Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? Oneok Inc. (OKE - Free Report) , which belongs to the Zacks Oil and Gas - Production Pipeline - MLB industry, could be a great candidate to consider.
When looking at the last two reports, this natural gas company has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 3.95%, on average, in the last two quarters.
For the last reported quarter, Oneok came out with earnings of $1.3 per share versus the Zacks Consensus Estimate of $1.26 per share, representing a surprise of 3.17%. For the previous quarter, the company was expected to post earnings of $1.48 per share and it actually produced earnings of $1.55 per share, delivering a surprise of 4.73%.
Price and EPS Surprise
For Oneok, estimates have been trending higher, thanks in part to this earnings surprise history. And when you look at the stock's positive Zacks Earnings ESP (Expected Surprise Prediction), it's a great indicator of a future earnings beat, especially when combined with its solid Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Oneok has an Earnings ESP of +7.20% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #2 (Buy), it shows that another beat is possibly around the corner. The company's next earnings report is expected to be released on August 3, 2026.
When the Earnings ESP comes up negative, investors should note that this will reduce the predictive power of the metric. But, a negative value is not indicative of a stock's earnings miss.
Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
SAN FRANCISCO--(BUSINESS WIRE)--Elastic (NYSE: ESTC), the Search AI Company, today announced that Gartner®, Inc. has named it a Leader in the Magic Quadrant™ for Observability Platforms for the third consecutive year. The evaluation was based on specific criteria that analyzed the company's overall Completeness of Vision and Ability to Execute. This recognition comes alongside the Gartner companion Critical Capabilities for Observability Platforms report where Elastic ranked first for three of.
Key Takeaways Dycom raised fiscal 2027 guidance after a record backlog and strong demand for digital infrastructure.AECOM reported a record backlog & raised fiscal 2026 guidance, supported by transportation and water markets.DY earnings estimates moved higher, while ACM's fiscal 2026 estimate edged lower despite expected growth. The growing long-term public and private capital investment trends have been lucrative for infrastructure companies like Dycom Industries, Inc. (DY - Free Report) and AECOM (ACM - Free Report) . This favorable scenario is resulting in increased projects for telecommunications, transportation, environmental, energy and water businesses.
Dycom is a specialty contracting firm offering diverse services such as engineering, construction, maintenance and installation for the cable and telephone companies. Conversely, AECOM is a solutions provider offering professional, technical and management services across diverse industries and end markets.
Let’s closely compare the fundamentals of the two infrastructure stocks to determine which one is a better investment now.
The Case for Dycom StockDycom is benefiting from unprecedented investment in AI-driven digital infrastructure, creating a favorable long-term demand environment. Explosive growth in cloud computing, Artificial Intelligence workloads and hyperscale data centers is driving the need for fiber infrastructure, inside-the-fence connectivity, electrical systems and long-haul network deployments. These favorable trends translated into a record first-quarter fiscal 2027 backlog of $11.9 billion, up 46.5% year over year, with a robust 2.2x book-to-bill ratio, providing strong revenue visibility. Customers are also extending contract durations to secure DY’s skilled workforce for multi-year projects, strengthening backlog quality.
Following a record first quarter of fiscal 2027 that exceeded expectations, Dycom raised its fiscal 2027 outlook, now expecting total contract revenues between $7.38 billion and $7.65 billion (from $6.85-$7.15 billion). For the second quarter of fiscal 2027, management forecasts revenues of $1.94-$2.01 billion (up from $1.378 billion reported a year ago), adjusted EBITDA of $284-$303 million (up from $205.5 million reported a year ago) and adjusted EPS of $4.40-$4.82 (up from $3.33 reported a year ago).
Besides focusing on revenue growth, Dycom is also making meaningful profitability improvements through disciplined execution, operating leverage and a favorable project mix. First-quarter fiscal 2027 adjusted EBITDA margin expanded 141 basis points (bps) year over year to 13.4%, while the Communications segment (which contributed 98.3% to fiscal 2026 contract revenues) delivered a 31-bps margin expansion despite continued investments in workforce expansion and geographic growth. Moreover, DY’s balanced capital allocation strategy combines organic investments, strategic acquisitions and shareholder returns to strengthen its competitive position. The successful acquisition of Power Solutions has expanded Dycom's exposure to the rapidly growing data center electrical contracting market, while the pending acquisition of National Technology Integrators further extends its capabilities into structured cabling, security systems and end-to-end digital infrastructure.
Continued scaling of data center projects, productivity improvements, disciplined project selection, successful integration of acquisitions and expanding higher-value digital infrastructure work are expected to support ongoing earnings growth.
The Case for AECOM StockAECOM continues to benefit from multi-year public spending programs that support transportation, water, environment and facilities demand in its largest geographies besides the United States, including the United Kingdom, Canada, the UAE and Asia. Besides the funding under IIJA, the company is also leveraging incentives from the "One Big Beautiful Bill" and ongoing "resharing" initiatives, which are creating new opportunities with several years of visibility ahead. In the second quarter of fiscal 2026, total backlog increased 8% year over year to a record $26.2 billion, supported by a 1.2x design book-to-burn ratio and the 22nd consecutive quarter with book-to-burn above 1x.
ACM’s net service revenues (NSR) — defined as revenues excluding subcontractor and other direct costs — are benefiting from strength across core transportation, water, and environment markets. In the second quarter of fiscal 2026, NSR rose to $1.95 billion, with the Americas design business up 8% on a constant-currency basis, which management described as its most profitable area. For the long term, AECOM still aims to achieve 5-8% organic NSR growth annually, projecting a margin run-rate exceeding 20% by fiscal 2028.
Besides market tailwinds, AECOM’s emphasis on investments in proprietary AI and digital delivery capabilities is boding well, mainly for its profit structure. Over time, management expects advisory and program management to represent about half of the business, which supports its longer-term margin targets. Notably, in the second quarter of fiscal 2026, the company’s margin trajectory remained favorable, with segment adjusted operating margin increasing 50 basis points (bps) year over year to 16.5%, supported by operating efficiencies and mix. Management raised fiscal 2026 guidance again to adjusted EPS of $5.90-$6.10 (from $5.85-$6.05) and adjusted EBITDA of $1.275-$1.305 billion (from $1.27-$1.305 billion).
However, risks like tariffs, economic conditions, policy changes and currency movements tend to affect project timing, resulting in delays in awards and a less favorable mix of work. Moreover, AECOM operates with contract structures that require accurate estimating and execution discipline, and outcomes can be affected by claims, change orders or shifting project scopes. In the fiscal 2026 first half, contract assets included approximately $680 million of significant claims, up from about $400 million as of Sept. 30, 2025, which underscores that project-level resolution timing can influence working capital and reported cash flow.
Stock Performance & ValuationAs witnessed from the chart below, in the year-to-date period, Dycom’s share price performance has been above AECOM’s and the broader Construction sector.
Image Source: Zacks Investment Research
Considering valuation, over the last five years, Dycom has been trading above AECOM on a forward 12-month price-to-earnings (P/E) ratio basis.
Image Source: Zacks Investment Research
Overall, from these technical indicators, it can be deduced that DY stock offers an increasing growth trend but with a premium valuation, while ACM stock offers a declining growth trend with a discounted valuation.
Comparing EPS Estimate Trends: DY vs. ACMThe Zacks Consensus Estimate for DY’s fiscal 2026 and fiscal 2027 earnings has moved upward in the past 30 days. The revised estimates for fiscal 2026 and fiscal 2027 imply year-over-year growth of 36.6% and 22%, respectively.
DY's EPS Trend
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for ACM’s fiscal 2026 earnings has trickled down in the past 30 days, while the same for fiscal 2027 has remained unchanged over the past 60 days. However, the estimates for fiscal 2026 and fiscal 2027 imply year-over-year improvements of 13.5% and 13.3%, respectively.
ACM's EPS Trend
Image Source: Zacks Investment Research
Return on Equity (ROE) of DY & ACM StocksAECOM’s trailing 12-month ROE of 28.52% exceeds Dycom’s average, underscoring its efficiency in generating shareholder returns.
Image Source: Zacks Investment Research
Should You Invest in DY Stock or ACM Stock?Dycom is directly capitalizing on accelerating AI-driven digital infrastructure, fiber deployment and hyperscale data center construction, supported by a record $11.9 billion backlog, a robust 2.2x book-to-bill ratio and raised fiscal 2027 guidance. Although the stock trades at a premium, its superior operational momentum and stronger technical indicators justify the higher valuation.
On the other hand, AECOM remains a fundamentally sound infrastructure leader with record backlog, improving margins and broad exposure to transportation, water and environmental projects worldwide. However, downward earnings estimate revisions for fiscal 2026, execution risks tied to large contract claims and exposure to policy, tariff and currency uncertainties temper its near-term outlook.
While AECOM's higher ROE reflects efficient capital deployment, Dycom's stronger revenue visibility, accelerating earnings trajectory and favorable estimate revisions provide a clearer path for continued stock appreciation. Backed by a Zacks Rank #1 (Strong Buy) compared with ACM stock’s Zacks Rank #4 (Sell), DY stock stands out as the better stock to buy now for investors seeking superior growth potential and long-term upside. You can see the complete list of today’s Zacks #1 Rank stocks here.
Key Takeaways MP's first-quarter 2026 revenues rose 49% to $90.6 million as Materials and Magnetics grew.A $110/kg price floor through 2035 and long-term 10X magnet commitments improve revenue visibility.Rising costs, customer concentration and capital-intensive project ramps keep MP's outlook balanced. MP Materials Corp. (MP - Free Report) is no longer just a Mountain Pass mining story. The company is building a broader rare earth platform that links upstream production with downstream magnets.
That shift gives investors more to consider. Demand visibility is improving, but the same strategy also raises the burden on execution, working capital and margins.
How MP Materials Is Rebuilding the Supply ChainMP controls rare earth production from mining and separation to metal, alloy and magnet manufacturing. Mountain Pass in California anchors the Materials segment, while the Fort Worth, TX, Independence facility supports downstream metal, alloy and magnetic precursor production.
The two assets matter more together as MP moves away from lower-value concentrate sales. The company ceased concentrate sales to Chinese customers in July 2025 and began neodymium-iron-boron permanent magnet manufacturing at Independence in December 2025.
Why MP Stock Has Better Demand VisibilityMP’s story is now shaped by commercial and policy support, not only rare earth pricing. Agreements with the Department of War support the expansion of Independence, the construction of the 10X facility in Northlake, TX, and heavy rare earth refining capability at Mountain Pass.
The framework also includes a $110-per-kilogram price floor for eligible neodymium-praseodymium products through 2035. That protection, combined with long-term magnet purchase commitments tied to 10X, gives MP more visible offtake and partial earnings support.
USA Rare Earth (USAR - Free Report) is another name tied to U.S. rare earth processing and magnet ambitions. Its presence keeps investor attention on the broader domestic supply chain buildout rather than on MP alone.
Where MP Materials is Showing Real Operating ProgressThe first quarter of 2026 showed progress in the transition. Revenues rose 49% year over year to $90.6 million, helped by stronger Materials and Magnetics contributions.
Materials revenues rose 30% to $72.2 million as MP produced a record 917 metric tons of neodymium-praseodymium and sold 1,006 metric tons. Magnetics revenues reached $21 million as higher magnetic precursor output supported the segment.
General Motors (GM - Free Report) remained central to that downstream ramp. MP had sold $87.9 million of magnetic precursor products to General Motors as of March 31, 2026 and expects to complete the remaining $62.1 million commitment within the next year.
The Zacks Consensus Estimate for MP Materials’ 2026 earnings is pegged at 22 cents per share, indicating an improvement from the loss of 24 cents in 2025. The estimate for 2027 is $1.04 per share, indicating a 372% year-over-year improvement.
Image Source: Zacks Investment Research
What Could Still Disrupt MP Materials GrowthMP’s transition is technically demanding. Mountain Pass is moving toward heavy rare earth production, Independence is ramping magnet manufacturing and qualification, and 10X still requires construction and commissioning.
Customer concentration also remains a risk. In the first quarter of 2026, two Materials customers accounted for 40% and 24% of total revenues, while General Motors represented 23% through Magnetics.
Costs add another constraint. Cost of sales climbed 52% in the quarter due to higher volumes of neodymium-praseodymium oxide, metal and magnetic precursor products, while start-up costs rose sharply as magnet and chlor-alkali activities ramped.
Shares of MP have declined 18.9% in the past three months compared with the industry’s 9.6% fall.
