Caterpillar Expands Autonomous Hauling to Two More Virginia Quarries
Luck Stone announced in mid-September 2026 that it had expanded its collaboration with Caterpillar to roll out autonomous hauling technology to two additional Virginia quarries, building on a site where autonomous Cat trucks have already moved more than 3.50 billion tons without reported injuries. The expansion includes the first-ever deployment of Caterpillar's autonomous haulage on Cat 775 trucks, and the company is pairing the automation with workforce skill development to address quarry safety and productivity challenges. The move reinforces Caterpillar's broader push into autonomy and AI, which analysts tie to higher quality recurring revenue, and follows the company's August update highlighting record backlog and heavy investment in digital and automation. Caterpillar's narrative projects $94.5 billion revenue and $17.4 billion earnings by 2029, with a $970.37 fair value implying 20% upside, while some of the most optimistic analysts already assumed revenues above US$112,200,000,000 and earnings near US$20,700,000,000 by 2029. Investors are still weighing rising tariffs and pricing pressure against the pace at which digital and service income can scale.
Lockheed Martin Set for First Saudi F-35 Sale, Germany F-35A Rollout
Lockheed Martin is set to benefit from a US government plan to sell up to 48 F-35 jets to Saudi Arabia, following a notification to Congress in 2026, a package that would mark the first sale of F-35 aircraft to the kingdom. The company also marked the rollout of Germany's first F-35A in 2026, a key step in Berlin's transition to the aircraft. The Saudi notification for up to 48 F-35s would, if approved and executed, add a new Gulf customer to a platform already adopted by 20 nations and operating from 42 bases worldwide, extending an existing global footprint rather than creating a new product line. The next concrete waypoint is formal progression of the Saudi sale through Congress after the 2026 notification, which would turn a proposed package into a contracted backlog line, while for Germany investors can track the first eight F-35 deliveries to Ebbing Air National Guard Base for pilot training beginning this fall. Lockheed Martin, a US aerospace and defense group with a market cap of about $124.2b, designs and builds combat aircraft like the F-35 along with a wide range of military technology systems for governments in Europe, Asia, the Middle East, and other regions.
Brokers highlight CK and STECON as top picks, eyeing 2027 budget to unlock mega-project auctions
An analysis of the construction contractor sector by Asia Plus Securities indicates that the passage of the annual budget expenditure bill for fiscal year 2027, worth 3.788 trillion baht, marks the start of a new round of accelerated public investment, with investment spending reaching approximately 789 billion baht, or 20.8% of the total budget. Meanwhile, the Ministry of Transport is preparing to push forward a total of 262 investment projects covering roads, railways, electric trains, ports, and airports. Local budgets of nearly 395 billion baht will help increase construction and maintenance work in the regions. The brokerage views the construction contractor group as the most direct beneficiary and assesses that Ch. Karnchang Public Company Limited, or CK, and STECON Group Public Company Limited, or STECON, are the most closely linked to the acceleration of budget disbursement. It recommends "Buy" on CK with a fair value of 24 baht and "Buy" on STECON with a fair value of 23 baht. For the construction materials group, it views SCC, SCCC, and TASCO as beneficiaries, with TASCO set to gain support from budgets for road and highway network maintenance. Meanwhile, Pi Securities has a consistent view, saying it is beginning to see positive signals for a new round of government auctions. Since the start of 2026, CK has signed new work that is largely additional work from existing projects worth only about 870 million baht, causing its backlog to fall from more than 168 billion baht early in the year to about 146 billion baht at the end of the first half of 2026. However, the direction of new work has become clearer after the Cabinet resolved on September 1, 2026, to approve the continuation of three double-track railway projects with a combined value of more than 106 billion baht, comprising the Chumphon-Surat Thani section worth 36.892 billion baht, the Surat Thani-Hat Yai Junction section worth 61.534 billion baht, and the Hat Yai Junction-Padang Besar section worth 8.371 billion baht. Bidding is expected to open in early 2027. These projects are part of Phase 2 of the double-track railway program, which has six projects in total. Pi Securities views the opening of bidding for double-track railway projects worth more than 100 billion baht as an opportunity for CK to bid for all of them, expecting the three projects to be divided into about five contracts. If it wins new work, this would be upside to Pi Securities' 2027 revenue forecast of 42.134 billion baht, since the forecast does not yet include the new work to come. In addition, CK has the opportunity to win two other large projects related to Bangkok Expressway and Metro Public Company Limited, or BEM: the installation of systems for the Purple Line South electric train, worth approximately 30 billion baht, and the Double Deck expressway project, worth approximately 35 billion baht. Pi Securities maintains its "Buy" recommendation on CK with a fair value of 23.10 baht, based on 1.3 times its 2026 book value.
NASA in Talks for Boeing Starliner to Fly 10 or More New Missions
NASA and Boeing are in talks about using Boeing's Starliner vehicle to handle 10 or more new flights to low-Earth orbit in the coming years, The Wall Street Journal reported Friday. The Starliner has not flown since summer 2024, when performance problems including failed thrusters that posed safety risks left two astronauts stuck on the International Space Station for months; the astronauts returned to Earth on SpaceX's Crew Dragon vehicle, and the Starliner came back empty. SpaceX's Crew Dragon has been the only certified vehicle to carry NASA astronauts to the space station from the U.S., but SpaceX has stopped making new Dragon ships and has not said publicly when it plans to stop operating the ship. NASA said Friday it awarded SpaceX three additional astronaut missions to the space station using Crew Dragon, flights worth an average of $315M each and running through 2030. Few other options exist for flights to low-Earth orbit: Northrop Grumman has a cargo capsule that flies to the space station for NASA but not a human-rated one, while Russia flies vehicles to the ISS that handle crews and cargo.
