Chris “CJ” Johnson, Lead Host & Senior Analyst, Monument Traders Alliance
Dear Reader,
The Super Bowl and Winter Olympics have me thinking about comebacks. But instead of Patriots dynasties or Olympic heroics, let’s talk about a comeback that will actually make you money.
Save your money on Super Bowl advertisers – they crash in February. Every. Single. Time.
Let’s talk about a comeback that’s been more than five years in the making…
Drill, Baby, Drill
The Trump administration’s first run promised energy independence with “Drill, Baby, Drill” as a key campaign slogan. Maximum U.S. oil and gas production by expanding federal lease sales, streamlining regulations, and rolling back environmental restrictions.
It crashed and burned – a spectacular 91% wipeout that turned believers into skeptics.
From January 20, 2017, to January 20, 2021, the SPDR S&P Oil & Gas Equipment & Services ETF (XES) was the worst-performing ETF among widely traded industry investments.
The XES invests in the “tip of the arrow” in energy – companies drilling, digging, fracking, and servicing wells. Rig operators, well service crews, pressure pumpers, and the suppliers that keep the machines running.
This should have been the industry with the best performance based on “Drill, Baby, Drill.”
What happened?
Oil services ran into brutal headwinds. Shale overproduction capped crude prices and squeezed service margins. Capex stayed tight, steel tariffs hiked costs, and the 2020 pandemic oil crash wiped out rigs.
But now, oil services are back. And this time the setup is global…
New Frontiers
The recent shift in geopolitical policy is opening new frontiers for drilling, exploration, and infrastructure work.
The U.S. greenlit diluent exports to Venezuela and eased sanctions. This unlocks one of the world’s largest oil reserves and sets the stage for a multiyear services cycle as rigs, crews, and equipment return to restart long-idled fields.
Middle Eastern producers are expanding development projects with billion-dollar offshore service contracts.
Global capex isn’t just surviving – it’s expanding.
Here’s why the technicals confirm what the fundamentals are telling us.
The average investor is lucky to make 10% in a year. But famed trading pioneer Jon Najarian says thanks to a recent breakthrough…
Everyday Americans can use his newest project that leverages the power of AI to help determine entries and exits BEFORE 1,000%+ stock moves within weeks.
Since bottoming in 2020, XES shares shifted into a new long-term bull market in February 2021. That bull market has delivered gains of more than 100%, and the trend is heating up.
XES shares are moving above the $100 price level for the first time since May 2019.
$100 is a proven psychological hurdle. Round numbers act as built-in resistance because investors like keeping things simple. We often see hesitation at $100 as investors use it to trigger profit-taking.
The Oil Services ETF is ripping through that price without looking back.
The XES’ 50-day moving average shifted into a new bullish pattern in October, indicating a 4-6 week bullish outlook with potential target of $125. Strong momentum is driven by positive breadth among constituent companies like Transocean (RIG), Halliburton(HAL) and NOV Inc. (NOV) – all outperforming as relative strength leaders.
This is the first time fundamental and technical analysis on energy services have both pointed to larger gains in more than five years. We’re early in the cycle.
My “Keep It Simple” Approach
First, exposure using the SPDR S&P Oil & Gas Equipment & Services (XES) with a simple buy-and-hold strategy.
XES shares have a 3-6 month target price of $125. My longer-term 6-12 month outlook targets a move to $150.
Equipment and services stocks trade with more volatility than larger energy names. Consider that volatility just noise in a long-term bullish trend that will pay patient investors handily.
YOUR ACTION PLAN
I love buying industry ETFs long-term. But I also love finding trades within ETF holdings to increase overall profits. Go long the silver ETF and buy a call on Wheaton Precious Metals – that approach.
I went through the top components of XES and found a single-stock setup on Transocean Inc. (RIG).
Last week, I identified RIG as a breakout candidate heading toward a break above the psychologically significant $5 price. Historically, a break of this price signals preparation for a run to $7.50.
