Track market-moving stories before they get noisy

Key Takeaways ZTO's earnings estimates for 2026 have been revised higher, signaling solid broker confidence.ZTO expects its 2026 parcel volume to be between 42.37 billion and 43.52 billion (up 10-13% year/year growth).ZTO has gained in the past year and outperforms its industry, but lags its peers like SNDR and EXPD. ZTO Express (ZTO - Free Report) performed well in the past year and has the potential to sustain the momentum in the future. The positive sentiment surrounding ZTO Express stock is evident from the fact that the Zacks Consensus Estimate for the full-year 2026 earnings has been revised upward in the past 90 days. The consensus mark for full-year 2027 earnings has also been projected downward in the past 90 days.

The favorable estimate revisions indicate brokers’ confidence in the stock.

Image Source: Zacks Investment Research

Given this backdrop, the question now arises whether it is worth buying, holding, or selling the ZTO Express stock at current prices. Let us delve deeper to find out.

Tailwinds Working in Favor of ZTO StockZTO Express’ top line continues to benefit from the strong performance of the core express delivery services unit. Notably, revenues from the core express delivery business increased 22.5% year over year in first-quarter 2026, owing to 13.2% growth in parcel volume and an 8.2% increase in parcel unit price. Key account revenue, generated by direct sales organizations, grew 92.2% year over year, owing to an increase in e-commerce return parcels. Based on current market and operating conditions, ZTO Express expects its 2026 parcel volume guidance in the range of 42.37 billion to 43.52 billion (reflecting 10-13% year over year growth).

ZTO Express’s efforts to reward its shareholders even in the present uncertain scenario are noteworthy. ZTO’s board has approved a new share repurchase program in March 2026, authorizing the repurchase of up to $1.5 billion of its shares over the next 24 months, effective from March 20, 2026, through March 20, 2028. ZTO Express anticipates funding these repurchases utilizing its existing cash balance. Such shareholder-friendly efforts boost investor confidence and positively impact the company’s bottom line.

Impressive Valuation Picture for ZTO ExpressZTO Express looks cheap from a valuation standpoint. Considering the forward 12-month price-to-earnings ratio (P/E-F12M), ZTO Express is trading at a discount compared to the industry.

The stock has a forward 12-month P/E-F12M of 10.31X compared with 16.40X for the industry over the past five years. The company’s forward 12-month P/E-F12M ratio is also below the median level of 13.47X over the past five years. These factors indicate that the stock’s valuation is attractive. ZTO Express has a Value Score of A.

ZTO P/E Ratio (Forward 12 Months) Vs. Industry Image Source: Zacks Investment Research

ZTO Stock’s Price PerformanceShares of ZTO Express have gained 24% over the past year, outperforming the Zacks  Transportation - Equipment and Leasing industry’s  16.7% increase. However, the company fared unfavorably when compared with that of other industry players, Expeditors International of Washington, Inc. (EXPD - Free Report) and Schneider National, Inc. (SNDR - Free Report) .

ZTO Stock’s One-Year Price Comparison Image Source: Zacks Investment Research

Time to Buy ZTO StockApart from being attractively valued, the upbeat performance of the core express delivery services segment is a positive for ZTO Express. The uptick was driven by an increase in parcel volume and an increase in parcel unit price. ZTO Express expects its 2026 parcel volume guidance to be in the range of 42.37 billion-43.52 billion, reflecting an increase of 10-13% year over year. ZTO Express’s efforts to reward its shareholders look encouraging.

We believe that the positives surrounding the stock (as highlighted throughout the write-up) outweigh the concerns regarding higher selling, general and administrative expenses, which are pushing up operating expenses and hurting the bottom line, coupled with the highly competitive domestic express delivery market. We, therefore, suggest investors add ZTO Express stock to their portfolios for healthy returns. The company’s Zacks Rank #2 (Buy) further supports our thesis. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Key Takeaways Oracle added four Fusion Agentic Applications for supply chain and manufacturing automation. ORCL introduced inventory optimization tools to improve planning and reduce manual intervention. Oracle Cloud Applications revenues rose 10% in Q4 FY2026, with more than 300 Fusion customers going live. Oracle (ORCL - Free Report) is deepening its push into agentic enterprise software with four new Fusion Agentic Applications for Oracle Fusion Cloud Supply Chain and Manufacturing. Announced on June 29, 2026, the new applications include tools for inventory planning, supplier qualification, production readiness and Kanban administration, enabling enterprises to automate exception-based supply chain decisions within existing Fusion workflows. Oracle also introduced multi-echelon inventory optimization and an Inventory Optimization Advisor Agent, helping planners balance inventory availability with carrying costs while reducing manual intervention.

Rather than positioning AI as a standalone capability, Oracle is embedding agentic intelligence into core supply chain operations where inventory management, supplier performance and production planning directly influence business outcomes. The latest capabilities are expected to improve operational efficiency, strengthen supply chain resilience and enhance decision-making across manufacturing and procurement workflows. As enterprises increasingly prioritize measurable returns from AI investments, deeper automation within Fusion Cloud Applications could strengthen Oracle's value proposition and support broader enterprise adoption.

The launch comes as Oracle's applications business continues to gain traction. In the fourth quarter of fiscal 2026, Oracle Cloud Applications revenues increased 10% year over year to $4.1 billion, while SaaS deferred revenues grew 16%. Oracle also brought more than 300 Fusion customers live during the quarter, highlighting continued enterprise demand for the platform. Oracle expects cloud revenues to grow 58-64% in the first quarter of fiscal 2027, suggesting that continued innovation across Fusion Applications could support customer expansion and sustained cloud growth.

Oracle's AI Push Faces Stronger CompetitionOracle is experiencing intensifying competition from SAP (SAP - Free Report) and Workday (WDAY - Free Report) , both of which are deepening agentic capabilities within their platforms. SAP has expanded its Joule platform with collaborative agents spanning supply chain, procurement and finance, moving the company beyond a conversational assistant toward autonomous execution. Workday is similarly advancing its Illuminate platform with agentic capabilities targeting finance and workforce processes, extending its automation across HR and finance applications.

As SAP and Workday deepen their agentic footprint, Oracle's continued investment in Fusion Agentic Applications will be important to sustaining its competitive position in enterprise software.

ORCL’s Price Performance, Valuation & EstimatesShares of Oracle have plunged 24.2% in the year-to-date (YTD) period, underperforming the Zacks Computer and Technology sector’s appreciation of 12.8%.

ORCL’s 6-Month Price Performance
Image Source: Zacks Investment Research

From a valuation standpoint, ORCL stock is currently trading at a trailing 12-month Price/Earnings ratio of 17.92X, which is lower than the Zacks Computer - Software industry average of 19.01X. Oracle carries a Value Score of C.

ORCL’s Valuation
Image Source: Zacks Investment Research

The Zacks Consensus Estimate for ORCL’s fiscal 2027 earnings is pegged at $8.03, which suggests 5.24% growth over the figure reported in fiscal 2026.

ORCL currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

© monsitj / iStock via Getty Images

The iShares Expanded Tech-Software Sector ETF (NASDAQ:IGV) closed Friday at $88.20, down 16.5% year to date and 18.9% over the past year, despite the broader AI trade still drawing capital. IGV’s slide accelerated this month after top holding Oracle posted its worst week since the 2001 dot-com bust, dropping 19.4% in five sessions on debt and free-cash-flow concerns. With a 0.39% expense ratio, IGV remains the cleanest single-ticker proxy for U.S. software, but the next 12 months hinge on two specific signals.

The Fund’s Current Position IGV tracks the S&P North American Expanded Technology Software Index and is market-cap-weighted, which concentrates exposure in the AI-software winners that have driven both its prior run and its current drawdown. The top six holdings span the full valuation spectrum: Microsoft (NASDAQ:MSFT | MSFT Price Prediction) at a 22 P/E, Oracle (NYSE:ORCL) at a 25 P/E, Palantir at 127, and Palo Alto Networks at 267. That dispersion is the whole story: when the AI narrative compresses, the high multiples take the elevator down while the cheaper names cushion only so much.