GE Vernova Shares Rise 1.66% as Analysts Eye Upcoming Earnings
GE Vernova closed the most recent trading day at $940.33, up 1.66% from the previous session and ahead of the S&P 500's daily gain of 0.17%. The energy business spun off from General Electric has fallen 4.25% over the last month, trailing the Oils-Energy sector's gain of 1.36% while the S&P 500 lost 1.29%. For its upcoming earnings disclosure, the company is predicted to post an EPS of $4.08, indicating 148.78% growth versus the equivalent quarter last year, on revenue forecast at $12.07 billion, up 21.11%. For the full year, the Zacks Consensus Estimates project earnings of $30.49 per share and revenue of $46.3 billion, changes of +72.36% and +21.61% respectively from the preceding year. Over the past month the Zacks Consensus EPS estimate has shifted 1.34% downward, and GE Vernova presently carries a Zacks Rank of #3 (Hold), with a Forward P/E ratio of 30.33 against its industry's 17.89.
American, United and Southwest Cut Marginal Routes as Jet Fuel Hits $4.71 a Gallon
American Airlines, United Airlines and Southwest Airlines are cutting their least-profitable routes as jet fuel prices climb to $4.71 per gallon, more than double the cost a year ago and near a 20-year high. Speaking at Morgan Stanley's annual Laguna Conference on Sept. 16, American CFO Devon May said the fuel spike has added $1 billion to the carrier's projected fourth-quarter expenses, prompting it to cut some December flights and plan for less growth next year. Southwest CFO Tom Doxey said the airline halved its planned 2-3% flight capacity growth "because fuel has been higher," while United CFO Mike Leskinen said United will fly fewer flights in December and could cut further next year, noting that 35% of its fourth-quarter tickets were already booked but that higher fuel costs get passed through to consumers with a lag. United and American declined to share the number of flights they cut, and a Southwest spokesperson told Fortune its schedule adjustments were "very minimal" and do not affect large-scale exits of routes or airports. United and American spent about $8.2 billion and $7.8 billion respectively on fuel in the first six months of this year, both up almost 49% from a year earlier, while Southwest spent nearly $3.6 billion, up about 39%; fares were 23.4% higher in August than a year earlier, compared to a 3.4% increase in overall consumer prices. The fuel shock has also hit Europe, where Ryanair cut its full-year passenger forecast this month from 216 million to 214 million.
Copart has agreed to pay about $1.9 billion in cash for ACV, a digital automotive marketplace that sells cars for dealers, with the deal expected to close by the end of the calendar year. ACV sells more than 800,000 vehicles a year, while Copart sells over 4 million. The price works out at about 6% of Copart's $30.1 billion market value, and the acquisition targets dealer volume, a different funnel from the insurance salvage business that has shrunk. Copart's U.S. insurance volumes fell 8% in fiscal 2026, and total U.S. noninsurance volume fell 3.9% that year, with noninsurance work only about a quarter of its volume today. Management expects the deal to be breakeven at first and accretive in the first full year, fiscal 2028, and says over $2 billion will still sit on the balance sheet once it closes.
Waste Connections Raises 2026 Outlook After Q2 Revenue Rises 6.4%
Waste Connections raised its full-year 2026 outlook after reporting second-quarter revenue growth of 6.4% year over year to $2.56 billion. The company now expects 2026 revenues of $10.02-$10.05 billion and adjusted EBITDA of $3.33-$3.34 billion, with adjusted free cash flow of $1.40-$1.45 billion. Adjusted EBITDA rose 6.8% to $840.1 million in the quarter, with the margin expanding to 32.8%, while solid waste internal growth of 3.6% was driven by a 5.6% core price increase. Waste Connections completed acquisitions representing more than $100 million in annualized revenues, and its board declared a regular quarterly cash dividend of $0.35 per U.S. common share, payable on Aug. 20, 2026, to shareholders of record as of Aug. 6, 2026. Operating income fell to $437.6 million from $459.5 million a year earlier as fuel and related costs rose and commodity values remained lower, and capital expenditures climbed to $598.9 million in the first six months of 2026 from $497.8 million a year ago.
Joby Aviation Q2 Revenue Beats at $38.64M as First Dallas EIPP Flights Target This Month
Joby Aviation reported Q2 revenue of $38.64 million against a $30.38 million consensus and raised its fiscal 2026 revenue guidance to $115 million to $125 million, with CEO JoeBen Bevirt saying the company is preparing for commercial service and targeting its first EIPP flights in Dallas-Fort Worth this month. The stock trades at $6.26, down 52.57% year-to-date and 56.49% over the past year, well below its $19.98 52-week high. Joby's FAA Stage 4 certification progress has moved from 6% to 20%, Blade seats sold rose more than 50% year-over-year in Q2, and the company counts a $250 million direct investment from Toyota, a Virgin Atlantic UK partnership, and a Dubai vertiport network among its supports. Against rival Archer Aviation, which carries a $4.02 billion market cap and posted just $5 million in Q2 revenue, Joby's $6.04 billion valuation rests on a larger revenue base. Risks include an operating margin of -1,346.92%, guided H2 2026 cash use of $385 million to $415 million, prior raises of $1.2 billion in February and $576 million in October 2025, and certification timing that could slip into 2027.
