WStNN.com™ WallStreetNewsNetwork® Stockerblog™ WSNN®

Recent Stock Market Industry Trends: Not Just AI

by Fred Fuld III

Recent weeks have been characterized by intense market activity, but this activity is not uniform. The most prominent and influential sectors have been Information Technology and Communication Services, where performance is being driven by the relentless advancement of generative AI and strong growth in the digital engagement economy. These sectors, which represent a significant portion of the S&P 500, have been the primary engines of the market’s recent rally.

However, the term “active” also encompasses periods of extreme volatility and weakness. This is most acutely demonstrated in the Healthcare sector, which has been highly active due to a dramatic bifurcation in performance. A major sell-off in the health insurance sub-industry, triggered by fundamental business challenges and disappointing earnings, stands in stark contrast to robust growth and investor confidence in pharmaceuticals and biopharma. The broader market is navigating a complex macroeconomic landscape. While optimism over strong corporate earnings and the potential for a Federal Reserve rate cut provides a powerful tailwind, this is tempered by persistent risks from rising bond yields and escalating geopolitical tensions over tariffs. This dynamic creates a push-pull effect, demanding a highly selective and data-driven investment approach from market participants.

The Macroeconomic Backdrop: A Push-Pull Market Environment

To properly understand the recent trends in specific industries, it is essential to first analyze the broader macroeconomic context. The market has been operating in a complex environment defined by a combination of positive catalysts and persistent risks.

The overall sentiment has been cautiously optimistic, leading to positive performance in the major US stock indexes. The S&P 500 recently rose 0.8% in a single day, leaving it just shy of a new record set the previous week. The Nasdaq composite, which is heavily weighted toward technology and growth companies, added 1% to reach a new record high.Over a trailing one-month period, the S&P 500 has climbed 2.01% and is up 19.56% year-over-year. The Nasdaq has also shown significant strength, rising 3.9% over the past week and 11.1% over the last four weeks. The fact that the Nasdaq Composite is reaching new records while the S&P 500 and Dow Jones Industrial Average are showing more modest gains suggests that the current market rally is not a broad-based, all-boats-rising tide. Instead, it indicates that capital is disproportionately flowing into the technology and communication services sectors, which are the primary constituents of the Nasdaq. This targeted rally supports the central thesis that these specific sectors are highly active and influential.

The market is also contending with a series of significant economic drivers and risks. A major source of optimism stems from the prospect of potential interest rate cuts by the Federal Reserve later in 2025. This sentiment was strengthened following a weaker-than-expected US jobs report, which firmed up expectations for a rate cut at the Fed’s policy meeting in September. The possibility of lower interest rates is generally seen as a positive for equities, as it can reduce borrowing costs and stimulate economic activity. However, this positive force is being counteracted by persistent risks from rising bond yields. A rise in the “term premium”—the additional compensation lenders demand for longer-term loans—has been putting upward pressure on bond yields, which in turn pressures stock price-earnings (P/E) ratios and stock prices. This dynamic is a core reason why some analysts believe the market could be confined to a “trading range” for the remainder of 2025, as this push-pull effect creates natural upper and lower boundaries.

Another significant geopolitical headwind is the return of “hawkish tariff talk”. Investors are concerned that new tariff measures could harm corporate margins and disrupt global trade. This is not a theoretical risk; the decision by the US to raise tariffs on Indian exports to 50% caused a significant sell-off in export-oriented sectors and led to Foreign Institutional Investors (FIIs) pulling billions of dollars out of Indian equities. The market is also operating with major indices near record levels, which places a high burden on companies to deliver exceptional performance to justify their current valuations. With the market not priced for an adverse outcome, any negative news or macroeconomic surprises could trigger significant volatility. This environment underscores the need for selective investing, as only companies with strong fundamentals and innovative growth drivers can sustain investor confidence.

To provide a foundational, data-rich overview of the market’s structure, the following table details the weighting and recent performance of the sectors within the S&P 500.

Sector	Weighting in S&P 500 (%)	Trailing six-month performance (%)	Trailing 12-month performance (%)
Information Technology	31.6	-0.4	14.6
Financials	14.3	0.1	26.1
Consumer Discretionary	10.6	-3.7	21.7
Communication Services	9.6	7.3	20.9
Health Care	9.6	-9.1	-4.7
Industrials	8.7	0.2	18.9
Consumer Staples	5.9	3.1	15.8
Energy	3.0	-13.0	-7.3
Real Estate	2.1	-5.5	15.9
Utilities	2.5	0.4	18.2
S&P 500 Index		-1.3	14.4

Data from Schwab, as of July 18, 2025

The Engines of Growth: Technology and Communication Services

The most active and influential sectors in the market over the last few weeks have been Information Technology and Communication Services. Their outperformance has been driven by a confluence of powerful trends, most notably the generative AI revolution and the continued expansion of the digital engagement economy.

Information Technology: The Generative AI Revolution

The Information Technology sector, with an enormous 34.0% weighting in the S&P 500, has been the single largest driver of overall market performance. The central catalyst for this activity is the ongoing and accelerating generative AI boom. This is not merely a passing trend but a transformative force that is already leading to billions of dollars in productivity gains as companies leverage AI assistants to help human developers write and test code. The demand for computing power to support these workloads is exponentially increasing, capturing the attention of both management teams and the public.

The recent Q2 2025 earnings reports from major tech companies provide concrete evidence of how this trend is translating into tangible financial results. Shares of Meta Platforms (META) jumped 11% to an all-time high following a strong report, with CEO Mark Zuckerberg crediting AI for unlocking greater efficiency and gains in their ad system. Amazon’s (AMZN) revenue grew 13% year-over-year, and its cloud services division (AWS) revenue increased 18%, both exceeding analyst projections. Microsoft (MSFT) also paced sector gains after releasing its earnings report. Even companies like Apple (AAPL), which are seen as less directly involved in AI infrastructure, are benefiting; its iPhone sales climbed 13%, and its total number of active devices reached an all-time high, indicating strong consumer engagement with the digital ecosystem.