Hall of Fame Traders Jon Najarian dropped Transocean on the Monument Traders Alliance LIVE audience Wednesday during our AI Trade Monster Summit. It was on his short list of plays from his proprietary TradeMonster.AI software. (Miss the event? Catch the replay here!)
The last time TradeMonster.AI flashed a bullish signal on RIG was November 10, 2025. Yesterday the stock traded as high as $5.35 – gains of 27.4%.
With Transocean shares seeing a slight pullback today, I’m looking to purchase the June 17, 2027, RIG $5 calls at $0.71 or $71 per contract.
My 3-month target price on the stock is $6.50 – targeting 100%+ profits based on intrinsic value alone.
The total return will be higher if Transocean hits my target given time premium.
We can dive deeper into this during my Monument Traders Alliance LIVE session next week.
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Enjoy an intimate evening with Grammy-winning British singer Joss Stone! Celebrated for her rich, soulful voice, Joss’s vocal talent shines in a minimalist setup with a guitarist, cellist, and backup vocalists. Experience original hits like “Tell Me ‘Bout It” and “You Had Me,” along with select covers, in a stripped-back performance that offers attendees a deeply emotional and connected experience. Get your tickets now! Coming to Chandler Center for the Arts on Saturday, February 7.
Artisan Appreciation Weekend at the Arizona Renaissance Festival
The 2026 Arizona Renaissance Festival is in full swing and this weekend’s lineup is jam-packed with entertainment and excitement! Enjoy Artisan Appreciation on Feb 7 & 8 and shop to earn tickets for a return visit. Plus, don’t miss seeing Jacques ze Whipper’s world-famous part circus/part stand-up comedy show, this weekend only! Learn more and get your tickets now at Arizona.Renfestinfo.com.
An Ethereal Valentine’s Evening with the Classical-Crossover Quartet Sons of Serendip | Feb 14
Billboard-charting quartet Sons of Serendip won the hearts of fans and judges alike on America’s Got Talent with their pop music interpretations. This Valentine’s Day, treat your sweetheart to Sons of Serendip’s unique blend of vocals, harp, piano and cello. Experience their arrangements of songs like “Somewhere Only We Know” and “Hallelujah” in a romantic evening of music on Saturday, February 14 at 7:30 PM at Chandler Center for the Arts. READ MORE ► Stunt rescue dogs take the stage in Chandler on February 21
The Canine Stars Stunt Dog Show features a world-class team of dog trainers and their rescue pups. You’ll be amazed by this performance that Howie Mandel called “the best animal act I have ever seen” on America’s Got Talent. The non-stop action includes flying discs, freestyle stunts, and agility racing! Coming to Chandler Center for the Arts on February 21. READ MORE ► Phoenix’s Dopest 4/20 Block Party is Back!
Get ready for Buds-a-Palooza 2026, the ultimate 4/20celebration in Downtown Phoenix! Experience the “Green Mile” with two stages of live music, a massive glassblowing village, local vendors, and the best food trucks in the Valley. Whether you’re here for the vibes or the craft, don’t miss AZ’s premier cannabis culture festival. Grab your tickets at budsapalooza.com! READ MORE ► More Levels. More Competition. 🏓
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Join Creative Innervisions as a Direct Support Professional! Support adults with disabilities. $15/hr+, flexible FT/PT, no experience needed. Call (602) 265-8007! READ MORE ►
Free Stuff
Win Tickets to Hear Led Zeppelin’s Houses of the Holy Live (from Start to Finish)
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Ratings changes for Alphabet, ARM, Figure Technology Solutions, Ares Capital, ARM, PTC, PepsiCo and more…Text “MarketBeat” to 68285 to get SMS breaking news alerts for stocks on your watchlist and other special reports. Learn More.
A former hedge fund manager known for spotting early winners is sounding the alarm once again. He called Netflix at $7.78 (up 4,200% since), Apple at $0.35 (up 20,000%), and Amazon at a split-adjust $2.41 (up 3,200%). Now he’s turning his focus to a little-known AI company that just earned a near-perfect score in his new proprietary stock grading system. In a brand-new presentation, he reveals the name, ticker symbol, and why this could be the smartest AI move of the year… especially if you’re over 50.
