Most of the buzz lately around Space Exploration Technologies (SPCX -3.32%) centered on its artificial intelligence (AI) ambitions, including the Grok chatbot it absorbed and its plans for data centers in orbit. Those headlines are exciting.
But the initial public offering (IPO) from SpaceX (as the company is also known) points to a prize that could ultimately matter more: a connectivity opportunity that the company pegs at roughly $1.6 trillion.
Image source: Getty Images.
The connectivity opportunity That $1.6 trillion figure comes from Starlink, SpaceX's satellite internet business, and it breaks down into two pieces. The company sees about $870 billion in fixed broadband -- beaming internet to homes and businesses the ground network cannot easily reach -- and roughly $740 billion in mobile services.
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Starlink is already the workhorse of SpaceX, serving more than 10 million customers and generating the bulk of the company's revenue. The next leg of growth is Starlink Mobile, the effort to connect ordinary smartphones directly to satellites and, in time, challenge traditional wireless carriers around the world.
Here is why I think connectivity could overshadow the AI story. The vision for an orbital data center is genuinely bold, but it is years away, unproven at scale, and still burning cash.
Starlink, by contrast, is real, growing fast, and already profitable. Connecting the billions of people who lack reliable internet, plus giving every phone a signal in dead zones, is a tangible, enormous market that SpaceX is capturing right now. When one business is a working, cash-generating machine and the other is a promising experiment, the working one usually deserves the spotlight.
The catch worth naming I would keep the trillion-dollar figure in perspective, though. That $1.6 trillion is a long-term addressable market, not revenue that SpaceX will book anytime soon. Skeptical analysts note that spectrum limits, cell-site capacity caps, and the physics of beaming data to unmodified phones could hold realistic mobile revenue to a small fraction of the headline number for years.
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Wireless carriers are also banding together to blunt Starlink's reach, and rivals like AST SpaceMobile are chasing the same satellite-to-phone dream. Turning a giant market into actual profit will take enormous capital and flawless execution.
The takeaway for investors SpaceX's AI vision will keep grabbing attention, but connectivity may quietly be the engine that powers the company's long-term value. For investors weighing the stock, Starlink and its push into mobile look like the more grounded reasons to be interested, not the orbital data centers everyone is talking about. I would watch the direct-to-cell rollout closely, because that is where a chunk of this $1.6 trillion opportunity either becomes real money or stays a slide in a pitch deck.
Apple stock is trading near recent highs. Where are AAPL shares going? Earnings Preview & HistoryApple is scheduled to report third-quarter earnings on July 30. Analysts estimate EPS of $1.89 along with revenue of $108.86 billion. For the prior quarter, Apple reported EPS of $2.01, beating the consensus estimate of $1.94. The company also posted revenue of $111.18 billion, exceeding the consensus estimate of $109.68 billion.
Apple has beaten EPS estimates in eight consecutive quarters. Over the last four quarters, the company has averaged an EPS surprise of 0.07% and a revenue surprise of 0.03%.
What To WatchInvestors will be watching iPhone revenue and pricing trends closely, particularly whether Apple is leaning into a higher-end mix ahead of a potential foldable launch, since traders want to see pricing power holding up rather than being propped up by promotions. Services revenue growth and gross margin direction are also key to track, as a premium valuation typically requires Services to keep cushioning any hardware volatility.
Commentary on Greater China and broader international demand should draw attention too, since regional softness can quickly overshadow an otherwise solid quarter at this valuation.
Apple Trades 17% Above Its 200-Day AverageApple is still in a clear longer-term uptrend, with the stock trading 3.6% above its 20-day SMA ($311.49) and 17.1% above its 200-day SMA ($275.60), which typically signals buyers remain in control on pullbacks. The 20-day SMA is also above the 50-day SMA, and the 50-day SMA remains above the 200-day SMA—keeping the trend structure bullish.
Momentum is best read through MACD right now: MACD is above its signal line and the histogram is positive, which points to improving upside momentum versus the prior downswing. In plain terms, when MACD is above its signal line, it suggests selling pressure is fading and the trend is trying to re-assert higher.
From a levels perspective, the stock is hovering below the 52-week high at $334.99, so that zone is the next obvious area where sellers may show up if the rally continues. On the downside, traders will likely focus on whether pullbacks stay orderly above the late-spring/early-summer pivot area.
Key Support: $287.50 — a nearby level where buyers previously stepped in, sitting close to the stock’s intermediate trend zone between the 100-day and 200-day averages. Analyst Consensus & Recent Actions The stock carries a Buy rating with an average price forecast of $325.36. Recent analyst moves include:
Morgan Stanley: Overweight (Raises Target to $364.00) (July 23) HSBC: Upgraded to Buy (Raises Target to $366.00) (July 17) Keybanc: Downgraded to Underweight (Target $250.00) (July 14) Benzinga Edge RankingsBelow is the Benzinga Edge scorecard for Apple, highlighting its strengths and weaknesses compared to the broader market:
The Verdict: Apple’s Benzinga Edge signal reveals a momentum-and-quality-driven setup, where trend followers tend to stay involved as long as the stock holds key moving averages. The trade-off is valuation: with a weak Value score, the stock can be less forgiving around earnings if results or guidance don’t clearly support the premium multiple.
Apple Shares Edge HigherAAPL Price Action: At the time of publication, Apple shares are trading 0.22% higher at $322.36, according to data from Benzinga Pro.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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The hyperscalers, which are historically dominant technology enterprises, are planning to spend hundreds of billions of dollars this year to expand their computing infrastructure amid the ongoing artificial intelligence (AI) craze. Apple (AAPL +2.15%) is watching from the sidelines.
The market was critical of the Cupertino company's conservative approach. But with its share price up 22% in 2026 (as of July 21), the investment community is clearly rewarding the business. This perspective might prove to be right.
I predict that Apple will be a long-term AI winner. It comes down to the company's distribution advantage, superior user experience, and robust free cash flow (FCF).
Image source: Getty Images.
Distribution advantage During the company's Q1 2026 earnings call in January, CEO Tim Cook said that Apple's installed base hit a fresh record of more than 2.5 billion active devices. This gives the company an unrivaled distribution advantage, as Apple's hardware is ubiquitous. New AI features, whether launched by Apple or by other businesses, will likely be accessed by consumers via these products.
There's always a chance that AI enables the creation of an entirely new product by another company. But it doesn't seem likely anytime soon. In the second quarter (ended March 28), iPhone revenue jumped 21.7% year over year to $57 billion.
Differentiation creates value Apple Intelligence, which is what the business calls its AI offerings, is partly powered by the company's Apple Foundation Models, which were custom-built in collaboration with Alphabet's Gemini capabilities. Apple pays $1 billion per year for this ability.
There's a hybrid approach here. User requests are processed by models that run locally on devices for simpler tasks, while others that are more complex get routed to Apple's Private Cloud Compute infrastructure.
For the end user, though, it doesn't matter what AI model, graphics processing units, or data centers are being used. This is all happening in the background. The user experience is what matters most. This suggests that AI infrastructure will be commoditized, leaving value at the differentiated layer that is hardware, software, and services. These are the areas that Apple excels in.
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No hit to free cash flow Apple is staying out of the AI spending spree. At the same time, Amazon, Microsoft, Alphabet, and Meta Platforms are planning for roughly $700 billion in combined capital expenditures (capex) in 2026. Apple's capex is tiny by comparison, totaling just $4.3 billion in the last two quarters, as it doesn't need to rapidly build data center capacity.
Therefore, the business still produces massive FCF, to the tune of $78.3 billion in the first six months of fiscal 2026, up 63% year over year. This figure represented 30.7% of Apple's entire revenue. Consensus analyst estimates call for FCF to grow at a compound annual rate of 19.1% between fiscal 2025 and fiscal 2028.
At the end of the day, FCF is what drives a company's value. Unlike its big tech peers, Apple doesn't have to prove that its capex can eventually produce an adequate return.
Neil Patel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Meta Platforms, and Microsoft. The Motley Fool has a disclosure policy.
SummaryApple Inc. earns a Strong Buy rating, driven by its integrated AI strategy focused on devices, OS, and services rather than standalone chatbots.AAPL's AI integration leverages its 2.5B device base, proprietary silicon, and privacy-first approach, aiming to drive hardware upgrades and services growth.Q3 guidance calls for 14–17% revenue growth and continued double-digit Services expansion, though gross margin is expected to dip to 47.5–48.5%.Execution risks include delayed AI rollouts in the EU and China, but rising R&D and platform flexibility position AAPL for a potential new growth cycle. Getty Images
Apple Inc. (AAPL) entered the generative AI race later than many competitors- no one’s disputing that. But I don’t think it matters. Instead of competing for chatbot market share, Apple is embedding AI across its devices, operating systems, applications, and services, making intelligence part
4.44K Followers
Analyst’s Disclosure: I/we have a beneficial long position in the shares of AAPL, GOOGL, META, MSFT either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
The logo of Meta at the Meta Lab in Los Angeles, California, U.S., May 20, 2026. REUTERS/Daniel Cole/File Photo Purchase Licensing Rights, opens new tab
July 24 (Reuters) - Meta (META.O), opens new tab on Friday launched a new app called "Seller" to offer dedicated selling tools to merchants using the company's Facebook Marketplace platform for buying and selling items.
Increasing shopping activity on Facebook groups prompted the social media giant to launch Marketplace ten years ago, generating revenue from boosted listings.
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Here are some details:
Meta is looking to strengthen its Marketplace offering to better compete with e-commerce platforms like eBay, while enhancing the shopping experience on the platform, which sees 430 million items listed each month globally.
The "Seller" app is designed to sync with existing Marketplace accounts, carrying over current listings, messages and sales history.
The app features AI-powered tools for creating listings, a unified inbox for buyer communications, inventory management capabilities and performance insights to help sellers optimize their strategies.
The company said "Seller" is now available on the App Store for U.S. users 18 and older, with a web version currently being tested for those who download the app.
Facebook is also launching "Facebook Verified", a free badge that signifies a real person is behind a profile, the company said.
The verification involves a selfie-based process, as the company looks to address concerns about authenticity and safety.
In May, Meta released an app called "Forum" for people who use Facebook Groups.
Reporting by Jaspreet Singh in Bengaluru; Editing by Vijay Kishore
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Facebook is rolling out updates today in a bid to increase engagement and make the platform more organized for its users. In the offing are new apps for sellers on Marketplace; a verification system to prove you are human on services like Dating, Marketplace, and Groups; and a new immersive design for video.
Facebook Marketplace sees more than 430 million monthly listings, and with more than 1.1 billion active users, it is a big reason younger folks still use the platform.
To keep this momentum going, Facebook is launching a separate app for people who list and sell items on the platform frequently. Dubbed “Seller,” the app lets sellers manage their listings, message buyers, and track the performance of items.
Image Credits:Facebook Facebook is also rolling out a free verification system called Facebook Verified — not to be confused with Meta Verified, which lets you subscribe for a verification mark and other features.
The new system lets people take a selfie to verify their authenticity as a real user, and then the verification mark will show up on their profile across Facebook Dating, Marketplace, and Groups. The verified mark looks like a check mark within a white circle, unlike the blue badge you can get by paying for Meta Verified.
Image Credits:Meta The company said it is also testing an optional, immersive, full-screen video view for the Facebook app that pops up as soon as you open it. This update will initially be rolled out to “video-heavy” international markets, and make its way to the U.S. next year.
Facebook said users can turn off this UI to go back to the feed-based interface. The company has tested a similar update with Instagram in several markets.
New app releases are turning into a routine course of action for Meta, which has ramped up its app development to engage different sets of users. In May, it debuted a Reddit-like app for Facebook Groups called Forum, and this month it released a vibe-coding app called Pocket.
The company said it plans to add AI to the app to help users automate tasks such as writing descriptions of items they want to put up for sale, or search through groups to answer questions.
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Ivan covers global consumer tech developments at TechCrunch. He is based out of India and has previously worked at publications including Huffington Post and The Next Web.
You can contact or verify outreach from Ivan by emailing [email protected] or via encrypted message at ivan.42 on Signal.
Of all the Magnificent Seven stocks, Meta Platforms (NASDAQ:META | META Price Prediction) seems to have the AI narrative that’s shifted the most in the past few quarters. Undoubtedly, the company’s making up major ground in the AI race, but it seems like it doesn’t matter as much to the market anymore since the higher the CapEx, the longer the time a stock ought to be sent to the penalty box.
Indeed, I think the fear of the CapEx figure won’t last for all too long, especially with a company like Meta, which has been moving in that fast lane at a rate that might catch most analysts off guard.
Of course, with great AI CapEx comes great risk and, as far as the market’s concerned, no guarantee of decent ROIs. That said, when it comes to Meta, I’d argue that the firm’s AI strategy and showcase just keep getting better. As some of its AI rivals make more incremental jumps in AI, I view Meta as making gigantic leaps.
