- Is It Time To Reassess RELX (LSE:REL) After Its Recent Share Price Slide?
May 10, 2026
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If you are wondering whether RELX at around £24.60 is offering good value or not, the starting point is understanding how that price lines up with the fundamentals. The stock has had a mixed run, with a 7 day return of an 8.8% decline, a 30 day return of a 3.2% decline, a year to date return of a 17.5% decline, but a 46.5% gain over 5 years. Recent coverage has focused on RELX as a global information and analytics provider, with attention on how its data and analytics products are used across legal, scientific, technical and risk management markets. Commentary has also highlighted how investor expectations around these products can influence sentiment on the stock price, especially when markets reassess growth and risk. Right now, RELX holds a valuation score of 3 out of 6, which means half of the checks used suggest it may be undervalued and half do not. The next sections will break down the different valuation methods, with an even more complete way to think about value saved for the end of the article.
Find out why RELX's -37.5% return over the last year is lagging behind its peers.
Approach 1: RELX Discounted Cash Flow (DCF) Analysis
A Discounted Cash Flow, or DCF, model takes the cash that a company is expected to generate in the future and discounts those amounts back into today’s money to estimate what the business could be worth now.
For RELX, the latest twelve month free cash flow is about £2.33b. Analysts provide explicit forecasts for several years, and Simply Wall St then extends those estimates out to a 10 year path using a 2 Stage Free Cash Flow to Equity model. By 2028, projected free cash flow is £3.16b, with further projections beyond that based on the earlier analyst inputs.
When all those future cash flows are discounted back and combined, the DCF model suggests an intrinsic value of about £40.00 per share. Compared with the current share price around £24.60, this implies an intrinsic discount of 38.5%, which points to the stock trading below this model’s estimate of fair value.
Result: UNDERVALUED
Our Discounted Cash Flow (DCF) analysis suggests RELX is undervalued by 38.5%. Track this in your watchlist or portfolio, or discover 8 more high quality undervalued stocks.REL Discounted Cash Flow as at May 2026
Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for RELX.
Approach 2: RELX Price vs Earnings (P/E)
For profitable companies like RELX, the P/E ratio is a useful shortcut because it links what you pay for each share with the earnings that support that price. It helps you see how much the market is willing to pay today for each £1 of current earnings.
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What counts as a “normal” P/E depends a lot on growth expectations and risk. Higher expected earnings growth or lower perceived risk can justify a higher P/E, while slower growth or higher risk usually lines up with a lower P/E.
RELX currently trades on a P/E of 21.15x, compared with about 17.90x for the wider Professional Services industry and 19.00x for its peer group. Simply Wall St also provides a proprietary “Fair Ratio” of 32.45x, which is the P/E that might be expected given factors such as RELX’s earnings profile, its industry, profit margins, market cap and identified risks.
This Fair Ratio aims to be more tailored than a simple comparison with peers or the industry because it adjusts for those company specific drivers rather than treating all companies as similar. When set against the actual P/E of 21.15x, the higher Fair Ratio of 32.45x suggests RELX shares are trading below that customised benchmark.
Result: UNDERVALUEDLSE:REL P/E Ratio as at May 2026
P/E ratios tell one story, but what if the real opportunity lies elsewhere? Start investing in legacies, not executives. Discover our 5 top founder-led companies.
Upgrade Your Decision Making: Choose your RELX Narrative
Earlier it was mentioned that there is an even better way to understand valuation. Narratives take the story you believe about RELX, link it to specific forecasts for revenue, earnings and margins, turn that into a Fair Value, then compare it with the current price. All of this happens inside an accessible tool on Simply Wall St's Community page that updates as new data like earnings or news arrives. This is why one investor on the platform currently sees RELX as worth around £22.13 per share, while another, using a more optimistic story and set of assumptions, arrives at a Fair Value closer to £52.33.
For RELX, we will make it really easy for you with previews of two leading RELX Narratives:
Together these give you a clear view of how different investors are connecting the same set of facts to very different conclusions on value, growth and risk.
🐂 RELX Bull Case
Fair value from this narrative: £36.18 per share.
Implied discount to this fair value: about 32.0% relative to the £24.60 last close.
Revenue growth assumption: 6.41% a year.
Analysts in this camp focus on AI powered analytics and digital subscriptions as key drivers supporting revenue, margins and earnings over time. The narrative leans on strong cash generation, a solid balance sheet and ongoing buybacks and acquisitions as support for long term earnings per share growth. Risks highlighted include open access pressure in academic publishing, competition from new AI tools and potential pushback on subscription pricing and contract renewals.
🐻 RELX Bear Case
Fair value from this narrative: £22.13 per share.
Implied premium to this fair value: about 11.2% relative to the £24.60 last close.
Revenue growth assumption: 6.25% a year.
This narrative sees RELX as a powerful data provider but questions whether the current share price already bakes in a lot of optimism about its data advantages. It argues that while proprietary datasets and legal protections matter, rapid advances in AI tools could still pressure pricing and customer loyalty over time. The key watchpoint for investors here is whether new AI offerings can deliver outcomes that are good enough for clients to reconsider paying a premium for RELX data access and tools.
If you want to go beyond these snapshots and see the full range of community views, including how other investors are weighing the same risks and rewards, head over to the RELX Community Narratives page and read the stories that sit behind the numbers.
To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for RELX on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.
Do you think there's more to the story for RELX? Head over to our Community to see what others are saying!LSE:REL 1-Year Stock Price Chart
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include REL.L.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- How The RELX (LSE:REL) Story Is Shifting With AI Jitters And Valuation Tension
May 9, 2026
Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge.
The latest analyst update on RELX centres on a trimmed fair value estimate of £36.18, down slightly from £36.42, alongside a raised price target to US$47.20. This shift reflects how different analysts are interpreting the same Q4 earnings and guidance, with bullish views pointing to earnings resilience and cautious views highlighting what may already be priced in. As you read on, you will see how these competing narratives are taking shape and what to watch to stay on top of the story.
Stay updated as the Fair Value for RELX shifts by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on RELX.
What Wall Street Has Been Saying
🐂 Bullish Takeaways
BofA lifted its price target on RELX to US$47.20 from US$46, signaling confidence that the stock can justify a slightly higher valuation than before. BofA highlights Q4 earnings as resilient despite investor worries about AI risk, pointing to what it sees as stable fundamentals and guidance. The BofA commentary suggests that, in its view, AI related concerns have had little or no clear impact on reported results so far, which some investors may read as support for the existing business model.
🐻 Bearish Takeaways
Morgan Stanley has moved to a downgrade on RELX, which indicates a more cautious stance on the risk or reward trade off at current levels. The downgrade can be read as a signal that, for some analysts, execution and growth expectations may already be reflected in the share price, leaving less room for upside if conditions do not improve meaningfully.
Do your thoughts align with the Bull or Bear Analysts? Perhaps you think there's more to the story. Head to the Simply Wall St Community to discover more perspectives!LSE:REL 1-Year Stock Price Chart
We've flagged 2 risks for RELX. See which could impact your investment.