The AI story extends far beyond the final software or platform product. It has created a complex value chain that is driving activity in hardware and infrastructure. The semiconductor industry, which is the foundational layer for AI, is projected for double-digit revenue growth in 2025, primarily driven by the surging demand for gen AI chips such as CPUs, GPUs, and data center communications chips. This trend is benefiting a wide range of companies, from market giants to specialized players.

For example, Advanced Micro Devices (AMD) ranked among the best-performing stocks in July 2025, and some analysts see Micron Technology as an undervalued stock to watch, noting that it is the “preferred memory provider” for Nvidia’s latest AI accelerators. The fact that investors are actively pursuing companies in the hardware and memory space demonstrates a thorough understanding of the AI value chain. The demand for compute-intensive workloads is creating new challenges for global infrastructure, from data center power constraints to supply chain delays, which implies that the investment theme will continue to expand into a broader range of infrastructure-related companies.

Communication Services: The Resurgence of Digital Engagement

The Communication Services sector, with a substantial 9.6% weighting in the S&P 500, has also been a highly active area for investors, exhibiting a robust 20.9% performance over the trailing 12 months. This sector relies heavily on advertising and subscription-based revenue, which tends to rise when the economy is expanding. The recent stock activity and corporate results provide a clear picture of this trend in action.

A compelling case study is the performance of Roblox (RBLX), an online gaming and game creation platform. Its stock was one of the best performers in July 2025, with shares soaring by 19.66% in pre-market trading after a strong Q2 earnings report. The exceptional results were driven by significant growth in key metrics: revenue was up 21% year-over-year, bookings increased by an impressive 51%, and Daily Active Users (DAUs) grew by 41% to over 111 million. This growth was fueled by new, viral content, such as the game “Grow a Garden,” which was launched in March 2025 and set a world record for concurrent users in Q2. The fact that DAUs aged 13 and over now account for 64% of total users and 66% of all hours played suggests a maturing user base with significant spending power, signaling strength in the broader digital economy.

The sector’s activity is not limited to gaming. Comcast, a telecommunications and entertainment giant, also saw its stock rise more than 2% after beating earnings estimates. The company’s Q2 results were mixed but showcased strategic strengths; while it lost video and residential voice customers, it saw revenue growth in its domestic broadband and wireless divisions. The company also benefited from the successful opening of its Epic Universe theme park, which led to a 6% growth in its Content and Experiences segment. However, not all companies in the sector fared as well, with Charter Communications being listed as one of the worst-performing stocks of July 2025. This divergence highlights that even within a highly active sector, a selective approach is crucial.

The Paradox of Activity: Healthcare’s Bifurcated Market

The Healthcare sector provides a critical, nuanced perspective on market “activity.” While the sector has a significant weighting in the S&P 500, its recent performance is a study in contradiction. Instead of moving in a single direction, capital flows have been dramatically bifurcated, with investors punishing one sub-industry while rewarding others based on their business models and innovation.

The most dramatic recent market activity in Healthcare has been a major sell-off in the health insurance sub-industry. A cluster of major companies, including Centene and Molina Healthcare, ranked among the worst-performing stocks of July 2025. The reason for the sell-off was not just market sentiment but a series of fundamental business problems. Centene, for example, saw its stock plummet after it pulled its full-year 2025 earnings guidance. The company revealed that enrollment numbers in its health insurance marketplaces were lower than expected and that the enrollees were generally less healthy, leading to a stunning $1.8 billion shortfall in its risk-adjustment program. This is a systemic issue within the managed healthcare industry: the challenge of managing costs in an environment of rising utilization and higher-than-expected patient morbidity. Similarly, Molina Healthcare reported a year-over-year decrease in adjusted net income and a higher Medical Care Ratio (MCR) for its Marketplace business, indicating that the costs of providing care are rising faster than revenue. The fact that this problem is being cited across the sector, with other insurers like UnitedHealth Group also suspending their guidance, demonstrates that this is not an isolated event but a deep-seated challenge facing the business model itself.

In stark contrast, other parts of the Healthcare sector are thriving. A list of “best healthcare stocks to buy” is dominated by companies in drug manufacturers, medical devices, and diagnostics & research. These companies are being rewarded for having strong “economic moats,” which are competitive advantages that protect their long-term profitability. For example, Novo Nordisk (NVO) is highlighted for its dominance in the diabetes and obesity treatment markets, with its innovative GLP-1 therapies providing a strong barrier against competition. Merck is also noted for its strong drug pipeline and high-margin product lineup. This flight to quality and innovation is further evidenced by a list of high-growth technology companies that includes several biopharmaceutical firms, suggesting that investor enthusiasm for technology extends to its application in drug discovery and development. This bifurcated flow of capital is confirmed by the prominence of Pharmaceutical ETFs, which have significant weightings in companies like Eli Lilly, AbbVie, and Johnson & Johnson. The stark difference in performance suggests that investors are actively punishing companies with strained business models while rewarding those with strong, innovation-driven competitive advantages.

The following tables visually represent the divergence in performance within the Healthcare sector and across other industries.

Top Performers (July 2025)	Sector	Underperformers (July 2025)	Sector
Comfort Systems USA (FIX)	Industrials	Centene (CNC)	Healthcare
Roblox (RBLX)	Communication Services	Molina Healthcare (MOH)	Healthcare
GE Vernova (GEV)	Industrials	Charter Communications (CHTR)	Communication Services
PTC (PTC)	Technology	Align Technology (ALGN)	Healthcare
Advanced Micro Devices (AMD)	Technology	Liberty Broadband (LBRDA)	Communication Services

Data from Morningstar, as of August 1, 2025

Conclusion: Implications for Investors and Forward Outlook

The most active industries for stock investors in the last few weeks have been Information Technology and Communication Services, driven by a powerful and concentrated rally around generative AI and digital engagement platforms. These sectors are providing the primary momentum for the broader market, with strong corporate earnings justifying high valuations and fueling investor optimism. However, the term “active” is also defined by a significant and telling divergence, most evident in the Healthcare sector, where investors are fleeing from managed care companies facing systemic cost issues and re-allocating capital toward innovative, moat-protected biopharma and medical device companies.

