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This makes me furious (From The Oxford Club)
Written by Jeffrey Neal Johnson on March 3, 2026

In response to escalating geopolitical tensions in the Middle East, the defense sector has captured the market’s undivided attention.
Shares of industry leaders Lockheed Martin (NYSE: LMT), RTX Corporation (NYSE: RTX), and Northrop Grumman (NYSE: NOC)have surged, with some reaching new highs on a significant increase in trading volume.
This sharp upward movement has prompted a key question among investors: Is this rally a temporary, fear-driven spike, or does it represent a more durable recognition of the sector’s underlying value? A closer look at the financial footing of these companies reveals a foundation of strength that was firmly in place long before the current crisis emerged, suggesting the market is just now catching up to a deeper reality.
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Recent military actions involving the U.S. and its allies have served as a powerful catalyst, fundamentally shifting the market’s perception of the defense industry. The immediate effect has been a widespread expectation of increased global military spending. This is not just a short-term reaction to replenish spent munitions; it reflects a broader strategic realignment.
Nations are now assessing their long-term defense postures in a world perceived as more volatile, leading to accelerated modernization programs and larger investments in next-generation technology.
The nature of modern conflict, with its emphasis on precision missiles, advanced air defense systems, and sophisticated surveillance networks, creates a direct and sustained demand signal for the core products of these defense giants. Events have brought the critical need for systems like the Patriot missile battery, the F-35 combat jet, and strategic bombers into sharp public focus. For companies that produce these essential assets, the geopolitical landscape has underscored their non-negotiable role in national and global security, prompting a broad re-evaluation of their long-term growth prospects and intrinsic value.
While the recent conflict provided the spark, the defense sector’s rally is fueled by a deep reserve of pre-existing financial strength. The most telling indicator of this stability is found in the companies’ order backlogs, the total value of all signed and awarded contracts for future work.
These staggering figures, totaling hundreds of billions of dollars, represent years of secured revenue and provide investors with a clear and reliable picture of future business activity. This insulates these companies from the volatility of commercial markets and forms the bedrock of the current bull case.
A detailed look at the order books reveals a multi-year runway for growth, anchored by programs deemed essential to national security.
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The powerful surge in defense stock valuations appears to be more than a fleeting reaction to conflict. It is a logical repricing based on a new understanding of global risk and sustained, non-cyclical demand. While the geopolitical crisis was the spark, the rally is fueled by record-breaking backlogs and multi-decade strategic programs.
This operational strength is further complemented by solid financial health, evidenced by consistent revenue growth and reliable dividend payments that signal stability to long-term investors. The market seems to be establishing a new, higher valuation floor for this sector, recognizing that these companies are uniquely positioned for a prolonged period of elevated demand. Consequently, market participants are now focused on how effectively these defense leaders can execute on their ambitious production schedules to convert historic backlogs into accelerating earnings and cash flow for years to come.
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This Week’s Bonus Story
Authored by Jeffrey Neal Johnson. First Published: 3/3/2026.

It’s a confusing time for retail investors. Markets are trading near record highs, companies are posting massive revenue numbers, and excitement around technology and spaceexploration is high. Yet a troubling trend has emerged: the people running these companies — CEOs, CFOs, and COOs — are selling stock aggressively.
When executives liquidate millions of dollars in shares, alarm bells ring. Investors naturally worry that insiders know something the public does not. Is the top in? Are growth prospects slowing? Seeing a chief financial officer (CFO) dump stock can feel like watching the captain put on a life vest while telling passengers the ship is unsinkable.
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However, panic is rarely a profitable strategy. While insider selling creates fear, a deeper look at the data often reveals a powerful counter-signal: institutional accumulation. Hedge funds, pension funds, and investment banks frequently buy the very shares executives are selling. This divergence between individual profit-taking and institutional conviction can offer opportunities for investors who know where to look.
Meta Platforms (NASDAQ: META) has been a dominant force, trading around $655 as of early March 2026.
This marks a significant rally from prior years, driven by the integration of artificial intelligence(AI) and robust advertising revenue.