Image Source: Zacks Investment Research
Albemarle Corporation (ALB - Free Report) , though focused on lithium rather than rare earth magnets, offers a useful comparison for investors watching critical minerals. Commodity exposure, processing costs and capital discipline often shape how markets value producers tied to electrification supply chains.
How MP Signals a Balanced Stock SetupThe bottom line is that MP has a clearer domestic rare earth growth path, but not a simple one. Scale, policy support and downstream integration improve the setup, while qualification risk, customer concentration and elevated investment needs keep the outlook balanced.
MP currently carries a Zacks Rank #3 (Hold). That rank fits a company with visible catalysts but a near-term profile that still depends on execution across several capital-intensive projects. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Style Scores show the same split. MP has a Value Score of F, Growth Score of D, Momentum Score of A and VGM Score of D. The strong Momentum Score points to better sentiment and timing characteristics, but the weak Value, Growth and VGM readings suggest investors should weigh the stock’s improving narrative against an uneven operating and valuation profile.
Key Takeaways MP links Mountain Pass, Independence and 10X to build a domestic rare earth supply chain.Policy support boosts demand visibility through price protection, incentives and long-term offtake.Rising costs, working-capital needs and unfinished ramps keep MP's margin outlook uncertain. MP Materials Corp. (MP - Free Report) sits near the center of a U.S. push to localize rare earth processing and magnet manufacturing. The investor question is no longer limited to mine output.
The bigger issue is whether MP can turn strategic relevance into repeatable earnings power while it builds a domestic supply chain.
Why MP Materials Fits the Reshoring TrendMP’s model fits reshoring because it spans more than mining. The company owns Mountain Pass in California, the only rare earth mine and processing site of scale in North America, and operates the Independence facility in Fort Worth, TX.
Mountain Pass supports mining, concentration and separation. Independence produces rare earth metal, alloy and magnetic precursor products, while the planned 10X campus in Northlake, TX, would add more domestic magnet capacity.
Albemarle Corporation (ALB - Free Report) , a lithium and specialty chemicals producer, gives investors another way to view processing depth in strategic materials. Cameco Corporation (CCJ - Free Report) , a uranium and nuclear fuel company, reflects interest in secure energy supply chains.
How MP is Moving Beyond Commodity ExposureMP is moving away from a simpler concentrate sales model. It stopped rare earth concentrate sales to Chinese customers in July 2025 and now focuses Materials segment revenues mainly on neodymium-praseodymium oxide and metal.
That shift matters because value creation increasingly depends on processing depth. In the first quarter of 2026, Materials revenues rose to $72.2 million, while neodymium-praseodymium oxide and metal revenues reached $71.1 million.
The downstream transition is also taking shape. Independence began generating revenues from magnetic precursor sales to General Motors in the first quarter of 2025 and started neodymium-iron-boron permanent magnet manufacturing in December 2025.
What Policy Support Means for MP GrowthPolicy support has become central to MP’s growth setup. The company entered definitive agreements with the United States Department of War in July 2025 to support a domestic rare earth magnet supply chain.
Those agreements call for expansion of Independence, construction of the 10X facility and extension of heavy rare earth refining capability at Mountain Pass. The Department of War agreed to purchase magnets from 10X, or approve commercial syndication, and guaranteed a minimum EBITDA level for that plant.
MP also implemented a price protection agreement in the fourth quarter of 2025 with a $110-per-kilogram floor for eligible neodymium-praseodymium products through 2035. The Northlake project is supported by roughly $200 million in state and local incentives and a 10-year Pentagon offtake commitment.
This support can improve demand visibility and reduce downside. It also adds contractual obligations, approval requirements and dependence on government program execution.
Why MP Materials Faces a Tougher Margin EquationThe domestic buildout brings costs that investors cannot ignore. MP has reported operating losses for 11 consecutive quarters as it shifts toward higher-value separated products.
Cost of sales climbed 52% in the first quarter of 2026 because of higher volumes of neodymium-praseodymium oxide, metal and magnetic precursor products. These products carry higher per-unit costs than rare earth concentrates because they require chemical reagents, labor, maintenance and other consumables.
Operating expenses are also rising. Selling, general and administrative expenses increased 39.2% in the first quarter, mainly because of higher personnel costs. Start-up costs surged 503% as magnet production and chlor-alkali facilities ramped.
The Zacks Consensus Estimate for MP Materials’ 2026 earnings is pegged at 22 cents per share, indicating an improvement from the loss of 24 cents in 2025. The estimate for 2027 is $1.04 per share, indicating a 372% year-over-year improvement.
Image Source: Zacks Investment Research
However, both the estimates have been revised downward, as shown in the chart below.
Image Source: Zacks Investment Research
Working capital remains part of the equation. Higher trade receivables, inventory needs and deferred revenues show that cash conversion depends on timely shipment, qualification and customer acceptance across newer product lines.
Shares of MP have declined 18.9% in the past three months against the industry’s 9.6% fall.
Image Source: Zacks Investment Research
How MP Scores Reflect a Trend-Driven TradeMP’s reshoring appeal is real, but the stock setup remains mixed. The company has a Zacks Rank #3 (Hold), which fits a business with policy support, improving operating traction and meaningful execution risk. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Style Scores show the same split. MP has a Momentum Score of A, suggesting stronger market interest around the theme and recent estimate activity. Its Value Score of F and Growth Score of D point to caution on valuation and fundamental consistency.
The VGM Score of D reinforces that this is not a clean across-the-board setup. MP looks more like a trend-driven stock that still needs proof of durable margins, smooth qualification and reliable downstream scale than a high-conviction buy at any price.
MP Marerials' operating gains and strong liquidity support its rare earth buildout, but a premium valuation and unfinished project ramps favor patience.
Key Takeaways Onto Innovation expects advanced nodes business to grow about 25% in 2026, above the industry WFE growth.ONTO sees momentum from logic, DRAM, early NAND recovery and new customer capacity expansions.ONTO expects over 15% sequential revenue growth on rising backlog and broader product adoption. AI, HPC, advanced packaging and next-generation memory are driving unprecedented demand for cutting-edge chips. As manufacturers push toward two-nanometer (2nm) and even smaller process technologies, the need for precision metrology and inspection has been rising. Among the companies benefiting from this trend is Onto Innovation, Inc. (ONTO - Free Report) . Being a semiconductor process control specialist, it has consistently delivered strong financial performance while expanding its presence across advanced logic, memory and advanced packaging.
Onto Innovation's advanced nodes business continues to gain momentum across both logic and memory markets. The Atlas G6 platform is seeing wider adoption after strong competitive evaluations at leading logic customers, while DRAM manufacturers are increasingly using it for next-generation device development. The company also secured a new TSV metrology application win, with initial shipments expected in the second half of 2026. Supported by strong demand in logic and DRAM, along with early signs of a NAND recovery, Onto Innovation expects its advanced nodes business to grow about 25% in 2026, outpacing industry wafer fab equipment growth.
Per management, advanced nodes' revenues more than doubled in 2025, driven by its strong OCD position with leading global logic and memory manufacturers, despite minimal China exposure. Films and integrated metrology also hit record revenues, with integrated metrology expanding beyond memory to include two leading-edge logic customers. Onto Innovation expects the momentum to accelerate in the second half of 2026, driven by customer capacity expansions, growing product adoption and a rising backlog, supporting more than 15% sequential revenue growth.
If AI-driven semiconductor investment remains resilient and advanced-node manufacturing expands as expected, ONTO appears well-positioned to extend its winning streak as the semiconductor industry transitions to increasingly complex manufacturing nodes.
How Does ONTO Stack Up Against Semiconductor Rivals?KLA Corporation (KLAC - Free Report) continues to benefit from AI-driven spending in leading-edge foundry/logic, HBM and advanced packaging, supporting market share gains in process control and steady services growth that helps anchor cash generation. KLA's advanced systems and longer tool lifecycles are driving high-margin service growth by increasing demand for tool performance and uptime. While KLA cited share gains in electron-beam inspection in 2025, the pace of customer adoption and the relative performance of competing platforms remain key variables at the most advanced nodes. If alternative approaches deliver better sensitivity or throughput economics, KLA may need higher R&D and applications spending to defend its installed base and sustain pricing.
Applied Materials (AMAT - Free Report) remains focused on the process complexity created by gate-all-around transitions and continues leading-edge node investments. In the fiscal second quarter, Semiconductor Systems delivered record foundry revenues, supported by strength in ALD, epitaxy and materials treatments, as customers ramp gate-all-around nodes while also adding capacity at advanced FinFET nodes. Management also emphasized that gate-all-around increases its available market and provides multiple opportunities for share gains in deposition, treatments, conductor etch and e-beam. The product cadence is important because it ties AMAT’s growth to architecture transitions rather than only to wafer starts. However, investments in manufacturing capacity, inventory and logistics to support customer ramps are increasing operational complexity.
ONTO Price Performance, Valuation and EstimatesONTO’s shares have soared 208.8% in the past year, outperforming the Zacks Nanotechnology industry’s growth of 203.9% and surpassing the Zacks Computer and Technology sector and the S&P 500 composite’s growth of 33.9% and 23.8%, respectively.
Image Source: Zacks Investment Research
In terms of forward price/earnings, ONTO’s shares are trading at 35.11X, higher than the industry’s 6.8X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for ONTO has moved up for both 2026 and 2027 over the past 60 days.
Image Source: Zacks Investment Research
Onto Innovation currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
ST. PAUL, Minn.--(BUSINESS WIRE)--H.B. Fuller Company (NYSE: FUL) today announced that its Board of Directors declared a regular quarterly cash dividend of $0.2450 per share of common stock, payable on August 13, 2026 to shareholders of record at the close of business on July 30, 2026.H.B. Fuller has paid quarterly cash dividends on its common stock for 58 consecutive years.About H.B. FullerAs the largest pureplay adhesives company in the world, H.B. Fuller's (NYSE: FUL) innovative, functional c.
H.B. Fuller Company (NYSE: FUL) today announced that its Board of Directors declared a regular quarterly cash dividend of $0.2450 per share of common stock, pay
New York, New York--(Newsfile Corp. - July 16, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Planet Fitness, Inc. (NYSE: PLNT) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Planet Fitness, Inc. securities between November 6, 2025 and May 6, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/PLNT.
Planet Fitness, Inc. Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
Planet Fitness' updated marketing messaging was failing to resonate with, and was actively intimidating, its core target demographic of fitness beginners and casual gym-goers; as a result, the Company was experiencing significant headwinds in net member growth during its critical first-quarter sign-up period, rendering its previously issued fiscal 2026 guidance and long-term financial targets unattainable; contrary to Defendants' representations, Planet Fitness would be required to restructure its marketing strategy, forgoing the benefits it claimed would result from continuing its existing marketing campaign, and abandon its planned Black Card membership price increase upon which its sales projections were based; and as a result of the foregoing, Defendants' statements about the Company's business, operations, financial guidance, and prospects were materially false and misleading at all relevant times.What's Next for Planet Fitness, Inc. Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/PLNT, or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Planet Fitness, Inc. you have until September 14, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Planet Fitness, Inc. Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Planet Fitness, Inc. Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
Follow us for updates on LinkedIn, X, Facebook, or Instagram.
Attorney advertising.
Prior results do not guarantee similar outcomes.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/305265
Source: Bronstein, Gewirtz & Grossman, LLC
Ready to Announce with Confidence? Send us a message and a member of our TMX Newsfile team will contact you to discuss your needs.
NEW YORK, July 16, 2026 (GLOBE NEWSWIRE) -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Planet Fitness, Inc. (NYSE: PLNT) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Planet Fitness, Inc. securities between November 6, 2025 and May 6, 2026, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/PLNT.
Planet Fitness, Inc. Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
Planet Fitness’ updated marketing messaging was failing to resonate with, and was actively intimidating, its core target demographic of fitness beginners and casual gym-goers; as a result, the Company was experiencing significant headwinds in net member growth during its critical first-quarter sign-up period, rendering its previously issued fiscal 2026 guidance and long-term financial targets unattainable; contrary to Defendants’ representations, Planet Fitness would be required to restructure its marketing strategy, forgoing the benefits it claimed would result from continuing its existing marketing campaign, and abandon its planned Black Card membership price increase upon which its sales projections were based; and as a result of the foregoing, Defendants’ statements about the Company’s business, operations, financial guidance, and prospects were materially false and misleading at all relevant times. What's Next for Planet Fitness, Inc. Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm’s site: bgandg.com/PLNT or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Planet Fitness, Inc. you have until September 14, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Planet Fitness, Inc. Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys’ fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Planet Fitness, Inc. Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
Follow us for updates on LinkedIn, X, Facebook, or Instagram.
