Early Look

Friday, June 12, 2026

After stocks jump midday on news of a U.S./Iran deal, U.S. futures are extending gains and oil prices falling further. The deal, if confirmed, would be the most significant diplomatic breakthrough yet to end the three-month-old war. "The strait will officially open as soon as we sign, which could be soon, very soon, maybe over the weekend in Europe," he said, adding that Vice President JD Vance would attend the deal signing. Asked if Iran's Supreme Leader Ayatollah Mojtaba Khamenei had approved the deal, Trump said, "I understand the answer is yes." Oil prices fell another 3% (after falling 3% Thursday) to their lowest in nearly two months after President Trump cancelled new strikes on Iran midday yesterday. Iran's Mehr news agency reported that final negotiations on a memorandum of understanding (MOU) with the U.S. would focus on nuclear and economic issues but would exclude discussions about Iran's missile program. Nuclear talks will take place within a 60-day period after signing. While the macro news is lifting markets, attention turns to SpaceX (SPCX) which priced its record 555M share IPO at $135 last night and is expected to open later this morning. In other tech news, shares of Astera Labs (ALAB), CoreWeave (CRWV), Nebius (NBIS), Rocket Labs (RKLB), and Teradyne (TER) were all added to the Nasdaq 100 index. In Asian markets, The Nikkei Index surged 1,802 points or 2.81% to 66,020, the Shanghai Index jumped 44 points to 4,031, and the Hang Seng Index gains 468 points to 24,718. In Europe, the German DAX is surging 383 points to 24,592, while the FTSE 100 is up 117 points to 10,421.

U.S. stocks surged on Thursday after President Trump called off plans for renewed U.S. military strikes on Iran at the last minute, saying negotiations with Tehran were heading towards a possible deal. The comments boosted stocks across the board (sans energy stocks), sent oil prices lower, prompting jumps in precious metals and bonds. In response to signs of an imminent US-Iran deal, Brent and WTI crude are both fell below $90 per barrel, pushing Brent to its lowest level since mid-March, turbocharging the stock market and driving down yields Treasury yields as the 10-year yield slipped -8bps to 4.463%, while the two-year declines -5.5bps to 4.071%. The Nasdaq Comp surged 2.5% for best daily gain in 2 months, led by semis as the SOX rebounds 7.9% (biggest daily gains since April 2025) after pulling back from record highs recently while software declines behind ORCL weakness on capex spending concerns (IGV falls an 8th straight day).

• The Dow Jones Industrial Average rose 929.60 points, or 1.86%, to 50,848.38
• The Nasdaq Composite spiked 640.16 points, or 2.54%, to 25,809.66
• The Russell 2000 Index advanced 85.53 points, or 3.02% to 2,920.99

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

• Oppenheimer 24th Annual Semiconductor Bus Tour, 6/10-6/12
• RBC Capital Global Mining & Materials Conference, 6/11-6/12, in New York

• The Bank of Japan is set to raise interest rates to a 31-year high next week and signal its readiness to keep pushing up borrowing costs. The decision would align the BOJ with other central banks shifting towards tighter policy including the European Central Bank, which delivered a much anticipated hike on Thursday.

• New Oriental Education & Technology (EDU) was upgraded to Buy from Neutral at Goldman Sachs saying valuation appeal emerging on a number of metrics.
• RH Corp. (RH) Q1 EPS loss (-$1.97) vs. est. loss (-$2.07); Q1 revs -1.7% y/y to $800.3M vs. est. $792.4M; said net revenues were negatively impacted by approximately $45M due to higher backorder and special order balances that were approximately $75M higher than the same period a year ago; sees Q2 rev growth 0.5%-2.5% and raises low end of FY26 revenue growth view to +4.5%-8% from 4%-8% and adj free cash flow $300M-$400M.
• Seneca Foods (SENEA) Q4 sales rose y/y, driven by higher sales volume while gross margins improved to 11.2% from 4.5% y/y; did not provide specific guidance for the current quarter or full year.
• Sleep Number (SNBR) initiated voluntary chapter 11 sale process; enters asset purchase agreement to combine with Sleep Country Canada, creating an industry leader in North America.
• Century Casinos (CNTY) may offer and sell up to $100M of securities.

