Track market-moving stories before they get noisy

Key Takeaways JNJ, ABT, and GM have all recently raised guidance. Each has seen post-earnings strength, with near-term momentum supported by the updated outlooks. Guidance upgrades are a solid indicator of fundamental business strength. The 2026 Q2 earnings season will continue at a rapid pace in the coming weeks, with many notable companies on the reporting docket. The big banks helped kick the period off positively, though post-earnings reactions haven’t been great for all that have reported.

But General Motors (GM - Free Report) , Abbott Laboratories (ABT - Free Report) , and Johnson & Johnson (JNJ - Free Report) have been nice standouts so far, all raising guidance and seeing strength post-earnings.

Guidance upgrades are generally one of the most bullish things to watch for in earnings season, as renewed outlooks can often lead to positive EPS revisions, the strongest driver of a stock’s near-term movement.

General Motors Raises AgainGeneral Motors posted a double-beat relative to our consensus expectations, with EPS reflecting a positive surprise of 14%. Sales of $48.0 billion came in 3% above our consensus sales estimate.

The company raised its full-year 2026 EBIT adjusted guidance for the second time this year, with adjusted EPS guidance also getting raised. And for the cherry on top, it also lifted its automotive operating cash flow outlook, overall reflecting a rock-solid release.

EPS revisions for its current fiscal year got an additional boost from the lifted outlook, with the trend overall remaining positive for the entire last year. The profitability picture of automotive players is always the key driver behind sentiment, and the updated guidance across key profitability metrics remains a huge positive for GM’s share momentum overall.

Image Source: Zacks Investment Research

Abbott Laboratories Bounces BackAbbott Laboratories similarly posted a double-beat relative to our consensus expectations, with adjusted EPS of $1.31 reflecting a 2.3% beat while sales of $12.6 billion came in roughly 1% ahead of expectations.

The company lifted its adjusted EPS guidance to $5.45-$5.60, modestly higher than the previous $5.38-$5.58 per share range. It also reaffirmed its current-year comparable sales guidance, now expecting accelerating revenue and earnings growth in the second half of the year.

The stock has had a rough YTD performance overall, but the release has helped keep momentum going in a positive direction. Importantly, it reflects the first instance of the stock seeing positive gains over the last four quarters.

The EPS revisions picture for its current fiscal year has finally started to show positive momentum following the release, with the more recent revisions definitely holding more weight from a near-term perspective. Continued positivity on the revisions front will support further share momentum, with the current 17.3X forward 12-month earnings multiple trading at a significant discount to the 23.3X five-year median.

Image Source: Zacks Investment Research

Johnson & Johnson Keeps Cruising Johnson & Johnson beat on both the top and bottom line in its recent release, continuing a streak of earnings excellence. In fact, the company has posted a double-beat in nine consecutive quarters.

Strong operational performance led the company to increase both its current fiscal year sales and adjusted EPS guidance, with JNJ now on track to meet its 2026 target of more than $100 billion in annual revenue for the first time in its history.

EPS revisions for its current fiscal year have followed the upgrade, continuing the bullish trend established over the past year. The stock overall reflects a highly defensive investment given its consistent revenue-generating nature throughout many economic cycles.

Image Source: Zacks Investment Research

Bottom Line

Guidance upgrades are always a bullish development to watch for in earnings releases, commonly leading to positive post-earnings share reactions. While it isn’t a guarantee that a stock will pop just because it raised its outlook, it still remains a favorable factor from a fundamental standpoint. Companies raising guidance, particularly on the earnings front, always deserve some level of attention from investors.

All three stocks above - General Motors (GM - Free Report) , Abbott Laboratories (ABT - Free Report) , and Johnson & Johnson (JNJ - Free Report) – have recently upped their outlooks. While they may not be as flashy as high-flying tech stocks amid the AI craze, their improving business fundamentals can’t be overlooked.

Key Takeaways AB InBev is expected to post Q2 revenues of $16.3B and EPS of $1.09, both rising y/y.Premium brands, pricing and product mix are expected to have supported growth despite mixed regional volumes.China softness, currency swings, and elevated marketing and input costs may limit margin expansion. Anheuser-Busch InBev SA/NV (BUD - Free Report) , also known as AB InBev, is slated to release second-quarter 2026 earnings on July 30, before the opening bell. The leading alcohol beverage company is likely to register year-over-year growth in its top and bottom lines when it reports quarterly numbers.

The Zacks Consensus Estimate for AB InBev’s quarterly revenues is pegged at $16.3 billion, indicating 8.6% growth from the year-ago quarter’s reported number. For second-quarter earnings, the consensus mark is pegged at $1.09 per share, suggesting 11.2% growth from the prior-year reported figure. The consensus mark has been unchanged in the past 30 days.

In the last reported quarter, the company’s earnings per share beat the Zacks Consensus Estimate by 7.8%. It has a trailing four-quarter average earnings surprise of 4.6%.

Factors Likely to Impact BUD’s Q2 ResultsAB InBev’s second-quarter 2026 results are expected to have benefited from disciplined revenue management, continued premiumization and strong brand momentum. The company’s focus on increasing revenue per hectoliter through pricing actions and a favorable product mix, supported by its portfolio of mega brands, is likely to have driven top-line growth. Sustained investments in marketing and brand building, coupled with major global events, are also expected to have strengthened consumer engagement and supported sales in the quarter.

The company’s premium and super-premium portfolio is anticipated to have remained a key growth catalyst. Strong demand for brands such as Corona and Michelob Ultra, along with continued expansion in higher-margin categories, is likely to have supported an improved price mix. The ongoing shift toward premium offerings, complemented by innovation-led product launches, may have helped sustain revenue growth despite mixed volume trends across certain regions.

AB InBev’s expanding presence in the Beyond Beer and non-alcoholic beverage categories is also likely to have contributed to second-quarter performance. These segments continue to gain traction amid evolving consumer preferences and increased demand for differentiated beverage options. Management’s efforts to scale these faster-growing categories are expected to have generated incremental revenues while strengthening the company’s long-term growth prospects.

On the cost front, productivity initiatives and an efficient operating model are expected to have supported profitability. Continued cost-saving measures and operational efficiencies may have partly offset pressures from foreign exchange volatility and elevated input costs. However, increased sales and marketing spending, particularly on global events and brand activations, could have constrained margin expansion during the quarter.

Meanwhile, persistent macroeconomic pressures and region-specific challenges are likely to have weighed on the company’s performance. Volume softness in select markets remains concerning, particularly in China, where inventory adjustments and channel realignment may have pressured revenues. Currency fluctuations and shifting consumer demand patterns could also have affected near-term performance, especially in markets facing uncertain economic conditions.

Q2 Earnings Whispers for BUD StockOur proven model conclusively predicts an earnings beat for AB InBev this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks before they are reported with our Earnings ESP Filter.

AB InBev presently has an Earnings ESP of +1.60% and a Zacks Rank #3.

BUD’s Valuation Picture & Stock PerformanceThe stock has a forward 12-month price-to-earnings of 17.53X compared with the five-year high of 22.58X and the Beverages - Alcohol industry’s average of 15.53X.

Image Source: Zacks Investment Research

The recent market movements show that BUD shares have risen 25.6% in the year-to-date period compared with the industry's 15.9% return. The stock has also underperformed the Zacks Consumer Staples sector and the S&P 500’s growth of 9.4% and 9.2%, respectively.

BUD Stock's Price Performance
Image Source: Zacks Investment Research

Other Stocks With the Favorable CombinationHere are some other companies that, according to our model, also have the right combination of elements to beat on earnings this reporting cycle.

Fomento Economico Mexicano (FMX - Free Report) currently has an Earnings ESP of +37.42% and sports a Zacks Rank #1. The company is likely to register growth in the top and bottom lines when it reports second-quarter 2026 numbers. The consensus mark for revenues is pegged at $12.9 billion, which indicates a rise of 19.3% from the figure reported in the year-ago quarter. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for FMX’s quarterly earnings per share of 82 cents implies a surge of 95.2% from the year-ago quarter’s actual. The consensus mark has moved down 10.9% in the past 30 days. FMX has a trailing four-quarter negative earnings surprise of 17%, on average.

Monster Beverage Corporation (MNST - Free Report) currently has an Earnings ESP of +2.61% and a Zacks Rank #3. The company is likely to register growth in the top and bottom lines when it reports second-quarter 2026 numbers. The consensus mark for revenues is pegged at $2.4 billion, which indicates growth of 14.5% from the figure reported in the year-ago quarter.

The Zacks Consensus Estimate for Monster Beverage’s quarterly earnings per share of 59 cents implies a rise of 13.5% from the year-ago quarter’s actual. The consensus mark has been unchanged in the past 30 days. MNST has a trailing four-quarter earnings surprise of 9.6%, on average.

Mondelez International (MDLZ - Free Report) currently has an Earnings ESP of +0.97% and a Zacks Rank #3. The company is likely to register an increase in the top line when it reports second-quarter 2026 numbers. The Zacks Consensus Estimate for MDLZ’s quarterly EPS is pegged at 67 cents, down 8.2% from the year-ago period. The consensus mark has been unchanged in the past 30 days.

The consensus estimate for Mondelez International’s quarterly revenues is pegged at $9.2 billion, which implies an increase of 2.5% from the prior-year quarter. MDLZ has a trailing four-quarter earnings surprise of 5.4%, on average.

A strong stock as of late has been General Dynamics (GD - Free Report) . Shares have been marching higher, with the stock up 10.8% over the past month. The stock hit a new 52-week high of $387.69 in the previous session. General Dynamics has gained 13.4% since the start of the year compared to the 1.9% move for the Zacks Aerospace sector and the 0.4% return for the Zacks Aerospace - Defense industry.

What's Driving the Outperformance?The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on April 29, 2026, General Dynamics reported EPS of $4.1 versus consensus estimate of $3.68.

For the current fiscal year, General Dynamics is expected to post earnings of $16.66 per share on $55.16 in revenues. This represents a 7.76% change in EPS on a 4.97% change in revenues. For the next fiscal year, the company is expected to earn $18.32 per share on $57.63 in revenues. This represents a year-over-year change of 9.98% and 4.46%, respectively.

Valuation MetricsThough General Dynamics has recently hit a 52-week high, what is next for General Dynamics? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.

General Dynamics has a Value Score of C. The stock's Growth and Momentum Scores are A and D, respectively, giving the company a VGM Score of A.

In terms of its value breakdown, the stock currently trades at 22.9X current fiscal year EPS estimates, which is not in-line with the peer industry average of 22.9X. On a trailing cash flow basis, the stock currently trades at 20.1X versus its peer group's average of 15.5X. Additionally, the stock has a PEG ratio of 2.3. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks RankWe also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, General Dynamics currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if General Dynamics meets the list of requirements. Thus, it seems as though General Dynamics shares could have potential in the weeks and months to come.

Key Takeaways ITW is set to report Q2 2026 results on July 28 before market open after four straight earnings beats.ITW's Food Equipment, Automotive OEM and Electronics units are expected to post revenue growth.ITW may face pressure from weak construction demand in Europe and foreign currency headwinds. Illinois Tool Works Inc. (ITW - Free Report) is scheduled to release second-quarter 2026 results on July 28, 2026, before market open.

The Zacks Consensus Estimate for second-quarter earnings has remained steady in the past 30 days. The company has an impressive earnings surprise history, having outperformed the consensus estimate in each of the preceding four quarters. The average surprise was 2.8%.

