Group 1 - German small and mid-sized companies are outperforming large-cap DAX and pan-European Stoxx 600 indexes in 2026, indicating a shift in market dynamics [1][3] - Eight out of the top ten performing stocks in the mid-cap MDAX have more than doubled in the past 12 months, with Thyssenkrupp AG rising 235% and Renk Group AG increasing by 180% [3] - The performance of small and mid-cap stocks has improved significantly after a period of underperformance from 2021 to 2024, particularly following the pandemic and geopolitical tensions [3][4] Group 2 - The German economy is showing signs of recovery, with GDP expanding in 2025 after two years of contraction, driven by government spending on defense and infrastructure [4][5] - Increased military spending in Europe is attracting investor attention to defense stocks, while other sectors like biofuels, automotive parts, and construction are also seeing significant gains [5] - A €500 billion infrastructure spending package, along with military outlays, could lead to over €1 trillion in economic stimulus, as stated by the German Finance Minister [6] Group 3 - There is skepticism regarding the effective allocation of the anticipated funds, with concerns that some of the money may be used for budgetary needs or subsidies rather than new projects [7]

Industry Overview - The U.S. marine construction and dredging market is benefiting from ongoing infrastructure spending, coastal protection needs, and port expansion activities [1] - Recent monetary easing may support infrastructure activity by lowering financing costs, which can enhance project execution and revenue visibility through 2026 [2] Company Analysis: Great Lakes Dredge & Dock Corporation (GLDD) - GLDD reported a 12.8% year-over-year increase in contract revenues for the first nine months of 2025, totaling $631.8 million, driven by stronger activity levels and improved project performance [3][8] - The company has a strong backlog of $935 million, with a significant portion related to capital and coastal protection work, and an additional $194 million in low bids pending [4] - GLDD's profitability has improved due to higher-margin projects, efficient execution, and disciplined cost control, alongside a modernized fleet [3][6] - Despite challenges such as a normalized bid market and regulatory issues, GLDD is well-positioned for 2026 with strong liquidity and a diversified project mix [5][6] Company Analysis: Orion Group Holdings, Inc. (ORN) - ORN operates in marine and concrete services, benefiting from balanced exposure to public and private investments, which provides demand stability [7] - The company reported a revenue increase of approximately 7% year-over-year to $619 million, supported by steady activity across its key segments [9] - ORN increased its bonding capacity by $400 million in October 2025, enhancing its ability to pursue larger and more complex projects [11] - Challenges for ORN include earnings pressure from project timing variability and softer profitability in select concrete projects [10] Comparative Analysis - GLDD shows stronger near-term operating momentum with a higher-quality backlog and improving profitability, while ORN has a solid pipeline but faces more variability in margins and project timing [19] - GLDD is trading at a discount compared to ORN on a forward 12-month price-to-earnings (P/E) ratio basis [13] - The Zacks Consensus Estimate for GLDD's 2026 EPS indicates a slight decline of 0.2%, while ORN's estimate implies a significant year-over-year improvement of 44.7% [16][18]

Core Insights - The Nasdaq has rebounded above its 50-day moving average, indicating bullish sentiment as investors look towards 2026 with a focus on strong earnings growth for the S&P 500 and potential Fed rate cuts [1] - Investors are encouraged to consider stocks that have demonstrated strong performance in 2025, as market conditions are expected to remain favorable [2] Group 1: Stock Screening and Selection - A screening method using the Research Wizard identifies Zacks Rank 1 (Strong Buy) stocks, focusing on those with upward price momentum and trading within 20% of their 52-week highs [3][4] - The screening criteria include a PEG ratio and Price to Sales ratio to ensure value, narrowing down to seven stock picks [4] Group 2: Commercial Metals Company (CMC) - CMC has seen a 40% increase in stock price in 2025, reaching all-time highs and significantly outperforming the S&P 500 over the past 30 years [5][6] - The company operates in the steel industry, primarily recycling scrap metal into new steel products, and is positioned to benefit from ongoing infrastructure spending in the U.S. [6][9] - CMC's earnings estimates for FY26 and FY27 have increased by 21% and 31% respectively, contributing to its Zacks Rank 1 (Strong Buy) status [11] - The company trades at a forward P/E of 10.3X, which is a 34% discount to its sector, indicating potential value for investors [14]

You have different sets of data. They gave us a figure, which was a $73 billion backlog. Yep.This morning, quite clearly the market would like to see a revenue number. That's forward looking. Yep. Yep, that's true.So. So you're right. I think the I think what's interesting here, the reason why Broadcom is down is not about the it's not about how revenue has perhaps missed expectations.First and foremost um the company actually beaten raised guidance AI sales were above expectations. The outlook for next qua ...