• SpaceX (SPCX) 555.6M share IPO priced at $135.00 as Goldman Sachs, Morgan Stanley, BofA, Citi and JPMorgan acted as joint book running managers, in biggest IPO debut of all-time. SpaceX is really three businesses under one stock: Starlink generates $11.4B in revenue and $4.4B in operating profit in 2025. SpaceX Launches generated $4.1B in revenue but lost money due to massive investment in Starship and AI (xAI + X) generated $3.2B in revenue but lost $6.4B in 2025.
• CF Industries (CF), Mosaic (MOS): President Trump on Thursday said he is considering taking action to help farmers affected by high fertilizer prices. "I am looking at doing a form of help," Trump told reporters at the White House, without providing details.
• Richtech Robotics (RR) says multiple prior financial statements require restatement due to errors; says earnings releases and prior audit reports for fy2024 and fy2025 should not be relied upon.

• Amerant Bancorp (AMTB) files $300M mixed securities shelf.

• Adobe Systems (ADBE) Q2 Adj EPS $5.96 vs. est $5.82, beat by $0.14; rev $6.62B vs. est $6.456B, beat by $164.0Mm-$170.0Mm, +13% YoY; adj operating Income $2.95B vs. est $2.873B, beat by $77.0Mm; guides Q3 rev $6.67B-$6.72B vs est $6.514B, adj EPS $6.05-$6.10 vs est $5.77; guides FY26 adj EPS $24.35-$24.45 vs est $23.52 and ups revs to $26.5B-$26.6B from %25.9B-$26.1B; CFO Dan Durn departing June 15.
• Marvell Technology (MRVL) announced the appointment of Dan Durn to Chief Financial Officer (coming from Adobe prior), effective June 15, 2026; affirms Q2 outlook.
• Nvidia (NVDA) has told Chinese clients that its new "Vera" Central processors for Ai data Centers could be available as soon as August and that they can begin placing orders, three sources familiar with the matter said - Reuters

Mid-Morning Look

Friday, June 12, 2026

An exciting day on Wall Street following a big surge in stocks Thursday, as risk sentiment has improved on hopes for a potential US-Iran agreement to end the fighting in the Persian Gulf and return the Strait of Hormuz to some form of normality. Equities have rallied hard the last 24 hours, bonds have risen/yields fell further, precious metals recovered and crude prices have slammed lower after President Trump cancelled new strikes on Iran midday yesterday and overnight said “the strait will officially open as soon as we sign, which could be soon, very soon, maybe over the weekend in Europe" with VP Vance potentially attending talks in Europe.

@realDonaldTrump noted on Truth Social just after the market open, “The terms that Iran leaked out to the Fake News have NOTHING to do with the terms that were agreed to, in writing. What they said, including their weak and pathetic statement on having a deal, bears no relation to the truth. Very dishonorable people to deal with. With them, there is no such thing as dealing in good faith. AMAZING! Also, their totally rebuffed Drone attack last night against Indian Ships leaving the Hormuz Strait is TOTALLY UNACCEPTABLE. They better get their act together, and FAST!”

The other story is the SpaceX (SPCX) IPO which priced its 555.6M share deal at $135.00 in biggest IPO debut of all-time. The IPO raised a record $75 billion on the sale of 555.56 million shares, valuing the space, satellite and AI provider at $1.77 trillion. SpaceX is really three businesses under one stock: Starlink generates $11.4B in revenue and $4.4B in operating profit in 2025. SpaceX Launches generated $4.1B in revenue but lost money due to massive investment in Starship and AI (xAI + X) generated $3.2B in revenue but lost $6.4B in 2025. Space stocks LUNR, PL, SATL, ASTS, FLY, RDW, SPCE, YSS, VOYG among names active to the downside after the IPO. In other news, software stocks tumble again (IGV down a 9^th straight day) after ADBE results last night, while semiconductors (SOX) continue to lead. Eight of eleven S&P sectors higher led by utilities, REITs, materials and energy.

• In Utility: Power stocks active after The Trump administration declared a power emergency in the southeastern US due to forecasted dangerous heat that may stress power grids. An emergency order allows DUK to operate power plants at maximum output levels and exceed certain air pollution limits to boost generation. The National Weather Service warned of heat waves from South Carolina to Maine through Friday amid high humidity and hot weather in the Mid-Atlantic.
• Business Development Co (BDC): Wells Fargo downgraded shares of ARCC and KBDC to Equal Weight from Overweight and NCDL cut to Underweight. ARCC cut as sees limited upside on its 0.97x NAV valuation and faces potential headwinds on negative outcomes within its "Big 3" credits including Symplr; KBDC cut as sees limited upside on its 0.89x NAV valuation and NCDL falls despite its more median valuation of 0.7.

