分组1 - Voya MidCap Opportunities Fund's Q4 2025 investor letter highlights solid market gains but relative underperformance due to unfavorable stock selection [1] - The fund underperformed the Russell Mid Cap Growth Index, despite U.S. equity markets advancing on moderating inflation and robust earnings [1] - The fund managers maintain a cautiously constructive outlook, emphasizing the importance of active and flexible positioning amid geopolitical risks and policy uncertainty [1] 分组2 - Comfort Systems USA, Inc. (NYSE:FIX) provides mechanical contracting services and benefits from strong demand in data centers, healthcare, and infrastructure projects [2] - The stock represented 2.97% of the portfolio investments, with a one-month return of 17.25% and a market capitalization of approximately $39.872 billion [2] - Comfort Systems USA, Inc. was a key contributor to the fund's performance, driven by stronger-than-expected 3Q25 revenue [3]

Core Insights - The recent tariff noise is impacting the market, and investors are advised to focus on long-term investment themes rather than reacting to headlines [1][7] Market Performance - In 2025, markets initially fell nearly 15% by April due to tariff fears, but those who remained invested saw a 39% rebound by year-end, highlighting the importance of long-term trends [2] Investment Opportunities - Investors should prioritize long-term growth opportunities, particularly in the AI sector, with trillions expected in infrastructure investments by 2030 [3] - Comfort Systems USA Inc. (NYSE:FIX) and Duke Energy Corp. (NYSE:DUK) are highlighted as stable investment options, with Duke trading at 17X forward earnings and offering a 3.7% dividend yield [4] Promising Sectors - Aerospace and defense sectors are expected to benefit from rising global military budgets, while small-cap biotech is positioned to gain from patent cliffs and M&A activity [5] - Notable companies in these sectors include L3 Harris Technology Inc. (NYSE:LHX) in defense and Indivior PLC (NASDAQ:INDV) and Day One Biopharmaceuticals Inc. (NASDAQ:DAWN) in biotech [5] Future Market Outlook - In 2026, investors who align with their risk tolerance and "follow the money" may find attractive entry points despite ongoing market volatility [6] - Current market conditions are turbulent due to renewed tariff threats, with the S&P 500 and Nasdaq 100 both sliding around 2%, marking their worst sessions in over three months [7][8]

Core Insights - Comfort Systems USA, Inc. (FIX) is expanding its focus on data center construction, which is becoming a significant driver of its growth [1][4] - The company is experiencing strong demand in manufacturing markets, but data center opportunities are increasingly attractive due to the technology sector's growth [1][2] Revenue and Market Trends - Technology-related projects, including data center construction, accounted for approximately 42% of total revenues in the first nine months of 2025, up from 32% in the previous year [2][9] - The surge in demand for data centers is driven by the rapid adoption of artificial intelligence, cloud computing, big data, and digital services, leading to a construction boom [2] Backlog and Demand - Comfort Systems' backlog reached a record $9.4 billion at the end of Q3 2025, with strong bookings in the technology sector [3][9] - The company has a robust data center pipeline with no signs of a near-term slowdown in bidding activity or customer demand [3][9] Competitive Landscape - Competitors like Sterling Infrastructure, Inc. and Quanta Services, Inc. are also increasing their focus on technology-related construction, intensifying competition in the market [5][6][7] - Sterling reported a 125% year-over-year increase in data center revenues in Q3 2025, highlighting strong demand for high-capacity facilities [6] Stock Performance and Valuation - FIX shares have increased by 105.6% over the past six months, outperforming industry peers and major indices [8] - The stock is currently trading at a forward 12-month price-to-earnings (P/E) ratio of 36.63, indicating a premium compared to industry peers [11] Earnings Estimates - The earnings estimate for FIX for 2026 remains unchanged at $30.61 per share, reflecting a year-over-year growth of 16.4% [13]