Cardinal Energy (TSE:CJ) was upgraded by analysts at CIBC from a “neutral” rating to an “outperform” rating. They now have a C$11.00 price target on the stock, up previously from C$7.75. This represents a 20.5% upside from the current price of C$9.13.
Analysts’ Downgrades on Thursday, February 5
Equinox Gold (TSE:EQX) was downgraded by analysts at CIBC from an “outperform” rating to a “neutral” rating. They now have a C$26.50 price target on the stock, down previously from C$31.00. This represents a 38.2% upside from the current price of C$19.18.
Analysts’ Price Target Increases on Thursday, February 5
AutoCanada (TSE:ACQ) had its price target raised by analysts at CIBC from C$30.00 to C$34.00. This represents a 17.4% upside from the current price of C$28.96.ATS (TSE:ATS) had its price target raised by analysts at Scotiabank from C$47.00 to C$48.00. They now have an “outperform” rating on the stock. This represents a 20.1% upside from the current price of C$39.96.Boardwalk Real Estate Investment Trust(TSE:BEI.UN) had its price target raised by analysts at National Bankshares, Inc. from C$80.00 to C$82.50. They now have an “outperform” rating on the stock. This represents a 20.5% upside from the current price of C$68.45.CCL Industries (TSE:CCL.B) had its price target raised by analysts at National Bankshares, Inc. from C$97.00 to C$100.00. They now have an “outperform” rating on the stock. This represents a 18.2% upside from the current price of C$84.63.Cameco (TSE:CCO) (NYSE:CCJ) had its price target raised by analysts at Sanford C. Bernstein from C$139.00 to C$201.00. This represents a 33.4% upside from the current price of C$150.64.Cardinal Energy (TSE:CJ) had its price target raised by analysts at Raymond James Financial, Inc. from C$9.00 to C$9.50. They now have a “market perform” rating on the stock. This represents a 4.1% upside from the current price of C$9.13.Cardinal Energy (TSE:CJ) had its price target raised by analysts at Royal Bank Of Canada from C$9.00 to C$9.50. They now have an “outperform” rating on the stock. This represents a 4.1% upside from the current price of C$9.13.Dream Office Real Estate Investment Trst(TSE:D.UN) had its price target raised by analysts at National Bankshares, Inc. from C$19.00 to C$20.00. They now have a “sector perform” rating on the stock. This represents a 7.0% upside from the current price of C$18.69.Extendicare (TSE:EXE) had its price target raised by analysts at National Bankshares, Inc. from C$24.50 to C$29.00. They now have an “outperform” rating on the stock. This represents a 18.3% upside from the current price of C$24.52.FirstService (TSE:FSV) (NASDAQ:FSV) had its price target raised by analysts at TD Securities from C$211.00 to C$217.00. They now have a “buy” rating on the stock. This represents a 0.6% downside from the current price of C$218.29.Great-West Lifeco (TSE:GWO) had its price target raised by analysts at Scotiabank from C$68.00 to C$70.00. They now have an “outperform” rating on the stock. This represents a 11.6% upside from the current price of C$62.70.H&R Real Estate Investment Trust(TSE:HR.UN) had its price target raised by analysts at National Bankshares, Inc. from C$10.75 to C$11.50. They now have a “sector perform” rating on the stock. This represents a 7.0% upside from the current price of C$10.75.iA Financial (TSE:IAG) had its price target raised by analysts at Scotiabank from C$179.00 to C$188.00. They now have an “outperform” rating on the stock. This represents a 9.7% upside from the current price of C$171.42.IGM Financial (TSE:IGM) had its price target raised by analysts at TD Securities from C$64.00 to C$73.00. They now have a “buy” rating on the stock. This represents a 10.2% upside from the current price of