• FA +5%; will replace KW in the S&P SmallCap 600 effective prior to the opening of trading on Tuesday, June 16. A consortium led by KW's CEO with Fairfax Financial Holdings Limited (TSE: FFH) is acquiring Kennedy-Wilson Holdings in a deal expected to close soon, pending final closing conditions.
• KTOS +3%; was upgraded to Overweight from Neutral at JP Morgan while lower PT to $82 from $99 saying growth remains the long-term focus in Defense and the outlook for Kratos on this front remains compelling, with margin rate expanding as well.
• NBIS +3%; after being added to the Nasdaq 100 index effective June 22^nd along with TER, ALAB, CRWV and RKLB and replacing CHTR, CTSH, INSM, VRSK, and ZS.

• ASTS -10%; as space related stocks seeing early weakness ahead of the SPCX IPO opening for trade, along with PL, SATS, RKLB, BKSY, RDW, FLY, LUNR, VOYG, SPACE.
• JAZZ -2%; said its lung cancer drug Zepzelca failed to meet the main goal of improving overall survival in a late-stage study, potentially risking its current regulatory status; said it has shared the trial results with the FDA and will discuss next steps regarding post-marketing requirements for the drug's second-line indication.
• LEN -2%; reported mixed Q2 results as EPS beat but revs fell -5% Y/y to $7.9B vs. est. $8.0B and said Q3 home deliveries below estimates, expected between 20,500-21,500 homes vs expectations of 22,353 units, delivered 20,519 homes in Q2, 2% more y/y, but its average selling price fell about 5% to $371,000 per unit.
• MBX -8%; shares fell as in a one-year open-label extension study of once-weekly drug, canvuparatide, 57% of patients met the main response criteria, compared with 63% response rate seen at 12 weeks in a mid-stage trial while Barclays noted investor expectations were for 79% response rate seen at 6-mo.
• RR -5%; shares fell after says multiple prior financial statements require restatement due to errors; says earnings releases and prior audit reports for fy2024 and fy2025 should not be relied upon.

Closing Recap

Friday, June 12, 2026

Following yesterday's nice rebound on Trump’s cancellation of new military strikes on Iran and positive comments on a settlement, US equities held some momentum with a modest overnight gain.  Trump’s very bullish comments on resolving the US/Iran stalemate continued to be met with decidedly mixed commentary out of Iran on pretty much all items: agreed to terms, not agreed to terms, will restore Hormuz shipping to regular levels, will not restore to pre-war level, etc.  And, right on cue, a new headline indicating an informed source in Iran says the claim of signing an agreement Sunday in Geneva is, “pure falsehood.”  And futures were back to flattish.  A brief early slide had stocks waffling between red and green and by mid-morning breadth favored advancers by 10:7 as small caps outperformed with IWM (+0.87%) versus SPY (-0.01%) and QQQ (-0.30%).  Early sector performance saw Energy (+1.64%), Materials (+1.31%) and Financials (+1.14%) outperforming while Health Care (-0.31%), Communications (-0.61%) and Consumer Discretionary (-1.01%) paced the underperformers with 8 sectors gaining versus 3 declining.  In sentiment today, the Fear and Greed Index remained in Fear territory at 33/100 versus last week’s 41 (Fear), but down from last month’s 65 (Greed). Attention most of the day in the media was surrounded around SpaceX (SPCX) IPO, which priced its 555M share IPO at $135 before opening at $150 and traded higher with best levels $176.52 before settling around $161.

Incrementally positive US/Iran deal headlines supported extended gains in US equities into early afternoon as the US perspective was text was in place that both Iran and the US like.  For the first time in a while, later headlines out of Iran were not totally contradictory and futures held gains heading into the final hour of trading for the week.  Resolution over the weekend probably would not be shocking enough to drive equities significantly higher but certainly would be welcomed and would shift market focus back to more mundane issues like inflation, the Fed and earnings growth without the daily back-and-forth Iran headlines.

