Company Overview - Ouster, Inc. (OUST) shares increased by 14.5% to $28.3 in the last trading session, with a notable trading volume, and have gained 24.2% over the past four weeks [1] - Ouster is experiencing growth due to the rising adoption of LiDAR technology in various sectors including automotive, industrial, robotics, and smart infrastructure [1] Financial Performance - Ouster is projected to report a quarterly loss of $0.48 per share, reflecting a year-over-year change of +9.4%, with expected revenues of $34 million, up 26% from the previous year [2] - The consensus EPS estimate for Ouster has remained unchanged over the last 30 days, indicating that stock price movements may not sustain without trends in earnings estimate revisions [3] Industry Comparison - Ouster is part of the Zacks Electronics - Miscellaneous Components industry, where TE Connectivity (TEL) has a consensus EPS estimate of $2.07, showing a year-over-year change of +8.4% [3][4] - TE Connectivity's stock finished the last trading session down 0.4% at $175.44, with a return of 6.5% over the past month [3]

Market Overview - The broader equity markets have shown a steady uptrend as investors remain optimistic despite tariff threats from President Trump on 14 countries, including Japan and South Korea [1] - Investors are hopeful for a mutually beneficial solution to avoid market turmoil as they look forward to a busy earnings season [1][2] Trade Relations - Positive discussions between U.S.-China diplomats regarding trade tariffs and potential peace talks between U.S. officials and Iran have contributed to market stability [2] - Investors are awaiting clarity on interest rate cuts with inflation data expected to be released soon [2] Investment Strategy - Investors are advised to focus on "cash cow" stocks that provide higher returns, emphasizing the importance of attractive efficiency ratios like return on equity (ROE) [3] - High ROE indicates effective reinvestment of cash at a high rate of return, distinguishing profitable companies from less efficient ones [4][5] Stock Screening Parameters - Stocks are screened based on criteria including cash flow greater than $1 billion and ROE exceeding industry averages [6] - Additional metrics include Price/Cash Flow lower than industry average and Return on Assets (ROA) greater than industry average [7] Featured Stocks - **Walt Disney**: Long-term earnings growth expectation of 11.8% with a trailing four-quarter earnings surprise of 16.4% on average, Zacks Rank 2 [8][9] - **TE Connectivity**: Long-term earnings growth expectation of 9.8% with a trailing four-quarter earnings surprise of 3.3% on average, Zacks Rank 2 [10][11] - **Fortinet**: Long-term earnings growth expectation of 13.4% with a trailing four-quarter earnings surprise of 23.8% on average, Zacks Rank 2 [12][13] - **Banco Bilbao**: Long-term earnings growth expectation of 5.5% with a trailing four-quarter earnings surprise of 6.3% on average, Zacks Rank 1 [13][14] - **Colgate-Palmolive**: Long-term earnings growth expectation of 5.2% with a trailing four-quarter earnings surprise of 4% on average, Zacks Rank 2 [14][15]

Investment Ratings - Amphenol (APH) is rated as Buy with a target price of $115 based on a 35x P/E multiple for F24M EPS [1][49][51] - TE Connectivity (TEL) is upgraded to Buy with a target price of $200 based on a 20x P/E multiple for F24M EPS [1][57][60] Core Insights - The report maintains a constructive outlook on the connector industry, driven by solid demand fundamentals and increased electrification across various end markets [9][58] - Recent stabilization in automotive market production and improving industrial demand are key factors for the upgrade of TEL to Buy [1][9] - Amphenol is expected to benefit from AI-led demand and a balanced end market exposure, while TEL is positioned for margin expansion due to improved industrial demand [1][33][58] Summary by Sections Amphenol (APH) - APH is a leading manufacturer in the connector market with a diversified end market exposure, including industrial (23%), automotive (17%), and IT data communications (37%) [49][50] - The company is expected to see above-market sales and earnings growth driven by technology hardware spending and AI infrastructure [50][51] - The target price of $115 reflects a premium to its historical P/E multiple, indicating strong growth potential [51][52] TE Connectivity (TEL) - TEL is the largest electronics connector company, with a significant portion of its revenue (40%) coming from the automotive sector [56][57] - The company is expected to benefit from stabilizing automotive trends and improving industrial demand, with a strong balance sheet supporting its growth [58][60] - The target price of $200 is based on a valuation that aligns with its long-term median P/E, reflecting its market position and growth prospects [60] Market Trends - The connector market is anticipated to show continued momentum in 2025, supported by growth in IT Datacom and industrial automation spending [58] - The automotive market is stabilizing, which is crucial for TEL as it represents a significant revenue source [9][58] - AI demand is expected to ramp up, particularly in the data center segment, which is beneficial for both APH and TEL [15][58]