C$66.22.Linamar (TSE:LNR) had its price target raised by analysts at TD Securities from C$96.00 to C$103.00. This represents a 18.1% upside from the current price of C$87.22.Manulife Financial (TSE:MFC) (NYSE:MFC) had its price target raised by analysts at Scotiabank from C$53.00 to C$55.00. They now have an “outperform” rating on the stock. This represents a 7.5% upside from the current price of C$51.14.Sun Life Financial (TSE:SLF) (NYSE:SLF) had its price target raised by analysts at Scotiabank from C$87.00 to C$93.00. They now have a “sector perform” rating on the stock. This represents a 5.2% upside from the current price of C$88.40.Suncor Energy (TSE:SU) (NYSE:SU) had its price target raised by analysts at Royal Bank Of Canada from C$69.00 to C$75.00. They now have an “outperform” rating on the stock. This represents a 3.1% upside from the current price of C$72.72.Suncor Energy (TSE:SU) (NYSE:SU) had its price target raised by analysts at Desjardins from C$79.00 to C$85.00. They now have a “buy” rating on the stock. This represents a 16.9% upside from the current price of C$72.72.Suncor Energy (TSE:SU) (NYSE:SU) had its price target raised by analysts at Raymond James Financial, Inc. from C$73.00 to C$76.00. They now have an “outperform” rating on the stock. This represents a 4.5% upside from the current price of C$72.72.Suncor Energy (TSE:SU) (NYSE:SU) had its price target raised by analysts at ATB Capital from C$68.00 to C$71.00. They now have a “sector perform” rating on the stock. This represents a 2.4% downside from the current price of C$72.72.TerraVest Industries (TSE:TVK) had its price target raised by analysts at Scotiabank from C$179.00 to C$184.50. They now have an “outperform” rating on the stock. This represents a 18.5% upside from the current price of C$155.67.Winpak (TSE:WPK) had its price target raised by analysts at National Bankshares, Inc. from C$47.00 to C$48.00. They now have an “outperform” rating on the stock. This represents a 6.1% upside from the current price of C$45.26.
Analysts’ Price Target Decreases on Thursday, February 5
Fiera Capital (TSE:FSZ) had its price target lowered by analysts at TD Securities from C$7.00 to C$6.50. They now have a “hold” rating on the stock. This represents a 13.2% upside from the current price of C$5.74.Sangoma Technologies (TSE:STC) had its price target lowered by analysts at Stifel Nicolaus from C$12.00 to C$10.00. They now have a “buy” rating on the stock. This represents a 53.6% upside from the current price of C$6.51.
Every 8 hours, the U.S. adds $1B to the national debt. We’re at 120% debt-to-GDP. Greece collapsed at 130%. The Fed can’t win: cut rates, inflation spikes. Keep rates high, the debt spiral accelerates. Either way, your savings lose. A CFA Charterholder and ex-Wall Street banker built a 3-phase system that works regardless of which path the Fed chooses.
ePlus inc. (CNSX:PLUS) announced a quarterly dividend on Wednesday, February 4th. Shareholders of record on Tuesday, February 24th will be paid a dividend of 0.25 per share on Wednesday, March 18th. This represents a c) annualized dividend and a dividend yield of 1.2%. The ex-dividend date is Tuesday, February 24th. VIEW DIVIDEND ANNOUNCEMENTS BNZI: The Small-Cap AI Marketing Stock Beating Its Sector by 30+%. (ad)As artificial intelligence reshapes digital marketing, some smaller companies are starting to stand out on fundamentals rather than hype.
One AI-driven marketing platform recently earned a Zacks Rank #2 (Buy), reflecting rising earnings estimates and improving operating momentum. The company has reported rapid revenue growth, expanding margins, and a growing base of enterprise customers as it scales a suite of AI-powered tools for modern marketers.