• Trump’s comments on cancelling Iran strikes and a possible agreement were enough to push oil lower yesterday, and oil investors continued to believe we are closer to an end of the conflict as WTI crude futures faded further overnight.  Interestingly, despite early rebuttal comments about no agreement getting signed this weekend, and equity futures retreating early as well, oil didn’t see much reversal early.  An array of incrementally positive (for a deal) comments and headlines boosted hopes the conflict could be resolved soon and pushed oil even lower by early afternoon and again later in the day.  July WTI crude settled -$2.83/bbl, or -3.23%, at $84.88.

• Mortgage Services: ZG, RKT, OPEN shares fell Thursday and active again today a day after GOOGL announced it would launch Local Service Ads for Home Listings across the US on mobile, whereby potential homebuyers can see active listings on Google mobile search, and agents can pay Google for lead generation as well as listing promotion.
• Home Improvement/Furnishing: RH posted a top and bottom line beat as Q1 EPS loss less than expected while noting net revenues were negatively impacted by approximately $45M due to higher backorder and special order balances and the co raised the low end of its 2026 guidance.

• In Utility: Power stocks active after The Trump administration declared a power emergency in the southeastern US due to forecasted dangerous heat that may stress power grids. An emergency order allows DUK to operate power plants at maximum output levels and exceed certain air pollution limits to boost generation. The National Weather Service warned of heat waves from South Carolina to Maine through Friday amid high humidity and hot weather in the Mid-Atlantic.

• Exchanges: MKTX upgraded from Underperform to Neutral at Bank America with $170 PT with valuation sliding to an all-time low 14x while headwinds are abating; noted MKTX was the first mover in corporate bond Electronic trading but has been ceding market share to more innovative new entrants (Tradeweb, Trumid). As a percentage of US corporate bond e-trading, their share has declined to 33% from 57% over 5Y.
• Business Development Co (BDC): Wells Fargo downgraded shares of ARCC and KBDC to Equal Weight from Overweight and NCDL cut to Underweight. ARCC cut as sees limited upside on its 0.97x NAV valuation and faces potential headwinds on negative outcomes within its "Big 3" credits including Symplr; KBDC cut as sees limited upside on its 0.89x NAV valuation and NCDL falls despite its more median valuation of 0.7.
• Financial Services: FA will replace KW in the S&P SmallCap 600 effective prior to the opening of trading on Tuesday, June 16. A consortium led by KW's CEO with Fairfax Financial Holdings Limited (TSE: FFH) is acquiring Kennedy-Wilson Holdings in a deal expected to close soon, pending final closing conditions.

• MBX said its experimental once-weekly drug, canvuparatide, showed sustained benefit in patients with chronic hypoparathyroidism; shares fell as in a one-year open-label extension study, 57% of patients met the main response criteria, compared with 63% response rate seen at 12 weeks in a mid-stage trial while Barclays noted investor expectations were for 79% response rate seen at 6-mo

• KTOS was upgraded to Overweight from Neutral at JP Morgan while lower PT to $82 from $99 saying growth remains the long-term focus in Defense and the outlook for Kratos on this front remains compelling, with margin rate expanding as well. Recent wins and an expanding opportunity set increase JPMC's confidence, with Orbit and Nomad contributing on an inorganic basis.
• RKLB will be included in the Nasdaq 100 effective June 22nd

• Nasdaq 100 changes announced as TER, ALAB, NBIS, CRWV and RKLB all five to be added to the Nasdaq 100 index effective June 22^nd and replacing CHTR, CTSH, INSM, VRSK, and ZS
• In Semis: AMD was upgraded to Buy from Neutral at Citigroup and raise tgt to $575, up from $460 saying the company's graphics processing unit (GPU) upside is not fully priced into the shares. MRVL announced that CFO William Meintjes will step down, with Dan Durn appointed as his successor. Dan Durn will come from his current position as CFO at Adobe and brings significant semiconductor industry experience.
• In Robotics: RR shares fell after says multiple prior financial statements require restatement due to errors; says earnings releases and prior audit reports for fy2024 and fy2025 should not be relied upon.
• In Media: ROKU shares jumped after Bloomberg reported the company is in talks to sell itself, people with knowledge of the matter. The streaming video platform company has been in discussions with at least one U.S. media company about a potential combination. No final decisions have been made on a potential sale, and there's no certainty the deliberations will lead to a transaction.
• In Gaming: a report in The Information as MSFT gets ready to overhaul its struggling Xbox Gaming unit, it hasn’t ruled out spinning out or restructuring the unit as a wholly owned subsidiary, which could make it easier to sell, or creating a Joint venture with other Partners, according to three people with direct knowledge of the discussions. Microsoft doesn’t have any imminent restructuring plans, but those options are on the table, the people said.

