hapabapa/iStock Editorial via Getty Images Introduction The start of 2026 started so well for Novo Nordisk A/S ( NVO ) (trading in Denmark as NOVO-B.CO) in terms of share price appreciation, and it quickly turned into a proverbial disaster following the announcement that management was expecting lower sales during the year. I rated the company a Strong Buy for a while , considering its prospects a...
hapabapa/iStock Editorial via Getty Images Introduction The start of 2026 started so well for Novo Nordisk A/S ( NVO ) (trading in Denmark as NOVO-B.CO) in terms of share price appreciation, and it quickly turned into a proverbial disaster following the announcement that management was expecting lower sales during the year. I rated the company a Strong Buy for a while , considering its prospects and its underlying valuation, and the past week has really put this grade to the test. I will dive into why I still believe that Novo is a great opportunity in 2026 and why the company is a victim of the short-mindedness of the market at this price. Current Dynamics I’ll go through the first selloff trigger that was the earnings release . The drugmaker reported a 10% sales growth on a Y/Y basis to reach around 309B DKK ($45.9B). This beat the consensus of 307.6 DKK and was underpinned by the continued dominance of the obesity care segment, which saw sales surge by over 31% to reach 82B DKK, which is crazy to think about considering where the segment was back in 2019. Though the company’s net income lagged expectations for the period at 102.4B DKK compared to the consensus of 103.3B DKK. Now, that would not trigger such a vast selloff by itself, but the company’s outlook was simply too much for the market to handle, as it triggered a trading halt. Adjusted sales and operating profit are set to contract by 5% to 13% for the year, which is a sharp contrast compared to Eli Lilly's ( LLY ) projected 25% revenue growth . This would be linked to three factors: the impact of international patent expirations, significant competition and pricing pressure in the U.S., and a $4.2B sales rebate provision reversal expected in Q1. And though the market is interpreting this as fading momentum, I’ll describe it more as a price-volume reset, which, to be fair, was expected considering the new pricing strategies. Ozempic and Wegovy prices will decline to a range of $245-$350, mandated by the T...
Earnings Call Insights: Centene Corporation (CNC) Q4 2025 Management View CEO Sarah London reported a fourth quarter adjusted diluted loss per share of ($1.19) and full year 2025 adjusted diluted EPS of $2.08, noting, "2025 was undeniably challenging, disciplined execution enabled us to close the year slightly ahead of the expectations we outlined on our third quarter call." Medicaid profitability...
Earnings Call Insights: Centene Corporation (CNC) Q4 2025 Management View CEO Sarah London reported a fourth quarter adjusted diluted loss per share of ($1.19) and full year 2025 adjusted diluted EPS of $2.08, noting, "2025 was undeniably challenging, disciplined execution enabled us to close the year slightly ahead of the expectations we outlined on our third quarter call." Medicaid profitability improved, and both Marketplace and Medicare segments were in line or slightly favorable for the quarter, with 2026 enrollment results creating a "solid foundation for next year's earnings power." London announced, "We expect full year 2026 adjusted EPS to be greater than $3, representing more than 40% year-over-year growth and marking important progress toward restoring the enterprise's embedded earnings power." The 2026 outlook incorporates Medicaid margin stability, significant margin recovery in Marketplace, and ongoing progress toward breakeven in Medicare Advantage. London described a multipronged, data-driven approach to controlling Medicaid costs, including network optimization, clinical program enhancements, fraud reduction, and intensive rate advocacy. The ABA task force analyzed care patterns and took steps with providers and state partners to manage costs and improve care quality. Marketplace trends were slightly better than expected, though out-of-period items related to CMS reconciliation and No Surprises Act (NSA) disputes caused accrual increases. London stated, "We will continue to take aggressive action to protect the system from fraudulent and abusive exploitation of NSA loopholes." On Medicare, London said the segment delivered strong results, benefiting from provider contract portfolio reviews and favorable trends in PDP. There is a strategic focus on margin improvement and a goal of breakeven Medicare Advantage in 2027, with a redesigned duals operating model launched in 2025. London highlighted ongoing investments in data, technology, and artificial i...
Earnings Call Insights: Reinsurance Group of America (RGA) Q4 2025 Management View Tony Cheng, President and CEO, highlighted "Q4 operating EPS of $7.75 per share, which is our second consecutive record quarter in terms of earnings," and an adjusted operating return on equity for the trailing 12 months of 15.7%. Cheng stated, "Looking back at the full year 2025 results, we delivered record operati...