Honeywell CEO Calls GE's $11.75 Billion CPP Deal Positive for Aerospace
Honeywell Aerospace CEO Jim Currier called GE Aerospace's planned $11.75 billion acquisition of Consolidated Precision Products positive for the industry overall, while noting Honeywell does not directly compete with CPP because the parts it sources differ from GE's. CPP supplies roughly a quarter of GE's casting requirements, and GE expects the business to generate about $2 billion of revenue in 2027. Currier said Honeywell could bring additional outsourced capabilities back in-house through smaller, complementary acquisitions, after the company cut its 2026 organic sales-growth outlook to 4%-5% from 7%-9% and quadrupled spending on multi-sourcing and in-sourcing initiatives this year. Honeywell deployed skilled workers into supplier factories, which Currier said helped increase production 30% year over year during the preceding 30-45 days. In the second quarter, sales rose 5% to $4.52 billion, but adjusted EPS fell 32% to $1.87, with supply constraints and an unfavorable mix weighing on profitability.
Illinois Tool Works Q2 Revenue Rises 6.1% to $4.30 Billion, Beats Estimates
Illinois Tool Works reported second-quarter revenues of $4.30 billion, up 6.1% year on year and 2.7% above analysts' expectations, as the general industrial machinery sector posted a strong quarter overall. The company's organic growth reached 4.5 percent, operating margin came in at 26.7 percent, and GAAP earnings per share rose 10 percent to $2.84, according to President and Chief Executive Officer Christopher A. O'Herlihy. Across the 12 general industrial machinery stocks tracked, revenues beat consensus estimates by 2.6% while next quarter's revenue guidance came in 3.3% below, and share prices in the group have fallen 7.7% on average since the latest results. Illinois Tool Works shares are down 6.1% since reporting and trade at $267.51. Among peers, Columbus McKinnon posted the fastest revenue growth at $531.5 million, up 125% year on year, while Albany delivered the weakest performance against analyst estimates with revenues of $329.5 million, up 5.8% year on year but 3.1% short of expectations.
Boeing CEO Says No 200-Plane China Order, Flags 737 Wing Bottleneck
Boeing CEO Kelly Ortberg tempered expectations for a large China aircraft order, clarifying that the company did not receive a roughly 200-plane order earlier this year and that Chinese officials instead indicated plans to move forward with purchases that he expects to emerge incrementally and be announced by individual airlines. Speaking at Morgan Stanley's 14th Annual Laguna Conference, Ortberg said Boeing has reached a 737 production rate of 47 aircraft per month but has yet to stabilize at that level, with wing production in Renton remaining the primary constraint even as the broader supply chain, including engines, is in good shape. Boeing expects 737 MAX 10 certification very soon, with flight testing complete and only documentation and regulatory review remaining; the MAX 10 represents roughly 30% of Boeing's 737 backlog. The 777X faces another hurdle, as Boeing awaits completion of GE Aerospace's engine mid-seal certification plan before it can begin ETOPS testing, with some testing possibly spilling into next year, though the company continues to target 2027 deliveries. Engine deliveries are also slowing Boeing's effort to raise 787 production from eight to 10 aircraft per month, with the required engine delivery performance now expected closer to year-end, and a potential SPEEA strike could effectively halt the 777X certification program and disrupt 737 production before the current contract expires Oct. 6. CFO Jay Malave reaffirmed Boeing's 2026 free cash flow forecast of $1 billion to $3 billion, with about $2 billion as the framework, but said slower-than-expected 737 and 787 production ramps through year-end make results above the midpoint less likely than previously expected.
Lockheed Martin Rolls Out Germany's First F-35A Fighter Jet
Lockheed Martin presented Germany's first F-35A Lightning II to the German government during a ceremony at its F-35 production facility in Fort Worth, Texas, on Sept. 18, 2026. Germany's program of record calls for 35 F-35As, with the first eight aircraft to be delivered to Ebbing Air National Guard Base in Arkansas for pilot training beginning this fall, and the first German F-35s arriving in-country in late 2027. German Minister of Defense Boris Pistorius said the first fighter jets will be delivered this year, with full operational capability to be reached by 2029, calling the aircraft a decisive key capability for the German Air Force and for the whole of NATO. Lieutenant General Holger Neumann, Chief of the German Air and Space Force, said the F-35 will make Germany part of the larger international F-35 community, strengthening both Germany and NATO. OJ Sanchez, president of Lockheed Martin Aeronautics, said the company is building on more than 50 years of partnership with Germany, and noted that German industry has contributed to the F-35 program since its inception in 2001. The F-35 has been selected by 20 nations, including 13 in Europe, and more than 1,355 F-35s are currently operational worldwide.
