Ticker Reports for December 11th
AI & Quantum's Next Big Winners: 3 Small-Cap Stocks to Watch in 2026
When it comes to artificial intelligence (AI) and quantum computing, large and mega-cap stocks have captured the majority of investor attention. All of the Magnificent Seven companies play some role in AI, from NVIDIA’s (NASDAQ: NVDA) advanced chips to Tesla’s (NASDAQ: TSLA) pursuit of autonomous driving.
Additionally, quantum stocks like IonQ (NYSE: IONQ) have seen their valuations soar. Its market capitalization now sits at over $17 billion. However, there are still companies that play roles in AI or quantum computing that fit into the "small-cap" bucket. "Small-cap" refers to companies with market capitalizations near or below $2 billion.
Three high-risk, high-reward stocks stand out heading into 2026, each with the potential for substantial gains—or sharp declines—over the coming year.
AEHR: Helping Hyperscalers Ensure Chip Reliability
First up is Aehr Test Systems (NASDAQ: AEHR), with a market capitalization of around $770 million. Aehr makes machines that put AI chips under intense conditions, aiming to expose weak points in their manufacturing. This can help hyperscalers ensure that only the most reliable chips enter their data centers. By doing so, they can potentially save money in the long term, as replacing chips after installation can be expensive.
Aehr soared 36% on Aug. 26, as the company announced it had received follow-on orders from a hyperscaler for its Sonoma machines. However, these orders didn’t seem to improve Aehr’s financials much last quarter. Aehr also said in August that a “leading AI processor supplier" is evaluating its FOX-XP wafer-testing machine for potential purchase.
If the company receives more orders next year, the stock has the potential to take off. Still, Aehr does not appear cheap, trading at a forward price-to-earnings (P/E) ratio north of 180x. Its high multiple, combined with the potential to receive orders from the top players in AI, makes Aehr a stock to watch in 2026.
PLAB: Photomask Maker Investing for Long-Term Demand
Photronics (NASDAQ: PLAB) makes photomasks, essential components that act as blueprints in chip manufacturing. Equipment manufactured by ASML (NASDAQ: ASML) utilizes photomasks to project intricate circuit patterns onto silicon wafers. Photronics is not a company that has received much attention from investors throughout 2025. That is, until recently.
On Dec. 10, Photronics shares surged 45%. The company released a strong earnings report, beating on both sales and adjusted earnings per share (EPS). However, the company’s beats were not the main driver of investor optimism. Photronics announced that it was making significant investments in manufacturing facilities. This suggests that the firm has a strong conviction in its ability to grow over the coming years, or it would not commit to these investments.
The company is making these investments due to increasing demand for high-end photomasks, like those used in AI chipmaking. Photronic’s latest earnings mark a significant shift in its outlook, making this $2.2 billion stock one to watch in 2026.
SKYT: Quantum Enabler with Eggs in Many Baskets
Last up is SkyWater Technology (NASDAQ: SKYT), with a market capitalization of around $940 million. SkyWater spiked 27% on Nov. 6, and then another 31% on Nov. 10, after reporting its Q3 2025 earnings. The company significantly beat estimates on both sales and adjusted EPS. This came as the firm recorded record revenue from quantum computing customers. SkyWater serves as a technology and manufacturing partner for companies developing quantum chips.
One key benefit of SkyWater’s business model is that it works with customers, taking various approaches to quantum computing. Because the technology is still far from being economically viable, no one truly knows which method will end up being the most successful. Thus, the company can currently participate in the development of many of these methods, providing revenue today.
Growing its expertise across a variety of quantum modalities can also provide long-term benefits. If one or multiple methods begin to dominate, SkyWater is not boxed in. It can use its accumulated knowledge to serve those customers whose technology is having the most success. SkyWater’s increasing demand from various quantum customers makes it a stock to watch in 2026.
