- Here are the major earnings before the open Tuesday
May 11, 2026
Major earnings expected before the bell on Tuesday include:
* JD.com (JD [https://seekingalpha.com/symbol/JD])
* Sea Limited (SE [https://seekingalpha.com/symbol/SE])
* D-Wave Quantum (QBTS [https://seekingalpha.com/symbol/QBTS])
* Lithium Argentina AG (LAC [https://seekingalpha.com/symbol/LAC])
* Under Armour (UAA [https://seekingalpha.com/symbol/UAA])
Other earnings slated for release before Tuesday's open include:
* ACHV [https://seekingalpha.com/symbol/ACHV], AG [https://seekingalpha.com/symbol/AG], ALLT [https://seekingalpha.com/symbol/ALLT], AMTM [https://seekingalpha.com/symbol/AMTM], ARMK [https://seekingalpha.com/symbol/ARMK], ARVN [https://seekingalpha.com/symbol/ARVN], BAYZF [https://seekingalpha.com/symbol/BAYZF], BETA [https://seekingalpha.com/symbol/BETA], BIOX [https://seekingalpha.com/symbol/BIOX], BRSL [https://seekingalpha.com/symbol/BRSL], BWEN [https://seekingalpha.com/symbol/BWEN], CAMT [https://seekingalpha.com/symbol/CAMT], CWCO [https://seekingalpha.com/symbol/CWCO], DCO [https://seekingalpha.com/symbol/DCO], ETOR [https://seekingalpha.com/symbol/ETOR], FUJIY [https://seekingalpha.com/symbol/FUJIY], GHI [https://seekingalpha.com/symbol/GHI], HUYA [https://seekingalpha.com/symbol/HUYA], IMNN [https://seekingalpha.com/symbol/IMNN], KBCSY [https://seekingalpha.com/symbol/KBCSY], KOPN [https://seekingalpha.com/symbol/KOPN], KT [https://seekingalpha.com/symbol/KT], LAR [https://seekingalpha.com/symbol/LAR], LEGN [https://seekingalpha.com/symbol/LEGN], MURGY [https://seekingalpha.com/symbol/MURGY], NLST [https://seekingalpha.com/symbol/NLST], NUWE [https://seekingalpha.com/symbol/NUWE], OGI [https://seekingalpha.com/symbol/OGI], ONON [https://seekingalpha.com/symbol/ONON], Q [https://seekingalpha.com/symbol/Q], RDY [https://seekingalpha.com/symbol/RDY], SATL [https://seekingalpha.com/symbol/SATL], SFL [https://seekingalpha.com/symbol/SFL], SMEGF [https://seekingalpha.com/symbol/SMEGF], SNBR [https://seekingalpha.com/symbol/SNBR], TE [https://seekingalpha.com/symbol/TE], TIGO [https://seekingalpha.com/symbol/TIGO], TME [https://seekingalpha.com/symbol/TME], TONX [https://seekingalpha.com/symbol/TONX], UA [https://seekingalpha.com/symbol/UA], VERI [https://seekingalpha.com/symbol/VERI], VG [https://seekingalpha.com/symbol/VG], ZBRA [https://seekingalpha.com/symbol/ZBRA]
* For Seeking Alpha's full earnings season calendar, click here [https://seekingalpha.com/earnings/earnings-calendar].
- Amentum (AMTM) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates
May 11, 2026 · zacks.com
Although the revenue and EPS for Amentum (AMTM) give a sense of how its business performed in the quarter ended March 2026, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
- Amentum Holdings (AMTM) Tops Q2 Earnings and Revenue Estimates
May 11, 2026 · zacks.com
Amentum Holdings (AMTM) came out with quarterly earnings of $0.6 per share, beating the Zacks Consensus Estimate of $0.58 per share. This compares to earnings of $0.53 per share a year ago.
- Amentum Reports Second Quarter Fiscal Year 2026 Results and Reaffirms Full Year Guidance
May 11, 2026 · businesswire.com
CHANTILLY, Va.--(BUSINESS WIRE)---- $AMTM #Amentum--Amentum, an advanced engineering and technology company, announced results for the 2nd quarter FY26 and reaffirmed guidance for its fiscal year.
