Investors will start to turn their focus toward earnings next week as the earliest companies begin to report results for the first quarter ended March 31. Morgan Stanley said three top picks are the most likely to deliver big beats. In a note out Friday, Morgan Stanley's quantitative equity research team said that Western Digital , Citigroup and RTX are most likely to surprise to the upside, toppi...
Investors will start to turn their focus toward earnings next week as the earliest companies begin to report results for the first quarter ended March 31. Morgan Stanley said three top picks are the most likely to deliver big beats. In a note out Friday, Morgan Stanley's quantitative equity research team said that Western Digital , Citigroup and RTX are most likely to surprise to the upside, topping Wall Street analysts' consensus estimates. Western Digital had the highest score, landing in the 96th percentile, in the investment bank's Earnings Surprise Composite model. Morgan Stanley calculates the ranking by leveraging signals from the earnings forecast landscape, earnings equality, and broader forecast dynamics. A shortage of memory storage chips as a result of the buildout of artificial intelligence drove up Western Digital shares by nearly 900% in the past year, and 77% in 2026 alone. WDC 1Y mountain Western Digital over the past year San Jose, California-based Western Digital is set to report financial results for the latest quarter on April 23. Western Digital earnings and revenue topped Street estimates when it last reported, in late January, sending the stock down more than 10% the next day. Over the following two days, Western Digital resumed its ascent, jumping 16%. Analysts polled by FactSet currently expect Western Digital earned $2.36 per share on revenue of $3.23 billion in its most recent three months. Citigroup was the most prominent financial stock on Morgan Stanley's screen, with an earnings surprise composite score in the 93rd percentile. While Citi shares have seen a robust rally the past three years, jumping 158% excluding reinvested dividends, the bank is little changed in 2026. When first quarter earnings are reported on April 14, analysts polled by FactSet expect Citi to report $2.67 in earnings per share on revenue of $23.34 billion. RTX, parent of Pratt & Whitney, Raytheon and Collins Aerospace, also came in at the 81st percentile. The def...
Luis Alvarez/DigitalVision via Getty Images The following segment was excerpted from the ClearBridge Dividend Strategy Q1 2026 Commentary . Portfolio Positioning In a choppy first quarter, we took advantage of market volatility to reduce some positions on strength and add others on weakness, upgrading our holdings and further diversifying the portfolio. We bought four “new” holdings in the quarter...
Luis Alvarez/DigitalVision via Getty Images The following segment was excerpted from the ClearBridge Dividend Strategy Q1 2026 Commentary . Portfolio Positioning In a choppy first quarter, we took advantage of market volatility to reduce some positions on strength and add others on weakness, upgrading our holdings and further diversifying the portfolio. We bought four “new” holdings in the quarter. Two of the four — Blackstone ( BX ) and Otis ( OTIS ) — we have owned before. While we sometimes sell great businesses because the valuations are extended or fundamentals deteriorate substantially, we never stop following great companies. Blackstone and Otis both sold off in the quarter, and we took advantage of those declines to welcome these old friends back into the portfolio. Alongside our purchase of Blackstone, we significantly increased our exposure to Apollo Global Management ( APO ), as concerns around private-credit markets improved risk-reward profiles for both. While losses in credit will inevitably rise from current low levels, both companies are well-positioned to navigate the cycle. Their long-duration capital enables them to weather the ups and downs, while their copious dry powder positions them to play offense. Alternative asset management remains a growth industry, and we believe we are acquiring these two best-in-class franchises at attractive prices. As the leading elevator manufacturer, Otis is a best-in-class industrial company. While new construction activity ebbs and flows, Otis’s earnings are predominantly derived from its aftermarket repair and maintenance business, which is not economically sensitive and grows every year. While AI will disrupt many industries, well-situated industrial companies should prove resilient and accrete value over time. Alongside Otis, we purchased shares of Honeywell ( HON ) during the quarter. Honeywell possesses formidable franchises in controls and aerospace. Its pending reorganization (it is splitting into three c...
Kenyan lawmakers are expected to ratify a defense pact with France on Wednesday, boosting relations at a time when former colonies in West Africa have been terminating long-standing military ties. The agreement will “enhance Kenya’s defense capacity through access to French training, technology, and expertise” in areas including maritime security, intelligence sharing, peacekeeping and disaster re...
Kenyan lawmakers are expected to ratify a defense pact with France on Wednesday, boosting relations at a time when former colonies in West Africa have been terminating long-standing military ties. The agreement will “enhance Kenya’s defense capacity through access to French training, technology, and expertise” in areas including maritime security, intelligence sharing, peacekeeping and disaster relief, according to a memorandum presented to the National Assembly. The five-year pact signed by Kenya’s defense secretary and the French ambassador at the end of October is automatically renewable for similar period and can only be reviewed after being in effect for a decade. France is reconfiguring its military presence in Africa after Francophone nations including Senegal, Ivory Coast, Chad, Mali, Burkina Faso and Niger asked it to withdraw thousands of troops and hand over bases that have stood for decades. President Emmanuel Macron pledged to reset relations with Africa when he took office in 2017, becoming the latest French leader to promise an end to his country’s post-colonial political and economic-influence system on the continent. The Africa-France summit will be held in Nairobi next month, the first time the gathering is in a non-Francophone country, and Macron has invited President William Ruto to the Group of Seven summit he’s hosting in June. Some Kenyan lawmakers have expressed reservations on some provisions in the deal including immunity for troops and duty free imports of personal effects. Under the pact, France will have the “primary right” to try troops committing offenses in Kenya.
