Early Look

Wednesday, June 24, 2026

After global stocks fell on Tuesday, dragged by a broad selloff in technology (XLK) and semiconductor shares (SOX), US futures are looking slightly higher with a +0.5% rebound in the Nasdaq after tumbling 2% on Tuesday, ahead of key Micron (MU) earnings tonight. Stocks fell sharply yesterday as investors kept taking profits on a long rally while bracing for more aggressive Federal Reserve action to fight inflation. In stock news, GOOGL will replace Verizon in the Dow Jones Industrial Average on June 29^th, the first change to the Dow 30 since 2024. The US dollar extends its gains, with the DXY up at 101.70 at 13-month highs (May 2025) and the euro dipping to lows of 1.134, more than 1-year lows as expectations of a U.S. rate hike continued to build, with Fed officials sounding increasingly hawkish as the economy remains strong. The stronger dollar continues to weigh on metals as gold slides under $4,100 and silver prices hit 28-week lows of $60 an ounce. Note Amazon (AMZN) kicked off its 3-day Prime Day today. In Asian markets, The Nikkei Index fell -613 points to 69,174, the Shanghai Index edged higher 4 points to 4,110, and the Hang Seng Index gained 75 points to 23,412. The Soth Korea Kospi rebounded 3.6% after falling 10% the day prior. In Europe, the German DAX is down -229 points to 24,664, while the FTSE 100 rises 12 points to 10,441. In macro news, Iran will address matters related to access to nuclear sites that have been attacked and to Iranian nuclear materials only in the framework of a final agreement with the United States and after practical steps are taken to lift U.S. sanctions, Deputy Foreign Minister Kazem Gharibabadi said. Wall Street also awaits key PCE inflation data later this week.

• The Dow Jones Industrial Average slid -45.87 points, or 0.09%, to 51,666.84
• The Nasdaq Composite tumbled -579.56 points, or 2.21%, to 25,587.04
• The Russell 2000 Index declined -26.96 points, or 0.90%, to 2,977.45

• 8:30 AM ET                   Current Account Balance for Q1
• 10:00 AM ET                 New Home Sales M/M for May
• 10:30 AM ET                 Weekly EIA Inventory Data
• 1:00 PM ET US Treasury to sell $70B in 5-year notes

• Earnings After the Close: FUL MLKN MU TCOM WS

• Nike, Inc. (NKE) announces planned CFO transition as David M. Denton appointed as CFO effective August 17; Matthew friend to step down as CFO, will remain through September 4; Q4 results to include tariff refund benefit; excluding this, results in line with guidance.
• For Housing sector, Congress Clears Housing Bill, Cementing a Rare Bipartisan Feat. A lopsided House vote cleared the measure for President Trump’s signature after a lengthy back and forth and several nearly fatal blows to the legislation. With dozens of provisions, the 21st Century Road to Housing Act aims to touch communities across the Country, addressing rural and Urban needs as part of a strategy to eventually bring down housing costs. It loosens federal regulations, making it easier, faster and cheaper to build (seen positive for SKY, CVCO).

• Honeywell Aerospace (HONA), a spinoff from Honeywell International, will join the S&P 500 index on June 29th, replacing Conagra Brands (CAG).
• Worthington Enterprises (WOR) Q4 adj EPS $0.97 misses the $1.06 est.; Q4 revs rose 17% y/y to $371.5M vs. est. $386.5M; Q4 adj Ebitda was $83.5M, op income $23.2M, net income $48.1M; recent acquisitions added $44.1M, while organic growth was 3%; Operating cash flow increased to $71.6M; free cash flow rose to $55.1M.

• Morgan Stanley (MS) capped limited redemptions again at its $7B flagship private credit fund after investors sought to withdraw almost 11.6% of units outstanding, a regulatory filing showed. North Haven Private Income Fund (PIF) said it would meet 43% of Q2 redemption requests after investors sought to withdraw about 10.9% of the fund in the prior quarter, adding that about half of the latest requests came from investors who had been unable to fully cash out earlier.
• MSCI Inc. (MSCI) has agreed to acquire First Street, a provider of physics-based climate risk data and analytics, for $120M in cash at closing, with potential additional payments tied to revenue thresholds over the first two years after closing.

• ICON Plc. (ICON) Q1 Adj. EPS $2.50 vs. est. $2.42 and revs $2.034B (+0.9% YoY, -1.9% constant currency, vs. est. $1.994B; adj. EBITDA $317.7Mm (15.6% margin, -20.2% YoY) vs est $314.2Mm; net business wins $2,880Mm; book-to-bill 1.42; backlog $22.7B (+4.0% QoQ); FY26 guidance reaffirmed: rev $7.850-$8.150B vs est $8.019B, adj. EPS $10.00-$11.00 vs est $10.55; FCF $136.2Mm; cash $765.2Mm, net debt $2.6B
• MoonLake Immunotherapeutics (MLTX) 9M share Secondary priced at $20.00.
• UniQure (QURE) 4.95M share Spot Secondary priced at $45.50.

