ROL

A month has gone by since the last earnings report for Rollins (ROL). Shares have lost about 7.8% in that time frame, underperforming the S&P 500. Will the recent negative trend continue leading up to its next earnings release, or is Rollins due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers. Rollin Inc. reported unimpressive second-quarter 2026 results, with both earnings and revenues missing the Zacks Consensus Estimate. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. The quarter was affected by slower growth in parts of the residential pest control business, although commercial and termite operations continued to post healthy gains. Residential revenues increased 6.6% year over year to $485.8 million. Commercial revenues climbed 8.6% to $347.9 million, while termite and ancillary revenues rose 10.5% to $234.2 million. Franchise and other revenues declined 7.4% to $10.7 million. Management attributed the softer residential performance to weaker consumer-initiated demand across search, digital media and inbound calls, which reduced lead volumes during the quarter. However, relationship-based channels, including home builders and door-to-door sales, delivered solid organic growth. Operating income increased 1.5% year over year to $201.4 million. However, the operating margin contracted 110 basis points to 18.7% as costs remained aligned for a stronger demand environment entering the peak season. Adjusted operating income rose 2% to $209.9 million, while the adjusted operating margin declined 110 basis points to 19.5%. Adjusted EBITDA increased 2.2% to $236.3 million, with the adjusted EBITDA margin contracting 120 basis points to 21.9%. Management noted that demand trends softened during the quarter while the company's cost structure remained positioned for stronger growth, weighing on profitability. To address these challenges, Rollins has implemented organizational and operational changes aimed at improving local execution, strengthening accountability and better aligning resources with current demand conditions. Management also indicated that lead volumes improved toward the end of June and continued into the first few weeks of July. The company generated operating cash flow of $172.5 million during the quarter, down 1.5% from the prior-year period. Free cash flow totaled $166.1 million, declining 1.2% year over year. During the quarter, Rollins invested $117 million in acquisitions, spent $6.4 million on capital expenditures and paid dividends totaling $88.1 million, reflecting its continued focus on growth investments and shareholder returns. Rollins exited the quarter with cash and cash equivalents of $109.1 million compared with $100 million at year-end 2025. Long-term debt totaled $487.1 million, essentially unchanged from year-end 2025. The company reiterated that its balance sheet remains strong and provides ample financial flexibility to pursue acquisitions, invest in long-term growth initiatives and maintain its balanced capital allocation strategy. In the past month, investors have witnessed a downward trend in estimates revision. The consensus estimate has shifted -9.4% due to these changes. Currently, Rollins has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with a D. Following the exact same course, the stock was allocated a score of D on the value side, putting it in the bottom 40% for this investment strategy. Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in. Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. It's no surprise Rollins has a Zacks Rank #4 (Sell). We expect a below average return from the stock in the next few months. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Rollins, Inc. (ROL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

We gave Coherent’s COHR fiscal fourth-quarter results a few trading sessions to settle before revisiting the investment case. That pause has produced a useful signal: COHR stock has declined only about 1.3% since the Aug. 12 release, an effectively negligible move for a stock tied to the volatile AI-infrastructure trade. The subdued reaction does not appear to reflect weak results. Instead, it likely captures a balance between impressive fiscal 2027 guidance and expectations that were already elevated. Coherent now must turn extraordinary demand into output while managing heavy capacity investment and a lingering contraction in its industrial business. Fiscal fourth-quarter revenues crossed $2 billion, beating the Zacks Consensus estimate by 2.7% and increasing 33.8% year over year and 13.3% sequentially. On a pro forma basis, adjusting for divested operations, growth was approximately 42%. The result also exceeded the preceding quarter’s $1.8 billion and marked Coherent’s first quarter above $2 billion. Image Source: COHR Full-year revenues rose 22.5% year over year to a record $7.1 billion from $5.8 billion. Pro forma growth was stronger at approximately 28%, reinforcing that the underlying portfolio expanded faster than the reported total after accounting for business sales. The Datacenter & Communications segment provided nearly all the momentum. Quarterly segment revenues climbed to $1.6 billion, up 58.6% year over year and 18.6% quarter over quarter. It represented roughly 79% of consolidated revenues, compared with about 67% a year earlier. Industrial revenues moved in the opposite direction, falling 15.8% year over year and 3% sequentially to $430.5 million. For the full year, Datacenter & Communications advanced 40.5% to $5.275 billion, while Industrial declined 10.3% to $1.8 billion. Coherent’s growth profile is therefore becoming more concentrated around AI networking and optical connectivity. The earnings quality improved alongside revenues. GAAP gross margin expanded to 38.5%, up 277 basis points year over year and 82 basis points sequentially. Non-GAAP gross margin reached 40.2%, improving 215 basis points annually and 66 basis points from the fiscal third quarter. Image Source: COHR Manufacturing yields, lower input costs, pricing actions and progress on six-inch indium phosphide production contributed to the expansion. The six-inch platform is especially important because it can produce roughly four times the output at about half the cost of the older three-inch process. Non-GAAP operating income increased 62.1% year over year and 21.8% sequentially to $446 million. The corresponding operating margin reached 21.8%, expanding 381 basis points year over year and 152 basis points quarter over quarter. Adjusted net income rose 82.7% annually and 27.2% sequentially to $351 million. Non-GAAP EPS increased 74% year over year and 23.4% quarter over quarter to $1.74, beating the Zacks Consensus Estimate by 7.4%. GAAP EPS improved to $1.19 from a loss of $0.83 one year earlier and $0.97 in the preceding quarter. For the first quarter of fiscal 2027, Coherent expects revenues of $2.2 billion to $2.4 billion. The $2.3 billion midpoint implies approximately 12.4% sequential growth and about 45.6% growth from first-quarter fiscal 2026 revenues of $1.58 billion. The comparison is not perfectly like-for-like because of portfolio changes, but the acceleration remains substantial. The company expects non-GAAP gross margin of 39.5%-41.5%. Its 40.5% midpoint would represent a modest 30-basis-point sequential improvement. Projected adjusted EPS of $1.85-$2.05 implies midpoint growth of 12.1% from the fiscal fourth quarter and approximately 68% year over year. This outlook probably explains why the post-report decline has remained minor. Guidance exceeded the prior quarter’s scale and established a credible path toward a quarterly revenue run rate above $3 billion by fiscal 2027’s end. However, that target also raises the execution threshold embedded in COHR shares. Indium phosphide production remains the principal constraint, although output is scheduled to double year over year during the current quarter. Demand visibility extends