Meta’s selling Muse Spark and AI compute Whether it can leap right into first place in the AI leaderboards with its brand-new Muse Spark 1.1 model, which scored highly on the benchmarks, remains the multi-trillion-dollar question. Either way, the case for paying Meta for its AI model, I think, only stands to get stronger over time, especially as the Superintelligence team hits hard in agentic AI.
Add the new Meta Compute business into the equation, and it seems like Meta’s AI monetization plan should make investors far more forgiving of the firm when it raises the bar on AI-related CapEx.
Like it or not, Meta is a hyperscaler now, and it might be the best one for the AI age, given its data centers are being built from the ground up with AI in mind. In other words, it’s a neocloud hyperscaler, and one that might have more of a moat over its peers once the great multi-year AI buildout puts a wave of new compute online.
Even if the AI ad business were to soften, Muse Spark and Meta Compute represent two massive monetization pillars that, in my opinion, can compete with the very best. And given Meta’s heavy focus on agentic AI (think their interest in acquiring Manus), I do think the company’s Superintelligence team might have the big AI product that changes the game entirely for the consumer and the enterprise.
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Naturally, winning in AI and agents would make Meta’s smartglasses sell better as people gravitate away from screens and towards the next consumer hardware (likely a wearable) that replaces smartphones. With Muse Spark 1.1 closing the gap with models at the frontier, I do think the firm’s AI-first strategy could pay off significantly.
Don’t forget about AI ads and internal usage It’s what Meta’s doing internally with next-generation AI, which, I think, could precede a push as it sells AI to others.
Whether we’re talking about leveling up the business of serving ads or the productivity benefits that only Mark Zuckerberg and his team can see (think AI coding, AI Zuck for mentorship, training agents to run internal workflows, training on internal data, and more), I do think that there’s a lot of behind-the-curtain value that could find its way into the numbers well before Muse Spark and Meta Compute really start generating off-the-charts growth.
Any way you look at it, Meta has a clean slate in the AI race, and that might help it move forward with immense speed. The first-mover advantage in AI could be unfathomably large, and given how quickly (and quietly) Meta is moving, it feels like the firm went from behind the pack to close to the front in just a few quarters. Yet, the stock hasn’t been rewarded because too many are overly focused on the spend.
When you consider how much AI innovation is happening behind the scenes (using its own workforce data, an AI version of Zuckerberg, and building data centers inside tents), it feels like the company isn’t just matching the speed of its hyperscaler rivals; it’s calling and raising the stakes. In any case, Meta is exploring the deeper potential applications of AI, and it wasn’t until recently that the firm saw itself as having enough extra compute to sell.
The bottom line As the firm leverages powerful AI agents to automate, I do think that the firm will be getting that much closer to its startup roots, and given that agility matters in the AI race, I do think Meta is making a strong case for why it could win it all.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Meta didn't make the cut. Grab the names FREE today.
The stock plunged 14.52% to close at $319.69—the largest one-day loss in Tesla’s history. Trading volume surged to 115.61 million shares, more than double its three-month daily average of 49.4 million shares.
Earnings Miss Was Only the BeginningTesla’s second-quarter results gave investors multiple reasons to hit the sell button.
While revenue topped Wall Street estimates, adjusted earnings of 33 cents per share fell well short of expectations as automotive margins deteriorated. Gross margin slipped below analyst forecasts, highlighting continued pressure on Tesla’s core vehicle business even as deliveries improved.
But the bigger surprise came below the income statement.
Tesla reported negative free cash flow for the first time in more than two years after capital expenditures more than doubled to roughly $5.8 billion. Management also said capital spending will exceed $25 billion in 2026 and continue climbing as the company ramps investments in robotaxis, Optimus humanoid robots, AI infrastructure and next-generation manufacturing.
Wall Street Wanted More Than AI PromisesTesla has long argued that its future valuation depends less on selling cars and more on becoming an AI and robotics company.
The earnings call reinforced that strategy, but investors appeared unconvinced that the payoff is close enough to justify the growing bill. Analysts noted that while spending plans became clearer, updates on commercialization timelines for Robotaxi, Optimus and other AI initiatives offered few new catalysts to offset concerns about mounting cash burn.
The market’s reaction suggests investors are beginning to ask a tougher question: if Tesla is entering one of the heaviest investment cycles in its history, how long will shareholders have to wait before those billions translate into higher earnings?
Thursday’s answer was painful. In a single trading session, Tesla lost more market value than Toyota is worth. And with JPMorgan and UBS joining the growing list of firms trimming their expectations, Wall Street is signaling that Tesla’s AI future may take longer—and cost more—than investors had anticipated.
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Tesla (NASDAQ:TSLA | TSLA Price Prediction) delivered a split-decision quarter: a big revenue beat wrapped around an ugly EPS miss. Wall Street trimmed price targets without walking away from the story. Our model comes out constructive.
Tesla trades at $374.01 after a roughly 4% after-hours slide that erased $71 billion in market cap. Our 24/7 Wall St. price target is $413.49, implying 10.56% upside over twelve months. The recommendation is buy with 90% confidence level confidence.
Metric Value Current Price $374.01 24/7 Wall St. Price Target $413.49 Upside 10.56% Recommendation BUY Confidence 90% A Record Quarter That Cost $71 Billion Tesla posted $28.24 billion in Q2 revenue, up 25.52% year over year and beating consensus by 7.10%, on record deliveries of 480,126 vehicles.
Non-GAAP EPS of $0.33 missed the $0.5367 estimate by 38.51%, operating margin compressed to 1.4%, and free cash flow flipped to negative $1.09 billion as capex surged to $5.79 billion. Shares are down 5.18% this week and 16.83% year to date, though up 12.62% over the past year.
Why Bulls See a Breakout Ahead The bull case rests on Tesla’s transition to an AI and robotics platform. FSD attach rates on North American deliveries exceeded 55%, with 1.48 million active subscriptions (up 56% YoY).
Cybercab production has begun at Gigafactory Texas, robotaxi service covers seven US metros, and Optimus lines are installed at Fremont. Energy storage deployments jumped to 13.5 GWh. Our bull scenario points to $479.66 within twelve months, a 28.25% return.
The Risks Worth Watching The bear case flips the spending story. Operating income fell 56.88% YoY, opex jumped 47%, and regulatory credits collapsed to $146 million. Reddit sentiment tracked bearish (24 to 36) after the earnings report. Multiple analysts slashed the price target after earnings.
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Bulls counter that margin damage is self-inflicted, with heavy AI infrastructure and stock-based comp from the 2025 CEO Performance Award weighing on GAAP profits, while operating cash flow rose 84.9% to $4.70 billion and cash swelled to $43.52 billion. Our bear scenario lands at $365.83, a 2.19% decline.
How Tesla Compares to GM and Rivian General Motors (NYSE:GM) is the anti-Tesla trade. GM posted its 16th consecutive earnings beat, with adjusted earnings up 41.3% and raised full-year 2026 guidance, plus roughly 75 million shares retired in the past year. That execution at a fraction of Tesla’s 370 P/E is why our $413.49 target must earn its premium through AI optionality, not vehicle economics.
Rivian (NASDAQ:RIVN) is the pure-play EV comp fighting for scale. Rivian lacks Tesla’s 480,126-unit quarterly cadence and $43.52 billion cash pile, making Tesla’s balance sheet look conservative and supporting our target as reasonable rather than aggressive.
Tesla Price Prediction 2026 to 2030 Our 24/7 Wall St. price target for Tesla is $413.49, a buy with 90% confidence. Q2 shows demand strength (record deliveries, revenue beat) with misses concentrated in discretionary AI and Optimus spending Tesla chose to accelerate.
I’d buy here if capex converts into robotaxi and Optimus revenue on the 2027 timeline management outlined. I’d stay on the sidelines if operating margin fails to recover above 5% by year-end.
Year 24/7 Wall St. Price Target 2026 $413.49 2027 $445.00 2028 $475.00 2029 $505.00 2030 $538.14 These projections assume Tesla executes on robotaxi monetization and Optimus reaches commercial scale. Significant upside or downside could result from FSD adoption curves and margin recovery pace.
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Tesla Inc. (NASDAQ:TSLA) is in the spotlight Friday after a busy July that included record delivery figures, a closely watched earnings report and a sharp post-earnings selloff.
Tesla stock is showing downward pressure. Where is TSLA stock headed? Tesla Q2 Delivers 25% YoY SurgeTesla pre-released its second-quarter production and delivery figures on July 2, reporting 451,758 vehicles produced and 480,126 delivered — up 25% year-over-year and well above the roughly 406,000 Wall Street had expected. Model 3/Y deliveries totaled 467,762, with other models contributing an additional 12,364. The company also deployed 13.5 GWh of energy storage products during the quarter.
Tesla Tops $100B TTM Revenue, Stock SinksShares fell sharply following the report, extending to a 14.5% single-day decline on July 23 — Tesla’s largest single-day drop in over a year, erasing roughly $214.5 billion in market value. The selloff followed the worse-than-expected adjusted EPS result, along with company commentary on high capital expenditure growth, supply-chain bottlenecks and difficulties scaling up Optimus robot production.
The AI and Robotics PivotAnalyst Consensus & Recent ActionsThe stock carries a Buy rating with an average price forecast of $413.49. Recent analyst moves include:
UBS: Neutral (Lowers Target to $385.00) (July 23) JP Morgan: Neutral (Lowers Target to $445.00) (July 23) Morgan Stanley: Equal-Weight (Lowers Target to $400.00) (July 23) Tesla Shares Edge HigherTSLA Price Action: At the time of publication, Tesla shares are trading 0.43% higher at $321.05, according to data from Benzinga Pro.
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Earlier this month, drastically improved second-quarter delivery numbers rekindled hope that electric vehicle (EV) maker Tesla (TSLA -1.39%) was back on track. The company's fiscal second-quarter results, reported after Wednesday's close, however, tainted those strong delivery figures. Here's a closer look.
Profitability pressure Yes, despite beating analysts' top-line expectations, Tesla's Q2 earnings fell short of estimates. The company turned $28.2 billion in revenue into a per-share profit of $0.33, versus analysts' consensus forecasts of $26.3 billion and $0.50, respectively.
Granted, the company is establishing or growing several different businesses with unpredictable developmental costs. These include solar panels and energy storage batteries, of course, but also robotaxis and, soon, humanoid robotics. That's why the earnings miss doesn't necessarily mean a great deal.
Image source: Getty Images.
The fact that its breadwinning electric vehicle business is showing signs of marketability strain, though, is a concern. Tesla might not be able to support the ongoing development of these other ventures from its EV operation as well as previously expected.
The graphic below tells the tale. Last quarter's total EV deliveries bounced back to 480,126 units. But these cars generated an average of $2,613 less revenue than they did just a quarter earlier. The production cost for each of the vehicles manufactured in Q2, meanwhile, grew by more than $6,000 apiece, and even ticked a bit higher based on last quarter's surging deliveries.
Data source: Tesla quarterly reports. Chart by author.
Connect the dots. Tesla is spending more to make less money on every car it manufactures or delivers.
Blame competition, mostly OK, it's not quite as alarming as last quarter's per-car metrics imply. The company was still bringing some of its capacity back online during this time, particularly in Europe, which can incur costs that don't result in immediate revenue. I'll want to see at least another quarter's worth of data before jumping to conclusions.
There's no denying, however, that Tesla has a pricing-power problem that can't simply be chalked up to selling fewer of its more expensive Model S and Model X EVs. Last quarter's price cuts coincide with the expanded availability of other electric vehicles... especially those made by China's BYD (BYDDY +1.47%), which delivered 557,090 battery-electric vehicles of its own in Q2, with many of them suddenly being shipped to Europe, where Tesla previously dominated. It would be naïve to believe the availability of these alternatives isn't taking a toll on the relative marketability -- and therefore pricing power -- of Tesla-made electric vehicles.
It's not like these rivals are suddenly going to back down either, now that they're finally finding their full stride. Look for the pricing pressure Tesla is now facing to persist.
Just tread lightly This doesn't necessarily mean Tesla's shares are un-ownable. As has been frequently pointed out, this stock is now being priced as much on its AI robotics potential as it is its electric vehicle business. This, of course, creates and maintains a premium.
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It also invites volatility, though, in addition to setting the stage for poor performance if the company's robotics ambitions don't pay off as well or as soon as hoped.
In other words, there's more than a little that could go wrong for this stock. Tread lightly.
AI is supposed to help businesses accelerate. But Google search just grew slower than the quarter before. And -- judging by the headlines about the earnings report -- almost nobody noticed.