• Cerebras (CBRS) Q1 revenue rose 94% y/y to 193.41M while Q1 net loss narrowed to $14.01M from $23.87M y/y; Q1 gross margin rose 2.8 percentage points to 44.6%; forecast FY26 adjusted gross margins of 38%-41%, down from 47% in Q1 overshadows strong Q2 sales outlook as sees revs $194M vs. est. $164.3M; Entered a master relationship agreement with OpenAI for 750MW of AI inference capacity, with deployments expected in tranches during 2026-2028.
• Bilibili Inc's (BILI) announces new $300 million share buyback program; reported a 7% rise in Q4 revenue, helped by advertising growth.
• Humanoid robotics company Agility Robotics is going public through a merger with Churchill Capital Corp XI (CCXI). The deal values Agility at $2.5B pre-money and is expected to generate $620M+ in gross proceeds, including a ~$200M PIPE led by Foxconn. Will take Agility Robotics public, ticker (AGLT).
• Micron Technology (MU), the memory-chip maker is due to report earnings after markets close today. Micron shares slumped 13% yesterday amid a selloff in tech stocks.
• South Korea's SK Hynix said it plans to raise up to $29.4 billion through a U.S. stock market listing in what would be a record secondary listing. If completed at the top end, the offering would be the largest U.S. listing by a Korean firm and potentially the biggest ever via American Depositary Receipts, surpassing Alibaba's $25 billion 2014 debut.
• Take-two Interactive Software (TTWO) Rockstar Games to begin Grand theft Auto VI pre-orders on June 25, 2026; Grand theft Auto VI launches November 19, 2026 for PS5 and Xbox series X|s at $79.99; Grand theft Auto VI: ultimate edition to be available for $99.99; pre-orders before November 20, 2026 include vintage vice City pack and free month of GTA+

Mid-Morning Look

Wednesday, June 24, 2026

U.S. stocks open higher after technology shares pressured the Nasdaq on Tuesday, falling -2% as chip stocks fell ahead of Micron (MU) earnings tonight. Artificial-intelligence stocks tried bouncing overnight as investors looked to “buy the dip” after pressure amid worries about leverage in the market and the prospect of higher interest rates. The "Magnificent Seven" plus Broadcom (AVGO) and Oracle (ORCL) have lost roughly $2.7 trillion in market value in June, according to Yahoo Finance analysis, as investors take a harder look at the companies funding the AI build-out. In a note getting attention this morning, Deutsche Bank suggested a surge in capital spending is sparking concerns along several dimensions. One key to the Wall Street firm’s outlook for equities is whether the CAPEX will crowd out buybacks, the largest component of its demand-supply framework and a significant driver of equity return. Capex is indeed surging, mainly driven by a narrow group of big hyperscalers and five of those (AMZN, MSFT, GOOGL, META, ORCL) are responsible for two-thirds of the increase in capex over the last two years. S&P 500 buybacks rose to a record $300B in Q1 ($1.2 trillion annualized) on a gross basis and to a record $270 billion on a net basis.

Few sector standouts today, oil prices tumbling to lowest levels since early March, as WTI crude falls under $70 per barrel hitting energy stocks; homebuilders surging on Congress bill and better margin comments from KBH after mixed results last night; memory stocks opened higher but quickly slipped ahead of MU earnings tonight; precious metal miners (CDE, NEM, HL) tumble behind a sharp decline in gold/silver prices as the dollar hits 16-molnth high on rising rate hike expectations. Banks are in focus ahead of The Federal Reserve results of its latest stress test on Wednesday of 32 banks. Back to housing, big winners this morning as the House passes sweeping bill to lower housing costs by big margin vote 358-32 after Senate passed it 85-5 to help funding to build; empowers local gov’ts to streamline reviews; restricts Wall Street from buying up homes.

The US dollar extends its gains, with the DXY up at 101.70 at 13-month highs (May 2025) and the euro dipping to lows of 1.134, more than 1-year lows as expectations of a U.S. rate hike continued to build, with Fed officials sounding increasingly hawkish as the economy remains strong. The stronger dollar continues to weigh on metals as gold tumbles to $4,000 and silver prices hit 28-week lows of $60 an ounce. U.S. Treasury yields fell as oil prices slid to a four-month low, while investors continued to weigh the likelihood of Federal Reserve rate hikes later this year (2-yr -5bps to 4.15% and 10-yr -7bps to 4.42%). Shorter-dated Treasury yields have climbed since Fed policymakers signaled last week that they expect to raise borrowing costs later this year. US 30-year Treasury yields drop to 4.8572%, lowest since April 15

• May single-family home sales 580K unit annual rate, below consensus 639K, falling -7.3%. US May home sales Northeast +3.0%, Midwest +16.2%, South -4.1%, West -26.9% as new home supply 10.3 months' worth at current pace vs April 9.3 months. US homes for sale at end of May 0.496M unit’s vs April 0.485M units and median sale price $424,900 unchanged on a y/y basis (vs. May 2025 $424,800).

• In Chemicals: UBS said the announcement of a potential resolution in the Middle East resulted in a further sell-off of plastics producers. UBS estimates for DOW, LYB and WLK reflect a peak for PetChem pricing in Q2 with pricing beginning to ease in Q3 and normalizing into 2027. Consultants now model PE price declines in Q3 (PE down 18 CPP vs down 6 CPP prior), which could be ~16%/13%/10% downside to DOW vs Q3 consensus said UBS. Citigroup said ECL top pick in Specialty chems and gases preview and Overweight LIN vs Underweight APD pair trade initiated. The firm also cut targets in the commodity chemicals group (CE, DOW, EMN, LYB, WLK) citing pricing pressure from expectations for a Middle East peace agreement. Citi reduced estimates across the group to reflect the crude oil and chemical supply environment as well as a weaker outlook for spreads.
• In Steel sector: WOR shares tumbled on earnings results as Q4 adj EPS $0.97 misses the $1.06 est.; Q4 revs rose 17% Y/y to $371.5M vs. est. $386.5M; Q4 adj EBITDA $83.5M; Keybanc refreshes its 2026 outlook on U.S. Carbon Steel equities post recent pre-quiet period discussions with companies under coverage and its Q226 proprietary Sheet on the Street survey. Given the refreshed pricing deck, its estimated changes are largely positive, with an intact view of nicely improved Y/y profitability for the sector. The firm upgraded NUE to overweight on a stronger 2H26 outlook, while it is maintaining its OWs and increasing price targets on both RS (to $418 from $378) and STLD (to $262 from $241) on higher estimates.