For investors, this bifurcated market presents a critical lesson: selectivity is paramount. A broad, passive approach to a sector like Healthcare would have been disastrous in July, while a highly selective approach could have yielded significant returns. The outsized influence of a few mega-cap technology stocks presents a concentrated opportunity, but also a risk if those companies fail to deliver. This is reinforced by the broader macroeconomic picture, which suggests a potentially “rangebound” market for the remainder of 2025. This environment highlights the value of diversification, not only across sectors but also into other asset classes like international stocks and precious metals.

The forward trajectory of these active industries will likely be determined by three key factors. First, the pace of AI innovation and adoption will continue to be a primary driver. The market will be watching to see if demand for AI hardware and software can continue to drive earnings, or if scaling challenges and new competitors will temper growth.Second, the market’s direction will be dictated by the delicate balance between corporate earnings and macro policy. Companies must continue to deliver strong results to justify their high valuations, especially in the face of rising bond yields and geopolitical tariff risks. Finally, the Healthcare sector’s path forward depends on how the health insurance sub-industry responds to its fundamental cost challenges, and whether the pharmaceutical sub-industry can continue its innovation-driven growth, which has proven to be a shield against broader market pressures.

Disclosure: Author owns several of the above mentioned stocks including AAPL, AMZN, and MSFT.

Will Flying Car Stocks Go Higher?

by Fred Fuld III

The concept of eVTOL aircraft—electric vehicles capable of vertical takeoff and landing—has long captured the imagination of futurists. Today, the industry is rapidly evolving, driven by advances in battery technology, regulatory acceptance, and partnerships with major automakers and airlines. Though often branded as “flying cars,” most eVTOL designs resemble compact air taxis more than vehicles that drive on roads. Still, the promise of speeding up congested city commutes via quiet, emissions‑free aerial vehicles has spurred billions in investment.

As of mid‑2025, several pure‑play eVTOL manufacturers are publicly traded, including Joby Aviation (NYSE: JOBY), Archer Aviation (NYSE: ACHR), Eve Air Mobility (NYSE: EVEX), Vertical Aerospace (NYSE: EVTL), Blade Air Mobility (NASDAQ: BLDE), and EHang (NASDAQ: EH). Below we explore Joby and its peer group from an investor perspective.

Joby Aviation (NYSE: JOBY) stands out as a front‑runner among eVTOL firms. Founded in 2009 and publicly listed via a SPAC in 2021, Joby has developed a five‑seat aircraft targeting FAA certification in 2025, with hopes to launch commercial air taxi service in late 2025 or 2026, starting perhaps in Dubai before U.S. approval arrives. Its key specs—200 mph top speed and about 150 mile range carrying one pilot and four passengers—make it competitive in urban air mobility.

From an investor’s standpoint, Joby has several distinct strengths. It has raised substantial capital—Toyota has committed over $500 million as part of a roughly $894 million investment and is partnering on manufacturing in Ohio; other investors include Baillie Gifford, Intel Capital, and Delta Air Lines. Joby also acquired Uber’s Elevate division in 2020 to integrate with Uber’s ride‑hailing platform. On the regulatory front, Joby became the first eVTOL company awarded a Part 135 Air Carrier Certificate, enabling it to begin limited commercial operations with conventional aircraft as a stepping stone.

However, Joby remains pre‑revenue and heavily cash‑consuming. Milestones like aircraft certification, scaling manufacturing, and commercial deployment must align closely or valuation risk increases sharply. Its recent equity offerings—40 million shares at $5.05 per share—raised about $193–$222 million, intended to help fund certification and production ramp‑up, though dilutive for shareholders. Toyota’s share issuance could further increase dilution while increasing financial runway. Joby currently has a $13.55 billion market capitalization.

Archer Aviation (NYSE: ACHR) is another pure‑play listed firm, co‑founded in 2018 and based in San Jose, California. Its two‑seat Maker eVTOL targets roughly 100 mile range and top speeds near 150 mph. Archer’s high profile partnership with United Airlines includes a $1 billion pre‑order for over 200 aircraft, and it’s targeting commercial operations during the 2028 Los Angeles Olympics. It has also joined forces with defense‑tech firm Anduril to develop hybrid VTOL platforms for Pentagon use, a divergence into potential military markets. Archer recently raised $850 million, boosting its cash posture significantly.

From a financial metrics standpoint, Archer is still pre‑revenue with net losses (about ‑$317 million in 2023), modest assets, and equity; its market cap hovers in the $6.7 billion range, compared to Joby’s larger valuation. Recent moves—such as joining Archer’s defense advisory board by Lt. Gen. Scott Howell (formerly at Joby)—signal investor concerns over Joby’s military momentum and confidence in Archer’s strategy in this domain.

Eve Air Mobility (NYSE: EVEX) is the eVTOL arm of Brazilian aerospace giant Embraer. Eve aims for commercial flights by 2026 and has signed letters of intent for up to 54 aircraft in markets including Brazil and the U.S. Embraer’s backing and engineering heritage offer an institutional advantage, though Eve remains early stage and revenue‑less in practice.

Vertical Aerospace (NYSE: EVTL) is a U.K.-based eVTOL start‑up now trading at a heavily distressed valuation (declined from about $2.2 billion to near $655 million) amid cash shortages and delays. Its planned VX4 aircraft has completed hover testing, but passengerflight certification is postponed to 2028 or later. It is currently negotiating urgent funding to survive.

EHang (NASDAQ: EH) of China is unique in being already profitable, and certified its EH216‑S model for commercial passenger and limited autonomous operations by China’s CAAC in early 2025. That gives it a non‑U.S. foothold in eVTOL operations, but its geopolitical and regulatory environment may introduce separate risks.

Blade Air Mobility (NASDAQ: BLDE) is not a pure eVTOL manufacturer—it operates an existing urban air transport platform, using helicopters and seaplanes—but is often lumped into eVTOL market ETFs due to its air mobility business model. Blade’s near‑term revenue is real, though its transition to eVTOL remains speculative.