2026 AI and Quantum Watchlist: AEHR, PLAB, and SKYT
AEHR, PLAB, and SKYT are three interesting small-cap stocks to watch in 2026. Their growing prevalence in key technologies like AI and quantum computing provides strong potential. However, investors should exercise significant caution around these names, as small-cap chip stocks also have the potential to see substantial downside volatility.
Nvidia CEO Issues Bold Tesla Call
Nvidia CEO Issues Bold Tesla Call
Top 3 Winter Stocks With Solid Growth Opportunities
The winter season often marks a distinct shift in the economic landscape, presenting investors with an opportunity to recalibrate their portfolios. While the colder months can bring market volatility, they also clarify the winners in specific industries that thrive on seasonal demand. Growth investing in this environment means looking beyond the hype to find companies with structural advantages that are expanding their earnings through innovation, efficiency, and market dominance.
As Winter 2025 begins, three themes are converging to drive market activity: a spike in global heating demand, a consumer migration toward value-driven retail, and the critical release of new corporate budgets. By understanding these cycles, investors can identify investment possibilities where fundamental strength meets seasonal opportunity.
Smart Strategies: Capitalizing on Seasonal Trends
One of the most effective tools for navigating the winter market is sector rotation. This strategy involves shifting capital into industries that have historically outperformed in the first quarter of the year. The goal is to identify sectors that provide essential services when the temperature drops and the calendar year resets.
For Winter 2025, the market is reacting to specific catalysts, events that trigger predictable financial outcomes. Meteorologists have confirmed a La Niña weather pattern, which historically drives down temperatures and drives up energy prices. Simultaneously, lingering inflation and price increases driven by tariff issues are pushing shoppers toward discount retail giants. Wrapped around both of these issues is the start of a new fiscal year for many corporations, which has historically triggered the release of pent-up capital from the information technology (IT) department.
However, simply buying an entire sector can be inefficient. The key to solid growth is finding the market leaders within these sectors. Investors should look for the companies that have finished building their infrastructure and are ready to reap the rewards just as demand peaks.
Cheniere Energy: Capitalizing on the Big Freeze
The energy sector is perhaps the most direct beneficiary of winter weather. As temperatures plummet across the Northern Hemisphere, the demand for heating fuels rises sharply. For Winter 2025, this dynamic is amplified by the confirmed La Niña weather pattern, which is forecast to bring colder-than-average temperatures to key markets in Northeast Asia and Europe. These regions rely heavily on imported fuel to keep their power grids running and their homes warm.
Cheniere Energy (NYSE: LNG) is uniquely positioned to serve this global need. As the leading exporter of Liquefied Natural Gas (LNG) in the United States, Cheniere plays a critical role in the global energy supply chain. The company’s business model relies on arbitrage, buying natural gas at lower prices in the U.S. (where supply is abundant) and selling it at premium prices in international markets where it is scarce.
This winter offers a specific growth catalyst for the company: the completion of major infrastructure. Cheniere’s Corpus Christi Stage 3 Expansion has reached commercial capacity as of December 2025. In the energy export business, volume is king. This expansion allows the company to process and ship significantly more gas than in previous years, right at the moment when global prices are supported by high winter demand.
For investors concerned about energy price volatility, Cheniere offers a layer of protection. Unlike drillers who are at the mercy of daily spot prices, Cheniere has sold approximately 80% to 90% of its production capacity through long-term contracts. This ensures a steady, predictable stream of cash flow regardless of short-term market fluctuations, making it a stable growth pick for the season.
Walmart: The Flight to Value and Efficiency
In the retail sector, the winter months are defined by the holiday shopping rush followed by a return to budget consciousness in January. In the current economic climate, consumers are increasingly prioritizing value. Walmart (NASDAQ: WMT) has successfully capitalized on this behavior through the trade-down effect. Data shows that the retailer is capturing market share from households earning over $100,000 annually, shoppers who previously frequented premium stores but are now seeking better prices on groceries and essentials.