• CCXI +19%; shares jumped after the company will take Agility Robotics public, ticker AGLT, in a deal valuing the startup at about $2.5B; expected to generate over $600M in gross proceeds, per report, including $420M cash from Churchill Xi and a private investment in public equity of over $200M led by Foxconn.
• FCEL +3%; as the renewable power company and Fit Energy USA announced a strategic agreement for up to 380 megawatts of clean, baseload on-site power for data centers, using FCEL's utility-scale fuel cell technology. Under the arrangement, Fit Energy will be eligible to receive warrants tied to future deployment milestones of up to 380 MW.
• INMD +10%; confirmed an unsolicited takeover offer from M.N. Business Strategy, a group backed by the company’s CEO and co-founder, Moshe Mizrahy, in a proposed deal indicated an offer price of $16.20 per share.
• KBH +16%; reported Q2 EPS and orders below the Street, but shares bounced amid details on margin recover; Q2 revs fell -27% y/y to $1.1B but topped consensus of $1.1B as Revenue and profitability fell mainly due to a 23% y/y decrease in homes delivered but sees sequentially higher delivery volumes and gross margins in final two quarters.
• RUN +22%; after saying it is partnering with TSLA and Renew Home to deliver more than 16 GW of flexible energy capacity to hyperscalers and utilities.
• TOST +5%; will replace BLD in the S&P MidCap 400 effective prior to the opening of trading on Wednesday, July 1 as QXO is acquiring TopBuild in a deal expected to close soon, pending final closing conditions.
• WEN +30%; early jump with Barron’s noting a slew of posts on Reddit's WallStreetBets forum.

• FDX -2%; reported a beat on top and bottom line but operating margin in FedEx's Federal Express segment fell to 7.7% from 8.4% y/y as costs climbed for employee salaries and benefits as well as outsourced transportation and fuel/falls on margin concerns as investors weigh freight spinoff impact.
• HL -4%; Precious metal sector falls both prices of gold and silver tumbled yet again, with gold dropping below $4,000 an ounce as the US dollar hits 52-week highs and Treasury yields remain elevated following the FOMC policy meeting last week which indicated the improved chances of a Fed rate hike this year to slow inflation. Shares of gold/silver miners AG, AEM, B, CDE, NEM, PAAS, WPMwere all broadly lower.
• HTZ -27%; announced a private offering of $300M exchangeable PIK notes due 2030; a portion of the interest to be paid in cash and in form of PIK ("payment-in-kind") interest and also commences separate public offering of $100M shares; said unexpected softness in the used car market caused it to realize losses on vehicle sales in May compared to gains in Apr, and now sees adj EBITDA of $50-$80M, near the lower end of previous Q2 guidance
• WOR -7%; shares tumbled on earnings results as Q4 adj EPS $0.97 misses the $1.06 est.; Q4 revs rose 17% Y/y to $371.5M vs. est. $386.5M; Q4 adj EBITDA $83.5M

Closing Recap

Tuesday, June 23, 2026

The markets followed yesterday’s choppy session with an overnight slide as investors continued to digest the potential for Fed rate hikes and questioned previous expectations around size and longevity of ai investment and earnings growth in big tech.  A bit of multiple contraction appeared to be the result, at least for now.  Stocks moved off early lows by mid-morning with market breadth favoring decliners by 9:7 as small caps outperformed with IWM (-0.79%) versus SPY (-0.98%) and QQQ (-2.78%).  SPY breadth favored advancers by 11:7, while QQQ breadth was about neutral with slight tilt toward advancers.  Sector performance was fairly evenly split with Real Estate (+2.12%), Health Care (+1.90%) and Energy (+1.50%) outperforming among S&P sector ETFs, while Communications (-1.66%), Consumer Discretionary (-2.18%) and Technology (-2.99%) paced the underperformers with 6 sectors gaining versus 5 declining.

In data of note today, while we may be seeing some selling pressure in US markets, it could always be worse.  Per @bespokeinvest, South Korea suffered its largest one-day drop in history with a 9.99% slide.  In oil, $73 crude now marks only a 7% rise year/year after coming well off recent highs.  On the Tech pull-back, @DataTrekMB’s Jessica Rabe sees this as a health pause in a longer run sector bull market despite it possibly feeling more like a Tech bear market for some investors.

Heading into the final hour of trading equities had faded back to lows as investors retreated from, “buy the dip” mentality, at least for today.  Friday will bring a new round of PCE data and attempts to read through to the Fed, so stay tuned. Tonight, after the bell is Fed-Ex (FDX) earnings in transports ahead of Micron (MU) results this week in semis/memory chips.

• Richmond Fed Composite Manufacturing Index +4 versus +13 prior. Richmond Fed Manufacturing Shipments index +3 versus +16 prior. Richmond Fed Services Revenues Index -1 versus +14 prior.