Alphabet's (GOOG +0.65%)(GOOGL +0.94%) second-quarter report this week buried the figure under two louder storylines -- a $99 billion paper gain on its equity stakes, and another increase in capital spending plans, to a range topping out at $205 billion this year. The market reacted to the spending, sending shares down about 7% on Thursday.
But I'd argue the Search number deserves more attention than either. Google Search & other revenue, the biggest single line in Alphabet's business, grew 17% year over year to $63.3 billion. In the first quarter, it grew 19%.
And with investors increasingly asking how much of Google's core franchise AI (artificial intelligence) chatbots could eventually take, a Search slowdown is the number the bears have been waiting for. So it's worth being precise about what happened.
Image source: Getty Images.
The end of a four-quarter streak Search had been on a remarkable run of acceleration. Its year-over-year growth rate went from 10% in the first quarter of 2025 to 12% in the second quarter, 15% in the third, 17% in the fourth, and 19% in the first quarter of 2026. That's four consecutive quarters of speeding up. The second quarter's 17% snapped the streak.
To be clear, 17% is still a spectacular rate for a business generating more than $63 billion a quarter. Search's growth last quarter matched the fastest rate it posted in any quarter of 2025. This is a slowdown only in the sense that a very good number followed an even better one.
And the comparison math matters here. A year ago, Search was lapping 10% growth -- its softest quarter in the sequence. Last quarter, it was lapping 12%. Stack the two years together (17% on top of last year's 12%, versus 19% on top of 10%), and growth over the two-year period comes out to about 31% in both the first and second quarters of 2026. On that basis, Search didn't slow at all. The deceleration looks more like a tougher comparison than a change in demand.
Management's evidence points the same way.
"Our popular AI features are driving Search query growth," CEO Sundar Pichai said in Alphabet's second-quarter earnings release, adding that the Gemini app now has 950 million monthly active users. That's the opposite of what share loss to AI assistants should look like, at least so far.
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The context around the number The rest of the report makes the Search figure easier to carry. Alphabet's total revenue rose 24% year over year to $119.8 billion, the company's 12th consecutive quarter of double-digit growth. The company's cloud computing segment, Google Cloud, saw revenue accelerate to 82% growth, reaching $24.8 billion, and the segment's operating margin expanded to 35.6% from 20.7% a year earlier. YouTube ads grew 13% to $11.1 billion, and subscriptions grew 15%.
This is not a company leaning on one growth engine.
Of course, the bear case doesn't need this quarter to prove anything. The argument is about the next several years. If consumers gradually shift their questions from a search bar to AI assistants, the erosion could show up slowly, then all at once.
One decelerating quarter with a flat two-year trend isn't evidence that's happening. But the metric now has investors' attention, and the third quarter will lap a 15% comparison -- harder than last quarter's 12%. If the two-year math starts shrinking from 31%, that would be the earlier warning worth acting on.
I think the takeaway is this: the capital spending debate knocked the stock down, but the Search number is the one that decides if Alphabet's franchise is intact. This quarter, it held up better than the headline rate suggests. I'd keep owning the stock. Just watch the two-year math from here, because that's the version of this number that will be worth watching to see whether the AI worries turn out to be right.
SummaryI am upgrading Alphabet from HOLD to BUY. My skepticism on advertising dependence has not changed, but the risk profile around it has, especially following regulatory news.Q2 was operationally excellent, with 24% revenue growth, 82% cloud growth, and a $514 billion backlog.The recent DMA fine is 0.22% of global turnover. Combined with the Android case now final, a decade of European legal risk is priced and closed. The stock fell anyway.With $195 billion to $205 billion of 2026 capex converting into depreciation, EPS will fight a D&A headwind. The rerating, not the earnings, has to deliver the return.My scenarios: 18x bear at ~$248, 25x to 28x base at ~$345 to $386, and 32x to 35x bull at ~$442 to $483 against ~$318 today. The asymmetry is what makes this a BUY. Getty Images
As an AI bull, I have for a long time underestimated what role Alphabet Inc. (GOOG) (GOOGL) could play in the AI race. Google today has a fully integrated AI “supply chain”, starting with their
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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.
SummaryIn this episode, Mike Larson sits down with Eva Ados, COO and chief investment strategist at ERShares, and Mark Mahaney, director of internet research at Evercore ISI.The conversation begins with Eva explaining why companies are staying private longer - and how that shift means a growing share of their value creation can occur before an IPO.Mark then explains why highly anticipated IPOs often trade below their offering prices after going public.For investors interested in IPOs, private-market access, Artificial Intelligence, SpaceX, Amazon, and identifying elite growth companies during periods of weakness, this episode delivers a practical framework for finding opportunity beyond the market’s biggest headlines. primeimages/E+ via Getty Images
By Mike Larson
Mike Larson: Hi there. I'm Mike Larson, Editor-in-Chief with MoneyShow. Coming to you from the MoneyShow Masters Symposium in Las Vegas. Today, I'm sitting now with Eva Ados, COO and Chief Investment Strategist at ERShares, and Mark Mahaney, Director of
SummaryAmazon.com, Inc. remains a Strong Buy despite recent share declines and elevated CapEx, driven by AI and space infrastructure investments.AMZN's near-term margin pressure stems from heavy AI infrastructure and Amazon Leo satellite network spending, impacting free cash flow.Key growth axes include AWS expansion, custom silicon, high-margin advertising, and the emerging Amazon Leo broadband constellation.My base case price target is adjusted to $284.28, reflecting higher CapEx; free cash flow and CapEx discipline are the critical watch items.Looking for more investing ideas like this one? Get them exclusively at The Aerospace Forum. Learn More » Crovik Media/iStock via Getty Images
Shares of Amazon.com, Inc. (AMZN) have lost 11.9% since my last report driven by concerns on AI infrastructure spending, and the associated return on investment. While Amazon’s AI buildout provides a substantial drag on
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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.
SummaryWhile critics panic over increasing CapEx, Amazon’s $143 billion cash reserves generate enough in quarterly interest income to fund debt obligations.Amazon has $364 billion, and counting, in legally binding, long-term cloud contracts that ensure data center compute capacity is accounted for before construction completes.Though infrastructure investments have temporarily reduced short-term free cash flow, these assets are projected to deliver highly profitable returns by the end of 2028 and for many years to follow.Editor's note: Seeking Alpha is proud to welcome MarginMinded as a new contributing analyst. You can become one too! Share your best investment idea by submitting your article for review to our editors. Get published, earn money, and unlock exclusive SA Premium access.
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I currently own shares in $AMZN. I do not own any options or other derivatives in AMZN. I will not buy/sell shares, options, or other derivatives of AMZN for the 72 hours defined above. I will not initiate any trades for this position per the 72 hours defined above.
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.
SummaryMicrosoft remains my top AI winner, leveraging its software moat, cash reserves, and strategic OpenAI stake.MSFT's aggressive CapEx and cloud investments are justified by rapid growth in intelligent cloud, driving operating income and margins higher.I expect a short-term selloff post-earnings due to negative free cash flow and CapEx concerns, but view this as a buy-the-dip opportunity.MSFT's long-term thesis remains intact: cloud revenue growth, strong margins, and resilience against AI bubble fallout position it for sustained leadership.lcva2/iStock Editorial via Getty Images
I've been a Microsoft Corporation (MSFT) shareholder for a long time, and it's not always been easy to sit with its stock, but I stand by what I said back in 2024: Microsoft
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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.
IRVINE, Calif.--(BUSINESS WIRE)-- #BusinessTechnology--TrustedTech is among the first Microsoft CSPs selected for Unified for Partners, advancing next-generation partner-led support.
SummaryMicrosoft Corporation’s earnings setup is unusually asymmetric: Azure can deliver near-40% growth, and the stock could still fall if management raises CapEx again.The key question for Microsoft is no longer whether AI demand exists, but whether it can convert massive infrastructure spending into enough revenue, margins, and free cash flow.Commercial RPO reached $627B, giving Microsoft far more revenue visibility than a company building capacity without committed customers.This article maps the bull, base, and bear scenarios for Microsoft Azure, CapEx, and the likely stock reaction after earnings.I remain bullish on MSFT stock and would view post-earnings weakness as an opportunity, provided Azure demand, AI monetization, and operating leverage remain intact. Getty Images
Executive Summary In chess, there are times when the game isn't won by keeping all your pieces but by accepting the sacrifice of one to capture the center and prepare the decisive attack. This is an awkward choice, because in
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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.
SummaryAdvanced Micro Devices, Inc. is rated a buy, with a fair value range of $550–$690, driven by secular AI compute demand and expanding CPU and GPU TAM.Confidence is highest in AMD's CPU business, given visible pricing power and a 46% x86 server revenue share, while GPU growth is more dependent on price-driven market share gains.Key risks include TSMC CoWoS capacity constraints, ARM's rising CPU market share, and potential multiple compression regardless of earnings delivery.AMD's margin profile is supported by recent results: Q1 2026 gross margin at 55%, data center operating margin at 28%, and further margin expansion guided for Q2. Robert Way/iStock Editorial via Getty Images
Advanced Micro Devices, Inc. (AMD) has been creating a narrative around itself of both an eater of the data center GPU TAM pie and a leader in the CPU inference market, with a
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Analyst’s Disclosure: I/we have a beneficial long position in the shares of AMD either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Nike (NKE - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this athletic apparel maker have returned +0.2%, compared to the Zacks S&P 500 composite's +0.6% change. During this period, the Zacks Shoes and Retail Apparel industry, which Nike falls in, has lost 3.2%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Nike is expected to post earnings of $0.43 per share, indicating a change of -12.2% from the year-ago quarter. The Zacks Consensus Estimate has changed -6.1% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $1.74 points to a change of +10.1% from the prior year. Over the last 30 days, this estimate has changed -5.8%.
For the next fiscal year, the consensus earnings estimate of $2.35 indicates a change of +35.1% from what Nike is expected to report a year ago. Over the past month, the estimate has changed -8.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Nike is rated Zacks Rank #4 (Sell).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Nike, the consensus sales estimate of $11.46 billion for the current quarter points to a year-over-year change of -2.2%. The $46.28 billion and $48.15 billion estimates for the current and next fiscal years indicate changes of -0.2% and +4%, respectively.
Last Reported Results and Surprise HistoryNike reported revenues of $10.97 billion in the last reported quarter, representing a year-over-year change of -1.1%. EPS of $0.2 for the same period compares with $0.14 a year ago.
Compared to the Zacks Consensus Estimate of $10.85 billion, the reported revenues represent a surprise of +1.13%. The EPS surprise was +81.82%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Nike is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Nike. However, its Zacks Rank #4 does suggest that it may underperform the broader market in the near term.
Amkor shares are climbing with conviction. Why is AMKR stock up today? Nvidia–Amkor $1.5B Pact Boosts AI PackagingAmkor has already supplied advanced packaging solutions supporting Nvidia platforms across data center processors, networking chipsets, and accelerated computing systems. The expanded partnership is designed to bring new technologies to market at scale as AI infrastructure demand grows, while strengthening domestic semiconductor manufacturing and supply-chain resilience.
“This strategic partnership with NVIDIA underscores the central role advanced packaging plays in enabling the future of AI,” said Kevin Engel, CEO of Amkor Technology. “Our agreement with NVIDIA accelerates our long-term roadmap and supports our ability to deliver full turnkey advanced packaging and test solutions.”
Amkor Shares Race HigherAMKR Price Action: At the time of publication, Amkor shares are trading 4.94% higher at $68.56, according to data from Benzinga Pro.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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Key Takeaways American Airlines reported record Q2 sales, with adjusted EPS of $0.15 and revenues of $16.74B.Premium unit revenues rose more than 13% YoY as AAL expanded premium offerings and fleet upgrades.AAL's AAdvantage enrollment increased over 30% YoY, supported by growth in major markets. American Airlines Group Inc. (AAL - Free Report) used its second-quarter earnings call to highlight progress from its commercial strategy, with management emphasizing premium revenues, loyalty growth and network improvements despite higher fuel costs.
Executives also pointed to a challenging fuel environment while maintaining that revenue momentum and cost discipline can improve profitability as conditions normalize.
AAL Highlights Commercial Strategy ProgressCEO Robert Isom said American Airlines’ four-pillar commercial strategy is producing measurable results across customer experience, network growth, premium revenues and loyalty. He noted that second-quarter revenues reached a record level, helping offset a substantial increase in fuel expense.
The company reported adjusted earnings of $0.15 per share, topping the Zacks Consensus Estimate of $0.03 by 400%. Revenues came in at $16.74 billion, beating the Zacks Consensus Estimate of $16.70 billion.
Management emphasized that American Airlines ended the quarter with $11.3 billion in liquidity while continuing efforts to improve efficiency and strengthen the balance sheet.
American Airlines Expands Premium FocusChief commercial officer Nathaniel Pieper highlighted stronger premium demand as a key driver of revenue improvement. Premium unit revenues increased more than 13% year over year, outperforming Main Cabin performance.
