Core Insights - Astera Labs (ALAB) is expected to report fourth-quarter 2025 results on February 10, with projected revenues between $245 million and $253 million, indicating a 6% to 10% increase from the previous quarter [2] - The earnings per share (EPS) is anticipated to be approximately 51 cents, reflecting a 37.84% growth compared to the same quarter last year [3] Revenue and Earnings Expectations - The Zacks Consensus Estimate for fourth-quarter 2025 revenues is currently at $249.79 million, which represents a 77.03% increase from the year-ago quarter [2] - ALAB's earnings have consistently exceeded the Zacks Consensus Estimate in the past four quarters, with an average earnings surprise of 29.79% [3] Growth Drivers - The revenue growth for Astera Labs in Q4 2025 is likely driven by increasing demand for AI servers and data center infrastructure, particularly across its product lines: Aries, Scorpio, and Taurus [4] - The Aries product line, especially the PCIe Gen 6 smart retimers, is expected to significantly contribute to growth, with over 20% of third-quarter revenues coming from this segment [5] - Scorpio P-Series fabric switches are anticipated to maintain robust demand, contributing to revenue growth, while initial shipments of Scorpio X-Series solutions will also support this growth [6] - Taurus smart cable modules are expected to see strong demand for their 400-Gig designs, which are essential for AI scale-out connectivity [7] Competitive Landscape - Astera Labs faces stiff competition from companies like Credo Technology, Marvell Technology, and Broadcom, which are also expanding their product offerings in the connectivity space [8][16] - Marvell Technology's recent acquisition of Celestial AI enhances its capabilities in scale-up optical connectivity for large-scale AI deployments [17] - Broadcom has reported a 65% year-over-year increase in AI revenue, reaching $20 billion, driven by demand for AI semiconductors and infrastructure software [17] Financial Metrics - Research and development expenses surged by 55.8% year-over-year to $78.9 million in Q3 2025, with non-GAAP operating expenses expected to rise to approximately $85 million to $90 million in Q4 2025 [8][9] - Non-GAAP gross margins are projected to decline to around 75% in Q4 2025, down from 76.4% in Q3, due to a higher mix of lower-margin Taurus hardware modules [9] Stock Performance and Valuation - Astera Labs shares have declined by 19.7% over the past six months, underperforming the broader Zacks Computer and Technology sector, which returned 10.6% [10] - The stock is currently trading at a forward Price/Sales ratio of 20.34X, significantly higher than the industry average of 4.04X, indicating a stretched valuation [13]

Key Takeaways JKHY shares rose 4.7% in extended trading as Q2 fiscal 2026 earnings of $1.72 per share beat estimates.JKHY posted 7.9% revenue growth, with Services and Processing segments driving gains and margins expanding.JKHY lifted fiscal 2026 guidance, raising GAAP revenue, operating margin and earnings outlook.Jack Henry & Associates, Inc. (JKHY) shares gained 4.7% during Tuesday’s extended trading session after the company reported better-than-expected second-quarter fiscal 2026 results. The company ...

Key Takeaways Amdocs posted Q1 EPS of $1.81, topping estimates and rising 9% year over year.Revenues grew 4.1% YOY to $1.156B and surpassed the consensus mark.FY2026 outlook calls for 1.5-5.5% revenue growth and 4-8% EPS expansion.Amdocs Limited (DOX) shares gained 4% during Tuesday’s extended trading session after the company reported better-than-expected first-quarter fiscal 2026 results. DOX’s non-GAAP earnings of $1.81 per share came above the midpoint of management’s guidance of $1.73-$1.79 and increas ...

Key Takeaways LOGI posted Q3 EPS of $1.93, up 21% Y/Y, while revenues grew 6% to $1.42B, topping estimates.Logitech saw solid growth in gaming, video collaboration, keyboards and pointing devices.Logitech guided Q4 revenues in the range of $1.07-$1.09B, implying 6-8% Y/Y reported growth.Logitech International S.A. (LOGI) reported third-quarter fiscal 2026 non-GAAP earnings of $1.93 per share, which beat the Zacks Consensus Estimate by 7.8%. The bottom line increased 21% on a year-over-year basis.In the thir ...

