Market Overview - U.S. stock markets ended positively with the Nasdaq Composite, Dow Jones Industrial Average, and S&P 500 gaining 1.18%, 1.08%, and 0.93% respectively despite mid-week volatility [1] - Market direction was influenced by U.S. policy developments regarding Venezuela, enthusiasm for AI-linked technology stocks, and mixed economic data [1] Economic Indicators - The manufacturing Purchasing Managers' Index (PMI) fell to 47.9 in December 2025, the lowest since October 2024, indicating contraction [2] - Conversely, the Services PMI unexpectedly rose to 54.4 in December from 52.6 in the previous month, indicating expansion [2] - Nonfarm Payrolls increased by 50,000 jobs in December, below expectations, while the unemployment rate slightly declined to 4.4% from 4.5% in November [2] - Average Hourly Earnings increased by 3.8% year-over-year, up from 3.6% in November [2] Stock Performance - Indivior PLC shares rose 21.7% since being upgraded to Zacks Rank 1 (Strong Buy) on October 31, outperforming the S&P 500's 2% increase [4] - FormFactor, Inc. shares increased by 15.9% since its upgrade to Zacks Rank 2 (Buy) on October 31, also outperforming the S&P 500 [5] - An equal-weight portfolio of Zacks Rank 1 stocks outperformed the equal-weight S&P 500 index by 7 percentage points, returning +17.81% compared to +10.85% for the index [5] Focus List and Model Portfolios - The Zacks Focus List portfolio returned +22.1% in 2025, outperforming the S&P 500 index's +17.9% gain [12] - The Focus List has consistently outperformed the S&P 500 over various time frames, including a +22.1% return in the last year compared to +17.9% for the index [14] - The Earnings Certain Admiral Portfolio (ECAP) returned -1.67% in 2025, underperforming the S&P 500's +17.9% gain [15] - The Earnings Certain Dividend Portfolio (ECDP) returned -0.6% in 2025, also underperforming compared to the S&P 500 [19] Notable Stock Recommendations - FIGS, Inc. shares surged 56.8% since being upgraded to Outperform on November 7, significantly outperforming the S&P 500's 3.5% increase [8] - Five Below, Inc. shares increased by 21.7% since its upgrade on October 29, again outperforming the S&P 500 [8] - Mettler-Toledo International Inc. and Accenture plc saw returns of 16.6% and 16.5% respectively over the past 12 weeks [14]

Core Insights - Trimble Inc. is a significant player in the positioning, surveying, and machine control products sector, with a market capitalization of $19.1 billion, integrating physical and digital solutions across various industries [1][2] Financial Performance - Trimble's stock price reached a three-year high of $87.50 on August 6, currently trading 8.3% below that peak, and has seen a decline of 77 basis points over the past three months, underperforming the Nasdaq Composite's 4.8% gains during the same period [3] - Year-to-date, Trimble's stock has gained 13.6% and 7.2% over the past 52 weeks, while the Nasdaq has surged 20.1% in 2025 and 16.5% over the past year [4] - Following the release of Q3 results on November 5, Trimble's stock gained 2.5%, with organic revenues increasing and overall topline growth of 2.9% year-over-year to $901.2 million, alongside a 15.7% rise in adjusted EPS to $0.81, surpassing consensus estimates by 12.5% [5] Market Position - Trimble has outperformed its peer, Fortive Corporation, which has seen a 26.8% decline year-to-date and a 28.5% drop over the past 52 weeks [6] - Among analysts covering Trimble, the consensus rating is a "Strong Buy," with a mean price target of $97.70, indicating a potential upside of 21.7% from current levels [6]

Core Insights - Teledyne Technologies Incorporated (TDY) is a leading provider in sophisticated instrumentation with a market cap of $24.1 billion, focusing on aerospace and defense electronics, digital imaging products, and monitoring instrumentation [1][2] Company Overview - TDY is categorized as a large-cap stock due to its market cap exceeding $10 billion, indicating its substantial size and influence in the scientific & technical instruments industry [2] - The company has a diversified product portfolio enhanced through strategic acquisitions, which improves its technological capabilities and market reach [2] - TDY's innovation, investment in R&D, global presence, and long-term contracts contribute to its competitive edge over peers [2] Stock Performance - TDY's stock has declined 13.4% from its 52-week high of $595.99, reached on October 7, and has underperformed the Technology Select Sector SPDR Fund (XLK) by declining 5.3% over the past three months compared to XLK's 10.1% gains [3] - Over a six-month period, TDY shares rose 3.1% and increased 9.6% over the past 52 weeks, but still underperformed compared to XLK's 23.5% and 26.1% gains respectively [4] - The stock has been trading below its 200-day moving average since mid-November and below its 50-day moving average since late October, indicating a bearish trend [4] Recent Financial Results - In Q3, TDY reported an adjusted EPS of $5.57, exceeding Wall Street expectations of $5.50, and revenue of $1.54 billion, surpassing forecasts of $1.52 billion [5] - The company anticipates a full-year adjusted EPS in the range of $21.45 to $21.60 [5] Competitive Landscape - Keysight Technologies, Inc. (KEYS) has outperformed TDY, showing a 30.1% increase over six months and 26% gains over the past 52 weeks [6]

