Track market-moving stories before they get noisy

American Capital Management Inc. bought a new stake in shares of Medpace Holdings, Inc. (NASDAQ:MEDP – Free Report) during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund bought 210,217 shares of the company’s stock, valued at approximately $111,329,000. Medpace makes up about 5.0% of American Capital Management Inc.’s investment portfolio, making the stock its 3rd largest holding. American Capital Management Inc. owned approximately 0.75% of Medpace as of its most recent SEC filing.

A number of other institutional investors also recently bought and sold shares of the stock. BlackRock Inc. bought a new position in Medpace in the second quarter worth $1,323,047,000. AQR Capital Management LLC lifted its position in Medpace by 31.6% during the 4th quarter. AQR Capital Management LLC now owns 1,349,703 shares of the company’s stock valued at $758,061,000 after acquiring an additional 324,293 shares during the period. Wasatch Advisors LP lifted its position in Medpace by 14.0% during the 2nd quarter. Wasatch Advisors LP now owns 945,814 shares of the company’s stock valued at $296,853,000 after acquiring an additional 116,354 shares during the period. Geode Capital Management LLC boosted its stake in Medpace by 3.8% during the fourth quarter. Geode Capital Management LLC now owns 667,298 shares of the company’s stock worth $374,836,000 after acquiring an additional 24,625 shares in the last quarter. Finally, Invesco Ltd. boosted its stake in Medpace by 18.9% during the third quarter. Invesco Ltd. now owns 537,407 shares of the company’s stock worth $276,313,000 after acquiring an additional 85,517 shares in the last quarter. 77.98% of the stock is owned by institutional investors.

Medpace Trading Up 0.8% Medpace stock opened at $619.05 on Thursday. Medpace Holdings, Inc. has a 12 month low of $373.00 and a 12 month high of $677.90. The stock has a fifty day simple moving average of $559.49 and a two-hundred day simple moving average of $493.31. The firm has a market cap of $17.28 billion, a price-to-earnings ratio of 36.29, a PEG ratio of 2.74 and a beta of 1.15.

Medpace (NASDAQ:MEDP – Get Free Report) last issued its earnings results on Wednesday, July 22nd. The company reported $4.25 earnings per share for the quarter, topping analysts’ consensus estimates of $3.98 by $0.27. The business had revenue of $707.33 million during the quarter, compared to analyst estimates of $689.51 million. Medpace had a return on equity of 110.15% and a net margin of 17.67%.Medpace’s revenue was up 17.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $3.10 EPS. Medpace has set its FY 2026 guidance at 17.250-17.950 EPS. On average, equities research analysts forecast that Medpace Holdings, Inc. will post 17.54 EPS for the current fiscal year. Insider Activity In related news, Director Fred B. Davenport, Jr. sold 7,283 shares of Medpace stock in a transaction on Wednesday, August 19th. The shares were sold at an average price of $606.15, for a total transaction of $4,414,590.45. Following the transaction, the director owned 3,798 shares in the company, valued at approximately $2,302,157.70. The trade was a 65.73% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO August J. Troendle sold 27,174 shares of the stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $618.79, for a total value of $16,814,999.46. Following the completion of the sale, the chief executive officer owned 561,195 shares of the company’s stock, valued at $347,261,854.05. The trade was a 4.62% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 125,290 shares of company stock valued at $76,466,988. Company insiders own 20.50% of the company’s stock.

Medpace News Roundup Here are the key news stories impacting Medpace this week:

Positive Sentiment: Medpace remains near a potential technical buy point of $628.92 after its July advance. The stock is trading well above its 50-day and 200-day moving averages, indicating sustained momentum. Medpace Stock Hovers Near Entry, Offers Second Chance After July Spike Positive Sentiment: The company’s latest quarterly results exceeded expectations: adjusted earnings were $4.25 per share versus the $3.98 consensus estimate, while revenue rose 17.2% year over year to $707.33 million, surpassing forecasts. Fiscal 2026 EPS guidance remains $17.25 to $17.95. Positive Sentiment: Institutional investors and hedge funds own approximately 78% of Medpace, and several investment firms have recently increased their positions. Some analysts have also raised price targets, including RBC’s $692 target and Mizuho’s $665 target. Neutral Sentiment: Value-focused investors are comparing Medpace with Concentra Group, but the available report does not establish a clear valuation advantage for MEDP. The stock trades at roughly 36 times earnings, with a PEG ratio above 2.7, suggesting investors are already paying a premium for growth. CON vs. MEDP: Which Stock Should Value Investors Buy Now? Neutral Sentiment: Reported short interest was zero shares, producing a zero-day days-to-cover ratio. This provides no meaningful evidence of short-covering demand or downside pressure. Negative Sentiment: Several executives have recently sold shares near $620–$625. CEO August Troendle sold 15,978 shares in two transactions worth approximately $9.97 million, while CFO Kevin Brady sold 3,400 shares valued at about $2.13 million. Although both executives retain shares, the concentration of insider selling could weigh on sentiment. Medpace CEO August Troendle Sells 1,983 Shares Negative Sentiment: Analyst opinion remains cautious overall: the consensus rating is “Hold,” and the average price target of $584.18 is below recent trading levels. This may make additional upside more difficult without another earnings or guidance catalyst. Wall Street Analysts Forecast Growth A number of equities analysts have weighed in on MEDP shares. Leerink Partners set a $620.00 target price on shares of Medpace in a research note on Thursday, July 23rd. Mizuho boosted their target price on Medpace from $586.00 to $665.00 and gave the stock an “outperform” rating in a report on Friday, July 24th. Robert W. Baird raised their price target on Medpace from $547.00 to $624.00 and gave the company a “neutral” rating in a report on Friday, July 24th. Jefferies Financial Group lowered Medpace from a “buy” rating to a “hold” rating and lifted their price target for the stock from $490.00 to $515.00 in a research report on Tuesday, July 7th. Finally, Weiss Ratings upgraded shares of Medpace from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Wednesday, August 12th. Three equities research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to data from MarketBeat.com, Medpace has a consensus rating of “Hold” and an average target price of $584.18.

Read Our Latest Report on MEDP

Medpace Profile (Free Report)

Medpace Holdings, Inc (NASDAQ: MEDP) is a global contract research organization (CRO) that provides comprehensive clinical development services to biotechnology, pharmaceutical and medical device companies. The company supports clinical trials across all phases (I–IV), offering end-to-end solutions designed to streamline the development process and accelerate the delivery of new therapies to market.

Medpace’s core service offerings include clinical pharmacology, regulatory affairs consulting, project management, central laboratory services, imaging, data management and biostatistics, pharmacovigilance and medical writing.

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Key Highlights The TRON blockchain achieved 400 million user accounts by August 23, 2026 Cumulative transfer volume across the network has exceeded $29 trillion through 15.2 billion transactions Tron Inc., trading on Nasdaq, maintains a treasury of 711.2 million TRX tokens valued at approximately $245 million Shares of Tron Inc. surged 7.49% on August 24, settling at $2.01 Current TRX market price stands at approximately $0.338, reflecting a 1.81% decline The TRON blockchain achieved a significant benchmark on August 23, 2026, surpassing 400 million cumulative accounts, as confirmed by TRON DAO. Alongside this user milestone, the platform has facilitated over 15.2 billion transactions with an aggregate transfer volume exceeding $29 trillion.

Tron (TRX) Price Reaching the initial 100 million accounts required four years following the genesis block deployment on June 25, 2018. Subsequently, the platform achieved 200 million accounts on December 7, 2023, reached 300 million by April 12, 2025, and has now doubled that figure within roughly three years.

Justin Sun, who founded TRON, characterized this achievement as evidence of “growing demand for accessible blockchain infrastructure.” He emphasized that stablecoin transactions, international money transfers, and tokenized asset management represent the primary applications fueling this expansion.

Source: Justin Sun The TRON ecosystem maintains the world’s largest circulating USDT stablecoin supply, currently surpassing $94 billion. Additionally, the platform reports total value locked (TVL) exceeding $28 billion.

Cryptocurrency analyst OxPink commented on the achievement via X, observing that TRON required 2,982 days from its initial launch to surpass the 400 million address threshold. The analyst provided a comprehensive timeline documenting each major account milestone from the network’s inception.

Tron Inc. Expands TRX Holdings to $245M In related corporate developments, Tron Inc. — a Nasdaq-traded entity previously operating as SRM Entertainment — announced the acquisition of 145,002 TRX tokens on August 24. This purchase elevates the company’s aggregate position to 711.2 million TRX, representing a market value near $245 million.

Tron Inc. (NASDAQ: TRON) acquired 144,606 TRX tokens today at an average price of $0.3458, further increasing its TRX treasury holdings to more than 711.3 million TRX in total. The company aims to further grow its Tron DAT holdings to enhance long term shareholder value. For live…

— Tron Inc. (@TRON_INC) August 25, 2026

Shares of Tron Inc. appreciated 7.49% following the disclosure, finishing the trading session at $2.01. The company represents part of an emerging trend of publicly traded corporations implementing cryptocurrency treasury strategies beyond Bitcoin holdings, similar to Ethereum-focused organizations like BitMine.

Distinguishing Corporate Accumulation from Network Expansion These developments warrant careful distinction. Tron Inc.’s token accumulation represents a strategic corporate treasury allocation. This action does not inherently indicate heightened user engagement or transaction throughput on the TRON network.

Metrics demonstrating network expansion — including account creation, transaction processing, and TVL — constitute independent performance indicators. While both narratives are unfolding concurrently, they remain functionally separate phenomena.

TRON secured inclusion in the S&P Pantera Digital Asset Index recently, earning recognition based on protocol functionality, blockchain liquidity, and ecosystem activity. The platform has simultaneously broadened its institutional collaborations through partnerships with Anchorage Digital, Securitize, and Bitnomial.

At the time of publication, TRX trades at $0.338, representing a 1.81% decrease.

TRON has activated a network upgrade designed to make Ethereum applications easier to bring onto its blockchain.

Proposal 107 received 25 approvals before taking effect on August 28, with the changes providing the groundwork for wallets that use passkeys instead of conventional passwords.

Ethereum applications face fewer barriers The upgrade introduces features from Ethereum’s Prague and Osaka updates to the TRON Virtual Machine, which runs applications on the network.

Now developers have less of the software to change to allow an application to move from one network [such as Ethereum] to the others [such as TRON].

TRON developers had to adjust for newer Ethereum tools, meaning errors or older settings for dApps in the TRON ecosystem.

The proposal brings the two environments closer together, and make TRON more attractive to teams that already build Ethereum applications.

Further to this, the upgrade will enable an application to look further back into the blockchain to verify transactions previously made, helping services where earlier transactions need to be confirmed and rely less on data providers.

How passkeys could make TRON wallets easier to use Instead of remembering passwords, users can sign in to applications using the security features built into phones or computers. These features depend on the computer being used but include fingerprints, a scan of the user’s face or a PIN.

The new capability makes it cheaper for TRON applications to verify signatures created through systems such as Apple Secure Enclave and Android Keystore. Wallets that offer a more familiar sign-in experience could get more support without users personally managing every security step.

But passkeys have not suddenly just appeared across existing TRON wallets. The upgrade provides the underlying support, while wallet and application developers must decide how to use it.

Similarly, the cost of some expensive security computations is lowered in proposal 107, but the extent of savings will depend heavily on the way in which particular applications are compiled.

TRON’s governance record shows that the upgrade is now active.

Final Summary Proposal 107 passed with 25 approvals and activated on August 28. The upgrade makes Ethereum applications easier to adapt and allows some other key features.

Stellar’s tokenized real-world asset market has climbed from about $785 million in January to more than $3 billion in July, while only just over $2 million has entered Blend pools that accept RWAs.

Summary

Stellar’s RWA value increased almost fourfold during the first seven months of 2026. Four tokenized products account for hundreds of millions of dollars each on the network. Blend has $127 million in TVL, but its RWA-enabled pools hold only slightly more than $2 million. RedStone says round-the-clock pricing remains necessary before more RWAs can serve as DeFi collateral. Stellar’s RWA market has crossed $3 billion RedStone’s latest report has found that Stellar’s RWA market expanded almost fourfold between January and July, driven by tokenized money market funds, U.S. Treasury products and corporate credit.

Several individual products have reached values normally associated with established investment funds rather than early blockchain trials. The Amundi and Spiko Overnight Swap Fund, a French-regulated UCITS cash-management product, has grown to hundreds of millions of dollars in onchain value since going live on Stellar in March.

RedStone’s report identified Spiko’s tokenized U.S. Treasury bill fund as another major contributor. The product had reached about $536 million, while Ondo Finance’s USDY held more than $533 million on Stellar.

USDY is a yield-bearing asset supported by short-term U.S. Treasuries and bank demand deposits. Ondo expanded the product to Stellar in September 2025, after which its value on the network rose from slightly more than $1 million at the beginning of 2026 to over $533 million.

Corporate credit has added another large pool of tokenized value. VuMe Bond 2030, issued under Luxembourg securitization rules, launched on Stellar in February and has since reached approximately $500 million.

Franklin Templeton has maintained an earlier institutional presence through the Franklin OnChain U.S. Government Money Fund. Launched on Stellar in 2021, the fund uses the BENJI token and invests primarily in U.S. government securities, cash, and repurchase agreements. RedStone placed the value tokenized on Stellar at about $460 million.

The concentration of several large products shows that Stellar has already attracted issuers capable of placing hundreds of millions of dollars on a public network. Yet issuance records how much value has been tokenized, not how much of it is being traded, supplied to lending markets, or used as collateral.

RWA use in Stellar DeFi remains limited Stellar’s decentralized finance market remains much smaller than its tokenized asset base. RedStone placed total DeFi value on the network at about $259 million when its report was prepared, compared with more than $3 billion in RWAs.