- AMENTUM REPORTS SECOND QUARTER FISCAL YEAR 2026 RESULTS AND REAFFIRMS FULL YEAR GUIDANCE
May 11, 2026
CHANTILLY, VA.--(BUSINESS WIRE)---- $AMTM #AMENTUM--AMENTUM, AN ADVANCED ENGINEERING AND TECHNOLOGY COMPANY, ANNOUNCED RESULTS FOR THE 2ND QUARTER FY26 AND REAFFIRMED GUIDANCE FOR ITS FISCAL YEAR.
- Stocks Finish Higher on Solid Earnings and a Resilient Labor Market
May 8, 2026
The S&P 500 Index ($SPX) (SPY) on Friday closed up +0.84%, the Dow Jones Industrial Average ($DOWI) (DIA) closed up +0.02%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed up +2.35%. June E-mini S&P futures (ESM26) rose +0.79%, and June E-mini Nasdaq futures (NQM26) rose +2.37%.
Stock indexes settled higher on Friday, with the S&P 500 and Nasdaq 100 posting new record highs. Chipmaker and AI-infrastructure stocks led the overall market higher on Friday, offsetting concerns about the Iran war. Stronger-than-expected corporate earnings are pushing stocks higher. Weakness in software stocks on Friday weighed on the Dow Jones Industrial Average.Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Stock indexes also found support today on signs of resiliency in the US labor market after April nonfarm payrolls rose more than expected and March nonfarm payrolls were revised upward. Stocks rallied on Friday despite a larger-than-expected decline in US consumer sentiment to a record low.
US Apr nonfarm payrolls rose by +115,000, stronger than expectations of +65,000, and Mar nonfarm payrolls were revised upward to +185,000 from the previously reported +178,000. The Apr unemployment rate was unchanged at 4.3%, right on expectations.
US Apr average hourly earnings rose +0.2% m/m and +3.6% y/y, weaker than expectations of +0.3% m/m and +3.8% y/y.
The University of Michigan’s US May consumer sentiment index fell -1.6 to a record low of 48.2 (data from 1978), weaker than expectations of 49.5.
The University of Michigan US May 1-year inflation expectations rate unexpectedly eased to +4.5% from +4.7% in Apr, weaker than expectations of an increase to 4.8%. The May 5-10 year inflation expectations rate unexpectedly eased to +3.4%, weaker than expectations of no change at +3.5%.
In the latest developments in the Middle East, Iran's semi-official Tasnim news agency said Iran seized an oil tanker on Friday in the Strait of Hormuz for "attempting to disrupt oil exports and the interests of the Iranian nation." Also, US forces targeted missile and drone launch sites and other military assets in Iran that were responsible for attacking three US Navy destroyers transiting the Strait of Hormuz. The US is awaiting a response from Iran on a proposed deal to reopen the strait, and President Trump has threatened intense strikes if Iran refuses the deal.
WTI crude oil prices (CLM26) moved higher on Friday amid a report that Iran seized an oil tanker in the Strait of Hormuz for “violations.” Crude also has support from a report that said the US is looking to restart military operations as soon as next week to guide commercial ships through the Strait of Hormuz with naval and air support. The strait remains essentially closed, as about a fifth of the world’s oil and liquefied natural gas transits through the strait. Goldman Sachs estimates that the current disruption has drawn down nearly 500 million bbl from global crude stockpiles, with the drawdown potentially reaching 1 billion bbl by June.
The markets are discounting a 6% chance of a -25 bp FOMC rate cut at the next FOMC meeting on June 16-17.
Earnings reports thus far in this reporting season have been supportive of stocks. As of Friday, 83% of the 446 S&P 500 companies that reported Q1 earnings have beaten estimates. Q1 S&P 500 earnings are projected to climb +12% y/y, according to Bloomberg Intelligence. Stripping out the technology sector, Q1 earnings are projected to increase around +3%, the weakest in two years.
Overseas stock markets settled lower on Friday. The Euro Stoxx 50 closed down -1.02%. China's Shanghai Composite fell from a 2-month high and closed unchanged. Japan's Nikkei Stock Average closed down by -0.19%.
Interest Rates
June 10-year T-notes (ZNM6) on Friday closed up +7.5 ticks. The 10-year T-note yield fell -2.1 bp to 4.365%. T-notes moved higher on Friday amid an increase in safe-haven demand after Iran seized an oil tanker in the Strait of Hormuz and US forces attacked missile and drone launch sites in Iran that were responsible for attacking three US Navy destroyers transiting the Strait of Hormuz. T-notes added to their gains on Friday after US consumer sentiment fell more than expected to a record low, and inflation expectations eased.
