Key Takeaways Allegro's fiscal 2026 revenue rose 22.8% to $890.1 million, while non-GAAP EPS more than doubled.ALGM targets 50%-51% non-GAAP gross margin in fiscal Q1 2027, with a long-term goal above 55%.ALGM trades at 51.13X forward earnings, while automotive made up roughly 71% of fiscal 2026 revenue. Allegro MicroSystems, Inc. (ALGM - Free Report) has rebounded sharply as revenue growth, earnings leverage and end-market demand have improved. The setup is no longer just about recovery. It is about whether the next phase can justify a richer multiple.
The stock’s fundamentals look stronger, but the valuation already reflects a better story. That makes execution in margins, automotive growth and newer industrial markets the key issue for investors.
ALGM Growth Metrics Support the Bull CaseFiscal 2026 showed a clear rebound. Revenues rose 22.8% year over year to $890.1 million, while non-GAAP earnings per share more than doubled to 54 cents from 24 cents.
Momentum also held into the fiscal fourth quarter. Sales increased 26.1% year over year to $243.2 million, and management guided first-quarter fiscal 2027 revenues to $245-$255 million. At the midpoint, that implies 23% year-over-year growth.
The more important point is earnings scalability. Earnings grew much faster than sales in fiscal 2026, helped by operating leverage and stronger demand across Focus Auto, Data Center and Industrial and Other markets.
Why Allegro’s Margin Story Matters MostMargin recovery is central to the buy case because Allegro’s sales growth is already visible. Non-GAAP gross margin reached 50% in the fiscal fourth quarter, up from 45.6% in the year-ago period.
The company expects non-GAAP gross margin of 50%-51% for the first quarter of fiscal 2027. Its longer-term target remains above 55%, supported by operating leverage, product innovation, cost reductions and manufacturing efficiencies.
That path is not automatic. Pricing pressure, average selling price declines and input-cost inflation, including gold and energy costs, remain constraints. Margin expansion may therefore come in stages rather than in a straight line.
Allegro’s Valuation Leaves Less Room for ErrorThe main caution is price. ALGM traded at 51.13X forward 12-month earnings, above 32.39X for the Zacks sub-industry, 24.53X for the Zacks sector and 21.03X for the S&P 500.
The 6-12 month price target of $61 also implies only modest upside from the cited share price of $57.38. That does not negate the fundamental improvement, but it reduces the margin of safety after a major rally.
Investors can also compare ALGM with Ichor Holdings, Ltd. (ICHR - Free Report) and Nova Ltd. (NVMI - Free Report) , both listed among its industry peers. These names give investors additional reference points within the Electronics - Semiconductors group when weighing valuation and momentum.
ALGM Risks Could Limit Further UpsideAutomotive remains the largest exposure, accounting for roughly 71% of fiscal 2026 revenue. That concentration leaves Allegro sensitive to global vehicle production, electric vehicle adoption, advanced driver assistance system deployment and customer inventory cycles.
Newer growth markets also require execution. AI data centers and robotics are attractive, but customer qualification, design wins and product adoption still matter before those opportunities can fully scale.
Supply risk is another factor. Allegro relies on third-party wafer foundries, external assembly and testing partners and manufacturing operations in the Philippines. Trade restrictions, tariffs, geopolitical issues and macro weakness could pressure both revenues and margins.
How Allegro’s Ratings Frame the SetupThe bottom line is that ALGM looks fundamentally stronger, but not obviously cheap after its run. Growth, earnings leverage and margin recovery support the bull case, while valuation and execution risk argue for selectivity.
The stock currently carries a Zacks Rank #2 (Buy). That rank is designed for a one-to-three-month horizon and reflects favorable near-term earnings estimate characteristics. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
ALGM also has a Growth Score of A and a Momentum Score of A, which point to attractive growth and price-performance characteristics. Its Value Score of F explains the valuation concern, while the VGM Score of B keeps the overall style profile constructive but mixed.
Bloom Energy stock has retreated into a bear market, falling by 33% from its highest point this year. It dropped to $234 today, continuing a trend that started on June 25 when it reached a record high of $350.
July 10, 2026 13:43 ET | Source: Origin Bancorp, Inc.
RUSTON, La., July 10, 2026 (GLOBE NEWSWIRE) -- Origin Bancorp, Inc. (NYSE: OBK) (“Origin”), the financial holding company for Origin Bank, plans to issue second quarter 2026 results after the market closes on Wednesday, July 22, 2026, and hold a conference call to discuss such results on Thursday, July 23, 2026, at 8:00 a.m. Central Time (9:00 a.m. Eastern Time). The conference call will be hosted by Drake Mills, Chairman, President and CEO of Origin, William J. Wallace, IV, Chief Financial Officer of Origin, and Lance Hall, President and CEO of Origin Bank.
Conference Call and Live Webcast
To participate in the live conference call, please dial +1 (929) 272-1574 (U.S. Local / International 1); +1 (857) 999-3259 (U.S. Local / International 2); +1 (888) 700-7550 (U.S. Toll Free), enter Conference ID: 75275 and request to be joined into the Origin Bancorp, Inc. (OBK) call. A simultaneous audio-only webcast may be accessed via Origin’s website at www.origin.bank under the investor relations, News & Events, Events & Presentations link or directly by visiting https://dealroadshow.com/e/ORIGIN2Q26.
Conference Call Webcast Archive
If you are unable to participate during the live webcast, the webcast will be archived on the Investor Relations section of Origin’s website at www.origin.bank, under Investor Relations, News & Events, Events & Presentations.
About Origin Bancorp, Inc.
Origin Bancorp, Inc. is a financial holding company headquartered in Ruston, Louisiana. Origin’s wholly owned bank subsidiary, Origin Bank, was founded in 1912 in Choudrant, Louisiana. Deeply rooted in Origin’s history is a culture committed to providing personalized relationship banking to businesses, municipalities, and personal clients to enrich the lives of the people in the communities it serves. Origin provides a broad range of financial services and currently operates more than 57 locations in Dallas/Fort Worth, East Texas, Houston, North Louisiana, Mississippi, South Alabama and the Florida Panhandle. In addition, Origin provides a broad range of insurance agency products and services through its wholly owned insurance agency subsidiary, Forth Insurance, LLC. For more information, visit www.origin.bank and www.forthinsurance.com.
Contact Information
Investor Relations
Chris Reigelman
318-497-3177 [email protected]
Getting big returns from financial portfolios, whether through stocks, bonds, ETFs, other securities, or a combination of all, is an investor's dream. However, when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.
While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns.
Headquartered in San Dimas, American States Water (AWR - Free Report) is a Utilities stock that has seen a price change of 15.7% so far this year. Currently paying a dividend of $0.50 per share, the company has a dividend yield of 2.4%. In comparison, the Utility - Water Supply industry's yield is 2.56%, while the S&P 500's yield is 1.36%.
Looking at dividend growth, the company's current annualized dividend of $2.02 is up 4.2% from last year. Over the last 5 years, American States Water has increased its dividend 5 times on a year-over-year basis for an average annual increase of 8.23%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. American States Water's current payout ratio is 59%, meaning it paid out 59% of its trailing 12-month EPS as dividend.
Looking at this fiscal year, AWR expects solid earnings growth. The Zacks Consensus Estimate for 2026 is $3.71 per share, with earnings expected to increase 10.09% from the year ago period.
Investors like dividends for many reasons; they greatly improve stock investing profits, decrease overall portfolio risk, and carry tax advantages, among others. It's important to keep in mind that not all companies provide a quarterly payout.
For instance, it's a rare occurrence when a tech start-up or big growth business offers its shareholders a dividend. It's more common to see larger companies with more established profits give out dividends. During periods of rising interest rates, income investors must be mindful that high-yielding stocks tend to struggle. With that in mind, AWR is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of #3 (Hold).
Exchange-initiated listing reflects Curaleaf's growing market maturity, and expands hedging, income, and directional strategies available to investors
, /PRNewswire/ -- Curaleaf Holdings, Inc. (TSX: CURA) (OTCQX: CURLF) ("Curaleaf" or the "Company"), a leading international provider of consumer cannabis products, today announced that exchange-traded options on the Company's subordinate voting shares (the "Shares") are expected to commence trading on the Montréal Exchange (the "MX"), Canada's derivatives exchange, on July 13, 2026, under the symbol "CURA".
"The listing of exchange-traded options on the Montréal Exchange reflects Curaleaf's market capitalization, trading depth and growing institutional relevance," said Boris Jordan, Chairman and CEO of Curaleaf. "Because the listing decision rests solely with the Exchange, we view it as independent recognition of the progress we have made as a public company. Listed options will give investors greater flexibility to hedge risk, pursue income strategies and express a view on Curaleaf's long-term growth—the same tools commonly available to investors in mature equity markets. We welcome the additional flexibility this listing provides investors."
The Company believes the listing will also increase liquidity and improve price discovery by attracting options traders, market makers and institutional investors whose strategies incorporate derivatives.
The decision to list options on a particular security is made solely by the Montréal Exchange based on its own eligibility criteria, including factors such as market capitalization, share price, and trading activity. The Company did not apply for, and does not control, the listing of options on its Shares.
Options listed by the MX are contracts between market participants and are not issued by the Company. The listing of options does not involve the issuance of any Shares or other securities of the Company, has no dilutive effect on shareholders, and does not result in any proceeds to the Company. No action is required by shareholders in connection with the commencement of options trading.
Investors seeking information about options on the Company's Shares, including available series, strike prices, and expiry dates, should consult the Montréal Exchange website at www.m-x.ca or contact their investment advisor. Options involve risk and are not suitable for all investors. Investors should read the disclosure document titled "The Characteristics and Risks of Listed Canadian Options," available from the Canadian Derivatives Clearing Corporation, before trading options.
About Curaleaf Holdings
Curaleaf Holdings, Inc. (TSX: CURA) (OTCQX: CURLF) ("Curaleaf") is a leading international provider of consumer products in cannabis with a mission to enhance lives by cultivating, sharing and celebrating the power of the plant. As a high-growth cannabis company known for quality, expertise and reliability, the Company and its brands, including Curaleaf, Select, Grassroots, Find, Dark Heart, and Anthem, provide industry-leading service, product selection and accessibility across the medical and adult use markets. Curaleaf International is powered by a strong presence in all stages of the supply chain. Its unique distribution network throughout Europe, Canada and Australasia brings together pioneering science and research with cutting-edge cultivation, extraction and production. Curaleaf is listed on the Toronto Stock Exchange under the symbol CURA and trades on the OTCQX market under the symbol CURLF. For more information, please visit https://ir.curaleaf.com.
Forward Looking Statements
This news release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. These statements relate to future events or future performance. All statements other than statements of historical fact may be forward–looking statements or information. Generally, forward-looking statements and information may be identified by the use of forward-looking terminology such as "plans", "expects" or "proposed", "is expected", "intends", "anticipates", or "believes", or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. More particularly and without limitation, this news release contains forward-looking statements and information concerning the expected commencement of options trading on the Montréal Exchange, the expected commencement date thereof, and the potential effects of the availability of listed options on the Company's Shares, including with respect to trading liquidity, price discovery, risk management, investor access, and institutional engagement. The commencement of options trading is subject to the discretion of the Montréal Exchange and may be delayed or not occur as anticipated. There can be no assurance that any of these potential effects will be realized, as trading activity in options and in Shares is determined by market participants and is outside the Company's control. Such forward-looking statements and information reflect management's current beliefs and are based on assumptions made by and information currently available to the Company with respect to the matter described in this news release. Forward-looking statements involve risks and uncertainties, which are based on current expectations as of the date of this release and subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Additional information about these assumptions and uncertainties is contained under "Risk Factors and Uncertainties" in the Company's latest annual information form filed on February 26, 2026, which is available under the Company's profile on SEDAR+ at www.sedarplus.ca, and in other filings that the Company has made and may make with applicable securities authorities in the future. Forward-looking statements contained herein are made only as to the date of this press release and we undertake no obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law. We caution investors not to place considerable reliance on the forward-looking statements contained in this press release. The Toronto Stock Exchange has not reviewed, approved or disapproved the content of this news release.
All investors love getting big returns from their portfolio, whether it's through stocks, bonds, ETFs, or other types of securities. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus.
While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns.
Headquartered in Pittsburgh, The PNC Financial Services Group, Inc (PNC - Free Report) is a Finance stock that has seen a price change of 20.21% so far this year. Currently paying a dividend of $1.70 per share, the company has a dividend yield of 2.71%. In comparison, the Financial - Investment Bank industry's yield is 1.18%, while the S&P 500's yield is 1.36%.
Looking at dividend growth, the company's current annualized dividend of $6.80 is up 3% from last year. Over the last 5 years, The PNC Financial Services Group, Inc has increased its dividend 3 times on a year-over-year basis for an average annual increase of 8.49%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. The PNC Financial Services Group's current payout ratio is 39%, meaning it paid out 39% of its trailing 12-month EPS as dividend.
Looking at this fiscal year, PNC expects solid earnings growth. The Zacks Consensus Estimate for 2026 is $18.83 per share, with earnings expected to increase 13.50% from the year ago period.
Investors like dividends for a variety of different reasons, from tax advantages and decreasing overall portfolio risk to considerably improving stock investing profits. However, not all companies offer a quarterly payout.
For instance, it's a rare occurrence when a tech start-up or big growth business offers its shareholders a dividend. It's more common to see larger companies with more established profits give out dividends. Income investors have to be mindful of the fact that high-yielding stocks tend to struggle during periods of rising interest rates. With that in mind, PNC is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of #3 (Hold).
Shares of Ciena (CIEN +0.17%) rose 109.8% in the first half of 2026, according to data from S&P Global Market Intelligence. The networking equipment veteran more than doubled due to accelerating demand for optical networking infrastructure tied to artificial intelligence workloads.
The rally peaked in late May before a 21.8% pullback in June. For context, the S&P 500 (^GSPC +0.35%) gained 12.3% over the same period, and the Nasdaq-100 rose 15.7%.
The stock also outperformed other networking heavyweights. For instance, Cisco Systems (CSCO +1.41%) gained 52.5% in the first half while Extreme Networks (EXTR +0.91%) stopped just short of doubling with a 94.4% rise.
Image source: The Motley Fool.