Wabtec Leads Heavy Transportation Q2 as Greenbrier Posts Group's Weakest Results
Wabtec reported second-quarter revenues of $3.18 billion, up 17.5% year on year and 3.3% above analysts' expectations, as the 12 heavy transportation equipment stocks tracked posted a satisfactory quarter with group revenues beating consensus by 2.2% and next-quarter revenue guidance 8.6% above estimates. Chairman and CEO Rafael Santana said Wabtec delivered a strong first half with solid second-quarter execution driving robust sales growth, margin expansion and a 22% increase in adjusted EPS growth, though the quarter was mixed as full-year EPS guidance only slightly topped expectations while organic revenue estimates missed significantly. Wabash posted the group's best quarter, with revenues of $417.2 million, down 9.1% year on year but 3.6% above expectations, alongside a solid EBITDA beat and next-quarter revenue guidance exceeding analysts' expectations. Greenbrier delivered the weakest performance of the group, with revenues of $576.5 million, down 31.6% year on year and 5.9% short of expectations, plus full-year revenue and EPS guidance missing significantly. PACCAR reported revenues of $7.55 billion, flat year on year and in line with expectations, while Commercial Vehicle Group reported revenues of $195.2 million, up 13.5% year on year and 13.8% above expectations, delivering the group's biggest estimate beat and highest full-year guidance raise. On average, shares of the tracked companies are down 11.3% since the latest earnings results.
BofA Calls Boeing Selloff Overdone After CEO Flags 777X Delay
Bank of America said Boeing's roughly 6% weekly selloff is overdone after CEO Kelly Ortberg flagged continued headwinds on the 737 and 787 production ramps and a further delay to 777X certification. Ortberg disclosed that 777X certification testing is now expected to slip into 2027, a delay tied to pending approval for a more durable seal on the GE9X engine supplied by GE Aerospace, though Boeing maintained first deliveries remain on track for next year, matching Bank of America's estimate of zero 777X deliveries in 2026 and 10 in 2027. The analysts called Ortberg's remark that the 737 ramp has yet to stabilize at 47 aircraft per month the most market-moving comment, pointing to in-house wing production as the bottleneck while noting the broader supply chain is holding up. Boeing expects certification of the 737 MAX 10, which makes up 30% of its 737 backlog, very soon, and Bank of America's 2026 forecast of 519 737 deliveries remains unchanged. Bank of America said the comments add some risk to its 2026 free cash flow estimate of $2.4 billion but that it remains comfortable with that forecast for now, and flagged a potential SPEEA strike as the bigger near-term risk, with the union's contract set to expire October 6.
Pacific Basin Shipping Upgraded to Zacks Rank #2 Buy on Rising Estimates
Pacific Basin Shipping Ltd. has been upgraded to a Zacks Rank #2 (Buy), a rating driven entirely by an improving earnings outlook. The upgrade reflects steadily rising analyst estimates: over the past three months, the Zacks Consensus Estimate for the company has increased 53.3%. For the fiscal year ending December 2026, Pacific Basin Shipping is expected to earn $0.92 per share, unchanged from the year-ago reported number. The Zacks Rank #2 places the stock in the top 20% of the more than 4,000 Zacks-covered stocks in terms of estimate revisions, a position the rating system says implies the shares could move higher in the near term.
Ingersoll Rand reported second-quarter revenues of $2.05 billion, up 8.5% year on year and 4.6% above analysts' expectations, in what was a strong quarter for the company. The industrial equipment maker also beat analysts' EPS estimates, while its full-year EBITDA guidance met expectations, though the stock is down 14% since reporting and currently trades at $72.48. Across the 12 gas and liquid handling stocks tracked, group revenues beat consensus estimates by 2% while next quarter's revenue guidance came in 0.8% below, and share prices have fallen 7% on average since the latest earnings results. SPX Technologies posted the best quarter with revenues of $679 million, up 22.9% year on year and 5.8% above expectations, and achieved the highest full-year guidance raise of the group, while Graco delivered the weakest performance against analyst estimates with revenues of $590.6 million, up 3.3% year on year but 3% short of expectations. Flowserve reported revenues of $1.17 billion, down 1.6% year on year but 0.9% above expectations, and Parker-Hannifin reported revenues of $5.76 billion, up 9.8% year on year and 3.3% above expectations.
Diesel at all-time high of 644 threatens company earnings, JB Hunt warns
Diesel prices have hit an all-time high of 644 and gasoline is about 10 cents off its May peak, raising the question of whether energy costs will start shocking company earnings. JB Hunt warned earlier this week that its bottom line is being hit by the swift rise in diesel prices, saying it expects a quarter-to-quarter profit decline of 5 to 10 percent because pricing cannot be adjusted quickly enough. PNC Asset Management Group CIO Amanda Agati said she does not expect energy costs to crack the trajectory of earnings growth, noting positive revisions coming into the end of the third quarter remain positive and largely broad-based. Agati said companies are scrambling to hedge in this environment and that margins have been impressive for years, but warned that if energy prices remain elevated a year from now, the story would be very different. The discussion comes as diesel sits just pennies away from an adjusted inflation record.