What's in the News
RELX started a new share repurchase program on April 23, 2026, authorizing buybacks of up to 182,800,000 shares, or 10.07% of issued share capital. Purchases will either be cancelled or held as treasury shares until the earlier of the 2027 AGM or July 23, 2027. Between July 1, 2025 and February 11, 2026, RELX repurchased 15,900,000 shares for £750m, completing a total buyback of 29,767,742 shares, or 1.63% of share capital, for £1,300m under the program announced on April 24, 2025. RELX issued 2026 earnings guidance indicating an expectation of strong underlying revenue growth, providing a reference point for how management views the business. The company proposed a final 2025 dividend of 48.0p per ordinary share, taking the total to 67.5p for the year, with an expected funding cost of £873m. This is subject to approval at the 2026 AGM and is scheduled for payment on June 18, 2026.
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How This Changes the Fair Value For RELX
Fair value trimmed to £36.18 from £36.42, reflecting small adjustments in key modelling inputs. Revenue growth assumption revised to 6.41% from 6.48%. Net profit margin assumption adjusted to 23.37% from 23.32%. Future P/E multiple set at 30.05x, down slightly from 30.25x. Discount rate moved marginally to 7.98% from 8.00%.
Never Miss an Update: Follow The Narrative
Narratives link a company’s business story to a financial forecast and fair value, so you can see how product, industry, and risk trends connect to the numbers on your screen. They refresh as new data and news arrive, keeping the thesis current.
Head over to the Simply Wall St Community and follow the Narrative on RELX to stay up to date on:
How RELX’s shift toward AI powered analytics and high value digital subscriptions is feeding into recurring revenue and margin assumptions. Why strong cash generation, buybacks, and bolt on acquisitions in data and risk analytics feature heavily in the current earnings story. Key threats such as open access publishing, subscription renegotiation risk, and new AI competitors that could pressure margins and revenue predictability.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include REL.L.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- FTSE 100 tumbles as Iran peace deal hopes rise
May 7, 2026
James Manning/PA Wire
The FTSE 100 has tumbled after hopes of a peace deal in the Middle East hit shares in oil and defence companies.
London’s premier stock index fell 1.5pc on Thursday, more than other markets across Europe and in the US.
Defence majors BAE Systems and Babcock International sank by 5pc and 2.2pc respectively following reports that the US and Iran were close to reaching a peace deal.
Shares in BP were down by 2.6pc while Shell dropped by 2.9pc after oil prices fell below $100 a barrel on hopes that the Strait of Hormuz could be re-opened. Doing so would unlock a fifth of the world’s oil and gas supplies.
Traders also slashed their bets on the number of interest rate hikes the Bank of England would make this year, from three to two. As a result, HSBC fell by 1.6pc while Barclays was down by 1.7pc as investors reasoned the banks stood to make less from interest charges.
The biggest faller on the FTSE 100 was unconnected to the war in Iran, however. Relx fell by 6.2pc after it received an analyst downgrade from Morgan Staley, which warned that the information and analytics company could face increased competition from legal AI startups.
Centrica, the owner of British Gas, also tumbled more than 5pc after it said profit from its retail division would be towards the lower end of its forecasts as bad debts jump.
The single bright spot for London’s premier index was a rise in the price of gold, which jumped to a two-week high above $4,700 an ounce. This prompted miners Fresnillo and Endeavour Mining to rise by 5.8pc and 5.1pc respectively on the FTSE 100.
Read the latest updates below.
05:21pm
Signing off ...
Thanks for following our coverage of the impacts of the war in Iran on markets worldwide.
As ever, we will keep you up to speed with all the latest here.
05:21pm
FTSE 100 falls as Iran peace deal hopes rise
The FTSE 100 has tumbled after hopes of a peace deal in the Middle East hit shares in oil and defence companies.
London’s premier stock index fell 1.5pc on Thursday, more than other markets across Europe and in the US.
Defence majors BAE Systems and Babcock International sank by 5pc and 2.2pc respectively following reports that the US and Iran were close to reaching a peace deal.
Shares in BP were down by 2.6pc while Shell dropped by 2.9pc after oil prices fell below $100 a barrel on hopes that the Strait of Hormuz could be re-opened. Doing so would unlock a fifth of the world’s oil and gas supplies.
Traders also slashed their bets on the number of interest rate hikes the Bank of England would make this year, from three to two. As a result, HSBC fell by 1.6pc while Barclays was down by 1.7pc as investors reasoned the banks stood to make less from interest charges.
The biggest faller on the FTSE 100 was unconnected to the war in Iran, however. Relx fell by 6.2pc after it received an analyst downgrade from Morgan Staley, which warned that the information and analytics company could face increased competition from legal AI startups.
Centrica, the owner of British Gas, also tumbled more than 5pc after it said profit from its retail division would be towards the lower end of its forecasts as bad debts jump.
The single bright spot for London’s premier index was a rise in the price of gold, which jumped to a two-week high above $4,700 an ounce. This prompted miners Fresnillo and Endeavour Mining to rise by 5.8pc and 5.1pc respectively on the FTSE 100.
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03:22pm
Borrowing costs fall in anticipation of US-Iran breakthrough
The cost of government borrowing has fallen for a second day over hopes the US and Iran will soon announce an agreement to bring an end to the Middle East conflict.
Stocks and bonds have rallied across the globe as traders bet that the Strait of Hormuz will reopen soon, which would unleash global shipping and send oil and gas prices falling.
The yield on 10-year gilts, a benchmark for the cost of UK government borrowing, has declined from 4.94pc to 4.91pc today.
Longer-term 30-year gilt yields have dropped to 5.6pc after hitting a 28-year high of 5.78pc on Tuesday.
The declines in UK debt costs come as traders wait to see the result of local elections being held today.
03:00pm
Stocks to rally if Hormuz reopens
The US stock market will surge later this year if the Strait of Hormuz fully reopens soon, economists have said.
The benchmark S&P 500 will surpass 8,000 for the first time this year, a jump of another 8pc despite its recent AI-fuelled rally, according to Capital Economics.
The consultancy raised its target for the index from 7,500 following the recent strong results from tech companies around the world, which has seen the S&P 500 rise by more than 16pc since the end of March.
Chief economic adviser John Higgins said: “We doubt the latest AI-fuelled rally in the stock market will unwind anytime soon if the demand for AI inference continues to grow, even if the re-opening of the Strait eased constraints on the supply of semiconductors by, for example, improving the availability of Gulf-sourced helium used to make them.
“Meanwhile, the re-opening of the Strait would probably create the conditions for a rally in most non-tech sectors besides energy.”
However, he warned: “Nonetheless, that wouldn’t necessarily mean abandoning our long-held view that there will be a significant correction in the S&P 500 next year as the hype around AI eventually subsides.”
02:36pm
Optimism sweeps Wall Street
US stocks jumped at the start of trading amid hopes the US and Iran were edging towards an agreement on ending the Middle East war.
The Dow Jones Industrial Average rose 0.2pc to 49,983.20 while the S&P 500 climbed 0.1pc to 7,369.82.
