. While management expects providers to adapt over time, the program is likely to remain a short-term headwind before becoming less disruptive later in 2026.

GLP-1 Adoption & Competitive Pressure: Inspire Medical also faces emerging external headwinds. Management acknowledged that increasing use of GLP-1 weight-loss therapies may temporarily delay Inspire procedures as some patients pursue medical treatment first. Although GLP-1 therapies could ultimately expand the eligible patient population by helping patients meet BMI requirements, the near-term impact on procedure volumes remains uncertain. At the same time, competition in the hypoglossal nerve stimulation market is gradually increasing, adding another factor that could weigh on growth until reimbursement challenges subside.

Estimate TrendInspire Medical is witnessing a positive estimate revision trend for 2026. In the past 30 days, the Zacks Consensus Estimate for earnings has moved north 1 cent to $1.05 per share.

The Zacks Consensus Estimate for second-quarter 2026 revenues and loss per share is pegged at $194.8 million and 22 cents, respectively.

Stocks to ConsiderSome better-ranked stocks from the broader medical space are West Pharmaceutical (WST - Free Report) , Intuitive Surgical (ISRG - Free Report) and Cardinal Health (CAH - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

West Pharmaceutical reported first-quarter 2026 earnings per share of $2.13, which beat the Zacks Consensus Estimate by 26.8%. Revenues of $844.9 million surpassed the Zacks Consensus Estimate by 8.5%.

West Pharmaceutical has an estimated long-term earnings growth rate of 13.9%. WST’s earnings surpassed estimates in the trailing four quarters, the average surprise being 19.4%.

Intuitive Surgical reported first-quarter 2026 adjusted EPS of $2.50, which beat the Zacks Consensus Estimate by 20.2%. Revenues of $2.77 billion surpassed the Zacks Consensus Estimate by 6.2%.

Intuitive Surgical has an estimated long-term earnings growth rate of 14.3%. ISRG’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 16.8%.

Cardinal Health reported a third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%.

Cardinal Health has an estimated long-term earnings growth rate of 17%. CAH’s earnings surpassed estimates in the trailing four quarters, the average surprise being 10.3%.

Fifth Third Bancorp (FITB - Free Report) reported $3.28 billion in revenue for the quarter ended June 2026, representing a year-over-year increase of 46.1%. EPS of $1.02 for the same period compares to $0.90 a year ago.

The reported revenue represents a surprise of +0.88% over the Zacks Consensus Estimate of $3.25 billion. With the consensus EPS estimate being $0.98, the EPS surprise was +4.08%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Fifth Third Bancorp performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Efficiency Ratio (FTE): 64.3% versus the three-analyst average estimate of 57.5%.Net interest margin (FTE): 3.4% versus the three-analyst average estimate of 3.4%.Total nonperforming assets: $1.24 billion compared to the $1.01 billion average estimate based on two analysts.Regulatory Capital Ratios - Tier 1 risk-based Capital: 10.8% versus 10.9% estimated by two analysts on average.Return on average common equity: 9.5% compared to the 10.5% average estimate based on two analysts.Book value per share: $35.56 versus $35.79 estimated by two analysts on average.Average Balance - Total interest-earning assets: $264.99 billion versus $266.2 billion estimated by two analysts on average.Regulatory Capital Ratios - Leverage: 9.2% versus the two-analyst average estimate of 9.3%.Tangible book value per share (including AOCI): $23.15 versus the two-analyst average estimate of $24.17.Return on average assets: 1.1% compared to the 1.2% average estimate based on two analysts.Tangible common equity (including AOCI): 7.3% compared to the 7.4% average estimate based on two analysts.Net charge-off ratio (NCO ratio): 0.3% compared to the 0.3% average estimate based on two analysts.View all Key Company Metrics for Fifth Third Bancorp here>>>

Shares of Fifth Third Bancorp have returned +12.6% over the past month versus the Zacks S&P 500 composite's +0.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

3 Volatile Mid-Caps to Trade This Earnings SeasonIndependent Bank NASDAQ: INDB reported second-quarter 2026 net income of $81.8 million, or $1.70 per diluted share, as executives said stronger deposit momentum, C&I lending growth, margin expansion and share repurchases supported profitability despite pressure from commercial real estate payoffs.

Chief Executive Officer Jeff Tengel said business activity was slow early in the quarter but accelerated as the period progressed. He pointed to “solid deposit growth, strong C&I loan growth, continued improvement in the adjusted NIM, aggressive buyback activity, and excellent results in our wealth management business,” while noting that those gains were partly offset by a smaller average balance sheet and lower loan accretion income.

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Tengel also provided a personal update at the start of the call, saying he had completed treatment for non-Hodgkin’s lymphoma and had learned he is “cancer-free and in remission.”

Deposit Growth and Margin Expansion Independent Bank’s deposit franchise produced more than $300 million of non-time deposit growth in the quarter, which Tengel said represented 7% annualized growth. The company held its cost of deposits stable at 1.36%, despite what management described as heightened competition and expectations that the Federal Reserve will keep rates elevated for longer.

