Market Intelligence: US Morning Update

Research evidence excerpt

Market Intelligence: US Morning Update

Goldman Sachs Market Intelligence

Delek US Holdings (DK, Buy), Petrick: 2Q Preview: Robust Refining Margins and SRE

Value Support 20% Total Return. Buy DK ahead of 2Q earnings (expected Aug-11) as

strong refining margins, Enterprise Optimization Program (EOP) cost reduction

initiatives, and small refinery exemptions should drive improved cash flow generation,

supporting buybacks and shareholder returns. Raise 6m price target to $73 (from $58).

Tobacco, Herzog: “Nicotine Nuggets” Q2 survey – Cautiously optimistic as cig

volume declines moderate and nic pouches grow strongly.

Tobacco, Herzog: MO/PM USA announces its 3rd cig list price increase of the year

(1st published on 7/15).

We are incrementally more constructive on the US tobacco and nicotine category in the

near term, as moderating cigarette volume declines and strong nicotine pouch growth

support a better 2Q setup, despite persistent inflationary pressure and higher gas prices

for consumers. Favor Buy-rated PM and MO as their strong smoke-free positioning and

retail momentum support our expectation for a Q2 beat-and-raise. Separately, MO/PM

USA announced ~3% increase in their cig listing price across its Marlboro brand

consistent with its Differential List Price Initiative and given the ongoing pressures on cig

volumes. We also expect BAT/RJR to follow with a similar price increase.

UnitedHealth Group (UNH, Buy; on CL), Fidel: 2Q26 Recap: Dual MA / OH

Turnaround Accelerating Momentum; Cost Pressure Hinders Commercial and

Medicaid. Buy-rated UNH (on CL) reported a strong 2Q26 beat-and-raise quarter

yesterday morning, driven by a substantially better-than-expected MLR and stronger

Optum Health profitability recovery. While elevated medical costs are delaying the