ATS (TSE:ATS) announced its quarterly results before the market opened on Wednesday, February 4th. The company reported $0.48 earnings per share (EPS) for the previous quarter. The company had revenue of $760.65 million for the quarter. The stock had previously closed at C$39.96. Brookfield Asset Management (TSE:BAM) (NYSE:BAM) announced its quarterly results before the market opened on Wednesday, February 4th. The company reported $0.73 earnings per share (EPS) for the previous quarter. The stock had previously closed at C$66.56. FirstService (TSE:FSV) (NASDAQ:FSV) announced its quarterly results before the market opened on Wednesday, February 4th. The company reported $1.88 earnings per share (EPS) for the previous quarter. The stock had previously closed at C$218.29. Galaxy Digital (TSE:GLXY) announced its quarterly results before the market opened on Tuesday, February 3rd. The company reported ($1.48) earnings per share (EPS) for the previous quarter. The company had revenue of $28.26 billion for the quarter. The stock had previously closed at C$23.74. Lightspeed Commerce (TSE:LSPD) announced its quarterly results before the market opened on Thursday, February 5th. The company reported $0.21 earnings per share (EPS) for the previous quarter. The company had revenue of $428.71 million for the quarter. The stock had previously closed at C$12.97. Rogers Sugar (TSE:RSI) announced its quarterly results before the market opened on Thursday, February 5th. The company reported $0.19 earnings per share (EPS) for the previous quarter. The company had revenue of $298.19 million for the quarter. The stock had previously closed at C$6.55. Suncor Energy (TSE:SU) (NYSE:SU) announced its quarterly results after the market closed on Tuesday, February 3rd. The company reported $1.10 earnings per share (EPS) for the previous quarter. The stock had previously closed at C$72.72. Thomson Reuters (TSE:TRI) (NYSE:TRI) announced its quarterly results before the market opened on Thursday, February 5th. The company reported $1.47 earnings per share (EPS) for the previous quarter. The company had revenue of $2.76 billion for the quarter. The stock had previously closed at C$117.12. VIEW EARNINGS REPORTS
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This message is to inform you that, as a The Bleeding Edge reader, your seat has been saved for Larry Benedict’s upcoming free broadcast: Wall Street Money Calls.
(You’ve been authorized to attend for free. To confirm you’re attending, simply click here now.) (When you click the link, your email address will automatically be added to Larry’s guest list)
Larry Benedict is one of the most successful hedge fund managers of his generation. Barron’s ranked his former fund – Banyan Capital – in the top 1% worldwide.
From 1990 to 2010, Larry didn’t have a single losing year. Twenty consecutive years of profits.
Now, on Wednesday, February 11, at 8 p.m. ET, Larry is going to reveal the straightforward 3-step strategy behind that extraordinary track record.
It comes down to something Larry calls “Wall Street Money Calls.”
In short: The SEC requires the CEOs of America’s biggest companies to get on phone calls and reveal the truth about their businesses. Anyone can listen in. But most people don’t know what to listen FOR.
Larry does. Over 40 years, he’s developed eight specific signals he listens for on every call.
These signals tell Larry exactly when a stock is about to make a big move – sometimes within hours.
Thanks to these signals, his followers have had the chance to collect huge payouts from his recommendations, like:
Call #1: $6,350
Call #2: $7,650
Call #3: $7,700 Call #4: $9,400
Call #5: $12,750
And in one extraordinary case, a single signal Larry picked up led to a $10 million payday for his hedge fund.
Now, on Wednesday, February 11, at 8 p.m. ET, Larry is going to reveal exactly how he did it.
To be clear: Larry’s never shared this strategy publicly like this before.
But next Wednesday evening, he’s sharing all eight signals with you.
He’ll also walk you through a potential 255% opportunity he’s identified from a call this week – and exactly how you could position yourself for a payout.
To make sure you’re prepared to profit…
Click here to confirm you’re attending Larry’s landmark broadcast: Wall Street Money Calls.
Regards,
Lindsey Hough Managing Director, Brownstone Research
At the intersection of healthcare and cloud computing, Waystar Holding Corp. (NASDAQ: WAY) has built a reputation for its powerful software-as-a-service (SaaS), helping to integrate payer networks with electronic health records. However, as the AI and cloud field has become increasingly crowded overall in recent years, Waystar faces increasing competition from companies offering similar or related tools, such as Phreesia Inc. (NYSE: PHR) and Doximity Inc. (NYSE: DOCS).
