SAN FRANCISCO, Feb. 23, 2026 (GLOBE NEWSWIRE) -- AI/R today announced the availability of Llia in the Microsoft Marketplace, the unified online destination for customers to buy trusted cloud solutions, AI apps, and agents to meet their business needs. AI/R’s customers can now discover and deploy trusted solutions through Microsoft Marketplace, with smooth integration and streamlined management across Microsoft Azure and other Microsoft products. A reference in Agentic AI applied to software engineering and ...

Core Insights - Retail investors are increasingly influencing Wall Street, moving away from the perception of being "dumb money" as they have outperformed major index funds like SPY and QQQ [1] - In 2025, retail investors accounted for $5.4 trillion in trading activity, marking a 47% increase from the previous year, the highest level since at least 2014 [1] - The rise of mobile trading apps, zero-commission trading, and social media investment communities has led to a surge in DIY trading among retail investors [1] Retail Investor Trends - The COVID-19 pandemic acted as a catalyst for a new generation of retail investors, many of whom engaged in the "meme stock" phenomenon [1] - By early last year, the movement of funds from checking to investment accounts reached its highest levels since 2021, with a 50% increase in individual investor market entry from 2023 to early 2025 [1] - Retail investors have been particularly active in buying stocks during market dips, with significant purchases noted during downturns [1][2] Investment Strategies - Retail investors are diversifying their portfolios, with options trading accounting for approximately $650 billion of their trading activity last year, showing a steady increase since 2019 [2] - Many retail investors balance high-risk trades with long-term investments, with some allocating significant portions of their portfolios to established index funds like the SPDR S&P 500 ETF Trust [2] - The strategy of "buying the dip" has proven profitable for many, although it has led to some making trades without fully considering associated risks [2]

Hedge funds accumulated large amounts of some of the largest U.S. equity ETFs in the fourth quarter of 2025, with the data reflecting their affinity for mega-cap tech and growth stocks.IVV led the list with a total of $41.5 billion in hedge fund allocations. BlackRock led the allocations with $6.3 billion, followed by Schonfeld Strategic Advisors with $5.4 billion and Millennium Management with $4.7 billion.SPY received $18.8 billion in allocations, with Jane Street Group contributing $5.5 billion. Capula M ...

Core Insights - Microsoft reported strong fiscal second-quarter 2026 earnings, with revenues of $81.3 billion, a 17% year-over-year increase, and operating income rising 21% to $38.3 billion, but concerns over capital expenditure led to a nearly 5% drop in stock price after hours [1][2] Financial Performance - For the quarter ended December 31, 2025, Microsoft achieved revenues of $81.3 billion, a 17% increase year-over-year, and operating income of $38.3 billion, up 21% [2] - Non-GAAP earnings per share were reported at $4.14, indicating solid performance by conventional measures [2] Capital Expenditure - Capital expenditures and finance leases for the quarter reached $37.5 billion, a significant 66% increase from the previous year, exceeding market expectations [3] - The first half of fiscal 2026 saw total capital expenditures of $72.4 billion, suggesting an annual infrastructure spending trajectory of approximately $100 billion [3] - Two-thirds of the second-quarter capital expenditure was allocated to short-lived assets, primarily GPUs and CPUs, while the remainder was directed towards long-lived infrastructure [3] Market Dynamics - Microsoft acknowledged that customer demand continues to exceed supply, with guidance indicating a slight decline in operating margins for the fiscal third quarter [4] - The cost of goods sold is expected to grow by 22% to 23%, and capital expenditure is projected to decrease sequentially in the third quarter [4] Backlog and Future Revenue Potential - The commercial remaining performance obligation stands at $625 billion, more than doubling year-over-year, with 45% linked to OpenAI commitments, indicating future revenue potential but also sustained infrastructure obligations [5] - Rising R&D costs contribute to stock sensitivity regarding the pace of AI infrastructure buildout relative to revenue conversion [5] Industry Comparisons - Microsoft is not alone in facing capital expenditure pressures; Amazon has guided for approximately $200 billion in capital expenditures for 2026, while Alphabet projects $175 billion to $185 billion, both companies experiencing similar investor scrutiny regarding infrastructure-heavy AI investments [6] Stock Performance and Valuation - Microsoft shares have declined by 21.2% over the past six months, outperforming the Zacks Computer – Software industry decline of 24.5% but underperforming the Zacks Computer and Technology sector's return of 10.6% [7] - The stock is currently trading at a forward 12-month Price/Sales ratio of 8.25X, compared to the industry's 6.92X, indicating a relatively higher valuation [10] - The Zacks Consensus Estimate for fiscal 2026 earnings is $16.97 per share, reflecting an 8.4% increase over the past 30 days and a year-over-year growth of 24.41% [13]

Bitcoin tested the $64,000 support level on Monday as the cryptocurrency continued a 26.41% monthly drawdown. As bitcoin’s price wanes, bitcoin miners are accelerating their transitions to AI/HPC business lines. Sellers forced a retest of bitcoin’s $64,000 support zone early Monday morning. Bitcoin previously found a floor at this level on February 6 after suffering one its worst daily selloffs ever. At the time of writing, bitcoin is down 3.7% week-over-week to $65,400. The #1 podcast for emerging tech ...