ZIM Shares Gain 11.8% Since Q2 Earnings Beat and 2026 Guidance
ZIM Integrated Shipping Services shares have risen about 11.8% since its last earnings report, outperforming the S&P 500. The company reported second-quarter 2026 adjusted earnings of 64 cents per share, beating the Zacks Consensus Estimate of a loss of 10 cents, while revenues of $1.78 billion rose 8.9% year over year and topped the consensus mark of $1.63 billion by 9.5%. ZIM carried 922 thousand twenty-foot equivalent units, up 3.0% year over year, as the average freight rate per TEU increased 7.5% to $1,590, with Pacific trade volume up 20.3% to 426 thousand TEUs. For 2026, ZIM expects adjusted EBITDA of $2.0-$2.4 billion and adjusted EBIT of $700 million-$1.1 billion, and management expects significantly stronger performance in the second half of the year. The company currently operates 115 containerships with aggregate capacity of 707 thousand TEUs, along with 13 car carriers, and has charter agreements covering 40 vessels and roughly 286 thousand TEUs of capacity, the vast majority of which is newbuild capacity.
Nordson Raises Fiscal 2026 Guidance After Q3 Earnings Beat
Nordson reported third-quarter fiscal 2026 adjusted earnings of $3.25 per share, up 19.0% year over year and 5.2% above the Zacks Consensus Estimate of $3.09, on revenues of $817.67 million that rose 10.3% and beat the consensus estimate of $779 million by 5.0%. Organic sales increased 11.7% year over year, with record third-quarter sales in each of its three business segments, and backlog was up 35% from the prior-year level. Industrial Precision Solutions revenues rose 4.7% to $367.25 million, Medical and Fluid Solutions revenues increased 5.0% to $230.54 million, and Advanced Technology Solutions revenues surged 28.4% to $219.88 million. Nordson now expects fiscal 2026 sales of $3,035-$3,075 million, up from the prior $2,930-$3,010 million range, and adjusted earnings of $11.80-$12.00 per share, compared with the previous $11.30-$11.80 range, calling for sales growth of 9-10% and adjusted earnings growth of 15-17%. The company also highlighted $1.1 billion of near-term capacity for strategic acquisitions, while net debt leverage improved to 1.7 times trailing 12-month EBITDA from 2.1 times at the end of fiscal 2025.
Wolters Kluwer cancels 7.8 million treasury shares, cutting issued capital to 224,716,153
Wolters Kluwer has completed the capital reduction approved by shareholders at its Annual General Meeting on May 21, 2026, cancelling 7,800,000 ordinary shares held in treasury. The cancellation reduces the company's total issued ordinary shares to 224,716,153 from 232,516,153. Following the move, Wolters Kluwer holds 2,276,510 treasury shares, or 1.01% of total issued ordinary shares, and has notified the Dutch Authority for the Financial Markets of the change in its issued share capital. Shares repurchased by the company are added to treasury holdings and used for capital reduction through cancellation, though part may be retained to meet future obligations under share-based incentive schemes. Wolters Kluwer, listed on Euronext Amsterdam under the ticker WKL, reported 2025 annual revenues of 6.1 billion euros.
Equifax Q3 2026 Earnings Expected to Rise 8.3% Year Over Year
Equifax is projected to post an 8.3% year-over-year increase in third-quarter 2026 earnings, with full-year 2026 and 2027 earnings expected to rise 11.8% and 17.7% respectively, according to Zacks Investment Research. Revenue is anticipated to grow 10.9% in 2026 and 9.6% in 2027. In the second quarter of 2026, Workforce Solutions segment revenues rose 7% year over year to $705.4 million, including Verification Services revenues of $607.6 million, up 7%, while the company signed about $300 million in state-government agreements, comprising roughly $100 million of new business and $200 million of renewals. Equifax's Vitality Index reached 16% in the second quarter of 2026, above its 15% full-year goal, and management doubled expected AI-driven run-rate savings for 2026-2028 to $150 million from $75 million. International revenues increased 8% year over year on a reported basis to $383.1 million, led by Asia Pacific, where revenues rose 17% to $99.7 million. Equifax carries a Zacks Rank #3 (Hold), while TrueBlue and Trane Technologies each hold a Zacks Rank #2 (Buy).
Fluence Energy Cuts Fiscal 2026 Revenue Guidance to $2.4 Billion on Houston Manufacturing Delays
Fluence Energy has lowered its fiscal 2026 financial guidance, citing persistent supply-chain challenges affecting U.S. production. The company now expects fiscal 2026 revenues of approximately $2.4 billion, down from the previous guidance midpoint of about $3 billion, and below the Zacks Consensus Estimate of $2.95 billion. Fluence Energy also projects an adjusted EBITDA loss of nearly $200 million, substantially wider than its earlier forecast midpoint of a loss of around $10 million. The company said demand remains strong in both domestic and international markets and its international supply chain continues to operate effectively, but delays in ramping up production at its contract manufacturing facility in Houston have constrained its ability to convert demand into completed deliveries and revenues. Fluence Energy is restructuring its operational organization and improving coordination across supply-chain planning, manufacturing and product delivery, while its contract manufacturing partner has implemented corrective measures that have already contributed to higher daily production levels. The company aims to achieve neutral to positive operating cash flow in fiscal 2027 and is expected to report a detailed fiscal 2027 business plan and updated financial outlook when it releases fiscal 2026 results later this year.