The tech-heavy Nasdaq Composite, which has been boosted by a strong series of company results, was up 0.2pc to 25,888.36.
02:10pm
Oil prices plunge over hopes for deal
The price of oil dropped to its lowest level in more than a fortnight as hopes grow that the US and Iran are nearing a deal to end the Middle East conflict.
Brent crude, the international benchmark, has dropped by 5pc to $96 a barrel, its lowest since April 21.
US-produced West Texas Intermediate was down as much as 5.5pc to less than $90.
Francisco Simon of Santander Asset Management said: “Even though there is not yet a final peace agreement, markets are clearly pricing in a meaningful step forward toward a resolution.”
01:51pm
Emirates shielded from jet fuel surge for three years
Emirates has hedged its exposure to higher jet fuel prices for the next three years, its boss has said, as the Iran war drivers up prices for airlines.
Sheikh Ahmed bin Saeed Al Maktoum said the carrier has secured enough supply to meet current and future needs at it revealed a record annual profit.
He said: “From a fuel perspective, Emirates is well-hedged until 2028-29; and we have worked with our suppliers to secure the volumes required to support our current operations and our scaling up to predisruption levels.”
Airlines have been hit by higher fuel prices due to Iran’s blocking of the Strait of Hormuz, through which 20pc of the world’s oil normally passes.
Some airlines including Air France KLM, SAS and Lufthansa have responded by dropping flights from their summer schedules.
01:28pm
US investigating $2.6bn of suspicious oil trades linked to Iran war
Around $2.6bn of oil trades are reportedly being investigated by the US Department of Justice after being placed shortly before major announcements linked to the Iran war.
At least four trades are being examined by American authorities, according to ABC News, which said the London Stock Exchange Group had provided data about the positions.
Earlier this month, the White House warned staff not to use insider information to trade stocks or make bets after a flurry of suspiciously timed wagers on world events.
The traders under investigation reportedly include more than $500m that was bet on a drop in oil prices just 15 minutes before Donald Trump announced that he would delay threatened attacks on Iran’s power grid on March 23.On April 7, hours ahead of a temporary ceasefire was announced by the US president, traders bet $960m that oil prices would fall.
Ten days later, traders bet $760m on a drop in oil prices just 20 minutes before Iran’s foreign minister Abbas Araghchi posted on social media saying that the Strait of Hormuz was open.
US authorities are also investigating $430m of trades made on April 21, just 15 minutes before Mr Trump announced he would extend a ceasefire with Iran.
The US Department of Justice and Commodity Futures Trading Commission, which is also understood to be investigating, have been contacted for comment.
12:51pm
Pound rises over hopes for US-Iran deal
The pound has risen amid hopes that the US-Iran war is nearing its end.
Sterling was up 0.2pc against the dollar to $1.362, as traders shifted into riskier assets than the US currency, which is considered a safe haven in times of turmoil.
However, the pound was little changed against the euro at €1.157 as voters go to the polls in local elections that could spark a leadership challenge against Sir Keir Starmer.
The Prime Minister is expected to come under pressure if Labour performs poorly, as opinion polls suggest.
Bond investors are worried Sir Keir will shift ​policy to the Left or be replaced by a more Left-wing leader who could push for more spending.
In recent years, sell-offs in British government bonds, particularly longer-dated debt, have also sent the pound lower.
Nick Rees of Monex Europe ⁠said: “No one wanted to be the leader who would wear (the local election loss). That risk is out of the way tomorrow, so regardless of what happens, Starmer’s more vulnerable.
“Markets haven’t priced that in but ​they will at some point.”
12:12pm
US stocks on track to open higher
Wall Street hovered near record highs in premarket trading as hopes of a US-Iran peace deal pushed down oil prices.
The S&P 500, Dow Jones Industrial Average and Nasdaq 100 all edged higher before the opening bell amid signs that a deal could lead to the reopening of the Strait of Hormuz.
Brent crude, the international benchmark, was last down 2.1pc at around $99 a barrel as the US and Iran edge closer to a limited agreement to halt the war.
As a result, traders have gently increased bets that the US Federal Reserve could cut interest rates after all by the end of the year.
US markets have also been pushed up by a relentless rally in technology and AI companies after a string of strong results and upbeat economic data.
Private payrolls rose by 109,000 jobs in April, their largest increase in 15 months, data on Wednesday showed.
11:48am
Maersk suffers £350m fuel blow from Iran war
Shipping giant Maersk warned the Iran ​war had pushed up its fuel costs by nearly £350m a month and that the energy crisis would persist even if a peace deal was reached.
Shares were down 6.5pc despite it beating first-quarter profit forecasts amid worries that high fuel prices could hit future earnings.
Maersk chief executive Vincent Clerc said the war had added roughly 3 billion Danish krone (£346m) to the company’s monthly costs as bunker fuel prices surged from around $600 to just under $1,000 per metric ton.
Mr Clerc said Maersk had so far managed to recover those costs in full through contract renegotiations and spot rate increases, but cautioned that the energy crisis showed no sign of fading.
He said: “The energy crisis does not go away the day peace comes.
“Oil ⁠companies I speak to expect it to last at minimum several more months, possibly many more months.”
Maersk, which is viewed as a bellwether for global trade, still projects global container volume growth of between 2pc and 4pc this year but said the situation remained volatile.
The Iran war has disrupted shipping routes after Iran closed the Strait ​of Hormuz to commercial traffic. ⁠The company has six ships trapped in the Gulf, a spokesman said.Maersk said the Iran war has driven up its fuel costs by nearly £350m a month - MARTIN BERNETTI / AFP via Getty Images
11:27am
Barclays AGM disrupted by pro-Palestine protesters
Pro-Palestinian and climate protesters have interrupted the opening minutes of Barclays’ annual general meeting in Westminster.
The disruption broke out as chairman Nigel Higgins delivered his opening remarks.
Several protesters stood up holding Palestinian flags and shouting “Free free Palestine”, “Everyone here is profiting from genocide” and “Barclays bank, you can’t hide, you’re supporting genocide”.
Mr Higgins responded that the board had “heard your point” and would take questions on the topic during a later Q&A section.
Security staff escorted, and in some cases carried, the protesters out of the meeting room as they continued shouting.
A few minutes later, climate protesters rose from their seats at the AGM and started singing: “Stop, in the name of love, before you break this Earth.”
One shouted: “This bank is financing the climate and nature crisis that we have to stop. Softly-softly, slowly-slowly is not good enough. You are endangering life on Earth.”
11:04am
Petrol prices hit two-week high
Fuel prices have ticked up again after the spike in prices last week that took oil to its highest level in four-years.
The average price of unleaded has risen by 0.1p today to 157.56p, its steepest price since April 20, according to the RAC.
It leaves the price of petrol 24.7p higher than it was before the start of the war in the Middle East.
Oil prices rose to more than $126 a barrel last week, the highest since 2022, but have since fallen back to $98 today amid hopes for a US-Iran peace agreement.
The average for a litre of diesel has edged down to 188.07p, although it is still up 45.7p compared to the end of February.
