Northlake’s Market Cap model is shifting from mid cap to small cap for August, while the Style model continues to favor value for a seventh consecutive month. For clients using our model-driven strategies, we are selling the S&P MidCap 400 ETF (MDY), buying the Russell 2000 ETF (IWM), and maintaining the Russell 1000 Value ETF […]
IBM (IBM): IBM’s second quarter disappointed after several large mainframe-related software and hardware transactions slipped out of the period. Revenue increased only 1%, Software growth slowed to 5%, and Transaction Processing declined 9%. The weakness was concentrated rather than broad-based: Red Hat accelerated to 11% growth, Data remained healthy, Consulting signings improved, and IBM maintained […]
Northlake’s Market Cap Model is shifting from large cap to mid cap for July, while the Style Model remains unchanged in favor of value. As a result, clients using Northlake’s model-driven strategies will sell positions in the S&P 500 ETF (SPY) and buy the S&P MidCap 400 ETF (MDY). Positions in the Russell 1000 Value […]
There are no changes to Northlake’s Market Cap or Style model recommendations for June. As a result, clients using our model-driven strategies will maintain current positions in the S&P 500 ETF (SPY) and the Russell 1000 Value ETF (IWD). This marks the third consecutive month favoring large-cap stocks and the fourth consecutive month favoring value […]
Walt Disney (DIS): DIS delivered another solid quarter, with continued strength across its streaming and experiences businesses helping offset ongoing pressure in traditional television. Direct-to-consumer profitability continued improving, while Parks results remained resilient despite a somewhat softer consumer backdrop. Management also maintained a constructive tone around upcoming content releases and long-term engagement trends. Investor focus […]
There are no changes to the recommendations from Northlake’s Market Cap and Style models for May. As a result, for clients using our model strategies, current positions in the S&P 500 (SPY) and Russell 1000 Value (IWD) will be maintained for at least another month. While the positioning remains unchanged, there were some notable developments […]
IBM Corporation (IBM): IBM delivered a modest beat in the first quarter, exceeding expectations on revenue, EPS, and free cash flow. Infrastructure was the clear standout, while software was in line but somewhat noisy, and consulting came in a bit light. Demand trends remain solid. Management highlighted no signs of slowing and pointed to record […]
Northlake’s Market Cap model shifted to large cap from mid cap for April, while the Style model remains on a value signal. As a result, we moved client positions that utilize our thematic model strategy from the S&P 400 Mid Cap (MDY) to the S&P 500 (SPY). Client holdings in the Russell 1000 Value (IWD) […]
Northlake’s Market Cap and Style models are sticking with the new recommendations initiated last month for mid cap and value. Clients that use our model strategies will remain invested in the S&P 400 Mid Cap (MDY) and the Russell 1000 Value (IWD) for at least another month. The indicators that drive our models rely on […]
Walmart (WMT): Walmart’s 4Q25 wrapped up a great year for the company and the stock. The company’s underlying business remains resilient, with U.S. same-store sales up about 4.6% and overall revenue growing roughly 5.5% year-over-year, in line with expectations, driven by strength in grocery, e-commerce, and higher-margin areas like advertising and membership income. Profit margins […]