Mercury Systems Beats Q2 Estimates With Record Bookings as Defense Contractors Post Strong Quarter
Mercury Systems reported fourth quarter fiscal 2026 revenues of $289.8 million, up 6.1% year on year and 9.2% above analysts' expectations, as the 14 defense contractors stocks tracked by the report collectively beat consensus revenue estimates by 4% and guided next quarter 1.1% above expectations. Chairman and CEO Bill Ballhaus said the company delivered record bookings, record backlog, record revenue, the highest EBITDA margin of the year, and robust free cash flow, though Mercury shares are down 18.5% since reporting and trade at $85.56. Huntington Ingalls posted the group's best quarter, with revenues of $3.42 billion, up 10.9% year on year and 8.2% above expectations, while its shares have traded sideways at $278.53. Parsons delivered the weakest quarter, with revenues of $1.58 billion, flat year on year and 1.9% below expectations, alongside full-year revenue and EBITDA guidance that missed significantly, sending its stock down 25.5% to $46.19. Northrop Grumman reported revenues of $10.88 billion, up 5.1% and 0.5% above expectations, with shares flat at $526.95, and Leidos reported revenues of $4.56 billion, up 7.2% and 2.6% above expectations, with its stock up 10.4% at $131.09. On average, defense contractors shares are down 2.9% since the latest earnings results.
Caterpillar Expands Robot Trucks to Two More Virginia Quarries
Caterpillar announced on September 15 that its self-driving haul trucks at a Luck Stone quarry are moving large tonnage, with expansion to two more Virginia quarries, Boscobel and Bealeton, including the first autonomous deployment of Cat 775 trucks. The company disclosed no order value, truck count, or profit contribution from the autonomy milestone, and autonomy was named on the earnings call only as a source of higher SG&A and R&D expenses inside Resource Industries. In the second quarter of 2026, revenue reached $20.5 billion, up 24% year over year, with adjusted EPS of $8.17, up 73%, while backlog climbed to $72 billion, up roughly $35 billion versus a year earlier. Power & Energy is the engine, with segment sales up 17% to $8.2 billion and power generation sales up 72% on large gensets and turbines for data centers, and gas prime orders extend toward the back half of 2028 and into 2029. Caterpillar trades at $798.51 against a consensus analyst target of $975.61, a trailing PE of 34x, and full-year tariff costs of around $2.2 billion for 2026, with expected IEEPA tariff recoveries of approximately $400 million.
Paychex Set to Report Q1 Fiscal 2027 Results on Sept. 23
Paychex is scheduled to release first-quarter fiscal 2027 results on Sept. 23, 2026, before market open, with the Zacks Consensus Estimate for earnings pinned at $1.33 per share, a 9% gain from the year-ago quarter's reported figure. The consensus estimate for first-quarter fiscal 2027 revenues is set at $1.6 billion, suggesting a 5.1% uptick from the year-ago quarter. Paychex beat the Zacks Consensus Estimate in four preceding quarters, with an average earnings surprise of 1.3%. The company has said it aims to raise the top line by increasing revenue per client rather than relying heavily on client-base expansion, with price realization and product penetration cited as vital drivers, while Paycor-related cross-selling and revenue synergies were flagged by CFO Robert Schrader on the fourth-quarter fiscal 2026 earnings call. Paychex currently has an Earnings ESP of 0.00% and a Zacks Rank #3, a combination the model does not use to conclusively predict an earnings beat.
Toro Corp said on Friday it acquired two MR tanker vessels from unaffiliated third parties for a combined $83.4M. The company paid $45.9M for the 2018-built M/T Wonder Alasia and $37.5M for a 2014-built scrubber-fitted vessel, which is expected to be renamed M/T Wonder Atria. Both acquisitions were funded with cash on hand.
Affirm Launches AI Underwriting Model, Sees 3.4% More Completed Purchases
Affirm Holdings is launching a new transformer-based machine learning model for real-time credit underwriting at U.S. checkouts, drawing on 14 years of its own transaction and repayment data to analyze the order and timing of events across a consumer's credit history. In initial testing, the model approved applications the previous system would have declined, including consumers with limited credit histories and no FICO scores, and those incremental approvals produced 3.4% more completed purchases than the control group, with the loans performing better than a comparable expansion under the previous model. Affirm says the model is built to deliver fast and explainable decisions, and the release does not provide a dollar estimate of the financial impact. The company frames the launch as expanding approvals without simply lowering credit standards, with the financial benefit depending on how the early results scale. Affirm shares have risen 58.2% over the past six months compared with the industry's 20.2% growth, and the stock trades at a forward price-to-sales ratio of 4.1X versus the industry average of 4.2X.
Cintas Expected to Post Q1 Earnings of $1.35 Per Share
Wall Street analysts expect Cintas to report quarterly earnings of $1.35 per share in its upcoming report, a year-over-year increase of 12.5%, on revenues of $2.97 billion, up 9.2% from the year-ago quarter. The consensus EPS estimate has been revised 0.1% higher over the last 30 days. Within the revenue breakdown, analysts forecast Uniform Rental and Facility Services revenue of $2.27 billion, up 8.7% year over year, First Aid and Safety Services revenue of $378.23 million, up 13%, and All Other revenue of $321.25 million, up 9.9%. On the operating side, Uniform Rental and Facility Services operating income is projected at $560.82 million versus $499.94 million a year ago, First Aid and Safety Services at $95.35 million versus $80.33 million, and All Other at $42.36 million versus $37.60 million. Over the past month, Cintas shares have returned -2.7% versus the Zacks S&P 500 composite's -1.3% change, and the stock currently carries a Zacks Rank #3 (Hold).