Blend, Stellar’s largest lending protocol, accounted for roughly $127 million of that DeFi total. Pools capable of accepting RWAs, however, held only slightly more than $2 million.

Templar Protocol provides another example of the limited use of tokenized assets in lending. Its Stellar application allows users to borrow against assets including deJAAA, deJTRSY, CETES, and USTRY, but the protocol had about $8.4 million in total value locked on the network, according to RedStone.

DeJAAA represents exposure to AAA-rated collateralized loan obligation tranches, while deJTRSY is tied to short-term U.S. Treasury securities. CETES tracks Mexican government Treasury certificates, and USTRY is backed by short-term U.S. Treasury bills.

Royal Fool, the pseudonymous co-founder and chief executive of Templar Protocol, said dependable pricing is required before a lending market can safely accept an RWA.

“Listing a real-world asset as collateral works best if we can price it reliably around the clock.”

According to the executive, SEP-40 feeds allow Templar to accept real-world collateral and support borrowing against it on Stellar. Lending protocols need current prices to calculate loan-to-value ratios and determine when a position no longer has enough collateral.

A tokenized security does not automatically become usable in DeFi simply because it exists on a blockchain. Trading venues need a defensible price before listing it, while lending protocols must keep valuing collateral even when the market for its underlying asset is closed.

Continuous pricing could bring more RWAs into DeFi Price discovery becomes harder when an onchain token represents an asset that does not trade continuously. Bitcoin, Ether, and other liquid cryptocurrencies change hands around the clock, allowing oracle providers to combine quotes from several active exchanges.

Traditional assets follow different schedules. U.S. stocks trade mainly during set market hours, while government debt products may only have reliable spot prices when their domestic markets are open.

Money market funds add another complication because their value depends on the securities held in their portfolios rather than on constant secondary-market trading. Fund administrators may also distribute net asset value data through systems that cannot send information directly to a smart contract.

Corporate debt requires additional inputs, including credit quality, maturity, settlement terms, and the structure of the security. According to RedStone, an oracle must account for such differences rather than applying the same method used to price a liquid crypto token.

Stellar’s SEP-40 Oracle Consumer Interface provides a common format through which Soroban smart contracts can request price information. Before the standard was introduced, each provider could use a separate interface, requiring developers to build a new adapter whenever they added another data source.

Under SEP-40, compatible providers follow the same set of functions for identifying supported assets, price precision, update intervals, and timestamps. Applications can retrieve the latest value, request historical records, and check whether a price has become stale.

RedStone joined Stellar in March and later adopted SEP-40. Materials provided with the report said the oracle provider now supports 55 price feeds covering U.S. Treasuries, sovereign debt, corporate credit, tokenized gold, and money market products.

Among the covered assets are Ondo’s USDY, Franklin Templeton’s BENJI and Matrixdock’s XAUm gold token. RedStone also supplies data for Centrifuge-linked Treasury and credit products, along with tokenized Mexican and Brazilian government debt issued by Etherfuse.

Martin Quensel, founder of Anemoy and co-founder of Centrifuge, said tokenization places regulated funds within reach of decentralized finance, while standardized pricing allows protocols to use them as collateral.

“Reliable, standardized pricing on Stellar by RedStone is what lets protocols actually use them as collateral.”

Stellar had previously added another data layer when it integrated Chainlink services in October 2025. The arrangement covered Data Feeds, Data Streams, and the Cross-Chain Interoperability Protocol for applications working with DeFi and tokenized assets.

DTCC brings a U.S. market catalyst for 2027 The Depository Trust & Clearing Corporation plans to add tokenized versions of DTC-custodied assets to Stellar in the first half of 2027, extending the network’s RWA pipeline into U.S. market infrastructure.

As reported in May, the initial eligible assets are expected to include Russell 1000 shares, major index exchange-traded funds, U.S. Treasuries, and several classes of corporate and other bonds.

DTCC received a no-action letter from the U.S. Securities and Exchange Commission in December 2025. The relief allows it to test tokenized securities under specified conditions while maintaining existing investor protections, disclosures and control over ownership records.

The $114 trillion figure attached to the agreement represents assets held in custody by DTC, not the value that will move to Stellar. DTCC has not said that its entire custody base will be tokenized or transferred onto the network.

For U.S. investors, tokenization under DTCC’s system would keep the securities within established custody and regulatory structures. Eligible assets could receive blockchain-based representations while ownership records remain tied to the securities held at DTC.

DTCC has already begun testing tokenized public-market assets with major financial firms. In July, BlackRock, JPMorgan, Goldman Sachs, Vanguard, the New York Stock Exchange, and almost 40 other institutions participated in a tokenization pilot involving stocks, ETFs, and U.S. Treasuries.

Microsoft and Circle shares, the Invesco QQQ Trust, the SPDR S&P 500 ETF and BlackRock’s iShares 0–3 Month Treasury Bond ETF were among the first assets included. JPMorgan also completed a conversion of QQQ shares into a tokenized representation during the pilot.

The active trial uses permissioned infrastructure, including Hyperledger Besu and Canton, while the separate Stellar deployment remains scheduled for 2027. DTCC said participants would test collateral transfers, repurchase agreements, and equity transactions before the current program enters its planned operational phase.

Stellar’s tokenized real-world asset market has ballooned from roughly $800 million in January to over $3 billion by July 2026. The problem? Most of those assets have been sitting on the sidelines of DeFi, unable to participate as collateral or in lending protocols because reliable onchain pricing simply didn’t exist for them.

RedStone, one of crypto’s more established oracle providers, just plugged that gap for Avant Protocol’s savUSD token. The integration delivers a contract rate feed capturing the savUSD/avUSD exchange rate directly on Stellar, giving DeFi protocols the standardized pricing data they need to actually use these assets.

What RedStone built and why it matters The feed launched on May 29 and follows Stellar’s SEP-40 oracle standard, a specification designed to let any protocol on the network consume pricing data without building bespoke integrations. Instead of every DeFi app on Stellar needing to wire up its own pricing source for savUSD, they can all pull from the same RedStone feed.

For savUSD specifically, the data functions as onchain Net Asset Value, or NAV, made available continuously for smart contracts running on Stellar’s Soroban execution environment.

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The broader SEP-40 implementation kicked off in March 2026, with RedStone planning a gradual rollout throughout the year. Six additional issuers are expected to receive similar oracle support by August, which would meaningfully expand the range of assets available for DeFi composability on Stellar.

RedStone reports no mispricing events across its existing feeds, a claim that carries real weight given how many DeFi exploits trace back to faulty or manipulated price data.

Inside savUSD: the asset getting priced SavUSD is a senior-tranche token from Avant Protocol, backed 1:1 by USDC and USDT collateral. It derives returns through delta-neutral trading strategies, capturing funding rate payments and basis trade spreads while hedging out directional market exposure.

Pennyworks, an independent third party, conducts weekly NAV calculations to verify the token’s value. Combined with the real-time onchain visibility that RedStone now provides, investors get two layers of price verification: one from traditional auditing cadence, another from continuous oracle feeds.

Before this integration, savUSD existed in a kind of DeFi limbo on Stellar. Without a price feed, a lending protocol can’t accept savUSD as collateral, a DEX can’t properly route trades, and an automated portfolio manager can’t rebalance positions that include it.

Stellar’s RWA growth meets its DeFi bottleneck Growing from $800 million to over $3 billion in tokenized assets within roughly six months puts Stellar among the fastest-expanding RWA networks in crypto. Each new asset on Stellar previously needed custom pricing solutions, creating a patchwork of data sources that raised integration costs and security risks. Standardizing through SEP-40 means protocols can support new assets faster, with less engineering overhead and fewer potential failure points.

The yield-bearing nature of savUSD makes proper pricing especially critical. Unlike a simple stablecoin pegged to $1, savUSD’s value fluctuates based on accumulated yield. A stale or inaccurate price feed could lead to under-collateralized positions or liquidation failures.

With six more issuers expected to receive RedStone oracle support by August, Stellar’s DeFi layer is approaching something closer to infrastructure maturity.

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

TLDR: Spectra splits yield-bearing assets into Principal Tokens and Yield Tokens for separate trading. Yield Tokens give holders exposure to an asset’s future yield without owning it outright. Stellar’s Security Audit Bank confirms a completed Certora audit dated May 18, 2026. XCCY is also building a fixed-rate engine on Stellar, signaling growing sector demand. Spectra is bringing fixed-rate markets and tradable yield to the Stellar network, adding a new layer to its onchain economy.

The protocol splits yield-bearing assets into two separate tokens. One token carries fixed returns, while the other tracks variable yield exposure.

Stellar’s Security Audit Bank lists a completed Certora audit dated May 18, 2026, for the integration. The addition follows Stellar’s steady expansion across tokenized assets, lending and settlement infrastructure this year.

Spectra Splits Yield Into Two Tradable Markets Spectra describes itself as an open, permissionless interest-rate derivatives protocol. Its design takes a yield-bearing asset and divides it into two components.

These components are known as the Principal Token and the Yield Token. Once split, each piece can trade independently on its own market.

The Principal Token, or PT, represents the fixed-yield side of the arrangement. Holders buy the principal at a discount to its face value.

At maturity, that token can be redeemed for its full fixed value. This structure gives users a predictable return over a set period.

The Yield Token, or YT, works differently from its counterpart. It gives holders exposure specifically to the future yield of the underlying asset.

Rather than owning the asset itself, traders gain a claim on what it earns. This effectively allows the yield to be traded as its own instrument.

Crypto commentator Marco Salzmann framed this as part of a broader pattern building on Stellar. He described the network’s stack as moving through tokenized assets, lending, yield markets and settlement.

Spectra’s arrival adds another financial primitive to that sequence. Each layer, he noted, builds on the capital already sitting onchain.

Audit Confirms Integration as Competition Grows Stellar’s Security Audit Bank provides independent confirmation of the integration timeline. It lists an entry titled “Spectra – Interest Rate Markets on Stellar.”

The associated Certora audit was completed on May 18, 2026. That listing indicates the groundwork for deployment has already been reviewed.

Salzmann pointed to Stellar’s broader environment as a reason the protocol fits well there. The network has drawn real-world assets, stablecoins and institutional financial products in recent periods.

It has also been expanding its decentralized finance infrastructure alongside that growth. Interest-rate markets add a further tool for participants managing that capital.

Spectra is not the only protocol pursuing this type of infrastructure on Stellar. XCCY is separately integrating a fixed-rate engine designed for similar purposes.

That engine targets fixed yield, fixed-rate borrowing and hedging against variable interest rates. Both efforts point toward growing demand for interest-rate tools on the network.

The Stellar Development Foundation’s 2026 strategy focuses on bringing more capital onchain. It also emphasizes increasing how efficiently existing onchain assets are used. Fixed-rate markets and separable yield exposure support both of those stated goals.

As more asset types settle on Stellar, tools like Spectra give holders more ways to manage risk and return, rather than holding a single fixed exposure to whatever yield the market happens to produce at any given time.

Key Takeaways KLA expects advanced packaging process-control revenues to top $1.1B in 2026, rising more than 70%.Hybrid bonding, HPC and HBM are increasing inspection and measurement steps, supporting KLA's tool demand.Onto raised its 2026 packaging growth outlook to 80%, while Applied Materials expects over 50% growth. KLA (KLAC - Free Report) is benefiting from accelerating demand for advanced packaging as AI and high-performance computing (HPC) chips require increasingly complex integration of logic and memory. Rising package complexity, higher performance requirements and growing chip values are increasing the need for inspection, metrology and process-control tools. KLA stated that the increasing complexity and value of semiconductor packages, particularly for AI and HPC applications, is driving significant growth in its advanced packaging business. The company’s strong portfolio is strengthening competitive prowess against Onto Innovation (ONTO - Free Report) and Applied Materials (AMAT - Free Report) .

The momentum is already translating into strong revenue growth. KLA expects advanced packaging process-control systems revenues to reach approximately $1.1 billion in calendar 2026, representing growth of more than 70% year over year. The company attributed the expansion to rising process-control intensity as chip designs become more complex and performance specifications become more demanding. Technology transitions such as hybrid bonding are creating additional opportunities. Along with HPC and High-Bandwidth Memory (HBM) adoption, advanced packaging technologies like hybrid bonding are increasing the number of inspection and measurement steps required during manufacturing, supporting demand for KLA's tools.

KLA’s broad portfolio allows the company to capture spending across multiple stages of advanced packaging. KLAC’s wafer inspection and metrology systems help manufacturers detect and monitor defects and process excursions in wafer-level packaging, while chemistry process-control systems monitor materials used in wafer-level and panel-level packaging and IC substrates. Advanced packaging is also benefiting businesses beyond KLA’s core Semiconductor Process Control operations. HPC packaging and integration are driving demand within its Specialty Process and PCB and Component Inspection businesses, with these combined products expected to grow more than 25% in calendar 2026.

Tough Competition Hurts KLAC’s ProspectsOnto Innovation and Applied Materials are well known for their advanced packaging process control offerings.

Onto is emerging as a particularly strong challenger in packaging inspection and metrology. The company raised its 2026 advanced packaging growth outlook to approximately 80%, up from 50% previously, driven by strong demand from HBM manufacturers and outsourced semiconductor assembly and test (OSAT) customers. Onto secured more than $200 million of Dragonfly orders from a single OSAT, with most shipments scheduled for 2027. The company’s Dragonfly inspection business grew 30% sequentially in the second quarter of 2026, supported by 2.5D logic and HBM applications.

Applied Materials is increasingly challenging KLA in process diagnostics and control. Applied Materials expects this business to grow more than 50% in 2026, supported by greater use of e-beam metrology and inspection for increasingly complex structures and new optical-inspection products aimed at gaining application share. Moreover, its EPIC co-innovation strategy gives Applied deeper access to customers developing future chip and packaging architectures, potentially allowing it to secure process-control positions earlier in the technology-development cycle.

