While Elon Musk’s other trillion-dollar company drew the bulk of attention, SpaceX (NASDAQ: SPCX) was not the only exciting technology stock to hit the public markets in June 2026.
Specifically, the quantum computing company Quantinuum (NASDAQ: QNT) launched on June 4 with an initial public offering (IPO) price of $60 per share, which turned into $68 already at the morning bell but then dipped to $60.38 by the evening.
At press time in the July 10 pre-market, however, QNT equity is worth substantially more: $74 following a 0.67% extended session rally from $73.51 at the latest close.
Under the circumstances, $1,000 invested at either the IPO price or close to the June 4 closing bell would have turned into $1,233.30 for $233.30 in profits, simultaneously making it a superior investment to SpaceX stock.
QNT stock price chart. Source: Google Still, despite offering a strong performance in its first month, given it is 30.66% above its day-one price, Quantinuum has been on a slow downtrend in recent weeks and is 14.74% under its all-time high (ATH) of $86.79.
Wall Street sets Quantinuum stock price target for the next 12 months Elsewhere, QNT shares might simultaneously be the best quantum computing stock to buy in 2026. Along with impressive initial performance indicating the equity was somewhat undervalued from the get-go, Wall Street experts see substantial room for growth in the coming 12 months.
Indeed, Quantinuum is overall regarded as a ‘Strong Buy,’ with a singular ‘Hold’ recommendation – issued by Morgan Stanley’s (NYSE: MS) Joseph Moore with a $78 price forecast on June 29 – and no ‘Sell’ ratings.
Furthermore, the quantum computing stock is, on average, expected to climb 34.34% to $98.75 in the next 12 months.
Wall Street sets QNT stock price target for the next 12 months. Source: TipRanks Examining the specific stock price targets, Rosenblatt analyst John McPeake is responsible for the Street high estimate of $155 – a 110.86% predicted climb from the latest close and 109.50% from $74 at press time.
Along with being a popular company operating in a now government-backed sector, Quantinuum made itself into a top 2026 quantum computing stock with recent scientific and engineering achievements.
Notably, the firm is responsible for Helios – a machine touted as the world’s most accurate commercial quantum computer.
Lastly, and despite the recent achievement and strong market performance since the IPO, quantum computing has, thus far, been akin to the phenomenon of quantum superposition in that it has been perpetually impressive in its achievements and underwhelming in outcomes while, despite the promise, so far evidently failing to produce world-changing breakthroughs upon scrutiny.
Quantinuum could change the reading, thus solidifying its position as the best quantum computing stock to buy in 2026, but investors should be aware that it could find itself stuck in a type of limbo for years to come.
Kurt Wagner, Bloomberg Senior Reporter, joined Bloomberg's Paul Sweeney and Jess Menton to talk about his interview with META CEO and founder Mark Zuckerberg detailing the company's newest AI model. In a crowded market for AI tools, Mark Zuckerberg wants to win on price.
ToplineThe European Union ordered Meta to enact major design changes to its social media platforms, Instagram and Facebook, and to disable “addictive design” elements like infinite scroll and autoplay videos, or face large fines, in the bloc's latest regulatory action against a U.S. tech platform under its Digital Services Act.
The EU's investigation deemed certain Instagram and Facebook features like infinite scrolling as "addictive design."
SOPA Images/LightRocket via Getty Images
Key FactsThe European Commission, the EU’s executive body, said its investigation found Meta did not adequately assess the risks of its “addictive design on the physical and mental wellbeing of users, including minors and vulnerable adults.”
The Commission highlighted Facebook and Instagram features like autoplay videos, infinite scrolling timelines and “highly personalized recommendations.”
The regulatory body accused Meta of using these features to “fuel the user's urge to keep scrolling” and put their brain on “autopilot,” noting that this behavior was unhealthy.
The Commission also alleged that the social media giant ignored available information about the amount of time minors spend on its apps at night, consuming “reels and stories.”
Deeming Meta’s existing time management tools as ineffective, the EU body noted they can be “easily dismissed” and said the apps’ parental controls are only effective if parents have “adequate technical expertise.”
Forbes has reached out to Meta for comment.
What Does the EU Want Meta To Do?The commission said it wants Meta to implement key design changes, including disabling “autoplay” and “infinite scroll” by default, implementing “effective screen time breaks,” and altering its personalized recommendations algorithm to make it less “engagement-oriented.”
What To Watch ForMeta will have the right to challenge the investigation’s preliminary findings. The company told the New York Times it disagreed with the commission report, which it said didn’t “accurately take into account the significant steps we’ve taken to protect teens.”
What Sort Of Fines Could Meta Face?If the commission’s preliminary findings are confirmed, it could issue a “non-compliance decision” which will allow the EU to slap Meta with a hefty fine of up to 6% of its global annual turnover under the Digital Services Act.
further readingMeta Threatenes With Major EU Fine For Failing To Block Underage Users From Facebook And Instagram (Forbes)
Live Coverage Updates appear automatically as they are published.
Live Updates 42 minutes ago
Live
Bernstein is getting more optimistic on gold into late 2026, raising its forecast to $4,533 per ounce and setting a second-half target of $4,375. The case rests on steady central bank buying, limited ETF selling, and a Federal Reserve that stops short of another aggressive tightening cycle. The main threat is sticky inflation, which could push rates higher and cool the rally
This article will be updated throughout the day, so check back often for more daily updates.
The Nasdaq Composite heads into Friday with the strongest weekly setup among the major averages, keeping the market’s tech bias intact even as futures looked mixed before the open. S&P 500 futures were little changed, Nasdaq 100 futures slipped 0.3%, and Dow futures rose about 94 points, or 0.2%. The tone follows Thursday’s rally, when easing oil prices helped steady risk appetite despite fresh U.S.-Iran uncertainty. The S&P 500 is on pace for a 0.8% weekly gain, while the Nasdaq is tracking a stronger 1.5% advance.
SK Hynix arrives on the Nasdaq today with Wall Street rolling out the red carpet, after JPMorgan’s Manhattan headquarters lit up with the South Korean flag ahead of the listing. The memory-chip giant priced 177.9 million ADRs at $149 each, raising $26.5 billion in the largest first-time U.S. share sale by a foreign company.
Here’s a look at where things stand as of pre-morning trading:
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Circle Internet Group didn't make the cut. Grab the names FREE today.
Dow Jones Industrial Average: 52,000 Up 0.26%
Nasdaq Composite: 29,796 Down 0.47%
S&P 500: 7,588 Flat
Broader Market Movers The SK Hynix deal lands at the center of the AI memory boom, with demand reportedly running more than seven times the shares available. The size of the order book shows how aggressively institutions are chasing direct exposure to high-bandwidth memory, where SK Hynix has become one of the most important suppliers in the AI chip stack.
Circle (NYSE: CRCL) scored a regulatory win after receiving approval to launch a national digital-currency trust bank. The move gives the USDC issuer a federally supervised home for custody services, strengthening the infrastructure behind one of the market’s most important stablecoins. CRCL shares are soaring by 12% in pre-market trading.
Meta Platforms (Nasdaq: META) is enjoying the spotlight of late. The company’s AI spending roadmap may be more efficient than feared, according to BofA. The firm estimates Meta could add 6.5 gigawatts of capacity in 2026 on $145 billion of capex, implying roughly $22 billion per gigawatt, less than half BofA’s prior $45 billion estimate. If that math holds, Meta’s AI infrastructure returns could look far more compelling than Wall Street had assumed.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Circle Internet Group didn't make the cut. Grab the names FREE today.
This copy is for your personal, non-commercial use only. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com.
EVs
Why Tesla Stock Can’t Get Out of Its Own Way
In this article
In Samuel Beckett’s Waiting for Godot, two characters, Vladimir and Estragon, spend most of the play waiting for a mysterious Godot, who doesn’t arrive.
Order flow analytics examine real-time buying and selling behavior by analyzing volume, timing, and order size across both retail and institutional participants. These insights provide a deeper understanding of price action and market sentiment, allowing traders and institutions to make more informed decisions.
TSLA Performance
At the time of the Power Inflow alert, TSLA was trading at $394.09. Following the signal:
• Intraday High As Of 2:30PM EST: $407.85 (+3.49%)
This article is for informational purposes only and does not constitute financial advice, investment recommendations, or a solicitation to buy or sell securities. The analysis is based on stock order flow data, but accuracy is not guaranteed. Investing involves risk, including possible loss of principal, and past performance is not indicative of future results. Please consult a licensed financial advisor before making any investment decisions.
Benzinga Disclaimer: This article is from an unpaid external contributor. It does not represent Benzinga’s reporting and has not been edited for content or accuracy.
Market News and Data brought to you by Benzinga APIs
It's been a great year for Coca-Cola (KO +0.65%) investors. As of market close on July 9, the stock is up 18.2% year-to-date (YTD) -- outperforming the Nasdaq-100 and S&P 500 (^GSPC +0.18%), while its peer, PepsiCo, is down 4% YTD.
Coke reached a new all-time intraday high of $85.68 on July 7. With the stock up over 50% in the last five years, some investors may be wondering if Coke is well on its way to surpassing $100 a share and issuing a stock split.
Here's what's driving Coke to new highs, if a stock split could be in the cards in 2026, and if the blue chip dividend stock is a buy now.
Image source: Getty Images.
Coke is successfully navigating an industrywide slowdown While Coke's full-year 2026 organic revenue guidance of 4% to 5% may not sound like much, it's exceptional relative to Coke's peers.
Higher oil prices in the first half of 2026 added even more inflationary pressure on already strained consumers. What's more, consumer preferences are changing as health and wellness trends impact snacking and soda demand. Competition from private-label brands is yet another challenge for name-brand companies.
KO data by YCharts
Yet despite all of these factors, Coke continues to maintain sky-high margins, steadily grow revenue, and generate gobs of free cash flow, providing a clear runway for dividend growth to extend its 64-year streak of dividend increases.
Today's Change
(
0.65
%) $
0.54
Current Price
$
83.17
Earnings growth must bridge the gap to $100 per share Coke's stock price has been rising due to a combination of earnings growth and a valuation expansion. As investor confidence in Coke has improved, its stock price has risen faster than earnings, bringing its valuation closer to its long-term average.
KO PE Ratio data by YCharts
Coke can still reach $100 per share, but it may depend more on earnings growth going forward than on an expanding multiple. Still, it's worth noting that Coke is already above its split-adjusted price from its last split.
In late July 2012, Coke issued a 2-for-1 stock split, taking its stock price from around $80 to $40 and doubling the share count. Similarly, Coke issued a 2-for-1 stock split at around $82 per share ($20.50 split-adjusted) in May 1996. At $82.62 per share at the time of this writing, Coke is hovering right around the magic number that has signaled past stock splits. But a lot has changed since Coke's last stock split.
A stock split could trigger Coke's deletion from the Dow Most modern-day S&P 500 company stock splits occur when a share price is in the mid to high triple digits or even over $1,000 per share. Coke is nowhere close to that range. More importantly, the median price of the average stock in the Dow Jones Industrial Average (^DJI +0.12%) is far higher than it used to be.
Coke has been in the Dow since 1987. Back then, consumer goods, industrial, materials, and utility stocks dominated the index.
Today, the Dow is much more tech-focused. Just last month, Alphabet replaced Verizon Communications in the Dow. In a press release, S&P Dow Jones Indices specifically cited Verizon's lower share price as a reason for its removal from the index, noting that Verizon accounted for just 1/2 of 1% of the index. If the index were equally weighted, each component would account for 3.3%, underscoring just how little Verizon moved the needle. But because the Dow is price-weighted, a stock's price, rather than its market cap, determines its weight in the index. So stock splits heavily impact the index weights.
With Verizon out of the Dow, Coke is now the second-lowest-weighted component behind Nike (NKE +2.06%) -- with Coke making up just 0.9% of the index. And with Nike's turnaround progressing far slower than expected, it is at serious risk of being kicked out of the Dow and replaced by a stock like Meta Platforms.
The Dow was around 13,000 when Coke last split its stock in July 2012. Since then, Coke has more than doubled, but the index has quadrupled. With Coke underperforming the Dow since its last split and being one of the lowest-weighted companies, it remains highly unlikely it will issue a stock split, even though It is hovering near a price level seen before its previous two splits.
A foundational blue chip dividend stock to buy now While a stock split would make it easier for investors to buy a full share of Coca-Cola, they don't need to let speculation about a split dictate their investment decisions. In fact, research by The Motley Fool shows that stock splits have yielded mixed results.
