Investors are misinterpreting what the future holds for this small business platform.Every software stock is getting tossed around by the market, either determined to be an artificial intelligence (AI) winner or an AI loser. Most are getting put into the AI loser camp, including Wix.com (WIX +4.09%). The website-building and small-business management platform is at risk of disruption from new zero-code tools like Claude, which enable people to build their own websites from scratch. Or, at least, that's how ...

Tesla just made a major decision signaling just how serious Elon Musk is taking the company's artificial intelligence (AI) ambitions.When Apple (AAPL +2.28%) introduced the iPhone in 2007, the company struck a chord. The idea of combining productivity features from its computers with music, photography, and other applications gave birth to a device no one knew they needed: a phone that is also an on-the-go, handheld computer.The iPhone has undoubtedly become a revolutionary product for Apple as the device t ...

Core Insights - The latest Form 13F filings indicate a decline in institutional investor confidence in quantum computing stocks, specifically IonQ, Rigetti Computing, and D-Wave Quantum [4][12][19] Industry Overview - Quantum computing is viewed as a potential trillion-dollar opportunity, with estimates suggesting it could generate $450 billion to $850 billion in global economic value by 2040, and possibly reach $1 trillion by 2035 [5][6] - The technology has promising applications, including AI algorithm training, cybersecurity improvements, and drug development simulations [6] Company Performance - Quantum computing stocks have shown impressive trailing 12-month (TTM) returns, with Rigetti Computing achieving over 6,200% TTM gain as of mid-October [2] - Despite early-stage wins and partnerships, such as Amazon's Braket service, institutional investors are pulling back from these stocks [7][9] Investment Trends - Institutional ownership in IonQ decreased from 57.35% to 54.71%, Rigetti from 50.71% to 48.45%, and D-Wave from 53.94% to 48.76% [12] - The aggregate number of shares held by 13F filers rose for IonQ but fell for Rigetti and D-Wave, indicating a complex investment landscape [14] Market Sentiment - The current market sentiment suggests that quantum computing stocks may be overvalued, with TTM price-to-sales ratios above 30 indicating potential bubble conditions [18] - Historical trends show that transformative technologies often face bubble-bursting events due to overestimation of adoption rates [16]

Some of the world's best investors recommend piling into gold right now, but diversification is the key to success.Gold's status as a store of value dates back thousands of years, which is why it's still considered legal tender in many U.S. states today. However, you would be hard-pressed to find someone using gold to buy everyday essentials right now, given how fast the price per ounce is rising.Gold soared in value by 64% in 2025, and it's already up by a further 18% in 2026. The S&P 500 (^GSPC +0.77%) st ...

IBM has everything Rigetti lacks -- free cash flow, GAAP profits, and profits that are growing.Is Rigetti Computing (RGTI +2.87%) stock a buy?Crunching the numbers last month, I concluded that Rigetti stock probably is not a buy, at least not in the short term, because a lack of new sales announcements of quantum computing systems implies the stock probably missed earnings in the fourth quarter.(We'll find out whether I was right about that in just a couple of weeks, when Rigetti reports its Q4 results on M ...

Core Viewpoint - Realty Income has experienced significant gains in 2023, emerging as one of the market's top dividend stocks after a period of underperformance [1][2] Company Overview - Realty Income is a leading real estate investment trust (REIT) that focuses on acquiring and leasing consumer-facing commercial properties, such as restaurants and retail stores [4] - The company is known as "The Monthly Dividend Company," with a current dividend yield of 4.9% and a history of raising dividends for over 31 consecutive years [5] Financial Performance - Realty Income's stock price is currently $66.45, with a market capitalization of $61 billion [7] - The stock has shown resilience, maintaining rental income during the pandemic and adjusting to post-pandemic inflation and interest rate hikes [7][9] Dividend Stability - The company's dividend remains a cornerstone of its success, supported by a healthy payout ratio of 76% and a strong A- credit rating, indicating a secure dividend outlook [11] Growth Prospects - Realty Income is diversifying its portfolio beyond retail, acquiring properties in casino gaming and data centers, and expanding into European markets [12] - The stock is trading at a reasonable valuation of 15 to 16 times funds from operations, suggesting potential for future growth [12]

Core Viewpoint - Investors are increasingly favoring established companies like Coca-Cola for passive income amid market uncertainty, but Campbell's is presented as a more attractive investment option due to its valuation and dividend yield [1][2]. Coca-Cola - Coca-Cola has a strong history of increasing dividends for 64 consecutive years, currently offering a yield of 2.6% [1]. - The stock price of Coca-Cola increased by 12.3% in 2025 and is up 14.2% year-to-date, significantly outperforming the S&P 500's return of 0.9% [2]. - Coca-Cola's market cap stands at $347 billion, with a gross margin of 61.75% and a dividend yield of 2.53% [8][9]. - The company remains heavily reliant on its soft drink products, which accounted for 69% of its worldwide case volume in 2025, with its trademark cola making up 42% of U.S. unit case volume [6][7]. Campbell's - Campbell's is diversified beyond soup, owning various meal and snack brands, and is focusing on health-conscious products [4]. - The current market cap for Campbell's is $8.1 billion, with a gross margin of 29.84% and a dividend yield of 5.72% [5][6]. - Campbell's has a forward price-to-earnings ratio of 11.1, significantly lower than Coca-Cola's 24.7, indicating it is undervalued [9]. - The company has maintained or raised its dividend every year since 2002, currently yielding 5.8%, which is substantially higher than Coca-Cola's yield [13][14]. - Despite challenges in passing costs to consumers, Campbell's generates sufficient free cash flow to cover its dividend, with a payout ratio similar to Coca-Cola's [11].