KLAC’s Share Price Performance, Valuation & EstimatesKLAC shares have jumped 50.9% year to date, outperforming the broader Zacks Computer and Technology sector’s return of 15.4%.

KLAC Stock’s Performance
Image Source: Zacks Investment Research

KLA stock is overvalued, with a forward 12-month price/sales of 13.05X compared with the broader sector’s 6.32X. KLAC has a Value Score of D.

KLAC Valuation
Image Source: Zacks Investment Research

The Zacks Consensus Estimate for fiscal 2027 earnings is pegged at $5.43 per share, up 7.1% over the past 30 days, suggesting 44.41% growth from the figure reported in fiscal 2026.

KLA currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

A month has gone by since the last earnings report for Logitech (LOGI - Free Report) . Shares have lost about 2.7% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Logitech due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the latest earnings report in order to get a better handle on the important catalysts.

Logitech Q1 Earnings Beat Estimates on Tariff Refunds, Premium DemandLogitech reported first-quarter fiscal 2027 non-GAAP earnings of $1.85 per share, up 47% year over year. The metric topped the Zacks Consensus Estimate by 39.1%. Revenues rose 7% to $1.23 billion and beat the consensus mark by 2.1%.

The results reflected strong demand for premium pointing devices, gaming products and video collaboration solutions. Non-GAAP gross margin expanded 770 basis points to 49.8%, aided by $61 million in tariff refunds, favorable currency movements, product mix and cost reductions.

LOGI's Product Categories Show Broad StrengthGaming revenues increased 12% year over year to $354.2 million, with constant-currency growth of 9%. The PRO X2 SUPERSTRIKE mouse supported gaming-mouse momentum, while the Americas and Asia Pacific delivered solid growth.

Pointing Devices revenues climbed 16% to $227.3 million, or 14% in constant currency, driven by a shift toward premium products such as the MX Master 4. Video Collaboration sales advanced 11% to $185.3 million, extending demand from workplace customers. The company also gained about 220 basis points of share across personal workspace products.

Logitech Faces Weakness in Select CategoriesKeyboards & Combos revenues rose 2% to $227.8 million, as strength in the Americas offset weakness in the EMEA. Tablet Accessories sales slipped 2% to $89.4 million against a difficult prior-year comparison tied to a large education contract.

Webcam revenues declined 9% to $76.6 million, while Headsets fell 3% to $44.1 million. Other-category revenues dropped 12% to $22.5 million, reflecting softness in mobile and PC speakers.

LOGI's Regional Mix Supports GrowthAmericas sales grew 11% in constant currency, led by double-digit gains in Gaming, Keyboards & Combos and Pointing Devices. Asia Pacific increased 5%, with China outperforming the broader region amid strong execution around the June 18 shopping festival.

EMEA sales declined 4% as the Middle East conflict reduced regional growth by roughly 400 basis points. Even so, Logitech gained share in Europe despite subdued consumer and enterprise demand.

Logitech's Margins Benefit From Refunds and MixNon-GAAP operating expenses increased 14% to $320.4 million, reflecting higher investments in sales and marketing and research and development. General & administrative expenses remained controlled at 2.8% of sales.

Non-GAAP operating income surged 44% to $290 million. Excluding tariff refunds, operating income rose 14% to $229 million, showing that stronger mix and execution also supported profitability beyond the one-time benefit.

LOGI Generates Solid Cash Flow and Returns CapitalCash flow from operations increased to $166.7 million from $125 million a year earlier. Logitech ended the quarter with $1.75 billion in cash and cash equivalents, while inventories were $491.7 million.

The company repurchased $113.6 million of shares during the quarter. Management also noted that channel inventory remained within the operating ranges seen since the start of fiscal 2025.

Logitech Issues Cautious Q2 OutlookFor the second quarter of fiscal 2027, Logitech expects revenues between $1.19 billion and $1.22 billion, implying year-over-year growth of 0-3% on both a reported and constant-currency basis. Non-GAAP operating income is projected between $185 million and $210 million.

The outlook includes an estimated $20 million revenue headwind from a semiconductor supplier shutdown. Based on limited information, management sees a potential impact of up to $200 million in the third quarter, with the disruption expected to be largely resolved by the fourth quarter.

LOGI Maintains Long-Term Margin ViewLogitech has not issued formal full-year revenue guidance. Excluding the supplier disruption, management said demand momentum would continue at roughly the first-quarter pace through the balance of fiscal 2027.

The company still expects full-year non-GAAP operating margin to track near the high end of its 15-18% long-term target range. Strong underlying execution and the tariff refunds are expected to support that profitability level despite continued growth investments.

How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended downward during the past month.

The consensus estimate has shifted -6.77% due to these changes.

VGM ScoresAt this time, Logitech has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of C on the value side, putting it in the middle 20% for value investors.

Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Logitech has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

NEW YORK, Aug. 25, 2026 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Lennox International, Inc. (“Lennox” or the “Company”) (NYSE: LII). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980.

The investigation concerns whether Lennox and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices. 

[Click here for information about joining the class action]

On July 29, 2026, Lennox reported its financial results for the second quarter of 2026.  Among other items, Lennox reported $1.5 billion in sales, falling short of expectations.  Lennox also lowered its earnings forecast for 2026 by approximately 3%, to a range of $23.00 to $24.00 per share.  The Company attributed its results to “continued softness in the residential end market.” 

On this news, Lennox’s stock price fell $114.09 per share, or 20.97%, to close at $430.02 per share on July 29, 2026.

Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.

Attorney advertising. Prior results do not guarantee similar outcomes.

CONTACT:
Danielle Peyton
Pomerantz LLP
[email protected]
646-581-9980 ext. 7980

Newsweek's 2026 Most Trustworthy Company Honoree Strengthens Sonic's Northern California Presence and Expands Its Porsche Portfolio to Six Dealerships

, /PRNewswire/ -- Sonic Automotive, Inc. (NYSE: SAH), one of the nation's largest automotive and powersports retailers and a recipient of Newsweek's 2026 Most Trustworthy Companies in America recognition, today announced the acquisition of Porsche Walnut Creek, further expanding its presence in the Bay Area market.

This acquisition advances Sonic Automotive's investment in luxury automotive retail and strengthens its relationship with the Porsche brand. Porsche Walnut Creek serves Walnut Creek, the East Bay, and the greater San Francisco Bay Area, and is located in one of Northern California's most desirable automotive markets, where clients expect performance, personalization, convenience, and exceptional care.

Previously operated by Fletcher Jones Automotive Group, Porsche Walnut Creek is located at 2555 N. Main Street in Walnut Creek, California, ideally situated off the 680 Freeway. The dealership is known for its boutique guest experience, and this acquisition complements that legacy with Sonic Automotive's reputation for delivering world-class guest experiences.

"The Bay Area is one of the most important luxury automotive markets in the country, and this acquisition reflects our ongoing commitment to expanding in premium, high-performing markets," said David B. Smith, Chairman and Chief Executive Officer of Sonic Automotive, Inc. "Porsche Walnut Creek has an outstanding reputation and a guest experience that aligns perfectly with our vision for the future of luxury automotive retail. We are proud to welcome this dealership and teammates into the Sonic Automotive family."

With the addition of Porsche Walnut Creek, Sonic Automotive now operates six Porsche dealerships nationwide, enhancing its ability to serve Porsche clients and enthusiasts in key luxury markets. This acquisition supports Sonic's broader luxury growth strategy and expands its California portfolio, which includes BMW, Honda, Jaguar, Land Rover, Lexus, Mercedes-Benz, MINI, and Toyota. The company also operates EchoPark Automotive and Harley-Davidson dealerships in the state.

Porsche Walnut Creek offers the full Porsche experience, including new Porsche vehicles, Porsche Certified Pre-Owned vehicles, pre-owned vehicles, factory-trained service, Porsche Genuine Parts, and personalized support throughout the ownership journey. Serving the Walnut Creek community since 2006, the Porsche Center has built its reputation around experienced teammates, long-standing client relationships, and a deep appreciation for the Porsche brand. The team brings decades of combined automotive and German luxury experience across sales, service advising, and technical expertise, including Porsche Certified Gold Technicians.

The acquisition comes at an exciting time for Porsche's SUV portfolio. The Cayenne has long been a cornerstone of the brand, and the Cayenne Electric, the first fully electric version of one of Porsche's most iconic nameplates, is now beginning to arrive. Joining the existing gas and hybrid variants, it further expands customer choice across the Cayenne family and the broader Porsche lineup. For Porsche Walnut Creek, this creates an opportunity to introduce Bay Area clients to a new expression of Porsche performance, versatility, and electric innovation.

Clients will continue to be served by the same dedicated Porsche Walnut Creek team, including General Manager Mike Pardini, who has served clients there for 22 years. A Walnut Creek native, Pardini has deep roots in the community and a long-standing personal connection to the Porsche brand. His father also served clients at Porsche Walnut Creek for 15 years, creating a family legacy tied to the Porsche Center and its clients.

In addition to Porsche Walnut Creek, Sonic Automotive serves automotive and powersports clients in California through its portfolio of dealerships, including Autobahn Motors, Beverly Hills BMW, BMW and MINI of Monrovia, Buena Park Honda, Carson Honda, Concord Honda, Concord Toyota, Crown Lexus, EchoPark Sacramento, Honda of Serramonte, Honda of Stevens Creek, Jaguar Land Rover Beverly Hills, Jaguar Land Rover Newport Beach, Jaguar Land Rover San Jose, Land Rover Pasadena, Land Rover Santa Monica, Lexus of Marin, Lexus of Serramonte, Long Beach BMW, Mercedes-Benz of Calabasas, Mercedes-Benz of Walnut Creek, Poway Honda, San Diego Harley-Davidson, Stevens Creek BMW, and W.I. Simonson Mercedes-Benz.

About Porsche Walnut Creek

Porsche Walnut Creek is an established Porsche Center serving Walnut Creek, the East Bay, and the greater San Francisco Bay Area. The Porsche Center offers new Porsche vehicles, Porsche Certified Pre-Owned vehicles, pre-owned vehicles, factory-trained service, genuine Porsche parts, and personalized support throughout every stage of the Porsche ownership journey. Serving the Walnut Creek community since 2006, Porsche Walnut Creek is committed to delivering an elevated automotive experience defined by performance, expertise, hospitality, convenience, and long-term client relationships. Find out more at porschewalnutcreek.com.

About Sonic Automotive

For more than 60 years, Sonic Automotive has pursued a single purpose: to deliver an experience for our guests and our teammates that fulfills dreams, enriches lives, and delivers happiness. We don't simply sell and service vehicles. We help people pursue their dreams, whether it's a guest purchasing their first vehicle, a family creating lifelong memories, or a teammate building a meaningful career.

Founded in 1966 by Bruton Smith, the company has grown into a Fortune 300 company under the leadership of Chairman and CEO David B. Smith. Today, more than 11,000 teammates bring the company's purpose to life across a nationwide network of 173 automotive and powersports franchises in 145 locations in 90 cities and 21 states. We are proud to represent 24 automotive and 15 powersports brands and have helped more than 7 million guests purchase vehicles, delivered over 40 million service experiences, and earned more than 1 million 5-star reviews by consistently putting people first.

At Sonic Automotive, we believe trust isn't claimed — it's earned through transparency, consistency, integrity, and genuine care. That's why we were the only automotive and powersports retailer recognized by Newsweek as one of America's Most Trustworthy Companies in 2026. As the automotive and powersports industries continue to evolve, our mission remains constant: to innovate, lead with integrity, and create exceptional experiences that inspire confidence, build lifelong relationships, and positively impact every life we touch.

Sonic Automotive. Driven By People. Inspired By Purpose. For more information, visit www.sonicautomotive.com and ir.sonicautomotive.com.

Sonic Automotive Press Inquiries
Sonic Automotive Media Relations
[email protected]

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SOURCE VML

Bank of America Corp DE lifted its position in Hilltop Holdings Inc. (NYSE:HTH – Free Report) by 159.3% during the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 211,095 shares of the financial services provider’s stock after buying an additional 129,683 shares during the period. Bank of America Corp DE owned approximately 0.36% of Hilltop worth $7,561,000 as of its most recent SEC filing.

Other large investors have also recently modified their holdings of the company. EverSource Wealth Advisors LLC increased its position in shares of Hilltop by 22.6% during the fourth quarter. EverSource Wealth Advisors LLC now owns 1,566 shares of the financial services provider’s stock worth $53,000 after purchasing an additional 289 shares in the last quarter. Allworth Financial LP boosted its position in shares of Hilltop by 37.3% in the 4th quarter. Allworth Financial LP now owns 1,153 shares of the financial services provider’s stock worth $39,000 after purchasing an additional 313 shares in the last quarter. MQS Management LLC boosted its position in shares of Hilltop by 2.2% in the 1st quarter. MQS Management LLC now owns 16,453 shares of the financial services provider’s stock worth $589,000 after purchasing an additional 353 shares in the last quarter. CANADA LIFE ASSURANCE Co grew its stake in Hilltop by 1.0% during the 4th quarter. CANADA LIFE ASSURANCE Co now owns 37,559 shares of the financial services provider’s stock worth $1,275,000 after buying an additional 368 shares during the last quarter. Finally, Smartleaf Asset Management LLC grew its stake in Hilltop by 36.2% during the 4th quarter. Smartleaf Asset Management LLC now owns 1,817 shares of the financial services provider’s stock worth $62,000 after buying an additional 483 shares during the last quarter. Institutional investors own 57.13% of the company’s stock.