American Airlines said managed corporate revenues increased 26% year over year, marking the fifth consecutive quarter of double-digit growth. Premium demand also benefited from expanded offerings and fleet upgrades.
The company is increasing premium capacity through new Boeing 787-9 and Airbus A321XLR deliveries, along with retrofit programs across existing aircraft. Premium seats are expected to grow faster than non-premium capacity.
AAL Addresses Fuel Pressure and CostsChief financial officer Devon May said fuel expense increased by more than $2.2 billion year over year during the quarter. He noted that revenue strength recovered nearly half of that increase.
American Airlines expects third-quarter capacity growth of 3% to 5% year over year and revenue growth of 16% to 19%. CASM, excluding special items, fuel and profit sharing, is expected to increase 2.5% to 4.5%.
Management guided for full-year adjusted earnings in the range of a loss of $0.65 to a profit of $0.65 per share, citing higher fuel costs as a major factor.
American Airlines Builds Loyalty MomentumPieper said AAdvantage enrollment increased more than 30% year over year in the second quarter, supported by growth in major markets and internationally. The company also highlighted continued engagement through its credit card relationship.
Second-quarter card spend increased 8% year over year. Management described loyalty as a core component of its long-term revenue strategy.
Customer experience improvements were another focus, with American Airlines reporting higher customer satisfaction metrics and continued gains in on-time flight satisfaction.
AAL Faces Analyst Questions on CapacityDuring Q&A, an Evercore ISI analyst questioned why American Airlines was not making larger capacity reductions amid fuel volatility. Isom said the company is adjusting capacity based on demand and fuel conditions while remaining focused on long-term network performance.
A Bernstein analyst asked whether AAL should reduce parts of its network to improve financial returns. Pieper said the company is selectively optimizing its footprint, including adjustments in certain hubs.
Management also defended its premium strategy when questioned about aircraft configurations. Pieper said American Airlines is matching aircraft types and premium offerings with market demand while maintaining operational flexibility.
American Airlines Sets Long-Term PrioritiesManagement maintained that improving revenue generation remains the central opportunity for American Airlines. Isom said the company is focused on customer experience, network strength, premium offerings and loyalty as drivers of future performance.
AAL expects capital expenditures of about $4 billion in 2026 and said it remains committed to reducing debt while maintaining liquidity.
Executives highlighted improving revenue trends entering the second half of the year while acknowledging continued pressure from fuel costs and industry volatility.
Zacks Rank and Style Scores SignalsAAL sports a Zacks Rank #1 (Strong Buy) at present. The Zacks Rank is primarily driven by earnings estimate revisions and is designed to help identify stocks with stronger potential performance over a one-to-three-month timeframe. You can see the complete list of today’s Zacks #1 Rank stocks here.
The stock carries a Value Score of A, Growth Score of B, Momentum Score of D and VGM Score of A. Zacks Style Scores evaluate value, growth and momentum characteristics, with higher grades indicating stronger attributes within each category.
A Zacks Rank #1 combined with favorable Style Scores can indicate stronger stock-selection characteristics, although the Zacks Rank and Style Scores can change as earnings estimates and market conditions evolve after reported results.
Silver’s spectacular rise and brutal collapse in 2026 may look like the classic boom and bust story. But the metal’s rollercoaster ride is more complex: Silver was caught in the crossfire of the Iran war as investors fled precious metals, the US Dollar strengthened and rate-cut expectations faded. But Silver’s industrial backbone remains intact, supported by surging demand from artificial intelligence, renewable energy and electrification. This should keep bears on hold for the rest of the year, unless another wave of policy uncertainty from Mr. Donald Trump changes the equation.
Silver started the second half of the year trading near levels last seen in September 2025. Back then, global inflation among major economies was as close to central banks’ goals as it had ever been since the Coronavirus pandemic global disruptions. And yet, concerns about mounting price pressures – triggered by United States (US) President Donald Trump's protectionist measures – pushed the metal to a record peak of $121.65 an ounce by January 2026.
It was not just fears of mounting inflationary risks. Silver also benefited from tech demand, focused on the AI boom, electric vehicles and solar power production, with demand for the metal outpacing supply, further boosting its price.
What happened next, none saw coming. And while fears turned into panic, Silver more than halved its price in a couple of months. How come?
US President Trump decided that the US would need to lead the Oil market. Taking over Venezuela was “easy”, but Iran proved much more complicated. Global tensions increased demand for safety, and market players rushed into the US Dollar (USD) and dropped precious metals’ longs. Logical, given that Oil prices more than doubled in a couple of months and triggered speculation that inflation would soar.
The US Dollar (USD) strengthened on the back of speculation that the Federal Reserve (Fed) would have no choice but to respond to inflationary pressures by hiking interest rates. The case for higher rates was further supported by Jerome Powell ending his term as the Fed’s Chair and Kevin Warsh, Trump's new favorite, taking his place.
Geopolitics and protectionism aren’t helping Silver this timeUS policies, or better said, Donald Trump policies, stand in the eye of the storm and are the main market mover these days, and most likely, will remain so for the rest of the year.
On the one hand, the Middle East war, the main inflationary factor, has no end in sight. The closure of the Strait of Hormuz, a critical sea passage for major Oil producers’ vessels, is likely to revive inflationary pressures amid escalating tensions at the start of Q3. The temporary June relief is likely to be wiped out in less than a month should the conflict continue.
With mounting speculation that inflation will soar comes rate hike bets. The odds for a Fed hike before year-end see-saw accordingly to data under Warsh's leadership, yet for the most part, the USD is likely to find demand should the war continue. This isn’t good for Silver.
However, on the other hand, President Trump revived protectionism in mid-July, and resumed threatening tariffs left and right – the main factor that pushed the Greenback into an abyss throughout 2025 – despite, well, TACO.
So, will the Greenback turn north on war doldrums, or south amid widespread tariffs? Not an easy question to answer, but generally speaking, both are seen as inflationary factors, which means the Fed is likely to pull the trigger more than once before year-end.
Given that other major central banks are also on the tightening path, the Fed’s hikes may be enough to prevent the USD from collapsing this time, but it seems hard for the American currency to gain massive momentum across the board.
But it is not only about the USD. There are always two factors in the equation.
Where is Silver demand heading?Silver is considered an outstanding electrical and thermal conductor, a key component of the technological transformation driving the global economy. This means that, beyond speculative interest, prices soared amid global industrial demand.
Solar energy, electric vehicles, data centers, and artificial intelligence are expected to drive demand higher through 2030, according to a report released by the Silver Institute. “The acceleration of digitalization and the widespread adoption of AI are expected to continue gathering pace, placing growing demands on both digital and physical infrastructure.”
Global Silver industrial use is poised to grow further as demand from vital technology sectors accelerates over the next five years.
And what’s up with supply?Demand outpaced supply for a fifth consecutive year in 2025, and expectations indicate that 2026 would be the sixth shortfall in a row.
Global mined Silver supply increased by 3% YoY to 846.6Moz in 2025, while recycling climbed to a 12-year high of 197.6Moz. Still, the Silver market ran an annual deficit of 40.3Moz in the same year. Such a deficit is expected to widen to 46.3Moz, with mine production expected to stay roughly flat through 2026, according to the Silver Institute.
Source: Mining Visuals, Silver Survey 2026
The Silver demand/supply imbalance should inevitably result in higher Silver prices, particularly if, as expected, mining supply remains flat. As long as consumption remains above production, the most likely scenario for the rest of 2026, a sharp decline in Silver prices is out of the picture.
Fundamental ConclusionSilver has the highest electrical conductivity of any metal. Demand is widely anticipated to surpass supply, which means that, beyond speculative interest, the precious metal has life of its own. And that “life” points to a price recovery in the second half of the year.
The extent of Silver recovery will be conditioned by USD demand, while the latter will depend on sentiment related to the impact of Trump’s policies.
Regardless of his aggressive threats and the noise those trigger, the better chance the US Dollar has, and thus the worst scenario for Silver, is the end of the Middle East war combined with a hawkish Fed, not the most likely scenario.
Technical OutlookSilver peaked at a record high of $121.66 in January and fell to a yearly low of $54.77 in July. The XAG/USD pair has spent the month seesawing around $58.50, which suggests the monthly low is turning into a relevant bottom. The bright metal's bearish momentum seems to be over, as it holds flat for July despite the US Dollar Index (DXY) retaining a good chunk of its monthly gains.
There is still a chance of lower lows, with a major barrier at the psychological $50 mark, a level Silver conquered in October 2025. As long as the level holds, the odds skew the risks to the upside, although the way north won’t be easy.
The first threshold to reconquer is the not-too-far $61 area. The price zone has provided relevant support in S1, and attempts to run beyond it in July have been quickly reversed. Once Silver settles above it, the next relevant barrier comes at $74, an inflection point through Q2. If somehow Silver regains the latter, the initial rally could extend towards $88 en route to the $100 magical mark.
Losing the $50 threshold for good opens the door for a test of $39, while losses below the latter are quite unlikely given the macro scenario.
Technical readings in the monthly chart show that the massive decline remains corrective. The XAG/USD pair remains far above a bullish 20 Simple Moving Average (SMA), currently at around $52, while the longer 100 and 200 SMAs lack directional strength below the $28 level, too far away to be relevant in the upcoming months. The same chart shows that technical indicators have erased extreme overbought conditions and begun flattening within positive territory, limiting the bearish case.
This article was written by Doug Nathman, with research by his team at Trefis.
If you own Netflix (NFLX) shares, you already understand this year has been challenging. The stock has declined 44% over the last 12 months, an arduous journey while the overall market has risen. The market is evidently factoring in substantial apprehension. The critical question is whether it is considering the correct issues.
CHONGQING, CHINA - JULY 13: In this photo illustration, a person holds a smartphone in vertical orientation displaying the red N logo of Netflix, Inc. (NASDAQ: NFLX) in front of a blurred background showing the company name in bold red letters on July 13, 2025. (Photo illustration by Cheng Xin/Getty Images)
Getty Images
The primary risk for Netflix at present goes beyond its competition or content expenditure to include a crisis of transparency. As the company’s previous, straightforward growth narrative loses momentum, it is being supplanted by a more intricate and obscure story, calling for investor faith at precisely the time when clear, affirmative signals are becoming more elusive.
When Slowing Growth Meets A New Narrative
The most apparent issue is the deceleration. Following years of vigorous growth, Netflix’s revenue is beginning to show signs of maturation. Year-over-year revenue growth in the latest quarter was 13.4%, the slowest rate in several quarters. Furthermore, the forecast does not indicate a rapid rebound; management’s guidance for the upcoming quarter suggests revenue growth close to 12.0%. An analyst during the company’s earnings call directly inquired about the slowdown, indicating that the market is paying close attention to this trend.
This is significant because a reduction in revenue exerts direct pressure on the earnings growth that supports the stock’s valuation. Although its price-to-earnings ratio of 21.0 is comparatively low based on historical standards, it still necessitates faith in future growth. Should this slowdown become the norm, the stock may undergo further devaluation, even from its current diminished state. The entire investment premise relies on the firm’s ability to maintain what it describes as “healthy revenue and profit growth.”
The Issue With ‘Trust Us’ Metrics
Compounding the growth dilemma is a transition in how Netflix wishes you to assess its success. For many years, investors could monitor subscriber growth and, more recently, viewing hours. However, with management conceding that “reported viewing hours per member have softened,” the focus is shifting toward what the company terms “engagement quality.”
What does that imply? We aren't entirely certain. Executives characterized the specifics of these quality metrics as a “competitive advantage” they intend to keep private. This transition from a clear, albeit flawed, metric to a proprietary obscurity poses a substantial risk. It requires investors to trust that conditions are improving behind the scenes, all while visible metrics are declining. This shift away from clear metrics poses a crucial question for investors, which is explored further in other analyses. The options market appears to reflect this uncertainty, with implied volatility at the 78th percentile of its annual range, indicating expectations of an unusually significant stock movement.
The risk here pertains to confidence. If the main indicator of the platform’s health is a metric that remains visible only to the company, it becomes much more challenging for investors to evaluate the business. This lack of transparency could result in a sustained discount on the stock, as the market requires a greater margin of safety for a narrative it cannot independently verify.
Ultimately, Netflix’s primary vulnerability is that its narrative is becoming more complex just as its growth is slowing down. The real challenge will be whether its new initiatives in advertising, live events, and gaming can revitalize growth and produce the one metric that cannot be obscured: accelerating revenue.
How Much Hidden Risk Are You Already Bearing?
A threat of this nature serves as a reminder that each stock you possess carries risks that may not always be visible, and the options market quantifies that uncertainty: the anticipated movement it indicates for the upcoming year. If you prefer not to shoulder the risk of this one stock alone, an ETF in communication services like XLC diversifies this risk across the sector.