Friday’s US unemployment report was mixed for T-notes. Weaker-than-expected April hourly earnings suggested slack wage pressures and were supportive of T-notes. However, gains in T-notes were limited after April nonfarm payrolls rose more than expected.
European government bond yields are lower today. The 10-year German Bund yield rose +0.2 bp to 3.005%. The 10-year UK gilt yield fell to a 2-week low of 4.864% and finished down -3.6 bp to 4.912%.
German Mar industrial production unexpectedly fell by -0.7% m/m, weaker than expectations of a +0.4% m/m increase.
German trade news was better than expected, with Mar exports rising +0.5% m/m versus expectations of -1.5% m/m. Also, Mar imports rose +5.1% m/m, stronger than expectations of +0.5% m/m and the biggest increase in 2.75 years.
ECB Vice President Luis de Guindos said the most important determinant for interest rates at the ECB's June meeting will be "whether Hormuz is reopened or not."
ECB Executive Board member Isabel Schnabel said, "If the energy-price shock broadens, monetary policy will need to tighten to contain the risk of second-round effects threatening medium-term price stability."
ECB Governing Council member and Bundesbank President Joachim Nagel said the ECB is "highly vigilant" about rising inflation risks from the Iran war and will act as needed to prevent higher energy costs from spilling over into broader prices.
Swaps are discounting a 79% chance of a +25 bp ECB rate hike at its next policy meeting on June 11.
US Stock Movers
Chipmakers and AI-infrastructure stocks moved higher on Friday to lift the overall market. Sandisk (SNDK) closed up more than +15% to lead gainers in the Nasdaq 100, and Micron Technology (MU) closed up more than +14%. Also, Intel (INTC) closed up more than +13%, and Advanced Micro Devices (AMD) closed up more than +10%. In addition, Qualcomm (QCOM) closed up more than +8%, and Applied Materials (AMAT), KLA Corp (KLAC), and Marvell Technology (MRVL) closed up more than +5%. Finally, ASML Holding NV (ASML) closed up more than +4%, and Lam Research (LRCX), Broadcom (AVGO), and Western Digital (WDC) closed up more than +2%.
Mining stocks moved higher on Friday as gold, silver, and copper prices rallied. Anglogold Ashanti (AU) closed up more than +7%, and Southern Copper (SCCO) and Barrick Mining (B) closed up more than +3%. Also, Coeur Mining (CDE), Hecla Mining (HL), and Newmont Corp (NEM) closed up more than +2%, and Freeport McMoRan (FCX) closed up more than +1%.
Software stocks were on the defensive on Friday, limiting gains in the broader market. Salesforce (CRM), Autodesk (ADSK), Workday (WDAY), ServiceNow (NOW), and Intuit (INTU) closed down more than -2%. Also, Adobe (ADBE) and Microsoft (MSFT) closed down more than -1%.
Fluence Energy (FLNC) closed up more than +27% after Roth Capital Partners upgraded the stock to buy from neutral with a price target of $26.
Akamai Technologies (AKAM) closed up more than +26% to lead gainers in the S&P 500 after raising its full-year revenue forecast to $4.45 billion to $4.55 billion, the midpoint above the consensus of $4.47 billion, and announcing that an AI model provider had committed $1.8 billion over seven years for its Cloud Infrastructure Services.
Monster Beverage (MNST) closed up more than +13% after reporting Q1 net sales of $2.35 billion, better than the consensus of $2.15 billion.
Corpay (CPAY) closed up more than +12% after reporting Q1 revenue of $1.26 billion, above the consensus of $1.21 billion, and raising its full-year revenue estimate to $5.25 billion to $5.33 billion from a previous estimate of %5.22 billion to $5.32 billion.
Iren Ltd (IREN) closed up more than +8% after announcing that it signed a five-year $3.4 billion AI Cloud contract with Nvidia.
Block (XYZ) closed up more than +7% after reporting a Q1 adjusted EPS of 85 cents, stronger than the consensus of 67 cents, and raising its full-year profit forecast to $12.33 billion from a previous estimate of $12.20 billion, above the consensus of $12.15 billion.
Wendy’s (WEN) closed up more than +5% after reporting Q1 revenue of $540.6 million, stronger than the consensus of $517.7.
Cloudflare (NET) closed down more than -23% after it forecast Q2 revenue of $664 million to $665 million, below the consensus of $666.1 million.