However, Walmart's growth story in Winter 2025 is not just about selling more products; it is about selling them more profitably. The company is approaching an operational finish line. By the end of its Fiscal Year 2026, Walmart aims to have 65% of its stores serviced by automation. This overhaul of their supply chain reduces the cost of moving goods, which directly improves profit margins.
Furthermore, Walmart is rapidly evolving into a digital advertising giant. Its Walmart Connect business allows brands to buy ads on Walmart’s website and in stores. This digital advertising revenue carries much higher profit margins than traditional retail sales. As the company reports its full-year earnings in early 2026, the combination of supply chain savings and advertising growth is expected to significantly boost the bottom line.
This operational efficiency, combined with its scale, makes Walmart a defensive anchor for a portfolio. It offers the stability of a grocery store with the growing profit margins of a technology-driven logistics company.
Palo Alto Networks: The Cybersecurity Budget Surge
While retail slows down in January, the corporate technology sector heats up. The start of the calendar year is when enterprise companies release their new IT budgets. In 2025, during rising digital threats and regulatory pressure, cybersecurity has become a non-negotiable line item. Palo Alto Networks (NASDAQ: PANW) stands out as the primary beneficiary of this spending cycle.
The driving force behind Palo Alto’s growth is a trend called platformization. In the past, companies would buy antivirus software from one vendor, firewall protection from another, and cloud security from a third. This created complexity and security gaps. Today, Chief Information Officers (CIOs) are seeking to save money and simplify operations by consolidating everything with a single vendor. Palo Alto’s broad, integrated platform makes it the logical choice for this consolidation.
A major vote of confidence in this strategy came recently with the signing of the OneGov agreement with the U.S. General Services Administration. This deal streamlines federal agencies' ability to purchase Palo Alto’s AI-driven security tools, signaling government-level trust in its infrastructure.
Additionally, the company is pivoting toward a more lucrative business model. By focusing on software subscriptions rather than one-time hardware sales, Palo Alto is building a base of recurring revenue. This means that once a customer signs up, they tend to stay and pay annually. For investors, this creates a high degree of visibility into future earnings, making Palo Alto a resilient growth choice in the tech sector even if the broader economy faces headwinds.
3 Paths to Seasonal Growth
Winter presents a unique set of variables for the stock market, ranging from freezing weather patterns to the reset of corporate budget cycles. Navigating this season successfully requires a balanced approach. By focusing on sectors such as energy, defensive retail, and cybersecurity, investors can position themselves to capitalize on these trends.
Identifying market leaders like Cheniere Energy, Walmart, and Palo Alto Networks allows investors to own companies with distinct advantages. Whether it is the export capacity to feed global heating demand, the automation to improve retail margins, or the platform to secure corporate data, these three stocks represent solid growth opportunities for the Winter 2025 season.
Elon's Terrifying Warning Forces Trump To Take Action
Elon's Terrifying Warning Forces Trump To Take Action
AST SpaceMobile Gears Up for Its BlueBird 6 Launch Next Week
On Monday, Dec. 15, AST SpaceMobile (NASDAQ: ASTS) is scheduled to launch its next-generation satellite, BlueBird 6, which is expected to bolster the company’s space-based cellular broadband network while also serving as a litmus test for the Midland, Texas-based firm’s ability to ramp up its operations.
The milestone will mark an essential step toward achieving the communication services sector newcomer’s ambitions to provide direct-to-smartphone, 24/7, high-speed cellular services. So it’s little surprise that the launch is something investors and critics alike are monitoring closely to glean clues about ASTSpaceMobile's tech evolution and what the trajectory of the stock could look like heading into 2026.
BlueBird 6’s Launch Serves as a Credibility Test for AST SpaceMobile
Bluebird 6 will feature the largest commercial phased-array antenna of any satellite in low Earth orbit (LEO) at 2,400 square feet. For context, AST SpaceMobile’s BlueWalker 3 (the company’s prototype test satellite launched on Sept. 10, 2022) and BlueBirds 1 through 5 (launched on Sept. 12, 2024) were equipped with arrays measuring 693 square feet.