"And the thing about games is, if you get good at one game, you can be good at any game. … They're all hand-eye coordination and observing patterns.†That's a line from Tomorrow, and Tomorrow, and Tomorrow, Gabrielle Zevin's 2022 novel about two friends who build a video game company from nothing — struggling with the tension between art and commerce, and ultimately with the challenges of operating a business at scale. This describes almost perfectly what Asha Sharma will be attempting to do in her new rol ...

Core Insights - U.S. technology giants Alphabet, Amazon, Meta, and Microsoft are projected to invest approximately $650 billion in AI-related infrastructure in 2026, a significant increase from $410 billion in 2025 [1] Investment Trends - The investment surge indicates a shift into a "more dangerous phase" of the AI boom, characterized by rapidly increasing investments in physical infrastructure and a growing dependence on external capital [1] - The demand for computing resources is outpacing supply, prompting hyperscalers to accelerate their investments to meet future demand [1] Financial Strategies - The four companies have reduced share buybacks to finance the increase in capital expenditures [1] - Significant spending creates downside risks if investments do not yield expected returns, particularly for companies like Anthropic and OpenAI, which require major product breakthroughs to secure funding for potential IPOs [1] Market Implications - The tech investment boom is expected to exert upward pressure on U.S. economic growth, contributing approximately 50 basis points to GDP growth in 2025 and potentially around 100 basis points in 2026 [1] - However, this spending may also lead to inflation in technology and communications equipment and increase electricity prices in certain regions [1] Sector Risks - The aggressive investment in AI is creating existential risks for other sectors, particularly software companies and data providers, as evidenced by recent selloffs in software stocks [1] - A severe stock market correction could hinder growth and limit capital-raising capabilities for companies, reminiscent of the Dot-com bubble in 2000, although current market movements are described as much smaller [1]

Thank you. Hello and welcome to the Morning Filter podcast. I'm Susan Jabinsky with Morning Star.Every Monday before market open, I sit down with Morning Star chief US market strategist Dave Sakara to talk about what investors should have on their radars for the week, some new Morning Star research, and a few stock ideas. All right. Well, grab your coffee because Dave and I have a lot of ground to cover this morning.Now, last Friday's Supreme Court ruling struck down some of the Trump administration's tarif ...

Both the State Street SPDR Portfolio MSCI Global Stock Market ETF (NYSEMKT:SPGM) and the iShares Core MSCI EAFE ETF (NYSEMKT:IEFA) aim to provide diversified international equity exposure, but their approaches differ. SPGM tracks the entire global market, including the U.S. and emerging markets, while IEFA zeroes in on developed markets outside the U.S. and Canada. This comparison highlights how cost, performance, risk, and sector makeup set them apart for investors seeking global diversification. Snaps ...

Core Viewpoint - A banking giant, Goldman Sachs, maintains a Buy rating on Microsoft (NASDAQ: MSFT) with a price target of $600, indicating confidence in the company's long-term growth despite current price declines [1][2]. Group 1: Stock Performance and Analyst Ratings - The reaffirmed price target of $600 represents a projected upside of approximately 55% from Microsoft's current value of $389, despite a year-to-date drop of over 15% [2]. - Wall Street analysts remain bullish on MSFT, with a consensus rating of 'Strong Buy' from 36 analysts, where 33 recommend buying, three suggest holding, and none recommend selling [7][8]. - The consensus 12-month price target is $594.02, implying a potential upside of 52.88%, with a high-end target of $678 and a low estimate of $392 [8]. Group 2: Technological Developments - The positive outlook follows Microsoft's announcement of the Maia 200 AI inference accelerator, which is designed to enhance AI workloads and reflects progress in the company's internal chip development [4]. - The Maia 200's performance is reportedly becoming competitive with other solutions, which could improve Microsoft's AI compute price-to-performance positioning within Azure [5]. - Enhanced efficiency at the silicon level may help Microsoft achieve AI compute gross margins similar to traditional CPU-based cloud workloads, thereby strengthening profitability in its cloud segment [5]. Group 3: Risks and Challenges - Execution risks are present, as large-scale production benchmark data for the Maia 200 has not yet been fully demonstrated, and successful manufacturing ramp-up is essential for broader rollout [6]. - Expanding software ecosystem support, including developer tools and inference engines, is critical for maximizing adoption of the Maia 200 [6]. - The competitive landscape is rapidly evolving, with rival accelerator programs advancing, which could pose challenges for Microsoft [6].