TS2 TECH • DAILY MODEL PORTFOLIO
Stocks to Buy Today
Five U.S.-listed stocks were picked during Wednesday’s session. Each has just reported earnings, provided guidance, and still trades at a price that offers potential for a gradual entry. The list omits stocks with large opening gaps and steers clear of new positions ahead of Microsoft’s and Meta’s reports tonight.
Selective • post-Fed
-0.53%
-0.59%
-1.53%
+6.75%
The Federal Reserve left its target range unchanged at 3.50% to 3.75%, with three policymakers favoring a 25 basis point hike. Oil prices surged, and major tech companies are set to report earnings after the close, suggesting the initial purchase should be smaller than the final target allocation.
24% target weight
AerCap
NYSE: AER
95 / 100
AerCap has lifted its 2026 adjusted earnings outlook to roughly $16.80 per share from around $14.50. Shares are down today and currently value the company at approximately nine times the revised guidance. Aircraft supply remains constrained, lease revenue is increasing, and the company continues its share buyback program. Gains from asset sales contributed to the quarter’s results, so position sizing should still take into account AerCap’s leverage and exposure to the airline sector.
$150.85
-2.1% today • 14:27 ET
9.0×
Using company guidance
1.27×
Book value $119.21 per share
Total revenue and other income reached $2.167 billion, up 15%. Adjusted earnings per share were $5.14, ahead of the $4.00 forecast. Adjusted return on equity stood at 18%, while operating cash flow totaled $1.5 billion.
Adjusted EPS for 2026 is now projected at approximately $16.80, up 15.9% from around $14.50. Adjusted net income is forecast at about $2.6 billion. The outlook does not factor in any asset-sale gains for the second half.
Adjusted EPS for the quarter topped expectations by 28.5%. The company bought back $691 million in shares during Q2, and its adjusted debt-to-equity ratio stands at 2.05 times.
Target entry range is $148 to $152. Initiate 40% of your planned position within this zone. Consider adding if the price falls below $147 or after a stable close. Avoid buying above $156.50.
22% target weight
Xylem
NYSE: XYL
93 / 100
Xylem reported $3.1 billion in orders, outpacing quarterly revenue. Adjusted profit and margins rose, prompting management to lift its annual EPS outlook. Shares slipped over 2% today, providing a clearer entry point into water spending across municipal, power, semiconductor, and data center sectors.
$122.26
-2.2% today • 14:28 ET
21.7×
Using guidance midpoint
1.33×
$3.1bn orders / $2.336bn revenue
Revenue reached $2.336 billion, up 2%. Adjusted EPS rose 16% to $1.46. Adjusted EBITDA margin improved by 150 basis points to 23.3%. Reported orders jumped 42%.
The company expects 2026 revenue of approximately $9.2 billion, with adjusted EPS guidance raised to a range of $5.55 to $5.70, up from the previous $5.35 to $5.60. Free cash flow margin is projected between 10.2% and 11.0%.
Adjusted EPS surpassed consensus by 9.0%, with the guidance midpoint up 2.7%. The company now expects its annual adjusted EBITDA margin to range between 23.1% and 23.5%.
Target entry between $120.50 and $123; consider an initial position with one-third allocation. Add more around $119 if prices dip. Avoid buying if shares rebound above $126.
20% target weight
General Dynamics
NYSE: GD
91 / 100
General Dynamics surpassed expectations for revenue and earnings, lifting its full-year guidance and closing the quarter with a book-to-bill ratio of 1.4. Gulfstream deliveries and submarine production saw gains. After an early rise, the stock pulled back, offering a more attractive entry point than the opening price.
$388.40
-1.2% today • 14:28 ET
23.0×
Using guidance midpoint
1.4×
Total estimated contract value $186.9bn
Revenue rose 8.1% to $14.09 billion. Earnings per share came in at $4.24, beating the expected $3.97. Operating earnings totaled $1.5 billion, with operating cash flow reaching $1.9 billion.
The company now forecasts 2026 EPS between $16.80 and $16.90, up from its previous range of $16.45 to $16.55. It expects annual revenue to total around $55.7 billion, with aerospace revenue projected at about $13.8 billion.
