Rick Sherlund, founder of AI software investment bank Sherlund Partners, believes the market is on the verge of a significant upswing despite recent pullbacks in tech stocks . In an interview with CNBC, Sherlund argued that while investors are fixated on rising capital expenditure at major tech companies, the underlying demand for AI infrastructure makes these investments essential rather than exc...
Rick Sherlund, founder of AI software investment bank Sherlund Partners, believes the market is on the verge of a significant upswing despite recent pullbacks in tech stocks . In an interview with CNBC, Sherlund argued that while investors are fixated on rising capital expenditure at major tech companies, the underlying demand for AI infrastructure makes these investments essential rather than excessive. The recent earnings reports from Alphabet ( GOOGL ), ( GOOG ) and Microsoft ( MSFT ) have sparked concerns about a potential bubble, with Alphabet forecasting capital expenditures between $175B and $185B this year—potentially more than double its 2025 spending. However, Sherlund dismisses these worries, noting that the real issue isn’t whether demand will materialize. “The demand is there. The concern is capacity,” he said. According to Sherlund, the key to understanding the current market dynamics lies in the shift from consumer-focused AI applications to enterprise adoption. As businesses deploy AI agents and reasoning-intensive applications, the need for inference computing has exploded. “Inference is really just starting to take off,” Sherlund explained, adding that enterprise use of reasoning models “burns a lot of cycles.” The broader software sector, meanwhile, is experiencing what Sherlund describes as a predictable disruption. “The software sector, every 10, 15 years, goes through a forest fire,” he noted, pointing to previous platform shifts that saw companies like PeopleSoft replaced by Workday ( WDAY ) and Siebel Systems overtaken by Salesforce ( CRM ). The current transition from traditional SaaS to AI-native platforms is creating similar uncertainty among investors. Sherlund cautioned against oversimplifying the threat to established software companies, particularly those with complex enterprise workflows. While “vibe coding” may make simple applications easier to replace, companies like SAP ( SAP ) with “extensive integrations and supply chains” have ...
Harel Insurance Investments & Financial Services Ltd. disclosed in its Feb. 3, 2026, SEC filing that it sold 4,177,000 shares of the Invesco KBW Bank ETF (KBWB), an estimated $330 million transaction based on the quarterly average price. According to a filing with the Securities and Exchange Commission dated Feb. 3, 2026, Harel Insurance Investments & Financial Services Ltd. reduced its stake in I...
Harel Insurance Investments & Financial Services Ltd. disclosed in its Feb. 3, 2026, SEC filing that it sold 4,177,000 shares of the Invesco KBW Bank ETF (KBWB), an estimated $330 million transaction based on the quarterly average price. According to a filing with the Securities and Exchange Commission dated Feb. 3, 2026, Harel Insurance Investments & Financial Services Ltd. reduced its stake in Invesco KBW Bank ETF by 4,177,000 shares. The estimated trade size is $330 million, calculated using the average closing price for the quarter ended Dec. 31, 2025. The value of the position declined by $326.68 million, reflecting both trading and market movement. Invesco KBW Bank ETF (KBWB) provides targeted exposure to the U.S. banking sector by tracking a benchmark of leading national and regional banks. The fund's strategy is designed to capture the performance of the largest and most liquid U.S. banking institutions, making it a specialized tool for investors seeking sector-specific allocation. With a sizable asset base and a disciplined, index-driven approach, KBWB offers institutional investors a liquid, cost-efficient means to access the U.S. banking industry. Continue reading
Nvidia (NASDAQ:NVDA) seems like the AI chip giant that’s becoming impossible to not only catch but keep up with. With Vera Rubin in full production to start the year and the potential for more sales growth out of China moving forward, it’s no mystery as to why Nvidia remains the envy of the industry. Undoubtedly, ... Can Chinese Chipmakers Really Catch NVIDIA’s Rubin by 2027?