Macro Signal: The 10-Year Treasury Yield The single most important macro factor for IGV over the next year is the 10-year Treasury yield, currently at 4.40% and sitting in the 79th percentile of its 12-month range. Software multiples are the most duration-sensitive in the equity market because cash flows skew far into the future. The yield’s spike to 4.67% on May 19 coincided with IGV’s worst month of the year. The Fed has held the upper bound at 3.75% since December 2025, meaning the long end is doing the policy tightening that the Fed has paused.

Watch the daily FRED series DGS10. A sustained break above 4.50% would likely pressure the names with no earnings cushion: Adobe, Palantir, and Palo Alto. A move back below 4.15%, the early-March low, would do the opposite. Check it weekly, and around every BLS jobs report and CPI release, since those prints drive most of the curve’s repricing.

Fund-Specific Signal: AI Capex Credibility The fund-specific factor that matters most is whether the hyperscaler AI capex cycle remains self-funding. Oracle alone spent $55.7 billion in TTM capex against negative $23.7 billion in free cash flow and $130 billion in debt. Microsoft’s quarterly capex hit a multi-billion-dollar sum, up sharply year over year, with an a fast-scaling AI run rate. That is the bull case. The bear case showed up in Oracle’s stock this month: when investors question the financing math, the multiple resets fast.

Monitor two specific items. First, hyperscaler commercial RPO disclosures each quarter, Microsoft’s commercial RPO was reported as a record figure last quarter, and any sequential deceleration signals demand cooling before revenue prints. Second, free-cash-flow guidance on the next earnings calls. Intuit and Adobe (NASDAQ:ADBE) trade at 9 and 8 forward P/Es respectively, which gives IGV some ballast, but the top-heavy weighting means Oracle and Microsoft set the tone.

What This Means Going Forward If the 10-year yield holds below 4.50% and the September-quarter earnings season shows hyperscaler RPO growth holding above 80%, IGV’s drawdown likely marks a multiple reset rather than a structural break. The single most actionable trigger is Oracle’s Q1 FY27 report, the company guided 27% to 29% revenue growth, and any miss would test whether the AI-software bid has truly stabilized.

Contact [email protected] for any questions or corrections.

Key Takeaways Digital Realty will acquire Blackstone's stake in three Northern Virginia data centers valued at $7.8B.DLR expects the deal to boost Core FFO per share in 2027 and 2028 as assets stabilize.The portfolio is fully leased under 15-year agreements with investment-grade hyperscale customers. Digital Realty (DLR - Free Report) announced that it has agreed to acquire Blackstone-affiliated funds’ equity interest in three hyperscale data centers in Northern Virginia, increasing its ownership of high-quality assets in the world’s largest data center market. The portfolio comprises two facilities in Manassas and one in Sterling, with a combined 288 megawatts of IT capacity. The transaction values the portfolio at $7.8 billion.

Digital Realty will pay Blackstone $3.5 billion for its combined 64% equity interest, including $1.2 billion in cash and $2.3 billion in Digital Realty shares. The company is acquiring Blackstone’s 80% interest in the two Manassas facilities and its 50% stake in the Sterling property. Two of the data centers are expected to stabilize in the first half of 2027, while the third is expected to stabilize in the first half of 2028.

The acquired assets are backed by 15-year leases with customers. All three data centers are fully leased to three separate investment-grade hyperscale customers, carrying a blended average AA- credit rating, and include annual rent escalators of 3.6%. Digital Realty said that the deal will increase its exposure to newly developed capacity in Northern Virginia, a region that continues to attract strong demand from hyperscale cloud providers. The company also noted that it will continue working with Blackstone on other joint ventures in Northern Virginia, Paris and Frankfurt.

Digital Realty’s chief financial officer, Matt Mercier, said the acquisition is expected to be accretive to Core funds from operations (Core FFO) per share in both 2027 and 2028 as development is completed and rental income begins. He added that the transaction is expected to support contractual organic rent growth and improve the quality of Digital Realty’s portfolio through long-term leases with leading hyperscale customers in newly built facilities. According to Mercier, the company’s recent execution and strategic transactions position it to continue its growth trajectory.

ConclusionOverall, the acquisition strengthens Digital Realty's position in the world's largest hyperscale data center market by increasing its ownership of high-quality, fully leased assets that offer long-term cash flows. As of March 31, 2026, the company has 309 data centers in more than 55 metros, with decent occupancy reflecting the company’s global presence.

While the transaction requires a sizable capital commitment, its expected Core FFO accretion, enhanced exposure to AI- and cloud-driven demand, and stronger portfolio quality reinforce Digital Realty's long-term growth outlook.

In the past six months, shares of this Zacks Rank #3 (Hold) company have gained 17.5% compared with the industry's growth of 13%.

Image Source: Zacks Investment Research

Stock to ConsiderSome better-ranked stocks from the broader REIT sector are Gladstone Land (LAND - Free Report) and Apple Hospitality REIT (APLE - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for LAND’s 2026 FFO per share is pinned at 45 cents. This indicates year-over-year growth of 15.38% for 2026.

The Zacks Consensus Estimate for APLE’s 2026 FFO per share is pegged at $1.58. This implies year-over-year growth of 3.95% for 2026.

Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.

Key Takeaways ABBV gained nearly 11% in a week as multiple developments boosted long-term growth confidence.AbbVie's $10.9B Apogee deal strengthens its immunology portfolio and future competitive position.ABBV expanded Skyrizi and Rinvoq opportunities while advancing neuroscience and oncology growth. Shares of AbbVie (ABBV - Free Report) have gained nearly 11% in the past week, translating to roughly $43 billion in market value. The upside was driven not by a single catalyst but by several positive developments that fueled investor confidence in the company’s long-term growth prospects.

The momentum began after AbbVie unveiled its $10.9 billion acquisition of clinical-stage biotech Apogee Therapeutics. The transaction is intended to strengthen the company's immunology franchise for the next decade and beyond, while enhancing its long-term competitive position against Dupixent, the blockbuster immunology therapy jointly marketed by Sanofi (SNY - Free Report) and Regeneron (REGN - Free Report) . More importantly, the acquisition appears to have eased one of the market's biggest concerns — how AbbVie plans to sustain growth once its current blockbuster therapies, Skyrizi and Rinvoq, eventually mature.

The Apogee acquisition is only one component of AbbVie's broader strategy to reinforce its leadership in immunology. At the same time, the company continues to expand the commercial reach of its existing products through new regulatory approvals that extend their addressable markets.

Last week, AbbVie secured approvals in both the United States and Europe to expand the label for Skyrizi, allowing its use in pediatric patients with moderate-to-severe plaque psoriasis. The expanded indication broadens the drug’s addressable patient population and further strengthens one of the company's key growth drivers in immunology.

More recently, an EMA advisory committee recommended approving Rinvoq for two new autoimmune indications — alopecia areata and vitiligo — in the European Union. If approved by the European Commission, the expanded label would further reinforce AbbVie's long-term growth prospects in immunology while diversifying Rinvoq's revenue opportunity.

AbbVie’s Growth Story Goes Beyond ImmunologyWhile immunology remains AbbVie's primary growth engine, the company is also generating meaningful momentum across other therapeutic areas. Its neuroscience franchise continues to expand and is becoming an increasingly important contributor to revenue growth. One of the key drivers is Vyalev, the company's Parkinson's disease therapy, which is expected to surpass $1 billion in annual global sales despite launching in the United States only last year.

AbbVie is also strengthening its oncology portfolio. Last month, the company secured approval for Decnupaz to treat adults with blastic plasmacytoid dendritic cell neoplasm (BPDCN), a rare and aggressive blood cancer. The oncology franchise remains anchored by Venclexta and Elahere, providing another avenue for sustained long-term growth.

ABBV’s Stock Performance, Valuation and EstimatesShares of AbbVie have slightly underperformed the industry year to date, as seen in the chart below.

Image Source: Zacks Investment Research

From a valuation standpoint, AbbVie is trading at a discount to the industry. Based on the price/earnings (P/E) ratio, the company’s shares currently trade at 16.73 times forward earnings, lower than its industry’s average of 18.77.

Image Source: Zacks Investment Research

EPS estimates for 2026 and 2027 have declined in the past 30 days.