HubSpot (HUBS) closed down more than -18% after forecasting Q2 revenue of $897 million to $898 million, weaker than the consensus of $899.4 million.
Mettler-Toledo International (MTD) closed down more than -14% to lead losers in the S&P 500 after forecasting Q2 adjusted EPS of $10.70 to $10.84, below the consensus of $10.94.
MercadoLibre (MELI) closed down more than -12% to lead losers in the Nasdaq 100 after reporting Q1 EPS of $8.23, weaker than the consensus of $8.51.
CoreWeave (CRWV) closed down more than -11% after reporting a Q1 loss per share of -$1.40, wider than the consensus of -$1.20 pe share.
Expedia Group (EXPE) closed down more than -9% after forecasting Q2 gross bookings of $32.5 billion to $33.1 billion, the midpoint below the consensus of $33.0 billion.
Fidelity National Information (FIS) closed down more than -7% after forecasting Q2 adjusted EPS of $1.45 to $1.49, the midpoint below the consensus of $1.49.
Earnings Reports(5/11/2026)
AECOM (ACM), Amentum Holdings Inc (AMTM), AST SpaceMobile Inc (ASTS), Certara Inc (CERT), Circle Internet Group Inc (CRCL), Constellation Energy Corp (CEG), Figure Technology Solutions Inc (FIGR), Fox Corp (FOXA), Halozyme Therapeutics Inc (HALO), Mosaic Co/The (MOS), Ovintiv Inc (OVV), Simon Property Group Inc (SPG), STERIS PLC (STE), ZoomInfo Technologies Inc (GTM).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
- M-tron Industries, Inc. (MPTI) Q1 Earnings and Revenues Top Estimates
May 8, 2026
M-tron Industries, Inc. (MPTI) came out with quarterly earnings of $0.67 per share, beating the Zacks Consensus Estimate of $0.61 per share. This compares to earnings of $0.56 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +9.84%. A quarter ago, it was expected that this company would post earnings of $0.64 per share when it actually produced earnings of $0.99, delivering a surprise of +54.69%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
M-tron Industries, Inc., which belongs to the Zacks Engineering - R and D Services industry, posted revenues of $14.69 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 1.99%. This compares to year-ago revenues of $12.73 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
M-tron Industries, Inc. shares have added about 37.6% since the beginning of the year versus the S&P 500's gain of 7.6%.
What's Next for M-tron Industries, Inc.?
While M-tron Industries, Inc. has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for M-tron Industries, Inc. was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #5 (Strong Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Story Continues
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.46 on $14.6 million in revenues for the coming quarter and $2.18 on $58.8 million in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Engineering - R and D Services is currently in the bottom 39% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Amentum Holdings (AMTM), has yet to report results for the quarter ended March 2026. The results are expected to be released on May 12.
This government services company is expected to post quarterly earnings of $0.58 per share in its upcoming report, which represents a year-over-year change of +9.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Amentum Holdings' revenues are expected to be $3.48 billion, down 0.4% from the year-ago quarter.
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- Matrix Service (MTRX) Tops Q3 Earnings Estimates
May 6, 2026
Matrix Service (MTRX) came out with quarterly earnings of $0.13 per share, beating the Zacks Consensus Estimate of $0.07 per share. This compares to a loss of $0.12 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +100.00%. A quarter ago, it was expected that this energy services company would post earnings of $0.04 per share when it actually produced a loss of $0.02, delivering a surprise of -150%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Matrix Service, which belongs to the Zacks Engineering - R and D Services industry, posted revenues of $206.71 million for the quarter ended March 2026, missing the Zacks Consensus Estimate by 10.71%. This compares to year-ago revenues of $200.16 million. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Matrix Service shares have added about 19.1% since the beginning of the year versus the S&P 500's gain of 6%.
What's Next for Matrix Service?
While Matrix Service has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Matrix Service was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.18 on $249.28 million in revenues for the coming quarter and $0.18 on $903.18 million in revenues for the current fiscal year.
Story Continues
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Engineering - R and D Services is currently in the bottom 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Amentum Holdings (AMTM), is yet to report results for the quarter ended March 2026. The results are expected to be released on May 12.
This government services company is expected to post quarterly earnings of $0.58 per share in its upcoming report, which represents a year-over-year change of +9.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Amentum Holdings' revenues are expected to be $3.48 billion, down 0.4% from the year-ago quarter.