Recent filings show Meta’s executives taking significant chips off the table. In Feb. 2026 alone, CFO Susan Li sold approximately $35 million worth of stock. COO Javier Olivan executed multiple sell orders throughout the month.
In total, eight insiders have sold over the last 12 months, with no insider buys recorded. For an outsider, seeing top brass reduce their holdings might look like a vote of no confidence.
It’s important to understand the context behind these trades. Most of these sales were executed under Rule 10b5-1 trading plans — pre-scheduled arrangements that automatically sell stock at set times or prices, often established months in advance.
While insiders sell, the smart money is buying. Data from the past 12 months shows a net institutional inflow of over $100 billion into Meta stock. Recently, billionaire investor Bill Ackman reportedly acquired a multi-billion-dollar stake, arguing the company remains attractive despite its rally.
Institutions are focusing on fundamentals rather than the optics of insider trades.
For Meta’s institutional investors, the thesis is straightforward: Meta is a cash-flow machine with a dominant market position. They view the current price not as a peak but as a stepping stone toward higher valuations.
The dynamic between insider selling and institutional buying is even more pronounced at Rocket Lab USA (NASDAQ: RKLB). The aerospacecompany’s stock has surged from around $14 to over $70 in a year, triggering large liquidity events for the leadership team.
In Dec. 2025, CEO Peter Beck sold more than $140 million in stock. In Jan. 2026, CFO Adam Spice sold over $100 million. Those are eye-popping figures that can easily spook retail investors.
Context matters. Rocket Lab’s leadership spent years building the company from a startup into a roughly $37 billion industry player. For founders and early executives, selling shares after a roughly 400% run-up is a life-changing financial event.
Such sales often reflect the realization of past success rather than a lack of faith in the future. If executives believed the company was doomed, they likely would have sold earlier at lower prices.
Wall Street clearly does not view these sales as a red flag. Institutional ownership in Rocket Lab has surged to nearly 72%. Over the last 12 months, institutions purchased $4.96 billion in shares while selling only $1.51 billion. Major funds like Vanguard and Baillie Gifford are absorbing the supply created by insiders.
Why are they buying? Institutions look forward, not backward. They are buying based on three key catalysts:
Even the recent Neutron rocket delay to Q4 2026 has not deterred accumulation. The delay, caused by a manufacturing defect in a tank test, is seen by analysts as a temporary setback. The large SDA contracts and Rocket Lab’s satellite-production capabilities keep the long-term growth thesis intact.
When analyzing stocks like Meta Platforms and Rocket Lab, it’s easy to get swept up in headlines. Insider selling makes for dramatic news, but it rarely tells the whole story. Executives sell for personal reasons; institutions buy for profit.
The divergence we see today is a classic case of wealth transfer. Insiders are cashing out on the past decade’s growth, while institutions are positioning themselves for the next decade.
For investors, the actionable takeaway is clear:
Ultimately, while insiders may be taking profits, the market’s largest players are betting the rally is far from over. Following the flow of institutional capital often provides a clearer signal of value than the tax planning of a few executives.
Investors seeking long-term growth may want to add Meta Platforms to their watchlist and treat dips prompted by insider-selling headlines as potential buying opportunities. Aggressive growth investors might consider Rocket Lab’s current pullback an entry point, given the strong institutional support and the $1.85 billion backlog.
Today’s Exclusive Story
Written by Thomas Hughes. Posted: 2/26/2026.

MercadoLibre’s (NASDAQ: MELI) Q4 results and 2026 outlook are compelling reasons to buy the stock. The company is growing, outperforming peers, and has only reached about half of its anticipated market penetration.
While the results were not perfect, the roughly 10% decline in the share price looks like an overreaction to investments that should pay off over time.
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MercadoLibre is known for an upfront, aggressive investment approach: spending now to drive customer traffic and market share later.
For investors, that strategy has translated into sustained, high-double-digit growth and improving profitability, which can support long-term financial health and shareholder value.