Core Viewpoint - Zacks Premium provides tools and resources to help investors make informed decisions and enhance their confidence in stock market investments [1] Group 1: Zacks Style Scores - Zacks Style Scores rate stocks based on value, growth, and momentum characteristics, serving as complementary indicators to the Zacks Rank [2] - Each stock receives a rating from A to F, with A indicating the highest potential for outperforming the market [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Group 2: Value Score - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, and Price/Sales [3] Group 3: Growth Score - The Growth Score emphasizes a company's financial health and future growth potential, analyzing projected and historical earnings, sales, and cash flow [4] Group 4: Momentum Score - The Momentum Score identifies trends in stock prices and earnings outlooks, helping investors time their positions based on recent price changes [5] Group 5: VGM Score - The VGM Score combines the three Style Scores to highlight stocks with attractive value, strong growth forecasts, and positive momentum [6] Group 6: Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to simplify portfolio building, with 1 (Strong Buy) stocks achieving an average annual return of +23.9% since 1988 [7] - There can be over 800 stocks rated 1 or 2, making it essential to utilize Style Scores for better stock selection [8] Group 7: Stock Recommendation - Jack Henry & Associates, Inc. (JKHY) is highlighted as a stock to watch, rated 2 (Buy) with a VGM Score of B and a Momentum Style Score of B [11] - JKHY's earnings estimate for fiscal 2026 has increased by $0.16 to $6.45 per share, with an average earnings surprise of +15% [12]

Core Insights - Lantronix, Inc. (LTRX) is expanding into Edge AI-powered drones, positioning itself as a foundational compute partner for next-generation Unmanned Aerial Vehicle (UAV) programs across various markets [1][4] - The company is leveraging its new Drone Reference Platform to facilitate rapid development for drone OEMs, significantly reducing the time from concept to flight-ready prototype [1][4] Company Developments - The Drone Reference Platform is built around the Open-Q 8550 µSOM, utilizing Qualcomm's Dragonwing QCS8550 SoC for AI-class processing power, enabling real-time perception and autonomy [2][3] - Key features include a Linux-based software stack for quick AI model deployment, integration with Native FLIR Hadron 640 for video processing, and compatibility with Pixhawk + PX4 for reliable flight control [3] Market Position and Growth - Lantronix's entry into turnkey drone compute platforms enhances its role as a key supplier in defense, intelligence, and commercial UAV markets, moving beyond connectivity to provide critical compute and AI capabilities [4] - The global drones market is projected to grow from $9.29 billion in 2026 to $14.52 billion by 2031, reflecting a compound annual growth rate (CAGR) of 9.34% [4] Financial Outlook - For the second quarter of fiscal 2026, LTRX anticipates revenue between $28 million and $32 million, with a midpoint estimate of $30 million, and a projected non-GAAP EPS between 2 cents and 4 cents [5] Stock Performance - LTRX has a Zacks Rank of 3 (Hold) and its shares have increased by 46.6% over the past year, outperforming the Zacks Computer Networking industry's growth of 28.1% [6]

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores serve as complementary indicators to the Zacks Rank, aiding in stock selection for potential market outperformance [2] Zacks Style Scores Overview - Stocks are rated A, B, C, D, or F based on value, growth, and momentum characteristics, with higher scores indicating better chances of outperforming the market [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5][6] Value Score - Focuses on identifying undervalued stocks using ratios like P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - Evaluates a company's financial strength and future outlook through projected and historical earnings, sales, and cash flow [4] Momentum Score - Targets stocks with upward or downward trends in price or earnings outlook, utilizing factors like one-week price change and monthly earnings estimate changes [5] VGM Score - Combines all three Style Scores to provide a comprehensive indicator for stock selection based on value, growth, and momentum [6] Zacks Rank Integration - The Zacks Rank is a proprietary model based on earnings estimate revisions, with 1 (Strong Buy) stocks achieving an average annual return of +23.9% since 1988, significantly outperforming the S&P 500 [7] - There are over 800 top-rated stocks available, making it essential to use Style Scores for effective stock selection [8] Investment Strategy - For optimal returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [9] - Stocks with a 3 (Hold) rank should also have A or B Scores to maximize upside potential [9] Earnings Estimate Revisions - The direction of earnings estimate revisions is crucial; stocks with lower ranks but high Style Scores may still face downward price pressure [10] Company Spotlight: Okta (OKTA) - Okta provides cloud-based identity solutions and is currently rated 3 (Hold) with a VGM Score of B [11] - The company has a Momentum Style Score of A, with shares increasing by 6.8% over the past four weeks and upward earnings estimate revisions for fiscal 2026 [12] - The Zacks Consensus Estimate for Okta has risen by $0.07 to $3.44 per share, with an average earnings surprise of +9.1% [12]

