Early Look

Monday, October 19, 2026

U.S. futures are looking mostly higher as a rebound in tech stocks has Nasdaq futures up over 1% after stock markets tumbled last Friday/last week on as energy prices hit 5-month highs and investors expressed caution after weak banking earnings and dumped tech/chip stocks on fears of the impact of surging interest rates.  The rebound followed a turbulent session in which the Philadelphia Semiconductor Index plunged 3.8% (SOX) and the VIX reached its highest intraday level in four months. Friday broke a 55-day streak without a daily decline of more than 1% in the S&P 500, the longest streak in more than six years. Stock markets closed at their lows of the week with Friday’s sharp decline. For the week, the S&P 500 fell -1.95%, the Nasdaq declined -4.48%, and the Dow climbed 0.67%. Dow records second straight weekly gain for first time since early August while the S&P 500 and Nasdaq record biggest weekly percentage drop since week ended June 26 and biggest daily percentage decline for the Nasdaq since July 23 as the PHLX semi index (SOX) falls for 8th day, matches longest losing streak since 2006. In Asian markets, The Nikkei Index declined -407 points to 64,916, the Shanghai Index rose 14 points to 3,730, and the Hang Seng Index gained 124 points to 24,986. The Kospi climbed 13 points to 891. In Europe, the German DAX is down -325 points to 25,297, while the FTSE 100 declines -105 points to 10,775. Bond yields are rising in France in response to the riots and clashes. Earnings seasons really gets going this week with some big tech names out (META, TSLA, NFLX).

• The Dow Jones Industrial Average fell -175.28 points, or 0.34%, to 52,002.41
• The Nasdaq Composite tumbled -572.99 points, or 2.14%, to 26,140.03
• The Russell 2000 Index declined -45.90 points, or 1.66% to 2,721.37

• Earnings After the Close: AERO AGNC BOKF CCK FNB KARO RBB RLI SFBS STLD WAL WASH WRB WTFC ZION

• Ukrainian leader Zelenskyy accused Pres Trump of trying to pressure Kyiv into surrendering to Russia; proposed halting attacks on Russian oil refineries in exchange for additional Patriot air-defense missiles.
• Security threats to energy infrastructure continued over the weekend. Houthi rebels targeted Saudi Arabia's Yanbu oil-export hub, while two tankers reportedly came under attack in the Persian Gulf. The U.S. military said it helped escort more than 100 million barrels of oil through the Strait of Hormuz during the preceding week.
• Foreign holdings of U.S. Treasuries edged higher in August after two months of declines, data from the Treasury Department showed on Friday, led by gains in holdings from the UK and Canada. Holdings of U.S. Treasuries rose to $9.331 trillion in August, from $9.248 trillion in the previous month. Compared with a year earlier, Treasuries owned by foreigners were up less than 1%. China's holdings, however, dropped to $590.7 billion, the lowest since August 2008

• United Airlines (UAL) CEO Kirby defended rising airfares and additional charges for preferred seats, arguing that airlines must generate enough revenue to cover operating costs while giving passengers the option to pay more for amenities. In an interview with The New York Times, Kirby said ticket prices have increased this year partly because of higher fuel costs associated with the war in Iran.

• Dow Inc. (DOW) was upgraded to Neutral from Underperform at Bank America saying Middle East instability has created a higher-for-longer crude oil environment, which provides improved earnings stability for Dow.
• Elbit Systems (ESLT) has secured a contract worth approximately $235M to supply EXTRA medium-range rockets and Precise & Universal Launching System rocket artillery systems to a European customer.
• Silgan (SLGN) nears $3.4 billion purchase of Trivium Packaging - Bloomberg reports.
• SpaceX (SPCX) targeting Tuesday, October 20 for a falcon 9 launch of the Bandwagon-5 rideshare mission to orbit. Also, Elon Musk pledged to distribute a share of SpaceX to each American child, posting the move just hours after artificial intelligence competitor Anthropic PBC said it would set aside a portion of its shares for the public benefit.
• Transocean (RIG) awarded a 10-well contract worth ~$325M, covering approximately 700 days starting Q1 2027. Deepwater Conqueror secures a 5-well contract worth ~$225M, covering approximately 450 days starting Q3 2027.

