The Point for North America

Research evidence excerpt

The Point for North America

offloading to more cost effective SSDs). Our SNDK estimates rise on better pricing

outlook. TP rises to $2,500 on 11x P/E on revised CY27 EPS. We open an Upside

90-Day ST View on SNDK shares on favorable industry results/commentary

(earnings, FMS conf in Aug) plus forthcoming catalyst of SNDK’s August investor

day where we expect to hear updated commentary on demand expectations,

technology roadmap and constructive capital returns outlook.

Asiya Merchant, CFA

US Airlines - Chart of the Day: Being Negative DAL Becomes Riskier As We Near

EPS

According to Citi's Quant Data, positioning is leaning more positively across the

group - not surprising given falling fuel prices and the case for strong RASM results

in 3Q before capacity growth accelerates in 4Q (see Another Supermajors

Reiteration). Among larger airlines, data indicates that DAL is the source of funds

vs. consensus length in AAL, UAL, and now increasingly LUV. We understand how

DAL's outperformance through the fuel-shock would lend itself to temporary

underperformance as we exit the fuel shock but caution bears that DAL, which

prints 2Q EPS first, has a stronger case for beating 3Q consensus PRASM than

many other airlines (see 3Q26 Consensus RASM Expectations...). Among smaller

airlines, net length is highest in ALGT, followed by SKYW/ULCC, while JBLU/ALK

are being used as sources of funds, although ALK is hotly debated. This is

consistent with relative fuel sensitivity (see

John Godyn | Max Lesnik

US Aerospace & Defense - Chart of the Day: LOAR Stands Out As The Only

Aftermarket Stock Buyside Consensus Isn't Bullish On

The fact that positioning has turned bullish on aerospace is not lost on investors

we speak to as we are starting to get questions about whether some of the names