Chief Financial Officer Mark Ruggiero said period-end deposit balances grew at a 5.9% annualized rate, although average balances were down for much of the quarter. That created what he called a temporary drag on cash and average earning assets. He said balances rebounded late in the quarter, supported by new core deposit relationships.

Ruggiero said the core net interest margin increased four basis points in the second quarter. Reported loan yields declined eight basis points, but core loan yields rose three basis points when excluding volatile purchase accounting accretion and other non-core items. Securities yields increased five basis points in the quarter, and Ruggiero said additional maturities and amortization in the second half should support further improvement.

During the question-and-answer session, Ruggiero said the company had introduced a 4% short-term money market special halfway through the second quarter, contributing to some upward pressure in money market rates. He said the spot cost of deposits was 1.38% in June and that management expects some additional pressure in the second half, potentially toward 1.40%, while still maintaining its fourth-quarter margin guidance.

C&I Growth Offsets CRE Paydowns Loan growth was mixed during the quarter. Tengel said C&I and home equity lending were robust, while commercial real estate and construction loans declined by $176 million due to elevated payoffs. Excluding a $37 million decline tied to the dealer floor plan business that Independent Bank has largely exited, C&I loans rose $116 million, or 10% annualized. Tengel said that growth was broad-based across market segments.

Management emphasized that the company remains active in commercial real estate lending despite the paydowns. Tengel said Independent Bank funded $203 million in new relationship-based CRE loans during the quarter, up 11% from the first quarter, and added $300 million of new CRE commitments. The company’s CRE concentration stood at 278 at June 30.

The approved commercial loan pipeline totaled $510 million at quarter-end, up from $313 million at March 31. Tengel said the stronger pipeline, continued origination activity and expected normalization of payoff activity position the company to return to positive commercial loan growth.

In response to analyst questions, Tengel said two relationships accounted for $120 million of second-quarter CRE paydowns, including refinancings away from Independent Bank. One refinancing, he said, occurred on “terms and conditions that we were very uncomfortable with.” He said management expects paydowns to return closer to historical levels in the second half and sees potential for flat to modestly higher CRE balances over that period.

Ruggiero said the commercial pipeline was roughly split between CRE and C&I, with C&I representing a somewhat larger share than before. He said new commercial loan originations moved into the mid-6% range, with C&I loans in the mid- to high-6% range and CRE loans generally in the low-6% range.

Capital Returns Remain a Priority Ruggiero said second-quarter results reflected the bank’s ability to drive core profitability and return capital to shareholders in a competitive environment. During the quarter, Independent Bank completed its prior buyback authorization and announced a new $200 million share repurchase plan in May.

The company repurchased $75 million of stock in the second quarter. Its common equity Tier 1 ratio was 12.8% at June 30, and its tangible capital ratio was 9.7%.

Ruggiero said the buyback plan will remain the primary means of returning excess capital to shareholders. In response to an analyst question, he said returning 100% of quarterly earnings is “the minimum,” adding that the company is committed to executing repurchases aggressively while considering growth trends and funding efficiency.

Asset Quality and Office Exposure Management said asset quality remained consistent with historical performance. Tengel said net charge-offs were two basis points in the second quarter and have averaged nine basis points over the past five quarters. The loan loss provision represented 14 basis points of average loans in the quarter and has averaged 13 basis points over the past five quarters, excluding the day-one impact of the Enterprise acquisition.

Ruggiero said total non-performing assets increased modestly to $103.8 million, or 56 basis points of total assets. He said commercial non-performing asset movement was “fairly benign,” with one office non-performer resolved and another added. Residential non-performers increased by a net $4.7 million, but Ruggiero said there is generally sufficient home equity in workout cases and that charge-offs remain extremely low in that portfolio.

Net charge-offs were $911,000 in the quarter, or two basis points annualized. Year-to-date charge-offs were six basis points annualized. The provision was $6.3 million, and the allowance for loan losses rose to 1.06% of loans, primarily due to modest specific reserves on a couple of commercial loans.

On office-related credit issues, Tengel said the company is still in what he has previously described as a long “seventh inning,” but said he is encouraged by the work underway to reduce criticized and classified office loans over the next several quarters. Ruggiero said a $22 million large syndicated non-performing loan has begun making interest payments and could potentially return to performing status by year-end.

Guidance Reaffirmed for Profitability Targets Independent Bank reaffirmed its fourth-quarter 2026 profitability targets of a 1.4% return on average assets and a 15% return on average tangible capital. Ruggiero also reaffirmed the company’s fourth-quarter margin outlook of 3.90% to 3.95%, though he said it is likely to be at the low end of that range. The range includes an assumed 10-basis-point impact from purchase accounting accretion.

The company lowered its full-year outlook for CRE and construction loans to flat to a low-single-digit percentage decrease, citing second-quarter paydown activity. It expects C&I growth to land at the high end of its mid-single-digit guidance range, with minimal remaining headwinds from the exited floor plan business. Consumer loans are now expected to increase in the low-single-digit percentage range for the full year.

