GS Earnings Recap 8.4.26

TMT (Trading: Peter Bartlett, Leyla Kamshad | Specialist: Pete Callahan)

(+) PLTR: Big beat with US Commercial and Government Revenues accelerating and FY Revenue guidance raised. Stock +15% in pre. 2Q revenue 7% above the Street and EBIT margin ~200ps above. 2026 revenue guidance is 6% above the Street and EBIT margin ~100bps above. CEO Alex Karp introduced his goal of driving Palantir's US business (Commercial and Government) to grow at or above current growth rates for the next 18 months. Commercial: Palantir's US Commercial business grew +150% yoy in 2Q (vs. +133% in 1Q); to >134% yoy vs. previous guidance of >120%, and vs. 2025 growth of 109%. Commercial momentum continues as Palantir closes larger enterprise agreements, with: i) 220 deals worth $1mn+, 98 worth $5mn+, and 73 worth $10mn+; ii) average revenue per top 20 customer of $124mn, +67% yoy (on a TTM basis); iii) $2.1bn in TCV, +118% yoy; and 4) NRR of 157%. Government: US Government was up 90% yoy (vs. +84% in 1Q). Management highlighted continued adoption of Maven, including a new program of record that selected Maven as its operating platform, as well as expanding builder activity across the broader ecosystem with 25,000+ developers, service members, civilians, contractors, and companies building applications on the platform. GIR full note.

(+) ON: 2Q results and 3Q guidance just above the street, with positive commentary around AI datacenter business (expects revenue to more than double in 2026). Stock +8% in pre. Quarterly results above the Street on revenue and EPS: onsemi reported 2Q revenue of $1.60 bn, just below GS at $1.62 bn but above the Street (Visible Alpha Consensus Data) at $1.59 bn. Automotive revenue of $781 mn was below GS at $813 mn and the Street at $800 mn, Industrial revenue of 423 mn was below GS at $450 mn and the Street at $452 mn, and Other revenue of $400 mn was far above GS at $353 mn and the Street at $338 mn. Gross margin of 39.3% was below GS at 39.7% but above the Street at 39.1%. EPS of $0.74 was slightly below GS at $0.76 but above the Street at $0.71. 3Q revenue and EPS guidance is just above the Street. onsemi guided 3Q just above the Street on revenue and EPS. Revenue was guided to $1.70 bn at the midpoint, which brackets GS at $1.73 bn and the Street at $1.67 bn. By end market, in 3Q the company expects Automotive revenue to be up in the low-single digits QoQ, Industrial revenue to be flat QoQ, and Other to be up in the high-teens range QoQ. Gross margin guidance of 41% at the midpoint is in line with GS at 41.1% but above the Street at 40.3%. Adjusted EPS guidance of $0.81 - $0.93 (midpoint $0.87) was just below GS at $0.91 but above the Street at $0.84. GIR full note.

(+) GRAB: +5% in Pre. On Demand GMV +22% y/y CC... Adj EBITDA of $168m (+54% y/y)… Remains on track for profitability in FitnTech biz in 2H26. Upgrades FY26 Adj EBITDA guide by $20m (3% higher than prev guide) and new outlook accounts for fuel price support that was provided for drivers continuing through the second half (+ Superbank).. On Fuel Cost:

“Mobility margins this quarter were 8.6%. In other words, very much within the 8.5% to 9% guidance range. We expect to stay within that range through the second half, no matter what happens with fuel prices. Obviously, if fuel prices go down, that will be supportive for us to improve from that point.” Announced new $750m Buyback program, has executed ~$400m of the $500m announced at Feb results. On Competition Landscape: “Uber is restricted from competing with Grab in our core markets until one year following a full sale of its Grab shareholding.”...

(+) SNAP: Solid results with Revenue accelerating and North America DAUs stable. Stock +8% in pre.Positives: a) Q2 total revenues beat prior GSe/Visible Alpha Street ests and guidance with management guiding Q3’26 revenues above prior expectations as key priorities (strengthening user growth/engagement, accelerating core ad revenue growth through lower-funnel and new ad formats, scaling revenue diversification through subscriptions & SPECS, etc.) continue to gain traction; b) Q2 Adj. EBITDA beat prior GSe/Street ests with Q3 guide for further sequential margin expansion…