Core Insights - Amdocs Limited is set to release its fourth-quarter earnings results on November 11, with expected earnings of $1.82 per share, an increase from $1.70 per share in the same quarter last year [1] - The consensus estimate for quarterly revenue is $1.15 billion, down from $1.26 billion a year earlier [1] Company Developments - On September 10, Amdocs signed a multi-year agreement to enhance its managed transformation initiative utilizing its AI offerings [2] Stock Performance - Amdocs shares increased by 1.1%, closing at $85.49 on Monday [3] Analyst Ratings - Wolfe Research analyst George Notter initiated coverage with an Outperform rating [8] - Oppenheimer analyst Timothy Horan maintained an Outperform rating and raised the price target from $98 to $105 [8] - Stifel analyst Shlomo Rosenbaum initiated coverage with a Buy rating and a price target of $100 [8] - Citigroup analyst Ashwin Shirvaikar maintained a Buy rating but reduced the price target from $105 to $100 [8] - Baird analyst William Power maintained a Neutral rating and cut the price target from $97 to $90 [8]

Core Insights - U.S. stock futures are trading mixed, indicating varied investor sentiment in the market [1] Company Summaries - Sea Ltd. (NYSE:SE) is expected to report quarterly earnings of 77 cents per share on revenue of $5.65 billion, with shares rising 2.7% to $159.20 in after-hours trading [2] - Outset Medical Inc. (NASDAQ:OM) reported a quarterly loss of 69 cents per share, missing the consensus estimate of 66 cents, and sales of $29.431 million, below the expected $30.880 million, leading to a 23.4% drop in shares to $9.25 [2] - Amdocs Ltd. (NASDAQ:DOX) is anticipated to post earnings of $1.82 per share on revenue of $1.15 billion, with shares slightly increasing by 0.1% to $85.61 in after-hours trading [2] - LivePerson Inc. (NASDAQ:LPSN) exceeded expectations with its third-quarter results and raised its FY25 sales guidance to $235 million to $240 million, up from $230 million to $240 million, resulting in a 16.4% increase in shares to $6.10 [2] - Cae Inc. (NYSE:CAE) is expected to report earnings of 14 cents per share on revenue of $823.11 million, with shares rising 0.1% to close at $27.22 [2]

Core Insights - Amdocs (DOX) is expected to report quarterly earnings of $1.82 per share, a 7.1% increase year-over-year, while revenues are forecasted to decline by 9.6% to $1.14 billion [1] - The consensus EPS estimate has remained stable over the past 30 days, indicating analysts have reassessed their initial projections [1][2] Revenue Estimates - Managed Services Revenue is estimated at $744.28 million, reflecting a year-over-year increase of 3.2% [4] - North America revenue is projected to be $747.81 million, indicating a decline of 10.5% year-over-year [4] - Revenue from the Rest of the World is expected to reach $220.41 million, down 9.7% from the previous year [4] - European revenue is forecasted at $172.12 million, showing a decrease of 6.5% compared to the same quarter last year [5] Stock Performance - Over the past month, Amdocs shares have gained 2%, outperforming the Zacks S&P 500 composite, which increased by 1.3% [5] - Amdocs holds a Zacks Rank 3 (Hold), suggesting its performance will likely align with the overall market in the near term [5]

Core Insights - Amdocs (DOX) and CoStar Group (CSGP) are both considered attractive stocks in the Computers - IT Services sector, but a deeper analysis is needed to determine which is more appealing to value investors [1][3] Valuation Metrics - Both Amdocs and CoStar Group currently hold a Zacks Rank of 2 (Buy), indicating positive earnings estimate revisions for both companies [3] - Amdocs has a forward P/E ratio of 11.03, significantly lower than CoStar Group's forward P/E of 91.89, suggesting Amdocs may be undervalued [5] - The PEG ratio for Amdocs is 1.25, while CoStar Group's PEG ratio is 2.18, further indicating Amdocs offers better value based on expected EPS growth [5] - Amdocs has a P/B ratio of 2.67 compared to CoStar Group's P/B of 3.8, reinforcing the notion that Amdocs is the superior value option [6] - Amdocs has a Value grade of A, while CoStar Group has a Value grade of F, highlighting the disparity in their valuation metrics [6]