Split or no split, Coca-Cola stands out as one of the most reliable dividend-paying companies for investors to build a portfolio around. What the company lacks in breakneck earnings growth, it makes up for with dependability. Coke can continue supporting divined raises with cash even during industrywide downturns. Its 2.5% yield is right around the average for consumer staples stocks, but Coke's payout is of far higher quality than the average.
Add it all up, and Coke is a solid buy for investors who prioritize dividend quality and passive income.
Uber Technologies (UBER - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this ride-hailing company have returned +6.9%, compared to the Zacks S&P 500 composite's +2.2% change. During this period, the Zacks Internet - Services industry, which Uber falls in, has lost 1.1%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Uber is expected to post earnings of $0.83 per share, indicating a change of +31.8% from the year-ago quarter. The Zacks Consensus Estimate has changed -0.1% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $2.95 points to a change of -44.3% from the prior year. Over the last 30 days, this estimate has changed +0.1%.
For the next fiscal year, the consensus earnings estimate of $4.41 indicates a change of +49.6% from what Uber is expected to report a year ago. Over the past month, the estimate has changed -0.1%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Uber.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of Uber, the consensus sales estimate of $14.19 billion for the current quarter points to a year-over-year change of +12.2%. The $57.86 billion and $66.79 billion estimates for the current and next fiscal years indicate changes of +11.2% and +15.4%, respectively.
Last Reported Results and Surprise HistoryUber reported revenues of $13.2 billion in the last reported quarter, representing a year-over-year change of +14.5%. EPS of $0.72 for the same period compares with $0.83 a year ago.
Compared to the Zacks Consensus Estimate of $13.28 billion, the reported revenues represent a surprise of -0.59%. The EPS surprise was +2.86%.
Over the last four quarters, Uber surpassed consensus EPS estimates three times. The company topped consensus revenue estimates three times over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Uber is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Uber. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Quarterly financial reports play a vital role on Wall Street, as they help investors see how a company has performed and what might be coming down the road in the near-term. And out of all of the metrics and results to consider, earnings is one of the most important.
The earnings figure itself is key, of course, but a beat or miss on the bottom line can sometimes be just as, if not more, important. Therefore, investors should consider paying close attention to these earnings surprises, as a big beat can help a stock climb and vice versa.
Hunting for 'earnings whispers' or companies poised to beat their quarterly earnings estimates is a somewhat common practice. But that doesn't make it easy. One way that has been proven to work is by using the Zacks Earnings ESP tool.
The Zacks Earnings ESP, ExplainedThe Zacks Earnings ESP, or Expected Surprise Prediction, aims to find earnings surprises by focusing on the most recent analyst revisions. The basic premise is that if an analyst reevaluates their earnings estimate ahead of an earnings release, it means they likely have new information that could possibly be more accurate.
With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure. The system also utilizes our core Zacks Rank to provide a stronger system for identifying stocks that might beat their next quarterly earnings estimate and possibly see the stock price climb.
Bringing together a positive earnings ESP alongside a Zacks Rank #3 (Hold) or better has helped stocks report a positive earnings surprise 70% of the time. Furthermore, by using these parameters, investors have seen 28.3% annual returns on average, according to our 10 year backtest.
Stocks with a #3 (Hold) ranking, which is most stocks covered at 60%, are expected to perform in-line with the broader market. But stocks that fall into the #2 (Buy) and #1 (Strong Buy) ranking, or the top 15% and top 5% of stocks, respectively, should outperform the market. Strong Buy stocks should outperform more than any other rank.
Should You Consider Silicon Motion?The final step today is to look at a stock that meets our ESP qualifications. Silicon Motion (SIMO - Free Report) earns a #1 (Strong Buy) 19 days from its next quarterly earnings release on July 29, 2026, and its Most Accurate Estimate comes in at $2.29 a share.
SIMO has an Earnings ESP figure of +7.68%, which, as explained above, is calculated by taking the percentage difference between the $2.29 Most Accurate Estimate and the Zacks Consensus Estimate of $2.13. Silicon Motion is one of a large database of stocks with positive ESPs. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
SIMO is one of just a large database of Computer and Technology stocks with positive ESPs. Another solid-looking stock is Alphabet (GOOGL - Free Report) .
Alphabet is a Zacks Rank #2 (Buy) stock, and is getting ready to report earnings on July 22, 2026. GOOGL's Most Accurate Estimate sits at $2.90 a share 12 days from its next earnings release.
For Alphabet, the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $2.86 is +1.30%.
Because both stocks hold a positive Earnings ESP, SIMO and GOOGL could potentially post earnings beats in their next reports.
Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
Amazon (AMZN) shares climbed about 1.5% on Thursday after a report said the company's shipping business is offering discounted rates to attract customers from r
This is a fair market value price provided by Massive. Learn more.
52-Week Range$196.00▼
$278.56P/E Ratio29.41
Price Target$312.79
Amazon.com, Inc. NASDAQ: AMZN recently finalized an eight-tranche, $25 billion investment-grade corporate bond sale, signaling a highly strategic pivot in capital allocation. Amazon is aggressively shifting toward leveraged financing to underwrite an unprecedented $200 billion mandate for artificial intelligence (AI) infrastructure in 2026.
Fixed-income markets readily absorbed the offering. However, a closer look at softening order books and aggressive executive liquidations exposes early signs of broader market fatigue. Investors now face a classic fundamental tradeoff. Market participants need to weigh immediate balance sheet strain against the long-term margin advantages of scaling proprietary silicon and dominating the next generation of compute cycles.
Get Amazon.com alerts:
Cheap Money, Big ComputeCapital allocation dictates market leadership. Amazon, utilizing the bond market, provides a clear window into how the business plans to fund the escalating artificial intelligence arms race against peers like Microsoft NASDAQ: MSFT. With credit ratings holding strong at AA-, Amazon locked in highly advantageous pricing across maturities ranging from 3 to 40 years. Management also explicitly signaled to underwriters that this transaction concludes all debt issuance for the 2026 calendar year, creating a defined boundary around near-term leverage.
The 40-year tranche demands specific attention from fundamentally driven investors. This specific debt priced at a mere 125 basis points over standard Treasuries. For context, basis points measure the yield spread over a baseline rate.
By securing four decades of capital at just 1.25% above the Treasury yield, Amazon effectively locks in generations of cheap financing while inflation gradually erodes the real value of that debt over time. This dynamic provides a severe cost-of-capital advantage over smaller competitors trying to build competing data center footprints.
The July offering generated $62 billion in peak demand from institutional buyers, proving that the bond market retains liquidity and the willingness to underwrite Amazon Web Services' capacity expansion. That subscription ratio is notably weaker than the $37 billion debt offering Amazon executed in March.
This cooling demand points to slight fatigue in the debt market. Fixed-income investors are becoming more selective and demanding higher yields as the total addressable market for megacap tech debt rapidly expands across the sector.
Silicon Starvation: Amazon Feasts on Proprietary ChipsTo understand the sheer scale of the $200 billion capital expenditure target for 2026, investors should evaluate the immediate impact on free cash flow. Wall Street analysts project that this infrastructure mandate will push Amazon into an estimated $40 billion negative free cash flow deficit annually across 2026 and 2027.
For a traditional retail operation, negative free cash flow of that magnitude would signal extreme operational distress. For an infrastructure provider racing to secure computing dominance, it operates as a structural moat. The cash is not vanishing into operational inefficiencies. Amazon is actively converting capital into hard assets. Capital is earmarked for aggressive data center expansion, scaling proprietary Trainium chip production, and supporting pre-IPO equity stakes in developers.
Investors tracking operating margins need to separate headline earnings from core operational performance to grasp the actual trajectory of Amazon. A significant portion of the Q1 net income beat was distorted by a $16.8 billion pre-tax gain derived from the equity investment in Anthropic. This accounting gain masks the true operational margin run rate of the core business operations.
The long-term margin offset comes from securing the physical layer of cloud computing. By holding major private stakes in developers like Anthropic, Amazon captures both sides of the trade. Amazon provides the necessary compute power while owning a piece of the underlying application. With Taiwan Semiconductor Manufacturing Company's NYSE: TSM 3nm foundry capacity running at full utilization, bringing Trainium production in-house gives Amazon critical pricing leverage and reduces reliance on expensive legacy graphics processing units.
C-Suite Retreat? Amazon's Insider SalesFundamentals ultimately drive valuations, but sentiment dictates near-term price action. Broad sector rotation is actively dampening momentum across the tech space. The major tech conglomerates are currently lagging the broader Nasdaq-100 index, a trend compounded by recent geopolitical risk-off pressures and growing institutional caution about the prolonged investment returns for data center hardware.
Current Price$248.82High Forecast$370.00Average Forecast$312.79Low Forecast$218.00Amazon.com Stock Forecast Details
Against this macroeconomic backdrop, insider trading data introduces minor friction into the bullish structural narrative. Corporate executives routinely sell shares for tax and diversification purposes, but the sheer breadth of recent liquidations warrants investor attention.
Over the trailing 90 days, insider selling totaled $51.6 million. CEO Andy Jassy offloaded over $20 million in equity during the second quarter. Senior Vice President David Zapolsky recently liquidated 18.4% of his position. Douglas Herrington, CEO of Worldwide Amazon Stores, executed back-to-back share distributions in June and July.
These dispositions occur alongside a lack of executive open-market purchases. A put/call ratio of 0.44 shows options traders maintaining heavy bullish conviction ahead of the July 30 earnings report, but the steady selling reflects routine executive profit-taking during a peak capital cycle.
The Waiting Game: Scaling Amazon's InfrastructureThe transition from cash reserves to leveraged financing is a defining characteristic of the modern infrastructure war. Amazon is weaponizing the balance sheet, taking on targeted, low-cost debt to build physical capacity that emerging competitors cannot afford to match.
Investors monitoring Amazon at current pricing levels might view the projected free cash flow deficit as a necessary growing pain rather than a structural flaw. The core fundamental thesis relies on Amazon Web Services successfully monetizing this colossal buildout in the coming years, translating gigawatt-level power contracts into recurring enterprise revenue streams.
Those looking to allocate capital to the cloud sector may consider holding current positions as the second-quarter earnings report approaches, watching closely for updates on revenue acceleration and adjusted operating margins.
Cautious investors may prefer to wait for broader sector rotation to stabilize before taking a new position, using any macro-driven pullback as an opportunity to acquire shares of a dominant infrastructure provider at a more favorable valuation multiple.
Should You Invest $1,000 in Amazon.com Right Now?Before you consider Amazon.com, you'll want to hear this.
MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Amazon.com wasn't on the list.
While Amazon.com currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.
View The Five Stocks Here
Discover the next wave of investment opportunities with our report, 7 Stocks That Will Be Magnificent in 2026. Explore companies poised to replicate the growth, innovation, and value creation of the tech giants dominating today's markets.
NEW YORK, July 10, 2026 (GLOBE NEWSWIRE) -- The Gross Law Firm issues the following notice to shareholders of Microsoft Corporation (NASDAQ: MSFT).
Shareholders who purchased shares of MSFT during the class period listed are encouraged to contact the firm regarding possible lead plaintiff appointment. Appointment as lead plaintiff is not required to partake in any recovery.
ALLEGATIONS: The complaint alleges that during the class period, Defendants issued materially false and/or misleading statements and/or failed to disclose that: (a) Microsoft’s Copilot family of products had experienced significant brand positioning, user experience, usage, data siloing, computational capacity, organizational, and interoperability problems; (b) Microsoft’s flagship proprietary AI model ranked well below competitors on a number of benchmark tests; (c) Microsoft needed to increase by billions of dollars its capital expenditures and divert GPU and CPU capacity away from fulfilling demand for its profitable Azure services in order to improve the competitive positioning of its critical Copilot family of products and increase its AI-related R&D; and (d) as a result of (a)-(c) above, Microsoft had failed to convert a significant percentage of its commercial Microsoft 365 users to paid Copilot subscriptions and the Company’s Copilot offerings had lost market share to rival products, a trend that was increasing.
DEADLINE: August 11, 2026 Shareholders should not delay in registering for this class action. Register your information here: https://securitiesclasslaw.com/securities/microsoft-corporation-loss-submission-form/?id=192872&from=3
NEXT STEPS FOR SHAREHOLDERS: Once you register as a shareholder who purchased shares of MSFT during the timeframe listed above, you will be enrolled in a portfolio monitoring software to provide you with status updates throughout the lifecycle of the case. The deadline to seek to be a lead plaintiff is August 11, 2026. There is no cost or obligation to you to participate in this case.
