Shares of ChargePoint (NYSE: CHPT) rocketed more than 77% higher this past week after the electric vehicle charging infrastructure provider reported stronger-than-expected financial results, and its leadership team gave upbeat commentary on the EV industry.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

ChargePoint's losses are narrowing as it scales its operations

ChargePoint's revenue rose 18% year over year to $116 million in its fiscal 2027 second quarter, which ended July 31.

The gains were fueled by a 25% surge in networked charging systems revenue to $63 million, and a 10% jump in subscription revenue to $44 million.

During a conference call with analysts, CEO Rick Wilmer noted that higher gas prices are boosting demand for EVs in the U.S. He also pointed to a J.D. Power report showing that once someone purchases an EV, they're likely to continue to do so.

"Once consumers go electric, they stay," Wilmer said.

Additionally, Wilmer said EV trends are even more favorable in Europe, with sales up 33% year over year in July.

"Globally, the long-term case for EV adoption continues to strengthen, and we are seeing meaningful real-time market dynamics that support continued growth for ChargePoint," Wilmer said.

At the same time, ChargePoint is working to cut costs. The company's adjusted operating expenses declined by 11% to $52.3 million.

All told, ChargePoint's adjusted net loss shrank by 72% to $9.2 million.

New innovations should drive ChargePoint's expansion

Wilmer highlighted an ultrafast new charger that ChargePoint codeveloped with power management giant Eaton. Billed as "the world's fastest stand-alone EV charger," the Express Solo can deliver up to 600 kilowatts of power and charge an EV from 10% to 80% in just 11 minutes.

"We co-engineered Express with Eaton with an uncompromising focus on performance, scalability, energy density, and economics that we believe is unmatched," Wilmer said. "Early access units have begun shipping, and the demand signal from customers has been exceptional."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Eaton Plc. The Motley Fool has a disclosure policy.

Shares of Intel (NASDAQ: INTC) rose over 7% this past week after an analyst report highlighted the chipmaker's enormous artificial intelligence (AI)-driven growth potential.

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A forthcoming surge in demand for Intel's CPUs

The AI boom is creating a massive need for the semiconductor chips that power high-performance computing infrastructure. Many investors are aware of this trend. But they may be overlooking the shift toward central processor units (CPUs), as compute needs transition from graphics processing unit (GPU)-based model training to agentic AI workloads.

Global Equities Research analyst Trip Chowdhry believes this shift will help Intel's annual earnings per share grow more than tenfold to $20 by 2031. For context, Wall Street's consensus estimates call for Intel's EPS to increase to $1.51 in 2026 and $2.04 in 2027, as per Yahoo! Finance.

In turn, Chowdhry sees Intel's stock price more than doubling to $200 per share.

Dell's gains bode well for Intel

Chowdhry cites Dell's (NYSE: DELL) recent earnings release and subsequent management commentary as evidence that this trend is already taking hold.

Revenue in Dell's traditional server segment soared 122% to $10.5 billion in the second quarter. Intel's CPUs help to power many of these servers.

"We are seeing a growing trend of customers that require meaningful CPU compute capacity to support AI and agentic workflows," Dell's chief operating officer, Jeff Clarke, said during the company's Q2 earnings call.

"This is INTC CPUs," Chowdhry said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Intel. The Motley Fool has a disclosure policy.

Shares of UiPath (NYSE: PATH) fell on Friday after the automation specialist's quarterly results failed to assuage investors' fears regarding the threats posed by formidable new rivals.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Orchestrating AI

UiPath's revenue rose 13% year over year to $410 million in its fiscal 2027 second quarter, which ended on July 31. Its adjusted operating income, in turn, surged 43% to $89 million.

The business orchestration leader is helping its customers use artificial intelligence (AI) when it serves them best and other forms of automation when lower-cost options are better suited for the task.

During a conference call with analysts, CEO Daniel Dines said UiPath employs a simple strategy to accomplish these goals.

"Use AI where intelligence creates value and deterministic automation where exactness matters," Dines said. "That gives customers the benefits of AI without paying for AI reasoning at every step, and ultimately, better economics and better ROI [return on investment] at scale."

Risks remain

However, some analysts are concerned that AI-powered rivals could wrest business away from UiPath.

Canaccord Genuity analyst Kingsley Crane, for one, pointed to software giant Salesforce's recently announced partnership with leading AI model developer Anthropic as a potential threat.

"The competitive landscape is intensifying quickly, perhaps faster than reported numbers are capable of showing," Crane said.

Crane, in turn, downgraded UiPath's stock from buy to hold.

Still, Dines remains undaunted.

"AI is expanding what enterprises can automate, while increasing the need for the orchestration, governance, and exactness that deterministic automation provides," Dines said. "Our ability to bring AI agents, robots, systems, and people together to execute end-to-end business processes positions UiPath at the center of this opportunity."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Salesforce and UiPath. The Motley Fool has a disclosure policy.

Shares of Lululemon Athletica (NASDAQ: LULU) plummeted on Friday after the athletic clothing maker slashed its full-year profit forecast.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Sales shortfall

Lululemon's net revenue declined 4% year over year to $2.4 billion in its fiscal second quarter, which ended on Aug. 2.

The retailer opened 11 new company-operated stores and closed two during the quarter, bringing its total to 825 locations.

Yet its comparable sales, which measure revenue at stores and direct-to-consumer e-commerce sites open for at least a year, fell 9%.

Shifting trends

To the heartbreak of many, Lululemon's famed leggings appear to be going out of style.

"We remain committed to the category, but there are shifts occurring with guests looking for away-from-body silhouettes," interim co-CEO Meghan Frank said during a conference call with analysts.

Worse still, Lululemon is losing market share to rivals like Alo Yoga, according to retail intelligence provider PassBy.

In all, Lululemon's leggings sales sank roughly 20% in the second quarter.

Lululemon's operating income, in turn, dropped 13% to $453.7 million. The decline would have been even steeper if not for $134.5 million in tariff refunds.

All told, the beleaguered company's earnings per share, which were propped up by stock buybacks, decreased 6% to $2.92.

Turnaround efforts are likely to take time

Management sees more declines ahead. Lululemon expects its third-quarter net revenue to shrink by more than 10% to $2.3 billion.

Investors were also disheartened to see Lululemon cut its full-year earnings per share guidance to $9.48 to $9.73, down from a prior forecast of $10.95 to $11.15.

Incoming CEO Heidi O'Neill, a former Nike executive, will be facing quite a challenge when she takes the helm of the struggling apparel designer on Sept. 8.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nike. The Motley Fool recommends Lululemon Athletica Inc. The Motley Fool has a disclosure policy.

Shares of Robinhood Markets (NASDAQ: HOOD) popped on Thursday after analysts highlighted the potential of new prediction markets to drive the trading app's expansion.

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Betting on a company's performance

Investors already view prediction markets as a key growth opportunity for Robinhood. But Deutsche Bank analyst Brian Bedell has a new take.

Bedell predicts that contracts for businesses' financial key performance indicators (KPIs) will become the largest event-contract category within prediction markets.

"For the U.S., we believe company KPI contract volume could surpass 1 trillion in 2028 from virtually nothing today, exceeding sports volumes, even in any positive SCOTUS [Supreme Court of the United States] ruling in favor of national regulation," Bedell said.

Bedell believes Robinhood is one of the companies best positioned to profit from this high-potential new trading market.

Profiting from America's favorite sport

Bedell isn't the only one who's getting more positive on Robinhood's prospects. Piper Sandler analyst Patrick Moley thinks football will be another powerful growth driver for Robinhood's prediction market revenue.

Moley points to the "explosive" gains driven by the World Cup as a sign of what's to come in the U.S. during the NFL and NCAA football seasons. He expects the impact to be visible in Robinhood's upcoming third- and fourth-quarter results.

In turn, Moley sees Robinhood's share price rising roughly 16% to $145.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Microsoft (NASDAQ: MSFT) rose on Thursday after the technology titan announced that it would provide investors with more information about its fast-growing cloud computing business.

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Quantifying AI's impact on Azure

Artificial intelligence (AI) runs on the cloud. The AI race, in turn, has been a boon for Microsoft's Azure cloud infrastructure platform.

Microsoft is a key investor and partner of OpenAI and Anthropic. These and other leading AI model developers rely on Azure for a significant portion of their cloud computing needs.

At the same time, tens of thousands of customers use Azure to access AI models, applications, and development tools.

Yet while investors have long appreciated Azure's rapid pace of expansion, Microsoft has disclosed little beyond its growth rate. Until now.

Microsoft has finally begun to report Azure's quarterly revenue figures. And investors apparently like what they see.

Azure's revenue surged 42% year over year to $29.4 billion in its most recent quarter. That places it second only to cloud industry leader Amazon Web Services, whose revenue grew 37% to $42.2 billion in the quarter ended June 30.

Azure's growth is accelerating

Microsoft expects Azure's revenue to grow by 44% to 45% in constant currency in the current quarter, driven by soaring AI usage.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon and Microsoft. The Motley Fool has a disclosure policy.