The consensus estimate for second-quarter revenues is pegged at $4.18 billion, suggesting growth of 3.2% from the year-ago quarter’s figure. The consensus estimate for adjusted earnings is pinned at $2.80 per share, indicating an 8.5% increase from the year-ago quarter’s number.

Let’s see how things have shaped up for Illinois Tool this earnings season.

Factors to Note Ahead of ITW’s ResultsGrowth in the institutional and food retail markets in North America, along with higher service revenues, is likely to have boosted the performance of Illinois Tool’s Food Equipment segment. Our model estimates the segment’s revenues to increase 2.5% year over year to $696.8 million.

Strong momentum in the filter medical business is likely to have driven its Specialty Products segment’s performance. We expect the Specialty Products segment’s revenues to grow 2.6% year over year to $466.6 million.

Solid momentum in the equipment and filler metals businesses due to higher demand for products in North America is expected to have aided the Welding segment’s performance in the second quarter. Our model estimates the segment’s revenues to increase 4.7% from the year-ago quarter to $501.5 million.

The Automotive OEM segment’s performance is expected to have benefited from growth in the electric vehicles end market. We expect the segment’s revenues to grow 2.1% year over year to $862.3 million in the second quarter.

Strength in the semiconductor and electronics end markets in North America and the Asia Pacific is expected to boost the Test & Measurement and Electronics segment’s results. We expect the segment’s revenues to increase 4.5% year over year to $716.9 million in the second quarter.

The Polymers & Fluids segment is anticipated to have performed well in the second quarter, driven by new product launches in the automotive aftermarket. We expect the segment’s revenues to increase 2.9% from the year-ago quarter to $450.8 million.

However, weakness in the commercial and residential construction end markets, owing to lower demand for products in Europe, is likely to have hurt the Construction Products segment’s revenues in the second quarter.

ITW has considerable exposure to overseas markets. Given the company’s substantial international operations, foreign currency headwinds are likely to have marred its profitability.

Earnings WhispersOur proven model does not conclusively predict an earnings beat for ITW this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here, as elaborated below.

Earnings ESP: ITW has an Earnings ESP of 0.00% as both the Zacks Consensus Estimate and the Most Accurate Estimate are pegged at $2.80 per share. You can uncover the best stocks before they’re reported with our Earnings ESP Filter.

Zacks Rank: Illinois Tool presently carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks to ConsiderHere are some companies, which according to our model, have the right combination of elements to beat on earnings in this reporting cycle.

Crane Company (CR - Free Report) has an Earnings ESP of +4.73% and a Zacks Rank of 2 at present. The company is scheduled to release second-quarter 2026 results on July 28.

Crane’s earnings surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average surprise being 11.3%.

Ferguson Enterprises Inc. (FERG - Free Report) has an Earnings ESP of +1.22% and a Zacks Rank of 2 at present. The company is slated to release second-quarter 2026 results on Aug. 10.

Ferguson’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 6.5%.

Ingersoll Rand Inc. (IR - Free Report) has an Earnings ESP of +0.61% and a Zacks Rank of 3 at present. The company is slated to release second-quarter 2026 results on July 30.

Ingersoll Rand’s earnings surpassed the Zacks Consensus Estimate in two of the trailing four quarters while matching the mark in two, the average surprise being 2.4%.

Key Takeaways FCX expects Grasberg to reach 65% capacity in late 2026 and approach full capacity by year-end 2027.Morenci mining rates rose 30% above the five-year average as reliability and workforce stability improved.Freeport targets a 300-million-pound leach run rate by year-end 2026, with 800 million pounds longer term. Freeport-McMoRan Inc. (FCX - Free Report) used its second-quarter 2026 earnings call to emphasize steady progress at Grasberg, improving U.S. operating performance and a widening pipeline of brownfield copper projects.

The quarter also showed how favorable metals pricing and better-than-expected execution can offset lower year-over-year production while the company rebuilds Indonesian output.

FCX Keeps Grasberg Ramp on SchedulePresident and chief executive officer Kathleen Quirk said the Grasberg Block Cave ramp remained aligned with the company’s April plan. Production rates doubled during the quarter, rising from an April average of 34,000 metric tons per day to 69,000 in June.

Quirk said overall Grasberg district rates should approximate 65% of full capacity in the second half of 2026, reach 80% by mid-2027 and approach full capacity by year-end 2027.

Mark Johnson, president and chief operating officer of Freeport-McMoRan Indonesia, added that material-handling upgrades and drainage work are progressing, while preparations continue for a 2027 restart of Production Block 1 South.

Freeport Builds a Larger U.S. Copper BaseQuirk said Morenci’s second-quarter mining rate was 30% above its five-year average, supported by better equipment reliability, maintenance execution and workforce stability.

Senior vice president Cory Stevens said higher-capacity haul trucks, centralized operating support and additional technology should help sustain those gains. Management expects stronger mining rates to translate into higher copper production over time.

The leach program remains another central growth lever. Freeport is targeting a 300-million-pound annual run rate by year-end 2026 and continues to frame 800 million pounds annually as the longer-term opportunity.

FCX Weighs Higher Bagdad Capital CostsQuirk said preliminary capital for the Bagdad expansion is now around $4.5 billion, roughly 30% above the 2023 estimate, reflecting labor and commodity inflation, scope changes and added engineering.

Despite the increase, management said the project remains supported at an incentive copper price of about $4 per pound. The expansion would add 200 million to 250 million pounds of annual copper production and could be completed in three to four years.

During the Q&A, a BofA Securities analyst pressed management on the economics. Quirk said automation, operating-model changes and throughput optimization are helping offset the higher capital requirement, with a board decision still targeted for the second half of 2026.

Freeport Maintains Volume and Cost OutlookExecutive vice president and chief financial officer Maree Robertson said 2026 sales expectations remain broadly consistent with April estimates. Second-half copper sales are projected to exceed first-half levels by more than 20%, while gold sales are expected to rise more than 65%.

The company expects 2026 unit net cash costs of about $1.9 per pound, slightly better than the prior $1.95 estimate, as stronger by-product credits offset higher energy and input costs.

FCX reported adjusted earnings of $0.74 per share versus the Zacks Consensus Estimate of $0.62. Revenues of $7.03 billion also exceeded the $6.47 billion consensus.    

FCX Q&A Sharpens Key Execution RisksA Goldman Sachs analyst asked whether Grasberg’s strong June exit rate created upside to second-half guidance. Quirk said planned maintenance and chute-gallery upgrades should keep output near the existing range rather than produce a near-term step-up.

A Barclays analyst questioned the shift of copper sales from the third quarter into the fourth. Quirk said production plans were largely unchanged, but inventory-building and refined-copper timing at the new Indonesian smelter altered the sales schedule.

A UBS analyst also challenged the prior goal of reducing U.S. costs to $2.5 per pound in 2027. Quirk said the target remains valid, but current energy, sulfur and acid markets make it unattainable in 2027.

Freeport’s Near-Term FocusManagement’s tone remained confident on execution but disciplined on timing. Grasberg restoration, leach scaling and U.S. operating improvements are the immediate priorities.

At the same time, Freeport is advancing Bagdad, El Abra and Safford/Lone Star without committing to overlapping large-project schedules before studies, permits and capital reviews are complete.

Zacks Signals Point to a Mixed SetupFCX currently carries a Zacks Rank #3 (Hold). Its Growth Score of B, Momentum Score of A and VGM Score of A indicate favorable growth and trading characteristics, while the Value Score of C is more neutral.

The Style Scores are most powerful when paired with a Zacks Rank #1 (Strong Buy) or Zacks Rank 2 (Buy). The current Hold rating supports a balanced stance, and it can change as analysts revise estimates following the reported results.

You can see the complete list of today’s Zacks #1 Rank stocks here.

Lido’s Core Upgrade is officially heading to mainnet. The Lido DAO approved the sweeping protocol overhaul on or around July 23, 2026, after clearing every required governance hurdle, including a clean pass through Dual Governance with no vetoes from any stakeholder.

For context, Dual Governance is Lido’s highest-level approval mechanism, designed so that even a well-organized dissenting faction can pump the brakes on a proposal.

What actually changed The Core Upgrade bundles two major components: the Community Staking Module updated to version 3, and the brand-new Curated Module v2.

The Community Staking Module, or CSM, is Lido’s permissionless entry point for node operators. Version 3 pushes that flexibility further, making it easier for new operators to participate at scale.

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Curated Module v2 introduces bond-based security mechanisms, which means node operators post collateral as a performance guarantee rather than relying solely on governance-managed reputation. The practical effect is less governance overhead per operator.

Together, the two modules are designed to improve scalability, tighten security, and reduce governance friction.

Existing stakers do not need to do anything. The upgrade operates entirely at the protocol layer, meaning stETH holders wake up on mainnet deployment day with the same holdings and no migration steps required.

The road to mainnet The upgrade did not arrive overnight. Lido ran the components through thorough testnet phases before the DAO vote opened, and multiple independent security audits assessed the smart contracts and governance logic specifically.

Lido has been a dominant player in Ethereum’s liquid staking landscape since liquid staking became a category worth talking about. Its stETH token, which represents a staker’s ETH position plus accruing rewards, became one of the most widely integrated assets in DeFi. That deep integration means upgrades to Lido’s core infrastructure have downstream effects across a substantial portion of the Ethereum ecosystem, not just for direct Lido users.

The bond-based security model in Curated Module v2 changes the economic incentives for node operators. When operators have skin in the game through posted collateral, the protocol’s alignment with good validator behavior becomes structural rather than reputational.

What it means for the market For stETH holders, the most immediate takeaway is that Lido’s infrastructure is getting more robust without requiring any action on their part.

Lido controls a significant share of the total staked ETH on Ethereum. Upgrades that make the protocol more secure and scalable directly affect confidence in stETH as a collateral asset across lending protocols, liquidity pools, and structured products that have integrated it.

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

Key Takeaways Biogen's new launches may help offset weaker MS franchise sales in second-quarter results due July 29.BIIB may see growth from Skyclarys, Zurzuvae and Alzheimer's collaboration revenues in Q2.Biogen will record acquisition-related IPR&D charges as investors watch Apellis portfolio sales. We expect Biogen (BIIB - Free Report) to beat expectations when it reports second-quarter 2026 results on July 29, before market opens. In the last reported quarter, the company's earnings beat expectations by 21.02%. The Zacks Consensus Estimate for second-quarter sales and earnings is pegged at $2.47 billion and 79 cents per share, respectively.

Factors to Consider for BiogenIn the second quarter, lower sales of Biogen’s multiple sclerosis (“MS”) drugs, excluding Vumerity, are likely to have been offset by sequential revenue growth from new products.

Sales of Biogen’s MS drugs like Tecfidera and Tysabri are likely to have declined due to generic competition for Tecfidera globally, biosimilar competition for Tysabri in Europe and rising competitive pressure in the MS market.

Biogen saw an increased impact of Tecfidera generics in Europe in the last two quarters, with the trend expected to continue in the second quarter.

The Zacks Consensus Estimate for second-quarter sales of Tecfidera is pegged at $103.0 million. The Zacks Consensus Estimate for Tysabri is $375.0 million.

Sales of another MS drug, Vumerity, are expected to have risen due to strong demand in the United States. The Zacks Consensus Estimate for Vumerity is $205.0 million.

Sales of Biogen’s spinal muscular atrophy drug, Spinraza, are likely to have declined due to lower demand in the U.S. market. The Zacks Consensus Estimate for Spinraza is $379.0 million.