WHY GROSS LAW FIRM? The Gross Law Firm is a nationally recognized class action law firm, and our mission is to protect the rights of all investors who have suffered as a result of deceit, fraud, and illegal business practices. The Gross Law Firm is committed to ensuring that companies adhere to responsible business practices and engage in good corporate citizenship. The firm seeks recovery on behalf of investors who incurred losses when false and/or misleading statements or the omission of material information by a company lead to artificial inflation of the company's stock. Attorney advertising. Prior results do not guarantee similar outcomes.
CONTACT:
The Gross Law Firm
15 West 38th Street, 12th floor
New York, NY, 10018
Email: [email protected]
Phone: (646) 453-8903
LOS ANGELES, July 10, 2026 (GLOBE NEWSWIRE) -- The Schall Law Firm, a national shareholder rights litigation firm, reminds investors of a class action lawsuit against Microsoft Corporation (“Microsoft” or “the Company”) (NASDAQ: MSFT) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.
Investors who purchased the Company’s securities between May 1, 2025 and January 28, 2026, inclusive (the “Class Period”), are encouraged to contact the firm before August 11, 2026.
If you are a shareholder who suffered a loss, click here to participate.
We also encourage you to contact Brian Schall of the Schall Law Firm, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at www.schallfirm.com, or by email at [email protected].
The class, in this case, has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
According to the Complaint, the Company made false and misleading statements to the market. Microsoft’s Copilot AI products suffered from problems ranging from poor user experience to capacity limitations. The Company’s AI model ranked poorly against competitors on industry benchmark tests. The Company would need to spend billions on capital expenditures related to AI including diverting hardware away from profitable business units to improve its competitive posture in artificial intelligence. The Company was incapable of converting a large percentage of Microsoft 365 users to paid Copilot subscriptions, losing market share to rivals. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Microsoft, investors suffered damages.
Join the case to recover your losses
The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics.
CONTACT:
The Schall Law Firm
Brian Schall, Esq.,
www.schallfirm.com
Office: 310-301-3335 [email protected]
AMD has become the AI trade of 2026. Advanced Micro Devices (NASDAQ:AMD | AMD Price Prediction) is up 155.29% year to date as Data Center revenue explodes and Lisa Su locks in multi-gigawatt deals with OpenAI and Meta.
Q1 Data Center revenue hit $5.775 billion, up 57% year over year, and management now sees a server CPU TAM of over $120 billion by 2030. Can AMD hit $800 by the end of 2027?
Why AMD Shares Have Paused Near the Highs Even after a monster run, momentum has cooled. Shares are up 5.58% in the past week and 14.98% over the past month, but sit roughly 12% below the 52-week high of $584.73. Part of that is digestion. Part of it is beta of 2.469, which means AMD trades like an amplified NASDAQ.
The trailing P/E of 206 gives fundamental buyers pause, even though forward earnings power looks very different. Add ongoing U.S. export restrictions on MI308 shipments to China, and growth investors are asking whether the easy money has already been made.
Wall Street Is Bullish, But Consensus Lags the Stock The average analyst target sits at $512.27, below the current price. Coverage skews positive with 5 Strong Buy, 37 Buy, 9 Hold and zero Sell ratings, or 82% bullish, but price targets have not caught up to the June rally.
Our base case model lands at $581.08 for July 2027 with 90% confidence, and the bull case rises to $632.24. Both feel too conservative given quarterly earnings growth of 91.2% year over year. Analysts are anchoring to old estimates, setting up targets to march higher through the year. Stifel analyst Ruben Roy raised the firm’s price target on AMD to $635 from $450 and keeps a Buy rating on the shares.
The Path to $800 Per Share Reaching $800 from today’s price of $546.72 would require a gain of 46.3%. With forward EPS of $6.87, a price of $800 implies a forward P/E of 116x. Our base case of $581.08 already implies 119x means the $800 target requires no additional multiple expansion. It is a pure EPS growth story.
Lisa Su told investors AMD sees a “clear path to exceed our long-term financial targets, including delivering more than $20 in EPS over the strategic time frame”.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and AMD didn't make the cut. Grab the names FREE today.
Catalysts in the pipeline include Meta’s 6 gigawatt Instinct deployment, the Helios rack ramp in Q3 and Q4 2026, and Su’s guidance that AMD will deliver “tens of billions of dollars in annual Data Center AI revenue in 2027”. The single biggest risk is an expansion of China export controls that clips MI-series unit volumes.
Where AMD Trades Today Vs Its Earnings Power At $546.72, AMD trades at roughly 80x forward EPS of $6.87. That is rich, but the growth backdrop is unusual. Shares sit within striking distance of the 52-week high of $584.73 and nearly 4x off the 52-week low of $141.60.
Zooming out further, AMD is up 10,812.57% over the past ten years. If the AI capex cycle plays out as Su described, today’s multiple compresses fast as EPS scales into the double digits.
Is $800 Realistic? Getting to $800 by the end of 2027 requires a 46.3% gain from here. It is a stretch, but a defensible one.
Three things need to go right. MI450 and Helios have to ramp on schedule through late 2026. Server CPU share needs to keep marching toward the 50%+ market share target. Gross margin has to hold at the 55% to 58% range Lisa Su outlined.
What derails it is a broader tightening of U.S. chip export rules that cuts off AI accelerator demand. We’ve outlined the blueprint for how Advanced Micro Devices could reach $800 in 2027.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and AMD didn't make the cut. Grab the names FREE today.
Advanced Micro Devices (AMD - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this chipmaker have returned +11.9% over the past month versus the Zacks S&P 500 composite's +2.2% change. The Zacks Computer - Integrated Systems industry, to which Advanced Micro belongs, has gained 8.6% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Advanced Micro is expected to post earnings of $1.60 per share, indicating a change of +233.3% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
The consensus earnings estimate of $7.18 for the current fiscal year indicates a year-over-year change of +72.2%. This estimate has remained unchanged over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $11.94 indicates a change of +66.3% from what Advanced Micro is expected to report a year ago. Over the past month, the estimate has changed +0.6%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Advanced Micro is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Advanced Micro, the consensus sales estimate for the current quarter of $11.27 billion indicates a year-over-year change of +46.7%. For the current and next fiscal years, $48.8 billion and $71.31 billion estimates indicate +40.9% and +46.1% changes, respectively.
Last Reported Results and Surprise HistoryAdvanced Micro reported revenues of $10.25 billion in the last reported quarter, representing a year-over-year change of +37.8%. EPS of $1.37 for the same period compares with $0.96 a year ago.
Compared to the Zacks Consensus Estimate of $9.85 billion, the reported revenues represent a surprise of +4.09%. The EPS surprise was +5.38%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Advanced Micro is graded F on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Advanced Micro. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
An Airbus A350-1000 passenger aircraft during a flying display at the 55th International Paris Airshow at Le Bourget Airport near Paris, France, June 18, 2025. REUTERS/Benoit Tessier Purchase Licensing Rights, opens new tab
PARIS/MANILA, July 10 (Reuters) - Philippine Airlines (PAL) is poised to order 15 Boeing (BA.N), opens new tab 787-10 aircraft and nine Airbus (AIR.PA), opens new tab A350-1000 jets, marking its first Boeing purchase in almost 20 years, industry sources said on Friday.
The orders are expected to be announced at the Farnborough Airshow this month. The decision to include the Boeing 787 will automatically trigger a separate engine contest between Britain's Rolls-Royce (RR.L), opens new tab and U.S. giant GE Aerospace (GE.N), opens new tab.
The Reuters Iran Briefing newsletter keeps you informed with the latest developments and analysis of the Iran war. Sign up here.
Airbus and Boeing declined to comment on commercial discussions.
Philippine Airlines said it could not provide information on potential fleet acquisitions.
The deal comes after the airline's president disclosed at an industry summit in June that the airline planned to order new planes in the next couple of months.
Bloomberg News reported earlier this week that the carrier had opted to split an order for about 20 planes between Airbus and Boeing.
PAL currently has a mixed wide-body fleet of predominantly previous-generation Airbus A330s and Boeing 777s as well as a handful of the newer A350s.
The 787-10 competes most directly with Airbus's upgraded A330neo model.
Following a global showdown over tariffs, Washington is seeking to narrow its trade deficit with the Philippines which stood at nearly $5 billion in 2024. The Philippines has pledged to increase imports from the United States.
At the same time, PAL is expanding as the country plans a new airport and last month announced plans to join the oneworld Alliance, ending its isolation from major airline groupings.
Reporting by Tim Hepher, Karen Lema Editing by David Goodman and Sharon Singleton
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Over the past few years, mega-cap technology stocks have dominated the headlines, and for good reason. The performance of companies like Nvidia (NVDA 0.62%) and Alphabet (GOOGL 0.91%)(GOOG 0.73%) has made owning anything other than the Magnificent Seven feel like a mistake.
Small-cap stocks, especially those outside of the technology sector, have underperformed for years. However, the tide seems to be turning. So far in 2026, small-caps are outperforming the S&P 500 by the widest margin in over two decades, and this could be just the beginning of a longer trend.
Image source: Getty Images.
One low-cost ETF that investors might want to take a closer look at is the Vanguard Small-Cap Value ETF (VBR +0.95%), which holds 835 smaller companies, most of which have below-average price-to-book and price-to-earnings ratios relative to peers.
The Vanguard Small-Cap Value ETF The Vanguard Small-Cap Value ETF is an index fund that tracks a diversified index of smaller companies with value characteristics. As mentioned earlier, it owns 835 different stocks with a median market cap of about $10 billion.
Today's Change
(
0.95
%) $
2.28
Current Price
$
241.14
On average, stocks held by this index fund have a price-to-earnings ratio of 17.8, compared with 28.1 for the S&P 500 index. As you might expect from a value stock fund, the Vanguard Small-Cap Value ETF is light on technology, but has large concentrations in industrials, financials, and consumer discretionary stocks. To name a few, the fund's larger holdings include NRG Energy (NRG +2.18%), Williams-Sonoma (WSM +0.76%), and Alcoa (AA +0.43%).
Although this is a weighted index fund, no single stock accounts for more than 1.25% of the fund's assets. And like most Vanguard ETFs, the Vanguard Small-Cap Value ETF has a low expense ratio (0.05%). These are the annual investment fees, which will be reflected in the fund's performance over time.
Still a good value As I said earlier, small-cap stocks have outperformed this year, and the Vanguard Small-Cap Value ETF is up about 13% so far in 2026. But there is still a significant valuation gap between large-cap and small-cap stocks, and there could still be plenty of upside potential ahead.
For one thing, value stocks tend to benefit most from interest rate cuts, as they tend to carry more floating-rate debt than their large-cap counterparts. We're still in a relatively high-rate environment, plus small-cap stocks still trade at a significant discount to their historical average P/E ratios.
To be clear, I'm not saying I expect rates to fall right away or that the valuation gap between small- and large-cap stocks to close right away. But over the next several years, factors like these could lead to continued outperformance.
Matt Frankel, CFP® has positions in Vanguard Small-Cap Value ETF. The Motley Fool has positions in and recommends Alphabet, NRG Energy, Nvidia, and Williams-Sonoma. The Motley Fool has a disclosure policy.
Duke University professor Miroslav Pajic recently demonstrated how brittle the sensors underneath America’s self-driving fleet are. In one attack, malware embedded in a lidar unit conjured a person in the sensor’s point cloud who was not physically present. In a second, a real physical obstacle was made to vanish entirely from the sensor output. Pajic told CNBC it is “easy to physically spoof lidar,” warning that malware inserted at the factory or via firmware updates can stay dormant until triggered, and that automakers usually cannot audit a lidar maker’s proprietary source code.
The company at the center of that risk is Hesai Group (NASDAQ:HSAI), a Shanghai-based lidar maker that commands roughly one-third of worldwide automotive lidar sales. The Pentagon blacklisted Hesai as a Chinese military entity in 2024, a designation that prohibits Pentagon contracts but does not ban commercial sales to US autonomous platforms. Hesai sensors are already inside Amazon’s Zoox robotaxis, trucking firms Waabi and Kodiak, AV company Nuro, and Agtonomy, and they monitor passenger and traffic flow at New York’s JFK Airport security checkpoints.
NVIDIA Doubles Down NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) selected Hesai as a lidar option for DRIVE Hyperion 10, its reference architecture for Level 4 autonomy, at CES in January 2026. In March, Hesai joined the Nvidia Halos AI Systems Inspection Lab, the first ANSI-accredited inspection lab for AI-driven physical systems. Jensen Huang framed the ambition simply: “Our vision is that some day, every single car, every single truck will be autonomous.” NVIDIA’s automotive revenue for fiscal year 2026 was up 39% year over year. Asked about security concerns, NVIDIA described Hyperion as an “open architecture” operating “in compliance with applicable regulations,” and did not address the exploit risk directly.
