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In this video, Motley Fool contributor Jason Hall shares the latest on Quantumscape (QS +2.47%), including a big new collaboration, a change in the involvement of an important early investor, and what he thinks are the two most important partnerships it established over the past year.

*Stock prices used were from the afternoon of July 14 2026. The video was published on July 15 2026.

Jason Hall has positions in QuantumScape and has the following options: long January 2027 $5 calls on QuantumScape, long January 2028 $5 calls on QuantumScape, short January 2027 $5 puts on QuantumScape, and short January 2028 $7 puts on QuantumScape. The Motley Fool has positions in and recommends Corning. The Motley Fool has a disclosure policy. Jason Hall is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.

, /PRNewswire/ -- Rosen Law Firm, a global investor rights law firm, reminds purchasers of common stock of Verra Mobility Corporation (NASDAQ: VRRM) between February 24, 2026 and May 26, 2026, inclusive (the "Class Period"), of the important August 4, 2026 lead plaintiff deadline.

So what: If you purchased Verra Mobility common stock during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement.

What to do next: To join the Verra Mobility class action, go to https://rosenlegal.com/cases/verra-mobility-corporation-2026/join or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than August 4, 2026. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.

Why Rosen Law: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually handle securities class actions, but are merely middlemen that refer clients or partner with law firms that actually litigate the cases. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm has achieved, the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered billions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs' Bar. Many of the firm's attorneys have been recognized by Lawdragon and Super Lawyers.

Details of the case: According to the complaint, defendants provided overwhelmingly positive statements to investors while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts concerning the true state of Verra's relationship with Avis Budget Group ("Avis"), and in particular obtaining a contract extension with Avis. Further, the Company minimized concerns that major rent-a-cars could replace Verra with in-house solutions or outsourced alternatives. When the true details entered the market, the lawsuit claims that investors suffered damages.

To join the Verra Mobility class action, go to https://rosenlegal.com/cases/verra-mobility-corporation-2026/join or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action.

No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor's ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.

Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.

Attorney Advertising. Prior results do not guarantee a similar outcome.

Contact Information:

Laurence Rosen, Esq.
Phillip Kim, Esq.
The Rosen Law Firm, P.A.
275 Madison Avenue, 40th Floor
New York, NY 10016
Tel: (212) 686-1060
Toll Free: (866) 767-3653
Fax: (212) 202-3827
[email protected]
www.rosenlegal.com

SOURCE THE ROSEN LAW FIRM, P. A.

William Blair says Casey's, Costco, Cava, and other consumer companies are well positioned to weather inflation and uneven consumer spending.

New York, New York--(Newsfile Corp. - July 14, 2026) - WHY: Rosen Law Firm, a global investor rights law firm, reminds purchasers of common stock of Badger Meter, Inc. (NYSE: BMI) between April 18, 2024 and April 16, 2026, inclusive (the "Class Period"), of the important August 3, 2026 lead plaintiff deadline.

SO WHAT: If you purchased Badger Meter common stock during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement.

WHAT TO DO NEXT: To join the Badger Meter class action, go to https://rosenlegal.com/cases/badger-meter-inc/join or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than August 3, 2026. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.

WHY ROSEN LAW: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually handle securities class actions, but are merely middlemen that refer clients or partner with law firms that actually litigate the cases. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm has achieved the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered billions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs' Bar. Many of the firm's attorneys have been recognized by Lawdragon and Super Lawyers.

DETAILS OF THE CASE: According to the lawsuit, throughout the Class Period, defendants made materially false and misleading statements concerning the drivers of Badger Meter's "record" financial results, demand for Badger Meter's products, and its prospects for continued growth. During the Class Period, defendants told investors that Badger Meter's strong financial results reflected "ongoing favorable industry trends," "secular growth drivers," and "solid operating execution." They likewise touted "strong" demand and said they were seeing "robust order pacing and a strong bid pipeline that positions us well for continued sales and earnings growth," and that Badger Meter possessed a "long runway" for growth.

According to the lawsuit, these statements were materially false and misleading. In truth, Badger Meter's financial results during the Class Period were at least partially attributable to Badger Meter's practice of pulling-forward customer orders to recognize revenue early, which concealed weakening demand and deteriorating near-term order trends. This practice also depleted revenue otherwise available for future periods, ultimately causing the disappointing financial results Badger Meter later reported. When the true details entered the market, the lawsuit claims that investors suffered damages.

To join the Badger Meter class action, go to https://rosenlegal.com/cases/badger-meter-inc/join or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action.

No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor's ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.

Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.

Attorney Advertising. Prior results do not guarantee a similar outcome.

-------------------------------

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/305140

Source: The Rosen Law Firm PA

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NEW YORK, July 14, 2026 (GLOBE NEWSWIRE) --

WHY: Rosen Law Firm, a global investor rights law firm, continues to investigate potential securities claims on behalf of shareholders of PennyMac Financial Services, Inc. (NYSE: PFSI) resulting from allegations that PennyMac may have issued materially misleading business information to the investing public.

SO WHAT: If you purchased PennyMac securities you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement. The Rosen Law Firm is preparing a class action seeking recovery of investor losses.

WHAT TO DO NEXT: To join the prospective class action, go to https://rosenlegal.com/submit-form/?case_id=51887 or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action.

WHAT IS THIS ABOUT: On January 29, 2026, PennyMac filed a Current Report with the Securities and Exchange Commission on Form 8-K announcing PennyMac’s fourth quarter and full-year 2025 financial results. The report stated that PennyMac’s “servicing segment pretax income was $37.3 million, down from $157.4 million in the prior quarter and $87.3 million in the fourth quarter of 2024,” as well as “[retax income excluding valuation-related items was $47.8 million, down 70 percent from the prior quarter driven primarily by increased realization of mortgage servicing rights (MSR) cash flows as lower mortgage rates drove higher prepayment activity.”

On this news, PennyMac’s stock price fell $49.78 per share, or 33.3%, to close at $99.92 per share on January 30, 2026.

WHY ROSEN LAW: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually litigate securities class actions. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm achieved the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered billions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs’ Bar. Many of the firm’s attorneys have been recognized by Lawdragon and Super Lawyers.

Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.

Attorney Advertising. Prior results do not guarantee a similar outcome.

Contact Information:

        Laurence Rosen, Esq.
        Phillip Kim, Esq.
        The Rosen Law Firm, P.A.
        275 Madison Avenue, 40th Floor
        New York, NY 10016
        Tel: (212) 686-1060
        Toll Free: (866) 767-3653
        Fax: (212) 202-3827
        [email protected]
        www.rosenlegal.com

Nicole Miller, Chief Legal Officer of LegalZoom.com, Inc. (LZ 1.88%), disposed of 51,545 shares of common stock on July 9, 2026, according to a recent SEC Form 4 filing.

