Past Stories

2026-10-23 08:15 • The Motley Fool Positive Axe Cap view: Selective TGT

Target, a Dividend King with 55 consecutive years of dividend increases, currently yields 3%, triple the S&P 500's yield. The company is experiencing improved sales driven by high-margin revenue streams including advertising (up 20%), Target Circle 360 memberships (up 40%), and Target Plus marketplace (up 40%). With a payout ratio below 50% and shares trading at 15x earnings versus the S&P 500's 19x, analysts view the stock as attractively valued with potential for further upside as the turnaround continues.

Axe note: Target’s strong dividend and growing revenue streams make it an interesting name, even if it's US-listed.

2026-10-23 08:06 • The Motley Fool Neutral Axe Cap view: Selective CME

The Federal Reserve's October inflation forecast shows concerning reacceleration in both headline CPI (3.77%) and Core PCE (3.13%), suggesting persistent inflation pressures beyond energy shocks. With inflation remaining above the Fed's 2% target for 67 months, the probability of multiple rate hikes reaching 4.50%-4.75% by September 2027 stands at 72%. This aggressive rate-hiking cycle poses significant risks to the historically expensive, AI-driven stock market, potentially triggering a sharp correction if borrowing costs rise and AI infrastructure spending slows.

Axe note: The Fed's recent inflation update points to extended rate hikes, pressuring US tech and shaping rand and South African financials.

2026-10-23 08:02 • The Motley Fool Neutral Axe Cap view: Selective NVDA AAPL MSFT

Nvidia, Apple, and Microsoft collectively represent about 20% of the S&P 500's weighting, making the index heavily dependent on tech stocks. While these companies have driven explosive growth and the index has climbed nearly 100% since 2023, concerns about record valuations and AI spending justification pose risks. However, historically the S&P 500 has always recovered from declines, offering long-term investors optimism.

Axe note: Nvidia, Apple, and Microsoft drive the S&P 500’s gains, but their stretched valuations raise caution for investors everywhere.

2026-10-23 07:50 • The Motley Fool Positive Axe Cap view: Selective META

Meta announced its first-ever stock split by creating a new non-voting Class C share class, doubling share count while preserving CEO Mark Zuckerberg's voting power. This move provides Meta with enhanced financial flexibility to fund its aggressive AI infrastructure investments and pursue acquisitions or employee compensation without diluting leadership control.

Axe note: Meta’s new share structure grants funding flexibility without founder dilution, signaling serious AI bets ahead.

2026-10-23 07:41 • The Motley Fool Positive Axe Cap view: Selective IBM

IBM's software segment accelerated to 9% year-over-year revenue growth in Q3 2026, up from 5% in Q2, meeting the analyst's buying criteria. Despite this improvement, the stock barely moved, closing up less than 1%. The company maintained its full-year revenue guidance of 4-5% growth but raised free cash flow expectations. The analyst recommends starting to buy IBM stock at current levels, though recurring revenue growth remains below the desired 10% threshold.

Axe note: IBM’s accelerating software sales and better cash flow hint at renewed value, even if the market is slow to react.

2026-10-23 06:45 • The Motley Fool Negative Axe Cap view: Neutral TSLA GM F FPB FPC FPD

Tesla reported declining automotive revenue (-3%) and energy storage revenue (-16%) in Q3 2026, with flat vehicle sales over three years. Despite being fundamentally a car company with 75% revenue from vehicles, Tesla trades at a P/E of 200 based on future promises around autonomous vehicles and the Optimus robot. Analysts argue the stock looks overvalued as the company must prove it can grow beyond its core auto business to justify its $1.5 trillion market cap.

Axe note: Tesla’s automotive revenue dips and flat sales spotlight the challenges behind its towering valuation.

