Core Insights - The market is witnessing a potential multi-year outperformance cycle for low-valuation equities and small caps, which have lagged for about a decade [2] - Value stocks outperformed growth stocks by 269-724 basis points across all market caps in Q4 [3] - The concentration of large-cap technology stocks has increased significantly, with the top 12 AI-linked stocks adding approximately $15 trillion in market cap since the launch of ChatGPT in 2022, while their revenue growth was only $650 billion [5] Market Performance - In Q4, value stocks across various market caps showed significant outperformance compared to growth stocks, with the Russell Top 200 value stocks returning 3.81% versus 1.12% for growth, resulting in a 2.69% difference [4] - Small caps have shown signs of recovery, with earnings growth slightly exceeding that of larger companies for the first time in thirteen quarters [7] - The Deep Value Select strategy returned +5.09% in the last quarter, outperforming both the S&P 1500 Value Index and the S&P 600 Value Index [12] Capital Expenditure Trends - The five largest AI hyperscalers have seen their combined capital expenditures rise from $97 billion in 2020 to approximately $400 billion in 2025, with expectations of exceeding $600 billion by 2027 [6] - Technology sector capital expenditures as a percentage of U.S. GDP are projected to surpass the peak of 1.2% seen in 2000 [6] Company-Specific Insights - Nabors Industries improved its balance sheet significantly, reducing debt leverage from over 6x to near 2x, and is well-positioned to benefit from a potential increase in global rig demand [14][17] - JELD-WEN is undergoing a multi-year transformation to improve profitability, despite facing challenges in the housing market [19] - Conduent is in the midst of a multi-year transformation, focusing on streamlining operations and reducing debt, with a significant portion of its shares repurchased [20][24] Valuation Insights - Small caps are currently trading at a forward 1-year price-to-earnings multiple that is 30% lower than large caps, indicating a potential for valuation expansion [8] - The valuation spread between large-cap growth and small-cap value is near historical extremes, suggesting that small-cap value may be poised for outperformance [12]

Core Viewpoint - Olive Resource Capital Inc. has reported significant growth in its investment portfolio and share price for the year 2025, driven by strong performance in the commodity market, particularly in gold and copper [2]. Investment Performance - The company's assets increased by 151% in 2025, with a share price rise of 240% during the same period [2]. - In December alone, assets rose by 11.2%, reflecting a strong finish to the year [2]. - Gold achieved a record gain of 65% for the full year, while copper saw a 41% increase; in contrast, oil experienced an 18% decline for the third consecutive year [2]. Investment Portfolio Overview - As of December 31, 2025, the total value of Olive's investment portfolio reached approximately $16.16 billion, up from $6.42 billion at the end of 2024 [3][10]. - Key investments include: - Omai Gold Mines: Increased from $456,720 in 2024 to $3,504,200 in 2025 [3]. - Sterling Metals Corp.: Decreased from $1,252,706 in 2024 to $1,074,043 in 2025 [3]. - Other public equity liquid investments rose from $1,417,143 in 2024 to $2,781,765 in 2025 [3]. Company Structure - Olive Resource Capital Inc. operates as a resource-focused merchant bank and investment company, primarily investing in natural resource companies at various stages of development [5]. - The company currently holds 1,000,000 common shares in treasury pending cancellation, with a total of 106,144,709 common shares outstanding [4].

Company Overview - Owens Corning is a leading global manufacturer in the building materials industry, focusing on insulation, roofing, and fiberglass composites, with a diversified segment structure that provides resilience and competitive differentiation in construction and infrastructure markets [2][5]. Recent Performance - As of January 5, 2026, Owens Corning shares were priced at $113.66, reflecting a decline of 32.13% over the prior year, and underperforming the S&P 500 by 48.69 percentage points during the same period [3]. - The company's stock has slumped approximately 31% over the last 12 months, attributed to a lukewarm construction market and a lack of significant severe weather [6]. Institutional Activity - Paradiem, a financial advisory firm, sold 58,221 shares of Owens Corning during the fourth quarter, resulting in a decline of $9,295,192 in the value of its Owens Corning position, which now represents 0.96% of its 13F assets [4]. Investment Considerations - Owens Corning's shares are currently trading at a price-to-sales (P/S) ratio of 0.92, near the stock's five-year low of 0.77 and below its five-year average of 1.24, suggesting potential value for investors [7].