Nvidia (NASDAQ:NVDA) seems like the AI chip giant that’s becoming impossible to not only catch but keep up with. With Vera Rubin in full production to start the year and the potential for more sales growth out of China moving forward, it’s no mystery as to why Nvidia remains the envy of the industry. Undoubtedly, ... Can Chinese Chipmakers Really Catch NVIDIA’s Rubin by 2027?
Earnings Call Insights: Ralliant Corporation (RAL) Q4 2025 Management View President and CEO Tamara Newcombe stated that 2025 was a pivotal year, highlighting, "we exceeded our revenue guidance with stable to improving trends across most of our end markets. Adjusted EBITDA and adjusted EPS were both at or above the high end of our guidance ranges, another clear demonstration of our operating disci...
Earnings Call Insights: Ralliant Corporation (RAL) Q4 2025 Management View President and CEO Tamara Newcombe stated that 2025 was a pivotal year, highlighting, "we exceeded our revenue guidance with stable to improving trends across most of our end markets. Adjusted EBITDA and adjusted EPS were both at or above the high end of our guidance ranges, another clear demonstration of our operating discipline." She emphasized strong free cash flow with conversion above the long-term target and a focus on investments for growth in 2026, noting, "we are well positioned with secular growth drivers, a healthy balance sheet and clear strategic priorities guiding where we invest to create long-term value." Newcombe detailed performance by segment, pointing out that "Sensors & Safety Systems segment grew year-over-year across all end markets. A record quarter of revenue in our Defense and Space end market was driven by replenishment of missile programs." She also highlighted improvement in Test & Measurement and early signs of recovery in Diversified Electronics. The CEO described three strategic pillars: "operating discipline through RBS Everywhere," deepening leadership in target markets, and expanding in markets such as defense, energy, and electronics. She provided examples of recent customer wins, including PacSci EMC's record revenue in defense and Qualitrol's selection by a major cloud provider for data center reliability. Senior VP & CFO Neill Reynolds reported, "During Q4, we generated $555 million in revenue, up 1% year-over-year and flat on an organic basis. Healthy demand across the Sensors and Safety Systems segment, coupled with enterprise-wide pricing actions were mostly offset by lower Test and Measurement volume." He addressed a $1.4 billion noncash goodwill impairment related to the EA Elektro-Automatik business, citing "slower-than-anticipated progression and recent reduction in industry forecasts of future EV adoption." Reynolds stated, "Adjusted EBITDA margin...
David Furnish has said it is “an abomination” that the publisher of the Daily Mail was able to write “narrow-minded” stories about him and his husband, Elton John, using information allegedly secured by unlawful means. In evidence submitted to the high court, Furnish said he and John had been “violated” by the Mail, after being told that it had worked with private detectives to intercept their pho...
David Furnish has said it is “an abomination” that the publisher of the Daily Mail was able to write “narrow-minded” stories about him and his husband, Elton John, using information allegedly secured by unlawful means. In evidence submitted to the high court, Furnish said he and John had been “violated” by the Mail, after being told that it had worked with private detectives to intercept their phone calls and personal details. “While the Mail have partly moved with the times, they have also published countless judgmental and narrow-minded stories about us – pieces clearly designed to undermine who we are and how we live our lives,” Furnish said in a written submission. “To know that they were enabled to do this to us through stolen information, and setting private investigators on us, and landline tapping and recording our live telephone calls is an abomination.” Furnish and John are part of a group of seven claimants, including Prince Harry, who accuse Associated Newspapers Ltd (ANL) of ordering unlawful information gathering to secure stories. ANL denies all the allegations. In written submissions, ANL’s legal team said all the claims made in relation to Furnish and John were “groundless and unsupported by the evidence before the court”. It said the articles being challenged were sourced variously from journalists’ contacts, the couple’s spokesperson, statements issued by their office, freelance journalists, photographers, news agencies and prior articles. Furnish, who gave evidence to the high court via an occasionally faulty video link, said he initially assumed stories must have come from leaks. However, he said he was approached by his friend, the actor Elizabeth Hurley, in February 2021 about allegations relating to the Mail’s use of unlawful tactics. “We are very grateful that Elizabeth called us,” he said in a written submission. “If she hadn’t, we wouldn’t know what had happened and would never have known that the law had been broken and our private home a...