10:47am
‘Filling up is like a hostile takeover of my savings account’
Shell’s profits during the Iran war have left them open to punitive taxes from the Government, Telegraph readers have warned.
Many were also sceptical of the prospects of a US-Iran peace deal and worry whether recent rises in markets are sustainable.
Here is a selection of views from the comments section below, and you can join the debate here.
10:22am
War pushes construction activity to five-month low
Construction activity fell to its lowest level in five months as uncertainty from the conflict in the Middle East weighed on the sector.
The S&P Global Construction PMI declined to 39.7 in April, down from a reading of 45.6 a month earlier. A reading below 50 indicates a contraction in the sector.
Aside from the rapid rise in prices during the pandemic, cost inflation for builders rose at its fastest pace over 30 years as the price of raw materials and fuel rose sharply.
Input prices in April climbed to the highest level since June 2022.
Tim Moore, the economics director at S&P Global, said: “A rapid acceleration of input cost inflation was seen across the UK construction sector in April.
“Around two-thirds of the survey panel reported higher cost burdens in April, which was overwhelmingly linked to fuel surcharges and subsequent rises in raw material prices.”
Builders warned that uncertainty over the impact of the Iran war on prices and supply chains is putting pressure on the industry. The sector is also grappling with the impact of higher borrowing costs.
10:14am
Stocks fall in ‘bumpy’ path to peace deal
The FTSE 100 has fallen as the fate of the critical Strait ​of Hormuz remains unresolved.
The UK’s flagship stock index was down 0.7pc, with the pan-Europe Stoxx 600 down 0.2pc despite signs that the US and Iran are closer than ever to a peace deal.
The Cac 40 in France was flat and the Dax in Frankfurt fell 0.1pc.
Michael Brown of Pepperstone said: “To be clear, the conflict is not over, and it could well prove to be the case that no deal comes to fruition.
“Still, not only does there seem little-to-no desire on either side to re-escalate in terms of kinetic action, but one should also expect that the path to peace is going to be a bumpy one.”
UK and European stocks had leapt on Wednesday, with Japan’s shares hitting record highs earlier today, as Washington presented Iran with a one-page document setting out terms for ending the conflict.
Lombard Odier chief economist Samy Chaar said that while the Middle East situation was uncertain, “the momentum is going in a good direction”.
He said: “So the oil price is down from its highs, which is obviously relieving pressure on yield curves and bond yields, and that is great news for equity valuation and makes currencies move a bit.”
09:44am
Pictured: Protesters criticise ‘obscene’ Shell profits from war
Environmental groups have attacked Shell for profiting from the Iran war.
Maja Darlington, climate campaigner for Greenpeace UK, said: “As bombs fall and bills go up, more billions roll in for Shell, one of the UK’s top war profiteers.
“Shell is making $53,241 per minute while millions of people across Britain are dreading their next energy bill. Our fossil fuelled economy is rigged in favour of oil giants like Shell – whether it’s war or wildfires, they profit, we pay.”
Patrick Galey of Global Witness said: “As lives are destroyed through war and people everywhere fear rising bills, it’s galling to see oil giants like Shell raking in obscene amounts of money.
“The combined profits of Europe’s six biggest oil firms were up by 43pc compared to the same period last year. These are clearly the spoils of war.”Greenpeace activists stage a protest at the headquarters of Shell in The Hague, Netherlands - ROBIN UTRECHT/EPA/ShutterstockOn Wednesday, Fossil Free London campaigners posed outside Shell’s London headquarters - Leon Neal/Getty Images
09:22am
Surging fertiliser prices boost exporters despite Hormuz closure
One of the world’s biggest exporters of nitrogen fertiliser said the surge in prices since the start of the Iran war has more than offset damage caused by the closure of the Strait of Hormuz.
Ahmed El-Hoshy, chief executive of Fertiglobe, said his company had begun moving its products by trucks to ports away from the waterway, which has been effectively shut by the conflict.
He said an individual truck is 2,000 times smaller than a typical vessel, adding “significant amounts of time” and logistical challenges.
Exports of urea, the world’s most widely used nitrogen fertiliser, have dropped sharply since the conflict began, along with ammonia and sulphur, as shipping has been unable to use the Strait of Hormuz.
However, he said the hit to the business from logistical problems had been “more than balanced out” by the surge in prices.
“All of that lack of exports from the Strait of Hormuz has resulted in a pretty material price effect,” he told BBC Radio 4’s Today programme.
“Urea, which is our main product, has gone from the high $400s into $850-$950 a tonne range. Quite significant.
“That price effect has more than offset the volume effect of us selling less over the last couple of months through the Strait of Hormuz.”
08:52am
JD Sports warns of cost pressures from Iran war
JD Sports Fashion has cautioned that the war in the Middle East could push up prices and weaken consumer demand if it leads to higher costs, as the retail giant reported a drop in its annual earnings.
The fashion and sportswear chain, which has 4,811 stores worldwide, said the uncertainty about the geopolitical situation could weigh on its profits in the year ahead.
JD said it had no “direct exposure” to the Middle East, and had only a handful of franchised stores in the region, and there had been no real impact on the business so far.
But the company said: “Over time, the potential future impacts of heightened uncertainty may contribute to direct cost pressures, including energy and fuel costs across our store and logistics networks, respectively, as well as potential indirect impacts on pricing and consumer demand should input cost inflation emerge.”
JD said that, as a result of the uncertainty, it was providing a wider range of profit guidance for the next financial year than it was previously planning.
It was now forecasting a pre-tax profit of between £750m and £850m, which would mark a decline from the £852m that the company made for the year to the end of January 2026, which was down 6.4pc compared with the previous year.
Still, shares rose 3pc in early trading.JD Sports Fashion warned it faces cost pressures as a result of the Iran war - REUTERS/Maja Smiejkowska
08:32am
Traders slash bets on higher interest rates over hopes for US-Iran deal
Traders have slashed bets on interest rates rising this year after the US sent Iran a proposal to end the war in the Middle East.
Money markets indicate the Bank of England will raise rates twice this year, down from three expected hikes before details of the peace plan emerged.
Any agreement on ending the war and reopening the Strait of Hormuz would lead to a sharp drop in oil and gas prices, easing inflation pressures around the world.
Shipping through the waterway has been choked off by the conflict, largely halting around a fifth of the world’s oil and gas exports.
The expected drop in price pressure has also brought down the cost of government borrowing, with the yield on two-year UK gilts down 0.17 percentage points in two days to 4.35pc.
Jim Reid, an analyst at Deutsche Bank, said: “Bonds extended their gains as investors dialled back the prospect of imminent rate hikes.”
08:18am
Shell gas production hit by attacks on Qatar hub
Shell said its gas production has been hit after the world’s largest liquefied natural gas hub suffered significant damage in the Iran war.
The Ras Laffan plant in Qatar is so large that it produces around a fifth of the global supply of liquefied natural gas (LNG).
Iran fired missiles on the site in March as its conflict with the US and Israel escalated.
In its first quarter results, it said: “The ongoing conflict in the Middle East has resulted in production shutdowns and export constraints.
