Billionaire Bill Ackman’s investment firm just picked up more than 2.67 million shares of one magnificent seven stock.The latest 13-F filing with the U.S. Securities and Exchange Commission (SEC) shows Pershing Square Capital Management accumulated $1.76 billion worth of shares in Meta Platforms (META) in the fourth quarter of 2025.META, the parent company of Facebook and Instagram, is trading for around $643 at time of writing, down more than 10% in the past year.Meanwhile, Ackman’s firm unloaded its entir ...

Group 1 - The core viewpoint is that Opry Inc. (OPRA.OQ) has begun to scale its AI browser applications, contributing to its better-than-expected performance, and the trend of AI browsers is accelerating, as evidenced by Google's recent release of Chrome+Gemini [1] Group 2 - In the recent week (February 7 to February 13, 2026), Opry Inc.'s stock price has shown volatility, closing at $12.29 on February 12, 2026, with a single-day decline of 4.88% [2] - The stock has experienced a 5-day price change of 4.24%, but a decline of 3.30% was noted in the period from February 9 to February 12, with a volatility range of 9.44% [2]

Economic Overview - The U.S. economic landscape remains resilient with major indexes moving higher, driven by strong earnings from large technology companies and steady consumer spending [1] - The Dow Jones Industrial Average closed above the 50,000 mark for the first time in February 2026 [1] - Market participants expect the Federal Reserve to begin cutting interest rates later this year, although there is uncertainty regarding new Fed leadership and future monetary policy [1] Inflation and Geopolitical Concerns - Inflation is currently above the Fed's long-term target of 2%, which may lead the central bank to maintain higher interest rates for an extended period [2] - Rising geopolitical tensions pose a significant concern, potentially impacting U.S. exports and corporate profits [2] Investment Trends - Investors are shifting towards steady industrial growth stocks due to concerns over high valuations in technology companies and the costs associated with sustaining the AI revolution [3] - Economic reports are being closely monitored, as even minor surprises could lead to significant market movements [3] Dividend-Paying Stocks - In the current market conditions, investors looking to diversify can consider dividend-paying stocks, which indicate a healthy business model [4] - Stocks that have recently increased dividends tend to exhibit a sound financial structure and can withstand market volatility [4] Company Highlights NetEase (NTES) - NetEase is an Internet technology company based in China, with a dividend of $1.16 per share declared for March 27, 2026, and a dividend yield of 1.9% [5] - Over the past five years, NTES has increased its dividend 10 times, with a payout ratio of 29% of earnings [6] Penske Automotive Group (PAG) - Penske Automotive Group operates automotive and commercial truck dealerships globally, declaring a dividend of $1.40 per share for March 5, 2026, with a dividend yield of 3.2% [7] - PAG has increased its dividend 20 times in the past five years, with a payout ratio of 38% of earnings [8] Urban Edge Properties (UE) - Urban Edge Properties is a real estate investment trust focused on shopping centers, declaring a dividend of 21 cents per share for March 31, 2026, with a dividend yield of 3.7% [9][11] - UE has increased its dividend five times over the past five years, with a payout ratio of 54% of earnings [11] Gilead Sciences (GILD) - Gilead Sciences specializes in developing drugs for HIV treatment, declaring a dividend of 82 cents per share for March 30, 2026, with a dividend yield of 2% [12] - GILD has increased its dividend six times in the past five years, with a payout ratio of 39% of earnings [12] Royal Caribbean Cruises (RCL) - Royal Caribbean Cruises operates multiple global cruise brands, declaring a dividend of $1.50 per share for April 3, 2026, with a dividend yield of 1.2% [13] - RCL has increased its dividend five times over the past five years, with a payout ratio of 26% of earnings [14]