Transaction summaryMetricValueTransaction value~$371,639Shares sold51,545Post-transaction shares (directly held)1,067,677Post-transaction value$7.7 millionTransaction value based on SEC Form 4 weighted average sale price ($7.21); post-transaction value based on July 9, 2026 market close.

Key questionsWhat was the motivation behind this disposition?
The transaction was a non-discretionary event mandated by tax withholding requirements triggered by the vesting of equity awards. Such moves are typical for executives managing equity-based compensation and do not necessarily reflect an independent assessment of the company's valuation or future prospects.How much equity does Nicole Miller still hold in the company?
Following this disposition, the Chief Legal Officer continues to hold 1,067,677 shares directly. This million-share stake represents a substantial ongoing investment in the firm, with the remaining holdings valued at $7.7 million based on the market close on the date of the transaction.What is the recent market context for the stock?
As of the July 9, 2026 transaction date, the company's stock had delivered a one-year total return of -20%. LegalZoom currently maintains a market capitalization of $1.2 billion, with the stock priced at $7.25 as of the July 10, 2026 market close.Company OverviewMetricValueShare Price (as of market close 2026-07-10)$7.25Market Capitalization$1.2 billionRevenue (TTM)$779.7 millionNet Income (TTM)$11.4 millionCompany SnapshotLegalZoom provides a comprehensive digital platform delivering legal and regulatory services to individuals and small businesses across the United States, with offerings spanning business formation, estate planning, intellectual property protection, and legal document preparation.The company operates a software-as-a-service business model that generates revenue through subscription services, document preparation fees, and professional legal services, enabling customers to access legal solutions at a lower cost than traditional law firms.LegalZoom primarily serves small business owners, entrepreneurs, and individual consumers seeking affordable legal services, with a particular focus on underserved market segments that lack access to traditional legal counsel.LegalZoom.com operates as a leading digital legal services platform, serving as a technology-enabled alternative to traditional legal service providers. The company's scalable, web-based platform leverages technology to democratize access to legal services while maintaining profitability, with TTM net income of $11.4 million.

LegalZoom's competitive advantage derives from its efficient digital delivery model, brand recognition in the legal technology space, and ability to serve price-sensitive customers through automated document preparation and streamlined legal processes.

What this transaction means for investorsThe July 9 sale of LegalZoom stock by its Chief Legal Officer Nicole Miller is not a cause for investor concern, given it was an automated transaction to fulfill tax withholding obligations as part of the vesting of restricted stock units. Miller’s holdings of over one million shares also demonstrates she maintains a substantial stake in the company, post-transaction.

Her sale came at a time when LegalZoom shares recovered a bit from a 52-week low of $5.22 reached on June 22. The stock fell due to Wall Street’s fears that artificial intelligence will replace the need for the company’s services.

However, LegalZoom’s sales are growing. In the first quarter, revenue rose 13% year over year to $207 million. Moreover, it is using AI tech to scale its legal offerings to small businesses. The company also adopted a concierge service where customers can pay to have LegalZoom handle the legal activities.

The company’s strong start to 2026 led to a raise in its full-year guidance. It now expects revenue in the range of $810 million to $830 million, up from a previous range between $805 million to $825 million.

Robert Izquierdo has positions in LegalZoom.com. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Chinese artificial intelligence company DeepSeek has begun preparations for an initial public offering and could file listing documents as soon as this year, according to a Bloomberg report published on Tuesday.

The Hangzhou-based AI startup is planning a mainland China IPO, with a potential filing targeted for 2026 that could allow the company to debut publicly in 2027, Bloomberg reported, citing people familiar with the matter.

DeepSeek has started discussions with accounting firms and investment banks as it advances its IPO plans, according to the report.

The company is also seeking additional private funding ahead of a potential listing, shortly after completing a reported $7 billion financing round. Bloomberg reported that DeepSeek has begun talks with prospective investors for a new funding round targeting a pre-money valuation of at least 480 billion yuan, or about $71 billion.

That valuation would represent an increase from the approximately $50 billion valuation assigned to DeepSeek during its first external financing round, which closed in early June with participation from investors including Tencent Holdings (HKG:0700, OTC:TCEHY) and Contemporary Amperex Technology Co., according to Bloomberg.

DeepSeek is seeking to raise at least 10 billion yuan in additional capital, though the final amount could be significantly higher depending on investor interest, the report said.

The IPO timeline and fundraising discussions remain subject to change and could be affected by market conditions and the company’s future performance, according to the report.

Bloomberg also reported that DeepSeek founder Liang Wenfeng has become one of the world’s wealthiest AI entrepreneurs, with his net worth reaching about $36 billion.

Increasing power demands and the reliability of nuclear energy position it as a leading energy source, particularly amid the rapid expansion of artificial intelligence (AI)-focused data centers. With support from the U.S., the development of advanced nuclear reactors is advancing quickly and could kick-start a nuclear energy renaissance.

NuScale Power (SMR +1.92%) is the only company with a standard design approval from the Nuclear Regulatory Commission for its small modular reactor (SMR). However, with the stock down 84% from its 52-week high price of $57.42 per share, is it a buy? Let's dive into the company, what's weighing on it, and what's next for the nuclear energy stock.

Image source: The Motley Fool.

Hyperscalers are turning to nuclear power Investor enthusiasm for nuclear energy and uranium mining stocks was high last year as nuclear energy returned to favor. At COP28, several countries pledged to triple nuclear energy capacity by 2050.

In addition, nuclear energy is becoming a preferred solution for rapidly expanding AI data centers that require reliable, carbon-free baseload power. In recent years, Microsoft, Meta Platforms, and Alphabet have all inked deals to use existing nuclear power along with nuclear power from next-generation reactors.

NuScale has a first-mover advantage, but there's a catch NuScale Power is uniquely positioned in the advanced reactor space, as it is the only company with a standard design approved by the U.S. Nuclear Regulatory Commission (NRC). It has one approval for its 50-megawatt-electric (MWe) SMR and another for its upsized 77 MWe SMR module. The standard design approval gave NuScale a first-mover advantage, which could put it in a better position to capitalize on commercial orders today.

That said, regulatory changes over the past year have reduced NuScale's standard design approval as a competitive advantage. That's because the Department of Energy launched the Reactor Pilot Program, which leverages its authority to reduce red tape and fast-track the testing and licensing of these new reactor technologies.