The performance of Biogen’s newly launched drug Skyclarys for Friedreich’s ataxia is likely to have continued to improve sequentially, backed by demand growth in outside U.S. markets. The Zacks Consensus Estimate for Skyclarys sales is $155.0 million.

Sales of another new drug, Zurzuvae, are likely to have benefited from strong demand trends.

Biogen has a collaboration with Supernus Pharmaceuticals (SUPN - Free Report) for Zurzuvae. Biogen and Supernus Pharmaceuticals equally share profits and losses for the commercialization of Zurzuvae in the United States. In outside U.S. markets, Biogen records product sales (excluding Japan, Taiwan and South Korea) and pays royalties to Supernus.

Alzheimer’s collaboration revenues are expected to have risen in the quarter. Alzheimer’s collaboration revenues include Biogen’s 50% share of net product revenues and cost of sales (including royalties) from Alzheimer’s drug Leqembi (lecanemab), which has been developed in collaboration with Eisai.

Leqembi sales have been improving sequentially over the past few quarters, driven by demand growth globally. The positive trend is expected to have continued in the second quarter. Eisai records Leqembi sales.

In May, Biogen closed its acquisition of Apellis Pharmaceuticals, adding the commercialized medicines Empaveli and Syfovre for immune-mediated retinal disease and nephrology to its commercial portfolio. Investors will look for sales numbers of these newly added drugs. In June, Biogen announced a definitive agreement to acquire RayThera for $1 billion to strengthen its immunology pipeline.

In the second quarter, Biogen will record IPR&D charges related to the Apellis acquisition and the acquisition of exclusive rights to felzartamab in China from TJ Biopharma, which will hurt its EPS.

In the second quarter, Biogen expects core operating expenses to be roughly consistent with the first quarter.

BIIB’s Earnings Surprise HistoryThe company’s earnings beat estimates in each of the last four quarters. The company has a four-quarter earnings surprise of 26.87%, on average.

Biogen’s stock has risen 14.0% so far this year compared with an increase of 2.2% for the industry.

Image Source: Zacks Investment Research

What Our Model Says for BIIBOur proven model predicts an earnings beat for Biogen this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.

Earnings ESP: Biogen’s Earnings ESP is +282.03%. The Zacks Consensus Estimate is pegged at 79 cents per share, while the Most Accurate Estimate is pegged higher at $3.02 per share. You can uncover the best stocks to buy or sell before they’re reported with our  Earnings ESP Filter.

Zacks Rank: Biogen has a Zacks Rank #3.

Other Stocks to ConsiderHere are two drug/biotech stocks that also have the right combination of elements to beat on earnings this time around:

Regeneron Pharmaceuticals (REGN - Free Report) has an Earnings ESP of +1.22% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Regeneron stock has declined 15.3% so far this year. REGN beat estimates in each of the last four quarters. The company has a four-quarter earnings surprise of 26.33%, on average. Regeneron is scheduled to report second-quarter results on July 30.

Pfizer (PFE - Free Report) has an Earnings ESP of +2.07% and a Zacks Rank #3 at present.

Shares of Pfizer have risen 3.8% so far this year. Pfizer beat earnings estimates in each of the last four reported quarters, delivering an average earnings surprise of 21.93%. Pfizer is scheduled to report second-quarter results on Aug. 4.

Key Takeaways Invitation Homes is expected to post higher Q2 revenues and FFO per share.INVH reported stronger occupancy, positive new lease growth and steady renewal pricing entering the quarter.INVH expects renewals to remain a key driver, though heavy supply may limit pricing in some markets. Invitation Homes (INVH - Free Report) is slated to report second-quarter 2026 results on July 29, after market close. The company’s quarterly results are likely to highlight year-over-year increases in revenues and funds from operations (FFO) per share.

In the last reported quarter, this residential real estate investment trust (REIT) posted a core FFO per share of 48 cents, meeting the Zacks Consensus Estimate. Results reflected firm operating momentum, with higher blended rentals and improved leasing trends.

Over the preceding four quarters, INVH’s core FFO per share met the Zacks Consensus Estimate on all occasions, with the average beat being 0.00%. The graph below depicts this surprise history:

In this article, we will dive deep into the U.S. apartment market environment and the company's fundamentals and analyze the factors that may have contributed to its second-quarter 2026 performance.

US Apartment Market in Q2The U.S. multifamily market entered the second half of 2026 with a clearer recovery taking shape, as strong renter demand and a rapidly shrinking supply pipeline began translating into lower vacancy and improving rent growth.

According to a Cushman & Wakefield report, net absorption reached roughly 124,600 units, up from 83,500 units in the first quarter and 8% above the prior year, making it the fifth-strongest quarter in nearly 25 years. The supply picture also became more favorable. Approximately 88,000 units were delivered during the quarter, down 27% year over year. Around 475,000 units remained under construction at quarter-end, equal to just 3.5% of existing inventory.

Improving demand and slowing supply pushed the national vacancy rate down 35 basis points quarter over quarter to 8.9%, its first move below 9% since 2024. On a trailing four-quarter basis, absorption of approximately 362,000 units exceeded deliveries of about 358,000 units for the first time since early 2022, indicating vacancy is likely to have passed its cyclical peak. The recovery was particularly pronounced in previously overbuilt markets: Austin; Charleston, SC; Savannah, GA; Huntsville, AL; Salt Lake City, UT, and Colorado Springs recorded some of the largest quarterly vacancy declines.

Rent growth remains modest but is beginning to improve. National asking rents reached approximately $1,945 per month, up 1.5% year over year, compared with 1.1% growth in the first quarter. The Bay Area led the recovery, with San Francisco rents rising 13%, San Jose 7% and the East Bay 4.8%. Norfolk, VA; Toledo, OH; Reno, NV, and Boise, ID, also posted strong gains.

High-supply markets remained softer, with rents still declining in Austin and Sarasota, FL, although the pace of those declines moderated as excess supply was absorbed. Overall, the market appears to be shifting from stabilization into an occupancy-led recovery, with broader rent growth likely as the construction pipeline continues to shrink.

Factors at Play and Projections for Invitation HomesInvitation Homes’ second-quarter 2026 performance is likely to have benefited from stronger peak-season leasing trends, improving occupancy and steady renewal pricing. Management said April occupancy accelerated to 97.1%, up 80 basis points from the first-quarter average, while new lease rent growth returned to positive territory at just under 0.5%. Renewal rent growth remained in the low-3% range, lifting blended rent growth to 2.3%. These trends suggest that same-store revenue growth may have improved from the first quarter as demand remained healthy and available rental supply moderated.

Renewals should remain the key support, with management expecting mid-3% to mid-4% renewal growth through the year. New lease pricing is likely to have strengthened further through late second quarter as the gap with renewal rates narrowed during the peak leasing season.

For the second quarter, the Zacks Consensus Estimate for INVH’s rental revenues currently stands at $669.3 million, up from $592.5 million reported in the prior-year period. The Zacks Consensus Estimate for second-quarter total revenues is pegged at $714.3 million, indicating a rise of 4.8% from the year-ago reported number.

However, elevated inventory in some markets could still have limited pricing power, making occupancy preservation important.

Invitation Homes’ activities in the to-be-reported quarter were inadequate to garner analysts’ confidence. The Zacks Consensus Estimate for the quarterly FFO per share has remained unchanged at 49 cents over the past two months. However, the figure suggests an improvement of 2.1% year over year.

What Our Quantitative Model Predicts for Invitation HomesOur proven model does not conclusively predict a surprise in terms of FFO per share for INVH 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 FFO beat, which is not the case here.

Invitation Homes currently has an Earnings ESP of 0.00% and carries a Zacks Rank #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 sector — Extra Space Storage (EXR - Free Report) and Cousins Properties (CUZ - Free Report) — you may want to consider, as our model shows that these have the right combination of elements to report an FFO beat this quarter.

Extra Space Storage is slated to report quarterly numbers on July 28. EXR has an Earnings ESP of +0.39% and a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Cousins is slated to report quarterly numbers on July 30. CUZ has an Earnings ESP of +0.45% and a Zacks Rank of 3 at present.

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.

Key Takeaways Applied Materials' broad chip equipment portfolio supports AI-driven advanced packaging growth.AMAT expects foundry, DRAM and advanced packaging to drive most 2026 equipment spending growth.Qnity posted strong AI-related growth but faces inventory, debt and China exposure risks. Applied Materials, Inc. (AMAT - Free Report) and Qnity Electronics (Q - Free Report) are two prominent players in the semiconductor supply chain, both involved in advanced packaging and stand out as major beneficiaries of the AI-driven semiconductor upcycle. Applied Materials sits at the heart of chip manufacturing, supplying critical equipment used by foundries to produce advanced semiconductors, and Qnity Electronics serves the fast-growing semiconductor market with a broad portfolio of advanced materials, CMP consumables, advanced packaging, interconnect chemistry and thermal management.

Given the major tailwind, let’s analyze their business models, risk profiles and long-term outlooks and examine which one looks like the better investment right now.

The Case for Applied Materials StockApplied Materials is its unmatched breadth across semiconductor wafer fabrication equipment manufacturing. Applied Materials offers solutions across deposition, materials engineering, etch, metrology, inspection, packaging and process integration, allowing customers to optimize manufacturing flows using a single vendor across multiple stages of production.

Management believes that leading-edge foundry-logic, DRAM and advanced packaging will account for more than 80% of the year-over-year growth in wafer fabrication equipment spending during 2026. In the second quarter of fiscal 2026, Applied Global Services, which accounts for AMAT’s equipment servicing business, generated $1.665 billion of revenues, up from $1.42 billion a year earlier, while its gross margin improved to 34.7% and its operating margin rose to 29.2%.

AMAT already offers what it describes as the industry’s broadest portfolio for the emerging panel trend, spanning chemical vapor deposition, etch, physical vapor deposition, digital lithography, electrochemical deposition and e-beam metrology and test. Now it plans to strengthen this portfolio through its acquisition of the NEXX business from ASMPT. The combined portfolio of NEXX and AMAT is designed to help chipmakers and systems companies build larger AI accelerators with higher energy-efficient performance.

Revenue composition further highlights the shift toward AI-driven semiconductor investment. Foundry, logic and other applications contributed 67% of segment revenues, DRAM accounted for 29%, and flash memory represented just 4%. The higher contribution from foundry-logic and DRAM is increasingly driving demand for leading-edge logic chips, high-bandwidth memory and advanced packaging technologies.

Collaboration is another important element of Applied Materials’ packaging strategy. Through the EPIC Center, AMAT and SK hynix plan to work on next-generation DRAM, HBM and 3D advanced packaging. These factors establish AMAT at a sweet spot in the packaging business. The Zacks Consensus Estimate for AMAT’s 2026 earnings is pegged at $12.14, implying year-over-year growth of 29%. Estimates have been revised upward in the past 30 days.

Image Source: Zacks Investment Research

The Case for Qnity Electronics StockQnity Electronics is benefiting from rising semiconductor complexity as AI shifts the industry from traditional transistor scaling toward vertically stacked chip architectures, where materials intensity, integration and reliability become increasingly critical. The company's momentum is already translating into strong financial performance. In first-quarter 2026, net sales increased 18% year over year to $1.32 billion, while organic sales grew 17%.

