Core Insights - Amazon (AMZN) missed EPS estimates in its December-quarter report, but the business is performing well overall [1] - The market's negative reaction was primarily due to Amazon's significant capital spending plans for 2026, which raised concerns about the broader AI landscape and its potential impact on legacy technology earnings [1][2] Capital Expenditure Plans - Amazon plans to increase its capital expenditures to $200 billion in 2026, up from $132 billion in 2025 and $83 billion in 2024 [2] - This substantial increase in spending has led to concerns that 2026 capex may exceed operating cash flows, which modestly surpassed $132 billion in 2025 [2][3] Business Performance - Amazon's core businesses are thriving, particularly its cloud unit, Amazon Web Services (AWS), which saw a revenue increase of 24% in Q4 2025 compared to the previous year [4] - AWS backlog grew by 40% year-over-year to $244 billion, indicating strong demand [4] - In comparison, Google Cloud's revenue increased by 48% in Q4 2025, highlighting competitive momentum in the cloud sector [4] Market Context - Amazon shares have declined by 8.8% over the past year, underperforming the broader market's 15.8% gain and Alphabet's 74.1% rise [3] - The Magnificent 7 group, which includes Amazon, is projected to account for 26.6% of all S&P 500 earnings in 2026 and 33.5% of the index's market capitalization [9]

Core Insights - Amazon reported exceptionally strong Q4 results with quarterly revenue reaching $213.38 billion, a nearly 14% year-over-year increase from $187.79 billion, surpassing estimates of $211.45 billion [3] - The company experienced robust growth across all major business segments, including a 20% increase in advertising revenue to $21.32 billion and a 20% rise in AWS revenue to $35.6 billion [3] - Despite strong revenue growth, Amazon slightly missed earnings expectations with a net income of $21.2 billion, up 6% year-over-year, and adjusted earnings per share (EPS) of $1.95, which fell short of the expected $1.98 [4][16] Revenue and Earnings Performance - Amazon's annual sales for fiscal 2025 surpassed $700 billion for the first time, reaching $716.92 billion, a 12% increase from the previous year [9] - The company provided Q1 revenue guidance of $173.5-$178.5 billion, indicating an expected growth of 11-15%, with the upper end exceeding consensus expectations of $175.48 billion [9][10] - Amazon has surpassed top line expectations for six consecutive quarters, with an average sales surprise of 1.55% in its last four quarterly reports [5] Capital Expenditure and Valuation - Amazon announced a significant increase in capital expenditures, planning to spend $200 billion in 2026, a 53% increase from the $131 billion spent in the previous year, which led to a 10% drop in stock price [2][16] - The stock is currently trading at a forward P/E valuation of 28X, the lowest in the last decade, presenting a potential buying opportunity for long-term investors [2][17] Return on Invested Capital (ROIC) - Amazon's ROIC stands at 16%, which is below the desired level of 20% and the lowest among its peers in the Mag 7 hyperscalers, but it is still higher than the Zacks E-Commerce Market average of 15% [13] - The company is focusing on building infrastructure and AI capabilities, which is expected to enhance its ROIC in the long term [12][11] Conclusion - Despite a slight EPS miss and a substantial capital expenditure plan, Amazon's Q4 results indicate a strong acceleration in its core business segments, which could present an attractive opportunity for long-term investors [16]

Core Insights - Mettler-Toledo reported revenue of $1.13 billion for the quarter ended December 2025, reflecting an 8.1% increase year-over-year and surpassing the Zacks Consensus Estimate of $1.1 billion by 2.53% [1] - The company's EPS for the quarter was $13.36, up from $12.41 in the same quarter last year, exceeding the consensus EPS estimate of $12.76 by 4.67% [1] Revenue Breakdown - Net Sales- Products reached $856.96 million, exceeding the average analyst estimate of $839.62 million, representing a year-over-year increase of 6.9% [4] - Net Sales- Service totaled $272.77 million, surpassing the average estimate of $263.45 million, with an 11.9% increase compared to the previous year [4] - Net Sales- Retail amounted to $54.41 million, exceeding the average estimate of $49.53 million, showing a significant year-over-year growth of 24% [4] - Net Sales- Industrial was reported at $437.13 million, above the average estimate of $421.26 million, reflecting a 9.7% increase year-over-year [4] - Net Sales- Laboratory reached $638.2 million, slightly above the average estimate of $630.62 million, marking a 5.9% increase from the prior year [4] Stock Performance - Mettler-Toledo's shares have declined by 5.6% over the past month, while the Zacks S&P 500 composite has decreased by 1.5% during the same period [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]

