HAPPY MONDAY TO THE STREET
We taste-tested Elliott Management’s changes to Southwest’s (LUV) business model last week. The results? As lukewarm as an in-flight meal.
Think chaotic boarding, overcrowded overhead space, and fully booked rows on a half-empty plane. (With seat change requests roundly denied.) Plus, some guy’s iPhone alarm was going off for half the flight. Think it can’t get worse than a crying baby? Try listening to the same seven seconds of a trap song on repeat for an hour.
Although, to be fair, I can’t blame that part on private equity…
🟨 | US stocks swung sharply today, ending mixed, as markets digested the US and Israel’s conflict with Iran.
📈 | One Notable Gainer: Palantir (PLTR) paced the S&P 500. US government revenue accounted for more than 40% of the defense tech firm’s sales in Q4.
📉 | One Notable Decliner: Norwegian Cruise (NCLH) slumped more than 10% after issuing lackluster guidance.
— Brooks & Cas
MARKET SNAPSHOT
All Stock Heatmap. Credit: Finviz
PREDICTION MARKET SNAPSHOT
The US’s sudden strikes against Iran, reportedly resulting in the death of Supreme Leader Ayatollah Ali Khamenei and dozens of senior Iranian political figures, have stoked uncertainty in the markets and beyond.
It’s hard to know how the principal actors see it shaking out. But in 2026, at least we know exactly what market observers are thinking.
Market Movers
AEROVIRONMENT, COINBASE, BERKSHIRE
AeroVironment (AVAV) plunged after losing exclusivity on a US Space Force contract.
Berkshire Hathaway (BRK.B) reported a sharp decline in Q4 operating earnings.
Elevance Health (ELV) disclosed planned CMS sanctions tied to its Medicare Advantage operations.
Tomorrow's Trade Idea, Today
THE CHINESE AI FIRM BEATING DEEPSEEK
Stock Spotlight
Share Gains In Motion
The Rating: UBS initiated MiniMax with a Buy rating, citing rising developer adoption and competitive pricing.
The Thesis: The Shanghai-based AI company’s model reportedly rivals Alibaba’s (BABA) Qwen 3.5, ByteDance’s Seedance 2.0, DeepSeek V3.2, and leading US models. It also operates at a fraction of the cost.
The Next Steps: UBS sees potential for global enterprise share gains and multibillion-dollar revenue opportunities. If China’s AI race shifts toward model providers, UBS believes MiniMax is well-positioned. It is a top 10 holding of the Roundhill Generative AI & Technology ETF (CHAT)
OVERHEARD ON THE STREET
🛢 Oil prices surged as tanker disruptions in the Strait of Hormuz and attacks on regional energy infrastructure stoked fears of prolonged supply shocks
Kalshi Odds: “Will Iran effectively close the Strait of Hormuz for 7+ days?”
Before May: 38%
Before August: 43%
Before 2027: 46%
🛩 Emirates resumed limited flights from Dubai after US-Israel strikes on Iran.
⚖️ A federal judge declined to end the SAVE student loan plan, but Congress still phases it out by July 2028, leaving 7M borrowers facing uncertainty.
FRIDAY’S POLL RESULTS
Are you bullish or bearish on TJX Companies (TJX) over the next 12 months?
▇▇▇▇▇▇ 🐂 Bullish
▇▇▇▇▇▇ 🐻 Bearish
And, in response, you said:
🐻 Bearish — “The upside is too minimal for the risk of a downturn.”
UNLOCK THIS TOP PICK
This is just 1 of 3 picks from Wall Street’s top analysts that Street Sheet Research members received on Saturday. We’ll be sharing them again this week, for those who missed out the first time around, or want to sign up for the next batch.
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