From LNG profits blowing past forecasts to aerospace margins climbing into double digits, this week’s tape delivered a run of clean beats across value-heavy sectors.
Energy infrastructure, defense-linked manufacturing, and high-ROE financials all showed why fundamentals still matter when the market is chasing tech multiples.
I’m covering the standouts with both immediate catalysts and long-term staying power, names trading at discounts to peers despite execution that’s outpacing the broader market.
If you’re hunting value with momentum behind it, these setups are where the risk-reward stacks up best.
Don’t Let These Undervalued Stocks Slip Through Your Fingers!
We now send our favorite value picks via text, too, so you’ll get the same actionable news without having to open your inbox.
In partnership with
From Italy to a Nasdaq Reservation
How do you follow record-setting success? Get stronger. Take Pacaso. Their real estate co-ownership tech set records in Paris and London in 2024. No surprise. Coldwell Banker says 40% of wealthy Americans plan to buy abroad within a year. So adding 10+ new international destinations, including three in Italy, is big. They even reserved the Nasdaq ticker PCSO.
Paid advertisement for Pacaso’s Regulation A offering. Read the offering circular at invest.pacaso.com. Reserving a ticker symbol is not a guarantee that the company will go public. Listing on the NASDAQ is subject to approvals.
Energy
Cheniere Energy LNG Profits Surge, Analysts Push Targets Higher
Cheniere Energy (NYSE: LNG) Q2 results crushed expectations, posting $7.30 EPS versus the $2.35 consensus on $4.64 billion in revenue, up 42.8% year-over-year.
Margins remain elite with a 21% net margin and 39% ROE, fueled by efficiency gains at Sabine Pass and Corpus Christi.
Analysts remain firmly bullish – 15 Buy ratings, 1 Strong Buy – and Goldman Sachs boosted its stake by 12.7%, now worth $737 million.
The company is moving ahead with the Corpus Christi Midscale Trains 8 & 9 expansion, adding capacity without stretching the balance sheet.
The 0.9% dividend yield and 14.6% payout ratio leave significant room for increases. Shares trade at 13.5x earnings, near their 12-month high of $257.65, yet remain attractively valued versus peers.
I view Cheniere as one of the strongest energy infrastructure plays in the market.
LNG demand is on a structural uptrend, and the company’s locked-in contracts provide durable cash flow regardless of short-term commodity volatility.
The combination of disciplined expansion, institutional buying, and capital return potential positions LNG as a value-growth hybrid that can deliver both stability and long-term upside.
Aerospace
Astronics Corporation: Aerospace Margins Take Flight
Astronics Corporation (NASDAQ: ATRO) posted $0.38 EPS in Q2, beating estimates by 31% on $205 million in revenue.
Year-to-date sales are up 7.2%, and adjusted EBITDA margins improved to 12.4%.
Record Aerospace segment sales, driven by commercial transport and military aircraft, offset weaker Test Systems results.
A 1.11 book-to-bill ratio points to sustained demand into the second half, where management expects sales could double compared to the first half.
GAAP results were weighed down by $6.2M in simplification charges and legal fees, but adjusted aerospace margins jumped to 16.3%, up 300 bps from last year.
Shares are up 121% YTD, yet fell 1.3% post-earnings, likely from profit-taking.
Full-year revenue guidance stands at $840–$860 million, with growth from retrofit demand, inflight connectivity, and LEO satellite market expansion.
The operational momentum is real, the backlog supports visibility, and the pullback post-earnings offers an attractive re-entry.
With sector tailwinds and execution discipline, Astronics is set to keep outperforming.
High-Growth Radar (Sponsored)
Only a handful of stocks each year have what it takes to truly break out.
This time, five stand out from the crowd—each with the potential to deliver triple-digit returns in the months ahead.
The just-released special report reveals them all—completely free.
But access disappears at midnight.
Don’t watch from the sidelines while others get in early.
Cloud Computing
CoreWeave’s Investor Relief Fuels AI Cloud Rally
CoreWeave’s (NASDAQ: CRWV) shares jumped 24.4% last week, closing at $129.40, after news broke that its planned $9 billion all-stock acquisition of Core Scientific might be blocked.
Many investors welcomed the potential setback, viewing it as an escape from heavy dilution and integration risk.
The proposed deal was aimed at reducing roughly $10 billion in lease expenses, but pushback from both CoreWeave and Core Scientific shareholders has cast doubt on the outcome.
The rally comes ahead of Q2 earnings, where Wall Street expects a $0.23 per-share loss on $1.08 billion in revenue, still a massive jump year-over-year given CoreWeave’s 420% revenue growth in Q1.
