May 31, 2026 | Read online

The Week Ahead - May 31

Dell's Big Day, Corgi doubles their valuation in just 3 weeks

The Week Ahead Of Us 🔍

Welcome back! How is it June already?

Futures are up slightly, as the market is near record highs and many AI beneficiaries have recently exploded in valuation. We’re also seeing a bifurcation in software where companies like Snowflake and $IBM ( ▲ 12.71% ) are going hyperbolic due to AI and quantum tailwinds.

Meanwhile, talks between the U.S. and Iran are still ongoing, with the countries trading drafts. Oil is up and the dollar is strengthening as that breakthrough we need remains unclear. Obviously, the AI trade continues to supersede geopolitical risks at the moment, and short-term tokenmaxxing lacking ROI isn’t going to be something that derails the AI buildout thesis. Our eyes are on Broadcom’s earnings later this week, plus the SpaceX IPO, which could very well be fast-tracked into Nasdaq 100 ETFs after a 15-day period.

A couple housekeeping items before today’s piece:

New roles on the Buyside Hub job board - we have a ton of Buyside and Banking roles on our job board - including a role for someone in the Miami area or someone who wants to make the move down south. A Family Office is hiring an Associate to focus on control investments in consumer products businesses with $30mm to $250mm in revenue.
Contribute to the State of Private Equity and Private Credit report we’re hosting on Buyside Hub. This is an easy way for you to get access or extend access to the entire platform - contribute here. Take 5 minutes → get 3 months of comp database access + the full report when it drops in June.

Here’s a look at earnings this week.

Monday: Hewlett Packard Enterprise, Science Applications International
Tuesday: Palo Alto Networks, Dollar General, Ulta, GitLab, Victorias Secret, Signet Jewelers, Donaldson
Wednesday: Broadcom, CrowdStrike, Five Below, Macy's, PVH Corp, Thor Industries, Rent the Runway, Tilly's, Veeva Systems, Petco
Thursday: Lululemon, Brown Forman, DocuSign, Ciena, Cooper Companies, Guidewire
Friday: ABM Industries

Here’s a look at economic data this week (estimates are in quotations).

Monday: S&P final U.S. manufacturing PMI, ISM manufacturing (53.2%), Construction spending (0.3%), Auto sales
Tuesday: Job openings (6.9M)
Wednesday: ADP employment (120,000), S&P final U.S. services PMI, Factory orders (4.3%), ISM services (53.9%), Fed Beige Book
Thursday: Initial jobless claims (215,000), U.S. productivity (0.6%)
Friday: U.S. employment report (90,000), U.S. unemployment rate (4.3%), U.S. hourly wages (0.3%), Hourly wages y/y (3.4%), Consumer credit ($18.0B)

Together With Shortcut

Shortcut, the leading AI excel agent, just launched Opus 4.8!

Shortcut has also announced Manage Mode - a way to spin and orchestrate up to 80 excel agents in paralel to research, pressure test assumption, take actions in parallel, provide adversarial reviews and pushbacks, and to drive your modeling faster.

Power users are able to leverage Manage mode to take advantage of multi-agent planning, action, and verification.

Clearly, the way we used to use Excel is getting dramatically transformed by Shortcut.