Core Insights - The Zacks Premium service provides tools for investors to enhance their stock market engagement and confidence, including daily updates, research reports, and stock screens [1] Zacks Style Scores - Zacks Style Scores are indicators designed to help investors select stocks likely to outperform the market within 30 days, rated from A to F based on value, growth, and momentum [2] - The Style Scores consist of four categories: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6] Value Score - The Value Score identifies attractive and discounted stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, appealing to value investors [3] Growth Score - The Growth Score emphasizes a company's financial strength and future outlook, analyzing projected and historical earnings, sales, and cash flow to find stocks with sustainable growth [4] Momentum Score - The Momentum Score focuses on trends in stock prices and earnings outlooks, using factors like one-week price changes and monthly earnings estimate changes to identify high-momentum stocks [5] VGM Score - The VGM Score combines the three Style Scores to highlight companies with the best value, growth forecasts, and momentum, serving as a strong indicator alongside the Zacks Rank [6] Zacks Rank - The Zacks Rank is a proprietary stock-rating model based on earnings estimate revisions, with 1 (Strong Buy) stocks achieving an average annual return of +23.81% since 1988, significantly outperforming the S&P 500 [7][8] Stock Selection Strategy - For optimal returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B, while 3 ranked stocks should also have A or B scores for potential upside [10] - The direction of earnings estimate revisions is crucial; stocks with lower ranks (4 or 5) may still have good Style Scores but are likely to decline in price [11] Company Spotlight: Amdocs Limited - Amdocs Limited (DOX) is a leading provider of customer care, billing, and order management systems, currently holding a Zacks Rank of 2 (Buy) and a VGM Score of B [12] - Amdocs has a Value Style Score of B, supported by a forward P/E ratio of 11.01, making it attractive to value investors [12] - Recent earnings estimates for fiscal 2025 have been revised higher, with the Zacks Consensus Estimate increasing by $0.01 to $6.98 per share, and an average earnings surprise of +1.5% [13]

Core Insights - Amdocs will participate in several investor conferences in the first quarter of fiscal 2026, showcasing its commitment to engaging with investors and stakeholders [1] Conference Participation - Amdocs will attend the Wells Fargo 9th Annual TMT Summit on November 18, 2025, featuring a fireside chat and investor meetings with key executives [1] - The company will also be present at the 6th Annual Needham Tech Week on November 20-21, 2025, with investor meetings scheduled [1] - On December 3, Amdocs will participate in the UBS Global Technology & AI Conference, where the CFO & COO will meet with investors [1] - The Raymond James TMT & Consumer Conference on December 8 will also include investor meetings with Amdocs representatives [1] - Finally, Amdocs will attend the 53rd Annual Nasdaq Investor Conference on December 10, featuring a fireside chat and investor meetings with the President & CEO [1] Company Overview - Amdocs is a leading provider of software and services for communications and media companies, focusing on unlocking innovative potential for its customers [1] - The company aims to empower clients to deliver next-generation communication and media experiences for both individual users and large enterprises [1]

Group 1: Fund Performance - Palm Valley Capital Fund appreciated 2.35% in Q3 2025, underperforming compared to a 9.11% gain for the S&P SmallCap 600 and a 7.99% rise in the Morningstar Small Cap Total Return Index [1] - The Fund's investment in cash equivalents increased from 73.5% to 74.1% by the end of the quarter [1] - Small-cap stocks outperformed large caps during the period due to anticipated Fed easing and reduced tariff concerns [1] Group 2: Amdocs Limited (NASDAQ:DOX) - Amdocs Limited is a software and services provider for communications, entertainment, and media service providers, with a market capitalization of $9.066 billion [2] - Amdocs' one-month return was -1.75%, and its shares lost 6.47% over the last 52 weeks [2] - The Fund's position in Amdocs negatively impacted performance by more than 10 basis points in Q3, despite steady gains in operating income [3] Group 3: Amdocs' Business Strategy - Amdocs experienced a decline in top-line revenue due to the intentional disposition of no-margin, non-core businesses [3] - The valuation for Amdocs has increased reliably over the years, supported by its operating stability and strong competitive position [3] - Amdocs is not among the 30 Most Popular Stocks Among Hedge Funds, with 34 hedge fund portfolios holding its stock at the end of Q2, up from 27 in the previous quarter [4]