Contact Info
Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]
Attorney advertising.
Prior results do not guarantee similar outcomes.
BOSTON--(BUSINESS WIRE)--Eastern Bank is pleased to announce financing for a multi‑site affordable senior housing development in four New Hampshire communities—Tamworth, Bethlehem, Manchester and Pelham. Sponsored by Housing Initiatives of New England Corporation, a nonprofit developer and operator of high‑quality, affordable senior housing across New England, the financing will support the rehabilitation of 122 affordable senior housing units and construction of 28 new units for moderate‑incom.
Construction Partners (ROAD) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions may not translate into further price increase in the near term.
Investors don't usually turn to the financial services sector when looking for exciting opportunities. However, SoFi Technologies (SOFI 2.18%) is a reason to explore investment options that aren't dominated by massive banking entities.
The fintech stock currently trades at a steep discount (42% off its peak as of July 14), but its potential growth story isn't over thanks to its ability to attract customers. This is a key reason that investors should consider SoFi for their own portfolios.
Image source: SoFi Technologies.
Adding new members has been easy for SoFi At the end of 2022, SoFi had 5.2 million members. As of March 31 of this year, that number had expanded dramatically to 14.7 million, representing 183% growth over three and a half years. This kind of expansion is not what investors expect from a financial institution.
SoFi operates with a digital-only business model, which has aided in its growth. By leveraging data and technology, the company has carved out a niche by catering to younger, affluent consumers. Much of its growth stems from providing an exceptional user experience.
SoFi was named the No. 1 U.S. Bank by Forbes in their World's Best Banks ranking, beating out institutions that have been around for decades, according to CEO Anthony Noto, speaking on the first-quarter 2026 earnings call. He noted that the comprehensive survey asked respondents to rate banks on customer service, digital services, financial advice, and trust.
The company continues to focus heavily on its innovation pipeline. This is an advantage. SoFi can move quickly to launch new products and services. The ultimate goal is to provide greater value for its existing customers, which can help to bring on new ones as well.
Because it avoids the costly overhead of operating a network of physical bank branches, SoFi can offer an annual percentage yield of 3.1% on its savings account. Add in the peace of mind that comes from expanded FDIC insurance (up to $3 million in deposits), and it makes sense that the company's deposit base has ballooned almost 300% in the past three years to $40.2 billion.
SoFi Technologies
Today's Change
(
-2.18
%) $
-0.39
Current Price
$
17.48
Sofi's competitive position can strengthen over time It's no surprise that having more customers is something all companies want. This provides the tailwind to support future growth. It's not hard to see SoFi having a significantly larger membership base in the years ahead.
That will lift the top line. Sofi's leadership team said it believes that adjusted net revenue will increase at an annualized clip of 30% from 2025 to 2028. New customers will join, but SoFi's expanding product and service suite also naturally facilitates cross-selling opportunities that can boost revenue opportunities and support customer stickiness.
This is an important trend that shareholders should watch. It directly benefits SoFi's competitive position.
Glacier Bancorp (GBCI - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.
The earnings report, which is expected to be released on July 23, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis bank holding company is expected to post quarterly earnings of $0.76 per share in its upcoming report, which represents a year-over-year change of +68.9%.
Revenues are expected to be $324.2 million, up 34.8% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.4% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Glacier Bancorp?For Glacier Bancorp, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +3.61%.
On the other hand, the stock currently carries a Zacks Rank of #2.
So, this combination indicates that Glacier Bancorp will most likely beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Glacier Bancorp would post earnings of $0.67 per share when it actually produced earnings of $0.70, delivering a surprise of +4.48%.
Over the last four quarters, the company has beaten consensus EPS estimates two times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Glacier Bancorp appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
An Industry Player's Expected ResultsAmong the stocks in the Zacks Banks - West industry, Western Alliance (WAL - Free Report) , is soon expected to post earnings of $2.33 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +12.6%. This quarter's revenue is expected to be $973.85 million, up 13.8% from the year-ago quarter.
The consensus EPS estimate for Western Alliance has been revised 3.2% lower over the last 30 days to the current level. However, a lower Most Accurate Estimate has resulted in an Earnings ESP of -2.98%.
When combined with a Zacks Rank of #4 (Sell), this Earnings ESP makes it difficult to conclusively predict that Western Alliance will beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Key Takeaways Jacobs joined TransnetBW's trusted partner pool to support major transmission infrastructure programs.The framework covers permitting, design, cost management, risk oversight and construction supervision.Jacobs' record $27 billion backlog and 1.4x book-to-bill ratio support strong revenue visibility. Jacobs Solutions Inc. (J - Free Report) has secured a multidisciplinary framework agreement with TransnetBW, one of Germany’s four major electricity transmission system operators, strengthening its position in Europe's accelerating energy transition. Instead of a single contract, the two companies have entered into a flexible agreement that places Jacobs in a pre-approved pool of trusted partners, allowing TransnetBW to assign work more efficiently without repeating the formal bidding process.
Under the agreement, Jacobs will provide end-to-end project delivery support across multiple transmission infrastructure programs. Its responsibilities will span environmental permitting, site investigations, engineering design, project and cost management, risk oversight and construction supervision. While TransnetBW will retain overall governance and final decision-making authority, Jacobs will contribute technical expertise to help deliver large-scale grid modernization projects safely, efficiently and in compliance with Germany's regulatory requirements.
Germany's Energy Transition Creates Long-Term OpportunityThe partnership strengthens Jacobs' presence in energy and power infrastructure, one of the company's fastest-growing end markets. As renewable energy capacity expands, Germany requires significant transmission upgrades to improve grid reliability and connect new clean-energy sources across the country.
Leveraging its established engineering and program management capabilities in Germany, Jacobs will help TransnetBW execute complex transmission projects through integrated technical delivery, environmental planning and disciplined project oversight. The collaboration also aligns with Jacobs' broader strategy of providing integrated lifecycle solutions, from planning and advisory services through construction management, for critical infrastructure projects.
The award comes amid rising investments in Germany's transmission network as renewable energy deployment and electrification increase demand for a stronger, more resilient power grid. It also positions Jacobs to capitalize on long-term infrastructure spending opportunities across Europe's energy market.
Record Backlog Supports Growth VisibilityThe TransnetBW framework further strengthens Jacobs' long-term growth outlook, supported by robust project demand across its key end markets. In the second quarter of fiscal 2026, the company reported a record backlog of $27 billion, up 22% year over year, while its trailing 12-month book-to-bill ratio remained a healthy 1.4x, reflecting continued strong bookings and revenue visibility. Management also raised its fiscal 2026 organic adjusted net revenue growth outlook to 8-10.5%, citing sustained momentum across data centers, semiconductors, water, energy and power, and transportation.
Recent project wins, including the Dallas Fort Worth International Airport Terminal S expansion, the San Francisco Southeast Wastewater Treatment Plant modernization and multiple hyperscaler data center projects, underscore Jacobs' ability to secure large, complex infrastructure programs across diversified end markets. This broad-based demand continues to reinforce the company's long-term growth strategy.
J’s Share Price PerformanceJacobs’ stock has declined 2.1% year to date against the Zacks Building Products - Miscellaneous industry’s 2.1% growth. Near-term performance could remain pressured by uncertainties surrounding infrastructure funding, foreign-exchange headwinds and higher leverage following the acquisition of the remaining stake in PA Consulting.
Image Source: Zacks Investment Research
Nevertheless, Jacobs remains well positioned for long-term growth, supported by its record backlog, improving bookings and sustained demand across mission-critical markets such as energy and power, transportation, water, advanced manufacturing and AI-related infrastructure.
J’s Zacks Rank & Key PicksJacobs currently carries a Zacks Rank #3 (Hold).
Some top-ranked stocks from the Construction sector are:
Argan, Inc. (AGX - Free Report) flaunts a Zacks Rank #1 (Strong Buy) at present. The company delivered a trailing four-quarter earnings surprise of 40.5%, on average. AGX stock has surged 94.4% year to date. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Argan’s 2026 sales and EPS indicates growth of 38% and 29.4%, respectively, from the prior-year levels.
Sterling Infrastructure, Inc. (STRL - Free Report) flaunts a Zacks Rank of 1 at present. The company delivered a trailing four-quarter earnings surprise of 29.1%, on average. STRL stock has jumped 118.4% year to date.
The Zacks Consensus Estimate for Sterling’s 2026 sales and EPS indicates growth of 59.2% and 75.7%, respectively, from the prior-year levels.
Everus Construction Group (ECG - Free Report) presently has a Zacks Rank #2 (Buy). The company delivered a trailing four-quarter earnings surprise of 62%, on average. ECG stock has climbed 61.8% year to date.
The Zacks Consensus Estimate for ECG’s 2026 sales and EPS indicates growth of 17% and 11.1%, respectively, from the year-ago period’s levels.
Key Takeaways Sterling's E-Infrastructure revenues jumped 174% year over year on strong mission-critical demand.More than 90% of Sterling's E-Infrastructure backlog is tied to data centers and advanced manufacturing.Stone Ridge could add $180-$200M in 2026 revenues, while expanding Sterling in the Pacific Northwest. Sterling Infrastructure (STRL - Free Report) is rapidly emerging as one of the biggest beneficiaries of the U.S. buildout of data centers and advanced manufacturing. The company's first-quarter 2026 results highlighted the strength of this trend, with E-Infrastructure revenues surging 174% year over year, driven by robust demand for site development services, contributions from the CEC acquisition and continued momentum in mission-critical projects. The business also delivered strong margin expansion, reflecting disciplined project selection and solid execution.
The growth story extends beyond a single quarter. Sterling ended the first quarter with a signed backlog of $3.8 billion and a combined backlog of $5.15 billion, while its total opportunity pool, including unsigned awards and future project phases, approached $6.5 billion.
Management noted that more than 90% of E-Infrastructure backlog is tied to mission-critical markets such as data centers, semiconductor fabrication and advanced manufacturing, providing strong visibility into future revenues. The company also secured the first phase of a large semiconductor fabrication campus, opening another long-term growth avenue.
Sterling is broadening its geographic reach. The acquisition of Stone Ridge Contracting expands its site development capabilities into the Pacific Northwest while strengthening its presence in high-growth data center and industrial markets. Stone Ridge is expected to generate $180-$200 million in 2026 revenues, with the EBITDA margin in the mid-teens, supporting Sterling's long-term expansion strategy.
The key risk is execution. Sustaining triple-digit growth will require Sterling to manage labor, project complexity and integration while maintaining margins. However, with rising demand, a record pipeline and an expanding geographic footprint, Sterling appears well-positioned to continue winning large infrastructure projects.
Here’s How Sterling Is Positioned Against Industry PeersSterling faces competition from EMCOR Group (EME - Free Report) and Comfort Systems USA (FIX - Free Report) , two companies benefiting from the rapid expansion of data centers, semiconductor facilities and other mission-critical infrastructure.
EMCOR has built a strong position in electrical and mechanical construction services for complex commercial and industrial projects. While it has extensive nationwide capabilities and long-standing customer relationships, Sterling differentiates itself through large-scale site development and integrated infrastructure services that are increasingly winning hyperscale data center projects. As AI-related capital spending grows, EMCOR remains a formidable rival in securing high-value infrastructure contracts.
Comfort Systems is another close competitor, specializing in mechanical, electrical and plumbing services for data centers, manufacturing facilities and advanced industrial projects. Comfort Systems continues to expand through acquisitions and strong project execution, strengthening its presence in mission-critical markets. However, Sterling's combination of site development, electrical capabilities and growing semiconductor exposure provides a broader infrastructure offering. As customers seek fewer, larger contractors capable of handling complex projects, Sterling, Comfort Systems and EMCOR are likely to remain among the key beneficiaries of long-term AI and infrastructure investment.
STRL Stock’s Price Performance & Valuation TrendShares of this Texas-based infrastructure services provider have gained 118.4% year to date, outperforming the Zacks Engineering - R and D Services industry, the broader Construction sector and the S&P 500 Index, as shown below.
STRL’s YTD Price Performance
Image Source: Zacks Investment Research
The STRL stock is currently trading at a premium compared with its industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 29.41, as shown in the chart below.
STRL Valuation - P/E (F12M)
Image Source: Zacks Investment Research
Earnings Estimate Revision of STRLSTRL’s earnings estimates for 2026 and 2027 have moved upward in the past 60 days to $19.12 and $25.83 per share, respectively. The revised estimates for 2026 and 2027 imply year-over-year growth of 75.7% and 35.1%, respectively.
