Blockonomi

TLDR

Russia is exploring ways to aid Cuba, which is facing a severe fuel shortage.

Russia emphasizes “constructive dialogue” with the U.S. over the situation in Cuba.

The U.S. threatens sanctions on countries supplying oil to Cuba, escalating tensions.

U.S. tariff revenue has surged by over 300%, reaching $124 billion for the year.

The U.S. Supreme Court’s upcoming ruling on tariffs could impact the country’s fiscal health.

On Thursday, the Kremlin expressed its willingness to provide assistance to Cuba, which is grappling with a severe fuel shortage. In response to the growing crisis, Kremlin spokesperson Dmitry Peskov dismissed U.S. President Donald Trump’s tariff threats, stating that Moscow had limited trade with Cuba. Tensions continue to rise, as the U.S. threatens sanctions on any country supplying oil to the Caribbean island.

Kremlin Addresses Oil Supply for Cuba

The Kremlin confirmed that it was exploring options to aid Cuba with its escalating energy crisis. According to a local media report, Peskov acknowledged the strained relationship but assured that the Kremlin would not seek to escalate tensions.

Peskov emphasized the need for constructive dialogue between Russia and the U.S. regarding the situation. Cuba, already struggling under a 60-year U.S. trade embargo, is facing a deepening economic crisis exacerbated by a fuel shortage. Moscow’s support could play a pivotal role in alleviating some of Cuba’s immediate challenges.

Despite this, Russia has refrained from making any public commitments, citing the sensitivity of the matter. Peskov further added that such issues must be discussed discreetly due to their delicate nature. As Cuba’s energy crisis worsens, international airlines, including Air Canada, have already canceled flights to the island, underscoring the extent of the fuel shortage.

U.S. Tariff Revenue Surges Amid Ongoing Disputes

Meanwhile, U.S. tariff revenue has surged by over 300% in recent months, bringing in $30 billion in January alone. This sharp increase follows President Trump’s decision to impose tariffs on a wide range of goods.  The tariff revenue for the year has already reached $124 billion, reflecting the aggressive trade policies pursued by the White House.

However, this rise in revenue comes as the U.S. waits for a crucial Supreme Court ruling on the legality of these tariffs. The Supreme Court has yet to issue its decision on the justification for the tariffs, with oral arguments held last November.

A ruling is expected soon, and a negative verdict could have implications for the U.S. economy. If the court finds the tariffs unjustified, the U.S. could be required to reimburse the duties collected, which would affect the country’s fiscal health.

As the U.S. faces this legal uncertainty, the tariff policy remains a key factor in shaping the nation’s economic outlook. Although tariff revenue has helped reduce the budget deficit by 26% compared to last year, the U.S. continues to struggle with its national debt. In January alone, interest payments on the debt totaled $76 billion, highlighting the ongoing financial strain.

The post Russia Weighs Support for Cuba Amid Fuel Crisis and U.S. Tariff Threats appeared first on Blockonomi.

TLDR

Crocs reported Q4 adjusted earnings of $2.29 per share, beating analyst estimates of $1.91 per share, while revenue fell 3.2% to $957.6 million but topped expectations of $916.9 million.

The Crocs brand grew sales 0.8% to $768 million while Heydude brand sales dropped 16.9% to $189 million during the quarter.

Shares jumped 14% in premarket trading to $94.24 after the company provided full-year guidance above Wall Street expectations.

Crocs expects 2026 adjusted earnings of $12.88 to $13.35 per share versus analyst estimates of $11.89, with revenue projected down 1% to flat compared to 2025.

The company identified $100 million in cost savings for 2026 to boost efficiency and continue investing in its brands.

Crocs delivered a better-than-expected fourth quarter on Thursday, sending shares soaring 14% to $94.24 in premarket trading. The footwear company beat Wall Street’s earnings and revenue forecasts despite a mixed performance across its two main brands.

#Crocs Inc.$CROX, Q4-25.

Results:
Adj. EPS: $2.29
Revenue: $957.64M
Net Income: $105.17M
Crocs Brand grew 0.8% to $768.38M, offsetting a 16.9% decline in HEYDUDE Brand revenue. pic.twitter.com/ny9vaDe93C

— EarningsTime (@Earnings_Time) February 12, 2026

The company posted adjusted earnings of $2.29 per share for the quarter. That crushed analyst expectations of $1.91 per share. Revenue came in at $957.6 million, down 3.2% from the prior year but well ahead of the $916.9 million analysts had predicted.

The earnings beat comes after Crocs stock slumped 22% throughout 2025. Investors had grown concerned about slowing momentum for the clog maker. Thursday’s results suggest those fears may have been overblown.

Brand Performance Diverges

The quarter showed a clear split between Crocs’ two brands. The namesake Crocs brand posted sales growth of 0.8% to reach $768 million. That modest gain kept the core business moving forward.

Heydude told a different story. The casual footwear brand saw sales plunge 16.9% to $189 million. The decline weighed on overall company results but wasn’t enough to derail the quarter.

CEO Andrew Rees pointed to international strength as a key driver. “We ended 2025 on a strong note with a better-than-expected holiday quarter,” Rees said in a statement. He noted the company accelerated strategic actions to strengthen both brands for the long term.

Crocs is banking on $100 million in cost savings this year. The efficiency push aims to free up cash for continued brand investments. Rees said the moves give the company greater confidence in its growth drivers heading into 2026.

2026 Outlook Tops Estimates

The guidance Crocs provided for the full year got investors excited. The company expects adjusted earnings of $12.88 to $13.35 per share for 2026. That range sits well above the $11.89 consensus estimate from Wall Street analysts.

Revenue is projected to finish down about 1% to slightly positive for the year. Analysts had been modeling for a 1.9% decline to $3.97 billion. The better-than-feared outlook suggests Crocs sees stabilization ahead.

For the current first quarter, the company guided for adjusted earnings of $2.67 to $2.77 per share. Revenue is expected to fall 3.5% to 5.5% compared to last year. Analysts had forecast adjusted earnings of $2.52 per share on revenue of $894.3 million, representing a 4.6% decline.

Net income for the fourth quarter totaled $105.2 million, or $2.03 per share. That compared to $368.9 million, or $6.36 per share, in the year-ago period. The sharp decline reflects one-time items that boosted the prior year’s results.

The quarter caps a challenging 2025 for Crocs. The stock had fallen after the company’s previous two earnings reports. Concerns mounted about whether demand for the distinctive clogs was finally fading.

Thursday’s results and upbeat guidance suggest the ugly-shoe trend still has legs. The double-digit premarket gain indicates investors are willing to give Crocs another look. The company’s cost-cutting plan and international growth provide potential catalysts for 2026.

The post Crocs (CROX) Stock Jumps 14% After Beating Q4 Earnings Expectations appeared first on Blockonomi.

TLDR

Nebius Group (NBIS) reported Q4 revenue of $227.7 million, missing analyst estimates of $247.5 million despite a 547% year-over-year increase

The company posted a net loss of $249.6 million in Q4, widening from $122.9 million in the prior-year period

Full-year 2025 revenue reached $529.8 million, up 479% from 2024, with positive adjusted EBITDA of $15 million in Q4

Annual Recurring Revenue hit $1.25 billion by year-end, exceeding guidance of $900 million to $1.1 billion

Nebius announced plans for a 240 MW data center in Béthune, France, and targets 800 MW to 1 GW of connected power by end of 2026

Nebius Group reported mixed fourth-quarter results Thursday that sent shares down initially in pre-market trading before recovering to trade up 4%. The AI cloud company posted revenue of $227.7 million, falling short of the $247.5 million consensus estimate.

Today, we reported our Q4 and full-year 2025 financial results. The highlights include:

– ARR as of year-end was $1.25B, ahead of our most recent guidance of $900M–$1.1B
– This paves the way for significant continued growth. We are on track to end 2026 with ARR of $7B–$9B pic.twitter.com/N0N8gKpiLT

— Nebius (@nebiusai) February 12, 2026

Despite missing expectations, revenue jumped 547% compared to $35.2 million in the same quarter last year. For the full year, Nebius generated $529.8 million in revenue, representing a 479% increase from $91.5 million in 2024.

The company’s net loss widened to $249.6 million in the fourth quarter from $122.9 million in the year-ago period. Adjusted net loss also expanded to $173 million compared to $69 million in the prior-year quarter.

Operating expenses climbed 169% year-over-year to $462.2 million in the quarter. Depreciation and amortization expenses surged 443% to $180.7 million.

