18 hours ago
We recently compiled a list of the 11 Most Undervalued Pharma Stocks to Invest In. Zoetis Inc. (NYSE:ZTS) is among the most undervalued stocks to invest in.
TheFly reported on May 27 that Argus downgraded ZTS from Buy to Hold following a sharp decline in the company’s share price, including a steep one-day drop of about 22% and continued subsequent weakness. The move reflects growing investor concern over the company’s near-term growth outlook and reduced confidence in its performance trajectory. The ****** yst noted that recent price action signals a shift in market sentiment, with pressure on the stock driven by deteriorating expectations rather than a single operational event.
In addition to that, earlier on May 7, Zoetis Inc. (NYSE:ZTS) released its financial results for the first quarter of 2026, reporting revenue of $2.3 billion, which reflected a 3% increase compared with the same period in 2025 and was flat on an organic operational basis. Net income totaled $601 million, or $1.42 per diluted share, showing stable performance on a reported basis with 6% per-share growth. Adjusted net income reached $646 million, or $1.53 per diluted share, representing 2% and 9% increases on a reported basis and 1% and 7% growth on an organic operational basis.
Goodluz/Shutterstock.com
The company noted a more challenging operating environment, including weaker veterinary visits and softer demand in companion animal products, alongside intensified competition. However, livestock and international segments delivered growth across cattle, poultry, swine, diagnostics, and parasiticides, partially offsetting U.S. declines and supporting overall portfolio resilience.
TheFly reported on May 27 that Argus downgraded ZTS from Buy to Hold following a sharp decline in the company’s share price, including a steep one-day drop of about 22% and continued subsequent weakness. The move reflects growing investor concern over the company’s near-term growth outlook and reduced confidence in its performance trajectory. The ****** yst noted that recent price action signals a shift in market sentiment, with pressure on the stock driven by deteriorating expectations rather than a single operational event.
In addition to that, earlier on May 7, Zoetis Inc. (NYSE:ZTS) released its financial results for the first quarter of 2026, reporting revenue of $2.3 billion, which reflected a 3% increase compared with the same period in 2025 and was flat on an organic operational basis. Net income totaled $601 million, or $1.42 per diluted share, showing stable performance on a reported basis with 6% per-share growth. Adjusted net income reached $646 million, or $1.53 per diluted share, representing 2% and 9% increases on a reported basis and 1% and 7% growth on an organic operational basis.
Goodluz/Shutterstock.com
The company noted a more challenging operating environment, including weaker veterinary visits and softer demand in companion animal products, alongside intensified competition. However, livestock and international segments delivered growth across cattle, poultry, swine, diagnostics, and parasiticides, partially offsetting U.S. declines and supporting overall portfolio resilience.
22 hours ago
Cleveland Fed president Beth Hammack warned Tuesday that it may soon be time to raise interest rates because of concerns that rising prices could get entrenched.
“For today, it’s reasonable to keep rates steady given the uncertainties around the economic outlook,” Hammack said in a speech in Cleveland. “But if recent trends continue, it may soon be appropriate to act.”
Based on the data, Hammack said she’s more concerned about the growing risks of persistently elevated inflation than the risks to full employment. She also noted that interest rates may not be sufficiently restrictive to bring inflation down to 2%.
Read more: How jobs, inflation, and the Fed are all related
“If we wait for definitive evidence that high inflation has become embedded in the economy, it may require larger policy adjustments, at greater cost,” she warned.
“For today, it’s reasonable to keep rates steady given the uncertainties around the economic outlook,” Hammack said in a speech in Cleveland. “But if recent trends continue, it may soon be appropriate to act.”
Based on the data, Hammack said she’s more concerned about the growing risks of persistently elevated inflation than the risks to full employment. She also noted that interest rates may not be sufficiently restrictive to bring inflation down to 2%.
Read more: How jobs, inflation, and the Fed are all related
“If we wait for definitive evidence that high inflation has become embedded in the economy, it may require larger policy adjustments, at greater cost,” she warned.
1 day ago
In every major technology cycle, there comes a moment when the numbers stop looking like projections and start looking like history being made in real time. Broadcom (AVGO) may be the king of the moment.
HSBC raised its price target on Broadcom, maintaining its Buy rating, as the firm dramatically revised its estimates for the company's custom AI chip business upward ahead of second-quarter fiscal 2026 earnings.
AVGO is up 39.43% year-to-date and 95.20% over the past year, according to Yahoo Finance, with the stock trading at fresh all-time highs around $488.
The core of HSBC's revision is a specific claim about where Broadcom's ASIC revenue is heading — and the answer is a number that reframes the entire AI infrastructure investment thesis.