“Since the start of the conflict, commodity prices and refining margins have been highly volatile.”
Shell’s total revenue was stable at around $70bn in the first quarter year-on-year but rose from $66.7bn in the fourth quarter of 2025.Iranian strikes hit the Ras Laffan has facility in March - X
08:05am
UK stocks mixed in wait for US-Iran deal
The FTSE 100 edged lower at the start of trading as investors were left on tenterhooks waiting for a US-Iran deal.
The UK’s flagship stock index was down 0.2pc to 10,421.41 while the mid-cap FTSE 250 rose by 0.5pc to 22,948.72.
07:52am
Gas prices rise as traders await US-Iran deal
Gas prices edged higher even as the US and Iran were close to a deal that would end the war and reopen the Strait of Hormuz.
Europe’s benchmark contract was up by as much as 2.3pc in early trading despite signs Washington and Tehran could be nearing a breakthrough.
It has fallen nearly 9pc over the past two days. The White House is awaiting a response from Iran to a one-page proposal that would also require Tehran to suspend its nuclear enrichment, while the US released billions in frozen Iranian assets.
In an apparent sign of goodwill, the navy of the Islamic Revolutionary Guard Corps (IRGC) said passage through the strait would be permitted following the end of “threats from aggressors”.
Dutch TTF, as the European gas contract is known, has climbed nearly 40pc since the start of the Iran war from around €30 per megawatt hour to €44.
07:43am
BAE Systems expects to hit profit targets during Iran war
BAE Systems said it was on track ​to meet profits forecasts for this year as the Iran war kept orders flowing into Britain’s biggest defence contractor.
The company, which makes Typhoon fighter jets, nuclear submarines and warships, said it had had a strong ⁠start to 2026.
It predicted it would meet its targets earnings growth of 9pc to 11pc.
It said: “Around the world, security threats continue to grow, leading governments to increase defence spending.”
BAE’s order backlog has almost doubled since Russia invaded Ukraine in 2022 and its stock has soared by almost 300pc, buoyed by the ​prospect of ⁠more spending by Nato members.
Future orders are expected across the ⁠board, BAE said, including ​in its space systems, missile and air defence ​systems and drone and counter drone technology businesses.
It comes despite a delay to Britain’s defence investment plan after Sir Keir Starmer pledged the ⁠biggest increase in defence spending since the Second World War.
Chief executive Charles Woodburn said: “We’ve delivered a strong start to 2026, underpinning our full‑year guidance.
“Our geographic breadth, proven multi‑domain capabilities, and focus on operational excellence and innovation are enabling consistent delivery of critical programmes. We’re well positioned for both current and future opportunities in defence.”BAE Systems, whose sites include a shipyard in on the Clyde in Glasgow, expects to hit profit targets - John Linton
07:27am
Oil trading boosts Shell profits
Shell said the soaring cost of crude had boosted its oil trading business.
Its wider chemicals and products business more than quadrupled underlying earnings to $1.9bn (£1.4bn) from $449m a year earlier.
Although it announced a buyback of $3bn, this was down from $3.5bn at the end of last year.
Shell chief executive Wael Sawan said: “Shell delivered strong results enabled by our relentless focus on operational performance in a quarter marked by unprecedented disruption in global energy markets.
“The safety of our people remains our priority as we work closely with governments and customers to address their energy needs.”Shell benefited from surging oil prices in the first three months of the year, which pushed up costs for motorists - Finnbarr Webster/Getty Images
07:13am
Good morning
Thanks for joining me. Shell more than doubled its profits in the first quarter of the year as the Iran war sent oil and gas prices surging.
The FTSE 100 energy giant increased its adjusted earnings to $6.9bn (£5.1bn) in the first three months of 2026, up from $3.3bn (£2.4bn) in the fourth quarter of 2025. Profits rose by 24pc compared to the same period last year.
The rise came after the conflict in the Middle East propelled oil and gas prices to four-year highs.
Shell said the period had been marked by “unprecedented disruption in global energy markets”.
The company revealed the profit jump just over a week after Ed Miliband lashed out at its rival BP over its earnings.
The Energy Secretary branded BP’s profits as “morally and economically wrong” after the war in Iran helped it more than double its earnings.
In a post on X that he later deleted, Mr Miliband wrote: “Profiting from a crisis is morally and economically wrong. That’s why we are taxing these windfall profits to help fund support with the cost of living. And why the Tories, Reform and SNP are utterly wrong to oppose the windfall tax.”
Shell also announced a new $3bn share buyback alongside the profit jump and raised its dividend by 5pc.
The FTSE 100 giant published its results as oil prices ticked slightly higher again, following a slide earlier this week.
Brent crude, the international benchmark, sank by as much as 11.9pc to a two-week low of $97 a barrel on hopes for an end to the Middle East conflict. Here is what you need to know.
5 things to start your day
1) Reeves ‘faces £8bn hit’ from Iran war | Strait of Hormuz closure risks driving UK inflation up to 6pc, warns Left-leaning think tank
2) Britain ‘sleepwalking towards jobless generation’, warn retailers | Industry chief says Labour must stop ‘upwards spiral of employment costs’ as businesses slow hiring
3) Politicians don’t understand basic economics, says Duke of Westminster’s estate | Ministers ‘interfering’ with housing demand will restrict supply, warns Grosvenor chief
4) Elon Musk to spend $120bn on world’s biggest chip plant | Tech billionaire’s SpaceX poised to begin construction of a semiconductor facility in Texas
5) Israel’s shifting society risks turning it into a ‘third-world economy’ | The country’s growing ultra‑orthodox Haredi community is under-educated and under-employed
What happened overnight
Japan’s stock market hit a record high over hopes the US and Iran will strike a deal allowing tankers to deliver crude from the Persian Gulf again.
Tokyo’s Nikkei 225 jumped more than 3,500 points to 63,086.00 as markets in Tokyo reopened following “Golden Week” holidays. Oil prices edged up to $102 a barrel.
The Nikkei has gained nearly 20pc in the past three months and more than 70pc in the past year, pushed higher by strong buying of tech shares that have benefited from the boom in artificial intelligence.
Computer chip equipment maker Tokyo Electron gained 8.8pc and testing equipment maker Advantest added 8pc. Shin-Etsu Chemican gained 9.7pc.
Elsewhere in Asia, the Hang Seng in Hong Kong gained 1.5pc to 26,589.46.
The S&P/ASX 200 in Australia was up 0.8pc at 8,862.40.
In South Korea, the Kospi reversed early losses, gaining 1.1pc to 7,465.01. The benchmark jumped nearly 7pc a day earlier to barrel past 7,000 for the first time.
Taiwan’s Taiex surged 1.9pc, lifted by a 3.1pc gain for big computer chipmaker TSMC.
On Wednesday, stocks climbed to records for a second day in a row, amid renewed optimism that a negotiated end to the Middle East war was within reach.
The blue-chip Dow rose by 1.24pc to 49,910.59 while the Nasdaq Composite and S&P 500 both set new records. The former rose by 2pc to 25,838.94 while the S&P 500 jumped by 1.5pc to 7,365.12.