Shares of Eos Energy Enterprises (NASDAQ: EOSE) spiked on Wednesday after the battery storage provider announced a partnership with Google and leading independent power producer MN8 Energy.

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Joining forces to deliver clean energy to the grid

There's something poetic about the Mammoth Solar project in Kanawha County, West Virginia, being built on a reclaimed coal mine. True to its name, the massive project is designed to send clean energy to the grid to power Google's data centers in the area.

The utility-scale solar project will feature new, long-duration energy storage equipment that will help to better match intermittent renewable power generation with data center usage requirements.

The solar project, which will be owned and operated by MN8 Energy, is projected to launch commercial operations in 2028, with its storage solutions coming online in 2029 and 2030.

A vote of confidence for Eos Energy's tech

Google's stamp of approval is a big deal for Eos' Z3 zinc-based long-duration energy storage technology. One that could drive significantly more business to the high-performance battery maker.

Eos' system can provide 10 hours of storage, thereby enabling solar power to be delivered long after it's produced. In turn, Eos says the project will show that its aqueous zinc chemistry can become a valuable component of future grid infrastructure.

"Our work with Google is focused on deploying American-made long-duration storage where it solves real grid reliability challenges," Eos chief commercial officer Nathan Kroeker said. "Z3 extends the value of clean generation across more hours, strengthens the overall portfolio, and delivers more dependable capacity when it's needed most."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of GitLab (NASDAQ: GTLB) gained on Wednesday after the software development platform highlighted its artificial intelligence (AI)-fueled growth prospects.

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Winning new customers

GitLab helps developers create and test software faster and more securely on a single, integrated platform. These benefits are evident in its financial results.

GitLab's total revenue rose 21% year over year to $286.3 million in its fiscal 2027 second quarter, which ended on July 31. The gains were driven by new customer additions and higher sales to existing users.

First orders placed by brand-new customers more than doubled to 1,700, while clients generating annual recurring revenue of over $100,000 climbed 17% to 1,571.

Investors should note that GitLab is not yet profitable on a generally accepted accounting principles (GAAP) basis. However, its adjusted operating income increased nearly 8% to $42.6 million.

All told, GitLab's adjusted earnings per share came in at $0.24, well above Wall Street's projection of $0.18.

AI could be a powerful growth driver for GitLab

Looking ahead, management guided for full-year revenue of $1.13 billion in fiscal 2027. The company also forecast adjusted operating of $150 million and earnings per share of $0.86 at the midpoint of its guidance ranges.

Although analysts remain concerned about the threat of disruption from AI-powered coding tools, CEO Bill Staples said AI is providing a notable boost to its business.

"As AI drives more software creation and more work through the development lifecycle, the context, security, governance, and control GitLab provides become increasingly valuable," Staples said. "We believe this creates a significant opportunity for GitLab as humans and agents increasingly build software together."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool recommends GitLab. The Motley Fool has a disclosure policy.

Shares of Fervo Energy (NASDAQ: FRVO) soared on Tuesday after the next-generation geothermal systems builder struck a landmark agreement with Alphabet's (NASDAQ: GOOGL)(NASDAQ: GOOG) Google.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Demand for geothermal energy is rising

Fervo entered into a 396-megawatt (MW) power purchase agreement with Google. The deal is intended to help Fervo further the development of its flagship Cape Station enhanced geothermal systems GeoCluster in southwest Utah.

The multi-phase project is projected to go online in 2028. Google plans to use the carbon-free energy Fervo generates to power a data center in the area.

"As demand for reliable electricity grows, customers like Google need energy resources that can be deployed at scale, operate around the clock, and deliver where power is needed," Fervo CEO Tim Latimer said.

As part of the deal, Google also obtained the option to purchase an additional 600 MW by June 2030.

Notably, the plans are subject to engineering feasibility studies and regulatory approvals. In that regard, Fervo said the new electricity capacity would come at "no cost to existing ratepayers."

Joining forces to power AI

The two companies began working together in 2023. Fervo supplies power to Google's data centers in Nevada.

With Google now turning to Fervo for up to 1 GW of its potential energy needs, the partnership is apparently going very well.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet. The Motley Fool has a disclosure policy.

Shares of CrowdStrike (NASDAQ: CRWD) furthered their ascent on Monday, as investors' excitement about the artificial intelligence (AI)-powered cybersecurity leader's growth potential reached a fevered pitch.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

The AI sentinel

CrowdStrike's Falcon platform uses AI to provide real-time threat detection, instant protection, and automated remediation. Companies are increasingly using Falcon to secure their devices and cloud computing workloads to guard their most sensitive data from AI-driven attacks.

CrowdStrike's business, in turn, is booming.

Its annual recurring revenue (ARR) jumped 25% year over year to $5.8 billion as of July 31. The cyber guardian turns about a quarter of those sales into free cash flow, including $377 million in its most recent quarter.

"The Falcon is soaring," CEO George Kurtz said.

AI security is becoming increasingly vital

Management sees more gains ahead. CrowdStrike estimates that its total addressable market will grow from $149 billion in 2026 to $325 billion by 2030, fueled by soaring demand for AI cybersecurity solutions.

"Every enterprise will run on AI, and securing it is the largest market opportunity in our history," Kurtz said.

New partnerships should accelerate the AI guardian's growth. CrowdStrike announced on Monday that its Falcon platform is now available on Alphabet's Google Cloud infrastructure and Snowflake's marketplace. These collaborations will expand CrowdStrike's access to more potential customers and make it easier for existing clients to interact with its AI security tools.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, CrowdStrike, and Snowflake. The Motley Fool has a disclosure policy.

The U.S. and Iran exchanged strikes, sparking a flare-up in hostilities that threatens to prolong the conflict in the Middle East.

The news drove oil prices higher, with Brent crude topping $90 as traders weighed the risk of further strikes disrupting vital shipping lanes through the Strait of Hormuz.

Many oil-related stocks rose in response, as investors sought shelter from the storm.

Here's how some of the leading energy stocks fared on Monday:

• SLB (NYSE: SLB), up 4.8%
• ExxonMobil (NYSE: XOM), up 2.7%
• Devon Energy (NYSE: DVN), 2.5%
• Chevron (NYSE: CVX), up 2.1%
• Occidental Petroleum (NYSE: OXY), up 1.8%

Image source: Getty Images.

Higher oil prices are likely to drive these companies' earnings higher

SLB offers a wide range of services to the energy industry, such as well construction, reservoir management, and equipment maintenance. SLB operates globally in over 120 countries.

ExxonMobil is the largest publicly traded oil major, with leading positions in exploration, production, and refining. Exxon has the expertise and financial strength to take on complex projects that are beyond the means of most other businesses.

Like Exxon, Chevron is one of the biggest and best-run integrated oil and gas companies in the world. Notably, Chevron has a strong presence in Venezuela, a market whose development is a key focus of the Trump administration.

Devon's prized acreage position in the Delaware Basin gives it some of the lowest break-even costs among U.S. shale operators. Devon's strong cash flow production, in turn, funds its bountiful dividends and share repurchases.

Occidental's stock is a favorite of Warren Buffett. Buffett's investment conglomerate, Berkshire Hathaway, first invested in the oil and gas producer in 2019. Occidental's valuable assets in the Permian Basin and robust free cash flow are major reasons why Berkshire still holds roughly $16 billion of its shares.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway and Chevron. The Motley Fool recommends Occidental Petroleum. The Motley Fool has a disclosure policy.

Shares of Deere (NYSE: DE) rose on Monday after an analyst report drove investors to price in the rising probability of a near-term recovery in the U.S. farming market.

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The ag sector is poised for a rebound

A brutal combination of higher fuel costs and lower crop prices has weighed on the U.S. agriculture industry's profits in recent years. Yet farmers could soon get some relief.

Baird analyst Mircea Dobre believes rising corn and soy prices will help to drive an upturn in farming profits in North America, boosting demand for large agricultural equipment in the coming year.

And that, my friends, would mean more sales for Deere.

Deere stands to profit handsomely from a farming recovery

Dobre estimates that Deere's earnings per share will grow to roughly $25 in 2027 and well over $30 in 2028 as these trends take hold. The agricultural machinery and heavy construction equipment maker generated $18.50 in per-share profits in fiscal year 2025.

Due in part to this expected surge in profitability, Dobre placed an outperform rating on Deere's stock and lifted his share price forecast from $640 to $800.

This new price target represents potential gains of more than 22% for investors who buy shares now.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Deere & Company. The Motley Fool has a disclosure policy.

Shares of IREN (NASDAQ: IREN) fell 15% this past week after the cloud computing provider's quarterly results fell short of investors' lofty expectations.

Therein lies your opportunity.

Image source: Getty Images.

IREN is well placed to profit from the AI race

IREN has what many businesses need.

"We have spent years assembling what is difficult to replicate: power, land, data centers, compute, software, and people," Co-CEO Daniel Roberts said in IREN's earnings release on Thursday.

That places the cloud services provider in a strong position to capitalize on the artificial intelligence (AI) boom.

"Exponential AI consumption growth has fueled demand for compute capacity well beyond the available supply of infrastructure," Roberts said. "IREN was built for this moment."