Image Source: Zacks Investment Research

AbbVie currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

HomeIndustriesInternet/Online ServicesTech StocksTech StocksAmazon plans to utilize forward-deployed engineers to help corporate clients build agentic workflowsJune 30, 2026, 1:41 p.m. ET

Packages aren’t the only thing Amazon.com is delivering: The company is now sending engineers directly to clients in order to bolster artificial-intelligence adoption.

On Tuesday, Amazon AMZN announced a $1 billion initiative to build out a forward-deployed-engineer organization, which seeks to help customers quickly build and scale agentic AI solutions — systems where AI tools reason, plan and execute multistep tasks with limited human involvement.

Micron Technology (MU, Financials) said it will commit $250 million to support Trump Accounts, a savings initiative aimed at helping children and families build

Micron (MU - Free Report) could be a solid choice for investors given the company's remarkably improving earnings outlook. While the stock has been a strong performer lately, this trend might continue since analysts are still raising their earnings estimates for the company.

The upward trend in estimate revisions for this chipmaker reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Our stock rating tool -- the Zacks Rank -- is principally built on this insight.

The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.

Consensus earnings estimates for the next quarter and full year have moved considerably higher for Micron, as there has been strong agreement among the covering analysts in raising estimates.

The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate:

12 Month EPS

Current-Quarter Estimate RevisionsThe earnings estimate of $31.29 per share for the current quarter represents a change of +932.7% from the number reported a year ago.

The Zacks Consensus Estimate for Micron has increased 39.94% over the last 30 days, as seven estimates have gone higher compared to no negative revisions.

Current-Year Estimate RevisionsThe company is expected to earn $72.83 per share for the full year, which represents a change of +778.5% from the prior-year number.

There has been an encouraging trend in estimate revisions for the current year as well. Over the past month, 11 estimates have moved up for Micron versus no negative revisions. This has pushed the consensus estimate 22.38% higher.

Favorable Zacks RankThe promising estimate revisions have helped Micron earn a Zacks Rank #1 (Strong Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision.

You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.

Bottom LineInvestors have been betting on Micron because of its solid estimate revisions, as evident from the stock's 10.6% gain over the past four weeks. As its earnings growth prospects might push the stock higher, you may consider adding it to your portfolio right away.

A bipartisan group of United States lawmakers has opened national security investigations into whether five major pharmaceutical companies, including Merck and AbbVie, were involved in clinical trials conducted in China that may have supported the country’s military capabilities, according to a Reuters report.

The inquiry, led by Republican Representative John Moolenaar of Michigan, chair of the House Select Committee on China, focuses on whether the drugmakers conducted adequate due diligence and maintained sufficient data protection standards at trial sites in China.

In letters dated Monday and first reported by Reuters on Tuesday, lawmakers requested detailed information from Merck & Co Inc (NYSE:MRK, XETRA:6MK) and Abbvie Inc (NYSE:ABBV) by July 17, including documentation on research practices, safeguards, and oversight mechanisms.

The scrutiny also extends to Eli Lilly and Co (NYSE:LLY), Pfizer Inc (NYSE:PFE, XETRA:PFE), and Bristol-Myers Squibb Co (NYSE:BMY, XETRA:RM, OTC:BMYMP), which received similar requests from the committee.

Lawmakers specifically asked for information related to clinical trial locations in China, including sites in the Xinjiang region and military-affiliated hospitals, and raised broader concerns about whether sensitive biomedical data could be accessed or repurposed in ways that pose national security risks.

Merck stated that patient safety and ethical integrity are central to its clinical research operations and said it adheres to global regulatory standards governing clinical trials. AbbVie declined to comment. Pfizer confirmed receipt of the letter but did not provide further comment. Bristol Myers Squibb and Eli Lilly did not immediately respond to requests for comment, according to the Reuters report.

The Chinese embassy in Washington rejected the premise of the investigation, saying in an email that there is “nothing credible” in the committee’s actions and reiterating opposition to what it described as efforts to politicize trade and technology issues.

The developments add to growing US-China tensions over scientific collaboration, particularly in sectors involving sensitive data and dual-use technologies, where commercial research may intersect with national security concerns.

The companies’ shares initially moved lower following the news, but were little changed by the early afternoon.

Jim Cramer recently spotlighted Honeywell Aerospace (NASDAQ:HONA) on a Mad Dash segment, the newly independent aerospace company created after Honeywell Technologies (NASDAQ:HON | HON Price Prediction) completed its spinoff on June 29, 2026. Cramer says he plans to own both Honeywell Aerospace and Honeywell Technologies in his charitable trust.

His argument for the new Honeywell Aerospace business is straightforward: “People want a new aerospace play. They love aerospace. They don’t like Boeing,” he said. Boeing (NYSE:BA) was last quoted near $216.95, against analysts’ average price target of $270.

Honeywell Aerospace: The New Aerospace Pure-Play Cramer called the aerospace operation “top flight” and pushed back on Wall Street’s caution. He flagged that Jefferies rates the aerospace unit a hold, but said he disagrees and intends to own it personally. He also disclosed a personal angle, noting a friendship with one of the aerospace leaders, whom he described as a former neighbor. Honeywell Aerospace is led by President and CEO Jim Currier with Josh Jepsen as CFO.

On growth, Cramer pointed to management’s framework of roughly 9% compound annual growth through 2030, then added that he would “go a little bit higher than that,” framing the guidance as conservative. The underlying business supports the case.

In its final quarter as a segment inside the parent company, Aerospace Technologies generated $4.322 billion in Q1 2026 revenue with 4% organic growth, a 1.1x book-to-bill ratio, and 6% order growth. The prior quarter showed even more torque, with $4.520 billion in revenue and 13% organic growth, including 10% growth in Defense & Space.

Honeywell Technologies: The Automation Story Cramer Still Wants to Own The remaining Honeywell Technologies entity is the automation-focused parent, led by CEO Vimal Kapur. Cramer said he likes the automation business and its leadership and is keeping HON in his trust alongside HONA. Honeywell has a market capitalization of roughly $73.57 billion, a forward P/E of 22, and a share price of $224.46, vs. an analyst price target of $247.69.

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

Honeywell delivered Q1 2026 adjusted EPS of $2.45 against a $2.32 consensus, its fourth straight earnings beat, with segment margin expanding 90 basis points to 23.3% and orders rising 7% organically on a backlog of $38.30 billion. Management reaffirmed full-year guidance of $38.8 billion to $39.8 billion in sales and adjusted EPS of $10.35 to $10.65.

Kapur framed the rationale on the call: “All of the acquisitions, divestitures, spin-offs and simplification efforts over the last several years have positioned both aerospace and automation for bright futures as independent, leading companies.”

What Investors Should Watch Next Cramer’s bullish view rests on two key ideas. First, he believes investors looking for aerospace exposure beyond Boeing now have a large, standalone pure-play in Honeywell Aerospace. Second, he thinks management’s long-term growth outlook through 2030 could prove conservative.

Commercial aftermarket demand remains strong, and the U.S. Department of War’s FY 2027 budget request includes a $3 billion increase for Weapon System Sustainment, a $14.9 billion investment in munitions, and higher funding for aircraft flying hours, which supports demand for avionics, auxiliary power units (APUs), and engine systems that Honeywell Aerospace supplies.

The biggest near-term question is execution. Cramer noted Jefferies’ Hold rating, while Honeywell has warned that temporary supply-chain constraints could limit production in the short term. As a newly public company, investors will be watching the first few quarters of standalone results and any updated long-term guidance from management to see whether the company’s growth outlook begins to exceed its initial targets.

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

Contact [email protected] for any questions or corrections.

Key Takeaways Intuit reported strong fiscal Q3 2026 results and raised its fiscal 2026 revenue growth outlook to 13-14%.Block is expanding Square and Cash App, supported by strong gross profit growth and new merchant wins.XYZ faces macro and competition risks, while INTU contends with cost pressures and tax software competition. Intuit Inc. (INTU - Free Report) and Block (XYZ - Free Report) operate in the fintech space, offering digital financial tools for consumers and businesses. Intuit focuses on tax and accounting software, while XYZ specializes in payments and financial services.

Intuit leverages its broad ecosystem, QuickBooks, TurboTax, Credit Karma and Mailchimp to build a comprehensive platform for consumers, small businesses and professionals. Meanwhile, Block excels through the dual ecosystem of Square and Cash App, serving merchants and consumers.

