Stock Indexes End Higher for 3rd Straight Session as Tech Shares Continue Advance; Gold, Silver Hit Fresh Record Highs

Is Microsoft Undervalued by Investors? These Tech Stock Experts Think So

1 hr 26 min ago

Microsoft (MSFT) stock has set a number of records this year, and analysts think that trend can continue well into 2026.

Wedbush analysts led by Dan Ives, who is particularly bullish on the artificial intelligence trade, wrote Monday that Microsoft remains undervalued as the new year approaches. The analysts reiterated their “outperform” rating and $625 price target, upside of nearly 30% from the stock’s Monday levels.

The analysts wrote that investors are still “underestimating” how much Microsoft’s Azure cloud computing service could grow if the AI industry continues expanding as Wedbush expects. The analysts project that Azure and Microsoft’s Copilot AI assistant could add $25 billion in sales to Microsoft’s results through fiscal 2026.

“We believe Microsoft is set to have a massive 2026 and the stock is a compelling buy at these levels,” the analysts wrote, as they expect Microsoft to play a “foundational role” in the next stages of AI development.

Wedbush analysts aren’t alone, as all but one of the 13 analysts with current ratings tracked by Visible Alpha rate Microsoft a “buy,” with the other calling it a “hold.” The average price target among those analysts is $635, even higher than Wedbush’s target, indicating the expectation that Microsoft stock will rise well above the records it set earlier this year.

Read the full article here.

–Aaron McDade

Google Wants More Energy to Fuel AI. It’s Buying This Company to Help Power Its Data Centers

1 hr 54 min ago

Google parent Alphabet just struck another big energy deal aimed at growing its AI data center footprint.

Alphabet (GOOGL) said Monday it’s buying energy infrastructure provider Intersect for $4.75 billion to help support its data center buildout.

CEO Sundar Pichai said the purchase of Intersect, which Google had already owned a stake in through a previous funding round, “will help us expand capacity, operate more nimbly in building new power generation in lockstep with new data center load, and reimagine energy solutions to drive US innovation and leadership.”

Alphabet said its deal with Intersect would also serve its commitment to “unlock abundant, reliable, affordable energy supply that enables the buildout of data center infrastructure without passing on costs to grid customers.”

Alphabet shares were up less than 1% in recent trading. They’ve added nearly two-thirds of their value in 2025 as revenues surged, thanks in part to gains from AI.

–Bill McColl

Why Stanley Black & Decker Stock Is Surging Monday

2 hr 9 min ago

Shares of Stanley Black & Decker (SWK) jumped Monday after the company announced an agreement to sell its Consolidated Aerospace Manufacturing business to aircraft metal components manufacturer Howmet Aerospace (HWM) for $1.8 billion in cash.

Stanley Black & Decker said it plans to use the net cash proceeds from the transaction, which is expected to close in the first half of next year, to reduce debt. Until the transaction closes, Stanley Black & Decker plans to have the unit continue operating. 

CEO Chris Nelson said the sale of Consolidated Aerospace Manufacturing “reflects our ongoing dedication to enhancing shareholder value and focusing on growing our biggest brands and businesses.” The unit makes fasteners, fittings and engineered components for the aerospace and defense industries.

Howmet said it sees Consolidated Aerospace Manufacturing generating 2026 fiscal year revenue of about $485 million to $495 million, with adjusted EBITDA margin greater than 20% before synergies.

Read the full article here.

–Bill McColl

Gold, Silver, and Copper Are All Hitting Record Highs—Here’s What’s Driving the Frenzy

2 hr 35 min ago

Investors continue to buy up metals, driving the prices of gold and silver to new highs.

Gold hit $4,460 per ounce Monday, an all-time high in a year that’s already seen it surpass its 1980 inflation-adjusted peak. Silver has more than doubled in price. Copper, the metal wiring data centers and EVs, is approaching $12,000 per ton in its biggest annual surge since 2009.

Rate-cut expectations, a weakening dollar, and geopolitical anxiety are fueling these rallies. The dollar is on pace for its steepest annual decline since 2017, making gold cheaper for overseas buyers and spawning enthusiasm for what’s known as the “debasement trade,” in which investors see metals as a hedge against rising government debt.

