Core Insights - Broadcom (AVGO) shares have increased by 60% over the past 12 months, significantly outperforming the Zacks Computer and Technology sector's return of 25.2% and the Zacks Electronics – Semiconductors industry's return of 53.2% [1] Group 1: Financial Performance - AVGO's gross margin guidance for fiscal 2026 is soft due to a higher mix of AI revenues, a sequential decline in non-AI semiconductor revenues, and modest growth expectations for the Infrastructure Software segment [4] - The Zacks Consensus Estimate for fiscal 2026 earnings is $10.25 per share, indicating a 50.3% growth from fiscal 2025, with revenues expected to reach $95 billion, suggesting a 48.7% growth [10] - For the first quarter of fiscal 2026, earnings are estimated at $2.03 per share, reflecting a 26.9% growth year-over-year, with revenues projected at $19.27 billion, indicating a 29.2% growth [11] Group 2: Competitive Landscape - AVGO faces strong competition from NVIDIA, AMD, and Skyworks, with NVIDIA benefiting from demand for its Hopper and Blackwell architectures, and AMD seeing growth from its EPYC and Instinct processors [5] - Skyworks is experiencing increased demand across edge IoT, automotive, and infrastructure markets, further intensifying competition for AVGO [5] Group 3: Growth Drivers - Broadcom's growth prospects are bolstered by rising AI revenues, with expectations for fiscal 2026 AI revenues to double to $8.2 billion, supported by a backlog exceeding $10 billion [6][7] - The company has launched innovative products, including the first Wi-Fi 8 silicon solutions and next-generation BCM4918 processing units, enhancing its portfolio in broadband and 5G infrastructure [8] - AVGO's networking portfolio is benefiting from strong demand for Tomahawk 6 products and has a rich partner base that includes major companies like OpenAI, Walmart, and NVIDIA [9] Group 4: Valuation and Investment Outlook - AVGO shares are trading at a premium valuation, with a forward price/sales ratio of 14.71X, compared to the sector's 6.47X and the industry's 8.36X [12] - Despite margin headwinds, Broadcom's expanding AI portfolio and strong partner relationships indicate solid top-line growth potential, justifying the premium valuation [15] - Broadcom currently holds a Zacks Rank 2 (Buy), suggesting that investors should consider accumulating the stock [16]

Key Takeaways SJM expects sales growth driven by Hostess Brands and steady demand across core lines. Pricing actions and distribution gains are supporting revenue momentum.Earnings may decline as green coffee costs and higher expenses weigh on margins.The J. M. Smucker Company (SJM) is likely to witness top-line growth when it reports third-quarter fiscal 2026 earnings on Feb. 26. The Zacks Consensus Estimate for revenues is pegged at $2.3 billion, indicating a roughly 6% increase from the prior-year quarte ...

Key Takeaways Blue Bird Corporation will buy Girardin Group's stake in Micro Bird for about $200 million.BLBD will unify North American operations and broaden its Type A, C and D bus lineup.Blue Bird plans to expand its shuttle bus market and add Steve Girardin to its board.Blue Bird Corporation (BLBD) , a leader in electric and low-emission school buses, has entered into an agreement to acquire Girardin Group’s stake in the 50/50 Micro Bird joint venture in order to gain full ownership of the business. The ...

Key Takeaways PSKY is slated to report Q4 results on Feb. 25, with the Zacks Consensus Estimate pegged at $8.17B in revenue.PSKY's DTC segment is expected to sustain momentum on strong CBS and Paramount content.PSKY's unsolicited all-cash tender offer for WBD was rejected, adding complexity to the quarter.Paramount Skydance Corporation (PSKY) is scheduled to report its fourth-quarter 2025 results on Feb. 25.The Zacks Consensus Estimate for PSKY’s fourth-quarter revenues is currently pegged at $8.17 billion, ...

Key Takeaways CRWD integrated Falcon Shield with Qualtrics to expand SaaS security into sensitive business apps.CrowdStrike made Falcon available on Microsoft Marketplace, easing cloud procurement and deployment.CRWD's deals with NordVPN and Aramco extend its platform into consumer security and critical infrastructure.CrowdStrike Holdings (CRWD) is using partnerships to support growth and expand its reach. The company’s recent partnerships with Qualtrics, Microsoft, NordVPN and Saudi Aramco demonstrate how ...

