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FINWIRES

Research Alert: Waste Connections Delivers Q1 Beat On Continued Margin Gains

-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

Waste Connections Inc. (WCN) delivered a strong start to 2026, with Q1 results exceeding expectations as revenue increased to $2.4B (+6.4% Y/Y) supported by solid waste core pricing of 6%, while adjusted EBITDA margin expanded 50 bps to 32.5%, reaching $769.5M (+8% Y/Y). Despite volume declines of 1.5% as the company shed lower-margin accounts, we believe consistent margin gains reflect WCN's market pricing power and solid execution on cost management. Management highlighted upside potential from improvements in commodity prices, accretive M&A deals, and ramping AI investments for longer-term operational benefits. E&P waste treatment achieved stellar 24.3% growth reflecting increased special waste activity, while solid waste collection grew 5.4% to $1.7B with strong pricing realization, though recycling revenue declined 12.9% due to commodity headwinds. We view Q1 results as aligning well with our Buy thesis, as WCN appears well-positioned with favorable pricing trends and rising E&P waste service demand.

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Research Alert: Mbly: Shares Surge Following Q1 Beat & Raised Guidance

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:Mobileye Global (MBLY) posted Q1 adjusted EPS of $0.12 vs. $0.08 (+51%), ahead of the $0.09 consensus. The quarter was characterized by stronger-than-expected sales offset by weaker-than-expected margins, as revenue rose 27% to $558M ($38M above consensus) and adjusted gross margin contracted 240 bps to 66% (20 bps below consensus). EyeQ volumes were up 27% Y/Y, which drove the beat. MBLY raised prior 2026 guidance for revenue and adjusted operating profit to $1.935B-$2.015B and $185M-$235M, respectively, from $1.90B-$1.98B and $170M-$220M. MBLY also announced a $250M share repurchase program. MBLY ended Q1 with total cash and equivalents of $1.34B versus only $51M of debt. Expectations were low heading into the release and the stock has seen a surge in short interest in recent months to ~17% of the float. In our view, sentiment toward the name had become overly bearish (especially considering MBLY's backlog, gross margins, and large net cash position), now setting up the stock for a significant short squeeze.

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