Waystar shares are down some 40% in the last 12 months, but analysts are still predicting growth across multiple metrics, including earnings and share price. A closer comparison of Waystar against these rivals—one larger and one smaller, by market capitalization—may help investors to determine how best to capitalize on the rush to bring AI and cloud technology into the healthcare software space.
Waystar’s AI Developments and Growth Are Exciting, But Balance Sheet Risks Linger
Fresh off a January agentic AI update to its AltitudeAI system, which is already responsible for preventing billions of denials each year, Waystar has leaned into AI technology in its products. The company has successfully used AI to drive further adoption, expanding its capabilities and aiding with pricing—in this way, Waystar is a key example of a company utilizing AI for its potential benefits, rather than risking being displaced by AI technology.
AI has also helped Waystar to retain customers and build its network. The company reported net revenue retention of 113% for the latest quarter and sports more than 1,300 clients generating at least $100,000 in revenue over the prior 12 months. This helped overall revenue for the quarter grow by 12% year-over-year (YOY) to $269 million and adjusted EBITDA margin to reach 42%.
Waystar has also been growing via acquisitions, including its recent purchase of Iodine Software in the fall of 2025. This move should boost Waystar’s addressable market by 15%. At the same time, though, investors may be cautious about Waystar’s balance sheet following the purchase. As of the end of the third quarter 2025, Waystar had $421 million in cash compared to gross debt of $1.2 billion. This may be one reason shares have fallen in recent months.
Phreesia Reaches a Pivotal Growth Milestone
Phreesia’s patient intake management system serves a somewhat different function than Waystar’s products, but similarly utilizes cloud technology to improve efficiency and accuracy. Like Waystar, Phreesia shares have plunged in the last year, but by an even wider margin of about 55%. As a smaller firm with a market capitalization of just $768 million, Phreesia has recently achieved GAAP profitability with earnings per share (EPS) of 11 cents in the latest reported quarter.
New product initiatives and the recent acquisition of AccessOne in November are helping the company to continue to expand its footprint. In particular, AccessOne should provide about $7.5 million in revenue through the end of the 2026 fiscal year on January 31 by facilitating the addition of provider financing to Phreesia’s offerings.
Analysts are excited about Phreesia’s growth trajectory, with 17 out of 19taking a bullish view of the stock. Wall Street seems to think it will also reverse course following its recent decline, predicting upside potential of almost 134%.
Doximity’s Balance Sheet and Revenue Performance Stand Out, But Broader Sector Concerns Weigh On Shares
With another unique niche in the healthcare tech space, Doximity offers a secure medical network for healthcare providers. The company stands out amongst peers for its strong revenue growth of 23% YOY for the latest quarter, the result of high adoption rates thanks to its AI integration.
Doximity also offers attractive adjusted EBITDA and free cash flow margins, which have helped it to maintain a healthy cash position. However, despite its balance sheet strengths, investors may be concerned about whether healthcare customers will be able to continue to utilize Doximity’s services amid large-scale policy and budget changes. This may have contributed to the company’s share price decline of about 41% in the last year.
Nonetheless, like both companies above, analysts generally view DOCS shares positively, assigning a Moderate Buy rating overall and predicting some 89% in upside possible over the year to come, should the external situation become more navigable. READ THIS STORY ONLINE
Recent public comments from political and business leaders have renewed discussion around U.S. gold reserves, national debt, and the role gold has historically played during periods of monetary stress.