IREN is largely sold out of its available capacity for 2026 and has already secured $4 billion in annualized run rate revenue.

The problem is that IREN's financial results do not yet reflect its tremendous growth potential.

Although IREN's AI cloud services revenue more than doubled sequentially to $70.5 million in the quarter ended June 30, its total revenue declined by 5% to $137.2 million, as it continued to shift resources away from its cryptocurrency mining operations.

It also didn't help that IREN's adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) fell 68% to $19.2 million.

Consider buying IREN's stock when it's on sale

Yet patient investors may want to look further ahead.

Not only is IREN rapidly adding capacity, but it's also contracting it out at higher prices. IREN is in active discussions to provide capacity at roughly $25 million per megawatt, up from its recent $20 million per MW deals.

Moreover, customers are so eager to get their hands on compute that they've been agreeing to prepay up to 55% of GPU-related costs.

Perhaps unsurprisingly, given these favorable trends, Wall Street analysts are still largely bullish on IREN's stock.

H.C. Wainwright analyst Mike Colonnese, for one, has a buy rating and a $90 price target on IREN's shares, signifying potential gains of over 150% for investors who buy shares now.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Elastic (NYSE: ESTC) surged on Friday after the enterprise search company issued an upbeat growth forecast.

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AI-fueled gains

Elastic is integrating artificial intelligence (AI) into its core search technology to help its customers transform their data into actionable insights.

The strategy is working.

Elastic's total revenue jumped 15% year over year to $478 million in its fiscal 2027 first quarter, which ended on July 31.

The gains were driven by new customer wins and higher sales to existing clients. Customers with an annual contract value of more than $100,000 increased to more than 1,800, up from 1,720 in the fourth quarter and 1,550 in the first quarter of fiscal 2026.

"AI is reshaping the enterprise technology stack, and organizations are making deliberate choices about where to build and how to observe and secure their applications and data," CEO Ash Kulkarni said.

Better still, Elastic is growing more profitable as it expands its customer base. Its adjusted operating income climbed 19% to $77 million.

Elastic's adjusted earnings per share, in turn, increased 17% to $0.70. That surpassed Wall Street's estimates, which had called for per-share profits of $0.58.

Management sees more gains ahead

Elastic now expects its full-year revenue to grow roughly 15% to $2 billion, driving adjusted earnings per share of $3.29 to $3.37.

"We enter the year with growing momentum across search and AI, security, and observability -- and confidence in the trajectory of our business," Kulkarni said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool recommends Elastic. The Motley Fool has a disclosure policy.

Shares of Ulta Beauty (NASDAQ: ULTA) declined on Friday after the cosmetics retailer released its quarterly earnings report.

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Ulta's expansion strategy is working

Ulta's net sales grew 8.9% year over year to $3 billion in its second quarter ended Aug. 1. Store openings, higher sales at existing locations, and the skincare product purveyor's acquisition of British beauty retailer Space NK drove the gains.

Ulta opened 14 net stores during the quarter, bringing its total to 1,622 as of Aug. 1. That includes 1,534 in the U.S. and 88 in international markets, over 80 of which were obtained from its purchase of Space NK.

The company's comparable sales, which measure revenue at stores and e-commerce sites open for at least 13 months, rose 3.8%.

Ulta is doing a solid job of managing its inventory levels and keeping a lid on expenses. Its operating income jumped 10.1% to $379.6 million.

All told, Ulta's earnings per share climbed 13.3% to $6.55. That topped Wall Street's estimates, which had called for per-share profits of $6.20.

The sell-off is creating an opportunity for investors

Some analysts pointed to Ulta's muted traffic growth and higher promotional activity, which weighed slightly on its gross margin, as potential concerns. But there wasn't much to not like about the cosmetics seller's Q2 report.

Moreover, management raised its forecast for full-year net sales and operating income growth to 6.7%-7.2% and 8.3%-9.3%, respectively. It also boosted its projection for earnings per share to $28.70-$29.00.

"We continue to strengthen our position as the ultimate beauty discovery destination, leveraging our unique understanding of our guests to drive excitement and growth through compelling innovation, value, experiences, and convenience," CEO Kecia Steelman said.

With Ulta's shares now trading at roughly 18 times its earnings projections, value-focused investors may wish to consider buying its stock at a discount.

If you decide to invest, you'll likely be buying alongside Ulta. The beauty products leader intends to buy back up to $1 billion worth of its shares by the end of fiscal 2026.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Ulta Beauty. The Motley Fool has a disclosure policy.

Shares of Okta (NASDAQ: OKTA) soared on Thursday after the identity management leader delivered strong quarterly profits.

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Guarding AI agents

AI agents have the potential to automate huge swaths of the economy, boosting productivity and slashing costs along the way. Yet AI agents also pose a dangerous threat to digital infrastructure and traditional data protection systems.

High-profile breaches -- such as when OpenAI's models compromised parts of Hugging Face's systems -- are driving businesses to spend more on cybersecurity solutions. Okta, as a leading provider of identity and access management tools, is benefiting from this trend.

Okta's total revenue rose 11% year over year to $805 million in its fiscal 2027 second quarter, which ended on July 31.

"As AI agents transform every layer of technology, every agent needs a trusted identity and clear controls over what it can access and do," CEO Todd McKinnon said. "Okta helps organizations discover agents, secure their connections, govern their actions, and respond when something goes wrong, giving them the flexibility and control they need to deploy agents safely and at scale."

It's a lucrative position to hold. Okta's adjusted net income jumped 15% to $194 million, or $1.05 per share. The cyber guardian also generated $227 million in free cash flow, placing its FCF margin at an impressive 28%.

Demand continues to rise

Okta now forecasts its full-year revenue to grow by roughly 11% to $3.2 billion. Management also projects adjusted earnings per share of $3.90 to $3.94 and free cash flow of $910 million to $930 million.

"The emerging use of AI by organizations and threat actors alike has further elevated the role identity plays within a company's security posture," McKinnon said during a conference call with analysts. "Organizations are accelerating their infrastructure modernization timelines to address this heightened threat environment."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Okta. The Motley Fool has a disclosure policy.

Shares of Wendy's (NASDAQ: WEN) fell on Thursday, following reports that a much-anticipated buyout offer may not be forthcoming.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Backing away from a deal

Wendy's has been struggling for quite some time. So much so that investors have come to hope that an investment firm would acquire the beleaguered burger chain and right the ship.

Yet that deal may be off the table.

Billionaire investor Nelson Peltz's Trian Fund Management does not intend to make a takeover bid for Wendy's at this time, according to a report by Reuters.

The activist investor firm has a roughly 16% stake in Wendy's. Reuters previously reported that Trian was forming an investment group to take the fast-food chain private.

Rumors of a potential acquisition helped to drive up Wendy's share price. But today's report that Trian has decided against a deal drove many investors to sell their shares, causing Wendy's stock to give up much of its recent gains.

Wendy's needs to right itself

Trian is reportedly not pleased with Wendy's performance, nor does it feel that its stock price represents a particularly compelling opportunity -- even with shares down more than 66% over the past five years.

Trian certainly has reason to be disappointed. Wendy's global systemwide sales fell 6.5% in the second quarter, driven by a 7% decline in U.S. same-store sales. The company's net income, in turn, plunged 41% to $55 million.

"Today we are clearly not performing at our potential," new CEO Bob Wright said on Aug. 7. "I returned to Wendy's because I believe we can fix our issues and I am excited to work with our team and our franchisees to drive a strong turnaround."

With a takeover offer unlikely to emerge anytime soon, Wendy's shareholders are now hoping that Wright can succeed in his turnaround efforts.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Salesforce (NYSE: CRM) surged on Thursday after the cloud-based customer relationship management platform's quarterly results helped to calm investors' fears of a forthcoming "SaaSpocalypse."

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The doomsayers have it wrong

"This nonsense of this SaaSpocalypse, I think it is time for it to stop," CEO Marc Benioff said during Salesforce's earnings call.

Benioff is referring to concerns that the relentless advances in artificial intelligence (AI) would reduce the need for software sold on a subscription basis. The theory was that companies that relied on this so-called software-as-a-service (SaaS) business model would rapidly cede revenue to AI-powered competitors and see their pricing power erode.

"We've been hearing about this for the last two quarters, these dire predictions about the end of software and how the [AI] models eat everything, but none of them have come true for us," he said.

Salesforce's financial results support Benioff's statements. The software leader's revenue rose 11% year over year to $11.3 billion in its fiscal 2027 second quarter, which ended on July 31.

"AI is delivering value across every layer of our platform," Benioff said. "We're seeing incredible demand for our AI and data products, with ARR [annual recurring revenue] about to cross $4 billion."

The company's Agentforce offering, which helps customers create AI agents to perform a range of business tasks, is growing particularly fast. Agentforce ARR increased over 240% to $1.5 billion.

All told, Salesforce's net income climbed to $3.5 billion, or $4.29 per share, from $1.9 billion, or $1.96 per share, in the prior-year quarter, driven by a $2.6 billion gain on its investment in leading AI model developer Anthropic.