Let’s weigh the pros and cons of each to find out which stock deserves a spot in your portfolio.

The Case for IntuitIntuit is a global fintech company that powers products such as TurboTax, Credit Karma, QuickBooks, Mailchimp and Intuit Enterprise Suite. The company focuses on helping consumers manage taxes and personal finances while enabling businesses to run end-to-end operations. It reported strong third-quarter fiscal 2026 results, with revenue growth of 10.4%. As a result, the company expects revenue growth of approximately 13-14% for fiscal 2026.

Intuit’s Global Business Solutions segment is a key driver of its business ecosystem. This segment's Online Ecosystem provides a seamless platform for accounting, payroll, payments and analytics. In the third quarter of fiscal 2026, Global Business Solutions revenues grew 15.3% to $3.29 billion, including Online Ecosystem revenues, which rose 18.7%. For fiscal 2026, management expects the segment’s revenues to grow approximately 16%.

Intuit's Consumer segment features Credit Karma, TurboTax and ProTax, together creating year-round financial tools. Management noted that average revenue per user (ARPU) is approximately 30% higher for customers using both TurboTax and Credit Karma than for those using TurboTax alone. In the third quarter of fiscal 2026, the Consumer segment revenues grew 7.5%. For fiscal 2026, management expects Consumer Group revenue growth of 10%, including TurboTax at 7%, Credit Karma at 19% and ProTax at 4%.

Intuit maintains a disciplined capital distribution strategy, committed to boosting shareholder value via consistent dividend hikes and share repurchases. The company has increased its dividend five times over the past five years, with a 15.61% annualized growth rate. Supported by strong operating fundamentals, we expect dividends to remain sustainable in the future. It also repurchased $1.6 billion of stock in the third quarter of fiscal 2026 and received board approval for a new $8 billion repurchase authorization.

However, Intuit has its share of challenges, as its performance is partly tied to the health of small businesses, lending conditions and consumer tax filing dynamics. A slowdown in consumer spending or credit demand could impact its growth. The company’s high costs and expenses remain a major concern. The competitive landscape in tax preparation and enterprise accounting creates pricing pressure, particularly during large contract renewals.

The Case for BlockBlock continues to grow its comprehensive fintech platform, with its Square, Cash App and Afterpay ecosystems offering end-to-end solutions across payments, commerce, banking, investing and lending. XYZ’s first-quarter 2026 results reflected decent top-line performance and strong gross profit growth. Its net revenues increased 4.9% year over year, while the gross profit climbed 27.1%, with Cash App rising 38.3% and Square increasing 9.4%.

Square, Block’s merchant-facing ecosystem, remains strong. In the first quarter of 2026, Square Gross Payment Volume (GPV) rose 13.2% year over year. Additionally, the company partners with more than 140 independent sales organizations (ISO) to complement its direct sales and extend reach to new sellers. This month’s merchant wins, including Ladurée Canada, Sofive Soccer Centers, Coffee Dose and Baker St Café, demonstrate its growing penetration across restaurants, specialty food, sports centers and retail businesses.

Block’s momentum is driven mainly by Cash App, which has grown beyond peer-to-peer payments into a multi-service financial hub for digitally native users. Cash App is broadening its role in users’ financial lives through payments, banking, commerce and bitcoin transactions. Cash App remains focused on making transactions faster, more convenient and more personalized. This month, it launched Cash App Tags, NFC-enabled physical payment accessories that let customers pay with a single tap without a phone or a card.

In early June, Block announced the launch of Afterpay on Cash App Card, making Buy Now, Pay Later (“BNPL”) available to eligible Cash App Card customers. The feature targets American earners with variable incomes and customers who are underserved by the current financial system. It is being rolled out to Cash App’s roughly 59 million monthly transacting active users. Block stands to benefit from increased card usage and merchant volume while capturing BNPL fees.

While Block faces headwinds, including sensitivity to macroeconomic conditions, intensifying competition and a younger-user base concentration, its diversified revenue streams, solid fundamentals and ongoing product innovation counterbalance those risks, positioning the company for durable growth and making it an attractive fintech investment.

How Do Zacks Estimates Compare for INTU & XYZ?The Zacks Consensus Estimate for Intuit’s fiscal 2026 sales and EPS implies a year-over-year increase of 13.48% and 18.41%, respectively. EPS estimates have been trending northward over the past week.

Image Source: Zacks Investment Research

Meanwhile, the consensus estimates for Block’s 2026 sales and EPS indicate a year-over-year rise of 8.29% and 64.14%, respectively. EPS estimates have been trending upward over the past week.

Image Source: Zacks Investment Research

Valuation: INTU vs. XYZIn terms of forward 12-month Price/Sales (P/S), INTU stock is trading at 3.08X, above XYZ, which is currently trading at 1.68X. Although XYZ is trading above its one-year median of 1.53X, INTU is trading below its one-year median of 8.11X.

From a valuation perspective, we note that Intuit shares are trading at a premium to Block.

Image Source: Zacks Investment Research

Price Performance: INTU vs. XYZOver the past month, shares of XYZ have outperformed INTU and the S&P 500 composite.

Image Source: Zacks Investment Research

INTU vs. XYZ: Which Stock Is the Better Buy?Both Intuit and Block remain dominant players in the fintech space. Intuit’s advantage lies in its scale and broad financial-software ecosystem, which makes it a reliable market leader. Block is solidifying its role as an innovation leader by growing the Square and Cash App ecosystems. However, Intuit’s rising costs and expenses are a significant concern, while competitive pressures can weigh on pricing, particularly during large contract renewals.

Given Block’s rising earnings estimates, cheaper valuation and recent stronger stock performance, it appears the smarter, lower-risk buy for investors.

Currently, INTU carry Zacks Rank #3 (Hold), while XYZ sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

General Dynamics (GD - Free Report) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.

The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.

The power of a changing earnings picture in determining near-term stock price movements makes the Zacks rating system highly useful for individual investors, since it can be difficult to make decisions based on rating upgrades by Wall Street analysts. These are mostly driven by subjective factors that are hard to see and measure in real time.

As such, the Zacks rating upgrade for General Dynamics is essentially a positive comment on its earnings outlook that could have a favorable impact on its stock price.

Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, has proven to be strongly correlated with the near-term price movement of its stock. That's partly because of the influence of institutional investors that use earnings and earnings estimates for calculating the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their transaction of large amounts of shares then leads to price movement for the stock.

Fundamentally speaking, rising earnings estimates and the consequent rating upgrade for General Dynamics imply an improvement in the company's underlying business. Investors should show their appreciation for this improving business trend by pushing the stock higher.

Harnessing the Power of Earnings Estimate RevisionsEmpirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, so it could be truly rewarding if such revisions are tracked for making an investment decision. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.

The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .

Earnings Estimate Revisions for General DynamicsThis defense contractor is expected to earn $16.59 per share for the fiscal year ending December 2026, which represents no year-over-year change.

Analysts have been steadily raising their estimates for General Dynamics. Over the past three months, the Zacks Consensus Estimate for the company has increased 1.9%.

Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.

You can learn more about the Zacks Rank here >>>

The upgrade of General Dynamics to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.

Roblox Corp (NYSE:RBLX) stock is headed for a third-straight gain, up 1.6% to trade at $55.19, at last glance. Though the video game name fell to a two-year low of $40.15 on May 13, with the round-number $40 level stepping up as support. Despite a 32% year-to-date deficit, a bull signal is now flashing on the charts. 

RBLX just crossed above its 80-day moving average for the first time in at least 21 trading days. Per Schaeffer's Senior Quantitative Analyst Rocky White, this event has happened six times in the last 10 years, after which RBLX was higher one month later 83% of the time, averaging a large 19.2% gain.

From its current perch, a similar move higher would put the shares at $65.78. This level coincides with significant buildup of call open interest (OI) at the front-month standard July expiration, which could act as a magnet. 

Furthermore, short interest has been heavily building, up 20% in the most recent reporting period. The 30.27 million shares sold short and represents 4.8% of the stock's available float. Should a strong rebound occur, an unwinding of this pessimism could provide added tailwinds.

Warner Bros. Discovery (WBD, Financials) slipped after a UK official said she may intervene in Paramount Skydance's planned takeover.UK Culture Secretary Lisa N

Pentair plc (PNR - Free Report) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #2 (Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change.