During the first quarter, organic sales in the Semiconductor Technologies segment grew 12%, supported by advanced logic, HBM, improving NAND demand and higher fab utilization. Qnity noted that 3-nanometer production continues to ramp up while meaningful activity has begun at 2-nanometer nodes. Adjusted operating EBITDA rose 22% to $411 million, and adjusted EBITDA margin expanded 125 basis points to 31.3%.

Qnity Electronics’ interconnect solutions (ICS) segment has become its fastest-growing business. The segment delivered 22% organic sales growth during the first quarter, driven by advanced packaging, advanced interconnects and thermal management. Revenues from these core AI-related product categories increased more than 50% year over year as the company benefited from data-center demand and production ramps from shorter-cycle Process of Record (POR) wins secured during 2025.

Management also highlighted new business wins with AI PCB manufacturers serving leading hyperscalers and premium smartphone OEMs, while increasing thermal management requirements continue to drive higher content per device. ICS generated an adjusted operating EBITDA margin of 28.5%, reflecting strong operating leverage and favorable product mix. However, Qnity faces several near-term challenges despite solid execution. Growth remains sensitive to customer inventory cycles, with recent semiconductor restocking benefits unlikely to persist.

Qnity Electronics’ cash flow is under pressure as elevated capital spending and IT separation investments reduce free cash flow and limit buybacks and deleveraging. Additionally, high debt raises interest costs, and significant China exposure leaves the company vulnerable to geopolitical and trade-related disruptions. The Zacks Consensus Estimate for Qnity’s 2026 earnings is pegged at $4.16, implying year-over-year growth of 24%. Estimates have been revised upward in the past 30 days.

Image Source: Zacks Investment Research

AMAT vs. Q: Price Performance & Valuation CheckQnity shares have risen 69.8% year to date, while Applied Materials has soared 123.9%.

YTD Performance Chart
Image Source: Zacks Investment Research

On the valuation front, Applied Materials trades at a forward 12-month price-to-sales (P/S) multiple of 11.20X, above its median of 9.29X, while Qnity Electronics trades at a P/S multiple of 5.11X, below its median of 5.29X.

Forward 12-Month (P/S) Valuation Chart
Image Source: Zacks Investment Research

Conclusion: Which Stock is a Safer Bet?Applied Materials appears to be the safer long-term investment. Its unmatched portfolio across semiconductor manufacturing equipment, expanding AI-driven advanced packaging opportunities, higher expected earnings growth, and robust high-margin services business provide greater visibility and resilience. While Qnity Electronics offers an attractive valuation and strong exposure to advanced packaging materials, its near-term outlook is tempered by customer inventory sensitivity, elevated capital spending, higher leverage and China-related risks. Investors seeking a balanced combination of growth, profitability and execution may find Applied Materials better positioned to capitalize on the AI semiconductor investment cycle.

AMAT and Q carry a Zacks Rank #2 (Buy) each at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Rivian has filed a lawsuit against the U.S. government in an attempt to claw back a “full refund” on tariffs it paid under President Trump’s “Liberation Day” taxes, which the Supreme Court later ruled unconstitutional.

The automaker joins a long line of companies seeking such refunds. In April, Rivian CFO Claire McDonough said she expected the company stood to reap a refund in the “tens of millions of dollars.”

Rivian’s action comes as the company is in the middle of rolling out its first mass-market SUV, the R2. It expects to ship around 20,000-25,000 of them by the end of this year, and help the company finally reach profitability. Reaching that goal may not happen until 2028, though, as Rivian is plowing a lot of money into developing autonomous vehicles at the moment. The company recently sold shares to raise around $1.3 billion to help pad out its cash balance in the meantime.

The lawsuit, filed on Thursday in the U.S. Court of International Trade, names the U.S. government, U.S. Customs and Border Protection (CBP) and its commissioner Rodney Scott as defendants. CBP collected the tariffs on behalf of the Trump administration, which tried to justify them under the International Emergency Economic Powers Act (IEEPA).

In a statement to TechCrunch, CBP said that over $121 billion in both “potential and certified refunds have been accepted for processing .” The agency did not comment specifically on the lawsuit.

Earlier this month, the Cato Institute wrote that $71 billion had been paid out, which “suggests that frictions built into” the refund process created “obstacles for importers seeking refunds.”

According to Rivian’s lawsuit, the company wants a guarantee that it will get its money — and the proper amount — back from the government.

“Although the Supreme Court invalidated the tariffs, this separate action remains necessary because importers that have paid IEEPA tariffs, including Plaintiffs, are not guaranteed a refund of amounts previously paid based on the Supreme Court’s decision,” Rivian’s lawyers wrote in the complaint.

Rivian did not immediately respond to requests for comment.

Rivian CEO RJ Scaringe told Reuters last year after the tariffs were imposed that he expected the cost of each vehicle to rise by “a couple of thousand dollars” as a result. By the end of 2025, he said the company had mitigated the impact to “low hundreds of dollars.”

“The resulting environment of retaliatory trade or other practices or additional trade restrictions or barriers has harmed, and could continue to harm, our ability to obtain necessary raw materials, components and equipment and could harm our ability to sell our products and services at prices customers are willing to pay,” the company wrote in a regulatory filing earlier this year.

Rivian is asking the trade court to declare the tariffs “contrary to law,” issue a refund with interest, and pay any associated court fees.

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Sean O’Kane is a reporter who has spent a decade covering the rapidly-evolving business and technology of the transportation industry, including Tesla and the many startups chasing Elon Musk. Most recently, he was a reporter at Bloomberg News where he helped break stories about some of the most notorious EV SPAC flops. He previously worked at The Verge, where he also covered consumer technology, hosted many short- and long-form videos, performed product and editorial photography, and once nearly passed out in a Red Bull Air Race plane.

You can contact or verify outreach from Sean by emailing [email protected] or via encrypted message at okane.01 on Signal.

The space sector is changing almost at the speed of a high-powered rocket. Among the numerous developments in the business recently, one in particular could make quite a difference: Rocket Lab's (RKLB -6.00%) $8 billion deal for satellite telecom company Iridium Communications (IRDM -3.15%).

Rocket Lab is touting the acquisition as transformational. While there's some degree of the usual corporate hype behind that assertion, it's absolutely going to change the company. Here's why.

Calling on a new asset At the end of June, Rocket Lab and Iridium agreed that Rocket Lab would pay $54 per share for Iridium in a mix of cash and stock. The deal has an enterprise value of around $8 billion.

Image source: Getty Images.

In a joint press release, the two companies said that this is a synergistic combination of Rocket Lab's launch business and equipment manufacturing with Iridium's low earth orbit (LEO) satellite network and related assets.

Fusing will "create a competitive, vertically integrated space company that designs, builds, launches, and operates its own constellations, delivering critical communications capability to millions of users worldwide," the companies said.

The boards of directors of both have unanimously approved the acquisition. The purchase price breaks down into $27 per Iridium share and shares of Rocket Lab stock, calculated according to an exchange ratio yet to be determined.

The deal is subject to approval from both Iridium shareholders and the relevant regulatory authorities. It's expected to close in the middle of next year.

Comparisons with the big guy This deal is pricey, but it still looks like a smart, opportunistic move by Rocket Lab. It's getting a unique -- and, importantly, highly productive -- asset with Iridium's satellite network, which is the go-to for customers wanting/needing pole-to-pole telecom connectivity for a variety of use cases.

Even in the likely case that the two businesses take some time to integrate, Iridium is regularly profitable and significantly free cash flow (FCF) positive, with FCF hovering just below $300 million in 2025. So owning it will have an immediate and beneficial effect on Rocket Lab's fundamentals.

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Although Iridium and the Starlink service, now under the wing of Space Exploration Technologies, aka SpaceX, aren't exactly direct competitors, their businesses are close enough to inevitably draw comparisons. So, going forward, Rocket Lab will be regularly matched against its monster rival.

To me, SpaceX as a conglomerate is something of a mishmash, with artificial intelligence (AI) infrastructure and development, a social media site, and Starlink sitting alongside the company's space operations. Meanwhile, with the Iridium deal, Rocket Lab is shaping up to be a tighter, yet still comprehensive, set of complementary assets.

One big caveat with Rocket Lab is its still-high valuations, as the market still clearly hasn't entirely gotten over its excitement about bulking up space companies. Personally, this would make me hesitant to buy the stock, as I feel it's overvalued for a company that still needs to prove it can become reliably profitable with its legacy business.

Investors with a more bullish view of the space sector's prospects who don't mind waiting a while for Rocket Lab and Iridium to properly integrate might feel differently. Those folks should definitely consider buying.

Key Takeaways INCY is set to report Q2 results with revenue estimates at $1.40B and earnings expected at $1.85 per share.INCY may benefit from strong Jakafi demand, higher royalties and Opzelura growth with a one-time Q2 benefit.Incyte's newer products, including Niktimvo and Monjuvi, are expected to add to second-quarter revenues. Incyte Corporation (INCY - Free Report) is expected to beat expectations when it reports second-quarter 2026 earnings on July 28, before the opening bell. The Zacks Consensus Estimate for the to-be-reported quarter’s revenues is pegged at $1.40 billion, while the same for earnings is pinned at $1.85 per share.

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

Factors Likely to Influence INCY's Q2 ResultsIncyte primarily derives product revenues from the sales of its lead drug, Jakafi (ruxolitinib), in the United States, as well as from the sales of other marketed drugs. Its momentum is likely to have continued on the back of strong Jakafi sales, a first-in-class, selective JAK1/JAK2 inhibitor, in all approved indications (polycythemia vera, myelofibrosis and refractory acute graft-versus-host disease [GvHD]).

The Zacks Consensus Estimate for Jakafi's second-quarter sales is pegged at $796.5 million.

Incyte also earns product royalty revenues from Novartis (NVS - Free Report) for the commercialization of Jakafi in ex-U.S. markets.

While Incyte markets Jakafi in the United States, Novartis markets the same drug as Jakavi outside the United States. INCY is expected to have received higher royalties from NVS in the to-be-reported quarter due to potentially higher Jakavi sales.

Year to date, Incyte shares have gained 18.1% compared with the industry’s 1.3% growth.

Image Source: Zacks Investment Research

Incyte also receives royalties from the sales of Tabrecta (capmatinib), which is approved for treating adult patients with metastatic non-small cell lung cancer. Novartis has exclusive worldwide development and commercialization rights to Tabrecta.

In the to-be-reported quarter, Opzelura (ruxolitinib cream) sales are expected to have been driven by continued growth in new patient starts and refills in the United States, for both its approved indications, atopic dermatitis and vitiligo. Incyte's second-quarter results are expected to benefit from its recent settlement with the CMS regarding Medicaid rebate rules for Opzelura. The agreement eliminates potential liabilities related to the application of line extension regulations, leading to a one-time, non-cash benefit of approximately $246 million in the second quarter from the reversal of previously accrued balances. The settlement should also improve Opzelura's gross-to-net performance going forward, and management is expected to update its financial guidance to reflect the impact.

The Zacks Consensus Estimate for Opzelura’s second-quarter sales is pegged at $214.7 million.

While Jakafi’s sales and royalties are the key catalysts for Incyte’s revenue growth, sales of other drugs like Minjuvi, Pemazyre and Iclusig, and Olumiant’s royalties from Eli Lilly (LLY - Free Report) are also likely to have contributed to Incyte’s top line. INCY has a collaboration agreement with LLY for Olumiant. The drug is a once-daily oral JAK inhibitor discovered by Incyte and licensed to Eli Lilly. It is approved for several types of autoimmune diseases.