Core Viewpoint - Coterra Energy's stock performance has been strong recently, with a notable increase over the past month, but upcoming earnings may show a decline in EPS despite a significant revenue increase [1][2]. Group 1: Stock Performance - Coterra Energy's stock was up 1.15% at $30.66, trailing the S&P 500's gain of 1.97% [1] - Over the last month, Coterra Energy's shares increased by 19.28%, outperforming the Oils-Energy sector's gain of 9.19% and the S&P 500's loss of 1.49% [1] Group 2: Earnings Report Expectations - Coterra Energy is set to release its earnings on February 26, 2026, with an anticipated EPS of $0.46, reflecting a 6.12% decrease from the same quarter last year [2] - Revenue is expected to reach $1.88 billion, indicating a 34.76% increase compared to the year-ago quarter [2] Group 3: Fiscal Year Projections - For the entire fiscal year, earnings are projected at $2.14 per share, representing a 27.38% increase from the prior year, while revenue is expected to be $7.52 billion, showing a 37.81% increase [3] - Recent modifications to analyst estimates indicate changing business trends, with positive revisions suggesting analyst optimism [3] Group 4: Analyst Ratings and Valuation - Coterra Energy currently holds a Zacks Rank of 5 (Strong Sell), with a 25.6% decline in the Zacks Consensus EPS estimate over the past month [5] - The company has a Forward P/E ratio of 15.53, which is higher than the industry's Forward P/E of 12.89, and a PEG ratio of 0.66 compared to the industry average of 2.43 [6] Group 5: Industry Context - The Oil and Gas - Exploration and Production - United States industry is ranked 225 in the Zacks Industry Rank, placing it in the bottom 9% of over 250 industries [7] - The strength of industry groups is measured by the Zacks Industry Rank, with top-rated industries outperforming the bottom half by a factor of 2 to 1 [8]

Company Performance - M-tron Industries, Inc. (MPTI) closed at $64.38, reflecting a +2.39% increase from the previous day, outperforming the S&P 500's gain of 1.97% [1] - Over the past month, MPTI shares experienced a loss of 0.6%, underperforming the Construction sector's gain of 7.04% and outperforming the S&P 500's loss of 1.49% [1] Upcoming Earnings - M-tron Industries is expected to report an EPS of $0.64, which represents a decline of 12.33% from the same quarter last year [2] - The consensus estimate for revenue is projected at $14 million, indicating a 9.29% increase compared to the previous year [2] Full Year Estimates - For the full year, analysts expect earnings of $2.36 per share and revenue of $54.05 million, reflecting changes of -10.94% and +10.28% respectively from last year [3] - Recent changes to analyst estimates may indicate near-term business trends, with positive revisions suggesting optimism regarding business and profitability [3] Valuation Metrics - M-tron Industries is currently trading at a Forward P/E ratio of 23.29, which is lower than the industry average of 24.47 [6] - The company has a PEG ratio of 0.83, compared to the Engineering - R and D Services industry's average PEG ratio of 1.92 [6] Industry Context - The Engineering - R and D Services industry, part of the Construction sector, holds a Zacks Industry Rank of 55, placing it in the top 23% of over 250 industries [7] - The Zacks Industry Rank measures the strength of industry groups, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [7]

Core Viewpoint - Halliburton reported a revenue of $5.66 billion for Q4 2025, marking a year-over-year increase of 0.8% and exceeding the Zacks Consensus Estimate by 4.64% [1] Financial Performance - Earnings per share (EPS) for the quarter was $0.69, slightly down from $0.70 a year ago, but surpassed the consensus estimate of $0.54 by 27.78% [1] - Halliburton's stock has returned +5.2% over the past month, while the Zacks S&P 500 composite has decreased by -1.5% [3] Revenue Breakdown - North America: $2.21 billion, slightly above the $2.13 billion estimate, with a year-over-year change of -0.3% [4] - Middle East/Asia: $1.46 billion, below the $1.47 billion estimate, with a year-over-year decline of -11.7% [4] - Europe/Africa/CIS: $928 million, exceeding the $841.88 million estimate, reflecting a +16.7% year-over-year increase [4] - Latin America: $1.07 billion, above the $1.02 billion estimate, with a year-over-year increase of +11.9% [4] Segment Performance - Drilling and Evaluation: Revenue of $2.39 billion, slightly above the $2.37 billion estimate, with a year-over-year change of -1.8% [4] - Completion and Production: Revenue of $3.27 billion, exceeding the $3.08 billion estimate, with a year-over-year increase of +2.8% [4] - Operating income for Completion and Production was $570 million, surpassing the $477.74 million estimate [4] - Operating income for Drilling and Evaluation was $367 million, slightly above the $365.42 million estimate [4] - Corporate and other reported an operating income of -$66 million, better than the -$68.85 million estimate [4]

Company Performance - Hasbro's stock closed at $93.84, down 1.67% from the previous trading session, underperforming the S&P 500 which gained 1.97% [1] - Prior to this trading day, Hasbro's shares had increased by 7.06%, outperforming the Consumer Discretionary sector's decline of 5.61% and the S&P 500's drop of 1.49% [1] Upcoming Earnings - Hasbro is set to release its earnings report on February 10, 2026, with an expected EPS of $0.99, indicating a 115.22% increase from the same quarter last year [2] - The consensus estimate for revenue is projected at $1.29 billion, reflecting a 16.93% rise from the equivalent quarter last year [2] Full-Year Estimates - The Zacks Consensus Estimates for Hasbro's full-year earnings are $5.02 per share and revenue of $4.54 billion, representing year-over-year changes of +25.19% and +9.86%, respectively [3] Analyst Forecast Revisions - Recent revisions to analyst forecasts for Hasbro are important as they reflect changes in short-term business dynamics, with positive revisions indicating analysts' confidence in the company's performance [4] Zacks Rank and Performance - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), shows Hasbro currently holds a rank of 3 (Hold), with a 0.21% increase in the EPS estimate over the last 30 days [6] Valuation Metrics - Hasbro's Forward P/E ratio is 17.51, which is a premium compared to the industry average of 12.2 [7] - The company has a PEG ratio of 1.71, while the average PEG ratio for the Toys - Games - Hobbies industry is 1.97 [7] Industry Context - The Toys - Games - Hobbies industry is part of the Consumer Discretionary sector and currently holds a Zacks Industry Rank of 227, placing it in the bottom 8% of over 250 industries [8]