Image Source: Zacks Investment Research
Sterling currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Exelixis (EXEL - Free Report) , which belongs to the Zacks Medical - Biomedical and Genetics industry.
This drug developer has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 19.04%.
For the last reported quarter, Exelixis came out with earnings of $0.87 per share versus the Zacks Consensus Estimate of $0.75 per share, representing a surprise of 16.00%. For the previous quarter, the company was expected to post earnings of $0.77 per share and it actually produced earnings of $0.94 per share, delivering a surprise of 22.08%.
Price and EPS Surprise
Thanks in part to this history, there has been a favorable change in earnings estimates for Exelixis lately. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the stock is positive, which is a great indicator of an earnings beat, particularly when combined with its solid Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Exelixis currently has an Earnings ESP of +6.31%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #2 (Buy) indicates that another beat is possibly around the corner.
With the Earnings ESP metric, it's important to note that a negative value reduces its predictive power; however, a negative Earnings ESP does not indicate an earnings miss.
Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Boise Cascade (BCC - Free Report) . This company, which is in the Zacks Building Products - Wood industry, shows potential for another earnings beat.
This engineered wood products and plywood company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 83.14%.
For the most recent quarter, Boise Cascade was expected to post earnings of $0.43 per share, but it reported $0.5 per share instead, representing a surprise of 16.28%. For the previous quarter, the consensus estimate was $0.16 per share, while it actually produced $0.4 per share, a surprise of 150.00%.
Price and EPS Surprise
Thanks in part to this history, there has been a favorable change in earnings estimates for Boise Cascade lately. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the stock is positive, which is a great indicator of an earnings beat, particularly when combined with its solid Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Boise Cascade has an Earnings ESP of +6.50% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #2 (Buy), it shows that another beat is possibly around the corner.
With the Earnings ESP metric, it's important to note that a negative value reduces its predictive power; however, a negative Earnings ESP does not indicate an earnings miss.
Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.
While many investors like to look for momentum in stocks, this can be very tough to define. There is a lot of debate surrounding which metrics are the best to focus on and which are poor quality indicators of future performance. The Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.
Below, we take a look at Werner Enterprises (WERN - Free Report) , a company that currently holds a Momentum Style Score of A. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.
It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Werner Enterprises currently has a Zacks Rank of #2 (Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.
You can see the current list of Zacks #1 Rank Stocks here >>>
Set to Beat the Market?Let's discuss some of the components of the Momentum Style Score for WERN that show why this transportation company shows promise as a solid momentum pick.
Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It is also useful to compare a security to its industry, as this can help investors pinpoint the top companies in a particular area.
For WERN, shares are up 1.5% over the past week while the Zacks Transportation - Truck industry is up 0.64% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 9.35% compares favorably with the industry's 3.15% performance as well.
While any stock can see its price increase, it takes a real winner to consistently beat the market. That is why looking at longer term price metrics -- such as performance over the past three months or year -- can be useful as well. Shares of Werner Enterprises have increased 31.24% over the past quarter, and have gained 55.64% in the last year. In comparison, the S&P 500 has only moved 8.13% and 22.65%, respectively.
Investors should also pay attention to WERN's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. WERN is currently averaging 924,052 shares for the last 20 days.
Earnings OutlookThe Zacks Momentum Style Score also takes into account trends in estimate revisions, in addition to price changes. Please note that estimate revision trends remain at the core of Zacks Rank as well. A nice path here can help show promise, and we have recently been seeing that with WERN.
Over the past two months, 4 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost WERN's consensus estimate, increasing from $0.94 to $1.02 in the past 60 days. Looking at the next fiscal year, 3 estimates have moved upwards while there have been 1 downward revision in the same time period.
Bottom LineTaking into account all of these elements, it should come as no surprise that WERN is a #2 (Buy) stock with a Momentum Score of A. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep Werner Enterprises on your short list.
Investors interested in Computers - IT Services stocks are likely familiar with Amdocs (DOX - Free Report) and Jack Henry (JKHY - Free Report) . But which of these two companies is the best option for those looking for undervalued stocks? Let's take a closer look.
There are plenty of strategies for discovering value stocks, but we have found that pairing a strong Zacks Rank with an impressive grade in the Value category of our Style Scores system produces the best returns. The proven Zacks Rank emphasizes companies with positive estimate revision trends, and our Style Scores highlight stocks with specific traits.
Amdocs and Jack Henry are both sporting a Zacks Rank of #2 (Buy) right now. This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. But this is just one factor that value investors are interested in.
Value investors also tend to look at a number of traditional, tried-and-true figures to help them find stocks that they believe are undervalued at their current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
DOX currently has a forward P/E ratio of 6.95, while JKHY has a forward P/E of 20.86. We also note that DOX has a PEG ratio of 0.79. This popular figure is similar to the widely-used P/E ratio, but the PEG ratio also considers a company's expected EPS growth rate. JKHY currently has a PEG ratio of 2.09.
Another notable valuation metric for DOX is its P/B ratio of 1.63. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. By comparison, JKHY has a P/B of 4.94.
These are just a few of the metrics contributing to DOX's Value grade of A and JKHY's Value grade of C.
Both DOX and JKHY are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that DOX is the superior value option right now.
CBOE Global (CBOE - Free Report) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.
A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.
Since a changing earnings picture is a powerful factor influencing near-term stock price movements, the Zacks rating system is very useful for individual investors. They may find it difficult to make decisions based on rating upgrades by Wall Street analysts, as these are mostly driven by subjective factors that are hard to see and measure in real time.
As such, the Zacks rating upgrade for CBOE is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.
Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. That's partly because of the influence of institutional investors that use earnings and earnings estimates for calculating the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their transaction of large amounts of shares then leads to price movement for the stock.
For CBOE, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.
Harnessing the Power of Earnings Estimate RevisionsEmpirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, so it could be truly rewarding if such revisions are tracked for making an investment decision. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .
Earnings Estimate Revisions for CBOEThis holding company for the Chicago Board Options Exchange is expected to earn $13.56 per share for the fiscal year ending December 2026, which represents no year-over-year change.
Analysts have been steadily raising their estimates for CBOE. Over the past three months, the Zacks Consensus Estimate for the company has increased 10.2%.
Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of CBOE to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
Americkým indexům se dnes nedaří. Po počáteční kladném otevření se v průběhu dne pomalu ale jistě sunou do záporných hodnot, momentálně s výjimkou Dow Jones, který je na kladné nule. Technologický sektor je i nadále tlačen vahou čipového sektoru, který nadále koriguje letošní růstovou rallye. V Americké společnosti se začíná objevovat napětí kolem sektoru umělé inteligence, přičemž se začíná mluvit o její regulaci. V obci v Michiganu se lidé postavili proti výstavbě datového centra za 16 mld. USD, který má být velkým společným projektem firem Oracle, Open AI, Related Digital, Blackstone a Walbridge. Investoři jsou tedy stále opatrní, co se týče budoucnosti tohoto sektoru.
Nejlépe se daří klasickým technologickým společnostem těžící z poskytování výpočetního výkonu, takzvaný hyperscaleři. Microsoft přidává +1,88 %. V čele poklesu v čipovém sektoru je opět Micron, který odepisuje -6,11 %. Podobně je na tom ARM -8,41 %.
Oproti nim se kapitál opět přelévá do defenzivních titulů. Zde excelují například McDonald +2,6 % či MasterCard +2,4 %. Daří se i realitnímu sektoru, kterému pomáhá vidina nadále se nezvyšujících úrokových sazeb. Lídr na tomto trhu Realty Income přidává slušné 3 %. Vici Properties pak +2,57 %. Opačný efekt to má na cenné kovy, kde zlato odepisuje -1,38 % a bojuje o udržení supportní úrovně 4000 USD.
Geopolitický vývoj v Hormuzském průlivu mírně ustrnul, nelepší se ale ani nehorší. Ropa WTI osciluje kolem nuly a nyní odepisuje -0,67 %.
Index Dow Jones +0,1 % na 52711,63 b.
S&P 500 -0,24 % na 7554,53 b.
Nasdaq Composite -0,84 % na 26048,65 b.
Index S&P 500 -0,24 % na 7554,53 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Nezbytná spotřeba +2,3 % Informační technologie -1,7 % Zdravotní péče +2 % Průmysl -0,2 % Reality +1,5 % Utility -0,2 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Abbott Laboratories (ABT) +11 % Corning (GLW) -10 % Erie Indemnity (ERIE) +9,5 % Sandisk Corp (SNDK) -10 % Cintas Corp (CTAS) +7,1 % Western Digital Corp (WDC) -9,9 % Ingersoll Rand (IR) +6,9 % Seagate Technology Holdings (STX) -8,6 % JB Hunt Transport Services (JBHT) +6,6 % Marvell Technology (MRVL) -8,4 %
Jan Pazourek, Fio banka, a.s.
Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.
While many investors like to look for momentum in stocks, this can be very tough to define. There is a lot of debate surrounding which metrics are the best to focus on and which are poor quality indicators of future performance. The Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.
Below, we take a look at SharkNinja, Inc. (SN - Free Report) , which currently has a Momentum Style Score of A. We also discuss some of the main drivers of the Momentum Style Score, like price change and earnings estimate revisions.
It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. SharkNinja, Inc. currently has a Zacks Rank of #2 (Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.
You can see the current list of Zacks #1 Rank Stocks here >>>
Set to Beat the Market?Let's discuss some of the components of the Momentum Style Score for SN that show why this company shows promise as a solid momentum pick.
Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It is also useful to compare a security to its industry, as this can help investors pinpoint the top companies in a particular area.
For SN, shares are up 0.78% over the past week while the Zacks Consumer Products - Discretionary industry is flat over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 12.35% compares favorably with the industry's 1.38% performance as well.
Considering longer term price metrics, like performance over the last three months or year, can be advantageous as well. Shares of SharkNinja, Inc. have increased 27.92% over the past quarter, and have gained 35.78% in the last year. In comparison, the S&P 500 has only moved 8.13% and 22.65%, respectively.
Investors should also pay attention to SN's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. SN is currently averaging 1,462,866 shares for the last 20 days.
Earnings OutlookThe Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with SN.
Over the past two months, 1 earnings estimate moved higher compared to none lower for the full year. This revision helped boost SN's consensus estimate, increasing from $6.12 to $6.14 in the past 60 days. Looking at the next fiscal year, 1 estimate has moved upwards while there have been no downward revisions in the same time period.
Bottom LineTaking into account all of these elements, it should come as no surprise that SN is a #2 (Buy) stock with a Momentum Score of A. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep SharkNinja, Inc. on your short list.
Wall Street expects a year-over-year decline in earnings on higher revenues when Harley-Davidson (HOG - Free Report) reports results for the quarter ended June 2026. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.
The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 23. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis motorcycle maker is expected to post quarterly earnings of $0.58 per share in its upcoming report, which represents a year-over-year change of -34.1%.
Revenues are expected to be $1.12 billion, up 6.5% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Harley-Davidson?For Harley-Davidson, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -1.16%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination makes it difficult to conclusively predict that Harley-Davidson will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Harley-Davidson would post earnings of $0.34 per share when it actually produced earnings of $0.22, delivering a surprise of -35.29%.
Over the last four quarters, the company has beaten consensus EPS estimates just once.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Harley-Davidson doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Expected Results of an Industry PlayerAnother stock from the Zacks Automotive - Domestic industry, General Motors (GM - Free Report) , is soon expected to post earnings of $3.13 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +23.7%. Revenues for the quarter are expected to be $45.96 billion, down 2.5% from the year-ago quarter.
The consensus EPS estimate for General Motors has remained unchanged over the last 30 days. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of +5.17%.
This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that General Motors will most likely beat the consensus EPS estimate. The company beat consensus EPS estimates in each of the trailing four quarters.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Key Takeaways Equity Residential is expected to post higher Q2 revenues and normalized FFO year over year.EQR benefited from high occupancy, lower concessions and improved lease pricing entering Q2.EQR's FFO estimate stayed at $1.01, while its Earnings ESP remained at 0.00%. Equity Residential (EQR - Free Report) is slated to report second-quarter 2026 results after the closing bell on July 22. The company’s quarterly results are likely to reflect growth in both revenues and funds from operations (“FFO”) per share.
In the last reported quarter, this Chicago, IL-based residential real estate investment trust’s (“REIT”) normalized FFO per share surpassed the Zacks Consensus Estimate, delivering a surprise of 4.21%. However, rental income lagged the consensus mark.