Group 1 - Owens Corning (NYSE:OC) has been added to David Tepper's Q3 portfolio with an acquisition of 161,500 shares valued at $22.8 million, indicating strong interest from institutional investors [1] - The average price target for Owens Corning suggests a potential upside of 17%, while the highest target indicates a possible upside of 57% [1] - Analyst Sam Reid from Wells Fargo has maintained an Overweight rating on Owens Corning but has reduced the price target from $150 to $130, citing skepticism in the housing market for 2025 and challenges for 2026 [2] Group 2 - Owens Corning reported a 15% increase in its quarterly cash dividend, now at $0.79 per common share, to be distributed on January 21, 2026 [3] - The company has promoted José Méndez-Andino to Executive Vice President and Chief Innovation Officer, focusing on product innovation and new applications in the high-quality building products market [4] - Owens Corning operates through four main segments: Roofing, Insulation, Doors, and Composites, and has been in business since 1938 [5]

Group 1 - Owens Corning is identified as a diversified and inexpensive building materials company, with a strong focus on ESG, innovation, and organic growth, which has positively impacted its share performance in recent years [1] - The company is currently facing challenges due to the overhang from the Masonite deal and a slowdown in growth [1] Group 2 - The investment group "Value In Corporate Events" provides coverage of major corporate events such as earnings reports, M&A, and IPOs, aiming to identify the best investment opportunities [1]

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgency to invest now [1][13] - The energy demands of AI technologies are significant, with data centers consuming as much energy as small cities, leading to concerns about power grid strain and rising electricity prices [2][3] Investment Opportunity - A specific company is highlighted as a critical player in the AI energy sector, owning essential energy infrastructure assets that are poised to benefit from the increasing energy demands of AI [3][7] - This company is not a chipmaker or cloud platform but is positioned as a "toll booth" operator in the AI energy boom, collecting fees from energy exports and benefiting from the onshoring trend driven by tariffs [5][6] Financial Position - The company is noted for being debt-free and holding a significant cash reserve, amounting to nearly one-third of its market capitalization, which provides a strong financial foundation [8] - It also has a substantial equity stake in another AI-related company, offering investors indirect exposure to multiple growth opportunities without the associated premium costs [9][10] Market Trends - The company is strategically aligned with several market trends, including the AI infrastructure supercycle, the surge in U.S. LNG exports, and the focus on nuclear energy as a clean power source [14] - Wall Street is beginning to recognize this company due to its undervalued status and its ability to capitalize on the growing demand for energy in the AI sector [8][10] Future Outlook - The influx of talent into the AI sector is expected to drive rapid advancements and innovation, making investments in AI a strategic move for future growth [12] - The potential for significant returns is emphasized, with projections suggesting a possible 100% return within 12 to 24 months for investors who act now [15]

Core Insights - Dividend stocks, while popular among long-term investors, have underperformed the broader market, with the Dividend Aristocrats Index rising by nearly 4% in 2025 compared to a 16.6% return for the broader market [2] - A study indicated that non-dividend-paying companies and those that cut dividends have historically underperformed other asset classes, showing higher volatility [3] - During market declines of over 10%, dividend stocks have outperformed non-dividend stocks, with a 14.4% decline compared to nearly 20% for the broader market from 1975 to March 2025 [4] Company Performance - Diageo plc (NYSE:DEO) has seen a year-to-date decline in share price of 29.8% as of December 8, 2025, attributed to sluggish sales in Latin America and declining alcohol consumption among Gen Z [9][11] - UBS downgraded Diageo to Neutral from Buy, reducing its price target from 2,250 GBp to 1,850 GBp, citing continued downside risks in the US spirits market [10] - Despite challenges, Diageo reported flat organic net sales and a 2.9% growth in organic volume in fiscal Q1 2026, with expectations of approximately $3 billion in free cash flow in 2026 [12][13] Owens Corning Performance - Owens Corning (NYSE:OC) has experienced a year-to-date decline in share price of 32.8% as of December 8, 2025, due to challenging market conditions affecting residential trends in the US [14] - Barclays reduced its price target for Owens Corning to $130 from $131, maintaining an Overweight rating, while noting volatility in the housing market [15] - The company announced a 15% increase in its quarterly dividend to $0.79 per share and returned $278 million to investors through dividends and share repurchases [16][17]