MercadoLibre experienced a strong quarter, with revenue growth accelerating both sequentially and year over year to more than 44.5%. The gains were driven by higher merchant and consumer traffic: gross merchandise volume rose 37%, with strength across all regions and business segments. Key growth markets—Brazil, Mexico and Argentina—grew 37%, 41% and 72%, respectively, on a foreign-exchange-neutral basis, supporting a systemwide 40% increase in commerce and a 51% jump in fintech revenue.
Margins are the sticking point because increased spending is not guaranteed to pay off. However, MercadoLibre has a proven playbook of incentivizing consumers and merchants—through logistics services, free shipping on qualifying orders and other promotions—that tends to drive adoption where it is offered. While EPS missed by $0.41, reported earnings remained healthy at $11.03 per share.
A critical detail is the outlook: the company is expected to continue growing revenue and its earnings base substantially in the coming year. Consensus earnings estimates call for more than 50% growth and may be conservative given recent trends.
MercadoLibre is not only aggressively addressing its addressable market, that market is also expanding and digitizing. Together, those forces create a robust tailwind, as reflected in the company’s revenue history. Quarterly earnings can be uneven, but revenue growth has been consistent and frequently exceeds estimates. Over time, the pace of investment should slow, turning spending into an additional tailwind for profits.

The analyst response has been broadly favorable. Revisions MarketBeat tracked the day of the release largely affirmed the Moderate Buy consensus. A few firms trimmed price targets, but most pointed to bullish offsets to the near-term spending headwind—among them, a pricing increase in Brazil that could boost EPS by up to 3% and continued strong growth in core markets. The consensus target implies roughly 60% upside in MELI’s stock price, while the low-end range still suggests about 35% upside from current levels.
Analysts view MELI’s late-February pullback as a buy-the-dip opportunity, and institutional trends indicate large holders are likely buyers. Institutional data show these investors own about 87% of the stock and have accumulated shares in three of the past four quarters and seven of the past eight. Buying activity ramped in late 2025, peaked in early 2026, and is likely to remain supportive amid the price pullback. If MELI’s growth outlook looked attractive at $1,975 in late December 2025, it looks even more compelling at $1,750 in early 2026.
MercadoLibre’s balance sheet underscores the health of the business and the impact of its growth efforts. Highlights from 2025 include higher liabilities, but debt remains low, asset growth offsets liability increases, and shareholder equity rose strongly. Equity increased by more than 55% to over $6.7 billion and is expected to continue expanding. MercadoLibre is forecast to sustain a moderate double-digit compound annual growth rate through the middle of the next decade, potentially growing its emerging-marketsbusiness substantially over that period.
The biggest risk for MELI shareholders is margin compression. While investment spending should slow over time, changing market economics could put pressure on margins. In that scenario, revenue would likely continue to grow but earnings could lag, which would weigh on the share price.
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MarketBeat All AccessMy MarketBeatAccount SettingsAnalyst RatingsDividend DeclarationsEarnings AnnouncementsHeadlinesInsider TradesTrade Stocks with QtradeHave $500? Invest in Elon’s AI Masterplan (ad)What if you could claim a stake in what’s set to be the biggest IPO ever… starting with just $500?
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European Residential Real Estate Investment Trust (TSE:ERE.UN) was downgraded by Desjardins from “hold” to “tender”. They now have a C$1.90 price target on the stock, up from C$1.20. This represents a 62.4% upside from the current price of C$1.17.Pet Valu (TSE:PET) was downgraded by Canadian Imperial Bank of Commerce from “outperform” to “neutral”. They now have a C$28.00 price target on the stock, down from C$36.00. This represents a 13.2% upside from the current price of C$24.74.Pet Valu (TSE:PET) was downgraded by National Bank Financial from “outperform” to “sector perform”. They now have a C$28.00 price target on the stock, down from C$37.00. This represents a 13.2% upside from the current price of C$24.74.