Earnings Call Insights: ASE Technology Holding Co., Ltd. (ASX) Q4 2025 Management View Group COO Tien Wu outlined a multiyear outlook, emphasizing that "the AI server cycle continues, primarily led by hyperscaler and the data center development." Wu reported that mainstream business recovery is underway and stated, "We believe the mainstream, namely the IoT, the automotive, the general sector, the...
Earnings Call Insights: ASE Technology Holding Co., Ltd. (ASX) Q4 2025 Management View Group COO Tien Wu outlined a multiyear outlook, emphasizing that "the AI server cycle continues, primarily led by hyperscaler and the data center development." Wu reported that mainstream business recovery is underway and stated, "We believe the mainstream, namely the IoT, the automotive, the general sector, the mainstream business will recover better this year comparing to last year." Wu highlighted manufacturing leadership in Taiwan, noting that "the Taiwan cluster has demonstrated the best efficiency and speed in terms of manufacturing ramp-up." He said ASE is expanding outside Taiwan, especially in Penang for automotive and robotics, and building footprints in Korea and the Philippines. Wu recapped 2025 with "consolidated revenue grew 12% at a holdco level with ATM revenue up 23% led by Leading Edge Advanced Packaging services and Testing business." LEAP services reached $1.6B, accounting for 13% of ATM revenue, and testing business grew 36% year-on-year. Machinery CapEx totaled $3.4B and building/facilities CapEx was $2.1B, largely for LEAP services and testing. Wu said, "We expect revenue uptrend to continue 2026 and beyond, driven by leading-edge solutions and broad-based semiconductor demand related to AI proliferation and general market recovery. ATM business, leading-edge assembly packaging service to double from USD 1.6 billion to USD 3.2 billion." Head of Investor Relations Ken Hsiang stated, "Our ATM factories in Taiwan ran at or near full capacity with LEAP and traditional advanced packaging utilization rates outpacing that of wirebond." Group CFO Joseph Tung provided guidance: "First quarter revenue should decline only by 5% to 7% quarter-over-quarter. First quarter gross margin should decline by 50 basis points to 100 basis points quarter-over-quarter." Outlook Joseph Tung stated, "For ATM, as Tien mentioned, we expect 2026 leading-edge revenue to at least double c...
Justin Sullivan/Getty Images News Turkey's state-run TPAO Petroleum and Chevron ( CVX ) signed an agreement to jointly explore for and produce oil and gas in the Black Sea and Mediterranean Sea, Turkish Energy Minister Alparslan Bayraktar said Thursday. Cooperation with Chevron ( CVX ) could help TPAO eventually produce 1M bbl/day of oil, the minister said in a social media post after the signing ...
Justin Sullivan/Getty Images News Turkey's state-run TPAO Petroleum and Chevron ( CVX ) signed an agreement to jointly explore for and produce oil and gas in the Black Sea and Mediterranean Sea, Turkish Energy Minister Alparslan Bayraktar said Thursday. Cooperation with Chevron ( CVX ) could help TPAO eventually produce 1M bbl/day of oil, the minister said in a social media post after the signing ceremony in Istanbul. The deal is the latest example of increased cooperation between Turkish and U.S. energy companies, as TPAO recently signed a memorandum of understanding with Exxon Mobil's Esso unit to conduct offshore energy exploration. More on Chevron Chevron: Why More Upside Looms In 2026 Chevron: Robust Fundamentals, Growth Drivers, And Valuation Justify Recent Bullish Breakout Chevron Q4 2025 Earnings Call Presentation
Earnings Call Insights: Star Group, L.P. (SGU) Q1 2026 Management View Jeffrey Woosnam, President and CEO, highlighted that "Fiscal 2026 has started off very well as our performance benefited from recent acquisitions, physical supply and per gallon margin management, the continued focus on service and installation profitability and last but not least, temperatures that were almost 19% colder than ...
