HAPPY FRIDAY TO THE STREET

The streaming wars are over. Netflix $NFLX ( ▼ 2.89% ) will write the histories. The content giant agreed to buy Warner Bros.’ $WBD ( ▲ 6.28% ) film assets and HBO Max in an $87.2B deal (total enterprise value), edging out Paramount $PSKY ( ▼ 9.82% ) and Comcast $CMCSA ( ▲ 0.4% ) in a bidding drama fit for prestige TV.

If it closes, it’ll mean a new center of gravity for Hollywood… and, very likely, a new season of Game of Thrones staged entirely on green screen, in TikTok-optimized aspect ratios, with plot points repeated three times a scene so you don’t miss a beat while folding your laundry. Welcome to the future!

  • 🟩 | US stocks inched higher as cooler PCE inflation bolstered bets on a Fed cut next week, keeping indexes near record highs.

  • 📈 | One Notable Gainer: Albemarle $ALB ( ▲ 5.08% ) rose after UBS upgraded it to buy, citing expectations for rising lithium prices.

  • 📉 | One Notable Decliner: Paramount Skydance $PSKY ( ▼ 9.82% ) fell after losing its bid for Warner Bros Discovery to Netflix.

— Brooks & Cas

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MARKET SNAPSHOT

All Stock Heatmap. Credit: Finviz

Market Movers

PARSONS, COOPER COMPANIES, RUBRIK

Parsons $PSN ( ▼ 21.09% ) fell after losing a major air-traffic control modernization contract to Peraton.

Cooper Companies $COO ( ▲ 5.67% ) rose after announcing a strategic review, naming a new board chair, and posting strong results and guidance.

Rubrik $RBRK ( ▲ 22.49% ) jumped after beating Q3 earnings and revenue expectations.

Ulta Beauty $ULTA ( ▲ 12.65% ) surged after raising its full-year sales and earnings outlook.

SoFi $SOFI ( ▼ 6.15% ) slipped after announcing a $1.5 billion public stock offering.

To monitor hot stocks in real time, check out The Street Feed.

Tomorrow's Trade Idea, Today

Goldman’s High Conviction List

Screening For Big Upside

Goldman Sachs has rolled out a new global high conviction list built around mispriced growth. Five stocks qualify, each with a targeted upside of about 70% or more over the next year.

The group spans AI hardware, consumer tech, online travel, and fintech. Horizon Robotics $HRZRF ( ▲ 4.13% ), Hon Hai $HNHPF ( ▲ 2.88% ), Zalando (ZLNDY), MakeMyTrip $MMYT ( ▼ 1.54% ), and Wise (WISE) all tie into durable themes while still trading at what Goldman sees as reasonable multiples. Goldman wants self-funded growth, not momentum alone.

Five Stories, Same Playbook

China-based Horizon Robotics is the highest upside call. Goldman thinks shares can nearly double as its J6P automotive AI chips and driver assist software scale into mass production.

Hon Hai offers exposure to AI servers and premium smartphones in one manufacturer. In Europe, Zalando gets up to 77% implied upside as the About You deal beds in and margin work continues. Each case leans on clear, near-term catalysts.

MakeMyTrip is framed as a travel and cash flow recovery story. Wise rounds out the list as a cross-border payments platform where near-term spending is meant to support faster structural growth.

A Concentrated Upside Basket

Goldman pitches this quintet as a higher beta sleeve inside a diversified portfolio. These are not low volatility compounders, but idiosyncratic stories that could rerate sharply if execution holds. Position sizing and time horizon matter here.

Horizon Robotics and Hon Hai lean into AI hardware and manufacturing. Zalando and MakeMyTrip play digital commerce and online travel, while Wise adds a fintech angle tied to cross-border money movement and rising earnings power.

📈 Do you buy into Goldman’s high-upside basket?

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OVERHEARD ON THE STREET

TechCrunch: Sensor Tower data showed ChatGPT’s growth slowed as Google’s Gemini outpaced it in downloads, active users and time spent in app.

CNBC: The EU fined X $140M for deceptive blue checkmarks, poor ad transparency and blocking researcher access under the Digital Services Act.

Stockwits: Meta $META ( ▲ 1.8% ) acquired AI wearables startup Limitless AI to support its push toward personal superintelligence devices.

The Verge: The New York Times sued Perplexity, alleging the AI service scraped and reproduced its articles verbatim despite cease and desist demands.

CNN: Memory shortages driven by AI data center demand are set to push device prices higher as consumer memory costs surge another 30% to 50%.

THURSDAY’S POLL RESULTS

Are you bullish or bearish on Saga (SAGA) over the next 12 months?

▇▇▇▇▇ 🐂 Bullish

▇▇▇▇▇ 🐻 Bearish

Reply

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