into calendar 2028, supported by long-term agreements running through the decade. Additional growth should come from 800-gigabit and 1.6-terabit transceivers, optical circuit switching, co-packaged optics, multi-rail systems and the PhotonLink platform. Supporting those opportunities requires substantial spending. Fourth-quarter capital expenditures reached $556 million, while full-year additions to property, plant and equipment surged 150.2% to $1.103 billion. Annual operating cash flow nevertheless fell 87.5% to $79.5 million. Inventory increased 79.5% year over year to $2.581 billion, considerably faster than revenues. Although expanding inventory can support a rapid production ramp, it also raises working-capital and demand-forecasting risk. Positively, total debt declined approximately 12.6% to $3.222 billion, and cash increased 27.8% to $1.162 billion. Coherent earns a Hold because its operating momentum is powerful, but the investment case now demands flawless delivery. AI-driven optical demand, improving manufacturing economics and broader product ramps support durable growth, while rising margins show that revenues are converting into profit. Yet capacity remains the bottleneck, capital intensity is climbing, inventory has expanded sharply, and the industrial business is still shrinking. The muted post-earnings reaction suggests investors already recognize both the opportunity and the execution burden. Existing shareholders can stay positioned for the optical buildout, but fresh buyers should await clearer evidence that capacity expansion translates smoothly into cash generation. COHR currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share beat the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Verisk VRSK reported second-quarter 2026 diluted adjusted earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.94 by 2.1%. The figure increased 5.3% from the year-ago quarter. Revenues of $806.3 million topped the consensus mark of $802.4 million by 0.5% and rose 4.3% year over year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Coherent Corp. (COHR) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Verisk Analytics, Inc. (VRSK) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Green Dot Corporation GDOT reported mixed second-quarter 2026 results, with earnings missing the Zacks Consensus Estimate but revenues beating the same. GDOT’s adjusted earnings of 26 cents per share missed the Zacks Consensus Estimate of 41 cents by 36.6% and declined 35% year over year. Green Dot Corporation price-consensus-eps-surprise-chart | Green Dot Corporation Quote Total adjusted operating revenues of $591.3 million beat the consensus mark of $535 million by 10.5% and rose 18% year over year, led by business-to-business (B2B) Services. Gross dollar volume climbed 19.1% to $45.91 billion, while purchase volume declined 5.8%. However, the quarterly earnings miss and absence of guidance did not bode well for investors, as the stock has barely moved since the earnings release on Monday. The announcement of the acquisition of the firm by Smith Ventures and CommerceOne Financial Corporation, expected to be completed during the third quarter of fiscal 2026, also failed to impress the market. B2B Services revenues increased 28.6% year over year to $448.4 million in the second quarter of 2026. Growth was led by a significant Banking-as-a-Service (BaaS) partner and broader gains across the BaaS portfolio, including new and existing programs. B2B gross dollar volume rose 22% to $42.25 billion, while active accounts increased 9.4% to 1.98 million. Purchase volume edged up 1.3% to $2.03 billion. Segment profit advanced 15.9% to $32.4 million, though Green Dot noted margin compression because some BaaS arrangements are structured around fixed profit levels that do not scale with revenues. In employer services, purchase volume was flat year over year, the first quarter in more than two years without a decline. Consumer Services revenues declined 9% year over year to $84.8 million. Pressure continued in traditional retail channels as customers shifted toward digital banking apps, while lower marketing spending over the past two years weighed on the direct channel. Consumer active accounts fell 12% to 1.47 million, and direct deposit active accounts declined 7.3% to 0.38 million. Purchase volume decreased 10.4% to $2.68 billion. Expanded use of overdraft protection helped offset some revenue pressure, but segment profit still dropped 22% to $25.8 million. Money Movement Services revenues fell 7.8% to $46.9 million. Tax processing revenues declined as the number of tax refunds processed dropped 22.5% to 2.89 million, reflecting weaker volumes from online tax preparation partners and lower ancillary program fees tied to refund transfers. Cash transfers declined 1.9% to 7.38 million. However, cash transfer revenues increased, driven by higher disbursement revenue per transaction from a platform partner. Segment profit decreased 11.6% to $30.2 million. Money Movement margins were pressured by profit mix because a greater share of earnings came from lower-margin money processing activities. Total operating expenses increased to $596.6 million from $490.8 million a year earlier. Processing expenses jumped 35% to $394.7 million, mainly because of higher gross dollar volume across certain BaaS programs. Other general and administrative expenses rose 12% to $93.5 million on higher professional services fees tied to the proposed transactions, Anti-Money-Laundering compliance initiatives, depreciation, software licenses and hosting costs. Adjusted EBITDA declined 12% year over year to $40.2 million, while the adjusted EBITDA margin contracted to 6.8% from 9.1%. Sales and marketing expenses decreased 2% to $49.4 million, and compensation and benefits expenses fell 8% to $59 million, partly cushioning the heavier processing and corporate cost burden. Green Dot ended June with $1.14 billion of unrestricted cash and cash equivalents, down from $1.42 billion at 2025-end. Available-for-sale investment securities increased to $3.03 billion from $2.47 billion, while deposits rose to $4.64 billion from $4.42 billion. Net cash provided by operating activities was $194.7 million for the first six months of 2026, up from $177.7 million a year earlier. The company continued repositioning its securities portfolio toward higher-yielding assets and investing in platform modernization, compliance and operating infrastructure. Green Dot did not provide 2026 financial guidance because of the pending transactions with Smith Ventures and CommerceOne Financial Corporation. Required shareholder approvals have been obtained, regulatory applications have been filed, and closing remains subject to regulatory approvals and other customary conditions. Currently, Green Dot carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Clean Harbors, Inc. CLH posted better-than-expected second-quarter 2026 results. CLH’s adjusted earnings of $3.22 per share beat the Zacks Consensus Estimate by 17.5% and rose 36.4% year over year. Total revenues of $1.74 billion surpassed the consensus estimate by 6.8% and increased 12% from the year-ago quarter. Rollins, Inc. ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Green Dot Corporation (GDOT) : Free Stock Analysis Report Clean Harbors, Inc. (CLH) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