The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.

Since a changing earnings picture is a powerful factor influencing near-term stock price movements, the Zacks rating system is very useful for individual investors. They may find it difficult to make decisions based on rating upgrades by Wall Street analysts, as these are mostly driven by subjective factors that are hard to see and measure in real time.

Therefore, the Zacks rating upgrade for Pentair basically reflects positivity about its earnings outlook that could translate into buying pressure and an increase in its stock price.

Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, and the near-term price movement of its stock are proven to be strongly correlated. The influence of institutional investors has a partial contribution to this relationship, as these big professionals use earnings and earnings estimates to calculate the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their bulk investment action then leads to price movement for the stock.

For Pentair, rising earnings estimates and the consequent rating upgrade fundamentally mean an improvement in the company's underlying business. And investors' appreciation of this improving business trend should push the stock higher.

Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.

The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .

Earnings Estimate Revisions for PentairFor the fiscal year ending December 2026, this company is expected to earn $5.35 per share, which is unchanged compared with the year-ago reported number.

Analysts have been steadily raising their estimates for Pentair. Over the past three months, the Zacks Consensus Estimate for the company has increased 0.1%.

Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.

You can learn more about the Zacks Rank here >>>

The upgrade of Pentair to a Zacks Rank #2 positions it in the top 20% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.

NEW YORK, June 30, 2026 (GLOBE NEWSWIRE) -- The following statement is being issued by Levi & Korsinsky, LLP: To: All persons or entities who purchased or otherwise acquired securities of ZoomInfo Technologies Inc. (“ZoomInfo” or the “Company”) (NASDAQ: GTM) between November 3, 2025 and May 11, 2026, inclusive. You are hereby notified that the class action lawsuit Ivan Tejada v.

Key Takeaways LRCX edges ASML on price appreciation and positive analyst sentiment, despite higher valuation.ASML benefits from EUV leadership, a robust backlog and AI-driven demand for advanced chips.Lam Research sees AI fueling deposition, etch, memory, foundry and advanced packaging demand. ASML Holding (ASML - Free Report) and Lam Research (LRCX - Free Report) are two key players in the semiconductor equipment market serving chip manufacturers with widely different manufacturing systems.

ASML Holding has a solid dominance in extreme ultraviolet (EUV) lithography systems. Lam Research supplies wafer fabrication equipment and services to the semiconductor industry.

Both these companies have become crucial to AI-chip makers. Let's delve deeper to find out which stock among ASML and LRCX is better positioned for sustainable growth.

The Case for ASMLASML continues to benefit from strong demand for wafer fabrication equipment, fueled by the rapid adoption of advanced semiconductors across AI data centers and hyperscale computing. Favorable end-market trends are expected to support a richer product mix, with increasing demand for advanced lithography systems and higher lithography intensity.

The company remains well-positioned to address evolving customer requirements through its broad product portfolio. Investments in holistic lithography solutions, support for advanced 3D integration technologies, continuous improvements in the performance and cost efficiency of both deep ultraviolet (DUV) and extreme ultraviolet (EUV) systems, and the long-term scaling of EUV technology are expected to reinforce ASML's technological leadership.

Artificial intelligence continues to be a major long-term growth driver. As AI workloads become more computationally intensive, demand for advanced GPUs, high-bandwidth memory and other leading-edge chips is increasing. These semiconductors rely heavily on EUV lithography, creating a durable demand tailwind for ASML's systems.

The company's financial profile remains a key strength. Strong profitability, robust free cash flow, a large installed base and recurring service revenues provide stable margins and greater earnings visibility. In addition, its sizable order backlog offers solid revenue visibility for the coming years. ASML also remains committed to enhancing shareholder returns through consistent dividend growth and ongoing share repurchases.

However, competition remains a key risk. Increasing participation from semiconductor equipment manufacturers, particularly in segments such as etching, could intensify competitive pressures as rivals leverage specialized technologies to secure customer contracts.

The Case for LRCXLam Research is a leading provider of deposition and etch equipment, enabling several of the most critical steps in semiconductor manufacturing. Its technologies help customers reduce defects, improve yields, lower production costs and shorten processing times. The company’s expertise in nanoscale process enablement, plasma technology, advanced chemistry, fluidics and systems engineering positions it well to address the increasing complexity of semiconductor fabrication.

The rapid adoption of artificial intelligence (AI), high-performance computing (HPC), advanced memory and next-generation logic chips is driving higher semiconductor capital spending, creating a favorable demand environment for Lam Research.

Management noted that AI workloads are accelerating demand for higher-layer NAND and advanced DRAM nodes, where the company maintains strong technological leadership. It also expects advanced packaging revenues to increase more than 50% in calendar 2026. Meanwhile, the Customer Support Business surpassed $2 billion in quarterly revenues for the first time, strengthening recurring revenues and enhancing earnings stability.

Reflecting improving industry fundamentals, Lam raised its 2026 wafer fabrication equipment (WFE) spending outlook to $140 billion from $135 billion. Long-term industry trends remain favorable, with Fortune Business Insights projecting the global semiconductor foundry market to grow from $175.1 billion in 2025 to $263.1 billion by 2034. Lam Research is well-positioned to capitalize on this opportunity through its differentiated product portfolio, including ALTUS, SABRE and Striker, along with an installed base of more than 35K process modules that provide significant upgrade and service opportunities.

The company's robust free cash flow supports continued investments in research and development while enabling consistent shareholder returns through dividends and share repurchases. However, near-term risks include weaker spending on mature-node technologies and ongoing U.S.-China trade and tariff tensions, which could weigh on customer investment and industry demand.

Estimates for ASML and LRCX    The Zacks Consensus Estimate for ASML’s 2026 revenues implies a 22.7% increase and that for EPS suggests a 31.3% year-over-year increase.  EPS estimates for 2026 have witnessed 1.1% southbound movement in the last 30 days.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for LRCX’s fiscal 2026 revenues implies a 25.4% increase and that for EPS indicates a 37.2% increase. The consensus estimate for 2026 earnings witnessed 0.5% northbound movement in the last 30 days.

Image Source: Zacks Investment Research

Price Performance of ASML and LRCXASML shares have gained 76% year to date, while LRCX shares have gained 140% in the same time. 

Image Source: Zacks Investment Research

Are ASML and LRCX Shares Expensive?ASML is trading at a forward 12-month price-to-earnings multiple of 43.73, higher than its median of 31.19 over the past five years. LRCX’s forward 12-month price-to-earnings multiple sits at 52.36, higher than its median of 21.22 over the past five years.

ASML is cheaper than LRCX presently.

Image Source: Zacks Investment Research

ConclusionASML is well-positioned for sustained growth, driven by its leadership in EUV technology, robust order backlog, and long-term demand from AI, cloud computing, and advanced semiconductor manufacturing.

Lam Research continues to benefit from AI-driven increases in demand for deposition and etch tools across memory, foundry and advanced packaging industries.

While LRCX carries a Zacks Rank #2 (Buy), ASML carries a Zacks Rank #3 (Hold).  Price appreciation and positive analyst sentiment give LRCX an edge over ASML. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Best Buy Today

$75.30 -2.34 (-3.02%)

As of 02:51 PM Eastern

This is a fair market value price provided by Massive. Learn more.

52-Week Range$55.10▼

$84.99Dividend Yield5.10%

P/E Ratio13.95

Price Target$79.50

Best Buy NYSE: BBY is accomplishing what many thought unlikely.

After a pandemic-fueled surge came and went, the company is showing signs of stabilizing sales and online momentum. Rather than another big-box victim, it is focused on improving its margins and expanding its business. And it is maintaining strong profitability despite sluggish consumer electronics demand.

Get Best Buy alerts:

In fact, the most-recent three month results came in above what most analysts expected. Comparable store sales rose. And management reiterated full-year guidance with enough specifics to suggest the direction had changed.

Investors who had written off the company as too old-fashioned might be surprised by the evidence that arrived. Whether now is the time to jump into the stock depends a lot on what happens next.

Best Buy Delivers Better-Than-Expected ResultsBest Buy’s first fiscal quarter, which ended on May 2, tells a solid story of incremental progress across a number of key pursuits.