• WTI crude futures slipped again overnight despite commentary questioning whether Israel had violated the ceasefire.  More peaceful commentary on the Strait of Hormuz kept oil prices down as did new discussions between VP Vance and Lebanese President Aoun.  August WTI crude settled -$0.65/bbl, or -0.88%, at $73.21.
• The U.S. dollar (DXY) climbs for fifth day as risk sentiment deteriorates and hit a resh 14‑month high, supported by haven demand as tech‑led equity losses, weaker commodities, and persistent central bank concerns over elevated inflation weighed on the global growth outlook. The euro slid to a one‑year low below 1.14, pressured by risk‑off USD demand, cross weakness and softer European yields after weak PMIs; the dollar held recent gains against the Japanese yen, falling from recent 2024 highs just under 162.  

• In Restaurants: DPZ announced a leadership succession plan. The plan includes the transitions of current CEO Russell Weiner to Executive Chairman; current COO/President - Domino's U.S. Joe Jordan to CEO; and the retirement of current Executive Chairman Dave Brandon.
• In Auto sector: CAR said it reached a settlement agreement with Pentwater Capital Management to resolve its pending lawsuit seeking recovery of alleged short-swing profits under Section 16(b) of the Securities Exchange Act. Avis Budget Group is set to receive $650 million in a settlement agreement with Pentwater Capital Management. SONO entered a partnership with �koda to supply the premium in-cabin audio system for the automaker’s new flagship EV, the Peaq. TM will slash even more output abroad as Iran war crimps demand; Strait of Hormuz shutdown keeps fuel costs high.
• In Leisure: CCL reported Q2 earnings, Adj. EPS $0.41 beat the $0.35 estimate but Sales of $6.663B missed the $6.692B estimate. CCL lowered Q3 EPS guidance to Q3 Adj EPS $1.35 vs $1.42 estimates but raised FY26 EPS guidance to $2.22 from $2.21 vs $2.25 estimates. Carnival says Q2 operational outperformance and accelerated cost-saving efforts offset temporary weakness tied to the Middle East conflict; sees 2026 benefiting from strong demand, pricing and operational improvements, with recent booking trends suggesting a reversal of those headwinds.
• In Gaming: MGM and BetMGM today announced the renewal of their partnerships with Major League Baseball. This extends a historic relationship that began in 2018 with MGM Resorts and BetMGM becoming MLB's first Official Gaming and Sports Betting Partners. The NY Times reported that Mark Zuckerberg directed META to create a prediction markets app; The experimental app, internally called “Arena,” would be independent of Facebook and Instagram. It could compete for attention with Polymarket and Kalshi, the biggest prediction markets.

• In Defense: BAH announced an agreement to acquire Ultra Mission Solutions for $720m. Ultra Mission Solutions is a defense technology business specializing in mission critical software, encryption, and edge compute products; defense contractors GD, RTX, LMT seeing rebound after sliding on Monday. Israel is considering listing state-owned defense giants Israel Aerospace Industries Ltd. and Rafael Advanced Defense Systems Ltd. in the US to potentially avoid stricter disclosure obligations in the local market.
• In Aerospace: SPCX shares trade to their lowest levels since recent IPO, a day after shares tumbled for a third consecutive session on Monday as investors reacted to the company's plans to enter the investment-grade bond market. The stock declined to the $146 range shortly after today’s opening before rebounding to the mid-$160 level by midday. SpaceX sees peak demand of $89B for first high-grade bond offering. ASTS shares traded higher after the company announced that its BlueBird 11, 12 and 13 direct-to-device communications satellites will launch from Florida in the first half of August.
• In Power/Utility: NI announced the Indiana Utility Regulatory Commission (IURC) has approved key agreements supporting the company's previously announced partnership with Amazon to serve new data center development in northern Indiana. The US DOE issued $17.5B in loans for the purchase infrastructure to rebuild commercial nuclear supply chain. Westinghouse (co-owned by CCJ & BAM) will partner with up to five utilities and energy companies to procure reactors and other infrastructures at fixed prices.
• In Transportation: Shares of BRK were up on the day despite reports that 2 of their BNSF trains derailed yesterday in Woodward, OK and Danville, KS. FDX is expected to report earnings after the close
• In Mining: Brazil's Previ reiterates that its decision to request VALE’s board for an extraordinary general meeting to replace Chairman Daniel Stieler is aligned with its role as an institutional investor. UUUU said on Tuesday it would acquire German magnet manufacturer Vacuumschmelze GmbH for a cash-and-stock consideration of about $1.9B

• CHRS and Zumutor Biologics announce clinical collaboration to evaluate ZM008 in combination with loqtorzi® (toripalimab-tpzi). XLV UNH CI HUM The Justice Department on Tuesday is expected to unveil charges against around 450 defendants for alleged Healthcare fraud totaling over $6.5B as part of the Trump administration's stepped-up antifraud efforts.
• Florida AG James Uthmeier issues subpoena to CVS’s CVS Health Corporation and Caremark for alleged anticompetitive practices harming Florida families.

