Core Viewpoint - JPMorgan Chase & Co. anticipates a significant increase in merger and acquisition (M&A) activity in 2026, prompting the bank to expand its dealmaking team across Europe [1][3][4] Group 1: Expansion Plans - The bank is hiring across various countries in Europe, indicating a strategic move to capitalize on expected M&A growth [1] - Filippo Gori, co-head of global banking, mentioned that the bank has capital ready to deploy, emphasizing the importance of choosing the right opportunities [1] Group 2: Market Sentiment - Clients in Europe, particularly in Southern Europe, are expressing optimism, with improved growth following years of restructuring post-financial crisis [1] - European bank executives are concerned that US lenders may increase their presence in the region due to recent deregulation, potentially enhancing their competitive edge [2] Group 3: M&A Activity Outlook - The company predicts that 2026 could be one of the best years for M&A globally and in Europe, driven by lower interest rates, stable credit conditions, and a backlog of postponed transactions [3][4] - JPMorgan reported a dip in investment banking revenue for the fourth quarter, attributed to some transactions being delayed until 2026 [4] Group 4: Recent Trends - M&A activity saw an increase last year, with approximately $903 billion in deals closed in Europe, marking a 9% rise from 2024, although still below the $1 trillion threshold reached in 2021 [5] - Key sectors expected to remain active in M&A include technology, energy, financial services, fintech, and infrastructure, with ongoing deal flow between European and American companies [6] Group 5: Potential Challenges - Despite the positive outlook, inflation and geopolitical tensions could disrupt dealmaking, particularly if they lead to increased costs [7] - The realization of productivity gains from artificial intelligence may take longer than anticipated, potentially slowing down transactions [7]

Core Viewpoint - The article discusses five dividend-paying stocks that also exhibit growth potential, highlighting their strong dividend yields and annualized growth rates, along with their momentum scores. Group 1: Morgan Stanley - Morgan Stanley has a Benzinga Edge Momentum Score of 86.86 and is pivoting towards fee-heavy investment and wealth management, which is expected to enhance its growth potential by 2026 [4] - The company manages over $8 trillion in assets and offers a dividend yield of 2.14%, with a payout ratio of 41% and a five-year annualized dividend growth rate of 22.4% [5] - Analysts anticipate Q4 revenue to exceed $17.4 billion, and Barclays has raised its price target from $183 to $219, indicating strong market confidence [6][8] Group 2: Eni SpA - Eni has a Benzinga Edge Momentum Score of 84.75 and operates as an Italian oil and gas conglomerate with a market cap of nearly $58 billion [10] - The company has a strong dividend yield of just under 6% and a five-year annualized growth rate of 12.9%, despite a payout ratio exceeding 90% [13] - Eni's stock shows positive momentum, with the 50-day SMA acting as support and increasing buyer interest indicated by the MACD [14] Group 3: Banc of California Inc. - Banc of California has a Benzinga Edge Momentum Score of 84.31 and has gained attention following its merger with Pacific Western, positioning itself as a leading mid-size regional bank [15] - The company is expected to see significant EPS growth in 2026, with a current dividend yield of just over 2% and a five-year dividend growth rate of 15.8% [16] - Banc of California's stock has risen nearly 30% in the past year, supported by a positive technical outlook with the price above the 50-day and 200-day SMAs [18] Group 4: Johnson Outdoors Inc. - Johnson Outdoors has a Benzinga Edge Momentum Score of 85.18 and is positioned to benefit from affluent consumer spending trends in 2026 [19] - The company has a dividend yield of 3.04% and a five-year annualized growth rate of over 14%, despite a high payout ratio of 125% [22] - Johnson Outdoors has a nearly debt-free balance sheet and a net cash position of $127 million, which supports its dividend obligations [20]

Company Overview - National Bank Holdings (NBH) Corporation has completed the acquisition of Vista Bank for $377 million, enhancing its presence in high-growth markets such as Austin, Palm Beach, and Dallas-Ft. Worth [2][3] - The merger will result in the immediate adoption of the Vista Bank brand in Texas, with a full integration planned for later in the year, excluding the Bank of Jackson Hole [2] Leadership and Strategy - Tim Laney, chairman and CEO of NBHC, expressed optimism about the merger, highlighting the strong leadership team of Vista Bank and the robust balance sheet of NBH, which will allow for expanded banking services to commercial and business clients [3] Industry Context - The acquisition is part of a broader trend of banking mergers, with recent approvals indicating a surge in consolidation within the industry [4] - The merger momentum is influenced by regulatory changes, as comments from Fed Vice Chair Michelle Bowman suggest lighter oversight for smaller banks, potentially facilitating faster consolidation [5] - The previous year saw the fastest rate of banking mergers approved in over three decades, with the average time to finalize a deal dropping to four months, the shortest since at least 1990 [5]

Industry Overview - The drug and biotech sector experienced a volatile performance in 2025, with a significant recovery in the last few months attributed to improved drug pricing policies and strong merger and acquisition activity [2] - The biotech sector has rallied 26% over the past six months, outperforming the S&P 500 index [2] Innovation and Regulatory Activity - Key growth areas in the industry include obesity, gene therapy, inflammation, and neuroscience, attracting investor interest [3] - The FDA approved 44 novel therapies as of December 22, 2025, indicating healthy regulatory activity [3] Company Highlights Mineralys Therapeutics - Mineralys is developing lorundrostat, an aldosterone synthase inhibitor for uncontrolled hypertension, chronic kidney disease, and obstructive sleep apnea [5] - The pivotal phase III Launch-HTN study and phase II Advance-HTN study met primary efficacy endpoints, showing favorable safety [6] - The company plans to submit a new drug application for lorundrostat in early 2026, with shares up 203.4% year-to-date [8][9] Lyell Immunopharma - Lyell focuses on next-generation CAR T-cell therapies, with its lead candidate ronde-cel for large B-cell lymphoma [11] - A pivotal phase III study for ronde-cel is expected to begin in early 2026, and the company has a strong cash position of approximately $320 million [14] - Shares have increased by 191.6% in 2025, with loss per share estimates narrowing from $12.68 to $9.70 [15] Insmed - Insmed markets Arikayce for refractory MAC lung disease, generating $314.5 million in sales in the first nine months of 2025, a 21% increase year-over-year [16] - The FDA approved Brinsupri for non-CF bronchiectasis, with sales of $28.1 million in Q3 2025 [17] - Despite a setback with the BiRCh study, the company is evaluating Brinsupri for hidradenitis suppurativa, with shares up 156% year-to-date [19][20] Nektar Therapeutics - Nektar is developing rezpegaldesleukin for atopic dermatitis and alopecia areata, with positive data from phase IIb studies [21][22] - The company plans to advance rezpeg into phase III development in 2026, with shares soaring 218.8% year-to-date [24][25]