Capital expenditures grew substantially as Nebius invests in infrastructure. The company spent $2.06 billion on property and equipment purchases in the quarter, up 392% from $417.5 million in the same period last year.

One bright spot was adjusted EBITDA, which turned positive at $15 million for the quarter. This compared to a loss of $63.9 million in the fourth quarter of 2024.

Strong Growth in Key Metrics

Annual Recurring Revenue reached $1.25 billion by year-end, beating the company’s guidance range of $900 million to $1.1 billion. CEO Arkady Volozh said the company diversified its customer base by adding several large startup and enterprise clients during 2025.

Nebius ended the year with about 170 megawatts of active power, exceeding its target of 100 MW. The company remains on track to reach 800 MW to 1 GW of connected power by the end of 2026.

The company expects to have more than 3 gigawatts of contracted power by year-end. This expansion supports Volozh’s projection that Nebius will achieve ARR of $7 billion to $9 billion by the end of 2026.

European Data Center Expansion

Nebius announced plans for a new 240 MW data center in Béthune, France. The facility will be one of Europe’s largest data centers when completed.

The company’s cash position remained healthy with $3.68 billion in cash and cash equivalents as of December 31, 2025. This represents an increase from $2.43 billion at the end of 2024.

Volozh outlined four strategic priorities for 2026: scaling capacity with discipline, executing on customer commitments, advancing the AI Cloud platform, and raising capital strategically. The company enters 2026 with what the CEO described as “strong momentum” and “high operational confidence.”

Last month, Nebius joined competitors Supermicro and CoreWeave in announcing they will offer Nvidia’s new Vera Rubin NVL72 computing platform. The company is positioning itself to handle demanding AI workloads as the market continues to expand.

The post Nebius (NBIS) Stock: Why Revenue Jumped 547% But Still Missed Estimates appeared first on Blockonomi.

TLDR

Cathie Wood’s ARK Invest bought $33.8 million in Robinhood shares after the stock dropped 9% on Q4 earnings miss

Robinhood now represents ARK’s largest crypto holding at $248 million, a 4.1% portfolio weighting

CEO Vlad Tenev predicts prediction markets will enter a “supercycle” with trillions in annual volume potential

The company launched Robinhood Chain testnet, a Layer 2 blockchain for tokenized assets

Bitcoin ETFs saw $276 million in outflows Wednesday as crypto trading volumes declined

Cathie Wood made a bold move Wednesday, buying the dip on Robinhood shares while most investors headed for the exits. ARK Invest purchased $33.8 million worth of stock as shares plunged nearly 9% following a disappointing Q4 earnings report.

The buying spree wasn’t limited to Robinhood. ARK also added $16 million in other crypto-related stocks including Bullish and Circle as the broader digital asset market sold off.

Robinhood missed revenue estimates in Q4 as cryptocurrency trading volumes collapsed during Bitcoin’s recent weakness. The digital currency briefly dropped below $66,000, triggering a wave of selling across crypto-linked equities.

But Wood saw opportunity where others saw risk. The purchases pushed Robinhood to become ARK’s largest crypto-related position, with total holdings now worth approximately $248 million.

Blockchain Infrastructure Play

The timing coincided with Robinhood’s testnet launch of Robinhood Chain. This Layer 2 blockchain targets tokenized real-world assets and institutional financial services.

ARK appears to be betting on Robinhood’s transformation from a retail trading platform into a blockchain infrastructure provider. The quarterly earnings miss seems less important than the long-term strategic positioning.

Bitcoin ETFs recorded $276.3 million in net outflows Wednesday, nearly erasing weekly gains. Total assets under management dropped to $85.7 billion, the lowest level since late 2024.

While Bitcoin has stabilized around $67,200, institutional appetite remains muted. Many large investors are waiting for clearer market direction before deploying capital.

Prediction Markets Opportunity

CEO Vlad Tenev offered a different perspective during the earnings call. He described prediction markets as entering a “supercycle” that could eventually generate trillions in annual trading volume.

The data supports his optimism. Prediction markets volume more than doubled in Q4, reaching $12 billion in total contracts for 2025. The company has already processed $4 billion in 2026.

Robinhood is building its own prediction market platform through a joint venture with Susquehanna International Group. The move would give the company greater control over product offerings and potentially stronger margins.

Launch is expected later this year. The platform will compete with Kalshi and Polymarket in a rapidly expanding market.

Tenev told CNBC he remains bullish on crypto despite recent volatility. The company plans to continue expanding both digital asset offerings and prediction markets.

More details are expected at Robinhood’s “Take Flight” event on March 4. Tenev is scheduled to unveil new products and strategic initiatives.

Wall Street maintains a Strong Buy rating on the stock. Analysts have issued 14 Buy ratings, three Holds, and zero Sells over the past three months. The average price target of $135.79 suggests 56.9% upside potential.

Shares have declined nearly one-third year-to-date following Wednesday’s selloff.

The post Cathie Wood Loads Up on Robinhood (HOOD) Stock During 9% Crash appeared first on Blockonomi.

TLDR

Applied Materials faces $252 million settlement for illegally exporting semiconductor equipment to Chinese chipmaker SMIC.

The company made 56 unauthorized shipments worth $126 million by routing equipment through South Korea from 2020-2023.

SMIC was placed on U.S. Entity List in December 2020 due to military connections, requiring special export approvals.

The penalty represents the maximum allowed and is the second-largest export violation fine in BIS history.

Federal agencies DOJ and SEC closed their investigations without pursuing additional charges against the company.

Applied Materials reached a $252 million settlement with the U.S. Department of Commerce on Wednesday. The agreement resolves allegations the company illegally exported chipmaking equipment to China.

The Commerce Department’s Bureau of Industry and Security charged Applied Materials with 56 export violations. These shipments occurred between 2020 and 2023.

The California-based semiconductor equipment manufacturer sent ion implanters to Semiconductor Manufacturing International Corp. SMIC operates as China’s largest chipmaker. Applied Materials never obtained required export licenses for these transactions.

Routing Scheme Through South Korea

Applied Materials developed a multi-step process to ship the equipment. The company built ion implanters at its Massachusetts facilities. It then sent them to Applied Materials Korea for assembly. The final destination was SMIC in China.

Ion implanters are essential tools in semiconductor production. They alter silicon wafers during the manufacturing process.

The scheme allowed Applied Materials to avoid direct exports to China. But the Commerce Department determined this still violated export control laws.

SMIC appeared on the Entity List in December 2020. The designation came from the company’s suspected ties to China’s military. Any U.S. company must secure special licenses before shipping technology or goods to Entity List companies.

Investigation and Penalties

Reuters broke the story in 2023 about the criminal investigation. The news organization detailed how Applied Materials used its Korean subsidiary as a waypoint.

The total value of illegal shipments reached approximately $126 million. Most occurred during 2021 and 2022.

The $252 million fine equals double the transaction value. This represents the maximum penalty under Commerce Department rules. Only one larger export control fine exists in BIS history.

Seagate Technology paid $300 million in 2023 for selling hard drives to Huawei. That case set the record for export violation penalties.

Investigations Closed

Applied Materials released a statement expressing satisfaction with the settlement. The company highlighted that two other federal agencies dropped their probes.

The Department of Justice notified Applied Materials it closed its investigation without action. The Securities and Exchange Commission made the same decision.

Neither the DOJ nor SEC provided public comments. The Commerce Department confirmed the settlement amount and violation count.

Applied Materials had previously warned shareholders about China export restrictions. The company stated these controls would impact revenue. Both recent administrations tightened chip technology exports to China.

The restrictions target China’s artificial intelligence development. Washington aims to prevent Beijing from accessing cutting-edge semiconductor manufacturing capabilities.

The settlement eliminates legal uncertainty for Applied Materials. The company faced potential criminal charges and additional civil penalties before reaching this agreement. All federal investigations into these export violations are now resolved.

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TLDR

Alphabet launched a rare 100-year sterling bond worth £1 billion, drawing 10 times oversubscription from institutional investors seeking long-term assets.

The century bond is part of a $20 billion multi-currency debt package to finance AI infrastructure as Alphabet’s 2026 capex hits $185 billion.

Market analysts warn the deal indicates late-cycle market exuberance as tech companies plan $3 trillion in debt issuance over five years.

Credit spreads have reached their tightest levels since 1998, raising concerns about overlending to technology companies in the AI race.

The bond’s coupon was set at 120 basis points above 10-year gilts, with demand primarily from pension funds and insurance companies.