CAE (TSE:CAE) (NYSE:CAE) was given a new C$50.00 price target by Stifel Nicolaus. They now have a “buy” rating on the stock. This represents a 18.7% upside from the current price of C$42.13.NorthWest Health Prop Real Est Inv Trust(TSE:NWH.UN) had its price target raised by Royal Bank Of Canada from C$5.50 to C$6.00. They now have a “sector perform” rating on the stock. This represents a 1.5% upside from the current price of C$5.91.Plaza Retail REIT (TSE:PLZ.UN) had its price target raised by Royal Bank Of Canada from C$4.50 to C$4.75. They now have a “sector perform” rating on the stock. This represents a 5.8% upside from the current price of C$4.49.Plaza Retail REIT (TSE:PLZ.UN) had its price target raised by Desjardins from C$4.75 to C$5.00. They now have a “buy” rating on the stock. This represents a 11.4% upside from the current price of C$4.49.Paramount Resources (TSE:POU) was given a new C$33.00 price target by Roth Mkm. They now have a “buy” rating on the stock. This represents a 12.2% upside from the current price of C$29.40.Paramount Resources (TSE:POU) had its price target raised by Canadian Imperial Bank of Commerce from C$25.50 to C$30.50. This represents a 3.7% upside from the current price of C$29.40.Paramount Resources (TSE:POU) had its price target raised by National Bank Financial from C$32.00 to C$32.50. They now have a “sector perform” rating on the stock. This represents a 10.5% upside from the current price of C$29.40.Paramount Resources (TSE:POU) had its price target raised by Royal Bank Of Canada from C$26.00 to C$30.00. They now have a “sector perform” rating on the stock. This represents a 2.0% upside from the current price of C$29.40.Paramount Resources (TSE:POU) had its price target raised by ATB Cormark Capital Markets from C$28.00 to C$33.00. They now have an “outperform” rating on the stock. This represents a 12.2% upside from the current price of C$29.40.Paramount Resources (TSE:POU) had its price target raised by BMO Capital Markets from C$24.00 to C$32.00. They now have an “outperform” rating on the stock. This represents a 8.8% upside from the current price of C$29.40.Paramount Resources (TSE:POU) had its price target raised by Raymond James Financial, Inc. from C$29.00 to C$31.00. They now have an “outperform” rating on the stock. This represents a 5.4% upside from the current price of C$29.40.Spartan Delta (TSE:SDE) was given a new C$13.50 price target by Roth Mkm. They now have a “buy” rating on the stock. This represents a 25.7% upside from the current price of C$10.74.Wajax (TSE:WJX) had its price target raised by TD Securities from C$28.00 to C$34.00. They now have a “hold” rating on the stock. This represents a 0.6% upside from the current price of C$33.80.Wajax (TSE:WJX) had its price target raised by Scotiabank from C$29.00 to C$34.00. They now have a “sector perform” rating on the stock. This represents a 0.6% upside from the current price of C$33.80.
European Residential Real Estate Investment Trust (TSE:ERE.UN) had its price target lowered by TD Securities from C$1.25 to C$1.19. They now have a “sell” rating on the stock. This represents a 1.7% upside from the current price of C$1.17.VerticalScope (TSE:FORA) had its price target lowered by Raymond James Financial, Inc. from C$7.50 to C$5.00. They now have an “outperform” rating on the stock. This represents a 59.2% upside from the current price of C$3.14.goeasy (TSE:GSY) had its price target lowered by BMO Capital Markets from C$225.00 to C$170.00. They now have an “outperform” rating on the stock. This represents a 54.6% upside from the current price of C$109.95.Pet Valu (TSE:PET) had its price target lowered by TD Securities from C$40.00 to C$34.00. They now have a “buy” rating on the stock. This represents a 37.4% upside from the current price of C$24.74.Pet Valu (TSE:PET) had its price target