Earnings Call Insights: Reinsurance Group of America (RGA) Q4 2025 Management View Tony Cheng, President and CEO, highlighted "Q4 operating EPS of $7.75 per share, which is our second consecutive record quarter in terms of earnings," and an adjusted operating return on equity for the trailing 12 months of 15.7%. Cheng stated, "Looking back at the full year 2025 results, we delivered record operating EPS, generated a 15.7% ROE and increased the value of in-force business margins by 18%." He further emphasized capital deployment, stating RGA "deployed $2.5 billion of capital into in-force transactions at attractive risk-adjusted returns, reinstated share buybacks and maintained a strong balance sheet with $2.7 billion of excess capital." Cheng announced a strategic shift: "We completed a broader strategic review and have decided to exit the group health care lines of business." He noted this move follows repricing actions and is expected to primarily impact 2027 results. The CEO noted, "APAC continues to see growth momentum along with in-force actions," and described North America and EMEA as delivering strong performances, with specific mention of the Equitable block meeting expectations. Cheng highlighted "our most recent vintages of new business will generate risk-adjusted returns that meet or exceed our targets," and introduced a measure indicating "the value increased by $6.6 billion or 18%" in 2025 for in-force margins. CFO Axel Philippe Andre reported, "RGA reported record pretax adjusted operating income of $515 million for the quarter or $7.75 per share after tax." He detailed capital deployment, noting "we deployed $98 million into in-force transactions in the quarter and $2.5 billion for the full year." Andre added, "Our capital position remains strong, and we ended the quarter with estimated excess capital of $2.7 billion and estimated next 12 months deployable capital of $3.4 billion." Outlook Management reiterated its intermediate-term targets, stating, ...
Earnings Call Insights: GrafTech International Ltd. (EAF) Q4 2025 Management View CEO Timothy Flanagan opened the call by noting "We are operating in one of the most challenging environments the graphite electrode industry has seen in almost a decade, marked by global overcapacity, aggressive competitor behavior, geopolitical uncertainty and steel production trends that remain subdued in many regi...
Earnings Call Insights: GrafTech International Ltd. (EAF) Q4 2025 Management View CEO Timothy Flanagan opened the call by noting "We are operating in one of the most challenging environments the graphite electrode industry has seen in almost a decade, marked by global overcapacity, aggressive competitor behavior, geopolitical uncertainty and steel production trends that remain subdued in many regions." Flanagan emphasized the company's strategic focus on growing volumes and market share, especially in regions with stronger pricing such as the United States, stating "On a full year basis, we increased sales volume by 6%" and "our sales volume grew 48% for the full year" in the U.S. Flanagan highlighted the company's decision to "walk away from volume opportunities that do not meet our margin requirements," prioritizing value-focused growth over pure volume. The CEO reported an "11% reduction in our cash cost of goods sold per metric ton" for the year, bringing the two-year cumulative reduction to 31%. He stated, "Our ongoing cost management initiatives, including enhanced procurement strategies, energy efficiency improvements and disciplined production scheduling has been instrumental in driving these results." Flanagan disclosed a year-end liquidity position of $340 million, with $138 million in cash, credit facility availability, and delayed draw term loan, saying this "enables us to maintain stability despite the persistence of industry-wide challenges." CFO Rory O'Donnell reported, "Our production volume for the fourth quarter was approximately 28,000 metric tons, resulting in a capacity utilization rate of 60% for the quarter," and confirmed the "average selling price for the fourth quarter was approximately $4,000 per metric ton, which represented a 9% decline compared to the prior year and sequentially, a 5% decline compared to the third quarter." Outlook Flanagan set a target for 2026: "we expect to grow our sales volume by 5% to 10% year-over-year, including...
(Check out Carter's worthcharting.com for actionable recommendations and live nightly videos.) The low-beta, long-time laggard S & P 500 Consumer Stapes Sector has come to in a big way the past 3 months, now up 15% in the period versus a 1% gain for the S & P 500 Index itself. Here and now, by our work, it is right to fade the move in Staples. The chart is informative. A clear "overbought" conditi...