Over the trailing four quarters, Equity Residential’s FFO per share surpassed the Zacks Consensus Estimate on one occasion, met in two and missed in the remaining period, with an average surprise of 0.81%. The graph below depicts this surprise history:
As we approach the release of Equity Residential's second-quarter 2026 earnings report, it is important to examine how this residential REIT is likely to have performed amid the current market conditions.
U.S. Apartment Market in Q2The U.S. multifamily market entered the second half of 2026 with a clearer recovery taking shape, as strong renter demand and a rapidly shrinking supply pipeline began translating into lower vacancy and improving rent growth.
According to a Cushman & Wakefield report, net absorption reached roughly 124,600 units, up from 83,500 units in the first quarter and 8% above the prior year, making it the fifth-strongest quarter in nearly 25 years. The supply picture also became more favorable. Approximately 88,000 units were delivered during the quarter, down 27% year over year. Around 475,000 units remained under construction at quarter-end, equal to just 3.5% of existing inventory.
Improving demand and slowing supply pushed the national vacancy rate down 35 basis points quarter over quarter to 8.9%, its first move below 9% since 2024. On a trailing four-quarter basis, absorption of approximately 362,000 units exceeded deliveries of about 358,000 units for the first time since early 2022, indicating vacancy is likely to have passed its cyclical peak. The recovery was particularly pronounced in previously overbuilt markets: Austin, Charleston, Savannah, Huntsville, Salt Lake City and Colorado Springs recorded some of the largest quarterly vacancy declines.
Rent growth remains modest but is beginning to improve. National asking rents reached approximately $1,945 per month, up 1.5% year over year, compared with 1.1% growth in the first quarter. The Bay Area led the recovery, with San Francisco rents rising 13%, San Jose 7% and the East Bay 4.8%. Norfolk, Toledo, Reno and Boise also posted strong gains.
High-supply markets remained softer, with rents still declining in Austin and Sarasota, although the pace of those declines moderated as excess supply was absorbed. Overall, the market appears to be shifting from stabilization into an occupancy-led recovery, with broader rent growth likely as the construction pipeline continues to shrink.
Factors to Consider Ahead of EQR’s Q2 ResultsThe improving fundamentals across the U.S. apartment market are expected to have supported Equity Residential's second-quarter performance, particularly given its concentration in high-barrier coastal markets where supply pressures are easing.
Equity Residential entered the second quarter of 2026 with strong occupancy and improving leasing momentum. Portfolio occupancy was 96.3% at the end of the first quarter, while net effective pricing had increased more than 4% since the start of the year. Concession use was also down about 21% from a year earlier, giving management confidence that pricing should continue to improve through the spring leasing season.
The biggest support remains the supply backdrop. EQR expects new apartment deliveries across its markets to decline about 35% in 2026, with the benefit becoming more visible in the second half. Low turnover, rising resident incomes and limited homeownership affordability should continue to support occupancy and renewal performance.
Overall, second-quarter 2026 results are expected to show gradual improvement rather than a major breakout. High occupancy, lower concessions and stronger renewal spreads should support better blended lease growth, while the sharp slowdown in new supply is expected to set up stronger operating momentum.
Projections for EQRWe expect second-quarter same-store revenues to increase 2.6% year over year, while same-store net operating income is estimated to grow 2.2%. Physical occupancy is expected at 96.4%.
Currently, the Zacks Consensus Estimate for the company’s quarterly revenues is pegged at $789.8 million, indicating a 2.73% year-over-year increase. For the second quarter of 2026, the company projects normalized FFO per share in the range of 98 cents to $1.02.
Before the second-quarter earnings release, the company’s activities were not adequate to gain analysts’ confidence. The Zacks Consensus Estimate for the quarterly normalized FFO per share has remained unchanged in the past two months at $1.01. However, it suggests 2.02% year-over-year growth.
Here Is What Our Quantitative Model Predicts for EQROur proven model does not conclusively predict a surprise in terms of FFO per share for Equity Residential this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an FFO beat, which is not the case here.
Equity Residential currently carries a Zacks Rank of 3 and has an Earnings ESP of 0.00%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks That Warrant a LookHere are two stocks from the broader REIT sector — SL Green Realty (SLG - Free Report) and Cousins Properties (CUZ - Free Report) — you may want to consider, as our model shows that these have the right combination of elements to report an FFO beat this quarter.
SL Green is slated to report quarterly numbers on July 22. SLG has an Earnings ESP of +7.20% and a Zacks Rank of 3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Cousins is slated to report quarterly numbers on July 30. CUZ has an Earnings ESP of +0.45% and a Zacks Rank of 3 at present.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
Key Takeaways HealthEquity is gaining from solid fiscal Q1 results, HSA strength and its business model.HQY's AI tools cut manual email handling 25% and reduced efforts by more than 90% in targeted workflows.HealthEquity's HSAs rose 8% to 10.6 million, while total HSA assets grew 19% to $37.1 billion. HealthEquity, Inc. (HQY - Free Report) has been gaining from its business model and strategy. The optimism, led by a solid first-quarter fiscal 2027 performance and strength in Health Savings Accounts (HSAs), is expected to contribute further. However, data security threats are major concerns.
In the year-to-date period, this Zacks Rank #3 (Hold) company’s shares have gained 3.8% against the 0.7% decline of the industry. The S&P 500 has increased 10.3% during the said time frame.
The renowned provider of technology-enabled services platforms for healthcare savings and spending decisions has a market capitalization of $7.9 billion. The company projects 15.2% growth over the next five years and expects to witness continued improvements in its business. HealthEquity’s earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 12.02%.
Image Source: Zacks Investment Research
Reasons Favoring HQY’s GrowthAI & Digital Innovation Drive Scalable Efficiency:In the first quarter of fiscal 2027, management said AI-driven tools reduced manual handling of member and client service emails by 25%. In targeted workflows such as card servicing and claims inquiries, AI-enabled automation reduced manual efforts by more than 90% and accelerated processing times by up to 50%. These initiatives are being paired with continued technology and security investments embedded in the raised fiscal 2027 outlook, suggesting management intends to keep pushing automation while sustaining service quality.
Expansion of Health Savings Accounts: HealthEquity has experienced significant growth in its HSA offerings. As of April 30, 2026, the total number of HSAs for which HealthEquity served as a non-bank custodian was 10.6 million, up 8% year over year.
HealthEquity reported 909,000 HSAs with investments as of April 30, 2026, up 18% year over year. Total accounts, as of April 30, 2026, were 17.8 million. This uptick included total HSAs and 7.2 million Consumer Direct Benefits (CDBs).
Total HSA assets were $37.1 billion at the end of April 30, 2026, up 19% year over year. This included $17.5 billion of HSA cash and $19.6 billion of HSA investments. This figure compares with our fiscal first-quarter HSA cash and HSA investments projection of $17.6 billion and $17.9 billion, respectively. We projected total HSA assets of $35.5 billion for the fiscal first quarter.
Client-held funds, which are deposits held on behalf of HealthEquity’s clients to facilitate the administration of its CDBs and from which the company generates custodial revenues, were $1 billion as of April 30, 2026.
Strong Fiscal Q1 Results: HealthEquity exited first-quarter fiscal 2027 with better-than-expected results. The company witnessed solid top and bottom-line performances in the reported quarter. Solid growth in HSAs also drove the top line. The solid uptick in total HSA assets in the reported quarter is promising. Improvements in operating and gross margins also bode well.
Management noted that the company opened approximately 172,000 new HSAs during the quarter. The company noted that it outpaced industry HSA growth, supported by strong client retention, an active enterprise sales pipeline and continued adoption of HSA-qualified plans.
Management also emphasized that digital engagement continues to strengthen, with monthly active mobile usage surging 90% year over year. The increased use of the mobile platform is helping improve member engagement, boost investing activity and support marketplace adoption, all of which are expected to enhance long-term member lifetime value.
Factor That May Offset HQY’s GainsData Security Threats: HealthEquity manages sensitive personal data and large custodial balances, which keeps cybersecurity risk elevated despite recent progress in fraud reduction. The company remains subject to a consolidated putative class action related to a fiscal 2025 cybersecurity incident involving a business partner’s user account and is also subject to regulatory inquiries connected to that incident.
In May 2026, the company filed a renewed motion to compel arbitration, and the potential loss associated with the lawsuit and any regulatory action was not reasonably estimable based on available information. Any adverse outcome could increase costs, create operational distraction and impact member and client confidence, which can weigh on the long-term margin and growth profile.
Estimate TrendHealthEquity has been witnessing a stable estimate revision trend for fiscal 2027. Over the past 30 days, the Zacks Consensus Estimate for earnings per share (EPS) has remained stable at $4.71.
The Zacks Consensus Estimate for second-quarter fiscal 2027 revenues is pegged at $350.2 million, implying a 7.5% rise from the year-ago reported number. The consensus mark for fiscal second-quarter EPS is pinned at $1.19, implying a 10.2% improvement year over year.
Key PicksSome better-ranked stocks from the broader medical space are West Pharmaceutical (WST - Free Report) , Intuitive Surgical (ISRG - Free Report) and Cardinal Health (CAH - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
West Pharmaceutical reported first-quarter 2026 earnings per share of $2.13, which beat the Zacks Consensus Estimate by 26.8%. Revenues of $844.9 million surpassed the Zacks Consensus Estimate by 8.5%.
West Pharmaceutical has an estimated long-term earnings growth rate of 13.9%. WST’s earnings surpassed estimates in the trailing four quarters, the average surprise being 19.4%.
Intuitive Surgical reported first-quarter 2026 adjusted EPS of $2.50, which beat the Zacks Consensus Estimate by 20.2%. Revenues of $2.77 billion surpassed the Zacks Consensus Estimate by 6.2%.
Intuitive Surgical has an estimated long-term earnings growth rate of 14.3%. ISRG’s earnings surpassed estimates in each of the trailing four quarters, the average surprise being 16.8%.
Cardinal Health reported a third-quarter fiscal 2026 adjusted EPS of $3.17, which beat the Zacks Consensus Estimate by 13.2%. Revenues of $60.94 billion missed the Zacks Consensus Estimate by 2.3%.
Cardinal Health has an estimated long-term earnings growth rate of 17%. CAH’s earnings surpassed estimates in the trailing four quarters, the average surprise being 10.3%.
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.
The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.
It also includes access to the Zacks Style Scores.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Based on their value, growth, and momentum characteristics, each stock is assigned a rating of A, B, C, D, or F. The better the score, the better chance the stock will outperform; an A is better than a B, a B is better than a C, and so on.
The Style Scores are broken down into four categories:
Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.
Growth ScoreGrowth investors are more concerned with a stock's future prospects, and the overall financial health and strength of a company. Thus, the Growth Style Score analyzes characteristics like projected and historic earnings, sales, and cash flow to find stocks that will see sustainable growth over time.
Momentum ScoreMomentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
VGM ScoreWhat if you like to use all three types of investing? The VGM Score is a combination of all Style Scores, making it one of the most comprehensive indicators to use with the Zacks Rank. It rates each stock on their combined weighted styles, which helps narrow down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.
#1 (Strong Buy) stocks have produced an unmatched +23.94% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.
But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.
That's where the Style Scores come in.
You want to make sure you're buying stocks with the highest likelihood of success, and to do that, you'll need to pick stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you like a stock that only has a #3 (Hold) rank, it should also have Scores of A or B to guarantee as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
For instance, a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one that boasts Scores of A and B, still has a downward-trending earnings forecast, and a much greater likelihood its share price will decline as well.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: JB Hunt (JBHT - Free Report) J.B. Hunt Transport Services is a provider of a wide range of transportation, brokerage, and delivery services to a diverse group of customers through the United States, Canada and Mexico. Founded in 1961, JBHT is based in Lowell, AR. J.B. Hunt's fiscal year coincides with the calendar year. As of Dec 31, 2025, JBHT had 31,750 employees, which consisted of 21,554 company drivers, 8,481 office personnel, 1,374 maintenance technicians, and 341 delivery and material assistants.
JBHT is a #2 (Buy) on the Zacks Rank, with a VGM Score of B.
Momentum investors should take note of this Transportation stock. JBHT has a Momentum Style Score of A, and shares are up 3.4% over the past four weeks.
Eight analysts revised their earnings estimate upwards in the last 60 days for fiscal 2026. The Zacks Consensus Estimate has increased $0.08 to $7.35 per share. JBHT boasts an average earnings surprise of +9.8%.
With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, JBHT should be on investors' short list.
SkyWest (SKYW - Free Report) is expected to deliver a year-over-year decline in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.