The network finally gets its moment For years, the AI infrastructure conversation revolved almost exclusively around semiconductors. But as hyperscalers built out massive clusters of GPUs and started training ever-larger models, a new bottleneck emerged: the network itself. Moving enormous amounts of data over long distances without introducing latency requires high-speed networking equipment capable of handling the load.
Ciena's optical networking systems transport massive volumes of data across long distances with minimal latency, positioning the company at the center of the AI infrastructure build-out. In February, Ciena released the Vesta 200 series of pluggable optical modules, delivering massive data speeds with minimal power consumption.
In its fiscal second quarter ended May 2, 2026, the company reported revenue of $1.57 billion, up 40% year over year. The backlog hit $7.7 billion, with management noting that about 80% of the hardware backlog would convert to revenue in the next 12 months. Direct cloud customer revenue jumped 70% year over year.
The results also beat Wall Street's consensus estimates, and the management's full-year guidance was boosted across the board.
One might think investors would have loved the soaring sales and sizzling profits in this early June report. But Ciena's stock fell 9% the next day as lots of investors slammed the "sell" button to lock in their gains.
Today's Change
(
0.17
%) $
0.79
Current Price
$
463.13
Priced for perfection Ciena is growing by leaps and bounds, but the stock returns include a heaping dose of future growth expectations. And I mean, it's a lot.
As of July 10, Ciena's stock has more than quintupled over the last year. In the same period, Cisco and Extreme are lagging with returns of 73% and 82%, respectively.
As a result, Ciena's shares are trading at 153 times trailing earnings and 78 times free cash flow. The business is healthy, but Ciena's investors are looking for superhero-level vital signs.
This stock traded just above $1,000 per share at the peak of the dot-com bubble. Ciena is almost back there again, though it passed the old market cap record of $42.5 billion in February this year.
And I'm afraid it's too much, too fast. Ciena's skyrocketing multiples are exposing investors to a massive valuation risk.
Key Takeaways Ciena posted record Q2 fiscal 2026 revenue of $1.57B, up 40%, with adjusted EPS rising to $1.64. CIEN's backlog grew by more than $600M to $7.7B, providing visibility into 2027.Ciena raised fiscal 2026 revenue and margin guidance as AI demand boosts networking infrastructure spending. Ciena Corporation’s (CIEN - Free Report) shares have jumped a whopping 494.6% in the past year, outperforming the Zacks Computer & Technology sector and the Zacks Communication - Components industry, which gained 37.6% and 321.4%, respectively. The S&P 500 composite is up 25.6% over the same time frame. The company’s shares have surged 97.4% in the past six months.
The company has also outpaced its peers, Corning Incorporated (GLW - Free Report) , Arista Networks, Inc. (ANET - Free Report) and Cisco Systems, Inc. (CSCO - Free Report) . GLW, ANET and CSCO have climbed 276.9%, 70.1% and 77.7%, respectively, in the same time frame.
Image Source: Zacks Investment Research
Ciena is well poised to benefit from AI-led demand for optical networking across cloud and service providers, along with a growing backlog, despite ongoing supply woes. Expanding bandwidth needs, rising data center interconnect activity and solid uptake of coherent optical technologies also bode well.
Let us take a closer look at CIEN’s fundamentals, key growth drivers, competitive strengths and potential risks to determine whether the stock remains an attractive investment.
Key Factors to ConsiderCiena is benefiting from strong AI-driven demand for networking infrastructure, supported by its technology leadership, deep customer relationships and broad product portfolio. The company generated record second-quarter fiscal 2026 revenue of $1.57 billion, up 40% year over year, while adjusted gross margin expanded to 44.9% and adjusted earnings per share nearly quadrupled to $1.64. Management stated that these results were achieved despite operating in a supply-constrained environment. A growing backlog, fueled by AI-related demand from cloud and service provider customers, along with the company’s portfolio spanning systems, interconnects, software and services, positions Ciena to address connectivity requirements across wide area networks and data centers.
The company is seeing expanding opportunities as hyperscalers and service providers increase investments in networking infrastructure. Management noted that hyperscalers have raised their 2026 capital expenditure plans with continued expansion expected beyond 2027, while service providers are also resuming investments in optical infrastructure after several years. Demand is being driven by the need for high-capacity, low-latency and high-speed connectivity for AI workloads, including model training, data ingestion and inference. The company believes these trends will expand its addressable market to approximately $50 billion by 2029, covering both traditional WAN markets and high-growth opportunities in and around data centers.
Ciena continues to strengthen its position with new product adoption and customer wins. The company announced the industry's first multi-rail order for its RLS Hyper-Rail platform from a leading hyperscaler, validating demand for the solution. It is also engaged with additional hyperscalers, neoscalers and service providers that have shown stronger-than-expected interest. Meanwhile, its Data Center Out-of-Band Management (DCOM) solution contributed to 88% year-over-year growth in the Routing and Switching segment. The company also secured orders from a second hyperscaler for DCOM, advanced qualifications with a third hyperscaler and won a major hyperscaler contract for its coherent modules. Demand for its 400G and 800G pluggables remains strong, and Ciena expects pluggable revenue to more than double from 2025.
Also, the company is benefiting from customer collaboration and expanding adoption of its technology portfolio. Management highlighted that customers are increasingly engaging the company early in designing new network architectures, helping shape its product roadmap while improving visibility into future demand. The company believes this collaborative approach strengthens its competitive position and supports long-term growth. During the fiscal second-quarter 2026, direct cloud customer revenue increased 70% year over year, while service provider revenue rose 28%, with India service provider revenue more than doubling due to strong managed optical fiber network deployments. The backlog increased by more than $600 million sequentially to $7.7 billion, providing visibility into 2027.
Image Source: Zacks Investment Research
The strong demand environment also supported improved financial performance and a higher outlook. Adjusted operating margin reached 19.5%, free cash flow totaled $219 million and cash balance stood at $1.4 billion. Management attributed margin improvement to engineering cost reductions, pricing optimization and disciplined working capital management. Based on first-half execution, Ciena raised its fiscal 2026 guidance and expects revenue of approximately $6.3 billion, plus or minus $100 million, with an adjusted gross margin of 44.5% to 45% and an operating margin of around 19%.
However, Ciena continues to face supply constraints as demand exceeds available component supply. Management stated that the imbalance between supply and demand persists across the industry, requiring continued investments with suppliers to secure manufacturing capacity and supply availability. The company also increased operating expense guidance to support supply security and higher variable compensation, reflecting the resources needed to meet growing customer demand.
CIEN’s ValuationCIEN trades at a forward 12-month price-to-earnings (P/E) of 61.45X, above the industry’s 44.68X. CSCO, GLW and ANET trade at a forward 12-month P/E of 29.78X, 51.66X and 50.84X, respectively.
Image Source: Zacks Investment Research
CIEN’s Upward EstimatesThe Zacks Consensus Estimate for CIEN’s earnings for fiscal 2026 has been revised upward over the past 30 days.
All investors love getting big returns from their portfolio, whether it's through stocks, bonds, ETFs, or other types of securities. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus.
Cash flow can come from bond interest, interest from other types of investments, and, of course, dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns.
Based in Santa Ana, First American Financial (FAF - Free Report) is in the Finance sector, and so far this year, shares have seen a price change of 14.35%. Currently paying a dividend of $0.55 per share, the company has a dividend yield of 3.13%. In comparison, the Insurance - Property and Casualty industry's yield is 0.77%, while the S&P 500's yield is 1.36%.
Looking at dividend growth, the company's current annualized dividend of $2.20 is up 0.9% from last year. Over the last 5 years, First American Financial has increased its dividend 5 times on a year-over-year basis for an average annual increase of 3.78%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. First American Financial's current payout ratio is 34%, meaning it paid out 34% of its trailing 12-month EPS as dividend.
Looking at this fiscal year, FAF expects solid earnings growth. The Zacks Consensus Estimate for 2026 is $6.75 per share, with earnings expected to increase 11.57% from the year ago period.
Investors like dividends for many reasons; they greatly improve stock investing profits, decrease overall portfolio risk, and carry tax advantages, among others. It's important to keep in mind that not all companies provide a quarterly payout.
For instance, it's a rare occurrence when a tech start-up or big growth business offers its shareholders a dividend. It's more common to see larger companies with more established profits give out dividends. Income investors must be conscious of the fact that high-yielding stocks tend to struggle during periods of rising interest rates. With that in mind, FAF is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of #3 (Hold).
Key Takeaways Commercial title insurance continues to grow, supported by large data center, energy and industrial deals.AI-powered automation and technology investments are improving operating efficiency and expanding margins. FAF continues returning capital, with $248 million remaining for share repurchases. Shares of First American Financial Corporation (FAF - Free Report) have risen 20.8% in the past year, outperforming the industry’s growth of 6%. The stock closed at $70.26 on Thursday, near its 52-week high of $71.47, reflecting investor confidence.
The rally has been driven by strong operating performance, robust commercial title insurance activity and higher investment income. Continued technology investments, disciplined capital deployment and strength in the commercial title business are expected to support earnings growth. While the residential housing market remains weak due to elevated mortgage rates and affordability challenges, a gradual recovery in home purchase activity could provide a further upside.
1-Year Price Performance: FAF, RNR, AXS, NMIH & Industry
Image Source: Zacks Investment Research
Shares of some other insurers like RenaissanceRe Holdings Ltd. (RNR - Free Report) , NMI Holdings Inc. (NMIH - Free Report) and Axis Capital Holdings Limited (AXS - Free Report) have gained 31%, 8.2% and 16.8% respectively in the past year.
Average Target Price for FAF Suggests UpsideBased on short-term price targets offered by five analysts, the Zacks average price target is $85.80 per share. The average suggests a potential 22.5% upside from the last closing price.
Image Source: Zacks Investment Research
FAF Shares Are AffordableDespite the rally, First American shares are trading at a discount to the industry. Its 12-month trailing price-to-book value of 1.30X is lower than the industry average of 1.47X. The insurer has a Value Score of A.
Image Source: Zacks Investment Research
Shares of RenaissanceRe, NMI Holdings and Axis Capital are also trading at a discount to the industry average.
FAF’s Growth Projection EncouragesThe Zacks Consensus Estimate for First American’s 2026 earnings per share (EPS) indicates a year-over-year increase of 11.6%. The consensus estimate for revenues is pegged at $7.9 billion, implying a year-over-year improvement of 6.4%.
The consensus estimate for 2027 EPS and revenues indicates an increase of 5.8% and 5.7%, respectively, from the corresponding 2026 estimates.
The expected long-term earnings growth rate is 15.2%, outperforming the industry average of 7.2%. FAF has a Growth Score of B.
Optimist Analyst Sentiment on FAFThe company has witnessed one upward earnings estimate revision for 2026 and 2027 over the past 60 days, against one movement in the opposite direction, respectively. Thus, the Zacks Consensus Estimate for 2026 and 2027 earnings has moved up 0.4% and 0.1%, respectively, in the past 60 days.
FAF’s Efficient Use of Shareholder CapitalFirst American’s trailing 12-month return on equity of 24% compared favorably with the industry’s 7.4%, reflecting the company’s efficiency in utilizing shareholders’ funds.
Key Drivers of FAF StockCommercial title insurance remains FAF's primary growth engine. The company continues to benefit from strong demand for large commercial transactions, particularly in data centers, energy and industrial projects. Higher transaction volumes and larger deal sizes have driven record commercial title revenue, and management expects 2026 to be another record year for the business, supported by a healthy pipeline of high-value transactions.
The company is deploying AI across its operations through platforms such as Endpoint and SEQUOIA, automating title decisioning and escrow workflows. These initiatives are expected to improve operating efficiency, expand margins and strengthen long-term earnings growth.
The title insurer remains focused on strengthening its product offerings, enhancing its core business, and expanding its valuation and data businesses. The expansion of title plant assets and the upgrade of technology solutions drive increased efficiency.
Higher investment income continues to support earnings growth. In the first quarter of 2026, investment income increased 12% year over year to $154 million. The company is benefiting from rising deposit balances, including commercial escrow, 1031 exchange and agent banking deposits, while optimizing its investment portfolio toward higher-yielding securities.
First American distributes wealth to shareholders via dividend hikes and share buybacks. The remaining $248 million under its share repurchase authorization provides flexibility for shareholder-friendly capital deployment. Its dividend yield and payout ratio are better than the industry average, making it an attractive pick for yield-seeking investors.
Risks for FAFElevated mortgage rates, affordability challenges and low housing inventory continue to pressure home purchase activity and title insurance revenues.
FAF's strong dependence on commercial title insurance also remains a risk. A slowdown in commercial real estate transactions could weigh on FAF's revenue growth and earnings.
ConclusionStrength in commercial business, rising investment income, Continued investments in technology and disciplined capital deployment should favor FAF’s results. Weak residential housing market and dependence on commercial title are headwinds
FAF’s a VGM Score of A instils confidence. Given impressive dividend history, solid growth projections and higher return on equity, it is wise to retain this Zacks Rank #3 (Hold) insurer. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here
New York, New York--(Newsfile Corp. - July 10, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Peabody Energy Corporation (NYSE: BTU) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Peabody Energy securities between October 14, 2024 and May 4, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/BTU.
Peabody Energy Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose:
The true state of Centurion mine's commissioning challenges, including unanticipated electrical and mechanical problems, roof control deterioration, and floor softening that made the March 2026 longwall production deadline unachievable.That Defendants' repeated assurances that Centurion was "on time and on budget" and "ahead of schedule" were materially false and misleading.That the mine's production shortfalls would materially impact Peabody's full-year 2026 financial results, including an $80 million EBITDA impact in the first quarter alone.On March 30, 2026 and May 5, 2026, Peabody disclosed the true scope of Centurion's problems, slashing its full-year sales outlook from 3.5 million to 2.5 million tons and increasing cost guidance to $123-$133 per ton.
Following this news, BTU fell approximately 9.7% on March 30, 2026, and an additional 5.7% on May 5, 2026, declining from $39.50 to $25.00 per share, a cumulative decline of approximately 37%.
What's Next for Peabody Energy Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/BTU. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Peabody Energy you have until August 24, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Peabody Energy Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Peabody Energy Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com.
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/303063
Source: Bronstein, Gewirtz & Grossman, LLC
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BENSALEM, Pa., July 10, 2026 (GLOBE NEWSWIRE) -- Law Offices of Howard G. Smith reminds investors that class action lawsuits have been filed on behalf of shareholders of the following publicly-traded companies. Investors have until the deadlines listed below to file a lead plaintiff motion.