• KKR & Co. (KKR) has agreed to sell railcar-leasing company Infinity Transportation to peer Ares Management (ARES) for about $2.9 billion, after owning the company for roughly five years and helping it more than double its book value, the WSJ reported.
• Societe Generale (SCGLY), Credit Agricole, BNP Paribas and shares of some of France's biggest banks all slumped as part of a bigger selloff in French assets after weekend protests across the country turned violent.

• Disc Medicine, Inc. (IRON) shares surge over 30% after announced it will host a corporate webcast to discuss topline results from the APOLLO Phase 3 trial of bitopertin in EPP. The webcast will be held on Monday, October 19, 2026, at 8:00 a.m. ET.
• Ideaya Biosciences (IDYA) and Servier announce data from three clinical trials at ESMO 2026 supporting the potential of darovasertib to become a foundational new therapy for patients across the treatment journey of uveal melanoma.

• Datadog (DDOG) upgraded to Outperform from Market Perform at Bernstein and raise tgt to $350 from $237 saying the firm's data signals suggest Datadog's enterprise token consumption appears to have grown at least 50% quarter-over-quarter among the largest AI Labs. Bernstein cites the company's AI-driven tailwinds for the upgrade.
• Global-e Online (GLBE) upgraded to Overweight from Equal Weight at Morgan Stanley saying the company serves as a key enabler to cross-border e-commerce and as a result of reduction friction, drives faster growth for its brands.
• Intel (INTC) upgraded to Neutral from Underweight at JPMorgan with an unchanged price target of $85 saying sees a more balanced risk/reward with the shares nearing its price target. Intel shares have pulled back 36% from its peak in June.
• Microsoft (MSFT) has withdrawn from a planned Nscale data center in Loughton, Essex, adding uncertainty to the British AI infrastructure provider’s effort to raise as much as $3 billion through an initial public offering, the Telegraph newspaper reported
• Samsung Electronics (SSNLF) will use TSMC's (TSM) 3-nanometre process to produce base dies for Nvidia's (NVDA) next-generation custom high-bandwidth memory chips, the Seoul Economic Daily reported on Sunday. The move would mark the first time Samsung has worked with the Taiwanese contract chipmaker at the HBM manufacturing stage, according to the report.

Mid-Morning Look

Monday, October 19, 2026

U.S. stocks opened mixed in a different picture than last week as the S&P 500 and Nasdaq are early outperformers and Dow slides, driven by modestly lower prices for crude oil and by some market participants seeing the recent tech selloff as an opportunity to increase risk and tech exposure ahead of earnings reports this week from the first of the Mag 7 (TSLA, META report this week). Coming into today, semiconductors have declined for eight straight sessions, longest streak in 16 years (still up >50% YTD) amid mounting jitters over AI capex returns, rising yields, and intensifying competition, and while higher on the day, has already pulled back off its best levels. All eyes now turn to a blockbuster earnings week, with Tesla, Meta, and over 70 S&P 500 companies set to deliver a crucial reality check for the AI narrative that drove last week's rout. Tech (XLK) and Consumer Discretionary (XLY) early market leaders while Utilities (XLU) and REITs (XLRE) fall the most. Treasury yields are little changed, with the 10-year at 5.11% (+1 basis point) and the 30-year holding above 5.45% (last 5.451%, +1.5 basis points); the dollar index is essentially flat at 101.87 while gold slips $10.30 to $4,170.80 an ounce, off earlier highs near $4,211. Oil prices slipped overnight after President Trump announced on Friday the lifting of several sanctions, restrictions and tariffs targeting Russia, planned under a law enacted last month, before they came into effect. Bloomberg reported Trump said he cut a diesel export deal with Russia and delayed imposing further sanctions because he doesn’t want to drive Vladimir Putin away from peace talks with Ukraine.

• Oil Services & Equipment sector: RIG was awarded a 10-well contract worth ~$325M, covering approximately 700 days starting Q1 2027. Deepwater Conqueror secures a 5-well contract worth ~$225M, covering approximately 450 days starting Q3 2027. Citigroup cuts Q4 estimates to ~4% below FactSet consensus on HAL on average, although WFRD's YTD underperformance and 2027 valuation are now garnering interest. CHRD sees Q3 volumes exceeding the high-end of guidance; CAPEX in line with guidance.
• Casinos & Gaming: BYD was upgraded to Overweight in Gaming preview at Morgan Stanley (also raised at Susquehanna) while lowers its estimates for 2026 along with 2027 largely in Macau/Vegas. Regional data and Locals LV remain more resilient. OSB MSCO factors in more PM investment. The firm is generally below consensus for prints in Q3, with slight beats for SRAD and in-lien prints for BYD; it is most below on MGM.