Under Executive Order 14300, the NRC must significantly compress its traditional regulatory timelines, which could take several years, down to just 18 months. With the accelerated approval process, competitors are no longer viewed as years behind NuScale Power. Instead, advanced reactors are getting streamlined approvals, limiting NuScale's competitive advantage.

Today's Change

(

1.92

%) $

0.16

Current Price

$

8.51

What's next for NuScale Power? NuScale has one project underway in Romania, which received a crucial Final Investment Decision earlier this year. The project aims to deploy six of NuScale's 77 MWe modules by 2033. However, NuScale will build one module, so stakeholders can evaluate the results before proceeding with the remaining five units.

In addition, NuScale is working alongside ENTRA1 Energy, which is helping NuScale find customers for its SMR reactors. One potential project is with the Tennessee Valley Authority for up to 6 gigawatts of nuclear capacity. NuScale has not yet signed a firm commitment on this project, but hopes to finalize an agreement by the end of this year.

For investors intrigued by the future of SMRs and optimistic about a deal with the TVA, NuScale's cheaper stock price, down 85% from its peak, makes it more appealing today. That said, it remains a high-risk stock amid accelerating regulatory approvals for competitors and a lack of firm commitments beyond its Romania power plant project.

CleanSpark, Inc. (CLSK) Discusses 20-Year Lease Agreement for High-Performance Compute Data Center Development July 14, 2026 11:00 AM EDT

Company Participants

Harry Sudock - Chief Business Officer
S. Schultz - CEO & Chairman
Gary Vecchiarelli - President & CFO

Conference Call Participants

Gregory Lewis - BTIG, LLC, Research Division
Paul Golding - Macquarie Research
Mike Grondahl - Northland Capital Markets, Research Division
Michael Colonnese - H.C. Wainwright & Co, LLC, Research Division
John Todaro - Needham & Company, LLC, Research Division
Henry Hearle - B. Riley Securities, Inc., Research Division
James McIlree - Chardan Capital Markets, LLC, Research Division
Bill Papanastasiou - Chardan Capital Markets, LLC, Research Division
Matthew Galinko - Maxim Group LLC, Research Division

Presentation

Operator

Ladies and gentlemen, thank you for standing by. My name is Christa, and I will be your conference operator today. At this time, I would like to welcome everyone to the CleanSpark Investor Update Call. [Operator Instructions].

I would now like to turn the conference over to Harry Sudock, Chief Business Officer. Please go ahead.

Harry Sudock
Chief Business Officer

Thanks, Christa. Good morning, and thank you for joining us as we announce the next step in the evolution of our business model as a market-leading data center developer. I'm joined on the call today by our Chief Executive Officer and Chairman, Matt Schultz; Chief Financial Officer and President, Gary Vecchiarelli; and other members of the management team. Before we begin, I want to remind everyone that some of the statements we make today will be forward looking based on our best view of the world and our business as we see them today. The statements and information provided will remain subject to the risk factors disclosed in our 10-K.

With that, I'll turn it over to Matt.

S. Schultz
CEO & Chairman

Thank you, Harry. This morning, we announced the signing of

By PYMNTS  |  July 14, 2026

 | 

Klarna is working on a significant risk transfer (SRT) that will enable it to offload credit risk tied to buy now, pay later (BNPL) loans and free up capital, Bloomberg reported Tuesday (July 14), citing unnamed sources.

The SRT is tied to about 5 billion kroner (about $516 million) of loans originated by Klarna’s Swedish unit, and the transaction may be completed by the end of the quarter, according to the report.

Reached by PYMNTS, Klarna declined to comment on the report.

SRTs, which are also known as synthetic risk transfers, allow investors to earn regular payments in return for taking on credit risk from a lender’s portfolio.

Klarna is working on its SRT while looking to roll out new products and grow its business in several countries, especially the United States, at a time when its shares are trading at about half the price they achieved in the company’s September initial public offering, according to the Bloomberg report.

An SRT would enable Klarna to undertake new lending, acquisitions or shareholder payouts, per the report.

Klarna announced in April that it entered into a new SRT that covers $1.7 billion in euro-denominated loans and frees up capital to support continued growth. The company said the deal was its sixth SRT transaction.

“This is our largest and most efficient SRT transaction to date,” Klarna Chief Financial Officer Niclas Neglén said in an April 1 press release. “These transactions allow us to maximize every unit of capital to support our continued momentum.”

Klarna said during a May earnings report that in the first quarter, its revenue increased 44% year over year to reach $1 billion and its gross merchandise volume rose 33% to $33.7 billion.

PYMNTS reported at the time that Klarna pushed deeper into everyday spending during the quarter as consumers used BNPL for everything from groceries to larger-ticket purchases and as deposits, debit usage and point-of-sale financing accounted for a greater part of the company’s growth story.

Klarna announced July 6 that it applied to establish Klarna Bank USA, its proposed Utah-chartered industrial bank. The company has been licensed as a bank in Europe since 2017 and offers banking services in the U.S. through a network of partners.

SanDisk’s ascent on the NASDAQ this year raises a key question: does the AI memory supercycle still have room to run, or has the easy money already been made?

My 24/7 Wall St. price target for SanDisk (NASDAQ:SNDK | SNDK Price Prediction) is $1,710.56 over the next 12 months, against a current price of $1,673.97. That represents roughly 2% upside, meaning the model calls this stock fairly valued. My recommendation is hold with 90% confidence.

Metric Value Current Price $1,673.97 24/7 Wall St. Price Target $1,710.56 Upside 2.19% Recommendation HOLD Confidence Level 90% From $40 to $2,000 in Under a Year SNDK is up 605.19% since the December 31 close of $237.38, and 3,531.96% over one year. Recent momentum has softened, with the stock down 15.46% over the past month and 14% below the 52-week high of $2,354.39.

Fundamentals justify much of the re-rating. Q3 FY2026 revenue hit $5.95 billion, up 251.03% year over year, with Non-GAAP EPS of $23.41 against $14.66 consensus. Datacenter revenue surged 645% year over year to $1.467 billion.

Q4 guidance calls for $7.75 billion to $8.25 billion in revenue and Non-GAAP EPS of $30 to $33. Bernstein raised its target to $3,000 and Bank of America to $2,500, though an 8% pullback on July 13 tied to SK Hynix IPO concerns offset some gains.

The Case for $2,400 Plus The bull case rests on supply dynamics. Bank of America argues the NAND supply/demand imbalance will continue through 2027, and Bernstein’s Mark Newman estimates new multi-year customer agreements provide a floor of 29 cents per gigabyte.