(Check out Carter's worthcharting.com for actionable recommendations and live nightly videos.) The low-beta, long-time laggard S & P 500 Consumer Stapes Sector has come to in a big way the past 3 months, now up 15% in the period versus a 1% gain for the S & P 500 Index itself. Here and now, by our work, it is right to fade the move in Staples. The chart is informative. A clear "overbought" condition. DISCLOSURES: (None) All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, or its parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL'S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer.
There are three main issues I see. McKinsey projects global data center investments will hit nearly $7 trillion by 2030, and every tech giant from Microsoft to Meta is scrambling to secure capacity. Applied Digital (APLD +25.03%) has positioned itself as a pure-play beneficiary of this megatrend, and the stock has exploded over the past 18 months. But after digging into the financials and reading ...
There are three main issues I see. McKinsey projects global data center investments will hit nearly $7 trillion by 2030, and every tech giant from Microsoft to Meta is scrambling to secure capacity. Applied Digital (APLD +25.03%) has positioned itself as a pure-play beneficiary of this megatrend, and the stock has exploded over the past 18 months. But after digging into the financials and reading the fine print in their SEC filings, I'm staying far away. Despite the tailwinds at its back, three fundamental red flags make this stock far too risky for me. Red Flag 1: Applied Digital's debt is piling up fast Applied Digital's debt exploded from $44 million in Q1 FY2024 to $2.6 billion by November 2025 and the company's debt-to-equity ratio now sits north of 125%. This debt is expensive, and while management believes it will be able to be refinanced to considerably lower rates once more of the company's facilities are constructed, I'm not convinced. This debt is likely to grow and makes the risks of not executing significantly higher for Applied Digital compared to a less indebted company -- and remember, Applied Digital is operating in the red, losing $125 million in the last 12 months. Red Flag 2: Applied Digital has a customer concentration problem Applied Digital's HPC Hosting Business -- its name for the AI-first segment and the driver of Applied's incredible growth -- generates all of its current revenue and the bulk of its future revenue from just one company: CoreWeave. This creates a major dependency on a single company. This is a risk for any company, but when that company is itself heavily indebted and operating at a considerable loss, it's a massive problem in my eyes. Even if CoreWeave succeeds, if it decides to build its own capacity, looks for another partner, or attempts to renegotiate terms, Applied Digital has very little negotiating leverage. There's zero margin for error in that relationship. Red Flag 3: Applied Digital's lease revenue is far from gu...
Energy Transfer is off to a great start in 2026. Energy Transfer (ET +0.56%) burst out of the gate in early 2026, with its unit price surging 11.9% in January. That significantly outperformed the S&P 500, which gained 1.4% last month. The master limited partnership (MLP) got a boost from crude prices last month, which lifted the entire oil sector. However, that wasn't the only catalyst fueling the...
Energy Transfer is off to a great start in 2026. Energy Transfer (ET +0.56%) burst out of the gate in early 2026, with its unit price surging 11.9% in January. That significantly outperformed the S&P 500, which gained 1.4% last month. The master limited partnership (MLP) got a boost from crude prices last month, which lifted the entire oil sector. However, that wasn't the only catalyst fueling the pipeline stock in January. An oil-fueled boost Oil prices rallied sharply last month. WTI, the main U.S. oil price benchmark, surged 14%. That was its first monthly gain in six months. Oil prices rallied due to potential supply issues in Venezuela and Iran. On the one hand, oil prices have less of an impact on Energy Transfer because fees underpin about 90% of its earnings. However, 5% to 10% of the midstream company's earnings have some commodity price exposure. As a result, higher oil prices will lift those earnings. Additionally, rising crude prices tend to incentivize energy companies to increase production, boosting the MLP's volumes and future growth prospects. Expand NYSE : ET Energy Transfer Today's Change ( 0.56 %) $ 0.10 Current Price $ 17.95 Key Data Points Market Cap $62B Day's Range $ 17.71 - $ 18.03 52wk Range $ 14.60 - $ 20.55 Volume 610K Avg Vol 15M Gross Margin 12.85 % Dividend Yield 7.23 % Optimism about what's ahead Rising crude oil prices weren't the only factor fueling Energy Transfer's rally last month. The MLP also announced its 2026 outlook in early January. The company expects to generate adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) of between $17.3 billion and $17.7 billion this year. That implies growth rates of 7.5% to 10% from last year's level of $16.1 billion, a meaningful acceleration from its less than 4% growth rate in 2025. The MLP expects to benefit from the ramp-up or completion of several expansion projects, including the Nederland Flexport NGL expansion, Hugh Brinson Pipeline Phase I, and gas pipel...