• CLF +13%; as Q3 adj EPS $0.28 topped est. $0.19 and Q3 adj EBITDA of $612M was above the $575M guidance provided three months ago while noting average selling price, sales volumes, and unit costs all moved in the right direction relative to Q2 performance.
• CRWV +2%; was upgraded to Buy from Neutral at Goldman Sachs after 24% dip in last five days while lowers tgt to $106 from $139. Goldman notes the stock is down 43% since Aug 11 and 24% in the last five trading days, due to ongoing volatility in the credit market.
• DDOG +4%; was upgraded to Outperform at Bernstein and raise tgt to $350 from $237 saying the firm's data signals suggest Datadog's enterprise token consumption appears to have grown at least 50% quarter-over-quarter among the largest AI Labs.
• INTC +4%; was upgraded to Neutral from Underweight at JPMorgan with an unchanged price target of $85 saying sees a more balanced risk/reward with the shares nearing its price target. Intel shares have pulled back 36% from its peak in June.
• IRON +32%; announces success on all primary and secondary endpoints in the pivotal phase 3 Apollo trial of bitopertin in adults and adolescents with erythropoietic protoporphyria (EPP); said Bitopertin generally well-tolerated with no new safety signals in Apollo.
• SLN +130%; to be acquired by Merck KGaA in an all-cash transaction with an enterprise value of $1.1 billion and an equity value of approximately $1.3 billion, subject to the satisfaction of customary closing conditions. Silence shareholders will receive $20.00 in cash per ADS.
• SNDK +6%; as semis rebound after tumbling last week, particularly memory names (MU, SKHY, WDC).

• HPP -6%; was downgraded to Neutral from Overweight at Piper Sandler with the PT cut to $13 from $15, based on roughly 10x its 2027E FFO versus about 11x previously as Piper lowers its multiple on increased macro volatility
• VFS -2%; after reporting Q2 results showing EV deliveries of 70,085 in the second quarter of 2026, maintaining its full-year 2026 production and delivery guidance while flagging continued industry-wide semiconductor supply constraints, and launching promotional U.S. lease terms starting mid-October with leases from $399/month and 0% APR financing up to 84 months

Closing Recap

Monday, October 19, 2026

U.S. stocks put in a solid day but finished well off their best levels into key earnings this week where roughly seventy S&P 500 companies report, including a few mega cap tech (TSLA, META). The tech-heavy Nasdaq Composite led Monday’s gains after tumbling over 2% on Friday, as investors returned to AI-related stocks following last week's bruising selloff. Last week, the S&P 500 and Nasdaq each posted their biggest weekly drops since late June on Friday, as concerns that higher interest rates could curb investments in AI infrastructure weighed on technology stocks, particularly data center operators/neoclouds. Those names bounced back today (NBIS, IREN slightly compared to Friday’s declines) along with semiconductors (SOX), which snapped an 8 day losing streak, its longest such streak since 2010. The selloff reflected mounting investor unease over how the costly AI build-out will be financed, a question that has increasingly pressured companies. Today’s session coincides with the 39th anniversary of Black Monday, the 1987 crash that marked the biggest one-day decline in the history of Dow Jones Industrial Average. Of the 11 S&P 500 constituents, eight posted losses. However, consumer discretionary (XLY) and technology group (XLK) led the gains, up 1.78% and 1.35%, respectively.

• U.S. WTI crude oil futures rose $2.25 or 2.22% to settle at $103.66 per barrel while Brent crude prices slipped -$0.31 or 0.28% to settle at $109.55 per barrel. The dollar index rose as gains in US tech stocks ahead of earnings this week and higher oil prices after Houthi claims of attacks on Saudi facilities lifted Treasury yields. EUR/USD retreated toward 1.1210 as the firmer dollar/yields erased early gains.
• US Treasury yields rose with the 10-yr yield up 4.2bps to 5.14%, coming off its biggest weekly drop in seven months, as concerns about the impact of higher interest rates on AI stocks abated. The 10-year yield dropped 14.6 bps last week, even after hotter-than-expected inflation readings in the form of the consumer price index and producer price index, as equity markets sold off due to worries that investments in AI infrastructure stocks could begin to dry up, boosting the safe-haven appeal of Treasuries. But stocks were higher on Monday, as AI stocks recovered and helped push the Nasdaq Comp higher.