Five NBM agreements have been signed. If Q4 lands at guidance’s top and BiCS10 ramps into 2027, the bull trajectory points to $2,429.96, a 19.41% return. China Renaissance’s $3,169 target sits well above that.

What Could Break the Thesis The bear case starts with valuation. SNDK trades at 65 times earnings, with forward-P/E math implying fair value nearer $955. Chinese competition from YMTC, a $29 billion SK Hynix listing that could siphon capital, and Consumer segment weakness down 10% sequentially all matter.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and SanDisk didn't make the cut. Grab the names FREE today.

Insider selling has been steady, with the CLO selling 600 shares on July 1. Bulls counter that these sales occurred under a Rule 10b5-1 plan and Consumer weakness reflects a deliberate mix shift, not lost demand. The bear-case model lands at $1,208.22, or 40.63% downside.

How SanDisk Stacks Up Against Micron and Seagate Micron Technology (NASDAQ:MU) is the cleanest comparable, with overlapping NAND exposure and similar AI-driven margin dynamics. Micron posted fiscal Q3 revenue of $41.46 billion (+345.7% YoY) and Non-GAAP EPS of $25.11, with GAAP gross margin at 84.6%. That is a bigger, more diversified memory business trading at a lower multiple, making SanDisk’s premium look aggressive on scale but reasonable on pure-play NAND leverage.

Seagate Technology (NASDAQ:STX) offers the storage counterpoint. Seagate’s fiscal Q3 revenue rose 44.1% to $3.11 billion with Non-GAAP EPS of $4.10, riding HAMR-based Mozaic drives into hyperscaler racks. Seagate proves AI storage demand is broad-based, supporting SanDisk’s floor but capping how much of the AI storage wallet SNDK can capture.

Against these peers, my 24/7 Wall St. price target of $1,710.56 looks reasonable.

SanDisk Price Prediction 2026-2030 My 24/7 Wall St. price target is $1,710.56 with a hold rating and 90% confidence. I’d be a buyer if Q4 lands at guidance’s top and NBM agreements expand past five. I’d stay on the sidelines if China’s YMTC accelerates capacity or Consumer stays negative. For now, risk-reward is balanced.

Year 24/7 Wall St. Price Target 2026 $1,710.56 2027 $1,650.00 2028 $1,600.00 2029 $1,590.00 2030 $1,583.68 These projections assume SanDisk executes its datacenter mix shift and NAND pricing holds through 2027. Significant upside or downside could result from a China-led supply shock or accelerated HBF adoption for AI inference.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and SanDisk didn't make the cut. Grab the names FREE today.

Contact [email protected] for any questions or corrections.

Key Takeaways APH benefits from record orders, diversified demand and the CommScope acquisition to support growth. ALAB posted strong revenue growth as PCIe Gen 6 products gained traction in AI infrastructure. APH stands out over ALAB with broader revenue streams and stronger business momentum. Astera Labs (ALAB - Free Report) and Amphenol (APH - Free Report) are major players in the connectivity and data center infrastructure space. While Astera Labs develops semiconductor-based connectivity solutions tailored for cloud and AI infrastructure, Amphenol specializes in interconnect and sensor technologies across diverse industries.

So, ALAB or APH — Which of these Connectivity stocks has the greater upside potential? Let’s find out.

The Case for ALABAstera Labs is rapidly expanding its portfolio to address the growing demands of AI infrastructure and connectivity solutions. It benefits from strong demand for its PCIe solutions, which is noteworthy.

In the first quarter of 2026, Astera Labs delivered strong financial results, with revenues reaching $308 million, up 14% sequentially and 93% year over year. PCIe Gen 6 revenues accounted for more than one-third of the company’s total revenues in the quarter, underscoring the centrality of this product line to Astera Labs’ growth. Millions of PCIe Gen 6 ports have been shipped to date, demonstrating the maturity and adoption of Astera Labs’ portfolio across AI fabric and signal conditioning applications.

ALAB is diversifying its customer base with new design wins and is well-positioned to capitalize on the industry’s transition to PCIe 6, 800 gigs and 1.6T Ethernet connectivity. Management expects continued strong revenue growth through 2026 and into 2027, driven by the proliferation of AI fabrics and the ongoing shift to higher-speed connectivity standards.

Astera Labs’ strong fundamentals, expanding partnerships and rising AI demand reinforce its leadership in connectivity solutions. However, elevated R&D spending, acquisition-related investments and aggressive expansion efforts are pressuring profitability in the near term.

The Case for APHAmphenol benefits from a diversified business model. Its strong portfolio of solutions, including high-technology interconnect products, is a key catalyst. The company is seeing strong demand for high-speed, power and fiber interconnect products, led by AI-related IT datacom programs and supported by defense, commercial air and diversified industrial applications.

The recent acquisition of CommScope has further strengthened APH’s position in the connectivity space. This move has expanded APH’s product offerings to include the industry’s broadest range of high-speed copper, power and fiber optics interconnect products. It also opened new growth avenues in building connectivity, enabling APH to serve commercial buildings, smart factories, and other infrastructure projects that require robust, future-ready connectivity solutions. The integration of CommScope’s global distribution channels and expertise is expected to create additional synergies and long-term value.

Customer engagement and order trends point to more upside ahead. APH booked a record $9.4 billion in orders in the first quarter of 2026, with a strong book-to-bill ratio of 1.24:1. Customers, especially hyperscalers and enterprise/cloud providers, are seeking more products and are increasingly willing to make commitments that support APH’s capacity investments.

Amphenol continues to benefit from diversified demand across defense, industrial, commercial aerospace and automotive markets. In the first quarter of 2026, defense sales increased 44%, industrial sales rose 52% and commercial aerospace grew 22% on a year-over-year basis. APH expects continued sequential growth in defense and industrial markets during the second quarter, supported by rising defense spending, industrial automation, factory digitization and building connectivity investments.

Price Performance and Valuation of ALAB and APHIn the year-to-date period, ALAB and APH’s shares have gained 117.7% and 15.5%, respectively. The outperformance of ALAB stock can be attributed to its expanding portfolio to address the growing demands of AI infrastructure and connectivity solutions. Its product portfolio, including Scorpio, Aries, and Taurus, has been a key catalyst.

Despite APH’s expanding portfolio sensitivity to telecom and mobile cycles, recent China tax determinations that lift the effective tax rate outlook, macro uncertainty and intense competition are headwinds.

ALAB and APH Stock Performance
Image Source: Zacks Investment Research

Valuation-wise, ALAB and APH shares are currently overvalued as suggested by a Value Score of D and F, respectively.

In terms of forward 12-month Price/Sales, ALAB shares are trading at 33.39X, higher than Amphenol’s 5.34X.

