Constellation, Albertsons, Applied Blockchain and more to report earnings Wednesday

Investing.com -- Three major healthcare giants have been accused of creating secretive subsidiaries to divert billions of dollars from health plans and patients, according to an investigation published by Hunterbrook on Tuesday.

The report alleges that CVS Health, UnitedHealth Group, and Cigna Group established pharmacy benefit manager (PBM) "Group Purchasing Organizations" (GPOs) to retain rebate money that was supposed to be passed through to health plans.

These three entities - Zinc (CVS), Emisar (UnitedHealth), and Ascent (Cigna) - reportedly generate "astronomical revenue with skeleton staff," making them among the world’s most lucrative enterprises on paper despite having minimal physical presence, according to Hunterbrook’s findings.

The investigation claims these companies created these subsidiaries as a response to growing pressure to pass 100% of drug rebates to health plans. By establishing these GPOs, the companies could technically fulfill rebate pass-through promises while still retaining substantial funds.

Hunterbrook reports that their multinational investigation included interviews with executives and former staffers, analysis of healthcare data, visits to offices in Ireland and Switzerland, and reviews of thousands of pages of contracts and court records.

The report states that some health plans have discovered the arrangement through financial reviews and have recovered tens of millions of dollars from PBMs and their GPOs, according to public audit reports and court filings.

The three healthcare conglomerates control over 80% of America’s prescription drug market through their PBM subsidiaries: Optum Rx, CVS Caremark, and Evernorth Express Scripts. Their parent companies rank third, fifth, and 13th respectively on the Fortune 100 list in 2025.

According to Hunterbrook, the companies did not respond to repeated inquiries seeking clarity on these PBM GPOs. The report claims CVS sued to prevent evidence from being released, while Cigna allegedly called police on a reporter during the investigation.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Investing.com-- The Dow hit a record high Tuesday as momentum in AI stocks helped offset weakness in energy stocks following strong gains for the latter a day earlier.    

"The Venezuela conversation is the same as it was yesterday – the country could become a major force in global oil production, but this will take a long time (and cost a ton of money)," Vital Knowledge analyst Adam Crisafulli wrote in a note to clients on Tuesday.

At 1:17 p.m. ET, the S&P 500 was up by 0.5%, while the Nasdaq 100 rose 0.5%. The Dow Jones Industrial Average rose 0.9%, or 44 points, after hitting a record high of 49,435.56.

Federal Reserve Governor Stephen Miran said the U.S. central bank is likely to need to cut interest rates by more than one percentage point in 2026, saying current policy is weighing on economic activity.

Speaking on Fox Business Network on Tuesday, Miran said it is hard to view monetary policy as neutral, arguing it remains clearly restrictive. He added that such restraint is holding the economy back and that cuts of well over 100 basis points would be warranted over the year.

AI stocks liftoff after CES

At CES overnight, NVIDIA Corporation (NASDAQ:NVDA) CEO Jensen Huang announced the company’s next-generation AI platform, Vera Rubin, was in full production. Huang also announced that the company is releasing Alpamayo, an open-source AI model aimed at accelerating autonomous vehicle development.

Morgan Stanley analyst Joseph Moore noted that Huang spent more time than expected on Rubin at the event, which is typically consumer-focused. NVIDIA described demand for AI and Rubin as “skyrocketing."

Surging memory stocks added to last year’s significant gains, as the new AI chip architecture and continued demand are driving prices higher for storage and memory. Micron Technology Inc (NASDAQ:MU) gained 6%, SanDisk Corporation (NASDAQ:SNDK) jumped 22%, and Western Digital Corporation (NASDAQ:WDC) rose 12%.

Traders remain focused on jobs data

Traders are now focused on the release of the U.S. December jobs report on Friday, a key test for markets after recent data pointed to cooling labor market momentum.

"Dec NFP are likely to tick up to a stable 70k (private: 75k) print, higher than consensus expectations," BofA economists wrote in a note.

The report is expected to play an important role in shaping expectations around interest-rate cuts later in the year.

"For now, our base case remains that the Fed will not cut again under Powell," BofA said.

(Ayushman Ojha and Frank DeMatteo contributed to this report.)

FG Holdings Limited (FGO) has filed for an upsized 3,750,000 share IPO at $4-$5 per share. The company previously indicated a 2M share offering in the same price range.

Investing.com -- Energy and infrastructure stocks present compelling investment opportunities for 2026, with several companies standing out in BTIG’s latest analysis.

Get premium news and insight, AI stock picks, and deep research tools by upgrading to InvestingPro - get 55% off today

The firm has identified strong performers poised for growth across utilities, natural gas, and emerging energy technology sectors.