For investors evaluating this emerging sector, Joby Aviation leads on certification progress, strategic partnerships, and product maturity. Yet its lack of operating revenue and the risk of dilution remain key vulnerabilities. Archer offers a credible alternative with solid airline and defense links, though it too is pre‑commercial. Firms like Eve and EHang bring institutional and regional advantages, but certification and scaling remain hurdles. Vertical Aerospace underlines how capital constraints and execution risks can result in steep de‑rating.

Overall, this high‑risk, high‑volatility group may fit early‑stage speculative portfolios. Diversifying across multiple players and maintaining discipline around entry valuations and milestones—particularly FAA certification timelines, manufacturing scaling, and initial revenue traction—are prudent steps for would‑be investors betting on the eVTOL revolution.

Disclosure: Author didn’t own any of the above at the time the article was written.

Stocks Going Ex Dividend in August 2025

The following is a short list of some of the many stocks going ex-dividend during the next month, which can be helpful for traders and investors interested in the stock trading technique known as “Buying Dividends” or “Dividend Capture.” This strategy involves purchasing stocks before the ex dividend date and selling them shortly after the ex-date at a similar price, while still being eligible to receive the dividend payment.

Although this dividend capture strategy generally proves effective in bull markets and flat or choppy markets, it is advisable to exercise caution and consider avoiding this strategy during bear markets. To qualify for the dividend, it is necessary to buy the stock before the ex-dividend date and refrain from selling it until on or after the ex-date.

However, it is important to note that the actual dividend may not be paid for several weeks, as the payment date may not be until two months after the ex-dividend date.

For investors seeking a comprehensive list of stocks going ex-dividend in the near future, WallStreetNewsNetwork.com has compiled a downloadable list containing numerous dividend-paying companies. Here are a few examples showcasing the stock symbol, ex-dividend date, periodic dividend amount, and annual yield.

Costco Wholesale Corporation (COST)	8/1/2025	1.30	0.56%
American Electric Power Company, Inc. (AEP)	8/8/2025	0.93	3.41%
Starbucks Corporation (SBUX)	8/15/2025	0.61	2.60%
Horizon Technology Finance Corporation (HRZN)	8/18/2025	0.11	15.68%
Applied Materials, Inc. (AMAT)	8/21/2025	0.46	0.98%
Microsoft Corporation (MSFT)	8/21/2025	0.83	0.65%
CSX Corporation (CSX)	8/29/2025	0.13	1.49%
T-Mobile US, Inc. (TMUS)	8/29/2025	0.88	1.42%

To access the entire list of over 100 ex-dividend stocks, subscribers will receive an email in the next couple days with the full list. If you are not already a subscriber, you can sign up using the provided signup box below. Don’t miss out on this valuable information, and the best part is that it’s free!

Dividend Definitions

To better understand the dividend-related terms, let’s define them:

Declaration date: This refers to the day when a company announces its intention to distribute a dividend in the future.
Ex-dividend date: On this day, if you purchase the stock, you would not be eligible to receive the upcoming dividend. It is also the first day on which a shareholder can sell their shares and still receive the dividend.
Record date: This marks the day when you must be recorded on the company’s books as a shareholder to qualify for the dividend. Typically, the ex-dividend date is set two business days prior to the record date.
Payment date: This is the day on which the dividend payment is actually made to the eligible shareholders. It’s important to note that the payment date can be as long as two months after the ex-date.

Before implementing the “Buying Dividends” technique, it is crucial to reconfirm the ex-dividend date with the respective company to ensure accuracy and avoid any unexpected changes.

In conclusion, being aware of the stocks going ex-dividend can be advantageous for traders and investors employing the “Buying Dividends” strategy. WallStreetNewsNetwork.com provides a convenient resource to access a comprehensive list of such stocks, allowing individuals to plan their investment decisions effectively. Remember to stay informed and consider market conditions before employing any investment strategy.

Disclosure: Author may have positions in some of the above at the time the article was written.

Collecting Rare Movie Props as Investments

by Fred Fuld III

The Indiana Jones Whip recently sold for $525,000 at the summer Heritage Auction, and the Rosebud sled that appeared in Citizen Kane was hammered at an incredible $14.75 million. Last December, Judy Garland’s Ruby Slippers from The Wizard of Oz went for $28 million at another auction, with an expectation of selling for only $3 million.

In recent years, collecting rare movie props has emerged as a niche yet lucrative investment category for those seeking alternatives to traditional assets. Movie props carry a unique combination of historical significance, nostalgia, and cultural relevance that can transcend market volatility. A prop is not merely a physical object; it is a tangible piece of cinematic history. For investors and collectors alike, owning a screen-used lightsaber from Star Wars or Indiana Jones’s whip from Raiders of the Lost Ark represents a direct connection to a film that has defined generations. This emotional connection underpins the steady demand for authentic memorabilia, which in turn drives value appreciation over time.

The key to successful investing in movie props lies in authenticity, provenance, and cultural impact. Items that are screen-used, especially if featured prominently or used by a leading actor, command the highest premiums. For example, in 2023, an original X-wing model used in Star Wars: A New Hope sold for over $3 million at auction, far exceeding its presale estimates. Similarly, Marilyn Monroe’s “subway dress” from The Seven Year Itch fetched $4.6 million in 2011. These landmark sales illustrate how props tied to iconic scenes or legendary actors can yield returns surpassing conventional collectibles like coins or stamps.

However, investing in movie props requires diligence. The market is unregulated, so verifying authenticity is paramount. Certificates of authenticity (COAs), studio paperwork, and detailed provenance records help establish credibility and future resale value. Investors should also consider storage and conservation, as many props are fragile and susceptible to deterioration if not preserved under proper temperature and humidity conditions. Engaging with reputable auction houses, specialized dealers, and industry experts minimizes risks and ensures informed acquisitions.