Core Insights - Alger Small Cap Focus Fund's third-quarter 2025 investor letter indicates that U.S. equity markets experienced significant growth, with the S&P 500 Index rising by 8.12% due to improving economic conditions, solid corporate earnings, and expectations for monetary easing [1] - The fund's class A shares underperformed compared to the Russell 2000 Growth Index during the same period [1] Company Overview - Tutor Perini Corporation (NYSE:TPC) is a leading construction company that provides a wide range of services including general contracting, construction management, and design-build services to both private and public sector clients globally [3] - The company reported a stock price of $67.56 per share as of November 27, 2025, with a one-month return of -0.19% and a remarkable 147.93% increase in value over the last 52 weeks [2] Financial Performance - Tutor Perini Corporation's shares positively contributed to the fund's performance in the quarter following strong second-quarter results and an increase in full-year 2025 earnings guidance [3] - Management anticipates a significant increase in earnings for 2026, supported by infrastructure spending and improved project execution, which has enhanced investor confidence [3] Hedge Fund Interest - Tutor Perini Corporation is not among the 30 most popular stocks among hedge funds, with 36 hedge fund portfolios holding the stock at the end of the third quarter, up from 31 in the previous quarter [4] - While the company shows potential as an investment, the analysis suggests that certain AI stocks may offer greater upside potential with less downside risk [4]

Core Insights - Infrastructure spending, grid upgrades, and broadband expansion are driving a rally in industrial stocks, with Preformed Line Products (PLPC) emerging as a strong performer due to solid fundamentals and execution [3][4] - PLPC features strong margins, a low-debt capital structure, and significant momentum, making it a promising investment choice [3][7] Revenue Growth - PLPC experienced a revenue growth of 15.9% over the last twelve months (LTM) and an average growth of 4.8% over the past three years, indicating a robust growth trajectory [7] Profitability Metrics - The company has an operating cash flow margin of approximately 12.5% and an average operating margin of 10.3% over the last three years, showcasing its long-term profitability [7] Momentum and Market Position - PLPC is currently in the top 10 percentile of stocks regarding "trend strength," reflecting strong momentum in its stock performance [7] - Despite this momentum, PLPC stock is trading 12% lower than its 52-week high, suggesting potential for further upside [7] Performance Statistics - The average 12-month forward returns for stocks fitting a similar selection strategy are nearly 15%, with a win rate of about 60% for yielding positive returns [8] Historical Volatility - PLPC has faced significant losses in past market downturns, including a nearly 50% drop during the Dot-Com crash and around 56% during the Global Financial Crisis, indicating that strong fundamentals do not guarantee immunity against market volatility [9] Portfolio Performance - The Trefis High Quality (HQ) Portfolio, which includes PLPC, has a track record of outperforming benchmark indices like the S&P 500, S&P Mid-Cap, and Russell 2000, providing a more stable investment experience [10]

