Financial Data and Key Metrics Changes - In Q4 2025, net income was $466 million, with earnings per share (EPS) of $2.42 and a return on average common equity of 15.4% [18] - Trust fees grew by 7%, net interest income (NII) increased by 14%, and revenue was up 9% year-over-year, excluding notable items [5][21] - For the full year, revenue rose by 7%, expenses grew by 5%, resulting in a pre-tax margin of 30% and a 14.8% return on equity [5][29] Business Line Data and Key Metrics Changes - Wealth Management saw assets under management (AUM) reach $507 billion, up 13% year-over-year, with trust fees increasing by 6% [22] - Asset Servicing reported assets under custody and administration of $17.4 trillion, reflecting an 11% year-over-year increase, with asset servicing fees totaling $730 million, an 8% increase [24] - Asset Management (NTAM) maintained strong liquidity flows, with AUM in liquidity reaching nearly $340 billion, marking the 12th consecutive quarter of positive flows [14][15] Market Data and Key Metrics Changes - The company experienced strong market conditions, contributing to the growth in trust fees and net interest income [6] - The international markets contributed significantly to the growth, with the Global Family Office (GFO) segment seeing a 15% increase in contributions from international markets [10] Company Strategy and Development Direction - The company is focused on executing its "One Northern Trust" strategy, which aims to enhance collaboration across business units and improve operational efficiency through AI-driven automation [7][9] - The strategy includes expanding private markets and capital markets penetration, which now contributes over one-third of enterprise revenue [7] - The company plans to raise its productivity target by 10% for 2026, supported by ongoing initiatives and broader AI deployment [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to maintain strong financial performance and achieve double-digit EPS growth through cycles [17] - The effective tax rate is expected to remain stable at approximately 26%-26.5% in 2026, with a focus on generating positive operating leverage [19][31] - Management highlighted the importance of maintaining a strong capital position while pursuing organic growth and selectively considering acquisitions [61] Other Important Information - The company returned $1.9 billion to shareholders in 2025, including a record $1.3 billion in share repurchases, reducing the share count by 5% [6][30] - The company recorded $69 million in net unfavorable notable items in Q4, impacting overall financial results [20] Q&A Session Summary Question: Can you speak to your conviction in driving change across the organization and the timing of financial results? - Management expressed high conviction in the ongoing changes and expects to see consistent high performance as a result of these efforts [34][36] Question: What drove the lower cost on the interest-bearing side? - Management noted that the growth in non-interest-bearing deposits was influenced by seasonal factors and cash stockpiling due to the government shutdown [38][39] Question: What does the fee growth outlook look like for 2026? - Management anticipates mid-single-digit revenue growth, driven by strong performance in the Global Family Office segment and family office solutions [44][46] Question: How does the company view potential acquisitions in asset management? - Management is open to acquisitions but primarily focused on organic growth, particularly in alternatives and expanding distribution [50][51] Question: What is the outlook for the expense-to-trust-fee ratio? - Management indicated that they consider the expense-to-trust-fee ratio when pricing new business and continuously assess client profitability [63][65] Question: How sustainable is the NII growth outlook? - Management believes they can maintain a stable net interest margin (NIM) in the 170s for 2026, with various levers available to optimize the balance sheet [66][68]

Company Performance - Nvidia reported a strong third quarter for 2025, with sales of $57.1 billion, representing a 62% increase year-over-year (YOY) [1] - Earnings per share (EPS) rose 60% to $1.30, surpassing the consensus estimate of $1.26 [1] - The data center segment, the largest revenue driver, grew 66% YOY to $51.2 billion [1] - Operating cash flow increased to $23.8 billion from $17.6 billion in the previous year, while free cash flow rose 65% to $22.1 billion [6] Market Position - Nvidia is the largest chip company globally, with a market capitalization of $4.3 trillion [3] - The company is expected to see revenue growth driven by AI, with projections for chip companies' revenue to rise from $220 billion in 2025 to over $550 billion by 2028 [4][5] Future Guidance - For the December quarter, Nvidia anticipates revenue around $65 billion, indicating a growth rate of approximately 65.4% from the previous year [7] - Analysts have a "Strong Buy" consensus rating for Nvidia stock, with a mean target price of $255.78, suggesting an upside potential of about 40% from current levels [8] Other Semiconductor Companies - Astera Labs, valued at $31 billion, reported revenues of $230.6 million, more than doubling from $113.1 million the previous year [10] - Micron Technology's revenues surged 56% YOY to $13.6 billion, with earnings rising 167% to $4.78 per share [15][16] - Micron expects revenue for fiscal Q2 2026 to be between $18.3 billion and $19.1 billion, indicating a YOY growth rate of 132% [17]