2026-10-23 05:41 • The Motley Fool Neutral Axe Cap view: Selective PJP IBB GILD PFE ABBV VRTX AMGN

The article compares two healthcare sector ETFs: Invesco Pharmaceuticals ETF (PJP), which focuses on 27 pharmaceutical companies, and iShares Biotechnology ETF (IBB), which covers 243 biotech stocks. IBB has a lower expense ratio (0.44% vs 0.58%) and outperformed over the past year (37.7% vs 33.9% return), but PJP offers higher dividend yield (0.92% vs 0.16%) and lower volatility. The choice depends on investor risk tolerance and portfolio goals.

Axe note: When choosing health sector ETFs, South African investors should weigh risk tolerance and income needs carefully.

2026-10-23 05:30 • The Motley Fool Mixed Axe Cap view: Selective META POOL RH LEN LEN.B XHB CRWV

As concerns about AI spending returns mount and treasury yields decline, investors are rotating out of tech stocks into alternative sectors. Housing stocks surged 3.8% as lower interest rates make them attractive, signaling a potential shift in market leadership away from AI-focused companies.

Axe note: Lower interest rates and worries about AI returns are pushing investors to housing and banks, while tech stumbles.

2026-10-23 04:04 • The Motley Fool Positive Axe Cap view: Selective ALLE

Allegion raised its 2026 revenue growth outlook to 9.5%-10.5% and adjusted EPS target to $9.05-$9.10 following strong Q3 2026 earnings. The company benefits from architectural specification writing in non-residential markets, dynamic pricing strategies to offset inflation, and growing electronic lock adoption. Management raised organic growth assumptions for the Americas segment to 7%-8% and completed a $90 million acquisition of Overly Door Company.

Axe note: Allegion's solid earnings update highlights durable growth drivers worth noting for JSE investors watching global industrial trends.

2026-10-23 03:51 • The Motley Fool Positive Axe Cap view: Selective MEDP

Medpace reported record net new business awards in Q3 2026, with ending backlog reaching $3.2 billion. The shift in cancellation drivers from funding shortages to clinical failures signals a healthier market. Management deferred 2027 guidance to February but expressed confidence in Q4 performance and normalized competitive pricing.

Axe note: Medpace's latest report shows a robust pipeline and healthier market dynamics for clinical trials.

2026-10-23 03:44 • The Motley Fool Positive Axe Cap view: Selective SAM

Boston Beer raised its full-year EPS guidance despite declining sales volumes, driven by internal production efficiencies that pushed Q3 gross margins to multiyear highs of 51.7%. The company is diversifying beyond traditional beer into higher-margin ready-to-drink products like Sun Cruiser and new incubator brands like LYTT electric coolers, which are expanding nationally in 2027.

Axe note: Boston Beer’s margin gains and product pivot offer insights for South African firms facing volume pressures.

2026-10-23 03:14 • The Motley Fool Negative Axe Cap view: Neutral TSLA

Tesla's Q3 operating income appeared to recover, but over 60% came from tariff refunds rather than core business improvement. Revenue was flat year-over-year at $28.0 billion, marking significant deceleration. While Megapack energy storage shows promise and Robotaxi could become profitable in 2027, the analyst recommends waiting for operating income growth without refunds and concrete Robotaxi profitability metrics before buying, citing elevated valuation at 420x trailing earnings.

Axe note: Tesla’s gaudy valuation clashes with sluggish core growth and reliance on tariff refunds in Q3.

2026-10-23 03:09 • The Motley Fool Positive Axe Cap view: Selective GSBC

Great Southern Bancorp reported Q3 2026 operating net income of $16.5 million, with management focusing on credit quality and cost discipline. The bank completed consolidation of nine banking centers, expected to generate $2.3-2.7 million in annual pre-tax income improvement. Management prioritizes strict underwriting standards over loan volume growth, and a $3.5 million accounting charge from interest rate swaps will be fully recovered through interest income by April 2028.

Axe note: Discipline in credit and cost cuts at Great Southern aligns with themes worth watching in South Africa’s banking sector.