Central banks are also building their gold stockpiles, expanding physical holdings to cut their reliance on the dollar and hedge against economic turbulence.

The expectation of rate cuts, meanwhile, generally supports gold, which doesn’t pay a dividend and thus can look more attractive by comparison when rates are lower. (Practically speaking, there’s disagreement among experts about how many cuts, if any, the Fed might make in 2026.)

Read the full article here.

–Peter Gratton

Retirees, This End of Year Error Could Cost You Big, Says Vanguard Study

3 hr 4 min ago

The end of the year is near and you might be busy stocking up on gifts and planning visits to family and friends. But retirees should keep another year-end deadline in mind: taking required minimum distributions, or RMDs.

New research from Vanguard estimates that missed RMDs could cost retirees up to $1.7 billion annually.

Starting at age 73, investors must take RMDs, which are required annual withdrawals from accounts like 401(k)s and traditional IRAs. (Though if you’re still working and have a 401(k) plan through your current employer, you don’t have to take RMDs from that account yet.)

By looking at data of Vanguard traditional IRA holders, the researchers found that 6.7% of RMD-eligible investors missed taking them in 2024. The average RMD amount was $11,600, which means individuals could incur a penalty of $1,160 or $2,900, assuming a 10% or 25% penalty, respectively.

Vanguard notes there are 8.7 million IRA holders nationwide. “Scaling our missed-RMD rate of 6.7% and applying our average tax penalty of $1,160 to $2,900, we estimate that 585,000 IRA holders miss their RMDs annually, with the total potential tax penalties ranging from $678 million to $1.7 billion each year,” the researchers wrote.

Read the full article here.

–Trina Paul

CoverGirl Owner Coty Is Getting a New CEO—Here’s What You Need to Know

3 hr 35 min ago

Cosmetics maker Coty’s leadership is getting a makeover.

The owner of CoverGirl, Rimmel, and Sally Hansen brands said Monday that Procter & Gamble (PG) veteran Markus Strobel is set to take over as its executive chair and interim CEO in the new year.

Current CEO Sue Nabi will step down after a five-year tenure at Coty (COTY), and executive chair Peter Harf is set to retire from the company’s board after over three decades of service. The company said the change will mark a “pivotal moment” for Coty, which has seen sales slide in the face of macroeconomic uncertainty and higher tariffs.

Strobel joins Coty after serving as president of consumer products giant Procter & Gamble’s skin and personal care segment, which includes Gillette razors and the Olay and Old Spice brands, among others. The move could mean more changes ahead for Coty, which in September launched a strategic review of its consumer beauty business.

Last month, Coty posted fiscal first-quarter earnings that missed estimates as sales fell. The company said it still expects to return to growth by the second half of the fiscal year, but warned retailers are being cautious in their ordering habits.

Coty shares slipped about 2% in recent trading, leaving them down about 53% for 2025. They lost more than a fifth of their value in one session in August after Coty reported a surprise loss for its fiscal fourth quarter.

–Aaron McDade

Nike Stock Leads Dow Decliners After Tanking Friday

4 hours ago

It’s been a rough couple of sessions for Nike shareholders.

Nike (NKE) stock was the worst performer in the Dow Jones Industrial Average on Monday afternoon, with shares declining about 2%.

On Friday, Nike shares sank more than 10% after the sneaker giant said it anticipated a current-quarter sales decline amid headwinds in China.

Nike shares have lost near a quarter of their value this year, with about half of the decline occurring in the last two sessions.

Larry Ellison Steps Up His Bid to Help Paramount Pull Warner Bros. Discovery From Netflix

4 hr 34 min ago

Paramount wants Warner Bros. Warner Bros. wants Netflix. A tech billionaire hopes his personal guarantee can tip the scales in the other direction.

Paramount Skydance (PSKY) on Monday tweaked its offer for Warner Bros. Discovery (WBD), addressing some of the concerns the latter company outlined in a letter to shareholders last week. Warner Bros. rebuffed Paramount CEO David Ellison’s attempt to pry the HBO owner away from Netflix (NFLX), which has already agreed to acquire it for upwards of $80 billion.