Street Recommendations

Friday, June 12, 2026

• FTNT Barclays raised the firm's price target on Fortinet to $155 from $115 and keeps an Equal Weight rating on the shares after meeting with management. The firm believes Fortinet's strength in Q1 was broad-based. The company is managing channel inventory and its second half of 2026 outlook is "prudent," the analyst tells investors in a research note.
• KMX Barclays raised the firm's price target on CarMax to $31 from $26 and keeps an Underweight rating on the shares. The firm is "optimistic" on the potential for CarMax to improve the business under the new CEO, but would like to see signs that its execution and strategy will deliver growth before getting more constructive on the shares.
• TRV Barclays analyst Alex Scott downgraded Travelers to Underweight from Equal Weight with a price target of $295, down from $331. The firm says that with pricing softening, growth decelerating, and margin pressure building, earnings upside in the property and casualty insurance space is "becoming harder to find." Travelers' earnings will flatten and its downside risks are increasing, the analyst tells investors in a research note. Barclays believes the company's slowing rate and exposure growth, combined with pressure in its personal lines margins, should drive gradual underwriting margin compression.

• WSM BofA reinstated coverage of Williams-Sonoma with a Buy rating and $250 price target. Williams-Sonoma is in "a demographic sweet spot" as its "affordable luxury" positioning targets a core customer that supports relative resilience, says the analyst, who expects the company will remain a structural share gainer.
• BWA BofA analyst Alexander Perry raised the firm's price target on BorgWarner to $78 from $65 and keeps a Neutral rating on the shares. After having hosted an expert call with Luke Saladyga, the current CTO at VoltaGrid and former Data Center Architect at Oracle, to discuss automakers' and suppliers' emergence into non-auto end markets, the firm says it thinks BorgWarner has one of the most significant near-term opportunities to capitalize on growing AI-related data center demand through its TurboCell product.
• SNX BofA raised the firm's price target on TD Synnex to $320 from $270 and keeps a Buy rating on the shares. The firm expects "a strong print" when TD Synnex reports fiscal Q2 results on June 25 and anticipates commentary around backlog and demand visibility to support confidence and guidance ahead of consensus for the September quarter, the analyst tells investors in a preview.
• CLF BofA raised the firm's price target on Cleveland-Cliffs (CLF) to $14 from $12 and keeps a Neutral rating on the shares. Ahead of the Q2 guidance releases anticipated next week from Nucor (NUE) and Steel Dynamics (STLD), the firm marks-to-market its Q2 steel price forecasts and updates estimates for its North American steel and metal service centers coverage, noting that its price targets in the group increased by 9% on average.
• NUE BofA raised the firm's price target on Nucor (NUE) to $290 from $265 and keeps a Buy rating on the shares. Ahead of the Q2 guidance releases anticipated next week from Nucor and Steel Dynamics (STLD), the firm marks-to-market its Q2 steel price forecasts and updates estimates for its North American steel and metal service centers coverage, noting that its price targets in the group increased by 9% on average.
• RS BofA analyst Lawson Winder raised the firm's price target on Reliance (RS) to $380 from $365 and keeps an Underperform rating on the shares. Ahead of the Q2 guidance releases anticipated next week from Nucor (NUE) and Steel Dynamics (STLD), the firm marks-to-market its Q2 steel price forecasts and updates estimates for its North American steel and metal service centers coverage, noting that its price targets in the group increased by 9% on average.
• STLD BofA raised the firm's price target on Steel Dynamics (STLD) to $285 from $250 and keeps a Neutral rating on the shares. Ahead of the Q2 guidance releases anticipated next week from Nucor (NUE) and Steel Dynamics, the firm marks-to-market its Q2 steel price forecasts and updates estimates for its North American steel and metal service centers coverage, noting that its price targets in the group increased by 9% on average.

