RJ Hamster
🦉 The Night Owl Newsletter for January 4th
Unsubscribe The free book that’s helped thousands profit with crypto (From Crypto 101 Media)If Solar’s Rally Has Legs, These 2 Stocks Could Benefit MostWritten by Ryan HassonSolar stocks quietly delivered an impressive comeback in 2025. The widely followed Invesco Solar ETF (NYSEARCA: TAN) surged 48% for the year, comfortably outperforming the S&P 500. That strength caught many investors off guard, particularly given the policy uncertainty that surrounded the sector earlier in the year. Concerns that the Trump administration might aggressively roll back renewable energy tax credits weighed heavily on sentiment during the first half of 2025.Those fears ultimately proved overdone. While the One Big Beautiful Bill did phase out certain subsidies, the scope and timeline of the changes were far more measured than initially expected. As clarity improved, capital flowed back into the space, and several leading solar names posted triple-digit gains. Heading into the new year, the sector is consolidating from a position of strength rather than breaking down. If that momentum carries into 2026, two of last year’s sector leaders are worth keeping firmly on the radar.NextPower: Momentum-Driven Growth in Solar InfrastructureNextPower (NASDAQ: NXT) emerged as one of the most explosive performers in the solar space in 2025. The company specializes in advanced solar tracking systems, designing and manufacturing single-axis trackers that allow panels to follow the sun’s movement throughout the day. These systems are increasingly critical for utility-scale projects focused on maximizing efficiency and output.Shares of NXT surged 138% in 2025, placing it among the top performers in the entire renewable energy sector. And that performance forced analysts to rethink their targets. One year ago, the consensus price target sat near $53. Today, that figure has climbed to $95.76, implying almost 10% additional upsidepotential from current levels. In total, based on 27 analyst ratings, the stock holds a consensus Moderate Buy rating.It wasn’t just the analysts who took notice, with Institutional investors also leaning in. Over the past twelve months, NextPower has seen total institutional inflows of $2.27 billion, compared with $957 million in outflows. That accumulation reflects confidence not only in the stock’s momentum but also in its fundamentals.In its most recent earnings report, NextPower posted second-quarter fiscal 2026 earnings on Oct. 23, reporting earnings per share of $1.19, beating consensus estimates by 21 cents. Revenue came in at $905.27 million, also well ahead of expectations.From a technical standpoint, the stock is at an interesting inflection point. Momentum remains positive, but a clear battle has formed between buyers and sellers. Support near $84 has become critical. Holding that level keeps the door open for a breakout above $90. A sustained move above that threshold could trigger a fresh leg higher within the stock’s broader uptrend. Conversely, a decisive break below $84 would likely cool momentum in the near term.First Solar: Utility-Scale Leader With Valuation SupportFirst Solar (NASDAQ: FSLR) remains one of the most established and differentiated players in the solar industry. The company designs and manufactures thin-film photovoltaic modules using cadmium telluride technology, supplying both modules and integrated solar power solutions primarily for utility-scale projects. That focus gives First Solar a distinct positioning compared with competitors, more exposed to residential or highly commoditized markets.From a return-to-shareholders’ perspective, 2025 was a strong year. Shares finished the year up 48%, comfortably outperforming the broader market. What stands out, however, is that valuation has remained reasonable despite that performance. The stock currently trades at a forward P/E of 11.5, and analyst sentiment remains bullish.First Solar carries a consensus Moderate Buy rating based on 35 analyst ratings, with a consensus price target implying modest upside of almost 4%. Fundamentally, the company has continued to execute, beating revenue expectations in each of the last two quarters as demand for large-scale solar projects remained resilient.Technically, the setup is also encouraging. Shares have been holding a well-defined upward trend, with the $250 area acting as a critical support level. If the stock can continue to build a base between roughly $260 and $280, a sustained move above $280 could open the door to renewed momentum and sector leadership as we move into 2026.Solar Momentum Faces Its Next TestAs 2026 takes off, solar stocks are entering the year with improving sentiment, clearer policy visibility, and technically constructive setups. First Solar and NextPower stand out as two companies positioned at the intersection of fundamentals, analyst conviction, and sector momentum.That said, for upside momentum to continue and higher trends to remain intact, the key support levels that formed during recent consolidations will need to hold. If they do, both stocks remain well-positioned to participate in any renewed strength