Analyst Ratings Changes HTH has been the subject of a number of research analyst reports. Keefe, Bruyette & Woods increased their price target on Hilltop from $40.00 to $42.00 and gave the company a “market perform” rating in a research note on Wednesday, August 5th. Weiss Ratings restated a “buy (b)” rating on shares of Hilltop in a research note on Wednesday, August 19th. Zacks Research upgraded shares of Hilltop from a “strong sell” rating to a “strong-buy” rating in a report on Monday, May 4th. Piper Sandler reaffirmed a “neutral” rating and issued a $42.00 price objective on shares of Hilltop in a research report on Tuesday, July 28th. Finally, Wall Street Zen cut shares of Hilltop from a “hold” rating to a “sell” rating in a research note on Saturday, May 16th. One analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat, Hilltop presently has an average rating of “Moderate Buy” and a consensus price target of $40.00.

Check Out Our Latest Research Report on Hilltop Insider Transactions at Hilltop In other Hilltop news, Director Rhodes R. Bobbitt sold 20,000 shares of the company’s stock in a transaction on Tuesday, August 4th. The shares were sold at an average price of $40.12, for a total value of $802,400.00. Following the sale, the director directly owned 56,096 shares of the company’s stock, valued at approximately $2,250,571.52. This represents a 26.28% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders have sold 62,555 shares of company stock worth $2,467,714 in the last three months. Insiders own 5.40% of the company’s stock.

Hilltop Trading Down 0.3% Shares of NYSE:HTH opened at $38.55 on Wednesday. Hilltop Holdings Inc. has a twelve month low of $30.78 and a twelve month high of $40.41. The company has a market cap of $2.21 billion, a PE ratio of 14.28 and a beta of 0.89. The company’s 50 day moving average is $38.82 and its 200 day moving average is $37.80.

Hilltop (NYSE:HTH – Get Free Report) last released its quarterly earnings data on Thursday, July 23rd. The financial services provider reported $0.63 EPS for the quarter, beating the consensus estimate of $0.49 by $0.14. The business had revenue of $315.81 million for the quarter, compared to the consensus estimate of $306.18 million. Hilltop had a net margin of 10.17% and a return on equity of 7.40%. During the same period in the prior year, the firm earned $0.57 EPS. Equities research analysts predict that Hilltop Holdings Inc. will post 2.59 earnings per share for the current fiscal year.

Hilltop Increases Dividend The firm also recently announced a quarterly dividend, which was paid on Friday, August 21st. Investors of record on Friday, August 7th were given a dividend of $0.22 per share. This is a boost from Hilltop’s previous quarterly dividend of $0.20. This represents a $0.88 dividend on an annualized basis and a yield of 2.3%. The ex-dividend date was Friday, August 7th. Hilltop’s payout ratio is presently 32.59%.

Hilltop Profile (Free Report)

Hilltop Holdings, Inc (NYSE: HTH) is a Dallas, Texas–based financial holding company offering commercial banking, mortgage lending and capital markets services through its three primary subsidiaries: PlainsCapital Corporation, PrimeLending and HilltopSecurities. PlainsCapital provides deposit, lending and treasury management solutions to small and mid-sized businesses, professionals and individuals. PrimeLending specializes in home purchase and refinance loans, serving retail, wholesale and correspondent channels.

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Cosmetics retailer Ulta Beauty (ULTA.O) raised its annual sales and profit forecasts on Thursday, ​betting that marketing and product assortment investments would drive demand as it ‌continues opening stores in the U.S.

Net sales climbed 8.9% to $3 billion, lifted by comparable sales, the Space NK acquisition and 13 net U.S. store openings in the second quarter — nearly half of its ​first-half total.

Despite sticky inflation, higher-income consumers and young shoppers continue to splurge on ​trendy and higher-margin fragrance and makeup brands.

Ulta Beauty Chief Executive Kecia ⁠Steelman said customers did not trade down in the second quarter, and are continuing ​to shop for prestige products.

"We've not seen any notable changes in consumer behavior in ​the quarter," Steelman said. "We're seeing increases in spend across the broader segmentation."

The company, which is in the midst of a turnaround under Steelman, has tapped that demand with celebrity brand exclusives such as ​rapper Megan Thee Stallion's Hot Girl Summer fragrance, and a push into TikTok Shop ​that has boosted Gen-Z sales.

In its earnings call, Ulta said nearly half of its sales are coming ‌from ⁠exclusive brands and products in its assortment.

"Shaky consumer confidence may even be working in Ulta Beauty's favor by reinforcing the 'lipstick effect' – the tendency for consumers to continue spending on smaller, affordable luxuries like beauty products," research firm Placer.ai said.

The company expects full-year sales ​to grow between 6.7% ​and 7.2%, up ⁠from its prior forecast of 6% to 7%.

Ulta expects annual earnings per share in the range of $28.70 to $29, compared with its prior ​forecast of $28.36 to $28.80 per share.

The company's quarterly sales of $3.04 billion ​beat analysts' ⁠average estimate of $2.96 billion, according to data compiled by LSEG.

Its quarterly earnings per share of $6.55 topped estimates of $6.19.

"Ulta's strong quarter is a testament to the work the company has done ⁠to establish ​itself as shoppers' preferred beauty retailer, despite growing ​competition from the likes of Amazon and TikTok," eMarketer analyst Rachel Wolff said.

Charles Schwab has announced plans to expand its cryptocurrency offerings by adding Solana (SOL), Avalanche (AVAX), and Chainlink (LINK) to its Schwab Crypto platform in the coming months. The brokerage currently allows trading in Bitcoin (BTC) and Ether (ETH), and the expansion will increase its available digital assets from two to five. This move will provide Schwab’s approximately 39 million clients the option to trade these additional tokens within the same platform they use for stocks and ETFs.

Platform expansion and new assetsSchwab introduced its crypto spot trading service for retail clients in May 2026. The company stated that the new addition aims to meet increasing client demand for established cryptocurrencies. While Schwab has not given a precise launch date for Solana, Avalanche, and Chainlink, it indicated that trading will be open in the coming months.

Joe Vietri, Head of Digital Assets at Charles Schwab, emphasized that the expansion is designed to offer clients greater flexibility in constructing their portfolios. Vietri explained that customers can now “build a digital asset allocation alongside the investing and banking experience they know and trust at Schwab.”

With this expansion, clients will have more choices to build a digital asset allocation alongside the investing and banking experience they know and trust at Schwab.

The company plans to maintain its transaction pricing at 75 basis points, or 0.75% of each trade’s dollar value, describing this as one of the lowest fees among major brokers.

Infrastructure, custody and access limitationsAsset custody for Schwab Crypto accounts is handled by Charles Schwab Premier Bank, while trade execution is managed through Paxos, a blockchain infrastructure provider regulated by the Office of the Comptroller of the Currency.

However, access to Schwab Crypto is currently unavailable to residents of New York and Louisiana and is not accessible outside the United States.

Mini dictionary: Paxos is a New York-based blockchain infrastructure company that provides digital asset issuance and settlement services. It operates under US regulatory oversight and partners with financial institutions for regulated trading.

The impact of Schwab’s entry for SOL, AVAX, and LINKCharles Schwab manages more than $12 trillion in client assets, making it one of the largest brokerage firms in the United States. The decision to list SOL, AVAX, and LINK is expected to increase these tokens’ reach and appeal beyond the traditional crypto user base, bringing them to a broader retail audience.

The three tokens recorded price increases after the news went public. Solana traded near $107, an 11.6% rise within 24 hours. Chainlink rose to approximately $11.9, up 6.3%. Avalanche also climbed by over 4%, reaching $7.50, according to CoinMarketCap data.

Token24h Price ChangeCurrent PriceSOL (Solana)+11.6%$107LINK (Chainlink)+6.3%$11.9AVAX (Avalanche)+4%$7.50Schwab’s latest move marks a cautious expansion into digital assets. The company previously started its crypto platform with only Bitcoin and Ether, reflecting a careful approach while it evaluated marketplace risk and demand. Schwab asserts that the list of available tokens will continue to grow, but each addition remains subject to regulatory requirements and the company’s risk guidelines.

Cautious approach to cryptocurrencyCharles Schwab has previously described cryptocurrencies as speculative and high-risk in its reports, noting that digital assets can significantly influence portfolio volatility even at low allocation levels of 1% to 3%. The company also warns clients that these assets are not FDIC insured or SIPC protected and may lose their entire value.

Schwab’s disclosures state that digital assets are not covered by FDIC or SIPC insurance, and significant losses are possible.

While the company’s latest development brings more options for investors, Schwab maintains the right to delay or withdraw any token listing depending on regulatory changes or additional risk assessments.

Lighter, the zero-knowledge rollup-based decentralized exchange built on Ethereum Layer 2, has broadened its partnership with Chainlink to cover more than 125 markets across multiple asset classes and regions. The expansion adds Chainlink’s 24/5 US Equities Streams to the platform, giving perpetual futures traders access to low-latency pricing data well outside traditional market hours.

From commodities to equities: what the integration covers The original partnership between Lighter and Chainlink was announced in November 2025, designating Chainlink Data Streams as the official oracle solution for Lighter’s real-world asset derivatives markets. That initial scope covered commodities, equities, and foreign exchange pricing, the core trio that makes up the RWA derivatives universe.

The January 2026 expansion layers on Chainlink’s 24/5 US Equities Streams specifically. This is the product Chainlink built to serve continuous equity price data during hours when the New York Stock Exchange and Nasdaq are closed, enabling crypto-native platforms to offer trading on equity-linked products around the clock (minus weekends, hence the “24/5” label).

With the expanded integration, Lighter now supports over 125 markets spanning multiple asset types. The Chainlink feeds power several critical functions on the platform: liquidations, margin calculations, and conditional or limit orders that depend on precise, real-time pricing.

Why oracles matter more for RWA derivatives Oracle security is a perennial concern in DeFi, but it becomes especially acute when the assets being traded don’t live natively on-chain. A Bitcoin perpetual contract can reference on-chain liquidity for its price feed. A perpetual contract on Tesla stock or gold futures cannot.

Chainlink has built its reputation as the dominant oracle provider in DeFi precisely because of this dynamic. Its decentralized network of node operators aggregates pricing data from multiple sources, reducing the risk that any single point of failure corrupts the feed. For a platform like Lighter, which runs a verifiable order-book system designed to prevent frontrunning, pairing that execution layer with a robust oracle creates a more coherent security story.

CEO Vladimir Novakovski has spoken publicly about the partnership’s significance, including at SmartCon 2025, framing the Chainlink integration as central to Lighter’s ability to scale its RWA derivatives offering while maintaining data integrity.

The competitive landscape for on-chain perps What distinguishes Lighter’s approach is the combination of ZK rollup technology with a verifiable order book. Most on-chain perps platforms use automated market maker (AMM) models, where liquidity pools replace traditional order books. Lighter’s order-book design is more familiar to traders coming from centralized exchanges, but it introduces complexity around ensuring that the order matching itself is transparent and tamper-resistant.

The ZK rollup layer handles that verification. Every trade execution can be cryptographically proven, which in theory eliminates the possibility of the exchange operator reordering or censoring transactions.

Lighter claims hundreds of thousands of users on its platform as of early 2026.

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

Circle, the digital payments firm behind the USDC stablecoin, has reached a sponsorship agreement with Chelsea Football Club that will see its branding featured on players’ jerseys during the 2026/2027 season.

Deal details and regulatory contextThe partnership was announced just months after the UK Financial Conduct Authority (FCA) raised concerns regarding sponsorship deals between football clubs and unauthorized financial companies, including those in the crypto sector. In early 2024, the FCA sent warning letters to several Premier League clubs, possibly including Chelsea, cautioning them about arrangements that could expose fans to unregulated financial products and potential legal breaches.

The FCA urged clubs to ensure that collaborations do not allow dubious or unauthorized firms to leverage club loyalty for promoting speculative or unregulated financial offerings to a massive audience. Lucy Castledine, director of consumer investments at the FCA, emphasized,

“Millions of football fans trust their club’s badge. Clubs should not let unauthorised financial firms exploit that loyalty by putting potentially dodgy products in front of millions of fans.”

The FCA serves as the United Kingdom’s chief financial conduct regulator. Its role encompasses protecting consumers, supervising financial markets, and enforcing regulations to maintain integrity within the financial system.

Mini dictionary: Circle, a US-based financial technology company, is known for issuing the USDC stablecoin—one of the most widely used dollar-pegged digital currencies. Chelsea Football Club is a prominent professional football team competing in the English Premier League.

Circle UK Trading Limited, a registered local arm of Circle, has been authorized under the FCA since 2018 to provide specific financial services to those residing in the United Kingdom. While stablecoins such as USDC can be legally used in the UK, comprehensive digital asset regulation is still being developed by lawmakers.

USDC’s regulatory status in the UKAlthough Circle highlighted that USDC is “issued by certain regulated affiliates,” the company clarified that the stablecoin is neither issued nor regulated under United Kingdom law. Policymakers in the UK are in the process of introducing more defined rules surrounding digital assets, including stablecoins, to bolster consumer protections and market oversight.

In light of the FCA’s previously issued warnings to Premier League clubs, the collaboration between Circle and Chelsea is expected to come under detailed review to ensure compliance with existing regulations. There was no immediate response from either Circle or the FCA regarding additional comments or clarifications on the deal.

This sponsorship aligns with Circle’s wider efforts to expand USDC’s visibility and adoption internationally, leveraging the global popularity of football. Meanwhile, Chelsea continues to partner with major brands across various sectors to reinforce its commercial footprint in sports and entertainment.

Bank for International Settlements (BIS) has changed its position on stablecoin payments. 

On the sidelines of the Jackson Hole event, BIS head Pablo Hernández de Cos reiterated that stablecoins are not a credible payment method at scale compared to tokenized deposits (bank-led wholesale alternatives). 