Alphabet issued a historic 100-year sterling bond on Tuesday that has credit market strategists sounding alarm bells. The rare century bond attracted nearly 10 times the orders for the £1 billion ($1.37 billion) offering.

The deal forms part of a massive $20 billion borrowing program. The multi-currency package spans dollars, euros, sterling, and includes Alphabet’s first Swiss franc bond.

Century bonds remain extraordinarily rare for corporate issuers. Alphabet joins an elite group including the University of Oxford, the Wellcome Trust, and Mexico’s government.

The 100-year bond’s coupon landed at 120 basis points above 10-year gilts. Pension funds and insurers provided the bulk of demand as they match long-term liabilities.

Tech Debt Reaches Historic Levels

Bill Blain, CEO of Wind Shift Capital, described current debt levels as “off-the-historical scale.” Alphabet announced last week that capex spending will reach $185 billion in 2026.

The company isn’t alone in its borrowing spree. Oracle, Amazon, and Microsoft are ramping up infrastructure spending at breakneck pace.

Total tech debt issuance could hit $3 trillion over the next five years. That represents a fundamental shift from capital-light software to capital-heavy AI infrastructure.

“I give them full credit for taking advantage of the opportunity,” Blain told CNBC. “They clearly identified demand from U.K. insurance and pension funds.”

But he warned the deal signals dangerous market froth. “You can’t get much more frothy than a 100-year bond,” Blain said. “If you’re looking for a signal of a top, it does look like one.”

Credit Markets Flash Warning Signs

Credit spreads have compressed to historically tight levels. Corporate yields over Treasurys hit their lowest point since Coca-Cola’s 1998 century bond.

That timing matters. Century bonds typically appear when money is easy and investors chase yield.

The first wave came in the late 1990s before Long-Term Capital Management collapsed. The second wave arrived during zero interest rates and ended badly.

Austria’s zero-coupon 100-year bonds from 2020 now trade at just 5% of issue value. Argentina defaulted on its century bonds after only three years.

Nachu Chockalingam, head of London credit at Federated Hermes, said Alphabet is diversifying funding sources. “They are looking to tap into insurance and pension demand to avoid over-saturating the USD market,” he said.

AI Race Intensifies Competition

Alphabet sits on $126 billion in cash and marketable securities. The company maintains an AA+ credit rating and borrows less than half its cash pile.

But the AI business model remains uncertain. Alphabet’s Gemini chatbot faces fierce competition from OpenAI’s ChatGPT, Anthropic’s Claude, and Chinese developers.

If businesses prefer low-cost open-source models, current leaders could struggle. There’s also risk that AI disrupts traditional web search and undermines Alphabet’s core revenue.

The century bond’s duration is just under 17 years. That means it behaves like conventional 40-year bonds from Oracle, Cisco, Intel, and Apple.

The final principal payment represents only 0.28% of present value. What matters are the interest payments over coming decades.

Investors remain eager to finance tech AI spending. But as borrowing accelerates, the industry may hit limits that push yields higher across the sector.

The oversubscribed offering shows pension funds and insurers have appetite now. The question is whether that appetite persists as tech debt piles up.

The post Alphabet (GOOGL) Stock: Why This 100-Year Bond Has Credit Markets Worried appeared first on Blockonomi.

TLDR

Bill Ackman’s Pershing Square unveiled a $2 billion Meta investment worth 10% of the fund’s portfolio

The hedge fund bought shares in November at $625 each, calling Meta undervalued despite market concerns

Meta stock fell 16% over 12 months as the company announced $115-135 billion in AI spending for 2026

Pershing argues Meta’s 22x forward P/E ratio is cheap compared to tech peers like Alphabet and Nvidia

The fund delivered 20.9% returns in 2025, outperforming the S&P 500’s 14% gain by nearly 7 points

Billionaire hedge fund manager Bill Ackman disclosed a major bet on Meta Platforms Wednesday. His firm Pershing Square revealed the position during its annual investor meeting.

The stake accounts for 10% of Pershing’s entire portfolio. Based on the fund’s size, that represents approximately $2 billion invested in the social media company.

Ackman made his bullish case clear in the presentation. He called Meta’s valuation “deeply discounted” relative to its long-term AI potential.

The stock has faced headwinds lately. Meta shares declined 16% over the trailing 12-month period as spending concerns mounted.

Meta outlined aggressive AI investment plans in its January earnings report. The company expects to pour $115 billion to $135 billion into AI infrastructure this year.

Wall Street reacted nervously to those numbers. Many investors questioned whether such heavy spending would pay off.

Pershing Square disagrees with that skepticism. The fund believes critics are missing the bigger picture on AI’s impact.

Why Pershing Sees Value

The valuation argument forms the core of Ackman’s thesis. Meta currently trades at 22 times its projected next-12-month earnings.

That multiple looks attractive compared to other tech leaders. Companies like Alphabet, Apple, and Nvidia all trade at higher forward earnings ratios.

Pershing expects AI to supercharge Meta’s advertising platform. Enhanced content recommendations and smarter ad targeting could drive meaningful revenue growth.

The fund also sees upside beyond traditional ads. AI-powered tools for businesses and new wearable products represent untapped opportunities.

“We believe Meta’s current share price underappreciates the company’s long-term upside potential from AI,” Pershing wrote in its presentation. The fund views AI spending as investment rather than cost.

Strategic Bet Reflects Ackman’s Style

Pershing Square runs a concentrated portfolio. The fund owned just 13 positions at the end of last year.

That focused approach means each investment carries weight. Ackman only buys when he sees compelling value and long-term potential.

The Meta purchase happened in November. Pershing paid an average price of $625 per share when building the position.

That entry point worked out well initially. Meta stock jumped 11% from the purchase date through December 31, 2025.

Shares gained another 3% in the first weeks of 2026. Ackman’s position showed paper profits before the public announcement.

Pershing also picked up stakes in Amazon and Hertz during 2025. The fund clearly hunted for opportunities in last year’s market volatility.

Performance Supports the Strategy

Pershing Square posted strong results in 2025. The fund’s net asset value rose 20.9% for the full year.

That crushed the broader market. The S&P 500 returned 14% in 2025, trailing Pershing by almost seven percentage points.

The outperformance validates Ackman’s selective investment approach. His willingness to make big bets on conviction ideas has paid off.

Tech holdings feature prominently in the portfolio. Beyond Meta, Pershing owns significant positions in Alphabet and Amazon.

Pershing wrote that “concerns around META’s AI-related spending initiatives are underestimating the company’s long-term upside potential from AI.” The fund purchased shares in the fourth quarter at an average cost of $625 each.

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TLDR

McDonald’s delivered Q4 earnings of $3.12 per share on $7.01 billion revenue, beating Wall Street forecasts of $3.04 per share and $6.84 billion

U.S. comparable sales surged 6.8% while global comparable sales climbed 5.7%, powered by $5 meal deals and promotional campaigns

The fast-food chain targets 50,000 global restaurants by late 2027, expanding from current 43,477 locations

CEO confirms affordability push is working as traffic improves and value perception strengthens among customers

Stock declined 1% after hours despite earnings beat as investors digested full-year guidance and expansion plans

McDonald’s crushed fourth quarter earnings expectations. The company reported adjusted earnings of $3.12 per share on revenue of $7.01 billion.

#McDonalds$MCD, Q4-25.

Results:
Adj. EPS: $3.12
Revenue: $7.01B
Net Income: $2.16B
Global comparable sales increased 5.7%, driven by positive guest counts and strong performance across all segments pic.twitter.com/cwEKEZKG05

— EarningsTime (@Earnings_Time) February 11, 2026

Wall Street analysts had projected earnings of $3.04 per share on revenue of $6.84 billion. The burger chain exceeded both metrics handily.

Global comparable sales rose 5.7% in the quarter. U.S. comparable sales jumped 6.8%, marking a strong performance in the company’s largest market.

CEO Chris Kempczinski credited the company’s focus on customer feedback. The value-driven approach improved traffic and strengthened affordability scores.

Global systemwide sales increased 11% during the quarter ended December. The results cap a year of strategic repositioning around value pricing.

Affordability Campaign Delivers Growth

McDonald’s launched its affordability push in 2024 with a $5 meal deal. The company worked closely with franchisees to reduce combo meal prices throughout last year.

Kempczinski made the company’s position clear on the earnings call. “McDonald’s is not going to get beat on value and affordability,” he stated.

The strategy is resonating with budget-conscious consumers. Lower-income customers remain under pressure but McDonald’s is capturing more of their spending.

Franchisees invested their own profits into the pricing initiative. McDonald’s agreed to subsidize operators who lost money on the discounted offerings.