In a free report, one analyst examines why gold audits and revaluations have occurred in past debt crises, how those events affected the dollar, and what investors may want to understand about protecting savings during periods of potential monetary change. The guide focuses on historical precedent and preparedness rather than prediction. DOWNLOAD THE FREE REPORT HERE
Plans include increased investment in technology, back-of-house operations, menus, and innovation, alongside accelerated store count growth. Not only is Mr. Boatwright planning to open more stores than in the previous year, but the International segment will grow at a hyper pace, doubling its Middle Eastern footprint while expanding in high-growth markets in Mexico, Singapore, and South Korea. If successful, international segment growth could easily outpace domestic, eventually becoming the larger portion of revenue as the company doubles in size.
Valuation, Analysts, Institutions, and Charts Reveal a Bottom for CMG Stock
Chipotle’s Q4 results and guidancefailed to catalyze a rally, far from it, but the post-release price dip is less alarming than it seems. The price dip was partly driven by analysts who reduced their price targets, but the market is already trading at deep-value levels and is unlikely to fall significantly further. A rebound from these levels is more likely.
Trading at 32x earnings today, CMG trades at roughly 8x the projected 2035 EPS. If execution matches those forecasts, the stock could be up 200% to 300% by then, depending on the multiple investors are willing to pay.
The current analyst price target range is $35 to $45, suggesting fair value near $40. Trading in the mid-$30s, CMG stock is near its price floor, with potential for a 15% upside relative to the consensus. Institutions likewise indicate a price floor, as they bought on balance throughout 2025 and extended the trend into early 2026, running a balance of $2 bought for each $1 sold.
Analysts rate this stock as a Moderate Buy, citing brand strength, the value proposition, and the cautious tone of guidance in their updates.
Strong Quarter Overshadowed by Weak Guidance, But …
Chipotle had a decent quarter, reporting $2.98 billion in revenue, up 4.9% year-over-year (YOY). While comp sales declined by 2.5%, store count growth offset the weakness, setting the company up for a leveraged rebound when consumer habits shift. Margins were another area of relative strength, with restaurant-level margin down by 140 basis points and operating margin by 50, in line with expectations and sufficient to sustain financial health.Diluted earnings per share (EPS) were 25 cents, up about 4% year-over-year, but overshadowed by management’s tepid guidance.
The 2026 guidance states comps will improve, but only enough to sustain the 2025 pace, with system growth driven by store counts. However, management acknowledged that the guidance is cautious due to the uncertainty of the economic backdrop. Outperformance of the guidance is expected; the only question is how much.
Chipotle’s cash flow and balance sheet reveal it can continue executing its strategy and returning capital to shareholders regardless of consumer habits. The Q4 highlights include total liabilities approximately 2x equity, no unsecured debt, and a 3.5% YOY reduction in the average quarterly share count. Share count reduction is expected to continue in 2026 and is another factor underpinning the outlook for long-term share price gains. READ THIS STORY ONLINE
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Earnings season keeps sending the same signal: companies that beat expectations and raise guidance are being rewarded aggressively by the market. Palantir Technologies (NASDAQ: PLTR) and Woodward Inc. (NASDAQ: WWD)offered two recent examples of that dynamic—moves that help explain why investors are increasingly focused on guidance as the primary catalyst.
Palantir’s latest earnings reportreignited enthusiasm for artificial intelligence stocks, driving a sharp upside move on strong sales and, more importantly, forward guidance. Woodward, a manufacturer of aerospace components and gas turbine systems, also surged following a strong fiscal Q1 earnings report.
Louis Navellier of InvestorPlace suggests the next big winners will be the companies that can pair strong execution with upward guidance revisions—and there are several candidates approaching their reports now that investors should keep an eye on.
Palantir: Why Guidance Beats the Rearview Mirror
Asked about Palantir’s post-earnings reaction, Navellier pointed to the company’s ability to actually monetize artificial intelligence—something many AI-focused firms still struggle to achieve.
Palantir stands out as an “AI applier,” using its software to deliver measurable results for customers rather than simply promising future potential.
Navellier also emphasized the importance of leadership when investing in transformative technologies. Palantir CEO Alex Karp was cited as a key reason for confidence in the company’s long-term trajectory.