• IT Services & Consulting: ACN increases FY26 share repurchase program by $2B to $7.5B; expects Q4 repurchases of $2.3B including additional $2B.
• EDA Sector: SNPS was upgraded to Overweight at Piper and raised tgt to $550 from $450 saying while changing fortunes at Intel are appreciable with shares up ~220% QTD (INTC), announcements had previously yielded more optimism on INTC's x86 offerings. Intel's 18A-P node presents a very different demand environment at SNPS's largest customer
• In Hardware: IBM was upgraded from Neutral to Overweight at JP Morgan and raise tgt to $291 from $270 with greater confidence in a 2H26 CC software acceleration following a deeper look at IBMs software business. The company is about to lap tough comps from its recent z17 mainframe cycle, but this is well known and less relevant to long-term growth in JPM's view. CDW was upgraded from Equal Weight to Overweight at Morgan Stanley and tgt to $170 from $142.
• Quantum compute: President Trump signed two quantum EOs: one targets a U.S. quantum computer for major scientific calculations plus quantum sensors/networks within 5 years; the other directs federal agencies to move to post-quantum cryptography by 2031 (shares of INFQ, RGTI, IONQ, QBTS, QMCO, QUBT were generally higher).
• In AI: MSFT completes construction on datacenter in Wisconsin; estimates to spend $4.7B from 2024-2028 in Wisconsin. BX plans to invest $30B in AI data Centers in Japan over the next 3 to 5 yrs.

• In Memory, South Korean chip giants SK Hynix and Samsung tumbled more than 12% each to drag the Kospi index down 10%, having finished Monday at a record high. Meanwhile Wall Street awaits MU earnings later this week.
• QCOM is in advanced talks to acquire Modular Inc. in a transaction valuing the artificial intelligence infrastructure software company at about $4B, according to Bloomberg News

Street Recommendations

Wednesday, June 24, 2026

• SABS Barclays analyst Eliana Merle initiated coverage of SAB Biotherapeutics with an Overweight rating and $13 price target. The type 1 diabetes market is large and SAB-142 could have a "significant opportunity as a potential disease modifying therapy," the analyst tells investors in a research note. The firm sees SAB's Phase 2b data in the second half of 2027 as the major catalyst for the stock and sees SAB-142's regulatory pathway as de-risked after Tzield's recent approval. SAB's $300M market capitalization underappreciates the $4B potential opportunity for SAB-142 as a therapy for type 1 diabetes prevention, contends Barclays.

• WING BofA lowered the firm's price target on Wingstop to $234 from $264 and keeps a Buy rating on the shares. The firm is adjusting its model to account for stabilization in the number of net new units, and therefore a slower rate, in the years ahead, the analyst tells investors. However, valuation correlates more closely with same-store sales growth than with systemwide sales growth, suggesting the market would prefer to see slower net restaurant growth and faster SSSG, the analyst added.
• NYT BofA lowered the firm's price target on New York Times to $80 from $87 and keeps a Neutral rating on the shares, citing multiple compression in the comp set for the firm's lowered target. Though The Times' stability, subscription mix, and free cash flow profile justify a premium to media and the market, the firm views the risk/reward as balanced at the current multiple, the analyst tells investors.
• CELH BofA analyst Peter Galbo lowered the firm's price target on Celsius to $45 from $55 and keeps a Buy rating on the shares. Retail sales trends for both Core Celsius and Alani Nu have decelerated since the company reported Q1 results in early May and are tracking below the firm's original expectations for the quarter, says the analyst, who is lowering Q2 and second half forecasts.
• FDX BofA analyst Ken Hoexter raised the firm's price target on FedEx to $378 from $376 and keeps a Buy rating on the shares. FedEx shares were down after-market as the headline calendar year 2026 EPS target of $16.90-$18.10 is below fiscal 2027 targets, creating initial confusion as FedEx is shifting to a calendar year reporting standard, the analyst tells investors. BofA increased its calendar 2027 EPS estimate 6% to $21.60 from $20.28 following last night's report.
• TSM BofA raised the firm's price target on TSMC to $590 from $490 and keeps a Buy rating on the shares. Amid growing agentic AI demand, the firm expects much stronger CPU demand to consume more capacity across advanced front-end manufacturing and back-end packaging, says the analyst, who is lifting TSMC sales expectation in 2026 and 2027 to 40% and 39% year-over-year, respectively, to factor in a stronger CPU and AI GPU/ASIC demand outlook.

• FRO BTIG raised the firm's price target on Frontline to $55 from $45 and keeps a Buy rating on the shares as part of a broader research note on Oil and Tanker markets. While the 60-day Iranian oil sanction waiver has increased Arabian Gulf oil exports, a lot of work needs to be done before the conventional tanker fleet starts lifting cargo from the Gulf, the analyst tells investors in a research note. Crude tanker demand should also be supported post the war as major Asian crude importers look to replenish their inventories, the firm added.
• INSW BTIG raised the firm's price target on International Seaways to $100 from $90 and keeps a Buy rating on the shares as part of a broader research note on Oil and Tanker markets. While the 60-day Iranian oil sanction waiver has increased Arabian Gulf oil exports, a lot of work needs to be done before the conventional tanker fleet starts lifting cargo from the Gulf, the analyst tells investors in a research note. Crude tanker demand should also be supported post the war as major Asian crude importers look to replenish their inventories, the firm added.