• Loding sector: Deutsche Bank previewed the sector saying they expect Q326 adjusted EBITDA beats and raises from HLT, MAR, WH, and CHH on stronger-than-expected RevPAR growth, while also expects Hyatt (H) to beat Q326 consensus, driven by strong Luxury RevPAR trends, though continued Mexico headwinds, limited visibility into the Q426 NUG acceleration, and the significant Q426 adjusted EBITDA ramp already embedded in guidance.
• RV/Towable/Leisure sector: LCII was downgraded from Buy to Hold at Stifel and cut tgt to $80 from $130 saying with high fuel prices, rising interest rates, other inflationary pressures, and waning consumer sentiment Stifel sees material headwinds to revenue and few positive catalysts for the stock, and so are moving to the sidelines.

• Nuclear/Utility sector: LEU acquires one of its suppliers, Westerman Holdings for nearly $116 million, funded through a combination of around $95 million cash on hand and $21 million of equity; in research, Barclays downgraded OGE to EW from OW saying it has a strong catalyst path, but they believe it is almost entirely priced into the current multiple which has re-rated vs XLU +10% TT; in earnings preview, Barclays expects 40% of the sector benchmark to revise capital plans, and EPS outlooks this quarter driving the Utilities current 8% average EPS growth proposition higher, with earnings revisions continuing on the back of large load contracts.

• Payment sector: GPN was upgraded from Sector Weight to Overweight at Keybanc with $105 tgt saying despite continued macro and geopolitical risk, sees a favorable risk/reward that does not require a sharp growth acceleration. Upside should emerge if organic growth stabilizes and improves modestly into FY27, while the Company also delivers on its capital return target. PYPL was downgraded from Neutral to Underperform at Cleveland saying work suggests Q3 trends likely missed expectations driven by share loss and macro pressure.
• REIT Sector: Piper downgraded BXP, HPP, and NMRK to Neutral from OW as they are tightening our focus on earnings growth as interest rates weigh on debt costs and transaction volumes. 3Q26 earnings will be a tough one for REITs and as fundamentals remain strong in general, despite the RMZ's 11% sell-off from its July 24 peak versus the S&P 500 of +3% during the same period, with REITs losing the outperformance from 1H26. While the long-term correlation between rates and REITs is low, in the near term, interest rate sensitivity dominates. When rates stabilize, they expect REITs to regain their luster as employment remains strong and supply/demand remains favorable for landlords given the sharp pullback in supply.

• EYPT shares tumbled after saying said its experimental treatment for a common cause of age-related blindness failed to maintain vision compared with a standard treatment in a late-stage trial. The same drug, called Duravyu, failed a previous Phase 3 study in August. Eyepoint also announced layoffs affecting just over half of its employees to preserve cash.
• GILD presented Ph2 emvistegrast data its oral α₄β₇ integrin inhibitor at the United European Gastroenterology (UEG), with the 200mg dose seeing a placebo-adjusted clinical response rate of 29% and complete remission rate of 23%.
• IAM shares tumbled after the drug developer backed by NVDA opened at $16.15 on Thursday after $150M IPO priced at $16, midpoint of the marketed range. The stock finished up ~26% on Friday at $23.81 after rising to as high as $25.
• IRON announces success on all primary and secondary endpoints in the pivotal phase 3 Apollo trial of bitopertin in adults and adolescents with erythropoietic protoporphyria (EPP); said Bitopertin generally well-tolerated with no new safety signals in Apollo; plans NDA resubmission to FDA by end of 2026, decision expected mid-2027.
• LLY announced its intention to seek an indication extension for its bowel disease therapy Omvoh; said that its Phase 3 SHINE-2 study reached the primary endpoint, as 50% of patients who responded to Omvoh achieved clinical remission at Week 52.
• MANE said VDPHL01, met all primary and secondary endpoints with high statistical significance in both active treatment arms evaluating once-daily and twice-daily administration of VDPHL01; demonstrated increases in target area hair count of 28.6 hairs/cm² (once-daily dosing; p<0.0001) and 36.4 hairs/cm² (twice-daily dosing; p<0.0001) vs 6.6 hairs/cm² for placebo at Month 6.
• SLN to be acquired by Merck KGaA in an all-cash transaction with an enterprise value of $1.1 billion and an equity value of approximately $1.3 billion, subject to the satisfaction of customary closing conditions. Silence shareholders will receive $20.00 in cash per ADS.
• SMMT announced the initiation and opening of clinical trial sites of a multiregional Phase II study of ivonescimab, a novel, potential first-in-class investigational PD-1 / VEGF bispecific antibody, in previously untreated advanced clear cell renal cell carcinoma.

