Thursday, February 12, 2026
The Zacks Research Daily presents the best research output of our analyst team. Today’s Research Daily features new research reports on 16 major stocks, including Alphabet Inc. (GOOGL), Caterpillar Inc. (CAT) and T-Mobile US, Inc. (TMUS), as well as a micro-cap stock Onfolio Holdings, Inc. (ONFO). The Zacks microcap research is unique as our research content on these small and under-the-radar companies is the only research of its type in the country.
These research reports have been hand-picked from the roughly 70 reports published by our analyst team today.
You can see all of today’s research reports here >>>
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You can read today’s AWS here >>> Jobless Claims Nudge Higher, Q4 Earnings Surprises from CROX, TRIP
Today’s Featured Research Reports
Alphabet‘s shares have outperformed the Zacks Internet – Services industry over the past six months (+53.1% vs. +45.7%). The company is benefiting from accelerated growth across AI infrastructure, Google Cloud and Search. Google Cloud ended the fourth quarter of 2025 with $240 billion in backlog, up 55% sequentially.
GOOGL has more than 325 million paid subscriptions across consumer services with strong adoption for Google One and YouTube Premium. Google Gemini now has over 750 million monthly active users and the company sold more than 8 million paid seats of Gemini enterprise in Q4. Search is benefiting from AI Overviews and AI Mode that has driven growth in overall queries.
Launching of personal intelligence in AI Mode in search and the Gemini app bodes well for Alphabet’s prospects. YouTube is benefiting from the growing demand for shorts. However, stiff competition in cloud computing has been concerning.
(You can read the full research report on Alphabet here >>>)
Shares of Caterpillar have outperformed the Zacks Manufacturing – Construction and Mining industry over the past six months (+88.8% vs. +87.2%). The company continues to post revenue growth, driven by higher volumes across all segments.
Caterpillar returned to earnings growth in the fourth quarter of 2025 (albeit a modest 0.4%) after five quarters of declines. This a notable achievement given the ongoing tariff headwinds. This is expected to persist into 2026, with management projecting a $2.6 billion impact.
A record backlog of $51.2 billion should support future sales. The Construction Industries segment stands to benefit from rising construction activity in the United States and globally, while Resource Industries will gain from steady commodity demand.
In Power & Energy, sustainability initiatives and data-center investments are driving demand. Caterpillar’s focus on building aftermarket parts and service-related revenues (which generate high margins) will aid growth.
(You can read the full research report on Caterpillar here >>>)
T-Mobile’s shares have underperformed the Zacks Wireless National industry over the past six months (-16.2% vs. -2.7%). The company is affected by growing competition in a highly competitive and saturated U.S. wireless market. Fierce competition with a relatively fixed pool of customers is putting pressure on pricing. Its frequent acquisition strategy adds to integration risks.
Nevertheless, T-Mobile reported impressive fourth-quarter 2025 results, with both top and bottom lines beating the respective Zacks Consensus Estimate. The company is gaining from healthy growth in service revenues driven by industry-leading postpaid net customer additions.
In the fourth quarter, the company added 2.4 million postpaid net customers while postpaid net account additions were 261,000. Backed by robust demand for its postpaid services, the company has presented a bullish outlook for fiscal 2026. A strong focus on efficient capital management is a positive.
(You can read the full research report on T-Mobile here >>>)
Shares of Onfolio have underperformed the Zacks Internet – Commerce industry over the past six months (-52.7% vs. -7.8%). This microcap company with a market capitalization of $2.5 million is witnessing persistent net losses, rising SG&A and limited evidence of sustainable profitability. Heavy amortization from acquisitions, rising debt and interest expenses, ongoing preferred equity dilution, and cash burn continue to pressure earnings quality and common shareholders.
A weakening equity base and tight liquidity further elevate execution and refinancing risks. Nevertheless, Onfolio presents a mixed investment profile, combining strong top-line momentum with balance sheet and profitability risks.
Onfolio is delivering solid revenue and gross margin expansion, driven by a diversified, high-margin portfolio spanning B2B marketing services and scalable B2C digital education products. Growth in recurring service contracts, subscription revenues, and early traction from AI-driven offerings supports operating leverage potential and reduces client concentration risks.
(You can read the full research report on Onfolio here >>>)
Other noteworthy reports we are featuring today include Canadian Pacific Kansas City Ltd. (CP), Valero Energy Corp. (VLO) and Atmos Energy Corp. (ATO).