H&R Block, Inc. HRB reported impressive fourth-quarter fiscal 2026 results, with both earnings and revenues beating the Zacks Consensus Estimate. HRB’s adjusted earnings of $2.38 per share topped the Zacks Consensus Estimate of $2.23 by 6.7% and increased 4.8% year over year. H&R Block, Inc. price-consensus-eps-surprise-chart | H&R Block, Inc. Quote Revenues of $1.14 billion surpassed the consensus mark of $1.12 billion by 2.5% and rose 3% year over year. Assisted tax preparation and Wave contributed to growth. During fiscal 2026, client conversion improved 200 basis points, while retention increased 190 basis points. The better-than-expected results and strong fiscal 2027 guidance impressed investors, as the stock has gained 14.3% since the company released results on Aug. 11. HRB expects its fiscal 2027 revenues to be between $4.11 billion and $4.16 billion. The Zacks Consensus Estimate for the same is pegged at $4.03 billion. The company has guided its adjusted earnings in the range of $6.04 to $6.24 per share. The consensus estimate for the same is $5.81 per share. HRB’s shares have risen 6.4% over the past year against the industry’s 13.7% dip. The Zacks S&P 500 composite has risen 22.3% over the same time frame. U.S. tax preparation and related services revenues increased 2.8% year over year to $1 billion in the fiscal fourth quarter. Assisted tax preparation revenues rose 4.1% to $714.2 million, while Refund Transfer revenues advanced 6.4% to $23.7 million. Tax Identity Shield revenues increased 15.8% to $17.3 million. The company maintained Assisted category market share during the 2026 tax season after two consecutive years of improvement. Company-owned tax returns increased 2% for fiscal 2026, while net average charge at company-owned operations rose 4% to $282.89. Management attributed stronger performance to improved conversion, retention and a shift toward more complex clients. International revenues increased 5.6% year over year to $94.9 million in the quarter. Wave revenues climbed 12.3% to $33.2 million, continuing momentum in the company's small-business offering. For fiscal 2026, Wave posted its second consecutive year of double-digit revenue growth, supported by paid ProTier subscriptions and higher payments volume. Management continues to view small-business services as an important growth opportunity as it integrates expert advice, products and digital capabilities. Fiscal fourth-quarter operating expenses increased 3.8% year over year to $768.1 million. Compensation and benefits rose to $396.8 million from $383.1 million, while occupancy costs increased to $117.5 million from $112.8 million. Marketing and advertising expenses advanced to $69.1 million. EBITDA increased 1.8% to $420.5 million. Adjusted net income declined 1.6% to $304.2 million, but adjusted earnings per share rose as the weighted-average share count fell 6.3% to 127 million. The reduction reflects H&R Block's continued share repurchases. Management highlighted continued improvement in the quality of its client base. The share of clients within its targeted household adjusted gross income range of $50,000-$200,000 has increased from 38% to 50% over the past few years. H&R Block is serving more clients with investment income, small-business needs and more complex income streams. Technology remained central to the strategy. Artificial Intelligence Tax Assist handled 4.2 million client interactions during the season and generated nearly twice the engagement of the prior year. Client Experience Monitors contributed to a 550-basis-point increase in product attachment, while the company's Sidekick AI assistant supported tax professionals handling complex questions. H&R Block generated $838.7 million of operating cash flow in fiscal 2026 and $756.1 million of free cash flow. It returned $713.7 million to shareholders through dividends and share repurchases, including $500.3 million spent to repurchase about 10.5 million shares. The board raised the quarterly dividend by 10% to 46 cents per share. For fiscal 2027, adjusted EBITDA is projected in the range of $1.11 billion to $1.14 billion. The effective tax rate is forecasted at roughly 23%. HRB expects about $400 million of share repurchases in fiscal 2027 and has approximately $600 million remaining under its current $1.5 billion authorization. Management expects industry growth to remain below the historical norm but sees opportunities from Assisted market-share performance, small-business growth and selective franchise acquisitions. The company plans greater investment in automation and its consultative client experience while maintaining cost discipline. Currently, H&R Block carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Clean Harbors, Inc. CLH posted better-than-expected second-quarter 2026 results. CLH’s adjusted earnings of $3.22 per share beat the Zacks Consensus Estimate by 17.5% and rose 36.4% year over year. Total revenues of $1.74 billion surpassed the consensus estimate by 6.8% and increased 12% from the year-ago quarter. Rollins, Inc. ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report H&R Block, Inc. (HRB) : Free Stock Analysis Report Clean Harbors, Inc. (CLH) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Genpact Limited G reported better-than-expected second-quarter 2026 results. Adjusted earnings of $1 per share, up 13.6% year over year and above the consensus mark of 97 cents by 3.1%. Net revenues increased 7.1% to $1.34 billion and beat estimates by roughly 1%. Performance was driven by Advanced Technology Solutions, or ATS, which grew 24.1% year over year. Gross margin expanded to 36.5%, while non-FTE revenue surpassed 50% of total revenues for the first time. Genpact Limited price-consensus-eps-surprise-chart | Genpact Limited Quote ATS revenues increased to $363 million from $292.7 million a year ago and represented 27% of total revenues. Growth was broad-based across Data & AI, Digital Technologies, Advisory and Agentic offerings. Management now expects ATS revenues to grow at least 25% in 2026, up from its previous expectation of at least 20%. The company said demand for agentic and AI-led services continues to accelerate as clients seek to automate more complex enterprise workflows. Core Business Services revenues rose 1.9% year over year to $980 million and accounted for 73% of revenues. Genpact continued to see demand across Digital Operations, Decision Support Services and Technology Services. Management expects Core Business Services to grow for the full year despite a deliberate transition away from certain lower-priority work. This portfolio shift is expected to reduce total 2026 revenue growth by nearly 2 percentage points, with the impact concentrated in the second half. Gross profit advanced 8.9% year over year to $490.3 million. Gross margin expanded about 60 basis points to 36.5%, marking the 13th consecutive quarter of year-over-year gross margin improvement. Adjusted income from operations increased 7.5% to $233.6 million, while the adjusted operating margin improved to 17.4% from 17.3%. Selling, general and administrative expenses were $294.1 million compared with $266.4 million in the prior-year quarter. Genpact recorded its largest-ever quarterly bookings and signed six large deals compared with three in the year-ago period. This brought first-half large-deal wins to 12, double the prior-year level. Large deals are defined as contracts worth at least $50 million. The company expects more than $1 billion in Agentic Solutions total contract value during 2026, roughly five times the 2025 level. More than half of cumulative agentic contract value has come from new clients, highlighting the strategy’s ability to expand Genpact’s addressable market. Cash generated from operations was $72 million compared with $177 million a year ago. Management attributed the decline partly to collection timing and prepayments made in 2025. Genpact ended June with $517.4 million in cash and cash equivalents. During the quarter, it returned $82 million to shareholders, consisting of roughly $50 million in share repurchases and $32 million in dividends. For the third quarter, Genpact expects revenues of $1.369-$1.382 billion. The midpoint of $1.376 billion is about 0.3% below the Zacks Consensus Estimate of $1.38 billion. Adjusted earnings are projected at $1.04-$1.05 per share, with the midpoint of $1.045 slightly above the consensus estimate of $1.04. For 2026, Genpact continues to expect