The earnings report, which is expected to be released on July 23, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis regional airline is expected to post quarterly earnings of $2.70 per share in its upcoming report, which represents a year-over-year change of -7.2%.
Revenues are expected to be $1.11 billion, up 6.8% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.52% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for SkyWest?For SkyWest, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -5.56%.
On the other hand, the stock currently carries a Zacks Rank of #4.
So, this combination makes it difficult to conclusively predict that SkyWest will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that SkyWest would post earnings of $2.15 per share when it actually produced earnings of $2.21, delivering a surprise of +2.79%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
SkyWest doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
NEW YORK, July 16, 2026 (GLOBE NEWSWIRE) -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Helen of Troy Limited (NASDAQ: HELE) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Helen of Troy securities between April 24, 2024 and October 8, 2025, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/HELE.
Helen of Troy Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
(1)Helen of Troy overstated the success and benefits of its Project Pegasus initiative, touting the “fuel” it was generating while downplaying issues such as “implementation hiccups” at its Tennessee distribution center and assuring investors that the project was progressing and delivering cost-saving efficiencies; (2)in reality, Project Pegasus was not delivering the efficiencies Defendants claimed, as the Company lacked sufficient resources and budget to achieve its stated restructuring and cost-savings goals; and (3)as a result, Defendants’ statements about the Company’s business, operations, and prospects were materially false and misleading at all relevant times.
What's Next for Helen of Troy Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm’s site: bgandg.com/HELE. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Helen of Troy you have until August 3, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Helen of Troy Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys’ fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Helen of Troy Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
Follow us for updates on LinkedIn, X, Facebook, or Instagram.
Contact Info
Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]
Attorney advertising.
Prior results do not guarantee similar outcomes.
Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.
The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.
Zacks Premium also includes the Zacks Style Scores.
What are the Zacks Style Scores? Developed alongside the Zacks Rank, the Zacks Style Scores are a group of complementary indicators that help investors pick stocks with the best chances of beating the market over the next 30 days.
Each stock is given an alphabetic rating of A, B, C, D or F based on their value, growth, and momentum qualities. With this system, an A is better than a B, a B is better than a C, and so on, meaning the better the score, the better chance the stock will outperform.
The Style Scores are broken down into four categories:
Value ScoreFor value investors, it's all about finding good stocks at good prices, and discovering which companies are trading under their true value before the broader market catches on. The Value Style Score utilizes ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to help pick out the most attractive and discounted stocks.
Growth ScoreWhile good value is important, growth investors are more focused on a company's financial strength and health, and its future outlook. The Growth Style Score takes projected and historic earnings, sales, and cash flow into account to uncover stocks that will see long-term, sustainable growth.
Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.
VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.
How Style Scores Work with the Zacks Rank A proprietary stock-rating model, the Zacks Rank utilizes the power of earnings estimate revisions, or changes to a company's earnings outlook, to help investors create a successful portfolio.
#1 (Strong Buy) stocks have produced an unmatched +23.94% average annual return since 1988, which is more than double the S&P 500's performance over the same time frame. However, the Zacks Rank examines a ton of stocks, and there can be more than 200 companies with a Strong Buy rank, and another 600 with a #2 (Buy) rank, on any given day.
With more than 800 top-rated stocks to choose from, it can certainly feel overwhelming to pick the ones that are right for you and your investing journey.
That's where the Style Scores come in.
To have the best chance of big returns, you'll want to always consider stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B, which will give you the highest probability of success. If you're looking at stocks with a #3 (Hold) rank, it's important they have Scores of A or B as well to ensure as much upside potential as possible.
As mentioned above, the Scores are designed to work with the Zacks Rank, so any change to a company's earnings outlook should be a deciding factor when picking which stocks to buy.
Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.
Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.
Stock to Watch: Jones Lang LaSalle (JLL - Free Report) Chicago-based Jones Lang LaSalle Incorporated — popularly known as JLL — is a leading full-service real estate firm that provides corporate, financial and investment management services to corporations and other real estate owners, users and investors worldwide.
JLL is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.
Additionally, the company could be a top pick for growth investors. JLL has a Growth Style Score of A, forecasting year-over-year earnings growth of 21.4% for the current fiscal year.
For fiscal 2026, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.48 to $22.83 per share. JLL boasts an average earnings surprise of +12.1%.
With a solid Zacks Rank and top-tier Growth and VGM Style Scores, JLL should be on investors' short list.
AST SpaceMobile ASTS shares are taking a hit this morning due to a combination of a massive new debt raise and delays in their commercial satellite launch timeline.
The sell-off crashed ASTS relative strength index (RSI) further into the early 30s – indicating the stock is now approaching “oversold” territory that often triggers a relief rally.
The bearish announcements arrive at a time when AST SpaceMobile stock is already under notable pressure, currently down about 56% versus its recent high.
Investors bailed on ASTS stock on Thursday morning after the company announced the pricing of a $1 billion private offering of 1.625% convertible senior notes due 2034.
The notes have an initial conversion price of about $79.57 per share (roughly a 20% premium over yesterday’s closing price of $66.31).
Even though the company purchased capped call transactions to mitigate the impact, investors are acting super sensitive to the related dilution.
The prospect of up to $1 billion in debt eventually converting into new shares has sparked fear that existing shareholders will have their ownership significantly diluted over time.
Alongside the capital raise, AST SpaceMobile dropped disappointing operational news as well: a delay in its launch timeline.
In an SEC regulatory filing on July 15th, the company said it’s now targeting the launch of its next block of roughly 45 BlueBird satellites for early 2027, pushing back its previous expectations for later this year
Management cited launch-provider capacity issues – specifically setbacks with Blue Origin’s New Glenn rocket – as a key reason for the bottleneck.
AST SpaceMobile shares tumbled on the announcement because it postpones the company’s path to meaningful revenue and cash flow.
In a high-stakes space race, a prolonged timeline leaves a wider window open for well-capitalized rivals, like SpaceX’s Starlink, to capture market share and secure dominant first-mover advantage.
While raising $1 billion secures the capital ASTS needs to continue building its direct-to-phone satellite constellation, the combination of immediate dilution concerns and a stretched timeline for commercial revenues is prompting a wave of selling.
And disciplined investors are cautioned against buying the dip because AST SpaceMobile Inc isn’t really trading at an attractive valuation either.
Despite recent weakness, its price-to-sales (P/S) multiple sits at about 377x currently, which makes it a very expensive stock to own by any stretch of the imagination.
That said, Wall Street analysts remain largely bullish on ASTS for the remainder of 2026.
While the consensus rating on the Nasdaq-listed firm sits at Hold only, the mean price target is set at about $86 currently, indicating potential upside of about 50% from current levels.
AST SpaceMobile (ASTS 18.34%) has grand ambitions to offer broadband directly to smartphones anywhere on Earth. Building and launching the satellite array that will provide that technology costs money.
AST announced yesterday that it was raising additional funds to support its efforts. The stock is dropping today on that news, down 15.5% as of 11:07 a.m. ET. But investors have more to worry about than just the required capital.
Image source: The Motley Fool.
Raising money, rising competition AST shares tanked today after the company said it was raising $1 billion through a private offering of convertible senior notes. The notes carry an initial conversion price of just under $80 per share. While that represented about a 20% premium over yesterday's closing price of AST stock, investors may be thinking the company's timing was poor.
Today's Change
(
-18.34
%) $
-12.16
Current Price
$
54.15
AST SpaceMobile stock has plunged by nearly 60% since late May, when it traded above $130 per share. Perhaps it could have done the capital raise at a higher conversion price in recent weeks, thereby lessening dilution by converting fewer shares.
Regardless, investors are not only concerned with the potential dilution; there is also competition from Space Exploration Technologies on the horizon. SpaceX's Starlink has advantages in the rocket segment of that business, along with a vast array of already-deployed satellites.
AST said it will use the proceeds for growth initiatives and to "secure additional access to orbit for its space-based cellular broadband network." SpaceX controls much of that access, which could be a bigger problem for AST shareholders than the capital raise that's moving the stock lower today.
Howard Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends AST SpaceMobile. The Motley Fool has a disclosure policy.
HomeIndustriesAerospace/DefenseSpace WatchSpace WatchAST SpaceMobile also pushed back a satellite-launch targetJuly 16, 2026, 11:51 a.m. ET
Shares of a SpaceX competitor are dropping on Thursday after the company said it needed to raise new funds and announced a delay with its satellite targets.
Shortly after the market closed on Wednesday, AST SpaceMobile ASTS said it would offer $1 billion worth of convertible senior notes. A few hours later, the company disclosed pricing details for those 1.625% notes, which are due in 2034 and will have an initial conversion price of $79.57 a share.
The market expects Cleveland-Cliffs (CLF - Free Report) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on July 23, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis mining company is expected to post quarterly loss of $0.18 per share in its upcoming report, which represents a year-over-year change of +64%.
Revenues are expected to be $5.17 billion, up 4.8% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 60.38% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Cleveland-Cliffs?For Cleveland-Cliffs, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -18.31%.
On the other hand, the stock currently carries a Zacks Rank of #2.
So, this combination makes it difficult to conclusively predict that Cleveland-Cliffs will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Cleveland-Cliffs would post a loss of$0.44 per share when it actually produced a loss of -$0.40, delivering a surprise of +9.09%.
Over the last four quarters, the company has beaten consensus EPS estimates four times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Cleveland-Cliffs doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
An Industry Player's Expected ResultsSteel Dynamics (STLD - Free Report) , another stock in the Zacks Steel - Producers industry, is expected to report earnings per share of $3.66 for the quarter ended June 2026. This estimate points to a year-over-year change of +82.1%. Revenues for the quarter are expected to be $5.46 billion, up 19.5% from the year-ago quarter.
The consensus EPS estimate for Steel Dynamics has been revised 7.3% higher over the last 30 days to the current level. However, an equal Most Accurate Estimate has resulted in an Earnings ESP of 0.00%.
This Earnings ESP, combined with its Zacks Rank #3 (Hold), makes it difficult to conclusively predict that Steel Dynamics will beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
The market expects Mobileye Global (MBLY - Free Report) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on July 23, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis maker of driver-assistance systems and autonomous driving technologies is expected to post quarterly earnings of $0.05 per share in its upcoming report, which represents a year-over-year change of -61.5%.
Revenues are expected to be $484 million, down 4.4% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Mobileye?For Mobileye, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -6.25%.
On the other hand, the stock currently carries a Zacks Rank of #4.
So, this combination makes it difficult to conclusively predict that Mobileye will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Mobileye would post earnings of $0.08 per share when it actually produced earnings of $0.12, delivering a surprise of +50.00%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Mobileye doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
This article is intended to provide informational content and should not be viewed as an exhaustive analysis of the featured company. It should not be interpreted as personalized investment advice with regard to "Buy/Sell/Hold/Short/Long" recommendations. Financial models presented here, including DCF, rNPV, and scenario analyses, are illustrative tools based on the author's assumptions and are highly sensitive to inputs; small changes can materially alter outputs. The predictions and opinions presented reflect a probabilistic approach, not absolute certainty. Efforts have been made to ensure accuracy, but inadvertent errors may occur. Readers are advised to independently verify information and conduct their own research. Investing in stocks involves inherent volatility and risk. Before making any investment decisions, it is crucial for readers to conduct thorough research and assess their financial circumstances. The author is not liable for any financial losses incurred as a result of using or relying on the content of 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.
Key Takeaways Applied Optoelectronics is benefiting from the rising demand for 800G and 1.6T optical transceivers for AI. AAOI is expanding U.S. manufacturing but faces capacity, supply chain and tariff-related challenges. MaxLinear raised its 2026 optical data center revenue outlook on stronger hyperscaler demand. Applied Optoelectronics (AAOI - Free Report) and MaxLinear (MXL - Free Report) are key suppliers to the AI data center infrastructure market. Applied Optoelectronics specializes in high-speed optical transceivers, laser components, and other fiber-optic networking products that enable AI data center connectivity, while MaxLinear develops high-speed connectivity and networking semiconductors, including PAM4 DSPs, transimpedance amplifiers and other interconnect solutions used in AI data center optical and electrical networking.
Applied Optoelectronics or MaxLinear — Which of these AI Data Center Infrastructure stocks has the greater upside potential? Let’s find out.
The Case for AAOI StockApplied Optoelectronics is benefiting from robust demand for AI-driven data center infrastructure, which is fueling significant growth and positioning the company for further upside. In the first quarter of 2026, Datacenter revenues reached $81.4 million, more than doubling from the year-ago quarter, as customer engagement strengthened around higher-speed optical products.
