Edgen AI operates independently of, and is not controlled by Aspen Digital Financial Limited.
US stocks see sharp sector rotation as telecom plunges 5.2%
Edgen Stock·Jul 23 2026, 23:12Share to
Share to
Copy link
[1] Thursday (July 23): Most U.S. stock sector ETFs closed lower, with Consumer Discretionary ETF down 4.61%, Internet Stock Index ETF down 2.56%, Semiconductor ETF down 1.15%, Biotechnology Index ETF, Healthcare ETF, Industrial Index ETF up 1.06%-1.73% (https://wallstreetcn.com/livenews/3139066 ...)[2] Asia hedge funds hurt by July selloff after strong H1 (https://businessmirror.com.ph/2026/07/23/asia ...)[3] Closing Bell: Sensex falls 364 pts, Nifty below 23,900; auto sector outperforms (https://www.moneycontrol.com/news/business/ma ...)[4] Altria: Outperformance Makes It Pricey (Rating Downgrade) (https://seekingalpha.com/article/4924747-altr ...)[5] Deutsche Börse AG (DBOEF) Q2 2026 Earnings Call Transcript (https://seekingalpha.com/article/4924715-deut ...)
Related News
Jul 24 2026, 00:52
Digital Realty beats Q2 estimates with $2.13 FFO per share as AI demand surges
**Key Takeaways:** - Digital Realty posted Q2 FFO of $2.13 per share, beating the $1.98 consensus. - Revenue reached $1.92 billion, topping estimates of $1.66 billion. - The data center REIT raised its full-year core FFO guidance to $8.10-$8.15. Digital Realty Trust reported second-quarter funds from operations of $2.13 per share, beating the Zacks Consensus Estimate of $1.98 and rising from $1.87 a year earlier. Revenue came in at $1.92 billion, exceeding the $1.66 billion analyst forecast, the Austin, Texas-based real estate investment trust said Thursday. Net income reached $443.1 million, or $1.21 per share. The data center REIT posted core FFO of $767.9 million, or $2.13 per share, compared with $1.98 expected by seven analysts surveyed by Zacks Investment Research. Funds from operations, a closely watched metric for REITs, adds back depreciation and amortization to net income. Digital Realty raised its full-year constant-currency core FFO per share guidance to $8.10 to $8.15, excluding net promote, up from its prior outlook. The company also reported renewal lease rental rate increases of 25.4 percent on a cash basis and 32 percent on a GAAP basis, while new interconnection bookings surpassed $100 million during the quarter. Shares gained 2 percent in after-hours trading following the release, reflecting investor confidence in the data center sector's growth trajectory. The results underscore strong demand for digital infrastructure as enterprises expand AI and cloud computing capacity. The guidance raise signals management expects demand to accelerate through the second half of the year. Investors will watch the Q3 earnings call for updates on leasing momentum and development pipeline expansion. This article is for informational purposes only and does not constitute investment advice.
Jul 24 2026, 00:47
AtriCure beats Q2 estimates by 500%, raises 2026 guidance
AtriCure swung to a profit in the second quarter as revenue rose 13% to $154 million, driven by its pain management and appendage management franchises, and the company raised its full-year outlook on expanding margins. "These results reinforce the progress we are making to improve profitability," Chief Executive Mike Carroll said on the earnings call. The company generated $27 million in adjusted EBITDA and $9 million in net income, compared with a net loss of $6.2 million a year earlier. Earnings per share came in at $0.18, six times the $0.03 consensus estimate compiled by Zacks, and swung from a loss of $0.02 per share in the same quarter last year. Gross margin expanded 270 basis points to 77.2%, driven by favorable product mix from newer devices such as the CryoSphere Max probe and AtriClip Mini family. The company now expects full-year revenue of $602 million to $610 million, up from prior guidance, and raised adjusted EBITDA guidance to $85 million to $89 million. The results underscore a broader shift underway at AtriCure: the company is transitioning from a growth-at-all-costs medtech into a profitable operator with a pipeline of clinical catalysts that could expand its addressable market by hundreds of thousands of patients. Two landmark trials — BOX No AF, which has surpassed 50% enrollment with more than 500 patients, and LEAPS, which is following more than 6,500 patients — are designed to prove that prophylactic ablation and left atrial appendage management reduce complications in cardiac surgery patients without a history of atrial fibrillation. Data readouts are expected in the first half of 2027. **Pain Management Leads Growth, Sternotomy Emerging** Pain management revenue surged 28% to $27 million in the U.S., making it the fastest-growing segment for the sixth consecutive quarter. The CryoSphere Max probe now accounts for about 75% of U.S. pain management sales, and the company added accounts at a robust pace during the quarter. While thoracic procedures still represent the majority of use, sternotomy is emerging as a growth driver, with roughly 100 accounts now evaluating the technology for cardiac surgery recovery. The newly launched CryoXT probe, designed for below-knee amputation procedures, contributed a small but growing amount of revenue. AtriCure presented early clinical results at the Society for Vascular Surgery annual meeting in June, and management expects CryoXT to contribute more meaningfully in the second half of the year. The company has hired dedicated extremity sales representatives to support the launch. **Appendage Management Faces First Real Competitive Test** Appendage management revenue rose 14% to $52 million in the U.S., with the AtriClip Flex Mini and Pro Mini devices now accounting for 45% of total appendage management sales. Surgeon feedback on the smaller-profile devices has been positive, and the company plans to launch the Mini platform in Europe later this year. The competitive landscape is shifting. Larger medtech companies have entered the left atrial appendage management market, a development Carroll characterized as validation of the opportunity. AtriCure's defense rests on three pillars: continuous