lowered by Stifel Nicolaus from C$37.00 to C$32.00. They now have a “buy” rating on the stock. This represents a 29.3% upside from the current price of C$24.74.Pet Valu (TSE:PET) had its price target lowered by Raymond James Financial, Inc. from C$40.00 to C$31.50. They now have an “outperform” rating on the stock. This represents a 27.3% upside from the current price of C$24.74.Pet Valu (TSE:PET) had its price target lowered by Royal Bank Of Canada from C$35.00 to C$33.00. They now have an “outperform” rating on the stock. This represents a 33.4% upside from the current price of C$24.74.Pet Valu (TSE:PET) had its price target lowered by Desjardins from C$38.00 to C$32.00. They now have a “buy” rating on the stock. This represents a 29.3% upside from the current price of C$24.74.Pet Valu (TSE:PET) had its price target lowered by Barclays PLC from C$34.00 to C$28.00. They now have an “overweight” rating on the stock. This represents a 13.2% upside from the current price of C$24.74.Propel (TSE:PRL) had its price target lowered by Canaccord Genuity Group Inc. from C$37.00 to C$27.00.The current price is $20.72.Propel (TSE:PRL) had its price target lowered by Ventum Financial from C$4.00 to C$3.00. They now have a “buy” rating on the stock.The current price is $20.72.Propel (TSE:PRL) had its price target lowered by ATB Cormark Capital Markets from C$38.00 to C$27.00. They now have an “outperform” rating on the stock.The current price is $20.72.Propel (TSE:PRL) had its price target lowered by Stifel Nicolaus from C$38.00 to C$32.00. They now have a “buy” rating on the stock.The current price is $20.72.Propel (TSE:PRL) had its price target lowered by Raymond James Financial, Inc. from C$45.00 to C$32.00. They now have an “outperform” rating on the stock.The current price is $20.72.Wajax (TSE:WJX) had its price target lowered by BMO Capital Markets from C$40.00 to C$34.00. They now have a “market perform” rating on the stock. This represents a 0.6% upside from the current price of C$33.80.
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E-L Financial Co. Limited (TSE:ELF) declared a quarterly dividend on Tuesday, March 3rd. Stockholders of record on Friday, March 13th will be given a dividend of 1.05 per share by the insurance provider on Friday, March 13th. This represents a c) dividend on an annualized basis and a dividend yield of 26.0%. The ex-dividend date of this dividend is Tuesday, March 3rd. This is a 2,525.0% increase from E-L Financial’s previous quarterly dividend of $0.04. Great-West Lifeco Inc. (TSE:GWO) announced a quarterly dividend on Tuesday, March 3rd. Investors of record on Tuesday, March 31st will be given a dividend of 0.67 per share on Tuesday, March 31st. This represents a c) annualized dividend and a dividend yield of 4.2%. The ex-dividend date is Tuesday, March 3rd. This is a 9.8% increase from Great-West Lifeco’s previous quarterly dividend of $0.61. High Liner Foods Inc (TSE:HLF) announced a quarterly dividend on Wednesday, March 4th. Investors of record on Sunday, March 15thwill be given a dividend of 0.175 per share on Sunday, March 15th. This represents a c) annualized dividend and a dividend yield of 4.3%. The ex-dividend date is Wednesday, March 4th. Saputo Inc. (TSE:SAP) announced a quarterly dividend on Tuesday, March 3rd. Investors of record on Friday, March 13th will be paid a dividend of 0.20 per share on Friday, March 13th. This represents a c) annualized dividend and a yield of 1.9%. The ex-dividend date is Tuesday, March 3rd. Suncor Energy Inc. (TSE:SU) (NYSE:SU) declared a quarterly dividend on Wednesday, March 4th. Shareholders of record on Wednesday, March 25th will be given a dividend of 0.60 per share on Wednesday, March 25th. This represents a c) dividend on an annualized basis and a yield of 3.1%. The ex-dividend date is Wednesday, March 4th.