The fourth quarter featured successful promotional campaigns. A Grinch-themed holiday meal sold out in stores across the country.

The company also revived its popular Monopoly game in October. These limited-time offers helped drive customer visits during the period.

Expansion Plans and Menu Innovation

McDonald’s is preparing for aggressive growth. The company aims to operate 50,000 restaurants worldwide by the end of 2027.

That represents an expansion of more than 6,500 locations from the current 43,477 restaurants. CFO Ian Borden said the company plans to accelerate development beyond 2025 levels.

“We had earned the right to grow again,” Borden said in an interview following the earnings release.

Menu innovation remains a priority for 2026. McDonald’s is testing new burgers and beverages across multiple markets.

Energy drinks featuring Red Bull performed well during test runs. The company plans to launch energy drinks, specialty sodas and fruity refreshers in U.S. locations this year.

Kempczinski addressed the growing use of GLP-1 weight-loss drugs. He noted McDonald’s protein-rich menu positions the chain well as adoption increases.

Fourth quarter revenue climbed 10% to $7.01 billion. Profit rose 7% to $2.16 billion for the period.

For the full year, global comparable sales increased 3.1%. U.S. comparable sales gained 2.1% while total revenue grew 4%.

The stock slipped approximately 1% in after-hours trading. Shares initially rallied following the earnings release but reversed course later in the session.

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TLDR

Cisco beat Q2 estimates with $1.04 EPS and $15.3B revenue but shares dropped 5% after-hours

Full-year revenue guidance of $61.2-$61.7B missed Street expectations by over $2B

Networking revenue surged 21% to $8.29B on AI infrastructure demand

Gross margin of 67.5% fell short as memory chip prices squeezed profitability

Company launched Silicon One G300 AI chip and expects $5B+ in AI orders this fiscal year

Cisco Systems delivered a solid second-quarter earnings beat but investors weren’t impressed. Shares fell 5% in after-hours trading as full-year revenue guidance came in well below Wall Street’s expectations.

Just announced – #CSCOQ2FY26 Earnings.
Q2 Revenue: $15.3B
Q2 EPS: $0.80 GAAP $1.04 non-GAAP
Q2 Product Order Growth: 18% y/y

Read the full news release https://t.co/IPCcyueQT9$CSCO pic.twitter.com/oaqwl2YmIe

— Cisco (@Cisco) February 11, 2026

The networking company reported adjusted earnings of $1.04 per share, topping analyst estimates of $1.02 per share. Revenue reached $15.3 billion, beating the $15.11 billion forecast.

But the celebration was short-lived. Cisco’s full-year revenue outlook of $61.2 billion to $61.7 billion fell more than $2 billion short of Wall Street’s $63.9 billion target.

The networking segment carried the quarter. Revenue hit $8.29 billion, crushing the $7.9 billion estimate and jumping 21% year-over-year. Companies racing to build AI infrastructure drove the surge.

Security revenue disappointed. The segment generated $2.02 billion, missing the $2.11 billion estimate and dropping 4% from last year.

Margin Pressure from Memory Chip Costs

The bigger issue showed up in the margins. Adjusted gross margin landed at 67.5%, below the 68.14% expectation.

Memory chip prices are the problem. AI spending has created a global shortage of these processors, pushing costs higher. Since Cisco products depend heavily on memory chips, rising prices are eating into profits.

Barclays analysts said they didn’t anticipate this level of margin weakness. They pointed to the mix of optics and AI switches as potential factors.

CEO Chuck Robbins told investors the company has raised prices and is reworking customer contracts. But the margin hit is already showing in the results.

Guidance Creates Investor Concern

Third-quarter guidance came in roughly in line with expectations. Cisco projects earnings of $1.02 to $1.04 per share on revenue of $15.4 billion to $15.6 billion. Analysts wanted $1.03 per share and $15.19 billion.

The full-year outlook is where Cisco lost investors. The company expects earnings of $4.13 to $4.17 per share, matching Wall Street’s $4.13 estimate. But that revenue gap of over $2 billion caught attention.

Cisco shares have climbed 37% over the past year. The stock hit a record high in December for the first time since March 2000, just before the dot-com crash.

AI Push Continues

The rally stems from Cisco’s role in AI hardware buildout. While software stocks struggle with AI disruption fears, hardware companies are attracting investor dollars.

Raymond James analyst Simon Leopold noted tech investors are seeking AI hardware alternatives to challenged software names. He rates the stock Market Perform.

Cisco launched the Silicon One G300 AI chip this week. William Blair analyst Sebastien Naji said the move shows Cisco wants to capture the full AI market with products spanning silicon to software.

Robbins emphasized Cisco’s position to deliver infrastructure for the AI era. The company now expects AI orders to exceed $5 billion for the fiscal year, up from earlier projections. That demand keeps the networking business strong despite margin headwinds from chip costs.

For the current quarter, Cisco anticipates ongoing pressure from memory prices but expects strong demand for systems and optics to continue driving growth in the networking segment.

The post Cisco (CSCO) Stock Drops on Disappointing Revenue Outlook Despite Earnings Beat appeared first on Blockonomi.

TLDR

DraftKings reports Q4 earnings Thursday with analysts projecting $0.09 EPS and $1.99 billion revenue, both up year-over-year

Shares hit two-year low of $25.01 last week, trading at $26.28 after 3% drop Wednesday, down 23.8% in 2026

Company launched DraftKings Predictions to counter prediction market threat and access states without legal sports betting

Wall Street analysts now say prediction market fears overblown, estimating only 5% impact on legal betting handle

Technical indicators show oversold RSI at 27.7 while 7.8% short interest could fuel post-earnings rally

DraftKings delivers its fourth-quarter earnings report Thursday after the closing bell. Wall Street expects earnings per share of $0.09 on revenue of $1.99 billion.

Zacks Research projects higher earnings of 50 cents per share on the same revenue figure. Both estimates exceed last year’s Q4 results.

The stock closed down 3% Wednesday at $26.28. Year-to-date, shares have plunged 23.8%.

Stock Performance and Technical Setup

DraftKings touched a two-year low of $25.01 on Feb. 5. The stock has failed multiple attempts to break through resistance at $37.50.

Technical indicators paint an interesting picture. The 14-day RSI reads 27.7, signaling oversold conditions. Historically, readings below 30 often precede rebounds.

Short interest represents 7.8% of the float. That’s nearly three days of potential buying pressure if shorts scramble to cover on positive earnings news.

Options markets expect a 15.9% move after earnings. This dwarfs the stock’s typical 5.3% post-earnings swing. The company has closed higher in five of its last eight earnings sessions, including an 8.6% jump in November.

Prediction Markets Enter the Picture

Three months ago, CEO Jason Robins declared himself “the most bullish” about DraftKings’ future. The stock is down 6% since.

Prediction markets emerged as a concern for investors. These platforms let users bet in states without legalized sports betting, potentially cutting into DraftKings’ growth.

DraftKings responded by launching DraftKings Predictions. The platform serves defensive and offensive purposes. It protects market share while giving the company access to restricted states.

The move also builds a customer database. If those states legalize sports betting later, DraftKings already has users to convert.

Wall Street Reconsiders the Threat

Analysts are walking back their prediction market concerns. Third Bridge’s Alex Smith doesn’t expect DraftKings to fully commit to the space. Regulatory uncertainty and unproven demand outside sports remain issues.

Sports betting drives 89% of Kalshi’s fee revenue in 2025. Kalshi and Polymarket dominate the prediction market landscape.

Citizens analyst Jordan Bender downplayed the competitive threat in January. His research suggests prediction markets capture roughly 5% of total legal sports betting handle.

Bender noted one poor Monday Night Football game could match the EBITDA impact of the entire prediction market sector. The comparison highlights how much investors may have overreacted.

Thursday’s earnings call will shed light on DraftKings Predictions performance. Management’s commentary will reveal whether the company views prediction markets as a real threat or minor distraction.

The stock’s oversold condition and high short interest create potential for a sharp move if results beat expectations. Analysts will focus on revenue growth, user metrics, and any updated guidance for 2026.

The post DraftKings (DKNG) Stock: Can Thursday Earnings Spark a Reversal? appeared first on Blockonomi.

TLDR

Unity Software collapsed 26% in premarket trading Wednesday after issuing Q1 2026 revenue guidance of $480-$490 million, missing the $492 million analyst estimate.

The company posted Q4 adjusted earnings of 24 cents per share, beating the 21-cent consensus, with revenue rising 10% to $503.1 million.

