U.S. FIRST TO MARKET

Research evidence excerpt

U.S. FIRST TO MARKET

North America Equity Research

U.S. First to Market 23 July 2026

Top Stories

Equity Technical Update (Jason Hunter)

Broadening and Rotation, but the Signaling Isn’t as Positive as it was Coming into the Year

Voting in the 2026 Extel Global Fixed Income Research Survey is now ongoing. We hope our work has been valuable to your

investment process over the last year and we humbly ask for your support in this year’s survey here.

AFL | Alphabet (Doug Anmuth)

Strength in Cloud and Search Show AI Returns as Capex Moves Higher; Buying the Pullback;

Reiterate Overweight & $420 PT

We would be buyers of Google shares on the pullback. Google FXN revenue accelerated to +23% growth in 2Q & we

believe the company continues to show the returns on AI spending with +82% Cloud growth & +17% Search growth. The

pushback to results comes from higher capex spending in 2026, which moves from $180B-$190B to $195B-$205B, &

management’s continued expectation for a significant increase in 2027, with that number likely moving higher coming out of

earnings. We now model 2027 capex of $378B, +85% Y/Y.

Visa / Mastercard (Tien-tsin Huang, CFA)

C2Q26 Earnings Preview - Positive on Both Names but Maintain Preference for Visa Near-Term

Visa reports F3Q26 results July 28 (AMC) while Mastercard reports 2Q26 results July 30 (BMO). Spending data show a

comfortable acceleration of U.S. volume growth with only a modest deceleration into early July (through 7/10). This, plus

compelling relative valuation (particularly for Mastercard) and identified price actions (Visa’s notable tokenization VAS fees

which started in April) lead us to feel fundamentally constructive into both networks’ results, though we maintain our preference

for Visa.

BeOne – ADR (Jessica Fye) (ONC, OW, PT $425.00)