Core Insights - Olive Resource Capital Inc. reported a strong performance in November 2025, with significant increases in the values of gold and copper, leading to positive returns in their investment portfolio [3][4] - The company achieved a 126% increase in investment performance for the year 2025, recovering from losses in October [4] Investment Portfolio Summary - The total value of Olive's investment portfolio increased from $6.42 billion on December 31, 2024, to $14.53 billion by November 30, 2025, primarily due to stock price appreciation [3] - Key investments include: - Omai Gold Mines Corp.: Value decreased from $3.38 billion in September 2025 to $3.25 billion in November 2025 [3] - Sterling Metals Corp.: Value decreased from $1.63 billion in September 2025 to $1.25 billion in November 2025 [3] - Arizona Sonoran Copper Co.: Value increased from $581.4 million in September 2025 to $748.6 million in November 2025 [3] - Troilus Gold Corporation: Value increased from $610.68 million in September 2025 to $738.84 million in November 2025 [3] - The company holds 1 million common shares in treasury pending cancellation, with a total of 106,144,709 common shares outstanding [5] Market Context - The commodity complex experienced a strong month in November, with equities outperforming the underlying commodities, despite negative sentiment in the oil sector [3] - The company anticipates strong performance in the first months of the new year, which historically aligns with positive trends in the commodity market [4] Company Overview - Olive Resource Capital Inc. is a resource-focused merchant bank and investment company, primarily investing in natural resource companies at various stages of development [6]

Core Insights - Owens Corning reported mixed results for Q3 2025, with adjusted earnings surpassing estimates but net sales missing expectations, both metrics showing a year-over-year decline [3][4]. Earnings Performance - Adjusted EPS was $3.67, slightly above the Zacks Consensus Estimate of $3.64, down from $4.05 in the same quarter last year [4]. - Net sales totaled $2.68 billion, missing the consensus mark of $2.69 billion and reflecting a 3% decline year-over-year [4]. Segment Performance - Roofing segment sales increased slightly to $1.24 billion, with EBITDA of $423 million maintaining a strong margin of 34% [5]. - Insulation segment sales decreased by 6.6% to $941 million, with EBITDA falling to $212 million and a margin of 23% [5]. - Doors segment sales declined by 4.9% to $554 million, with EBITDA dropping to $89 million and a margin of 10% [5]. Operating Highlights - Gross profit decreased to $757 million from $851 million year-over-year [6]. - Adjusted EBITDA was $638 million, down 10% year-over-year, with a margin of 24%, marking the 21st consecutive quarter with over 20% adjusted EBITDA margin [6]. Future Outlook - The company anticipates capital additions of approximately $800 million and expects depreciation and amortization to be around $650 million [7]. - The effective tax rate is projected to remain between 24-26% [7]. Estimate Trends - There has been a downward trend in estimates, with the consensus estimate shifting down by 49.4% recently [8][10]. - Owens Corning currently holds a Zacks Rank 5 (Strong Sell), indicating expectations of below-average returns in the coming months [10]. Industry Comparison - Owens Corning is part of the Zacks Building Products - Miscellaneous industry, where competitor Masco reported revenues of $1.92 billion, reflecting a year-over-year decline of 3.3% [11]. - Masco's EPS for the same period was $0.97, down from $1.08 a year ago, with expectations of $0.78 per share for the current quarter, indicating a change of -12.4% from the previous year [12].

Core Viewpoint - Owens Corning has announced a 15% increase in its quarterly cash dividend, reflecting the company's commitment to returning value to shareholders [1]. Dividend Announcement - The Board of Directors declared a quarterly cash dividend of $0.79 per common share, which is a 15% increase compared to the previous quarterly dividend [1]. - The dividend will be payable on January 21, 2026, to shareholders of record as of January 5, 2026 [1]. Future Dividend Declarations - Future dividend declarations will be made at the discretion of the Board of Directors, based on the company's earnings, financial condition, cash requirements, future prospects, and other factors [2]. Company Overview - Owens Corning is a leader in building products, committed to sustainability through material innovation [3]. - The company provides durable, sustainable, and energy-efficient solutions, leveraging its unique capabilities and market-leading positions [3]. - Owens Corning has over 25,000 employees in 31 countries and reported sales of $11.0 billion in 2024 [3].