Incyte acquired exclusive global rights to Monjuvi/Minjuvi (tafasitamab), initially approved for the treatment of relapsed or refractory diffuse large B-cell lymphoma, from MorphoSys in 2024. Last year, the FDA approved Monjuvi for relapsed or refractory follicular lymphoma, expanding its label and boosting sales. Minjuvi also secured approvals for this indication in the EU and Japan in 2025.

The Zacks Consensus Estimate for Iclusig, Minjuvi/Monjuvi and Pemazyre’s second-quarter sales is pegged at $35.5 million, $50.6 million and $22.4 million, respectively. Incremental sales from Zynyz, too, are expected to have boosted Incyte’s revenues in the to-be-reported quarter.

Incyte and partner Syndax launched Niktimvo (axatilimab-csfr) in the United States in early 2025 after FDA approval for chronic graft-versus-host disease (cGvHD) patients who have failed at least two prior systemic therapies. Niktimvo is Incyte's second approved treatment for cGvHD (third-line). The Zacks Consensus Estimate for Niktimvo’s second-quarter sales is pegged at $63.5 million.

Higher research and development expenses, as well as increased selling, general and administrative costs, are likely to have escalated operating expenses in the second quarter of 2026.

INCY's Earnings Surprise HistoryIncyte has a mixed history of earnings surprises. The company beat earnings estimates in three of the trailing four quarters, while missing the same on the remaining occasion, delivering an average surprise of 18.26%. In the last reported quarter, INCY posted an earnings surprise of 31.16%.

Earnings Whispers for INCY StockOur proven model predicts an earnings beat for INCY this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here, as you will see below.

INCY’s Earnings ESP: Incyte’s Earnings ESP is +18.47% as the Most Accurate Estimate currently stands at $2.19, higher than the Zacks Consensus Estimate, which is pegged at $1.85. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter.

INCY’s Zacks Rank: INCY has a Zacks Rank #3 at present.

Another Stock With a Favorable CombinationHere is a stock worth considering from the healthcare space, as our model shows that this, too, has the right combination of elements to beat on earnings this reporting cycle.

ACADIA Pharmaceuticals (ACAD - Free Report) has an Earnings ESP of +25.00% and a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Shares of ACAD have lost 7% year to date. The company’s earnings beat estimates in three of the trailing four quarters and missed on the remaining occasion, delivering an average surprise of 20.83%. Acadia is scheduled to report second-quarter results on Aug. 4.

Key Takeaways OTIS grew second-quarter Service sales 11%, with maintenance, repair and modernization driving gains.Otis modernization backlog rose 26% at constant currency, supporting future Service revenue visibility.OTIS expects Service margin improvement in second half as UpLift and pricing initiatives continue. Otis Worldwide Corporation (OTIS - Free Report) is leaning harder on its recurring Service business as New Equipment demand stays uneven. Maintenance, repair and modernization now carry more of the revenue story while installation activity remains pressured.

The investor question is whether Service can keep enough momentum to offset weak equipment demand, especially in China. That balance is central to OTIS’ near-term operating setup.

Otis Service Revenue Becomes the Core Growth EngineService accounted for 65.4% of 2025 revenues, making it the larger of Otis’ two segments. The segment includes maintenance, repair and modernization services across a maintenance portfolio of more than 2 million units worldwide.

In the second quarter of 2026, Service net sales rose 11% year over year to $2.58 billion. Organic sales increased 9%, helped by broad gains across maintenance, repair and modernization activity.

OTIS Modernization Backlog Extends Revenue VisibilityModernization remains a key support for Service growth. Organic modernization sales increased 24% in the second quarter, while modernization orders rose 9% at constant currency.

Backlog grew 26% at constant currency, giving Otis better visibility into future modernization revenues. Management expects Service organic sales to grow in the mid-to-high-single-digit range in 2026, though second-half Service growth is expected to ease to about 6% as modernization normalizes to a low-teens rate.

Otis New Equipment Demand Remains Under PressureNew Equipment remains the weak spot. Second-quarter organic sales declined 1%, reflecting a high-teens revenue drop in China and a mid-single-digit decline in Europe, the Middle East and Africa.

Orders fell 5% at constant currency as declines in Asia Pacific and China offset growth in the Americas and Europe, the Middle East and Africa. The segment’s operating margin contracted 220 basis points to 3.1%, underscoring the impact of lower volume, unfavorable pricing and mix.

Carrier Global Corporation (CARR - Free Report) , a climate and energy solutions company, offers investors another lens on building systems demand. United Rentals, Inc. (URI - Free Report) , which serves construction and industrial customers with equipment rentals, provides a broader read on project activity tied to the same end-market cycle.

OTIS Cost Actions Target a Service Margin RecoveryOtis is trying to improve Service execution through its UpLift transformation. The effort focuses on standardized field processes, frontline execution and customer retention.

The company invested $15 million in Service Excellence during the second quarter and plans $50 million of Service Excellence and pricing initiatives in 2026. Management also completed non-frontline restructuring actions and expects Service margins to improve from 23.1% in the first half of 2026 to about the mid-24% range in the second half.

Otis Signals Favor Growth but Not Near-Term MomentumThe bottom line is that Otis has a durable Service thesis, but the stock does not yet show clean near-term confirmation. Recurring maintenance, repair and modernization revenues support the operating case, while China weakness, low New Equipment margins and cost pressure keep the earnings setup mixed.

OTIS currently carries a Zacks Rank #4 (Sell). That ranking reflects weaker short-term estimate revision trends, so it tempers the appeal of the Service-led growth story for investors focused on the next one to three months.

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

The Style Scores are more balanced. OTIS has a Growth Score of B and VGM Score of B, pointing to stronger operating potential across growth and combined style factors. Its Value Score of C and Momentum Score of C are more neutral, suggesting that valuation and price action are not yet providing the same level of support.

Key Takeaways Invesco's Q2 results are expected to reflect y/y earnings and revenue growth.IVZ's preliminary AUM reached $2.47T in June 2026, supporting investment management fees.IVZ completed its Canadian fund business transfer to CI GAM while retaining select portfolio mandates. Invesco (IVZ - Free Report) is scheduled to announce second-quarter 2026 results on July 28, before market open. The company’s quarterly earnings and revenues are expected to have witnessed a rise on a year-over-year basis.

In the last reported quarter, IVZ’s adjusted earnings missed the Zacks Consensus Estimate. The results primarily benefited from an increase in adjusted revenues and growth in assets under management (AUM) balance. However, an increase in adjusted expenses was a headwind.

Invesco does not have an impressive earnings surprise history. Its earnings surpassed the Zacks Consensus Estimate in only two of the trailing four quarters, the average surprise being 7.9%.

Invesco’s Key Q2 Estimates & Factors to NotePer the monthly metrics data published by Invesco, its preliminary total AUM as of June 30, 2026, was $2.47 trillion, up 14.4% from the previous quarter’s end. So, the company’s investment management fees are expected to have been positively impacted in the quarter. The Zacks Consensus Estimate for investment management fees is pegged at $1.48 billion, indicating a rise of 6.8% from the previous quarter.

The consensus estimate for service and distribution fees of $323 million indicates a rise of 7% from the previous quarter’s reported number. Also, the Zacks Consensus Estimate for other revenues is pegged at $63 million, suggesting a 28% sequential increase.

However, the company’s performance fee is expected to have declined sequentially because the previous quarter benefited from relatively stronger realizations in performance-fee-eligible strategies, particularly in private markets, fundamental fixed income and multi-asset products. In the to-be-reported quarter, performance fees are likely to have normalized to a lower level, reflecting the inherently lumpy nature of these revenues and the absence of any indication of unusually large performance-fee realizations during the quarter. The Zacks Consensus Estimate for second-quarter performance fees of $6.02 million indicates a 46.7% decline from the previous quarter’s actual.

On the cost front, while Invesco’s cost-saving initiatives are likely to have boosted its efficiency, the rise in compensation and marketing costs is expected to have had an adverse impact on overall expenses in the to-be-reported quarter.

Management expects one-time implementation costs of Alpha to be $10-$15 million in the second quarter of 2026.

Major Q2 Development for InvescoIn June, Invesco completed the transfer of its Canadian fund management business to CI Global Asset Management (CI GAM), marking the close of a deal that significantly reshapes the Canadian investment fund landscape.

The transaction, announced in January, involved management agreements tied to Invesco’s Canadian fund lineup, which oversees approximately C$27 billion in assets. Now, CI GAM has assumed management responsibilities for 98 mutual funds and ETFs that were previously operated by Invesco Canada.

Although management of the funds has shifted to CI GAM, Invesco will continue to play an important role through a long-term strategic partnership between the two firms. Under a sub-advisory arrangement, Invesco affiliates will keep providing portfolio management services for 61 funds representing roughly C$13 billion in assets.

What Our Model Predicts for IVZAccording to our proven model, the chances of Invesco beating the Zacks Consensus Estimate for earnings this time are high. This is because it has the right combination of the two key ingredients — a positive Earnings ESP and a Zacks Rank #3 (Hold) or better.

You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Earnings ESP: The Earnings ESP for Invesco is +0.08%.

Zacks Rank: The company currently carries a Zacks Rank #2 (Buy).

Invesco’s Q2 Earnings & Sales EstimatesThe Zacks Consensus Estimate for Invesco’s earnings of 67 cents per share has been unchanged over the past seven days. However, the figure indicates a rise of 86.1% from the year-ago quarter’s actual.

The consensus estimate for sales is pegged at $1.33 billion, suggesting a year-over-year increase of 20.1%.

Other Finance Stocks Worth ConsideringHere are a couple of other finance stocks that you may want to consider, as our model shows that these, too, have the right combination of elements to post an earnings beat this time:

Prosperity Bancshares (PB - Free Report) is scheduled to report quarterly results on July 29. The company currently has an Earnings ESP of +1.76% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Over the past seven days, the Zacks Consensus Estimate for PB’s quarterly earnings has been unchanged at $1.54.

The Earnings ESP for Affiliated Managers Group (AMG - Free Report) is +1.86% and it carries a Zacks Rank #2 at present. The company is slated to report quarterly results on July 30.

Over the past seven days, the Zacks Consensus Estimate for AMG’s quarterly earnings has been unchanged at $7.85.

HCA Healthcare (HCA - Free Report) came out with quarterly earnings of $7.59 per share, beating the Zacks Consensus Estimate of $7.57 per share. This compares to earnings of $6.84 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +0.26%. A quarter ago, it was expected that this hospital operator would post earnings of $7.17 per share when it actually produced earnings of $7.15, delivering a surprise of -0.28%.

Over the last four quarters, the company has surpassed consensus EPS estimates three times.

HCA, which belongs to the Zacks Medical Services industry, posted revenues of $20.23 billion for the quarter ended June 2026, in line with the Zacks Consensus Estimate. This compares to year-ago revenues of $18.61 billion. The company has topped consensus revenue estimates just once over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

HCA shares have lost about 19.4% since the beginning of the year versus the S&P 500's gain of 8.2%.

What's Next for HCA?While HCA has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for HCA was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $7.13 on $19.73 billion in revenues for the coming quarter and $29.19 on $78.51 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical Services is currently in the top 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

One other stock from the same industry, Teladoc (TDOC - Free Report) , is yet to report results for the quarter ended June 2026. The results are expected to be released on July 29.

This telehealth services provider is expected to post quarterly loss of $0.24 per share in its upcoming report, which represents a year-over-year change of -26.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Teladoc's revenues are expected to be $614.69 million, down 2.7% from the year-ago quarter.