Revenue beat expectations and reached $8.94 billion in the quarter, up from $8.77 billion a year earlier, and reversing a fourth-quarter slide during the key holiday season. Adjusted diluted earnings per share climbed to $1.28 from $1.15, also above what analysts expected. Reported net earnings climbed more than one-third to $276 million from $202 million a year earlier.

Comparable sales rose 2%, more than the company had anticipated and in contrast to a drop of 0.7% in the year-ago period. Domestic revenue increased 1.5% to $8.25 billion, with domestic comparable sales up 1.8%.

Operational results were also encouraging. Operating income reached 4.1% of revenue, the company’s domestic gross margin expanded to 23.7% from 23.5%, and adjusted selling, general, and administrative (SG&A) expenses as a share of domestic revenue edged down to 19.3% from 19.4%.

Those were not big changes, but in retail, those fractions of a percentage point matter. Extracting more margin from a little more revenue shows positive direction, even if the headline numbers don’t show a big change.

New Growth Businesses Are Gaining MomentumWhere the growth came from is perhaps more important than the growth itself. The company said its biggest contributors to comparable-sales gains were gaming, computing, mobile phones, and services, categories with momentum. In contrast, sales of consumer electronics slid slightly while appliances fell nearly 14%.

The recent numbers also gave proof that the company’s recent strategy is delivering. Best Buy Ads, which promotes brands and products through Best Buy’s customer base, and the company's online Marketplace, which hosts third-party sellers, also delivered strong performances. For lines of business that barely existed a few years ago, the company is nicely expanding its profile beyond TVs and computers.

Results from the company’s international operations were also encouraging. Revenue in that segment rose 7.3% to $687 million, led by 4.7% sales growth and the rest attributable to favorable foreign exchange rates.

Wall Street Remains CautiousBest Buy is also regaining investor attention. Shares are up more than 16% since the start of the year, but the stock still trades below $80, well under its level above $100 less than two years ago and below its 52-week high near $85.

Even with the recent results, analysts remain cautious. Of the 22 analysts following the company, the average rating is a Hold on the stock. Six analysts say Buy, 14 suggest Hold, and two recommend Sell.

With a 12-month average price target of $79.50 per share, analysts see only limited upside from recent trading levels.

Risks Continue to Limit the UpsideThe recommendation to Hold is also a reflection of other possible factors.

Best Buy Dividend PaymentsDividend Yield5.11%

Annual Dividend$3.84

Dividend Increase Track Record22 Years

Annualized 5-Year Dividend Growth11.55%

Dividend Payout Ratio71.11%

Next Dividend PaymentJul. 9

BBY Dividend History

Best Buy raised its quarterly payout by 1 cent to 96 cents per share in March and paid $202 million in dividends in the first quarter. That represents an over 5% yield based on current prices.

But the company’s guidance for 2027, though solid and suggesting that the improvement is durable, is roughly flat compared to the results reported last year.

The bear case has also not completely disappeared. The retail sector is notoriously volatile. And with the housing market not helping, the decline in appliance sales, which now represents 10% of its business, is not likely to recover anytime soon.

The broader competitive pressure from e-commerce, warehouse clubs, mobile carriers, and direct-to-consumer brands is also as real as it has ever been. Amazon NASDAQ: AMZN, Walmart NASDAQ: WMT, Costco NASDAQ: COST, and Apple NASDAQ: AAPL each compete for the same shoppers.

Another question hanging over the company is some recent changes in senior management. Best Buy changed both its future chief executive officer and its chief financial officer within a short span.

The company has announced that Jason Bonfig, who oversees merchandising, ecommerce, marketing, supply chain, Best Buy Canada, and Best Buy Ads, will succeed Corie Barry as CEO at the end of October. The company’s chief financial officer will also step down at the end of July.

Best Buy's Comeback Still Needs More ProofPatient investors attracted by high dividends and a leading brand retailer are likely paying attention. With execution improving and its expansion of profit pools, Best Buy is making a credible case. Profits are up, and its efficiency strategy appears to be working.

Other investors might want more proof. A leadership transition and a muted sales trajectory make a quick run-up unlikely in the near term. Waiting for results from another quarter or two might be the smart move to ensure the comeback is real.

Should You Invest $1,000 in Best Buy Right Now?Before you consider Best Buy, 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 Best Buy wasn't on the list.

While Best Buy currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

Discover the 10 Best High-Yield Dividend Stocks for 2026 and secure reliable income in uncertain markets. Download the report now to identify top dividend payers and avoid common yield traps.

Get This Free Report

PBF Energy (PBF - Free Report) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company.

The upward trend in estimate revisions for this refiner reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Our stock rating tool -- the Zacks Rank -- has this insight at its core.

The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.

For PBF Energy, there has been strong agreement among the covering analysts in raising earnings estimates, which has helped push consensus estimates considerably higher for the next quarter and full year.

The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate:

12 Month EPS

Current-Quarter Estimate RevisionsFor the current quarter, the company is expected to earn $3.39 per share, which is a change of +429.1% from the year-ago reported number.

Over the last 30 days, the Zacks Consensus Estimate for PBF Energy has increased 15.85% because one estimate has moved higher while one has gone lower.

Current-Year Estimate RevisionsFor the full year, the earnings estimate of $7.69 per share represents a change of +286.2% from the year-ago number.

The revisions trend for the current year also appears quite promising for PBF Energy, with two estimates moving higher over the past month compared to no negative revisions. The consensus estimate has also received a boost over this time frame, increasing 14.72%.

Favorable Zacks RankThanks to promising estimate revisions, PBF Energy currently carries a Zacks Rank #2 (Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision.

You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.

Bottom LinePBF Energy shares have added 11% over the past four weeks, suggesting that investors are betting on its impressive estimate revisions. So, you may consider adding it to your portfolio right away to benefit from its earnings growth prospects.

Shell (SHEL +0.95%) recently released its latest outlook for the global liquefied natural gas (LNG) market. The energy giant noted that while the war-driven closure of the Strait of Hormuz will cause LNG demand to flatten out this year, it expects growth to resume in 2027 and rise 65% by 2050.

Here’s a look at Shell’s latest outlook and some LNG stocks capitalizing on this growth trend.

Image source: Getty Images.

A war-driven speedbumpAbout 20% of global LNG volumes flowed through the Strait of Hormuz before the U.S. and Israel launched military strikes against Iran earlier this year. Iran has retaliated by attacking ships trying to exit the Persian Gulf through the Strait of Hormuz, causing a steep drop in LNG traffic. Iran also attacked LNG infrastructure in Qatar, causing damage that could knock out 17% of its capacity for up to five years. ExxonMobil (XOM +0.37%) owned minority interests in two of the damaged LNG trains, while Shell holds a stake in a damaged gas-to-liquids facility.

Today's Change

(

0.37

%) $

0.50

Current Price

$

136.56

U.S. LNG shippers have helped offset some of this supply disruption by ramping up exports, including a record 11.7 million metric tons (MT) in March. Meanwhile, U.S. export capacity got a boost in April when ExxonMobil and its partner QatarEnergy loaded the first cargo at their recently completed Golden Pass terminal.

Despite the surge in U.S. LNG exports, Shell expects that global LNG demand will be similar to last year’s level. That assumes shipping through the Strait of Hormuz returns to normal later this summer.

While Shell sees flat demand this year, it expects growth to return to normal in 2027. It foresees growth continuing through 2050, when demand is projected to reach 700 million tonnes, a 65% increase from 2025 levels. Asia will be the main driver of LNG demand growth. Emerging markets in South and Southeast Asia will increasingly adopt the cleaner-burning fuel in place of coal. Meanwhile, mature markets like Japan will need more LNG to help power data centers.

More LNG investment is neededSeveral energy companies are already building new LNG capacity to meet growing demand. However, Shell estimates that energy companies will need to build around an additional 200 million tonnes of new supply in the 2030s and 2040s to meet growing demand.

Shell is helping lead the charge to build more global LNG capacity. It has joint venture investments in two expansion projects in Qatar: North Field East (NFE) and North Field South (NFS). It also has a minority stake in the Ruwais LNG project in the UAE. Meanwhile, Shell is evaluating an expansion of the recently completed LNG Canada terminal, which it could approve by the end of this year. As an LNG leader, Shell will likely continue to pursue new investments to grow global LNG capacity.