reported revenue growth of at least 7%. Using the provided year-ago sales figure of $5.08 billion, this implies revenues of at least $5.44 billion, slightly above the $ 5.43 billion Zacks Consensus Estimate. The company also raised adjusted diluted earnings growth guidance to at least 12%. Its outlook reconciliation indicates adjusted earnings of $4.09 per share, about 1% above the consensus estimate of $4.05. Genpact expects a 36.5% gross margin and a 17.7% adjusted operating margin for the year. G currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share outpaced the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Verisk VRSK reported second-quarter 2026 diluted adjusted earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.94 by 2.1%. The figure increased 5.3% from the year-ago quarter. Revenues of $806.3 million topped the consensus mark of $802.4 million by 0.5% and rose 4.3% year over year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Genpact Limited (G) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Verisk Analytics, Inc. (VRSK) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Charles River Associates CRAI reported second-quarter 2026 adjusted earnings of $2.16 per share, up 14.9% year over year, beating the Zacks Consensus Estimate of $2.12 by 1.9%. Revenues rose 12.8% to $210.8 million and beat the consensus mark of $198.3 million by 6.3%. Broad-based demand supported the quarter, with eight practices growing year over year and six posting double-digit gains. Utilization improved to 77% from 76% a year ago, while quarter-end consultant headcount increased 3.3% to 968. Charles River Associates price-consensus-eps-surprise-chart | Charles River Associates Quote Costs of services increased 15.7% year over year to $148.7 million and represented 70.6% of revenues, up from 68.8% in the prior-year quarter. Forgivable loan amortization, including performance award amortization, rose to $14.9 million from $10.2 million. Share-based compensation expense increased to $2.4 million from $1 million. Selling, general and administrative expenses edged up 0.5% to $35.3 million. As a percentage of revenues, SG&A improved to 16.7% from 18.8%. Excluding commissions to non-employee experts, SG&A represented 15.5% of revenues compared with 16.3% a year ago. Legal & Regulatory offerings grew revenues 10.1% year over year, while Management Consulting services advanced 25.5%. Energy, Finance, Forensic Services, Intellectual Property, Life Sciences, and Risk, Investigations & Analytics each delivered double-digit revenue growth. The Antitrust & Competition Economics practice set a new quarterly revenue high. Geographically, North American operations grew 8.7%, while international operations increased 32.9%. CRA said continued momentum and demand for its services drove the record quarterly revenue performance. Operating income increased 19.3% year over year to $23.5 million, while operating margin expanded to 11.2% from 10.6%. Depreciation and amortization declined to $3.3 million from $3.5 million, or 1.6% of revenues compared with 1.9%. Non-GAAP EBITDA rose 15.3% to $26.8 million, with the margin improving to 12.7% from 12.4%. Non-GAAP net income increased 9% to $13.9 million, though its margin eased to 6.6% from 6.8%. Net interest expense increased to $3 million from $1.8 million. CRA used $4.4 million of cash in operating activities during the quarter versus $5.9 million generated a year earlier. After adjusting for forgivable loan advances and repayments, adjusted net cash flows from operations were $13.8 million compared with $19.4 million in the prior-year quarter. Cash and cash equivalents ended the quarter at $21.4 million. Billed and unbilled receivables were $271.7 million, and total days sales outstanding increased to 113 days from 110. Borrowings under the revolving credit facility stood at $219 million. Management raised its fiscal 2026 revenue outlook to $805-$820 million on a constant-currency basis from the previous $785-$805 million range. The midpoint increased to $812.5 million from $795 million after CRA generated $408.8 million of constant-currency revenues through the first half. CRAI reaffirmed its non-GAAP EBITDA margin outlook of 12-13%. Management expects the constant-currency adjustment to reduce reported annual revenues by approximately $2.5 million and reported annual EBITDA by less than $250,000. It also expects fiscal 2026 non-cash forgivable loan amortization to increase by roughly $15 million. The company returned $31.4 million to shareholders in the quarter, including $27.8 million used to repurchase approximately 193,000 shares at an average price of $144 and $3.6 million in dividend payments. CRA also declared a quarterly dividend of 57 cents per share, payable Sept. 14, 2026. CRA announced a refinancing that increases and extends its credit facility for five years. The facility totals up to $400 million, comprising a $75 million term loan and a $325 million revolving credit facility. The revolver includes a seasonal option to reduce the facility by $75 million during periods of lower working-capital demand. Currently, CRAI carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share outpaced the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Verisk VRSK reported second-quarter 2026 diluted adjusted earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.94 by 2.1%. The figure increased 5.3% from the year-ago quarter. Revenues of $806.3 million topped the consensus mark of $802.4 million by 0.5% and rose 4.3% year over year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Charles River Associates (CRAI) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Verisk Analytics, Inc. (VRSK) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Duolingo, Inc. DUOL reported better-than-expected second-quarter 2026 results. Reported earnings of 66 cents per share beat the Zacks Consensus Estimate of 61 cents by 8.2%. Earnings declined from 91 cents in the year-ago quarter as the company continued investing in product development and user growth. Revenues increased 18.3% year over year to $298.5 million and topped the consensus estimate of $297.3 million by 0.4%. Daily active users grew 23% to 58.7 million, accelerating from the first quarter, while paid subscribers increased 17% to 12.7 million. Duolingo, Inc. price-consensus-eps-surprise-chart | Duolingo, Inc. Quote Monthly active users rose 10% year over year to 140.6 million. Management attributed the stronger daily active user growth to product improvements, marketing efforts and a one-time Streak Revival campaign conducted in June. Current User Retention Rate, which measures the proportion of recurring users returning the following day, reached an all-time high of 84%. The metric improved roughly one percentage point from the prior year, reflecting the combined impact of hundreds of product experiments conducted through Duolingo’s Green Machine testing process. The Streak Revival campaign allowed eligible learners to restore their longest previous streak by completing three lessons. About 15.4 million learners participated, including nearly 8 million who did not have an active streak when the campaign began. Subscription revenues increased 22% year over year to $258 million and accounted for the bulk of the company’s top-line expansion. Subscription bookings advanced 10% to $250.3 million. Total bookings rose 8% to $289.1 million, or 6% on a constant-currency basis. Growth moderated from the first quarter due to a difficult year-ago comparison related to the initial Energy rollout, a price increase and stronger advertising performance. Advertising revenues grew 2% to $21.1 million, while Duolingo English Test revenues remained nearly flat at $10.1 million. In-app purchase revenues declined 23% to $8 million. Other revenues increased to $1.3 million from $0.5 million. The company continued testing monetization initiatives designed