The National Security Case Craig Singleton of the Foundation for Defense of Democracies told CNBC that Chinese law gives Beijing authority to demand companies like Hesai hand over whatever data they possess, making the sensors both an attack vector and a data-collection risk. At a Senate Commerce Committee hearing on February 4, 2026, Sen. Bernie Moreno pressed Waymo’s chief safety officer, who acknowledged Chinese-made components are present in the vehicles.
Hesai’s Defense CEO David Li rejected the framing: “In the DOD case, I don’t feel there is sufficient evidence, and it’s not logical.” Li argues Hesai’s sensors have no onboard storage, that any data belongs to the partner, and that Hesai’s firmware is publicly available for outside scrutiny. Hesai reported Q1 2026 revenue of $98.66 million and holds a 55% market share in China’s long-range automotive lidar market.
Investor Exposure HSAI carries the most direct risk: shares are down 27.9% year to date to $16.15, and forced removal from US AV platforms would be existential. NVDA faces near-term supply-chain and reputational risk if regulators close the commercial-sales gap. Non-Chinese alternatives Luminar Technologies (NASDAQ:LAZR) and Innoviz Technologies (NASDAQ:INVZ), the latter trading at $0.69, would benefit from any mandated fleet-wide swap, though both are financially fragile today.
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
The sheer amount of capital expenditures (capex) spending on artificial intelligence (AI) has made investors nervous. So high is the spending that cash-rich companies such as Amazon will spend $200 billion in capex this year alone and have issued bonds to help cover the costs.
Understandably, this makes investors nervous, as a poorly conceived AI strategy could cost even the most stable tech companies massive amounts of cash. Fortunately, three megatech companies continue to stand out as being less risky, meaning the tech stocks can likely prosper in nearly any circumstance.
Image source: Getty Images.
Nvidia As the leading designer of AI accelerators, Nvidia (NVDA +2.55%) continues to stand out. Companies wanting to build AI infrastructure most often turn to this company, and despite its massive size, it continues to grow at a rapid rate.
In this case, it is one of the few major tech companies not spending heavily on capex. In the first quarter of fiscal 2027 (ended April 26), it spent just over $1.75 billion in capex and about $6 billion in the previous fiscal year, a tiny fraction of what Amazon spends.
Amid that effort, it reported an 85% increase in revenue from year-ago levels. Also, the 65% increase in fiscal 2026 shows this growth is not a one-time event.
Admittedly, its $4.7 trillion market cap may deter some investors, knowing that it is likely no longer a millionaire maker at this stage of its development.
Today's Change
(
2.55
%) $
5.18
Current Price
$
207.96
Still, its growth has left it with around $80 billion in liquidity, giving Nvidia one of the market's more stable balance sheets. Also, its price-to-earnings (P/E) ratio is 30, and the company's revenue growth may keep that earnings multiple from falling considerably further. This makes it less likely that any worst-case scenario is going to undermine Nvidia stock.
Microsoft Microsoft (MSFT +0.06%) has been this year's worst performer in the "Magnificent Seven," falling by more than 20% in 2026. Its $80 billion in capex for the first nine months of fiscal 2026 (ended March 31) is not quite at Amazon's level, but it has caused concerns given the performance of its AI assistant Copilot relative to competing products.
Also, while Microsoft has attempted to restructure lower-performing business units such as Xbox, investors are unlikely to react, as the largest tech names tend to trade on AI-related accomplishments in today's market.
However, despite the negative sentiment, Microsoft's numbers show it is holding its own in the AI industry. Overall revenue growth was 18% for the first three quarters of fiscal 2026, and this includes a 27% increase for Microsoft Cloud, which makes up the majority of the company's revenue.
Today's Change
(
0.06
%) $
0.24
Current Price
$
384.60
Also, the falling stock price has made its valuation more attractive. Its P/E ratio of 23 has just begun to come off multiyear lows.
Considering its revenue growth, particularly on the cloud side of the business, Microsoft stock appears cheap, pricing in the possible negative sentiment that could come from an AI downturn. Additionally, should Microsoft close some of its competitive gap in AI, the current valuation could set the stock up for a dramatic recovery.
Meta Platforms Meta Platforms (META +6.55%) is another big spender as it seeks to prove itself in the AI realm. It pledged to spend between $125 billion and $145 billion in capex this year to become a more AI-oriented company.
That move is arguably necessary as the company boasts 3.56 billion daily active users for its family of apps. This amounts to a large percentage of the world's population, meaning user growth has slowed dramatically. Fortunately, it also holds massive amounts of data not held by its peers, meaning it could build a competitive advantage by using that data to train AI models.
Today's Change
(
6.55
%) $
41.37
Current Price
$
672.85
Moreover, the company is making this move while advertising makes up nearly 98% of its revenue, buying it time for a transition. Also, revenue grew at 33% in Q1 and 22% in 2025, meaning it still drives considerable growth from its current business model.
Despite that rapid growth, its P/E ratio is only around 22, indicating it has not yet convinced investors that this transformation will succeed. However, with its current level of revenue growth, that earnings multiple should limit the downside in the stock, positioning the company to weather downturns and earn higher returns as its AI strategy gains more traction.
Taiwanese chip-testing company King Yuan Electronics (KYEC) plans to invest up to $1.4 billion to establish a facility in the United States, the supplier to chipmaker Nvidia said on Friday.
During a July 10 CNBC segment, Kristina Partsinevelos framed SK Hynix’s roughly $26.5 billion capital raise at $149 per American depositary share as a defining moment for the AI supply chain. The Korean memory giant controls approximately 58% of the high-bandwidth memory market, giving it a commanding position in the technology required to make NVIDIA’s most advanced chips work. The offering ranks as the second-largest share sale ever, trailing only SpaceX’s NASDAQ debut last month.
For U.S. investors, the debut closes a long-standing accessibility gap. SK Hynix has been the essential HBM supplier to NVIDIA (NASDAQ:NVDA | NVDA Price Prediction) throughout the AI buildout, yet trading in the Korean parent required navigating Seoul-listed shares. It also arrives as Nvidia CEO Jensen Huang’s “largest infrastructure expansion in human history” creates extraordinary demand for a product that remains in short supply.
SK Hynix Controls the Memory Powering the AI Revolution The core setup for SK Hynix, according to Partsinevelos: “SK Hynix is the world leader in high bandwidth memory. The memory that feeds AI chips with roughly 58% of that market. Micron and Samsung competitors split roughly 21% each… as per Counterpoint Research.” She added a blunter framing of the competitive stack: “SK Hynix is bigger, cheaper and closer to NVIDIA.”
Partsinevelos noted revenue is expected to triple to $235 billion this year, with the company committing over $720 billion in capital investment over the coming years, primarily in South Korea. A separate roughly $458 million from the U.S. CHIPS Act is earmarked for an Indiana advanced packaging facility.
New Supply Will Likely Not Arrive Until 2027 Memory prices have been incredibly strong due to tight supply. “None of that supply, though, arrives before late 2027, which keeps the memory shortage going and record-high prices intact for now,” Partsinevelos said. Passive flows may amplify the near-term move: “Berkeley estimates the stock could see up to roughly $14 billion in passive buying alone as it enters the major indices just over the next few months.”
Readers looking for the broader thesis on companies riding this wave can dig into our Free Report: 7 Stocks Powering the AI Boom (That Aren’t Chipmakers).
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
Micron Shows How Valuable AI Memory Has Become SK Hynix’s U.S.-listed challenger, Micron Technology (NASDAQ:MU), shows why memory investors are watching HBM share so closely. Micron posted Q3 FY2026 revenue of $41.456 billion, up 345.7% year over year, with non-GAAP diluted EPS of $25.11 and GAAP gross margin of 84.6%. Guidance for the following quarter calls for revenue of $50.0 billion plus or minus $1.0 billion. CEO Sanjay Mehrotra said in the Q3 release that results “reflect the strategic value of memory in the AI era.”
Micron’s HBM4, built on 1-beta DRAM, is in high-volume shipments for its lead customer platform, and HBM4E is in development, with volume production expected in calendar 2027. Shares closed at $991.64 on July 9, up 247.66% year to date. Analysts maintain a consensus price target of $1,486, with the stock currently sporting a forward P/E of about 6.
NVIDIA’s Growth Is Creating an Unprecedented Demand Signal On the demand side, NVIDIA reported Q1 FY2027 revenue of $81.62 billion, up 85.2% year over year, with Data Center revenue of $75.25 billion and total supply-related commitments of $119.0 billion. Shares closed at $202.78 on July 9. Every one of Nvidia’s Blackwell and Vera Rubin systems requires HBM stacks supplied at scale by SK Hynix today.
The Long-Term Warning SK Hynix’s U.S. debut gives investors direct access to the company holding the strongest position in one of the AI buildout’s tightest bottlenecks. It controls roughly 58% of the HBM market, and new capacity will not materially alleviate the shortage before late 2027.
Partsinevelos closed with the industry’s most durable caveat: “The longer term risk, though, is that memory has never really met a supercycle that didn’t eventually crash.” History is unambiguous on that point. For now, the memory shortage is likely to persist into 2027, index inclusion should act as a mechanical bid for the stock, and the three players controlling roughly 95% of memory production remain in a pricing environment they have not enjoyed in over a decade.
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
Nvidia (NVDA - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this maker of graphics chips for gaming and artificial intelligence have returned -1%, compared to the Zacks S&P 500 composite's +2.2% change. During this period, the Zacks Semiconductor - General industry, which Nvidia falls in, has lost 1.5%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
Nvidia is expected to post earnings of $2.08 per share for the current quarter, representing a year-over-year change of +98.1%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.
For the current fiscal year, the consensus earnings estimate of $9.09 points to a change of +90.6% from the prior year. Over the last 30 days, this estimate has changed +1.1%.
For the next fiscal year, the consensus earnings estimate of $12.32 indicates a change of +35.6% from what Nvidia is expected to report a year ago. Over the past month, the estimate has changed +1.5%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Nvidia is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
For Nvidia, the consensus sales estimate for the current quarter of $91.58 billion indicates a year-over-year change of +95.9%. For the current and next fiscal years, $385.48 billion and $521.8 billion estimates indicate +78.5% and +35.4% changes, respectively.
Last Reported Results and Surprise HistoryNvidia reported revenues of $81.62 billion in the last reported quarter, representing a year-over-year change of +85.2%. EPS of $1.87 for the same period compares with $0.81 a year ago.
Compared to the Zacks Consensus Estimate of $78.75 billion, the reported revenues represent a surprise of +3.63%. The EPS surprise was +5.65%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates each time over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Nvidia is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Nvidia. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
JPMorgan has placed Anglo American PLC (LSE:AAL) on "Negative Catalyst Watch" ahead of its scheduled 23 July update, warning cost inflation could dent earnings across European diversified miners despite improved valuation support.
The broker said the sector has underperformed MSCI Europe by 7% since 9 March and by 20% since June, leaving stocks closer to its price targets. But analyst Dominic O’Kane retained a cautious stance into Q2 reporting, citing “cost-inflation driven earnings disappointments” and volatile geopolitical and commodity risks.
Anglo, rated Underweight, is seen as most exposed, with JPMorgan 6% below Bloomberg consensus for first-half 2026 EBITDA due to high Brazil and South Africa iron ore freight costs.
Glencore PLC (LSE:GLEN), rated Neutral, also faces pressure from African copper, where sulphuric acid costs are more than three times higher. JPMorgan added that any prolonged suspension of the Collahuasi desalination plant could hit copper recoveries for both Anglo and Glencore.
Rio Tinto Ltd (LSE:RIO, ASX:RIO, OTC:RTNTF) was described as “emerging as a value candidate”, trading around 25% below JPMorgan’s £82.50 price target, though the broker remains wary of Q2 cost impacts.
Kumba Iron Ore was upgraded to Neutral after a roughly 25% fall since February left the shares around 15% below JPMorgan’s ZAR314 target.
Netflix (NASDAQ:NFLX | NFLX Price Prediction) heads into its July 16 earnings release with one of the cleanest setups in the market for a retirement portfolio, and the math is compelling. The stock is down more than 17% year to date and 43% off its five-year high in June 2025.
Yet the operating business is guiding to its best margin year on record. That gap between price action and fundamentals is the entire opportunity.