Q1 EBITDA guidance of $105-$110 million disappointed against Wall Street’s $116.9 million expectation.

The stock had already lost 34% in 2026 before earnings as concerns grow about Google’s AI-powered Project Genie disrupting game development.

Unity faces questions about whether generative AI tools will reduce demand for traditional game-development software platforms.

Unity Software shares cratered in premarket trading Wednesday following a quarterly report that raised more questions than answers about the company’s near-term prospects.

$U (Unity Software) #earnings are out: pic.twitter.com/G6WZ7FjcBL

— The Earnings Correspondent (@earnings_guy) February 11, 2026

The stock dropped 26% before the opening bell. Shares closed Tuesday at $29.06, already down 34% for the year.

Unity beat fourth-quarter expectations on the bottom line. Adjusted earnings came in at 24 cents per share versus the 21-cent consensus. Revenue climbed 10% from last year to $503.1 million, topping Wall Street’s $492.8 million target.

The numbers that mattered came in the guidance. Unity forecast first-quarter revenue of $480 million to $490 million. Analysts wanted $492 million.

The revenue miss tells only part of the story. Unity’s EBITDA projection for the current quarter landed well below expectations at $105 million to $110 million. Wall Street had penciled in $116.9 million.

Guidance Signals Trouble Ahead

The weak outlook suggests Unity faces operational challenges beyond normal quarterly fluctuations. The midpoint of revenue guidance implies sequential contraction from the $503.1 million reported in Q4.

Software companies typically demonstrate sequential growth patterns. Unity’s forecast breaks that trend. The deviation raises questions about demand trends and competitive pressures.

Management hasn’t provided extensive commentary on the factors driving the conservative numbers. The forecast could reflect multiple variables including seasonal gaming patterns or shifting customer behavior.

Google’s AI Tool Adds Pressure

Unity’s stock troubles predated this earnings report. Shares started sliding last month when Google unveiled Project Genie, an AI tool that generates 3D game environments from text descriptions.

The technology remains primitive compared to established development platforms. But investors see the writing on the wall. Generative AI could eventually automate tasks that currently require specialized software like Unity’s platform.

Project Genie doesn’t pose an immediate existential threat. The tool has limited functionality and can’t replicate the full capabilities of mature game engines. However, the rapid pace of AI advancement suggests more disruption ahead.

Unity serves game developers ranging from indie creators to major studios. The platform enables cross-platform game development and provides tools for graphics, physics, and monetization.

The company’s business model relies on recurring revenue streams. Subscriptions and usage-based fees generate predictable income when customer retention remains strong. Weak guidance indicates potential softness in one or both areas.

Analyst sentiment had been relatively positive before the report. Unity received two upward earnings estimate revisions and zero downward revisions in the 90 days prior to results. The guidance quickly reversed that momentum.

The stock gained 49.5% over the trailing 12 months before this week’s destruction. The three-month performance showed a 20.9% decline heading into earnings. Wednesday’s premarket action accelerated the downtrend dramatically.

Unity’s financial health rates as “fair performance” according to investment research metrics. That assessment may deteriorate if first-quarter results match the subdued guidance.

The company projects first-quarter EBITDA of $105-$110 million compared to analyst estimates of $116.9 million, representing a gap of roughly $7-$12 million at the midpoint.

The post Unity Software (U) Stock Tumbles 26% After Revenue Forecast Misses Mark appeared first on Blockonomi.

TLDR

Vertiv reported Q4 earnings of $1.14 per share, below the $1.30 consensus, but shares jumped 23% on strong guidance.

The company’s order backlog reached $15 billion after organic orders surged 252% year-over-year in Q4.

2026 revenue guidance of $13.25-$13.75 billion exceeded Wall Street’s $12.39 billion estimate by over 10%.

Vertiv forecasts 2026 EPS of $5.97-$6.07, well above the analyst consensus of $5.33.

The stock has gained 79% over the past year and carries a Strong Buy rating from analysts.

Vertiv shares climbed 23% Tuesday after the company reported Q4 results that missed estimates but paired them with guidance that crushed expectations. The data center infrastructure provider posted earnings of $1.14 per share, falling short of the $1.30 analyst target. Revenue came in at $2.88 billion versus the $2.89 billion consensus.

$VRT Q4 EARNINGS

• Revenue $2.88B vs Est. $2.89B
• EPS $1.14 vs Est. $1.30
• Backlog $15B (+109% YoY)

FY26 Guidance
• Revenue $13.5B vs Est. $12.4B
• EPS $6.02 vs Est. $5.33 pic.twitter.com/Bu4wovzHOP

— Shay Boloor (@StockSavvyShay) February 11, 2026

The Q4 miss didn’t matter to investors. They zeroed in on the company’s future outlook and explosive order growth.

Vertiv announced organic orders grew 252% compared to the prior year period. That tripling of orders pushed the company’s backlog to a record $15 billion, providing revenue visibility through 2027.

CEO Giordano Albertazzi said the results demonstrate Vertiv’s leadership position in an increasingly complex data center market. He pointed to strong demand for AI infrastructure as the key driver behind the company’s ability to raise guidance.

Record Guidance Tops Estimates

The 2026 outlook became the focal point of Tuesday’s report. Vertiv expects revenue between $13.25 billion and $13.75 billion for the full year. Analysts were modeling $12.39 billion, creating a gap of roughly $1.4 billion.

That’s one of the larger guidance beats seen in recent earnings seasons. It suggests pricing power and market share gains in critical infrastructure.

On earnings, Vertiv projects $5.97 to $6.07 per share for 2026. The Street was expecting $5.33, making this a 12% beat at the midpoint.

Q1 guidance came in mostly in line with expectations. The company sees revenue of $2.50 billion to $2.70 billion versus the $2.56 billion consensus. Q1 EPS is expected between $0.95 and $1.01 compared to the $0.96 estimate.

Vertiv has now beaten EPS estimates for four straight quarters. It has also exceeded revenue projections in each of those periods, building credibility with institutional investors.

Analyst Outlook Remains Strong

Wall Street continues to back VRT stock. The company holds a Strong Buy consensus rating with 15 Buy recommendations, two Hold ratings, and zero Sell ratings.

The average analyst price target sits at $208.89. That’s slightly below where shares traded following the earnings surge, suggesting price targets may need updating.

Vertiv recorded 17 upward EPS revisions and zero downward revisions over the past 90 days. That momentum in estimate changes typically precedes continued stock outperformance.

The stock closed at $199.62 on Monday before today’s rally. Shares have climbed 16.76% over the past three months and 79% over the past year.

Year-to-date performance now exceeds 23% following Tuesday’s post-earnings jump. That compares favorably to the S&P 500’s 1.4% gain over the same timeframe.

InvestingPro rates Vertiv’s financial health as “great performance” based on balance sheet strength and operational metrics.

Vertiv’s Q1 2026 guidance targets revenue of $2.50 billion to $2.70 billion with EPS between $0.95 and $1.01.

The post Vertiv (VRT) Stock Gains 23% on Strong 2026 Revenue Guidance appeared first on Blockonomi.

TLDR

Adyen shares plummeted 20% Thursday after the payments company reported Q4 revenue of €672 million that missed analyst forecasts by 2%.

The company issued weak 2026 guidance projecting 20-22% revenue growth, falling short of previous “low-to mid-20s” targets.

Currency headwinds from a weakening US dollar hurt results, with full-year revenue reaching €2.36 billion, up 21% on constant currency basis.

Q4 processed volumes totaled €398 billion, coming in 2% below consensus estimates despite 19% year-over-year growth.

EBITDA margins hit 55% in H2 2025, but flat margin guidance for 2026 disappointed investors expecting continued expansion.

Adyen stock suffered a brutal selloff Thursday, plunging more than 20% after the Dutch payments processor delivered disappointing fourth-quarter results and issued conservative 2026 guidance. Shares traded at €920.20 in Amsterdam by mid-morning, erasing billions in market value.

𝗔𝗱𝘆𝗲𝗻 𝗛𝟮 𝟮𝟬𝟮𝟱 𝗘𝗮𝗿𝗻𝗶𝗻𝗴𝘀 $ADYEN
Processed volume: €745.3B
Net revenue: €1,270.7M vs €1,290M est.
EBITDA: €702.1M vs $682M est.
EPS: €18.46 vs €18.16 est.
Take rate: 17.1

Outlook 2026:
– Revenue growth 20%-22%
– Ebitda margin in line with 2025.… pic.twitter.com/Tcis1R76nC

— The Future Investors (@ftr_investors) February 12, 2026

The company reported Q4 net revenue of €672 million, representing 19% constant currency growth. However, that figure missed analyst expectations by 2%. Processed volumes for the quarter reached €398 billion, also falling 2% short of Wall Street forecasts.