• ENS BTIG analyst Gregory Lewis raised the firm's price target on EnerSys to $280 from $250 and keeps a Buy rating on the shares after the company issued long-term revenue growth guidance of 3%-5% market growth plus 1%-3% from target market initiatives as part of its Investor Day presentation. The management is leaning into secular tailwinds across energy storage, which should provide the company a multi-year revenue growth path with improving margins along the way, the analyst tells investors in a research note.
• DASH BTIG analyst Jake Fuller lowered the firm's price target on DoorDash to $225 from $280 and keeps a Buy rating on the shares. Macro worries has weighed on the firm's Rideshare and Delivery coverage, with multiples hitting multi-year lows, but despite investor worry around sustainability of U.S. order growth, tracking is upbeat for DoorDash, the analyst tells investors in a research note. BTIG adds it is seeing stable site traffic and healthy app monthly active user trends.

• ADBE Goldman Sachs analyst Gabriela Borges lowered the firm's price target on Adobe to $190 from $220 and keeps a Sell rating on the shares. Adobe reported revenue slightly above expectations and in-line annual recurring revenue and margins, but lowered FY26 organic ARR growth guidance due to a strategic shift toward a more aggressive freemium-led approach focused on expanding top-of-funnel usage, even as near-term monetization, ARR growth, and margins face pressure from deferred pricing actions and increased growth investments, the analyst tells investors in a research note.
• CHWY Goldman Sachs analyst Eric Sheridan lowered the firm's price target on Chewy to $34 from $46 and keeps a Buy rating on the shares. Chewy reported Q1 results highlighting softer macro-driven revenue expectations and a reduced FY26 outlook for growth initiatives, but stronger-than-expected EBITDA margins driven by ads, mix, and efficiency gains, alongside continued investment in healthcare and loyalty programs, accelerating AI-driven cost savings, and ongoing capital returns through share repurchases and new financing capacity, the analyst tells investors in a research note.
• SNX Goldman Sachs raised the firm's price target on TD Synnex to $300 from $270 and keeps a Buy rating on the shares. TD Synnex is expected to benefit from strong data center hardware demand, driven by server refresh cycles and AI-related infrastructure buildouts, with higher ASPs and expanding volumes supporting billings and EPS upside, leading to raised estimates across the forecast period and reinforcing its positioning through pass-through pricing, a capital-light model, and hyperscaler exposure via Hyve, the analyst tells investors in a research note.

• ETSY JPMorgan raised the firm's price target on Etsy to $78 from $75 and keeps a Neutral rating on the shares after meeting with management. The company's tone and messaging is positive, the analyst tells investors in a research note. JPMorgan left more positive on Etsy's improving search optimizations, social commerce initiatives, app execution, agentic commerce positioning, and marketing strategy. These should translate to "durable" merchandise sales growth, contends the firm.
• ADBE JPMorgan analyst Mark Murphy lowered the firm's price target on Adobe to $340 from $420 and keeps an Overweight rating on the shares following the earnings report. The company is exchanging near-term annual recurring revenue for a long-term AI-driven opportunity, the analyst tells investors in a research note. JPMorgan continues to "lean favorably on Adobe fundamentals given its fairly durable growth rates, incremental AI monetization opportunities over time, and largely favorable customer and partner checks."
• GS JPMorgan raised the firm's price target on Goldman Sachs to $900 from $826 and keeps a Neutral rating on the shares. The firm expects consensus estimates to be raised for the global investment banks going into Q2 on strong trading performance. It believes Q2 will be the second best revenue quarter ever after a record Q1. Trading has become a "best execution pre/post trade platform business with the key driver being volatility driving activity levels," the analyst tells investors in a research note. JPMorgan sees Goldman Sachs and Morgan Stanley outperforming on the earnings prints.
• MS JPMorgan raised the firm's price target on Morgan Stanley to $187 from $179 and keeps a Neutral rating on the shares. The firm expects consensus estimates to be raised for the global investment banks going into Q2 on strong trading performance. It believes Q2 will be the second best revenue quarter ever after a record Q1. Trading has become a "best execution pre/post trade platform business with the key driver being volatility driving activity levels," the analyst tells investors in a research note. JPMorgan sees Goldman Sachs and Morgan Stanley outperforming on the earnings prints.

• MUSA KeyBanc raised the firm's price target on Murphy USA to $680 from $600 and keeps an Overweight rating on the shares. The firm recently spent several days with Murphy USA's management hosting investor meetings, and came away incrementally positive on the near- and long-term opportunity. KeyBanc continues to see EPS upside vs. the Street for Murphy USA in 2026 and believes that the longer the Iran conflict persists, the higher the floor for industry fuel margins will be.