Investors suffering losses on their investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in these class actions at (215) 638-4847 or by email to [email protected].
Embecta Corp. (NASDAQ: EMBC)
Class Period: November 25, 2025 – May 4, 2026
Lead Plaintiff Deadline: August 17, 2026
The complaint alleges that throughout the Class Period the defendants made false and/or misleading statements and/or failed to disclose that: (1) the Company’s guidance was misleading and unattainable; (2) segment weakness, especially in the United States pen needle market, was likely to disrupt the Company’s original revenue guidance and second quarter 2026 results; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
First Solar, Inc. (NASDAQ: FSLR)
Class Period: February 26, 2025 – February 24, 2026
Lead Plaintiff Deadline: August 24, 2026
The complaint alleges that throughout the Class Period the defendants made false and/or misleading statements and/or failed to disclose that: (1) Defendants had overstated First Solar’s capacity to manage the impact of U.S. tariff policy on the Company’s business; (2) Defendants understated the extent to which its responses to U.S. tariff policy, including the intentional underutilization of production facilities in Malaysia and Vietnam, and attempted relocation of production to the U.S., were likely to negatively impact First Solar’s projected performance in the 2026 fiscal year; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
ZoomInfo Technologies Inc. (NASDAQ: GTM)
Class Period: November 3, 2025 – May 11, 2026
Lead Plaintiff Deadline: August 24, 2026
The complaint alleges that throughout the Class Period the defendants made false and/or misleading statements and/or failed to disclose that: (1) ZoomInfo’s optimistic plan for continued growth was undermined by slowing seat-based demand, weakening upsells and customers revising decisions to purchase AI products and develop internal AI-driven go-to-market solutions, making ZoomInfo’s 2026 full year revenue guidance increasingly unlikely to be met; and (2) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
Peabody Energy Corporation (NYSE: BTU)
Class Period: October 14, 2024 – May 4, 2026
Lead Plaintiff Deadline: August 24, 2026
The complaint alleges that throughout the Class Period the defendants made false and/or misleading statements and/or failed to disclose that: (1) Peabody’s overly optimistic March 2026 Centurion ramp-up date and promises regarding the Company’s inflated guidance fell short of reality when numerous issues at Centurion caused a significant delay to the mine’s ramp-up and Peabody’s first quarter metallurgical segment volumes; and (2) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
To be a member of these class actions, you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about these class actions, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847 or by email to [email protected], or visit our website at www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847 [email protected]
www.howardsmithlaw.com
SAN FRANCISCO, July 10, 2026 (GLOBE NEWSWIRE) -- Peabody Energy Corporation (NYSE: BTU) faces a securities class action lawsuit related to surprise disclosures the company made to investors on March 30 and May 5, 2026 about problems with its flagship metallurgical coal asset (“Centurion”).
The lawsuit seeks to represent investors who purchased or otherwise acquired shares of Peabody common stock between October 14, 2024 and May 4, 2026.
Between March 27 (the trading day before the first cryptic disclosure) and the May 5, 2026 fuller disclosure, investors saw the price of Peabody shares crumble $14.50 (-36%). Accordingly, the severe market reactions upon the company’s revelations support national shareholder rights firm Hagens Berman’s investigation into legal claims that Peabody and its co-defendants violated the federal securities laws.
The firm encourages Peabody investors who suffered substantial losses to submit your losses now.
Peabody Energy Corporation (BTU) Securities Class Action:
Peabody characterizes itself as a leading producer of metallurgical and thermal coal and has promoted Centurion, its underground longwall metallurgical coal mine in Queensland, Australia. According to the company, the mine commenced full-scale production in February 2026.
The litigation is focused on the propriety of Peabody’s statements about Centurion’s operational status and production capabilities.
For example, Peabody’s management informed investors on February 5, 2026 that “the team was installing the very last shield and putting the finishing touches on the Centurion Mine[,]” and “our team is charged up and has started mining some of the best metallurgical coal in the world.” The company and its management also assured investors that Centurion is “going to ramp up probably about 700,000 tons in Q1, about 1 million to 1.1 million tons in Q2 and Q3, and then it’ll fall back down in Q4 as we have a longwall move.” In response, the market rewarded these statements by sending the price of Peabody shares up about 7.8% the next day.
Just a few weeks later, on March 30, 2026, Peabody filed a current report with the SEC and abruptly disclosed that Centurion “is expected deliver approximately 250,000 tons in the first quarter[.]” In other words, the company slashed Centurion production by about 64%. The news sent the price of Peabody shares down almost 10%.
Then, on May 5, 2026, Peabody reported its Q1 2026 financial results. Of particular concern pertaining to Centurion, management revealed the truth about why it slashed the mine’s Q1 production assurance.
Despite telling investors in February that it was mining Centurion and would produce 700,000 tons in Q1, a new narrative emerged – “as part of our commissioning in February, we encountered temporary mechanical and electrical issues” – and “[a]s a result, our full year sales outlook for Centurion is now 2.5 million tons compared to our original expectation of 3.5 million tons.” This full year 28% reduction helped send the price of Peabody shares down nearly 6%.
“We’re focused on whether Peabody and its management were sufficiently transparent about Centurion’s operational capabilities during the Class Period and, if not, whether they violated federal securities laws,” said Reed Kathrein, the Hagens Berman partner leading the firm’s investigation.
If you invested in Peabody Energy and have substantial losses, or have knowledge that will assist the firm’s investigation, submit your losses now.
If you’d like more information and answers to other frequently asked questions about the Peabody case and the firm’s investigation, read more.
Whistleblowers: Persons with non-public information regarding Peabody Energy should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a global plaintiffs’ rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman’s team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Attorney Advertising. Prior results do not guarantee a similar outcome in any future case.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Technology security firm Okta, Inc. (OKTA) up 50.1% in a year thanks to AI demand, institutional inflows.
OKTA helps secure information systems through its enterprise identity management platform, which includes single sign-on, multi-factor authentication, access gateway, API access management, authentication, adaptive MFA, and lifecycle management, along with a new focus on securing AI agents. OKTA’s first-quarter 2027 report showed $765 million in revenue (an 11.2% year-over-year gain), per-share earnings of $0.42 (an 18.3% sequential gain), roughly $2.6 billion in cash on hand, and $680 million in share repurchases still to take place.
No wonder OKTA shares are up 72% so far this year – and they could rise more. MoneyFlows data shows how Big Money investors are again betting heavily on the stock.
Okta Bringing in Institutional Capital Institutional volumes reveal plenty. In the last year, OKTA has enjoyed strong investor demand, which we believe to be institutional support.
Each green bar signals unusually large volumes in OKTA shares. They reflect our proprietary inflow signal, pushing the stock higher:
Huge institutional inflows began in May, ramping up with OKTA’s earnings release on May 29. Source: www.moneyflows.com Plenty of technology names are under accumulation right now. But there’s a powerful fundamental story happening with Okta.
Okta Fundamental Analysis Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, OKTA has had strong sales and earnings growth:
Also, EPS is estimated to ramp higher this year by +10.8%.
Now it makes sense why the stock has been generating Big Money interest. OKTA has a track record of strong financial performance.
Marrying great fundamentals with MoneyFlows software has found some big winning stocks over the long term.
Okta has been a top-rated stock at MoneyFlows. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.
It’s had three Big Money outlier inflow signals in the last two years, gaining 42.3% since the first one in April 2025. The blue bars below shows when OKTA was a top pick…institutions are buyers:
Three outlier inflow signals for OKTA, including two right after earnings were announced. Source: www.moneyflows.com Tracking unusual volumes reveals the power of money flows.
This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.
Okta Price Prediction The OKTA action isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.
Disclosure: the author holds no position in OKTA at the time of publication.
If you are a Registered Investment Advisor (RIA) or are a serious investor, take your investing to the next level and follow our free weekly MoneyFlows insights.
Investors with an interest in Financial - Investment Bank stocks have likely encountered both Evercore (EVR) and Moelis (MC). But which of these two stocks is more attractive to value investors?
Evercore (EVR - Free Report) could be a solid choice for investors given its recent upgrade to a Zacks Rank #1 (Strong Buy). This upgrade is essentially a reflection of an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.
A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.
Individual investors often find it hard to make decisions based on rating upgrades by Wall Street analysts, since these are mostly driven by subjective factors that are hard to see and measure in real time. In these situations, the Zacks rating system comes in handy because of the power of a changing earnings picture in determining near-term stock price movements.
As such, the Zacks rating upgrade for Evercore is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.
Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, has proven to be strongly correlated with the near-term price movement of its stock. That's partly because of the influence of institutional investors that use earnings and earnings estimates for calculating the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their bulk investment action then leads to price movement for the stock.
For Evercore, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.
Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .
Earnings Estimate Revisions for EvercoreFor the fiscal year ending December 2026, this investment bank is expected to earn $19.27 per share, which is unchanged compared with the year-ago reported number.
Analysts have been steadily raising their estimates for Evercore. Over the past three months, the Zacks Consensus Estimate for the company has increased 1.5%.
Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of Evercore to a Zacks Rank #1 positions it in the top 5% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
Most of us would do well to invest in healthy and growing dividend-paying stocks to some degree. They're likely not only to appreciate in value over time but also to pay out cash along the way, often increasing their payouts. What's not to like? Here are three dividend-paying stocks to consider now.
Image source: Getty Images.
1. Realty Income Meet Realty Income (O 0.46%). You may not have heard of it, but it's a real estate investment trust (REIT) -- a company that owns lots of real estate, leasing it to tenants -- with a recent dividend yield of 5.1%. The company's dividend is rather dependable, as it's been paid for 673 consecutive months and has increased for more than 30 years in a row.
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Realty Income uses "triple-net leases" in its business, requiring tenants to cover real estate taxes, property insurance, and operating expenses. The company recently boasted a portfolio of over 15,500 properties in all 50 U.S. states and parts of Europe. It's well diversified, with about 1,800 clients in more than 90 different industries. It's diversifying into data centers, too.
This stock offers an easy way to invest in real estate.
2. Comcast Comcast (CMCSA +0.36%) is a multifaceted business, offering internet, TV, and phone services (with brands such as Xfinity), as well as media and streaming platforms (such as NBC, Telemundo, and Peacock) -- and theme parks and film studios (such as Universal Studios and DreamWorks Animation).
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Comcast recently sported a sizable dividend yield of 5.6%, and if you factor in the effect of share buybacks, which reduce the total share count and leave each remaining share more valuable, the total yield for shareholders is around 13%.
The stock is reasonably priced, too, with a recent forward-looking price-to-earnings (P/E) ratio of 7, below the five-year average of 9.7, with a recent price-to-sales ratio of just 0.7. Those low numbers reflect rather low expectations from investors. Why?
Well, the company has struggled recently, averaging annual losses of 12% over the past five years (as of July 7). It has a lot of debt, its TV business is fighting against streaming services, and it has a poor customer service reputation, among other issues.
There's reason to hope, though. Comcast plans to spin off NBCUniversal to focus mainly on its cable TV and broadband businesses, which deliver robust cash flow. Those believing in Comcast's turnaround prospects can be paid well to wait.
3. Verizon Communications Verizon Communications (VZ +1.63%) sports a fat dividend yield of 6.6%. Better still, it has been increasing its dividend for 20 years in a row (though generally modestly).
Verizon isn't likely to be a fast grower. But it's another cash cow, generating revenue from close to 150 million wireless customers and more than 16 million broadband connections. It's expanding internationally, too, planning to spin off its international enterprise-focused business into a joint venture with London-based BT Group.
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Another plus is its low volatility, which may be welcome should the market pullback in the near future. And its stock is appealingly valued, with a recent forward P/E of 8.6, a bit below its five-year average of 8.7.
Take a closer look at any of these stocks that interest you, as each could provide significant returns via dividends.
Key Takeaways MRVL expects revenues to grow about 40% in fiscal 2027 and 45% in fiscal 2028.MRVL expects data center revenue growth of about 50% in fiscal 2027 and roughly 55% in fiscal 2028.MRVL expects custom silicon revenues to grow over 20% in fiscal 2027 and more than double in 2028. Marvell Technology (MRVL - Free Report) has laid out an ambitious growth trajectory, with revenues expected to increase approximately 40% year over year in fiscal 2027 and another 45% in fiscal 2028 to roughly $16.5 billion. MRVL expects its data center business to remain the primary growth driver, with revenues projected to rise approximately 50% in fiscal 2027 and accelerate to about 55% growth in fiscal 2028.
Rather than relying on a single product cycle, Marvell Technology is participating across five AI infrastructure growth engines: scale-out optics, scale-across data center interconnect (DCI), scale-up optics, Ethernet switching and custom silicon. Scale-out optics remains a key near-term driver as expanding AI clusters increase demand for high-speed connectivity.
Marvell Technology is benefiting from strong 800G PAM4 demand, while the transition to 1.6T is ramping rapidly. Meanwhile, scale-across networks, which connect AI clusters across separate data centers, could create another major opportunity as power and space constraints limit cluster expansion at single locations. MRVL already supplies DCI solutions to all five major U.S. hyperscalers and expects the business to reach a $1 billion annualized revenue rate in fiscal 2028, roughly double fiscal 2026 levels.
Scale-up optics could become another meaningful fiscal 2028 contributor. MRVL is developing NPO and CPO solutions, while Celestial AI’s technology has already been selected by a Tier-1 hyperscaler. The company expects fiscal 2028 scale-up optics revenues to more than double its prior outlook of approximately $150 million. Ethernet switching is also scaling rapidly. MRVL expects scale-out switching revenues to exceed $600 million in fiscal 2027 and track toward a $1 billion annualized rate in fiscal 2028.
Custom silicon could provide the largest fiscal 2028 step-up. After reaching approximately $1.5 billion in revenues, the business is expected to grow more than 20% in fiscal 2027 and more than double in fiscal 2028. These businesses are not expected to peak simultaneously. With near-term momentum from optics and switching and additional contributions expected from DCI, scale-up connectivity and custom silicon, MRVL’s diversified AI infrastructure portfolio provides a credible foundation for its fiscal 2028 growth target.
How Competitors Fare Against MRVL StockMRVL faces stiff competition in the AI networking and custom silicon space from Broadcom (AVGO - Free Report) and Advanced Micro Devices (AMD - Free Report) .