Also Read: Broadcom Inc. Latest News
HSBC raised its price target on Broadcom, maintaining its Buy rating, as the firm dramatically revised its estimates for the company's custom AI chip business upward ahead of second-quarter fiscal 2026 earnings.
AVGO is up 39.43% year-to-date and 95.20% over the past year, according to Yahoo Finance, with the stock trading at fresh all-time highs around $488.
The core of HSBC's revision is a specific claim about where Broadcom's ASIC revenue is heading — and the answer is a number that reframes the entire AI infrastructure investment thesis.
Also Read: Broadcom Inc. Latest News
2 days ago
Image source: The Motley Fool.
Wednesday, May 13, 2026 at 4:30 p.m. ET
Chief Executive Officer — Christopher Hayes
Chief Financial Officer — Thomas Cimino
Director of Investor Relations — Julia Gasbarre
Wednesday, May 13, 2026 at 4:30 p.m. ET
Chief Executive Officer — Christopher Hayes
Chief Financial Officer — Thomas Cimino
Director of Investor Relations — Julia Gasbarre
2 days ago
We just covered From Fired Researcher to $13.7 Billion King: How Leopold Aschenbrenner Broke the Hedge Fund World and VanEck Semiconductor ETF (NASDAQ:SMH) ranks 1st on this list.
VanEck Semiconductor ETF (NASDAQ:SMH) is a new addition to the 13F portfolio of Situational Awareness LP. The fund declared a new stake in the company in filings for the first quarter of 2026. This stake consists of PUT bets worth over 5.3 million shares. Previously, Leopold Aschenbrenner had bought a stake in this ETF back in the second quarter of 2025. This position consisted of more than 2 million shares and was sold off by the next quarter. The bearish bet against the chip sector represents close to 15% of the 13F portfolio of the hedge fund run by AI expert Leopold Aschenbrenner. This is not an isolated bet but part of a larger close to $8 billion position against the chip sector that comprises over 60% of 13F portfolio of the fund.
This massive bet against VanEck Semiconductor ETF (NASDAQ:SMH) represents a continuation of an investment strategy championed by Leopold Aschenbrenner that focuses on companies providing the picks and shovels for this AI revolution. In layman terms, instead of betting on the gold itself, like AI software or chip firms, Aschenbrenner is betting on the companies that provide the picks and shovels for gold digging, like power companies and repositioned Bitcoin miners providing AI compute. In his June 2024 essay ***** led SITUATIONAL AWARENESS: The Decade Ahead, Aschenbrenner had predicted that, “As AI revenue grows rapidly, many trillions of dollars will go into GPU, datacenter, and power buildout before the end of the decade. The industrial mobilization, including growing US electricity production by 10s of percent, will be intense”.
While we acknowledge the potential of SMH as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: Growth Stock Portfolio: 12 Stock Picks by Carl C. Icahn and Chris Rokos Stock Portfolio: Top 10 Stock Picks.
VanEck Semiconductor ETF (NASDAQ:SMH) is a new addition to the 13F portfolio of Situational Awareness LP. The fund declared a new stake in the company in filings for the first quarter of 2026. This stake consists of PUT bets worth over 5.3 million shares. Previously, Leopold Aschenbrenner had bought a stake in this ETF back in the second quarter of 2025. This position consisted of more than 2 million shares and was sold off by the next quarter. The bearish bet against the chip sector represents close to 15% of the 13F portfolio of the hedge fund run by AI expert Leopold Aschenbrenner. This is not an isolated bet but part of a larger close to $8 billion position against the chip sector that comprises over 60% of 13F portfolio of the fund.
This massive bet against VanEck Semiconductor ETF (NASDAQ:SMH) represents a continuation of an investment strategy championed by Leopold Aschenbrenner that focuses on companies providing the picks and shovels for this AI revolution. In layman terms, instead of betting on the gold itself, like AI software or chip firms, Aschenbrenner is betting on the companies that provide the picks and shovels for gold digging, like power companies and repositioned Bitcoin miners providing AI compute. In his June 2024 essay ***** led SITUATIONAL AWARENESS: The Decade Ahead, Aschenbrenner had predicted that, “As AI revenue grows rapidly, many trillions of dollars will go into GPU, datacenter, and power buildout before the end of the decade. The industrial mobilization, including growing US electricity production by 10s of percent, will be intense”.
While we acknowledge the potential of SMH as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: Growth Stock Portfolio: 12 Stock Picks by Carl C. Icahn and Chris Rokos Stock Portfolio: Top 10 Stock Picks.