Core Viewpoint - Telenor has announced the acquisition of GlobalConnect's consumer business in Norway for NOK 6.0 billion, aiming to strengthen its position in the Norwegian fibre market [1][3]. Group 1: Strategic Importance - The acquisition includes fibre infrastructure and approximately 140,000 fibre customers, serving as a key component in Telenor's long-term strategy to enhance its fibre footprint in Norway [3][5]. - Telenor's market share of fibre subscriptions is expected to increase from 22% to 29% as a result of this transaction, based on 2024 NKOM data [7]. Group 2: Customer and Employee Benefits - Customers will gain access to a variety of services, including advanced digital security and premium home networks, supported by Telenor's high-quality connectivity [4][5]. - Telenor emphasizes its commitment to continued investments in fraud prevention, secure WiFi, and digital protection, enhancing the overall customer experience [4]. Group 3: Financial Aspects - GlobalConnect's consumer portfolio generated revenues exceeding NOK 0.6 billion in 2024, with Telenor expecting an EBITDA of around NOK 0.3 billion in each of the first two years post-integration [8]. - Annual post-integration cost savings are estimated at approximately NOK 0.15 billion, driven by efficiencies in sales, operations, and maintenance [9]. - Integration capital expenditures are projected to be around NOK 0.3 billion from 2026 to 2028, primarily incurred in the first two years [9].

Group 1 - Telenor Group will announce its results for the second quarter of 2025 on July 18, 2025, at 0900 CET / 0800 UKT [1] - The results presentation will be available via Webcast only, with no live Q&A participation [1] Group 2 - A separate press meeting for media will take place at 10.30 CET in Telenor Expo, Fornebu [2] - The media session will be conducted in Norwegian [2] - RSVP for the media session can be done via email to thomas.midteide@telenor.com [2]

Group 1 - TE Connectivity plc announced a quarterly cash dividend of $0.71 per ordinary share, payable on September 12, 2025, to shareholders of record on August 22, 2025 [1] - The company is a global industrial technology leader focused on creating a safer, sustainable, productive, and connected future [2] - TE Connectivity offers a wide range of connectivity and sensor solutions that support various sectors including transportation, energy networks, automated factories, data centers, and medical technology [2] Group 2 - The company employs over 85,000 individuals, including 9,000 engineers, and operates in approximately 130 countries [2] - TE Connectivity emphasizes the importance of connectivity in its operations, encapsulated in the motto "EVERY CONNECTION COUNTS" [2]

Group 1: Zacks Premium and Style Scores - Zacks Premium offers various tools for investors, including daily updates on Zacks Rank and Industry Rank, access to the Zacks 1 Rank List, Equity Research reports, and Premium stock screens to enhance investment confidence [1][2] - Zacks Style Scores are complementary indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform the market in the next 30 days [2][3] Group 2: Style Score Categories - The Value Score focuses on identifying undervalued stocks by analyzing ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] - The Growth Score assesses a company's financial strength and future outlook by examining projected and historical earnings, sales, and cash flow [4] - The Momentum Score evaluates trends in stock price and earnings outlook, using factors like one-week price change and monthly earnings estimate changes to identify high-momentum stocks [5] - The VGM Score combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and promising momentum, serving as a useful indicator alongside the Zacks Rank [6] Group 3: Zacks Rank and Performance - The Zacks Rank is a proprietary stock-rating model that leverages earnings estimate revisions to assist investors in building successful portfolios [7] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 that also have Style Scores of A or B to maximize returns [9] Group 4: TE Connectivity Overview - TE Connectivity is a global technology company specializing in connectivity and sensor solutions across various industries, including automotive, aerospace, defense, energy, and medical, with operations in over 130 countries [11] - TE Connectivity holds a Zacks Rank of 3 (Hold) and has a VGM Score of B, indicating potential for growth [11] - The company is projected to achieve year-over-year earnings growth of 9.1% for the current fiscal year, with upward revisions in earnings estimates from six analysts in the last 60 days [12]