An intriguing new partnership

Salesforce is teaming up with Anthropic to launch Claudeforce, which combines the reasoning of Anthropic's highly regarded Claude models with Salesforce's trusted data security and business workflows.

"Through this partnership, companies can point Claude at the customer information and business context that they've been building in Salesforce for decades, and use it to actually run and grow their businesses," Anthropic CEO Dario Amodei said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Salesforce. The Motley Fool has a disclosure policy.

Shares of Dollar General (NYSE: DG) rose on Thursday after the low-price retailer boosted its full-year profit forecast.

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People are hunting for bargains

Dollar General's net sales climbed 5.2% year over year to $11.3 billion in its fiscal second quarter, which ended on July 31. The gains were driven by store openings and higher sales at existing locations.

The retailer opened 126 new stores during the quarter. It also remodeled 1,376 stores through a combination of light-touch optimization upgrades and more extensive renovations.

These investments are helping to boost revenue at the company's older locations. Dollar General's same-store sales grew 3.5%.

During a conference call with analysts, CEO Todd Vasos said higher gas prices were forcing shoppers to search for bargains closer to home. With over 21,000 stores situated within five miles of three-quarters of the U.S. population, Dollar General is well-positioned to benefit from these trends.

"We were especially pleased to see our [market] share gains accelerate in the quarter, which we believe demonstrates the strength and broad appeal of our unique combination of value and convenience, particularly in rural communities across America," Vasos said.

All told, Dollar General's net income surged 33.8% to $550.3 million, or $2.48 per share, with tariff refunds accounting for $0.25 of those gains.

Store openings and remodels should continue to drive earnings higher

This impressive first-half performance prompted Dollar General to increase its full-year financial projections.

Management now sees same-store sales rising by 2.5% to 2.9%, up from a prior forecast of 2.2% to 2.7%. It also expects earnings per share of $7.80 to $8.00, up from $7.20 to $7.45.

The discount chain plans to open a total of 450 stores in the U.S. and 10 in Mexico in fiscal 2026. It also expects to remodel as many as 4,250 locations.

Notably, Dollar General's leadership seems to think its shares are still undervalued even after their recent gains. The company intends to buy back up to $700 million worth of its stock in the second half of the year.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Abercrombie & Fitch (NYSE: ANF) rocketed higher on Wednesday after the apparel and accessories purveyor boosted its full-year profit forecast.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Consistent, broad-based growth

Abercrombie & Fitch's net sales rose 5% year over year to $1.3 billion in its fiscal 2026 second quarter, which ended on Aug. 1. That marked the retailer's 15th straight quarter of growth.

Abercrombie & Fitch saw gains in all its major geographic regions. Its Asia-Pacific segment enjoyed particularly strong growth, with sales up 19%.

The company's Abercrombie and Hollister brands both delivered record Q2 revenue, with sales up 8% and 2%, respectively.

Hollister struck a partnership with discount retail giant Target in June that launched it into the home and decor category.

"Hollister's collaboration with Target, the brand's first meaningful wholesale and category expansion in the U.S., has performed very well against expectations and added nicely to top-line growth this quarter," CEO Fran Horowitz said during a conference call with analysts.

These sales increases, along with roughly $100 million in tariff refunds, drove Abercrombie & Fitch's operating income to $253 million. Its adjusted earnings per share, in turn, climbed to $4.17 from $2.32 in the prior-year period.

Management chose to pass much of these profits on to stockholders via share repurchases. Abercrombie & Fitch has spent $282 million to buy back a whopping 7% of its shares so far in 2026.

Buybacks are set to continue

This solid first-half performance prompted the company to boost its full-year financial forecast. Management now sees net sales rising by 5%, resulting in net income of $13.10 to $13.60 per share.

"We expect to grow sales and earnings per share, underpinned by double-digit operating margins, while delivering strong cash flow and returns of cash to shareholders through at least $500 million of share repurchases," Horowitz said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Target. The Motley Fool recommends Abercrombie & Fitch. The Motley Fool has a disclosure policy.

Shares of J.M. Smucker (NYSE: SJM) rose on Wednesday after the peanut butter and jelly maker reported higher-than-expected earnings and lifted its full-year financial outlook.

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Tasty growth

J.M. Smucker's net sales grew 5% year over year to $2.2 billion in its fiscal 2027 first quarter, which ended on July 31.

The gains were driven primarily by price increases and higher sales volumes in several key product lines.

"We delivered volume growth across the Uncrustables, Café Bustelo, Meow Mix, and Milk-Bone brands," CEO Mark Smucker said during a conference call with analysts. "We continue to prioritize resources behind these platforms, which represent our largest growth opportunities."

These sales gains, along with tariff refunds, helped drive the consumer-packaged goods company's adjusted earnings up 71% to $3.24 per share.

J.M. Smucker's free cash flow also improved to $337.3 million, up from negative $94.9 million in the year-ago quarter.

Higher profits mean larger dividends for shareowners

These results and healthy ongoing sales trends prompted management to update its full-year financial targets.

Net sales are now projected to decline by 1% to 2% in fiscal 2027, compared to a previous forecast of down 3% to 4%. The expected decrease is due to the company's decision to pass on savings from lower coffee costs to its customers through price reductions.

J.M. Smucker also guided for adjusted earnings per share of $10.50 to $11 and free cash flow of roughly $1.1 billion, up from $9.75 to $10.25 and $1 billion, respectively.

This robust cash flow production is enabling the packaged food leader to pay down debt, while also rewarding shareholders with rising cash payouts and stock buybacks.

J.M. Smucker raised its quarterly cash dividend to $1.12 per share in July, marking its 25th straight year of dividend increases.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends J.M. Smucker. The Motley Fool has a disclosure policy.

Shares of Advanced Micro Devices (NASDAQ: AMD) climbed on Tuesday, following the release of a highly bullish research report. The semiconductor leader is set to deliver even more gains to its shareholders, according to a respected Wall Street analyst.

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Riding the AI agent wave

Raymond James analyst Simon Leopold upgraded AMD's stock to a strong buy and boosted his share price forecast from $565 to $641. His new price target signifies potential gains of more than 33% for investors who buy shares now.

Leopold sees sales of server central processing units (CPUs) rising by an annualized rate of 44% to a whopping $201 billion by 2030, with most of the gains driven by artificial intelligence agents and other AI applications.

"Agentic workloads represent the largest incremental pool as persistent agents generate orchestration, retrieval, database, sandbox, application, and tool-execution workloads that largely run on CPUs," Leopold said.

While other semiconductor companies will also benefit from these trends, Leopold believes AMD will be the biggest winner.

"AMD offers the strongest combination of direct earnings leverage, data-center positioning, and market-share gains," he said.

Gaining on its rivals

In addition to taking share from Intel in the CPU market, Leopold expects AMD to wrest market share from Nvidia in the graphics processing unit (GPU) arena.

AMD's new Helios rackscale servers -- which combine its CPUs, GPUs, and networking solutions -- should represent a formidable challenge to Nvidia's Vera Rubin platform.

The semiconductor designer's AI infrastructure business is already growing at a torrid clip. Revenue in AMD's data center division soared 107% year over year to $6.7 billion in the second quarter, fueled by strong sales of its EPYC processors and Instinct GPUs.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices, Intel, and Nvidia. The Motley Fool has a disclosure policy.

Shares of Navitas Semiconductor (NASDAQ: NVTS) rose on Tuesday after the designer of next-generation power chips struck a deal to acquire Claros, a provider of innovative energy management solutions for artificial intelligence (AI) data centers.

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Terms of the deal

Navitas is offering to purchase Claros for up to $232.8 million, with $216 million paid at closing in cash and stock, and the remainder paid if certain business milestones are achieved.

Breaking through the power wall

The most advanced AI chips are so powerful that traditional energy delivery systems can't keep up. These ultra-high-performance chips require massive amounts of electricity and near-instant response times.

"The future of AI depends on delivering thousands of amps to increasingly power-hungry processors with unprecedented speed and precision," Navitas CEO Chris Allexandre said.

Claros stacks multiple power technologies into a single, compact package and places it closer to AI chips. In turn, the power they require needs to travel only millimeters instead of inches.

That might not sound like much of a difference, but it's enough to slash response times and heat production, while boosting efficiency and power density, thereby significantly reducing the costs of operating an AI data center.

Navitas estimates that acquiring Claros will more than double its addressable market to over $8 billion. The deal is projected to close by the end of the year, subject to regulatory approval.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Rezolve AI (NASDAQ: RZLV) soared on Tuesday after the artificial intelligence (AI)-powered commerce and customer engagement specialist announced that Alphabet's Google chose its distributed database technology for use in its fast-growing cloud computing operations.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

A major vote of confidence for Rezolve AI's database offerings

The search titan is deploying Rezolve AI's tech within its Google Cloud infrastructure platform. It's designed to ensure the accuracy, completeness, and availability of Google's blockchain data sets.

"The initial deployment is an important commercial milestone, but we believe its wider significance is that it demonstrates our architecture can satisfy the technical requirements of one of the world's leading technology organizations," CEO Daniel Wagner said.