Core Insights - The declining Federal Reserve interest rates and favorable public spending are positively impacting U.S. infrastructure companies, particularly Comfort Systems USA and Quanta Services, driven by trends in AI-related products and services [1][22]. Group 1: Federal Reserve and Market Environment - On December 10, 2025, the Federal Reserve reduced interest rates by 0.25 percentage points, establishing a benchmark between 3.5% and 3.75%, which is expected to stimulate project initiations and market trends [2]. Group 2: Company Profiles - Comfort Systems specializes in HVAC installation and contracting services, focusing on large-scale projects and inorganic growth initiatives [3]. - Quanta Services is involved in large-scale electrical and utility infrastructure projects, emphasizing margin improvement and a self-perform model [3]. Group 3: Financial Performance and Growth - Comfort Systems has seen a significant increase in demand from the Technology sector, contributing 42% of total revenues in 2025, up from 32% the previous year, with a record backlog of $9.38 billion, reflecting year-over-year increases of 65.1% [5][6]. - Quanta Services reported a record backlog of $39.2 billion as of Q3 2025, up from $33.96 billion a year ago, indicating strong demand visibility [10]. Group 4: Shareholder Returns and Capital Management - Comfort Systems repurchased 0.3 million shares for approximately $125.4 million in the first nine months of 2025 and increased its quarterly dividend by 20% to 60 cents per share [7]. - Quanta Services repurchased 538,559 shares for $134.6 million during the same period, with $365.1 million remaining under its buyback program, indicating disciplined capital management [12]. Group 5: Risk Factors - Comfort Systems faces risks related to its exposure to hyperscale data centers, including potential slowdowns in AI-driven capital expenditures and project delays [8]. - Quanta Services encounters execution risks due to the increasing complexity of infrastructure projects, which may lead to permitting delays and regulatory challenges [13]. Group 6: Valuation and Investment Comparison - Comfort Systems has been trading at a lower forward P/E ratio compared to Quanta over the past five years, indicating a potential growth opportunity at a discounted valuation [15]. - The Zacks Consensus Estimate for Comfort Systems' 2025 EPS indicates an 80.2% year-over-year growth, while Quanta's estimate implies an 18.1% improvement [18][19][20]. Group 7: Conclusion - Given the current market conditions, Comfort Systems is viewed as a better investment option due to its growth potential and superior profitability compared to Quanta Services, which offers stability at a premium valuation [24].

Group 1: Comfort Systems USA - Comfort Systems USA has experienced significant growth, gaining over 1,700% in the past five years, with a current dividend yield of 0.25% and a 20% increase in dividends last year [3][4] - The company reported a record backlog of $9.38 billion, reflecting a 65% year-over-year improvement, driven by increased demand for HVAC and electrical services from AI data centers [4][8] Group 2: Verizon Communications - Verizon Communications offers a high dividend yield of 7% and low volatility, making it an attractive option for risk-averse investors [5][6] - The company has maintained stable margins despite flat revenue growth, indicating improved profitability and a well-diversified customer base [5][6] Group 3: Procter & Gamble - Procter & Gamble has a strong dividend history, having paid dividends for 135 consecutive years, including 69 years of consecutive increases, with a 5% dividend raise in 2025 [9][8]

Core Insights - Numerous companies are expected to increase their dividends in the upcoming quarterly earnings season, with many of these increases being minimal to satisfy shareholders, while larger increases are being sought after [2][3] Dividend Growth Companies - Companies with the potential for significant dividend increases, specifically those capable of raising distributions by at least 39%, are highlighted as attractive investment opportunities [3] - Lockheed Martin (LMT) serves as an example of a company that has consistently aligned its stock performance with its dividend growth, resulting in a yield on cost exceeding 18% for long-term holders [3][4] Primerica (PRI) - Projected dividend yield of 1.6% with a 39% increase expected in 2025, following a trend of doubling its payout over the past four years [5][6] - The company has shown steady revenue growth for over a decade, with earnings per share (EPS) expected to rise by low double digits in 2025, despite pressures from higher living costs [7] - Anticipation surrounds the upcoming dividend hike announcement in early February, with significant stock buyback programs also in place [8] Yum China Holdings (YUMC) - Projected dividend yield of 2.0% with a 50% increase expected in 2025, as the company continues to expand aggressively in the Chinese market [9][10] - Yum China plans to return $3 billion to shareholders between 2025 and 2026, with a notable increase in dividends from 10 cents per share in 2017 to 24 cents per share in 2025 [11][12] Comfort Systems (FIX) - Projected dividend yield of 0.2% with a 60% increase expected in 2025, reflecting a significant growth in dividends of approximately 471% since 2020 [13][15] - The company is well-positioned to benefit from growth in the technology sector, particularly in artificial intelligence, which drives demand for its services [14] Penske Automotive Group (PAG) - Projected dividend yield of 3.4% with a 40.2% increase expected in 2025, maintaining a history of quarterly dividend hikes for over a decade [16][19] - The company operates a diverse range of dealerships and has a significant presence in commercial vehicle retail, although net income has been declining recently [18][21] Howmet Aerospace (HWM) - Projected dividend yield of 0.2% with a 100% increase expected in 2025, following a substantial growth in dividends over the past five years [21][22] - The company is focused on advanced engineered products for aerospace and transportation, with a recent acquisition expected to drive revenue growth [23][24]

Group 1 - Lockheed Martin Corporation is a key player in the defense sector, focusing on advanced technologies and military systems [1] - Penske Automotive Group Inc is expanding its automotive retail operations, indicating growth in the consumer market [1] - Comfort Systems USA Inc is experiencing increased demand for HVAC services, reflecting trends in the construction and energy efficiency sectors [1] Group 2 - Primerica Inc is showing strong performance in the financial services industry, particularly in life insurance and investment products [1]