For the full second half of 2025, Adyen posted net revenue of €1.27 billion, up 21% year-over-year. Full-year revenue climbed to €2.36 billion. The company processed €745 billion in total volume during H2, marking 19% growth compared to the prior year period.

Weak Guidance Triggers Selloff

The stock’s steep decline accelerated after management revealed 2026 revenue growth projections of 20-22% on a constant currency basis. That outlook came in below the company’s previous target of “low-to mid-20s” growth and sits roughly 2% under consensus estimates.

Currency headwinds played a role in the miss. Jefferies analysts noted that a weaker US dollar dampened reported numbers, though underlying business performance remained solid.

On profitability, Adyen delivered H2 EBITDA of €702.1 million, up 23% year-over-year and slightly ahead of estimates. Margins expanded to approximately 55%, showing improvement from earlier periods.

Margin Outlook Disappoints

The company’s 2026 margin guidance failed to inspire confidence. Management expects EBITDA margins to remain “in-line with 2025” levels, translating to roughly €1.47-1.51 billion in EBITDA. Jefferies calculated this figure as about 5% below Street expectations.

Adyen grew its workforce by 10% year-over-year to 4,771 employees at year-end. The expansion reflects ongoing investments in scaling operations across key markets.

Looking ahead to 2028, management reiterated its target of EBITDA margins exceeding 55%, compared to roughly 53% achieved last year.

Competitive pressures in the payments industry have intensified. Adyen faces challenges from established players and emerging fintech companies competing for merchant relationships. US tariff policies have also created headwinds for Asian e-commerce clients that represent a portion of the company’s customer base.

Jefferies described the quarterly results as “solid, albeit below expectations” and suggested management may have built conservatism into the 2026 forecast. The firm pointed to foreign exchange headwinds as the primary factor behind the revenue miss.

The stock finished the morning session down 20.41% as investors digested the combination of missed quarterly estimates and disappointing forward guidance. The sharp decline reflected concerns about slowing growth momentum heading into 2026.

The post Adyen Stock Tanks 20% After Missing Earnings Targets appeared first on Blockonomi.

TLDR

AppLovin beat Q4 estimates with $3.24 EPS versus $2.95 expected and $1.66 billion revenue versus $1.6 billion forecast, up 66% year-over-year.

Shares fell 9% after-hours as Q1 2026 guidance showed 52% revenue growth, slower than recent quarters, raising concerns about momentum.

CEO Adam Foroughi defended AppLovin’s AI technology against Meta and startup competitors, citing “strongest operating performance in our history.”

Stock down 30% in 2026 following short-seller allegations, SEC investigation, Google Project Genie launch, and Unity Software’s 26% drop Wednesday.

Q4 free cash flow surged 88% to $1.31 billion while full-year 2025 revenue hit $5.48 billion, up 70% from prior year.

AppLovin delivered a solid earnings beat Wednesday. Wall Street still sent shares lower.

#AppLovin $APP, Q4-25.

Results:
EPS: $3.24
Revenue: $1.66B
Net Income: $1.10B
Adjusted EBITDA surged to $1.40B with an 84% margin, while Free Cash Flow reached $1.31B. pic.twitter.com/h5YKKw26F5

— EarningsTime (@Earnings_Time) February 11, 2026

The mobile advertising platform reported Q4 earnings per share of $3.24. That topped analyst estimates of $2.95 by nearly 10%. Revenue came in at $1.66 billion, beating the $1.6 billion consensus and jumping 66% from last year.

But investors focused on what’s ahead. Shares dropped as much as 9% in after-hours trading following the report. The stock had already declined 3.4% during regular hours.

The selloff appears driven by decelerating growth in the company’s Q1 2026 guidance. AppLovin forecasts revenue between $1.745 billion and $1.775 billion, implying 52% growth. That’s down from the blistering pace of recent quarters.

CEO Addresses Competition Head-On

Analysts grilled CEO Adam Foroughi about competition from Meta Platforms during the earnings call. Foroughi didn’t back down.

“When I look at our internal dashboards, we’re delivering the strongest operating performance in our history,” he said. “What’s fueling that growth is our own AI models.”

The CEO acknowledged a disconnect between market fear and business reality. “There is a real disconnect between market sentiment and the reality of our business,” Foroughi stated.

AppLovin’s platform specializes in mobile app advertising, particularly for games. It’s carved out a dominant position in this digital advertising niche.

But the stock has faced brutal headwinds in 2026. Shares are down over 30% year-to-date.

Short-seller reports last year claimed violations of Apple and Google app store policies. An SEC investigation into data collection practices remains ongoing. January brought allegations of ties to international crime syndicates from CapitalWatch, though the firm later retracted those claims.

AI Narrative Whipsaws Shares

The AI story has hammered AppLovin stock recently. Google’s Project Genie launch in January sparked fears about AI-generated games. AppLovin dropped 17% that day.

Startup CloudX launched an AI-powered mobile ad product in February. AppLovin fell 16% on that news.

Yet some analysts see AI as an opportunity. Jefferies analyst Brent Thill argued that AI-generated games would make AppLovin’s discovery platform more valuable, not less.

Foroughi echoed that view on the call. “For the past few weeks, there’s been a lot of discussion about how AI and competition will challenge our business,” he said. “If the market chooses to price our stock based on fear while we continue to compound revenue, cash flow and product capability, we’ll stay focused on execution.”

CFO Matt Stumpf highlighted the financial performance. “The combination of growth, profitability, Free Cash Flow, and capital returns we’re delivering is extraordinarily rare,” he said.

The numbers back that up. Q4 free cash flow jumped 88% year-over-year to $1.31 billion. Full-year 2025 free cash flow reached $3.95 billion, up 91%.

Adjusted EBITDA hit $1.4 billion in Q4, representing an 84% margin. The company expects to maintain that margin in Q1 2026 with adjusted EBITDA between $1.465 billion and $1.495 billion.

Full-year 2025 revenue totaled $5.48 billion, up 70% from 2024.

Unity Software reported disappointing guidance Wednesday morning before AppLovin’s release. Unity shares plunged 26%, weighing on AppLovin during regular trading. Unity competes directly with AppLovin in mobile advertising.

AppLovin projects Q1 2026 revenue growth of 5-7% sequentially from Q4 levels.

The post AppLovin (APP) Stock Drops 9% After Hours Despite Strong Q4 Results appeared first on Blockonomi.

TLDR

SanDisk (SNDK) stock surged 10.65% Wednesday to $585.00 and added 2% more in Thursday pre-market trading on memory sector momentum.

The rally came after Micron announced early shipments of HBM4 chips, sparking investor enthusiasm across storage stocks despite no SanDisk-specific news.

SNDK has gained over 150% year-to-date with management citing inability to meet demand and expecting supply constraints through 2026.

Wall Street maintains Moderate Buy rating with 11 Buy and 4 Hold recommendations, average price target of $637.33 implies 6.34% upside.

The stock recovered from a 7% drop earlier in the week and hit an intraday high of $608.17 before settling at $585.00.

SanDisk stock rocketed 10.65% higher Wednesday, closing at $585.00. The move came without company-specific catalysts.

The rally reflected sector-wide enthusiasm for memory and storage stocks. Competitor Micron triggered the momentum by announcing early shipments of its HBM4 high-bandwidth memory chips.

SanDisk doesn’t manufacture HBM chips. But the Micron news highlighted the competitive race for high-speed memory solutions, lifting the entire sector.

Trading volume hit 8.85 million shares Wednesday. That represented 57.8% of the average daily volume of 15.32 million shares.

The stock touched an intraday high of $608.17 before closing at $585.00. That marked a sharp reversal from Tuesday’s close of $541.62.

Recovery From Earlier Selloff

Earlier in the week, SNDK dropped 7%. The decline followed reports that Samsung began mass production of HBM4 memory chips ahead of schedule.

Wednesday’s 10.65% gain more than erased those losses. Momentum traders appeared to drive much of the buying activity.

Thursday brought another 2% gain in pre-market trading. The stock now sits 19.31% below its 52-week high of $725.00.

Year-to-date performance has been exceptional. SNDK has climbed over 150%, making it one of the market’s top performers.

The stock trades roughly 2,000% above its 52-week low of $27.89. That massive run-up has some investors watching for profit-taking.