Company Overview - Procore Technologies, Inc. (NYSE:PCOR) is an enterprise software company that provides a cloud-based platform for managing project planning, site safety, and financial tracking in the construction industry [2]. Market Position and Competition - Procore is facing significant pressure from competitors who believe they can replicate its software offerings using AI technologies, such as Claude from Anthropic [1]. - Despite competition and concerns about soft construction demand, Procore has been able to secure new contracts and expand existing ones, particularly in non-residential segments like datacentres, manufacturing, and healthcare [2]. Financial Outlook - Procore is expected to see revenue growth re-accelerate towards high-teens percentage as overall construction demand improves and industry digitization drives technology adoption [2]. - The company is well-positioned to increase its market share in new geographies and segments, which could further enhance its growth prospects [2].

Q4 2025 Earnings Presentation J a n u a r y 2 2 , 2 0 2 6 Forward-looking Statements and Additional Information members of its board of directors and senior management teams. Investors and security holders are cautioned that such statements are predictions, and are not guarantees of future performance. Actual events or results may differ materially. Expected financial results or other plans are subject to a number of known and unknown risks, uncertainties and assumptions that are difficult to assess and are ...

Core Viewpoint - The Alerian MLP ETF offers a compelling investment opportunity by providing high yields without the tax complications associated with master limited partnerships (MLPs) [1][2]. Distribution and Performance - The Alerian MLP ETF has a 30-day SEC yield of 8.1% and a distribution yield just below 8% over the past year, with significant distributions from its MLP holdings [3]. - The ETF has maintained an average yield of over 6.6% since its inception in August 2010 and has paid distributions for 61 consecutive quarters [4]. - The annual expense ratio of the ETF is 0.85%, which is higher than most index ETFs, but the distributions compensate for this cost [4]. Growth Potential - The Alerian MLP ETF has achieved an impressive annualized total return of 25.7% over the last five years, with expectations for growth in 2026 and beyond [6]. - A key growth driver for the MLPs in the ETF's portfolio is the surge in data center construction, with Energy Transfer LP signing agreements to supply natural gas to major data centers [7]. - Other holdings, such as Enterprise Products Partners LP, are investing significantly in capital projects, with $5.1 billion under construction, driven by increasing demand for liquid natural gas (LNG) and artificial intelligence (AI) [8].

Company Overview - Constellation Energy Corporation (NASDAQ:CEG) is involved in the production and supply of electricity, natural gas, and sustainable energy solutions through various assets including nuclear, wind, solar, natural gas, and hydro [2]. Stock Performance - The stock has experienced significant growth, increasing over 175% in the last two years, but has recently declined from $353 to $322 [2]. - The current price-to-earnings ratio is 28 times this year's earnings, indicating that the stock may be considered expensive for a utility [2]. Market Sentiment - The company is favored by large hyperscalers due to its focus on clean energy, particularly as it is recognized as the nation's most visible nuclear-powered utility [2]. - Despite its popularity, there are concerns regarding the stock's valuation, with indications that it may not have bottomed out and could be dangerously expensive [2].

Company Overview - Alkermes plc (NASDAQ:ALKS) is a biopharmaceutical company focused on developing and selling medicines for schizophrenia, bipolar I disorder, and addiction to alcohol or opioids [2]. Recent Developments - On January 6, Alkermes announced that the FDA granted Breakthrough Therapy designation to its alixorexton therapy for narcolepsy type 1, following positive results from phase 1 and phase 2 studies [2]. - The clinical trial involved 92 patients and demonstrated that the oral orexin 2 receptor agonist achieved its primary endpoint, showing statistically significant, dose-dependent improvements in wakefulness [2]. - Craig Hopkinson, M.D., emphasized that alixorexton could significantly improve treatment for narcolepsy type 1, addressing unmet medical needs in the community [2]. - The company plans to advance alixorexton into phase 3 development later this quarter [2]. Market Sentiment - Jim Cramer expressed skepticism about Alkermes, suggesting it is a hold, possibly a weak one, indicating a lack of strong recommendation for the stock [1].