Company Overview - Teledyne Technologies Incorporated (TDY) is valued at a market cap of $26.4 billion and specializes in high-technology components, systems, and instrumentation products for industrial growth markets [1] - The company is based in Thousand Oaks, California, and its offerings include digital imaging, environmental monitoring, aerospace & defense electronics, and engineered systems [1] Market Position - TDY is classified as a "large-cap stock" due to its market cap exceeding $10 billion, highlighting its size and influence in the scientific & technical instruments industry [2] - The company emphasizes innovation, precision engineering, and long-term customer relationships, positioning it well in industries requiring accuracy and reliability [2] Stock Performance - Currently, TDY is trading 1.4% below its 52-week high of $570.56, reached on July 23 [3] - Over the past three months, TDY shares have surged 15.1%, outperforming the Technology Select Sector SPDR Fund's (XLK) return of 14.3% [3] - In the longer term, TDY has rallied 31.8% over the past 52 weeks, surpassing XLK's 27.1% increase during the same period [4] - Year-to-date, TDY shares are up 21.2%, compared to XLK's 18.8% rise [4] - TDY has been trading above its 200-day moving average for the past year and has remained above its 50-day moving average since early May [4] Financial Performance - On July 23, TDY reported Q2 results with a quarterly revenue increase of 10.2% year-over-year to a record $1.5 billion, exceeding consensus estimates by 2.7% [5] - The adjusted EPS for the quarter was $5.20, reflecting a growth of 13.5% from the same period last year and 3.6% ahead of analyst expectations [5] Competitive Landscape - TDY has outperformed its rival, Keysight Technologies, Inc. (KEYS), which gained 13.8% over the past 52 weeks and 10% year-to-date [6]

Company Overview - Keysight Technologies, Inc. is based in Santa Rosa, California, and provides electronic design and test solutions across various industries, including energy, semiconductor, electronics, and defense [1] - The company has a market capitalization of $29.5 billion, categorizing it as a large-cap stock, which reflects its substantial size and influence in the scientific and technical instruments industry [2] Stock Performance - Keysight's stock reached a two-year high of $186.20 on February 19 and is currently trading 7.6% below that peak, with a nearly 6% gain over the past three months, which is significantly lower than the Nasdaq Composite's 13.4% increase during the same period [3] - Year-to-date, Keysight's stock has gained 7.1% and 15.1% over the past 52 weeks, while the Nasdaq Composite has surged by 15.7% in 2025 and 27% over the past year [4] Financial Results - In Q3, Keysight reported revenues of $1.4 billion, an 11.1% year-over-year increase, exceeding Street expectations by 2.9%. However, there was a contraction in adjusted net margin, resulting in a modest 8% growth in adjusted net income to $297 million [5] - The adjusted EPS of $1.72 surpassed consensus estimates significantly, and after an initial drop of nearly 3% following the Q3 results, the stock rebounded more than 5% in the subsequent trading sessions [6] Competitive Position - Compared to its peer Trimble Inc., Keysight has underperformed, with Trimble achieving 14.5% gains in 2025 and a 38.5% increase over the past 52 weeks [7]

Company Overview - Fortive Corporation (FTV) is valued at a market cap of $16.5 billion and operates as a diversified industrial technology company, providing professional and engineered products, software, and services [1] - The company is based in Everett, Washington, and offers connected workflow solutions, including professional instrumentation, industrial automation, sensing, analytics software, and healthcare workflow tools under notable brands such as Fluke, Tektronix, Accruent, ServiceChannel, and Landauer [1] Market Position - FTV is classified as a "large-cap stock" due to its market cap exceeding $10 billion, highlighting its size, influence, and dominance in the scientific and technical instruments industry [2] - The company's portfolio includes well-known brands like Fluke, Industrial Scientific, Accruent, and Gordian, with offerings in industrial safety, productivity software, facility management, and healthcare compliance solutions [2] Stock Performance - Fortive's stock has experienced a significant decline, dropping 41.7% from its 52-week high of $83.32 reached on February 20, and has plunged 30.1% over the past three months, underperforming the broader Dow Jones Industrial Average, which rose by 8.7% during the same period [3] - Over the past 52 weeks, FTV's stock has declined by 34%, while the Dow Jones Industrial Average has increased by 10.9% [4] - Year-to-date, shares of FTV are down 35.3%, compared to a 7.9% uptick in the Dow Jones Industrial Average [4] Financial Performance - In the second quarter, Fortive reported revenue of approximately $1.02 billion from continuing operations, reflecting a slight year-over-year decline, with core revenue also slipping marginally [5] - Despite the modest sales decline, the company's profitability remained steady, with adjusted EPS improving to $0.58 from $0.56 in the prior year [5] Competitive Landscape - Fortive has underperformed compared to its rival, Cognex Corporation (CGNX), which saw a stock surge of 14.2% over the past 52 weeks and 23.2% on a year-to-date basis [6]