Today on “The Intelligence”: the diplomacy of China’s military parade, how hackers use AI and Britain’s crackdown on strip clubs. Listen now https://t.co/PkWi2zfAfT ...

Market Overview - September is historically the worst month for U.S. stocks, with the S&P 500 retreating 56% of the time by an average of 1.17% since 1927 [1] - This September may differ due to a high probability of a Fed rate cut, which could support market strength despite seasonal weaknesses [2] Fed Rate Cut Probability - There is currently an 86.9% probability of a 25-basis point rate cut by the Fed in September, which could lead to a weaker dollar, falling bond yields, and rising stock prices [4] Earnings and Economic Outlook - The overall earnings picture remains stable as the Q2 earnings season concludes, with favorable earnings revisions trends noted for Q3 2025 and the last quarter of the year [5] - Despite concerns about a bubble in the AI sector, the boom continues, providing a positive backdrop for investors entering September [5] ETFs in Focus - Financial Select Sector SPDR ETF (XLF) is highlighted as a strong buy, with modest increases in estimates for several sectors including Finance, Tech, and Energy since the start of Q3 [7] - ALPS OShares U.S. Quality Dividend ETF (OUSA) is ranked as a buy, focusing on large and mid-cap dividend-paying issuers, offering safety in economic downturns [9] - VanEck Retail ETF (RTH) is rated as hold, benefiting from decent inflation levels and retail sales momentum, particularly during back-to-school shopping [10] - VanEck Gold Miners ETF (GDX) has seen gold prices rise over 4% in the past month, driven by Fed rate cut hopes and increased central bank demand [11][12] - First Trust NASDAQ Cybersecurity ETF (CIBR) is positioned well due to the shift towards cloud computing and heightened demand for cybersecurity solutions amid geopolitical tensions [13]

Core Insights - iQSTEL Inc. aims to achieve a billion-dollar valuation by 2027 through a focus on profitability, strategic acquisitions, and vertical integration of high-margin services [1][2] - The company has established a strong market position with a $400 million annual revenue run rate and is targeting $15 million in EBITDA for the next year [2] Company Overview - iQSTEL Inc. specializes in high-growth technology sectors, including telecommunications, fintech, AI, and cybersecurity [3] - The company operates in over 21 countries and has commercial relationships with more than 600 telecom operators [3] - iQSTEL's mission is to reach $1 billion in annual revenue by 2027 through a combination of strategic acquisitions and organic growth [3]

Core Insights - The 2025 Industrial Digitalization Report by Nokia and GlobalData indicates that 87% of adopters of on-premise edge and private networks achieve ROI within one year while enabling AI-driven use cases [1][9] - The report highlights significant cost savings, with 81% of industrial enterprises reporting lower setup costs and 86% experiencing reduced ongoing costs [1][9] Adoption and Impact - A total of 94% of industrial enterprises have implemented on-premise edge technology alongside private wireless, facilitating secure, low-latency connectivity and supporting AI applications in 70% of cases [3][9] - The deployment of private wireless networks has led to sustainability gains, with 94% of surveyed enterprises reporting reduced carbon emissions, and 41% achieving reductions exceeding 20% [5][9] Operational Efficiency - 71% of companies are utilizing connected worker technologies to enhance safety and efficiency, including automated alarms and AI-assisted monitoring [6] - The integration of private wireless networks has improved operational performance, contributing to enhanced worker safety and reduced environmental impact [5][11] Cybersecurity and Market Growth - Cybersecurity is a key driver for adopting industrial edge platforms, with 57% of respondents citing it as a reason for deploying private wireless networks [7] - The global private wireless network market is projected to nearly double to US$8 billion by 2027, reflecting the increasing demand for modernization in line with sustainability and efficiency goals [8]

Core Insights - Cloudflare announced that information in its customer support system should be considered compromised due to a breach involving Salesloft's Drift application [2][4] - The breach allowed unauthorized access to Cloudflare's Salesforce instance used for customer support and case management [2][5] - Cloudflare identified and rotated 104 compromised API tokens and notified affected customers, emphasizing that its own services and infrastructure were not compromised [5][6] Data Compromise Details - The compromised data primarily includes customer contact information and basic support case data, with some interactions potentially revealing sensitive information such as access tokens [3][4] - Cloudflare urged customers to rotate any credentials shared through its support system due to the breach [4] Vendor Security Issues - Salesloft detected a security issue in its Drift application, which led to the breach, and subsequently revoked connections between Drift and Salesforce [5][6] - The breach occurred between August 8 and August 18, with Salesloft notifying all impacted customers [6] - The incident highlights the risks associated with relying on third-party vendors, which can increase a company's cybersecurity vulnerabilities [7]