Today's Change

(

0.95

%) $

0.73

Current Price

$

77.62

Meanwhile, LNG is one of ExxonMobil’s long-term growth catalysts. As noted, Exxon and QatarEnergy recently completed the Golden Pass LNG project. It’s also a partner with Shell on QatarEnergy’s NFE project. These projects are key drivers supporting its growth plan to 2030. Additionally, Exxon expects new LNG project start-ups in Papua New Guinea and Mozambique to fuel growth beyond 2030. Exxon is also reportedly evaluating a potential acquisition of Woodside Energy, which has leading LNG operations in Australia and a large-scale LNG development project in the U.S. (Louisiana LNG).

ConocoPhillips (COP +0.09%) is also expanding its global LNG platform. The U.S. oil and gas giant owns interests in the NFS and NFE projects. Additionally, it has an equity interest in Port Arthur LNG (phase 1) and an LNG supply contract for phase 2. The company also has an LNG supply agreement for Rio Grande LNG (Train 5). Those contracts are part of its aspiration to build a 10 to 15 MT per year portfolio of commercial LNG supply contracts from third-party facilities.

Capitalizing on growing global LNG demandWhile LNG demand will flatten out this year due to supply disruptions stemming from the Strait of Hormuz closure, growth should resume next year and continue through 2050. That’s providing Shell, ExxonMobil, ConocoPhillips, and other large energy companies with multiple LNG investment opportunities. These investments should help fuel their growth in the coming decades, making them compelling energy stocks to buy and hold for the long term.

Capital markets rarely offer a clear view of a structural economic shift in real time. When SpaceX NASDAQ: SPCX crossed the $2.5 trillion market capitalization threshold following its recent public debut, investors witnessed a permanent shift in baseline valuation metrics for space names.

Pure-play launch providers are suddenly viewed as incomplete businesses. The real premium lies in vertical integration. Investors want to own the rocket that breaks the atmosphere, but they also want to own the satellite network that generates recurring cash flow once the payload reaches orbit.

Get Rocket Lab alerts:

Rocket Lab Today

$100.69 +2.68 (+2.73%)

As of 02:45 PM Eastern

This is a fair market value price provided by Massive. Learn more.

52-Week Range$33.73▼

$151.00Price Target$108.24

Rocket Lab NASDAQ: RKLB just executed this exact playbook. By agreeing to acquire Iridium Communications NASDAQ: IRDM in an estimated $8 billion cash-and-stock deal, Rocket Lab is transforming from a speculative aerospace sector manufacturer into a telecommunications sector hybrid.

This marks the beginning of rapid consolidation in the space sector. Rocket Lab is actively building the premier public-market alternative to SpaceX, demanding a total rerating of its business.

Escaping the Margin Trap With Orbital Cash FlowLaunching hardware into low-Earth orbit is an incredibly difficult, capital-intensive endeavor. Rocket Lab has proven it can execute on the engineering front. The company recently completed its tenth consecutive successful orbital mission and secured a NASA contract for three dedicated Electron launches starting in 2027. The top-line numbers reflect this operational momentum, with Rocket Lab posting quarterly revenue that jumped 63.4% year over year.

Top-line velocity does not automatically translate to bottom-line stability in the aerospace sector. Launch economics are inherently cyclical and notoriously low-margin. Rocket Lab currently operates with a net margin of negative 26.87%, driven largely by aggressive capital expenditures to develop the upcoming medium-lift Neutron launch vehicle. Heavy capital expenditures create deep vulnerability during broader macroeconomic tightening cycles.

Iridium Communications completely changes Rocket Lab's financial profile. Iridium Communications operates a fully deployed 66-satellite constellation. More importantly, Iridium Communications generates highly predictable and high-margin subscription revenue. Operating with a 12.05% net margin and offering a 1.10% dividend yield prior to the acquisition announcement, Iridium Communications acts as a stabilizing financial engine. Rocket Lab is effectively buying a cash-flow machine to fund heavy aerospace ambitions.

Locking Down L-Band Spectrum and IoT DominanceUnderstanding the strategic value of Iridium Communications requires looking beyond the physical satellites to focus on the underlying assets. Iridium Communications controls globally coordinated L-band spectrum. Unlike higher-frequency Ku or Ka bands that suffer from severe weather interference, L-band provides highly reliable, weather-resilient connectivity, crucial for maritime, aviation, and defense communications.

Iridium Communications is aggressively expanding its footprint in the direct-to-device and Internet of Things (IoT) markets. The new MS150-IR IoT-NTN chipset, engineered by Iridium Communications, recently entered on-orbit testing and is targeting full commercialization by the end of 2026. Coupled with the recent commercial availability of the 9604 hybrid IoT module, which seamlessly integrates satellite, cellular, and GNSS capabilities, Iridium Communications provides Rocket Lab with a mature, immediately monetizable distribution channel.

Chasing the SpaceX Premium Through ConsolidationFor years, Wall Street treated space stocks as speculative growth plays. That narrative is rapidly shifting as institutional capital rotates into tangible infrastructure. The capital rotation we are witnessing right now is a search for the next vertically integrated space-as-a-service platform capable of competing directly with Starlink.

By bringing Iridium Communications in-house, Rocket Lab insulates itself from third-party launch friction. The firm no longer has to wait for external telecommunications providers to book space on its rockets to generate revenue. It can launch proprietary payloads, expand the integrated network, and capture the full lifecycle value of orbital real estate.

This dynamic fundamentally alters how analysts must model Rocket Lab. Financial models can no longer apply a standard aerospace manufacturing multiple to the firm. The market is being forced to price in telecom infrastructure premiums, directly causing the 16% upside re-rating seen in Rocket Lab shares immediately following the announcement, pushing the stock up to over $100.

Rocket Lab Corporation (RKLB) Price Chart for Tuesday, June, 30, 2026

Options Flow and Buybacks Light the FuseA look under the hood of the options chain and institutional order flow reveals the market was already positioning for a massive repricing event. Prior to the acquisition announcement, the board of directors at Iridium Communications authorized a massive $500 million share repurchase program, effectively signaling a willingness to buy back up to 14.2% of outstanding shares.

Aggressive buyback authorizations of that magnitude indicate that management and institutional stakeholders believe the equity is deeply undervalued relative to forward cash flows. The $27-per-share cash-and-stock buyout premium validates that internal assessment, driving a 25% surge in Iridium Communications shares to $54.59.

Technical mechanics are accelerating the upside price action for Rocket Lab. Options market data highlights heavy near-term bullish speculation, with elevated call volume highly concentrated on the July 17 $105 strike. When you combine this aggressive options flow with a structural short interest setup, where off-exchange short volume ratios for Rocket Lab frequently exceed 60%, you create the perfect environment for a rapid short-covering rally. Shorts are being squeezed by a fundamental catalyst that destroys their bearish thesis.

Clearing the Launchpad for Telecom IntegrationRocket Lab currently trades at a trailing price-to-sales ratio of about 95. Under standard market conditions, a multiple approaching triple digits on trailing sales would signal extreme overvaluation and high vulnerability to multiple compression. The market is clearly pricing in the immediate accretion of the $871 million in annual sales generated by Iridium Communications and the resulting margin expansion. The transition from a pure hardware model to a high-margin space-as-a-service hybrid provides the fundamental justification for these elevated growth metrics.

The primary variable moving forward is execution risk. An $8 billion transaction size introduces immediate structural complexities for both organizations. Rocket Lab is using a cash-and-stock structure, which inherently introduces near-term shareholder dilution while adding new leverage to the balance sheet. Rocket Lab management now faces the dual mandate of seamlessly integrating a mature telecommunications operator while simultaneously funding the heavy research and development cycles required to finalize the Neutron launch vehicle.

Investors observing this capital rotation should monitor how efficiently Rocket Lab transitions the recurring cash flows from Iridium Communications to support broader infrastructure buildouts. Those analyzing the space sector must recognize that the era of the pure-play launch provider is fading. The companies capturing the highest market premiums will be the ones that own the rocket, control the satellite, and monetize the bandwidth.

Should You Invest $1,000 in Rocket Lab Right Now?Before you consider Rocket Lab, 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 Rocket Lab wasn't on the list.