Key Points Its debt has ballooned from $44 million to $2.6 billion in under two years The bulk of its future lease income is dependent on a single customer. If Applied Digital misses construction deadlines, it risks losing billions. 10 stocks we like better than Applied Digital › McKinsey projects global data center investments will hit nearly $7 trillion by 2030, and every tech giant from Microso...
Key Points Its debt has ballooned from $44 million to $2.6 billion in under two years The bulk of its future lease income is dependent on a single customer. If Applied Digital misses construction deadlines, it risks losing billions. 10 stocks we like better than Applied Digital › McKinsey projects global data center investments will hit nearly $7 trillion by 2030, and every tech giant from Microsoft to Meta is scrambling to secure capacity. Applied Digital (NASDAQ: APLD) has positioned itself as a pure-play beneficiary of this megatrend, and the stock has exploded over the past 18 months. But after digging into the financials and reading the fine print in their SEC filings, I'm staying far away. Despite the tailwinds at its back, three fundamental red flags make this stock far too risky for me. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks » Red Flag 1: Applied Digital's debt is piling up fast Applied Digital's debt exploded from $44 million in Q1 FY2024 to $2.6 billion by November 2025 and the company's debt-to-equity ratio now sits north of 125%. This debt is expensive, and while management believes it will be able to be refinanced to considerably lower rates once more of the company's facilities are constructed, I'm not convinced. This debt is likely to grow and makes the risks of not executing significantly higher for Applied Digital compared to a less indebted company -- and remember, Applied Digital is operating in the red, losing $125 million in the last 12 months. Red Flag 2: Applied Digital has a customer concentration problem Applied Digital's HPC Hosting Business -- its name for the AI-first segment and the driver of Applied's incredible growth -- generates all of its current revenue and the bulk of its future revenue from just one company: CoreWeave. This creates a major dependency on a single company. This is a risk for any company, ...
spawns/iStock via Getty Images This article updates my review of May 2025 in light of current holdings and recent performance. RISR strategy FolioBeyond Alternative Income and Interest Rate Hedge ETF ( RISR ) is an actively managed ETF launched on 9/30/2021 with an expense ratio of 1.04% (down from 1.23% in my previous review). RISR has a 30-day SEC yield of 5.61%, a trailing 12-month yield of 5.9...
spawns/iStock via Getty Images This article updates my review of May 2025 in light of current holdings and recent performance. RISR strategy FolioBeyond Alternative Income and Interest Rate Hedge ETF ( RISR ) is an actively managed ETF launched on 9/30/2021 with an expense ratio of 1.04% (down from 1.23% in my previous review). RISR has a 30-day SEC yield of 5.61%, a trailing 12-month yield of 5.95%, and pays monthly distributions. As described by FolioBeyond , the fund primarily invests in interest-only mortgage-backed securities (“MBS IOs”) and U.S. Treasury bonds. Separating the principal and interest on a debt obligation is known as “stripping.” The interest-only strip (“IO”) represents the interest stream. The principal-only strip (“PO”) represents the portion of the debt payment that is applied to the balance of the loan. In the early years of a mortgage, most of the payment is interest. In later years, the interest portion becomes smaller, and more of the payment goes to the principal. When rates rise, mortgage prepayments decline, interest cash flows increase, and MBS IO value increases. When rates fall, mortgage prepayments increase, interest cash flows decline, and MBS IO value decreases. In summary, MBS IOs gain in value in an inflationary environment and lose in a deflationary environment, the opposite of most debt securities. This is known as “negative duration.” RISR invests in Agency MBS IOs and uses Treasury bonds and MBS derivatives to mitigate the risk of deflation and maintain a negative duration of 3 to 10 years, targeting an increase of portfolio value of 3 to 10 basis points for an increase in interest rates of one basis point. The portfolio turnover rate was 5% in the most recent fiscal year and 31% in the previous year. P ortfolio The portfolio is exclusively invested in agency-backed securities and cash equivalents (100% AAA rated). The weighted average duration measured as of 1/30/2026 is -4.8 years, and the average maturity is 22.9 years. ...