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- Consumers Ready and Comfortable to Share their Medical Information Electronically for Easier Life Insurance Underwriting
May 7, 2026
LexisNexis® Life Insurance Consumer Experience Study Explores Pain Points and Potential Ways to Improve the Life Insurance Application Process
ATLANTA, May 7, 2026 /PRNewswire/ -- LexisNexis® Risk Solutions today announced findings from a new consumer research study examining attitudes and perceptions about the life insurance application process, as the industry looks for ways to deliver faster life insurance underwriting and reduce life insurance application dropout rates. The research asked life insurance applicants about the effort involved and the time it takes to complete an application, offering updated insight into where the process creates challenges that can leave applicants less satisfied and, in some cases lead them to abandon the process entirely. The study also explored applicants' attitudes toward sharing their medical information with life insurers – and found that patient portals were the preferred method, compared to medical record exchanges and manual processes. The findings imply that life insurance carriers may be missing out on some new ways to align to consumer behavior and preferences which can shorten timelines and improve the applicant experience.LexisNexis Risk Solutions (PRNewsfoto/LexisNexis Risk Solutions)
Key Findings:
79% of applicants cited the amount of required effort is the lead reason for abandoning the life insurance application process. Among life insurance applicants who abandoned the process, 63% pointed to the time required as one of the top reasons for dropping out. Among those who completed or abandoned the life insurance application process and find the process time unacceptable, 91% say it negatively impacts their overall satisfaction. 60% said a reason for abandonment was having to fill in all their medical details, and 56% said it was too difficult to gather all the information about health care providers for the life insurance application. Online patient portals are applicants' preferred method of sharing medical information with a life insurance carrier, outranking medical record exchanges and manual processes. Online patient portal adoption is already widespread – 82% of life insurance applicants report having access to a patient portal for their primary care physician (PCP), and 91% have used one within the past 12 months. Preference for online patient portals is driven largely by ease of use (77%), completeness of information (74%) and speed of record retrieval (65%).
Story Continues
Below, LexisNexis Risk Solutions expands on these key findings, outlined in a newly published report highlighting the specific areas of the life insurance application process where applicants experience the greatest challenges.
Life insurance application pain point: Effort In the report, 79% of applicants cited the amount of required effort as the lead reason for abandoning the life insurance application process. The research highlights the fact that effort, time and medical exams influence how life insurance applicants respond to the process. The greatest sources of effort stem from providing detailed medical information — 60% of applicants describe the hassle in filling out medical conditions and 56% mentioned it is too difficult to collect doctor information.
Life insurance application pain point: Time
Among life insurance applicants who abandoned the application process, 63% pointed to the time required as one of the top reasons for dropping out. Even applicants who complete the process experience meaningful friction: 36% of these respondents indicated time to complete an application is a pain point. Among those who completed the application process and find the process time unacceptable, 91% say it negatively impacts their satisfaction with the application process.
When application timelines extended beyond expectations, nearly one-third (33%) considered switching to a different carrier, and 26% considered abandoning their application altogether. The study identifies a clear threshold for acceptability. Nineteen percent of applicants view application timelines of five weeks or longer as highly unacceptable, compared with 1% for two-week timelines and 5% for timelines of three to four weeks.
Patient Portals Preferred for Medical Information Sharing Online patient portals are applicants' preferred method for sharing their medical information, outranking medical record exchanges and manual processes. Applicants underscored their preference for online patient portals – 77% indicated preference is driven by ease of providing access to medical records, 74% cited completeness of medical information and 65% prefer online patient portals based on the speed of record retrieval. Adoption of online patient portals is already widespread – 82% of applicants have access to a patient portal through their PCP, and 91% have accessed it multiple times in the past 12 months.
"We conducted this research to get updated insights on how life insurance applicants respond to the process, what impacts satisfaction and what ultimately drives abandonment," said Justin Baker, associate vice president, life insurance, LexisNexis Risk Solutions. "Life insurance applicants indicated that providing medical data continues to be a key driver of time and dissatisfaction and they are ready for a new, easier process for sharing medical information. We confirmed that despite conventional industry understanding of preference, there are many opportunities for the life insurance industry to positively influence the consumer experience, considering that when healthier consumers drop out, business opportunities are lost and costs increase."
"Solving for multiple areas of friction at once allows life insurance carriers to align the application experience with consumer expectations, instead of simply relocating the problem," said Baker. "Life insurers that streamline medical record collection and align with how consumers already access their health data can improve customer satisfaction, reduce application dropout rates and drive stronger business outcomes."
For more information on the LexisNexis® Life Insurance Consumer Experience Study and to download a copy of the research, visit "Reimagining Medical Data Sharing in Life Insurance Underwriting." To learn more about how LexisNexis Risk Solutions is helping life insurers get electronic medical records faster to shorten decision timelines, improve costs and benefit their customers, explore LexisNexis® Health Intelligence and our approach to consumer mediated consent.
About the Research
LexisNexis Risk Solutions commissioned a third-party research firm to conduct an online survey and collect feedback from a representative sample of consumers considered to be "in the life insurance market." The firm completed 2,502 surveys among consumers aged 25 to 75, who had shopped for or applied for a personal life insurance policy within the past five years. Results were analyzed across application outcomes to understand how friction affects consumer behavior and attitudes toward sharing medical information.
About LexisNexis Risk Solutions
LexisNexis® Risk Solutions leverages the power of data, advanced analytics platforms and integrated AI solutions to provide insights that help businesses across multiple industries and governmental entities reduce risk and improve decisions to benefit people around the globe. Headquartered in metro Atlanta, Georgia, we have offices throughout the world and are part of RELX (LSE: REL/NYSE: RELX), a global provider of information-based analytics and decision tools for professional and business customers. For more information, please visit LexisNexis Risk Solutions and RELX.
Media Contacts:
Emma Valenti
Sr. Communications Specialist, Insurance
Emma.valenti@lexisnexisrisk.com
+1 470.550.7793Cision
View original content to download multimedia:https://www.prnewswire.com/news-releases/consumers-ready-and-comfortable-to-share-their-medical-information-electronically-for-easier-life-insurance-underwriting-302764820.html
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- Consumers Ready and Comfortable to Share their Medical Information Electronically for Easier Life Insurance Underwriting
May 7, 2026 · prnewswire.com
LexisNexis® Life Insurance Consumer Experience Study Explores Pain Points and Potential Ways to Improve the Life Insurance Application Process ATLANTA, May 7, 2026 /PRNewswire/ -- LexisNexis® Risk Solutions today announced findings from a new consumer research study examining attitudes and perceptions about the life insurance application process, as the industry looks for ways to deliver faster life insurance underwriting and reduce life insurance application dropout rates. The research asked life insurance applicants about the effort involved and the time it takes to complete an application, offering updated insight into where the process creates challenges that can leave applicants less satisfied and, in some cases lead them to abandon the process entirely.