Beyond financial considerations, collecting movie props offers intangible rewards. It provides access to exclusive communities of collectors, film historians, and studio insiders, deepening one’s appreciation of cinema as an art form. For investors passionate about film, owning a rare prop is a daily inspiration that no traditional stock certificate can replicate. Ultimately, while movie props remain an unconventional investment, their rarity, emotional resonance, and record-breaking auction performances have proven them to be a compelling addition to diversified alternative asset portfolios.

Stocks Going Ex Dividend in July of 2025

However, it is important to note that the actual dividend may not be paid for several weeks, as the payment date may not be until two months after the ex-dividend date.

Cisco Systems, Inc. (CSCO)	7/3/2025	0.41	2.39%
Verizon Communications Inc. (VZ)	7/10/2025	0.68	6.22%
Abbott Laboratories (ABT)	7/15/2025	0.59	1.76%
Lowe’s Companies, Inc. (LOW)	7/23/2025	1.2	2.10%
Delta Air Lines, Inc. (DAL)	7/31/2024	0.1875	1.07%

Dividend Definitions

To better understand the dividend-related terms, let’s define them:

Before implementing the “Buying Dividends” technique, it is crucial to reconfirm the ex-dividend date with the respective company to ensure accuracy and avoid any unexpected changes.

Disclosure: Author may have positions in some of the above at the time the article was written.

Are Drone Stocks High Fliers?

by Fred Fuld III

You may have recently read about the defense-technology company specializing in drones called AIRO Group, which completed its IPO on June 13, 2025. Its shares soared on the first day of trading, more than doubling in price. So are drone stocks worth investing in?

Here is an in-depth look at the six largest drone-related companies by market capitalization as of mid-2025. Each of these firms operates in different niches within the drone and advanced air mobility (AAM) sector, from military-grade unmanned systems to futuristic electric vertical takeoff and landing (eVTOL) aircraft. This article explores the business focus, strengths, and drawbacks of each company.

AeroVironment (AVAV)

AeroVironment Inc., based in Virginia, is the largest pure-play drone company by market cap, valued at approximately $8.6 billion. The firm specializes in unmanned aircraft systems (UAS) primarily for defense and government agencies. Its flagship products include the Puma, Raven, and Switchblade drones, which are used extensively by the U.S. military and its allies. AeroVironment also provides sensor payloads, software analytics, and tactical missile systems.

The company’s key strength lies in its established position within the defense ecosystem and its long-term government contracts, which provide predictable revenue streams. Its reputation for reliability and battlefield-proven technology gives it a competitive edge. However, its reliance on government contracts makes it susceptible to budgetary shifts and political uncertainty. Additionally, its commercial drone ambitions have lagged behind competitors, limiting its diversification.

The stock trades at 161 times trailing earnings and 48 times forward earnings. Earnings per share growth next year is expected to increase by over 28%.

Joby Aviation (JOBY)

Joby Aviation, headquartered in Santa Cruz, California, is an eVTOL aircraft company developing electric air taxis aimed at transforming urban mobility. With a market cap around $7.1 billion, Joby is backed by major investors such as Toyota, Delta Air Lines, and Uber. The company is targeting FAA certification for its five-seat aircraft and hopes to launch commercial operations in the coming years.

Joby’s primary advantage is its first-mover position in the U.S. eVTOL space, supported by strong financial backing and a clear regulatory roadmap. Its vertical integration—building aircraft and planning to operate its own air taxi service—gives it control over the customer experience. The major challenge for Joby is execution: mass-producing aircraft, achieving certification, and scaling a profitable transport service remain unproven. As with many pre-revenue firms, it also faces pressure to justify its high valuation in a capital-intensive field.

The company has been generating negative earnings on a year-over-year drop in sales.

Kratos Defense & Security Solutions (KTOS)

Kratos, valued at approximately $6.4 billion, is a national security technology company with a significant footprint in the unmanned systems space. It manufactures high-performance tactical drones such as the XQ-58A Valkyrie, used for military training and as loyal wingman systems to supplement piloted fighter aircraft. Kratos operates in various segments, including satellite communications, microwave electronics, and missile defense.

Kratos benefits from its diverse product lines and integration with U.S. defense priorities, particularly unmanned combat systems. Its experimental drones align with the Department of Defense’s interest in cost-effective autonomous aircraft. However, unlike AeroVironment, Kratos is more diversified and less focused solely on drones, which may dilute investor exposure to the UAV sector. Moreover, delays in Pentagon procurement and the high R&D costs of next-gen aircraft can pose financial headwinds.

The stock has a nosebleed high trailing price to earnings ratio of 330 and a forward P/E of 60. Earnings per share growth next year is expected to increase by over 37%.

Archer Aviation (ACHR)

Archer Aviation, another eVTOL company, has a market cap of approximately $5.6 billion. Based in San Jose, California, Archer is building an electric air taxi called “Midnight” with a projected range of 100 miles and a capacity for four passengers and a pilot. United Airlines is among its major backers, and the company is aggressively targeting FAA certification in the next 1–2 years.

Archer stands out for its partnerships and high-profile collaborations, including a manufacturing deal with Stellantis and commercial support from United. Its aircraft design emphasizes redundancy and safety, appealing to regulators. However, like Joby, it remains a pre-revenue company facing intense capital demands and long development timelines. It also competes head-to-head with Joby, which has more flight hours logged and appears ahead in the certification process.

The company has been generating negative earnings.

EHang Holdings (EH)

EHang, based in Guangzhou, China, is a publicly traded autonomous aerial vehicle company with a market cap of roughly $1.2 billion. Its flagship product, the EH216, is a fully autonomous two-seater eVTOL aircraft targeting air taxi, cargo delivery, and emergency services applications. EHang has achieved conditional certification in China and is making inroads in several international markets.

The company’s strength lies in its aggressive rollout in Asian markets and its autonomous technology, which removes the need for onboard pilots. This could be a game-changer in urban air mobility if adopted at scale. However, regulatory approval outside of China remains a challenge, and investor confidence has occasionally wavered due to concerns over governance, financial transparency, and geopolitical tensions. Its technology, while advanced, remains relatively unproven in real-world conditions compared to Western peers.