PPL Corporation ( leads BTIG’s large-cap selections with a Buy rating and $44 price target, representing significant upside from its current $35.02 trading price.

Analyst Alex Kania highlights PPL’s unprecedented demand growth in Pennsylvania, particularly from data centers, as a primary earnings driver.

The company forecasts approximately 15 GW of load into the 2030s, with data centers in advanced stages increasing to 20.5 GW. PPL’s joint venture with Blackstone to build new generation specifically for data center demand positions it favorably for long-term earnings growth.

Additionally, substantial investment opportunities in Kentucky, including recently approved plans for two new power plants, further strengthen PPL’s outlook. BTIG expects PPL to achieve earnings growth in the top half of management’s 6%-8% range.

In recent news, PPL Corporation received an updated price target from UBS, which raised its target to $37, while Jefferies lowered its target to $40. The company also completed the settlement of certain forward sale agreements, resulting in net proceeds of about $400 million, and declared a quarterly dividend of $0.2725 per share.

Spire, Inc. (SR) emerges as BTIG’s top SMID-cap pick with a Buy rating and $99 price target against its current $82.70 price. Kania points to attractive valuation with upside potential from the recent Piedmont acquisition and planned divestiture of the storage business.

Regulatory improvements in Missouri enabling a forward test year in 2026 should reduce earnings lag starting in 2028. Spire’s expansion into Nashville through acquiring Piedmont Tennessee from Duke, while potentially selling its lower-multiple storage business, improves its earnings mix toward regulated utility flows.

These strategic moves strengthen the case for a higher overall multiple, with potential for growth exceeding the current 5%-7% long-term goal by 2028.

Spire, Inc. was upgraded to Overweight from Equalweight by Morgan Stanley, which cited expectations for above-average EPS growth. Additionally, the company issued $900 million in notes to help finance its planned acquisition of a Tennessee natural gas business from a subsidiary of Duke Energy Corporation.

Cleanspark, Inc. (CLSK) receives a Buy rating with a $26 price target, well above its current $10.12 price. Analyst Gregory Lewis identifies CLSK as one of the largest public Bitcoin miners now pivoting toward high-performance computing (HPC) colocation.

The company’s existing power locations and recent acquisition of a ~285MW site near Houston provide a strong foundation for HPC business development. CLSK’s Atlanta-area sites could command premium pricing for latency-sensitive applications. Trading at approximately $3 million per megawatt, below industry peers, CLSK offers valuation upside potential with expected HPC contract announcements.

CleanSpark, Inc. reported that its fourth-quarter adjusted EBITDA fell short of analyst estimates, though its bitcoin production for calendar year 2025 increased by over 10% year-over-year. The company also received price target reductions from both Macquarie and B.Riley.

Riot Platforms, Inc. (RIOT) rounds out BTIG’s top picks with a Buy rating and $28 price target versus its current $12.67 price. Lewis highlights RIOT’s strategic positioning with two massive data centers – a ~1GW facility outside Dallas and a ~700MW facility near Austin. Currently trading at approximately $2 million per megawatt on approved power capacity, RIOT trades at a discount to peers.

The company is actively converting existing data centers to HPC through colocation contracts, with preliminary buildouts already underway. Lewis expects securing an HPC colocation deal would trigger valuation improvements similar to other Bitcoin miners who have made similar transitions.

Riot Platforms, Inc. announced a planned transition for its chief financial officer, with Jason Chung set to take over the role on March 1, 2026. Operationally, the company reported producing 460 bitcoin in December 2025.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Investing.com -- Chevron Corp is sending at least 11 ships to Venezuelan ports in January, Bloomberg reports, emerging as the sole exporter of the country’s oil following President Nicolas Maduro’s removal by U.S. forces.

The fleet of vessels chartered by the U.S. oil major is scheduled to arrive at the government-controlled ports of Jose and Bajo Grande this month, according to Bloomberg data. This preliminary count shows an increase from 9 vessels in December, though slightly below October’s 12 tankers.

"Chevron remains focused on the safety and wellbeing of our employees, as well as the integrity of our assets. We continue to operate in full compliance with all relevant laws and regulations," the company said in a statement to Bloomberg on Tuesday.

The Houston-based firm continues its oil loading operations while at least 12 other vessels bound for Venezuela have turned away due to heavy U.S. military presence in the Caribbean. Two tankers transporting sanctioned oil were caught in the U.S. naval blockade, and American forces are now pursuing a third vessel called Marinera, or Bella 1, according to CBS News.

Chevron operates in Venezuela under a special license from the U.S. Treasury Department, making it the only Western company permitted to produce and export crude oil under current American sanctions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.