- CONSUMERS READY AND COMFORTABLE TO SHARE THEIR MEDICAL INFORMATION ELECTRONICALLY FOR EASIER LIFE INSURANCE UNDERWRITING
May 7, 2026
LEXISNEXIS® LIFE INSURANCE CONSUMER EXPERIENCE STUDY EXPLORES PAIN POINTS AND POTENTIAL WAYS TO IMPROVE THE LIFE INSURANCE APPLICATION PROCESS ATLANTA, MAY 7, 2026 /PRNEWSWIRE/ -- LEXISNEXIS® RISK SOLUTIONS TODAY ANNOUNCED FINDINGS FROM A NEW CONSUMER RESEARCH STUDY EXAMINING ATTITUDES AND PERCEPTIONS ABOUT THE LIFE INSURANCE APPLICATION PROCESS, AS THE INDUSTRY LOOKS FOR WAYS TO DELIVER FASTER LIFE INSURANCE UNDERWRITING AND REDUCE LIFE INSURANCE APPLICATION DROPOUT RATES. THE RESEARCH ASKED LIFE INSURANCE APPLICANTS ABOUT THE EFFORT INVOLVED AND THE TIME IT TAKES TO COMPLETE AN APPLICATION, OFFERING UPDATED INSIGHT INTO WHERE THE PROCESS CREATES CHALLENGES THAT CAN LEAVE APPLICANTS LESS SATISFIED AND, IN SOME CASES LEAD THEM TO ABANDON THE PROCESS ENTIRELY.
- Meta Stock Slips as Publishers Escalate AI Copyright Fight in New Lawsuit
May 6, 2026
This article first appeared on GuruFocus.
Meta Platforms (NASDAQ:META) slipped about 1% on Tuesday after a group of major publishers filed a federal lawsuit in Manhattan, raising new questions over how the company trained its artificial intelligence systems, according to a court filing.
The case was brought by Elsevier (NYSE:RELX), Macmillan Publishers, Cengage Group, Hachette Livre and McGraw Hill (MH), along with author Scott Turow, who allege Meta (NASDAQ:META) used large volumes of copyrighted material without permission to build its Llama AI models. The filing claims the data may have been sourced without proper licensing or authorization.
Warning! GuruFocus has detected 2 Warning Sign with META. Is RELX fairly valued? Test your thesis with our free DCF calculator.
The plaintiffs argue that this approach could pressure traditional publishing revenues by enabling AI systems to generate summaries and book-style content that competes directly with original works.
Meta (NASDAQ:META) has previously prevailed in a related legal challenge but now faces renewed scrutiny as publishers say the new claims are broader in scope. The company is expected to contest the allegations, setting up another high-stakes courtroom battle over whether AI training on copyrighted material qualifies as fair use in the evolving tech landscape involving Nvidia (NASDAQ:NVDA) and Tesla (NASDAQ:TSLA).
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- The AI Nobody’s Talking About Is Already Picking Winners
May 1, 2026
Editor’s Note: I’ve been doing this long enough to know what a structural shift looks like.
It doesn’t announce itself. It doesn’t show up in the headlines. It shows up first in the data —pressure building beneath the surface of stocks that everyone assumes are safe.
Right now, I’m seeing that pressure building inside the business models of some of Wall Street’s most widely held software and AI companies.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The math changed before the narrative did at Enron.
It changed before the narrative did at Lehman. At Silicon Valley Bank. At every major blowup I’ve tracked across four decades of building quantitative models.
The stock charts looked fine. But the numbers underneath told a completely different story.
Right now, my models are picking up that same kind of stress again.
Not in the credit markets. Not in the broader economy. But inside the business models of some of the most widely held software and AI stocks on Wall Street; companies that most investors still think are bulletproof.
Most investors aren’t seeing it yet. The stocks still look fine and the narrative is still bullish. But the underlying dynamics are shifting in a big way.
My colleague Thomas Yeung has been tracking this more carefully than anyone I know. In the essay below, Tom explains what is driving this divergence — specifically, a new class of AI that operates without waiting for instructions, and what that means for the companies most investors still consider untouchable.
He also points you to a free presentation from Eric Fry, who has been studying this transition for months. Eric’s conclusion: this isn’t just volatility. It’s the early innings of a major rotation — one that could separate the next generation of big winners from the companies quietly being left behind.
I’d encourage you to read Tom’s essay carefully, and then watch Eric’s full presentation here.
The window to act is still open. But these windows have a habit of closing faster than anyone expects…
Imagine waking up one morning to find your bank account drained… your phone locked… and your passwords no longer work.
At the same time, systems you rely on every day — payments, communications, even parts of the power grid — start to glitch or go dark.
All this with no warning, no explanation, and no obvious point of entry.
Just chaos.
This is what could happen if hackers armed with AI exploited “zero-day” vulnerabilities: hidden flaws in software that no one knows exist and, therefore, has had zero days to fix.
On April 7, Anthropic released a limited version of Claude Mythos, an AI system so capable that the company immediately restricted access to it.
Story Continues
Mythos uncovered zero-day vulnerabilities in every major operating system, including one that had gone undetected for 27 years.
These hidden weaknesses can be exploited to steal data, seize control of computer systems, cripple critical infrastructure, and more.
Anthropic didn’t program Mythos to do this. The hacking capabilities emerged on their own.
As the company explained: “We did not explicitly train Mythos to have these capabilities. Rather, they emerged as a downstream consequence of general improvements in code, reasoning, and autonomy.”
The reaction at the highest levels was immediate. Federal Reserve Chair Jerome Powell and Treasury Secretary Scott Bessent held a closed-door meeting with top bank CEOs to discuss risks to the global financial system. Shares of major cybersecurity firms fell by double digits.
Most investors missed it entirely. The usual noise — Middle East tensions, gas prices, tariffs — drowned out what may be the single most consequential technological development of our generation.
Because Mythos isn’t just a more powerful chatbot.
It’s a signal that AI has crossed a threshold that I’ve been watching for, and writing about, for months now. We’ve moved from AI as a tool that responds to instructions… to AI that can act, adapt, and solve complex problems entirely on its own.
In my work tracking hypergrowth opportunities across decades of market cycles, shifts like this don’t just change the technology landscape. They reshuffle the entire investment landscape with them.
The companies on the right side of this shift could see the kind of explosive, compounding growth that defined the early cloud winners and the best AI infrastructure plays of the last three years.
The companies on the wrong side may not survive it.
Which side your portfolio is on right now matters more than almost anything else.
This Shift Is Already Underway
To understand why Mythos matters, you need to understand what’s been building underneath it.
A new kind of AI that doesn’t just respond to prompts… but can execute complex tasks on its own.
A year ago, a Chinese startup called Manus AI introduced a system that could analyze financial transactions, screen job candidates, and navigate complex digital workflows without step-by-step human input. Retired New York Times writer Craig S. Smith called it a “game-changer.”
That forced every major Western AI company to respond. Within months, OpenAI and Anthropic released similar systems capable of handling multistep tasks, managing workflows, and making decisions with minimal oversight.