On the question of valuation, Navellier noted that forward-looking metrics tell a very different story. Based on forecasted earnings rather than trailing results, Palantir’s valuation appears far more reasonable, particularly when looking out two years. The latest earnings reporthelped validate that thesis, with accelerating growth and guidance supporting the long-term outlook.
Woodward’s Earnings Pop Reinforces the Pattern
Woodward benefits from multiple secular tailwinds.
Aerospace demand remains healthy, supported by record aircraft orders and expanding space exploration activity.
At the same time, the company is increasingly tied to the data center boom, supplying turbine systems that allow large operators to generate their own power rather than relying solely on utilities.
Strong earnings and upbeat guidance propelled Woodward higher, reinforcing a recurring pattern this season: companies that beat expectations and raise outlooks are attracting fresh capital.
3 Stocks Setting Up for Similar Moves
Navellier highlighted a consistent framework behind these moves. Companies that outperform tend to check several boxes simultaneously: sales growth, expanding margins, positive analyst revisions, earnings surprises, and higher guidance. When all those elements align, stocks often react sharply, as seen with both Palantir and Woodward.
That same setup appears to be forming in several companies that have yet to report.
1. Vertiv Holdings
Vertiv Holdings Co. (NYSE: VRT)operates at the center of the data center buildout, supplying water-cooled rack systems and other critical infrastructure.
The company competes in a similar space to Super Micro Computer (NASDAQ: SMCI), though Vertiv has maintained stronger relationships with Wall Street and more stable margins.
Demand trends remain exceptionally strong. Quarterly orders are rising between 20% and 35%, while year-over-year growth ranges from 50% to 65%. With data center expansion showing no signs of slowing, suppliers like Vertiv continue to benefit.
Asked about expectations for the upcoming report, Navellier said he would be disappointed if Vertiv failed to deliver at least a 15% earnings surprise. More important than the magnitude of the beat, however, is guidance. Beating expectations and raising forecasts has become the defining catalyst for outsized post-earnings moves.
EMCOR Group Inc. (NYSE: EME)offers a different profile. While also exposed to data center growth, EMCOR stands out as a steadier, more predictable name.
Rather than dramatic earnings swings, EMCOR delivers consistent performance and reliable execution. It supplies essential components and services tied to data center construction and infrastructure, positioning it to benefit from the same secular trends as higher-growth peers, but with lower volatility.
On volatility expectations, Navellier described EMCOR as a blue-chip-style holding. The company is expected to beat estimates and provide solid guidance, though without the explosive surprises seen in more aggressive growth stocks.
That predictability makes it an attractive complement for investors balancing higher-risk AI exposure, which, Navellier stressed, is important. While capital continues to flow heavily into AI and data center-related stocks, risk management remains critical. His approach emphasizes allocating the majority of capital to conservative and moderate-risk holdings, with a smaller portion reserved for high-risk opportunities.
Institutional accumulation—not just innovation—was identified as the key factor that ultimately makes a stock “safe.” Persistent money flow from large investors tends to support longer-term trends, even during periods of market volatility.
3. NVIDIA
The final name on the list needs little introduction.
NVIDIA Corp. (NASDAQ: NVDA)remains the dominant force in artificial intelligence hardware, with sales growth exceeding 70% and operating margins approaching extraordinary levels.
Despite its size, NVIDIA continues to deliver accelerating sales and earnings—a rare combination. The upcoming rollout of its next-generation Vera Rubin chip is expected to drive another replacement cycle, with significant improvements in speed and energy efficiency.
Concerns raised late last year following Michael Burry’s put options contributed to a temporary narrative shift, but earnings season has served as a reset. As results and guidance continue to confirm NVIDIA’s dominance, those doubts have faded.
The Bigger Picture
From Palantir’s AI-driven breakout to Woodward’s manufacturing surprise, the market has delivered a clear message this earnings season. Strong guidance, positive revisions, and real monetization matter more than headlines or short-term narratives.
With Vertiv, EMCOR, and Nvidia all reporting soon, investors may see that pattern repeat once again. READ THIS STORY ONLINE
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