In particular, de Cos warned that U.S dollar stablecoins pose a risk to monetary sovereignty. 

The growing adoption of dollar-pegged stablecoins has also raised concerns in some jurisdictions about monetary sovereignty and the potential for digital dollarization.

According to him, the widespread adoption of USD-based stablecoins outside the U.S would weaken the local domestic monetary policy of most countries. 

Is BIS stablecoin risk valid or overblown? Currently, the USD-based stablecoins dominate over 90% of the market supply, led by Tether and Circle.

But they are issued by private tech firms and mostly used by retail and some businesses. Notably, there’s significant traction in some emerging markets with high demand for the U.S dollar or collapsed local currencies. 

Already, Tether’s USDT is widely used in most South American countries. In fact, Bolivia is considering making it a local tender. 

However, the BIS’s warning seems like a plausible risk that has been echoed by other analysts too. Austin Campbell, adjunct professor at Columbia Business School, shared a similar concern and noted, 

USD stablecoins will destroy 50%+ of currencies within 30 years.

Source: X For BIS, stablecoins have limited commercial use. Instead, the global financial institution, commonly known as the central bank for central banks, vouched for bank-issued alternatives (tokenized deposits). 

The BIS head de Cos believes tokenized deposits eliminate the inherent risk against sovereign monetary control associated with stablecoins. 

Tokenised deposits offer a more direct path to harness tokenisation while preserving the monetary system’s foundations.

That said, stablecoin transactions dropped by 37% this summer, declining from $1.8T at the end of June to $1.13T in August. In other words, broader adoption and traction eased slightly. 

Source: Visa Banks such as JPMorgan are already testing their tokenized deposits. Similarly, the ECB is pushing for central bank money to go on-chain, according to a Bloomberg report. Put differently, tokenized deposits and central-bank-issued money could hit the market soon. 

But it remains to be seen whether tokenized deposits will rival the already entrenched USD-stablecoins.

Final Summary BIS head reiterated the risk of USD-based stablecoins and downplayed their global scale of usage Stablecoin volume dropped 37% this summer, with August making its 3-month low since June. 

BlackRock Inc. purchased a new stake in RLI Corp. (NYSE:RLI – Free Report) in the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm purchased 8,332,056 shares of the insurance provider’s stock, valued at approximately $492,175,000. BlackRock Inc. owned approximately 9.08% of RLI at the end of the most recent reporting period.

Several other institutional investors have also recently bought and sold shares of RLI. UBS Group AG lifted its stake in shares of RLI by 8.7% during the fourth quarter. UBS Group AG now owns 607,176 shares of the insurance provider’s stock valued at $38,847,000 after acquiring an additional 48,563 shares during the period. Wasatch Advisors LP increased its position in RLI by 33.1% in the first quarter. Wasatch Advisors LP now owns 2,579,955 shares of the insurance provider’s stock worth $147,161,000 after purchasing an additional 641,769 shares during the period. Hingham Institution for Savings bought a new stake in RLI during the 4th quarter worth about $1,919,000. Chase Investment Counsel Corp bought a new stake in RLI during the 4th quarter worth about $1,535,000. Finally, Vanguard Group Inc. lifted its position in RLI by 3.4% during the 4th quarter. Vanguard Group Inc. now owns 9,448,929 shares of the insurance provider’s stock valued at $604,542,000 after purchasing an additional 310,857 shares during the period. Institutional investors own 77.89% of the company’s stock.

Wall Street Analyst Weigh In Several equities analysts recently weighed in on the stock. Weiss Ratings upgraded shares of RLI from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, July 29th. Wall Street Zen raised shares of RLI from a “sell” rating to a “hold” rating in a report on Saturday, August 1st. UBS Group set a $74.00 target price on shares of RLI in a research report on Tuesday, July 28th. Wells Fargo & Company cut RLI from an “equal weight” rating to an “underweight” rating and set a $57.00 price objective for the company. in a research note on Wednesday, July 29th. Finally, Keefe, Bruyette & Woods reiterated an “outperform” rating and issued a $74.00 price objective (up from $70.00) on shares of RLI in a report on Tuesday, July 28th. One analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, RLI has an average rating of “Hold” and a consensus target price of $63.00.

Get Our Latest Research Report on RLI RLI Trading Up 1.9% RLI stock opened at $66.64 on Tuesday. RLI Corp. has a 1-year low of $47.26 and a 1-year high of $68.69. The firm has a market cap of $6.12 billion, a PE ratio of 14.00 and a beta of 0.38. The business’s 50-day moving average price is $60.78 and its two-hundred day moving average price is $58.07.

RLI (NYSE:RLI – Get Free Report) last announced its quarterly earnings results on Wednesday, July 22nd. The insurance provider reported $0.83 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.72 by $0.11. RLI had a return on equity of 17.61% and a net margin of 22.22%.The company had revenue of $575.57 million during the quarter, compared to the consensus estimate of $568.70 million. During the same period in the prior year, the company earned $0.82 earnings per share. The company’s revenue for the quarter was up 15.2% compared to the same quarter last year. On average, analysts forecast that RLI Corp. will post 2.88 earnings per share for the current year.

RLI Dividend Announcement The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Shareholders of record on Monday, August 31st will be issued a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a yield of 1.1%. The ex-dividend date is Monday, August 31st. RLI’s dividend payout ratio (DPR) is 15.13%.

Insider Activity at RLI In related news, CEO Craig W. Kliethermes purchased 2,000 shares of the business’s stock in a transaction on Wednesday, May 27th. The shares were purchased at an average price of $52.00 per share, with a total value of $104,000.00. Following the completion of the purchase, the chief executive officer owned 150,990 shares in the company, valued at $7,851,480. This represents a 1.34% increase in their position. The acquisition was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director David B. Duclos purchased 2,500 shares of RLI stock in a transaction dated Thursday, May 28th. The stock was bought at an average price of $51.99 per share, with a total value of $129,975.00. Following the acquisition, the director directly owned 9,780 shares of the company’s stock, valued at approximately $508,462.20. This trade represents a 34.34% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Over the last 90 days, insiders have bought 9,500 shares of company stock valued at $492,115. Corporate insiders own 2.39% of the company’s stock.

RLI Company Profile (Free Report)

RLI Corporation (NYSE:RLI) is a specialty property and casualty insurance company focused on underwriting niche risks for businesses and individuals. Headquartered in Peoria, Illinois, the company operates through a network of independent agents and brokers, offering customized coverage solutions. RLI’s approach emphasizes disciplined underwriting, targeted product development and strong customer service to maintain profitability and long-term growth.

Founded in 1965 as Replacement Lens, Inc, RLI initially provided insurance for contact lens manufacturers before shifting its focus to specialty insurance in the 1980s.

See Also Five stocks we like better than RLI Visa Just Put Hims & Hers in the Penalty Box—Here’s Why It Matters Treasury Yields Are Surging Again: 3 Stocks That Could Feel the Pain Snowflake Could Be Headed for New Highs Despite Insider Selling MongoDB Is Surging—And the Next Catalyst Is Almost Here Want to see what other hedge funds are holding RLI? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for RLI Corp. (NYSE:RLI – Free Report).

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Okta and CrowdStrike both crushed earnings, but one stock is surging nearly twice as hard as the other despite posting slower growth and a troubling dip in a key bookings metric.

Cybersecurity stocks are outrunning the broad market Thursday after twin fiscal Q2 2027 earnings beats from Okta and CrowdStrike reported Wednesday after the close. The First Trust NASDAQ Cybersecurity ETF (NASDAQ:CIBR) is up 3% to $96.20 in early Thursday trading. The SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is up 0.3% to $768.17, a fraction of the sector’s move.

Okta (NASDAQ:OKTA | OKTA Price Prediction) stock is surging 22% to $163.98 after fiscal Q2 2027 results reframed the identity leader as the security layer for AI agents. Meanwhile, CrowdStrike Holdings (NASDAQ:CRWD) stock is climbing 13% to $213.70 following its own beat-and-raise report. Okta stock was up 55% year to date through Wednesday’s close, and CrowdStrike stock was up 61% over the same period.

Peers Palo Alto Networks (NASDAQ:PANW) and Fortinet (NASDAQ:FTNT) are riding the read-through as the platform trade in cybersecurity gets fresh validation. Palo Alto Networks stock is up 5% to $356.17, and Fortinet stock is up 1% to $159.51. Both names sit among CIBR’s largest disclosed cybersecurity-focused positions alongside CrowdStrike.

Twin Beat and Raise Reports Drive the Rally Okta reported revenue of $805 million, up 11% year over year, and adjusted EPS of $1.05 topped consensus. CEO Todd McKinnon stated, “As AI agents transform every layer of technology, every agent needs a trusted identity and clear controls over what it can access and do.”

CrowdStrike posted revenue of $1.47 billion, up 26% year over year, with adjusted EPS of $0.31 clearing estimates. CrowdStrike raised its full-year net new ARR growth outlook by 630 basis points, and CEO George Kurtz declared, “Q2 was the best quarter in CrowdStrike’s history. Delivering record Falcon Flex results, record net new ARR, and accelerating growth, the Falcon is soaring.”

Why Okta Is Moving Twice as Hard CrowdStrike posted the faster growth and larger guidance raise, yet Okta stock is climbing nearly twice as much Thursday morning. Okta had lagged the group heading into the report, slipping 2% over the trailing month through Wednesday’s close, while CrowdStrike stock had gained 5% over that same stretch. That setup created a sharper snapback when the identity thesis received fresh AI-agent fuel.

The re-rating reflects growing appreciation for the agentic identity category McKinnon has been building. Speaking with CNBC, McKinnon added, “Network is the biggest cyber category now, but if you look out five or 10 years, with millions of agents running around, it’s definitely going to be identity.” Okta also closed its purchase of threat detection startup Permiso Security in a deal worth around $200 million.

CrowdStrike was already priced for excellence entering the report, carrying a market cap near $188.7 billion versus Okta’s $22.9 billion. Wall Street’s average price target sits at $210.53 for CrowdStrike and $146.34 for Okta, meaning both stocks are pushing past those consensus levels Thursday morning. That valuation gap helps explain why the same beat-and-raise pattern is producing very different reactions.

The blemish worth naming: Okta’s billings came in at $681.2 million, down 5.4% year over year, a gap between headline strength and underlying bookings that will draw questions on the call. Okta’s raised full-year revenue range still implies growth in the low double digits, well under CrowdStrike’s revenue pace and net new ARR trajectory.

What to Watch Investors can watch for whether Okta stock holds Thursday’s rally into next week, as the billings soft spot will bump up against the AI-agent narrative in follow-up analyst notes. Traders could look for signs that the read-through extends to Palo Alto Networks and Fortinet as the cybersecurity platform trade absorbs the twin reports.

CrowdStrike generated free cash flow of $377.4 million in the quarter, and Okta produced $227 million in free cash flow versus $162 million a year earlier. Both companies are pairing accelerating fundamentals with expanding cash generation, which keeps the cybersecurity platform trade a favored destination for growth capital.

The cybersecurity ETF was up 31% year to date through Wednesday’s close, well ahead of the SPDR S&P 500 ETF’s 12% year-to-date gain. Investors should size their positions with that stretch in mind, since much of the beat-and-raise setup is now reflected in prices. Even the bulls may want to leave room for guidance revisions and follow-on analyst commentary to drive the next leg.

Contact [email protected] for any questions or corrections.

It has been about a month since the last earnings report for Evercore (EVR - Free Report) . Shares have lost about 6.6% in that time frame, underperforming the S&P 500.

But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Evercore due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for Evercore Inc before we dive into how investors and analysts have reacted as of late.

Evercore Q2 Earnings Miss Estimates, Revenues Rise on Deal ActivityEvercore reported second-quarter 2026 adjusted earnings per share of $2.91, missing the Zacks Consensus Estimate of $3.02. However, the bottom line compared favorably with the prior-year quarter’s $2.42.

Results were pressured by higher expenses. However, growth in revenues from the Investment Banking & Equities and Investment Management segments helped offset some of the impact. Additionally, the increase in assets under management provided further support to the overall performance.

The results include certain non-recurring items. After considering this, net income attributable to common shareholders (GAAP basis) was $95.3 million, down from $97.2 million in the year-ago quarter.

Revenues & Expenses RiseIn the second quarter of 2026, the company reported record net revenues (adjusted) of $999.5 million, beating the Zacks Consensus Estimate of $993.5 million by 0.6%. The top line increased 19.2% from $838.9 million in the year-ago quarter.

Total expenses increased 23.4% year over year to $843.6 million. The rise reflected increases in employee compensation and benefits, and non-compensation costs, along with special charges related to an estimated loss provision for non-U.S. employment taxes for prior periods.

The adjusted compensation ratio was 63.5%, down from 65.4% in the prior-year quarter.

The adjusted operating margin was 19%, up from 18.7% in the prior-year quarter.

Quarterly Segment Performance (GAAP Basis)Investment Banking & Equities: Net revenues increased 19.1% year over year to $966.9 million. This rise was primarily due to increases in advisory fees, underwriting fees, and commissions and related revenues. However, operating income declined 2.4% to $142.5 million from $146 million in the year-ago quarter.

Investment Management: Net revenues were $23.3 million, up 7.7% from the prior-year quarter. Operating income was $4.1 million, down 7.6% year over year. AUM was $16.2 billion as of June 30, 2026, growing 12% year over year.

Balance Sheet Position StrongAs of June 30, 2026, cash and cash equivalents were $1.3 billion, and investment securities and certificates of deposit were $1.1 billion. Current assets exceeded current liabilities by $1.9 billion as of the same date. Amounts due related to the notes payable were $540 million as of June 30, 2026.

Capital Distribution ActivitiesIn the reported quarter, Evercore repurchased an aggregate of 0.3 million shares at an average price of $339.79 per share.