Industry Overview - The Internet Software & Services industry is closely tied to the economy, with initial estimates declining due to concerns over tariffs, inflation, and interest rates, although the economy has remained relatively stable [1] - The industry is characterized by a diverse range of players, which leads to some dissonance, but overall valuations have decreased significantly, making it attractive for investors [4] Key Themes - Technology adoption is crucial for growth, with companies leveraging AI and cloud services to stay competitive, leading to increased demand for software and services [6] - The U.S. economy is performing better than expected, despite concerns about job growth and geopolitical tensions affecting oil prices and supply chains [6] - Subscription-based models are becoming more prevalent, providing stability and allowing companies to retain customers and adjust pricing as needed [7] Market Performance - The Zacks Internet – Software & Services Industry has outperformed the broader Zacks Computer and Technology Sector and the S&P 500, returning 33% over the past year compared to 27.6% and 16.3% respectively [11] - The industry is currently trading at a forward P/E ratio of 223.7X, which is slightly above its median level, indicating that shares are not overvalued on average [14] Company Highlights Criteo S.A. (CRTO) - Criteo operates a commerce media platform that connects advertisers with retailers and publishers, leveraging AI to enhance its services [16][20] - The company has maintained a client retention rate close to 90% and reported a 11% growth in Retail Media ex-TAC contributions [18][19] - Despite a challenging market, Criteo's shares have decreased by 53.5% over the past year, but earnings estimates for 2025 and 2026 have shown positive revisions [23] NetEase, Inc. (NTES) - NetEase is focused on online services, primarily in gaming, which is its largest revenue contributor, supported by a strong in-house R&D team [26][27] - The company has seen significant success with popular game titles and is expanding its international business with new content [28][29] - NetEase's shares have gained 59% over the past year, with positive earnings and revenue growth expected for 2025 and 2026 [29]

Summary of Key Points from the Conference Call Industry Overview - The conference call focuses on the **China Internet Equities** sector, particularly the performance and outlook of major companies within this industry, including **Tencent**, **Alibaba**, **NetEase**, and **Kuaishou** [1][2]. Core Insights and Arguments 1. **Valuation Trends**: - The China internet sector has seen a **38% increase year-to-date (YTD)**, with the one-year forward PE multiple expanding from **14x to 21x**. However, large-cap China internet stocks are trading at **16x**, which is below the **10-year average of 20x**, indicating that valuations are not yet demanding [2][21]. 2. **Growth Areas**: - **AI and Gaming** are highlighted as key growth areas. The demand for AI, particularly in robust inferencing and post-training, is expected to sustain growth. Companies like Tencent and NetEase are well-positioned to benefit from this trend, with Tencent's gaming titles expected to drive growth in 4Q25 and 2026 [3][4]. 3. **Stock Picking Framework**: - The analysis suggests that **Tencent** and **Alibaba** are best positioned to benefit from AI-related growth. Both companies are expected to see earnings upside from a recovery in their associates and joint ventures. The top picks in gaming are **Tencent** and **NetEase**, with potential margin surprises from legacy games [4][19]. 4. **Risks Identified**: - **Geopolitical uncertainty**: Potential chip export restrictions from the US could impact supply chains. - **Competition**: The ongoing price war in quick commerce may lead to deeper losses, with new entrants like PDD and Douyin intensifying competition. - **Market Corrections**: The sector's forward PE of **21x** may make it vulnerable to corrections during risk-off events [5][19]. Additional Important Insights 1. **AI as a Growth Driver**: - AI is expected to be a significant driver for further re-rating in the sector. Companies like **Alibaba** and **Baidu** are leveraging advancements in self-developed chips and cloud revenue acceleration to capture AI demand [23][31]. 2. **Cloud Market Dynamics**: - **AliCloud** is positioned to gain market share, with plans for global expansion and a strong focus on AI capabilities. Tencent's international cloud revenue has also seen high double-digit growth year-over-year [25][31]. 3. **Valuation and Earnings Estimates**: - The report provides a detailed valuation snapshot, indicating that companies like **NetEase** and **Tencent** have favorable PEG ratios, trading at or below **1x PEG**. The analysis suggests that **Pinduoduo** (PDD) has emerged as a value opportunity trading at **10x 2026 PE** [4][11]. 4. **Sum-of-the-Parts Valuation**: - The sum-of-the-parts analysis for **Alibaba** and **Tencent** indicates potential upside of **20%** and **21%**, respectively, based on their core business valuations and strategic investments [36][37]. 5. **Market Sentiment**: - The sentiment in the market remains cautiously optimistic, with large caps like **Tencent**, **Alibaba**, **NetEase**, and **Kuaishou** rated as "Buy" due to their strong fundamentals and growth prospects [9][10]. This summary encapsulates the key points discussed in the conference call, providing insights into the current state and future outlook of the China internet sector.