The Trefis High Quality (HQ) Portfolio assesses the comprehensive quality across thousands of stocks, retains the 30 strongest, and re-balances them according to rules that prevent any one position from jeopardizing the entire portfolio.
Bank of America said on Friday it has increased its quarterly common stock dividend by 4 cents or 14%, to 32 cents a share, with its CEO Brian Moynihan citing the lender's commitment to return excess capital to shareholders.
Walmart (WMT - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Shares of this world's largest retailer have returned -6.4% over the past month versus the Zacks S&P 500 composite's +0.6% change. The Zacks Retail - Supermarkets industry, to which Walmart belongs, has lost 9% over this period. Now the key question is: Where could the stock be headed in the near term?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Walmart is expected to post earnings of $0.74 per share, indicating a change of +8.8% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
The consensus earnings estimate of $2.89 for the current fiscal year indicates a year-over-year change of +9.5%. This estimate has changed +0.1% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $3.27 indicates a change of +13.3% from what Walmart is expected to report a year ago. Over the past month, the estimate has changed +0.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Walmart is rated Zacks Rank #2 (Buy).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of Walmart, the consensus sales estimate of $186.4 billion for the current quarter points to a year-over-year change of +5.1%. The $750.01 billion and $783.74 billion estimates for the current and next fiscal years indicate changes of +5.2% and +4.5%, respectively.
Last Reported Results and Surprise HistoryWalmart reported revenues of $177.75 billion in the last reported quarter, representing a year-over-year change of +7.3%. EPS of $0.66 for the same period compares with $0.61 a year ago.
Compared to the Zacks Consensus Estimate of $174.56 billion, the reported revenues represent a surprise of +1.83%. The EPS surprise was +1.54%.
Over the last four quarters, Walmart surpassed consensus EPS estimates three times. The company topped consensus revenue estimates each time over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Walmart is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Walmart. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.
Dimensional Fund Advisors LP raised its stake in shares of JPMorgan Chase & Co. (NYSE:JPM – Free Report) by 3.3% in the first quarter, according to the company in its most recent disclosure with the SEC. The firm owned 18,968,884 shares of the financial services provider’s stock after acquiring an additional 607,288 shares during the quarter. JPMorgan Chase & Co. makes up 1.2% of Dimensional Fund Advisors LP’s portfolio, making the stock its 6th largest holding. Dimensional Fund Advisors LP owned about 0.71% of JPMorgan Chase & Co. worth $5,578,788,000 as of its most recent filing with the SEC.
Several other institutional investors and hedge funds have also modified their holdings of JPM. Fidelis Capital Partners LLC increased its stake in shares of JPMorgan Chase & Co. by 7.9% in the 4th quarter. Fidelis Capital Partners LLC now owns 70,077 shares of the financial services provider’s stock worth $22,580,000 after acquiring an additional 5,101 shares during the last quarter. Howard Capital Management Inc. lifted its holdings in shares of JPMorgan Chase & Co. by 18.2% in the 4th quarter. Howard Capital Management Inc. now owns 25,784 shares of the financial services provider’s stock worth $8,308,000 after acquiring an additional 3,976 shares during the last quarter. Newbridge Financial Services Group Inc. lifted its stake in JPMorgan Chase & Co. by 51.7% during the fourth quarter. Newbridge Financial Services Group Inc. now owns 8,883 shares of the financial services provider’s stock worth $2,862,000 after purchasing an additional 3,027 shares in the last quarter. Brighton Jones LLC lifted its stake in JPMorgan Chase & Co. by 11.0% during the 4th quarter. Brighton Jones LLC now owns 48,732 shares of the financial services provider’s stock worth $11,682,000 after acquiring an additional 4,841 shares in the last quarter. Finally, KTF Investments LLC purchased a new position in JPMorgan Chase & Co. during the 4th quarter valued at about $6,449,000. 71.55% of the stock is owned by institutional investors and hedge funds.
Wall Street Analysts Forecast Growth Several research firms have commented on JPM. Zacks Research upgraded shares of JPMorgan Chase & Co. from a “hold” rating to a “strong-buy” rating in a research note on Thursday, July 16th. Truist Financial raised their price objective on shares of JPMorgan Chase & Co. from $344.00 to $352.00 and gave the stock a “hold” rating in a report on Wednesday, July 15th. Evercore reissued an “outperform” rating and issued a $360.00 target price on shares of JPMorgan Chase & Co. in a report on Monday, July 6th. Bank of America increased their price target on shares of JPMorgan Chase & Co. from $408.00 to $420.00 and gave the stock a “buy” rating in a research note on Thursday, July 16th. Finally, Jefferies Financial Group set a $350.00 target price on JPMorgan Chase & Co. in a research note on Tuesday, July 14th. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and eleven have assigned a Hold rating to the stock. According to MarketBeat.com, JPMorgan Chase & Co. currently has an average rating of “Moderate Buy” and a consensus price target of $358.67.
Get Our Latest Report on JPM
Key Stories Impacting JPMorgan Chase & Co. Here are the key news stories impacting JPMorgan Chase & Co. this week:
Positive Sentiment: JPMorgan raised $9 billion through debt offerings, underscoring its access to cheap funding and strong balance-sheet flexibility. JPMorgan Chase Raises $9 Billion Through Debt Offerings Positive Sentiment: The company’s Q2 results showed record revenue and a record $21.2 billion quarterly profit, reinforcing earnings momentum and helping support the stock’s recent strength. JPMorgan Chase Q2 2026 Earnings Call Transcript Positive Sentiment: Multiple market commentary pieces highlighted JPMorgan’s AI-driven efficiency and growth potential, with some suggesting the bank could be on a path toward a $1 trillion market cap. JPMorgan’s AI Advantage Positions the Bank for a $1T Market Cap Neutral Sentiment: JPMorgan amended its bylaws to strengthen board independence, a governance-related move that is unlikely to move the stock on its own. JPMorgan Chase Strengthens Board Independence With Bylaw Change Negative Sentiment: House lawmakers grilled former executive Jes Staley over Jeffrey Epstein ties, keeping reputational risk and regulatory scrutiny in the headlines. House lawmakers grill former JPMorgan executive Jes Staley over Epstein ties JPMorgan Chase & Co. Trading Up 0.3% NYSE JPM opened at $349.40 on Friday. The company has a debt-to-equity ratio of 1.30, a current ratio of 0.85 and a quick ratio of 0.86. The company has a market cap of $936.23 billion, a P/E ratio of 14.97, a P/E/G ratio of 1.54 and a beta of 0.99. JPMorgan Chase & Co. has a 12 month low of $279.10 and a 12 month high of $351.24. The company has a 50-day moving average of $322.64 and a 200-day moving average of $310.84.
JPMorgan Chase & Co. Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Friday, July 31st. Stockholders of record on Monday, July 6th will be paid a $1.50 dividend. The ex-dividend date is Monday, July 6th. This represents a $6.00 dividend on an annualized basis and a dividend yield of 1.7%. JPMorgan Chase & Co.’s dividend payout ratio (DPR) is 25.71%.
Insider Buying and Selling at JPMorgan Chase & Co. In related news, COO Jennifer Piepszak sold 4,919 shares of the firm’s stock in a transaction on Tuesday, May 5th. The shares were sold at an average price of $309.42, for a total transaction of $1,522,036.98. Following the completion of the sale, the chief operating officer directly owned 85,082 shares of the company’s stock, valued at approximately $26,326,072.44. This trade represents a 5.47% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Stacey Friedman sold 5,467 shares of JPMorgan Chase & Co. stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $330.73, for a total value of $1,808,100.91. Following the sale, the general counsel directly owned 40,961 shares in the company, valued at approximately $13,547,031.53. The trade was a 11.78% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 18,876 shares of company stock valued at $5,907,051 over the last 90 days. 0.41% of the stock is owned by corporate insiders.
JPMorgan Chase & Co. Company Profile (Free Report)
JPMorgan Chase & Co (NYSE: JPM) is a diversified global financial services firm headquartered in New York City. The company provides a wide range of banking and financial products and services to consumers, small businesses, corporations, governments and institutional investors worldwide. Its operations span retail banking, commercial lending, investment banking, asset management, payments and card services, and treasury and securities services.
The firm’s principal business activities are organized across several core lines: Consumer & Community Banking, which offers deposit accounts, mortgages, auto loans, credit cards and branch and digital banking under the Chase brand; Corporate & Investment Banking, which provides capital markets, advisory, underwriting, trading and risk management services; Commercial Banking, delivering lending, treasury and capital solutions to middle-market and corporate clients; and Asset & Wealth Management, which offers investment management, private banking and retirement services to institutions and high-net-worth individuals.
Featured Articles Five stocks we like better than JPMorgan Chase & Co. Premium Retail’s Stress Test Is Separating Winners From Losers D-Wave Quantum or a Quantum ETF: Which Is the Better Bet? GE Vernova Just Sent a Mixed AI Signal to Investors Alphabet Crushed Earnings, But One Number Spooked the Market
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Decker Wealth Management LLC acquired a new stake in shares of JPMorgan Chase & Co. (NYSE:JPM – Free Report) during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The firm acquired 2,241 shares of the financial services provider’s stock, valued at approximately $659,000.
A number of other large investors also recently bought and sold shares of JPM. Timmons Wealth Management LLC bought a new position in shares of JPMorgan Chase & Co. in the 4th quarter worth $27,000. Caitong International Asset Management Co. Ltd bought a new stake in JPMorgan Chase & Co. during the fourth quarter valued at about $32,000. MBM Wealth Consultants LLC bought a new stake in JPMorgan Chase & Co. during the first quarter valued at about $29,000. Osbon Capital Management LLC purchased a new position in JPMorgan Chase & Co. in the fourth quarter valued at about $35,000. Finally, Turning Point Benefit Group Inc. purchased a new position in JPMorgan Chase & Co. in the third quarter valued at about $35,000. Institutional investors own 71.55% of the company’s stock.
Analyst Ratings Changes A number of analysts have recently weighed in on JPM shares. DZ Bank restated a “neutral” rating on shares of JPMorgan Chase & Co. in a report on Wednesday, April 15th. Barclays boosted their price objective on shares of JPMorgan Chase & Co. from $391.00 to $420.00 and gave the stock an “overweight” rating in a research note on Wednesday, July 15th. UBS Group raised their target price on shares of JPMorgan Chase & Co. from $375.00 to $384.00 and gave the company a “buy” rating in a research note on Tuesday, July 7th. Morgan Stanley reaffirmed a “positive” rating and set a $370.00 price target on shares of JPMorgan Chase & Co. in a research report on Wednesday, July 15th. Finally, The Goldman Sachs Group reiterated a “buy” rating and set a $418.00 price objective on shares of JPMorgan Chase & Co. in a report on Tuesday, July 14th. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and eleven have assigned a Hold rating to the stock. According to data from MarketBeat.com, JPMorgan Chase & Co. currently has an average rating of “Moderate Buy” and an average target price of $358.67.
View Our Latest Report on JPM
Insider Buying and Selling In other news, CFO Jeremy Barnum sold 3,022 shares of the business’s stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $309.41, for a total value of $935,037.02. Following the completion of the transaction, the chief financial officer owned 32,438 shares of the company’s stock, valued at $10,036,641.58. The trade was a 8.52% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Stacey Friedman sold 5,468 shares of the firm’s stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $300.27, for a total value of $1,641,876.36. Following the sale, the general counsel directly owned 46,428 shares in the company, valued at approximately $13,940,935.56. This trade represents a 10.54% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 18,876 shares of company stock worth $5,907,051. 0.41% of the stock is owned by company insiders.
Key JPMorgan Chase & Co. News Here are the key news stories impacting JPMorgan Chase & Co. this week:
Positive Sentiment: JPMorgan raised $9 billion through debt offerings, underscoring its access to cheap funding and strong balance-sheet flexibility. JPMorgan Chase Raises $9 Billion Through Debt Offerings Positive Sentiment: The company’s Q2 results showed record revenue and a record $21.2 billion quarterly profit, reinforcing earnings momentum and helping support the stock’s recent strength. JPMorgan Chase Q2 2026 Earnings Call Transcript Positive Sentiment: Multiple market commentary pieces highlighted JPMorgan’s AI-driven efficiency and growth potential, with some suggesting the bank could be on a path toward a $1 trillion market cap. JPMorgan’s AI Advantage Positions the Bank for a $1T Market Cap Neutral Sentiment: JPMorgan amended its bylaws to strengthen board independence, a governance-related move that is unlikely to move the stock on its own. JPMorgan Chase Strengthens Board Independence With Bylaw Change Negative Sentiment: House lawmakers grilled former executive Jes Staley over Jeffrey Epstein ties, keeping reputational risk and regulatory scrutiny in the headlines. House lawmakers grill former JPMorgan executive Jes Staley over Epstein ties JPMorgan Chase & Co. Price Performance Shares of JPM opened at $349.40 on Friday. The firm has a market capitalization of $936.23 billion, a PE ratio of 14.97, a price-to-earnings-growth ratio of 1.54 and a beta of 0.99. The company has a debt-to-equity ratio of 1.30, a current ratio of 0.85 and a quick ratio of 0.86. JPMorgan Chase & Co. has a 1-year low of $279.10 and a 1-year high of $351.24. The company’s fifty day moving average price is $322.64 and its 200-day moving average price is $310.84.