2026-10-23 03:00 • The Motley Fool Positive Axe Cap view: Selective URI

United Rentals reported record Q3 2026 revenue of $4.9 billion with 16% year-over-year growth and raised full-year guidance. The company's specialty rental segment grew 35% YoY with higher margins, while operational efficiency gains offset cost inflation. Management increased full-year capital expenditure guidance to over $5.3 billion, supported by strong demand from mega-projects in data centers, energy, and infrastructure.

Axe note: United Rentals beats expectations with record revenue and margin gains in specialty rentals.

2026-10-23 02:57 • The Motley Fool Positive Axe Cap view: Neutral PEP KO YUM

PepsiCo has renewed its exclusive beverage partnership with Taco Bell for 11 years through 2036, covering U.S. locations and international markets. The deal comes as a win following PepsiCo's recent loss of KFC to Coca-Cola. While the Taco Bell renewal is positive, the analyst notes PepsiCo faces challenges with flat organic sales in North America and suggests the deal may not be a major game-changer for the company's fundamentals.

Axe note: PepsiCo’s 11-year deal with Taco Bell is solid but unlikely to shift local market dynamics or currency trends significantly.

2026-10-23 02:53 • The Motley Fool Positive Axe Cap view: Selective HXL EADSY BA BAPA

Hexcel reaffirmed its 2026 guidance with net sales between $2.025-$2.150 billion, driven by higher commercial aircraft production. Management expects to reach 18% operating margins by decade's end through production ramps and pricing increases. The company anticipates $500 million in incremental annual aerospace sales as Airbus and Boeing reach peak production rates, and expanded its share buyback authorization to $750 million, signaling confidence in growth and cash generation.

Axe note: Hexcel’s growth hinges on aircraft production ramps that indirectly affect the rand and select JSE sectors.

2026-10-23 02:43 • The Motley Fool Positive Axe Cap view: Selective NDAQ

Nasdaq reported Q3 2026 net revenue of $1.5 billion, up 14% year-over-year, driven by cloud migration, anti-financial crime software adoption, and 24/7 trading infrastructure demand. The company is successfully converting capital markets infrastructure into high-margin recurring revenue through cloud-based solutions (85% of fintech bookings) and enterprise wins in fraud prevention, positioning itself as a transformation partner with strong free cash flow of $616 million.

Axe note: Nasdaq's Q3 report highlights successful cloud migration and strong recurring revenue, offering long-term growth avenues.

2026-10-23 02:35 • The Motley Fool Positive Axe Cap view: Selective TSCO

Tractor Supply reported positive comparable store sales growth in Q3 2026, driven by strategic price investments using tariff refunds on 50 essential items. The company is targeting $75 million in annual cost reductions over 2027-2028 to protect operating margins above 9%, while moderating capital expenditures below 4% of sales to unlock cash flow for shareholder returns.

Axe note: TSCO’s strategic use of tariff refunds and cost control underlines how disciplined capital allocation drives value.

2026-10-23 02:26 • The Motley Fool Positive Axe Cap view: Selective SNA

Snap-on reported flat Q3 2026 net sales of $1.18 billion as channel destocking from rising diesel costs offset industrial gains. Despite lower volumes and raw material inflation, the company maintained a robust 51% gross margin through operational efficiency. The Commercial and Industrial segment achieved record sales and profit margins, while management expects stabilizing fuel prices and steady technician repair demand to support future growth.

Axe note: Snap-on’s latest earnings show operational resilience despite fuel-driven hurdles.

2026-10-23 02:22 • The Motley Fool Neutral Axe Cap view: Neutral SLM SLMBP

SLM announced a strategic partnership with Sixth Street to diversify funding for student loans while retaining loans on its balance sheet to capture higher net interest margins. However, the company lowered 2026 earnings guidance to $1.95-$2.05 per share and raised net charge-off guidance to $400-$420 million due to disrupted debt resolution practices. Despite strategic wins, higher charge-offs and lower earnings offset the positive developments.

Axe note: SLM’s partnership with Sixth Street offers long-term flexibility but weighs on short-term earnings.