ALAB and APH Valuation
Image Source: Zacks Investment Research

How Do Earnings Estimates Compare for ALAB & APH?The Zacks Consensus Estimate for ALAB’s 2026 earnings is currently pegged at $2.97 per share, which has increased by a couple of pennies over the past 30 days. This indicates a 61.41% year-over-year rise.

The Zacks Consensus Estimate for Amphenol’s 2026 earnings is currently pegged at $4.76 per share, which has remained unchanged over the past 30 days. This indicates a 42.51% year-over-year rise.  

ConclusionWhile both ALAB and Amphenol are well-positioned to capitalize on the booming connectivity and data center infrastructure space, Amphenol appears to be the stronger bet given its diversified revenue streams, strong order growth and broader market exposure.

Despite ALAB’s expanding portfolio and strong AI-driven demand, its elevated spending and near-term profitability pressures make the stock riskier at current levels.

Currently, Amphenol has a Zacks Rank #2 (Buy), making the stock a stronger pick than Astera Labs, which has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

SpaceX SPCX shares rose about 1.5% on Tuesday, recovering modestly after a recent selloff that brought the stock close to its initial public offering price, as a broader market rally and a fresh bullish analyst initiation supported sentiment.

The stock traded around $141 after falling about 4% on Monday. Despite the rebound, shares remained only slightly above the company's $135 IPO price.

The broader market also advanced after June inflation data came in weaker than expected.

The S&P 500 gained 0.4%, while the Nasdaq Composite rose 0.9%. The Dow Jones Industrial Average traded around the flatline.

The consumer price index fell 0.4% in June from the previous month, bringing the annual inflation rate to 3.5%.

Economists polled by Dow Jones had expected a monthly decline of 0.1% and an annual inflation rate of 3.8%.

Elon Musk's rocket and artificial intelligence company priced its IPO at $135 per share on June 11, with shares opening at $150 the following day.

The stock climbed as high as $225.64 on June 16 before retreating nearly 40% from that peak. On Monday, shares fell as low as $136.78, narrowly remaining above the IPO price.

The decline has come despite broadly positive sentiment from Wall Street analysts.

Approximately 80% of analysts covering SpaceX rate the stock a Buy, compared with a typical Buy-rating ratio of 55% to 60% for S&P 500 companies.

The average analyst price target stands at about $240 per share, implying a valuation of roughly $3 trillion.

Several Wall Street firms have also outlined long-term growth scenarios for the company based on expectations for Starlink, reusable launch systems, and future artificial intelligence infrastructure businesses.

On Tuesday, Evercore ISI initiated coverage of SpaceX with an Outperform rating and a $230 price target.

Analyst Kutgun Maral described SpaceX as "an extraordinary company on a real path to reshaping the future of humanity."

According to Evercore, the company has built a vertically integrated business that has established a near-monopoly on orbital access through reusable, low-cost launch technology.

The firm projects revenue and EBITDA to compound at 106% and 157%, respectively, through 2028, while forecasting margin expansion from 35% to 69%.

SpaceX generated $19.3 billion in revenue and $3.95 billion in EBITDA in 2025.

Evercore said several milestones will be important in validating its long-term investment thesis.

The firm pointed to expected progress in Starship payload delivery during the second half of 2026, continued Starlink broadband expansion through 2026 and 2027, and the development of the company's mobile strategy between 2027 and 2029.

Evercore also cited terrestrial compute growth through 2028, orbital compute viability beyond 2029, and enterprise adoption of Grok and Cursor between 2026 and 2028 as additional milestones investors should monitor.

Earlier this week, Bernstein analyst Douglas Harned reiterated a Buy rating on SpaceX with a price target of $239.

META's premium valuation and soaring AI spending weigh on near-term upside despite strong ad growth and AI engagement.

Zipline is growing its drone delivery business in the U.S. and has hired former Tesla, Uber Eats and Waymo executives to help it scale up in new markets. The company is now making one drone delivery every thirty seconds, and has surpassed 2.5 million commercial deliveries to-date.

Uber Technologies Inc (NYSE:UBER, XETRA:UT8) is in advanced talks to acquire German food-delivery company Delivery Hero (XETRA:DHER, OTCQX:DLVHF), according to a Bloomberg report, with the companies aiming to finalize a takeover agreement as soon as this week.

Shares of Delivery Hero (XETRA:DHER, OTCQX:DLVHF) rose almost 6% following the report, while Uber shares fell about 2%.

A potential transaction would likely value Delivery Hero above its recent trading price of around €36 per share, according to people familiar with the matter cited by Bloomberg.

 Investors have been expecting a higher price after Uber previously approached the company with an offer of €33 per share.

Uber has already built a significant stake in Delivery Hero, holding 24.99% of the company’s shares and additional derivatives that bring its total economic interest to about 36.8%.

The reported acquisition discussions follow months of stake-building by Uber as the company seeks to expand its position in the global food-delivery market. A full takeover would give Uber control of one of Europe’s largest online food-delivery platforms.

Shares of Delivery Hero have added more than 71% so far this year.

Neither company has publicly confirmed that an agreement has been reached, and negotiations could still change or fail to result in a transaction.

The Delivery Hero headquarters is pictured in Berlin, Germany, June 2, 2017. REUTERS/Fabrizio Bensch/File Photo Purchase Licensing Rights, opens new tab

CompaniesJuly 14 (Reuters) - Delivery Hero (DHER.DE), opens new tab said on Tuesday it was in advanced negotiations with Uber Technologies (UBER.N), opens new tab regarding a potential takeover offer, confirming earlier media ​reports that the U.S. ride-hailing and food-delivery company is pursuing the ‌German group.

The statement followed a Bloomberg News report that Uber was in advanced talks to acquire Delivery Hero and could reach an agreement as soon as this week.

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The report said a ​deal would likely value Delivery Hero at well above its recent trading ​price of around 36 euros per share. The Berlin-based company has ⁠gained about 62% this year, giving it a market value of roughly ​11.2 billion euros ($12.8 billion).

Delivery Hero declined to comment on speculation about the offer price, ​but said any potential bid would be made to all shareholders. Uber declined to comment.

Shares of Uber were down nearly 2%, while Delivery Hero closed 5.76% higher at 39.10 euros.

The talks ​follow months of speculation over Delivery Hero's future, with Uber having approached the ​company in May with a 38 euros per share offer that investors viewed as too low, ‌according ⁠to media reports.

Acquiring Delivery Hero would widen the Uber Eats food-delivery network in Europe, the Middle East, Asia and Latin America, but would also attract attention from antitrust regulators given the overlap in the companies' footprint.