to avoid adding friction for free users. Longer free trials have increased trial participation and payer conversions while improving the user experience by removing advertisements and Energy restrictions during the trial period. Duolingo is also testing Super Lite, a lower-priced, advertising-supported subscription tier that provides more Energy than the free product but fewer benefits than Super. The offering remains in an early testing phase and represents only a small portion of subscribers. Most new Super Duolingo subscribers now have access to Video Call, the company’s AI-powered conversational practice feature. Management plans to extend access to existing Super subscribers later in 2026 after reducing the cost per call to less than 1 cent through greater use of open-source models. Gross profit increased 19% year over year to $216.7 million. Gross margin expanded 20 basis points to 72.6%, exceeding management’s expectation of approximately 71%, supported by AI cost efficiencies and the measured rollout of AI-powered features. Operating expenses increased to $182.8 million from $149.2 million. Research and development expenses rose to $92.2 million, sales and marketing expenses increased to $40 million, and general and administrative expenses advanced to $50.6 million. Net income declined 26% to $33.2 million, while net margin contracted to 11.1% from 17.8%. Adjusted EBITDA decreased 2% to $77.3 million, and the corresponding margin narrowed 530 basis points to 25.9% as Duolingo prioritized investments in user acquisition and product improvements. Net cash provided by operating activities declined 3% year over year to $88.3 million. Free cash flow decreased 9% to $78.6 million, while free cash flow margin contracted 790 basis points to 26.3%. Duolingo ended the quarter with approximately $1.3 billion in cash and short-term investments. The company repurchased $44.4 million of shares during the quarter, bringing total repurchases under its $400 million authorization to $71.9 million through Aug. 1, 2026. For the third quarter of 2026, management expects revenues of approximately $302 million, indicating 11.1% year-over-year growth. The projection is below the Zacks Consensus Estimate of $305.9 million. Bookings are projected at $307 million, while adjusted EBITDA is forecast at $76 million, implying a 25.2% margin. Duolingo maintained its full-year revenue and bookings targets. Revenues are expected to reach approximately $1.21 billion, up 16.3%, broadly in line with the Zacks Consensus Estimate of $1.21 billion. Bookings are projected at $1.29 billion, indicating growth of 10.9%. The company raised its full-year adjusted EBITDA margin outlook to approximately 26.5% from its earlier expectation of about 25%. Adjusted EBITDA is projected at $320 million, reflecting stronger-than-expected gross margin performance and lower AI costs. DUOL currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share outpaced the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Verisk VRSK reported second-quarter 2026 diluted adjusted earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.94 by 2.1%. The figure increased 5.3% from the year-ago quarter. Revenues of $806.3 million topped the consensus mark of $802.4 million by 0.5% and rose 4.3% year over year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Duolingo, Inc. (DUOL) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Verisk Analytics, Inc. (VRSK) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Zeta Global Holdings ZETA reported impressive second-quarter 2026 results. Earnings of 21 cents per share beat the Zacks Consensus Estimate of 20 cents by 5%. GAAP earnings improved to 3 cents per share as the company generated net income of $8.2 million compared with a net loss of $12.8 million a year ago. Revenues surged 43.5% year over year to $442.8 million, surpassing the consensus estimate of $420.2 million by 5.4%. Growth reflected strong AI adoption, customer expansion and higher platform usage. Super-scaled customers and their average revenue per user each increased 17%. The stock gained 6% since the earnings release on Aug. 4 in response to the better-than-expected results and as guidance was strong. For the third quarter of 2026, Zeta expects revenues between $469 million and $472 million, implying growth of 39-40%. The midpoint increased by $10 million from the prior outlook. Adjusted EBITDA is projected between $115 million and $116 million, representing growth of 47-49%. The corresponding margin is expected between 24.4% and 24.7%. Management raised its 2026 revenue guidance to $1.811-$1.824 billion from a prior midpoint of $1.785 billion. The revised range is higher than the current Zacks Consensus estimate of $1.79 billion and indicates growth of 39-40%, or 24-25% excluding M&A and political candidate revenues. Adjusted EBITDA is now expected between $404.1 million and $406.3 million. Free cash flow guidance increased to $254.8-$255.8 million, while GAAP earnings guidance rose to 9-11 cents per share. Zeta Global Holdings Corp. price-consensus-eps-surprise-chart | Zeta Global Holdings Corp. Quote Second-quarter revenues increased from $308.4 million in the year-ago period. Excluding acquisitions, revenues rose 28%, marking the company’s 21st consecutive quarter of more than 20% growth after excluding M&A and political candidate revenues. Demand was broad-based across industries. Eight of Zeta’s top 10 verticals posted more than 20% trailing-12-month growth. Consumer and retail, financial services, automotive and healthcare accelerated from the preceding quarter. The total sales pipeline expanded more than 60% year over year and increased by more than $100 million over the past 90 days. Pipeline creation per seller more than doubled, while average contract values for deals won increased more than 40%. The number of super-scaled customers, which generate at least $1 million in trailing-12-month revenues, reached 197. This compares with 168 a year earlier and 189 in the first quarter, marking seven consecutive quarters of sequential growth. Super-scaled customer average revenue per user reached $1.8 million, up from $1.6 million a year ago. Both customer-count growth and ARPU growth exceeded the ranges in Zeta’s 2028 model. Customers using more than one use case increased 90% year over year, while those employing at least five channels rose more than 50%. Cross-sell and upsell deals won advanced 43%, reflecting traction from the One Zeta sales initiative and Marigold cross-selling. More than 40% of super-scaled customers became monthly active Athena users within 130 days of its enterprise launch. Among all customers, the 20% that comprehensively adopted Zeta’s AI tools generated roughly 70% of revenues. Within the super-scaled group, the 50% of customers with comprehensive AI adoption accounted for 75% of revenues. These AI-intensive users grew four times faster than customers still in the early stages of adoption. Athena engagement is increasingly voice-based, with 83% of customer interactions conducted through spoken commands. Management also noted that 90% of new code generated during the quarter was automated, helping accelerate product development. Adjusted EBITDA increased 56% year over year to $91.7 million. Adjusted EBITDA margin expanded 170 basis points to 20.7%, reflecting integration savings and restructuring benefits from Marigold. Operating expenses totaled $425.8 million compared with $313.5 million a year ago. Cost of revenues was $181 million, while selling and marketing, general and administrative, and research and development expenses were $104 million, $75.9 million and $42.2 million, respectively. Operating cash flow rose 65% to $69.2 million. Free cash flow advanced 73% to $58 million, while free cash flow margin improved 220 basis points to 13.1%. Zeta ended the quarter with cash and cash equivalents of $310 million and long-term borrowings of $197.5 million. The company also repurchased $29.9 million of shares during the quarter. ZETA currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share outpaced the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Verisk VRSK reported second-quarter 2026 diluted adjusted earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.94 by 2.1%. The figure increased 5.3% from the year-ago quarter. Revenues of $806.3 million topped the consensus mark of $802.4 million by 0.5% and rose 4.3% year over year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Zeta Global Holdings Corp. (ZETA) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Verisk Analytics, Inc. (VRSK) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Spotify Technology S.A. SPOT reported second-quarter 2026 earnings of $3.03 per share, missing the Zacks Consensus Estimate of $3.27 by 7.3%. The company had incurred a loss in the year-ago quarter. Higher marketing, cloud and artificial intelligence spending weighed on the bottom line. Revenues of $5.55 billion increased 14% year over year on a reported basis and 15% at constant currency. The figure beat the consensus estimate by a slight margin. Premium subscribers reached 300 million, exceeding management’s guidance by 1 million. Spotify Technology price-consensus-eps-surprise-chart | Spotify Technology Quote Monthly active users, or MAUs, increased 12% year over year and 2% sequentially to 777 million. Spotify added 16 million MAUs during the quarter, one million below its guidance. Growth was recorded across all regions, with notable strength in Europe and North America. Premium subscribers rose 9% year over year and 2% from the prior quarter. Net additions totaled 7 million, exceeding the company’s forecast by one million. Ad-supported MAUs advanced 14% year over year to 494 million, reflecting continued expansion of Spotify’s global audience. Premium revenues increased 15% year over year to €4.33 billion. On a constant-currency basis, revenues grew 16%, supported by subscriber gains and higher pricing. Premium average revenue per user increased 7% to €4.89, or 7.4% excluding currency effects. The benefits of price increases were partly offset by product and geographic mix. Management also highlighted improving engagement, with active days among global subscribers increasing. The company continues to add value through services such as Reserved concert-ticket access, personalized podcasts and additional audiobook offerings. Gross profit increased 21% year over year to €1.60 billion. Gross margin expanded 193 basis points to a record 33.4%, topping management’s forecast of 33.1%. Premium gross margin reached 34.9%, helped by revenue growth outpacing music costs, net of marketplace programs, audiobook expenses and video-podcast costs. Operating expenses increased 3% to €941 million. Excluding currency movements and social charges, expenses rose 19%, mainly because of temporary investments in marketing, cloud infrastructure and AI initiatives. Operating income climbed 61% to €655 million, while operating margin expanded to 13.7% from 9.7%. Ad-supported revenues increased 1% year over year to €446 million, or 3% at constant currency. Growth in music-advertising impressions was partially offset by softer pricing. Podcast advertising benefited from sponsorship gains across Spotify’s owned and licensed portfolio. Automated sales channels represented nearly 40% of ad-supported revenues, up from slightly more than 30% in the first quarter. Active advertisers increased 60% year over year. Management completed its price-optimization work and migrated ad inventory to an in-house ad server, supporting its expectation for double-digit advertising growth in the second half of 2026. Free cash flow increased 14% year over year to €797 million, marking a record second-quarter performance. The improvement reflected higher net income adjusted for noncash items, partly offset by working-capital movements. Trailing 12-month free cash flow reached €3.3 billion. Spotify ended the quarter with €9.4 billion in cash, restricted cash and short-term investments. The company repurchased $662 million of shares through Aug. 3, 30% more than during the comparable 2025 period. It has bought back nearly 2.2 million shares since resuming repurchases in 2025. For the third quarter of 2026, Spotify expects MAUs of 788 million, implying 11 million sequential additions. The outlook incorporates product optimization in emerging markets that is intended to improve free-to-paid conversion. Premium subscribers are projected to reach 305 million, representing 5 million net additions. Revenues are forecast at approximately €5 billion, indicating 14% year-over-year growth. Spotify expects gross margin of 32.9% and operating income of €670 million. Management continues to anticipate about €200 million of incremental marketing and AI-related operating expenses in 2026, while expecting full-year gross and operating margins to improve. SPOT currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share outpaced the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Verisk VRSK reported second-quarter 2026 diluted adjusted earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.94 by 2.1%. The figure increased 5.3% from the year-ago quarter. Revenues of $806.3 million topped the consensus mark of $802.4 million by 0.5% and rose 4.3% year over year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Spotify Technology (SPOT) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Verisk Analytics, Inc. (VRSK) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). 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Aptiv PLC APTV reported mixed second-quarter 2026 results, with earnings beating the Zacks Consensus Estimate but revenues missing the same. APTV’s adjusted earnings of $1.63 per share topped the Zacks Consensus Estimate of $1.42 by 14.8% and increased 24.4% from the year-ago quarter, aided by stronger operating profitability, lower interest expense and a reduced share count. Revenues of $3.27 billion missed the consensus mark of $3.32 billion by 1.4% but rose 2.3% year over year. Adjusted revenue growth was 2%, while non-automotive revenues increased 12%. Aptiv PLC price-consensus-eps-surprise-chart | Aptiv PLC Quote The company reported results excluding its Electrical Distribution (EDS) segment, which completed its spin-off into a new publicly traded company, Versigent, on April 1, 2026. North American adjusted revenues advanced 10% despite flat regional vehicle production. Asia-Pacific revenues grew 6%, including a 5% increase in China, even as Chinese vehicle production declined 3%. Europe remained a headwind, with adjusted revenues falling 8% against a 1% production decline. Revenues in South America, Aptiv’s smallest region, decreased 4%. The regional results reflected strength in North America and Asia-Pacific, partly offset by weak European demand. Engineered Components revenues increased 4.8% year over year to $1.80 billion. Adjusted revenue growth was 3%, with automotive revenues flat and non-automotive revenues up 11%. North American demand was the primary growth driver. The segment’s adjusted EBITDA rose 17.5% to $403 million. Its adjusted EBITDA margin expanded to 22.4% from 21.4%, benefiting from higher volumes, operating execution and favorable timing of customer recoveries, despite stranded costs following the Electrical Distribution Systems spin-off. Intelligent Systems revenues were $1.50 billion, compared with $1.51 billion in the prior-year quarter. Adjusted revenues were flat as a 12% increase in non-automotive business and 10% growth in Software and Services were offset by a 3% decline in automotive revenues. Adjusted EBITDA decreased 8.3% to $210 million, while the segment margin contracted to 14% from 15.2%. Increased engineering investments and stranded costs more than offset performance initiatives during the quarter. Adjusted