BlueBird 6 is 3.5 times the size of its predecessors and will support 10 times their data capacity after it launches from India's Satish Dhawan Space Center next week. And while Monday’s launch may just seem like a procedural operation to the undiscerning observer, it’s an enormous step for the company.
AST SpaceMobile is accelerating its production and operations, and by the end of 2026, the space telecommunications firm plans on having between 45 and 60 BlueBird satellites in LEO servicing the United States, Europe, and Japan.
Of those satellites, 40 are expected online in early 2026, highlighting the how rapidly the company is scaling. Looking further out, AST SpaceMobile intends to develop a larger fleet using as many as 90 satellites that will be fewer but larger than those deployed by competitors like Starlink.
That makes Monday’s tentative launch even more important if AST SpaceMobile wants to accelerate its deployment schedule.
To meet those lofty targets, the company is currently relying on a workforce of more than 1,800 personnel, 1,800 patents or patent-pending claims, and approximately half a million square feet of manufacturing and operations facilities around the globe. According to a recent press release, the company is “95% vertically integrated, with all major manufacturing processes kept under U.S. control.”
By the end of 2025, the company claims it will have the capacity to manufacture six launch-ready BlueBirds per month.
ASTS’s $1 Billion Revenue Pipeline in Waiting
Perhaps more impressive than its galactic aspirations is the revenue pipeline that AST SpaceMobile will have once its services go live. And while the company has disclosed that it will only be able to provide intermittent nationwide coverage in early 2026, plans are in place for continuous service later in the year as the company continues launching its next-gen BlueBird satellites, thereby expanding its service offerings.
That has led to AST SpaceMobile securing over $1 billion in aggregate contracted revenue from commercial partners as well as the U.S. federal government, according to the company’s Q3 business update.
Those government agreements entail a $43 million contract with the U.S. Space Development Agency for network services. Additionally, the company has entered into agreements with the National Science Foundation as well as the Department of Defense (DoD) for national security space demonstration projects through the DoD’s Hypersonic and Advanced Space-based Testbed (HALO) program.
To date, the company has commercial agreements in place with Verizon Communications (NYSE: VZ), AT&T (NYSE: T), and Vodafone Group (NASDAQ: VOD). That’s in addition to commercial pacts with Japanese tech conglomerate Rakuten (OTCMKTS: RKUNY), real estate investment trust American Tower (NYSE: AMT), and BCE (NYSE: BCE), formerly Bell Canada Enterprises and one of Canada’s largest telecommunications and media companies.
Where Wall Street Stands on ASTS
Despite gaining more than 265% this year, AST SpaceMobile remains a fan favorite among Wall Street’s institutional investors. Much of that has to do with the company’s strategic partnerships, which in turn have heightened expectations among analysts and pundits alike.
In short, that looming $1 billion influx of revenue has Wall Street bullish on ASTS. While the current short interest of 14.44% may concern investors, that figure is down 5.20% from the last reporting period.
Additionally, that total is considerably lower than the $3.55 billion worth of shares that were short on Oct. 15, which marked a record since AST SpaceMobile went public.
Meanwhile, institutional ownership remains robust at nearly 61%. But more importantly, over the past 12 months, institutional buyers (296) have outnumbered sellers (105) with inflows of $1.9 billion easily surpassing outflows of just over $312 million.
Vanguard is particularly bullish on ASTS. As the largest institutional holder, the firm owns more than 19.9 million shares, valued at nearly $977.7 million.
The asset management company increased its position 13.4% last quarter, reflecting a trend among AST SpaceMobile’s other top-five institutional holders. During the same quarter, Northern Trust, Gotham Asset Management, and VackEck Associated increased their positions by 18.1%, 37.8%, and 125.1%, respectively.
The last gold bull market of our lifetime…
The last gold bull market of our lifetime…
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