Slowing growth and intense competition have spurred ​consolidation in the ​industry as companies ⁠seek better margins. Uber has also been moving beyond ride-hailing, strengthening its food delivery business and expanding into grocery, travel ​and local commerce, including a recent move into hotel bookings.

Earlier this ​year, ⁠Uber unveiled a food-delivery expansion into seven new European markets, including Austria, Denmark and Norway, expecting to generate an additional $1 billion in gross bookings over the next three years.

Reuters had ⁠reported ​in late May that Uber had raised its ​stake in Delivery Hero to nearly 37% from 25% by acquiring shares from fellow shareholder Aspex Management.

($1 = ​0.8731 euros)

Reporting by Rashika Singh in Bengaluru; Editing by Vijay Kishore and Jonathan Ananda

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Alphabet (GOOGL, Financials), the technology company behind Google Search, Android, YouTube and Google Cloud, is facing a preliminary competition investigation

Key Takeaways Alphabet's AI-powered ad tools and partnerships drove 15.5% ad revenue growth in Q1 2026. GOOGL outperformed Reddit YTD and trades at a lower forward Price/Sales multiple. Reddit's ad revenue rose 74%, but competition and volatility raise investment risk. Reddit (RDDT - Free Report) and Alphabet (GOOGL - Free Report) are major players in the digital advertising space. While RDDT is an emerging social media platform gaining traction with community-driven advertising, GOOGL remains the dominant force in global search and digital ad markets.

Reddit or Alphabet — Which of these Digital Advertising stocks has the greater upside potential? Let’s find out.

The Case for RDDT StockReddit is benefiting from strong demand in its advertising business, which has become a key growth driver of the company’s impressive financial performance and future growth prospects. In the first quarter of 2026, Reddit reported total revenues of $663 million, up 69% year over year, with advertising revenues growing even faster at 74% to $625 million. This marks Reddit’s seventh consecutive quarter of revenue growth of more than 60%, underscoring the sustained momentum in its ad business.

Growth can be attributed to the company’s expanding portfolio, strong user engagement, including rising daily and weekly active users, gains in Average Revenue Per User and the expansion of advertiser tools such as Dynamic Product Ads (DPAs), Reddit Pixel and CAPI.

In the first quarter of 2026, DPAs have also driven more than 90% higher return on ad spend year over year, with brands like Liquid I.V. seeing DPAs outperform other campaigns by 40%. These advancements are attracting a broader range of advertisers. In the first quarter of 2026, active advertisers grew more than 75% year over year.

Reddit’s investments in artificial intelligence (AI)-powered tools remain noteworthy. The launch and adoption of Reddit Max, an automated, AI-powered campaign tool, enabled advertisers to achieve a 17% reduction in cost per action and a 25% increase in conversion rate in the first quarter of 2026. About 50% of Max campaign advertisers now use AI-powered creative features, and brands like Cozy have reported a 35% higher ROAS and a 28% lower cost per acquisition with these tools.

The Case for GOOGL StockAlphabet’s leadership in AI and strong partnerships with major retailers and tech companies position the company for continued growth and further upside in the digital advertising market. In the first quarter of 2026, Google’s advertising revenues increased 15.5% year over year to $77.25 billion and accounted for 70.3% of total revenues.

A key driver behind this surge is Alphabet’s aggressive integration of advanced AI models, particularly Gemini, across its entire ads infrastructure. These AI enhancements have significantly improved ad relevance and user intent understanding, allowing Alphabet to match ads more precisely to user queries, even for longer, more complex searches that were previously difficult to monetize.

In the first quarter of 2026, the company announced that Google Maps, with AI-driven improvements, has led to a nearly 10% increase in user engagement with promoted pins, while Smart Bidding powered by Gemini has enabled advertisers to achieve greater precision and performance.

Alphabet’s partnership with Walmart remains noteworthy. In June 2026, the company partnered with Walmart Connect to integrate Walmart’s first-party shopper audiences into Display & Video 360, starting with YouTube campaigns. Advertisers can now target high-intent Walmart shoppers and measure how video ads drive online and in-store sales through closed-loop measurement, improving campaign effectiveness and return on ad spend.

Price Performance and Valuation of RDDT and GOOGLIn the year-to-date period, shares of Alphabet have gained 12.6%, whereas Reddit stock has lost 12.6%. Alphabet’s outperformance can be attributed to its continued AI push across its search, YouTube and cloud computing platforms. An expanding focus on improving the enterprise footprint is expected to boost prospects.

Despite a robust portfolio, Reddit suffers from a challenging macroeconomic environment and seasonal volatility. Stiff competition in the digital advertising market poses a significant challenge for Reddit.

RDDT and GOOGL Stock Performance
Image Source: Zacks Investment Research

Valuation-wise, RDDT and GOOGL shares are currently overvalued, as indicated by Value Scores of F and D, respectively.

In terms of the forward 12-month Price/Sales, RDDT shares are trading at 10.14X, which is higher than GOOGL’s 9.01X.

RDDT and GOOGL Valuation
Image Source: Zacks Investment Research

How Do Earnings Estimates Compare for RDDT & GOOGL?The Zacks Consensus Estimate for RDDT’s 2026 earnings is pegged at $4.83 per share, which has been unchanged over the past 30 days. This indicates an 84.35% rise year over year.

The Zacks Consensus Estimate for GOOGL’s 2026 earnings is pegged at $14.32 per share, which has increased by a couple of pennies over the past 30 days. This indicates a 32.47% year-over-year increase.

ConclusionWhile both Reddit and Alphabet stand to benefit from the booming digital advertising market, Alphabet’s AI leadership, dominant digital advertising ecosystem and stronger earnings visibility make it a stronger pick than RDDT.

Despite RDDT’s strong advertising growth and expansion of its AI-powered ad platform, its competitive pressures and higher volatility make it a riskier investment.

Currently, Alphabet has a Zacks Rank #1 (Strong Buy), making the stock a stronger pick than Reddit, which has a Zacks Rank #3 (Hold).  You can see the complete list of today’s Zacks #1 Rank stocks here.

When investors think of top tech stocks, it's often the "Magnificent Seven" that come to mind. These are the most successful, valuable, and high-profile names in the sector. They have incredible growth prospects while being some of the safer stocks to own for the long haul.

This year, however, has been a bit more challenging for the Magnificent Seven as investors have grown concerned about high spending on tech and artificial intelligence (AI). The spotlight isn't as much on growth as it is on return or investment, specifically when it comes to AI.

There's one stock in the group that stands out the most today, not only for its relatively modest valuation but also because it may have the most upside: Amazon (AMZN 0.38%).

Image source: Getty Images.