Quarterly EPS topped expectations by 6.8%, with revenue coming in 4.1% above forecasts. The midpoint for annual EPS guidance increased by 2.1%.
Target entry is $386-$391, with two initial tranches. Reserve the final tranche for a dip below $382 or in the following session. Avoid buying above $398.
18% target weight
Visa
NYSE: V
88 / 100
Visa posted double-digit gains in revenue, payment volume, cross-border activity, and processed transactions. Serving as the portfolio’s low-volatility anchor, the stock is trading higher today. Given its elevated valuation, the model assigns a smaller weight and maintains a strict entry ceiling.
$369.32
+0.7% today • 14:28 ET
28.0×
Using current EPS consensus
+13.6%
Current analyst consensus
Net revenue rose 14% to $11.63 billion. Adjusted EPS came in at $3.32, just above the $3.23 analysts expected. Payment volume increased 10%, while cross-border volume climbed 13%.
Full-year revenue is expected to rise at the lower end of the low teens, with EPS growth at the lower end of the mid teens. Fourth-quarter revenue growth is projected to hit the higher end of the low double digits.
Adjusted earnings per share for the quarter topped estimates by 2.8%. Processed transactions rose 10%, with quarterly payment volume exceeding $4 trillion.
Target buying between $362 and $369 with a limit order. Consider adding shares below $358 if overall market declines. Avoid new buys above $374.
16% target weight
IDEX
NYSE: IEX
85 / 100
IDEX reported record sales and adjusted EPS, along with more than $1 billion in orders. The company also raised its guidance for annual organic growth and profit. Shares are already up 3.6%, so the initial buy is limited. A drop toward the day’s lower range would make for a better entry.
$232.69
+3.6% today • 14:28 ET
26.5×
Using guidance midpoint
1.16×
$1.072bn orders / $920.6m sales
Sales reached $920.6 million, up 6%. Adjusted EPS rose 12% to $2.32. Reported orders climbed 29%. Free cash flow totaled $177 million, with cash conversion at 103%.
For 2026, organic sales growth is now projected at 5% to 6%, up from a previous range of 3% to 4%. The company also raised its adjusted EPS outlook to $8.70 to $8.85, compared to the earlier estimate of $8.35 to $8.55. Third-quarter EPS is expected at $2.20 to $2.25.
Adjusted EPS for the quarter topped consensus by 10.0%. The midpoint of annual guidance is 3.4% higher than the current consensus. Adjusted EBITDA margin stands at 28.1%.
Target entry range is $228-$233. Start with half the usual initial position since shares have already advanced. Avoid buying above $240.
24%
22%
20%
18%
16%
Share prices and daily movements reflect intraday data. Forward P/E for AerCap, Xylem, General Dynamics, and IDEX is based on the midpoint of company guidance. Visa uses current analyst EPS consensus for fiscal year 2026. Adjusted figures are non-GAAP where indicated.
Build each position in three trades. Keep cash for the next session.
Begin by taking roughly 40% of the planned position, add another 30% if the stock pulls back, and complete the final 30% after tonight’s major technology earnings or following a steady close. IDEX requires a smaller initial buy since it has already gained over 3%.
NYSE: GRMN
DO NOT CHASE +18.1%
Adjusted EPS was $2.81, and full-year EPS guidance increased to around $10. The results were solid, but the valuation gap remains too wide to warrant a prudent new entry.
NYSE: F
WAIT FOR A LOWER ENTRY
Ford lifted its adjusted EBIT forecast to $10 billion–$11 billion and raised its free cash flow outlook to $6 billion–$7 billion. Shares have climbed roughly 3.7% and continue to show strong cyclical behavior.
NYSE: VRT
WAIT FOR PRICE STABILITY
Annual profit and cash flow outlooks have been raised, yet the stock has fallen roughly 17% following a revenue shortfall. Investors may want to wait for a steadier foundation before buying in.
6.9 / 10
Elevated. While these companies benefit from recent operational support, broader market direction could hinge on oil prices, the Fed decision, and tonight’s tech earnings.
The Fed kept interest rates steady, though three policymakers favored a hike. Oil prices have climbed roughly 6.8%, while the Dow is down about 1.6%. Microsoft and Meta are set to report earnings after the bell. Consider using limit orders and keep the final tranche unallocated.