The stock trades at 68.5 forward earnings, with a loss generated this year and a profit expected next year. Sales jumped 168% year over year.

Red Cat Holdings (RCAT)

Red Cat Holdings is a small but rapidly growing player, with a market cap estimated between $750 and $800 million. The Puerto Rico-based company focuses on drone hardware and software for military and industrial uses. Through its subsidiary Teal Drones, it produces the Golden Eagle drone, a U.S.-approved alternative to Chinese UAVs for national security use. It also provides AI-driven command-and-control software and secure data streaming tools.

Red Cat’s appeal lies in its focus on domestic, NDAA-compliant drones at a time when the U.S. is actively reducing reliance on Chinese UAVs. Its software-driven platform approach also positions it well in the growing battlefield intelligence space. However, it remains a micro-cap stock with limited revenue and unproven scalability. The company needs to expand its client base and execute on defense contracts to achieve sustainable growth.

The stock trades at 95.5 forward earnings, with a loss generated this year and a profit expected next year. Sales went up by 49.8% year over year.

Conclusion

From defense stalwarts to futuristic air taxis, these six drone-related companies represent a spectrum of business models and stages of maturity. AeroVironment and Kratos provide stable exposure to military UAV systems, while Joby and Archer are high-risk, high-reward bets on the future of urban air mobility. EHang offers a global angle with a fully autonomous platform, and Red Cat delivers a niche opportunity in U.S.-centric, secure drone technology. As the drone ecosystem continues to evolve, each of these companies offers a unique lens on the industry’s future.

Disclosure: Author didn’t own any of the above at the time the article was written.

Should You Invest in an Online Investment Company? The Three Big Platforms

by Fred Fuld III

There are three main companies that are primarily involved in online trading. Here’s a refined look at Webull (BULL), Robinhood (HOOD), and eToro (ETOR) as investment opportunities—covering what each business does, their strengths and weaknesses, and client metrics including user counts and growth trends.

Webull

Webull, founded in 2016 and headquartered in Florida, is a commission-free platform known for its robust tools aimed at more experienced traders. It supports stocks, options, ETFs, cryptocurrencies, and fractional shares. Its public debut via a SPAC merger in April 2025 under the ticker BULL saw its share price skyrocket by ~500%, signaling strong investor enthusiasm.

As of early 2024, Webull claims around 20 million registered users and reported 4.3 million funded accounts with about $8.2 billion in assets under management. It also operates across multiple global regions—including North America, Asia Pacific, Europe, and South Africa—which positions it for diversified expansion.

The stock has a trailing price to earnings ratio of 8.4. The price to sales ratios very high at 11.5.

Advantages:
Webull stands out with professional-grade charting, advanced order flows, and real-time data—features tailored to active, technically savvy traders. Its global reach is greater than Robinhood’s, and its more sophisticated tools often surpass those of eToro.

Disadvantages:
It attracts fewer casual traders compared to Robinhood and lacks eToro’s social/copy-trading community. It has also faced scrutiny over data security and compliance, including a $3 million FINRA fine in 2023 and US legislative concern due to its Chinese ties.

Robinhood

Robinhood pioneered commission-free trading since its 2015 launch and went public in mid-2021. It offers stocks, ETFs, options, futures, crypto, and banking-like features. Its monetization combines payment for order flow, margin lending, and paid tiers such as the Gold tier, along with interest on uninvested cash.

By February 2025, Robinhood had approximately 25.6 million funded customers—up 2 million year-over-year—with AUC around $187 billion, a 58% yearly increase. As of December 2024, its monthly active users numbered about 14.9 million.

The company has a trailing price to earnings ratio of 41.5 and a forward P/E of 49. The price to sales ratio is extremely high at over 20.

Advantages:
Robinhood continues to lead in U.S. retail user base, boasting brand recognition, simplicity, and a thriving ecosystem enhanced with Gold, investing products, and soon banking and robo-advisory services. Its high average revenue per user shows strong monetization.

Disadvantages:
Its tools are generally less sophisticated than Webull’s. It’s heavily reliant on PFOF, which critics say introduces conflicts. Regulatory scrutiny and past controversies persist. And while its total user base is large, active monthlies dipped slightly in Q1 2025 .

eToro

eToro, founded in 2007 in Israel, combines brokerage and social trading features, allowing users to copy top investors. It offers multi-asset access—stocks, crypto, ETFs, futures—alongside unique social-enabled tools like CopyTrader and thematic Smart Portfolios. Its revenue in 2024 reached about $931 million, with earnings of $192 million.

As of late 2024, it had around 38 million registered users, with 3.5–3.6 million funded (active) accounts, growing 14% year-over-year; assets under administration in Q1 2025 hit about $16.9 billion—a 21% annual increase.

The stock trades at 27 times trailing earnings and 26 times forward earnings. It has a very favorable price to sales ratio of 0.39.

Advantages:
eToro excels at social and copy trading—ideal for beginner and social-centric investors. Its global presence is strong, offering multi-currency support and diverse regional expansions, including recent market penetration in the U.S., Asia, and Latin America .

Disadvantages:
Its funded user base is relatively small compared to Robinhood and Webull. Revenues declined post-pandemic highs, and its nascent U.S. presence lags behind more entrenched competitors. Brokerage fees via spreads—though transparent—can slightly offset its zero-commission messaging.

Head-to-Head Comparison

User Depth & Scale: Robinhood leads in funded accounts (~25 M) and active user base, followed by Webull (4.3 M funded, 20 M registered) and then eToro (3.6 M funded, 38 M registered).
Geographic Reach: eToro is truly global (140+ countries), Webull also spans multiple continents, while Robinhood is primarily U.S.-centic with growing U.K. and Asia presence.
Trading Tools: Webull offers the most advanced tooling, Robinhood is middle-of-the-road with gold-tier features, and eToro focuses on social and copy trading rather than depth.
Revenue Models: Robinhood relies on PFOF, margin, and subscriptions; Webull earns via spreads, margin, and potential listing upside; eToro leans on spreads and crypto commissions, though it avoided PFOF.
Growth Momentum: Robinhood showed strong year-over-year AUC and user growth; Webull’s IPO pop indicates investor momentum; eToro’s funded accounts growth (~14 % YoY) is modest but steady, though pre-IPO scaling is navigating valuation pressures .