Core Viewpoint - Comfort Systems (FIX) has shown strong performance in the market, with a notable increase in stock price over the past month, and is expected to report significant earnings growth in the upcoming earnings disclosure [1][2]. Group 1: Stock Performance - Comfort Systems closed at $1,053.10, down 1.87% from the previous trading session, underperforming the S&P 500, which lost 0.53% [1]. - Over the past month, shares of Comfort Systems have gained 10.8%, outperforming the Construction sector's gain of 4.47% and the S&P 500's gain of 2.06% [1]. Group 2: Earnings Forecast - The company is forecasted to report an EPS of $6.77, reflecting a 65.53% increase from the same quarter last year [2]. - Revenue is expected to reach $2.28 billion, indicating a 22.29% increase compared to the same quarter of the previous year [2]. Group 3: Full Year Estimates - For the full year, earnings are projected at $26.31 per share, showing an 80.21% increase from the previous year, while revenue is estimated to remain at $8.74 billion [3]. - Recent adjustments to analyst estimates for Comfort Systems indicate a positive outlook for the business [3]. Group 4: Valuation Metrics - Comfort Systems is currently trading with a Forward P/E ratio of 35.06, which is higher than the industry average of 24.59, indicating a premium valuation [6]. - The Building Products - Air Conditioner and Heating industry, to which Comfort Systems belongs, is ranked 76 in the Zacks Industry Rank, placing it in the top 32% of over 250 industries [6].

Company Overview - Comfort Systems USA (NYSE: FIX) has seen its stock price more than double over the past year, driven by recognition of its potential in the artificial intelligence (AI) industry [2] - The company has a significant backlog of $9.38 billion, which is up 65% year over year, indicating strong demand for its HVAC solutions [4] Financial Performance - Comfort Systems USA reported a 35% year-over-year revenue increase in the third quarter, showcasing robust financial growth [7] - The company raised its dividend by 20% last year, reflecting a strong balance sheet and financial health, although the current yield is only 0.24% [6][8] Market Position and Strategy - The company has expanded its market share through acquisitions, including electrical companies in Western Michigan and Southern Florida, which are expected to generate an additional $200 million in annual revenue [5] - Comfort Systems USA operates 184 locations in 139 cities across the nation, positioning it advantageously near many AI hotspots and enhancing its competitive edge [7][8] Industry Trends - The HVAC sector is poised for growth as demand for AI chips increases, necessitating effective cooling solutions [4][8] - Companies are increasingly turning to HVAC providers like Comfort Systems USA to maintain optimal operating temperatures for AI chips, indicating a favorable trend for the industry [8]

Core Insights - Comfort Systems USA, Inc. (FIX) is experiencing a favorable demand environment that enhances long-term revenue visibility, driven by public infrastructure spending and private-sector investments in technology and sustainability [1][10] - The company is well-positioned for steady growth into 2026, supported by a solid project pipeline and strong end-market demand [5] Demand Environment - The company benefits from a supportive demand environment linked to infrastructure, technology, and institutional spending, with healthy project activity [1] - Elevated public infrastructure spending, backed by federal and state initiatives, is bolstering market confidence [1] - Private-sector investments in technology advancement and sustainable alternatives are creating consistent opportunities [1] Backlog and Growth - Comfort Systems' backlog reached $9.38 billion in Q3 2025, reflecting a 65% year-over-year growth from $5.68 billion and a sequential increase of 15.5% [3][10] - The company recorded a second consecutive same-store backlog increase of over $1 billion, reinforcing revenue visibility into 2026 [4] - The size, mix, and growth of the backlog indicate that Comfort Systems is well-positioned for steady growth, supported by disciplined execution and favorable industry fundamentals [5] Market Positioning - Comfort Systems is witnessing incremental growth driven by strength across technology, industrial, and institutional markets, with data centers being the primary growth driver [2] - The company has a high concentration of work tied to hyperscale data centers, AI facilities, and advanced manufacturing projects, distinguishing it among U.S. MEP contractors [2] Peer Comparison - Rising infrastructure and data center investments are also enhancing revenue visibility for peers like Quanta Services, Inc. and Sterling Infrastructure, Inc., which are benefiting from expanding project pipelines [6] - Quanta reported a record backlog of $39.2 billion in Q3 2025, up from $33.96 billion a year ago, indicating strong visibility across various utility services [7] - Sterling reported a signed backlog of approximately $2.6 billion, up 64% year-over-year, with total potential work exceeding $4 billion [8] Stock Performance and Valuation - Shares of Comfort Systems have gained 19.4% in the past three months, outperforming the Zacks Building Products - Air Conditioner and Heating industry's 3.9% rise [9] - The company trades at a forward 12-month price-to-earnings ratio of 33.03, higher than the industry's 25.09 [14]