Earnings Call Insights: Star Group, L.P. (SGU) Q1 2026 Management View Jeffrey Woosnam, President and CEO, highlighted that "Fiscal 2026 has started off very well as our performance benefited from recent acquisitions, physical supply and per gallon margin management, the continued focus on service and installation profitability and last but not least, temperatures that were almost 19% colder than last year and 6% colder than normal. The confluences of these factors, even given the operational challenges associated with persistent cold temperatures resulted in an increase of adjusted EBITDA of $16.5 million or 32% year-over-year, net of a $5 million charge to our weather hedge program." Woosnam reported "net customer attrition was modest during the period" and emphasized the impact of "improvement efficiency and operational execution" on bottom line results. He stated, "While we did not close on any acquisitions in the first quarter, we did complete one purchase of a small heating oil business just a few days ago. It's not at all unusual to experience a slight lull in prospect activity, during a busy heating season, but we still have several opportunities under various stages of review." Woosnam said, "Although it's too early to say how fiscal 2026 will play out, we remain vigilant in providing excellent customer service, keeping costs down and growing our service and installation profitability." Richard Ambury, CFO, reported, "For the quarter, our home heating oil and propane volume rose by 11.5 million gallons or 14% to approximately 94 million gallons as the additional volume provided from acquisitions and colder temperatures was reduced by net customer attrition and other factors." Ambury added, "Our product gross profit increased by $29 million or 19% to approximately 179 million gallons due to an increase in home heating oil and propane volumes sold and higher per gallon margins." Outlook Woosnam commented that the company has "several opportunities under vario...
Sen. Elizabeth Warren (D-MA) (L), and Sheikh Tahnoon bin Zayed Al Nahyan Getty Image | Reuters Sen. Elizabeth Warren , D-Mass., will ask the Senate on Thursday to condemn and call for the reversal of the sale of 500,000 advanced artificial intelligence chips to the United Arab Emirates . Warren's resolution, shared exclusively with CNBC, comes after a report in The Wall Street Journal last week th...
Sen. Elizabeth Warren (D-MA) (L), and Sheikh Tahnoon bin Zayed Al Nahyan Getty Image | Reuters Sen. Elizabeth Warren , D-Mass., will ask the Senate on Thursday to condemn and call for the reversal of the sale of 500,000 advanced artificial intelligence chips to the United Arab Emirates . Warren's resolution, shared exclusively with CNBC, comes after a report in The Wall Street Journal last week that Sheikh Tahnoon bin Zayed Al Nahyan of the United Arab Emirates, also known as the "Spy Sheikh," purchased a secret 49% stake in the Trump family’s World Liberty Financial days before President Donald Trump 's inauguration. The stake reportedly saw roughly $187 million flow to Trump family entities. The chip deal came just months after Tahnoon's purchase in World Liberty Financial, prompting allegations of bribery. Prior U.S. administrations have warned against selling chips to the UAE, citing concern that they will fall into the hands of China. Tahnoon's own AI enterprise, G42, will receive chips as part of the deal. "Why in the world was Donald Trump trying to ship off our state-of-the-art chips to the UAE — and China — when American startups, universities, and small businesses need them here at home?" Warren is expected to ask on the floor when she introduces her resolution. A draft of it has been viewed by CNBC. "Well, now we know that the UAE greased the skids months earlier when it secretly agreed to pour hundreds of millions of dollars into a Trump family crypto venture just four days before President Trump's inauguration." President Donald Trump shakes hands with Tahnoun bin Zayed Al Nahyan, National Security Advisor of UAE, next to UAE President Mohammed bin Zayed Al Nahyan, left, after arriving on Air Force One at Abu Dhabi International Airport, Thursday, May 15, 2025, in Abu Dhabi, United Arab Emirates. Alex Brandon | AP If agreed to on the Senate floor, the resolution would resolve that the Senate "Condemns Donald Trump's decision to allow the sale of advance...