Investment Outlook

Webull offers a compelling bet on disciplined trader growth and tech-forward infrastructure, but faces regulatory and compliance noise. Robinhood remains a dominant U.S. fintech brand with scale and diversified income, though regulatory risks and engagement variants exist. eToro is an attractive global social-trading play, catering to a growing cohort of digitally native investors, but needs to translate that into deeper funded penetration and stable profitability in newer markets.

In summary, your choice among Webull, Robinhood, and eToro depends on which slice of retail investment you want exposure to: Webull for advanced traders and product innovation; Robinhood for scale and monetization in U.S. retail; eToro for global, social-copy trading growth. Each platform offers different investment stories—growth potential, regulatory risk, and market positioning—that are worth tracking as they mature in public markets.

Disclosure: Author didn’t own any of the above at the time the article was written.

Stocks Going Ex Dividend in June of 2025

However, it is important to note that the actual dividend may not be paid for several weeks, as the payment date may not be until two months after the ex-dividend date.

Wendy’s Company (WEN)	6/2/2025	0.14	4.70%
QUALCOMM Incorporated (QCOM)	6/5/2025	0.89	2.39%
PepsiCo, Inc. (PEP)	6/6/2025	1.4225	4.32%
Nasdaq, Inc. (NDAQ)	6/13/2025	0.27	1.29%
Phillips Edison & Company, Inc. (PECO)	6/16/2025	0.1025	3.45%
Keurig Dr Pepper Inc. (KDP)	6/27/2025	0.23	2.80%
Mondelez International, Inc. Class A (MDLZ)	6/30/2025	0.47	2.82%

Dividend Definitions

To better understand the dividend-related terms, let’s define them:

Before implementing the “Buying Dividends” technique, it is crucial to reconfirm the ex-dividend date with the respective company to ensure accuracy and avoid any unexpected changes.

Disclosure: Author may have positions in some of the above at the time the article was written.

Top Yielding Gold Mining Stocks: Great Inflation Hedges

by Fred Fuld III

Investing in gold mining stocks that pay dividends offers a compelling blend of income generation and exposure to the precious metals market. Unlike physical gold, which does not yield income, dividend-paying gold miners provide regular cash payouts, making them attractive to income-focused investors. Additionally, these stocks often exhibit leverage to gold prices, potentially amplifying returns during bullish market conditions. These stocks have historically been considered great inflation hedges.

Let’s explore four notable dividend-paying gold mining stocks: AngloGold Ashanti Plc (AU), Centerra Gold Inc (CGAU), Caledonia Mining Corporation Plc (CMCL), and Gold Fields Ltd (GFI).

AngloGold Ashanti Plc (AU)

AngloGold Ashanti, a prominent global gold producer, headquartered in the UK offers investors a semi-annual dividend, with a current yield of approximately 2.08% and a projected forward yield of over 5%. The company has demonstrated a commitment to returning value to shareholders, with a payout ratio of 39.06%, indicating a balanced approach between rewarding investors and retaining earnings for growth. AngloGold’s diversified portfolio of mining assets across multiple continents positions it well to capitalize on favorable gold market dynamics.

Earnings per share spiked 126% this year on a 26% rise in revenues over last year. The stock trades at a trailing price to earnings ratio of 19, and a forward P/E of 8.5. The price to earnings growth ratio is a very favorable 0.80.

Centerra Gold Inc (CGAU)

Centerra Gold, a Canadian-based miner, provides a quarterly dividend, yielding around 2.9% with a projected forward yield of 3.1%. The company’s consistent dividend payments reflect its stable operational performance and prudent financial management. With a payout ratio of 56.75%, Centerra balances shareholder returns with reinvestment in its operations. The company’s assets in North America and Asia offer geographical diversification, potentially mitigating region-specific risks.

Earnings per share growth this year were 12.8% on a slight drop in revenues for the year over last year. The stock is selling for 87% of book value and has a reasonable price to sale ratio of 1.25. One factor that the company has going for it is an extremely low amount of debt, with a debt to equity ratio of 0.01.

Caledonia Mining Corporation Plc (CMCL)

Caledonia Mining, another UK headquartered company, stands out with a robust dividend yield of approximately 3.2% , making it an attractive option for income-oriented investors. Operating primarily in Zimbabwe, the company has maintained strong financial performance, supported by its flagship Blanket Mine. Caledonia’s commitment to shareholder returns is evident in its consistent dividend payments, even as it invests in expansion projects like the Bilboes gold project.

The stock has an excellent PEG ratio of 0.88, with strong earning per share growth of 97.8%, on a 29.7% sales growth. Quarterly earnings growth year-over-year was an incredible 318%.

Gold Fields Ltd (GFI)

Gold Fields based in South Africa, one of the world’s largest unhedged gold producers, offers a semi-annual dividend with a yield of approximately 2.4% and a projected future dividend yield of 4.5%. The company’s diversified operations across South Africa, Ghana, and Australia provide a solid foundation for sustained performance. With a dividend payout ratio of 25.96%, Gold Fields demonstrates a conservative approach, ensuring ample reinvestment capacity while delivering shareholder value.

Earnings per share growth this year jumped 84%, on revenues of 13.4% growth year-over-year. This gives the shares an outstanding 0.76 PEG ratio. The trailing PE ratio is 17 with a forward PE of 8.

Conclusion

Dividend-paying gold mining stocks like AU, CGAU, CMCL, and GFI offer investors a unique combination of income and exposure to gold price movements. These companies’ commitment to regular dividend payments reflects their financial stability and operational efficiency. For investors seeking to diversify their portfolios with assets that can potentially hedge against inflation and economic uncertainty, while also providing income, these gold miners present compelling opportunities.

Disclosure: Author didn’t wn any of the above at the time the article was written.