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- Kadant (KAI) Tops Q1 Earnings and Revenue Estimates
May 6, 2026
Kadant (KAI) came out with quarterly earnings of $2.84 per share, beating the Zacks Consensus Estimate of $2.35 per share. This compares to earnings of $2.1 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +20.72%. A quarter ago, it was expected that this equipment supplier for the papermaking and paper recycling industries would post earnings of $2.19 per share when it actually produced earnings of $2.27, delivering a surprise of +3.65%.
Over the last four quarters, the company has surpassed consensus EPS estimates four times.
Kadant, which belongs to the Zacks Engineering - R and D Services industry, posted revenues of $281.51 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 2.73%. This compares to year-ago revenues of $239.21 million. The company has topped consensus revenue estimates four times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Kadant shares have added about 0.5% since the beginning of the year versus the S&P 500's gain of 5.2%.
What's Next for Kadant?
While Kadant has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Kadant was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $3.22 on $294.6 million in revenues for the coming quarter and $12.63 on $1.18 billion in revenues for the current fiscal year.
Story Continues
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Engineering - R and D Services is currently in the bottom 40% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Another stock from the same industry, Amentum Holdings (AMTM), has yet to report results for the quarter ended March 2026. The results are expected to be released on May 12.
This government services company is expected to post quarterly earnings of $0.58 per share in its upcoming report, which represents a year-over-year change of +9.4%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Amentum Holdings' revenues are expected to be $3.48 billion, down 0.4% from the year-ago quarter.
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- 3 Cash-Producing Stocks We Steer Clear Of
May 2, 2026
Generating cash is essential for any business, but not all cash-rich companies are great investments. Some produce plenty of cash but fail to allocate it effectively, leading to missed opportunities.
Cash flow is valuable, but it’s not everything - StockStory helps you identify the companies that truly put it to work. That said, here are three cash-producing companies to avoid and some better opportunities instead.
Workday (WDAY)
Trailing 12-Month Free Cash Flow Margin: 29.1%
Born from the vision of PeopleSoft founders after Oracle's hostile takeover of their previous company, Workday (NASDAQ:WDAY) provides cloud-based software for financial management, human resources, planning, and analytics to help organizations manage their business operations.
Why Do We Think Twice About WDAY?
Customers were hesitant to make long-term commitments to its software as its 12.5% average ARR growth over the last year was sluggish Estimated sales growth of 11.5% for the next 12 months implies demand will slow from its two-year trend Operating margin improvement of 2.6 percentage points over the last year demonstrates its ability to scale efficiently
Workday is trading at $125.81 per share, or 3x forward price-to-sales. If you’re considering WDAY for your portfolio, see our FREE research report to learn more.
Alight (ALIT)
Trailing 12-Month Free Cash Flow Margin: 11.1%
Born from a corporate spinoff in 2017 to focus on employee experience technology, Alight (NYSE:ALIT) provides human capital management solutions that help companies administer employee benefits, payroll, and workforce management systems.
Why Do We Avoid ALIT?
Sales tumbled by 3.7% annually over the last five years, showing market trends are working against its favor during this cycle Performance over the past two years was negatively impacted by new share issuances as its earnings per share dropped by 16.1% annually, worse than its revenue Shrinking returns on capital from an already weak position reveal that neither previous nor ongoing investments are yielding the desired results
At $0.82 per share, Alight trades at 2.4x forward P/E. Dive into our free research report to see why there are better opportunities than ALIT.
Amentum (AMTM)
Trailing 12-Month Free Cash Flow Margin: 1.9%
With operations spanning approximately 80 countries and a workforce of specialized engineers and technical experts, Amentum Holdings (NYSE:AMTM) provides advanced engineering and technology solutions to U.S. government agencies, allied governments, and commercial enterprises across defense, energy, and space sectors.
Story Continues
Why Are We Cautious About AMTM?
Scale is a double-edged sword because it limits the company’s growth potential compared to its smaller competitors, as reflected in its below-average annual revenue increases of 2.6% for the last two years Demand is forecasted to shrink as its estimated sales for the next 12 months are flat Performance over the past three years shows its incremental sales were much less profitable, as its earnings per share fell by 41.3% annually
Amentum’s stock price of $26.22 implies a valuation ratio of 10.3x forward P/E. Read our free research report to see why you should think twice about including AMTM in your portfolio, it’s free.
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