Financial Data and Key Metrics Changes - For Q4 2025, the company reported net sales of $5.5 billion, an increase of 5% year-over-year, and gross profit of $1.25 billion, up 9% [5][6] - Full-year 2025 results showed net sales of over $22 billion, up 7%, with gross profit nearly $5 billion, up 6% [8][9] - Non-GAAP operating income for Q4 was $503 million, up 1%, and non-GAAP net income per share was $2.57, up 4% [6][21] - Full-year non-GAAP net income per diluted share reached $10.02, up 5% [8][27] Business Line Data and Key Metrics Changes - Strong double-digit growth was observed in software, cloud, and professional managed services, contributing to the highest gross margin of the year [6][12] - Corporate sales were relatively flat, down 1%, while small business sales grew by 18% [10][11] - The healthcare segment increased by 5%, and education saw a 13% increase in top line [11][12] Market Data and Key Metrics Changes - U.K. and Canadian operations delivered sales of $2.7 billion in 2025, with strong performance in small business and state and local markets [10] - The public sector showed growth in healthcare and government, with state and local growth offsetting declines in federal due to the government shutdown [11][12] Company Strategy and Development Direction - The company aims to deliver sustainable, profitable growth by deepening customer value and deploying capital with discipline [19][32] - A focus on AI solutions is evident, with the company positioning itself to lead in the AI era through its full stack, full lifecycle offerings [15][16] - The company plans to maintain a target of returning 50%-75% of adjusted free cash flow to shareholders through dividends and share repurchases [31][32] Management's Comments on Operating Environment and Future Outlook - Management noted that the IT addressable market is expected to grow in the low single digits in 2026, with CDW targeting 200-300 basis points of outperformance [18][35] - The company anticipates gross profit growth in the low single digits for 2026, with a slight increase in gross margin compared to 2025 [36][37] - Management expressed optimism about AI adoption among customers and its potential to drive growth [56][57] Other Important Information - The company reported adjusted free cash flow of $1.09 billion for the full year, representing 82% of non-GAAP net income [30] - The company has made a tuck-in acquisition to enhance capabilities in the education sector [31][32] Q&A Session Summary Question: Impact of memory price changes on demand - Management indicated that there is uncertainty regarding the impact of memory prices on demand, but they expect a similar pull forward in Q1 as seen in Q4 [40][41] Question: SG&A expenses and operating leverage - Management acknowledged that SG&A expenses are expected to show operating leverage in 2026, with a focus on optimizing costs [43][45] Question: IT budget allocation for 2026 - Management expects client device growth to remain strong, with cloud, SaaS, and security categories continuing to be important [59][60] Question: Corporate versus small business performance - Management noted differences in spending cycles, with small businesses being more agile in adopting AI compared to larger corporations [70][72]

Advanced Micro Devices (AMD) stock has been riding the AI wave with an upside of 116% in the last 52 weeks. Further, according to Holly Newman Kroft, managing director at Neuberger Berman Private Wealth, the “AI euphoria is far from finished.” The big investments in AI will therefore continue to benefit the “Magnificent Seven tech companies” and the other participants with a product portfolio that benefits from the structural tailwinds. AMD is among the high-performance computing companies that are positi ...

The Zacks Communication - Components industry appears well poised to capitalize on the healthy demand trends driven by the fast-track 5G deployment and the transition to cloud and fiber networks. However, volatility in prices due to elevated customer inventory levels, high capital expenditure for infrastructure upgrades, margin erosion, geopolitical conflicts and tariff wars has dented the industry’s profitability.Nevertheless, Corning Incorporated (GLW) , Ciena Corporation (CIEN) and Ooma, Inc. (OOMA) are ...

Key Takeaways Corning beat Q4 EPS and revenue estimates, with optical communications sales up 24.3% year over year. GLW is positioned for AI-driven data center growth with high-speed optical fiber, cables and connectors.Corning raised its Springboard targets and sees up to $11B in incremental annualized sales by 2028.Corning Inc. (GLW) – a giant communication components manufacturer – reported strong fourth-quarter 2025 earnings results. Adjusted earnings per share (EPS) of $0.72 surpassed the Zacks Consens ...

Core Insights - Manhattan Associates reported revenue of $270.39 million for the quarter ended December 2025, reflecting a year-over-year increase of 5.7% and exceeding the Zacks Consensus Estimate of $264.25 million by 2.32% [1] - The company's EPS for the quarter was $1.21, up from $1.17 in the same quarter last year, and surpassed the consensus EPS estimate of $1.11 by 9.01% [1] Revenue Breakdown - Cloud subscriptions revenue was $108.56 million, slightly below the average estimate of $109.02 million, but showed a year-over-year growth of 20.2% [4] - Maintenance revenue reached $32.28 million, exceeding the average estimate of $29.56 million, but represented a decline of 3.8% year over year [4] - Hardware revenue was reported at $6.9 million, surpassing the estimated $5.94 million, but showed a decrease of 1% compared to the previous year [4] - Software license revenue was $2.64 million, significantly higher than the average estimate of $1.92 million, but reflected a substantial year-over-year decline of 51.5% [4] - Services revenue amounted to $120.01 million, exceeding the average estimate of $118 million, with a modest year-over-year increase of 0.4% [4] - Total revenue from Cloud Subscriptions, Maintenance, and Services was $260.85 million, surpassing the average estimate of $256.59 million [4] Stock Performance - Over the past month, shares of Manhattan Associates have returned +0.6%, compared to a +0.4% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Core Viewpoint - Ciena Corporation is viewed as a strong investment for 2026, but recent downgrades by Bank of America highlight concerns over peaking backlog levels and high valuation following a significant stock surge [1][3]. Financial Performance - In Q4 2025, Ciena reported revenue of $1.35 billion, marking a 20% year-over-year increase, with quarterly EPS rising 69% to $0.91 [2]. - Full-year revenue reached a record $4.77 billion, with annual EPS at $2.64, reflecting a 45% increase from 2024 [2]. - The company secured a record $7.8 billion in annual orders, resulting in a backlog of $5 billion, with $3.8 billion attributed to hardware and software [2]. Business Segments - Ciena's growth was driven by various segments, particularly those supporting AI infrastructure and cloud scaling [3]. - The Routing and Switching business experienced a 49% year-over-year growth, while Global Services grew by 25% [3]. - The Interconnect portfolio generated over $168 million in revenue for fiscal 2025, and the Blue Planet division contributed $115 million [3]. Market Position - Ciena expanded its optical market share by two points year-to-date, driven by increasing demand from cloud providers [3]. Company Overview - Ciena Corporation is a network technology company providing hardware, software, and services for network operators across multiple regions, including the Americas, Europe, the Middle East, Africa, Asia Pacific, Japan, and India [4].