While Rocket Lab currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

Looking to profit from the electric vehicle mega-trend? Click the link to see our list of which EV stocks show the most long-term potential.

Get This Free Report

In this video, I will cover a major acquisition that could completely reshape the growth trajectory for one of my favorite holdings, Rocket Lab (RKLB +2.69%). Watch the short video to learn more, consider subscribing, and click the special offer link below.

*Stock prices used were from the trading day of June. 30, 2026. The video was published on June. 30, 2026.

Neil Rozenbaum has positions in Rocket Lab. The Motley Fool has positions in and recommends Rocket Lab. The Motley Fool has a disclosure policy. Neil is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

Closing slightly lower than its Friday close, Kratos Defense and Security Solutions (KTOS +5.88%) stock is flying higher today. In addition to a popular growth investor buying shares of the defense stock, investors are adding Kratos to their buy lists after learning that a U.S. ally is making a significant investment in drones to fortify its defenses.

As of 1:04 p.m. ET, shares of Kratos Defense are up 5.5%, after earlier rising 9.6%.

Image source: Getty Images.

Ark Invest increased its position to start the week After the market closed yesterday, Ark Invest, led by Cathie Wood, reported that it had bought 138,735 Kratos shares in its Ark Innovation ETF.

Today's Change

(

5.88

%) $

2.76

Current Price

$

49.71

Currently, Kratos has a 0.85% weighting in the Ark Innovation ETF, which targets disruptive businesses such as drone developer Kratos.

The other catalyst for the drone stock rising today comes from across the pond. The United Kingdom announced yesterday that the Prime Minister would speak at a defense contractor today, where he would announce an investment of 5 billion British pounds (about $6.6 billion) in drones for the U.K. military over the next four years, making it the largest ever drone investment in U.K. Armed Forces."

While Kratos doesn't specify which nations are customers of its drones, the company does acknowledge that it supplies U.S. allies.

Should investors take flight with Kratos stock? Unsurprisingly, Kratos stock is flying higher today with Ark Invest increasing its position and the U.K. making a sizable investment in drones -- just the latest reminder of how the technology is playing an increasingly important role in the defense industry. For investors seeking a defense stock that has strong growth potential, Kratos is worth a closer look.

Scott Levine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Kratos Defense & Security Solutions. The Motley Fool has a disclosure policy.

One of the best strategies for generating high returns over the past two years has been finding obscure AI stocks that are critical parts of relieving bottlenecks. For example, most investors didn't care about Micron or Nebius until mid-2025, and those two stocks have gone on to crush the S&P 500.

Investors who are looking for the next superstar may want to take a closer look at Rambus (RMBS +4.84%). It's only up by 25% year to date as I write this, and has a $13 billion market cap. That stock has more than quintupled over the past five years, so there is a history of strong momentum. A closer look reveals how the opportunity stacks up for long-term investors.

Image source: Getty Images.

Memory chip demand surges Rambus specializes in high-performance memory chipsets that are found in AI data centers. Memory chipsets essentially manage memory chips to ensure they perform optimally. Rambus has a few competitors, but broad tailwinds benefit the company greatly.

Today's Change

(

4.84

%) $

6.00

Current Price

$

129.90

If memory chips continue to fly off the shelves, memory chipsets will eventually follow. Micron has demonstrated that the first part of that equation is still strong. The company more than quadrupled its revenue year over year in its fiscal 2026 third quarter while delivering more than 70% sequential growth. Micron's current-quarter guidance implies more than 20% sequential growth.

Those results should translate into higher revenue growth rates for Rambus. Memory chips need memory chipsets like the ones Rambus provides, and this idea is starting to take shape in the company's finances. Overall revenue increased by 8% year over year in the most recent quarterly report, while product revenue was up by 15% year over year. The product segment includes Rambus' memory chipsets and is the fastest-growing part of the business.

AI inference and agentic workloads are in early innings Rambus CEO Luc Seraphin cited "the growth of AI inference and agentic workloads" when touting Rambus' long-term opportunities and ability to support next-generation AI platforms. Those products will require substantial amounts of memory chips and chipsets, and they are projected to grow meaningfully.

Grand View Research projects a 17.5% compound annual growth rate (CAGR) for the AI inference market and 46.2% CAGR for the agentic AI market through 2030.

Investors can already see the impact of these growing markets in Rambus' projections. Its product segment generated $88 million in Q1, and the company is forecasting $98 million at the midpoint for Q2. That target implies 11% sequential growth.

Rambus has demonstrated that it can meet memory performance requirements and gain market share in AI infrastructure. As its product revenue continues to grow sequentially, more investors will recognize the opportunity. The stock is well-positioned for a prolonged rally. I think it is one of the best AI stocks to buy right now. 

Marc Guberti has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Micron Technology. The Motley Fool has a disclosure policy.

Key Takeaways MCHP is seeing strong demand from aerospace and defense, which accounted for 16% of fiscal 2026 sales.Microchip Technology's PolarFire FPGA families continue to see solid demand in mission-critical applications.MCHP expects fiscal Q1 2027 net sales to increase 11% sequentially, plus or minus 1%. Microchip Technology (MCHP - Free Report) shares have gained 39.7% in the year-to-date period, outperforming the broader Zacks Computer and Technology sector’s return of 12.8%. The outperformance is being driven by improving demand trends across its end markets and growing exposure to data center, artificial intelligence (AI), aerospace, and defense markets.

The company is benefiting from robust demand in the aerospace and defense (A&D) sector, which has emerged as one of the company’s strongest end markets in recent quarters. In fiscal 2026, the A&D segment accounted for 16% of total sales, making it one of the company’s key revenue contributors.

A key factor behind Microchip Technology’s success in A&D is its portfolio of high-reliability products, such as Field Programmable Gate Arrays (FPGAs), which are widely used in mission-critical aerospace and defense applications. The company’s PolarFire and PolarFire 2 FPGA families are recognized for their reliability and high performance, with demand remaining strong across both A&D and other end markets.

MCHP Benefits From Aerospace & Defense DemandMicrochip Technology’s expansion of its high-reliability semiconductor portfolio remains a key growth factor. The company continues to strengthen its presence across AI, data center, aerospace, and defense markets through innovations spanning FPGAs, microprocessors, connectivity solutions and timing devices.

Building on this momentum, Microchip Technology recently introduced the DSA504RT, a radiation-tolerant, six-output programmable clock generator designed for aerospace and defense applications. The new device streamlines spacecraft timing architectures by generating multiple precise frequencies from a single master source, reducing component count, power consumption, and system complexity.

The DSA504RT delivers ultra-low jitter performance and enhances reliability in harsh space environments. The new offering strengthens Microchip Technology's space-grade semiconductor portfolio and is expected to support growing demand for high-reliability timing solutions, supporting the company's long-term growth prospects.

MCHP Provides Strong Fiscal Q1 2027 OutlookMicrochip Technology’s improving demand environment and expanding high-reliability semiconductor portfolio support solid revenue growth prospects.

For the first quarter of fiscal 2027, Microchip guided net sales to $1.442-$1.469 billion. The company expects non-GAAP EPS in the range of $0.67-$0.71, supported by continued recovery across its end markets.

The Zacks Consensus Estimate for first-quarter fiscal 2027 revenues is pegged at $1.45 billion, indicating year-over-year growth of 35.17%.

The consensus mark for earnings is pegged at 59 cents per share, which has remained unchanged over the past 30 days. The figure implies year-over-year growth of 246.08%.

MCHP’s Zacks Rank & Other Stocks to ConsiderCurrently, Microchip Technology sports a Zacks Rank #1 (Strong Buy).

Digital Turbine (APPS - Free Report) , Dell Technologies (DELL - Free Report) and Flex (FLEX - Free Report) are some other top-ranked stocks that investors can consider in the broader Zacks Computer and Technology sector. Digital Turbine, Dell Technologies and Flex sport a Zacks Rank #1 each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

APPS shares have rallied 158.2% in the year-to-date period. The long-term earnings growth rate for Digital Turbine is pegged at 18.98%.

DELL shares have surged 229.3% in the year-to-date period. The long-term earnings growth rate for Dell Technologies is pegged at 26.35%.

Shares of FLEX have gained 164.1% in the year-to-date period. The long-term earnings growth rate for Flex is pegged at 45.76%.