Valuation Has Snapped Back to Reasonable At a P/E of 25 and a price/free cash flow of 34, Netflix is trading in line with the S&P 500 despite growing revenue at a mid-teens clip. Management reaffirmed full-year 2026 revenue of $50.7 billion to $51.7 billion and raised free cash flow guidance to roughly $12.5 billion. Return on equity sits at 42.76%, with operating margins guided to 31.5% for 2026, up from 29.5% the year prior.
The Ad Tier Is the Hidden Compounder Netflix’s advertising engine is doing exactly what bulls hoped. The ad-supported tier accounted for over 60% of Q1 sign-ups in ads markets, advertiser count grew 70% year over year to more than 4,000 clients, and management is targeting roughly $3B in ad revenue for 2026, double last year. Q2 revenue is guided to $12.574B with a 32.6% operating margin. That is the earnings profile retirees want in a cash-generative name.
Capital Return Is Back On With the Warner Bros. Discovery deal off the table, Netflix resumed buybacks aggressively, repurchasing 13.5 million shares for $1.3 billion in Q1 2026 with $6.8 billion remaining on the authorization. Q1 free cash flow hit $5.09 billion, up 91.44% year over year, funded in part by the $2.8 billion Warner Bros. termination fee.
July 16 is the Final Day to Tap Into the Lithium Boom (sponsor)
General Motors, POSCO, and 50,000+ everyday investors have already backed lithium producer EnergyX.
Here’s why you should do the same before their July 16 investment deadline: lithium prices are up 75% this year, with demand projected to grow a staggering 5X by 2040.
With tech that can recover up to 3X more lithium than traditional methods, EnergyX is preparing to unlock up to 15M+ tons. Become a private-stage EnergyX investor before the July 16 deadline.
The Head-to-Head Comparison Compare that to the two obvious streaming alternatives. Walt Disney (NYSE:DIS) is still nursing its direct-to-consumer segment toward sustainable profitability while Netflix guides a company-wide 31.5% operating margin. Warner Bros. Discovery (NASDAQ:WBD) is still working through a negative free cash flow profile, while Netflix churns out $12.5B a year. Netflix’s Debt/Equity of 0.54 and Net Debt/EBITDA of 0.18 also stand well above both peers. For a retiree, only one of these three names actually pays for its own content.
Analyst consensus target of $113.71 against a current $74.31 shows where the disconnect sits. (For income-minded readers stress-testing the classic playbook, The 4% Rule Is Broken is worth a look.) The 0.31 put/call ratio on the July 17 expiration shows options desks positioned long into the earnings report.
Ahead of the July 16 report, the ad tier, margin expansion, and buyback are the levers to watch.
Meet America's Newest $1b Unicorn (Sponsor)A US startup just passed a $1 billion private valuation, joining billion-dollar private companies like OpenAI and ByteDance. Unlike those other unicorns, you can invest in EnergyX right now; but only until July 16.
Over 50,000 people already have, along with global giants like General Motors and POSCO.
Here’s why there’s so much interest: EnergyX’s patented tech can recover up to 3X more lithium than traditional methods. That’s a big deal, as demand for lithium is expected to 5X current production levels by 2040.Become an early-stage EnergyX shareholder before the 7/16 investment deadline.
Netflix Inc. shares NFLX edged higher ahead of Friday's opening bell after a report said the streaming giant is exploring live TV channels and streaming bundles as it looks to boost subscriber engagement.
The stock rose in premarket trading after initially moving lower on the news. Netflix has lost more than 39% over the past 12 months as investors have grown concerned about slowing engagement, disappointing guidance and rising competition across the streaming industry.
According to a Wall Street Journal report, Netflix executives have recently discussed adding live TV channels that would continuously stream certain programs or genre-based content.
The company has also explored bundling third-party streaming services, including NBCUniversal's Peacock, into its platform, allowing users to subscribe through the Netflix app.
The discussions mark a potential strategic shift for the company, whose former co-founder Reed Hastings long emphasized simplicity and a streaming-first approach.
Netflix has also reportedly begun offering French broadcaster TF1's programming to subscribers in France and is considering similar partnerships across Europe and Latin America.
The company is also evaluating future sports rights opportunities.
According to the report, executives are discussing bids for the 2030 and 2034 FIFA World Cup while continuing to avoid expensive long-term league rights.
Declining engagement remains a key concernThe strategic review comes as subscriber engagement has become a recurring topic among senior management.
The Wall Street Journal reported that executives identified weakening engagement during the company's annual business review this spring, despite rising profits and industry-low customer defections.
Netflix's share of US streaming time declined to 17% from 21% over the two years through March 2026, according to Nielsen.
Its share of total US TV viewership also fell to 7.8% in April, the lowest level since May 2025.
The company has faced increasing competition from Disney+, HBO Max, YouTube, Tubi and Roku Channel, while investors have also questioned its failed pursuit of Warner Bros. Discovery's studio and streaming assets.
Netflix is expected to report earnings next week alongside its latest engagement report, which will provide updated viewership data for its programming.
Citizens reiterated its Market Perform rating on Netflix, saying the company continues to benefit from the scale of its subscriber base and distribution network but faces growing questions over engagement.
Analyst Matthew Condon said rising churn could threaten Netflix's competitive position.
“This is ultimately what is prompting Netflix to explore Live TV and subscription bundle partnerships,” Condon said.
He also warned that if engagement weakens further, Netflix's competitive advantages could begin to diminish.
“The important thing for me is what is happening with ‘churn,’” said Uday Cheruvu, portfolio manager and analyst at Harding Loevner in the WSJ report.
“It may not be a concern yet, but it is something I am keeping my eye on.”
Netflix has also introduced lower-cost programming, including video podcasts, YouTube content and short-form videos from publishers such as BuzzFeed and Condé Nast, while continuing to expand its advertising business.
The company generated about $1.5 billion in advertising revenue last year and previously said it expects to double ad revenue in 2026.
Live programming could further strengthen that business because viewers cannot skip commercials during live broadcasts.
Netflix (NFLX - Free Report) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Over the past month, shares of this internet video service have returned -7.1%, compared to the Zacks S&P 500 composite's +2.2% change. During this period, the Zacks Broadcast Radio and Television industry, which Netflix falls in, has lost 6.4%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
Netflix is expected to post earnings of $0.79 per share for the current quarter, representing a year-over-year change of +9.7%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.
For the current fiscal year, the consensus earnings estimate of $3.6 points to a change of +42.3% from the prior year. Over the last 30 days, this estimate has remained unchanged.
For the next fiscal year, the consensus earnings estimate of $3.85 indicates a change of +7.1% from what Netflix is expected to report a year ago. Over the past month, the estimate has remained unchanged.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Netflix is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
For Netflix, the consensus sales estimate for the current quarter of $12.57 billion indicates a year-over-year change of +13.5%. For the current and next fiscal years, $51.43 billion and $57.5 billion estimates indicate +13.8% and +11.8% changes, respectively.
Last Reported Results and Surprise HistoryNetflix reported revenues of $12.25 billion in the last reported quarter, representing a year-over-year change of +16.2%. EPS of $0.7 for the same period compares with $0.66 a year ago.
Compared to the Zacks Consensus Estimate of $12.17 billion, the reported revenues represent a surprise of +0.65%. The EPS surprise was -7.89%.
Over the last four quarters, Netflix surpassed consensus EPS estimates two times. The company topped consensus revenue estimates two times over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Netflix is graded D on this front, indicating that it is trading at a premium to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Netflix. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Mark Zuckerberg’s Meta Platforms (NASDAQ: META) was rewarded for its stock market strength in the last two weeks with reinvigorated Wall Street bullishness and a particularly strong endorsement from Bank of America (NYSE: BAC).
Specifically, BofA added the technology giant to its list of best investment ideas among the equities boasting a ‘Buy’ rating.
The move came shortly after Bank of America’s Justin Post reiterated his ‘Buy’ rating for Meta stock and set the 12-month share price target at $835, thus indicating investors can expect a 32.23% rise for their position should they purchase.
While BofA’s decision to add Mark Zuckerberg’s company to its top ideas list represents a particularly decisive recommendation, the bullish attitude itself is hardly a standout among major financial institutions.
Indeed, the vast majority of ratings assigned since July started – Needham, JPMorgan (NYSE: JPM), and BMO Securities being the outlier with their ‘Hold’ recommendations – ranked Meta shares as a ‘Buy.’
Furthermore, the equity is, overall, deemed a ‘Strong Buy’ by Wall Street and is, on average, expected to rally 29.40% to $817.15 in the next 12 months, per the data Finbold retrieved from TipRanks on July 10, 2026.
Wall Street sets Meta stock price target for the next 12 months. Source: TipRanks The optimism surrounding Meta shares is accompanied by the firm’s recent market performance. Though the technology giant remains 2.91% in the red year-to-date (YTD), it started a rally in late June that took it 16.32% higher within just two weeks and to its latest closing price of $631.48.
Meta stock price chart. Source: Google Additionally, even though reports indicating Meta is preparing to rent out its excess artificial intelligence (AI) capacity were taken as a concerning sign for the wider industry, shareholders appear to have welcomed the news for the company itself.
Nonetheless, the firm’s history might simultaneously be presenting some undervalued risks for hopeful traders. Despite its size, Meta’s innovativeness can be questioned, considering that the concept of social media was hardly novel at the time of Facebook’s launch.
The overall state of the company only deteriorated over the years as it pivoted to purchasing promising potential competitors – WhatsApp and Instagram being prime examples – rather than creating exciting projects of its own.
As the XXI century rolled into its third decade, the situation apparently took another turn for the worse as the firm invested so heavily into the Metaverse – something of a ‘dead on arrival’ concept – that it even changed its name to reflect the then-new direction.
Even more recently, Meta Platforms’ involvement with AI appears somewhat rudderless, with the potential renting out of capacity serving as an example.
Indeed, Mark Zuckerberg reportedly remarked that he thinks the firm has a use for the compute only for said use, apparently proving to be an attempt to pivot toward having a neocloud division.
While the so-called neoclouds are a relatively new concept, Meta would not be the first one, and it would not be the first major firm to begin operating such a business – Elon Musk’s SpaceX (NASDAQ: SPCX) has already made agreements with both Anthropic and Alphabet (NASDAQ: GOOGL) to rent out its data centers.
Elsewhere, Mark Zuckerberg’s technology giant has also been accumulating ill will both from regulators and customers for years. For example, it not only still holds the record for the largest GDPR fine in history but is also again drawing the ire of EU watchdogs for allegedly deliberately making its platforms excessively addictive.
On the user end, Meta’s products have become something of a poster child for the process of ‘enshittification’ – a phenomenon in which platforms that started as genuinely useful and enjoyable slowly morph into a machine for exacting value for the operator at the expense of everyone else involved.
Still, despite all of Meta Platform’s mishaps, BofA’s decision to list it among its top investment picks and the overall Wall Street bullishness can still easily prove correct.
Mark Zuckerberg’s firm has a history of resilience and, though social media itself was not a new idea when Facebook was launched, the company’s approach to user growth and monetization was undoubtedly groundbreaking.
Likewise, Meta has so far been able to weather most storms it faces and usually to its own example. A prime example of the fact came in the form of the Cambridge Analytica scandal, which, at the time, appeared as if it would severely injure the company but ultimately apparently normalized big tech’s disregard for user privacy and preferences.
Featured image via Shutterstock
Best Crypto Exchange for Intermediate Traders and Investors
Invest in cryptocurrencies and 3,000+ other assets including stocks and precious metals.
0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.
Copy top-performing traders in real time, automatically.
eToro USA is registered with FINRA for securities trading.
30+ million Users worldwide
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
Join Finbold's newsroom, become a Sales Executive today! Apply now to join Finbold as a crypto/finance news writer!
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.
In early July 2026, Walmart (NYSE:WMT | WMT Price Prediction) made headlines by revealing it would be trimming prices on a batch of grocery and household staples, including double-digit cuts on ground beef and price drops of more than a third on multipacks of Coca-Cola. The takeaway for shoppers was simple: prices are the focus right now. For retirees, though, a modest cut on cereal or laundry detergent does not undo the squeeze. It also does not answer the harder question many are quietly asking themselves at the kitchen table: should I just turn on Social Security at 62 and be done with it?
The Squeeze Is Real, and It Is Pushing People to Claim Early Consider a woman, 62, widowed, working part-time, watching her grocery bill creep up while her savings account earns less than her utility bill. She is simply tired. On a retirement forum recently, a member in almost exactly her spot asked whether there was any “meaningful reason” to wait past 62, or whether claiming now just made sense.