Group 1: Stock Splits and Market Position - Netflix completed a 10-for-1 stock split in November and is currently 43% below its record high [1] - ServiceNow completed a 5-for-1 stock split in December and is currently 56% below its record high [1] - Analysts believe both stocks are undervalued, with expectations of substantial gains [1][2] Group 2: Netflix Overview - Netflix is the leading streaming service with the most subscribers and accounts for a significant percentage of television viewing time [4] - The streaming video market is projected to grow at 22% annually through 2030 [4] - Netflix has differentiated itself with original content, leveraging user data for content development [5] - The company made an all-cash bid for Warner Bros. Discovery's streaming and studio business for $83 billion, which may increase debt and impact cash flow [6] - The acquisition could provide rights to major franchises, potentially driving long-term growth [7] - Wall Street expects Netflix's earnings to grow at 22% annually over the next three years, making its current valuation of 30 times earnings attractive [8] Group 3: ServiceNow Overview - ServiceNow serves as an enterprise control tower, integrating workflows across various departments [10] - The company is recognized as a leader in business orchestration and automation technologies [10] - ServiceNow reported a 20% revenue increase to $3.5 billion and a 26% increase in non-GAAP net income to $0.92 per diluted share [12] - The company has added generative AI capabilities to its software, enhancing its position in IT software [11] - Wall Street expects adjusted earnings to increase by 19% in 2026, making its current valuation of 29 times earnings attractive [12] - More than 85% of Fortune 500 companies use ServiceNow, reducing the likelihood of widespread disruption from AI tools [12] Group 4: Analyst Target Prices - Vikram Kesavabhotla at Baird values Netflix at $150 per share, implying a 95% upside from its current price of $77 [9] - The median target price among 49 analysts for Netflix is $111 per share, indicating a 44% upside [9] - Keith Weiss at Morgan Stanley values ServiceNow at $210 per share, implying a 103% upside from its current price of $103 [9] - The median target price among 47 analysts for ServiceNow is $180 per share, suggesting a 75% upside [9]

Core Insights - Amazon's shares are currently 19% off their peak, attracting investor interest for potential buying opportunities in 2026 [1] - Over the past decade, Amazon's stock has increased by 632%, indicating strong long-term growth despite recent volatility [1] Financial Performance - Amazon Web Services (AWS) generated $129 billion in revenue last year, significantly outpacing competitors, and contributed $46 billion in operating income, accounting for 66% of Amazon's total [3][4] - Revenue from online and physical stores grew over 9% year over year to $88.9 billion in Q4 2025, with the North America segment achieving a 9% operating margin, up from 8% the previous year [5] Strategic Positioning - AWS is well-positioned to capitalize on the growing demand for artificial intelligence (AI) tools and applications, enhancing its market share in the cloud computing sector [4][5] - Amazon is focusing on expanding its grocery business, having sold over $150 billion in groceries last year and planning to open more than 100 new Whole Foods Market stores in the coming years [6] Valuation Metrics - Amazon's market capitalization stands at $2.2 trillion, with net sales of $717 billion in 2025, indicating its status as a major player in the market [8] - The current price-to-earnings ratio is 28.3, one of the lowest in the past decade, suggesting that the stock is attractively valued for potential investors [9]

Core Viewpoint - Nvidia's upcoming fiscal fourth-quarter results and guidance for fiscal 2027 are highly anticipated, with a focus on its pricing power and gross margin performance [1][9]. Group 1: Nvidia's Market Position - Nvidia has established itself as a leader in the AI revolution, with its GPUs dominating enterprise data centers, leading to a share price increase of approximately 1,200% since the beginning of 2023 [2]. - The company has consistently exceeded Wall Street's sales and profit forecasts, indicating strong market performance [2]. Group 2: Gross Margin Importance - Gross margin is a critical metric for assessing Nvidia's fourth-quarter performance and fiscal 2027 outlook, with expectations for it to remain high [4][9]. - Nvidia's gross margin has risen from the low-to-mid 60% range to an estimated 74.8% for the fiscal fourth quarter, reflecting strong pricing power [8]. Group 3: Factors Supporting Pricing Power - Two main factors contribute to Nvidia's pricing power: superior GPU capabilities compared to competitors and a significant demand-supply imbalance in the GPU market [5][6]. - The Hopper (H100), Blackwell, and Blackwell Ultra GPUs are seen as premium products, allowing Nvidia to command higher prices [5]. Group 4: Competitive Pressures - If Nvidia's gross margin guidance for fiscal 2027 falls to the low 70% range or below, it may indicate competitive pressures from rivals like AMD, which offer cheaper and more readily available GPUs [11]. - Other major tech companies are developing their own GPUs or AI solutions, which could impact Nvidia's market share and pricing power in the future [12]. Group 5: Strategic Partnerships - Nvidia's recent expansion of a multiyear GPU agreement with Meta Platforms may alleviate some competitive concerns, but the potential easing of GPU scarcity could negatively affect its pricing power [13].