Wall Street analysts expect Paychex to report quarterly earnings of $1.33 per share in its upcoming report, a year-over-year increase of 9%, on revenues of $1.62 billion, up 5.1% from the year-ago quarter. Over the last 30 days, the consensus EPS estimate for the quarter has been revised downward by 0.3%. Within the revenue breakdown, analysts project Management Solutions revenue of $1.22 billion, up 5.1%, and PEO and Insurance Solutions revenue of $353.39 million, up 7.4%, while total service revenue is expected to reach $1.58 billion, up 5.6%, and interest on funds held for clients is seen at $47.17 million, down 0.9%. Analysts also forecast average interest rates earned on funds held for clients of 3.3% versus 3.5% a year ago, and 3.6% on corporate cash equivalents and investments versus 4.2%. Over the past month, Paychex shares have returned -5.2% against the Zacks S&P 500 composite's -1.3% change, and the stock carries a Zacks Rank #3 (Hold).
GE Aerospace Says GE9X Durability Fix Won't Delay Boeing 777X
GE Aerospace said a durability issue found in the GE9X engine is not expected to affect the planned entry into service of Boeing's 777X aircraft next year, according to comments made Thursday at a Morgan Stanley conference. The problem centers on the engine's mid-seal, a component linking the front and rear sections of the GE9X, where testing showed the original design did not meet durability expectations. Engines fitted with a redesigned seal began shipping to Boeing during the third quarter, and Federal Aviation Administration certification is anticipated within the next few months. GE Aerospace first disclosed the potential problem in February and later said it had identified the root cause and completed a corrective design without changing the overall timeline for the GE9X program. Separately, the company said its recently agreed $11.75 billion acquisition of Consolidated Precision Products is intended to strengthen supplies of precision-cast engine components and should not be viewed as a broader shift toward vertical integration across its aerospace operations.
Xenon plunges 24% on trial pause; Netflix downgraded by Wells Fargo
Xenon Pharmaceuticals plunged 24% in premarket trading after submitting a New Drug Application to the U.S. Food and Drug Administration for azetukalner as a treatment for focal seizures in epilepsy while voluntarily pausing new patient enrollment in ongoing Phase 3 trials for major depressive disorder and bipolar depression. Netflix slipped 2.1% after Wells Fargo downgraded the streaming giant to Underweight from Equal Weight and cut its price target to $57 from $80, citing weakening engagement trends. Array Technologies fell 3.1% to $4.11 after UBS downgraded the solar tracking company to Neutral from Buy and cut its price target to $5 from $10, pointing to a shift from payment-in-kind to cash payments on preferred dividend obligations that UBS estimates will total roughly $162 million in cumulative cash payments through 2030. Steel Dynamics dropped 3.4% after guiding third-quarter 2026 earnings to $5.34 to $5.38 per diluted share, below the analyst consensus of $5.60. Frontline fell 6% as the tanker company went ex-dividend for a combined payout of $3.41 per share, made up of a regular second-quarter dividend of $2.61 and a special dividend of $0.80 funded by the sale of two very large crude carriers.
Mistras agrees to $866M all-cash buyout by H.I.G. Capital at $20.35 per share
Mistras Group has agreed to be acquired by investment firm H.I.G. Capital in an all-cash deal carrying an $866M enterprise value, including debt. Under the terms, Mistras shareholders will receive $20.35 per share in cash for each share of common stock they own, a premium of 8% to the company's 30-day volume-weighted average share price and 13% to its 90-day volume-weighted average share price. Once the transaction closes, Mistras shares will no longer be listed on the New York Stock Exchange. The stock gained 3.3% in pre-market trading Friday on the news.
TransDigm Defense Revenue Climbs 11% as Bookings Outpace Sales
TransDigm Group's defense revenues rose approximately 11% year over year in the third quarter of fiscal 2026, with year-to-date defense revenues up 10%, as healthy demand across the U.S. defense aerospace market lifted both original equipment manufacturing and aftermarket businesses. Aftermarket growth ran slightly ahead of OEM growth, reflecting continued demand for replacement parts and services across military aircraft. Defense bookings increased both year over year and sequentially in the quarter and exceeded sales, and management expects defense revenue growth to continue through fiscal 2026, with a strong backlog providing visibility into fiscal 2027. Shares of TransDigm have lost 9.7% over the past six months against a 13.5% decline for the industry, and the stock trades at a forward 12-month price-to-sales ratio of 5.25X versus an industry average of 7.23X. The Zacks Consensus Estimate for TransDigm's 2026 and 2027 earnings has moved higher over the past 60 days, and the stock carries a Zacks Rank #3 (Hold).
Bilfinger Cuts Guidance, Warns of 1,500 Job Cuts on Iran Conflict Uncertainty
German industrial services giant Bilfinger has cut its full-year guidance and warned it may eliminate 1,500 jobs, blaming uncertainty from the Iran conflict for the surprise downgrade. CEO Thomas Schulz told Bloomberg Brief that customers are postponing necessary turnarounds and technical maintenance work into next year, which pushes contribution margin and profit lower through what he called a lower leverage or slight under absorption. Schulz said the postponements come from a large number of bigger blue-chip customers, and that the work cannot be delayed indefinitely. He attributed the shortfall to three factors converging this year: a slower activity level after a longer-than-normal winter, the start of the Iran war at the end of February, and increased tension since last weekend. Schulz said the group does not see a structural shift and expects the impact to be temporary, adding that Germany's expected industrial pickup has stalled and the government must now execute reforms faster.