This growth is primarily attributed to accelerating customer demand for next-generation data center products, particularly 800G and 1.6 terabit optical transceivers, which are critical components for supporting the bandwidth and speed requirements of AI workloads in hyperscale data centers. In the first quarter alone, AAOI completed its first volume shipment of 800G single-mode transceivers to a major hyperscale customer, with 800G revenues reaching $4.6 million, or 5.6% of total data center revenues.
AAOI’s ability to scale manufacturing capacity rapidly remains a key catalyst. The company has made significant investments in expanding its U.S. manufacturing footprint, especially in Texas. The company recently expanded its Pearland, TX, manufacturing campus, adding nearly 400,000 square feet to boost production of 800G and 1.6T optical transceivers for AI and cloud data centers. The expansion strengthens AOI’s U.S. manufacturing footprint and supports its long-term AI infrastructure growth strategy.
The Case for MXL StockMaxLinear is benefiting from strong AI data center infrastructure demand, which has been a major growth driver of the company. In the first quarter of 2026, MXL reported a 43% year-over-year revenue increase, with infrastructure now being its largest revenue category, growing 136% year over year in the first quarter of 2026. This surge is primarily attributed to robust production ramps in optical data center-oriented platforms, as hyperscale customers rapidly scale AI-centric architectures.
A key driver of this momentum is MXL’s Keystone PAM4 DSP optical transceiver platform, which is ramping with multiple major hyperscale customers across the United States and Asia, supporting 400G and 800G deployments. The company has increased its 2026 optical data center revenue expectations to $150 million to $170 million, reflecting higher visibility and strong customer orders. MXL anticipates a step function increase in data center revenues beginning in the second quarter of 2026, with strong upside as run rates expand into 2027.
MXL’s product innovation is also fueling its growth. In May 2026, MaxLinear announced the expansion of its USB UART portfolio with the introduction of the Coronado (MxL81424) and Laguna (MxL81108) families. The expanded portfolio is purpose-built to meet the rapidly scaling control-plane and console-access demands of AI Infrastructure.
Price Performance and Valuation of AAOI and MXLIn the year-to-date period, AAOI shares have gained 212.9%, underperforming MXL shares, which have risen 409.7%. MaxLinear is benefiting from strong demand for AI-driven data center infrastructure, particularly through robust production ramps in optical data center-oriented platforms and expanding adoption of its high-speed connectivity solutions by hyperscale customers.
Despite Applied Optoelectronics expanding its AI portfolio, the company is currently suffering from production capacity constraints and supply chain limitations. Higher capex and tariff uncertainty are likely to affect its flexibility.
AAOI and MXL Stock Performance
Image Source: Zacks Investment Research
Both AAOI and MXL shares are currently overvalued, as suggested by a Value Score of F.
In terms of forward 12-month Price/Sales, AAOI shares are trading at 5.42X, lower than MXL’s 11.04X.
AAOI and MXL Valuation
Image Source: Zacks Investment Research
How Do Earnings Estimates Compare for AAOI & MXL?The Zacks Consensus Estimate for AAOI’s 2026 earnings is pegged at 80 cents per share, unchanged over the past 30 days. This indicates a 407.69% increase year over year.
The Zacks Consensus Estimate for MXL’s 2026 earnings is pegged at $1.33 per share, unchanged over the past 30 days. This indicates a 329.03% increase year over year.
AAOI’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters while missing twice, delivering a negative average surprise of 9.58%. MXL’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, delivering an average surprise of 11.11%. The average surprise of MaxLinear is higher than that of Applied Optoelectronics.
ConclusionWhile both Applied Optoelectronics and MaxLinear are well-positioned to benefit from the AI data center infrastructure market boom, MXL appears to offer greater upside potential thanks to its broader product momentum, sustained hyperscaler adoption, and more consistent earnings performance.
Despite AAOI’s robust and accelerating demand for its next-generation data center products, the company is suffering from intensifying competition from larger rivals, production capacity constraints, supply chain challenges, and tariff-related uncertainties that could hurt the company’s financial performance.
Applied Optoelectronics and MaxLinear currently carry a Zacks Rank #3 (Hold) each at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Key Takeaways AAOI is adding nearly 400,000 square feet of production to boost 800G and 1.6T transceiver output. Applied Optoelectronics expects demand to exceed production capacity through mid-2027. AAOI targets monthly production of more than 650,000 units by the end of 2026 and 930,000 units by end-2027. Applied Optoelectronics (AAOI - Free Report) has begun expanding its Pearland, TX, manufacturing campus, reinforcing its commitment to meeting rapidly growing demand for artificial intelligence (AI) networking infrastructure. The project will add nearly 400,000 square feet of production space across two facilities, supporting higher output of 800G and 1.6T optical transceivers used in hyperscale AI data centers.
The expansion builds on AAOI's broader U.S. manufacturing strategy and follows the company's previously announced plans to significantly increase domestic production capacity. Once fully operational, the Houston-area campus is expected to support production of up to 700,000 high-speed optical transceivers per month while substantially expanding laser manufacturing capacity by the end of 2027. The investment is aimed at strengthening AAOI's ability to serve hyperscale cloud providers as AI infrastructure deployments continue to accelerate.
The new facilities complement AAOI's vertically integrated manufacturing model, enabling the company to expand domestic production while maintaining greater control over product quality, supply chain resilience and manufacturing efficiency. The expansion also positions AAOI to capitalize on the industry's transition to higher-speed optical networking solutions.
AI Networking Demand Continues to Fuel AAOI's GrowthApplied Optoelectronics shares have soared 212.9% year to date, significantly outperforming the broader Zacks Computer and Technology sector's 15.8% growth. The rally reflects investors' optimism surrounding the company's expanding AI optics business, increasing hyperscaler engagements and aggressive manufacturing expansion.
The Pearland expansion supports AAOI's strategy of becoming a leading U.S. supplier of AI optical networking products. Demand for 800G and 1.6T optical transceivers is rising rapidly as hyperscale cloud providers build AI data centers, with management expecting demand to exceed production capacity through mid-2027, providing strong revenue visibility.
The company's AI optics business is gaining momentum. In the first quarter of 2026, 800G transceivers generated $4.6 million, or 5.6% of data center revenues, following the first volume shipment to a major hyperscale customer. Management expects 800G shipments to nearly quadruple in the second quarter, while 1.6T transceiver shipments are expected to begin in the third quarter after the company secured its first volume order from another hyperscale customer.
To support growing demand, AAOI plans to increase production capacity from nearly 100,000 units per month at the end of the first quarter to more than 650,000 units by the end of 2026 and 930,000 units by the end of 2027, alongside a 350% expansion in laser fabrication capacity.
AAOI’s strong position in the 800G transceiver market is fueling both operational and financial momentum. The company forecasts 800G revenues will reach approximately $217 million per month by mid-2027, contributing to total data center transceiver revenues of about $471 million per month.
AAOI Offers Strong Q2 2026 OutlookApplied Optoelectronics' expanding U.S. manufacturing footprint, accelerating AI infrastructure deployments and growing 800G and 1.6T optical transceiver business are expected to benefit the company’s top-line growth.
AAOI expects second-quarter 2026 revenues to be between $180 million and $198 million.
The Zacks Consensus Estimate for second-quarter 2026 revenues is pegged at $191.13 million, indicating year-over-year growth of 85.66%.
The consensus mark for second-quarter 2026 earnings is pegged at 3 cents per share, unchanged over the past 30 days. The figure implies a year-over-year increase of 118.75%.
AAOI's Zacks Rank & Stocks to ConsiderCurrently, Applied Optoelectronics carries a Zacks Rank #3 (Hold).
Digital Turbine (APPS - Free Report) , Dell Technologies (DELL - Free Report) and Analog Devices (ADI - Free Report) are some better-ranked stocks that investors can consider in the broader Zacks Computer and Technology sector. Digital Turbine, Dell Technologies and Analog Devices sport a Zacks Rank #1 (Strong Buy) each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
APPS shares have rallied 94.6% in the year-to-date period. The long-term earnings growth rate for Digital Turbine is pegged at 18.98%.
DELL shares have surged 227.8% in the year-to-date period. The long-term earnings growth rate for Dell Technologies is pegged at 26.35%.
Shares of ADI have gained 44.1% in the year-to-date period. The long-term earnings growth rate for Analog Devices is pegged at 28.76%.
The company behind social-media network Truth Social is launching a service that will give paying customers interested in market-moving information "licensed, real-time access" to posts from President Donald Trump and other top accounts, the company said Thursday.
Trump's family is the largest shareholder Trump Media & Technology Group, the public company that operates Truth Social. The president's @realDonaldTrump account is the largest account on Truth Social, according to a 2025 survey by SEO.ai. His account had 12.9 million followers on Thursday morning. Trump regularly posts official communications first on Truth Social, making his account a must-follow for Wall Street firms and news organizations that track the presidency.
Trump Media didn't mention the president in its press release announcing the service, known as an API, or Application Programming Interface. But it nodded to potential interest by Wall Street firms. "Markets already move on Truth Social posts," Kevin McGurn, Trump Media's interim chief executive officer, said in the release.
Read more on Trump investmentsTrump bought as much as $5 million in Axon stock before ICE sought $220 million Taser dealCompany that bet big on Trump-backed crypto says its fortunes have improvedTrump family got about $500M from crypto venture — but investors saw steep lossesTrump Jr. calls banking a 'Ponzi scheme' that forced family to create crypto businessThe Trump family crypto empire looks to Asia: Eric Trump talks Bitcoin in Hong KongTrump family says U.S. dollar needs an upgrade and they are the ones to do itThe White House didn't respond to an email about the announcement but forwarded CNBC's message to the Trump Organization, which declined to comment.
Trump Media didn't immediately respond to an email with follow-up questions.
"It's a huge conflict of interest," said Virginia Canter, an ethics attorney with Democracy Defenders Fund, a nonprofit organization that has been critical of the Trump administration. "He has an obligation to the American people to convey information to them publicly, and he's now funneling it through a private channel in which he has a private interest as one of its largest shareholders."
Truth Social has "become the de facto presidential press room," Canter said.
Trump Media is following a path blazed by other social networks, which also provide APIs to paying customers. Hedge funds and other Wall Street firms use low-latency feeds to gain an edge on market-moving information posted on social networks. They can use access to post archives to create algorithms that respond to sentiment and emerging trends.
But none of those other social networks are the primary outlet for official posts by the president of the U.S. Trump regularly posts updates on his decisions about the war with Iran and tariffs on Truth Social, among other issues.
Truth Social was launched in 2021 in response to decisions by X and Facebook to ban Trump's account in the wake of the Jan. 6, 2021, Capitol riot. He has since been reinstated to both.
Trump Media went public through a blank-check merger and has traded on the Nasdaq exchange under the ticker DJT since March 26, 2024. Its shares are down 84% since then through Thursday morning, according to FactSet data.
Roughly 114 million shares, now amounting to 42% of Trump Media, were issued to Trump, according to Securities and Exchange Commission filings. On winning the presidency, he transferred those shares to a revocable trust in the name of his son Donald Trump Jr.
Key Takeaways ALTO's shares surged 343.6% in a year, yet its forward P/S ratio remains below peers and the industry.First-quarter 2026 EPS turned positive as EBITDA and gross profit rebounded from year-ago losses.Section 45Z credits, capacity upgrades and export strength support growth, while commodity risks remain. Alto Ingredients, Inc. (ALTO - Free Report) has been benefiting from improving profitability, favorable industry conditions and expanding opportunities from Section 45Z tax credits. The renewable fuels producer is also executing operational optimization and capacity expansion initiatives that are expected to strengthen its earnings profile and support long-term growth. Despite these positive developments, ALTO continues to trade at a discount to its industry and several key peers, making the stock worth a closer look.
Shares of ALTO have soared 343.6% in the past year, significantly outperforming the broader market and most industry peers. Over the same period, the S&P 500 advanced 23.8%, while the Consumer Products - Discretionary industry gained 16.5%. In contrast, the broader Consumer Discretionary sector declined 14.9%.
ALTO has also significantly outperformed several notable competitors, including Green Plains Inc. (GPRE - Free Report) , Gevo, Inc. (GEVO - Free Report) and MGP Ingredients, Inc. (MGPI - Free Report) . Green Plains and Gevo rose 115.7% and 8.9%, respectively, over the same period, while MGP Ingredients declined 42.4%. This exceptional performance has established ALTO as one of the standout stocks within its peer group.
ALTO Stock Past Year Performance
Image Source: Zacks Investment Research
Strong stock performance often comes with stretched valuations. However, despite its remarkable rally, ALTO remains attractively valued compared with the broader industry and several key peers, indicating there could still be room for further upside.