The numbers behind that feeling are not imagined. University of Michigan consumer sentiment fell to 44.8 in May 2026, deep in pessimistic territory. Headline PCE inflation ran at about 4% in the 12 months leading up to May, with services inflation and energy prices soaring from a year earlier. The personal savings rate has slipped to 3.0%, a four-year low.
A retailer as large as Walmart cutting prices on thousands of items is a real, if partial, offset. It is also a signal in itself: the nation’s biggest grocer does not slash prices this broadly unless it is responding to a household budget that is already stretched thin. That is the world our retiree is deciding in.
The One Number That Actually Drives This Decision Here is the mechanic that matters more than anything else: for anyone born in 1960 or later, Full Retirement Age (FRA) is 67, and claiming at 62 permanently cuts the monthly check by roughly 30%. Going the other direction, every year you delay past FRA to 70 adds about 8%.
Put that in dollars. If Diane’s benefit at 67 would be $2,000 a month, claiming at 62 locks her in near $1,400. That is roughly $600 a month, more than $7,000 a year, erased for the rest of her life. If she lives to 87, that is a quarter century of a smaller check.
Now layer the cost-of-living adjustment (COLA) on top. The 2026 COLA came in at 2.8%. Cost-of-living adjustments are percentages, so they apply to whatever base you locked in. A 2.8% raise on $1,400 is smaller in dollars than a 2.8% raise on $2,000, and that gap compounds every year inflation stays elevated. The very problem that made Diane want to claim early, prices rising faster than her income, is the problem an early claim quietly makes worse over time.
How It Fits With Everything Else Social Security does not sit alone. Two interactions matter most for someone in Diane’s position.
First, the earnings test. In 2026, if you claim before FRA and keep working, Social Security withholds $1 for every $2 earned above roughly $24,480. For a part-time worker, claiming at 62 can mean handing part of the check right back.
Second, the survivor benefit. If Diane were married, the higher earner delaying would raise the floor the surviving spouse eventually lives on. That protection is one of the most under-appreciated reasons to wait, and it is invisible on any single-year spreadsheet.
A quick way to pressure-test your own numbers before deciding:
The calculator will show you exactly what you are trading.
What to Sit With Before You Decide Before landing on an age, it helps to separate the moment’s financial stress from the actual math of the decision.
Claiming early is sometimes the right answer. Serious health issues, no bridge income, or genuine hardship can make 62 the correct choice. The point is to make sure you are actively choosing it, not defaulting to it because groceries feel expensive this quarter. Look for a bridge before locking in the floor. Part-time income, a modest withdrawal from savings, or trimming a fixed cost like insurance or a vehicle can buy a year or two of delay. Each year waited is worth real money, permanently. Walmart’s price cuts will help at the register this month. They do nothing to change the math of a Social Security claim locked in decades from now. One is likely a temporary discount. The other is permanent.
Every household is different, and small details, a pension, a spouse’s earnings record, a health diagnosis, can flip the answer. The decision worth making slowly is the one you cannot take back.
Contact [email protected] for any questions or corrections.
Key Takeaways JPMorgan's Q2 revenues are estimated at $48.7 billion, up 8.5% year over year.Strong trading, advisory, underwriting and loan demand are expected to support second-quarter growth.Elevated expenses, high mortgage rates and market volatility remain key risks for JPMorgan. JPMorgan (JPM - Free Report) is scheduled to report second-quarter 2026 earnings on July 14, before the opening bell. With operations spanning consumer and commercial banking, investment banking (IB), payments and asset and wealth management, the company's results are closely watched for insights into credit conditions, loan demand, capital markets activity and the broader health of the financial sector. Also, its performance is widely viewed as an early indicator of how other banks may have fared during the quarter.
JPM began 2026 on a solid note, with trading, IB and commercial loan demand driving first-quarter revenues to almost $50 billion. The company’s upcoming quarterly results will likely be robust despite rate uncertainty and lingering geopolitical headwinds. The Zacks Consensus Estimate for revenues of $48.7 billion suggests an 8.5% year-over-year rise.
In the past week, the consensus estimate for second-quarter earnings has moved marginally lower to $5.52. This indicates an 11.3% jump from the prior-year quarter amid robust capital markets performance and decent loan demand.
Estimate Revision Trend
Image Source: Zacks Investment Research
JPMorgan has an impressive earnings surprise history. Its earnings outpaced the Zacks Consensus Estimate in each of the trailing four quarters, with the average beat being 7.36%.
Earnings Surprise History
Image Source: Zacks Investment Research
Key Drivers of JPMorgan’s Q2 PerformanceNet Interest Income (NII): The Federal Reserve has paused rate cuts and signaled a hike later this year amid persistently higher inflation. This has resulted in a favorable backdrop for banks, including JPMorgan.
Building on the first quarter’s momentum, lending activity is likely to have strengthened further during the to-be-reported quarter. Per the Fed’s latest data, demand for commercial and industrial loans and consumer credit remained healthy in April and May, while real estate loan demand was relatively modest. Improving loan demand, coupled with easing deposit and funding costs, is expected to have provided meaningful support to JPM’s NII.
The Zacks Consensus Estimate for NII (reported) of $25.6 billion suggests a 10.4% increase on a year-over-year basis.
IB Fees: After a record-setting first quarter, global deal-making activity moderated amid geopolitical uncertainty, persistent valuation gaps, slowing economic growth, elevated inflation and interest rates, and a stubbornly high backlog of private equity exits. Nevertheless, strategic buyers remained active, pursuing transactions aimed at enhancing scale, strengthening resilience and improving supply-chain security in response to the challenging operating environment.
Hence, while global mergers and acquisitions (M&As) volume improved year over year, deal value declined as only a handful of big transactions dominated the space. Also, JPMorgan’s leadership in the space is likely to have aided advisory fees.
The second quarter saw strong IPO activity and equity issuances, including a blockbuster mega offering from SpaceX and Google parent Alphabet Inc. Likewise, global bond issuance volume was solid, driven by corporate refinancing and infrastructure builds. Thus, growth in JPM’s underwriting fees (accounting for almost 60% of total IB fees) is expected to have been strong during the to-be-reported quarter.
Management expects IB fees to rise 10% or more year over year in the second quarter of 2026, benefiting from robust capital markets and advisory activities.
The consensus estimate for IB revenues (in the CIB segment) of $3.07 billion implies a rise of 14.5% from the prior-year quarter.
Markets Revenues: Client activity and market volatility were strong in the second quarter, though both were less pronounced compared with the preceding quarter. Trading conditions were influenced by shifting expectations around artificial intelligence, persistent geopolitical tensions, lingering inflation concerns and a more hawkish stance from the Fed. Volatility was high in equity markets and other asset classes, including commodities, bonds and foreign exchange. Hence, JPMorgan is likely to have recorded robust growth in markets revenues (comprising nearly 20% of the company’s total revenues) this time around.
Management expects markets revenues to increase 11%, highlighting persistent high volatility and strong client demand across FICC (Fixed Income, Currencies, and Commodities) and equities.
The Zacks Consensus Estimate for equity markets revenues is pegged at $3.9 billion, suggesting a jump of 20% from the prior-year quarter. The consensus estimate for fixed-income markets revenues of $6.37 billion indicates growth of 12%.
Mortgage Banking Fees: The second quarter was challenging for the mortgage banking business. It was characterized by elevated mortgage rates, hovering around mid-6.5%, and low affordability. While purchase volume faced pressure from inventory constraints, refinance activity has seen a slight boost. As such, JPMorgan is expected to have posted a modest increase in mortgage banking fees in the to-be-reported quarter.
The consensus estimate for mortgage fees and related income of $329.5 million implies a 9.2% fall from the prior-year quarter’s level.
Expenses: JPMorgan’s plan to enter new markets by opening branches, which is already on track, along with efforts to expand the product suite, is likely to have resulted in an increase in operating expenses in the second quarter. Also, investments in technology to strengthen digital offerings might have led to higher costs.
Further, non-interest expenses are expected to have remained elevated in the second quarter, primarily due to higher compensation costs associated with robust trading and IB activity.
Asset Quality: After setting aside a modest amount for potential loan losses in the first quarter, JPMorgan is likely to have maintained a similar provisioning trend in the quarter under review. Although the period began amid concerns related to the Middle East conflict, oil price volatility and persistent inflation, the subsequent ceasefire helped drive a meaningful decline in crude prices. This, coupled with resilient economic growth and broadly stable credit conditions, is expected to have supported a decline in the company’s provision for credit losses.
The Zacks Consensus Estimate for non-performing loans of $10.49 billion implies a 6.9% rise year over year. The consensus estimate for non-performing assets of $11.42 billion suggests a 9% increase.
What Our Model Unveils for JPMorganPer our proven model, the chances of an earnings beat for JPMorgan are high this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is the case here, as you can see below.
JPMorgan has an Earnings ESP of +1.77%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
JPM carries a Zacks Rank #3 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
JPMorgan’s Price Performance & Valuation AnalysisJPMorgan shares delivered a decent performance in the second quarter. Yet, the stock lagged behind Citigroup (C - Free Report) and Bank of America (BAC - Free Report) . Even the S&P 500 Index fared better.
2Q26 Price Performance
Image Source: Zacks Investment Research
Both Citigroup and Bank of America are slated to announce quarterly numbers on the same day as JPMorgan.
JPM’s shares appear to be trading on par with the industry. The stock is currently trading at a forward 12-month price/earnings (P/E) of 14.37X compared with the industry’s 14.36X.
Price-to-Earnings F12M
Image Source: Zacks Investment Research
Also, JPM stock is trading at a premium compared with Citigroup and Bank of America. At present, Citigroup has a forward P/E of 11.92X, while Bank of America’s forward P/E is 12.32X.
JPMorgan’s Q2 Earnings: How to Approach JPM Stock?JPMorgan is well-positioned to benefit from its scale, diversified business mix and leading market positions across key segments. Strategic acquisitions continue to bolster its financial performance, while regional branch expansion and cross-selling efforts should support future growth. Although these initiatives may keep expenses elevated, they also strengthen the bank’s competitive moat and long-term growth outlook.
Additionally, JPMorgan’s enhanced capital-return plans, including a $50-billion share repurchase authorization and a proposed 10% dividend increase, should bolster shareholder value. The company’s willingness to deploy up to $20 billion for strategically compelling acquisitions could also support long-term growth and profitability. Nevertheless, capital market volatility and persistently high mortgage rates may constrain fee income growth. These headwinds, combined with an evolving macroeconomic environment, could exert pressure on the company’s earnings.
Therefore, investors should closely watch management’s commentary on how geopolitical risk and market volatility affected performance and how the bank plans to navigate the current environment. Any revisions to JPMorgan’s 2026 guidance for NII, IB, non-interest expense and asset quality will be especially important given recent macro developments. Broader macroeconomic and policy trends that could materially shape the company’s performance trajectory should also be carefully considered.
Existing shareholders may hold JPM stock, given its strong fundamentals and proven resilience. Potential investors, on the other hand, should carefully weigh these factors and assess their risk tolerance before taking new positions.
FuboTV Inc. (NYSE:FUBO) shares are trending Thursday after the company announced the appointment of Alisa Bowen as CEO, effective July 10, succeeding co-founder David Gandler.
FuboTV stock is moving in positive territory. Why are FUBO shares climbing? The Appointment“Alisa is a proven operator who brings nearly 30 years of product, digital and operational experience, including leadership across Disney+, Hulu and ESPN+,” said Andy Bird, Chairman of the Board. “She has an established track record of driving global subscriber growth and profitability.”
Gandler, who co-founded Fubo 11 years ago, resigned from the Board in accordance with the terms of his employment agreement. Subject to Board approval following the Annual Meeting of Stockholders on July 28, Bowen is also anticipated to be appointed to serve as a Board member.
“I am excited to lead Fubo in its next phase as we sharpen its strategy across sports, news and entertainment, accelerate growth and drive profitability,” said Bowen.
Fubo Shares Edge HigherFUBO Price Action: At the time of publication, Fubo shares are trading 1.96% higher at $9.70, according to data from Benzinga Pro.
Image via Shutterstock
This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Market News and Data brought to you by Benzinga APIs
NVIDIA (NASDAQ:NVDA | NVDA Price Prediction | NVDA Price Prediction) is the operating system of the AI buildout. On the Q1 FY27 call, Jensen Huang described “the buildout of AI factories, the largest infrastructure expansion in human history” as accelerating.
Data Center revenue hit $75.246 billion, up 92% year over year, and networking alone grew 199%. Yet shares are only up 9.58% year to date. Can NVIDIA hit $300 by 2027?
