November 14, 2025

In the Loop – November 14, 2025

“In The Loop” is designed to give you a short update reflecting major developments, earnings, and investment trends across some core Equity Income and Growth holdings. All clients should be aware that individual buy/sell recommendations will be conveyed directly to you on an individual basis. Have a great weekend.

Spending Veteran’s Day at the New York Stock Exchange supporting our friends at Academy Securities during the Closing Bell ceremony was a day I will not forget. We started off the day meeting with The Global Intelligence Group, led by General (Ret.) “Spider” Marks, downstairs at the “Original” trading floor. Then we moved to today’s trading floor and watched Academy Securities CEO, Chance Mims, ring the bell before a meet and greet inside the Exchange Vault. We were honored to be acknowledged in their press release:

“Academy is honored to recognize the State of Iowa, Eli Lilly and Company, Muriel Siebert and Co. LLC, Massey Romans Capital, and AAFMAA Wealth Management & Trust as key partners this Veterans Day, whose support helped Academy Asset Management reach these important thresholds.”

Last week we called it a growth scare and this week it feels more like momentum unwind.

While a single day’s move doesn’t define a trend, markets that are priced for perfection become vulnerable when either company-specific or macro developments fall short. This earnings season — and Thursday’s pullback in particular — underscored that dynamic, as uncertainty around the Fed’s rate-cut trajectory and heightened scrutiny of AI spending triggered a sharp bout of volatility. However, let’s keep in mind that roughly 82% of the largest publicly traded U.S. companies have surpassed earnings expectations — putting this season on pace for the strongest beat rate since Q3 2021, when the figure was also 82%. Overall, index-level earnings are trending toward a 13% increase, nearly double what analysts predicted at the end of the quarter. Political uncertainty does not stop Bull Markets. The trend is still up and to the right and the next catalyst to end the AI slowdown concerns will be on 11/19 when Nvidia reports earnings. The stocks that make the market go are in great shape, and those are the ones we want to own.

Individual Company Updates

Pfizer (PFE)

Pfizer has secured its acquisition of Metsera in a deal valued at roughly $10 billion, ending a competitive bidding process that included Novo Nordisk. Novo ultimately withdrew after the FTC raised concerns that its bid structure could create antitrust issues. Once Pfizer matched the higher competing offer, Metsera’s board unanimously recommended Pfizer’s revised agreement as the best combination of value and regulatory certainty for shareholders. Metsera, a private U.S. company, is advancing a promising pipeline of GLP-1 anti-obesity candidates, including MET-097i — a weekly and monthly injectable GLP-1 in Phase II trials — and MET-233i, an early-stage monthly amylin analog. With initial FTC clearance already granted, the transaction is expected to close without friction and gives Pfizer a meaningful foothold in the rapidly expanding obesity-drug market.

IBM (IBM)

IBM announced it has progressed to Stage B of DARPA’s Quantum Benchmarking Initiative, marking an important milestone in the evolution of quantum performance measurement. The program focuses on establishing standardized metrics that compare quantum system performance to classical computing capabilities — a foundational step toward demonstrating practical quantum advantage. IBM’s advancement underscores its growing leadership in frontier technologies and reinforces its pivot toward high-value innovation areas, further positioning the company to benefit from the next wave of computing and AI-driven scientific applications.

NextEra Energy (NEE)

NextEra Energy continued to expand its leadership in renewable generation and grid modernization, highlighting progress on its large-scale solar and storage build-out as well as ongoing investments in transmission infrastructure. The company is benefiting from robust demand for clean energy from utilities, corporates, and AI-driven data-center expansions, and it reaffirmed long-term growth targets tied to its unmatched project pipeline. NEE’s regulated utility, FPL, also remains a steady earnings driver as it executes one of the nation’s most ambitious grid-hardening and reliability programs. The combination of stable regulated growth and high-quality renewables development continues to position NextEra as a core beneficiary of the U.S. energy transition.

GE Vernova (GEV)

GE Vernova delivered updates across its wind, power, and electrification segments as the newly independent company builds momentum post-spinoff. The onshore wind business continues to benefit from improved pricing and tax-credit clarity, while the offshore segment is stabilizing as the company focuses on more disciplined project selection. In its gas-power unit, demand for high-efficiency turbines remains strong — particularly as utilities balance renewable variability, electrification growth, and rising data-center load requirements. GEV’s grid-solutions business is also seeing accelerating orders as transmission investment becomes a national priority. Overall, GE Vernova stands at the center of the energy-transition supply chain, benefiting from global spending on renewables, grid reliability, and flexible generation.

L3Harris Technologies (LHX)

L3Harris reported steady progress across its defense electronics, space, and communications portfolios, underscoring its positioning as a key enabler of next-generation military and intelligence capabilities. The company continues to benefit from elevated global defense spending, particularly in areas tied to secure communications, tactical data links, and resilient space-based systems. Recent contract wins in classified and space-related programs highlight LHX’s strength in high-importance mission areas, while ongoing integration efforts following prior acquisitions are improving operational efficiency and margin stability. With modernization priorities accelerating across the Pentagon — especially in electronic warfare, command-and-control, and space sensors — L3Harris remains well placed to capture durable long-term demand.

We remain focused on navigating market trends and positioning portfolios for long-term growth and resilience.
Share this article:

Formidable Asset Management (“Massey Romans Capital”) is an investment adviser registered under the Investment Advisers Act of 1940. The information presented in the material is general in nature and is not designed to address your investment objectives, financial situation or particular needs. Prior to making any investment decision, you should assess, or seek advice from a professional regarding whether any particular transaction is relevant or appropriate to your individual circumstances. Although taken from reliable sources, the Firm cannot guarantee the accuracy of the information received from third parties.

The opinions expressed herein are those of the Firm and may not actually come to pass.