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Clarke (TSE:CKI) announced its quarterly results after the market closed on Tuesday, March 3rd. The company reported ($0.02) earnings per share (EPS) for the previous quarter. The company had revenue of $18.83 million for the quarter. The stock had previously closed at C$21.39. Capital Power (TSE:CPX) announced its quarterly results before the market opened on Wednesday, March 4th. The company reported ($0.13) earnings per share (EPS) for the previous quarter. The company had revenue of $1.06 billion for the quarter. The stock had previously closed at C$60.19. Capstone Copper (TSE:CS) announced its quarterly results after the market closed on Monday, March 2nd. The company reported $0.14 earnings per share (EPS) for the previous quarter. The company had revenue of $906.88 million for the quarter. The stock had previously closed at C$12.75. Dexterra Group (TSE:DXT) announced its quarterly results after the market closed on Tuesday, March 3rd. The company reported $0.12 earnings per share (EPS) for the previous quarter. The company had revenue of $270.95 million for the quarter. The stock had previously closed at C$12.04. Foraco International (TSE:FAR) announced its quarterly results before the market opened on Monday, March 2nd. The company reported $0.03 earnings per share (EPS) for the previous quarter. The company had revenue of $86.61 million for the quarter. The stock had previously closed at C$3.19. VerticalScope (TSE:FORA) announced its quarterly results after the market closed on Tuesday, March 3rd. The company reported ($0.22) earnings per share (EPS) for the previous quarter. The company had revenue of $20.22 million for the quarter. The stock had previously closed at C$3.14. Geodrill (TSE:GEO) announced its quarterly results before the market opened on Monday, March 2nd. The company reported ($0.32) earnings per share (EPS) for the previous quarter. The company had revenue of $61.56 million for the quarter. The stock had previously closed at C$3.52. Gran Tierra Energy (TSE:GTE) (NYSEMKT:GTE) announced its quarterly results before the market opened on Wednesday, March 4th. The company reported ($5.43) earnings per share (EPS) for the previous quarter. The company had revenue of $169.06 million for the quarter. The stock had previously closed at C$9.22. K92 Mining (TSE:KNT) announced its quarterly results before the market opened on Monday, March 2nd. The company reported $0.49 earnings per share (EPS) for the previous quarter. The company had revenue of $234.30 million for the quarter. The stock had previously closed at C$29.85. Lucara Diamond (TSE:LUC) announced its quarterly results after the market closed on Tuesday, March 3rd. The company reported $0.02 earnings per share (EPS) for the previous quarter. The company had revenue of $44.80 million for the quarter. The stock had previously closed at C$0.29. MDA Space (TSE:MDA) announced its quarterly results before the market opened on Wednesday, March 4th. The company reported $0.45 earnings per share (EPS) for the previous quarter. The company had revenue of $499.10 million for the quarter. The stock had previously closed at C$43.62. NexGen Energy (TSE:NXE) announced its quarterly results after the market closed on Tuesday, March 3rd. The company reported ($0.06) earnings per share (EPS) for the previous quarter. The stock had previously closed at C$17.51. Pet Valu (TSE:PET) announced its quarterly results before the market opened on Tuesday, March 3rd. The company reported $0.42 earnings per share (EPS) for the previous quarter. The company had revenue of $326.36 million for the quarter. The stock had previously closed at C$24.74. Paramount Resources (TSE:POU) announced its quarterly results before the market opened on Tuesday, March 3rd. The company reported ($0.03) earnings per share (EPS) for the previous quarter. The company had revenue of $262.50 million for the quarter. The stock had previously closed at C$29.40. Parex Resources (TSE:PXT) announced its quarterly results before the market opened on Wednesday, March 4th. The company reported $0.43 earnings per share (EPS) for the previous quarter. The company had revenue of $223.53 million for the quarter. The stock had previously closed at C$22.71. VersaBank (TSE:VBNK) announced its quarterly results after the market closed on Tuesday, March 3rd. The company reported $0.38 earnings per share (EPS) for the previous quarter. The company had revenue of $36.51 million for the quarter. The stock had previously closed at C$21.25. Wajax (TSE:WJX) announced its quarterly results before the market opened on Tuesday, March 3rd. The company reported $0.71 earnings per share (EPS) for the previous quarter. The company had revenue of $560.05 million for the quarter. The stock had previously closed at C$33.80. George Weston (TSE:WN) announced its quarterly results before the market opened on Wednesday, March 4th. The company reported $1.21 earnings per share (EPS) for the previous quarter. The company had revenue of $16.54 billion for the quarter. The stock had previously closed at C$94.83.
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