The latest development is that Paramount says Larry Ellison, co-founder of Oracle and the world’s fifth-richest person, agreed among other things to personally guarantee more than $40 billion of the equity financing for its offer, as well as to not amend a family trust or transfer assets that might otherwise endanger the transaction.

Warner Bros. did not respond to Investopedia’s request for comment in time for publication. Still, the development appears to have struck a chord with some investors: Shares of Paramount are up more than 5% following the announcement, and Warner Bros.’ are up roughly 3%. Meanwhile, Netflix (NFLX) is down about 1%.

Read the full article here.

–Crystal Kim

This Space Stock Extends Its Recent Rally After a Successful Launch, Space Force Contract

4 hr 48 min ago

Rocket Lab (RKLB) shares surged Monday after another successful launch this weekend, adding to Friday’s gains following a U.S. Space Force deal.

The shares were up nearly 9% in recent trading, after jumping close to 18% Friday.

Rocket Lab said Sunday that its Electron rocket took off successfully from a New Zealand spaceport this weekend. “The Wisdom Gods Guide” mission involved deploying satellites for Japan-based Earth imaging firm Q-shu Pioneers of Space, or iQPS.

The launch helped Rocket Lab reach a record 21 Electron rocket launches over the past year, with a 100% success rate, the company said.

On Friday, Rocket Lab announced a contract for up to $816 million to build a missile-defense satellite constellation for the U.S. Space Force. The agreement—marking the largest contract in the company’s history—will have Rocket Lab design and manufacture 18 satellites, Rocket Lab said.

With their recent gains, Rocket Lab shares have roughly tripled in value in 2025. 

–Bill McColl

Why Planning Retirement Around Extended Work Years Could Harm Your Health and Job Security

5 hr 50 min ago

You’re fast approaching retirement, but don’t have enough money to comfortably retire just yet. Instead of stashing more money in your 401(k), what if you just worked longer, delaying retirement until you saved enough?

While this may seem like a good idea in theory, in practice it might not work out. We connected with policy experts to understand at what age people are retiring and why working forever won’t solve your retirement woes.

Most Americans retire before they reach full retirement age (FRA) for Social Security, which is age 67 for those born in 1960 or later.

“If you look at men, probably about half of people make it to age 65 today,” said Geoffrey Sanzenbacher, Professor of the Practice at Boston College. “For women, those numbers are a little bit lower… So we’re talking [about] less than half [of women] making it to age 65.”

In 2024, the average retirement age was 64.6 and 62.6 for men and women, respectively, according to data from the Center for Retirement Research at Boston College.

Read the full article here.

–Trina Paul

Clearwater Analytics Stock Surges on News Company to Be Taken Private

6 hr 20 min ago

Shares of Clearwater Analytics Holdings (CWAN) jumped Monday morning after the company announced an $8.4 billion deal to be acquired and taken private by an investor group led by private equity firms Permira and Warburg Pincus.

Clearwater shareholders will get $24.55 per share, a premium of about 10% from the stock’s $22.25 closing price on Friday and 47% compared to Nov. 10, just before shares started to surge following reports of a potential deal.

Clearwater, a maker of financial services software, said the deal includes a “go-shop” period where it will be able to entertain any other offers for the next month, and that the deal is expected to close in the first half of next year if no other deal is made.

Clearwater shares were up more than 8% at $24.07 in recent trading but remain about 12% lower this year.

–Aaron McDade

S&P 500 Utilities Sector in Red in Early Trading

7 hr 12 min ago

The S&P 500 is off to a good start Monday morning. Utilities stocks are not.

Among the 11 industries tracked by the benchmark index, the S&P 500 Utilities Sector was one of just two trading in the red in the opening 30 minutes of trading.

The S&P 500 Utilities Sector was down roughly 0.5%, while the index as a whole was up 0.4%.

Leading sector declines were shares of Dominion Energy (D) and Eversource Energy (ES), which were down roughly 4.5% and 3%, respectively.