How Have Estimates Been Moving Since Then?It turns out, fresh estimates have trended downward during the past month.

VGM ScoresCurrently, Evercore has a great Growth Score of A, though it is lagging a bit on the Momentum Score front with a B. Following the exact same course, the stock was allocated a score of B on the value side, putting it in the second quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.

OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Interestingly, Evercore has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry PlayerEvercore belongs to the Zacks Financial - Investment Bank industry. Another stock from the same industry, Raymond James Financial, Inc. (RJF - Free Report) , has gained 0.7% over the past month. More than a month has passed since the company reported results for the quarter ended June 2026.

Raymond James Financial reported revenues of $3.93 billion in the last reported quarter, representing a year-over-year change of +15.6%. EPS of $3.14 for the same period compares with $2.18 a year ago.

For the current quarter, Raymond James Financial is expected to post earnings of $3.38 per share, indicating a change of +8.7% from the year-ago quarter. The Zacks Consensus Estimate has changed +0.3% over the last 30 days.

Raymond James Financial has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of D.

SK Hynix just published a technology roadmap that redraws where optics belong inside an AI system, and one company supplies nearly every component required to build it.

The investment case for Coherent Corp. (NYSE: COHR) | COHR Price Prediction has largely centered on one increasingly important problem: artificial intelligence processors are producing data faster than conventional electrical connections can move it. That imbalance has driven rapid demand for Coherent’s 800-gigabit and 1.6-terabit optical transceivers, indium phosphide lasers, optical circuit switches, and silicon-photonics components.

A new technology roadmap from SK hynix Inc. (NASDAQ: SKHY) suggests that Coherent’s opportunity could become substantially broader.

On August 20, SK hynix announced that it had collaborated with researchers from several leading universities on a co-packaged-optics roadmap published in Nature Electronics. The paper describes an AI architecture in which optical links move beyond communications between conventional network switches and directly connect separate pools of processors and memory.

That distinction is the investment hook. Coherent is already benefiting as data centers replace copper connections with optical transceivers. Nvidia has also moved CPO into production for networking switches. SK hynix is now describing an additional stage in which photonics becomes part of the architecture connecting processors with memory resources.

If the industry follows this direction, optics will not remain confined to the edges of AI servers and switches. It will move progressively closer to the most valuable components in the system: accelerators and high-bandwidth memory.

Coherent is positioned across nearly every critical portion of that transition. The company supplies high-power indium phosphide lasers, external laser-source modules, silicon-photonics components, microlens arrays, fiber-attach units, polarization-maintaining fiber, optical circuit switches, and complete optical transceivers. It has demonstrated a 6.4-terabit silicon-photonics CPO system and has secured very-high-volume, multiyear orders from a leading AI data center customer.

The market has already recognized Coherent as an AI optical-transceiver company. SK hynix’s roadmap creates a more expansive possibility: Coherent could become an enabling supplier for the optical fabric connecting processors, switches, and memory throughout the AI system.

SK Hynix Is Looking Beyond HBM SK hynix became one of the largest financial beneficiaries of the AI boom by solving the first major memory bottleneck. Its high-bandwidth memory places vertically stacked DRAM close to the processor and connects it through an extremely wide interface, allowing substantially more data to reach the accelerator than conventional server memory can provide.

That position has generated extraordinary cash flow. On August 19, SK hynix announced a KRW40 trillion, or approximately $28.7 billion, share-repurchase program. The company will buy and cancel 24.07 million common shares, representing approximately 3.3% of its issued shares.

The cancellation is important because those shares will be permanently removed rather than held in treasury for possible reissuance. SK hynix also committed to returning more than 50% of cumulative free cash flow generated during its 2025–2027 shareholder-return period through repurchases, cancellations, and dividends.

One day after announcing the buyback, however, SK hynix focused attention on what comes after HBM.

The company’s CPO technology roadmap argues that the AI industry is moving from chip-level competition toward system-level competition. HBM increased bandwidth between memory and an accelerator, but increasingly large AI systems must also move data between thousands of accelerators, multiple memory resources, storage systems, and network switches.

Electrical signals encounter greater power consumption, heat generation, and signal-integrity problems as speeds and distances increase. The industry can continue improving copper connections, but the physical limitations become progressively more difficult and expensive to overcome.

Optical connections carry more data over longer distances while consuming less energy per bit. CPO moves the optical conversion closer to the processor or switching silicon, minimizing the distance traveled electrically.

SK hynix’s proposed architecture goes further than the CPO switches attracting most current investment attention. It describes a photonic interposer that directly connects computing resources in an XPU pool with memory resources in a separate memory pool.

This would allow processors to access larger and more flexible quantities of memory rather than depending entirely upon the HBM physically attached to each accelerator. The architecture remains a roadmap rather than a commercial product, but its direction is important. The world’s leading HBM supplier believes future memory systems will increasingly require optical as well as electrical connectivity.

Why This Matters More Than Another CPO Announcement Investors have been hearing about CPO for several years, creating understandable skepticism about whether every new roadmap represents a meaningful commercial development. In this case, two factors make the announcement more important.

First, CPO has entered production.

In May, Nvidia Corp. (NASDAQ: NVDA) announced that its Spectrum-X Ethernet Photonics switches were in production as part of the Vera Rubin infrastructure ramp. The platform uses CPO and 200-gigabit-per-second serializer/deserializer technology to support networks connecting extremely large numbers of AI accelerators.

Nvidia says Spectrum-X Ethernet Photonics provides five times better power efficiency, five times longer AI-system uptime, and 1.3 times faster deployment than networks based on traditional transceivers. CoreWeave, Lambda, and Oracle Cloud Infrastructure are among the first identified adopters.

The production announcement moved CPO beyond a laboratory demonstration or conference prototype. Data center customers can now begin deploying the technology within commercial AI infrastructure.

Second, SK hynix is not an optical-component manufacturer attempting to create demand for its own products. It is the leading supplier of the HBM used with Nvidia accelerators. Its decision to publish a roadmap for processor-to-memory optical architecture provides independent confirmation that data movement is becoming a system-level constraint.

Nvidia validates the near-term CPO market in network switches. SK hynix expands the long-term opportunity toward memory and compute.

Coherent participates in both.

Coherent Has More Than a Laser Position The immediate temptation is to frame CPO primarily as an external-laser opportunity. That interpretation is incomplete for Coherent because the company supplies a considerably broader collection of components.

A CPO system must generate light, deliver it to the optical engine, modulate it with data, align it precisely, and transfer it into optical fiber. Each function requires specialized active and passive components.

High-power continuous-wave indium phosphide lasers provide the light. External laser-source modules move those lasers away from the hot switch package, improving thermal stability, reliability, and serviceability. Silicon-photonics integrated circuits modulate the light with data. Microlens arrays and fiber-attach units align the optical signal with the fiber, where extremely small deviations can increase loss and impair performance.

Coherent participates at each of these levels.

The company produces high-power indium phosphide continuous-wave lasers at its Sherman, Texas, facility. It integrates lasers with isolators and thermoelectric cooling into external laser-source modules. It designs silicon-photonics products and manufactures microlenses, polarization-maintaining fiber, prisms, and fiber-attach assemblies.

Coherent’s vertical participation does not guarantee that it will supply every component in a production platform. Nvidia and other customers will maintain multiple suppliers to reduce risk and preserve negotiating leverage. However, Coherent’s breadth gives it several opportunities to win content within the same system.

It also allows Coherent to optimize components as a coordinated optical platform instead of developing each product independently. That can become increasingly important as CPO architectures require tighter alignment, lower optical loss, higher laser power, and greater reliability.

According to Table 1, the optical transition is developing across several increasingly demanding stages. Coherent already generates substantial revenue from pluggable transceivers, is positioned in commercial CPO switching platforms, and could eventually address processor-to-memory optical architectures of the type proposed by SK hynix.

The progression matters because each stage increases the amount of optical content required to support an AI system. Pluggable optics connect discrete pieces of equipment. Switch CPO moves photonics onto the switching package. Processor-to-memory photonics could embed optical communication more deeply within the compute architecture.

That is why Coherent describes CPO as an expansion of its serviceable available market rather than merely a replacement for existing transceivers.

A Potential $15 Billion Market At its March 2026 Optical Fiber Communication investor presentation, Coherent estimated that the CPO serviceable available market could exceed $15 billion by 2030.

That forecast is a company estimate rather than an independent guarantee, but it illustrates the scale of the opportunity management believes is developing. More importantly, the estimate was based principally on CPO and near-packaged-optics adoption in switches and processors. SK hynix’s proposed memory-pooling architecture could increase the ultimate market by adding more optical interfaces around memory.

The addressable market should not be interpreted as revenue Coherent will automatically capture. The supply chain includes Lumentum Holdings Inc. (NASDAQ: LITE) in high-power lasers and external laser sources, Corning Inc. (NYSE: GLW) in optical fiber and connectivity, TSMC in silicon-photonics manufacturing and advanced packaging, and numerous companies supplying connectors, fiber assemblies, and optical engines.

Coherent’s advantage is not that it operates without competitors. It is that it competes across more individual CPO components than most publicly traded alternatives.

Lumentum may possess particularly strong exposure to the high-power external-laser bottleneck. Corning supplies essential fiber, alignment grooves, and connectivity products. Coherent combines laser and passive-optical technologies with transceivers, silicon photonics, fiber attachment, and advanced manufacturing.

That breadth gives Coherent several potential revenue paths as customers determine which CPO architectures reach volume production.

The Commercial Evidence Is Already Building Coherent is not relying solely upon SK hynix’s future roadmap.

The company disclosed at OFC 2026 that it had secured very-high-volume, multiyear orders from a market-leading AI data center customer for CPO solutions. The products include high-power continuous-wave lasers and external laser sources manufactured using Coherent’s expanding 6-inch indium phosphide platform.

Coherent has also demonstrated a socketed 6.4-terabit silicon-photonics CPO platform. The demonstration combined an external laser source, an internally produced indium phosphide continuous-wave laser, an isolator, thermoelectric cooling, polarization-maintaining fiber, microlenses, and fiber-attach technology.

The importance is not simply the 6.4-terabit data rate. The demonstration showed that Coherent can integrate active and passive technologies drawn from multiple portions of its portfolio into a working CPO architecture.

The company’s Sherman facility is ramping high-power continuous-wave lasers on 6-inch indium phosphide wafers. Moving from 3-inch to 6-inch wafers increases the available manufacturing area by approximately four times, allowing more devices to be fabricated during each process cycle. Coherent has reported that yields on its 6-inch platform have exceeded those of its older 3-inch lines.

This manufacturing transition is essential because the CPO opportunity cannot be monetized through technical demonstrations alone. Coherent must produce large quantities of high-power lasers with consistent performance, reliability, and acceptable cost.

Nvidia’s March agreement provided additional validation. The company invested $2 billion in Coherent as part of a multiyear, nonexclusive strategic partnership covering advanced optical technology, manufacturing expansion, research and development, and future capacity access. The agreement also includes a multibillion-dollar purchase commitment.

Nvidia made a parallel investment in Lumentum, confirming that it intends to maintain multiple laser suppliers. But its willingness to invest directly in Coherent demonstrates that the company’s manufacturing capacity and technology have become strategically important to Nvidia’s AI roadmap.

Coherent’s Current Revenue Acceleration CPO offers substantial future upside, but investors do not need to wait for processor-to-memory photonics to justify Coherent’s current AI position. Its established optical business is already converting higher AI infrastructure spending into revenue growth and margin expansion.

During Coherent’s fiscal fourth quarter, Data Center and Communications revenue increased 59% year over year and 19% sequentially to $1.62 billion. The segment reached 79% of total company revenue, compared with a much smaller contribution from the Industrial business.

Total quarterly revenue increased 34% year over year to $2.05 billion, or 42% on a pro forma basis excluding divested operations. Non-GAAP gross margin expanded by 215 basis points to 40.2%, while adjusted earnings increased to $1.74 per share from $1.00 one year earlier.

For fiscal 2026, Data Center and Communications revenue increased approximately 40% to $5.27 billion. Coherent’s full-year revenue reached $7.12 billion, increasing 23% on a reported basis and approximately 28% on a pro forma basis.

Management guided fiscal first-quarter 2027 revenue to between $2.2 billion and $2.4 billion, with non-GAAP earnings of $1.85 to $2.05 per share. The midpoint of the revenue range would represent another sequential increase of approximately 12%.

The current growth is being driven primarily by conventional optical products rather than the longer-term CPO opportunity. Coherent is shipping 800G transceivers while rapidly ramping 1.6T products across multiple customers. The higher-speed products carry higher initial average selling prices and can improve product mix as manufacturing yields rise.

This provides an important balance to the investment case. Coherent does not require immediate mass adoption of SK hynix’s photonic-memory architecture. Its current optical business is already growing quickly, while CPO and processor-to-memory connectivity add longer-term optionality.

From SiC Tailwinds to AI Optical Growth The longer-term revenue record shows how completely Coherent’s growth engine has changed. The fiscal 2022 baseline is important because the Materials operation initially expanded strongly in fiscal 2023 before weaker consumer electronics and the EV-driven SiC retrenchment reduced revenue.

According to Table 2, Networking revenue increased 55.6% from fiscal 2022 through fiscal 2025, while Materials declined 14.7% and legacy Coherent Lasers declined 5.6%. The smaller decline in Lasers should not be interpreted as evidence that the acquired business produced a superior return. II-VI paid approximately $7.1 billion for legacy Coherent and assumed substantial debt and integration costs for a business that subsequently generated little revenue growth.

Note: The fiscal 2022 Lasers figure represents legacy Coherent’s trailing-12-month pro forma revenue. Networking and Materials reflect II-VI’s recast segment results.