Core Insights - Zacks Premium provides tools for investors to enhance their stock market strategies, including daily updates, research reports, and stock screens [1][2] Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform the market in the short term [2][3] - Stocks are rated from A to F, with A indicating the highest potential for outperformance [3] Value Score - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, and Price/Sales [3] Growth Score - The Growth Score assesses a company's financial health and future growth potential by analyzing earnings, sales, and cash flow [4] Momentum Score - The Momentum Score identifies trends in stock prices and earnings estimates, aiding investors in timing their stock purchases [5] VGM Score - The VGM Score combines the three Style Scores, providing a comprehensive rating based on value, growth, and momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to identify stocks with high return potential, with 1 (Strong Buy) stocks averaging a +23.93% annual return since 1988 [7][9] - There are typically over 800 stocks rated 1 or 2, making it essential to use Style Scores to narrow down choices [8] Stock Highlight: Ciena Corporation - Ciena Corporation (CIEN) is a leading provider of optical networking equipment and services, currently rated 2 (Buy) with a VGM Score of B [11] - CIEN has a Momentum Style Score of A, with shares increasing by 3.3% over the past four weeks [11] - The Zacks Consensus Estimate for CIEN's fiscal 2025 earnings has risen by $0.01 to $2.49 per share, with an average earnings surprise of +13.9% [12]

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies and confidence [1] - The Zacks Style Scores are designed to help investors identify stocks with the highest potential to outperform the market in the short term [2] Zacks Style Scores Overview - The Style Scores categorize stocks into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [3][4][5][6] - Value Score identifies undervalued stocks using financial ratios [3] - Growth Score emphasizes a company's financial health and future growth potential [4] - Momentum Score focuses on stocks with upward or downward price trends [5] - VGM Score combines all three styles to provide a comprehensive assessment of stocks [6] Zacks Rank and Style Scores Interaction - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist in stock selection [7] - Stocks rated 1 (Strong Buy) have historically outperformed the S&P 500 with an average annual return of +23.93% since 1988 [8] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [9] Stock Example: Infosys (INFY) - Infosys is currently rated 3 (Hold) with a VGM Score of B and a Momentum Style Score of B, having increased by 4.4% in the last four weeks [11] - Recent upward revisions in earnings estimates for fiscal 2026 have raised the Zacks Consensus Estimate by $0.03 to $0.80 per share, with an average earnings surprise of +1.3% [12] - Given its solid Zacks Rank and favorable Style Scores, Infosys is recommended for investors' consideration [12]

Core Insights - Oracle is set to report its second-quarter fiscal 2026 results on December 10, with total revenues expected to grow between 12% to 14% in constant currency and 14% to 16% in dollar terms at current exchange rates, with a consensus estimate of $16.15 billion, indicating a 14.84% increase year-over-year [1] Revenue and Earnings Expectations - Non-GAAP earnings per share are projected to be between $1.58 and $1.62 in constant currency, reflecting an 8-10% growth, and between $1.61 and $1.65 in USD, indicating a 10-12% growth, with a consensus estimate of $1.63 per share, showing a 10.88% increase from the previous year [2] Recent Performance and Trends - In the last reported quarter, Oracle had an earnings surprise of 0.00%, with mixed results over the past four quarters, including two misses and one beat [3] - The company has an Earnings ESP of 0.00% and a Zacks Rank of 3, indicating a neutral outlook for earnings [5] Strategic Developments - Oracle's $300 billion, five-year cloud computing agreement with OpenAI has positioned it as a key AI infrastructure provider, contributing to a 359% year-over-year increase in remaining performance obligations to $455 billion [7][8] - The company introduced significant AI initiatives, including Oracle AI Database 26ai and OCI Zettascale10, the largest AI supercomputer in the cloud, and expanded its partnership with Google Cloud [9][10] Competitive Landscape - Oracle faces intense competition in the cloud space, with Amazon, Microsoft, and Google holding a combined 62% market share in global enterprise cloud infrastructure services [15] - Despite Oracle's strong position in database management and ERP software, competitors are gaining traction in the cloud market [15] Valuation and Financial Considerations - Oracle's stock trades at a price-to-earnings ratio of 29.31, slightly above the industry average and significantly higher than its five-year median of 22.38, indicating a stretched valuation [16] - The company has over $105 billion in debt and projected capital expenditures of $35 billion for fiscal 2026, raising concerns about financial leverage and execution risks [10][19] Conclusion - While Oracle's AI infrastructure transformation shows potential, the premium valuation and execution risks suggest caution for investors, particularly in light of competitive pressures and balance sheet concerns [20]