What to Expect From Tuesday’s Report on Economic Growth

8 hr 38 min ago

Forecasters believe the economy grew at a fast pace in the third quarter, though the report was delayed by the government shutdown and the data is getting stale. 

A long-delayed report on Gross Domestic Product is expected to show that the economy grew at an annualized rate of 3.2% in the third quarter, according to the median forecast of economists surveyed by Dow Jones Newswires and The Wall Street Journal.If p roven true, it would be a slowdown from the 3.8% growth in the second quarter, but higher than the average of 2.6% since the third quarter of 2021.

The government shutdown in October and November delayed the widely watched economic indicator. An advance estimate of the third-quarter GDP growth was scheduled to be released in October, but was canceled because workers at the BEA and other statistical agencies were furloughed. The preliminary figures released on Tuesday will be revised once more as additional data becomes available.

The GDP hasn’t been as accurate a measure of economic growth lately as it usually is, because of President Donald Trump’s tariff campaign. Imports count against economic growth in GDP, and a surge of imports in the first quarter, as companies rushed to buy goods before the import taxes took effect, sent the GDP into negative territory. The on-paper slump was reversed in the second quarter, as imports declined.

Beneath all the turmoil, economists believe the economy continued to expand in the third quarter, powered by the main engine of economic growth: consumer spending.

Read the full article here.

–Diccon Hyatt

There’s One Thing Trump Could Do to Turbocharge the Global Economy and Crush Inflation

9 hr 16 min ago

President Donald Trump could invigorate the global economy and stamp out inflation quickly. All it would take would be scrapping his signature economic policy.

That’s according to an analysis this week by Daniel Harenberg, lead economist at Oxford Economics, who found that a reversal of the tariffs Trump imposed this year would drive the global economy to grow at a rate of 3% in 2026 and 3.4% in 2027, compared to 2.7% and 2.9% if there’s no change. That’s a boost of 0.5 percentage points per year, all while reducing inflation for U.S. consumers.

Trump has shown no sign that he would remove or negotiate away his beloved tariffs, but Harenberg’s analysis highlighted the potential impacts if 2026 delivered yet another surprise on par with 2025’s trade policy shock.

In this scenario, Trump could strike deals with other countries to remove tariffs ahead of the 2026 elections.

“In our extreme upside scenario, President Trump pushes for a series of bilateral trade deals to create a positive news-flow ahead of upcoming mid-term elections,” Harenberg wrote. “One year after “liberation day,” the U.S. administration starts lowering U.S. tariffs back to the levels at end-2024.”

Read the full article here.

–Diccon Hyatt

Honeywell Expects Roughly $470M Charge Due to Flexjet Litigation

9 hr 48 min ago

Honeywell International’s ongoing litigation with Flexjet over engine maintenance obligations is going to hit its financial results.

Before the bell Monday, Honeywell (HON) said that because of its legal dispute with private jet operator Flexjet, it “expects to record a one-time charge within its Aerospace Technologies segment in the fourth quarter of 2025 that will reduce GAAP sales (due to contra-revenue accounting) and operating income by approximately $310 million and $370 million, respectively.”

The conglomerate added that it expects “any settlements will include one-time cash payments to the parties to the Flexjet-related litigation matters totaling approximately $470 million in the aggregate.”

In addition, Honeywell said it will report its Advanced Materials business unit as discontinued operations beginning in Q4 after spinning off Solstice Advanced Materials (SOLS) on Oct. 30. As a result, it adjusted its full-year and Q4 2025 outlook, and otherwise affirmed its Q4 projections. “The new business segment structure aligns to the company’s go-forward strategy for its automation business ahead of the planned spin-off of its Aerospace business in the second half of 2026,” it said.

Honeywell shares slipped more than 1% before the bell. They entered Monday down 6% this year.

Stock Futures Point Higher to Start Holiday-Shortened Week

10 hr 58 min ago

Futures contracts associated with the Dow Jones Industrial Average were up 0.1%.

S&P 500 futures rose 0.4%.

Nasdaq 100 futures gained 0.5%.