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SummaryBloom Energy is positioned as a critical AI infrastructure enabler, addressing hyperscaler power constraints with modular, on-site fuel cell solutions.Q1 2026 results proved BE’s scalable model, with 130% YoY revenue growth, expanding margins, and credible upward guidance for 2026.Strategic partnerships—especially Brookfield’s $25B commitment and Oracle’s multi-GW deployments—underscore BE’s moat in rapid, financed power delivery.Despite valuation volatility and customer concentration risks, BE’s operational leverage and AI-driven demand support a long-term Buy rating. da-kuk/E+ via Getty Images

Elevator Thesis The conversation around AI infrastructure has changed, to say the least.

Semiconductors remain important as Nvidia (NVDA) continues to scale supply, and Taiwan Semiconductor (TSM) continues to add

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

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

Customers Bancorp NYSE: CUBI reported second-quarter 2026 earnings per share of $2.05, up about 4% from the prior quarter and 18% from a year earlier, as loan growth, deposit gathering and net interest income increased. CEO Sam Sidhu and Chief Financial Officer Mark McCollum said the company reaffirmed its key full-year guidance and expects stronger net interest income in the second half of 2026.

Total loans reached a record $18 billion, rising $624 million, or 4%, during the quarter and 17% year over year. Total deposits increased by more than $140 million sequentially to a record $21.7 billion, while non-interest-bearing deposits reached a second consecutive record of $6.9 billion, representing 32% of deposits.

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“The second quarter was further evidence of our core strategy firing on all cylinders,” Sidhu said, citing continued balance-sheet growth, credit quality and capital levels.

Net Interest Income and Margin Outlook Net interest income totaled more than $193 million, increasing $16 million, or 9%, from a year earlier. McCollum said the increase reflected higher average loan balances and a lower cost of funds. On an annualized linked-quarter basis, net interest income rose about 4%.

The company’s net interest margin was 3.17% in the second quarter, which McCollum described as the expected low point for 2026. Customers Bancorp expects third-quarter margin to move closer to its first-quarter level and to build from there, while net interest income is expected to be stronger in the year’s second half.

Management pointed to deposit pipelines, continued remixing of higher-cost funding, the contribution from recently hired commercial teams and loan growth that accelerated late in the second quarter. During the quarter, the bank remixed more than $600 million of less-strategic deposits, improving pricing by 150 basis points, according to McCollum.

In response to an analyst question, McCollum said the company’s loan-growth outlook appears more likely to land toward the higher end of its guidance range. He said new-loan pricing varied by business vertical, generally ranging from 200 to 225 basis points over SOFR to 300 basis points over SOFR.

Deposit Growth and Commercial Team Recruitment Non-interest-bearing deposits increased by about $175 million during the quarter. Excluding the digital-assets, or DA, channel, such balances rose approximately $375 million, up 14% sequentially and 37% year over year. The company has added more than $840 million of non-interest-bearing deposits outside the DA channel over the past 12 months.

Sidhu said teams recruited since 2023 account for 18% of the company’s deposit base. Teams hired during the past 12 months held more than $500 million in deposits across 1,600 accounts, with 63% of those deposits non-interest bearing. The company said about 30 team members had joined or were in advanced discussions to join during 2026, with four teams expected to join in the third quarter.

Management said the bank’s 2025 recruiting cohort became profitable in approximately three quarters and operated with roughly 1.7 times deposits to loans. The company also cited a roughly $250 million non-interest-bearing deposit pipeline for new teams over the following 90 days.

cubiX Payments Platform Expands Customers Bancorp’s cubiX payments platform surpassed $5 trillion in cumulative transaction activity during the quarter. The bank said it processed more than 200,000 cubiX internal transfers year to date, double the level in the comparable period last year.

The real estate payments vertical is becoming a larger contributor, with transaction volume rising roughly sevenfold sequentially and spot deposit balances exceeding $400 million after only a few quarters. The bank added about 350 deposit accounts in the vertical.

Sidhu said the company projects that real estate could represent 20% of payment units by 2027. Management said mortgage-finance customers migrated to cubiX and newly added real estate customers represented about $1 billion in aggregate balances, with an internal target of reaching approximately $1.5 billion by year-end.

While DA trading activity was lower in May and June, management said total cubiX balances were roughly flat in the quarter because of growth in real estate payments. Customers Bancorp said it expects cubiX to become a growth area in 2027 as newer verticals scale.

AI Investments and Efficiency Efforts Sidhu said Customers Bancorp is pursuing a goal of becoming an “AI-native regional bank.” The company is working with OpenAI engineers on custom capabilities and has piloted a multi-agent credit-underwriting process that it said helped close certain commercial-and-industrial and commercial-real-estate loans within a week.

The bank said its AI-enabled workflow automation has saved at least 46,000 hours, equivalent to 24 full-time employees, and that employees have built more than 600 agents and custom GPTs. All team members are now AI licensed, according to Sidhu.

Management is targeting a low-40% run-rate efficiency ratio in 2027, compared with roughly 50% currently, through revenue growth and productivity improvements. Non-interest expense was $114.9 million in the second quarter, including about $1 million of severance. The company’s operational excellence program has achieved its $30 million annual run-rate target, including about $4 million from revenue initiatives and $26 million from expense initiatives.

Tangible book value per share rose 3% sequentially and 16% year over year to $65.20. The CET1 ratio stood at 12.8%, while the tangible common equity-to-tangible assets ratio was 8.3%. Management said credit quality remained stable, with commercial charge-offs at 18 basis points and reserve coverage at 293%.

About Customers Bancorp (NYSE:CUBI)Customers Bancorp, Inc NYSE: CUBI is a bank holding company headquartered in Phoenixville, Pennsylvania, and the parent of Customers Bank, a federally chartered institution. The company offers a full suite of commercial and consumer banking services, combining traditional deposit and lending products with modern digital banking platforms. As a publicly traded entity, Customers Bancorp focuses on delivering tailored financial solutions to mid‐market companies, small businesses, professionals and individuals across the United States.

Through its commercial banking division, the company provides term loans, lines of credit, real estate financing, asset‐based lending and treasury management 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].

Should You Invest $1,000 in Customers Bancorp Right Now?Before you consider Customers Bancorp, you'll want to hear this.

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3 Insurance Stocks Hitting 52-Week Highs With More Room to RunThe Hartford Insurance Group NYSE: HIG reported second-quarter 2026 core earnings of $945 million, or $3.42 per diluted share, as strength in its commercial insurance, employee benefits and investment operations supported results. The insurer’s trailing 12-month core earnings return on equity was 18.7%, while book value per share excluding accumulated other comprehensive income rose 7% from year-end to $78.91.

Chairman and Chief Executive Officer Chris Swift said the company’s results reflected the strength of its property-and-casualty and Employee Benefits franchises, distribution relationships and customer-service capabilities. The Hartford also announced an agreement to sell Hartford Funds to Wellington Management, characterizing the business as a non-core long-term investment.

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The board authorized a new $4.2 billion share-repurchase program through December 2028, in addition to approximately $650 million remaining under the prior authorization as of June 30. Chief Financial Officer Beth Costello said the company repurchased 3.4 million shares for $450 million during the quarter and expects to raise quarterly repurchases to $475 million for the rest of 2026.

Business Insurance Posts Premium Growth Business Insurance generated core earnings of $695 million, with written premiums increasing 5% and an underlying combined ratio of 89.3. Small Business written premiums rose 7%, supported by double-digit growth in package products and excess-and-surplus binding business. Its underlying combined ratio improved 2.5 points from a year earlier to 86.5, primarily due to lower non-catastrophe property losses and improved operating leverage.

Middle and Large business premiums increased 4%, while its underlying combined ratio was 95.3. Costello said results included elevated non-catastrophe property losses, including several large fire losses, as well as a business mix shift toward National Accounts and commercial auto. She said the company expects the full-year Middle and Large underlying combined ratio to be roughly a point better than its 93.3 year-to-date level if non-catastrophe property losses normalize in the second half.

Global Specialty premiums grew 4%, and the segment reported an 85.8 underlying combined ratio. The ratio increased from the previous year because of a higher international loss ratio and technology-related expenses. Swift said the business continued to see momentum in wholesale excess casualty and auto, bond, and financial lines.

Business Insurance renewal written pricing excluding workers’ compensation was 5.8%, relatively consistent with prior trends. Commercial auto and general liability rates remained above loss trends, while umbrella and excess lines achieved some of the strongest increases across the portfolio. Property pricing moderated, particularly in large property, although Swift said aggregate pricing in Small Business package and middle-market general-industry property remained in the mid-single digits.

Morris Tooker, president of Commercial Lines, said increased competition affected Middle and Large retention, rather than any targeted pruning following reserve actions. He added that The Hartford has reduced its shared-and-layered large-property book to less than $25 million as pricing in that market no longer met the company’s benchmarks.

Reserve Actions Reflect Casualty Trends The company reported favorable prior-year reserve development in workers’ compensation, catastrophes, bond and Personal Insurance, partly offset by increases in general liability and commercial auto liability reserves.

Costello said general liability prior-year reserves increased by $46 million during the quarter, primarily because of a higher frequency of large losses in excess casualty and umbrella lines across several accident years. The affected periods included 2017 through 2019 and 2022 and 2023, with no addition to accident year 2025, she said.

Commercial auto liability reserves rose as adverse development in accident years 2023 and 2024 pointed to higher severity than previously estimated. Costello said the company is seeing more attorney representation and time-limit demands in claims that previously may have involved more minor accidents and injuries.

Management described the changes as modest relative to the reserve base and said the reserve review process was unchanged. Costello said the effect on expected forward loss trends was minimal, amounting to tenths of basis points.

Current accident-year property-and-casualty catastrophe losses totaled $222 million before tax, compared with $212 million a year earlier. The catastrophe ratio remained unchanged at 4.9 combined-ratio points.

Personal Insurance Profitability Improves Despite Lower Premiums Personal Insurance produced $128 million in core earnings and an 86.3 underlying combined ratio, an improvement of 1.7 points from the second quarter of 2025. Auto’s underlying combined ratio improved 1.9 points as earned pricing continued to exceed loss trends, while home results were supported by underwriting execution and low-double-digit pricing.

Written premiums in Personal Insurance declined 7%, including a 10% decline in auto and flat home premiums, amid elevated competition for new business. Agency business grew 7% from a year earlier. Renewal written pricing increased 5.5% in auto and 10.4% in home, while auto policy retention improved slightly and home retention was relatively stable.

The Personal Insurance expense ratio rose to 26.3 from 25.1 a year earlier, driven by lower earned premiums and higher commissions associated with a growing agency-business mix. Swift said the company’s contemporary agency product was available in 23 states following its July rollout and is expected to reach 30 states by early 2027. He said direct-channel growth is likely to face continued pressure amid high customer shopping activity and strong competition.

Employee Benefits and Investments Add Support Employee Benefits earned $139 million in core earnings, producing a 7.4% core earnings margin. Fully insured premium growth benefited from sales execution and persistency in the low 90s. Group life performance was described as excellent, while disability performance was solid.

The group disability loss ratio increased 6.3 points to 74.8%, reflecting increased claim incidence across short- and long-term disability. Mike Fish, head of Employee Benefits, said behavioral-health claims were rising somewhat more than other diagnoses in short-tail lines. Paid family and medical leave utilization was also higher in newly launched states and in some longer-established states, though Fish said the company continues to apply rate increases to the book.