Analysts remain split: Citi recently upgraded to Buy, but Morgan Stanley and Goldman Sachs maintained Hold ratings, citing valuation, debt load, and upcoming IPO lockup expiration in late September.
The company’s dependence on Microsoft remains a concentration risk, even as AI infrastructure demand continues to surge.
I see CoreWeave’s strength as coming from its leadership in AI cloud infrastructure and its ability to post explosive revenue growth in a competitive market.
Avoiding the Core Scientific deal could preserve shareholder value and keep the focus on high-margin core operations.
With sector momentum and operational leverage, CoreWeave has room to surprise to the upside.
Actionable Picks This Week
Signet Jewelers (NYSE: SIG) is quietly tightening the screws on profitability. Trading at just 9x earnings with a robust buyback program that retired 5% of shares in Q1 alone, the company is actively boosting EPS.
The shift toward higher-margin services like repairs and the strategic embrace of lab-grown diamonds are lifting sales without margin erosion.
Brand consolidation around Kay, Jared, and Zales keeps marketing spend efficient while driving store productivity.
With consumer discretionary sentiment improving and SIG’s capital returns accelerating, this is a textbook value setup with catalysts in both margins and shareholder yield.
General Motors (NYSE: GM) is executing one of the most aggressive capital return programs in the market, with nearly $25 billion in buybacks over three years slashing share count by a third.
At under 7x earnings, the valuation doesn’t reflect record truck and SUV margins, a profitable rebound in China, or the cost savings from exiting its loss-making Cruise AV unit.
GM’s use of affordable Chinese battery supply for near-term EV builds keeps its transition on track while preserving cash flow.
Operational discipline plus deep value multiple makes GM’s current setup hard to ignore.
Target (NYSE: TGT): Target offers dividend stability with a 4.6% yield and trades at a compressed 11.4x earnings.
Management is leaning into omnichannel growth, expanding Drive Up and Shipt to capture higher-margin e-commerce sales.
Leadership changes and tighter merchandising should improve traffic and ticket size heading into the holiday cycle.
With long-term guidance targeting 15% sales growth over five years, the stock’s current multiple suggests an overly pessimistic market view.
Strong brand equity, operational improvements, and an elevated yield make TGT a timely value pick before sentiment turns.
Action Stars Now (Sponsored)
In a market this active, finding the right opportunities quickly is key.
We’ve done the heavy lifting—screening thousands of stocks and narrowing them down to just 7 names that look ready for strong performance over the next 30 days.
Our ranking system has a long track record of outpacing the market, and these are the very best of the best right now.
It’s free, fast, and could make a big difference in your next trade.
[Get the list here]
Fast Movers to Watch
SoundHound AI (NASDAQ: SOUN): Up 26% this week to $13.55 on massive volume, SOUN’s surge comes without a fresh catalyst, but its independent voice AI platform remains one of the few credible alternatives to Big Tech.
Products like SoundHound Chat AI and Smart Answering are gaining traction in automotive and IoT, and the company’s market cap of $5.44 billion leaves room if enterprise adoption scales.
With a 52-week high of $24.98, the setup here is all about whether management can convert its tech lead into profitability before competition catches up.Aeva Technologies (NASDAQ: AEVA): Dropped 10.2% to $12.36 after an EPS miss, but analysts still peg fair value around $18.33 on the strength of its FMCW LiDAR technology.
Insider ownership of 27% and recent institutional inflows point to patient money waiting for commercial wins in automotive and industrial sensing.
The path to profitability is still uphill, but any new OEM contract could flip sentiment quickly.Americas Gold and Silver Corp (TSE: USA): Hitting a new 52-week high of C$1.42 as gold futures hit record levels above $3,500, USA is riding macro tailwinds more than operational news.
Its Cosalá and Galena complexes give it direct leverage to precious metals prices, with silver, lead, zinc, and copper output as kicker.
Liquidity remains tight, but sustained strength in gold and silver could translate to outsized cash flow gains.
Everything Else
Motorcar Parts of America (MPAA) popped after investors tagged it as a strong buy for value hunters, citing low multiples and improving margins.
Costco showed strong momentum with a July sales uptick, a promising sign for value-minded retail investors betting on real-world execution and scale.
Banks are beginning to recalibrate expectations on rates, as risk profiles shift, this might open value entry points in select financials with strong fundamentals.
Inflation data remains the day’s top market barometer, setting the tone for interest-rate sensitive value sectors like homebuilders and staples.
That's our coverage for today; thanks for reading! Reply to this email with feedback or any value names you'd like us to dig into.
Best Regards,
—Noah Zelvis
Undervalued Edge