Alto Ingredients' Valuation Still Looks AttractiveALTO currently trades at a forward 12-month price-to-sales ratio (P/S) of 0.4, well below the industry average of 3.29 and the sector average of 2.28. The stock also trades at lower multiples compared with Green Plains, Gevo and MGP Ingredients, whose forward price-to-sales ratios are 0.59, 1.99 and 0.73, respectively.
ALTO’s Valuation Compared to Industry
Image Source: Zacks Investment Research
So, what's driving ALTO's exceptional performance? Let's take a closer look.
Fundamentals Supporting ALTO’s RallyAlto Ingredients' rally has been underpinned by a significant turnaround in its financial performance. In the first quarter of 2026, the company reported earnings of 5 cents per share against a loss of 16 cents in the year-ago quarter. Adjusted EBITDA improved to $4.7 million from a negative $4.4 million, while gross profit swung to $9.2 million from a gross loss of $1.8 million. The results underscored the success of ALTO’s strategic realignment and enhanced earnings power.
Favorable industry dynamics have also provided a meaningful boost. Strong export demand, higher export premiums relative to domestic renewable fuel sales and improving corn oil prices supported margins. Board crush margins increased to 17 cents per gallon from just 2 cents a year ago, while essential ingredients returns improved to 53.4% from 48.2%. Management also remains optimistic about demand growth from export markets and year-round E15 adoption.
At the same time, Alto Ingredients continues to invest in projects aimed at enhancing long-term profitability. A debottlenecking project at the Pekin dry mill is expected to raise annual production capacity by about 5 million gallons, while additional CO2 infrastructure investments should enhance flexibility and support higher-value opportunities. The company is also evaluating carbon capture and sequestration initiatives that could provide additional earnings opportunities over time.
Section 45Z tax credits have also emerged as another important growth driver for Alto Ingredients. The company recognized $3.9 million in tax-credit earnings during the first quarter and expects roughly $15 million in annual net proceeds from qualifying production volumes. Positive operating cash flow, lower debt and more than $94 million in borrowing capacity have further strengthened its financial position.
What Could Limit ALTO's Upside?Alto Ingredients remains exposed to fluctuations in commodity prices and broader macroeconomic conditions. On its first quarter of 2026 earnings call, management noted that rising energy costs, geopolitical tensions in the Middle East and disruptions to freight and export logistics could create volatility in input costs and product demand. Since the company's margins are closely tied to corn, natural gas and ethanol prices, sustained cost inflation or weaker market conditions could weigh on profitability.
The company also faces the risk of weaker industry margins if production outpaces demand. Management acknowledged that strong spring crush margins have historically encouraged higher ethanol production, often leading to oversupply and margin compression in the second half of the year. While export demand and the potential expansion of year-round E15 could help absorb additional volumes, their impact remains uncertain.
The Bottom Line on Alto IngredientsAlto Ingredients has strengthened the business through higher profitability, favorable industry conditions and ongoing operational investments, supporting its impressive stock performance. ALTO’s shares also continue to trade at an attractive valuation despite the strong rally. However, exposure to commodity price volatility and the potential for industry margin pressure remain key risks to monitor. With a Zacks Rank #3 (Hold), existing investors may consider staying invested, while new investors may await a more attractive entry point.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
A strong stock as of late has been Sezzle Inc. (SEZL - Free Report) . Shares have been marching higher, with the stock up 28.5% over the past month. The stock hit a new 52-week high of $193.27 in the previous session. Sezzle Inc. has gained 197.1% since the start of the year compared to the -8.8% move for the Zacks Business Services sector and the -9.5% return for the Zacks Financial Transaction Services industry.
What's Driving the Outperformance?The stock has a great record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on May 6, 2026, Sezzle Inc. reported EPS of $1.43 versus consensus estimate of $1.24.
For the current fiscal year, Sezzle Inc. is expected to post earnings of $5.1 per share on $592.59 in revenues. This represents a 42.06% change in EPS on a 31.6% change in revenues. For the next fiscal year, the company is expected to earn $6.41 per share on $741.11 in revenues. This represents a year-over-year change of 25.74% and 25.06%, respectively.
Valuation MetricsThough Sezzle Inc. has recently hit a 52-week high, what is next for Sezzle Inc.? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.
On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.
Sezzle Inc. has a Value Score of D. The stock's Growth and Momentum Scores are A and C, respectively, giving the company a VGM Score of B.
In terms of its value breakdown, the stock currently trades at 37X current fiscal year EPS estimates, which is a premium to the peer industry average of 11.3X. On a trailing cash flow basis, the stock currently trades at 49.4X versus its peer group's average of 7.8X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.
Zacks RankWe also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Sezzle Inc. currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.
Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Sezzle Inc. fits the bill. Thus, it seems as though Sezzle Inc. shares could have potential in the weeks and months to come.
How Does SEZL Stack Up to the Competition?Shares of SEZL have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Joint Stock Company Kaspi.kz Sponsored ADR (KSPI - Free Report) . KSPI has a Zacks Rank of #1 (Strong Buy) and a Value Score of A, a Growth Score of C, and a Momentum Score of F.
Earnings were strong last quarter. Joint Stock Company Kaspi.kz Sponsored ADR beat our consensus estimate by 9.13%, and for the current fiscal year, KSPI is expected to post earnings of $12.23 per share on revenue of $10.32 billion.
Shares of Joint Stock Company Kaspi.kz Sponsored ADR have gained 7.4% over the past month, and currently trade at a forward P/E of 7.31X and a P/CF of 8.33X.
The Financial Transaction Services industry is in the top 34% of all the industries we have in our universe, so it looks like there are some nice tailwinds for SEZL and KSPI, even beyond their own solid fundamental situation.
GE Vernova (GEV - 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 the energy business spun off from General Electric have returned +0.6% over the past month versus the Zacks S&P 500 composite's +0.5% change. The Zacks Alternative Energy - Other industry, to which GE Vernova belongs, has lost 4.3% 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 RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
GE Vernova is expected to post earnings of $3.17 per share for the current quarter, representing a year-over-year change of +70.4%. Over the last 30 days, the Zacks Consensus Estimate has changed +1.4%.
For the current fiscal year, the consensus earnings estimate of $30.65 points to a change of +73.3% from the prior year. Over the last 30 days, this estimate has changed +0.4%.
For the next fiscal year, the consensus earnings estimate of $24.44 indicates a change of -20.2% from what GE Vernova is expected to report a year ago. Over the past month, the estimate has changed +0.2%.
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, GE Vernova 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.
For GE Vernova, the consensus sales estimate for the current quarter of $10.77 billion indicates a year-over-year change of +18.2%. For the current and next fiscal years, $45.36 billion and $51.88 billion estimates indicate +19.2% and +14.4% changes, respectively.
Last Reported Results and Surprise HistoryGE Vernova reported revenues of $9.34 billion in the last reported quarter, representing a year-over-year change of +16.3%. EPS of $1.98 for the same period compares with $0.91 a year ago.
Compared to the Zacks Consensus Estimate of $9.3 billion, the reported revenues represent a surprise of +0.47%. The EPS surprise was +7.61%.
Over the last four quarters, GE Vernova 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.
GE Vernova is graded F 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 GE Vernova. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.
Key Takeaways Nebius launched an asset-light AI cloud model using partner-owned data centers to expand capacity faster.NBIS will provide platform, hardware design, deployment, maintenance and customer management.Nebius plans flexible partnership models to create recurring revenues beyond AI cloud compute services. Nebius Group N.V. (NBIS - Free Report) recently introduced a new asset-light AI cloud business model that could accelerate its growth while reducing capital intensity. The strategy enables infrastructure partners to deploy Nebius' complete AI cloud platform within their own data centers, allowing it to expand its capacity globally without incurring the full cost of building every facility itself. This initiative positions NBIS to compete more effectively in the rapidly growing AI infrastructure market.
Under this partnership model, infrastructure partners finance, own and operate AI data centers, while Nebius provides systems architecture, hardware design, supply-chain expertise, its AI cloud platform, deployment, maintenance, customer acquisition and service management. Once operational, partner-owned facilities are integrated into Nebius' global AI cloud network. By enabling partners to fund these investments, the company can expand capacity much more quickly while conserving cash for software development, platform improvements, and customer acquisition. Major cloud providers often lease data center space instead of owning every facility. Similarly, semiconductor companies frequently outsource manufacturing while focusing on design and customer relations. Nebius is effectively applying this asset-light philosophy to AI cloud infrastructure.
Furthermore, Nebius plans to use flexible partnership structures, including revenue-sharing, software licensing, commission-based and committed-capacity agreements. This adaptable approach enables the company to customize partnerships across markets while creating recurring revenue streams beyond traditional AI cloud compute services. While competition in AI cloud services remains fierce from CoreWeave, Inc. (CRWV - Free Report) and Microsoft (MSFT - Free Report) and execution risks persist, it appears well-positioned to benefit from the long-term expansion of the AI infrastructure market.
NBIS vs. Hyperscalers & Emerging RivalsCoreWeave offers a purpose-built AI cloud platform that integrates the full AI stack, from data centers and storage to infrastructure software, runtime acceleration and application development tools. Its platform is optimized for large-scale AI training and inference, while Mission Control provides unified security, observability, orchestration and lifecycle management to improve performance, reliability and operational efficiency. AI workloads are shifting from training to inference and enterprise production, driving deeper commitments from existing customers while attracting new enterprise clients. This momentum fueled record backlog additions in the first quarter, with most of the new business expected to support its 2027 growth targets.
Microsoft's business model spans multiple high-growth segments, collectively reducing concentration risk while providing numerous expansion vectors. This diversification across productivity software, cloud infrastructure, business applications and professional networking creates resilient cash flow generation across economic cycles. The company's ability to cross-sell solutions and bundle offerings enhances customer lifetime value while creating switching costs. Multiple model support, including partnerships, enables customers to optimize cost and performance while maintaining Microsoft as their primary AI infrastructure provider. This leadership position in both AI infrastructure and applications should drive incremental revenue streams and margin expansion as adoption accelerates throughout fiscal 2026 and beyond.
NBIS Price Performance, Valuation and EstimatesShares of Nebius have gained 138.4% year to date compared with the Internet – Software and Services industry’s growth of 12.5%.
Image Source: Zacks Investment Research
In terms of price/book, NBIS’ shares are trading at 6.97X, higher than the Internet Software Services industry’s 3.87X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for NBIS’ earnings for 2026 has been revised significantly upward over the past 60 days.
Image Source: Zacks Investment Research
NBIS currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Let's take a look at what these Wall Street heavyweights have to say about Rigetti Computing, Inc. (RGTI - Free Report) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.
Rigetti Computing currently has an average brokerage recommendation (ABR) of 1.75, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 12 brokerage firms. An ABR of 1.75 approximates between Strong Buy and Buy.
Of the 12 recommendations that derive the current ABR, seven are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 58.3% and 8.3% of all recommendations.
Brokerage Recommendation Trends for RGTI
Check price target & stock forecast for Rigetti Computing here>>>
While the ABR calls for buying Rigetti Computing, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors to pick stocks with the best price increase potential.
Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations.
In other words, their interests aren't always aligned with retail investors, rarely indicating where the price of a stock could actually be heading. Therefore, the best use of this information could be validating your own research or an indicator that has proven to be highly successful in predicting a stock's price movement.
Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision.
Zacks Rank Should Not Be Confused With ABRIn spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures.
The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5.
It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them.
In contrast, the Zacks Rank is driven by earnings estimate revisions. And near-term stock price movements are strongly correlated with trends in earnings estimate revisions, according to empirical research.
In addition, the different Zacks Rank grades are applied proportionately to all stocks for which brokerage analysts provide current-year earnings estimates. In other words, this tool always maintains a balance among its five ranks.
There is also a key difference between the ABR and Zacks Rank when it comes to freshness. When you look at the ABR, it may not be up-to-date. Nonetheless, since brokerage analysts constantly revise their earnings estimates to reflect changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in predicting future stock prices.
Is RGTI Worth Investing In?Looking at the earnings estimate revisions for Rigetti Computing, the Zacks Consensus Estimate for the current year has remained unchanged over the past month at -$0.18.
Analysts' steady views regarding the company's earnings prospects, as indicated by an unchanged consensus estimate, could be a legitimate reason for the stock to perform in line with the broader market in the near term.
The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Rigetti Computing. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
It may therefore be prudent to be a little cautious with the Buy-equivalent ABR for Rigetti Computing.
