HAPPY SUNDAY TO THE STREET.

Everyone is talking about Elon Musk’s Netflix $NFLX ( β–Ό 0.79% ) boycott, which dragged the streaming giant’s stock down more than 4% last week. But no one is talking about this one little-known way to play it…

DISH Network $SATS ( β–Ό 2.38% )! Okay, so it’s only β€œlittle-known” to any Gen Z readers out there, but it’s certainly not the household name it used to be, either. But seriously, politics aside, where are Musk’s followers planning to get their content from now?

Is this the Fubo $FUBO ( β–² 0.25% ) catalyst we’ve all been waiting for?

β€” Brooks & Cas

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CAN AMPHENOL KEEP SURGING?

Strong Momentum

Amphenol $APH ( β–Ό 1.1% ) has had a monster 2025. Shares are up more than 77% YTD, with the stock climbing steadily after a brief stumble earlier in the year.

The company has consistently surpassed earnings expectations, topping estimates by 20% in the first half alone. Analysts have lifted profit forecasts as a result, helping fuel the rally.

Despite the big run, Barron’s argues the best move is to hold tight. Amphenol has demonstrated resilience across cycles, with revenue expanding at a projected 13% annual pace through 2028, according to FactSet.

Growth Drivers

The company is benefiting from strong demand in multiple sectors.

Sales to EV makers are rising as each car requires more connectors. Its datacom segment β€” serving data centers β€” more than doubled year over year in the second quarter, making it Amphenol’s fastest-growing business. Other units like smartphones and industrial remain more cyclical, but contribute to a diversified base.

M&A is another lever. Amphenol has rolled up dozens of smaller players in what is still a fragmented $250 billion market. In August, it announced a $10.5 billion deal to buy CommScope’s connectivity and cable solutions unit. That acquisition is expected to add $3.6 billion in annual sales and broaden Amphenol’s portfolio from rack-level connectors to fiber optic cabling around the racks.

Valuation and Outlook

Analysts expect Amphenol’s EPS to grow at an 18% annual rate over the next three years. Margins could expand as sales outpace costs, while buybacks add another boost. Cowen analyst Joe Giordano said the CommScope deal should also open cross-selling opportunities, strengthening Amphenol’s positioning.

The stock trades at 37x forward earnings, well above the S&P 500’s 23x, but Barron’s sees the premium as justified. Historically, Amphenol has traded near 3x its growth rate; today it sits closer to 2x.

If multiples hold, the publication argues, higher earnings could continue to lift the shares. For long-term investors, the growth story appears intact.

Are you bullish or bearish on Amphenol (APH) over the next 12 months?

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A RALLY THAT WENT TOO FAR?

A Surprise Downgrade

Lithium Americas $LAC ( β–² 31.78% ) was cut to Sell by Canaccord Genuity after a surge that roughly doubled the stock’s value this past week on news that the Trump administration would take a stake.

Analyst Katie Lachapelle slashed the firm’s price target for $LAC to C$6.50 ($4.66 US), implying nearly 50% downside from Friday’s close. She argued the rally does not reflect the valuation hit from the revised agreement with the Department of Energy.

The downgrade comes just months after investors cheered news of federal support for Thacker Pass, the Nevada lithium mine Lithium Americas is developing with General Motors $GM ( β–² 1.3% ).

Deal Details

As part of a renegotiated $2.2 billion DOE loan, the government will take a 5% equity stake in Lithium Americas and a 5% economic stake in the mine. GM, which already holds a minority position, remains committed to buying future offtake.

The deal includes short-term relief, such as deferring $182 million in repayments over five years. But it also requires Lithium Americas to set aside $120 million in a reserve account next year.

Lachapelle said that near-term financial flexibility is outweighed by the burden of the reserve requirement.

Not Another MP

The equity stake is being issued through warrants priced at just $0.01 per share, raising concerns about shareholder dilution.

Lachapelle contrasted the deal with the Defense Department’s July investment in MP Materials $MP ( β–² 0.76% ), which included an above-market floor price and offtake commitments. She noted the LAC structure lacks comparable upside protections.

