Zacks Investment Research has recently initiated coverage of Altigen Communications, Inc. (ATGN) with a Neutral recommendation, spotlighting both its promising strategic developments and ongoing business risks. Based in Newark, CA, Altigen is a niche provider of cloud-native unified communications solutions tightly integrated with Microsoft Teams and Azure. Altigen’s recent alliance with Intelligent Protection Management Corp. (IPM) stands out as a transformative move. By embedding its cloud-native communic ...

SPDR S&P Kensho Intelligent Structures ETF (SIMS US) – Investment PropositionSPDR S&P Kensho Intelligent Structures ETF (SIMS) offers focused exposure to companies advancing the digital modernization of buildings and infrastructure, spanning automation, sensing, communications, and enabling software and materials. The strategy seeks to capture revenue linked to smarter construction, efficient energy management, connected utilities, and industrial IoT by holding a diversified mix across hardware, platforms, ...

Summary of 4Q25 CIO Survey – Key Points Industry Overview - The survey focuses on the **US Tech** industry, particularly the **IT budget outlook** for 2026, highlighting trends in **Software**, **Communications**, **Hardware**, and **IT Services** sectors [2][40]. Core Insights 1. **IT Budget Growth Expectations**: - IT budget growth is expected to moderate from **+3.5% in 2025 to +3.4% in 2026**, a decline of **8 basis points** [2][40]. - Sequentially, the growth expectation for 2026 deteriorated from **+3.8% YoY** in the previous quarter [2][40]. 2. **Sector-Specific Trends**: - **Software**: Expected to see a modest acceleration in growth to **+3.8%** in 2026, up **9 basis points YoY** [2][40]. - **Communications**: Growth is expected to decelerate to **+2.2%**, down **27 basis points YoY** [2][40]. - **Hardware**: Anticipated growth is only **+1.0%**, a significant drop of **58 basis points YoY** [2][40]. - **IT Services**: Expected to grow by **+2.0%**, a slight decrease of **3 basis points YoY** [2][40]. 3. **Regional Insights**: - US CIOs expect budget growth of **+3.5%**, while EU counterparts anticipate **+3.1%**, indicating a narrowing gap between the two regions [2][40]. 4. **CIO Sentiment**: - The **1-year up-to-down ratio** for budget revisions fell to **0.5x**, indicating a more cautious outlook among CIOs [2][40]. - The percentage of CIOs expecting budget increases dropped to **17%**, while those expecting decreases rose to **36%** [2][40]. 5. **AI and IT Spending**: - **Artificial Intelligence** remains the top priority for CIOs, with **68%** planning to engage service providers for AI projects [40]. - **81%** of CIOs expect to have GenAI-based workloads in production by the end of 2026, up from **79%** in the previous quarter [40][37]. Additional Insights 1. **Hiring Expectations**: - **33%** of CIOs expect overall hiring to decrease in 2026, while **18%** expect an increase, reflecting a cautious hiring outlook [6][40]. - **63%** of CIOs believe AI-related IT spending will impact hiring plans, with a significant portion expecting hiring to decrease [6][40]. 2. **K-Shaped IT Budget**: - CIOs may be reallocating budgets from less strategic areas to prioritize AI-related investments, indicating a shift in spending dynamics [6][40]. 3. **Vendor Insights**: - Microsoft, Google, and Amazon are expected to gain the largest incremental share of GenAI spend in 2026, with Microsoft leading at **35%** [8][11][40]. - The survey indicates a trend towards consolidating IT spending with fewer vendors, particularly in software [6][40]. 4. **Concerns Over Hardware Spending**: - Hardware budgets are projected to grow at the slowest rate since 2009, raising concerns about potential demand destruction in the sector [18][40]. 5. **Long-Term Outlook**: - CIOs' confidence in the long-term spending environment has moderated, with only **38%** expecting IT spending as a percentage of revenue to increase over the next three years [40]. Conclusion The 4Q25 CIO Survey indicates a cautious outlook for IT budgets in 2026, with sector-specific deceleration, particularly in Hardware and Communications. Despite the excitement surrounding AI, the anticipated growth in IT budgets does not fully align with expectations, suggesting a need for strategic reallocations and a focus on consolidating vendor relationships.