US Approves $24.3B F-35 Sale to Saudi Arabia; China Tariff Decision May Slip
The State Department approved a potential $24.3B sale of 48 Lockheed Martin F-35 Lightning II aircraft to Saudi Arabia, along with 49 Pratt & Whitney F135-PW-100 engines and related equipment, a deal that still requires congressional approval and would strengthen Saudi Arabia's air defense and interoperability with U.S. and allied forces. Separately, Bloomberg reported that the U.S. could postpone announcing new tariffs on China and other countries until after President Donald Trump meets Chinese President Xi Jinping next week; a previously planned trade report was expected to recommend a 7.5% tariff on Chinese goods, while the final rate could potentially exceed the 20% level agreed during earlier talks. Nvidia CEO Jensen Huang said the company expects to sell roughly twice as many chips next year as this year as demand for AI infrastructure expands. China's ChangXin Memory Technologies is preparing to enter the NAND flash-memory market, with Reuters reporting that CXMT plans an R&D production line at its new Beijing plant and has established a research institute in the city, broadening its focus beyond DRAM. OpenAI has hired Brian McCarthy from SpaceX as vice president of worldwide sales, Fortune reported; McCarthy joined SpaceX through its acquisition of Cursor, where he led global revenue and field operations, and previously held senior sales roles at Rubrik, ThoughtSpot, AppDynamics and Qlik.
Uber Ordered to Pay $40 Million in Wrongful Death Case
A retired California judge ordered Uber Technologies to pay US$40 million in a wrongful death case tied to its ride hailing service. The ruling puts the company back under legal scrutiny as its shares trade at US$70.87, down 5.08% over the past 30 days and 14.47% year to date, though the 5 year total shareholder return stands at 55.83%. The most followed narrative on Uber Technologies assigns a fair value of $116, implying the stock is 39% undervalued, based on an 8.38% discount rate and assumptions that Uber sustains its current platform strength while absorbing higher investment into autonomous partnerships. That narrative assumes forecast revenue growth of 11.8% a year and expected earnings growth of 11.5% a year, both slower than the broader US market, and notes declining profit margins in the latest year. The thesis could be knocked off course if autonomous partners capture a larger share of trip economics, or if legal liabilities escalate materially from here.
Generac Secures Amazon Backup Power Deal Worth $2.4 Billion
Generac Holdings has secured a major long-term supply agreement with Amazon to provide backup power generators for Amazon data centers, sending its shares up 18.3% to close at $207.23. In a regulatory filing, Generac disclosed that initial deliveries are expected to total $2.4 billion across 2027 and 2028, and it issued Amazon.com NV Investment Holdings LLC a warrant to acquire up to 1,693,745 shares of common stock at an exercise price of $200.9266 per share. Of the total warrant shares, 307,954 vested immediately, while the remainder will vest in tranches contingent on aggregate gross payments, net of certain offsets, received by Generac and its affiliates from Amazon and its affiliates for backup power generators, extending up to a total of $8 billion of qualifying payments. The agreement adds scale and visibility to a data center business that is emerging as Generac's key growth engine, after the company generated more than $100 million of data center revenues in the second quarter and reported a data center backlog of $1.6 billion as of July 2026, including roughly $1 billion of new orders in the prior 90 days. Management also raised its 2026 data center revenue expectation to roughly $450 million, and Generac is expected to post quarterly earnings of $2.40 per share on revenues of $1.32 billion in its upcoming report.
State Department Approves $24.3B F-35 Sale to Saudi Arabia
The State Department has approved a potential $24.3B sale of F-35 Lightning II stealth fighter jets built by Lockheed Martin to Saudi Arabia. Saudi Arabia requested 48 F-35 Lightning II Joint Strike Fighter aircraft, 49 Pratt & Whitney F135-PW-100 engines and other equipment. The proposed sale, which would require congressional approval, will strengthen Saudi Arabia's homeland defense and improve interoperability with U.S., regional and NATO forces, the State Department said, adding that it will not alter the military balance in the region or adversely impact U.S. defense readiness. The Saudi embassy in Washington said the proposed F-35 sale reflects the strength and enduring nature of the Saudi-U.S. strategic partnership and the continued advancement of defense cooperation. The approval follows other U.S. arms deals cleared with Saudi Arabia this year, including a $5B sale of bombs and guidance kits and a $1.96B sale of Advanced Precision Kill Weapon Systems.
Vinci Energies Wins Multi-Year Sweden Electricity Grid Contract
VINCI unit VINCI Energies has secured a multi-year contract to maintain a major electricity distribution network in Sweden. The agreement covers long term upkeep of critical grid assets and expands VINCI Energies' operational presence in the Nordic power infrastructure market. The contract includes extension options that could lengthen the partnership and increase VINCI Energies' role in Sweden's electricity distribution system. Vinci is a €62.6b construction group that combines concessions, energy services and large scale infrastructure projects, and the Swedish grid work plugs directly into its wider energy contracting activity across Europe rather than being a one off contract win. For investors, the deal reinforces the energy transition and recurring services catalyst in Vinci's narrative rather than its more cyclical transport concessions, which recently saw declines in VINCI Autoroutes intercity traffic and softer airport movements for the year to date in 2026.