Core Insights - Dycom Industries, Inc. is experiencing significant growth driven by demand for telecommunication and digital infrastructure, including data centers [1][5] - The company has raised its full-year revenue outlook following a record third quarter performance [6] Financial Performance - Dycom reported record earnings of $3.63 for the Fiscal 2026 third quarter, exceeding the Zacks Consensus Estimate of $3.15 by $0.48 [3] - Contract revenue reached a record $1.45 billion, up 14.1% from $1.27 billion year-over-year, with organic growth of 7.2% [4] - The company generated strong operating cash flows of $220 million and has a record backlog of $8.2 billion [5] Future Outlook - The midpoint of Dycom's revenue outlook for Fiscal 2026 has been increased to a range of $5.35 billion to $5.425 billion, indicating total growth of 13.8% to 15.4% over the previous year [6] - Fourth quarter earnings guidance is set between $1.62 and $1.97, surpassing the Zacks Consensus of $1.34 [6] - Analysts have raised earnings estimates for both Fiscal 2026 and 2027, projecting earnings growth of 14.5% and 22% respectively [7][8] Market Performance - Dycom shares have reached new all-time highs this year, significantly outperforming the S&P 500 [10] - The company has a forward price-to-earnings (P/E) ratio of 32.5, with a PEG ratio of 1.78, indicating a balance of growth and value [12][14] - The price-to-sales (P/S) ratio stands at 1.9, which is considered relatively low compared to technology companies involved in the AI sector [14] Investment Consideration - Dycom Industries is positioned as a potential investment opportunity for those interested in companies involved in AI infrastructure [15]

Group 1 - AT&T Inc. is recognized as one of the best communication and media stocks to buy, with a Buy rating and price targets of $31 and $30 from Bernstein and KeyBanc respectively [1][2] - The company announced the deployment of EchoStar's Spectrum, enhancing 5G speed by up to 80%, following a $23 billion acquisition of licenses from EchoStar [2][3] - AT&T has deployed spectrum across 5,300 cities in 48 states, resulting in significant speed increases for mobility customers and AT&T Internet Air customers [3] Group 2 - The company operates a vast telecommunications network providing wireless (5G) and wireline (fiber) services, along with business solutions and entertainment offerings [3]

Core Viewpoint - The Schwab U.S. Dividend Equity ETF (SCHD) is highlighted as an attractive investment option for generating passive income through a diversified portfolio of high-quality dividend stocks, with a focus on steady income growth and total return potential [2][9][13]. Group 1: ETF Overview - The Schwab U.S. Dividend Equity ETF tracks the Dow Jones U.S. Dividend 100 Index, which includes 100 high-quality dividend stocks selected based on dividend yield, five-year dividend growth rate, and financial strength [3]. - The ETF's holdings have an average yield approaching 4% and have grown their payouts at a compound annual rate of over 8% in the past five years, providing a reliable income stream for investors [4][9]. Group 2: Key Holdings - Notable top holdings in the ETF include PepsiCo, Coca-Cola, Chevron, and Verizon, all of which have strong dividend growth records and high current yields, contributing to the ETF's overall performance [6][8]. - PepsiCo, for instance, has a current dividend yield of 3.9% and has increased its dividend for 53 consecutive years, showcasing its financial stability and commitment to returning value to shareholders [6]. Group 3: Performance Metrics - Since its inception in 2011, the Schwab U.S. Dividend Equity ETF has achieved an average annual total return of 11.6%, with over 10% average annualized total returns over the past three, five, and ten-year periods [12]. - The combination of increasing income and potential price appreciation from the underlying companies positions the ETF as a strong option for investors seeking both passive income and capital growth [11].

Core Insights - Five stocks have been added to the Zacks Rank 1 (Strong Buy) List, indicating strong potential for investment. Group 1: Company Performance - Allstate (ALL) is the third-largest property-casualty insurer in the U.S., with a 29.9% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [1] - Harmony Gold (HMY) engages in gold mining and related activities, experiencing a 12.7% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [2] - America Movil, S.A.B. de C.V. (AMX) is the leading telecommunications provider in Latin America, with a 12.6% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [3] - Deutsche Bank (DB), the largest bank in Germany, has seen a 5.5% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [4] - Enersys (ENS) manufactures industrial batteries and has experienced a 5.3% increase in the Zacks Consensus Estimate for current year earnings over the last 60 days [5]

Core Viewpoint - Lumen (LUMN) has received an upgrade to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive earnings outlook that could lead to increased stock prices [1][3]. Earnings Estimates and Stock Price Movement - Changes in a company's future earnings potential, reflected in earnings estimate revisions, are strongly correlated with near-term stock price movements [4]. - Institutional investors utilize earnings estimates to determine the fair value of a company's shares, influencing their buying and selling decisions, which in turn affects stock prices [4]. Zacks Rating System - The Zacks Rank stock-rating system classifies stocks into five groups based on earnings estimates, with a strong track record of performance, particularly for Zacks Rank 1 stocks, which have generated an average annual return of +25% since 1988 [7]. - The Zacks rating system maintains a balanced distribution of "buy" and "sell" ratings across its universe of over 4,000 stocks, ensuring that only the top 20% receive a "Strong Buy" or "Buy" rating [9][10]. Earnings Estimate Revisions for Lumen - For the fiscal year ending December 2025, Lumen is expected to earn -$0.57 per share, unchanged from the previous year, but analysts have raised their estimates by 9.5% over the past three months [8]. Implications of the Upgrade - The upgrade to Zacks Rank 2 positions Lumen in the top 20% of Zacks-covered stocks, suggesting a strong potential for market-beating returns in the near term [10].