product innovation — including a smaller AtriClip version due by year-end and the V Clip Mini expected in late 2027 — a clinical compendium of more than 100 peer-reviewed papers covering 20,000 patients, and a field team of more than 500 commercial and professional education staff. The company has incorporated expected trialing of competitive products into its second-half guidance. **Open Ablation Gains From Quality Metric Change** Open ablation revenue increased 12% to $41 million, supported by the Encompass Clamp, now four years into its full U.S. launch and still gaining traction in international markets. A new Society of Thoracic Surgeons quality metric on concomitant atrial fibrillation treatment is expected to drive further adoption, as similar quality measures have historically been powerful catalysts in cardiac surgery. Minimally invasive ablation remained under pressure at $6 million, as the market continues to favor pulsed-field ablation catheters for standalone procedures. AtriCure said referral patterns for hybrid therapy have stabilized in a small subset of accounts but need to broaden before the franchise can return to growth. **International Markets Show Mixed Results** International revenue of $28 million grew 10% on a reported basis, with Asia Pacific rebounding from a soft first quarter. European sales rose 7%, held back by weakness in the United Kingdom and Germany. The U.K. market remained sequentially flat due to reimbursement changes affecting the CryoSphere probe, though recent positive news on Encompass Clamp reimbursement may provide a partial offset. **Investor Implications** AtriCure shares trade on the Nasdaq under the ticker ATRC. The company generated $22 million in cash during the quarter, ending with $168 million in cash and investments, and expects positive cash generation for the remainder of the year. With adjusted EBITDA margins approaching 14% and two pivotal clinical trials approaching data readouts, the next 12 to 18 months represent a potential inflection point for both the top line and the investment thesis. The BOX No AF trial alone, if positive, could expand AtriCure's addressable market to include the roughly 500,000 U.S. cardiac surgery patients annually who currently do not receive prophylactic AFib treatment. This article is for informational purposes only and does not constitute investment advice.
Jul 24 2026, 00:44
Goldman and JPMorgan launch 4 AI debt baskets for institutional trading
**Wall Street's two largest trading desks now let investors bet on AI infrastructure debt with a single trade.** Goldman Sachs Group Inc. and JPMorgan Chase & Co. launched products this week allowing investors to trade baskets of AI-related bonds in single transactions, as hyperscaler debt issuance for artificial intelligence investments accelerates. The products allow hedge funds and other investors to manage sector-specific risks or express views on AI debt in a single swoop at one agreed price, according to a note from Goldman's trading desk reviewed by Bloomberg and people familiar with JPMorgan's offerings. Goldman's basket includes 18 equal-weighted US high-yield issuers such as CoreWeave Inc., Applied Digital Corp., and Cipher Digital Inc., with pricing inquiries from $50 million to $250 million. The bonds carry an average yield of 7.45 percent and an average spread of 319 basis points, compared with 7.3 percent and 267 basis points for the broader high-yield market. JPMorgan launched three separate baskets Monday — one targeting investment-grade hyperscaler bonds from 11 issuers including Microsoft Corp., Meta Platforms Inc., and Amazon.com Inc., a second focused on 15 AI-related junk issuers, and a third covering 16 semiconductor and hardware companies including Nvidia Corp. The new products come as fears over AI-linked spending intensify. Alphabet Inc.'s bonds came under pressure Thursday after the Google parent boosted its projected capital expenditures for the year and posted its first negative quarterly cash flow since going public more than two decades ago, highlighting the scale of the AI investment cycle driving demand for these hedging tools. **The AI Debt Financialization Play** Wall Street has rushed to create new hedging instruments as bondholder exposure to AI and data center projects climbs at an unprecedented pace. The structured baskets allow investors to take directional bets or hedge existing portfolios without buying individual bonds from each issuer — a process that would require multiple trades, separate pricing, and significant operational overhead. Goldman's product can be executed as either physical bond purchases or total return swaps, giving investors flexibility in how they gain exposure. The average yield of 7.45 percent on the junk basket represents a premium of roughly 15 basis points over the broader high-yield market, reflecting the perceived risk of AI infrastructure companies that are burning cash to build data centers. For JPMorgan, the three-basket structure segments the AI debt market by credit quality: investment-grade hyperscalers with strong balance sheets, high-yield AI infrastructure companies, and semiconductor firms that supply the hardware. This segmentation allows investors to target specific parts of the AI value chain. **What's at Stake for Bondholders** The products signal that Wall Street sees the hyperscaler debt buildup as a risk worth hedging against. Alphabet's $205 billion capital expenditure plan and its first negative free cash flow quarter since its 2004 IPO have rattled bondholders who worry that the AI arms race will pressure credit metrics across the sector. Microsoft, Meta, Amazon, and Oracle have all announced massive data center spending programs, with much of that investment funded through debt issuance. If the AI investment cycle delivers returns as promised, these bonds will perform well and the hedging tools will have been unnecessary. If the spending overshoots demand, the ability to short AI debt through these baskets could prove valuable for institutional investors managing credit risk. This article is for informational purposes only and does not constitute investment advice.