The dollar index (DXY00) rose to a 1.5-week high today and is up by +0.12%. Today's stock selloff has boosted liquidity demand for the dollar. Also, hawkish comments from Fed Governor Lisa Cook supported the dollar when she said she now sees "risks as tilted toward higher inflation." The dollar fell back from its best levels on signs of weakness in the US labor market after Challenger's January jo...
The dollar index (DXY00) rose to a 1.5-week high today and is up by +0.12%. Today's stock selloff has boosted liquidity demand for the dollar. Also, hawkish comments from Fed Governor Lisa Cook supported the dollar when she said she now sees "risks as tilted toward higher inflation." The dollar fell back from its best levels on signs of weakness in the US labor market after Challenger's January job cuts posted their biggest decline for a January since 2009, weekly jobless claims rose more than expected to an 8-week high, and the Dec JOLTS job openings unexpectedly fell to a 5.25-year low, dovish factors for Fed policy. Join 200K+ Subscribers: Challenger Jan job cuts rose +117.8% y/y to 108,435, the largest amount of job cuts for the month of January since 2009. US weekly initial unemployment claims rose +22,000 to an 8-week high of 231,000, showing a weaker labor market than expectations of 212,000. The US Dec JOLTS job openings unexpectedly fell -386,000 to a 5.25-year low of 6.542 million versus expectations of an increase to 7.250 million. The dollar sank to a 4-year low last Tuesday when President Trump said he's comfortable with the recent weakness in the dollar. Also, the dollar remains under pressure as foreign investors pull capital from the US amid a growing budget deficit, fiscal profligacy, and widening political polarization. The markets are discounting the odds at 19% for a -25 bp rate cut at the next policy meeting on March 17-18. The dollar continues to see underlying weakness as the FOMC is expected to cut interest rates by about -50 bp in 2026, while the BOJ is expected to raise rates by another +25 bp in 2026, and the ECB is expected to leave rates unchanged in 2026. EUR/USD (^EURUSD) today is down by -0.03%. The euro gave up an early advance and is slightly lower due to a stronger dollar. The euro initially moved slightly higher today after the ECB kept interest rates unchanged and said the Eurozone economy "remains resilient." Today's Eurozone ec...
The Axios news service reported that negotiations had been taking place over the past 24 hours in Abu Dhabi and the two countries were closing in on a deal to keep observing key terms of the treaty.
The Axios news service reported that negotiations had been taking place over the past 24 hours in Abu Dhabi and the two countries were closing in on a deal to keep observing key terms of the treaty.
J Studios/DigitalVision via Getty Images Overview PGIM High Yield Bond Fund, Inc ( ISD ) operates as a closed-end fund that aims to deliver attractive total returns from its diverse portfolio of income producing securities. The fund has an inception dating back to April of 2012, which means that we have over a decade's worth of operating history to reference. While market indices continue to see h...