• Transport sector: in rails, CNI was downgraded to Market Perform from Outperform at Raymond James saying it enters Q4 facing tougher consolidated comps, with two of its strongest Q3 growth engines, namely grain and automotive, showing signs of moderation. In airlines, JBLU upgraded from Sell to Neutral at UBS as it thinks the risk-reward is balanced on the stock following the recent sell-off.
• Aerospace & Defense: ESLT said it was awarded a $235M contract to supply an undisclosed European nation with EXTRA medium-range rockets and Precise & Universal Launching System artillery. SPCX targeting Tuesday, October 20 for a falcon 9 launch of the Bandwagon-5 rideshare mission to orbit. Also, Elon Musk pledged to distribute a share of SpaceX to each American child, posting the move just hours after artificial intelligence competitor Anthropic PBC said it would set aside a portion of its shares for the public benefit

• Chemical sector: DOW was upgraded to Neutral from Underperform at Bank America saying Middle East instability has created a higher-for-longer crude oil environment, which provides improved earnings stability for Dow. Solvay (SLVVY) cut its 2026 forecast after the Middle East conflict and a peroxide plant shutdown at Sadara in Saudi Arabia hit Q3 earnings - now sees full-year EBITDA of 720M-740M euros and free cash flow of between 120M-150M euros.
• Packaging & Container sector: SLGN and American Industrial Partners said they will buy European firm Trivium Packaging in a deal worth $3.4 billion, including debt. Wells Fargo previewed the quarter, saying they favor positioning into releases are BALL, CCK, ATR, PKG. Beverage cans are again our fav exposure into the earnings cycle as we exp generally stable/low growth vols driven by promos + substrate shift in a relatively resilient category offsetting consumer pressures

• Internet sector: MTCH was upgraded from In Line to Outperform at Evercore and raised tgt to $53 from $39 saying based on Sensor Tower data and Evercore's proprietary survey work, it believes Tinder's user recovery is likely accelerating and tracking ahead of management's plan for MAU and payer growth by the end of FY27.

• Software sector: DDOG was upgraded to Outperform at Bernstein and raise tgt to $350 from $237 saying the firm's data signals suggest Datadog's enterprise token consumption appears to have grown at least 50% quarter-over-quarter among the largest AI Labs. Bernstein cites the company's AI-driven tailwinds for the upgrade. GLBE was upgraded to Overweight at Morgan Stanley with $50 PT saying investors underestimate the durability of cross-border e-comm's growth, W/ GLBE SSS currently in the mid-teens, & agentic a potential incremental tailwind.
• IT Services & Consulting: ACN is exploring a potential sale of its Greater China operations that could value the business at up to $1.5B, the Financial Times reported, citing people familiar with the matter.

• DeepSeek is working closely with Huawei Technologies to shape the Design of future Ai chips, two people familiar with the matter said, in a collaboration that could help China build Frontier Ai models without Nvidia’s technology, the Information reported.
• INTC was upgraded to Neutral from Underweight at JPMorgan with an unchanged price target of $85 saying sees a more balanced risk/reward with the shares nearing its price target. Intel shares have pulled back 36% from its peak in June.
• MKSI to sell its Ophir Optics business to TTMI for $650M in all-cash deal.
• Samsung Electronics (SSNLF) will use TSM 3-nanometre process to produce base dies for NVDA next-generation custom high-bandwidth memory chips, the Seoul Economic Daily reported on Sunday. The move would mark the first time Samsung has worked with the Taiwanese contract chipmaker at the HBM manufacturing stage, according to the report