Top No Debt & Low Debt Stocks Selling Below Cash Per Share

by Fred Fuld III

Investing in stocks that are trading below their cash per share can present compelling opportunities, particularly for value-oriented investors. This situation arises when a company’s market capitalization is less than the total cash (or cash equivalents) it holds, divided by the number of shares outstanding. In effect, it means you are buying cash at a discount, potentially gaining access to additional assets — such as property, equipment, or intellectual property — for free.

One of the primary advantages of this type of investment is the built-in margin of safety. This concept, popularized by Benjamin Graham, suggests that when you’re paying less than a company’s net cash value, your downside is limited. Even if the business performs poorly or winds down operations, the liquidation value of its assets — particularly cash — may exceed the stock’s current market price, reducing the risk of a permanent loss.

Such companies also tend to attract activist investors who recognize the disparity between intrinsic and market value. These activists may push for actions like special dividends, share buybacks, or even the sale or liquidation of the company, all of which can unlock hidden value for shareholders. Similarly, businesses trading below cash per share can become attractive acquisition targets. A buyer may see an opportunity to extract immediate value by taking control of the cash and monetizing other assets or operations.

A strong cash position also offers optionality. Companies with excess cash can invest in new opportunities, navigate downturns without raising debt, or repurchase shares when they are undervalued. If managed wisely, these actions can significantly enhance long-term shareholder value.

Investors should note, however, that not every company trading below cash per share is a bargain. Sometimes, cash balances may not be as liquid or accessible as they appear — for instance, if they are held in overseas accounts subject to repatriation taxes. Moreover, a high cash position might be misleading if the company is rapidly burning through it due to poor operations or heavy losses. Poor management, regulatory issues, or the risk of delisting can also justify why the market has heavily discounted the stock.

There are several examples of biotechnology stocks that are trading below cash per share, such as Olema Pharmaceuticals, Inc. (OLMA), which is a clinical-stage biopharmaceutical company, focusing on development and commercialization of targeted therapies for women’s cancers.

The company is debt free, trades at 84% of book value, and 82% of cash per share. The important factor you have to be aware of with biotechs is the burn rate, which in simple terms, relates to how long the company will last assuming losses will continue to eat away at the cash position, assuming no additional funding. In the case of Olema, it has $434 million in cash but losing about $129 million per year. This means that the company can hold out for about three and a third years, assuming all else remains equal.

One company in the industrial sector that trades below cash is NET Power, Inc. (NPWR). The company is a U.S.-based energy technology company founded in 2010 and headquartered in Durham, North Carolina. The company is developing the NET Power Cycle, a proprietary natural gas power generation system that inherently captures carbon dioxide [CO₂] emissions. This technology aims to produce low-cost, clean, and reliable electricity while minimizing environmental impact.

The NET Power Cycle utilizes a highly recuperative oxy-combustion process, combining oxy-combustion and a supercritical CO₂ power cycle. This design enables the system to generate electricity while capturing CO₂ emissions, reducing air pollutants such as sulfur oxides [SOX], nitrogen oxides [NOX], and particulates. The company targets a range of customers, including electric utilities, oil and gas companies, midstream operators, technology firms, and industrial facilities, both domestically and internationally.

NET Power operates a demonstration facility in La Porte, Texas, which serves as a proof of concept for its technology.The company is also working on Project Permian and other development projects to expand its technology’s deployment.

The company has no debt and trades at a 25% discount to cash per share, and an incredible 20% of book value. As of May 16, 2025, NET Power’s market capitalization was approximately $370 million. The company has experienced significant stock price volatility, with a 52-week high of $14.28 and a 52-week low of $1.56.

Financially, NET Power reported a net loss of $157.12 million over the trailing twelve months, with revenue of $250,000. The company had $533 million in cash, cash equivalents, and investments as of the end of 2024, providing a solid financial foundation for ongoing development and deployment efforts.

NET Power’s major shareholders include Occidental Petroleum Corporation, which holds a 45.18% stake, and other investors such as Greenlight Capital.

One other stock trading below cash with a relatively small amount of debt is Green Dot Corp. (GDOT). The company is a financial technology and registered bank holding company headquartered in Austin, Texas. Founded in 1999 by Steve Streit, the company initially focused on providing prepaid debit cards for teenagers to shop online. Over time, Green Dot expanded its services to cater to the “unbanked” and “underbanked” populations, offering a range of financial products and services.

Today, Green Dot operates as a “branchless bank,” delivering banking and payment solutions through a cloud-based technology platform. The company offers various products, including prepaid MasterCard and Visa cards, mobile banking accounts, and secured credit cards. Green Dot’s services are available through a vast network of retail locations, online platforms, and partnerships with companies like Apple, Uber, Intuit, and Walmart.

One of Green Dot’s notable offerings is GO2bank, a digital and mobile bank account designed to provide simple, secure, and useful banking services, particularly for Americans living paycheck to paycheck. Additionally, the company operates the Green Dot Network, which includes over 90,000 retail distribution and cash access locations nationwide, enabling customers to deposit and withdraw funds conveniently.

Green Dot has also ventured into embedded finance through its platform, Arc by Green Dot, which combines the company’s banking and money processing capabilities to support businesses at various stages of growth. Furthermore, the company owns Santa Barbara Tax Products Group, a subsidiary that processes more than 14 million tax refunds annually.

The stock amazingly trades at only 28% of the cash per share, and 55% of book value per share. Although they lost 12 cents a share for the latest reported year, the estimated earnings for next year is $1.47 per share. Sales have grown by 19% year-over-year and by over 23% for the latest quarter versus the same quarter last year.

As of May 17, 2025, Green Dot’s stock price is $9.44 per share, with a market capitalization of approximately $500 million. The company employs around 1,200 people and continues to focus on expanding its digital banking services and partnerships to reach a broader customer base.

While rare, stocks selling below cash per share with little or no debt can signal a market overreaction or neglect, and these shares may rebound sharply when sentiment changes or fundamentals improve.

Disclosure: Author didn’t own any of the above shares at the time the article was written.