Corning shares are on pace for a record closing high. The stock was up 6.3% on Friday to $119.93, putting it in position to beat the record of $113.10, reached on Sept. 1, 2000, according to Dow Jones Market Data. The company, which makes glass products for tech companies includng Apple announced a multiyear deal with Meta Platforms on Jan. 27.
Corning shares are on pace for a record closing high. The stock was up 6.3% on Friday to $119.93, putting it in position to beat the record of $113.10, reached on Sept. 1, 2000, according to Dow Jones Market Data. The company, which makes glass products for tech companies includng Apple announced a multiyear deal with Meta Platforms on Jan. 27.
Big tech earnings highlighted incredible news for the chipmaker. Shares of Nvidia (NVDA +7.28%) were sharply higher on Friday, climbing as much as 7.8%. As of 1:02 p.m. ET, the stock was still up 7.3%. The catalyst that sent the artificial intelligence (AI) chipmaker higher was the results of one of its big tech colleagues, which bodes well for Nvidia's future. Chips ahoy Amazon (AMZN 6.88%) relea...
Big tech earnings highlighted incredible news for the chipmaker. Shares of Nvidia (NVDA +7.28%) were sharply higher on Friday, climbing as much as 7.8%. As of 1:02 p.m. ET, the stock was still up 7.3%. The catalyst that sent the artificial intelligence (AI) chipmaker higher was the results of one of its big tech colleagues, which bodes well for Nvidia's future. Chips ahoy Amazon (AMZN 6.88%) released its fourth-quarter financial report after the market close on Thursday. While the results were robust, investors had some concerns. Amazon reported net sales that climbed 14% year over year to $213.4 billion, or up 12% in constant currency. This drove diluted earnings per share (EPS) up 4% to $1.95. For context, analysts' consensus estimates called for revenue of $211.6 billion and EPS of $1.96, so while Amazon beat on the top line, its bottom-line results were roughly in line with expectations. Investors were paying particularly close attention to the results of Amazon Web Services (AWS), and they were not disappointed. Revenue for the cloud segment increased 24% year over year to $35.6 billion, marking the third consecutive quarter of accelerating growth and its fastest growth rate in 13 quarters. AWS had a backlog of $244 billion, up 40% year over year and 22% sequentially, driven by strong demand for AI. As such, CEO Andy Jassy announced plans to spend a record $200 billion on capital expenditures (capex) in 2026, an increase of 51%. The spending will be "predominantly" for AWS, as the company is "monetizing capacity as fast as we can install it." Expand NASDAQ : NVDA Nvidia Today's Change ( 7.28 %) $ 12.52 Current Price $ 184.40 Key Data Points Market Cap $4.2T Day's Range $ 174.60 - $ 185.17 52wk Range $ 86.62 - $ 212.19 Volume 147M Avg Vol 183M Gross Margin 70.05 % Dividend Yield 0.02 % What does this have to do with Nvidia? AWS and Nvidia have a long-running partnership, and while Amazon prefers its homegrown Graviton and Trainium processors, the bulk of its AI ...
Nvidia Corp . Chief Executive Officer Jensen Huang , facing concerns that customers are overspending on data centers, said that the level of expenditures is appropriate and sustainable. The build-out of artificial intelligence infrastructure will continue for seven to eight years, Huang told CNBC on Friday, saying that demand for AI is “just incredibly high.” “AI has become useful and very capable...
Nvidia Corp . Chief Executive Officer Jensen Huang , facing concerns that customers are overspending on data centers, said that the level of expenditures is appropriate and sustainable. The build-out of artificial intelligence infrastructure will continue for seven to eight years, Huang told CNBC on Friday, saying that demand for AI is “just incredibly high.” “AI has become useful and very capable,” Huang said. “The adoption of it has become incredibly high.” Heavy capital spending by many of the world’s biggest tech companies — including Amazon.com Inc. , Alphabet Inc. ’s Google, Meta Platforms Inc. and Microsoft Corp. — has alarmed investors in the wake of earnings reports. The market value of those four businesses has declined by close to $1 trillion in total during recent days. Read More: Big Tech to Spend $650 Billion This Year as AI Race Intensifies Much of that spending will flow to Nvidia, which makes data center processors that help develop and run AI models. Huang argues that artificial intelligence is already paying off for its adopters — and those customers would be doing even better if they had more data centers. Nvidia’s co-founder said he’s not worried that the technology industry will add too much capacity. Unlike with the first build-out of the internet, there’s no infrastructure sitting idle. Companies like Anthropic PBC and OpenAI are generating profitable revenue, he said. Read More: Nvidia CEO: Software Selloff ‘Most Illogical Thing in the World’
Roblox (RBLX) is hitting a growth spurt, and the company is looking to take its game into the adult world. "We've found that our age-checked 18-and-up segment is growing at over 50% year on year, which is a real great signal for future growth," Roblox CEO David Baszucki told Yahoo Finance's Opening Bid. For years, Roblox has been the digital playground where kids spent weekends — and their parents...