AI Data Center Opportunity Drives Demand

Management recently disclosed the company cannot fully meet surging demand. They expect this supply-demand imbalance to continue into 2026.

SanDisk is developing a high-bandwidth flash NAND product. The technology is designed to function as an HBM-like option for AI data centers.

This positions the company to capture spending as data center operators expand infrastructure. Constrained supply supports continued pricing power.

The tight market conditions provide visibility for sustained revenue growth. Management’s comments suggest strong order books extending well into next year.

Wall Street Outlook

Analysts rate SNDK a Moderate Buy based on 11 Buy and 4 Hold recommendations. No analysts currently rate the stock a Sell.

The consensus brokerage recommendation stands at 2.0 on a 1-5 scale. That indicates “Outperform” status among Wall Street firms.

Price targets range from $235 to $1,000. The wide spread reflects disagreement on valuation after the massive rally.

The average price target sits at $637.33. That implies modest upside of 6.34% from Wednesday’s close.

Some analysts believe the stock is approaching fair value. Others see room for growth as AI storage demand accelerates.

Shares currently trade at $585.00, with Thursday’s pre-market action pushing toward $597.00.

The post SanDisk (SNDK) Stock Jumps 10% on AI Storage Demand Surge appeared first on Blockonomi.

TLDR

SoftBank Group posted $1.6 billion Q3 profit, reversing a 369 billion yen loss from the prior year quarter

The company’s $30 billion OpenAI investment generated a $2.4 billion gain during the three-month period

SoftBank sold Nvidia and T-Mobile stakes worth $18.5 billion combined to finance deeper AI investments

Loan-to-value ratio climbed to 20.6% as the company increased borrowing against Arm and SoftBank Corp shares

Tokyo-listed shares gained 2.4% following the earnings announcement

SoftBank Group delivered record quarterly profit for the October-December 2025 period. The Japanese conglomerate reported net income of $1.6 billion.

Softbank Q3 Earnings:
– Net Income 248.59B Yen (est 857.01B Yen)
– Net Sales 1.98T Yen (est 1.96T Yen)

— LiveSquawk (@LiveSquawk) February 12, 2026

That marked a dramatic reversal from the 369 billion yen loss posted in the same quarter a year earlier. Shares rose 2.4% on the Tokyo exchange after the results.

The Vision Fund’s OpenAI investment drove the strong performance. The fund recorded a $2.4 billion gain on its ChatGPT-maker stake during the quarter.

Founder Masayoshi Son has invested over $30 billion in OpenAI. The company now holds approximately an 11% ownership position.

SoftBank anticipates total investment gains of $19.8 billion on OpenAI through December. Over nine months, the company has booked cumulative gains of 2.8 trillion yen on the AI firm.

Asset Sales Finance OpenAI Expansion

SoftBank liquidated its entire Nvidia position for $5.8 billion between June and December. The company also sold part of its T-Mobile stake for $12.7 billion during the same window.

These strategic exits raised eyebrows among investors. The proceeds are being redirected into OpenAI investments.

The conglomerate expanded its margin loan backed by Arm Holdings shares to $20 billion. That’s up from $13.5 billion previously.

SoftBank also increased borrowing capacity against SoftBank Corp shares to 1.2 trillion yen from 800 billion yen. The company’s loan-to-value ratio jumped to 20.6% from 16.5% three months prior.

Cash holdings fell to 3.8 trillion yen during the quarter. The declining liquidity has sparked questions about financial sustainability.

Growing Exposure Creates Proxy Effect

The heavy OpenAI concentration means SoftBank increasingly functions as a public market proxy for the private AI company. Investors are closely monitoring the conglomerate’s balance sheet health.

The OpenAI stake resides within Vision Fund 2. Son directly owns 17% of this investment vehicle.

Other Vision Fund holdings posted losses during the quarter. E-commerce platform Coupang and Chinese ride-hailing service Didi both declined in value.

The fund’s ByteDance investment also weakened. These losses were overwhelmed by OpenAI gains.

OpenAI is reportedly pursuing another $100 billion funding round at an $830 billion valuation. SoftBank is expected to participate alongside Amazon and Nvidia.

Microsoft holds the largest OpenAI stake at roughly 28%. That position is valued between $135 billion and $140 billion based on a $500 billion late-2025 valuation.

Fourth Consecutive Profitable Quarter

The quarterly results represented SoftBank’s fourth straight profit. Analyst estimates had varied widely, ranging from a $7.07 billion gain to a $3.09 billion loss.

OpenAI is preparing for a potential initial public offering. The listing could rank among the largest ever executed.

Son’s all-in strategy on OpenAI reflects his conviction the company will dominate the large language model space. Competition is intensifying from rivals including Alphabet.

The conglomerate has used its full remaining borrowing capacity under the Arm-backed credit facility. SoftBank reported the quarterly profit Thursday morning in Tokyo.

The post SoftBank Group (SFTBY) Stock Gains 2.4% After Record Q3 Earnings Beat appeared first on Blockonomi.

TLDR

UBS analyst Timothy Arcuri lifted Nvidia’s price target to $245 from $235, suggesting 28% upside potential ahead of Q4 earnings.

Arcuri forecasts Q4 revenue of $67.5 billion, beating company guidance by $2.5 billion, with Q1 expected around $76 billion.

Supply chain data remains strong despite sideways stock movement, with the March GTC conference providing additional catalysts.

China revenue uncertainty persists as domestic chip adoption grows, though additional orders could boost results by billions.

The analyst expects Nvidia to maintain 75% gross margins despite competitive pressure from Google and Broadcom TPUs.

UBS analyst Timothy Arcuri boosted his Nvidia price target to $245 from $235 ahead of the company’s Q4 earnings report on February 25. The upgrade maintains a Buy rating on the stock.

Arcuri ranks fifth among over 12,000 analysts on TipRanks. His track record shows a 77% success rate with 41.4% average returns per rating.

The new price target implies 28% upside from current trading levels. Nvidia stock has gained 45% over the past year despite recent sideways movement.

Revenue Projections Exceed Expectations

The UBS analyst now models Q4 fiscal 2026 revenue at approximately $67.5 billion. This projection sits $2.5 billion above Nvidia’s official guidance.

For the April quarter, Arcuri forecasts around $76 billion in revenue. Current investor expectations range between $74 billion and $75 billion.

Recent supply chain checks continue showing strength. The analyst views the earnings setup as favorable heading into the February 25 report.

Nvidia’s GTC developer conference takes place in March. The event could provide additional momentum for shares.

China Sales and Margin Questions

China remains an uncertain factor in Nvidia’s revenue outlook. Local companies are increasingly adopting domestically produced chips.

However, Arcuri notes potential China orders could still add several billion dollars to results. UBS expects the company may exclude China from formal guidance.

Investors have raised concerns about margin sustainability. Large technology companies are developing their own AI processors.

The analyst sees limited near-term risk to Nvidia’s 75% gross margin target. Management will likely address competition from Google and Broadcom TPU chips during the earnings call and at GTC.

Wall Street Sentiment Remains Bullish

Nvidia currently trades at a P/E ratio of 47.47 with a market capitalization of $4.65 trillion. Revenue growth reached 65.22% over the last twelve months.

Wall Street maintains a Strong Buy consensus on the stock. TipRanks data shows 37 Buy ratings, one Hold, and one Sell from analysts.

The average analyst price target stands at $260.38, implying 37% upside potential. UBS believes steady AI demand and clearer guidance could improve investor sentiment heading into the earnings report.

The post Nvidia (NVDA) Stock: Top Analyst Raises Target to $245 on Strong Revenue Outlook appeared first on Blockonomi.

TLDR

Micron Technology stock climbed 10% to $410.34 Wednesday after CFO Mark Murphy announced the company has started shipping HBM4 memory chips ahead of schedule.

The memory chip maker is in large-scale HBM4 production and expects shipment volumes to ramp this quarter, one quarter earlier than previously announced.

Demand for high-bandwidth memory continues to outpace supply, with tight market conditions expected to persist beyond 2026.

The accelerated timeline addresses investor concerns that Micron was falling behind Samsung and SK Hynix in the AI memory chip race.

Analysts maintain a Strong Buy rating with 27 Buy recommendations and two Holds over the past three months.

Micron Technology shares rocketed 10% higher Wednesday, closing at $410.34 after company executives delivered unexpected news about their latest AI memory technology. The U.S. memory chip maker revealed it has already begun customer shipments of HBM4 chips.

CFO Mark Murphy made the announcement during a presentation at the Wolfe Research investor conference in New York. He said Micron is now in large-scale production of HBM4 memory and expects volumes to grow throughout the current quarter.