The Materials decline does not invalidate the SiC investment thesis that existed in 2023. Materials initially increased 20.6%, from $1.119 billion in fiscal 2022 to $1.350 billion in fiscal 2023, consistent with Coherent’s disclosure that SiC revenue had grown more than 40%.

Most of the fiscal 2024 Materials contraction resulted from a significant consumer-electronics customer’s design change. The later weakness reflected slowing automotive and SiC demand as the U.S. EV market retrenched. That reversal was becoming identifiable in early 2024 before it became fully visible in Coherent’s annual results.

Materials also retained considerable economic value. Fiscal 2025 Materials revenue declined 6%, but segment profit increased 19% to $355 million because of better product mix, improved pricing, and lower manufacturing costs.

Networking produced a fundamentally different result. Revenue increased from $2.198 billion in fiscal 2022 to $3.421 billion in fiscal 2025, before Data Center and Communications accelerated further in fiscal 2026.

Optical networking became the growth platform that SiC appeared capable of becoming before the EV downturn. The difference is that optical demand is now being supported simultaneously by Nvidia’s product roadmap, hyperscaler capital spending, the transition from 800G to 1.6T transceivers, CPO commercialization, and the potential movement of photonics toward processors and memory.

The historical numbers therefore add an important dimension to the SK hynix announcement. Coherent is not attempting to build an optical business around an unproven technology roadmap. It is extending the strongest-performing part of its existing portfolio into another layer of AI infrastructure.

Why the Market Could Still Be Underestimating Coherent Coherent’s share price already reflects substantial enthusiasm for AI optical networking. The stock cannot be characterized as an undiscovered or conventionally inexpensive company based on trailing GAAP earnings.

The possible mispricing lies elsewhere. Investors may be valuing Coherent primarily as a supplier of faster generations of pluggable optical transceivers. That captures the existing 800G-to-1.6T transition but does not necessarily capture the full expansion of optical content inside future AI systems.

If CPO merely replaces pluggable transceivers one-for-one, the investment opportunity would be less compelling because revenue would migrate between product categories rather than create a substantially larger market.

Coherent’s argument is that CPO expands the market because optics begins replacing copper in additional connections. The optical content moves from the front panel of a switch closer to the switching ASIC, then toward processors, and potentially toward pools of memory.

SK hynix’s roadmap supports that argument. It does not present CPO as a different packaging format for the same network connection. It presents optical communication as part of a restructured computing and memory architecture.

That is a significantly larger vision—and one in which Coherent’s broad component portfolio becomes more valuable.

Risks Remain Substantial The principal risk is adoption timing. SK hynix’s photonic-interposer architecture remains a technology roadmap, not a product with a disclosed manufacturing date or customer commitment. Processor-to-memory optical links will require new standards, packaging techniques, memory controllers, software, and system architectures.

CPO also creates reliability and serviceability challenges. Integrating optical engines close to a hot switch ASIC can complicate manufacturing and repair. External laser sources solve part of the problem by keeping replaceable lasers away from the hottest silicon, but fiber coupling and optical alignment must remain stable under demanding operating conditions.

Customer concentration presents another concern. AI optical demand is driven by a relatively small number of hyperscalers and accelerator-platform companies. Large customers can change architectures, qualify competing suppliers, or alter deployment schedules. Nvidia’s agreement is nonexclusive, and Coherent must continue competing with Lumentum and other suppliers for content.

Coherent is also investing heavily to expand capacity. Capital expenditures reached approximately $1.10 billion during fiscal 2026, while rapid growth increased working-capital requirements. Converting orders into profitable revenue will depend upon manufacturing yields, utilization, and execution across multiple facilities.

Finally, strong demand does not eliminate valuation risk. Investors have already rewarded optical companies for anticipated AI growth. Any delay in 1.6T deployments, CPO production, or hyperscaler capital spending could produce substantial share-price volatility.

These risks argue against treating the SK hynix announcement as an immediate earnings event. Its importance is strategic: it increases the number of AI connections that could eventually become optical.

Investor Takeaway SK hynix’s announcement is not simply another endorsement of CPO. It expands the technological objective.

Nvidia has already moved co-packaged optics into production for Ethernet switches. SK hynix is now proposing an architecture in which optical links connect processors directly with pooled memory resources. The combination suggests that photonics is progressing from data center networking toward the internal architecture of AI computing systems.

Coherent is unusually well positioned for that progression because it does not depend upon a single optical component. The company supplies indium phosphide lasers, external laser sources, silicon photonics, microlenses, optical circuit switches, polarization-maintaining fiber, and fiber-attach assemblies. It has demonstrated an integrated 6.4T CPO platform and has secured very-high-volume, multiyear orders from a leading AI data center customer.

The revenue record supports the thesis. Networking increased 55.6% between fiscal 2022 and fiscal 2025, while the company’s Data Center and Communications segment grew another 59% year over year during the latest quarter. Total quarterly revenue reached $2.05 billion, and management expects as much as $2.4 billion in the current quarter. Nvidia’s $2 billion investment provides additional validation and supports the capacity expansion required to meet future demand.

The SK hynix roadmap adds something not fully reflected in those current results. If optical connectivity moves from switches toward processors and memory, Coherent’s addressable market increases without requiring the company to abandon its existing transceiver business. Pluggable optics, optical circuit switching, CPO, and processor-to-memory photonics can coexist as separate layers of the same AI infrastructure.

Coherent estimates that CPO alone could become a market exceeding $15 billion by 2030. SK hynix’s entry into the discussion suggests that even this estimate may not capture the full long-term opportunity if memory architectures become increasingly optical.

Coherent is already helping AI systems move data between servers and switches. SK hynix has now provided a roadmap for moving optics directly toward compute and memory. That development makes Coherent more than a beneficiary of the current transceiver cycle. It positions the company for a broader architectural change in how future AI systems are connected.

Contact [email protected] for any questions or corrections.

Key Takeaways Coherent's fiscal Q4 revenues rose 34% to $2.05B, led by 59% growth in Datacenter & Communications.Datacenter & Communications supplied nearly 79% of revenue, while adjusted operating margin rose to 21.8%.COHR sees fiscal Q1 2027 revenues of $2.2-$2.4B, while Industrial sales fell 16% year over year. Coherent Corp.’s (COHR - Free Report) quarterly revenues climbed to $2.05 billion in the fourth quarter of fiscal 2026, up 34% year over year and 13% sequentially. The standout was Datacenter & Communications, where sales reached $1.62 billion, increasing 59% from the prior-year quarter and 19% from the fiscal third quarter. The business supplied nearly 79% of total revenues, underscoring how rapidly AI infrastructure demand is reshaping Coherent’s portfolio.

That momentum is also lifting profitability. GAAP gross margin expanded 277 basis points year over year to 38.5%, while adjusted operating margin improved 381 basis points to 21.8%. Management expects first-quarter fiscal 2027 revenues of $2.2-$2.4 billion and adjusted earnings of $1.85-$2.05 per share. The outlook suggests optical-connectivity demand and capacity additions can extend the growth run. However, Industrial revenues fell 16% year over year to $431 million, leaving results increasingly dependent on datacenter spending, production ramps and customer execution.

Two Optical Peers to WatchAmong optical peers, Lumentum Holdings (LITE - Free Report) and Applied Optoelectronics (AAOI - Free Report) provide useful benchmarks. Lumentum Holdings generated fiscal fourth-quarter revenues of $1.01 billion, more than doubling year over year, and guided to further sequential growth. Applied Optoelectronics posted second-quarter revenues of $191.9 million, up 86%, as its 800G ramp strengthened.

Lumentum Holdings offers broader scale and stronger margins, whereas Applied Optoelectronics brings faster expansion from a smaller base. Coherent’s greater revenue scale is an advantage, but the progress of both rivals shows that competition for AI-optics demand remains intense. Sustaining leadership will require converting demand into consistent margins and cash.

COHR’s Price Performance & EstimatesThe stock has gained 226.5% over the past year against the industry’s 9% fall.

                                                         Image Source: Zacks Investment Research

From a valuation standpoint, COHR trades at a forward price-to-earnings ratio of 31.55X, well above the industry’s 21.17X. It carries a Value Score of D.

                                                                Image Source: Zacks Investment Research

The Zacks Consensus Estimate for COHR’s fiscal 2027 earnings increased over the past 60 days.

COHR currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.      

A month has gone by since the last earnings report for MGIC Investment (MTG - Free Report) . Shares have added about 2.1% in that time frame, underperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is MGIC due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.

MGIC Q2 Earnings Beat Estimates, Revenues Miss on Lower Premiums

MGIC Investment Corporation reported second-quarter 2026 operating net income per share of 87 cents, which beat the Zacks Consensus Estimate by 17.6%. The bottom line also improved 6.1% year over year. Total operating revenues declined 2.6% year over year to $298 million, due to lower net premiums earned and net investment income. The top line missed the Zacks Consensus Estimate by 0.3%. The quarterly results reflected strong underwriting performance and lower losses incurred, partially offset by lower premiums and investment income.

MTG's Operational UpdateInsurance in force increased 2.6% year over year to $304.8 billion, exceeding the Zacks Consensus Estimate of $297.5 billion and our estimate of $297.5 billion. Meanwhile, primary delinquency increased 7% to 26,152 loans year-over year during the reported quarter. Net premiums earned declined 2.6% year over year to $238.1 million, missing our estimate of $239 million. Meanwhile, net investment income decreased 2.5% year over year to $59.5 million. The figure was in line with our estimate of $59.3 million but below the Zacks Consensus Estimate of $60.7 million.

Persistency, the percentage of insurance remaining in force, was 83.3% as of June 30, 2026, down 140 basis points from the year-ago quarter’s level. Meanwhile, new insurance written increased 8.5% year over year to $17.8 billion.

Underwriting and other expenses, net, declined 12.5% year over year to $45.6 million. However, underwriting performance improved significantly, with the loss ratio declining to 4.6% from 14.1% in the prior quarter. Total losses and expenses increased 12.6% year over year to $65.5 million, attributable to a sharp rise in losses incurred, net.

MTG‘s Financial UpdateBook value per share, a measure of net worth, increased 9.8% year over year to $24.27 as of June 30, 2026. Shareholder equity was $5 billion as of June 30, 2026, down 2.6% from the 2025-end level. MGIC Investment's PMIERs Available Assets totaled $5.6 billion, or $2.7 billion above its Minimum Required Assets as of June 30, 2026. Total assets were $6.5 billion as of June 30, 2026, down 1.7% from the 2025-end level. Senior notes totaled $646.9 million as of June 30, 2026, reflecting a 0.1% increase from the 2025-end level.

MTG’s Capital DeploymentThe company repurchased 6.6 million shares of common stock for $176.6 million. Mortgage Guaranty Insurance Corporation (MGIC), the insurance subsidiary, paid a $400 million dividend to MGIC Investment Corporation, the holding company. MTG  bought back shares worth $42.4 million in July 2026. The board approved a dividend of 17 cents per common share payable on Aug. 20 to shareholders of record on Aug. 5, 2026. Concurrently, the board of directors also approved a share repurchase program, authorizing MTG to repurchase an additional $750 million of common stock through Dec. 31, 2028.

How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a flat trend in estimates review.

VGM ScoresCurrently, MGIC has a poor Growth Score of F, a grade with the same score on the momentum front. However, the stock has a grade of B on the value side, putting it in the second quintile for value investors.

Overall, the stock has an aggregate VGM Score of F. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook MGIC has a Zacks Rank #1 (Strong Buy). We expect an above average return from the stock in the next few months.

, /PRNewswire/ -- This press release provides shareholders of Cohen & Steers REIT and Preferred and Income Fund, Inc. (NYSE: RNP) (the "Fund") with information regarding the sources of the distribution to be paid on August 31, 2026 and cumulative distributions paid fiscal year-to-date.

In December 2017, the Fund implemented a managed distribution policy in accordance with exemptive relief issued by the Securities and Exchange Commission. The managed distribution policy seeks to deliver the Fund's long-term total return potential through regular monthly distributions declared at a fixed rate per common share. The policy gives the Fund greater flexibility to realize long-term capital gains throughout the year and to distribute those gains on a regular monthly basis to shareholders. The Board of Directors of the Fund may amend, terminate or suspend the managed distribution policy at any time, which could have an adverse effect on the market price of the Fund's shares. 

The Fund's monthly distributions may include long-term capital gains, short-term capital gains, net investment income and/or return of capital for federal income tax purposes. Return of capital includes distributions paid by the Fund in excess of its net investment income and net realized capital gains and such excess is distributed from the Fund's assets. A return of capital is not taxable; rather, it reduces a shareholder's tax basis in his or her shares of the Fund. In addition, distributions from the Fund's investments in real estate investment trusts (REITs) may later be characterized as capital gains and/or a return of capital, depending on the character of the dividends reported to the Fund after year-end by REITs held by the Fund. The amount of monthly distributions may vary depending on a number of factors, including changes in portfolio and market conditions.

At the time of each monthly distribution, information will be posted to cohenandsteers.com and mailed to shareholders in a concurrent notice. However, this information may change at the end of the year because the final tax characteristics of the Fund's distributions cannot be determined with certainty until after the end of the calendar year. Final tax characteristics of all of the Fund's distributions will be provided on Form 1099-DIV, which is mailed after the close of the calendar year.

The following table sets forth the estimated amounts of the current distribution and the cumulative distributions paid this fiscal year-to-date from the sources indicated. All amounts are expressed per common share.