Amazon has tremendous growth opportunities ahead AI has been a big part of Amazon's business for years, as the company has used robots in its warehouses to add efficiency. It's always been involved in cutting-edge tech in one way or another. These days, the tech company is front and center with generative AI, as it now has a shopping assistant on its e-commerce sites to help shoppers find what they're looking for.

In addition, the company has been investing in autonomous driving, and Zoox, a wholly owned subsidiary, has begun offering robotaxi rides in multiple cities across the country. Amazon has also considered selling its highly efficient Trainium AI chips to customers, which could generate billions in revenue.

Amazon, which has generated an incredible $91 billion in profit over the trailing 12 months, has deep pockets that can fund its many ventures, which is why it can be a top growth stock to own, especially given its relatively modest-looking valuation. Currently, it trades at around 30 times its trailing earnings, which is far lower than the levels it's been at in previous years.

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The stock can be an excellent pillar for any portfolio Amazon's stock is up just 7% this year, in what has been a lackluster start for the tech giant; the S&P 500 has risen by approximately 10%. With so many growth opportunities driven by AI, it's a stock many investors may be overlooking right now while they chase the latest, hottest trends. Meanwhile, with a robust business and varied opportunities, Amazon may end up being one of the best AI stocks to own, without the risk of smaller, more speculative options.

This is a top stock to own for the long haul, and it can be a solid pillar to build any portfolio around and hang on to for not just years but potentially decades.

As Advanced Micro Devices Inc. (NASDAQ: AMD) stock signals bullish sentiment, several Wall Street analysts have reiterated their Buy ratings and raised their 12-month price targets.

Vivek Arya, an analyst at Bank of America Corp. (NYSE: BAC), maintained a Buy rating for AMD stock, according to a note to clients on July 14. Additionally, Arya raised the firm’s 12-month price target for AMD shares to $620 from $550, thus signaling a 9.41% upside.

John Vinh, a Wall Street analyst at KeyBanc, reiterated a Buy rating for AMD  stock. Vinh raised his 12-month price target for Advanced Micro Devices shares to $725 from $530.

As a core AI stock, AMD shares are well-positioned to attract investors seeking exposure to the ongoing AI boom. Furthermore, AMD is a top semiconductor stock with strong fundamentals.

AMD stock price forecast and performance Following Tuesday’s bullish sentiment from two top analysts, the average AMD rating from 36 analysts was a ‘Strong Buy’ according to data from TipRanks. Among the surveyed Wall Street analysts, the highest 12-month prediction was $725 at the time of publication.

With the base and bearish expectations at $531.78 and $250, respectively, Wall Street analysts have set an average AMD price target of $531.78 for the next 12 months.

AMD price forecast. Source: TipRanks However, AMD shares traded at about $554.03 at the time of reporting, up 138.98% year-to-date (YTD). As such, more Wall Street analysts could increase their 12-month price target for AMD over the coming days to match the Strong Buy rating. Furthermore, their 12-month’s AMD price forecast signals a potential 4.03% decline.

AMD YTD chart. Source: Finbold As a core semiconductor stock, AMD’s 12-month price target could be achieved if the AI bubble does not burst, and vice versa.

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Boeing (BA) could secure another major 787 order as Riyadh Air weighs buying roughly 25 to 30 additional Dreamliners ahead of next week's Farnborough Airshow, a

MarketBeat Week in Review – 07/06 - 07/10Citigroup NYSE: C reported a stronger second quarter of 2026, with management pointing to broad-based revenue growth, improved returns and continued capital returns, while cautioning that second-half results could be affected by normal seasonality and a deliberate increase in investment spending.

Chair and Chief Executive Officer Jane Fraser said the quarter “capped a very good first half of the year,” as Citi reported net income of $5.8 billion, earnings per share of $3.15 and return on tangible common equity, or ROTCE, of 13%. Revenue reached $24.8 billion, which Fraser described as Citi’s best quarterly revenue in a decade. She said the firm delivered more than 9% positive operating leverage, with double-digit revenue growth for the company and in four of its five main businesses.

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Fiserv’s Debit Network Talks Raise a Bigger Question for Visa and MastercardChief Financial Officer Gonzalo Luchetti said total revenues rose 14% year over year, while expenses increased 5% to $14.2 billion. Citi’s efficiency ratio was below 58% for the quarter. On a year-to-date basis, Luchetti said revenues were up 14%, expenses were up 6% and ROTCE was 13.1%.

Services, Markets and Banking Drive Growth Fraser said Citi’s Services business delivered its highest quarterly revenue ever and generated a return of more than 30%. Luchetti said Services revenue rose 18%, supported by growth in both Treasury and Trade Solutions and Securities Services. Average deposits in the business increased 19%, while cross-border transaction value rose 13% and assets under custody and administration increased 22%.

Industrials Are Leading in 2026, But These ETFs Take Different RoutesMarkets revenue rose 17%, crossing $7 billion again during the quarter. Luchetti said fixed income revenue increased 7%, while equities revenue rose 45%, supported by momentum in derivatives and prime services. Prime balances grew nearly 60%, reflecting growth from new and existing clients as well as higher market valuations. The Markets business generated net income of $2.4 billion and an ROTCE of 17%.

Banking revenue increased 34%, led by a 44% rise in investment banking revenue. Luchetti said debt capital markets revenue rose 65%, marking Citi’s second-best quarter ever in that category, while equity capital markets revenue increased 92% amid strong market conditions. M&A revenue declined 4%, though management said the pipeline remained healthy. Fraser said Citi participated in the majority of the top equity and debt issuances during the quarter, including lead roles on IPOs such as SpaceX and Cerebras.

Wealth Improves Returns, Cards Reflect Investment Push Citi’s Wealth business posted its ninth consecutive quarter of revenue growth, with revenue up 13%. Luchetti said growth was broad-based, including a 17% increase in Citigold and the Retail Bank, 5% growth in the Private Bank and 3% growth in Wealth at Work. Net new investment asset flows totaled $15.7 billion in the quarter and more than $56 billion over the last 12 months. Wealth generated net income of $583 million and an ROTCE of 14.4%.

Fraser said Citi is beginning to see tangible benefits from integrating retail branches into Wealth, noting that referrals from the retail bank to Citigold increased 23%.

In U.S. Consumer Cards, revenue rose 1%, as growth in net interest income was largely offset by lower non-interest revenue. Luchetti said the results reflected Citi’s April acquisition of the additional American Airlines co-branded card portfolio, which added more than $6 billion in loans from more than 2 million accounts. General purpose cards acquisitions rose 135%, spend volume increased 12% and average loans rose 8%, partially offset by declines in private label cards.