The timeline marks a one-quarter acceleration from guidance the company provided in December. Murphy addressed what he called “inaccurate reporting” about Micron’s HBM4 progress during his remarks.

HBM4 chips serve as critical components in AI servers. They work alongside AI processors to enable rapid data movement. The technology has become essential as companies build out AI infrastructure.

Production and Performance Details

Murphy said Micron’s HBM4 product delivers performance exceeding 11 gigabits per second. He expressed strong confidence in the product’s performance, quality, and reliability metrics.

The CFO described Micron’s business trajectory as “extraordinary.” He emphasized that customer demand significantly exceeds the company’s current production capacity. Market conditions remain tight with supply unable to meet demand.

Micron expects these supply constraints to continue beyond 2026. The company is working to plan investments to address customer needs over time. Tight supply-demand dynamics typically support higher prices and stronger margins for memory manufacturers.

Competitive Landscape Shifts

The stock had faced pressure from concerns about Micron’s competitive position. Investors worried the company was lagging behind rivals Samsung and SK Hynix in bringing next-generation memory to market.

Those concerns raised questions about Micron’s ability to secure large orders from major AI chip makers like Nvidia. The accelerated HBM4 timeline eased those worries considerably.

Lynx Equity Strategies analyst KC Rajkumar said the clarification should eliminate uncertainty surrounding Micron’s HBM4 capabilities. The stock gained 6.3% in early trading before finishing the day up about 10%.

The positive market reaction reflects the growing importance of advanced memory solutions for AI applications. Technology companies continue to increase spending on AI hardware and infrastructure.

Wall Street Outlook

Analysts remain bullish on Micron’s prospects. The stock carries a Strong Buy consensus rating based on recent recommendations. Of 29 analyst ratings issued in the past three months, 27 are Buys and two are Holds with zero Sell ratings.

The average analyst price target stands at $395.30 per share. This target implies 3.67% downside from current trading levels. The stock’s rally Wednesday came as Murphy confirmed large-scale HBM4 production and customer shipments have commenced.

Micron’s ability to deliver advanced memory chips on an accelerated schedule positions the company better in the fast-growing AI memory market. Shipment volumes are expected to ramp successfully during the first quarter of 2026.

The post Micron (MU) Stock Surges 10% on Accelerated HBM4 Chip Timeline appeared first on Blockonomi.

TLDR

Coinbase rolled out Agentic Wallets on Wednesday, letting AI agents trade crypto and manage funds autonomously

The system uses x402 protocol which has handled 50 million transactions since launch

AI bots can rebalance DeFi portfolios automatically with preset spending limits and security controls

Support includes Ethereum layer-2 Base and Solana networks with gasless transaction options

Lightning Labs and Crypto.com also released AI agent tools this week

Coinbase introduced Agentic Wallets on Wednesday, creating the first wallet infrastructure designed for autonomous AI agents. The new feature lets AI bots manage crypto independently, execute trades, and handle decentralized finance positions without user approval.

Introducing Agentic Wallets, our first ever wallet infrastructure built specifically for autonomous agents.

Give your agent the power of a wallet. Let your agent manage funds, hold identity, and transact onchain without human intervention. pic.twitter.com/Ns0SmSIys4

— Coinbase Developer Platform (@CoinbaseDev) February 11, 2026

The wallets run on Coinbase’s x402 payment protocol. This system enables autonomous crypto payments and has processed 50 million transactions since its 2024 debut.

Coinbase Developer Platform programmers Erik Reppel and Josh Nickerson said current AI agents can answer questions but struggle with financial transactions. “The next generation of agents won’t just advise — they’ll act,” they wrote.

Users establish permissions and controls upfront. After setup, agents monitor DeFi positions and rebalance portfolios around the clock. If an agent spots a better yield opportunity at 3am, it rebalances automatically.

How the System Works

The technology supports EVM chains and Solana initially. Base layer-2 users get access to gasless transactions.

Security features include programmable spending limits and session caps. Private keys remain in secure Coinbase infrastructure, separated from AI prompts and language models.

The x402 protocol powers the wallet system. Named after HTTP 402 “Payment Required” status code, it handles machine-to-machine payments. Agents use it to buy API keys, purchase compute power, and access data streams autonomously.

Coinbase upgraded the protocol to version 2.0 in December 2024. The update added support for traditional payment rails. The company launched the x402 Foundation with Cloudflare in September to drive adoption.

Building on Previous Tools

Agentic Wallets advance Coinbase’s AgentKit from November 2024. AgentKit let developers embed wallets during agent creation. The new system offers plug-and-play functionality for existing AI agents.

The company released an agent-wallet-skills repository with basic commands. Users can check balances, fund wallets, and deploy capabilities through a command-line interface.

Coinbase recently unveiled Payments MCP, enabling language models like Claude and Gemini to access blockchain wallets directly.

Competitors Enter the Space

Lightning Labs released tools Wednesday for AI agents on Bitcoin’s Lightning Network. Their L402 protocol lets agents transact and run nodes without accessing private keys.

Crypto.com CEO Kris Marszalek launched ai.com on Monday. The platform creates personal AI agents for tasks like email management and subscription cancellations.

Circle CEO Jeremy Allaire predicted billions of AI agents will use crypto for payments within five years. Former Binance CEO Changpeng Zhao called crypto the native currency for AI agents.

Google introduced its Universal Commerce Protocol on January 11. The system uses Google Pay for US dollar transactions in agentic commerce.

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TLDR

Strategy (MSTR) plans to use preferred stock instead of common shares to fund future Bitcoin acquisitions

The company’s STRC preferred stock hit $100 par value Wednesday, allowing Strategy to resume new offerings

STRC provides 11.25% annual dividend paid monthly to attract yield-focused investors

CEO Phong Le ruled out buying competing Bitcoin treasury firms despite some trading below asset values

Strategy common stock declined 5% to $126.14 as Bitcoin traded near $67,500

Strategy (MSTR) is changing how it funds Bitcoin purchases. CEO Phong Le announced Wednesday the company will prioritize preferred stock over common shares moving forward.

“We will start to transition from equity capital to preferred capital,” Le told Bloomberg. The shift protects common shareholders from dilution while enabling continued Bitcoin accumulation.

The announcement came as Strategy’s perpetual preferred stock Stretch (STRC) reclaimed its $100 par value. This marked the first time STRC traded at that level since mid-January.

STRC had dropped to $93 earlier this month when Bitcoin fell below $60,000. The preferred stock’s recovery matters because Strategy won’t issue new shares below the $100 threshold.

Preferred Stock Offers High Yield

STRC delivers an 11.25% annual dividend distributed monthly. Strategy adjusts this rate monthly to keep the preferred stock trading near par value.

Le admitted the preferred offering needs more marketing effort. “Throughout the course of this year, we expect Stretch to be a big product for us,” he said.

The preferred structure targets investors wanting stable income without Bitcoin’s wild price swings. It represents Strategy’s fourth perpetual preferred offering since launching the approach last July.

With STRC back at par, Strategy can now conduct at-the-market offerings. These sales generate cash for Bitcoin purchases without issuing dilutive common stock.

No Plans to Buy Rivals

Le dismissed speculation about acquiring other Bitcoin treasury companies. Some analysts suggested buying undervalued competitors could provide cheap Bitcoin access.

“I think it would be a distraction to go buy, at a discount to net asset value, another digital asset treasury company,” Le explained.

He compared the situation to emerging sectors like electric vehicles and artificial intelligence. “You want to focus on your core product,” Le said.

The Bitcoin treasury space has grown crowded recently. Multiple firms now compete for the same investor base interested in corporate Bitcoin exposure.

Some companies hold more Bitcoin than their market caps suggest they’re worth. This creates potential acquisition targets trading below net asset value.

Strategy remains the largest corporate Bitcoin holder globally. The company maintains regular purchasing despite cryptocurrency market volatility.

Market Performance

Bitcoin traded around $67,500 Wednesday after touching above $68,000 earlier in the session. The cryptocurrency has moved sideways over the past 24 hours.

Strategy common stock fell 5% to close at $126.14 Wednesday. The decline occurred despite positive news about STRC reaching par value.

STRC last traded at $100 on January 16 when Bitcoin was near $97,000. The preferred stock bottomed at $93 on February 5 as Bitcoin crashed to $60,000 before this week’s rebound.

Strategy recently increased STRC’s dividend to the current 11.25% rate. This adjustment aims to reduce volatility and keep the preferred stock stable near its $100 par value.

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