Core Insights - Moody's Corporation (MCO) has a market cap of $83.9 billion and operates through two segments: Moody's Analytics and Moody's Investors Service, providing credit ratings, data, analytics, and SaaS-based risk-management solutions [1] Stock Performance - Over the past 52 weeks, MCO shares have underperformed the broader market, declining slightly while the S&P 500 Index increased by 12.3% [2] - Year-to-date, MCO shares are also down compared to the S&P 500's 12.5% gain [2] - MCO shares have lagged behind the Financial Select Sector SPDR Fund's 2.7% rise over the same period [3] Financial Performance - Moody's reported Q3 2025 adjusted EPS of $3.92 and revenue of $2.01 billion, exceeding expectations [4] - The company raised its full-year outlook for adjusted EPS to between $14.50 and $14.75, projecting high-single-digit revenue growth [4] - The ratings business saw an 11% revenue increase, driven by strong bond issuance and tight credit spreads [4] Analyst Expectations - For the fiscal year ending December 2025, analysts expect Moody's adjusted EPS to grow by 17.4% year-over-year to $14.64 [5] - Moody's has a promising earnings surprise history, beating consensus estimates in the last four quarters [5] - Among 23 analysts covering the stock, the consensus rating is a "Moderate Buy," with 11 "Strong Buy" ratings, one "Moderate Buy," and 11 "Holds" [5] Price Target - Mizuho analyst Sean Kennedy raised Moody's price target to $550 while maintaining a "Neutral" rating [6] - The mean price target of $539 represents a 14.6% premium to MCO's current price levels [6] - The highest price target of $620 suggests a potential upside of 31.9% [6]

Core Insights - Baron Durable Advantage Fund's performance in Q3 2025 showed a 5.6% appreciation for Institutional Shares, underperforming the S&P 500 Index which increased by 8.1% during the same period [1] - Year-to-date, the fund is up 13.6%, slightly below the S&P 500's 14.8% gain, indicating a strong rally in U.S. large-cap equity markets since the beginning of 2023 [1] Company Analysis: S&P Global Inc. (NYSE:SPGI) - S&P Global Inc. experienced a 7.5% decline in its stock price during Q3 2025, attributed to cautious commentary from a competitor regarding market demand and margins, which affected the broader information services sector [3] - Despite the decline, S&P Global's management clarified that the trends affecting the company remain stable, and the firm is expected to report positive results driven by increased debt issuance and a recovering capital market [3] - The company's revenue grew by 9% year-over-year in Q3 2025, with subscription revenue increasing by 6%, indicating solid operational performance [4] - S&P Global is not among the 30 most popular stocks among hedge funds, with 106 hedge fund portfolios holding its shares at the end of Q2 2025, a slight decrease from 108 in the previous quarter [4]

Durham, North Carolina-based IQVIA Holdings Inc. (IQV) provides healthcare research services. Valued at $37.6 billion by market cap, the company offers analytics, technology solutions, and clinical research services to the life sciences industry, which helps them in the clinical development and commercialization of medical treatments that improve healthcare outcomes for patients. Shares of this contract research giant have underperformed the broader market over the past year. IQV has gained 12.2% over thi ...

Core Viewpoint - Alpha Modus has expanded its patent claims against Kroger, now asserting nine patents related to AI-driven retail technologies, following a previous settlement in 2025 regarding Cooler Screens technology [1][3][4] Group 1: Patent Claims and Legal Actions - The amended complaint includes U.S. Patent No. 10,853,825 and U.S. Patent No. 12,423,718, enhancing Alpha Modus's portfolio in AI-powered retail engagement and analytics [3] - The complaint alleges that Kroger's use of various AI and computer-vision systems infringes on Alpha Modus's patented technologies for real-time consumer analytics and inventory management [3][4] - Alpha Modus is also pursuing a separate lawsuit against Cooler Screens, Inc. in Illinois, indicating a broader strategy to protect its intellectual property [4] Group 2: Company Strategy and Market Position - By expanding its patent claims, Alpha Modus aims to demonstrate the active development of its technologies, which are essential for modern in-store intelligence [5] - The CEO of Alpha Modus emphasized the importance of enforcement and collaboration, highlighting the company's efforts to integrate its technologies into retail environments and build a national sales platform for 2026 [6] - Alpha Modus's technology portfolio includes methods for real-time shopper analytics, dynamic pricing, and AI-assisted operational management, positioning the company as a key player in the retail technology sector [6][7]

Core Insights - The company reported a year-to-date non-COVID organic growth of 16% in Q3, indicating strong performance and satisfaction with results [1] - The diverse and innovative product portfolio is highlighted, with analytics and protein franchises exceeding expectations in Q3 [1] - The company aims to grow more than 5% above market growth, with projections indicating significant outperformance this year [1]

Core Insights - Block stock has experienced a 14% decline in one week due to disappointing third-quarter results, with revenue and earnings falling short of analyst expectations [2] - The company has raised its full-year gross profit guidance for 2025 to $10.24 billion, an increase from the previous estimate of $10.16 billion [4] Financial Performance - Block reported a gross profit of $2.66 billion, representing an 18% year-over-year increase and exceeding the consensus estimate of $2.60 billion [4] - Revenue growth for Block was 0.5% over the last twelve months (LTM) and averaged 12.6% over the past three years [9] - The company has a free cash flow margin of nearly 7.6% and an operating margin of 9.6% LTM [9] Stock Valuation and Historical Performance - Block stock is currently trading within a historical support range of $62.18 to $68.72, with a historical average peak return of 46.7% after 13 rebounds from this level [3] - The stock has a price-to-earnings (PE) ratio of 12.7 [9]