• CE Citi analyst Patrick Cunningham lowered the firm's price target on Celanese to $68 from $80 and keeps a Buy rating on the shares. The firm cut targets in the commodity chemicals group citing pricing pressure from expectations for a Middle East peace agreement. Citi reduced estimates across the group to reflect the crude oil and chemical supply environment as well as a weaker outlook for spreads.
• DOW Citi lowered the firm's price target on Dow Inc. to $35 from $41 and keeps a Buy rating on the shares. The firm cut targets in the commodity chemicals group citing pricing pressure from expectations for a Middle East peace agreement. Citi reduced estimates across the group to reflect the crude oil and chemical supply environment as well as a weaker outlook for spreads.
• EMN Citi lowered the firm's price target on Eastman Chemical to $85 from $88 and keeps a Buy rating on the shares. The firm cut targets in the commodity chemicals group citing pricing pressure from expectations for a Middle East peace agreement. Citi reduced estimates across the group to reflect the crude oil and chemical supply environment as well as a weaker outlook for spreads.
• LYB Citi analyst Patrick Cunningham lowered the firm's price target on LyondellBasell to $67 from $80 and keeps a Buy rating on the shares. The firm cut targets in the commodity chemicals group citing pricing pressure from expectations for a Middle East peace agreement. Citi reduced estimates across the group to reflect the crude oil and chemical supply environment as well as a weaker outlook for spreads.
• WLK Citi lowered the firm's price target on Westlake to $85 from $95 and keeps a Neutral rating on the shares. The firm cut targets in the commodity chemicals group citing pricing pressure from expectations for a Middle East peace agreement. Citi reduced estimates across the group to reflect the crude oil and chemical supply environment as well as a weaker outlook for spreads.
• NKE Citi analyst Paul Lejuez views the timing of Nike's CFO transition, ahead of its Q4 earnings report and fall analyst day, as a surprise. The change could delay the analyst day, the analyst tells investors in a research note. Citi points out that excluding the tariff benefit, Nike's Q4 will be "generally in line" with guidance. The firm keeps a Neutral rating on the shares with a $47 price target. The CFO change shows changes are will needed to "right the ship," Citi contends.
• ECL Citi analyst Patrick Cunningham raised the firm's price target on Ecolab to $330 from $325 and keeps a Buy rating on the shares. Citi also added an "upside 90-day catalyst watch" on Ecolab, calling the stock its top specialty chemicals pick into the Q2 reports. The company is the primary beneficiary of easing raw material costs, the analyst tells investors in a research note. Citi believes Ecolab's "mission-critical" products positioned it well to convert surcharges to structural pricing.
• LIN Citi analyst Patrick Cunningham raised the firm's price target on Linde to $600 from $585 and keeps a Buy rating on the shares. The firm adjusted targets in the specialty chemicals group as part of a Q2 earnings preview. Citi names Ecolab its top pock into earnings and initiated a pair trade of overweight Linde and underweight Air Products.
• PPG Citi raised the firm's price target on PPG to $125 from $114 and keeps a Neutral rating on the shares. The firm adjusted targets in the specialty chemicals group as part of a Q2 earnings preview. Citi names Ecolab its top pock into earnings and initiated a pair trade of overweight Linde and underweight Air Products.
• SHW Citi raised the firm's price target on Sherwin-Williams to $380 from $355 and keeps a Buy rating on the shares. The firm adjusted targets in the specialty chemicals group as part of a Q2 earnings preview. Citi names Ecolab its top pock into earnings and initiated a pair trade of overweight Linde and underweight Air Products.

• PDD Daiwa downgraded PDD Holdings to Hold from Buy with a price target of $80, down from $145. The firm said China's 2026 6.18 shopping festival "delivered a negative surprise." Overall gross merchandise value was up only 0.9% year-over-year versus a 15% increase in 2025, according to Syntun, the analyst told investors in a research note. Daiwa believes the news confirms the "weak" e-commerce consumption trend in China. It sees a "tough" macro backdrop, tightening regulations, scaled-back national trade-in program and high base capping the sector's growth. As such, Daiwa downgraded China's e-commerce sector to Neutral from Positive, saying earnings cuts outweigh "undemanding" valuations. The firm also cut its ratings on JD.com and PDD Holdings.

• INFY JPMorgan lowered the firm's price target on Infosys to $12.70 from $16.80 and keeps an Overweight rating on the shares. The firm says the India IT services sector faces an uncertain demand environment from an "unprecedented confluence of technology and business cycle headwinds" from generative AI-led deflation and geopolitics. Companies are facing "fear, uncertainty, and doubt" from changing technology and geopolitics, with tech services budgets "crowded out" from spending on AI tokens and cloud, the analyst tells investors in a research note.
• LZ JPMorgan lowered the firm's price target on LegalZoom to $8 from $11 and keeps an Overweight rating on the shares. The firm updated targets in small cap vertical software to 2027 from 2026. It sees an improving external demand backdrop for LegalZoom, driven by accelerating business formation activity.
• TSLA JPMorgan analyst Rajat Gupta reduced its Q2 deliveries estimate for Tesla to 420,000 units from 430,500, citing "mixed recent signals" on electric vehicle demand. Europe "remains the bright spot," while China and the U.S. are tracking softer year-over-year as purchase incentives roll off, the analyst tells investors in a research note. JPMorgan believes Tesla's recent full self-driving approvals in several European markets, including Belgium, Denmark, Estonia, Lithuania, and the Netherlands, should drive greater consumer awareness and consideration. While Tesla is investing heavily in Optimus and the eventual Cybertruck ramp, the stock's key catalysts in the near-term are auto sales trends, full self-driving approvals, and fixing bottlenecks on unsupervised robotaxi expansion in the U.S., contends JPMorgan. The firm keeps a Neutral rating on the shares with a $475 price target.