Core Insights - Amdocs (DOX) and CoStar Group (CSGP) are both considered for investors looking for undervalued stocks in the IT Services sector [1] - The Zacks Rank system indicates both companies have a rank of 2 (Buy), suggesting positive earnings outlooks [3] Valuation Metrics - DOX has a forward P/E ratio of 10.85, while CSGP has a significantly higher forward P/E of 96.22 [5] - The PEG ratio for DOX is 1.23, compared to CSGP's PEG ratio of 2.26, indicating DOX may be more reasonably valued relative to its expected earnings growth [5] - DOX's P/B ratio is 2.62, while CSGP's P/B ratio is 4, further supporting the argument that DOX is undervalued [6] Value Grades - Based on the valuation metrics, DOX has earned a Value grade of B, whereas CSGP has received a Value grade of F [6] - The analysis suggests that despite both companies having solid earnings outlooks, DOX is currently the superior value option [7]

Group 1: Hormel Foods Corp. - Hormel Foods Corp. is known for its products like ham and bacon, but it owns around 40 brands and sells in approximately 80 countries [4] - The stock experienced a 17% decline in the third quarter due to rising costs for pork and beef, which are impacting profit margins [4] - At a recent price of about $25, the stock trades at 1.1 times revenue and 2.7 times book value, which are considered attractive multiples [4][5] - Despite Wall Street's lack of enthusiasm, with only two out of twelve analysts rating it a "buy," the company has a strong historical record, having never posted a loss since going public in 1928 [5] Group 2: Amdocs Ltd. - Amdocs Ltd. provides software and services primarily to communications and entertainment companies, with a significant historical reliance on AT&T as a customer [6] - The stock fell over 9% in the latest quarter, but six out of seven analysts covering it recommend buying [6] - Revenue decreased by about 3% over the past year due to shedding low-margin businesses, while earnings increased [7] Group 3: Eastman Chemical Co. - Eastman Chemical Co. shares fell 17% in the recent quarter, attributed to signs of a slowing economy [10] - Insider purchases were noted, with the CEO and CFO increasing their stakes, indicating confidence in the company's long-term prospects [9] Group 4: LKQ Corp. - LKQ Corp. recycles auto parts and operates around 1,500 high-tech junkyards in the U.S. and Europe [11] - The stock declined nearly 17% in the past quarter, with sales and earnings missing expectations, particularly in European operations [12] - The expectation is that rising car prices in the U.S. due to tariffs may lead consumers to keep their cars longer, benefiting the recycled-parts business [11] Group 5: Ingredion Inc. - Ingredion Inc. produces ingredients for foods and beverages, with a focus on sweeteners [13] - Despite a revenue dip in the past year, earnings remained strong, yet the stock fell 9% last quarter [13] - The company has achieved a return on stockholders' equity of 15% in 11 of the past 15 years, and the stock is considered cheap at 12 times earnings [13]

Core Insights - Amdocs Ltd (NASDAQ:DOX) is identified as a promising investment opportunity in the AI sector, particularly following a recent agreement with Optimum to utilize its AI solutions [1][5]. Group 1: Agreement Details - Optimum has signed a multi-year agreement to leverage Amdocs' amAlz Suite, a telecommunications-grade AI platform, to implement new solutions such as AI-powered Bill Presenter and Gen AI Care Agent [2]. - This integration aims to modernize Optimum's billing infrastructure and address challenges associated with its legacy systems [2]. Group 2: Market Demand and Strategy - The agreement highlights the increasing demand for Amdocs' solutions, driven by the need for smart and scalable operations in the telecommunications sector [3][4]. - Amdocs' AI-powered solutions are designed to simplify complexity, accelerate innovation, and create long-term business value for clients like Optimum [4]. Group 3: Technological Collaboration - Amdocs has partnered with NVIDIA to develop and deploy advanced AI solutions, utilizing NVIDIA's infrastructure and models to enhance its AI offerings [4].