Rezolve AI will help to index roughly 100 terabytes of historical data from 10 blockchain networks. Its technology will perform six cryptographic checks on every block, along with other data validation processes.

An enormous market opportunity

"Our ambition has always extended beyond building AI applications," Wagner said. "We believe the next generation of enterprise AI will depend on trusted infrastructure as much as intelligent models, and today's announcement represents an important milestone in executing that vision."

It's a massive potential market. Worldwide spending on AI infrastructure for data ingestion, integration, and preparation will nearly triple to $295 billion annually by 2030, fueled by a forthcoming surge in agentic AI workloads, according to S&P Global Market Intelligence.

"As artificial intelligence evolves from answering questions to taking autonomous actions, AI agents increasingly need access to information that is accurate, current, and verifiable," Rezolve AI said.

By helping to ensure the validity of its customers' data, Rezolve AI is positioning itself to claim a potentially lucrative share of this rapidly expanding AI market.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet and S&P Global. The Motley Fool has a disclosure policy.

Shares of IMAX (NYSE: IMAX) rose to record highs on Monday, driven by the dazzling success of Christopher Nolan's The Odyssey.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Blockbuster results

The Odyssey is already the highest-grossing IMAX release of all time, outpacing James Cameron's Avatar. The mythic action epic is the first full-length movie shot entirely with IMAX Film Cameras.

"We had the very highest of hopes for The Odyssey from the start, but it somehow continues to exceed them, and its historic performance is headlining what we expect will be our best year ever at the global box office," CEO Rich Gelfond said earlier this month.

Rosenblatt Securities analyst Steve Frankel thinks IMAX's results will top Wall Street's estimates in the second half of 2026, driven by the strong ongoing performance of The Odyssey and the upcoming release of Dune: Part Three.

Additionally, Frankel views the success of The Odyssey as a blueprint that other entertainment companies can use to create more box office blockbusters.

Frankel, in turn, has a buy rating on IMAX's stock. He sees its shares rising another 10% to $60.

Theater owners want more of IMAX's movie magic

IMAX has already delivered impressive results for the first half of 2026. The company's revenue jumped 12% year over year to $103 million in the second quarter, driving its adjusted earnings 65% higher to $0.43 per share.

IMAX installed 38 of its premium theater systems -- its fasted second-quarter pace in a decade -- as cinemas rushed to deploy its popular movie technology. That trend is likely to continue in the quarters and years ahead.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Target (NYSE: TGT) rose over 7% this past week after the retail giant gave investors more evidence that its turnaround plan is working.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Refocusing on value

Target is returning to its discount roots. The big-box chain slashed prices on over 10,000 items during the past year. It's also investing in store redesigns and upgrading its merchandise assortments.

The strategy is clearly resonating with consumers.

Target's net sales climbed 5.3% year over year to $26.5 billion in its fiscal second quarter, which ended on Aug. 1.

The retailer saw sales gains in its stores and online channels, as well as across all six of its core merchandising categories.

Comparable store sales, which include revenue at locations open for 13 months or longer, increased 2.7%, driven by higher customer traffic.

Digital comparable sales, which include orders placed through Target.com or the Target app, jumped 8.7%, fueled by a 25% surge in same-day delivery services.

These revenue gains, combined with tariff refunds, helped Target's adjusted earnings more than double to $4.11 per share. Even excluding those tariff refunds, the company's adjusted per-share profits grew 20%.

Raised guidance

These encouraging results prompted Target to boost its growth forecast. Management now sees full-year net sales rising by roughly 5%, resulting in adjusted earnings per share of $9.90 to $10.90.

"We're encouraged by another quarter of healthy top-line growth and improving underlying profitability," chief financial officer Jim Lee said during a conference call with analysts. "At the same time, we have a lot more work ahead of us to realize the long-run potential of our business."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Target. The Motley Fool has a disclosure policy.

Shares of Robinhood Markets (NASDAQ: HOOD) jumped on Friday as investors grew more optimistic about the future of the cryptocurrency industry.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Crypto investors could soon have more clarity

The Trump administration is urging Congress to pass the Clarity Act. The bill would help to establish clearer regulations for the crypto industry, thereby making it easier for financial institutions to integrate digital assets into their operations.

The drive to pass the bill comes after President Trump met with the leaders of multiple crypto-related companies on Wednesday. Investors viewed the meeting and Trump's subsequent comments in favor of the Clarity Act as signs that the crypto industry could soon operate in a less restrictive -- and therefore more profitable -- regulatory environment.

Tokenization could accelerate Robinhood's growth

The removal of burdensome regulations could open up new market opportunities for Robinhood and other digital asset trading platforms.

Robinhood CEO Vlad Tenev has set his sights on tokenized stocks, or blockchain tokens that represent shares of real businesses. Tokenization offers benefits such as real-time settlement, 24/7 trading, and greater asset portability.

"It is becoming increasingly clear that we are in the early innings of a global tokenization supercycle," Tenev said in a social media post. "Last year, I called it a freight train that cannot be stopped -- and one that will eat the entire financial system."

Robinhood already offers trading in stock tokens in more than 120 countries, but it's currently unable to do so in the U.S. Tenev believes that needs to change.

"It would be a strange outcome if the rest of the world could build the future of ownership around American assets while Americans themselves were left behind," Tenev said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Ross Stores (NASDAQ: ROST) rose on Friday after the off-price retailer reported robust quarterly profits.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Bargains are always in style

Ross' total sales jumped 13% year over year to $6.3 billion in its fiscal 2026 second quarter, which ended on Aug. 1.

"Our performance was fueled by our compelling merchandise offerings, engaging marketing initiatives, and continued enhancements to the in-store experience," CEO Jim Conroy said.

The company's comparable store sales, which include revenue from stores open for more than 14 months, increased 10%.

"We were pleased to see strength throughout the quarter, with comparable store sales growth once again primarily driven by customer traffic," Conroy said. "Importantly, that growth was supported by both an increase in new customers and higher engagement from existing customers."

Rising sales at older stores are driving Ross to advance its expansion strategy. The retailer opened 47 new stores during the quarter, bringing its total store count to more than 1,950 locations across 44 states, the District of Columbia, Guam, and Puerto Rico.

Better still, Ross is growing more profitable as it expands its store base. Its adjusted operating margin improved by more than 2 percentage points compared to the year-ago quarter.

All told, Ross' net income, boosted by $253 million in tariff refunds, came in at $851 million, up from $508 million in the prior-year period. Earnings per share rose to $2.66 from $1.56.

Store openings should continue to fuel earnings growth

Ross expects to open a total of 115 new stores in 2026. Management sees sales at existing locations rising by 6% to 7% in the third quarter and 4% to 5% in the fourth quarter.

In turn, Ross projects full-year earnings per share of $8.61 to $8.77, up from $6.61 in fiscal 2025.

"We believe we are well-positioned to capture additional market share and drive profitable growth over the long term," Conroy said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Advance Auto Parts (NYSE: AAP) plunged on Thursday after the automotive aftermarket parts supplier warned of a slowdown in consumer spending.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

DIY customers are curtailing their spending

Advance Auto Parts' net sales were flat year over year at $2 billion in its fiscal second quarter, which ended on July 18.

The company's comparable store sales, which measure revenue from stores open for at least a year, declined by 0.5%.

CEO Shane O'Kelly said Advance Auto Parts saw low-single-digit growth in its Pro channel, which serves professional automotive service providers. But sales to do-it-yourself customers lagged "as tighter household budgets constrained spending more than we anticipated, especially during the last four weeks of the quarter."

Still, tariff refunds helped drive Advance Auto Parts' adjusted operating income up more than 80% to $112 million. Its adjusted diluted earnings per share, in turn, increased 49% to $1.03.

Advance Auto Parts also generated positive free cash flow of $120 million over the twenty-eight weeks ended July 18, a notable improvement after two years of outflows.

This higher cash flow production enabled the automotive parts purveyor to pay down roughly $30 million in debt.

Short-term pain should transition into long-term gains

Despite acknowledging that it's currently facing a "volatile demand environment," Advance Auto Parts reiterated its full-year financial forecast, including:

• Net sales of roughly $8.5 billion
• Comparable store sales growth of 1% to 2%
• Free cash flow of $100 million

"The consumer is stressed, but think a little bit longer term, because I don't think we're going to be permanently in this state of affairs," O'Kelly said during a conference call with analysts. "If you think longer term, the backdrop of the industry that we're in remains very attractive."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Walmart (NASDAQ: WMT) sank on Thursday after the retail titan's sales fell short of investors' expectations.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Solid, but slowing, growth

Walmart's revenue rose 5.9% year over year to $187.9 billion in the second quarter.

The gains were fueled by a 23% rise in e-commerce sales, driven by a steadily expanding third-party marketplace and higher demand for in-store pickup and delivery services. A 38% surge in global advertising sales also contributed to the gains.

"Our multi-year growth in e-commerce is evidence that customers are choosing Walmart because we deliver price, speed, and convenience across a broad assortment," CEO John Furner said.

However, Walmart's U.S. comparable sales, which include revenue from stores open for at least one year, grew by a modest 2.6%.