Core Viewpoint - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" to maximize returns in a shorter time frame [1] Group 1: Momentum Investing Strategy - Momentum investors often face challenges in determining the right entry point, as stocks can lose momentum when their valuations exceed future growth potential [2] - A safer approach involves investing in bargain stocks that exhibit recent price momentum, utilizing tools like the Zacks Momentum Style Score to identify these opportunities [3] Group 2: Lumen Technologies (LUMN) Analysis - LUMN has shown a four-week price change of 15.8%, indicating growing investor interest and recent price momentum [4] - Over the past 12 weeks, LUMN's stock has gained 73.3%, demonstrating its ability to deliver positive returns over a longer time frame [5] - LUMN has a beta of 1.45, suggesting it moves 45% more than the market in either direction, indicating fast-paced momentum [5] - The stock has a Momentum Score of A, suggesting it is an opportune time to invest in LUMN to capitalize on its momentum [6] - LUMN has a Zacks Rank 2 (Buy) due to upward trends in earnings estimate revisions, which attract more investor interest [7] - The stock is trading at a Price-to-Sales ratio of 0.65, indicating it is relatively cheap, as investors pay only 65 cents for each dollar of sales [7] Group 3: Additional Investment Opportunities - Besides LUMN, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, suggesting further investment opportunities [8] - The Zacks Premium Screens offer over 45 different strategies tailored to help investors find winning stock picks based on their personal investing styles [9]

Core Insights - Comcast Corporation (NASDAQ:CMCSA) is recognized as one of the 15 Best Passive Income Stocks to buy currently [1] - BNP Paribas Exane upgraded Comcast from Underperform to Neutral with a price target of $28 [2] Financial Performance - Comcast reported consolidated adjusted EBITDA of $9.7 billion and adjusted earnings of $1.12 per share [4] - The company generated free cash flow of $4.9 billion and returned $2.8 billion to shareholders through dividends and share buybacks, reducing the share count by 5% [4] - Revenue decreased by 2.7% compared to the previous year, impacted by difficult comparisons due to additional revenue from the Paris Olympics [4] Business Segments - The company is facing structural issues, particularly in the cable segment, and has shifted focus to broadband, which is now maturing and losing subscribers [3] - In Q3 2025, Comcast added 414,000 domestic wireless lines, achieving its highest quarterly result, with wireless penetration exceeding 14% among its broadband base [3]

Group 1: Michael Burry and Scion Asset Management - Michael Burry has wound up his hedge fund, Scion Asset Management, shortly after betting against the AI trade [2][3] - Burry's letter to investors indicated a misalignment between his valuation of securities and market conditions, leading to the liquidation of funds by year-end [3] - Scion disclosed bearish positions in Nvidia and Palantir, with Burry warning about inflated AI valuations and creative accounting practices in the tech sector [3][4] Group 2: Disney's Financial Performance - Disney's stock is declining due to weaknesses in its traditional TV and film businesses, overshadowing growth in streaming and parks [5] - Analysts predict that Disney's results will be impacted by significant costs in the first quarter, including $150 million in pre-opening costs and $400 million from tough theatrical comparisons [6] - Despite challenges, Disney announced a 50% increase in its dividend and plans to double share buybacks to $7 billion by fiscal 2026 [7] Group 3: Broader Market Trends - The Nasdaq index is experiencing a decline of 2%, with major tech stocks like Tesla and Palantir also falling [5] - The AI theme in the market may lead to a reduction in stock buybacks, as companies focus on capital expenditures and face tighter financial conditions [10][12] - Nomura strategist suggests that a potential reacceleration of growth and inflation could lead to a "de facto Fed tightening," impacting market dynamics [11]

Core Viewpoint - The telecommunications company is focused on reducing costs to address customer losses [1] Group 1 - The company is experiencing customer losses and is taking measures to mitigate this issue [1]

Core Insights - Amdocs Limited reported better-than-expected earnings for Q4, with earnings per share (EPS) of $1.83, surpassing the analyst consensus estimate of $1.82, and quarterly sales of $1.150 billion, exceeding the estimate of $1.146 billion [1] - For the first quarter, Amdocs anticipates adjusted EPS in the range of $1.73-$1.79, lower than market estimates of $1.87, and expects sales between $1.135 billion and $1.175 billion, compared to market expectations of $1.153 billion [2] - The company highlighted significant growth in cloud-related activities, which accounted for over 30% of total revenue, and emphasized improved profitability while maintaining R&D commitments [3] Stock Performance - Following the earnings announcement, Amdocs shares fell by 7.5%, trading at $77.64 [4] - Analysts adjusted their price targets for Amdocs after the earnings report, with B of A Securities and Stifel both maintaining a Buy rating but lowering their price targets from $100 to $97 [6]