Broadcom is a leader in the domain of custom silicon solutions for data centers. Broadcom’s advanced 3.5D XDSiP packaging platform is critical to ensure the performance and efficiency of custom AI XPUs.
Advanced Micro Devices is another established player in the custom silicon solutions and AI accelerator market. Advanced Micro Devices offers semi-custom SoCs and Instinct Accelerators to power data centers.
MRVL's Price Performance, Valuation and EstimatesShares of Marvell Technology have gained 186.3% year to date compared with the Zacks Electronics - Semiconductors industry’s growth of 51.1%.
MRVL YTD Performance Chart
Image Source: Zacks Investment Research
From a valuation standpoint, Marvell Technology trades at a forward price-to-sales ratio of 15.45X, lower than the industry’s average of 9.41X.
The Zacks Consensus Estimate for MRVL’s fiscal 2027 and 2028 earnings implies year-over-year growth of 41% and 44%, respectively. Estimates for fiscal 2027 and 2028 have been revised upward in the past 30 days.
Image Source: Zacks Investment Research
Marvell Technology currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Investors with an interest in Internet - Software stocks have likely encountered both Paycom Software (PAYC - Free Report) and Palantir Technologies Inc. (PLTR - Free Report) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.
We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our Style Scores highlight companies with specific traits.
Both Paycom Software and Palantir Technologies Inc. have a Zacks Rank of #2 (Buy) right now. This means that both companies have witnessed positive earnings estimate revisions, so investors should feel comfortable knowing that both of these stocks have an improving earnings outlook. But this is just one factor that value investors are interested in.
Value investors analyze a variety of traditional, tried-and-true metrics to help find companies that they believe are undervalued at their current share price levels.
The Value category of the Style Scores system identifies undervalued companies by looking at a number of key metrics. These include the long-favored P/E ratio, P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that help us determine a company's fair value.
PAYC currently has a forward P/E ratio of 13.00, while PLTR has a forward P/E of 87.10. We also note that PAYC has a PEG ratio of 1.03. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. PLTR currently has a PEG ratio of 1.63.
Another notable valuation metric for PAYC is its P/B ratio of 8.19. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. For comparison, PLTR has a P/B of 36.15.
These are just a few of the metrics contributing to PAYC's Value grade of B and PLTR's Value grade of F.
Both PAYC and PLTR are impressive stocks with solid earnings outlooks, but based on these valuation figures, we feel that PAYC is the superior value option right now.
If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Amphenol (APH - Free Report) . This company, which is in the Zacks Electronics - Connectors industry, shows potential for another earnings beat.
This maker of fiber-optic products has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 7.94%.
For the most recent quarter, Amphenol was expected to post earnings of $0.95 per share, but it reported $1.06 per share instead, representing a surprise of 11.58%. For the previous quarter, the consensus estimate was $0.93 per share, while it actually produced $0.97 per share, a surprise of 4.30%.
Price and EPS Surprise
For Amphenol, estimates have been trending higher, thanks in part to this earnings surprise history. And when you look at the stock's positive Zacks Earnings ESP (Expected Surprise Prediction), it's a great indicator of a future earnings beat, especially when combined with its solid Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Amphenol currently has an Earnings ESP of +0.43%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #3 (Hold) indicates that another beat is possibly around the corner. We expect the company's next earnings report to be released on July 29, 2026.
With the Earnings ESP metric, it's important to note that a negative value reduces its predictive power; however, a negative Earnings ESP does not indicate an earnings miss.
Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Key Takeaways Cognizant plans 5,000 Frontier-certified engineers and 10,000 business operators by the end of 2026. CTSH expects second-quarter 2026 revenues of $5.45-$5.52 billion, up 3.8%-5.3% year over year. Cognizant faces softer demand, stiff competition and margin pressure despite its expanding AI portfolio. Cognizant Technology Solutions (CTSH - Free Report) is accelerating its enterprise artificial intelligence (AI) strategy by scaling its AI talent base to 5,000 Frontier-certified engineers and 10,000 Frontier business operators by the end of 2026. The initiative is designed to help enterprises move AI projects from pilots to production by combining advanced AI engineering capabilities with business process expertise.
The Frontier workforce will support AI deployments across multiple enterprise platforms, including Microsoft (MSFT - Free Report) , Alphabet’s (GOOGL - Free Report) cloud computing platform Google Cloud, AWS, NVIDIA (NVDA - Free Report) , Salesforce and ServiceNow. The program aligns with Cognizant's AI Builder strategy, enabling customers to implement, govern and scale AI solutions while maintaining security, compliance and operational oversight. The first deployment-ready cohort is expected to begin supporting clients in the fourth quarter of 2026.
The initiative complements Cognizant's broader AI transformation strategy, which includes Project Leap, Skillspring and more than 5,000 AI client engagements. CTSH is increasingly shifting toward outcome-based AI services, interdisciplinary AI teams and enterprise-scale AI implementation, positioning the company to capture rising demand for production-ready AI solutions.
Cognizant Broadens Enterprise AI EcosystemCognizant's expanding partner ecosystem complements its Frontier workforce initiative by providing the platforms, infrastructure and tools needed to move enterprise AI projects from pilot stages to large-scale production deployments.
CTSH is leveraging its collaboration with Microsoft to help enterprises deploy Microsoft Copilot, Azure AI and GitHub Copilot solutions at scale. The Frontier workforce is expected to accelerate adoption of these technologies by enabling customers to implement AI across business functions and software engineering workflows, strengthening CTSH's position in enterprise AI services.
CTSH is also benefiting from its partnership with NVIDIA, which provides the AI infrastructure underpinning the company's AI Factory platform. NVIDIA's advanced computing capabilities, together with Cognizant's growing Frontier workforce, are expected to support enterprise customers in building, deploying and scaling generative AI applications.
CTSH is expanding its collaboration with Alphabet's Google Cloud to accelerate enterprise adoption of Google Gemini Enterprise solutions. The Frontier workforce will support customers in deploying Alphabet's Google-powered AI applications at scale, helping organizations transition AI initiatives from pilot projects to enterprise-wide production while expanding CTSH's opportunities in AI consulting and implementation services.
CTSH Initiates Strong Q2 GuidanceCognizant's expanding AI governance portfolio, growing AI engagements and strengthening partner ecosystem are expected to benefit the company’s top-line growth.
For the second quarter of 2026, Cognizant expects revenues to be in the range of $5.45-$5.52 billion, implying year-over-year growth of 3.8%-5.3%.
The Zacks Consensus Estimate for second-quarter 2026 revenues is pegged at $5.49 billion, indicating year-over-year growth of 4.59%.
The consensus mark for earnings is pegged at $1.38 per share, unchanged over the past 60 days. The figure implies a year-over-year increase of 5.34%.
Cognizant Struggles Despite Expanding AI PortfolioDespite an expanding AI portfolio and a strong partner base, Cognizant’s shares have plunged 47.7% in the year-to-date period against the broader Zacks Computer & Technology sector's return of 16.9%.
The company is facing softer discretionary spending, trade and policy uncertainty, and continued caution in parts of Products & Resources and Health Sciences. Stiff competition across IT services, with peers competing on price, delivery scale and AI credentials, remains a headwind.
Cognizant is also experinecing margin pressure and rising costs, as reflected in an 80-basis-point year-over-year decline in its first-quarter 2026 gross margin. The decline was due to the impact of integrated offerings and higher compensation costs.
What Should Investors Do With CTSH Stock?Cognizant’s expanding client base and robust AI-driven solutions continue to support its growth prospects and drive top-line growth.
However, the company is facing macroeconomic uncertainty, softening discretionary demand and stiff competition, which are expected to hurt CTSH’s performance.
Cognizant currently carries a Zacks Rank #3 (Hold), suggesting that investors may want to wait for a more favorable entry point in the stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
CRISPR Therapeutics (CRSP 4.99%) has significantly underperformed broader equities over the past five years. Some will argue the company's value -- its market cap is $5.7 billion as of writing -- is still too high given the fundamentals of the business. CRISPR Therapeutics generates little revenue, is consistently unprofitable, and hasn't earned significant late-stage clinical wins over the past couple of years. However, despite all that, CRISPR Therapeutics could be an attractive buy-and-hold option. Let's consider three reasons why the biotech is worth serious consideration.
1. Multiple catalysts on the way CRISPR Therapeutics specializes in developing gene editing therapies. This technology has already helped unlock groundbreaking medicines for otherwise difficult-to-treat conditions. However, we are arguably still in the early innings of the gene-editing revolution in the biotech industry, as the U.S. Food and Drug Administration has approved only a few treatments of this kind. But thanks to its potential to transform standards of care across many therapeutic areas, it's worth investors' time to look for the best gene-editing-focused companies. CRISPR Therapeutics fits the bill.
Image source: The Motley Fool.
The biotech's lineup features several promising candidates that could make significant progress over the next few years, jolting its stock price. Consider CRISPR Therapeutics' CTX310, an investigational one-time treatment designed to permanently lower LDL cholesterol by switching off the ANGPTL3 gene (which helps regulate cholesterol) in the liver, helping the body remove harmful fats from the bloodstream more effectively. If it proves safe and effective, it could transform care by replacing lifelong cholesterol drugs with a one-time treatment. With millions of people at high risk of heart disease (and other cardiovascular conditions) due to high cholesterol levels, CTX310 has a potentially large commercial opportunity.
CRISPR Therapeutics plans on releasing results from an ongoing clinical trial of CTX310 during the second half of the year. Positive data could send CRISPR Therapeutics' shares soaring. And that's just the tip of the iceberg. CRISPR Therapeutics has other promising candidate that should also make progress in the next few years. The biotech's strong, gene-editing-focused pipeline makes the stock attractive, as the company's breakthrough could lead to highly effective treatments and significant commercial success.
2. Casgevy's large opportunity CRISPR Therapeutics has already shown it can secure approval for a gene-editing medicine. It did so with Casgevy, a therapy for sickle cell disease (SCD) and transfusion-dependent beta-thalassemia (TDT), which it developed with Vertex Pharmaceuticals (VRTX 2.07%). This may seem trivial, but the fact is that many (perhaps most) of CRISPR Therapeutics' peers -- that is, biotechs that specialize in gene editing -- have yet to earn approval for a single one of their candidates. Also, Casgevy's milestone was all the more impressive because it was the first CRISPR-based gene-editing therapy to receive regulatory approval.
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Casgevy has not yet generated much revenue, but that could change soon. CRISPR Therapeutics and Vertex Pharmaceuticals recently announced that the U.S. Food and Drug Administration had approved the medicine for children as young as two (it was previously indicated for people aged 12 and older). This label expansion adds 5,500 patients to Casgevy's addressable market in the country.
That may not seem like a lot, but at $2.2 million per treatment course, that's an additional $12.1 billion commercial opportunity, and that's only in the U.S. (Vertex and CRISPR Therapeutics share the earnings from Casgevy, with the latter getting 40% of the profits). Casgevy won't capture this entire market on its own, but the medicine's sales should ramp up over the next few years, helping boost CRISPR Therapeutics' financial results.
3. Expanding beyond gene editing Although gene editing remains CRISPR Therapeutics' core focus, the company has branched out into other areas. The biotech partnered with Sirius Therapeutics, a privately held company, to develop CTX611, a small-interfering RNA (siRNA) therapy. Unlike gene-editing medicines that alter the DNA sequence, siRNA medicines "silence" genes responsible for certain diseases, though the effect is temporary, and these therapies need to be readministered.
CTX611 is a long-acting siRNA therapy designed to prevent dangerous blood clots while causing less bleeding than today's anticoagulants. If approved, its potential for just two injections per year could make it a transformative treatment and a multibillion-dollar commercial success. Just as important, CRISPR Therapeutics is showing that it isn't just a gene editing company. The biotech is willing to pursue attractive opportunities in other fields.
Read the fine print A lot could still go wrong with CRISPR Therapeutics, particularly significant clinical setbacks for its most promising candidates. The company's commercial opportunity with Casgevy could also fail to materialize. These are all risks investors should keep in mind. However, given its partnership with a biotech giant to commercialize Casgevy and its deep (and innovative) pipeline, CRISPR Therapeutics looks likely to significantly expand its approved product portfolio and improve its financial results by the end of the decade. The stock may offer outstanding returns along the way.
Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.
While many investors like to look for momentum in stocks, this can be very tough to define. There is a lot of debate surrounding which metrics are the best to focus on and which are poor quality indicators of future performance. The Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.
Below, we take a look at Teradata (TDC - Free Report) , which currently has a Momentum Style Score of B. We also discuss some of the main drivers of the Momentum Style Score, like price change and earnings estimate revisions.
It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Teradata currently has a Zacks Rank of #2 (Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.
You can see the current list of Zacks #1 Rank Stocks here >>>
Set to Beat the Market? In order to see if TDC is a promising momentum pick, let's examine some Momentum Style elements to see if this data management company holds up.
A good momentum benchmark for a stock is to look at its short-term price activity, as this can reflect both current interest and if buyers or sellers currently have the upper hand. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.
For TDC, shares are up 5.21% over the past week while the Zacks Computer- Storage Devices industry is down 4.19% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 6.19% compares favorably with the industry's 2.48% performance as well.
While any stock can see its price increase, it takes a real winner to consistently beat the market. That is why looking at longer term price metrics -- such as performance over the past three months or year -- can be useful as well. Over the past quarter, shares of Teradata have risen 30.11%, and are up 56.4% in the last year. On the other hand, the S&P 500 has only moved 10.84% and 21.72%, respectively.
Investors should also take note of TDC's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now TDC is averaging 3,429,000 shares for the last 20 days..
Earnings OutlookThe Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with TDC.
Over the past two months, 1 earnings estimate moved higher compared to none lower for the full year. This revision helped boost TDC's consensus estimate, increasing from $2.64 to $2.65 in the past 60 days. Looking at the next fiscal year, 1 estimate has moved upwards while there have been no downward revisions in the same time period.
Bottom LineGiven these factors, it shouldn't be surprising that TDC is a #2 (Buy) stock and boasts a Momentum Score of B. If you're looking for a fresh pick that's set to soar in the near-term, make sure to keep Teradata on your short list.
Wall Street analysts panicked recently when AeroVironment's NASDAQ: AVAV management unveiled an aggressive revenue target of $3.5 billion to $4 billion for fiscal 2030. The immediate reaction was a wave of synchronized downgrades, with analysts citing severe execution risk and flat macroeconomic defense budgets.