Summary of Meta Platforms (META US) Conference Call Company Overview - **Company**: Meta Platforms (META US) - **Industry**: Internet Software & Services - **Market Cap**: USD 1,800,864 million [6] Key Financial Metrics - **Q3 25 Revenue Guidance**: USD 47.5-50.5 billion, implying a year-over-year growth of 17-24.4% [2][20] - **Q2 25 Revenue Growth**: +22% [2] - **Full Year 2025 Expenses**: Expected to be USD 114-118 billion [22] - **Capex for FY 2025**: USD 66-72 billion [22] - **2026 Capex Budget**: Similar dollar growth as in 2025, approximately USD 30 billion [2] Growth Projections - **Market Share by 2030**: Expected to reach 31.6% [4] - **User Base**: 3.4 billion users, with expected higher engagement due to AI investments [4] - **Revenue Growth Drivers**: Combination of volume growth (mid-single digit) and pricing growth (low double-digit) leading to double-digit revenue growth [4] Strategic Insights - **AI Investments**: Heavy investments in AI are expected to enhance algorithm efficiency and advertising monetization [4][3] - **WhatsApp Monetization**: Anticipated upside potential from monetizing WhatsApp [4] - **Smart Glasses Engagement**: Meta's involvement in the smart glasses market is seen as a new computing platform opportunity [4] Valuation and Ratings - **Current Share Price**: USD 716.92 [6] - **Target Price**: USD 905.00, implying an upside of approximately 26% [5][6] - **P/E Ratio**: Target P/E for 2026 is set at 26x [5] - **EPS Estimates**: Expected EPS for 2025 is USD 27.98, with a growth trajectory leading to USD 34.32 by 2027 [7][13] Risks and Considerations - **Regulatory Risks**: Potential regulatory actions could impact Meta's ability to leverage user data for AI [30] - **Competition**: Increased competition in the advertising market could affect profitability if AI tools become less efficient [30] - **Capex Intensity**: Higher-than-expected capital expenditures to support AI development could pose risks [30] Additional Insights - **Family Daily Active People (DAP)**: Expected to grow from 3,350 million in 2024 to 3,933 million by 2027 [14] - **Digital Advertising Market Share**: Projected to increase from 23.4% in 2024 to 27.4% by 2027 [14] - **EBITDA Margin**: Expected to remain strong, with a forecast of 51.6% in 2024 [13] This summary encapsulates the key points from the conference call, highlighting Meta Platforms' financial outlook, growth strategies, and potential risks.

Core Insights - The U.S. stock market appears calm with the VIX at around 16, but significant uncertainties remain [1][2] - Ongoing U.S. government shutdown risks and recent Federal Reserve interest rate cuts create a complex market environment [2] - Risk-averse investors may prefer ETFs over individual stocks to mitigate potential losses from company-specific issues [3][4] ETF Advantages - ETFs provide instant diversification, spreading risk across multiple stocks, which helps moderate volatility [5] - They combine diversification with liquidity and transparency, allowing for quick adjustments to market conditions [5] - Sector-specific ETFs enable cautious investors to engage in market gains while limiting exposure to individual company risks [6] Attractive Sectors for Q4 - The Technology sector remains appealing for capital appreciation despite challenges from high interest rates [7] - The Utilities sector offers stability and reliable dividends, making it a classic defensive investment [8] - Financial stocks may benefit from rate cuts, potentially enhancing lending activity and net interest margins [8] Top ETFs to Consider - **Technology Select Sector SPDR ETF (XLK)**: Focuses on tech industries with top holdings in Nvidia (14.86%), Microsoft (12.57%), and Apple (12.33%); gained 22.4% year-to-date [10][11] - **Utilities Select Sector SPDR ETF (XLU)**: Includes electric and water utilities with top holdings in NextEra Energy (11.58%) and The Southern Company (7.77%); surged 16.4% year-to-date [12][13] - **Financial Select Sector SPDR ETF (XLF)**: Covers financial services with top holdings in Berkshire Hathaway (11.92%), JP Morgan Chase (11.21%), and Visa (7.50%); increased 10.5% year-to-date [14]