JPMorgan Chase & Co. Dividend Announcement The company also recently declared a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Monday, July 6th will be paid a dividend of $1.50 per share. This represents a $6.00 annualized dividend and a yield of 1.7%. The ex-dividend date is Monday, July 6th. JPMorgan Chase & Co.’s payout ratio is presently 25.71%.
JPMorgan Chase & Co. Profile (Free Report)
JPMorgan Chase & Co (NYSE: JPM) is a diversified global financial services firm headquartered in New York City. The company provides a wide range of banking and financial products and services to consumers, small businesses, corporations, governments and institutional investors worldwide. Its operations span retail banking, commercial lending, investment banking, asset management, payments and card services, and treasury and securities services.
The firm’s principal business activities are organized across several core lines: Consumer & Community Banking, which offers deposit accounts, mortgages, auto loans, credit cards and branch and digital banking under the Chase brand; Corporate & Investment Banking, which provides capital markets, advisory, underwriting, trading and risk management services; Commercial Banking, delivering lending, treasury and capital solutions to middle-market and corporate clients; and Asset & Wealth Management, which offers investment management, private banking and retirement services to institutions and high-net-worth individuals.
Further Reading Five stocks we like better than JPMorgan Chase & Co. Premium Retail’s Stress Test Is Separating Winners From Losers D-Wave Quantum or a Quantum ETF: Which Is the Better Bet? GE Vernova Just Sent a Mixed AI Signal to Investors Alphabet Crushed Earnings, But One Number Spooked the Market
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Jamie Dimon, a legend on Wall Street, gave some pretty cautious commentary a few days ago in a sit-down with CNBC, commenting on global and fiscal risks that the market may very well be underestimating. Indeed, given the escalating tensions in the Middle East and the latest ascent in the price of oil, it’s hard to disagree with the JPMorgan (NYSE:JPM | JPM Price Prediction) veteran. But just because he’d not be a personal buyer of U.S. stocks or long-dated Treasury securities in this market doesn’t mean you should hit the sell button.
Are there a lot of risks that could derail this latest market rally? Most definitely. The situation in the Middle East is not going well, to say the least, and the oil markets are responding.
Jamie Dimon is right about the risks facing this market As oil rises and pockets of overvaluation within the AI trade begin to unwind, it certainly feels like the stage is set for the next big market spill. Valuations still seem quite frothy, and the lists of risks outlined by Mr. Dimon, I think, are very much worth careful consideration before making a move.
Moving ahead, it feels like stocks are about to roll over, but for long-term thinkers, I view any indiscriminate slide, like the one we had on Thursday, as more of an opportunity to do some buying if your cash hoard has been building up and you haven’t been tempted by anything in recent months.
At the end of the day, Mr. Dimon tends to sound more cautious than not. After all, he’s the top boss of JPMorgan, and he’s not exactly looking to take big swings or big risks on AI or anything else.
When it comes to market gurus, I take what they have to say with a grain of salt because, at the end of the day, the market will continue to act in unpredictable ways. And while markets are starting to feel a bit of pain amid rising tensions in the Middle East and increased chances of interest rate hikes in the second half, I do think that the AI revolution is the theme that matters most for investors willing to stick around for at least the next few years.
Jamie Dimon’s comments might be scary to some. But a little caution never hurt So, in short, Mr. Dimon’s latest comments might be frightening to some retail investors. And while I do think many investors are far too willing to pay a premium price for a wide range of stocks with less consideration for the downside risks, I also view pockets of value out there for investors who are looking for the productivity benefits from the AI revolution to come in steadily over the next three years. At the end of the day, bankers are supposed to think about managing risks.
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While Mr. Dimon’s cautious tone is worth keeping in mind, I wouldn’t necessarily look for the start of a bear market. The man didn’t even remark on one coming. At the end of the day, it feels like markets are already in the process of digesting the heightened risks, especially on the geopolitical front.
As oil, fiscal deficits, and rates climb, investors might not like the environment we find ourselves in come the end of the year. Either way, panicking and emotion-driven investing never pays off.
Alphabet stock might be a deep-value outlier Right now, I think margin of safety isn’t all too hard to find when you look at a name like Alphabet (NASDAQ:GOOG), which cratered after earnings. The massive cloud backlog wasn’t enough to convince investors to forgive the swelling CapEx.
With shares trading at around 24.0 times forward price-to-earnings (P/E), I think the behemoth AI lab is going for a massive discount, especially as the backlog continues to swell and the firm takes more control over the AI stack, from models to infrastructure and hardware (TPUs and the reported “Frozen v2” chip) to applications (Generative UX looks intriguing).
Perhaps there’s a reason Warren Buffett admitted it was him who initiated the purchase for Berkshire Hathaway (NYSE:BRK.B). It is a very Buffett-esque business with a remarkable track record and, odds are, the CapEx won’t be for nothing. While Mr. Dimon might be right about the market risks, I still think there are margins of safety in individual names for those willing to look.
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Ford Motor Company (F - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Shares of this company have returned +0.3% over the past month versus the Zacks S&P 500 composite's +0.6% change. The Zacks Automotive - Domestic industry, to which Ford Motor belongs, has lost 13.7% over this period. Now the key question is: Where could the stock be headed in the near term?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Ford Motor is expected to post earnings of $0.33 per share, indicating a change of -10.8% from the year-ago quarter. The Zacks Consensus Estimate has changed -5.3% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $1.62 points to a change of +48.6% from the prior year. Over the last 30 days, this estimate has changed -1.2%.
For the next fiscal year, the consensus earnings estimate of $1.77 indicates a change of +9.6% from what Ford Motor is expected to report a year ago. Over the past month, the estimate has changed -4.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Ford Motor is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of Ford Motor, the consensus sales estimate of $45.72 billion for the current quarter points to a year-over-year change of -2.6%. The $176.15 billion and $176.89 billion estimates for the current and next fiscal years indicate changes of +1.2% and +0.4%, respectively.
Last Reported Results and Surprise HistoryFord Motor reported revenues of $39.82 billion in the last reported quarter, representing a year-over-year change of +6.4%. EPS of $0.66 for the same period compares with $0.14 a year ago.
Compared to the Zacks Consensus Estimate of $39.34 billion, the reported revenues represent a surprise of +1.21%. The EPS surprise was +230%.
Over the last four quarters, Ford Motor surpassed consensus EPS estimates three times. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Ford Motor is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Ford Motor. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Tesla (NASDAQ: TSLA | TSLA Price Prediction) and General Motors (NYSE: GM) reported Q2 2026 results within a day of each other. Tesla posted record deliveries of 480,126 vehicles but missed on earnings. GM raised full-year guidance for the second time in 2026 on the back of truck and SUV demand.
Record Deliveries for Tesla, Record Cash for GM Tesla’s top line looked healthy. Revenue rose 25.5% year over year to $28.24 billion, and Services & Other jumped 50% to $4.58 billion at a record 14% gross margin. Under the surface, though, operating margin collapsed to 1.4% as operating expenses surged 47% on AI infrastructure, R&D, and stock-based comp tied to the 2025 CEO Performance Award.
Non-GAAP EPS came in at $0.33 versus a $0.5367 estimate, a miss of nearly 40%. Free cash flow flipped to negative $1.09 billion. FSD attach rate above 55% of new North American deliveries is a bright spot, but the software story has to carry a very heavy capex load.
GM’s quarter looked steady by comparison. Adjusted EPS of $3.57 topped the $3.1844 estimate, the fifth consecutive beat. North America carried the freight: $39.9 billion in revenue, 8.6% EBIT margin, and adjusted EBIT up 42.7%.
Adjusted auto free cash flow climbed 78% to $5.03 billion. GAAP net income fell 31% because CEO Mary Barra took a $2.28 billion EV strategic realignment charge to right-size battery capacity. That is a rare admission from a legacy automaker, and investors rewarded it.
Growth Bet vs. Cash Machine Lens Tesla GM Core Bet Robotaxi, Optimus, FSD software Trucks, SUVs, disciplined capital returns Capex Posture $25B budget under scrutiny Trimming EV overbuild Shareholder Returns None disclosed $2.8B buybacks H1, $0.18 dividend Valuation P/E 344 P/E 29 Tesla is spending like an AI hyperscaler with a car company attached. Robotaxi is now unsupervised in six US metros including Austin, Dallas, Houston, Miami, Orlando, and Tampa, and Optimus lines are being installed at Fremont.
GM is folding Cruise back into the mothership and running its truck franchise for cash. Tesla shares are down 16.83% year to date. GM is up 69.53% over the past year.
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Margins Will Decide the Second Half I will be watching whether Tesla can hold operating margin above the low single digits while capex runs hot.
The Reddit post “Tesla misses on earnings despite revenue beat” drew 184 upvotes and 91 comments, so retail is already flagging the profitability question. Piper Sandler analyst Alexander Potter lowered the firm’s price target on Tesla to $450 from $500 and keeps an Overweight rating on the shares.
For GM, the tell is whether pricing power on Silverado, Tahoe, and Escalade holds as tariff policy shifts. Prediction markets currently give Tesla only a 16.5% chance of launching robotaxis in California by year end, which tells you the crowd is not extrapolating the Texas rollout.
Where the Numbers Point Right Now If you want optionality on autonomy, humanoid robots, and AI compute inside a car company, Tesla is still the only pure play, and I understand paying up for it.
On the numbers, GM screens more defensively: a P/E near 29, a raised full-year outlook of $12 to $14 in adjusted EPS, and real buybacks anchor the story. The signal to watch on Tesla is operating margin recovering above 5% and free cash flow turning positive again.
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Commitment for ~1,800 engines*, including largest LEAP agreement ever with IndiGo Commitment for ~1,800 engines*, including largest LEAP agreement ever with IndiGo
Earnings are arguably the most important single number on a company's quarterly financial report. Wall Street clearly dives into all of the other metrics and management's input, but the EPS figure helps cut through all the noise.
We know earnings results are vital, but how a company performs compared to bottom line expectations can be even more important when it comes to stock prices, especially in the near-term. This means that investors might want to take advantage of these earnings surprises.
Hunting for 'earnings whispers' or companies poised to beat their quarterly earnings estimates is a somewhat common practice. But that doesn't make it easy. One way that has been proven to work is by using the Zacks Earnings ESP tool.
The Zacks Earnings ESP, ExplainedThe Zacks Expected Surprise Prediction, or ESP, works by locking in on the most up-to-date analyst earnings revisions because they can be more accurate than estimates from weeks or even months before the actual release date. The thinking is pretty straightforward: analysts who provide earnings estimates closer to the report are likely to have more information.
With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure. The system also utilizes our core Zacks Rank to provide a stronger system for identifying stocks that might beat their next quarterly earnings estimate and possibly see the stock price climb.
When we join a positive earnings ESP with a Zacks Rank #3 (Hold) or stronger, stocks posted a positive bottom-line surprise 70% of the time. Plus, this system saw investors produce roughly 28% annual returns on average, according to our 10 year backtest.
Stocks with a #3 (Hold) ranking, which is most stocks covered at 60%, are expected to perform in-line with the broader market. But stocks that fall into the #2 (Buy) and #1 (Strong Buy) ranking, or the top 15% and top 5% of stocks, respectively, should outperform the market. Strong Buy stocks should outperform more than any other rank.
Should You Consider TransDigm Group?Now that we understand what the ESP is and how beneficial it can be, let's dive into a stock that currently fits the bill. TransDigm Group (TDG - Free Report) earns a #3 (Hold) right now and its Most Accurate Estimate sits at $10.26 a share, just 11 days from its upcoming earnings release on August 4, 2026.
By taking the percentage difference between the $10.26 Most Accurate Estimate and the $10.21 Zacks Consensus Estimate, TransDigm Group has an Earnings ESP of +0.42%. Investors should also know that TDG is one of a large group of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
TDG is part of a big group of Aerospace stocks that boast a positive ESP, and investors may want to take a look at GE Aerospace (GE - Free Report) as well.
GE Aerospace is a Zacks Rank #3 (Hold) stock, and is getting ready to report earnings on October 20, 2026. GE's Most Accurate Estimate sits at $2.01 a share 88 days from its next earnings release.
