AoZaaStudio/iStock via Getty Images Energy investors and management teams are cautious of a proposed rule by the US Securities and Exchange Commission, above, to allow semiannual reporting of financial results. There is little reason for energy, utility, and renewable power companies to switch to semiannual financial reporting from quarterly reporting should a proposed US Securities and Exchange C...
AoZaaStudio/iStock via Getty Images Energy investors and management teams are cautious of a proposed rule by the US Securities and Exchange Commission, above, to allow semiannual reporting of financial results. There is little reason for energy, utility, and renewable power companies to switch to semiannual financial reporting from quarterly reporting should a proposed US Securities and Exchange Commission rule allowing the option become final, according to multiple sector attorneys and experts. While less frequent reporting could enable more companies to go public by reducing administrative burdens and easing costs, energy investors will continue to demand the transparency provided by quarterly disclosures, said attorneys and analysts interviewed by Platts, part of S&P Global Energy. Management teams are also wary of the flexibility that could come with semiannual reporting because lenders, customers, and other regulatory entities require financial and operational information on a quarterly basis. The SEC released a proposal for public comment on May 5 that would allow public companies to file semiannual reports instead of traditional quarterly reports, saying the option provides flexibility "to choose the interim reporting frequency that would best serve the company and its investors." "Several companies point to quarterly earnings updates as a reliable resource to clear material non-public information to provide updates to the investment community," Scotiabank analysts wrote in a May 14 report tallying the results of a survey of utility investor relations teams. "We agree that six months seems like a long time to wait between regular updates." "[M]ost companies would likely continue with the status quo," Scotiabank concluded. IPOs underway The SEC proposal arrives as several oil and gas and renewable energy companies have recently launched initial public offerings, buoyed by data center developers' demand for power. Semiannual reporting could ease emerging compan...
matejmo/iStock via Getty Images Quarterly review • The fund outperformed its benchmark, the Diversified Capital Builder Blended Index, in the first quarter of 2026. • The fund's equity portion outperformed its Russell 1000 Index benchmark. • The portfolio's fixed income holdings outperformed its fixed income benchmark, the ICE BofA High Yield U.S. Corporates, Cash Pay Index. Market review The firs...
matejmo/iStock via Getty Images Quarterly review • The fund outperformed its benchmark, the Diversified Capital Builder Blended Index, in the first quarter of 2026. • The fund's equity portion outperformed its Russell 1000 Index benchmark. • The portfolio's fixed income holdings outperformed its fixed income benchmark, the ICE BofA High Yield U.S. Corporates, Cash Pay Index. Market review The first quarter of 2026 was characterized by substantial volatility as all major indexes incurred considerable declines. The quarter started on a positive note, with stocks rallying into the new year on the heels of economic and artificial intelligence bullishness. However, a series of policy changes, new tariffs, and trade tensions started the stock market's slide that culminated with U.S. and Israel's aerial attack on Iran at the end of February. Oil prices spiked and the global markets sold off further as the Strait of Hormuz became impassable. Throughout this turmoil, the Federal Reserve (Fed) maintained a neutral position with interest rates. We believe sectors with above-average revenue and profit growth in the technology and industrial segments continue to benefit from the AI and data center build-out. Additionally, materials, led by chemical companies, performed well after years of poor performance. During the quarter, many large-capitalization stocks had negative returns, especially so-called "mega-capitalization" stocks. In contrast, small- and mid-capitalization companies generated positive returns in the quarter, outperforming their larger peers. Despite the negative overall stock returns, along with relatively stable interest rates, the economic growth forecast currently remains positive, as the oil shock from the war with Iran is viewed as temporary. As a result, we are cautious near term, but if the conflict can be resolved in the next several months, with the underlying strength in the prewar economy, oil price and inflationary declines could support a more favora...
Yagi Studio/DigitalVision via Getty Images When drone maker AEVEX ( AVEX ) was going public in the second half of April, I concluded that shares were taking off. Shares surged by a third on the opening day of trading amidst relatively reasonable valuations, which looked compelling given the strong momentum displayed. That looked rather compelling, yet technological and competitive developments tak...