• RS KeyBanc raised the firm's price target on Reliance to $418 from $378 and keeps an Overweight rating on the shares. The firm sees 2026 real carbon steel demand growth up 2% year-over-year, with 2026 finished steel imports down 15% versus 2025. Given a "virtually non-existent" spot market and contract allocations, steel buyers remain pressed to secure the supply they need, the analyst tells investors in a research note.
• STLD KeyBanc raised the firm's price target on Steel Dynamics to $262 from $241 and keeps an Overweight rating on the shares. The firm sees 2026 real carbon steel demand growth up 2% year-over-year, with 2026 finished steel imports down 15% versus 2025. Given a "virtually non-existent" spot market and contract allocations, steel buyers remain pressed to secure the supply they need, the analyst tells investors in a research note.

• CYTK Mizuho raised the firm's price target on Cytokinetics to $118 from $100 and keeps an Outperform rating on the shares. The firm updated the company's model following the Q1 report.

• BILI Morgan Stanley named Bilibili a "Research Tactical Idea" based on the belief that the share price will rise in absolute terms over the next 30 days after the company announced a new share repurchase program of up to $300M. The firm, which thinks the share price will react positively to this program after trading off in the past month due to concerns of a sell down from Tencent, despite solid fundamentals, has an Overweight rating and $31 price target on Bilibili.

• PFG Piper Sandler analyst John Barnidge raised the firm's price target on Principal Financial to $125 from $113 and keeps an Overweight rating on the shares.
• PRU Piper Sandler raised the firm's price target on Prudential to $110 from $105 and keeps a Neutral rating on the shares. The firm's updated model reflects company commentary, seasonality, and variable investment income, the analyst tells investors in a research note.

• ADI Stifel raised the firm's price target on Analog Devices (ADI) to $498 from $450 and keeps a Buy rating on the shares. Last quarter, the firm called out analog players as poised for a potential breakout in calendar year 2026 and that thesis "has now been firmly validated" with Astera Labs (ALAB), Credo Technology (CRDO) and Marvell (MRVL) all posting beat-and-raise quarters in calendar Q1, the analyst tells investors in a note on the group. The firm continues to view episodic weakness in AI-levered names as "a buying opportunity for long-term investors focused on clear technological innovators," the analyst added in a Q2 earnings preview.
• AOSL Stifel analyst Tore Svanberg raised the firm's price target on Alpha & Omega (AOSL) to $42 from $36 and keeps a Hold rating on the shares. Last quarter, the firm called out analog players as poised for a potential breakout in calendar year 2026 and that thesis "has now been firmly validated" with Astera Labs (ALAB), Credo Technology (CRDO) and Marvell (MRVL) all posting beat-and-raise quarters in calendar Q1, the analyst tells investors in a note on the group. The firm continues to view episodic weakness in AI-levered names as "a buying opportunity for long-term investors focused on clear technological innovators," the analyst added in a Q2 earnings preview.
• MRVL Stifel raised the firm's price target on Marvell (MRVL) to $350 from $321 and keeps a Buy rating on the shares. Last quarter, the firm called out analog players as poised for a potential breakout in calendar year 2026 and that thesis "has now been firmly validated" with Astera Labs (ALAB), Credo Technology (CRDO) and Marvell all posting beat-and-raise quarters in calendar Q1, the analyst tells investors in a note on the group. The firm continues to view episodic weakness in AI-levered names as "a buying opportunity for long-term investors focused on clear technological innovators," the analyst added in a Q2 earnings preview.
• MTSI Stifel raised the firm's price target on Macom (MTSI) to $450 from $385 and keeps a Buy rating on the shares. Last quarter, the firm called out analog players as poised for a potential breakout in calendar year 2026 and that thesis "has now been firmly validated" with Astera Labs (ALAB), Credo Technology (CRDO) and Marvell (MRVL) all posting beat-and-raise quarters in calendar Q1, the analyst tells investors in a note on the group. The firm continues to view episodic weakness in AI-levered names as "a buying opportunity for long-term investors focused on clear technological innovators," the analyst added in a Q2 earnings preview.
• ON Stifel raised the firm's price target on On Semi (ON) to $107 from $90 and keeps a Hold rating on the shares. Last quarter, the firm called out analog players as poised for a potential breakout in calendar year 2026 and that thesis "has now been firmly validated" with Astera Labs (ALAB), Credo Technology (CRDO) and Marvell (MRVL) all posting beat-and-raise quarters in calendar Q1, the analyst tells investors in a note on the group. The firm continues to view episodic weakness in AI-levered names as "a buying opportunity for long-term investors focused on clear technological innovators," the analyst added in a Q2 earnings preview.
• POWI Stifel raised the firm's price target on Power Integrations (POWI) to $95 from $82 and keeps a Buy rating on the shares. Last quarter, the firm called out analog players as poised for a potential breakout in calendar year 2026 and that thesis "has now been firmly validated" with Astera Labs (ALAB), Credo Technology (CRDO) and Marvell (MRVL) all posting beat-and-raise quarters in calendar Q1, the analyst tells investors in a note on the group. The firm continues to view episodic weakness in AI-levered names as "a buying opportunity for long-term investors focused on clear technological innovators," the analyst added in a Q2 earnings preview.
• TXN Stifel analyst Tore Svanberg raised the firm's price target on Texas Instruments (TXN) to $360 from $340 and keeps a Buy rating on the shares. Last quarter, the firm called out analog players as poised for a potential breakout in calendar year 2026 and that thesis "has now been firmly validated" with Astera Labs (ALAB), Credo Technology (CRDO) and Marvell (MRVL) all posting beat-and-raise quarters in calendar Q1, the analyst tells investors in a note on the group. The firm continues to view episodic weakness in AI-levered names as "a buying opportunity for long-term investors focused on clear technological innovators," the analyst added in a Q2 earnings preview.