That marked the company's slowest comp growth since the early stages of the pandemic. It was also below Wall Street's estimates of 3.5%.

Everyday lower prices

Still, tariff refunds helped to drive Walmart's adjusted operating income up by 17.4% to $9.2 billion. The retail giant's adjusted earnings per share, in turn, increased 19.1% to $0.81.

Walmart intends to reinvest some of its tariff-related savings into price cuts. Higher gasoline prices continue to weigh on consumers' budgets. The discount store chain plans to relieve some of the pressure as it seeks to gain market share.

In all, management sees Walmart's full-year net sales growing by 4% to 5%, with adjusted operating income up 7% to 8.5%.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Walmart. The Motley Fool has a disclosure policy.

Shares of Webull (NASDAQ: BULL) rose on Thursday after the digital investment platform operator delivered impressive growth metrics for its most recent quarter.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Bullish results

Webull's total revenue surged 51% year over year to $198.8 million in the second quarter. The gains were driven by a 66% jump in trading-related revenue to $147.7 million.

The investment platform benefited from the elimination of the Pattern Day Trader designation, which required a $25,000 account minimum for frequent traders.

New rules approved by the U.S. Securities and Exchange Commission (SEC) earlier this year removed many of those trading restrictions, and margin accounts now need to maintain a far lower $2,000 equity minimum.

These new, less restrictive requirements helped to boost Webull's trading volumes.

Daily average revenue trades jumped 62% to 1.6 million. Options contracts volume leaped 68% to 213 million. And equity notional volume increased 73% to $279 billion.

"Webull's advanced technology platform enabled eligible customers to fully leverage the new trading environment from day one, contributing to record trading volumes and strong customer engagement," U.S. CEO Anthony Denier said.

All told, Webull's adjusted operating profit soared 169% to $62.6 million, or $0.12 per share.

"These results demonstrate the operating leverage inherent in our platform and the potential for further margin expansion," chief financial officer H.C. Wang said.

Global gains

Webull's international expansion plans should continue to fuel its growth. The company recently launched operations in Spain, Argentina, and Colombia. Webull is now licensed in 35 global markets, with live trading in 18, leaving plenty of room for further gains in users and trading volumes.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Marvell Technology (NASDAQ: MRVL) climbed on Wednesday after the semiconductor designer struck a deal to supply Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG) with custom artificial intelligence (AI) chips.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Partnering with an AI leader

Marvell will help Google develop custom semiconductor products for its cloud infrastructure business and AI operations.

The agreement covers a broad range of silicon products that integrate with Google's tensor processing units (TPUs), the custom-designed chips built specifically to power the cloud-computing giant's machine learning workloads.

That includes chips that accelerate AI inference tasks, manage data flow, and speed up information transfer ⁠across networks.

As part of the deal, Google received a warrant to purchase up to 58,970,907 shares of Marvell's stock at an exercise price of $206.58 per share, or roughly $12.2 billion in total.

Wall Street sees more gains ahead for investors

RBC Capital Markets analyst Srini Pajjuri views the deal with Google as "a significant positive" for Marvell. In turn, Pajjuri sees Marvell shares surging more than 50% to $360.

Pajjuri isn't the only Marvell bull on Wall Street. Of the 43 analysts that cover its stock, 38 rate Marvell a buy or strong buy, according to Yahoo! Finance.

It's easy to see why. As a leading designer of high-performance data infrastructure chips, Marvell is well-positioned to cash in on the AI data center boom.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet and Marvell Technology. The Motley Fool has a disclosure policy.

Shares of Moderna (NASDAQ: MRNA) soared on Wednesday after the vaccine maker announced potentially game-changing progress in the fight against cancer.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Landmark results

Moderna and Merck (NYSE: MRK) are co-developing an experimental mRNA-based therapy, intismeran autogene, that's designed to activate an anti-tumor immune response based on the unique mutations of a patient's tumor.

The two companies announced positive clinical trial results from a Phase 3 study evaluating intismeran in combination with Merck's Keytruda immunotherapy in patients with high-risk melanoma that had their tumors surgically removed.

The trial met its primary endpoint of recurrence-free survival, with a safety profile consistent with those observed in prior studies.

Commenting on the study, Moderna CEO Stéphane Bancel said:

These Phase 3 findings represent a pivotal moment for the field of cancer research. For many years, the idea of creating an mRNA treatment designed specifically for an individual patient's cancer was aspirational. We are now helping turn that vision into a reality.

Moderna and Merck intend to present more data from the study at an upcoming international medical meeting. The two companies also plan to speak with regulators regarding filing submissions.

Multiple potential use cases

Melanoma is one of the most dangerous forms of skin cancer. More than 8,500 people in the U.S. are projected to die from the disease this year alone.

Merck and Moderna have additional trials underway to evaluate intismeran in combination with Keytruda and other anti-cancer therapies across multiple tumor types, including lung, bladder, and kidney cancer.

Successful trials could position the two healthcare leaders to capture a larger share of the global oncology drug market, which is set to reach $275 billion by 2030, according to research from Nova One Advisor.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Merck and Moderna. The Motley Fool has a disclosure policy.

Shares of Estée Lauder (NYSE: EL) leaped on Wednesday after the skincare, makeup, and fragrance purveyor highlighted the progress of its turnaround strategy.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Accelerating growth

Estée Lauder's net sales grew 6% year over year to $3.6 billion in its fiscal 2026 fourth quarter, which ended on June 30.

The gains were broad-based. The cosmetics supplier saw growth in all its major geographic regions, including key markets in China, Japan, Korea, Western Europe, and the U.S.

Estée Lauder is also expanding its presence on e-commerce sites and social media platforms, such as TikTok.

"We ended the year on a high note, as organic sales growth accelerated to 5% for our fourth consecutive quarter of growth and stronger profitability," CEO Stéphane de La Faverie said.

Estée Lauder's profit recovery plan is bearing fruit. The company's restructuring efforts helped to boost its full-year gross margin and adjusted operating margin by 1.5 and 3.2 percentage points, respectively, in fiscal 2026.

All told, Estée Lauder's fourth-quarter adjusted earnings per share checked in at $0.39, up from $0.09 in the year-ago period. That topped Wall Street's estimates, which called for per-share profits of $0.32.

Profit margins should continue to improve

Looking ahead to fiscal 2027, Estée Lauder projects full-year organic net sales growth of 3% to 5%.

Management also raised its adjusted operating margin target range to 12.7%-13.5%, up from a prior forecast of 12.5%-13%.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Duolingo (NASDAQ: DUOL) rose on Tuesday, following bullish analyst commentary.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

A more favorable risk-to-reward profile

DA Davidson analyst Wyatt Swanson upgraded Duolingo's stock from neutral to buy. Swanson also boosted his share price forecast from $130 to $160, indicating potential gains of nearly 15% for investors who buy shares now.

Swanson argues that many of the risks related to Duolingo's monetization challenges are already priced into its stock following its 60% decline over the past year.

However, he thinks investors are not yet appreciating the language-learning platform's product improvements, fresh marketing campaigns, and new revenue-generation strategies.

Moreover, he believes Duolingo is nearing a turning point after which its bookings growth rate will converge toward its daily active user gains.

Investors love accelerating growth

Duolingo's daily active users jumped 23% year over year to 58.7 million in the second quarter. Paid subscriber growth trailed that pace a bit but still rose a solid 17% to 12.7 million. The company's bookings -- the total cash value of customer purchases plus ad revenue -- increased at a more modest 8% to $289 million.

If Duolingo's new user acquisition and monetization initiatives can help to reaccelerate its bookings growth, its share price could easily trend toward Swanson's $160 price target.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Duolingo. The Motley Fool has a disclosure policy.

Shares of Amylyx Pharmaceuticals (NASDAQ: AMLX) surged on Tuesday after the biotechnology company announced positive clinical trial results for its investigational glucagon-like peptide-1 (GLP-1) receptor antagonist, avexitide.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

An unmet medical need

Roughly 8% of the 160,000 people in the U.S. who have had the two most common types of bariatric (weight loss) surgeries -- sleeve gastrectomy and Roux-en-Y gastric bypass (RYGB) -- suffer from chronic hypoglycemia, or low blood sugar.

Post-bariatric hypoglycemia (PBH) can cause serious medical issues, including cognitive dysfunction, physical impairment, loss of consciousness, and seizures. Yet there are currently no FDA-approved therapies for PBH.

An exaggerated GLP-1 response after eating, which causes a rapid drop in blood glucose, is believed to be a primary driver of PBH.

Encouraging results

Avexitide met its primary endpoint in a Phase 3 study in participants with PBH following RYGB surgery, demonstrating a 55% reduction in severe hypoglycemic events compared to placebo.

Importantly, avexitide was also generally well-tolerated, with no serious adverse events related to treatment.

"Today's results are a major milestone that demonstrate avexitide's potential to address a critical treatment gap for the PBH community and represent a meaningful step forward for people living with this condition," Amylyx chief medical officer Camille Bedrosian said.