J Studios/DigitalVision via Getty Images Overview PGIM High Yield Bond Fund, Inc ( ISD ) operates as a closed-end fund that aims to deliver attractive total returns from its diverse portfolio of income producing securities. The fund has an inception dating back to April of 2012, which means that we have over a decade's worth of operating history to reference. While market indices continue to see high levels of volatility, steady income funds like ISD can be an efficient way to preserve your capital through periods of uncertainty. Looking at the performance over the last twelve months, we can see that ISD's share price has increased by about 5.1%. The fund has been able to remain resilient despite recent market uncertainty. When including all distributions that were paid out to shareholders, the total return jumps up to nearly 15% over the same time frame. ISD now offers investors a starting dividend yield of 8.6% and issues payouts on a monthly basis. However, I worry about the overall sustainability of the distributions going forward as the fund struggles to generate earnings that exceed payouts. Data by YCharts Additionally, ISD currently trades at one of its most expensive price to NAV valuations over the last decade. This could be a direct result of the market's sentiment of the fund, but this means that it is not a good time to accumulate shares. Additionally, it appears that the fund offers nearly no downside protection in a scenario where the debt markets deteriorate. Net investment income levels aren't enough to support distributions on their own, so the fund needs to capture positive net realized gains every year. This reliance on net realized gains has contributed to the fund's limited NAV growth over the last few years. So let's start by taking a look at the underlying strategy that ISD implements to generate its earnings. Fund Strategy According to the latest fact sheet , ISD has total net assets of $464M that are spread across a diverse range of income-...
The EV manufacturer is set to go all-in on a new product later this year. In the history of electric vehicles, no model has been more transformative to the entire auto industry than the Tesla (TSLA 1.43%) Model S. However, Tesla recently announced that the Model S and Model X will be discontinued, and the factory where they're produced will be repurposed. In this short video, Fool.com analysts Tyl...
The EV manufacturer is set to go all-in on a new product later this year. In the history of electric vehicles, no model has been more transformative to the entire auto industry than the Tesla (TSLA 1.43%) Model S. However, Tesla recently announced that the Model S and Model X will be discontinued, and the factory where they're produced will be repurposed. In this short video, Fool.com analysts Tyler Crowe and Matt Frankel discuss why this is happening and whether they think it's a good move. *Stock prices used were the morning prices of Jan 29, 2026. The video was published on Feb.1, 2026.
lixu/iStock Unreleased via Getty Images Introduction With Alphabet Inc. aka Google ( GOOG / GOOGL / GOOG:CA ) just releasing its latest quarterly earnings, I believe that it is important to review my Strong Buy thesis on the company, especially as the market has been jittery about the massive spending that hyperscalers have doing in the AI race. Since I first reviewed the company back in April 202...
lixu/iStock Unreleased via Getty Images Introduction With Alphabet Inc. aka Google ( GOOG / GOOGL / GOOG:CA ) just releasing its latest quarterly earnings, I believe that it is important to review my Strong Buy thesis on the company, especially as the market has been jittery about the massive spending that hyperscalers have doing in the AI race. Since I first reviewed the company back in April 2025, Alphabet has seen its stock price appreciate by nearly 115%, and the big question would be if it can continue its trajectory going into 2026. Though glancing at the company’s Q4, I believe that the answer is yes, especially as it crossed the astonishing $400B annual revenue milestone, proving that its suite of products and services is holding its MOAT in the age of AI. Current Dynamics I’ll now dive deeper into the quarter in which Alphabet posted a double beat that, in my opinion, silenced the critics. Quarterly revenue hit $113.8 billion, representing an 18% Y/Y increase and beating estimates by over $2.4 billion. On the bottom line, Q4 GAAP EPS stood at $2.82, a beat of 18 cents. This highlights how, despite massive AI spending, GOOG’s efficiency measures are effectively working. Segment-wise, the big winner has been undeniably Google Cloud, with revenue surging 48% to $17.7 billion . This continues the incredible growth rate trajectory that the segment has been experiencing, plus, following the trend of many in the industry, the backlog has grown from $155B in Q3 to a massive $240B. The backlog has effectively doubled Y/Y, driving the narrative. What should truly enthuse investors is the Cloud backlog, which exploded from $155 billion in Q3 to a mind-bending $240 billion in Q4 . This backlog has more than doubled year-over-year, thanks in part to the massive influx of +$1B enterprise deals. Apparently, 75% of Google Cloud customers are now using the firm’s vertically optimized AI solutions, ranging from TPU chips to the Vertex AI platform, showing the upsell strength...