What’s Holding NVIDIA Back Right Now The stock closed at $204.12 on July 8, sitting 28% below the 52-week high of $236.26. Over the last month, shares are down 2.17%, even after a 3.31% bounce in the past week.
The headwinds are the China overhang and competitive noise. Q2 FY27 guidance explicitly excludes Data Center compute revenue from China, and there were zero H20 shipments in the quarter. Add headlines around DeepSeek developing its own AI chip and server delay reports, and sellers use every excuse. With a beta of 2.21, this stock swings hard both ways.
Wall Street Sees 48% Upside. Our Model Says 23% The Street is bullish. 48 Buy ratings, 10 Strong Buy, 2 Hold, 1 Sell, with an average target of $301.62. That is 95% bullish sentiment. Our base case is 23% at $251.05, or 22.99% upside, with a 90% confidence score.
The bull case runs to $261.26 and the bear case to $219.31 over the next year. The Street is closer to right on direction, closer to wrong on timing. Earnings growth of 214.5% year over year does not typically get rewarded with a 23% stock move.
The Path to $300 Per Share Reaching $300 from $204.12 requires a 47% gain, above our optimistic case and just below the Street’s consensus target.
With forward EPS of $8, a price of $300 implies a forward P/E of 38x. Our base case of $251.05 already implies 35x means the bold target requires only 3x additional multiple expansion. That is not aggressive for a company compounding earnings at triple digits.
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
Catalysts are already contracted. Huang told investors “Agentic AI has arrived, doing productive work, generating real value and scaling rapidly”, backed by $119 billion in total supply commitments and OpenAI, Anthropic, and Meta all named as multi-gigawatt customers.
Q2 FY27 guidance points to $91 billion in revenue. If FY27 EPS trends higher from here, the forward multiple compresses on its own. The main risk is new China export escalation that spooks the multiple before earnings catch up.
Where NVIDIA Trades Today vs Its Earnings Power At $204.12 with forward EPS in the high single digits, the stock trades at 26x forward earnings. For a business growing revenue 85.23% year over year at 75.0% non-GAAP gross margins, that is cheap on any historical comparison. The PEG ratio sits at 0.6.
Shares are wedged between the 52-week low of $161.40 and high of $236.26, and the 10-year return is 16,272.69%. Valuation is not what stands between the stock and $300.
$300 Is Possible $300 requires a 47% gain, which is meaningful but realistic.
Three things need to go right: Blackwell Ultra and Vera Rubin ship on schedule, gross margins hold the 75% line, and one sovereign or hyperscaler deal gets upsized in a headline print. A fresh China escalation would derail it. We’ve outlined the blueprint for how NVIDIA could reach $300 in 2027.
Don't wait: the analyst who called NVIDIA in 2010 just revealed his top 10 AI stocks. See the full list FREE now.
Target (TGT - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this retailer have returned -0.3%, compared to the Zacks S&P 500 composite's +2.2% change. During this period, the Zacks Retail - Discount Stores industry, which Target falls in, has lost 4.6%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings EstimatesHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Target is expected to post earnings of $2.21 per share, indicating a change of +7.8% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $8.35 points to a change of +10.3% from the prior year. Over the last 30 days, this estimate has remained unchanged.
For the next fiscal year, the consensus earnings estimate of $8.89 indicates a change of +6.4% from what Target is expected to report a year ago. Over the past month, the estimate has remained unchanged.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Target is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Target, the consensus sales estimate of $26 billion for the current quarter points to a year-over-year change of +3.2%. The $108.83 billion and $111.95 billion estimates for the current and next fiscal years indicate changes of +3.9% and +2.9%, respectively.
Last Reported Results and Surprise HistoryTarget reported revenues of $25.44 billion in the last reported quarter, representing a year-over-year change of +6.7%. EPS of $1.71 for the same period compares with $1.3 a year ago.
Compared to the Zacks Consensus Estimate of $24.45 billion, the reported revenues represent a surprise of +4.06%. The EPS surprise was +21.28%.
Over the last four quarters, Target surpassed consensus EPS estimates three times. The company topped consensus revenue estimates two times over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Target is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Target. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Delta Air Lines (DAL, Financials), one of the largest U.S. carriers and a major operator of domestic and international passenger flights, said higher ticket pri
Founder's ClubSwingTraderLeaderboardMarketSurgeeIBDIBD DigitalIBD LiveCustomer Center
My Stock Lists
Email Preferences
Help & Support
Sign Out
Search stocks or keywords
Sections
My IBD
MARKET TREND
STOCK LISTS
STOCK RESEARCH
NEWSECONOMY
VIDEOS & PODCASTS
HOW TO INVESTEDUCATIONAL RESOURCESStoreMy Products
Founder's ClubSwingTraderLeaderboardMarketSurgeeIBDIBD DigitalIBD Live
Recently Searched
SK Hynix Raises $26.5 Billion In U.S. Listing; Memory Giants Micron, Sandisk Rise
Broadcom Inks Pact With Meta, Leads 21 Top Performers Onto Best Stock Watchlists
Leaderboard Quarterly Scorecard Webinar Q&A Summary For Thursday, July 9, 2026 Delta topped estimates for Q2 results early Friday thanks to strong travel demand. But shares dipped as fuel costs soared, meanwhile management expected airfares to remain high for the foreseeable future. Carriers American Airlines (AAL) and United Airlines (UAL) were mixed in early trade. Delta Air Lines (DAL) reported a 25% decline in earnings to $1.56 per share adjusted, but…
Flying first class just got a little less expensive, provided you’re willing to make a few compromises.
Delta announced Thursday that it’s expanding its unbundled fare strategy into its premium cabins with new lower-priced fare options for Delta One, domestic first class, and Delta Premium Select that let travelers pay less in exchange for giving up some flexibility and premium benefits.
What travelers still getDelta, like many other airlines, rolled out Basic, Classic, and Extra fare options in the Main Cabin across much of its network last year.
The lower-priced premium fares do not change the onboard seat or inflight service. Passengers who book Basic Business in Delta One, for instance, will still receive the same lie-flat seat, meals, beverages, bedding, and onboard service as other Delta One passengers. The same applies to Delta First Basic and Delta Premium Select Basic. The cabin experience remains the same regardless of fare purchased.
Subscribe to the Daily newsletter.Fast Company's trending stories delivered to you every day
What travelers give upWhen it comes to concessions, what you’re giving up with the lower fare happens primarily before and after the flight.
Depending on the fare and route, travelers may receive:
No complimentary advance seat selection Reduced or no lounge access that would otherwise be included with eligible Delta One fares No dedicated premium check-in Lower baggage allowances More restrictive change and cancellation policies Fewer SkyMiles and Medallion Qualification Dollars Lower boarding priority No complimentary upgrades Still, a lighter bag in exchange for a lie-flat seat on a long-haul flight might be worth it for many customers.
Delta Air Lines Inc. reaffirmed its full-year profit guidance and said strong demand for premium, corporate and international travel helped offset the highest quarterly fuel expense in its history, Stephen Trent, president and founder of SDT Capital Advisors, says the earnings and guidance were solid and shows the carrier surprised some on Wall Street. He speaks on "Bloomberg Surveillance.
Delta Air Lines (DAL - Free Report) came out with quarterly earnings of $1.56 per share, beating the Zacks Consensus Estimate of $1.51 per share. This compares to earnings of $2.1 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +3.31%. A quarter ago, it was expected that this airline would post earnings of $0.61 per share when it actually produced earnings of $0.64, delivering a surprise of +4.92%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Delta, which belongs to the Zacks Transportation - Airline industry, posted revenues of $17.67 billion for the quarter ended June 2026, missing the Zacks Consensus Estimate by 0.53%. This compares to year-ago revenues of $16.65 billion. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Delta shares have added about 28.2% since the beginning of the year versus the S&P 500's gain of 10.2%.
What's Next for Delta?While Delta has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Delta was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.93 on $17.47 billion in revenues for the coming quarter and $5.78 on $66.23 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Transportation - Airline is currently in the bottom 30% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Allegiant Travel (ALGT - Free Report) , is yet to report results for the quarter ended June 2026.
This travel services company is expected to post quarterly earnings of $1.27 per share in its upcoming report, which represents a year-over-year change of +3.3%. The consensus EPS estimate for the quarter has been revised 88% higher over the last 30 days to the current level.
Allegiant Travel's revenues are expected to be $1 billion, up 45.1% from the year-ago quarter.
Delta Air Lines Inc (NYSE:DAL) reported second quarter adjusted earnings and revenue that exceeded Wall Street expectations, while reaffirming its full-year 2026 earnings guidance and forecasting continued momentum into the September quarter.
The airline posted adjusted earnings per share of $1.56 for the June quarter, ahead of the consensus estimate of $1.51.
Delta said record revenue during the quarter was driven by strong demand for premium cabins, corporate travel and international routes, despite what it described as the highest quarterly fuel expense in the company's history.
The company reaffirmed its full-year 2026 adjusted earnings guidance of $6.50 to $7.50 per share, above the broader analyst consensus of $5.97. It also maintained its free cash flow forecast of $3 billion to $4 billion.
For the September quarter, Delta expects total revenue to increase by the mid-teens year over year, operating margins of 11% to 13%, and earnings per share of $2.00 to $2.50.
Delta CEO Ed Bastian said the company's June quarter performance reflected "broad demand strength, growing brand preference and momentum across our diversified revenue base."
"Delta is executing from a position of strength, and we expect momentum to carry into the second half with double-digit margins and a return to earnings growth,” Bastian added, while reaffirming its expectation of 20% earnings growth for the full year despite higher fuel costs.
The airline’s shares were little changed at $89 following the release of its earnings report.
U.S. stocks traded mostly higher this morning, with the Dow Jones index gaining around 0.1% on Friday.
Following the market opening Friday, the Dow traded up 0.09% to 52,532.82 while the NASDAQ rose 0.07% to 26,224.37. The S&P 500 also rose, gaining, 0.11% to 7,552.11.
Leading and Lagging Sectors
Communication services shares jumped by 0.9% on Friday.
In trading on Friday, health care stocks fell by 0.8%.
Top Headline
Delta Air Lines Inc (NYSE:DAL) reported better-than-expected earnings for the second quarter.
The company posted quarterly earnings of $1.56 per share which beat the analyst consensus estimate of $1.47 per share. The company reported quarterly sales of $19.757 billion which beat the analyst consensus estimate of $17.532 billion.
Delta Air Lines said it sees third-quarter adjusted EPS of $2.00-$2.50, versus market estimates of $1.99.
Equities Trading UP
Equities Trading DOWN
Commodities
In commodity news, oil traded up 0.8% to $72.67 while gold traded down 0.7% at $4,112.00.
Silver traded down 1.5% to $59.835 on Friday, while copper fell 0.1% to $6.2595.
Euro zone
European shares were mixed today. The eurozone’s STOXX 600 rose 0.1%, while Spain’s IBEX 35 Index rose 0.3%. London’s FTSE 100 rose 0.1%, Germany’s DAX fell 0.1%, while France’s CAC 40 slipped 0.1%.
Asia Pacific Markets
Asian markets closed mixed on Friday, with Japan’s Nikkei 225 gaining 1.20%, Hong Kong’s Hang Seng index rising 0.60%, China’s Shanghai Composite dipping 1% and India’s BSE Sensex gaining 1.08%.
Economics
The Baker Hughes total rigs count report will be released today.
Photo via Shutterstock
Market News and Data brought to you by Benzinga APIs
GE Aerospace (NYSE:GE | GE Price Prediction) looks like one of the cleanest large-cap industrial setups going into its July 16 earnings call, and the case for owning it does not hinge on waiting for the report. GE Aerospace releases Q2 2026 results before market open on July 16, and the setup rewards conviction. Prediction markets have already priced in a beat, analyst coverage is stacked to one side and the fundamentals leave almost no room for a downside surprise.
The Numbers Force the Decision Start with Q1 2026. Adjusted EPS printed $1.86 against a $1.60 consensus, a 16.25% beat, on revenue of $12.39 billion, up 24.74% year over year. Orders exploded 87% to $23.0 billion. Free cash flow rose 27.44% to $1.66 billion. That was the fourth consecutive quarterly beat, and GE has now beaten in five out of the last five quarters with surprise margins between 9.79% and 17.32%. The one-week average return following those beats was 2.43%.
Backlog Backstops the Guide Full-year 2026 guidance is intact and trending to the high end: adjusted EPS of $7.10 to $7.40, free cash flow of $8 billion to $8.4 billion, and operating profit of $9.85 billion to $10.25 billion. CEO Larry Culp put it plainly on the Q1 call: “If it were not for current events, we would be talking about an increase in the guide this morning.”