Company Overview - Trimble Inc. (TRMB) is valued at $17.6 billion and operates as a global technology company providing hardware, software, and data solutions across various industries including construction, geospatial, transportation, agriculture, and utilities [1] - The company focuses on advanced positioning, scanning, and analytics technologies, which enhance accuracy, productivity, and asset management for professionals [1] Earnings Expectations - Analysts anticipate that TRMB will report a profit of $0.82 per share for the fiscal fourth quarter of 2025, reflecting a 12.3% increase from the same quarter last year [2] - For FY2025, EPS is expected to be $2.56, representing a 15.8% increase from $2.21 in fiscal 2024, with further growth projected to $2.87 in fiscal 2026, a 12.1% year-over-year rise [3] Stock Performance - TRMB stock has seen a marginal decline over the past year, underperforming the S&P 500 Index, which gained 15.1%, and the Technology Select Sector SPDR Fund, which rose by 26.4% during the same period [4] - A notable drop of approximately 5.7% occurred on January 16, following the CEO's sale of 7,500 shares, which raised investor concerns and triggered technical selling when the stock fell below its 200-day moving average [5] Analyst Ratings - The consensus opinion among analysts on TRMB stock is bullish, with a "Strong Buy" rating from 11 out of 13 analysts, one suggesting a "Moderate Buy," and one giving a "Hold" [6] - The average analyst price target for TRMB is $97.91, indicating a potential upside of 32.5% from current levels [6]

Group 1 - Munro Global Growth Fund reported a return of -0.7% in the December quarter of 2025, with long positions contributing positively while short positions, hedging, and currencies detracted from performance [1] - Global equity markets performed well in 2025, with the S&P 500 increasing by 2.4% and the Nasdaq by 2.3% during the quarter, while Europe and Japan also showed strong performance [1] - The Fund highlighted Ciena Corporation (NYSE:CIEN) as a key stock, which closed at $238.38 per share on January 14, 2026, reflecting a one-month return of 13.13% and a 52-week gain of 183.65% [2] Group 2 - Ciena Corporation (NYSE:CIEN) is recognized for its significant role in networking, particularly for hyperscalers building out data center infrastructure, as noted in the Fund's investor letter [3] - Ciena Corporation has a market capitalization of $33.625 billion, indicating its substantial presence in the network technology sector [2]

Core Viewpoint - Rockwell Automation, Inc. (ROK) is positioned as a leading player in industrial automation and digital transformation, with a market cap of $46.1 billion and is set to announce its fiscal Q1 earnings for 2026 soon [1] Financial Performance - Analysts anticipate ROK to report a profit of $2.48 per share for fiscal Q1 2026, reflecting a 35.5% increase from $1.83 per share in the same quarter last year [2] - For the full fiscal year 2026, ROK is expected to achieve a profit of $12.08 per share, which is a 14.7% increase from $10.53 per share in fiscal 2025, with further growth projected to $13.56 per share in fiscal 2027, representing a 12.3% year-over-year increase [3] Stock Performance - ROK's stock has increased by 51.5% over the past 52 weeks, significantly outperforming the S&P 500 Index's return of 19.7% and the State Street Industrial Select Sector SPDR ETF's increase of 24.2% during the same period [4] - Following the release of impressive Q4 earnings results, ROK shares rose by 2.7% on November 6, with total revenue increasing by 13.8% year-over-year to $2.3 billion, exceeding consensus expectations by 5% [5] Analyst Ratings - Wall Street analysts maintain a "Moderate Buy" rating for ROK, with 12 out of 24 analysts recommending "Strong Buy" and the remaining 12 suggesting "Hold" [6] - Although ROK is currently trading above its mean price target of $409.36, the highest price target of $470 indicates a potential upside of 13.5% from current levels [6]

Group 1 - Ciena Corporation (NYSE:CIEN) is experiencing a surge in orders and expanding into new markets due to growing AI networking opportunities following strong Q4 results [1] - Argus raised Ciena's price target to $280 from $135 while maintaining a Buy rating, indicating strong confidence in the company's growth potential [1] - UBS analyst David Vogt increased the price target to $230 from $120, maintaining a Neutral rating, reflecting a cautious optimism after the Q4 2025 earnings report [2] - B. Riley nearly doubled its price target for Ciena to $222 from $113 while keeping a Neutral rating, following a Q4 beat on revenue and earnings driven by growth in Optical Networking and Cloud services [3] Group 2 - Ciena has a record backlog of $5 billion, indicating strong demand for its products and services [3] - The company provides hardware, software, and services for network operators across various regions including the Americas, Europe, the Middle East, Africa, Asia Pacific, Japan, and India [4]