AeroVironment Today
$146.02 -2.38 (-1.60%)
As of 01:38 PM Eastern
This is a fair market value price provided by Massive. Learn more.
52-Week Range$135.20▼
$417.86Price Target$266.68
The resulting sell-off contributed to a 38% year-to-date pullback, pushing AeroVironment's stock price to near its 52-week low. When institutional players hyper-focus on near-term organic guidance, they often miss the broader structural shift unfolding in plain sight.
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The prevailing narrative suggests AeroVironment needs a miraculous, back-weighted acceleration to hit its 2030 goals. Analysts looked at the projected 10% organic growth for fiscal 2027 and determined the math for the end of the decade was too difficult to achieve. This skepticism triggered a sharp repricing, creating a steep discount for investors willing to look past headline volatility.
Clearing the Air on the 2030 RoadmapA closer examination of recent financial metrics, strategic acquisitions, and immediate contract monetization reveals a completely different reality for AeroVironment. The underlying growth trajectory is not only highly visible but functionally derisked by recent operational execution. The data points to a stark disconnect between price action and business fundamentals.
Modern kinetic conflicts have fundamentally altered global military doctrine. The Pentagon is actively rerouting procurement budgets away from slow, expensive legacy platforms like fighter jets, funneling capital into attritable, unmanned systems and Counter-UAS technology. AeroVironment is positioned as a premier pure-play asset in this space, making the macroeconomic argument about flat defense budgets largely irrelevant to its specific product suite.
Profitability Takes Flight in Fiscal Q4Understanding the valuation disconnect requires looking at the raw data from the fiscal fourth quarter of 2026. AeroVironment delivered a blowout earnings report, generating a record $642 million in quarterly revenue. This represents a 31% year-over-year organic growth rate. Most importantly, AeroVironment reported $140 million in Adjusted EBITDA, translating to a 22% margin.
This specific margin metric completely neutralizes the primary bearish argument. Major firms downgraded the stock because they doubted management's ability to reach their stated 2030 target of 18% to 20% Adjusted EBITDA margins. The earnings data prove AeroVironment is already operating comfortably above that threshold.
In the defense technology sector, operating leverage is a critical driver of shareholder value. As revenue scales up through the mass production of unmanned systems, fixed engineering and administrative costs thin out, driving heavier cash flow directly to the bottom line.
Analysts are actively pricing in severe margin compression to justify their lowered price targets, yet the most recent filings actively refute that assumption. Management is not chasing a futuristic profitability goal, as they are already executing above it today.
Securing the Shield With a $500M Army ContractAeroVironment positioned itself well for the Pentagon's strategic pivot through the integration of BlueHalo. This acquisition nearly doubled AeroVironment's operational footprint and established a dominant position in the highly lucrative Counter-UAS market.
Proof of this strategic dominance arrived rapidly via a $500 million sole-source contract for the U.S. Army's JIATF-401 Domestic Shield Program. A sole-source award is a profound vote of confidence. It means the Department of Defense bypassed the standard competitive bidding process entirely, viewing AeroVironment's technology as a unique, irreplaceable necessity.
Skeptics often argue that large government contracts take years to monetize, creating a lag between headline numbers and recognized revenue. However, AeroVironment immediately booked an $80.5 million task order against this vehicle for its Titan system. This swift conversion from theoretical contract value to tangible cash flow highlights a highly efficient procurement cycle.
This contract adds to AeroVironment's multi-year visibility. The defense contractor currently holds a $1.2 billion funded backlog alongside a sweeping $1.5 billion unfunded backlog. Funded backlog represents dollars already appropriated by Congress and assigned to specific deliverables, essentially guaranteeing future revenue. An unfunded backlog indicates indefinite-delivery vehicles in which the maximum value is set, but orders are placed incrementally over time. Together, these expansive $2.7 billion pipelines provide a thick layer of insulation against broader macroeconomic headwinds.
Catching Bears in the CrosshairsAeroVironment Stock Forecast Today12-Month Stock Price Forecast:
$266.68
83.94% Upside
Moderate Buy
Based on 24 Analyst Ratings
Current Price$144.99High Forecast$429.00Average Forecast$266.68Low Forecast$166.00AeroVironment Stock Forecast Details
The recent 38% price drop is heavily tied to market mechanics rather than fundamental deterioration. Short interest currently hovers around 12.6% of the float, translating to roughly 4.8 million shares sold short. The days-to-cover ratio is 4.6, indicating it would take nearly 5 days of average trading volume for short sellers to fully exit their positions.
This data frames the post-Investor Day sell-off as an aggressive short-selling distortion. Short sellers bet heavily on the execution risk narrative. When a business navigating negative trailing net margins trades at a forward price-to-earnings multiple of 44, it naturally attracts bearish speculators looking to capitalize on perceived overvaluation.
The bears are anchoring their thesis to trailing profitability metrics rather than forward cash flow and aggressive backlog conversion. As those newly minted task orders convert to recognized revenue at 22% margins, the fundamental floor beneath the stock rises.
A manufactured dip driven by weak hands and overzealous short sellers creates a highly volatile, asymmetric environment. If upcoming earnings reports continue to validate the $4 billion revenue roadmap, short sellers will be forced to buy back shares at higher prices to cover their positions, potentially triggering an upside re-rating for AeroVironment.
Preparing for a Permanent Shift in ProcurementThe market is currently mispricing a premier growth asset in the defense technology space. While the 2030 targets sound highly ambitious on paper, the operational groundwork is firmly established and actively generating cash. The combination of record EBITDA margins, sole-source contract dominance, and a multi-billion dollar backlog paints a picture of a business quietly taking market share while Wall Street looks the other way.
Investors seeking exposure to the permanent shift in global military doctrine might view this volatility as a rare structural opportunity. The Pentagon's transition toward swarm drones and loitering munitions is not a temporary trend, but a permanent evolution of defense spending.
Cautious market participants may prefer to watch the next quarterly earnings report to confirm ongoing backlog monetization before taking a position. Those with a higher risk tolerance might consider the current valuation disconnect a compelling moment to evaluate AeroVironment before the broader market digests the reality of its long-term trajectory.
Should You Invest $1,000 in AeroVironment Right Now?Before you consider AeroVironment, you'll want to hear this.
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NEW YORK, July 10, 2026 (GLOBE NEWSWIRE) -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against AeroVironment, Inc. (NASDAQ: AVAV) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired AeroVironment securities between June 25, 2025 and March 10, 2026, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/AVAV.
AeroVironment Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects. Specifically, the Complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose that:
(1) AeroVironment understated the likelihood that it would imminently face competition from other vendors for the work it performed in connection with the SCAR program and the U.S. Space Force’s ongoing efforts to modernize the SCN;
(2) accordingly, Defendants overstated AeroVironment’s business and financial prospects; and
(3) as a result, Defendants’ public statements were materially false and misleading at all relevant times.
What's Next for AeroVironment Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm’s site: bgandg.com/AVAV. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in AeroVironment you have until July 27, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to AeroVironment Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys’ fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for AeroVironment Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
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Contact Info
Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]
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Prior results do not guarantee similar outcomes.
LOS ANGELES, July 10, 2026 (GLOBE NEWSWIRE) -- Glancy Prongay Wolke & Rotter LLP reminds investors of the upcoming July 27, 2026 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased or otherwise acquired AeroVironment, Inc. (“AeroVironment” or the “Company”) (NASDAQ: AVAV) securities between June 25, 2025 and March 10, 2026, inclusive (the “Class Period”).
IF YOU SUFFERED A LOSS ON YOUR AEROVIRONMENT INVESTMENTS, CLICK HERE TO INQUIRE ABOUT POTENTIALLY PURSUING CLAIMS TO RECOVER YOUR LOSS UNDER THE FEDERAL SECURITIES LAWS.
What Happened?
On January 20, 2026, AeroVironment disclosed that the US government had issued a stop work order on the Company’s agreement to deliver BADGER phased array antenna systems to the US Space Force’s SCAR program. The Company stated the stop work order “allows for the parties to negotiate an amended agreement for the future of the SCAR program” and that “[t]he Company expects to continue to deliver capabilities and products for the SCAR program.”
On this news, AeroVironment’s stock price fell $61.97, or 15.8%, to close at $330.89 per share on January 20, 2026, thereby injuring investors.
Then, on March 2, 2026, Space News reported that the US Space Force was reopening the SCAR program and “reassessing how to move forward.”
On this news, AeroVironment’s stock price fell $43.93, or 17.4%, to close at $208.32 per share on March 2, 2026.
Then, on March 10, 2026, AeroVironment released its third quarter fiscal 2026 financial results, reporting an operating loss of $179 million, compared to $3.1 million the previous year. The results reflected the impact of a $151.3 million goodwill impairment after the stop work order on the BADGER systems. The Company also revealed that the US Space Force had terminated the Company’s contract for the SCAR program and, as a result, it would have to “recompete” for the program.
On this news, AeroVironment’s stock price fell $13.84, or 6.2%, to close at $207.73 per share on March 11, 2026.
Then, on March 31, 2026, the US Space Force announced its decision to diversify suppliers and rely on less costly commercial, off-the-shelf solutions in connection with its work to upgrade the Satellite Control Network (“SCN”), instead of pursuing another single-vendor bespoke solution.
What Is The Lawsuit About?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) AeroVironment understated the likelihood that it would imminently face competition from other vendors for the work it performed in connection with the SCAR program and the U.S. Space Force’s ongoing efforts to modernize the SCN; (2) accordingly, Defendants overstated AeroVironment’s business and financial prospects; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased or otherwise acquired AeroVironment securities during the Class Period, you may move the Court no later than July 27, 2026 to request appointment as lead plaintiff in this putative class action lawsuit.
Contact Us To Participate or Learn More:
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact us:
Charles Linehan, Esq.,
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100,
Los Angeles California 90067
Email: [email protected]
Telephone: 310-201-9150,
Toll-Free: 888-773-9224
Visit our website at www.glancylaw.com.
Follow us for updates on LinkedIn, Twitter, or Facebook.
If you inquire by email, please include your mailing address, telephone number and number of shares purchased.
To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contact Us:
Glancy Prongay Wolke & Rotter LLP,
1925 Century Park East, Suite 2100
Los Angeles, CA 90067
Charles Linehan
Email: [email protected]
Telephone: 310-201-9150
Toll-Free: 888-773-9224
Visit our website at: www.glancylaw.com.
Key Takeaways Qualcomm is broadening beyond smartphones with AI processors, data center chips and new long-term targets.MPWR is expanding AI server, power management and robotics offerings while investing in new products.QCOM and Monolithic differ in growth outlook, valuation and competitive positioning across AI markets. Qualcomm Incorporated (QCOM - Free Report) and Monolithic Power Systems (MPWR - Free Report) are prominent players in the semiconductor space. While Monolithic focuses on power management solutions that improve efficiency in AI servers and data center infrastructure, Qualcomm develops AI-capable processors powering smartphones, connected vehicles and edge devices.
The semiconductor industry is witnessing robust growth, fueled by the rapid adoption of AI, cloud computing and high-performance computing. Rising investments in AI data centers, enterprise servers and advanced computing infrastructure are driving demand for both compute and power management technologies. Let us analyze in depth the competitive strengths and weaknesses of the companies to understand who is in a better position to maximize gains from the emerging market trends.
The Case for QualcommGrowing AI proliferation is reshaping the semiconductor industry and Qualcomm is positioning itself to capture the emerging opportunities. For a long time, Qualcomm generated most of its revenues from smartphones. However, that market has become mature. The company is also facing competition from several other players in the industry, such as MediaTek and Samsung Exynos. Amid this backdrop, QCOM has undertaken a prudent approach to diversify its revenue stream.
AI adoption is set to create opportunities across a broad spectrum beyond smartphones, that includes PCs, cars, robotics, industrial equipment, networking gear and data centers. Legacy data centers primarily handled applications such as databases, websites and enterprise software. Rising usage of generative AI and AI agents has significantly increased demand for computing power. AI data centers must support large language model inference, multimodal AI, reasoning and memory-intensive workloads. Qualcomm is aiming to capitalize on this domain.
The company boasts decades of expertise in designing high-performance, low-power processors. This might give the company a competitive edge. Qualcomm recently launched a comprehensive data center portfolio that includes the Dragonfly C1000 CPU, designed for AI orchestration, agentic workloads and general-purpose computing; the Dragonfly AI300 inference accelerator for AI inference applications. It has also introduced a new memory architecture, Qualcomm High Bandwidth Compute, engineered to address the issues related to memory bandwidth bottlenecks while improving energy efficiency.
Backed by solid momentum, Qualcomm significantly raised its long-term financial targets. The company increased the fiscal 2029 non-handset revenue target to $40 billion, nearly double its previous target of $22 billion. The revised outlook includes more than $15 billion in data center revenues, $10 billion in automotive revenues and more than $14 billion in IoT revenues by fiscal 2029. The company projects non-GAAP earnings per share to exceed $18 by fiscal 2029.
The case for MonolithicMonolithic is steadily increasing its investment in Enterprise Data, communications and server portfolio, which continue to benefit from growing spending in AI infrastructure by businesses. Strong demand for AI accelerators, CPUs and server power management solutions is driving demand in the Enterprise Data segment.
Its strong focus on innovation is a positive factor. MPWR is actively testing its first high-speed DDR5 interface products with major customers. This could create more growth opportunities in storage and computing markets over time. Robotics and physical AI are an emerging long-term growth driver. AI adoption in robotics has already started to create commercial opportunities. Recognizing this trend, Monolithic is broadening its exposure to robotics, building automation and portable AI devices.
However, Monolithic operates in a highly competitive analog semiconductor market populated by larger companies such as Analog Devices, Inc. (ADI) and Texas Instruments. These companies have broader product portfolios and deeper financial resources. Analog Devices boasts a strong presence in Industrial, Automotive and Communications markets. The company is set to acquire Empower Semiconductor for $1.5 billion in cash. Analog Devices is aiming to expand its AI-focused high-density power management solutions for hyperscalers and data centers. Such initiatives may impact Monolithic’s initiatives in the power management space.
Semiconductor manufacturing also requires substantial capital investments to drive innovation and maintain a competitive edge in the long term. This pressure on profitability is particularly high during periods of industry downturns.
Monolithic derives a substantial portion of revenues from Asia, making results sensitive to foreign exchange movements, tariffs and changing trade policies. Management continues to highlight geopolitical and macroeconomic uncertainty, particularly surrounding export controls and evolving global tariff policies.