Street Recommendations

Monday, October 19, 2026

• OGE Barclays analyst Nicholas Campanella downgraded OGE Energy to Equal Weight from Overweight with a price target of $48, up from $42. The firm believes the shares are starting to price in "constructive outcomes" on the Oklahoma load acceleration. OGE's multiple reflects "near best case-scenario outcomes" throughout the catalyst path, introducing downside risk on execution, the analyst tells investors in a research note.
• CMI Barclays analyst Adam Seiden lowered the firm's price target on Cummins to $675 from $760 and keeps an Overweight rating on the shares. The firm adjusted targets in the machinery and construction group as part of a Q3 earnings preview. While higher interest rates and margin pressures remain risks, reset valuations are creating opportunities, particularly in aggregates and the "fallen angels," the analyst tells investors in a research note. Barclays favors Sunbelt, Vulcan Materials and Jacobs in the sector.
• XOM Barclays raised the firm's price target on Exxon Mobil to $200 from $177 and keeps an Overweight rating on the shares. The firm says refining capture normalized in Q3 just as tight global capacity supports a stronger margin outlook. This increases confidence in the durability of Exxon's refining earnings, the analyst tells investors in a research note.
• MTZ Barclays lowered the firm's price target on MasTec to $320 from $340 and keeps an Overweight rating on the shares. The firm adjusted targets in the machinery and construction group as part of a Q3 earnings preview. While higher interest rates and margin pressures remain risks, reset valuations are creating opportunities, particularly in aggregates and the "fallen angels," the analyst tells investors in a research note. Barclays favors Sunbelt, Vulcan Materials and Jacobs in the sector.
• NUE Barclays analyst Richard Garchitorena raised the firm's price target on Nucor to $306 from $295 and keeps an Overweight rating on the shares. The firm adjusted targets in the metals and mining space as part of a Q3 earnings preview. Barclays marked to market its Q3 estimates to reflect actuals.

• MSFT Bernstein raised the firm's price target on Microsoft to $662 from $660 and keeps an Outperform rating on the shares. Heading into the earnings, the firm likes the setup for the company. While sentiment has improved since last quarter, expectations going into the quarter generally still seem reasonable. Bernstein leans with a positive view into the Street's reaction to the results.
• ROL Bernstein analyst Connor Cerniglia lowered the firm's price target on Rollins to $35 from $42 and keeps a Market Perform rating on the shares. The firm expects Q3 reported results to be in line or slightly worse on the top line and miss on margins.

• AMP BofA downgraded Ameriprise to Underperform from Buy with a price target of $445, down from $570.
• LLY BofA raised the firm's price target on Eli Lilly to $1,397 from $1,341 and keeps a Buy rating on the shares. The firm's Q3 physician obesity survey adds validation for oral GLP-1s and the Medicare Bridge as U.S. "category expanders," the analyst tells investors.
• CAT BofA lowered the firm's price target on Caterpillar to $850 from $989 and keeps a Buy rating on the shares. Shares are down 30% from Q2 on investor concerns that include peak backlog, higher rates and power equipment risks, notes the analyst, who adds that Caterpillar's multiple has de-rated in prior periods of rate tightening cycles, "placing more of the onus on EPS revisions."

• ROL Canaccord lowered the firm's price target on Rollins to $36 from $45 and keeps a Hold rating on the shares. The firm updated its model ahead of Q3 results as lead volume improved towards the end of June, and that momentum continued through the first few weeks of July. They conducted a survey which found that contract/subscription business remains steady, but there remains pockets of weakness in one-time business; a key driver of the Q2 miss.
• CDNA Canaccord raised the firm's price target on CareDx to $80 from $65 and keeps a Buy rating on the shares. The firm updated its model ahea dof Q3 results and they believe the shares remain underappreciated as a primarily non-oncology testing company with strong fundamentals and solid growth potential.

• EAT Citi lowered the firm's price target on Brinker to $270 from $282 and keeps a Buy rating on the shares as part of a fiscal Q1 earnings preview. The firm expects modest upside to Brinker's Q1 same-store-sales and earnings estimates, but believes the company's sales moderated to start Q2.
• APP Citi lowered the firm's price target on AppLovin to $500 from $600 and keeps a Buy rating on the shares ahead of the Q3 report on November 4. Citi's Q3 estimates are in-line with consensus and it sees potential for a modest beat. The firm cites higher interest rates and elevated execution risks following the Q2 miss and ongoing Unity litigation for the target cut.
• BKR Citi lowered the firm's price target on Baker Hughes to $72 from $75 and keeps a Buy rating on the shares. The firm reduced Q4 estimates in the oil and gas equipment services group to reflect Saudi Arabia risk. The scale and duration of suspensions are still uncertain, the analyst tells investors in a research note.
• SLB Citi analyst Scott Gruber lowered the firm's price target on SLB to $62 from $63 and keeps a Buy rating on the shares. The firm reduced Q4 estimates in the oil and gas equipment services group to reflect Saudi Arabia risk. The scale and duration of suspensions are still uncertain, the analyst tells investors in a research note.
• WFRD Citi lowered the firm's price target on Weatherford to $112 from $115 and keeps a Buy rating on the shares. The firm reduced Q4 estimates in the oil and gas equipment services group to reflect Saudi Arabia risk. The scale and duration of suspensions are still uncertain, the analyst tells investors in a research note.