Financial Data and Key Metrics Changes - Nucor generated EBITDA of approximately $1.3 billion and earned $2.63 of EPS in Q3 2025, exceeding guidance due to stronger shipments from steel mills and favorable corporate adjustments [4][15] - Net earnings for Q3 were $607 million, in line with Q2's adjusted EPS of $2.60 and above last year's Q3 adjusted EPS of $1.49 [15] - Year-to-date adjusted net earnings reached approximately $1.4 billion or $5.98 per share, with returns to shareholders totaling nearly $1 billion, representing 72% of net earnings [5][20] Business Line Data and Key Metrics Changes - The steel mill segment generated $793 million of pre-tax earnings, a decrease of 6% from the prior quarter, with improved results in bar and structural steel but lower profitability in sheet and plate [16] - Steel products segment pre-tax earnings were $319 million, down from $392 million in Q2, but external shipments increased 4% quarter-over-quarter [18] - The raw materials segment realized pre-tax earnings of approximately $43 million, compared to $57 million in the prior quarter, primarily due to lower pricing [18] Market Data and Key Metrics Changes - Demand for long products remains strong, with bar products backlog at the end of Q3 being 35% higher year-over-year [17] - The Dodge Construction Network forecasts a 30% increase in data center construction in 2025, indicating strong growth potential in this sector [11] - Finished steel imports decreased nearly 11% year-to-date through August, supported by federal actions [12] Company Strategy and Development Direction - Nucor is focused on prudent capital management, balancing long-term growth with shareholder returns, and has reinvested $807 million into growth projects nearing completion [5][6] - The company is in the final phase of a multi-year capital investment campaign, with four major projects expected to be completed by the end of the year [6] - Nucor aims to optimize its full portfolio to provide comprehensive solutions, enhancing its competitive position in the steel industry [9] Management's Comments on Operating Environment and Future Outlook - Management expects lower consolidated earnings in Q4 due to seasonal effects and scheduled outages, with a decline in realized pricing primarily in the sheet segment [24] - The company anticipates stable domestic steel demand in 2026, with confidence in capturing a healthy share of that demand [24] - Management remains optimistic about the long-term growth potential in data centers and infrastructure spending, despite some softness in residential construction and agricultural machinery [22][92] Other Important Information - Nucor's long-term credit ratings were upgraded to A3 by Moody's, making it the only major North American steel producer with this distinction [5] - The company has returned approximately $1 billion to shareholders through dividends and share buybacks year-to-date [20] - Nucor is not planning to build any more greenfield facilities in the near term, focusing instead on adjacent spaces and megatrends in the U.S. economy [52] Q&A Session Summary Question: Nucor's shipments are growing faster than the industry; what specific products are gaining share? - Management highlighted the importance of safety and the restructuring of the plate group, which is ramping up faster than anticipated, contributing to market share growth [26][27] Question: Are there specific products particularly exposed to data centers? - Nucor supplies a wide range of products for data centers, including insulated metal panels, joists, and decking, with significant growth in joist and deck shipments [31] Question: How should we think about square foot growth in warehouses versus data centers? - Management noted that while warehousing is expected to remain flat, data centers are projected to grow at double-digit rates over the next several years [36][43] Question: What contributed to the increase in conversion costs? - Conversion costs were affected by slab costs and planned outages, but year-over-year costs are down 5% [44] Question: Can you elaborate on the decision regarding the Seattle mill? - The Seattle mill will continue operating, but Nucor will not replace it with a micromill, as they can supply from other mills [58][60] Question: What is the status of the West Virginia sheet investment? - The West Virginia sheet mill is about 75% complete, with capital spending at a similar level, and is expected to be a significant asset for Nucor [70][71]

Core Insights - Conestoga Capital Advisors reported strong equity market performance in Q3 2025, with the Conestoga Micro-Cap Composite returning 11.7% net-of-fees, while the Russell Microcap Growth Index returned 19.9% [1] Company Overview: Bowman Consulting Group Ltd. (NASDAQ:BWMN) - Bowman Consulting Group Ltd. provides professional services in civil engineering, planning, and surveying for public infrastructure, transportation, utilities, and private real estate markets [3] - The company experienced a one-month return of -1.89%, but its shares increased by 101.69% over the last 52 weeks, closing at $41.73 per share on October 17, 2025, with a market capitalization of $719.873 million [2] Growth Drivers - Infrastructure spending tailwinds have fueled growth in engineering and consulting projects for Bowman Consulting Group Ltd., leading to strong backlog growth [3] - Strategic acquisitions have expanded the company's geographic reach and diversified its service offerings, contributing to margin expansion and improved profitability through scale efficiencies and disciplined cost management [3] - Steady cash generation has alleviated balance sheet concerns, while improved investor sentiment is linked to visibility into long-term infrastructure demand [3] Hedge Fund Interest - Bowman Consulting Group Ltd. was held by 8 hedge fund portfolios at the end of Q2 2025, an increase from 6 in the previous quarter, indicating growing interest among institutional investors [4] - Despite this interest, the company is not listed among the 30 most popular stocks among hedge funds, and there are suggestions that certain AI stocks may offer greater upside potential with less downside risk [4]

Company Overview - Balfour Beatty has appointed Philip Hoare as the new group chief executive following the departure of former CEO Leo Quinn [1][2] - Hoare has 30 years of experience in engineering, project management, and construction, previously serving as COO of AtkinsRéalis [2] Industry Context - The construction landscape is characterized by both uncertainty and optimism, with a significant increase in construction planning, which is up 51% year-over-year in the U.S. [4] - This increase in planning suggests stronger construction activity anticipated in 2026 and 2027, although uncertainties related to tariff policies and rising material costs may impact planning numbers [4] Financial Outlook - Quinn expressed confidence in the company's momentum and the potential for significant shareholder returns driven by rising infrastructure spending [5][6] - Hoare emphasized the financial and operational strengths of the group, indicating a strong position for future growth in core markets [3]

Currency Pressure - Vietnamese Dong is at record lows [1] - Infrastructure spending spree from the government is mounting pressure on the Vietnamese Dong [1]