How Do the Estimates Compare for QCOM & MPWR?The Zacks Consensus Estimate for Monolithic’s 2026 sales and EPS indicates year-over-year growth of 32.78% and 35.3%, respectively. The EPS estimates for 2026 have remained unchanged over the past 60 days.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Qualcomm’s 2026 sales and EPS implies a year-over-year decline of 3.44% and 10.47%, respectively. The EPS estimates for 2026 have remain unchanged over the past 60 days.
Image Source: Zacks Investment Research
Price Performance & Valuation of QCOM & MPWROver the past year, Monolithic has increased 85.6%, while Qualcomm has increased 20.1%.
Image Source: Zacks Investment Research
Qualcomm looks more attractive than Monolithic from a valuation standpoint. Going by the price/earnings ratio, QCOM’s shares currently trade at 17.51 forward earnings, significantly lower than 51.28 for Monolithic.
Image Source: Zacks Investment Research
QCOM or MPWR: Which Is a Better Pick?Both Qualcomm and Monolithic carry a Zacks Rank 3 (Hold) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Qualcomm and Monolithic are taking several steps to strengthen their portfolio and gain from expanding their AI data center portfolio. Monolithic is venturing into high-growth markets such as robotics and physical AI. However, competition remains intense across power management, AI infrastructure and communications applications, where customers often require aggressive pricing and rapid innovation cycles. Qualcomm’s aggressive approach to diversify its revenue base, a comprehensive AI infrastructure roadmap spanning CPUs, inference accelerators and networking bodes well for long-term growth. Owing to these factors, a diverse portfolio and better valuation, Qualcomm is a better investment option at present.
SAN FRANCISCO, July 10, 2026 (GLOBE NEWSWIRE) -- Hagens Berman (HBSS), a securities litigation leader, is broadening its investigation into Verra Mobility Corp. (NASDAQ: VRRM) following the company's disclosure of an abrupt leadership transition. The news comes in the wake of a securities action suit stemming from the catastrophic loss of a major contract.
VRRM Investors Submit Your Losses Now to HBSS
Leadership Vacuum
On June 1, 2026, Verra Mobility announced that long-time CEO David Roberts has abruptly stepped down, ending a 12-year tenure. This departure follows a volatile period for the company, initiated by the unexpected termination of a key contract with Avis Budget Group—a move that wiped out approximately $1.4 billion in shareholder value.
The Board of Directors has appointed former Chief Transformation and Legal Officer Jon Keyser as interim President and CEO while retaining a global search firm for a permanent replacement. Hagens Berman is investigating whether the departure is causally related to the allegations in the securities class action suit.
Verra Mobility Corporation (VRRM) Securities Class Action:
The complaint alleges Verra made false and misleading statements and did not disclose important information to investors about the true state of the Verra/Avis relationship and the likelihood of Verra receiving an Avis contract renewal.
The truth allegedly emerged on May 26, 2026, when Verra disclosed that it received a termination notice effective September 2026 from Avis regarding the companies’ contract, that it is taking immediate actions to cut costs, adapt operations, and reposition its business, and revised its 2026 outlook that significantly deviated from that given just twenty days prior.
Verra also revealed that it was reviewing the parties’ negotiations and handling of confidential information.
The news promptly sent the price of Verra shares 70% crashing lower on May 27, 2026, amputating $1.4 billion from the company’s market capitalization in a single day.
View our latest video summary of the allegations: youtu.be/FVEw5XACoGA
“Our investigation is focused on the extent to which and when Verra and its executives knew that renegotiations with Avis were far from constructive, as the May 26 surprise reveals,” said Reed Kathrein, the Hagens Berman partner leading the firm’s investigation.
If you invested in Verra and have substantial losses, or have knowledge that will assist the firm’s investigation, submit your losses now.
If you’d like more information and answers to other frequently asked questions about the Verra case and the firm’s investigation, read more.
Whistleblowers: Persons with non-public information regarding Verra should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a global plaintiffs’ rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman’s team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Attorney Advertising. Prior results do not guarantee a similar outcome in any future case.
If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider MSCI (MSCI - Free Report) . This company, which is in the Zacks Financial - Investment Management industry, shows potential for another earnings beat.
This maker of software tools to help portfolio managers make investment decisions has an established record of topping earnings estimates, especially when looking at the previous two reports. The company boasts an average surprise for the past two quarters of 2.14%.
For the most recent quarter, MSCI was expected to post earnings of $4.4 per share, but it reported $4.55 per share instead, representing a surprise of 3.41%. For the previous quarter, the consensus estimate was $4.62 per share, while it actually produced $4.66 per share, a surprise of 0.87%.
Price and EPS Surprise
With this earnings history in mind, recent estimates have been moving higher for MSCI. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the company is positive, which is a great sign of an earnings beat, especially when you combine this metric with its nice Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
MSCI has an Earnings ESP of +2.40% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #2 (Buy), it shows that another beat is possibly around the corner. The company's next earnings report is expected to be released on July 21, 2026.
When the Earnings ESP comes up negative, investors should note that this will reduce the predictive power of the metric. But, a negative value is not indicative of a stock's earnings miss.
Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Bragar Eagel & Squire, P.C. Litigation Partners Brandon Walker and Melissa Fortunato Encourage Investors Who Suffered Losses In Calix (CALX) To Contact Them Directly To Discuss Their Options
If you purchased or acquired Calix securities between January 28, 2026 and April 21, 2026 and would like to discuss your legal rights, contact Bragar Eagel & Squire partners Brandon Walker or Melissa Fortunato by email at [email protected] or by telephone at (212) 355-4648.
Click here to participate in the action.
NEW YORK, July 10, 2026 (GLOBE NEWSWIRE) --
What’s Happening?
Bragar Eagel & Squire, P.C., a nationally recognized stockholder rights law firm, announces that a class action lawsuit has been filed against Calix, Inc. (“Calix” or the “Company”) (NYSE:CALX) in the United States District Court for the Northern District of California on behalf of all persons and entities who purchased or otherwise acquired Calix securities between January 28, 2026 and April 21, 2026, both dates inclusive (the “Class Period”).Investors have until July 27, 2026 to apply to the Court to be appointed as lead plaintiff in the lawsuit. What are the Allegation Details?
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) the Company’s first quarter margins had significantly benefited from advanced purchasing of memory components; (2) that the Company’s advanced supply of memory components was dwindling; (3) that, as a result, the Company was experiencing negative margin pressure as it was forced to purchase memory components at rising market prices; and (4) that, as a result of the foregoing, Defendants’ positive statements about the Company’s margins, business, operations, and prospects were materially misleading and/or lacked a reasonable basis. What are my Next Steps?
If you purchased or otherwise acquired Calix shares and suffered a loss, are a long-term stockholder, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Melissa Fortunato by email at [email protected], telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you. About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, South Carolina, and California. The firm represents individual and institutional investors in securities,
derivative, and commercial litigation as well as individuals in consumer protection and data privacy litigation. The firm has a nationwide practice and routinely handles cases in both federal and state courts. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
Follow us for updates on LinkedIn and Facebook, and keep up with other news by following Brandon Walker, Esq. on LinkedIn.
Key Takeaways AJG expects 2026 organic growth of about 7% in Risk Management and around 5.5% in Brokerage. AJG made eight deals in first-quarter 2026 and has around 40 term sheets in the pipeline. Dividend growth and buyback programs support shareholder returns, though higher expenses remain a risk. Shares of Arthur J. Gallagher & Co. (AJG - Free Report) are trading at a discount compared with the Zacks Brokerage Insurance industry. Its forward price-to-book value of 2.74X is lower than the industry average of 3.49X, the Finance sector’s 4.34X and the Zacks S&P 500 composite’s 8.07X.
Shares of other insurers like Erie Indemnity Company (ERIE - Free Report) are trading at a multiple higher than the industry average, while Brown & Brown, Inc. (BRO - Free Report) and Willis Towers Watson Public Limited Company (WTW - Free Report) are trading at a discount.
Image Source: Zacks Investment Research
AJG Trading Above 50-Day and 200-Day Moving AveragesShares of Arthur J. Gallagher closed at $253.76 on July 9 and are trading above the 50-day and 200-day simple moving averages (SMA) of $214.37 and $239.18, respectively, indicating solid upward momentum. SMA is a widely used technical analysis tool to predict future price trends by analyzing historical price data.
Image Source: Zacks Investment Research
Shares of Arthur J. Gallagher have lost 18.6% in the past year compared with the industry’s decline of 26.5%.
The insurer has a market capitalization of $65.2 billion. The average volume of shares traded in the last three months was 1.9 million.
Image Source: Zacks Investment Research
AJG’s Growth Projection EncouragesThe Zacks Consensus Estimate for Arthur J. Gallagher’s 2026 earnings per share indicates a year-over-year increase of 23.7%. The consensus estimate for revenues is pegged at $16.76 billion, implying a year-over-year improvement of 21.6%. The consensus estimate for 2027 earnings per share and revenues indicates an increase of 11.7% and 9.2%, respectively, from the 2026 estimates.
Earnings of Arthur J. Gallagher grew 18.1% in the last five years, better than the industry average of 13.9%. The long-term earnings growth is expected to be 14.9%, better than the industry average of 13.6%.
Target Price Reflects Potential UpsideBased on short-term price targets offered by 20 analysts, the Zacks average price target is $269.25 per share. The average indicates a potential 4.9% upside from the last closing price.
Image Source: Zacks Investment Research
Factors Impacting AJGArthur J. Gallagher remains focused on generating both organic (particularly international) and inorganic growth and is, thus, tapping into growth opportunities worldwide. This, coupled with solid retention and improving renewal premiums across all major geographies and most product lines, bodes well for growth.
In the Risk Management segment, AJG expects about 7% organic growth for 2026. AJG expects the full-year adjusted EBITDAC margin to range from 21% to 22%, up slightly from December expectations. In the Brokerage segment, AJG expects organic growth of around 5.5% for 2026, with projected underlying margin expansion of 40-60 basis points.
AJG’s revenues are geographically diversified with strong domestic and international operations. International contributes about one-third of revenues. Given the number and size of its non-U.S. acquisitions, AJG expects international contributions to its total revenues to trend upward.
Its inorganic growth story is impressive. Revenue growth rates generally ranged from 5% to 15% for 2026 acquisitions. In the first quarter of 2026, AJG completed eight acquisitions with estimated annualized revenues of about $49 million. Looking at the pipeline, AJG has around 40 term sheets signed or being prepared, representing around $400 million of annualized revenues.
AJG’s Capital DeploymentA robust capital position over the years reflects its financial flexibility. Banking on its capital position, AJG distributes wealth to shareholders through dividend hikes and share repurchases. In the first quarter of 2026, the dividend was raised by 7.6%, witnessing a three-year CAGR (2020-2025) of 7.6%. Arthur J. Gallagher’s current dividend yield is 1.1% and has a $1.5 billion share buyback program in place.
Risk
Arthur J. Gallagher has been experiencing an increase in expenses due to higher compensation, depreciation, amortization and operating expenses that have been eroding margins.
Arthur J. Gallagher’s return on equity of 12.8% is lower than the industry average of 18.8%. This shows the company’s inefficiency in managing shareholders’ funds. Also, the debt level is significant, which raises interest payouts and results in low times interest earned.
ConclusionAJG continues to benefit from solid retention, improving renewal premiums and organic and inorganic growth. The Risk Management and Brokerage segments should continue to witness significant growth. A robust capital position over the years reflects its financial flexibility. Its impressive dividend history, as well as solid growth projections, are other positives.
Given the escalating expenses and unfavorable return on capital, it is better to stay cautious about this Zacks Rank #3 (Hold) stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Element Solutions (ESI - Free Report) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices.
A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.
Individual investors often find it hard to make decisions based on rating upgrades by Wall Street analysts, since these are mostly driven by subjective factors that are hard to see and measure in real time. In these situations, the Zacks rating system comes in handy because of the power of a changing earnings picture in determining near-term stock price movements.
Therefore, the Zacks rating upgrade for Element Solutions basically reflects positivity about its earnings outlook that could translate into buying pressure and an increase in its stock price.
Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. That's partly because of the influence of institutional investors that use earnings and earnings estimates for calculating the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their bulk investment action then leads to price movement for the stock.
For Element Solutions, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.
Harnessing the Power of Earnings Estimate RevisionsEmpirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, so it could be truly rewarding if such revisions are tracked for making an investment decision. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.
The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .
Earnings Estimate Revisions for Element SolutionsFor the fiscal year ending December 2026, this specialty chemical and printing products is expected to earn $1.79 per share, which is unchanged compared with the year-ago reported number.
Analysts have been steadily raising their estimates for Element Solutions. Over the past three months, the Zacks Consensus Estimate for the company has increased 1.7%.
Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.
You can learn more about the Zacks Rank here >>>
The upgrade of Element Solutions to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.
Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? RBC Bearings (RBC - Free Report) , which belongs to the Zacks Manufacturing - General Industrial industry, could be a great candidate to consider.
When looking at the last two reports, this maker of bearings and components has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 8.02%, on average, in the last two quarters.
For the last reported quarter, RBC Bearings came out with earnings of $3.62 per share versus the Zacks Consensus Estimate of $3.31 per share, representing a surprise of 9.37%. For the previous quarter, the company was expected to post earnings of $2.85 per share and it actually produced earnings of $3.04 per share, delivering a surprise of 6.67%.
Price and EPS Surprise
With this earnings history in mind, recent estimates have been moving higher for RBC Bearings. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the company is positive, which is a great sign of an earnings beat, especially when you combine this metric with its nice Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
RBC Bearings currently has an Earnings ESP of +1.77%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #3 (Hold) indicates that another beat is possibly around the corner.
When the Earnings ESP comes up negative, investors should note that this will reduce the predictive power of the metric. But, a negative value is not indicative of a stock's earnings miss.
Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
NEW YORK, July 10, 2026 (GLOBE NEWSWIRE) -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Badger Meter, Inc. (NYSE: BMI) and certain of its officers.
This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Badger Meter securities between April 18, 2024 and April 16, 2026, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: bgandg.com/BMI.