Roblox (RBLX) is hitting a growth spurt, and the company is looking to take its game into the adult world. "We've found that our age-checked 18-and-up segment is growing at over 50% year on year, which is a real great signal for future growth," Roblox CEO David Baszucki told Yahoo Finance's Opening Bid. For years, Roblox has been the digital playground where kids spent weekends — and their parents' money. But the company's latest earnings report suggests that a demographic shift is underway. The platform beat analyst estimates across the board, with Q4 bookings hitting $2.2 billion, a 55% year-over-year increase. For the full year, the company is projecting sales growth between 23% and 29%, a signal that its controversial age-verification strategy might actually be working. Launched in January of this year, the mandatory process uses facial recognition via a partnership with cybersecurity firm Persona. Once a user is verified, Roblox can group that player by age, creating a walled garden that makes the platform more palatable to advertisers and older users alike. The stock has surged over 13% on the news as investors cheer a platform that is finally diversifying beyond the under-18 crowd. But for the 30-something skeptic, Roblox still has to prove it sees an opportunity worth their time. For the higher age demographic, Baszucki said the platform is "reiterating the cultural phenomena" it uses with the under-18 segment, noting that gamers respond well to "cultural hits" like "Dress to Impress" and "Grow a Garden." Looking ahead, however, the platform expects to see more "genre expansion" in its 18-plus segment, particularly in categories like role-playing games (RPGs) and sports games, which tend to monetize at a higher rate, per Baszucki. The company is also wielding AI as a shield against Big Tech encroachment. While competitor stocks were rattled by the rollout of Google's (GOOG, GOOGL) Genie — an AI tool that can generate playable environments from images or text...
Roblox (RBLX) is hitting a growth spurt, and the company is looking to take its game into the adult world. "We've found that our age-checked 18-and-up segment is growing at over 50% year on year, which is a real great signal for future growth," Roblox CEO David Baszucki told Yahoo Finance's Opening Bid. For years, Roblox has been the digital playground where kids spent weekends — and their parents...
Roblox (RBLX) is hitting a growth spurt, and the company is looking to take its game into the adult world. "We've found that our age-checked 18-and-up segment is growing at over 50% year on year, which is a real great signal for future growth," Roblox CEO David Baszucki told Yahoo Finance's Opening Bid. For years, Roblox has been the digital playground where kids spent weekends — and their parents' money. But the company's latest earnings report suggests that a demographic shift is underway. The platform beat analyst estimates across the board, with Q4 bookings hitting $2.2 billion, a 55% year-over-year increase. For the full year, the company is projecting sales growth between 23% and 29%, a signal that its controversial age-verification strategy might actually be working. Launched in January of this year, the mandatory process uses facial recognition via a partnership with cybersecurity firm Persona. Once a user is verified, Roblox can group that player by age, creating a walled garden that makes the platform more palatable to advertisers and older users alike. The stock has surged over 13% on the news as investors cheer a platform that is finally diversifying beyond the under-18 crowd. But for the 30-something skeptic, Roblox still has to prove it sees an opportunity worth their time. For the higher age demographic, Baszucki said the platform is "reiterating the cultural phenomena" it uses with the under-18 segment, noting that gamers respond well to "cultural hits" like "Dress to Impress" and "Grow a Garden." Looking ahead, however, the platform expects to see more "genre expansion" in its 18-plus segment, particularly in categories like role-playing games (RPGs) and sports games, which tend to monetize at a higher rate, per Baszucki. The company is also wielding AI as a shield against Big Tech encroachment. While competitor stocks were rattled by the rollout of Google's (GOOG, GOOGL) Genie — an AI tool that can generate playable environments from images or text...