Net investment income climbed 22% year over year to $800 million, driven by income from limited partnerships and other alternative investments, along with a higher level of invested assets. Annualized limited partnership returns were 7.6% before tax, supported by real estate joint-venture sales and infrastructure and energy-transition funds. The Hartford expects full-year net investment income to increase, with overall portfolio yields broadly in line with 2025.

About The Hartford Insurance Group (NYSE:HIG)The Hartford Financial Services Group, commonly known as The Hartford, is a U.S.-based insurance and investment company that provides a broad range of commercial and personal insurance products and employee benefits. Its core businesses include property and casualty insurance for businesses and individuals, group benefits such as group life, disability and dental plans, and retirement and investment solutions offered through affiliated asset-management operations. The company also delivers risk management, claims-handling and loss-prevention services designed to support policyholders across a variety of industries.

Founded in Hartford, Connecticut, in 1810, The Hartford is one of the oldest insurance organizations in the United States and has a long history of underwriting and product development across multiple insurance lines.

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].

Should You Invest $1,000 in The Hartford Insurance Group Right Now?Before you consider The Hartford Insurance Group, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and The Hartford Insurance Group wasn't on the list.

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Lamb Weston (LW - Free Report) came out with quarterly earnings of $0.87 per share, beating the Zacks Consensus Estimate of $0.62 per share. This compares to earnings of $0.87 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +40.32%. A quarter ago, it was expected that this frozen foods supplier would post earnings of $0.61 per share when it actually produced earnings of $0.72, delivering a surprise of +18.03%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

Lamb Weston, which belongs to the Zacks Food - Miscellaneous industry, posted revenues of $1.77 billion for the quarter ended May 2026, surpassing the Zacks Consensus Estimate by 4.05%. This compares to year-ago revenues of $1.68 billion. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Lamb Weston shares have added about 17.4% since the beginning of the year versus the S&P 500's gain of 8.2%.

What's Next for Lamb Weston?While Lamb Weston has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Lamb Weston was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.62 on $1.61 billion in revenues for the coming quarter and $3.10 on $6.35 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Food - Miscellaneous is currently in the bottom 16% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, Post Holdings (POST - Free Report) , has yet to report results for the quarter ended June 2026. The results are expected to be released on August 6.

This cereal maker is expected to post quarterly earnings of $1.63 per share in its upcoming report, which represents a year-over-year change of -19.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Post Holdings' revenues are expected to be $2.02 billion, up 1.8% from the year-ago quarter.

A wallet tied to the $285 million Drift Protocol exploit moved 23,095.1 Ether, worth about $44.4 million, into Tornado Cash after roughly three months of inactivity.

Summary

Drift’s exploiter deposited 23,095 ETH into Tornado Cash after remaining inactive for three months. ZachXBT declined further tracking, citing resources required to monitor and freeze a nine-figure DPRK theft. Drift previously announced a recovery bounty program with Arkham and Bybit, contrary to online claims. The same address sent 0.85 ETH to wallets labeled as Bybit deposit addresses, according to Etherscan records and monitoring attributed to PeckShield.

Transfers began on July 23 and continued into July 24, on-chain records show. Researcher JL, known as 0xJaelle, flagged the movement and tagged ZachXBT. The investigator replied that he did not plan to keep following the funds without institutional support.

Drift exploiter empties an Ethereum wallet The Etherscan address labeled “Drift Exploiter 4” processed hundreds of transactions during the movement. Records show repeated deposits of 100 ETH, 10 ETH and 1 ETH into the Tornado Cash router. Four other transfers totaling 0.85 ETH went to addresses labeled as Bybit deposits.

Onchain Lens first reported that the attacker had resumed activity and was sending 100 ETH batches into the mixer several times per minute. The wallet had remained largely inactive since the April attack.

Tornado Cash pools deposits and permits later withdrawals through different addresses. That can weaken the direct public link between sending and receiving wallets. Investigators may still use timing, transaction patterns and exchange activity, but the process requires more data and staff.

The movement covers only part of the original theft. Drift’s April recovery update valued stolen assets at $295.7 million across JLP, USDC, Bitcoin-linked tokens, SOL, WETH and other assets. The protocol said much of the converted value remained across four flagged Ethereum wallets.

ZachXBT cites cost of tracking North Korea-linked funds ZachXBT wrote, “Sorry I currently do not have any plans to track these funds further.” He said monitoring a nine-figure North Korea-linked exploit and working toward possible freezes would require resources beyond one independent investigator.

He described the task as “difficult for a team and not feasible for a single person.” ZachXBT also said Drift was not a donor or client. His response on X drew attention to the cost of investigations that continue for months.

The comments do not show that no organization is watching the wallets. Drift has said it works with law enforcement, Mandiant and blockchain intelligence firms. Etherscan continues to label the address, while exchanges can review deposits connected to flagged wallets.

Elsewhere, ZachXBT criticized Circle after about $232 million in stolen USDC crossed from Solana to Ethereum during the April attack. The funds moved through Circle’s cross-chain system before the attacker converted much of the value into ETH.

Drift had announced a recovery bounty program JL later said it was surprising that Drift had not created a recovery bounty. Drift’s public record shows that it had announced plans for one. On April 16, the protocol said it was developing a bounty program with support from Arkham and Bybit.

However, the update did not provide a final reward amount, eligibility rules or payment schedule. It remains unclear whether the program became fully active, whether it covered continuing wallet monitoring, or whether independent researchers could claim payment for later tracing work.

Drift also created a user recovery plan separate from stolen-fund tracking. Tether proposed up to $127.5 million in support. Drift plans to issue recovery tokens and fund redemptions through remaining assets, partner capital and future exchange revenue.

The protocol’s June investigation update said Mandiant attributed the attack to UNC6862, a North Korean threat group. Drift said the attackers used social engineering and compromised operational access rather than a smart contract flaw. As crypto.news reported, the attackers emptied key vaults within about 12 minutes.

Recovery continues as the trail becomes harder to follow Drift has focused on rebuilding its platform and funding user claims while forensic teams pursue the stolen assets. Its recovery framework states that recovered funds will enter the user recovery pool. The protocol also plans stronger signing controls for critical transactions.

The April attack affected other Solana projects. As previously reported, yield platform Carrot decided to shut down after losses linked to Drift erased most of its deposited value.

The Tornado Cash deposits do not prove that the attacker converted the ETH into usable cash. The deposits remain public, and investigators may still identify later withdrawals. However, they remove a simple wallet-to-wallet trail and make the next phase harder.

Neither Drift nor Solana had publicly responded to ZachXBT’s comments at the time of writing. Bybit had not announced whether it reviewed the small deposits shown on Etherscan. The remaining stolen funds and the status of Drift’s planned bounty program remain unresolved.

Sensient Technologies (SXT - Free Report) came out with quarterly earnings of $1.2 per share, beating the Zacks Consensus Estimate of $1 per share. This compares to earnings of $0.94 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +20.00%. A quarter ago, it was expected that this maker of colors, flavors and fragrances would post earnings of $0.8 per share when it actually produced earnings of $1.04, delivering a surprise of +30%.

Over the last four quarters, the company has surpassed consensus EPS estimates two times.

Sensient, which belongs to the Zacks Chemical - Specialty industry, posted revenues of $462.08 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 4.00%. This compares to year-ago revenues of $414.23 million. The company has topped consensus revenue estimates two times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

Sensient shares have added about 24.6% since the beginning of the year versus the S&P 500's gain of 8.2%.

What's Next for Sensient?While Sensient has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for Sensient was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.00 on $452.1 million in revenues for the coming quarter and $3.90 on $1.78 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Chemical - Specialty is currently in the top 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Balchem (BCPC - Free Report) , another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on July 31.

This chemical company is expected to post quarterly earnings of $1.43 per share in its upcoming report, which represents a year-over-year change of +12.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Balchem's revenues are expected to be $268.51 million, up 5.1% from the year-ago quarter.

Selective Insurance Group NASDAQ: SIGI reported its eighth consecutive quarter of double-digit operating return on equity, as higher investment income and underwriting profits across all three insurance segments helped offset weaker premium trends in parts of the business.

On the company’s second-quarter 2026 earnings call, Chairman, President and Chief Executive Officer John Marchioni said Selective generated a 13.7% operating ROE, supported by an 18% year-over-year increase in investment income. The company’s combined ratio improved 2.2 points from a year earlier to 98.0%, including 5.6 points of catastrophe losses.

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Executive Vice President and Chief Financial Officer Patrick Brennan said Selective reported fully diluted earnings per share of $2.11 and non-GAAP operating EPS of $1.95 for the quarter. Year to date, the company produced a 13.0% ROE and a 12.8% operating ROE, ahead of its 12% target.

Premium declines reflect underwriting discipline Marchioni said net premiums written declined 5% in the quarter, emphasizing that the decrease was partly the result of deliberate actions to improve portfolio economics and long-term returns. In Standard Commercial Lines, the company’s largest segment, the combined ratio was 99.7% year to date, and management said improving margins there remains a central focus.

Selective’s Standard Commercial Lines net premiums written fell 6% in the quarter. Marchioni said lower new business accounted for three percentage points of the decrease, while actions on the renewal portfolio, particularly in the company’s worst-performing cohorts, drove the remaining three points.

“We are constraining growth where margins do not meet our targets,” Marchioni said, adding that Selective is focusing new business and retention strategies on accounts that improve the earnings power of the book.

The company said Standard Commercial Lines new business premium declined 22% in the second quarter, consistent with the first quarter. Marchioni attributed the decline to stronger new business pricing, informed by Selective’s view of expected loss trends, and a competitive market that drove lower conversion rates.

Selective also continued efforts to diversify away from heavier exposure to contractors. Marchioni said contractors represented 43% of commercial lines premiums in 2025 but accounted for 33% of new business through the first half of 2026. He said contractors remain an important vertical, but the casualty-oriented nature of that business has pressured performance as the industry faces elevated commercial casualty loss trends.

Commercial casualty trends remain a focus Brennan said Selective had no prior-year casualty reserve development at the segment or line-of-business level in the quarter. He said severities have generally tracked in line with expectations, though the company observed higher-than-expected frequency in commercial auto liability during the first half and adjusted current-year loss ratios accordingly.

In commercial auto, the year-to-date underlying loss ratio was 69.7%, up modestly from full-year 2025. Brennan said that reflected current accident-year frequency adjustments and previously anticipated severity pressures, partially offset by earned renewal pure price. In general liability, the year-to-date underlying loss ratio was 0.8 points higher than full-year 2025, reflecting elevated severity trends embedded in the company’s planning process.

For the quarter, renewal pure price increased 7.4% excluding workers’ compensation. General liability pricing rose 8.7%, while commercial auto pricing increased 9.3%. Brennan said auto liability pricing approached 13%.

During the question-and-answer session, Marchioni said Selective’s response to commercial auto was based on frequency in the current year, not a change in its view of loss trends. He said there is a hypothesis that winter weather in the northern U.S. contributed to elevated frequency, but management considered it prudent to react to the data.

Marchioni also discussed tort reform efforts, citing changes in Georgia, targeted liquor liability reforms in South Carolina and restrictions on third-party litigation financing in North Carolina. However, he said these developments remain state-specific and are not broad enough to alter Selective’s view of casualty severity trends in the near term.