Mark Vickery
Senior Editor
Note: Sheraz Mian heads the Zacks Equity Research department and is a well-regarded expert of aggregate earnings. He is frequently quoted in the print and electronic media and publishes the weekly Earnings Trends and Earnings Preview reports. If you want an email notification each time Sheraz publishes a new article, please click here>>>
Today’s Must Read
Alphabet’s (GOOGL) Prospects Rides on Cloud and Search Initiatives
Strong Backlog and Volume to Aid Caterpillar Amid Tariff Headwinds
T-Mobile (TMUS) Rides on Healthy Demand for Postpaid Services
Featured Reports
Canadian Pacific (CP) Rides on Dividends Amid Rising Expenses
The Zacks analyst likes the shareholder-friendly measures adopted by Canadian Pacific. However, rising operating expenses are concerning as they are likely to keep the bottom line under pressure.
Valero’s (VLO) Extensive Refinery Network Aids Profitability
Per the Zacks analyst, Valero Energy’s vast refining network enables it to tap into different markets, supporting diverse customer needs. However, stringent environmental policies pose major risks.
Smart Investments and Customer Additions Aid Atmos Energy (ATO)
Per the Zacks analyst, Atmos Energy will benefit from long-term capital expenditure plan. Industrial customer additions and constructive rate outcomes will boost its performance.
Revolution Medicines (RVMD) Rides on Encouraging Pipeline Potential
The Zacks Analyst is encouraged by Revolution Medicines’ RAS(ON) inhibtors which have shown potential to improve upon first-generation inhibitors, such as Amgen’s Lumakras and Bristol Myers’ Krazati
Licensing Revenue and Partnerships Aid Hasbro (HAS), High Costs Ail
Per the Zacks analyst, Hasbro benefits from growth in licensed digital gaming. Also, focus on new product and strategic partnerships bodes well. However, tariff woes and high costs are concerns.
Assurant (AIZ) Gains on Solid Premiums Amid Escalating Costs
Per the Zacks analyst, Assurant is set to grow on solid Global Lifestyle and Global Lifestyle segments, which will drive improvement in earned premiums and fees. However, high costs remain a concern.
Loans, Acquisition Aid Associated Banc-Corp (ASB), Rising Costs Ails
Per the Zacks analyst, the strategic plan, the buyout of American National, declining deposit costs and robust loan demand will aid Associated Banc-Corp despite higher expenses and weak asset quality.
New Upgrades
Data Center Growth Aids Advanced Energy (AEIS) Prospects
Per the Zacks Analyst, Advanced Energy benefits from strong demand in the data center computing market and customer adoption of its advanced semiconductor technologies like eVoS and eVerest platforms.
Afirma Solution’s Outperformance Aid Veracyte (VCYT)
The Zacks Analyst is impressed with Veracyte’s comprehensive Afirma solution, which demonstrated strong 13% volume growth in the third quarter of 2025 driven by growing number of new customers.
Strong Cloud ARR Growth and AI Innovation Aid Teradata (TDC) Prospects
Per the Zacks Analyst, TDC is benefiting from strong cloud ARR growth, expanding AI-driven solutions, and a rich partner base.
New Downgrades
PilgrimjQuery’s Pride (PPC) Faces Import Price Pressure in Mexico
Per Zacks analyst, elevated chicken import prices and weak commodity trends in Mexico are compressing spreads and limiting pricing power, posing risks to Pilgrim’s Pride’s margins.
Mondelez’s (MDLZ) Profitability Hurt by Cocoa Cost Inflation
Per the Zacks analyst, Mondelez has been bearing the brunt of input cost inflation, especially cocoa. The sharp rise in cocoa over the past year drove a 14.6% fall in adjusted EPS for full-year 2025.
Macroeconomic Uncertaintie and Competitive Pressure Hurt PayPal (PYPL)
Per the Zacks analyst, macroeconomic uncertainties, competitive pressure and forex fluctuations are likely to offer bleak prospects for PayPal despite its global presence and expansion efforts.
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Caterpillar Inc. (CAT) : Free Stock Analysis Report
Valero Energy Corporation (VLO) : Free Stock Analysis Report
Canadian Pacific Kansas City Limited (CP) : Free Stock Analysis Report
Atmos Energy Corporation (ATO) : Free Stock Analysis Report
T-Mobile US, Inc. (TMUS) : Free Stock Analysis Report
Alphabet Inc. (GOOGL) : Free Stock Analysis Report
Onfolio Holdings Inc. (ONFO): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
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