Core Insights - Mid-America Apartment Communities, Inc. (NYSE:MAA) is recognized as one of the 15 Best High Yield Stocks to Buy [1] - Barclays has raised its price target for MAA to $144 from $142 while maintaining an Equal Weight rating, indicating a neutral outlook for the REIT sector in 2026 [2] - The company focuses on improving existing properties rather than selling older buildings, having renovated 5,665 apartments in 2024, resulting in a 7.3% increase in average rent for upgraded units [3] Company Strategy - MAA's strategy of renovating existing properties helps preserve a limited supply of quality apartments and enhances the value of each unit without incurring high transaction costs [4] - The company has maintained its dividend payouts since its introduction in 1994, reflecting a steady approach to shareholder returns [4] - MAA operates as a multifamily-focused REIT that is fully self-managed and self-administered, concentrating on owning and operating apartment communities [5]

Group 1: Company Overview - NNN REIT, Inc. is recognized as one of the 15 Best High Yield Stocks to Buy [1] - The company invests in single-tenant, net-leased retail properties, including automotive service centers, convenience stores, and restaurants, typically backed by long-term leases of 10 to 20 years structured as triple net leases [4] - NNN REIT maintains a conservative financial approach, distributing a reasonable portion of its cash flow through dividends while keeping a strong balance sheet, allowing for portfolio expansion without excessive risk [5] Group 2: Financial Performance and Dividends - On January 15, NNN REIT's Board of Directors announced a quarterly dividend of $0.60 per share, to be paid on February 13, 2026, to shareholders on record as of January 30, 2026 [3] - NNN REIT is one of only three publicly traded REITs that have increased their annual dividend for at least 36 consecutive years, indicating a strong and steady dividend track record [3] Group 3: Market Outlook - UBS has lowered its price target for NNN REIT to $43 from $44 while maintaining a Neutral rating, suggesting that 2026 could be a significant turning point for REITs with expected total returns in the 9%–11% range [2] - The outlook from UBS is based on improving macro conditions, more attractive valuations, easing supply pressures, and a calmer political backdrop, with expectations of a defensive investment phase in the first half of 2026 followed by stronger catalysts in the second half [2]

Core Viewpoint - Nvidia's stock is considered attractively valued at the start of 2026, trading at a discount compared to its peers in the semiconductor industry [1] Financial Performance - Nvidia's stock has a forward price-to-earnings (P/E) ratio of 24.5 for fiscal 2027 and a price/earnings-to-growth (PEG) ratio of less than 0.7, indicating it is undervalued [2] - The company reported a revenue growth of 62% last quarter, reaching $57 billion, which is a significant increase from $5.9 billion in fiscal Q3 of 2023 [2] Technological Positioning - Nvidia is a key player in the artificial intelligence (AI) infrastructure boom, with its GPUs being the preferred choice for training large language models due to its CUDA software platform [3] - The company's data center networking portfolio, particularly its NVLink interconnect systems, saw a revenue increase of 162% last quarter, totaling $8.2 billion [3] Market Data - Nvidia's current stock price is $183.38, with a market capitalization of $4.3 trillion [4] - The stock has a gross margin of 70.05% and a dividend yield of 0.02% [5] Competitive Landscape - Despite increasing competition from custom AI ASICs, Nvidia's GPUs offer greater flexibility and adaptability, which are crucial in a rapidly changing tech environment [5] - Nvidia has expanded its software capabilities by acquiring SchedMD, enhancing its ability to optimize chip usage for hyperscalers [6] - The company is also strengthening its position in AI inference by acquiring talent and technology from Groq, which specializes in inference chips [6] Future Outlook - With sustained demand for AI infrastructure, Nvidia is well-positioned to continue its growth trajectory and is viewed as a strong investment for 2026 and beyond [7]