Amylyx intends to file a New Drug Application (NDA) with the FDA by the end of the year.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Weave Communications (NYSE: WEAV) spiked on Tuesday after the artificial intelligence (AI)-powered patient engagement and payments platform for healthcare practices agreed to be acquired by private equity firm Francisco Partners.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

An enticing offer for Weave's investors

Under the terms of the deal, Weave's shareholders would receive $7.40 per share in cash. That's a premium of about 34% to its stock's closing price on Aug. 17.

The deal values Weave at roughly $650 million.

The transaction is projected to close in the fourth quarter, subject to regulatory and shareholder approval.

Using AI to improve patient experiences

Weave primarily serves small and medium-sized healthcare businesses.

"Since our founding in 2008, we have built Weave for a customer most software companies overlook -- the independent practices that care for patients in communities across the country," CEO Brett White said. "More than 40,000 locations rely on us today."

Weave's platform supports patient interactions via voice and text. Its agentic AI-driven system can also assist with scheduling, insurance verification, and other administrative tasks.

Weave is thus well-positioned to benefit from rising demand for AI tools that can reduce healthcare costs and bolster the productivity of medical professionals and their staff.

"Together with Francisco Partners, we will be able to enhance our ability to invest in our AI platform, deepen our payments and revenue cycle management capabilities, and further our vision of a better healthcare experience at every practice," White said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of HIVE Digital Technologies (NASDAQ: HIVE) climbed on Monday after the computing infrastructure builder signed a $350 million artificial intelligence (AI) cloud services deal.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Developing sustainable AI data centers

HIVE's BUZZ High Performance Computing subsidiary entered into a five-year graphics processing unit (GPU) agreement with "an investment-grade enterprise customer."

Under the terms of the deal, BUZZ HPC will deliver 2,016 Nvidia Blackwell Ultra GPUs in rack-scale systems designed for AI model training and inference workloads.

The GPUs will be housed at the Bell AI Fabric facility in British Columbia, which features 100% renewable hydroelectric energy and water-conserving closed-loop liquid cooling technology.

The deal is expected to generate $70 million in annualized revenue for BUZZ HPC, bringing its total projected annualized revenue to roughly $180 million.

With approximately $185 million in estimated capital expenditures, the project is also forecasted to produce strong, recurring cash flow upon full deployment.

"Our core expertise remains the same: securing renewable energy, building high-performance data centers, and converting that energy into valuable computing power," HIVE executive chairman Frank Holmes said.

Performance and sustainability go hand in hand

By offering an attractive combination of energy- and water-efficient cooling technology, high-performance Nvidia chips, and renewable power, HIVE's BUZZ HPC is set to win a larger share of the AI infrastructure build-out boom.

Management is targeting $200 million in annual recurring revenue for HIVE's GPU cloud business, and the data center developer is already well on its way to achieving its goal.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia. The Motley Fool has a disclosure policy.

Shares of H&R Block (NYSE: HRB) rose more than 16% this past week after the tax preparation leader boosted its cash payments to investors.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Gobbling up its own shares

H&R Block's revenue rose 4.9% year over year to $3.95 billion in its fiscal year ended June 30. The financial services purveyor's adjusted net income from continuing operations, in turn, climbed 6.9% to $688 million.

"Research tells us that clients with more complex financial lives value assistance, expertise, and trusted advice," CEO Curtis Campbell said during a conference call with analysts. "This is exactly where H&R Block stands apart."

Yet it's H&R Block's per-share profit metrics that perhaps best highlight the benefits of its excellent cash generation capabilities.

The tax and small-business solutions provider used its strong free cash flow to repurchase nearly 8% of its outstanding shares at an average price of $47.48 per share in fiscal 2026. Going back to 2016, H&R Block has bought back a whopping 48% of its shares.

All told, the company's adjusted earnings per share from continuing operations jumped 13.9% to $5.31.

Investors can expect steadily growing cash payouts

Looking ahead to fiscal 2027, management guided for revenue of more than $4.1 billion and adjusted earnings per share of $6.04 to $6.24.

This healthy profitability enabled H&R Block to raise its quarterly dividend by 10% to $0.46 per share, marking its ninth straight annual increase. The income-paying stalwart has not missed a quarterly dividend payment since it became a public company way back in 1962.

"Entering fiscal 2027, we are well positioned to build on this momentum and continue delivering meaningful long-term value," chief financial officer Tiffany Mason said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Heartflow (NASDAQ: HTFL) jumped on Friday after the medical diagnostics specialist boosted its full-year revenue targets.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Hearty growth

Coronary artery disease is the leading cause of death worldwide. Heartflow is working to make it a condition that can be accurately detected and effectively managed.

Its Heartflow One platform uses cutting-edge artificial intelligence (AI) to turn coronary images into personalized 3D models of the heart, providing doctors with a non-invasive way to locate plaque and ascertain its effect on blood flow.

Unsurprisingly, given these benefits, Heartflow's tech is in high demand. The company's revenue surged 48% year over year to $64.1 million in the second quarter.

Moreover, Heartflow's profitability is improving as it scales its operations. Its adjusted gross margin increased to 83.3% from 75.6% in the year-ago period.

Investors should note that Heartflow is not yet profitable. But its adjusted operating loss did narrow to $7.9 million from $11.5 million in the prior-year quarter.

A path to sustained profitability

Heartflow now expects its full-year revenue to grow by 40%-42% to between $246 million and $250 million in 2026, up from a prior forecast of 29%-32% growth. Management also lifted its adjusted gross margin target to 82% from 81%.

"Record gross margin and improving operating leverage demonstrate the increasing scalability of our model, giving us greater confidence in long-term, profitable growth," CEO John Farquhar said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Airbnb (NASDAQ: ABNB) furthered their ascent on Thursday, as investors continue to price in the vacation rental company's strong second-quarter report and artificial intelligence (AI)-powered expansion initiatives.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

AI-driven gains

Airbnb's revenue jumped 17% year over year to $3.6 billion in the second quarter, boosted by higher travel demand for the FIFA World Cup.

Nights and seats booked on its platform increased 10% to 148.3 million, fueling a 16% rise in gross booking value to $27.2 billion.

CEO Brian Chesky said AI was also helping to drive Airbnb's sales and profits higher. AI is making it easier for hosts to list properties and for guests to find them. It's also enabling Airbnb to roll out new features faster.

"We've rebuilt Airbnb from the ground up to be an AI-native company, and it's showing up in our results," Chesky said in a letter to shareholders.

All told, Airbnb's free cash flow surged 30% to $1.25 billion.

Acquisitions could accelerate Airbnb's growth

That robust cash flow provides Airbnb with considerable optionality.

The travel platform is expanding beyond short-term house rentals to include hotel stays, car rentals, grocery deliveries, and other services. All of which offer Airbnb potential acquisition prospects.

"Entrepreneurs would love to be part of Airbnb and to hold stock," Chesky said during a conference call with analysts. "So, I think there's a huge number of opportunities for us."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Airbnb. The Motley Fool has a disclosure policy.

Shares of Grocery Outlet (NASDAQ: GO) rose on Thursday after the discount retailer raised its full-year sales and profit forecast.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Optimizing the store base

Grocery Outlet's net sales inched up 1.1% to $1.2 billion in its fiscal second quarter, which ended on July 4.

The gains were driven by sales at the company's new stores. Grocery Outlet opened 10 new locations during the quarter. It also closed 12 underperforming stores as part of its optimization plan, which is designed to bolster its long-term profitability and free cash flow production.

In all, Grocery Outlet ended the second quarter with 547 stores across 16 states.

All told, Grocery Outlet's adjusted net income checked in at $20.3 million, or $0.20 per share. That's down from $22.8 million, or $0.23 per share, in the year-ago period. But it's well above Wall Street's estimates, which had called for per-share profits of $0.12.

"We delivered second-quarter results ahead of our outlook, as efforts to strengthen our opportunistic offering and value perception gained traction," CEO Jason Potter said.

Comps are stabilizing

Grocery Outlet raised the lower end of its full-year net sales forecast to $4.7 billion from $4.6 billion. It also lifted its projection for comparable-store sales, which include revenue from locations open at least 13 months, to negative 0.25% at the low end, up from negative 2%.

"Comparable-store sales trends improved over the first quarter, driven by sequential improvement in our basket with traffic remaining positive," Potter said.

Grocery Outlet also confirmed that it completed the closure of the 36 underperforming stores it identified as part of its optimization plan in the first half of 2026. Restructuring charges should thus abate after the first quarter of fiscal 2027.

For fiscal 2026, management expects adjusted earnings per share of $0.51 to $0.55.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Nebius Group (NASDAQ: NBIS) spiked on Wednesday after the cloud computing provider delivered dazzling growth metrics.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Torrid growth

Nebius has emerged as a key beneficiary of the artificial intelligence (AI) infrastructure race.

Semiconductor chip shortages and other supply chain bottlenecks have led to capacity constraints among the major hyperscalers. That's driven a lot of business to so-called neoclouds -- specialized suppliers of high-performance computing services specifically designed for AI workloads.