EBITDA increased 12.1% to $613 million. The adjusted EBITDA margin expanded 160 basis points to 18.7% on a continuing operations basis, supported by higher volumes and favorable foreign-currency effects, partly offset by increased commodity costs. Adjusted operating income rose 15.4% to $473 million, and the corresponding margin improved to 14.4% from 12.8%. GAAP operating income increased to $367 million from $325 million. Interest expense declined to $62 million from $92 million, while tax expense increased to $52 million from $16 million. Aptiv secured about $5 billion in new commercial awards, comprising $2.4 billion in Intelligent Systems and $2.5 billion in Engineered Components. The company won its first commercial Gen 8 Radar award and expanded into robotics through a perception-systems award. Non-automotive progress included robotics, drones, energy storage and commercial vehicles. Aptiv also reported a commercial drone win in July and continued collaborating with NVIDIA on production-ready edge Artificial Intelligence platforms. Software and Services growth further supported the company’s diversification beyond automotive markets. Cash provided by continuing operations totaled $137 million, down from $326 million a year ago. Free cash flow was $12 million compared with $219 million, reflecting capital expenditures and costs associated with separating the EDS business. Aptiv ended June with $761 million in cash and cash equivalents and $5.33 billion in long-term debt. The company repurchased 4.1 million shares for $250 million during the quarter, bringing first-half repurchases to $325 million. About $1.8 billion remained under its authorization. For the third quarter, Aptiv expects revenues to be in the range of $3.12-$3.22 billion. The Zacks Consensus Estimate for the same is pegged at $3.36 billion. APTV’s adjusted earnings are projected to be between $1.25 and $1.35 per share. The Zacks Consensus Estimate for the same is pegged at $1.59 per share. Its adjusted EBITDA is projected between $545 million and $575 million, with a margin of 17.7%. For 2026, revenues are forecast at $12.6-$12.8 billion, below the prior range of $12.8-$13.2 billion. The Zacks Consensus Estimate for the same is pegged at $12.94 billion. Adjusted earnings are expected between $5.60 and $5.80 per share compared with the previous outlook of $5.70-$6.10. The Zacks Consensus Estimate for the same is pegged at $5.93 per share. Customer-mix pressures, particularly in China, production changes, launch delays and software timing prompted the revised forecast. Currently, Aptiv carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies plc TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share outpaced the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins, Inc. ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Aptiv PLC (APTV) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Palantir Technologies PLTR delivered another exceptional quarter, with second-quarter 2026 results comfortably surpassing Wall Street expectations as artificial intelligence adoption continued to drive commercial and government demand. The software company reported record revenue growth, expanding profitability, rising cash generation and stronger bookings while lifting its full-year outlook for the second consecutive quarter. Revenues reached $1.94 billion, increasing 92.8% year over year and 19% sequentially, while beating the Zacks Consensus Estimate of $1.81 billion by 7.2%. Image Source: PLTR Earnings per share came in at 41 cents, up from 16 cents a year ago, representing 156.3% year-over-year growth, while rising from the previous quarter's 34 cents (20.6% sequential growth). EPS also exceeded the consensus estimate of 35 cents by 17.1%. The latest results demonstrate that Palantir continues to translate accelerating enterprise AI adoption into both top-line expansion and improving profitability. Commercial revenue climbed to $945 million, increasing 109.7% year over year and accounting for nearly 49% of total quarterly revenue. Government revenue reached $990 million, rising 79% from the prior-year quarter and representing about 51% of total sales. The company's U.S. operations remained the biggest contributor to growth. U.S. revenues totaled $1.57 billion, representing more than 81% of company-wide revenue, reflecting exceptionally strong customer demand for enterprise AI deployments. Palantir also continued expanding its customer base. Total customers stood at 1,049, although slightly below analysts' expectations of 1,059. Despite the modest miss, customer expansion was accompanied by significantly higher deal sizes, indicating that existing clients continue increasing spending on Palantir's software platforms. Image Source: PLTR Large contract activity remained particularly robust. During the quarter, the company closed 220 deals worth at least $1 million, reflecting increasing adoption of its Artificial Intelligence Platform across commercial enterprises and government agencies. The company's rapid revenue expansion was accompanied by outstanding profitability. Adjusted gross margin remained exceptionally high at 86%, highlighting the scalability of Palantir's software platform. Adjusted operating margin expanded to 62%, among the highest across enterprise software companies. Cash generation remained equally impressive. Cash from operations totaled $1.216 billion, while adjusted free cash flow reached approximately $1.22 billion during the quarter. These figures translate into an adjusted free cash flow margin of roughly 63%, illustrating Palantir's ability to convert revenue growth into substantial cash generation. Image Source: PLTR The company ended the quarter with $9.2 billion in cash, cash equivalents, and short-term U.S. Treasury securities, providing considerable financial flexibility to fund product development and future expansion initiatives. While management acknowledged that gross margin experienced modest pressure from assuming cloud-hosting responsibilities for a government customer, executives indicated that the move should improve implementation speed and strengthen long-term customer relationships. Beyond reported revenue, forward-looking indicators also strengthened. Total contract value bookings reached $3.4 billion, reflecting another record quarter for customer commitments. Net dollar retention stood at 157%, demonstrating that existing customers continue expanding their usage significantly after initial deployments. Total remaining deal value increased to $13.1 billion, while remaining performance obligations reached $4.9 billion, providing strong visibility into future revenue growth. These metrics suggest that Palantir's current momentum is not solely driven by recent contract wins but is increasingly supported by long-term customer expansion. Perhaps the most significant takeaway from the quarter was management's increased confidence in future growth. For the third quarter of 2026, Palantir expects revenues between $2.16 billion and $2.164 billion, implying another sequential increase of roughly 12% from the second quarter. Adjusted income from operations is projected between $1.292 billion and $1.296 billion. Management also substantially increased full-year guidance. Revenues are now expected between $8.15 billion and $8.158 billion, up from the previous outlook of $7.65$7.662 billion. The midpoint of the guidance therefore increased by nearly $500 million, representing one of the company's largest upward revisions. The company also lifted its U.S. commercial revenue forecast to more than $3.424 billion compared with the earlier expectation exceeding $3.224 billion. Adjusted operating income guidance increased to $4.889-$4.897 billion, while adjusted free cash flow guidance rose to $4.5-$4.7 billion, reinforcing management's confidence that profitability will continue improving alongside revenue growth. Palantir's