Badger Meter Case Details
The Complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements and/or failed to disclose that:
the Company’s reported strong financial results did not reflect “ongoing favorable industry trends,” “secular growth drivers,” or “solid operating execution,” as represented, but were instead unsustainable;Defendants’ statements touting “strong” demand, “robust order pacing,” and a “strong bid pipeline” overstated the true state of the Company’s demand environment and ability to generate continued sales and earnings growth; andcontrary to Defendants’ claims that the Company possessed a “long runway” for growth, the Company’s growth prospects were materially overstated, such that Defendants lacked a reasonable basis for their positive statements about the Company’s business, operations, and future prospects. What's Next for Badger Meter Investors?
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm’s site: bgandg.com/BMI. or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Badger Meter you have until August 3, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.
No Cost to Badger Meter Investors
We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys’ fees, usually a percentage of the total recovery, only if we are successful.
Why Bronstein, Gewirtz & Grossman, LLC for Badger Meter Securities Class Action?
Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com
"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.
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Contact Info
Peretz Bronstein, Esq. or Nathan Miller
Bronstein, Gewirtz & Grossman, LLC
917-590-0911 | [email protected]
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Prior results do not guarantee similar outcomes.
It has been about a month since the last earnings report for Chewy (CHWY - Free Report) . Shares have added about 10.1% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Chewy due for a pullback? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent catalysts for Chewy before we dive into how investors and analysts have reacted as of late.
Chewy Q1 Earnings Meet Estimates, Sales Beat on Autoship StrengthChewy reported solid first-quarter fiscal 2026 results, wherein the top line beat the Zacks Consensus Estimate, and the bottom line met the same. Both metrics showed year-over-year growth.
Chewy noted that while the overall pet category remains resilient, the consumer environment has become more challenging since the company established its initial fiscal 2026 outlook. In response to these evolving conditions, management is updating its full-year sales outlook to reflect softer consumer trends and more conservative internal assumptions.
CHWY’s Quarterly Performance: Key Metrics and InsightsChewy posted adjusted earnings of 43 cents per share, which came in line with the Zacks Consensus Estimate. The figure increased from 35 cents in the prior-year period.
The company reported net sales of $3,357.2 million, surpassing the Zacks Consensus Estimate of $3,352 million. The figure increased 7.7% from $3,116 million posted in the year-ago period.
The Autoship subscription program remained a cornerstone of Chewy’s model. Autoship customer sales grew 10.5% year over year to $2,832.6 million from $2,562.7 million, outpacing overall net sales growth. The metric represented 84.4% of total net sales.
The company ended the quarter with 21.5 million active customers, increasing 3.6% year over year.
Chewy’s net sales per active customer reached $597. The metric reflects a 2.4% year-over-year increase from $583.
CHWY’s Margin & Cost PerformanceChewy’s gross profit increased 3.6% year over year to $1,011.4 million from $923.8 million. The gross margin expanded by 50 basis points (bps) year over year to 30.1%, driven primarily by continued growth in sponsored ads, favorable category mix and operating discipline.
Adjusted SG&A expenses reached $593 million in the fiscal first quarter. As a percentage of net sales, this metric declined 90 basis points year over year to 17.7%, due to lower variable costs from productivity improvements and AI-led efficiencies.
Advertising and marketing expenses for the fiscal first quarter were $206.1 million compared with $193.8 million in the prior-year period. As a percentage of sales, advertising and marketing expenses were 6.1%.
The adjusted EBITDA increased 31.3% year over year to $253.1 million from $192.7 million. The adjusted EBITDA margin increased 130 bps year over year to 7.5% from 6.2%, driven by adjusted EBITDA flow-through of greater than 25%. This level of profitability expansion reflects the structural strengthening of Chewy's earnings model.
CHWY’s Financial Health SnapshotCHWY ended the quarter with approximately $485.2 million in cash, cash equivalents and $34.9 million in marketable securities. Total shareholders’ equity stood at $424.2 million.
The company generated net cash provided by operating activities of $108.5 million and free cash flow of $70.8 million for the quarter, up 45.4% from the prior-year period. Capital expenditures were $37.7 million, consistent with ongoing investment needs across the network.
Capital allocation remained active. The company repurchased $200 million of common stock during the quarter, reflecting continued emphasis on returning cash to shareholders alongside strategic investments.
What to Expect From CHWY in the Future?Chewy revised its full-year fiscal 2026 net sales outlook, with expectations between $13.4 billion and $13.55 billion compared with the previous guidance range of $13.6 billion to $13.75 billion. The updated outlook includes expected net sales contributions of approximately $80 million from SmartPak and approximately $70 million from Modern Animal during fiscal 2026.
Adjusted EBITDA margin is expected to be in the range of 6.6-6.8%, roughly a 100 bps year-over-year increase at the midpoint. This outlook reflects a more conservative view of consumer spending patterns and category growth assumptions. Management emphasized that the change was tied to slower expected net sales per active customer expansion, driven by weaker discretionary attachment and premiumization.
For the second quarter of fiscal 2026, the company expects net sales in the range of $3.3-$3.33 billion, reflecting 6-7% year-over-year growth. The outlook assumes a generally stable operating environment and consumer trends compared with the end of the first quarter. The company continues to see healthy customer engagement, strength in Autoship and ongoing market share gains. However, near-term pressure remains on discretionary attachment and premiumization behavior. Management is also introducing quarterly adjusted EBITDA margin guidance to provide greater transparency amid varying profitability drivers.
Chewy expects second-quarter adjusted EBITDA margin to be between 6.3% and 6.4%, representing approximately 50 basis points of year-over-year expansion at the midpoint. Profitability is expected to face pressure from tougher gross margin comparisons due to prior-year non-recurring MAP pricing benefits and elevated fuel surcharge costs. However, ongoing SG&A discipline and operational efficiency improvements are expected to support margin performance during the quarter.
How Have Estimates Been Moving Since Then?Since the earnings release, investors have witnessed a downward trend in fresh estimates.
The consensus estimate has shifted -18.29% due to these changes.
VGM ScoresCurrently, Chewy 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 score of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of B. 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. It's no surprise Chewy has a Zacks Rank #5 (Strong Sell). We expect a below average return from the stock in the next few months.
Performance of an Industry PlayerChewy is part of the Zacks Internet - Commerce industry. Over the past month, PetMed (PETS - Free Report) , a stock from the same industry, has gained 6.5%. The company reported its results for the quarter ended March 2026 more than a month ago.
PetMed reported revenues of $42.82 million in the last reported quarter, representing a year-over-year change of -7.9%. EPS of -$0.19 for the same period compares with -$0.56 a year ago.
PetMed is expected to post earnings of $0.12 per share for the current quarter, representing a year-over-year change of +135.3%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for PetMed. Also, the stock has a VGM Score of B.
Investors with an interest in Aerospace - Defense stocks have likely encountered both Lockheed Martin (LMT) and Howmet (HWM). But which of these two stocks is more attractive to value investors?
Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? BorgWarner (BWA - Free Report) , which belongs to the Zacks Automotive - Original Equipment industry, could be a great candidate to consider.
This auto parts supplier has an established record of topping earnings estimates, especially when looking at the previous two reports. The company boasts an average surprise for the past two quarters of 11.64%.
For the last reported quarter, BorgWarner came out with earnings of $1.24 per share versus the Zacks Consensus Estimate of $1.16 per share, representing a surprise of 6.90%. For the previous quarter, the company was expected to post earnings of $1.16 per share and it actually produced earnings of $1.35 per share, delivering a surprise of 16.38%.
Price and EPS Surprise
With this earnings history in mind, recent estimates have been moving higher for BorgWarner. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the company is positive, which is a great sign of an earnings beat, especially when you combine this metric with its nice Zacks Rank.
Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
BorgWarner currently has an Earnings ESP of +4.85%, which suggests that analysts have recently become bullish on the company's earnings prospects. This positive Earnings ESP when combined with the stock's Zacks Rank #2 (Buy) indicates that another beat is possibly around the corner. We expect the company's next earnings report to be released on August 5, 2026.
With the Earnings ESP metric, it's important to note that a negative value reduces its predictive power; however, a negative Earnings ESP does not indicate an earnings miss.
Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.
Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
SoFi stock has rebounded in recent weeks, climbing from its year-to-date low of about $15 to around $19 today. Even so, the shares remain roughly 42% below their all-time high. CEO Anthony Noto has attributed much of the weakness to the broader pullback in fintech stocks.
With the company's earnings due later this month, the key question is whether SoFi can extend its recovery or resume its downtrend.
SoFi Technology has lagged the market this year, with its stock falling by nearly 30%, while the Nasdaq 100 has jumped by 18%.
This retreat happened even as the company published strong results and launched new products in its goal to become the go-to app for financial services. It relaunched crypto trading, launched a new stablecoin (SoFiUSD), Coach, a new AI solution offering financial advise, and a new Home Equity Line of Credit (HELOC) solution.
SoFi’s finances have done well this year. Its last financial results showed that its net revenue jumped 41% in the first quarter to $1.1 billion, higher than what analysts were expecting. This growth happened as the number of members jumped 35%, while its products rose 39%. Its new members rose by a record 1.1 million in Q1 to 14.7 million.
Most importantly, the company’s growth is expected to continue in the foreseeable future. Its upcoming results later this month are expected to show that its revenue jumped 30% to $1.12 billion. These are solid numbers for a company in the financial services industry, and one that has not made any major acquisitions recently.
The annual revenue is expected to jump to $4.68 billion this year followed by $5.78 billion next year. Also, its profits are expected to keep rising, with the earnings per share reaching 59 cents this year, followed by 81 cents next year.
READ MORE: Why Cathie Wood is doubling down on this $18 stock
In a CNBC interview this week, CEO Anthony Noto argued that the ongoing SoFi weakness is primarily because of its sector. Indeed, most fintech stocks like PayPal, Shift4 Payments, and Coinbase have all dropped this year.
Another reason is that the company diluted its shareholders earlier this year, raising $1.58 billion by issuing 57.7 million new shares. In total, the company raised over $3.8 billion in six months.
Investors are also questioning SoFi’s business after Muddy Waters published a highly bearish report. It accused the company of inflating the fair value of its loan portfolio, underreporting its losses, and having hidden debt. SoFi denied those allegations.
Finally, there have been concerns about its valuation, with its forward price-to-earnings ratio being 31, and its PEG ratio rising to 9.12. The company justifies its valuation by using the Rule of 40, which stands at 72%. It was the 18th consecutive quarter of having a score higher than 40%.
SoFi stock chart | Source: TradingView
The daily chart shows that the SoFi stock has jumped from $15 to $18.72 today. It has already crossed the 50-day moving average, while the Relative Strength Index (RSI) has been in an uptrend after bottoming at 21 a few months ago. It stands at 60 today, and the uptrend is continuing. As such, this RSI suggests that it has more upside before it gets to overbought levels.
The risk, however, is that it has slowly formed a rising wedge pattern, which may lead to more downside. In this case, it may be ideal to wait for the stock to cross the upper side of the wedge for confirmation of the bullish breakout. A move above that level will point to more gains towards $25.
Key Takeaways Sterling is executing its semiconductor strategy on its first fabrication campus.CEC added key capabilities and contributed $156.1 million in first-quarter revenues.Mission-critical projects topped 90% of E-Infrastructure backlog, with $1.3 billion in future phases. Sterling Infrastructure, Inc. (STRL - Free Report) is steadily expanding its role in one of the fastest-growing areas of U.S. infrastructure spending: semiconductor manufacturing. While the company has long been known for site development work, recent investments are enabling it to participate in a much larger portion of semiconductor fabrication projects.
The strategy gained momentum following Sterling's acquisition of CEC Facilities Group in September 2025. The deal added electrical and mechanical contracting capabilities to Sterling's existing site-development expertise, allowing it to offer customers a broader suite of services across mission-critical facilities. Sterling can now deliver an integrated, single-source suite of services tailored to complex, mission-critical environments. The immediate impact of this acquisition was evident in the first quarter of 2026, during which CEC alone contributed $156.1 million to company revenues.
The company's semiconductor strategy has now moved beyond planning into execution. During the first-quarter earnings call, management said Sterling is actively working on its first semiconductor fabrication campus while simultaneously delivering site and electrical services across multiple data center campuses. The company also noted that mission-critical projects, including semiconductor manufacturing and data centers, represented more than 90% of E-Infrastructure backlog during the quarter, underscoring the increasing importance of these end markets.
Sterling's project pipeline further reinforces the long-term opportunity. Overall company backlog reached nearly $3.8 billion at the end of the first quarter, while management highlighted approximately $1.3 billion of future project phases associated with existing work that are not yet included in the reported backlog. These future phases, combined with strong award activity and a growing pipeline of mission-critical projects, provide additional visibility into long-term demand beyond signed contracts.
Execution, however, remains critical. Semiconductor projects are technically demanding, capital intensive and often subject to customer investment schedules. Sterling's ability to convert future project phases into signed awards, maintain disciplined execution and leverage its integrated platform across additional semiconductor facilities will determine whether this emerging opportunity becomes a durable contributor to long-term growth. If successful, semiconductor manufacturing could complement the company's rapidly expanding data center business and provide another meaningful avenue for sustained growth.
Semiconductor Expansion Reshapes Industry CompetitionSterling Infrastructure's push into semiconductor manufacturing reflects a broader trend across the engineering and construction industry, where contractors are expanding their capabilities to capture rising investment in mission-critical infrastructure. Other industry leaders, including Quanta Services, Inc. (PWR - Free Report) and EMCOR Group, Inc. (EME - Free Report) , are also strengthening their positions across data centers, semiconductor manufacturing and related infrastructure through capacity expansion, integrated service offerings and disciplined execution.
Quanta continues to deepen its exposure to technology infrastructure as hyperscaler and AI-driven investments accelerate. During the first quarter, the company increased its technology and load center growth outlook to roughly 110%, supported by strong demand from hyperscale customers and continued expansion across data center and power infrastructure markets. Management noted that technology opportunities continue to arrive daily and emphasized investments in off-site manufacturing, fabrication and supply-chain capabilities to improve execution speed and labor productivity for mission-critical projects.
EMCOR is also benefiting from sustained investment across mission-critical facilities while maintaining a diversified end-market portfolio. The company reported continued strength in network and communications projects, where data center demand remains robust, alongside growing activity in healthcare, institutional facilities, manufacturing, water infrastructure and high-tech manufacturing. Management stated that it expects to continue growing meaningfully faster than the broader nonresidential construction market while selectively pursuing semiconductor manufacturing opportunities where project economics and customer relationships are attractive.