For now, the analyst sees little justification for the stock’s sharp move higher. The mine remains a key strategic project for US supply chains, but Canaccord’s view is that the latest terms may leave investors with more risk than reward.

Are you bullish or bearish on Lithium Americas (LAC) over the next 12 months?

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RATE CUTS COULD REVIVE REGIONAL BANKS

A Long-Awaited Tailwind

Regional banks have lagged badly behind their larger peers in recent years.

The KBW Nasdaq Bank Index $BKX ( 0.0% ), which tracks the biggest US lenders, is up nearly 20% in 2025. The KBW Regional Bank Index is up just 3%. Giants like JPMorgan $JPM ( β–² 0.81% ) and Goldman Sachs $GS ( β–² 1.36% ) have surged, while smaller lenders struggled under the weight of higher deposit costs and fixed-rate loan books.

But that backdrop may be changing. The Fed resumed rate cuts in September, and market observers widely expect another cut this month. A steeper yield curve β€” lower short-term rates but steady or higher long-term rates β€” would be a game changer for smaller lenders that have been squeezed by rising funding costs.

Relief on Deposits

For many regionals, higher rates meant paying up to keep deposits from fleeing. Unlike megabanks flush with sticky checking accounts, regional lenders leaned on higher-yielding CDs and business deposits.

Lower policy rates may let these banks roll back deposit costs and widen margins. At the same time, fixed-rate loans that looked like a burden when rates rose suddenly become more attractive in a falling-rate world.

Analysts at Morgan Stanley $MS ( β–² 1.48% ) see net interest income getting a lift at names like Fifth Third $FITB ( β–² 0.43% ), Huntington $HBAN ( β–² 1.0% ), Ally $ALLY ( β–² 2.01% ), Truist $TFC ( β–² 0.35% ), and Valley National $VLY ( β–² 0.66% ) if the Fed delivers five cuts.

Cheap, If Earnings Deliver

The valuation gap is also striking. Before 2022’s rate hikes, regional banks often traded at a premium to larger peers. Now, the group fetches just 11x forward earnings, compared with 13x for the S&P 500’s banks and 15x for JPMorgan.

With memories of the 2023 regional banking crisis still fresh, investor skepticism remains. But if earnings season shows stabilizing deposits and loan growth, regionals could finally reclaim some ground.

In a market where little looks cheap, smaller banks might be one of the few sectors where investors see real value.

Are you bullish or bearish on regional banking stocks over the next 12 months?

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LAST WEEK’S POLL RESULTS

Are you bullish or bearish on Universal Technical Institute $UTI ( β–Ό 0.57% ) over the next 12 months?

β–‡β–‡β–‡β–‡β–‡β–‡ πŸ‚ Bullish

β–‡β–‡β–‡β–‡β–‡β–‡Β πŸ» Bearish

And, in response, you said:

  • πŸ‚ Bullish β€” β€œGiven the diminished value of a university education, the demand for trade apprenticeships is increasing.”

Are you bullish or bearish on Oracle $ORCL ( β–Ό 0.91% ) over the next 12 months?

β–‡β–‡β–‡β–‡β–‡β–‡ πŸ‚ Bullish

β–‡β–‡β–‡β–‡β–‡β–‡Β πŸ» Bearish

And, in response, you said:

  • πŸ‚ BullishΒ β€”Β β€œThe big Mo' is still in their favor; at least for the foreseeable future.”

  • 🐻 Bearish β€” β€œOracle has possibly shot itself (theoretically) in its foot. Something brewing with TikTok.”

Are you bullish or bearish on Pfizer $PFE ( β–² 1.07% ) over the next 12 months?

β–‡β–‡β–‡β–‡β–‡β–‡ πŸ‚ Bullish

β–‡β–‡β–‡β–‡β–‡β–‡Β πŸ» Bearish

And, in response, you said:

  • πŸ‚ BullishΒ β€”Β 

    • β€œSeems like there's enough positives in the pipeline to warrant further upside potential.”

    • β€œDoesn’t have to accomplish much to exceed low expectations.”

    • β€œIt can’t go much lower. ”

Reply

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