The Zacks Consensus Estimate for GE Aerospace is $1.99, and when you take the percentage difference between that number and its Most Accurate Estimate, you get the Earnings ESP figure of +0.78%.
Because both stocks hold a positive Earnings ESP, TDG and GE could potentially post earnings beats in their next reports.
Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
Verizon CEO Dan Schulman said on Friday the company has secured a deal with Google , valued at more than $1 billion, to provide dark fiber connectivity for the search engine giant's data centers.
Verizon Communications (VZ - Free Report) came out with quarterly earnings of $1.3 per share, beating the Zacks Consensus Estimate of $1.27 per share. This compares to earnings of $1.22 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +2.36%. A quarter ago, it was expected that this largest U.S. cellphone carrier would post earnings of $1.22 per share when it actually produced earnings of $1.28, delivering a surprise of +4.92%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Verizon, which belongs to the Zacks Wireless National industry, posted revenues of $34.25 billion for the quarter ended June 2026, missing the Zacks Consensus Estimate by 3%. This compares to year-ago revenues of $34.5 billion. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Verizon shares have added about 7.6% since the beginning of the year versus the S&P 500's gain of 8.2%.
What's Next for Verizon?While Verizon has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Verizon was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.30 on $34.98 billion in revenues for the coming quarter and $4.98 on $142.32 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Wireless National is currently in the bottom 18% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Uniti Group (UNIT - Free Report) , is yet to report results for the quarter ended June 2026. The results are expected to be released on July 30.
This real estate investment trust is expected to post quarterly loss of $0.43 per share in its upcoming report, which represents a year-over-year change of -975%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Uniti Group's revenues are expected to be $883.47 million, up 193.8% from the year-ago quarter.
As consumer spending patterns evolve in 2026, many investors are choosing between two titans of the retail landscape. Deciding between Home Depot (HD +0.45%) and Walmart (WMT +0.36%) requires understanding their distinct growth strategies.
While both companies dominate their respective niches, they serve different consumer needs and operate under different financial structures. Home Depot focuses on the specialized home improvement sector, whereas Walmart provides a broad array of general merchandise and essential groceries to a global audience.
The case for Home DepotHome Depot is a home improvement retailer that caters to both DIY homeowners and Professional customers, often called Pros. The company competes broadly among retail stocks while pursuing a strategic pivot toward these Professional customers. Recent acquisitions like SRS Distribution and GMS underscore this focus, as Home Depot seeks to capture a larger share of the complex construction and renovation market.
In the fiscal year ended Feb. 1, 2026, revenue reached nearly $164.7 billion, growing approximately 3.2% versus the prior year. The company generated net income of close to $14.2 billion, despite a slight decline in net margin to roughly 8.6%. This net margin reflects the portion of total revenue that remains as profit after all expenses are paid.
As of Home Depot’s February 2026 balance sheet, the debt-to-equity ratio is roughly 5.1. This ratio measures total debt against shareholder equity, reflecting the company's financial leverage and use of borrowed funds. The current ratio, which measures the ability to pay short-term obligations, is approximately 1.1, while free cash flow reached nearly $12.6 billion. Free cash flow is calculated as cash flow from operations minus capital expenditures.
The case for WalmartWalmart is the world's largest omnichannel retailer, serving approximately 280 million weekly customers through its global network of stores and digital platforms. The company is currently driving growth by leveraging its massive data footprint and the integration of smart TV-maker Vizio to expand its advertising business. This strategy allows the company to monetize shopper insights while maintaining its traditional focus on high-volume, low-cost fulfillment for general merchandise.
In the fiscal year ended Jan. 31, 2026, revenue reached approximately $713.2 billion, a 4.7% increase year over year. The company reported net income of nearly $21.9 billion, supported by a net margin of close to 3.1%. While this net margin is lower than that of specialty retailers, it is characteristic of the high-volume discount retail model, where efficiency is paramount to profitability.
As of Walmart’s January 2026 balance sheet, the debt-to-equity ratio is roughly 0.7, indicating that the company uses less debt relative to its equity than more leveraged peers. The current ratio is close to 0.8, suggesting that short-term liabilities exceed short-term assets, which is common for retailers with high inventory turnover. Free cash flow for the year was approximately $14.9 billion, providing substantial capital for continued investments in automation and AI.
Risk profile comparisonHome Depot faces risks related to a class action lawsuit involving the use of AI-powered license plate readers, which creates potential legal and regulatory exposure. The company must also successfully integrate large acquisitions like SRS and GMS while balancing its Pro-focused pivot with its core retail business. Furthermore, intense competition from traditional retailers and digital platforms requires constant investment to maintain its price and delivery advantages in a shifting market.
Walmart recently settled lawsuits in Texas and California regarding driver pay and product pricing, but it faces ongoing legal risks from new class action suits involving AI surveillance. The company is heavily dependent on its digital infrastructure, making it vulnerable to cybersecurity threats and data privacy regulations as its advertising business expands. Additionally, Walmart must contend with fierce competition from Amazon (AMZN -0.52%) and other digital disruptors while navigating macroeconomic factors like inflation.
Valuation comparisonHome Depot appears more reasonably priced based on its lower forward P/E relative to future earnings estimates, while Walmart carries a lower P/S ratio.
MetricHome DepotWalmartForward P/E22.238.0P/S ratio2.01.2Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
I'd like to start by acknowledging I'm a Home Depot shareholder. It has been, to put it kindly, a disappointing investment. Since I purchased it roughly four years ago, it has underperformed the S&P 500 by more than 70 percentage points. Meanwhile, Walmart has outperformed the S&P 500 in that time frame by nearly 60 percentage points. So just going by recent historical returns, Home Depot compares very unfavorably.
The key word, however, is "recent." Since 1990, Home Depot has blown Walmart out of the water, with a 17,000%-plus return versus Walmart's roughly 5,400% gain. Both companies also pay dividends, with the home improvement specialist offering a juicy 2.8% yield, which is nearly 2 percentage points higher than Walmart's current payout.
Despite Home Depot being a laggard since I've owned it, I would still prefer it in my portfolio versus Walmart simply due to some basic differences in how the retailers operate. Big, high-volume merchandisers typically have smaller margins; it's just kind of the nature of the business. (Notice above how much more net income Home Depot was able to produce as a percentage of revenue in its most recent fiscal year.) With few exceptions, I find companies with higher margins to be more attractive. But ideally, I like to invest in businesses with high margins and outperforming stocks. Maybe next time.
HOUSTON--(BUSINESS WIRE)--HPE (NYSE: HPE) today announced the appointment of David Goulden to its Board of Directors, effective today. Goulden joins the Board's Finance & Investment Committee and HR & Compensation Committee. Goulden brings more than 35 years of experience, including extensive management and financial leadership at global technology companies. Most recently, he served as Executive Vice President and Chief Financial Officer of Booking Holdings Inc., the global online trav.
HPE (NYSE: HPE) today announced the appointment of David Goulden to its Board of Directors, effective today. Goulden joins the Board's Finance and Investment Com
Qualcomm (QCOM - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this chipmaker have returned -16.5% over the past month versus the Zacks S&P 500 composite's +0.6% change. The Zacks Electronics - Semiconductors industry, to which Qualcomm belongs, has lost 11.4% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Qualcomm is expected to post earnings of $2.22 per share, indicating a change of -19.9% from the year-ago quarter. The Zacks Consensus Estimate has changed -1% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $10.78 points to a change of -10.4% from the prior year. Over the last 30 days, this estimate has changed -0.1%.
For the next fiscal year, the consensus earnings estimate of $10.88 indicates a change of +1% from what Qualcomm is expected to report a year ago. Over the past month, the estimate has changed +1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Qualcomm is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Qualcomm, the consensus sales estimate for the current quarter of $9.71 billion indicates a year-over-year change of -6.3%. For the current and next fiscal years, $42.69 billion and $44.01 billion estimates indicate -3.3% and +3.1% changes, respectively.
Last Reported Results and Surprise HistoryQualcomm reported revenues of $10.6 billion in the last reported quarter, representing a year-over-year change of -2.2%. EPS of $2.65 for the same period compares with $2.85 a year ago.
Compared to the Zacks Consensus Estimate of $10.62 billion, the reported revenues represent a surprise of -0.19%. The EPS surprise was +3.11%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates just once over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Qualcomm is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Qualcomm. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Intel Corp (NASDAQ:INTC) on Thursday reported better-than-expected second-quarter financial results.
Intel posted second-quarter revenue of $16.13 billion, beating analyst estimates of $14.42 billion. The company reported second-quarter adjusted earnings of 42 cents per share, doubling estimates of 21 cents per share, according to Benzinga Pro.
"AI is driving unprecedented demand for compute, and as we continue to execute, Intel is well-positioned to capture sustainable growth across our CPU franchise, ASICs, advanced packaging and vast wafer foundry network," said Lip-Bu Tan, CEO of Intel.
Intel expects third-quarter revenue to be in the range of $15.8 billion to $16.8 billion versus estimates of $15.01 billion. The company anticipates third-quarter adjusted earnings of 38 cents per share versus estimates of 24 cents per share.
Intel shares gained 1.7% to $103.00 in pre-market trading.
These analysts made changes to their price targets on Intel following earnings announcement.
Mizuho analyst Vijay Rakesh maintained the stock with a Neutral and lowered the price target from $135 to $109. Wells Fargo analyst Aaron Rakers maintained the stock with an Equal-Weight rating and raised the price target from $110 to $120. Considering buying INTC stock? Here’s what analysts think:
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Intel sits at 100.23 after sliding from the 133.00 area, holding the shaded 100 support zone. Source: TradingView The market for Intel is positive early during the session. It looks like it’s going to jump pretty significantly, maybe about $4 or roughly 4% from the close, and if that’s going to be the case, one would have to say that’s pretty healthy. The 50-day EMA sits at the $107 region, $108 or so, and this is a market that will, more likely than not, pay close attention to it based on recent market memory and the way it’s behaved around this indicator.
Regardless, the $100 level, I think, is going to remain important as well from a psychological standpoint. This looks like a market that’s trying to turn things around, but it is worth noting that the last couple of days have seen shots higher that have been faded pretty significantly later in the session.
Intel stock was rallying into Friday after the chipmaker reported blowout earnings supported by strong demand for hardware used in artificial intelligence. With the shares coming off a rough patch, this could be a buying opportunity as Wall Street sees more gains ahead.
The Data Center and AI (DCAI) division generated $2.5 billion in operating income, while Intel Foundry posted a $2.1 billion operating loss. Put side by side, the foundry loss equaled 84% of the operating profit generated by Intel’s fastest-growing major division.
INTC stock is moving after earnings. See the chart and price action here. Chips Business Fires on All CylindersDCAI revenue reached $6.3 billion, up 59% year-over-year from $3.9 billion, as hyperscalers and enterprises kept buying server processors for AI workloads. Operating margin expanded from 16.1% a year ago to 39.5%.
CFO Dave Zinsner said the jump reflected higher revenue, improved product margins and lower operating expenses, calling the roughly $1 billion sequential gain in operating profit meaningfully ahead of expectations.
The Client Computing and Physical AI Group added $8.9 billion in revenue, up 13% to 15%, at a 26% operating margin, giving Intel’s two product segments a combined $4.8 billion of operating profit.
Foundry Narrows the Gap, But Stays RedIntel Foundry revenue climbed to $5.8 billion, up 31% year-over-year, driven by stronger fab volumes on the Intel 18A process, which ran roughly 25% above target and more than 50% higher quarter-over-quarter.
The operating loss narrowed to $2.1 billion from $3.2 billion a year earlier, an improvement of $348 million sequentially. Zinsner credited stronger yields, faster cycle times, and increased factory scale across Intel 43 and 18A for the improved wafer costs.
Tension in Intel’s ComebackTotal revenue hit $16.1 billion, up 25% year-over-year, the fastest growth rate since 2011, and non-GAAP earnings per share of 42 cents doubled the 21 cents consensus estimate, per Benzinga Pro. Shares jumped as much as 12% in after-hours trading following the report.
AI-related server demand is reviving Intel’s most profitable franchise, but the cost of rebuilding manufacturing competitiveness continues to consume most of that operating contribution.
At the current run rate, Intel Foundry is losing roughly $8 billion annually with no confirmed break-even date, even as management touts narrowing losses and rising external interest as proof the turnaround under CEO Lip-Bu Tan is gaining traction.
INTC Stock Price Activity: Intel stock was up 3.15% at $103.39 during premarket trading Friday, according to Benzinga Pro data.
Over the past month, INTC has declined about 22.3% versus a 0.4% rise in the S&P 500 and is up roughly 174% year-to-date compared to the index’s 7.7% gain.
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This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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Intel (NASDAQ:INTC | INTC Price Prediction) shares rose 3% Friday morning to $103.05, extending a striking turnaround after a blowout Q2 2026 report delivered Thursday after the close. The chipmaker carries a market value of $503.76 billion, and Intel stock is up 178% year to date (YTD).