E&S remains profitable despite competitive pressure Selective’s excess and surplus lines segment delivered a 91.8% combined ratio in the second quarter. Marchioni said underwriting remained disciplined across both property and casualty.

Renewal pure price in E&S rose 3.4%, with continued casualty rate momentum reflecting the company’s view of general liability loss trends. Property pricing was slightly negative, which Marchioni said was consistent with competitive market conditions and strong margins.

Net premiums written in E&S declined 2% in the quarter. Marchioni said the E&S market has benefited from strong tailwinds in recent years but historically has been more cyclical than the admitted market. He said Selective is seeing more capacity enter the marketplace, including appetite expansion by admitted market carriers.

Despite that pressure, Marchioni said the company’s E&S business remains a long-term opportunity, supported by its margins, 50-state footprint and expanded distribution channel that includes retail agents.

Personal lines profitability improves year to date In personal lines, Selective reported a second-quarter combined ratio of 95.5%, up from 91.6% a year earlier due to higher non-catastrophe property losses. For the first half of 2026, the segment’s combined ratio was 94.1%, 80 basis points better than the first six months of 2025 and ahead of the company’s 95% target.

Marchioni said personal lines results remained stronger outside New Jersey. Net premiums written declined 8%, while target business was down 2%. New business decreased 36% in the quarter, driven by a more competitive auto market and restrictions the company has in place to manage exposure in New Jersey.

Homeowners premium was relatively flat in the quarter as Selective gained traction in its target market. Marchioni said average new business home values remained above $1 million for the first half, and target market business now represents about 70% of homeowners premium. Renewal pure price in personal lines increased 8.9%.

Investment income outlook raised Brennan said after-tax net investment income totaled $119 million in the quarter, up 18% year over year. The increase was driven by higher book yields from elevated interest rates, deployment of operating cash flows and active portfolio management. The investment portfolio had an average credit quality of A+ and a duration of 4.3 years.

Selective raised its 2026 after-tax net investment income expectation to $480 million from its original estimate of $465 million. The company reaffirmed its GAAP combined ratio guidance of 96.5% to 97.5%, assuming six points of catastrophe losses, but Brennan said results are expected to be near the top of the range given year-to-date underlying trends.

The company also renewed its casualty excess of loss and property per risk reinsurance treaties effective July 1. Brennan said the casualty treaty provides $87 million of protection above a $3 million retention, while the property per risk treaty provides $115 million of coverage above a $5 million retention.

On capital management, Brennan said Selective returned nearly 50% of second-quarter after-tax net income to shareholders through its regular dividend and $32 million of share repurchases. At quarter-end, $108 million remained under the company’s repurchase authorization.

Marchioni also noted several corporate milestones, including Selective’s 100th anniversary, its 50th year as a public company, the opening of a new corporate headquarters in Short Hills, New Jersey, and the company’s July 1 launch in Montana and Wyoming.

About Selective Insurance Group (NASDAQ:SIGI)Selective Insurance Group, Inc is an insurance holding company headquartered in Branchville, New Jersey. The organization traces its roots to a regional provider of property and casualty coverage and became a publicly traded holding company following its initial public offering in 1999. Since its formation, Selective has expanded through strategic acquisitions and organic growth initiatives to broaden its product offerings and strengthen its market position.

The company's core business encompasses a broad range of property and casualty insurance products designed to serve both commercial and personal lines customers.

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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RBC Bearings (RBC - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 31. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis maker of bearings and components is expected to post quarterly earnings of $3.42 per share in its upcoming report, which represents a year-over-year change of +20.4%.

Revenues are expected to be $508.64 million, up 16.7% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 1.57% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for RBC Bearings?For RBC Bearings, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +0.66%.

On the other hand, the stock currently carries a Zacks Rank of #2.

So, this combination indicates that RBC Bearings will most likely beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that RBC Bearings would post earnings of $3.31 per share when it actually produced earnings of $3.62, delivering a surprise of +9.37%.

Over the last four quarters, the company has beaten consensus EPS estimates four times.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

RBC Bearings appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

An Industry Player's Expected ResultsAnother stock from the Zacks Manufacturing - General Industrial industry, Idex (IEX - Free Report) , is soon expected to post earnings of $2.1 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +1.5%. Revenues for the quarter are expected to be $902.43 million, up 4.3% from the year-ago quarter.

Over the last 30 days, the consensus EPS estimate for Idex has been revised 0.1% down to the current level. Nevertheless, the company now has an Earnings ESP of -0.67%, reflecting a lower Most Accurate Estimate.

When combined with a Zacks Rank of #3 (Hold), this Earnings ESP makes it difficult to conclusively predict that Idex will beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

The market expects Ares Management (ARES - Free Report) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.

The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 31. On the other hand, if they miss, the stock may move lower.

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.

Zacks Consensus EstimateThis private equity firm is expected to post quarterly earnings of $1.29 per share in its upcoming report, which represents a year-over-year change of +25.2%.

Revenues are expected to be $1.32 billion, up 25.6% from the year-ago quarter.

Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 2.38% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Ares Management?For Ares Management, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +1.48%.

On the other hand, the stock currently carries a Zacks Rank of #4.

So, this combination makes it difficult to conclusively predict that Ares Management will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Ares Management would post earnings of $1.32 per share when it actually produced earnings of $1.24, delivering a surprise of -6.06%.

Over the last four quarters, the company has beaten consensus EPS estimates just once.

Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Ares Management doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.

An Industry Player's Expected ResultsAmong the stocks in the Zacks Financial - Investment Management industry, KKR & Co. Inc. (KKR - Free Report) , is soon expected to post earnings of $1.42 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +20.3%. This quarter's revenue is expected to be $1.52 billion, up 18.5% from the year-ago quarter.

The consensus EPS estimate for KKR & Co. has been revised 0.2% higher over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +0.18%.

When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that KKR & Co. will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates three times.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

Posted by Defense World Staff on Jul 24th, 2026

California Public Employees Retirement System increased its position in Knight-Swift Transportation Holdings Inc. (NYSE:KNX – Free Report) by 3.1% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 291,883 shares of the transportation company’s stock after buying an additional 8,653 shares during the quarter. California Public Employees Retirement System owned about 0.18% of Knight-Swift Transportation worth $16,807,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of the business. Wellington Management Group LLP boosted its stake in shares of Knight-Swift Transportation by 23.6% during the 4th quarter. Wellington Management Group LLP now owns 12,918,523 shares of the transportation company’s stock valued at $675,380,000 after buying an additional 2,468,293 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in Knight-Swift Transportation by 1.6% in the fourth quarter. Dimensional Fund Advisors LP now owns 8,397,338 shares of the transportation company’s stock valued at $439,016,000 after acquiring an additional 129,651 shares during the period. Allspring Global Investments Holdings LLC lifted its holdings in shares of Knight-Swift Transportation by 7.2% in the 4th quarter. Allspring Global Investments Holdings LLC now owns 4,676,422 shares of the transportation company’s stock worth $244,250,000 after purchasing an additional 315,192 shares during the last quarter. Ensign Peak Advisors Inc lifted its stake in Knight-Swift Transportation by 50.4% in the fourth quarter. Ensign Peak Advisors Inc now owns 2,939,212 shares of the transportation company’s stock valued at $153,662,000 after buying an additional 984,422 shares during the last quarter. Finally, UBS Group AG lifted its position in Knight-Swift Transportation by 44.3% in the 4th quarter. UBS Group AG now owns 2,430,896 shares of the transportation company’s stock valued at $127,087,000 after purchasing an additional 745,787 shares during the last quarter. 88.77% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In A number of analysts have recently weighed in on the stock. UBS Group upped their price target on shares of Knight-Swift Transportation from $79.00 to $94.00 and gave the stock a “buy” rating in a research note on Monday, June 1st. Robert W. Baird increased their price target on Knight-Swift Transportation from $62.00 to $70.00 and gave the company an “outperform” rating in a research report on Thursday, April 23rd. Stephens raised shares of Knight-Swift Transportation to a “strong-buy” rating in a research note on Wednesday, July 8th. Susquehanna raised their price objective on Knight-Swift Transportation from $90.00 to $96.00 and gave the stock a “positive” rating in a research report on Thursday. Finally, Wells Fargo & Company boosted their price target on shares of Knight-Swift Transportation from $65.00 to $86.00 and gave the company an “overweight” rating in a report on Friday, June 5th. Three investment analysts have rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Buy” and a consensus price target of $84.44.

Get Our Latest Stock Report on Knight-Swift Transportation

Key Knight-Swift Transportation News Here are the key news stories impacting Knight-Swift Transportation this week:

Positive Sentiment: Knight-Swift beat second-quarter expectations, reporting EPS of $0.63 versus consensus around $0.49-$0.51 and revenue of $2.10 billion versus estimates near $2.05 billion, with revenue up 12.6% year over year. Earnings report and transcript Positive Sentiment: The company also issued third-quarter EPS guidance of $0.71 to $0.77, above the Street’s estimate of about $0.67, which suggests management sees continued momentum. Quarterly results announcement Positive Sentiment: Several Wall Street firms lifted price targets after the results, including Bank of America to $98, Stifel to $88, Susquehanna to $96, TD Cowen to $86, and JPMorgan to $84, reflecting improved sentiment around the stock. Analyst target updates Neutral Sentiment: JPMorgan kept a neutral rating despite raising its target, while the other firms maintained more constructive views such as buy or positive. JPMorgan update Knight-Swift Transportation Stock Performance Shares of KNX opened at $72.05 on Friday. The company has a market capitalization of $11.71 billion, a PE ratio of 277.13, a price-to-earnings-growth ratio of 0.85 and a beta of 1.18. The company has a debt-to-equity ratio of 0.26, a current ratio of 0.70 and a quick ratio of 0.70. Knight-Swift Transportation Holdings Inc. has a one year low of $38.63 and a one year high of $82.86. The company’s fifty day moving average price is $75.53 and its 200 day moving average price is $64.92.

Knight-Swift Transportation (NYSE:KNX – Get Free Report) last released its earnings results on Wednesday, July 22nd. The transportation company reported $0.63 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.51 by $0.12. The firm had revenue of $2.10 billion for the quarter, compared to analyst estimates of $2.05 billion. Knight-Swift Transportation had a return on equity of 3.50% and a net margin of 0.56%.The company’s revenue was up 12.6% on a year-over-year basis. During the same quarter last year, the firm posted $0.21 EPS. Knight-Swift Transportation has set its Q3 2026 guidance at 0.710-0.770 EPS. As a group, analysts expect that Knight-Swift Transportation Holdings Inc. will post 2.21 earnings per share for the current year.

Knight-Swift Transportation Dividend Announcement The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 22nd. Stockholders of record on Monday, June 8th were paid a $0.20 dividend. The ex-dividend date was Monday, June 8th. This represents a $0.80 dividend on an annualized basis and a dividend yield of 1.1%. Knight-Swift Transportation’s dividend payout ratio is currently 380.95%.

About Knight-Swift Transportation (Free Report)

Knight-Swift Transportation Holdings Inc (NYSE: KNX) is one of North America’s largest asset-based truckload carriers, offering a wide range of transportation and logistics services. The company was formed in 2017 through the merger of Knight Transportation and Swift Transportation, each with decades of experience in long-haul dry van and refrigerated freight. Since the merger, Knight-Swift has pursued a growth strategy that includes fleet expansions, targeted acquisitions, and investments in technology to enhance service reliability and network efficiency.

The company’s core business activities include full truckload operations for dry van, temperature-controlled and flatbed shipments.

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