Core Insights - CrowdStrike (CRWD) is experiencing significant growth in its Next Generation Security Information and Event Management (SIEM) with a 95% year-over-year increase in annual recurring revenue (ARR), reaching over $430 million in Q2 of fiscal 2026 [1][4][9] Group 1: Company Performance - The Next-Gen SIEM is gaining traction as customers shift from legacy SIEM tools due to high costs and data limitations, with CrowdStrike's cloud-based solution integrated into the Falcon platform offering a more flexible pricing model [2][9] - The acquisition of Onum, a data pipeline platform, is expected to enhance data processing efficiency and detection speed for the Next-Gen SIEM, providing customers with better data control [3][9] - CrowdStrike's overall ARR growth in Q2 was 20%, indicating that the Next-Gen SIEM's performance significantly outpaces the company's average growth [4] Group 2: Competitive Landscape - Competitors like Palo Alto Networks (PANW) and SentinelOne are also expanding their platforms and innovating with AI, with PANW reporting a 32% year-over-year growth in Next-Gen Security ARR in Q4 of fiscal 2025 [5] - SentinelOne achieved a 24% year-over-year growth in ARR in Q2 of fiscal 2026, driven by the adoption of its AI-first Singularity platform [6] Group 3: Valuation and Estimates - CrowdStrike's shares have increased by 23.9% year-to-date, outperforming the Security industry's growth of 10.2% [7] - The company trades at a forward price-to-sales ratio of 19.68X, significantly higher than the industry's average of 12.22X [10] - Zacks Consensus Estimate indicates a 9.9% decline in fiscal 2026 earnings, followed by a projected 33.4% growth in fiscal 2027, with recent upward revisions for both years [13]

Core Viewpoint - D-Wave Quantum has reported mixed earnings results, with a notable share price spike following the announcement, but recent performance shows a decline in share value, raising questions about future growth and market position [1][2]. Financial Performance - D-Wave reported a revenue increase of over 40% year-over-year, reaching over $3 million for the first time, although it remains reliant on a few major sales for revenue goals [7]. - The company missed earnings estimates in the second quarter, posting losses of 8 cents per share, which disappointed investors hoping for signs of profitability [6]. Market Position and Competition - D-Wave faces intense competition in the quantum computing space, with rivals like IonQ and Quantum Computing Inc. showing better stock performance recently [3][4]. - The company must continue to innovate to maintain its market position, as the quantum industry is rapidly evolving and competitive [4]. Strategic Initiatives - D-Wave has over $800 million in cash reserves, and management has indicated that an acquisition strategy will be revealed in the second half of the year, which could include potential buyouts of competitors [2][10]. - The company is also expected to invest in R&D, exploring areas such as gate-model quantum technology and cryogenic packaging, which may signal its strategic priorities moving forward [11]. Analyst Ratings and Stock Forecast - D-Wave Quantum currently has a stock price forecast of $19.27, indicating a potential upside of 23.45%, based on 11 analyst ratings [9]. - Despite having a Buy rating, D-Wave is not among the top stocks recommended by leading analysts, suggesting a cautious outlook among some market experts [12].

Core Insights - The article discusses the challenges and unpredictability of financial markets, emphasizing the difficulty in accurately predicting trends and identifying value opportunities [1]. Group 1 - The author expresses a strong interest in financial history and its application to current market analysis [1]. - There is a focus on the subjective nature of opinions regarding market predictions, suggesting that they should be taken with caution [2]. - The article highlights the importance of understanding past performance while acknowledging that it does not guarantee future results [3].

Homeland Security Secretary Kristi Noem announced that she fired two dozen FEMA employees after a review determined significant flaws had allowed a hacker to access its network https://t.co/QbgFoOua5H ...

AI and Security Landscape - AI is accelerating both the capabilities of attackers and the adoption of AI by companies, creating increased security risks, especially with current LLM models [1][2] - The need for security, predictability, and proper guardrails is imperative for AI model usage, with data leakage and inaccurate production being key concerns [4] - Enterprises are seeking visibility and control over AI usage, both sanctioned and unsanctioned, to manage data input and prevent leakage [4] - SentinelOne's AI offerings aim to enable secure adoption of generative AI by providing control, visibility, and automation to sanitize and filter data in real-time [3][6] Business Performance and Strategy - Deals exceeding $100,000 of annualized recurring revenue increased by 23%, reaching 1513, driven by SentinelOne's AI offerings [5] - SentinelOne has been building AI products for over a decade, deployed across tens of millions of devices and workloads [6] - SentinelOne Flex is a new contract vehicle providing customers with complete access to the platform and the flexibility to use services as needed, leading to increased platform adoption and consumption [7] AI Impact on Workforce - Generative AI is currently primarily used for narrow workforce and workflow automation tasks [9] - As AI becomes more accurate and secure, its applications are expected to expand beyond narrow tasks [9] - Establishing trust and predictability in AI systems is crucial, and SentinelOne is building AI security to enable safe AI deployment [10]