• MTZ JPMorgan lowered the firm's price target on MasTec to $303 from $369 and keeps an Overweight rating on the shares. The firm adjusted targets in the clean energy and power infrastructure sector as part of a Q3 earnings preview. JPMorgan expects company commentary regarding orders and pipeline to remain "mostly upbeat." Within renewables, the firm expects potential near-term order slowing due to uncertainty regarding the impact of Section 232 tariffs ahead of the early- December implementation.
• ORA JPMorgan lowered the firm's price target on Ormat Technologies to $98 from $131 and keeps a Neutral rating on the shares. The firm adjusted targets in the clean energy and power infrastructure sector as part of a Q3 earnings preview. JPMorgan expects company commentary regarding orders and pipeline to remain "mostly upbeat." Within renewables, the firm expects potential near-term order slowing due to uncertainty regarding the impact of Section 232 tariffs ahead of the early- December implementation.
• CLX JPMorgan analyst Andrea Teixeira lowered the firm's price target on Clorox to $83 from $95 and keeps an Underweight rating on the shares. The firm adjusted targets in the beverage, household and personal care products group as part of a Q3 earnings preview. Commodities cost pressures worsened since last reporting season, and tighter regulation enforcement for truckers in the U.S. is impacting the most U.S. centric staples names, the analyst tells investors in a research note.
• XYL JPMorgan lowered the firm's price target on Xylem to $118 from $137 and keeps a Neutral rating on the shares. The firm adjusted targets in the clean energy and power infrastructure sector as part of a Q3 earnings preview. JPMorgan expects company commentary regarding orders and pipeline to remain "mostly upbeat." Within renewables, the firm expects potential near-term order slowing due to uncertainty regarding the impact of Section 232 tariffs ahead of the early- December implementation.

• FICO Mizuho analyst Sean Kennedy lowered the firm's price target on FICO to $1,063 from $1,344 and keeps an Outperform rating on the shares. The firm reduced targets in the business services group citing rising mortgage headwinds. The group faces higher mortgage rates and a "myriad of regulatory developments," the analyst tells investors in a research note. It cut mortgage estimates across the group.
• TRU Mizuho lowered the firm's price target on TransUnion to $74 from $77 and keeps a Neutral rating on the shares. The firm reduced targets in the business services group citing rising mortgage headwinds. The group faces higher mortgage rates and a "myriad of regulatory developments," the analyst tells investors in a research note. It cut mortgage estimates across the group.

• BYD Morgan Stanley upgraded Boyd Gaming to Overweight from Equal Weight with a price target of $83, down from $89. The stock's valuation has become "too cheap to ignore," the analyst tells investors in a research note. The firm believes Boyd's underlying markets "remain largely healthy" despite the stock seeing a downdraft relative to the group.
• GLBE Morgan Stanley upgraded Global-e Online to Overweight from Equal Weight with a price target of $50, up from $46. The firm admits to underestimating the durability and magnitude of Global-e Online's same-store-sales growth. The company serves as a "key enabler" to cross-border e-commerce and as a result of reduction friction, drives faster growth for its brands, the analyst tells investors in a research note. Morgan Stanley thinks the company's same-store-sales growth can remain at or above the 12%, which it believes will give investors confidence that Global-e Online can continue to generate 30%-plus merchandise volume growth. It finds the stock "fundamentally mispriced" for this growth.

• HPP Piper Sandler downgraded Hudson Pacific to Neutral from Overweight with a price target of $13, down from $15. The firm downgraded three real estate names ahead of the Q3 reports, saying higher interest rates will weigh on debt costs and transaction volumes. The Q3 earnings reports "will be a tough one" for real estate investment trusts, the analyst tells investors in a research note. It believes investors should focus on companies with earnings and cash flow growth.
• NMRK Piper Sandler analyst Alexander Goldfarb downgraded Newmark to Neutral from Overweight with a price target of $13, down from $14. The firm downgraded three real estate names ahead of the Q3 reports, saying higher interest rates will weigh on debt costs and transaction volumes. The Q3 earnings reports "will be a tough one" for real estate investment trusts, the analyst tells investors in a research note. It believes investors should focus on companies with earnings and cash flow growth.