Expenses in U.S. Consumer Cards increased 10%, reflecting higher severance, customer engagement costs, legal expenses and marketing. Luchetti said Citi expects expense growth to outpace revenue growth in some coming quarters as the company invests in engagement and acquisitions. The business delivered net income of $852 million and an ROTCE of 22%.

Capital Returns and Balance Sheet Citi ended the quarter with a common equity tier 1 ratio of 12.8%, about 120 basis points above its current regulatory requirement. Luchetti said the company continued to prioritize returning capital to shareholders while supporting client-driven growth, including $4 billion in common stock repurchases during the quarter.

Fraser said Citi launched its $30 billion common stock repurchase commitment and plans to increase its dividend by 12%. Luchetti said the dividend increase is expected to begin in the third quarter, subject to quarterly board approval.

The company completed the sale of its consumer business in Poland during the quarter. Fraser also said Citi closed the sale of an additional 22.6% equity stake in Banamex and remains on track to close an additional 1.4% this summer, bringing the total sold to 49%. In the question-and-answer session, Fraser said Citi does not expect additional Banamex sales in 2026 and expects to deconsolidate its ownership in early 2027, followed by an IPO “as and when market conditions allow.”

Credit Quality and Outlook Citi’s cost of credit was $2.5 billion, primarily reflecting net credit losses in U.S. Consumer Cards and a firmwide net allowance for credit losses build of $118 million. Luchetti said Citi had more than $22 billion in total reserves at quarter-end and a reserve-to-funded-loans ratio of 2.5%. He described the corporate portfolio as high quality, with 79% of corporate exposure rated investment grade.

Management maintained its full-year 2026 ROTCE target of 10% to 11%, despite the stronger first-half result. Luchetti said Citi continues to expect net interest income excluding Markets to grow about 5% to 6% for the year and expects its full-year efficiency ratio to be around 60% as it increases investments and incurs additional severance tied to future efficiencies.

Fraser emphasized during the call that the company is focused on longer-term targets rather than maximizing the 2026 “waypoint.” She said that if conditions remain constructive, Citi intends to “lean in” with additional investments and actions designed to create value over the medium term. In response to analyst questions, Fraser said the spending is “100% on the offense” and tied to organic growth opportunities.

Fraser also said Citi continued to make progress on its transformation work, with “a large body of work” passing internal audit validation during the quarter. She said nearly nine out of 10 Citi employees are using the company’s AI tools, which she said are helping improve productivity, client experience and speed to market for products such as Citi Payments Express and Citi Wealth Advisor Insights.

About Citigroup NYSE: CCitigroup Inc is a global financial services company headquartered in New York City with roots tracing back to the City Bank of New York, founded in 1812. The modern Citigroup was created through the 1998 merger of Citicorp and Travelers Group and has since operated as a diversified bank holding company that provides a broad range of banking and financial products and services to consumers, corporations, governments and institutions worldwide.

Citi's principal businesses include retail and commercial banking, credit card and consumer lending products, wealth management and private banking, and a full suite of institutional services.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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It's been off to the races for Nvidia (NVDA +4.21%) ever since its GPUs became an essential building block for artificial intelligence (AI). The AI data center boom has already made Nvidia one of the world's largest technology companies, and with a massive market cap of $5.1 trillion, it can feel as if there isn't much more upside left.

But investors shouldn't assume that's the case. The company's rampant growth has kept the stock's valuation surprisingly reasonable, and its next-generation Vera Rubin AI chip platform could be yet another catalyst that takes the stock to new heights.

Here are three reasons why Nvidia stock could keep soaring through 2026.

1. Sales could double within the next two years The strongest indicator of Nvidia's future growth is arguably the AI capital expenditures of its customers, the companies racing to build the data centers and other infrastructure to support broad AI adoption. Fortunately for Nvidia, these companies continue to put the pedal to the metal. Hyperscalers, including Meta Platforms, Microsoft, Alphabet, and Amazon, are planning higher capital expenditures in 2026.

Nvidia CEO Jensen Huang. Image source: Nvidia.

These tailwinds should continue to blow at Nvidia's back. Goldman Sachs estimates that AI compute spending will grow from approximately $494 billion this year to $1.13 trillion by 2031. Meanwhile, CEO Jensen Huang has said that he sees at least $1 trillion in revenue from Nvidia's Blackwell and Rubin platforms through the end of 2027.

Wall Street analysts estimate that Nvidia will generate approximately $555 billion in revenue for the company's next fiscal year, ending January 2028. In other words, sales could roughly double within the next two years, based on Nvidia's trailing 12-month revenue of $253 billion. If you were worried about Nvidia's growth, all signs point to big things ahead.

2. Vera Rubin is Nvidia's next big step forward There should be more noise about the shift taking place in the AI industry. Compute is broadening from AI training to inference. Whereas training develops an AI model, inference is the process by which a trained model generates outputs. Inference places greater emphasis on token efficiency. After all, it doesn't matter how powerful an AI model is if it's too slow or expensive for customers to use effectively.

Vera Rubin is not one or two chips but seven, including a GPU, a CPU, Ethernet switches, and other purpose-built chips. It essentially expands Nvidia's footprint in the data center and makes its ecosystem that much stickier.

Nvidia also engineered the platform with inference in mind. The company states that Rubin can reduce inference token costs by up to 10 times those of Blackwell. That gives hyperscalers a strong reason to invest in Vera Rubin, as they will seek efficiency to help monetize their AI investments over the coming years.

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3. The stock's valuation remains compelling relative to Nvidia's growth Growth isn't the only factor in a stock's performance. The price that investors pay for a stock matters a lot, especially in the short term. Therefore, Nvidia's valuation will likely have a big impact on how shares perform through the remainder of 2026. Right now, Nvidia is trading at just over 23 times its 2026 earnings estimates.

It's fair to wonder whether the AI boom has elevated Nvidia's earnings, making the stock seem less expensive than it would in a normal business climate. That would be a legitimate concern, but this isn't an ordinary cycle in size or duration. As noted above, the AI investment cycle still seems to have ample tread left. Analysts estimate that Nvidia could grow its earnings by an average of nearly 52% annually over the next three to five years.

Such strong growth prospects make the stock a strong buy at this valuation, with room for upside. Nvidia could absolutely keep soaring through 2026, assuming the business continues meeting the market's expectations.

Justin Pope has positions in Alphabet, Meta Platforms, and Microsoft. The Motley Fool has positions in and recommends Alphabet, Amazon, Goldman Sachs Group, Meta Platforms, Microsoft, and Nvidia. The Motley Fool has a disclosure policy.