Core Viewpoint - The article discusses the recent poor performance of certain stocks, highlighting the need for investors to discern between genuine buying opportunities and potential pitfalls in the market [1]. Group 1: Stocks to Sell - **FactSet (FDS)**: The stock has seen a one-month return of -5.7% and is currently trading at $261.06 per share, with a forward P/E ratio of 14.6x [2][3]. - **Kemper (KMPR)**: This stock has experienced a significant one-month return of -26.8%, trading at $36.43 per share with a forward P/B ratio of 0.8x [4][6]. Group 2: Stock to Watch - **Broadridge (BR)**: The stock has a one-month return of -7.3%. It has shown muted annual revenue growth of 5.5% over the last two years, with earnings growth lagging behind peers at an annual increase of 8.1% [7][8]. - Broadridge processes over $10 trillion in trades daily and manages proxy voting for over 800 million equity positions, providing technology-driven solutions for financial institutions [9]. - The company stands out due to its unique value proposition, achieving above-market annual sales growth of 8.9% over the last five years, an increase in free cash flow margin by 8.6 percentage points, and rising returns on capital [10].

Core Insights - Vertiv Holdings Co (VRT) is recognized as a leading AI infrastructure stock, with a strong bullish outlook confirmed by robust Q3 results on October 22, indicating a significant long-term investment opportunity in the AI sector [1][7][13] Financial Performance - VRT stock has surged 1,250% over the past three years, significantly outperforming the tech sector's 160% and other major tech stocks, except Nvidia's 1,400% [2][17] - The company reported a 63% increase in adjusted earnings per share (EPS) to $1.24, exceeding estimates by 24%, alongside a 29% rise in sales [13] - Vertiv is projected to double its revenue from $5.69 billion in 2022 to $12.29 billion by FY26, with adjusted EPS expected to grow from $0.53 in 2022 to $5.17 in 2026 [3][16] Market Position and Growth Potential - Vertiv operates in a fast-growing, AI-driven market, directly collaborating with Nvidia to address critical challenges in AI infrastructure [2][9][10] - The company has a solid balance sheet, with 17 out of 24 brokerage recommendations rated as "Strong Buys" [9] - VRT's revenue growth is anticipated to average 16% from 2021 to 2024, with a projected 27% growth in 2025 and 20% in 2026 [9][16] Strategic Partnerships and Innovations - The partnership with Nvidia positions Vertiv at the forefront of AI factory deployment, enhancing its competitive edge in the market [10][14] - Vertiv's portfolio includes hardware, software, analytics, and services focused on power, cooling, and IT infrastructure, essential for AI data centers and commercial environments [8][9] Investor Sentiment and Valuation - Following its recent earnings report, VRT's stock has reached new all-time highs, reflecting strong investor sentiment [18] - Despite a recent surge, the stock's valuation appears stretched, trading at 40.9X forward 12-month earnings, with a PEG ratio of 1.37, indicating a 20% discount compared to the tech sector [20]

Group 1 - S&P Global reported its third quarter results for 2025, with earnings release and supplemental materials available on their investor relations website [1] - A conference call to review the third quarter earnings results is scheduled for October 30, 2025, at 8:30 a.m. EDT [1] - The webcast of the conference call will be available live and for replay on the company's investor relations website [1] Group 2 - S&P Global provides essential intelligence to governments, businesses, and individuals, enabling informed decision-making [2] - The company is recognized for offering credit ratings, benchmarks, analytics, and workflow solutions across various global markets [3] Group 3 - S&P Global announced a strategic collaboration with Eightfold AI to enhance its talent intelligence capabilities [4] - The company plans to launch its first AI-enhanced sector rotation index as part of its S&P Dow Jones Indices offering [5]

Core Insights - Conestoga Capital Advisors reported that equity markets reached new all-time highs in Q3 2025, but their Mid Cap Composite underperformed with a return of -3.2% net-of-fees compared to a 2.8% gain for the Russell Midcap Growth Index [1] - The focus on high-quality, profitable companies faced challenges in a risk-on environment, impacting performance [1] Company Analysis: FactSet Research Systems Inc. (NYSE:FDS) - FactSet Research Systems Inc. provides integrated financial information and analytical applications for the investment community, with a one-month return of 1.98% and a 52-week loss of 36.76% [2] - As of October 21, 2025, FactSet's stock closed at $294.11 per share, with a market capitalization of $11.119 billion [2] - The company is experiencing slowed organic growth due to budget constraints at asset managers and increased competition from firms like Bloomberg and S&P, alongside rising technology and content costs affecting margins [3] - Despite being a high-quality franchise, FactSet's premium valuation presents execution risks [3] Market Position and Hedge Fund Interest - FactSet is not among the 30 most popular stocks among hedge funds, with 36 hedge fund portfolios holding the stock at the end of Q2 2025, an increase from 29 in the previous quarter [4] - In Q4 of fiscal 2025, FactSet's revenues grew by 6.2% year-over-year, reaching $597 million [4] - While FactSet shows potential as an investment, certain AI stocks are considered to offer greater upside potential with less downside risk [4]