across the solar space in the year ahead. READ THIS STORY ONLINEInside: Pre-IPO Ticker + The Next Elon Musk? (Ad)This Is the Pentagon’s Favorite Startup. And You’ve Never Heard of It.Most tech startups fight to get funding. This one? It just landed nearly $30 billion in deals from the Pentagon. And you can get pre-IPO exposure… with this 4-letter ticker.CLICK HERE TO SEE HOW TO GET PRE-IPO EXPOSURE.Oracle: A Hard Pass—or a Hard-to-Pass Opportunity?Written by Thomas HughesOracle’s (NYSE: ORCL) 2025 stock price action might suggest it is a hard pass for 2026, but that would be misreading the chart.The 2025 price correction came after a large inflow of capital, fueled by an expanding positive outlook connected to AI, indicating strong gains are expected.While uncertainty clouds the near- and mid-term outlooks, the long-term outlook includes Oracle as a well-positioned, critical hub in the global datacenter ecosystem. Investors who look beyond short-term volatility may find Oracle’s AI infrastructure strategy offers a compelling runway for future growth.Oracle: Serving and Monetizing AI Needs at HyperscaleThere will be many winners in the AI ecosystem, but the biggest, most enduring wins will be made by the hyperscalers, of which Oracle is one. The hyperscalers control approximately 44% of the global data center industry and are forecast to increase it to over 60% within the coming years. While Oracle holds a small 3% share of the total, it is also gaining share within the industry. It also has a strong presence in non-hyperscale data center activity, including for businesses, enterprises, private AI developers, and sovereign regions.  Oracle operates nearly 150 datacenters globally and has 64 under construction. That’s worth a 43% increase in capacity that internal operating metrics, including the 438% increase in Q2 fiscal year 2026 (FY2026) remaining performance obligations (RPO), suggest is already fully booked. Plans also include “gigawatt-scale” data centers to support advanced HPC computing. Regarding cloud regions, there are more than 100, including 51 public in 26 countries, 23 multicloud (a critical component), and 29 for dedicated clients, including OpenAI. While data centers and data center growth underpin Oracle’s long-term outlook, its strength lies in multicloud operations. Businesses and enterprises, including large language model builders, rely on multiple clouds for training, inference, and core operations. Oracle is embedded throughout all hyperscale networks, enabling a unified cloud experience across the tech stack. Not only are the model builders able to access, manage, and use data across clouds, but businesses and enterprises can access models and GPUs of their choice via Oracle’s offerings. It has entrenched itself as a centralized, go-to source for AI, AI infrastructure, and AI services, all of which are critical to the global tech industry. Oracle Revenue Growth to Continue in 2026Oracle’s market is in a wait-and-see mode, waiting to see when and if its heavy investments in AI will pay off. Among the issues in calendar 2025 is that growth didn’t accelerate as quickly as analysts had hoped, but building the data centers and the GPU racks that go into them takes time. The critical takeaways from the results are that revenue growth accelerated sequentially and year-over-year in Q1 FY2026 and Q2 FY2026, and is forecast to continue accelerating over the next two years.Oracle is forecast to grow by approximately 17% in 2026, and then double in size by the end of 2028. The only question is the timing of growth, which is tied to data center openings. Analysts helped trigger the 2025 sell-off by lowering their price targets in the fourth quarter of the calendar year. However, as bearish as the detail may sound, it wasn’t, and the market has overreacted. The 23 revisions and initiations MarketBeat tracked in December include numerous price target revisions, but to levels aligning with the robust consensus forecast, expecting a 60% upside from the critical support level.MarketBeat data also reveals that coverage increased by 48% to 43 in 2025; coverage is rock-solid with 43 analysts tracked; sentiment is firm at Moderate Buy; and the revision trend is bullish. While Q4 reductions triggered the sell-off, the consensus is up 70% over the preceding 12 months, and the December revisions align with this trend. All this market needs to rebound is a catalyst, and a report good enough to get analysts to lift or affirm targets could be the trigger. READ THIS STORY ONLINEThe free book that’s helped thousands profit with crypto (Ad)Free book reveals best crypto play for right nowThe smart money sees something most investors don’t. A potential rally setting up… and now could be the perfect time to get positioned.GET YOUR FREE COPY OF THIS MUST-READ BOOK.Why 2026 Could Be the Year Archer Aviation Finds Its LiftWritten by Nathan ReiffFuturistic air taxi maker Archer Aviation Inc. (NYSE: ACHR), known for its electric vertical takeoff and landing (eVTOL) aircraft, was battered throughout 2025. The company’s share price zig-zagged for several months but ended down almost 18% overall for the year