• USAC Mizuho raised the firm's price target on USA Compression to $29 from $28 and keeps a Neutral rating on the shares. The company continues to benefit from "structural gas demand macro tailwinds" with a constrained compression market supporting record pricing, the analyst tells investors in a research note.
• ABNB Mizuho reiterates an Outperform rating on Airbnb following a series of industry checks. Investors continue to underappreciate the acceleration likely from hotel and the broader cultural shift underway at Airbnb, the analyst tells investors in a research note. Mizuho came from its industry checks "more bullish than ever." The firm says hotels are eager to work with Airbnb, connectivity friction has been high for hotels but is improving, and the "cultural shift necessary for Hotel to become big is happening." Airbnb remains a top pick at Mizuho.

• CSCO Morgan Stanley raised the firm's price target on Cisco (CSCO) to $130 from $120 and keeps an Overweight rating on the shares. As inference and rising CPU intensity drive a front-end refresh, the firm tells investors that Cisco and Arista Networks (ANET) remain its preferred ways to play what it views as "an underappreciated front-end networking refresh cycle."
• ANET Morgan Stanley raised the firm's price target on Arista Networks (ANET) to $190 from $180 and keeps an Overweight rating on the shares. As inference and rising CPU intensity drive a front-end refresh, the firm tells investors that Arista and Cisco (CSCO) remain its preferred ways to play what it views as "an underappreciated front-end networking refresh cycle."

• AROW Piper Sandler analyst Manuel Navas assumed coverage of Arrow Financial with an Overweight rating and $43 price target. The bank should continue its net interest margin rebound while adding franchise value from a greater commercial loan growth focus in its "attractive" upstate New York footprint, the analyst tells investors in a research note.
• CASS Piper Sandler assumed coverage of Cass Information Systems with a Neutral rating and $52 price target. The company's logistics payment platform drives a high return profile but a freight recession will weigh on its results, the analyst tells investors in a research note.
• FULT Piper Sandler assumed coverage of Fulton Financial with a Neutral rating and $23 price target. The bank is seeing steady profitability improvement but the shares are fairly valued at current levels, the analyst tells investors in a research note.
• OCFC Piper Sandler analyst Manuel Navas assumed coverage of OceanFirst Financial with a Neutral rating and $19 price target. The firm sees "middling profitability" for the bank as it digests the Flushing Financial acquisition.
• ADBE Piper Sandler lowered the firm's price target on Adobe to $240 from $280 and keeps a Neutral rating on the shares. The firm notes the company reported Q2 revenue growth of 12.7% and a beat of 2.5%. However, FY27 ARR was maintained despite a $480M benefit from Semrush, a result of management's strategic shift to prioritizing the freemium motion over near-term monetization. Furthermore, Adobe announced CFO Dan Durn will be departing and this comes amidst Adobe being mid-search for a CEO replacement with CEO Shantanu Narayen transitioning to BoD Chair once a successor is named.
• PEP Piper Sandler analyst Michael Lavery lowered the firm's price target on PepsiCo to $178 from $181 and keeps an Overweight rating on the shares. The firm continues to like PepsiCo's brands and ability to return to sustainable growth, but Piper does recognize that its trajectory may be a bit lumpy, and cost pressures are growing. Near-term, it has slower than expected distribution momentum in salty snacks portfolio, though the firm expects improvement as more innovation continues to launch and as some delayed shelf resets get done.
• BSX Piper Sandler analyst Matt O'Brien lowered the firm's price target on Boston Scientific to $65 from $90 and keeps an Overweight rating on the shares. The firm notes the shares have pulled back meaningfully given key drivers' deceleration and path to achieving the long-term top-line growth target of 10%-plus for the business.