Key Takeaways: Backlog Inflection: Oracle’s $523 billion RPO base and $68 billion quarterly expansion signal AI infrastructure demand translating into contracted revenue, with OCI already growing 66% and cloud revenue reaching $8 billion in the quarter. Oracle’s $523 billion RPO base and $68 billion quarterly expansion signal AI infrastructure demand translating into contracted revenue, with OCI a...
Key Takeaways: Backlog Inflection: Oracle’s $523 billion RPO base and $68 billion quarterly expansion signal AI infrastructure demand translating into contracted revenue, with OCI already growing 66% and cloud revenue reaching $8 billion in the quarter. Oracle’s $523 billion RPO base and $68 billion quarterly expansion signal AI infrastructure demand translating into contracted revenue, with OCI already growing 66% and cloud revenue reaching $8 billion in the quarter. Capital And Legal Overhang: Oracle’s $25 billion note deal and a class action tied to AI CapEx intensity frame investor focus on balance sheet and cash conversion, after management lifted FY26 CapEx expectations by $15 billion. Oracle’s $25 billion note deal and a class action tied to AI CapEx intensity frame investor focus on balance sheet and cash conversion, after management lifted FY26 CapEx expectations by $15 billion. Target Price Framework: Oracle stock could reach $296 by 2028 as a $67 billion FY26 base scales under a 31% revenue CAGR, 39% operating margins, and a 19x exit P/E that anchors normalization after the buildout phase. Oracle stock could reach $296 by 2028 as a $67 billion FY26 base scales under a 31% revenue CAGR, 39% operating margins, and a 19x exit P/E that anchors normalization after the buildout phase. Return Math: Oracle’s $296 target implies 117% upside from the $136 current price, translating into a 40% annualized return over roughly 2 years based on earnings growth and a steady 19x multiple. Model how Oracle’s cloud infrastructure growth and application attach rates impact earnings power through 2030 on TIKR for free → Oracle (ORCL) generates revenue from enterprise software and cloud subscriptions across ERP, HCM, database, and infrastructure, serving large institutions through SaaS and support. Oracle’s FY25 gross profit of $40 billion and EBIT of $25 billion imply about $15 billion of operating costs, supporting a 44% operating margin that positions the model to fund high...
Key Points Bitmine Immersion is a large holder of Ethereum, whose price crashed this week. The company's president quickly retired, and it is investing millions into Mr. Breast's business. The stock is highly risky for investors today. 10 stocks we like better than Bitmine Immersion Technologies › Shares of Bitmine Immersion Technologies (NYSEMKT: BMNR) have fallen around 20% this week, according ...
Key Points Bitmine Immersion is a large holder of Ethereum, whose price crashed this week. The company's president quickly retired, and it is investing millions into Mr. Breast's business. The stock is highly risky for investors today. 10 stocks we like better than Bitmine Immersion Technologies › Shares of Bitmine Immersion Technologies (NYSEMKT: BMNR) have fallen around 20% this week, according to data from S&P Global Market Intelligence. The newly formed cryptocurrency treasury operation focused on Ethereum has fallen alongside a crash in the aforementioned crypto's price this week. In the last month alone, Ether's price has fallen 36%, which is leading to huge unrealized losses on its crypto investment. Despite this, Bitmine continues to buy more Ether for its portfolio. Does that mean you should buy the dip on this stock? Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks » Crashing crypto prices Earlier this year, Bitmine got a new start with prominent technology and crypto investors Dan Ives and Tom Lee spearheading an operation to turn the company into a publicly traded cryptocurrency treasury business. However, unlike Strategy and its focus on Bitcoin, Bitmine would be focused on Ether/Ethereum, the second-largest cryptocurrency by market value. The company began to sell shares of its common stock to buy the cryptocurrency, already amassing over 3% of the outstanding token supply. At cost, this was a $16.3 billion investment with an average Ether price of around $3,800. Well, now Ether has been cut in half, and so have Bitmine's cryptocurrency holdings. The stock is simply going to trade along with the value of Ethereum, so when the crypto's price falls, Bitmine will follow. That is all that happened this week. Investors may be getting nervous about management decision-making. The company has invested $200 million in Beast Industries (the com...
Tencent Music Entertainment operates major streaming and live entertainment platforms in China, reaching millions of digital music users. On February 6, Marathon Asset Management disclosed in a U.S. Securities and Exchange Commission (SEC) filing that it sold 559,011 shares of Tencent Music Entertainment (TME +2.35%) in the fourth quarter, an estimated $11.34 million trade based on quarterly avera...