as Archer and others in the emerging eVTOL space await FAA approval of this class of aircraft.2026 may provide the impetus Archer needs to achieve sustainable appreciation once again. The company is exploring new revenue streams, has a balance sheet that should provide it with flexibility while it continues to wait for mass commercialization opportunities, and, perhaps most importantly, is making real strides in executing its vision of a new type of short-distance travel. Analysts are broadly bullish that Archer can continue to make progress this year, as two-thirds of firms rating the stock call it a Buyand Wall Street expects almost 54% in potential upside to ACHR’s price. Below, we look more closely at what might prompt Archer to achieve lift-off this year.A Bullish View of Archer’s Revenue Potential, Cash Position, and Technological DevelopmentsA key consideration for Archer is whether it can build toward profitability, particularly as it awaits necessary approvals to move toward commercialization. The company’s move toward additional revenue streams bodes well in this way. Its plan to acquire Los Angeles’ Hawthorne Airport for about $126 million will be beneficial not only as a strategic hub and site for testing but also for its potential to immediately boost cash flow thanks to continuing operations. Further, the company is continuing to expand its technology licensing efforts, which began with a partnership with defense start-up Anduril Industries to develop military aircraft in late 2024 and should continue to generate much-needed funding.Despite a net loss of $130 million in the last quarter and an adjusted EBITDA loss of $116 million, there are reasons to expect Archer’s financials to improve in the new year. First, the company should post revenue from Middle East launch agreements as early as the first quarter. It ended last year with more than $2 billion in liquidity, which will provide an essential runway for several quarters—and it will likely raise additional capital going forward as well to continue to bolster that position.Crucially, 2026 could be a year of continued technological advances as Archer moves further toward execution. The company is undergoing test flights in Dubai, and it is ramping up early stage production. It is even moving to launch air taxi trials across the United States as part of the White House’s eVTOL Integration Pilot Program (eIPP). Investors should watch for announcements from the FAA regarding its selections for the eIPP, which are likely to become available in early-to-mid 2026 and may prompt share price movement.This multi-pronged approach, including both domestic and international efforts, could help to position Archer as the dominant eVTOL company as the industry continues to grow. And indeed, significant growth is likely—the market could reach a whopping $1 trillion by 2040, according to some analyst estimates.Caution Is Still WarrantedTo be sure, Archer remains a fairly speculative play while the eVTOL industry is awaiting regulatory approval. Archer has made notable progress in its efforts with the FAA, already receiving certain approvals, but there are additional certifications still in development as of the start of the year. The company has also made in-roads in other markets, including through partnerships in Saudi Arabia and Japan, for example. However, its operational success very much hinges on being able to launch commercial air taxis in the United States, and there’s no guarantee of when (or if) that may be possible. In the meantime, additional stock offerings to raise capital in support of the purchase of Hawthorne and multiple acquisitions have threatened to dilute shareholder investments.All of this suggests that Archer, while holding tremendous potential to revolutionize the travel industry, is still a risky venture for investors. However, those willing to take the chance may find that the recent pullback in share price makes the start of the year a particularly attractive time to consider an investment in Archer. READ THIS STORY ONLINEPunch these codes into your ordinary brokerage account (Ad)If your retirement strategy involves “picking the right stocks,” you’re one crash away from disaster… A hedge fund legend who made $95 million in profits during a crash has a different way. He’s using 18-digit codes to “skim” the market without buying stocks. And his followers have seen an 84%-win rate. CLICK HERE TO SEE HOW HE DOES ITThe Night Owl is a financial newsletter that provides in-depth market analysis on stocks of interest to individual investors. Published by MarketBeat and Early Bird Publishing, The Night Owl is delivered around 9:00 PM Eastern Sunday through Thursday. If you give a hoot about the market, The Night Owl is the newsletter for you.  View as a Web PageIf you need assistance with your newsletter, please don’t hesitate to email MarketBeat’s U.S. based support team at contact@marketbeat.com.Unsubscribe © 2006-2026 MarketBeat Media, LLC. All rights protected. 345 N Reid Place, Sixth Floor, Sioux Falls, SD 57103-7078. USA..Today’s Featured Content: The best part of trading starts at 9:30 am EST (From Base Camp Trading) |