• CCL Stifel raised the firm's price target on Carnival to $36 from $35 and keeps a Buy rating on the shares. The firm believes investors have already prepared themselves for Carnival to cut full-year yield guidance when they report on June 23, but it disagrees with that sentiment and believes the company will not only beat their fiscal Q2 yield guidance but will also be able to slightly raise their full-year yield guidance, the analyst says in a preview.
• PENN Stifel analyst Jeffrey Stantial raised the firm's price target on Penn Entertainment to $25 from $23 and keeps a Buy rating on the shares. The firm recently hosted a series of meetings with Penn's CEO and CFO and came away from the meetings positive on the setup into the second half of the year, the analyst tells investors.
• RH Stifel raised the firm's price target on RH to $130 from $110 and keeps a Hold rating on the shares. Q1 results outperformed expectations, eclipsing the high end of the company's guidance with RH increasing the low end of FY26 revenue and EBITDA guidance, notes the analyst, who cites higher prevailing multiples for the firm's raised target.

• RXT UBS raised the firm's price target on Rackspace to $5.50 from $5 and keeps a Neutral rating on the shares. Rackspace's decision to establish a regional headquarters in Riyadh reflects growing momentum in its cloud and AI business, signaling rising enterprise demand for cloud adoption and expanding opportunities across the Middle East region, the analyst tells investors in a research note.

• CCEP Wells Fargo analyst Chris Carey initiated coverage of Coca-Cola Europacific with an Overweight rating and $110 price target. The company's pricing power "is real" and the cost inflation it faces "can be covered," the analyst tells investors in a research note. Wells sees "relative value" at current share levels, saying Coca-Cola Europacific can compound earnings growth at high-single-digit or potentially double-digits over time.
• QCOM Wells Fargo raised the firm's price target on Qualcomm to $230 from $160 and keeps an Equal Weight rating on the shares ahead of the company's Investor Day. The firm's bull case is over $2.50/share per 1GW deploy.
• RH Wells Fargo analyst Zachary Fadem raised the firm's price target on RH to $175 from $160 and keeps an Overweight rating on the shares. The firm notes RH's Q1 topped a low bar, FY26 is intact and free cash flow is up slightly. While sub-Street Q2 makes second half of the year "hockey stick tougher to underwrite," there are still catalysts to play for, Wells argues.
• ADBE Wells Fargo lowered the firm's price target on Adobe to $250 from $330 and keeps an Overweight rating on the shares. The firm argues that the company's Q2 presented a reset at a tough time, with a CFO transition and lowered second half of the year ARR guide. Wells expects shares remain volatile until new CEO is named.

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

• 9:15 AM ET                   Capacity utilization for May
• 10:00 AM ET NAHB Housing Market Index for June

• Earnings After the Close: DOMO PLAY QMCO

• China House Prices/Retail Sales/Industrial Production data for May
  
  

• 8:30 AM ET                   Housing Starts M/M for May
• 8:30 AM ET                   Building Permits M/M for May
• 8:30 AM ET                   Import Prices M/M for May
• 8:30 AM ET                   Export Prices M/M for May
• 8:55 AM ET                   Johnson/Redbook Weekly Sales
• 1:00 PM ET US Treasury to sell $16B in 20-year notes
• 4:30 PM ET API Weekly Inventory Data

• Earnings After the Close: LZB YQ

• Goldman Sachs European Business Services, Transport, Leisure, Infra & Building Materials Conference, 6/16-6/17
• Jefferies Nantucket Consumer Conference, 6/16-6/17, in Nantucket, MA
• Truist 2026 MedTech Conference, 6/16, in Boston, MA
• Truist  2026 Truist Industrials & Services Conference, 6/16-6/17 in New York

• 8:30 AM ET                   Retail Sales M/M for May
• 8:30 AM ET                   Retail Sales – Less Autos for May
• 10:00 AM ET                 Business Inventories M/M for April
• 10:00 AM ET                 Pending Home Sales M/M for May
• 10:30 AM ET                 Weekly EIA Inventory Data
• 2:00 PM ET FOMC Rate Decision – no change to rates are expected

• Earnings After the Close: SB

• Jefferies Nantucket Consumer Conference, 6/16-6/17, in Nantucket, MA
• Stephens 7^th Annual Summer Bank Bach, 6/17-6/18, in Portland, ME
• Truist  2026 Truist Industrials & Services Conference, 6/16-6/17 in New York

• 8:30 AM ET                   Continuing Claims
• 8:30 AM ET                   Philly Fed Business Index for June
• 10:00 AM ET                 Leading Index Change M/M for May
• 10:30 AM ET                 Weekly EIA Natural Gas Inventory Data
• 4:00 PM ET                    Net Long-term TIC Flows for April

• Earnings After the Close: None

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