Key Takeaways Walmart U.S. delivered 4.6% comp sales growth in Q4 and FY26, excluding fuel. Growth was driven by higher traffic, ticket gains, and strength in grocery and pharmacy. Management guides 3.5%-4.5% FY27 sales growth, testing sustainability of mid-single-digit comps.Walmart Inc. (WMT) ended fiscal 2026 with solid momentum in its Walmart U.S. segment, reporting fourth-quarter comp sales growth of 4.6%, excluding fuel. Fiscal 2026 also delivered 4.6% comp growth on an excluding fuel basis, following ...

Key Takeaways Rocket folds Redfin and Mr. Cooper into an origination-to-servicing platform aimed at the next upturn.RKT targets $540M cost synergies plus $100M revenue lift from Mr. Cooper recapture gains.Rocket sees Q4 2025 adj. revenue $2.1-$2.3B, but expenses near $2.3B may delay leverage.Rocket Companies, Inc. (RKT) is increasingly a story about operating leverage rather than just mortgage volumes. With Redfin and Mr. Cooper folded into an end-to-end origination-to-servicing platform, the company is pos ...

Core Viewpoint - NuScale Power is expected to report a significant decline in fourth-quarter revenues for 2025, with a projected loss per share, reflecting ongoing challenges in the competitive energy market [1][4][24]. Financial Performance - The Zacks Consensus Estimate for fourth-quarter revenues is $7.17 million, indicating a decline of 79.1% from $34.22 million in the same quarter last year [1]. - The estimated loss per share for the fourth quarter is 10 cents, unchanged over the past 60 days, compared to earnings of 60 cents per share in the year-ago quarter [1][2]. Market Position and Demand - NuScale Power is a leader in small modular reactor technology, with a focus on expanding its portfolio and market presence [7]. - The company is likely to benefit from increasing demand for clean energy, particularly from AI data centers and the global shift towards sustainable energy solutions [8][21]. - The partnership with ENTRA1 Energy is crucial, as it allows NuScale to provide power modules for energy production plants, enhancing scalability and reducing risks [9][21]. Strategic Developments - NuScale Power is advancing its projects, including a significant agreement with the Tennessee Valley Authority (TVA) to deploy up to 6 gigawatts of SMR technology, marking the largest small modular reactor program in the U.S. [11]. - The RoPower project in Romania is also progressing, with steady revenues expected from the completion of the front-end engineering design study [12]. Stock Valuation and Performance - NuScale Power shares have decreased by 27.2% over the past year, underperforming the Zacks Electronics - Power Generation industry, which declined by 17.7% [13]. - The stock trades at a forward price-to-sales (P/S) ratio of 23.13X, significantly higher than the industry average of 6.75X and its peers [17][20]. Competitive Landscape - Despite advancements, NuScale Power faces increasing competition from companies like Constellation Energy, BWX Technologies, and GE Vernova, which could impact its market share [22][25]. - Recent strategic partnerships by competitors, such as GE Vernova and Xcel Energy, highlight the competitive pressures in the energy sector [23].

Here are three stocks with buy rank and strong momentum characteristics for investors to consider today, February 23:Constellium SE (CSTM) : This aluminum manufacturing company has a Zacks Rank #1 and witnessed the Zacks Consensus Estimate for its current year earnings increasing 20.6% over the last 60 days.Constellium's shares gained 63.7% over the last three months compared with the S&P 500’s decline of 3.7%. The company possesses a Momentum Score of A.Nova Ltd. (NVMI) : This semiconductor equipment compa ...

Key Takeaways Lumentum benefits from structural AI data center demand and an expanding optical portfolio.ASYS is gaining AI packaging traction but remains pressured by weak non-AI demand.LITE's EPS estimates are trending higher, while ASYS' estimates are moving lower.Lumentum (LITE) and Amtech Systems (ASYS) operate within the semiconductor value chain, supplying critical technologies that enable advanced electronics manufacturing. Lumentum delivers optical and photonic components embedded in AI-driven data ...