• AMD UBS raised the firm's price target on AMD to $670 from $455 and keeps a Buy rating on the shares. The outlook on AMD is becoming more positive as standalone CPU racks gain adoption, supported by its strengths in core density, multithreading, and the established x86 software ecosystem, which remains well suited for traditional workloads that are increasingly being incorporated into agentic AI use cases, the analyst tells investors in a research note.
• CWEN UBS analyst Jon Windham raised the firm's price target on Clearway Energy to $45 from $44 and keeps a Buy rating on the shares. The firm updated its model to reflect equity issuances to fund additional dropdown opportunities in 2028E, the analyst tells investors in a research note.
• FROG UBS analyst Radi Sultan raised the firm's price target on JFrog to $92 from $80 and keeps a Buy rating on the shares. Channel checks suggest improving confidence in JFrog's Q2 cloud usage trends, with no evidence that AI token optimization is weighing on revenue or consumption, the analyst tells investors in a research note.
• NYAX UBS raised the firm's price target on Nayax to $75 from $68 and keeps a Neutral rating on the shares.
• KFY UBS raised the firm's price target on Korn Ferry to $75 from $70 and keeps a Neutral rating on the shares.

• FDX Wells Fargo analyst Christian Wetherbee tells investors in a research note that earnings growth previously expected for FedEx for FY27 is arriving earlier than anticipated, with CY26 guidance implying more than $11 in EPS over the next seven months, and expects this stronger profitability to outweigh somewhat softer FEC results and support buying on share price weakness. The firm has an Overweight rating and $425 price target on the stock.
• CSGP Wells Fargo lowered the firm's price target on CoStar Group to $26 from $33 and keeps an Underweight rating on the shares. CoStar's Q2 bookings are expected to come in below Street estimates due to a difficult comparison period and still-improving sales force productivity, creating risk that FY26 revenue lands toward the low end of guidance, the analyst tells investors in a research note.
• IT Wells Fargo analyst Jason Haas lowered the firm's price target on Gartner to $120 from $140 and keeps an Underweight rating on the shares. Gartner's Q2 CV growth appears at risk of downside pressure due to a persistently challenging selling environment, although full-year guidance is expected to remain unchanged given its typically conservative framing, the analyst tells investors in a research note.
• KBH Wells Fargo raised the firm's price target on KB Home to $52 from $50 and keeps an Underweight rating on the shares. The Q2 results were broadly in line with expectations, with gross margins slightly ahead excluding charges, and the key debate going forward is whether KB Home's higher BTO and Bay Area mix is sustainable, which could imply upside to estimates if it persists, though this is not yet fully confirmed despite likely positive near-term share reaction, the analyst tells investors in a research note.

Rating abbreviations…

***OP = Outperform

***SP = Sector Perform

***UP = Underperform

***OW = Overweight

***EW = Equal-weight

***UW = Underweight

***Report powered by thefly.com***

What’s on Tap Weekly Calendar

• Earnings After the Close: none

• Needham Boston Biotech Bus Tour, 6/22-6/23, in Boston, MA

• 8:55 AM ET                   Johnson/Redbook Weekly Sales
• 9:45 AM ET S&P Global Manufacturing PMI, June-flash
• 9:45 AM ET S&P Global Services PMI, June-flash
• 9:45AM ET S&P Global Composite PMI, June-flash
• 10:00 AM ET                 Richmond Fed Index for June
• 1:00 PM ET US Treasury to sell $69B in 2-year notes
• 4:30 PM ET API Weekly Inventory Data

• Earnings After the Close: FDX KBH WOR

• Northland June Growth Virtual Conference, 6/23 (virtual)

• 8:30 AM ET                   Current Account Balance for Q1
• 10:00 AM ET                 New Home Sales M/M for May
• 10:30 AM ET                 Weekly EIA Inventory Data
• 1:00 PM ET US Treasury to sell $70B in 5-year notes

• Earnings After the Close: FUL MLKN MU TCOM WS

• 8:30 AM ET                   Continuing Claims
• 8:30 AM ET                   Gross Domestic Product (GDP) Q1 final
• 8:30 AM ET GDP Price Deflator for Q1-final
• 8:30 AM ET GDP Consumer Spending for Q1-final
• 8:30 AM ET PCE Prices Q1-final
• 8:30 AM ET                   Core PCE Prices Q1-final
• 8:30 AM ET                   Personal Income M/M for May
• 8:30 AM ET                   Personal Spending M/M for May
• 8:30 AM ET PCE Price Index M/M for May
• 8:30 AM ET PCE Price Index Y/Y for May
• 8:30 AM ET                   Core PCE Price Index M/M for May
• 8:30 AM ET                   Core PCE Price Index Y/Y for May
• 8:30 AM ET                   Durable Goods Orders for May
• 8:30 AM ET                   Durable Goods Orders Ex-Transports for May
• 10:00 AM ET                 Dallas Fed PCE for May
• 10:30 AM ET                 Weekly EIA Natural Gas Inventory Data
• 11:00 AM ET                 Kansas City Fed Manufacturing for June
• 1:00 PM ET US Treasury to sell $44B in 7-year notes

• Earnings After the Close: AOUT CGEH FDXF

• 10:00 AM ET                 University of Michigan Confidence, June-final
• 10:00 AM Et                  University of Michigan 1-yr and 5-yr inflation expectations
• 1:00 PM ET                    Baker Hughes Weekly rig count data

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