Core Insights - A select group of stocks, including Zoom Video Communications (ZM), saw significant gains during the pandemic, particularly those categorized as stay-at-home stocks [1] - Zoom's stock currently holds a Zacks Rank 1 (Strong Buy), indicating positive sentiment from analysts regarding its earnings per share (EPS) revisions [1][9] Company Overview - Zoom Video Communications offers a cloud-native unified communications platform that integrates video, audio, phone, screen sharing, and chat functionalities, which contributed to its popularity during the pandemic [2] - The stock experienced explosive sales growth during the pandemic, but this growth has significantly leveled off in recent years, impacting its stock price negatively [3] Financial Performance - EPS expectations for the current fiscal year are positive, with the Zacks Consensus EPS estimate at $5.96, reflecting an increase of nearly 13% year-over-year [4] - Revenue expectations for the current fiscal year are also optimistic, with an anticipated $4.8 billion, up approximately 2% compared to the previous year [4] Market Position - Despite the initial acclaim during the COVID era, Zoom's growth has been hindered by a return to office trends and other developments, leading to a decline in attention and stock performance [9] - Recent positive estimate revisions have contributed to a resurgence in the stock's ranking, now classified as a Strong Buy [8][9]

Core Insights - TELUS Corporation is engaging TD Securities Inc. and Jefferies Securities, Inc. as financial advisors to strategize the monetization of its TELUS Health business, which serves over 160 million lives globally and has generated $1.5 billion in operating revenue year-to-date as of Q3 2025 [1][2] Group 1: TELUS Health Business Overview - TELUS Health operates in over 200 countries and territories, generating an EBITDA of $258 million and cash flow of $99 million as of Q3 2025 [1] - The company views TELUS Health as a world-class digital asset with significant growth potential, particularly in AI products and international expansion [2] Group 2: Strategic Partnerships and Monetization - The monetization strategy aims to identify a strategic partner to enhance value creation by adding complementary skills and customer reach [2] - TELUS Health is considered a key near-term monetization opportunity that aligns with TELUS' deleveraging targets, aiming for a net debt to adjusted EBITDA ratio of approximately 3.4 times in 2025, reducing to around 3.3 times by the end of 2026 [2] Group 3: Financial Performance and Future Outlook - TELUS is targeting a minimum 10% compounded annual growth rate in free cash flow through 2028, supported by a strong operational and financial performance [2] - The engagement of financial advisors is part of a disciplined capital allocation framework that has consistently defined TELUS' approach to value creation [2]

Core Viewpoint - ZTE Corporation (00763) has seen a stock price increase of 4.06%, reaching HKD 29.22, with a trading volume of HKD 430 million, indicating positive market sentiment towards the company [1][4]. Group 1: Company Developments - ZTE has stated that there is a trend of integration between communication technologies in the commercial aerospace sector and terrestrial communication networks, positioning itself as a global leader in this field [1][4]. - The company is focused on building a space-ground integrated communication network aimed at 6G, having conducted multiple NTN technology trials in collaboration with domestic operators and satellite companies, achieving significant breakthroughs [1][4]. - ZTE plans to leverage its advantages in industry standardization, core technologies, and product specifications to provide comprehensive satellite payload products, thereby enhancing the core competitiveness of its partners [1][4]. Group 2: Industry Insights - Huaxi Securities has released a report stating that satellite networks are foundational for the construction of 6G networks, aligning with current standards and timelines for development [1][4]. - Since August, relevant authorities have indicated plans to issue satellite internet licenses, marking a critical first step towards commercial operations in China's satellite internet sector, which is expected to accelerate the entire industry's move towards scaling [1][4].