The move looks idiosyncratic. Broadcom (NASDAQ:AVGO) stock is down 1% at $390.41, Advanced Micro Devices (NASDAQ:AMD) shares are up 1% at $546.20, and NVIDIA (NASDAQ:NVDA) stock sits flat at $208.20. The iShares Semiconductor ETF (NASDAQ:SOXX), a concentrated fund holding all four names, trades flat at $549.68.
Traders are treating Intel’s report as a single-name earnings reaction rather than a broad chip-sector catalyst. The NASDAQ 100 is essentially unchanged as well.
Earnings Beat and Upbeat Q3 Guide Drive the Pop Intel reported Q2 revenue of $16.13 billion, up 25% year over year (YoY), topping the $14.45 billion consensus by 12%. The company’s non-GAAP EPS came in at $0.42, nearly double the $0.2166 estimate, swinging from a $0.10 loss a year earlier.
Intel’s segment strength was broad. Data Center and AI revenue surged 59% to $6.26 billion, Client Computing rose 13% to $8.88 billion, and Intel Foundry climbed 31% to $5.77 billion. Management guided Q3 revenue to $15.8 billion to $16.8 billion, above the $15.06 billion consensus, with non-GAAP EPS of $0.38.
Intel CEO Lip-Bu Tan, driving the ongoing turnaround, stated that “Our Q2 results represent our strongest revenue growth in more than fifteen years, enabled by greater speed, accountability, and customer focus.” He added that “AI is driving unprecedented demand for compute.”
Foundry Wins and Analyst Response Foundry momentum is fueling the response. Alphabet‘s (NASDAQ:GOOGL) Google reportedly ordered 3 million custom TPUs from Intel’s foundry, per The Information, while NVIDIA is said to be weighing Intel as a backup manufacturer given Taiwan Semiconductor Manufacturing‘s (NYSE:TSM) capacity constraints serving NVIDIA, Advanced Micro Devices, and Apple (NASDAQ:AAPL).
Intel also raised its full-year capex to $20 billion from $18 billion, signaling confidence in foundry and product demand. Wall Street is following through: at least six analysts raised their price targets on Intel stock, and the median target sits 9% above the last close, per LSEG.
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The execution numbers back the enthusiasm. Intel’s non-GAAP operating margin swung from -4% a year ago to 17%, and operating cash flow jumped 242% YoY to $7.01 billion. Panther Lake began high-volume manufacturing, and Xeon 6+ launched as the first server-class product on Intel 18A.
The Caveats Behind the Beat Foundry losses remain a drag. Intel Foundry ran a $2.1 billion operating loss in Q2 despite the revenue jump, and GAAP results reflected an $11 billion net loss tied to a $12.53 billion non-cash CHIPS Act escrow charge. The turnaround is real; Intel’s manufacturing arm still needs to prove sustained profitability.
Data center layoffs announced earlier this week also linger as a workforce question. However, with AI capex from hyperscalers still ramping (Alphabet reported strong quarterly capex and NVIDIA guided to strong Q2 revenue), near-term product demand remains supportive for Intel and its foundry pipeline.
What to Watch Traders may want to watch for whether Intel stock holds above $100 into the close and whether analyst target hikes broaden into rating upgrades next week. Execution on the Intel 18A-P ramp, Panther Lake shipments, and additional foundry customer signings could shape the next leg of the story.
Intel’s foundry narrative is a major swing factor. Confirmation of the Google engagement and any incremental customer wins, particularly with NVIDIA reportedly evaluating Intel as a backup, would validate the 18A investment case and help offset the ongoing Intel Foundry losses.
The sector context also matters. If AI capex momentum from Alphabet, Microsoft (NASDAQ:MSFT), and Meta Platforms (NASDAQ:META) continues to accelerate into second-half prints, Intel’s DCAI franchise and foundry pipeline should stay supported even as peers like NVIDIA, Broadcom, and AMD trade flat on the day.
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The 10-year yield is near a 12-month high as the U.S.-Iran war continues to serve as an overhang for equities. Kevin Hincks offers his thoughts on the volatility as crude oil prices remain elevated and tariff developments add more questions to the macro picture.
Just three months after warning that its next-generation 14A manufacturing process could be delayed—or even abandoned—without enough customer demand, Intel has officially committed to high-volume production in 2028.
The decision removes one of the biggest questions hanging over Intel Foundry. It also starts a new countdown. After committing billions of dollars to the technology, Intel now has roughly two years to prove customers will place enough orders to justify the investment.
Three Months Changed EverythingEarlier this year, Intel made it clear that 14A wasn’t guaranteed.
In its first-quarter filing, the company said future investments in 14A and factory expansion would depend on securing meaningful external customer commitments and achieving acceptable returns on capital.
This quarter, that language changed materially.
CEO Lip-Bu Tan said Intel has “made the decision in Q2 to fully commit to high volume ramps in 2028,” citing stronger customer engagement, rising demand from Intel’s own product roadmap and encouraging technical progress across the node.
“We remain on track for 14A risk production for our internal products in the second half of 2027,” Tan said, adding that the company is seeing “increasing momentum on customer engagements” and growing confidence that 14A will be competitive on performance, power, density, cost and schedule.
CFO Dave Zinsner echoed that message, saying Intel increased investments during the quarter to prepare for 14A risk production in 2027 while committing to high-volume manufacturing the following year.
The Countdown Has StartedThe commitment doesn’t mean Intel’s foundry turnaround is complete.
Far from it.
Intel still reported a $2.1 billion operating loss in its Foundry business during the quarter, although operating margin improved to negative 36.2% from negative 71.7% a year earlier as revenue climbed to $5.8 billion, according to the earnings presentation.
The company also entered risk production for 18A-P, while the next major milestone for 14A—the 0.9 Process Design Kit (PDK)—remains on track for October, giving prospective customers another opportunity to evaluate the technology before committing future chip designs.
The company’s latest Form 10-Q also makes clear that the investment case now hinges on converting technical momentum into commercial success. Intel said it intends to accelerate manufacturing expansion projects for 14A, but “the scale and pace” of those investments will ultimately depend on demand from Intel’s own products and design wins from major external foundry customers.
For investors, the story is no longer whether Intel will build 14A.
It’s whether, by 2028, enough customers will be waiting for it.
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Key Takeaways INTC beats earnings and revenue estimates as Q2 2026 revenues rose 25% year over year.INTC witnessed growth from Xeon CPUs, AI PCs, Intel 18A output, pricing and advanced packaging.Intel expects Q3 2026 revenues of $15.8B-$16.8B and non-GAAP EPS of about 38 cents. Intel Corporation (INTC - Free Report) reported strong second-quarter 2026 results, with both adjusted earnings and revenues beating the Zacks Consensus Estimate.
The company reported 25% year-over-year revenue growth, supported by strong demand for Xeon server CPUs and AI PCs, higher Intel 18A output, improving yields and cycle times, favorable product mix and pricing, and continued momentum in purpose-built silicon application-specific integrated circuit products and advanced packaging.
Net IncomeThe company reported a GAAP loss of $11.03 billion or a loss of $2.16 per share compared with a net loss of $2.92 billion or a loss of 67 cents per share in the year-ago quarter. Despite higher revenues, GAAP earnings declined sharply due to higher interest and other expenses during the quarter.
Excluding non-recurring items, non-GAAP earnings in the reported quarter were $2.2 billion or 42 cents per share against a net loss of $0.44 billion or a loss of 10 cents per share a year ago. The bottom line surpassed the Zacks Consensus Estimate by 21 cents.
RevenuesGAAP revenues increased to $16.13 billion from $12.86 billion in the year-ago quarter. The company witnessed solid growth in its total Products and Foundry business segments. The top line beat the consensus estimate of $14.41 billion.
Segment Performance Client Computing and Physical AI Group revenues increased to $8.88 billion from $7.87 billion, driven by strong demand for client CPUs, growing adoption of AI PCs, the launch of Intel Core Ultra Series 3 and Intel Core Series 3 processors, and a favorable product mix with higher average selling prices.
Datacenter and AI Group revenues improved to $6.26 billion from $3.94 billion, driven by strong demand from hyperscale and enterprise customers, robust adoption of Xeon 6 processors for AI infrastructure, continued growth in purpose-built silicon products, and additional strategic customer wins and long-term agreements.
While total Intel Products revenues were up to $15.14 billion from $11.81 billion, Intel Foundry revenues increased to $5.77 billion from $4.42 billion, owing to higher fab volumes, strong growth in Intel 18A output, improving yields, better cycle times, and increasing wafer starts across Intel 7, Intel 3, and Intel 18A. All Other revenues, which include Altera, Mobileye and other businesses, were $0.7 billion.
Other DetailsNon-GAAP gross profit was $6.74 billion compared with $3.81 billion in the year-ago quarter, with respective margins of 41.8% and 29.7%. Non-GAAP research and development and marketing, general and administrative expenses totaled $3.97 billion compared with $4.32 billion in the year-ago period. Non-GAAP operating income was $2.77 billion against an operating loss of $0.5 billion in the year-ago quarter, with respective margins of 17.2% and a negative 3.9%.
Cash Flow & LiquidityAs of June 27, 2026, Intel had cash and cash equivalents of $12.87 billion and long-term debt of $48.55 billion. In the first six months of 2026, the company generated $8.1 billion in cash compared with $2.86 billion in the year-ago period. In the second quarter of 2026, Intel generated $7.01 billion of cash from operating activities compared with $2.05 billion in the year-ago quarter.
OutlookFor the third quarter of 2026, Intel expects GAAP revenues to be in the range of $15.8-$16.8 billion. Non-GAAP gross margin is expected to be 42%. Non-GAAP earnings are expected to be around 38 cents per share. Non-GAAP tax rate is anticipated to be 11%.
Zacks RankIntel currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Upcoming ReleasesArista Networks Inc. (ANET - Free Report) is scheduled to release second-quarter 2026 earnings on Aug. 4. The Zacks Consensus Estimate for earnings is pegged at 89 cents per share, suggesting growth of 21.92% from the year-ago reported figure.
Arista has a long-term earnings growth expectation of 19.86%. The company delivered an average earnings surprise of 8.31% in the last four reported quarters.
Amphenol Corporation (APH - Free Report) is set to release second-quarter 2026 earnings on July 29. The Zacks Consensus Estimate for earnings is pegged at $1.19 per share, implying growth of 46.91% from the year-ago reported figure.
Amphenol has a long-term earnings growth expectation of 24.01%. The company delivered an average earnings surprise of 14.08% in the last four reported quarters.
Corning Incorporated (GLW - Free Report) is set to release second-quarter 2026 earnings on July 28. The Zacks Consensus Estimate for earnings is pegged at 76 cents per share, implying growth of 26.67% from the year-ago reported figure.
Corning has a long-term earnings growth expectation of 23.89%. The company delivered an average earnings surprise of 2.41% in the last four reported quarters.
Adobe Systems (ADBE - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Shares of this software maker have returned +9.7% over the past month versus the Zacks S&P 500 composite's +0.6% change. The Zacks Computer - Software industry, to which Adobe belongs, has lost 2.5% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Adobe is expected to post earnings of $6.08 per share, indicating a change of +14.5% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.1% over the last 30 days.
The consensus earnings estimate of $24.31 for the current fiscal year indicates a year-over-year change of +16.1%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $27.4 indicates a change of +12.7% from what Adobe is expected to report a year ago. Over the past month, the estimate has changed +0.6%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Adobe is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Adobe, the consensus sales estimate for the current quarter of $6.69 billion indicates a year-over-year change of +11.8%. For the current and next fiscal years, $26.56 billion and $28.92 billion estimates indicate +11.7% and +8.9% changes, respectively.
Last Reported Results and Surprise HistoryAdobe reported revenues of $6.62 billion in the last reported quarter, representing a year-over-year change of +12.7%. EPS of $5.96 for the same period compares with $5.06 a year ago.
Compared to the Zacks Consensus Estimate of $6.46 billion, the reported revenues represent a surprise of +2.5%. The EPS surprise was +2.23%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Adobe is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Adobe. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
HomeIndustriesBusiness/Consumer ServicesEarnings ResultsEarnings ResultsCardholder perks are resonating, an executive says. ‘It’s really about access.’Updated July 24, 2026, 8:11 a.m. ET
American Express customers just registered their highest spending growth in three years — and the company is seeing particularly strong interest in its Platinum cards.
The credit-card giant has been investing in premium customers, with the Platinum card portfolio now the fastest-growing franchise in the broader business. The card comes with an annual fee of $895, and Amex AXP recently refreshed its array of perks, which now include things like a quarterly Lululemon credit and $200 annually toward an Oura Ring.