Fee income totaled $42.4 million in the second quarter, up more than 5% from the prior quarter. Ruggiero said wealth management led the increase, with assets under administration of $9.5 billion at June 30, along with higher tax preparation fees, deposit and treasury management fees, and increased swap volume.

Expenses were flat versus the first quarter after excluding merger-related costs and non-recurring core system conversion expenses, according to management. Ruggiero said Independent Bank expects core expenses excluding systems conversion costs to be in the $553 million to $557 million range for the year, with one-time system conversion expenses totaling $5 million to $6 million. Tengel said the conversion from HORIZON to IBS, both part of the FIS ecosystem, is scheduled for October and is intended to improve client service, efficiency, product rollout and growth capacity.

About Independent Bank (NASDAQ:INDB)Independent Bank Group, Inc NASDAQ: INDB is a bank holding company headquartered in McKinney, Texas, that provides a range of financial services through its wholly owned subsidiary, Independent Bank. Tracing its roots to the late 19th century, the company has grown from a single community bank into a regional financial institution serving individuals, small businesses and commercial clients. Independent Bank Group became a bank holding company in 1983 and expanded its footprint through organic growth and strategic acquisitions.

The company's primary business activities encompass retail and commercial banking, including deposit products, consumer and business lending and credit services.

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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Truist’s second quarter displayed a range of puts and takes shaping consumer banking.

Customers kept spending, mobile activity rose and credit losses eased, while the movement of cash into higher-yielding accounts continued to raise funding costs.

The quarter also marked Bill Rogers’ final earnings call as Truist’s CEO. Mike Lyons will become president and CEO on Sept. 1, after having served as Fiserv’s CEO. Rogers will serve as executive chair until his planned retirement in April 2027.

Commentary during an earnings conference call with analysts Friday (July 17) indicated that consumer liquidity, spending and credit trends remained within management’s expectations. Average consumer and small business loans rose 2% from a year earlier, even as Truist reduced production in lending categories it viewed as less central or less profitable. Consumer and small business deposits also rose 2%, supported by a 39% gain in deposits from new clients.

“Consumer behavior remained resilient during the quarter, with stable liquidity, spending and credit trends that remain within our expectations,” Rogers said during the call.

Credit quality also improved from the first quarter. Net charge-offs fell 11 basis points to 50 basis points, with lower losses across most portfolios. Nonperforming loans rose by one basis point, partly because Truist changed its nonaccrual rules for loans in its nonprime auto business. Management said the accounting change did not reflect weaker underlying credit trends.

The results came as Truist narrowed its lending focus. The bank is reducing exposure to marine, recreational vehicle and selected auto loans. It is directing more capital toward commercial borrowers, where an initial loan can lead to deposits, payments, liquidity services and capital markets work.

Chief Financial Officer Mike Maguire said the review also extends to wholesale banking.

“There are things that we’ve done and will continue to do in wholesale around client selection, around pricing, around product design, rebalancing, that are all intended to create more profitability and efficiency,” Maguire told analysts.

Digital Use Carries More Financial Weight Digital engagement was one of the clearest measures of customer behavior in the quarter. Active mobile users rose 4% from a year earlier to 5.4 million, while digital transaction volume increased 7% to 93 million transactions. About 85% of client logins now take place through mobile devices.

Rogers linked digital activity directly to revenue, profit and operating costs.

“Digital active clients generate more revenue and higher profitability than non-digital clients, while greater self-service adoption continues to improve efficiency across the franchise,” Rogers said.

Clients used Truist Assist nearly 2 million times during the quarter, up 60% from a year earlier. The virtual assistant gives customers a way to handle routine service matters without visiting a branch or contacting an employee.

Rogers said the usage reflected “growing adoption of self-service capabilities and our continued investment in the digital client experience.”

The strategy reaches beyond routine consumer banking. Premier Banking, which serves clients with $100,000 to $1 million in combined deposits and investments, represents more than half of consumer and small business banking deposits. New Premier deposit production balances rose 20%, adviser productivity rose 23%, and financial planning activity rose 9%.

On the commercial side, average wholesale deposits rose 6% after adjusting for large merger-related balances in the prior-year quarter. Truist tied the gains to payments and liquidity services, which place the bank inside the daily movement of corporate funds.

Middle-market deposits rose 12%. Deposits grew 9% in established markets and 27% in expansion markets such as Texas, Pennsylvania and Ohio.

Deposit mix remains the pressure point. Maguire said Truist still expects annual deposit growth of about 3%, but the share of demand deposits could fall from roughly 27% at the start of the year to about 25% by year-end. Those balances usually carry lower funding costs.

“We still actually feel quite good about deposit balances both in wholesale and consumer,” Maguire said. “We’re seeing nice production. It’s really just mix.”

Rogers said the movement toward higher-yielding accounts reflected customer choices more than a new wave of rate competition.

“What we’ve seen in the deposit migration to higher yielding is more client behavior than competitive pressure,” he said. “The competitive environment still is highly competitive. We’re the most competitive we’ve ever been in terms of product and capability.”

Shares in Truist were up 1.5% in early trading Friday morning.