DISTRIBUTION ESTIMATES

August 2026

YEAR-TO-DATE (YTD)

August 31, 2026*

Source

Per Share
Amount

% of Current
Distribution

Per Share
Amount

% of 2026
Distributions

Net Investment Income

$0.0452

33.24 %

$0.5400

49.63 %

Net Realized Short-Term Capital Gains

$0.0000

0.00 %

$0.0000

0.00 %

Net Realized Long-Term Capital Gains

$0.0908

66.76 %

$0.5480

50.37 %

Return of Capital (or other Capital Source)

$0.0000

0.00 %

$0.0000

0.00 %

Total Current Distribution

$0.1360

100.00 %

$1.0880

100.00 %

You should not draw any conclusions about the Fund's investment performance from the amount of this distribution or from the terms of the Fund's managed distribution policy. The amounts and sources of distributions reported in this Notice are only estimates, are likely to change over time, and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for accounting and tax reporting purposes will depend upon the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The amounts and sources of distributions year-to-date may be subject to additional adjustments.

*THE FUND WILL SEND YOU A FORM 1099-DIV FOR THE CALENDAR YEAR THAT WILL TELL YOU HOW TO REPORT THESE DISTRIBUTIONS FOR FEDERAL INCOME TAX PURPOSES.

The Fund's Year-to-date Cumulative Total Return for fiscal year 2026 (January 1, 2026 through July 31, 2026) is set forth below. Shareholders should take note of the relationship between the Year-to-date Cumulative Total Return with the Fund's Cumulative Distribution Rate for 2026. In addition, the Fund's Average Annual Total Return for the five-year period ending July 31, 2026 is set forth below. Shareholders should note the relationship between the Average Annual Total Return with the Fund's Current Annualized Distribution Rate for 2026. The performance and distribution rate information disclosed in the table is based on the Fund's net asset value per share (NAV). The Fund's NAV is calculated as the total market value of all the securities and other assets held by the Fund minus the total liabilities, divided by the total number of shares outstanding. While NAV performance may be indicative of the Fund's investment performance, it does not measure the value of a shareholder's individual investment in the Fund. The value of a shareholder's investment in the Fund is determined by the Fund's market price, which is based on the supply and demand for the Fund's shares in the open market. 

Fund Performance and Distribution Rate Information:

Year-to-date January 1, 2026 to July 31, 2026

Year-to-date Cumulative Total Return1

12.29 %

Cumulative Distribution Rate2

4.92 %

Five-year period ending July 31, 2026

Average Annual Total Return3

4.21 %

Current Annualized Distribution Rate4

7.37 %

1.

Year-to-date Cumulative Total Return is the percentage change in the Fund's NAV over the year-to-date time period including distributions paid and assuming reinvestment of those distributions.

2.

Cumulative Distribution Rate for the Fund's current fiscal period (January 1, 2026 through August 31, 2026) measured on the dollar value of distributions in the year-to-date period as a percentage of the Fund's NAV as of July 31, 2026.

3.

Average Annual Total Return represents the compound average of the Annual NAV Total Returns of the Fund for the five-year period ending July 31, 2026. Annual NAV Total Return is the percentage change in the Fund's NAV over a year including distributions paid and assuming reinvestment of those distributions.

4.

The Current Annualized Distribution Rate is the current fiscal period's distribution rate annualized as a percentage of the Fund's NAV as of July 31, 2026.

Investors should consider the investment objectives, risks, charges and expense of the Fund carefully before investing. You can obtain the Fund's most recent periodic reports, when available, and other regulatory filings by contacting your financial advisor or visiting cohenandsteers.com. These reports and other filings can be found on the Securities and Exchange Commission's EDGAR Database. You should read these reports and other filings carefully before investing.

Shareholders should not use the information provided here in preparing their tax returns. Shareholders will receive a Form 1099-DIV for the calendar year indicating how to report Fund distributions for federal income tax purposes.

About Cohen & Steers. Cohen & Steers is a leading global investment manager specializing in real assets and alternative income, including listed and private real estate, preferred securities, infrastructure, resource equities, commodities, as well as multi-strategy solutions. Founded in 1986, the firm is headquartered in New York City, with offices in London, Dublin, Hong Kong, Tokyo and Singapore.

Forward-Looking Statements
This press release and other statements that Cohen & Steers may make may contain forward looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, which reflect the company's current views with respect to, among other things, its operations and financial performance. You can identify these forward-looking statements by the use of words such as "outlook," "believes," "expects," "potential," "continues," "may," "will," "should," "seeks," "approximately," "predicts," "intends," "plans," "estimates," "anticipates," or the negative versions of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties.

Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. The company undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. 

Website: https://www.cohenandsteers.com
Symbol: (NYSE: CNS)

SOURCE Cohen & Steers, Inc.

, /PRNewswire/ -- This press release provides shareholders of Cohen & Steers Closed-End Opportunity Fund, Inc. (NYSE: FOF) (the "Fund") with information regarding the sources of the distribution to be paid on August 31, 2026 and cumulative distributions paid fiscal year-to-date.

In December 2021, the Fund implemented a managed distribution policy in accordance with exemptive relief issued by the Securities and Exchange Commission. The managed distribution policy seeks to deliver the Fund's long-term total return potential through regular monthly distributions declared at a fixed rate per common share. The policy gives the Fund greater flexibility to realize long-term capital gains throughout the year and to distribute those gains on a regular monthly basis to shareholders. The Board of Directors of the Fund may amend, terminate or suspend the managed distribution policy at any time, which could have an adverse effect on the market price of the Fund's shares. 

The Fund's monthly distributions may include long-term capital gains, short-term capital gains, net investment income and/or return of capital for federal income tax purposes. Return of capital includes distributions paid by the Fund in excess of its net investment income and net realized capital gains and such excess is distributed from the Fund's assets. A return of capital is not taxable; rather, it reduces a shareholder's tax basis in his or her shares of the Fund. The amount of monthly distributions may vary depending on a number of factors, including changes in portfolio and market conditions.

At the time of each monthly distribution, information will be posted to cohenandsteers.com and mailed to shareholders in a concurrent notice. However, this information may change at the end of the year because the final tax characteristics of the Fund's distributions cannot be determined with certainty until after the end of the calendar year. Final tax characteristics of all of the Fund's distributions will be provided on Form 1099-DIV, which is mailed after the close of the calendar year.

The following table sets forth the estimated amounts of the current distribution and the cumulative distributions paid this fiscal year-to-date from the sources indicated. All amounts are expressed per common share.

DISTRIBUTION ESTIMATES

August 2026

YEAR-TO-DATE (YTD)

August 31, 2026*

Source

Per Share
Amount

% of Current
Distribution

Per Share
Amount

% of 2026
Distributions

Net Investment Income

$0.0342

39.31 %

$0.2481

35.65 %

Net Realized Short-Term Capital Gains

$0.0000

0.00 %

$0.0000

0.00 %

Net Realized Long-Term Capital Gains

$0.0528

60.69 %

$0.4479

64.35 %

Return of Capital (or other Capital Source)

$0.0000

0.00 %

$0.0000

0.00 %

Total Current Distribution

$0.0870

100.00 %

$0.6960

100.00 %

You should not draw any conclusions about the Fund's investment performance from the amount of this distribution or from the terms of the Fund's managed distribution policy.  The amounts and sources of distributions reported in this Notice are only estimates, are likely to change over time, and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for accounting and tax reporting purposes will depend upon the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The amounts and sources of distributions year-to-date may be subject to additional adjustments.

*THE FUND WILL SEND YOU A FORM 1099-DIV FOR THE CALENDAR YEAR THAT WILL TELL YOU HOW TO REPORT THESE DISTRIBUTIONS FOR FEDERAL INCOME TAX PURPOSES.

The Fund's Year-to-date Cumulative Total Return for fiscal year 2026 (January 1, 2026 through July 31, 2026) is set forth below. Shareholders should take note of the relationship between the Year-to-date Cumulative Total Return with the Fund's Cumulative Distribution Rate for 2026. In addition, the Fund's Average Annual Total Return for the five-year period ending July 31, 2026 is set forth below. Shareholders should note the relationship between the Average Annual Total Return with the Fund's Current Annualized Distribution Rate for 2026. The performance and distribution rate information disclosed in the table is based on the Fund's net asset value per share (NAV). The Fund's NAV is calculated as the total market value of all the securities and other assets held by the Fund minus the total liabilities, divided by the total number of shares outstanding. While NAV performance may be indicative of the Fund's investment performance, it does not measure the value of a shareholder's individual investment in the Fund. The value of a shareholder's investment in the Fund is determined by the Fund's market price, which is based on the supply and demand for the Fund's shares in the open market. 

Fund Performance and Distribution Rate Information:

Year-to-date January 1, 2026 to July 31, 2026                                                                 

Year-to-date Cumulative Total Return1

6.68 %

Cumulative Distribution Rate2

5.17 %

Five-year period ending July 31, 2026

Average Annual Total Return3

8.08 %

Current Annualized Distribution Rate4

7.75 %

1.

Year-to-date Cumulative Total Return is the percentage change in the Fund's NAV over the year-to-date time period including distributions paid and assuming reinvestment of those distributions.

2.

Cumulative Distribution Rate for the Fund's current fiscal period (January 1, 2026 through August 31, 2026) measured on the dollar value of distributions in the year-to-date period as a percentage of the Fund's NAV as of July 31, 2026.

3.

Average Annual Total Return represents the compound average of the Annual NAV Total Returns of the Fund for the five-year period ending July 31, 2026. Annual NAV Total Return is the percentage change in the Fund's NAV over a year including distributions paid and assuming reinvestment of those distributions.

4.

The Current Annualized Distribution Rate is the current fiscal period's distribution rate annualized as a percentage of the Fund's NAV as of July 31, 2026.

Investors should consider the investment objectives, risks, charges and expense of the Fund carefully before investing. You can obtain the Fund's most recent periodic reports, when available, and other regulatory filings by contacting your financial advisor or visiting cohenandsteers.com. These reports and other filings can be found on the Securities and Exchange Commission's EDGAR Database. You should read these reports and other filings carefully before investing.

Shareholders should not use the information provided here in preparing their tax returns. Shareholders will receive a Form 1099-DIV for the calendar year indicating how to report Fund distributions for federal income tax purposes.

About Cohen & Steers. Cohen & Steers is a leading global investment manager specializing in real assets and alternative income, including listed and private real estate, preferred securities, infrastructure, resource equities, commodities, as well as multi-strategy solutions. Founded in 1986, the firm is headquartered in New York City, with offices in London, Dublin, Hong Kong, Tokyo and Singapore.  

Forward-Looking Statements
This press release and other statements that Cohen & Steers may make may contain forward looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, which reflect the company's current views with respect to, among other things, its operations and financial performance. You can identify these forward-looking statements by the use of words such as "outlook," "believes," "expects," "potential," "continues," "may," "will," "should," "seeks," "approximately," "predicts," "intends," "plans," "estimates," "anticipates," or the negative versions of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties.

Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. The company undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.

Website: https://www.cohenandsteers.com 
Symbol: (NYSE: CNS)

SOURCE Cohen & Steers, Inc.

Key Takeaways Analog Devices' automotive revenues rose 16% year over year, reaching 25% of quarterly revenues.ADI is gaining share across combustion and electric vehicles, with strength in ADAS and infotainment.Automotive revenues are expected to grow at a low-single-digit rate in the fiscal fourth quarter. Analog Devices’ (ADI - Free Report) automotive business delivered strong growth in the third quarter of fiscal 2026. Automotive accounted for 25% of ADI’s quarterly revenues and increased 14% sequentially and 16% year over year. This was a meaningful contribution to the company’s broad-based growth, as ADI reported total quarterly revenues of $4.02 billion.

The growth in automotive was stronger than the underlying vehicle market. ADI said its higher content and share positions globally continued to drive growth well above the seasonally adjusted annual rate of vehicle sales. This suggests that ADI is benefiting not only from higher vehicle production but also from increasing semiconductor content per vehicle.

One important growth area is next-generation advanced driver-assistance systems (ADAS). As vehicles become more intelligent, they require more sensing, signal processing, power management and other semiconductor content. ADI specifically highlighted next-generation ADAS and infotainment systems as areas where it is seeing strength across customers and products, and it is winning more business.

Electric powertrains are another important opportunity for the automotive business. ADI reported diversified strength in electric powertrains, alongside ADAS and infotainment. The company also said it is gaining share across different types of vehicles, including both combustion-engine vehicles and electric vehicles. This gives the automotive business exposure to the broader shift toward greater electronic content in vehicles rather than relying on a single vehicle technology.

Looking ahead, ADI expects automotive revenues to increase at a low-single-digit rate in the fourth quarter. Although this is slower than the 16% year-over-year growth achieved in the third quarter, the company continues to see opportunities across infotainment, electrification, autonomous, ADAS and safety applications.

How Competitors Fare Against Analog DevicesAnalog Devices competes with Texas Instruments (TXN - Free Report) and STMicroelectronics (STM - Free Report) in the Automotive segment. Texas Instruments competes with ADI in Analog sensors, power ICs, in-vehicle networking and driver assistance electronics.

In the second quarter of 2026, Texas Instruments’ automotive sales rose by the mid-teens on a year-over-year basis. STMicroelectronics competes in sensors like MEMS and inertial, analog front ends, interface ICs and microcontrollers. Both Texas Instruments and STMicroelectronics compete with ADI across the broader Industrial and communication segment.

ADI’s Price Performance, Valuation and EstimatesShares of ADI have gained 36.9% year to date compared with the Semiconductor - Analog and Mixed industry’s growth of 32%.

ADI YTD Performance ChartPerformance
Image Source: Zacks Investment Research

From a valuation standpoint, ADI trades at a forward price-to-sales ratio of 10.15X, higher than the industry’s average of 7.83X.

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

The Zacks Consensus Estimate for ADI’s fiscal 2026 earnings implies year-over-year growth of 66.4%. The consensus estimate for fiscal 2026 has been revised upward by 44 cents in the past seven days.

Image Source: Zacks Investment Research

ADI currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.