Core Insights - The article discusses the significant decline in Meta Platforms, Inc. (NASDAQ: META) stock, indicating it was nearing a bottom as of April 15, 2025 [1]. Group 1: Company Performance - The stock of Meta Platforms has been experiencing severe declines, suggesting a challenging market environment [1]. Group 2: Market Analysis - The analysis is informed by over two decades of trading experience, focusing on various asset classes, which may provide insights into potential recovery strategies for Meta Platforms [1].

Group 1: CMS Energy Corporation - CMS Energy Corporation reported better-than-expected earnings for the second quarter on July 31, leading to a recommendation from Jim Cramer to buy the stock [1] - CMS Energy shares fell 0.1% to settle at $70.12 on Friday [5] Group 2: Ramaco Resources, Inc. - Jim Cramer suggested waiting for a pullback on Ramaco Resources, Inc. due to its significant price increase [1] - Jefferies analyst Chris LaFemina maintained a Buy rating on Ramaco Resources and raised the price target from $27 to $45 [1] - Ramaco Resources shares fell 1.6% to close at $30.42 [5] Group 3: Accenture plc - Accenture disclosed the acquisition of IAMConcepts, a Canadian company specializing in identity and access management services, on September 9 [2] - Jim Cramer expressed a positive outlook on Accenture, stating "I don't think it's that bad" and indicated willingness to invest [2] - Accenture shares rose 0.1% to settle at $239.70 on Friday [5] Group 4: Okta, Inc. - Okta reported second-quarter revenue of $728 million, exceeding analyst estimates of $712.01 million, and adjusted earnings of 91 cents per share, beating estimates of 84 cents per share [3] - Jim Cramer expressed a favorable view of Okta, recommending it alongside mentioning PANW [2] - Okta shares fell 0.3% to $93.37 during the session [5] Group 5: Rocket Companies, Inc. - Jim Cramer recommended Wells Fargo over Rocket Companies, Inc. when asked about the latter [3] - On September 4, Rocket and the Bank of Montreal extended and expanded their existing Master Repurchase Agreement [3] - Rocket Companies shares fell 3% to close at $20.51 [5]

Core Insights - Google Chrome has undergone its largest upgrade since its launch in 2008, integrating AI capabilities through the Gemini feature, transforming it into an AI browser [1][3][17] - The introduction of Gemini allows users to interact with multiple tabs and receive assistance in summarizing and organizing information, enhancing productivity for tasks like research and planning [4][6][7] Group 1: AI Features and Functionality - Gemini can summarize information across multiple tabs, acting as a professional assistant for users needing to digest large amounts of data quickly [4][6] - The AI capabilities include answering specific queries about content from various sources, including YouTube videos, without needing third-party plugins [6] - Chrome's address bar has been upgraded to an omnibox that suggests relevant questions based on the content being viewed, enhancing user interaction [9][11] Group 2: Automation and Task Management - The AI browser can perform simple repetitive tasks, such as making reservations or adding items to a shopping cart, based on user commands [7][8] - Users can authorize Chrome to execute multi-step operations automatically, streamlining everyday tasks [7] Group 3: Security Enhancements - Chrome's AI features also focus on security, with the Gemini Nano model identifying and blocking harmful websites and managing notifications intelligently [12][14] - The browser will assist users in changing compromised passwords directly on supported websites, enhancing password security [14][15] Group 4: Market Position and Future Outlook - Chrome maintains a leading global market share among browsers, and the recent updates may signify a shift towards mainstream adoption of AI browsers [17] - The evolution of Chrome into an AI browser could redefine user expectations and interactions with web browsing [17]