Nebius has some of the most impressive growth among the neoclouds, fueled by its full-stack platform, which offers proprietary hardware, ultra-fast data storage, low-latency networking, and an array of developer tools.

Its second-quarter revenue soared 454% year over year to $582 million.

"Demand for AI capacity continues to grow exponentially," CEO Arkady Volozh said in a letter to shareholders.

Still, Nebius is not yet profitable. But its adjusted net loss narrowed to $33 million from $92 million in the year-ago quarter.

The company also generated earnings before interest, taxes, depreciation, and amortization (EBITDA) of $236 million, up from a loss of $21 million in the prior-year period.

A short squeeze could be at play

Nebius has become a battleground stock. Bulls point to the massive profit potential for AI infrastructure providers, while bears raise concerns about the high costs of expansion and the risk that this heavy spending may not produce the returns investors expect.

Nebius, in turn, is a heavily shorted stock. Those bets might be adding fuel to this rally, as short-sellers need to buy stock to close out their positions.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of CAVA Group (NYSE: CAVA) climbed on Wednesday after the Mediterranean-style restaurant chain's healthy sales helped to assuage investors' fears that the Cyclospora outbreak would weigh on its performance.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Expansion plans remain on track

CAVA's revenue jumped 31% year over year to $365 million in its fiscal second quarter, which ended on July 12.

The fast-casual chain opened 17 new restaurants during the quarter and a total of 94 over the past year, bringing its total to 476 locations.

CAVA's same-restaurant sales, which include revenue from stores open for at least one year, increased 9%, fueled by a 5.3% rise in guest traffic.

Notably, CAVA's average sales per restaurant, a metric known as average unit volume, rose to 7% to $3.1 million. That impressive performance places it on par with industry leader Chipotle Mexican Grill.

All told, CAVA's earnings before interest, taxes, depreciation, and amortization (EBITDA) surged 30% to $55 million.

Cyclospora's impact could be more moderate than expected

CAVA expects to open a total of 75 to 77 restaurants in 2026. Management projects full-year adjusted EBITDA of $181 million to $191 million, driven by these store openings and same-restaurant sales growth of 4.5% to 6.5%.

During a conference call with analysts, CEO Brett Schulman helped to calm investors' fears that the Cyclospora outbreak would weigh heavily on CAVA's business.

"While we do not source leafy greens from Mexico and do not serve iceberg lettuce on our menu, exiting Q2, we saw near-term sales impacts related to broad concerns around lettuce and fresh produce consumption due to the Cyclospora outbreak," Schulman said. "We have since seen same-restaurant sales begin to rebound, a testament to the underlying strength of our long-term brand proposition."

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Cava Group and Chipotle Mexican Grill. The Motley Fool recommends the following options: short September 2026 $35 calls on Chipotle Mexican Grill. The Motley Fool has a disclosure policy.

Shares of Plug Power (NASDAQ: PLUG) rose on Tuesday after the hydrogen fuel cell maker lifted its full-year growth targets.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Progress toward profitability

Plug's revenue grew 2% year over year to $178 million in the second quarter.

The green hydrogen infrastructure developer's service revenue surged 82% to $30 million, fueled by a growing installed base that's driving higher aftermarket sales.

Plug deployed 1,666 of its GenDrive fuel cell units during the quarter, a 125% jump from the prior-year period.

Plug's fuel revenue also climbed 15% to $39 million, driven by increased hydrogen consumption by its customers.

Moreover, Plug's cost-cutting initiatives are boosting its margins. Gross margin improved to breakeven compared to negative 31% in the year-ago quarter, driven in part by better plant utilization and production efficiency gains.

All told, Plug's adjusted net loss per share narrowed to $0.07 from $0.18 in Q2 2025.

Raised guidance

Plug now sees its full-year revenue rising by 15%-16% in 2026. The company also remains on track to generate positive earnings before interest, taxes, depreciation, and amortization (EBITDA) in the fourth quarter.

"Our second quarter results demonstrate that Plug is executing its transformation into a stronger, more efficient, and profitable company," CEO Jose Luis Crespo said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Shares of Fermi (NASDAQ: FRMI) rose sharply on Tuesday after the developer of next-generation private electric grids signed the first lease for its Project Matador campus in Texas.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Project Matador is progressing

Fermi signed a 15-year lease with artificial intelligence (AI) infrastructure provider TensorWave, valued at roughly $6.5 billion.

Fermi is constructing a facility supported by 222 megawatts (MW) of power. The lease includes expansion rights for two more data centers, which could increase that figure to over 650 MW.

"A lease of this size and this term is a tremendous vote of confidence in Fermi," board chair Marius Haas said.

The site is intended to house "tens of thousands" of high-performance graphics processing units (GPUs) designed by Advanced Micro Devices for AI model training and inference workloads.

"Our customers need hundreds of thousands of next-generation AMD Instinct GPUs in aggregate, on timelines they can count on," TensorWave CEO Darrick Horton said. "Fermi has assembled the power, land, and permits to deliver at that pace, and we are proud to be the first customer at a campus built for the decades ahead."

The phased delivery plan is slated to begin in the second half of 2027.

Energy is the key

Reliable and cost-effective power has emerged as the major constraint in the AI race. Fermi's Project Matador is specifically designed to address this challenge.

Construction at the massive data center project is advancing quickly, supported by more than $1.5 billion in investments and with 6 gigawatts (GW) of capacity already permitted.

This gives Fermi an edge over slower-moving rivals, many of whom are facing political pushback and regulatory delays as homeowner opposition mounts.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Advanced Micro Devices. The Motley Fool has a disclosure policy.

Shares of Intel (NASDAQ: INTC) fell on Monday after the chipmaker announced a $15 billion stock offering.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Refilling the coffers

Intel is selling stock to fund its artificial intelligence (AI) chip design and manufacturing initiatives.

"Customers continue to signal a strong and sustainable demand environment, driven by unprecedented investment in AI compute," the company said in a press release.

Intel specifically mentioned physical AI, custom silicon, and advanced packaging as key growth opportunities.

During its second-quarter earnings call, Intel increased its projected capital expenditures to more than $20 billion in 2026. And management indicated that the semiconductor giant's capex would be significantly higher in 2027.

Selling stock, rather than issuing debt, will enable Intel to fund its large capital spending program while preserving its financial strength and protecting its credit ratings.

One step back, many steps forward

Still, shareholders typically frown on stock sales because they don't like having their stakes diluted.

But it's important to remember that, even after today's decline, Intel's stock price is still up more than 370% over the past year.

Giving back a few percentage points of those gains to bolster its balance sheet and provide Intel with the cash it needs to advance its AI-driven growth strategy is a small price to pay for long-term investors.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Intel. The Motley Fool has a disclosure policy.

Shares of Archer Aviation (NYSE: ACHR) climbed on Monday after the advanced aviation specialist struck a multipart deal with industry titan Boeing (NYSE: BA).

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Procuring cutting-edge tech

Archer agreed to acquire three of Boeing's subsidiaries that are developing innovative autonomous flight technologies.

Like Archer, Wisk Aero is a pioneer in electric vertical takeoff and landing (eVTOL) aircraft, with well-regarded flight-control, sensor, and radar systems.

SkyGrid specializes in air traffic management tools for automated airspaces.

And Insitu makes uncrewed aircraft used by the U.S. military and its allies for intelligence, surveillance, and reconnaissance missions.

Building an integrated AI network

By combining these autonomous capabilities with its own artificial intelligence initiatives, Archer intends to create "a groundbreaking end-to-end physical AI platform for aerospace and defense."

"This is the next big step forward in becoming a diversified platform, rapidly growing our revenue base, and bringing scale to our business," Archer's CEO Adam Goldstein said.

Boeing will take a nearly 20% stake in Archer as part of the deal. The two companies also agreed to share access to Wisk's core autonomous flight technology.

"Having worked with the incredible teams in these companies firsthand, it's clear this transaction will create an industry leader in the advanced aviation market," Boeing executive Brian Yutko said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Boeing. The Motley Fool has a disclosure policy.

Shares of National Energy Services Reunited (NASDAQ: NESR) surged to a record high on Monday after the oil and gas field operator reported a massive increase in profits.

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Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Strong execution in a difficult operating environment

NESR's second-quarter revenue jumped 59% year over year to $521 million, driven by higher demand for its hydraulic fracturing and well testing services.

It was a particularly impressive performance given that the oilfield operations provider primarily serves customers in the Middle East and North Africa.

"Despite the continued conflict in the region, we maintained our presence intact in all operating units with no interruption to any of our customers' activities," CEO Sherif Foda said.

Soaring profits are bolstering NESR's balance sheet

The operating leverage inherent in NESR's business model was on full display during the quarter. Its adjusted net income soared 126% to $45 million, while its earnings per share climbed 110% to $0.44.

NESR also generated $100 million in free cash flow, up from $69 million in the prior-year quarter. That enabled it to pay down debt and increase its cash reserves to $175 million as of June 30.

"These results reinforce the scalability of the NESR platform and our ability to consistently translate growth into expanding profitability, strong cash generation, and long-term shareholder value," chief financial officer Stefan Angeli said.

Joe Tenebruso has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.