Company Overview - Flowserve is a leading provider of flow management solutions with a global footprint and a diversified customer base [7] - The company generates revenue from the sale of engineered products and aftermarket services, serving critical infrastructure sectors such as oil and gas, chemical and pharmaceuticals, power generation, water management, and general industrial markets [9] - Key financial metrics include revenue of $4.69 billion, net income of $452.78 million, and a dividend yield of 1.09% [5] Recent Developments - On January 28, 2026, Paradice Investment Management LLC disclosed a purchase of 178,356 shares of Flowserve, valued at an estimated $11.46 million based on quarterly average pricing [1][2] - This purchase increased Flowserve's stake to 6.98% of Paradice's reportable 13F assets under management [3] - The fund's quarter-end position in Flowserve rose in value by $17.87 million, reflecting both trading activity and stock price changes [2] Stock Performance - As of January 28, 2026, Flowserve shares were priced at $76.90, representing a 28.49% increase over the past year, outperforming the S&P 500 by 12 percentage points [4] - Paradice originally purchased Flowserve stock at $53 per share in Q3 and increased its position at $69 in Q4, indicating strong confidence in the stock's potential [10]

Group 1 - Boeing will collaborate with Palantir to integrate artificial intelligence into existing and future defense projects and factories [1] - Boeing's defense sector will deploy Palantir's Foundry platform for standardized data analysis and insights in the production of fighter jets, helicopters, missiles, and satellites [1] - Palantir will provide AI expertise for a range of undisclosed confidential and proprietary projects aimed at supporting sensitive military tasks [1] Group 2 - Palantir is known for its collaboration with the U.S. Department of Defense and its allies, offering AI-driven software for data organization and analysis [2] - The company has launched a new initiative called Warp Speed, focusing on serving defense and industrial clients, including Lear Corp., Sierra Nevada Corp., and L3Harris Technologies Inc. [2] - Palantir recently announced plans to invest £1.5 billion in the UK following an agreement with the UK Ministry of Defence to expand the use of its AI software [1][2]

Core Insights - Proposed tariffs by President Trump on goods from Mexico and Canada are expected to impact automotive suppliers more severely than automakers, potentially leading to broader industry disruptions [1][4] - Compliance with the USMCA is crucial for avoiding tariffs, with a significant portion of vehicle parts not meeting the stringent standards [2][3] Industry Impact - The automotive supply chain is already fragile post-COVID, facing challenges such as high interest rates, labor shortages, and declining profits, which could be exacerbated by new tariffs [4][5] - Major publicly traded suppliers have seen stock declines, with companies like American Axle & Manufacturing Holdings and Magna International down by double digits this year [5] Compliance Statistics - In 2024, only 63% of motor vehicle parts imported from Mexico were compliant with USMCA standards, compared to 92.1% of motor vehicles [6][12] - For Canada, 74.6% of motor vehicle parts and 96.9% of vehicles were imported tariff-free under USMCA in 2024 [6] Tariff Effects - The proposed tariffs could lead to a 25% increase in costs for non-compliant parts, which suppliers are unlikely to absorb, potentially leading to higher consumer prices for vehicles [13][17] - A survey indicated that 97% of parts makers expressed concerns about financial distress due to tariffs, particularly affecting smaller suppliers [15] Supply Chain Resilience - The supply chain is described as resilient yet fragile, with significant challenges in quickly adapting to major policy shifts [8][9] - Executives from various companies, including Forvia, have indicated that the industry cannot sustain the proposed tariffs without passing costs onto consumers [17]