In this article DAL Follow your favorite stocks CREATE FREE ACCOUNT A Delta Air Lines Airbus A330 airplane departs from Harry Reid International Airport en route to Atlanta on March 15, 2026 in Las Vegas, Nevada. Kevin Carter | Getty Images Delta Air Lines CEO Ed Bastian said the carrier will "meaningfully reduce" its capacity growth plans in the near term as fuel costs soar, solidifying a pullbac...
In this article DAL Follow your favorite stocks CREATE FREE ACCOUNT A Delta Air Lines Airbus A330 airplane departs from Harry Reid International Airport en route to Atlanta on March 15, 2026 in Las Vegas, Nevada. Kevin Carter | Getty Images Delta Air Lines CEO Ed Bastian said the carrier will "meaningfully reduce" its capacity growth plans in the near term as fuel costs soar, solidifying a pullback from airlines that have been roiled by a historic run-up in jet fuel due to the Middle East war . Shares were up more than 11% in premarket trading, extending gains U.S. carriers saw after oil prices dropped. Delta on Wednesday forecast adjusted per-share earnings of $1 to $1.50 in the second quarter, below the $1.52 a share analysts were expecting, with revenue up in the "low-teens" percentage points compared with a year earlier, above the roughly 10% Wall Street forecast. Capacity will likely be flat on the year, Delta said. Delta said its fuel bill will be $2 billion higher this quarter because of the spike in fuel costs. Here's what Delta reported for the first quarter compared with what Wall Street was expecting, based on consensus estimates from LSEG: Earnings per share: 64 cents adjusted vs. 57 cents expected Revenue: $14.2 billion adjusted vs. $14 billion expected Delta is the first of the major U.S. airlines to report first-quarter results, though United Airlines , Delta and others had already been trimming capacity for the quarter. Less capacity can mean higher airfare, which is already on the rise. Delta also joined JetBlue Airways and United in raising its checked bag fees on Tuesday. Carriers around the world are more even more affected by the rise in fuel costs because of their countries' reliance on imports and have added fuel surcharges or announced fare increases. Bastian said demand remains strong, despite the higher travel costs, and that Delta's customer base continues to spend on travel, particularly for higher-end products like more spacious seats. S...
Dow Jones futures jumped, oil prices dived. President Trump agreed to halt Iran attacks for two weeks. Iran reportedly agreed to open the Strait of Hormuz.
Dow Jones futures jumped, oil prices dived. President Trump agreed to halt Iran attacks for two weeks. Iran reportedly agreed to open the Strait of Hormuz.
HOT TOPICS U.S. agrees to ceasefire with Iran U.S. President Donald Trump said Tuesday evening on social media that he agreed to a two-week ceasefire with Iran. The agreement followed a request from Pakistan’s Prime Minister Shehbaz Sharif and army chief Asim Munir, and is conditioned on Iran fully, immediately and safely opening the Strait of Hormuz. CATL hires Zijin Mining founder
HOT TOPICS U.S. agrees to ceasefire with Iran U.S. President Donald Trump said Tuesday evening on social media that he agreed to a two-week ceasefire with Iran. The agreement followed a request from Pakistan’s Prime Minister Shehbaz Sharif and army chief Asim Munir, and is conditioned on Iran fully, immediately and safely opening the Strait of Hormuz. CATL hires Zijin Mining founder
RiverNorthPhotography/iStock Unreleased via Getty Images Thesis T. Rowe Price Group, Inc. ( TROW ) saw accelerating institutional outflows in Q4 2025, due to which it missed earnings expectations. Assets under management (AUM) growth over the past 3 years has been purely market-driven due to continuous outflows. Effective fee rate (EFR) compression and my expectation of the retirement-based soluti...
RiverNorthPhotography/iStock Unreleased via Getty Images Thesis T. Rowe Price Group, Inc. ( TROW ) saw accelerating institutional outflows in Q4 2025, due to which it missed earnings expectations. Assets under management (AUM) growth over the past 3 years has been purely market-driven due to continuous outflows. Effective fee rate (EFR) compression and my expectation of the retirement-based solutions offered by the target date franchise (TDF) to become a negative for net flows over the next decade combine for a flattish growth outlook. The company's strongest suit is its dividends, which are well covered and growing . However, the margin of safety is shrinking due to free cash flow growth stagnating. All of these factors lead me to give TROW a Hold rating, with a target price of $101.71. About the Company TROW is an asset management company that provides investment advisory services to both institutional and retail clients. The company's AUM stood at $1.80 trillion as of February 2026. TROW's AUM is primarily concentrated in equity, followed by multi-asset, fixed income, and alternatives. The firm is known for its active management approach, which has provided strong returns historically; however, the higher EFR commanded by this model is proving to be a headwind. TROW's TDF is among the industry's largest actively managed solutions and has partially helped reduce net outflows. The company is considered a dividend aristocrat, having consistently raised its dividend for almost the past 40 years. The quarterly dividend stands at $1.30/share, up 2.4% from the previous year. Net Outflows Are Becoming Increasingly Structural TROW has seen cumulative outflows of $272 billion since 2021. The firm's AUM growth for the past 3 years has been driven only by the market appreciation of its investments, masking continuous outflows. This is especially true for equity investments, which are the primary source of net outflows . Given that equity strategies tend to carry relatively h...