• OXY Stephens analyst Mike Scialla raised the firm's price target on Occidental to $80 from $78 and keeps an Overweight rating on the shares. Commentary is likely to include "soft" 2027 capex guidance of $5.9B, plans to attack the higher costs portions of the debt tower, and a Barnett Shale delineation update, the analyst tells investors in a Q3 preview.

• TRV Truist raised the firm's price target on Travelers to $435 from $425 and keeps a Buy rating on the shares. The firm is boosting its FY26 EPS view to $36.50 from $34.10 largely based on the outperformance in Q3 as core income increased year over year driven by higher favorable prior year development and the outlook for sustained profitability, the analyst tells investors in a research note.
• TOST Truist analyst Matthew Coad lowered the firm's price target on Toast to $38 from $39 and keeps a Buy rating on the shares. The firm expects Toast's new AI solutions to improve software module attach rates and boost SaaS average revenue per user growth, the analyst tells investors in a research note. The velocity of Toast's new product rollouts has improved meaningfully in 2026, and Truist sees it as an "unloved stock" and a great contrarian long, offering mid-single-digit upside to Street EPS estimates, the firm added.

• VFC UBS believes consumer demand for VF Corp.'s Vans is improving. New store channel checks indicate Vans is making progress, the analyst tells investors in a research note. The firm says the brand's classic silhouettes, skate product and limited premium releases have been key drivers. The brand's momentum commenced this past summer and has been broad-based across mall-based retailers, specialty shops and other places Vans is sold, contends UBS. It keeps a Neutral rating on the shares with a $17 price target.
• CRI UBS analyst Jay Sole lowered the firm's price target on Carter's to $38 from $41 and keeps a Neutral rating on the shares as part of a Q3 earnings preview. The firm believes the market views Carter's as a decelerating business heading into fiscal 2027. The company faces tough Q1 compares while high oil and cotton prices are likely pressure margins, the analyst tells investors in a research note. UBS sees a balanced upside/downgrade skew for the stock into earnings.

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: AERO AGNC BOKF CCK FNB KARO RBB RLI SFBS STLD WAL WASH WRB WTFC ZION

• 8:30 AM ET                   Housing Starts M/M for September
• 8:30 AM ET                   Building Permits M/M for September
• 8:55 AM ET                   Johnson/Redbook Weekly Sales
• 10:00 AM ET                 Pending Home Sales M/M for September
• 4:30 PM ET API Weekly Inventory Data

• Earnings After the Close: ADC ALK CB COF ELS EWBC HWC ISRG LRN MCB NFLX NLY NP ORRF OZK PEGA QCRH UAL

• 10:30 AM ET                 Weekly DOE Inventory Data
• 1:00 PM ET US Treasury to sell $13B in 20-year notes

• Earnings After the Close: BANR BBT BDN CACI CASH CATY CCI CSX EFSB EGBN EGP EPRT ESI FAF FR FRME FULT GGG GL GSBC GTY HBNC HXL IBM KALU KMI KNX LBRT LOB LRCX LUV MEDP META MMLP MOH NTST OII PKG PNFP Q ROL RS SAP SEIC SLG SON SSB STC TCBI TCBX TFIN TSLA TXN URI WCN WDFC WH WSBC

• 8:30 AM ET                   Continuing Claims
• 10:00 AM ET                 Leading Index M/M for September
• 10:30 AM ET                 Weekly EIA Natural Gas Inventory Data
• 11:00 AM ET                 Kansas City Fed Manufacturing for October

• Earnings After the Close: ABCB AMTB APPF ASB BBD BE BY BYD COLB CUBI DECK EBC ENVA FIBK GBCI HTH JAKK KN KNSL KRC MRTN MXL NEM ORC PINE REXR RNG SAM SIGI SLM SPFI SRCE SSNC USCB UVE VRSN WDC WSFS

• 9:45 AM ET S&P Global Services PMI, Oct-flash
• 9:45 AM ET S&P Global Composite PMI, Oct-flash
• 10:00 AM ET                 University of Michigan Confidence, Oct-final
• 10:00 AM ET                 University of Michigan 1-yr and 5-yr inflation expectations, Oct-final
• 1:00 PM ET                    Baker Hughes Weekly rig count data

.