Group 1 - ARKO Corp. closed at $6.64, with a +1.07% change, underperforming the S&P 500's 1.97% gain on the same day [1] - Over the past month, ARKO Corp. shares have appreciated by 41.6%, significantly outperforming the Consumer Staples sector's gain of 12.76% and the S&P 500's loss of 1.49% [1] Group 2 - ARKO Corp. is expected to report an EPS of -$0.01, which is a 66.67% improvement from the prior-year quarter, with a revenue estimate of $1.81 billion, down 9.03% from the prior-year quarter [2] - For the full year, earnings are projected at $0.13 per share and revenue at $7.66 billion, reflecting no change in earnings and a -12.26% decline in revenue from the previous year [3] Group 3 - Recent adjustments to analyst estimates for ARKO Corp. are important as they reflect short-term business trends, with positive revisions indicating a favorable outlook on business health and profitability [4] - The Zacks Rank system, which includes estimate changes, has a strong track record of outperforming, with stocks rated 1 producing an average annual return of +25% since 1988; ARKO Corp. currently holds a Zacks Rank of 3 (Hold) [5][6] Group 4 - ARKO Corp. has a Forward P/E ratio of 54.75, which is significantly higher than the industry average of 19.78, indicating that ARKO Corp. is trading at a premium [7] - The Consumer Products - Staples industry, part of the Consumer Staples sector, currently has a Zacks Industry Rank of 170, placing it in the bottom 31% of over 250 industries [7][8]

Core Viewpoint - Arbor Realty Trust (ABR) is experiencing a decline in share price and is expected to report lower earnings and revenue in the upcoming earnings disclosure [1][2][3]. Company Performance - Arbor Realty Trust closed at $7.80, reflecting a +1.69% change from the previous day, which is lower than the S&P 500's gain of 1.97% [1]. - Over the last month, the company's shares have decreased by 1.54%, slightly better than the Finance sector's loss of 1.57% but worse than the S&P 500's loss of 1.49% [1]. Earnings Expectations - The company is anticipated to report an EPS of $0.21, which represents a 47.5% decrease from the same quarter last year [2]. - Quarterly revenue is expected to be $221.71 million, down 15.66% from the previous year [2]. - For the full year, analysts project earnings of $1.08 per share and revenue of $925.71 million, indicating declines of 37.93% and 20.74%, respectively, from last year [3]. Analyst Estimates - Changes in analyst estimates for Arbor Realty Trust are crucial as they reflect short-term business trends [4]. - Positive revisions in estimates are viewed as a sign of optimism regarding the business outlook [4]. Valuation Metrics - Arbor Realty Trust is currently trading at a Forward P/E ratio of 7.72, which is a discount compared to the industry average Forward P/E of 7.85 [7]. - The REIT and Equity Trust industry is part of the Finance sector and currently holds a Zacks Industry Rank of 194, placing it in the bottom 21% of over 250 industries [7]. Zacks Rank - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), indicates that Arbor Realty Trust has a current rank of 5 (Strong Sell) [6]. - The Zacks Consensus EPS estimate has remained unchanged over the last 30 days [6].

Company Performance - RCM Technologies, Inc. (RCMT) experienced a decline of 1.1% in its stock price, closing at $19.83, underperforming the S&P 500 which gained 1.97% on the same day [1] - Over the past month, RCM Technologies' shares have depreciated by 0.25%, outperforming the Business Services sector's loss of 7.91% and the S&P 500's loss of 1.49% [1] Upcoming Earnings - The company is expected to report earnings per share (EPS) of $0.58, reflecting an increase of 18.37% from the same quarter last year [2] - Revenue is projected to be $81.9 million, indicating a 6.49% increase compared to the same quarter of the previous year [2] Full Year Estimates - For the full year, analysts expect earnings of $2.32 per share and revenue of $314.83 million, representing changes of +14.29% and +13.09% respectively from the previous year [3] Analyst Forecasts - Recent revisions to analyst forecasts for RCM Technologies are important as they reflect near-term business trends, with positive changes indicating analyst optimism regarding the company's profitability [4] Valuation Metrics - RCM Technologies has a Forward P/E ratio of 7.86, which is lower than the industry average Forward P/E of 14.45, suggesting that the company is trading at a discount [7] - The Staffing Firms industry, part of the Business Services sector, currently holds a Zacks Industry Rank of 201, placing it in the bottom 18% of over 250 industries [7]