Group 1 - ZTE Corporation (000063) saw a stock increase of over 4%, currently trading at 29.2 HKD with a transaction volume of 370 million HKD [1] - The company stated on its interactive platform that there is a trend of integration between communication technology in the commercial aerospace sector and terrestrial communication networks, positioning itself as a global leader in communication technology [1] - ZTE has collaborated with domestic operators and satellite companies to conduct multiple NTN technology trials, achieving breakthroughs in the process [1] Group 2 - ZTE aims to leverage its leading advantages in communication industry standardization, core technology, and product specifications to provide comprehensive satellite payload products, helping partners build core competitiveness [1] - Huaxi Securities (002926) released a report indicating that satellite networks serve as the foundation for 6G network construction, aligning with current 6G standards and timelines [1] - Since August, relevant authorities have announced plans to issue satellite internet licenses, marking a significant step towards commercial operation of satellite internet in China, which is expected to accelerate the entire industry chain towards scaling [1]

Core Viewpoint - The company emphasizes its commitment to developing satellite communication technology, particularly focusing on the integration of satellite and terrestrial networks for 6G applications [1] Group 1: Company Initiatives - The company is recognized as a global leader in communication technology and is dedicated to building a satellite-ground integrated communication network [1] - The company has collaborated with domestic operators and satellite companies to conduct multiple NTN (Non-Terrestrial Network) technology trials, achieving significant breakthroughs [1] Group 2: Future Outlook - The company plans to leverage its leading position in the communication sector to offer comprehensive satellite payload products, aiding partners in building core competitiveness [1]

Group 1 - The core point of the article is the establishment of Hainan Qianyin Communication Technology Co., Ltd., which includes AI software development among its business activities [1] - The company has a registered capital of 30 million yuan, indicating a significant investment in the technology sector [1] - The business scope of the new company includes 5G communication technology services, IoT technology services, digital technology services, network and information security software development, and artificial intelligence application software development [1] Group 2 - Hainan Qianyin Communication Technology Co., Ltd. is jointly held by Hainan Huatie (603300) and other stakeholders, reflecting collaboration in the industry [1]

Core Viewpoint - TELUS Corporation's leadership team and board members have demonstrated confidence in the company's value and growth prospects by acquiring additional shares, while the company is actively repurchasing shares as part of its normal course issuer bid (NCIB) to enhance shareholder value [1][3][4]. Group 1: Shareholder Actions - Several members of TELUS' board and executive leadership, including CEO Darren Entwistle, acquired a total of 357,090 TELUS shares in November and December, indicating strong confidence in the company's long-term growth [1]. - As of December 31, 2025, senior officers and board members collectively hold approximately 2.4 million TELUS common shares, with Darren Entwistle taking his entire salary in TELUS shares since 2024, reinforcing alignment with shareholder interests [2]. Group 2: Share Repurchase Program - TELUS has repurchased 2,299,753 common shares at an average price of $17.3932 per share, representing an 18% discount to the average share price over the past year, as part of a $500 million share buyback program initiated on December 17, 2025 [3][4]. - The share repurchases are part of TELUS' strategy to address the perceived undervaluation of its shares and are aligned with its deleveraging program, aiming for a net debt to adjusted EBITDA ratio of approximately 3.3 times by the end of 2026 [4]. Group 3: Financial Performance and Growth Targets - TELUS is committed to achieving a minimum 10% compounded annual growth rate in free cash flow through 2028, which supports its deleveraging efforts and overall financial health [4]. - The company is systematically stepping down its discounted dividend reinvestment plan (DRIP) starting in the first quarter of 2026, reflecting its strong operational and financial performance [4]. Group 4: Company Overview - TELUS operates in over 45 countries, generating more than $20 billion in annual revenue and serving over 20 million customer connections through its broadband services [7]. - The company is focused on leveraging technology for positive human outcomes and has made significant contributions to community initiatives, including over $6 million in bursaries to students in Canada [7].