Core Viewpoint - TE Connectivity is well-positioned to benefit from the increasing demand for industrial automation and robotics, leading to a 'Buy' rating for the stock [1] Company Overview - TE Connectivity (NYSE: TEL) is an industrial technology manufacturer that specializes in connectivity and sensor solutions for transportation and industrial markets [1]

Financial Data and Key Metrics Changes - The company reported total revenue of approximately $17 billion, with a significant increase in AI-related revenue from $300 million last year to an expected over $700 million this year [8][9] - Operating margins are currently above 19%, with automotive business margins running at 20% [48][49] - The company aims for both business segments to achieve margins above 20% in the future [50] Business Line Data and Key Metrics Changes - The industrial segment, which includes high-speed connections for cloud providers, is the largest business area, contributing significantly to revenue growth [8][10] - In the transportation segment, automotive is the largest business, with about 50% of revenue generated in Asia, showing a 16% growth in the last quarter [12][13] - The company has seen a content increase in electric vehicles (EVs), with average content per vehicle rising from $60 pre-COVID to the low $80s today [17][19] Market Data and Key Metrics Changes - The company has a strong presence in Asia, with 70% of its operations outside the United States, which helps mitigate tariff impacts [31][32] - The automotive market in Asia is experiencing robust growth, while the Western automotive market remains relatively flat [45][46] - The company is benefiting from trends in AI and energy infrastructure, with expectations for continued growth in these areas [44][68] Company Strategy and Development Direction - The company is focused on enhancing its connectivity and sensing technologies, particularly in the AI and automotive sectors [6][14] - There is an active portfolio management strategy, with a focus on improving margins and cash generation, including recent acquisitions in the energy space [56][58] - The company plans to continue investing in AI-related capacities, with capital expenditures expected to rise from $700 million to $900 million [78] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about organic growth of around 8% year-on-year, with improvements in the order book and industrial sector [42][44] - The company does not foresee significant impacts from tariffs on earnings, as they have implemented pricing strategies to mitigate costs [34][36] - Management noted that while there are challenges in the automotive sector, particularly in the West, the overall outlook remains positive due to strong demand in Asia [45][46] Other Important Information - The company has approximately 20 manufacturing sites globally, with a focus on local production to align with customer supply chains [31][32] - The healthcare segment is expected to grow at a high single-digit rate long-term, despite experiencing fluctuations during COVID [108][110] - The company has a strong engineering presence in China, with over 2,000 engineers focused on local design and manufacturing [103] Q&A Session Summary Question: What is the growth outlook for the automotive and industrial segments? - The company anticipates a growth rate of 4-6% above production levels in automotive, with a similar outlook for industrial segments [15][16] Question: How does the company handle pricing in response to tariffs? - The company has implemented surcharges to offset tariff impacts, passing costs along to customers while maintaining margin integrity [36][37] Question: What is the company's strategy regarding acquisitions? - The company aims for a balanced capital strategy, targeting a third of free cash flow for dividends and pursuing bolt-on acquisitions primarily in the industrial segment [57][59]

Taking full advantage of the stock market and investing with confidence are common goals for new and old investors, and Zacks Premium offers many different ways to do both.Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.Zacks Premium includes access to the Zacks Style Scores as well. What are the Zacks Style Scores? The Z ...