Then last November came OpenClaw, a free, open-source platform that exploded to 30 million monthly users. At Nvidia Corp.’s (NVDA) GTC conference, CEO Jensen Huang called it “probably the single most important release of software… probably ever.”
These aren’t chatbots. They’re digital workers – handling emails, moving files, managing information, writing code, reviewing contracts… and doing it around the clock without asking for a raise.
I’ve seen this firsthand. With Claude Code, I can now give an AI assistant raw financial data and ask it to build a quantitative model. It runs off by itself to write thousands of lines of code. Then it tests the model… critiques it… asks for more data… and suggests improvements. It’s no longer a robotic mecha-suit that needs a human pilot. It’s the whole machine, replacing entire teams of analysts and coders.
And if I can do that as one analyst, imagine what Anthropic’s 1,500-person engineering team came up with when they used these tools for themselves…
So even if Mythos isn’t the endpoint, it’s a clear step-change in what these systems can do. New generations of AI models typically appear six to 12 months after a major launch, and I wouldn’t be surprised if a “Mythos V2” arrives by December.
Why Your “Safe” AI Stocks May Be the Most Exposed
Here’s where things get uncomfortable.
The same technology behind Mythos is now dismantling the business models behind some of Wall Street’s most popular stocks.
On Feb. 4, Anthropic released a legal plug-in for Claude Cowork. The effect on Wall Street was immediate.
Shares of Thomson Reuters Corp. (TRI) gapped down 19%. LexisNexis parent RELX Plc (RELX) dropped 15%. LegalZoom.com Inc. (LZ) crashed 20%.
Wall Street has been calling this the “SaaSpocalypse,” a rolling collapse in software-as-a-service (SaaS) stocks that has now spread far beyond legal tech.
Will AI replace customer service platforms?
Real estate brokerages?
Financial services?
Business automation?
That fear isn’t misplaced. For 15 years, the SaaS profit machine worked like this: Build a dashboard, connect it to a database, charge companies $30 to $100 per month per employee to use it. The more workers a client hired, the more money software companies made. No one questioned the 95%-plus gross margins these firms routinely earned.
But agentic AI doesn’t need dashboards. It connects directly to underlying systems, pulls data, updates records, and triggers next steps automatically. When one AI agent can do the work of five junior analysts or paralegals, companies don’t just need fewer employees. They need fewer software licenses.
And if these systems get powered by a model as powerful as Mythos, the pressure on SaaS business models could accelerate very quickly.
Meanwhile, the companies you’d expect to benefit – the pure-play AI names – are trading at valuations that assume perfection.
We saw this movie before during the dot-com hysteria. Many sought-after internet darlings like Cisco Systems Inc. (CSCO), Lucent, and AOL failed to deliver… and so did firms like Borders and Circuit City that were disrupted by the internet era.
So, the question isn’t whether AI is a big deal.
That debate is over.
The question is: As investors, how can we profit?
The Coming AI Reckoning
My InvestorPlace colleague Eric Fry believes the big profit opportunities will be in the “Appliers.” These aren’t the firms building AI. They’re the ones using it to transform entire industries.
Think sensors, robotics, industrial systems, and security infrastructure. Companies with hard-to-replicate data edges and real-world integration that can’t be vibe-coded away.
He sees this “AI Reckoning” as a major inflection point. In the coming months, he believes we’re going to see a wealth shift from those holding the wrong stocks to those positioned in AI Applier companies that connect this digital technology to the physical world.
He’s put together a free presentation that goes far deeper than I can here – naming the specific stocks he believes are most at risk, and the ones positioned to capture the upside as this shift accelerates.
The scenario we started with may sound extreme.
But the forces behind it are already here—and they’re beginning to reshape which companies win, and which ones don’t.
If you own any AI-adjacent stocks (and at this point, who doesn’t?), it’s worth seeing what he found – especially before this shift becomes more obvious to the broader market.
Thomas Yeung, CFA
Market Analyst, InvestorPlace
P.S. A lot of investors think the biggest AI gains are already behind us. Eric Fry believes the opposite may be true… but only for a specific group of companies that most people aren’t watching. In his latest presentation, he explains why some of today’s biggest winners could struggle from here, and how a lesser-known group could deliver outsized gains in the next phase of the cycle. It’s worth a look if you haven’t seen it yet.
FAQ
What is agentic AI and why does it matter for investors?
Agentic AI refers to artificial intelligence systems that can act autonomously — executing complex tasks, making decisions, and solving problems without step-by-step human input. Unlike traditional AI chatbots that respond to prompts, agentic AI operates more like a self-directed digital worker. For investors, it matters because it threatens the business models of widely held SaaS companies while simultaneously creating a new class of winners among companies that deploy it effectively.
What is the “SaaSpocalypse” and which stocks are most at risk?
The “SaaSpocalypse” refers to the rolling collapse in software-as-a-service stocks triggered by agentic AI. For 15 years, SaaS companies charged businesses per employee per month to access software dashboards — a model that produced 95%+ gross margins. Agentic AI bypasses those dashboards entirely, connecting directly to underlying systems and automating the work those licenses supported. Companies most at risk are those whose value proposition is access rather than irreplaceable data or deep workflow integration.
What are “AI Appliers” and why does Eric Fry believe they represent the next big opportunity?
AI Appliers are companies that use artificial intelligence to transform physical industries — think sensors, robotics, industrial systems, and security infrastructure — rather than companies building the underlying AI models themselves. Eric Fry believes these companies represent the next phase of the AI wealth transfer because they combine hard-to-replicate data advantages with real-world integration that can’t easily be automated away. Many are still under the radar while the market remains fixated on richly valued AI builders.
What is Claude Mythos and what makes it different from previous AI systems?
Claude Mythos is an AI system released by Anthropic in April 2025 that was so capable the company immediately restricted access to it. What made it significant wasn’t just its power — it was the fact that it autonomously discovered zero-day cybersecurity vulnerabilities in every major operating system, including one that had gone undetected for 27 years. Anthropic confirmed it never programmed Mythos to do this. The capabilities emerged on their own as a byproduct of advances in reasoning and autonomy — a signal that AI development has crossed an important threshold.
How should I position my portfolio for the AI Reckoning?
The dot-com era offers the clearest roadmap. When the internet arrived, it minted a new generation of winners — while destroying companies that most investors assumed were untouchable. The same dynamic is playing out now. The key is distinguishing between companies that will be disrupted by agentic AI and those positioned to deploy it as a competitive weapon. Eric Fry’s free presentation identifies specific stocks on both sides of that divide — including names most investors aren’t watching yet.
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The post The AI Nobody’s Talking About Is Already Picking Winners appeared first on InvestorPlace.
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- The AI Nobody's Talking About Is Already Picking Winners
May 1, 2026
To understand why Mythos matters, you need to understand what’s been building underneath it. A new kind of AI that doesn’t just respond to prompts… but can execute complex tasks on its own.
- The AI Nobody’s Talking About Is Already Picking Winners
Apr 30, 2026 · investorplace.com
To understand why Mythos matters, you need to understand what's been building underneath it. A new kind of AI that doesn't just respond to prompts… but can execute complex tasks on its own.