STRL Stock’s Price Performance & Valuation TrendShares of this Texas-based infrastructure services provider have gained 130.9% year to date, outperforming the Zacks Engineering - R and D Services industry, the broader Construction sector and the S&P 500 Index.
Image Source: Zacks Investment Research
STRL stock is currently trading at a premium compared with its industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 32.41, as shown in the chart below.
Image Source: Zacks Investment Research
Earnings Estimate Revision of STRLSTRL’s earnings estimates for 2026 and 2027 have moved upward in the past 30 days to $19.12 and $25.83 per share, respectively. The revised estimates for 2026 and 2027 imply year-over-year growth of 75.7% and 35.1%, respectively.
Image Source: Zacks Investment Research
Sterling currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
MasTec (MTZ - Free Report) closed the last trading session at $384.72, gaining 7.3% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $488.3 indicates a 26.9% upside potential.
The mean estimate comprises 20 short-term price targets with a standard deviation of $47.04. While the lowest estimate of $340.00 indicates a 11.6% decline from the current price level, the most optimistic analyst expects the stock to surge 43% to reach $550.00. It's very important to note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.
While the consensus price target is highly sought after by investors, the ability and unbiasedness of analysts in setting price targets have long been questionable. And investors making investment decisions solely based on this tool would arguably do themselves a disservice.
However, an impressive consensus price target is not the only factor that indicates a potential upside in MTZ. This view is strengthened by the agreement among analysts that the company will report better earnings than what they estimated earlier. Though a positive trend in earnings estimate revisions doesn't give any idea as to how much the stock could surge, it has proven effective in predicting an upside.
Price, Consensus and EPS Surprise
Here's What You May Not Know About Analysts' Price TargetsAccording to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that price targets set by several analysts, irrespective of the extent of agreement, rarely indicate where the price of a stock could actually be heading.
While Wall Street analysts have deep knowledge of a company's fundamentals and the sensitivity of its business to economic and industry issues, many of them tend to set overly optimistic price targets. Are you wondering why?
They usually do that to drum up interest in shares of companies that their firms either have existing business relationships with or are looking to be associated with. In other words, business incentives of firms covering a stock often result in inflated price targets set by analysts.
However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces.
That said, while investors should not entirely ignore price targets, making an investment decision solely based on them could lead to disappointing ROI. So, price targets should always be treated with a high degree of skepticism.
Here's Why There Could be Plenty of Upside Left in MTZAnalysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason to expect an upside in the stock. That's because empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
The Zacks Consensus Estimate for the current year has increased 1.4% over the past month, as two estimates have gone higher compared to no negative revision.
Moreover, MTZ currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Therefore, while the consensus price target may not be a reliable indicator of how much MTZ could gain, the direction of price movement it implies does appear to be a good guide.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in CORT over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
SummaryApollo Global Management is analyzed alongside peers KKR, ARES, and BX, focusing on their Q1 2024 10-Q filings.Key topics include fee-related earnings, fundraising momentum, and the impact of market conditions on alternative asset managers’ performance.APO demonstrates strong capital deployment and resilient fee streams, supporting a constructive outlook for the stock.Valuation, balance sheet strength, and forward fundraising visibility are highlighted as critical drivers for investment decisions in the sector. FabrikaCr/iStock via Getty Images
Investment Thesis Apollo Global Management, Inc. (APO) is undervalued when considering fundamental valuation metrics based on adjusted earnings and spread-related earnings (SRE) relative to peers. Due to market fears of private credit's software exposure amid AI disruption, private equity and credit stocks have
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Analyst’s Disclosure: I/we have a beneficial long position in the shares of APO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
I have held a long position in Apollo Global Management common stock throughout 2025 and 2026. I have not actively traded Apollo securities during 2026, nor have I traded the securities of competitors discussed in this article during that period. All opinions expressed are my own and are based solely on publicly available information, including the sources cited in the article. I have not relied on any material non-public information in preparing this analysis. I have no business relationship with Apollo Global Management or any company mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Key Takeaways ASTS is building a direct-to-cell satellite network for standard smartphones without special devices.ASTS supports defense efforts through the SHIELD initiative and the HALO Europa program.BlueBird LEO satellites extend voice, messaging and data coverage to remote and disaster-affected areas. AST SpaceMobile (ASTS - Free Report) is developing a satellite network that could transform defense communications by allowing standard smartphones to connect directly to satellites without specialized equipment. This capability can help military personnel and emergency responders stay connected when ground-based communication networks are unavailable or disrupted.
AST SpaceMobile's BlueBird low Earth orbit (LEO) satellites provide reliable connectivity across remote areas, maritime regions and disaster zones where conventional cellular coverage is limited. By supporting voice, messaging and data services on compatible smartphones, the network can improve operational flexibility while reducing reliance on dedicated satellite phones.
The company is also expanding its presence in the defense sector through programs such as the U.S. Missile Defense Agency's SHIELD initiative and the Space Development Agency's HALO Europa program. These efforts highlight the growing interest in resilient, space-based communication systems that complement existing military networks and strengthen national security.
As governments invest in resilient space-based infrastructure, AST SpaceMobile is likely to support future military and emergency communications. The company’s direct-to-cell satellite network could become a vital supplementary communication layer for mission-critical operations where reliable connectivity is essential.
How Are Other Competitors Performing?AST SpaceMobile faces competition from Globalstar, Inc. (GSAT - Free Report) and Viasat, Inc. (VSAT - Free Report) . Globalstar operates in a LEO satellite network that supports defense communications. Its satellites help military personnel stay connected in remote areas where regular communication networks are unavailable. The company works with government and defense agencies to provide reliable satellite connectivity.
Viasat provides satellite communications for military and government users. Its satellite network helps defense forces maintain secure and reliable communications during critical missions. The company also supports defense operations with satellite connectivity for aircraft, ships and ground forces.
ASTS’ Price Performance, Valuation and EstimatesAST SpaceMobile shares have gained 66.2% over the past year compared with the industry’s growth of 44.9%.
Image Source: Zacks Investment Research
From a valuation standpoint, AST SpaceMobile trades at a forward price-to-sales ratio of 61.27, well above the industry average of 5.11.
Image Source: Zacks Investment Research
Earnings estimates for 2026 have declined 48.5% to a loss of $1.47 per share over the past 60 days, while the same for 2027 has decreased to a loss of 38 cents per share.
Key Takeaways Kinder Morgan earns mostly from take-or-pay contracts across 78,000 miles of pipelines.MPLX generates stable cash flows from long-term shipper contracts and fee-based gathering systems.Williams operates more than 30,000 pipeline miles linking U.S. basins to key natural gas markets. The outlook for the U.S.-Iran conflict remains uncertain after the recent U.S. strikes, with President Donald Trump saying it is unclear whether the situation will stabilize or escalate further. As a result, uncertainty persists, and the oil and energy markets are likely to remain volatile.
Renewed tensions, with the United States and Iran having already exchanged intense attacks, could disrupt oil flows through the Strait of Hormuz. At the same time, inflation and broader economic concerns may weigh on global oil demand.
Therefore, the near-term direction of West Texas Intermediate crude oil prices, currently trading below the $75-per-barrel mark, remains uncertain, creating volatility across the energy sector. However, not all stocks are affected. Three midstream players like Kinder Morgan, Inc. (KMI - Free Report) , MPLX LP (MPLX - Free Report) and The Williams Companies, Inc. (WMB - Free Report) are well-poised to gain. Let's delve deeper.
Resilient Business Model of Midstream BusinessStocks in the midstream space have lower exposure to volatility in commodity prices than oil and gas producers. This is because midstream players generate stable fee-based revenues since the transportation and storage assets are being booked by shippers for the long term. Hence, their business model is relatively low-risk, which indicates considerably less exposure to oil and gas prices and volume risks.
3 Pipeline Stocks to Keep an Eye on: KMI, MPLX & WMBKinder Morgan: With its operating interests in oil and gas pipeline networks spread across 78,000 miles, KMI is a leading energy infrastructure company in North America. It derives most of its earnings from take-or-pay contracts, generating stable fee-based revenues.
The midstream energy major, carrying a Zacks Rank #3 (Hold), is likely to grow on the back of its business model, which is relatively resilient to volume and commodity price risks. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
MPLX: MPLX’s midstream business comprises transporting crude oil and refined products. The #3 Ranked partnership generates stable cash flows from its long-term contracts with the shippers. Its crude oil and natural gas gathering systems also generate stable fee-based revenues.
The Williams Companies: The company is well-poised to capitalize on the mounting demand for clean energy since it is engaged in transporting, storing, gathering and processing natural gas and natural gas liquids.
With its pipeline networks spread across more than 30,000 miles, The Williams Companies, with a Zacks Rank of 3, connects premium basins in the United States to the key market. WMB’s assets can meet a considerable proportion of the nation’s natural gas consumption, which is utilized for heating purposes and clean-energy generation.
Investors interested in stocks from the Mining - Miscellaneous sector have probably already heard of Nexa Resources S.A. (NEXA) and Anglo American (NGLOY).
Viking Therapeutics is advancing its GLP-1 weight-loss pipeline, with Phase 3 trials progressing and oral formulation development accelerating. The consensus analyst price targets average $92.58, suggesting substantial upside. Recent biotech sector M&A highlights VKTX's potential valuation in a rapidly expanding GLP-1 market.
Reddit Inc (NYSE:RDDT) continued to gain share of social advertising budgets in the second quarter, with agency checks pointing to strong momentum ahead, according to a note from Jefferies.
Agencies reported that digital ad spending accelerated sequentially in the second quarter, with growth expected to hold steady through the second half of the year.
“Agencies cited Reddit’s contextual targeting capabilities as critical for driving more low-funnel spend, suggesting new performance products could extend the runway for share gains,” Jefferies analysts wrote.
“Talks also continued to highlight limited risk to social budgets from LLM advertising,” Jefferies added, leading analysts to conclude Reddit’s second quarter is “likely to exhibit strong momentum.”
Macro-sensitive advertisers turned more constructive after showing hesitancy earlier in the year tied to Middle East conflict concerns.
Paid social continued to gain share within the broader digital ad market, supported by improving lower-funnel capabilities, growing investment in influencer strategies, and an expanding role in product discovery.
Reddit's gains were attributed to its high-intent audience, incremental reach, and contextual targeting capabilities. Agencies most frequently cited LinkedIn, Pinterest, Snap, and X as the platforms losing budget share to Reddit.
Advertiser adoption of Reddit's offerings remains concentrated in the mid and upper funnel, while newer performance products, including dynamic product ads, are still in early stages. Agencies said most advertisers remain in a test-and-learn phase with these tools, and further improvements to lower-funnel measurement and targeting could unlock additional budget by bringing Reddit closer to parity with competitors.
Reddit's investments in automation and ease-of-use, including its "Max" tool and Shopify integration, are also lowering barriers to entry for smaller advertisers, according to the note. Jefferies said this could broaden Reddit's advertiser base and support continued growth if spending among longer-standing advertisers moderates.
By contrast, agencies trialing ChatGPT's advertising product described the results as underwhelming, citing above-average cost per impression, uncertain return on ad spend, and budgets that were either incremental or diverted from search rather than social.
Regions Financial (RF - Free Report) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.
The earnings report, which is expected to be released on July 17, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise.
Zacks Consensus EstimateThis holding company for Regions Bank is expected to post quarterly earnings of $0.64 per share in its upcoming report, which represents a year-over-year change of +6.7%.
Revenues are expected to be $1.95 billion, up 2.5% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has been revised 0.22% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Regions Financial?For Regions Financial, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +0.25%.
On the other hand, the stock currently carries a Zacks Rank of #3.
So, this combination indicates that Regions Financial will most likely beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Regions Financial would post earnings of $0.61 per share when it actually produced earnings of $0.62, delivering a surprise of +1.64%.
Over the last four quarters, the company has beaten consensus EPS estimates three times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Regions Financial appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
An Industry Player's Expected ResultsAnother stock from the Zacks Banks - Southeast industry, Simmons First National (SFNC - Free Report) , is soon expected to post earnings of $0.53 per share for the quarter ended June 2026. This estimate indicates a year-over-year change of +20.5%. Revenues for the quarter are expected to be $250.4 million, up 16.9% from the year-ago quarter.
Over the last 30 days, the consensus EPS estimate for Simmons First National has been revised 0.6% up to the current level. Nevertheless, the company now has an Earnings ESP of +0.47%, reflecting a higher Most Accurate Estimate.
When combined with a Zacks Rank of #3 (Hold), this Earnings ESP indicates that Simmons First National will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
The trading activity of members of Congress continues to be closely monitored by retail investors, especially when the stocks bought could land deals from committees the members serve on.
Congresswoman’s Trades Get FlaggedCongresswoman Maria Elvira Salazar (R-Fla.) recently disclosed new trades made in June, as reported by the Benzinga Government Trades page.
Among the trades disclosed were the following:
In total, the congresswoman bought BEP stock six times over a three-day stretch with a total purchase of $20,000 to $125,000.
The congresswoman also previously bought BEP stock back in May.
The Nancy Pelosi tracker account on social media flagged the purchase as unusual and a "notable political trade alert."
"The company recently announced it’s exploring a merger, which would open the stock up to millions of new investors. For context, Brookfield Renewable is one of the largest clean energy companies in the world and headquartered in Bermuda. Salazar chairs the committee that oversees U.S. policy in Latin America," PelosiTracker tweeted.
The account also flagged Salazar buying stock in Voyager Technologies Inc (NYSE:VOYG), a defense and space company.
"Voyager builds defense systems and sells them to governments around the world. What makes it interesting is Salazar sits on the House Foreign Affairs Committee. That Committee oversees the State Department, which approves every international arms deal a defense company like Voyager wants to make."
Salazar’s Trading HistoryIn 2024, Salazar made more than $2 million in trades, mostly buys. In 2023, the congresswoman made over $3 million in trades, mostly buys.
Salazar’s committee assignments could create conflicts of interest for several of the stock purchases, including Boeing and GE Aerospace, two stocks that could benefit from increased war activities and an increased defense budget.
Salazar also bought several banking stocks, such as Citigroup and Goldman Sachs. These purchases could be a conflict of interest with her assignment on the Financial Services Committee.
Benzinga will continue to monitor the trading activity of members of Congress for questionable trades.
Photo: W. Scott McGill via Shutterstock
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