product strategy increasingly revolves around enabling enterprises to deploy AI models while maintaining full ownership over their data, workflows and operational knowledge. Management emphasized that customers increasingly prioritize flexibility, allowing organizations to benchmark different AI models and replace them whenever necessary without becoming dependent on a single provider. This positioning appears to resonate strongly with enterprises seeking greater control over rapidly evolving AI technologies. Rather than competing directly on foundation models, Palantir continues focusing on the software layer that integrates, manages and operationalizes AI across organizations. Management also highlighted growing demand from customers that initially adopted Foundry but are now expanding toward broader AI deployments across multiple business functions. Despite outstanding execution, investors should recognize that expectations surrounding Palantir remain elevated. Management expects operating expenses to increase during the third quarter because of seasonal hiring, product investments and expanded marketing initiatives. Higher investments could temporarily limit additional margin expansion. Cloud-hosting costs associated with certain government contracts may also weigh modestly on gross margins before productivity benefits materialize. The company also continues operating in an intensely competitive AI software landscape where technology evolves rapidly. Maintaining current growth rates will require continued innovation and successful execution as enterprise AI spending matures. Palantir's latest quarter reinforces the view that the company is emerging as one of the biggest beneficiaries of enterprise artificial intelligence adoption. Revenue growth continues accelerating, profitability remains exceptional, cash generation is expanding rapidly, and customer demand shows little sign of slowing. The substantial increase in full-year guidance further strengthens confidence that management is executing well against a large market opportunity. Although expectations remain high and competition is intense, the company's differentiated software platform, expanding customer relationships, and disciplined execution support a favorable long-term investment case. Palantir stock remains a Zacks Rank #2 (Buy) for investors seeking exposure to durable AI-driven growth. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share outpaced the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Verisk VRSK reported second-quarter 2026 diluted adjusted earnings of $1.98 per share, beating the Zacks Consensus Estimate of $1.94 by 2.1%. The figure increased 5.3% from the year-ago quarter. Revenues of $806.3 million topped the consensus mark of $802.4 million by 0.5% and rose 4.3% year over year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Palantir Technologies Inc. (PLTR) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Verisk Analytics, Inc. (VRSK) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Broadridge Financial Solutions, Inc. BR reported impressive fourth-quarter fiscal 2026 results, with both earnings and revenues beating the Zacks Consensus Estimate. BR’s adjusted earnings of $3.82 per share topped the Zacks Consensus Estimate of $3.75 by 1.9% and increased 7.6% from the year-ago quarter’s actual. Total revenues of $2.22 billion surpassed the consensus mark of $2.17 billion by 2.1% and rose 7.5% year over year. Recurring revenues increased 8% to $1.54 billion, while closed sales jumped 39% to $158.3 million. Broadridge Financial Solutions, Inc. price-consensus-eps-surprise-chart | Broadridge Financial Solutions, Inc. Quote BR’s shares have declined 40.7% over the past year compared with the industry’s 17.7% decline. The Zacks S&P 500 composite has risen 23.8% over the same time frame. Recurring revenue growth was 8% on both a reported and constant-currency basis. Organic growth contributed 7 percentage points, including 5 points from closed sales, partly offset by a 2-point drag from client losses. Acquisitions added 1 point. Event-driven revenues declined 10% to $71.1 million, primarily due to lower mutual fund proxy revenues. Distribution revenues advanced 8% to $606.5 million, driven mainly by about $32 million of postage-rate increases. Investor Communication Solutions revenues rose 8% to $1.73 billion. Recurring revenues increased 10% to $1.05 billion, reflecting 6 points of internal growth, 3 points from net new business and 1 point from acquisitions. Regulatory recurring revenues grew 14%, aided by 14% equity revenue position growth and 7% mutual fund and ETF position growth. Data-driven fund solutions rose 7%, issuer revenues increased 8%, and customer communications gained 1%. Global Technology and Operations (GTO) recurring revenues increased 5% to $487.5 million. Capital Markets revenues rose 8% to $307.1 million, supported by organic growth and the CQG acquisition. Wealth and Investment Management revenues edged up 1% to $180.5 million. GTO earnings before income taxes nearly doubled to $67.5 million from $33.9 million. Its pre-tax margin expanded to 13.8% from 7.3%, as higher revenues and lower expenses more than offset the impact of ongoing investments. Operating income increased 10% to $546.2 million, while the operating margin expanded 50 basis points to 24.6%. Adjusted operating income rose 7% to $598 million. The adjusted operating margin slipped 10 basis points to 26.9%. Net earnings increased 6% to $398 million, while adjusted net earnings rose 5% to $442 million. The effective tax rate increased to 23.7% from 20.6% because of lower discrete tax benefits. Equity position growth was 17% in the quarter, while equity revenue position growth came in at 14%. Mutual fund and ETF position growth was 7%, underscoring solid activity across Broadridge’s governance network. Internal trade growth was 15%, reflecting higher daily trade volumes among clients whose contracts are linked to activity levels. The metric exceeded the company’s 10-year average of 9%. Broadridge ended fiscal 2026 with cash and cash equivalents of $402.9 million, down from $561.5 million a year earlier. Long-term debt was $3.25 billion compared with $2.75 billion at the end of fiscal 2025. For fiscal 2026, operating cash flow was $1.35 billion. Free cash flow totaled $1.23 billion, representing 110% conversion of adjusted net earnings. The company returned more than $1 billion to shareholders through dividends and net share repurchases during the year. For fiscal 2027, Broadridge expects recurring revenue growth of 6-8% on a constant-currency basis. Adjusted operating margin is projected at about 21%, while adjusted earnings per share growth is anticipated in the 8-12% range. Free cash flow conversion is expected to exceed 100%, and closed sales are projected between $290 million and $330 million. The board approved a 12% increase in the annual dividend to $4.36 per share and authorized a new $1.5 billion share-repurchase program. Currently, Broadridge carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Trane Technologies plc TT reported impressive second-quarter 2026 results. TT’s adjusted earnings of $4.31 per share outpaced the consensus mark by 0.9% and rose 11.1% from the year-ago quarter’s actual. TT’s total revenues of $6.35 billion surpassed the consensus mark by 2.9% and increased 6.4% year over year. Rollins, Inc. ROL posted unimpressive second-quarter 2026 results. ROL’s adjusted earnings of 32 cents per share missed the Zacks Consensus Estimate by 5.9% but rose 6.7% year over year. Total revenues of $1.08 billion fell short of the consensus estimate by 1.7% but increased 7.9% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Broadridge Financial Solutions, Inc. (BR) : Free Stock Analysis Report Rollins, Inc. (ROL) : Free Stock Analysis Report Trane Technologies plc (TT) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research