The visibility is real. Commercial services backlog stands at $170 billion, and CFO Rahul Ghai confirmed that entering Q2, 95% of spare parts revenue is already in backlog and all shop visits for the quarter are off wing. Commercial wins in Q1 alone included 300+ LEAP-1A engines for American Airlines, 300 GEnx engines for United and 60 GEnx engines for Delta. There is very little left to guess.
Crowd, Analysts, and Tape All Agree The Polymarket contract on Q2 revenue prices in a 95.5% probability of clearing the $11.75 billion threshold. Analyst coverage sits at 19 buys to 1 hold to 2 sells, with a consensus target of $370.14 and an algorithmic target of $419.75.
The tape confirms the thesis: GE is up 43.31% over one year and 11.85% year to date, with a 8.57% gain in the last month heading into the report. Jim Cramer told Mad Money viewers on April 29, “That’s when you buy GE Aerospace because otherwise it doesn’t come down. This is a good moment to buy GE actually.”
For retirement portfolios looking for a durable industrial compounder, the $170 billion services annuity is exactly the underlying that fits. The Q2 report drops in a week, before the open, and the data points to a setup worth watching closely into July 16.
Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and GE Aerospace didn't make the cut. Grab the names FREE today.
The aerospace sector is soaring as global flight demand reaches new heights. If you’re choosing between GE Aerospace (GE +0.84%) and StandardAero (SARO 0.32%), which stock is the better buy?
GE Aerospace operates primarily as an engine manufacturer with a massive global footprint of commercial and military turbines. StandardAero serves as an independent provider of maintenance and repair services across the entire aviation ecosystem. Both companies benefit from increased flight activity, but they operate at different stages of the aircraft life cycle.
The case for GE AerospaceGE Aerospace sells jet and turboprop engines to commercial, military, and business aviation clients, relying on a massive installed base of over 44,000 commercial engines that generate high-margin service revenue for decades. The company maintains a strong competitive position as a leading manufacturer for the world's most popular aircraft while operating within the industrial stocks category. It serves a diverse range of customers across the global aviation landscape by providing both original equipment and comprehensive long-term maintenance solutions.
In fiscal 2025, revenue reached nearly $45.9 billion, growing roughly 18.5% year over year. This expansion helped GE achieve net income of close to $8.7 billion, resulting in a net margin of approximately 19%. Net income refers to the total profit remaining after all expenses and taxes are paid, serving as a key indicator of bottom-line success.
As of GE’s December 2025 balance sheet, the debt-to-equity ratio is approximately 1.1. This ratio compares total debt to shareholder equity to show how much the company relies on borrowed money. The current ratio, which measures the ability to pay short-term bills, is nearly 1. GE generated roughly $7.3 billion in free cash flow, which represents the cash remaining after paying for property and equipment.
The case for StandardAeroStandardAero provides aftermarket services like maintenance and repair for aircraft engines to approximately 5,000 global clients. Roughly 80% of its revenue comes from long-term agreements, though its top four manufacturer customers account for approximately 36% of total revenue. Customer concentration like this adds a layer of risk to the business because the loss of one major partner could significantly impact overall results.
For fiscal 2025, StandardAero reported nearly $6.1 billion in revenue, an increase of approximately 15.8% over the previous year. It achieved net income of about $277.4 million, with a net margin of nearly 4.6%. The company has shown significant improvement in profitability, moving from a net loss in earlier years to its current positive operating state as maintenance demand remains high.
On its December 2025 balance sheet, StandardAero maintained a current ratio of roughly 2.2. This indicates a strong ability to cover short-term liabilities using current assets like cash and inventory. The debt-to-equity ratio is approximately 0.9, showing a balanced capital structure. Free cash flow for the period reached nearly $234.3 million after accounting for capital expenditures, providing capital for future facility expansions.
Risk profile comparisonGE Aerospace faces risks from global supply chain disruptions and fluctuations in raw material costs. The company is also exposed to geopolitical tensions that could impact defense spending or international travel demand. Competition from other major engine manufacturers like RTX (RTX +0.15%) or Safran (SAFRY +1.75%) remains a constant pressure on market share and pricing power.
StandardAero carries substantial indebtedness of about $2.247 billion, which could limit its financial flexibility. The business depends heavily on authorizations from manufacturers like Rolls-Royce (RYCEY +2.24%) and Honeywell (HON +1.39%) to perform repairs. Additionally, the company is remediating material weaknesses in its internal controls over financial reporting, which may impact investor confidence and the accuracy of its financial statements.
Valuation comparisonStandardAero carries a significantly lower valuation based on its forward P/E, which tracks the share price against future earnings estimates, and its P/S ratio.
MetricGE AerospaceStandardAeroSector BenchmarkForward P/E48.523.2246.5P/S ratio8.31.6Sector benchmark uses the SPDR XLI sector ETF.
Valuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
One thing I find appealing about GE Aerospace is that its former parent company, General Electric, has a long history in the public markets. In fact, General Electric was part of the original 12 Dow Jones Industrial Average constituents. GE Aerospace has been publicly traded since 2024, but its parent company's long history and pedigree suggest it knows how to execute. GE Aerospace is also one of the largest businesses in the industrials space. Finally, I like that it pays a (modest) dividend.
StandardAero was a privately held company until 2024. It's had some issues reconciling how it reports its financials now that it's publicly traded, which I don't love, but that's not uncommon for companies making the transition from private ownership. On a purely valuation basis, StandardAero's stock is far more attractive than shares of GE Aerospace.
The conservative investor in me would probably prefer to buy GE Aerospace. The company has been in the aviation business in some shape or form for more than 100 years and has a massive installed base. It's also a much larger company than StandardAero. (We're talking a market cap of about $380 billion for GE versus $10 billion for StandardAero; it's like comparing a whale to a trout.) I think GE Aerospace's somewhat lofty valuation is partly because investors are paying for the perceived safety of an industrial giant.
Two factors often determine stock prices in the long run: earnings and interest rates. Investors can't control the latter, but they can focus on a company's earnings results every quarter.
We know earnings results are vital, but how a company performs compared to bottom line expectations can be even more important when it comes to stock prices, especially in the near-term. This means that investors might want to take advantage of these earnings surprises.
Hunting for 'earnings whispers' or companies poised to beat their quarterly earnings estimates is a somewhat common practice. But that doesn't make it easy. One way that has been proven to work is by using the Zacks Earnings ESP tool.
The Zacks Earnings ESP, ExplainedThe Zacks Earnings ESP is more formally known as the Expected Surprise Prediction, and it aims to grab the inside track on the latest analyst estimate revisions ahead of a company's report. The idea is relatively intuitive as a newer projection might be based on more complete information.
With this in mind, the Expected Surprise Prediction compares the Most Accurate Estimate (being the most recent) against the overall Zacks Consensus Estimate. The percentage difference provides the ESP figure. The system also utilizes our core Zacks Rank to provide a stronger system for identifying stocks that might beat their next quarterly earnings estimate and possibly see the stock price climb.
When we join a positive earnings ESP with a Zacks Rank #3 (Hold) or stronger, stocks posted a positive bottom-line surprise 70% of the time. Plus, this system saw investors produce roughly 28% annual returns on average, according to our 10 year backtest.
Stocks with a #3 (Hold) ranking, which is most stocks covered at 60%, are expected to perform in-line with the broader market. But stocks that fall into the #2 (Buy) and #1 (Strong Buy) ranking, or the top 15% and top 5% of stocks, respectively, should outperform the market. Strong Buy stocks should outperform more than any other rank.
Should You Consider Verizon Communications?Now that we understand what the ESP is and how beneficial it can be, let's dive into a stock that currently fits the bill. Verizon Communications (VZ - Free Report) earns a #3 (Hold) right now and its Most Accurate Estimate sits at $1.31 a share, just 14 days from its upcoming earnings release on July 24, 2026.
Verizon Communications' Earnings ESP sits at +2.75%, which, as explained above, is calculated by taking the percentage difference between the $1.31 Most Accurate Estimate and the Zacks Consensus Estimate of $1.28. VZ is also part of a large group of stocks that boast a positive ESP. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
VZ is just one of a large group of Computer and Technology stocks with a positive ESP figure. Celestica (CLS - Free Report) is another qualifying stock you may want to consider.
Celestica, which is readying to report earnings on July 27, 2026, sits at a Zacks Rank #3 (Hold) right now. Its Most Accurate Estimate is currently $2.29 a share, and CLS is 17 days out from its next earnings report.
For Celestica, the percentage difference between its Most Accurate Estimate and its Zacks Consensus Estimate of $2.28 is +0.55%.
Because both stocks hold a positive Earnings ESP, VZ and CLS could potentially post earnings beats in their next reports.
Find Stocks to Buy or Sell Before They're ReportedUse the Zacks Earnings ESP Filter to turn up stocks with the highest probability of positively, or negatively, surprising to buy or sell before they're reported for profitable earnings season trading. Check it out here >>
Goldman Sachs (GS +2.56%), one of the premier investment banks in the world, is coming off a strong first quarter, fueled by record mergers and acquisitions activity.
So what will it do for an encore?
We'll find out in a few days, as Goldman Sachs posts its second-quarter earnings results on Tuesday, July 14.
Here's what to expect.
Image source: Getty Images.
M&A fuels blowout Q1 The first quarter was one of the best in recent years for merger and acquisition (M&A) activity, with global deal volume rising some 50% year over year to $1.6 trillion.
Goldman Sachs was a huge beneficiary of that surge in activity, ranking No. 1 in volume of deals and No. 2 in the number of deals. It facilitated five deals worth more than $10 billion, including the pending merger of Unilever and spice company McCormick.
It drove Goldman Sachs to blowout earnings in Q1 as investment banking revenue rose 48% year over year to $2.84 billion. Total revenue climbed 14% to $17.2 billion while net earnings increased 19% to $5.6 billion.
Goldman Sachs is not only the largest investment banking firm, but it also derives a larger percentage of revenue from M&A than its major competitors. So, when M&A and investment banking is hot, Goldman Sachs typically outperforms. Year to date, Goldman Sachs shares are up 20%, and they have gained 51% over the past 12 months.
Today's Change
(
2.56
%) $
26.33
Current Price
$
1,055.97
What to expect in Q2 With Q2 now complete and an earnings report right around the corner, investors will be watching to see whether Goldman Sachs can maintain its momentum.
Wall Street analysts anticipated about $16.3 billion in revenue in Q2, which would be down from Q1 but up some 11% year over year. Earnings are targeted at $14.16 per share, which would be up 30% year over year.
The lower expected numbers in Q2 are not unusual, as investment banking results are typically the best in Q1 due to fresh budget allocations and other factors. On top of that, it was a historically good quarter for M&A, so it would be hard for Goldman Sachs to replicate.
But I wouldn't be shocked to see a surprise on the upside in Q2. Investment banking and M&A have remained hot in Q2, highlighted by the Space Exploration Technologies, or SpaceX, IPO, which Goldman Sachs was the lead underwriter on. Analysts said it could be one of the biggest underwriting payouts ever, generating some $100 million in fees for Goldman Sachs.
According to M&A law firm A.O. Shearman, there was $2.8 trillion in global deal volume in the first half of 2026, the most since 2021. That would be up from $2.7 trillion in the same period last year.
Deal-making was not as robust in Q2 -- the $2.8 trillion total would suggest it hit $1.2 trillion in Q2 -- but it was still strong. And the market will remain hot in the second half, particularly for Goldman Sachs, which is the co-lead advisor on the Anthropic IPO, which is expected in the second half of 2026.
That should be good news for Goldman Sachs. I'd expect another strong quarter for the investment banking firm, and its stock should move higher given its fairly low valuation of 17 times earnings.
Bloomberg Restaurants Reporter Daniela Sirtori joined Bloomberg's Paul Sweeney and Jess Menton to elaborate on her story, Starbucks Taps AI to Cut Reliance on Microsoft, IBM Software. Starbucks Corp. is developing in-house tools with the help of artificial intelligence that could replace some software applications it now buys from companies such as Microsoft Corp. and International Business Machines Corp. The coffee chain is building alternatives to a Microsoft system that tracks inventory and an IBM tool that manages maintenance, according to an internal presentation reviewed by Bloomberg News.
Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades, downgrades and initiations, please see our analyst ratings page.
Considering buying PEP stock? Here’s what analysts think:
Photo via Shutterstock
Market News and Data brought to you by Benzinga APIs