Yagi Studio/DigitalVision via Getty Images When drone maker AEVEX ( AVEX ) was going public in the second half of April, I concluded that shares were taking off. Shares surged by a third on the opening day of trading amidst relatively reasonable valuations, which looked compelling given the strong momentum displayed. That looked rather compelling, yet technological and competitive developments take place at a rapid pace, making it difficult to judge how lasting such momentum developments were. What followed were two boom-bust cycles during May and early June as shares have risen to the $40 mark, to fall back to the low twenties, with such trading patterns having taken place twice already. This followed a strong first quarter, but a puzzling outlook for the remainder of the year, which either was a conservative guidance but likely suggests some substantial and sequential revenue declines in reality as well. That makes it a bit difficult to build conviction here, in a rapidly moving technology and competitive environment, making me hard-pressed to get involved, even at lower levels. Lots Of News To Digest The latest news on AEVEX is that the company and its selling shareholders sold a combined 8 million shares at $27 early in June. Some 5.7 million of these shares were sold by the business itself, with the remainder sold by selling shareholders. This means that gross proceeds from the offering to benefit the company come in around $154 million. The equity raise followed quite some corporate news being released in May. On the 20th of May, AEVEX announced that it was awarded a more than $15 million contract by the US Air Force, for certain mission-support capabilities. More interesting was the release of the first quarter results. First quarter sales rose by no less than 307% to $216 million and change. The company reported adjusted EBITDA of $36 million and change, this comparing to a loss in the year before, with GAAP earnings reported at $20 million. Note that this n...
ismagilov/iStock via Getty Images Thesis SAIC is primarily a government contractor that assists in improving technology, operations, and support systems and offers services in mission integration, Mission IT, and Enterprise IT and serves "across defense, space, civilian, and intelligence environments. SAIC specifically mentions being a "mission integrator" numerous times over the prior quarters to...
ismagilov/iStock via Getty Images Thesis SAIC is primarily a government contractor that assists in improving technology, operations, and support systems and offers services in mission integration, Mission IT, and Enterprise IT and serves "across defense, space, civilian, and intelligence environments. SAIC specifically mentions being a "mission integrator" numerous times over the prior quarters to separate themselves from a typical staffing or consulting company, taking piecemeal, related services to provide a complete contract or project. SAIC achieved modest growth in the recent quarter and remarkable improvements in operational efficiencies, which showed through on the profit and loss statement via both slight gross margin expansion as well as significantly improved net income growth when comparing to the same quarter in the prior year. With a consistent backlog of projects stabilizing revenues and greater contract efficiency leading to reduced expenses in relation to revenues, we should be able to anticipate growing net profits in the coming quarters. Operational Performance was Solid For the most recent quarter, SAIC delivered modest growth at a 2% revenue increase for year over year. The company cites “organic growth” of only .5% since the remaining growth was attributable to the SilverEdge acquisition. While the revenue story isn’t particularly exciting or interesting, the company did deliver a 69% increase in net income year over year for the most recent quarter. It’s probably worth diving into what caused this massive change to the bottom line despite meager revenue growth. While revenues were up, cost of revenue was slightly down, going from $1.668 billion to $1,.657 billion. This is a small but noticeable margin expansion. In addition to the efficiency in gross margin, the company also achieved lower selling and general expenses ($83 million vs $89 million) while at the same time increasing revenues. This signals better efficiency and contract execution. ...
格隆汇6月8日｜据彭博，Atlas Air Worldwide首席执行官Michael Steen称正考虑订购波音777X货机，尽管该公司今年早些时候已首次订购了空客的飞机。Steen在一次采访中表示：“机队中已有777-200货机，我们希望能再购买一些，对777X货机持完全开放的态度。”尽管航空业因油价上涨而面临不确定性，但公司仍持续看到对航空货运服务的需求，包括用于数据中心的芯片和服务器机架的...
格隆汇6月8日｜据彭博，Atlas Air Worldwide首席执行官Michael Steen称正考虑订购波音777X货机，尽管该公司今年早些时候已首次订购了空客的飞机。Steen在一次采访中表示：“机队中已有777-200货机，我们希望能再购买一些，对777X货机持完全开放的态度。”尽管航空业因油价上涨而面临不确定性，但公司仍持续看到对航空货运服务的需求，包括用于数据中心的芯片和服务器机架的运输。
For most of its time in the public markets, Reddit (RDDT) has been a story of artificial intelligence data. That story still holds. The company’s user-generated discussions have grown increasingly useful for AI developers seeking real-world conversations, queries, and opinions. But there's a second ...
For most of its time in the public markets, Reddit (RDDT) has been a story of artificial intelligence data. That story still holds. The company’s user-generated discussions have grown increasingly useful for AI developers seeking real-world conversations, queries, and opinions. But there's a second ...