Tencent Music Entertainment operates major streaming and live entertainment platforms in China, reaching millions of digital music users. On February 6, Marathon Asset Management disclosed in a U.S. Securities and Exchange Commission (SEC) filing that it sold 559,011 shares of Tencent Music Entertainment (TME +2.35%) in the fourth quarter, an estimated $11.34 million trade based on quarterly average pricing. What happened According to a filing with the U.S. Securities and Exchange Commission dated February 6, Marathon Asset Management sold 559,011 shares of Tencent Music Entertainment during the fourth quarter. The estimated transaction value was $11.34 million, calculated using the average closing price for the quarter. Meanwhile, the quarter-end value of the position decreased by $26.44 million, a change that incorporates both share sales and stock price movement. What else to know Following the sale, the position accounted for 1.55% of Marathon Asset Management Ltd’s 13F reportable AUM. Top five holdings after the filing: NASDAQ:AMZN: $116.93 million (4.50% of AUM) NASDAQ:GOOGL: $115.71 million (4.45% of AUM) NYSE:CNH: $109.88 million (4.23% of AUM) NASDAQ:CCEP: $102.23 million (3.93% of AUM) NYSE:SCCO: $92.81 million (3.57% of AUM) As of February 5, shares of Tencent Music Entertainment were priced at $15.93, up 37.2% over the past year and outperforming the S&P 500 by 25.05 percentage points. Company overview Metric Value Revenue (TTM) $4.57 billion Net income (TTM) $1.56 billion Dividend yield 1.11% Price (as of February 5) $15.93 Company snapshot Tencent Music Entertainment operates leading music streaming, online karaoke, and live entertainment platforms in China, including QQ Music, Kugou Music, Kuwo Music, and WeSing. The company generates revenue through music subscriptions, virtual gifts, advertising, live streaming, and music-related merchandise sales. It targets mass-market Chinese consumers seeking digital music, interactive entertainment, and social ...
Key Points Marathon Asset Management sold 559,011 shares of Tencent Music Entertainment, an estimated $11.34 million trade based on quarterly average prices in the period. Meanwhile, the quarter-end position value fell by $26.44 million, reflecting both trading activity and price appreciation. As of December 31, Marathon reported holding 2,305,413 TME shares valued at $40.41 million. 10 stocks we ...
Key Points Marathon Asset Management sold 559,011 shares of Tencent Music Entertainment, an estimated $11.34 million trade based on quarterly average prices in the period. Meanwhile, the quarter-end position value fell by $26.44 million, reflecting both trading activity and price appreciation. As of December 31, Marathon reported holding 2,305,413 TME shares valued at $40.41 million. 10 stocks we like better than Tencent Music Entertainment Group › On February 6, Marathon Asset Management disclosed in a U.S. Securities and Exchange Commission (SEC) filing that it sold 559,011 shares of Tencent Music Entertainment (NYSE:TME) in the fourth quarter, an estimated $11.34 million trade based on quarterly average pricing. What happened According to a filing with the U.S. Securities and Exchange Commission dated February 6, Marathon Asset Management sold 559,011 shares of Tencent Music Entertainment during the fourth quarter. The estimated transaction value was $11.34 million, calculated using the average closing price for the quarter. Meanwhile, the quarter-end value of the position decreased by $26.44 million, a change that incorporates both share sales and stock price movement. What else to know Following the sale, the position accounted for 1.55% of Marathon Asset Management Ltd’s 13F reportable AUM. Top five holdings after the filing: NASDAQ:AMZN: $116.93 million (4.50% of AUM) NASDAQ:GOOGL: $115.71 million (4.45% of AUM) NYSE:CNH: $109.88 million (4.23% of AUM) NASDAQ:CCEP: $102.23 million (3.93% of AUM) NYSE:SCCO: $92.81 million (3.57% of AUM) As of February 5, shares of Tencent Music Entertainment were priced at $15.93, up 37.2% over the past year and outperforming the S&P 500 by 25.05 percentage points. Company overview Metric Value Revenue (TTM) $4.57 billion Net income (TTM) $1.56 billion Dividend yield 1.11% Price (as of February 5) $15.93 Company snapshot Tencent Music Entertainment operates leading music streaming, online karaoke, and live entertainment platfo...