Get started with Shortcut

Earnings Corner 💸

Costo $COST ( ▼ 3.91% ) revenue beat at $70.5B vs. $69.7B, while EPS missed at $4.93 vs. $4.98. Results were driven by record gasoline volumes as higher fuel prices pushed consumers toward Costco’s lower-priced gas stations, alongside strength in e-commerce, pharmacy, and membership fees. Comparable sales rose 9.8%, digital sales jumped 21.5%, and membership fee revenue grew 11% to $1.37B as members shopped more frequently and spent more online. Margins were pressured as strong gasoline sales boosted revenue but carried lower profit margins than merchandise sales.
Dell $DELL ( ▲ 32.76% ) revenue beat at $43.8B and EPS beat at $4.86 vs. $2.94. Results were driven by hyperscalers, cloud providers, and enterprises rapidly expanding AI infrastructure to support generative AI and large language models, boosting demand for Dell’s AI servers, traditional servers, and networking equipment. AI server revenue jumped 757% to $16.1B, AI orders reached $24.4B, and backlog grew to $51.3B as demand continued to outpace supply. Dell raised full year guidance and now expects $60B in AI server revenue, driving a sharp rally.
Burlington $BURL ( ▲ 7.76% ) Top and bottom line beat with revenue at $2.86B. Results were driven by value focused consumers seeking discounts, faster inventory buying and allocation that helped Burlington respond to changing demand, and improved inventory placement that capitalized on weather driven sales trends. Comparable sales rose 6%, while margins expanded on stronger merchandise profitability and supply chain efficiencies. Burlington raised full year guidance as it continued gaining market share from traditional retailers.
Dollar Tree $DLTR ( ▲ 3.04% ) revenue beat at $5.0B and EPS beat at $1.74 vs. $1.55. Results were driven by consumers seeking lower cost essentials amid higher living costs, growth in its multi price assortment, and increased spending from both core customers and higher income shoppers looking for value. Margins expanded on stronger merchandise profitability, lower freight costs, and lower inventory losses. Dollar Tree raised full year EPS guidance.
Best Buy $BBY ( ▲ 4.3% ) Top and bottom line beat with revenue at $8.94B. Results were driven by stronger demand for gaming consoles, computers, and mobile phones as new product launches, AI enabled devices, replacement needs, and higher tax refunds encouraged consumers to upgrade technology. Comparable sales rose 2%, while margins improved as advertising and marketplace revenue grew faster than traditional product sales. Best Buy maintained full year guidance.

On The Move 📈 📉

NetApp $NTAP ( ▲ 22.4% ) surged to an all-time high after enterprise AI data storage demand drove a solid 4Q
Snowflake $SNOW ( ▲ 6.84% ) had its best day following Thursday’s strong earnings and AWS partnership.
ServiceNow $NOW ( ▲ 14.38% ) rallied as Snowflake and Dell’s strong earnings confirmed enterprise AI spend, with NOW seen as a direct beneficiary through its Workflow Data Fabric partnership with SNOW.
Okta $OKTA ( ▲ 30.14% ) ripped after the identity platform raised its FY27 outlook, driven by accelerating demand for securing AI agents and non-human identities.
SoFi $SOFI ( ▲ 7.37% ) climbed after launching SOFIUSD, a bank-backed stablecoin on Ethereum and Solana offering a 4.2% yield, backed 1:1 by T-bills and cash with monthly Deloitte audits.
Karman Holdings $KRMN ( ▼ 12.69% ) dropped after large shareholders unloaded 14M shares at $61 in an expanded offering.

IPO Roundup 📍

Blackstone backed Liftoff Mobile is targeting a $3.66B valuation in its renewed IPO under ticker LFTO, seeking to raise up to $418M by offering 19 million shares at $20 to $22 a share. The mobile app marketing firm scrapped a larger $762M offering earlier and is now testing investor appetite for software amid AI disruption fears. Goldman Sachs, Jefferies, and Morgan Stanley are leading the offering.
SpaceX has reportedly trimmed its IPO valuation target to at least $1.8T, down from the $2T+ goal reported in April. The company is still aiming to raise up to $75B in what would be the largest IPO ever, with marketing set to begin June 4 and pricing as early as June 11. Musk denied the report, replying “False” on X.
Applied Aerospace & Defense is targeting up to $634M in its NYSE IPO, pricing 32.5M shares at $18 to $21 for a $3.33B valuation, with pricing set for June 2 and trading June 3. The Huntsville, Alabama based manufacturer, controlled by Greenbriar Equity Group, plans to use most of the proceeds to repay debt, with Morgan Stanley and Jefferies leading the offering.
OpenAI is in talks with Citigroup and JPMorgan to join Goldman Sachs and Morgan Stanley on its upcoming IPO, with a confidential filing expected within weeks. The deal could push OpenAI above its $852B valuation, setting up one of the biggest tech IPOs in history.

For deeper, stock market research upgrade to the WSR Investing Club

Upgrade Here

Today’s Headlines 📖🍿

Private credit balks at Thoma Bravo’s $2.5B Sophos refinancing: Lenders are demanding spreads of nearly S+600, up from the current S+350, to refinance a $2.1B loan maturing in March 2027. Thoma Bravo has tapped Goldman to run a parallel amend-and-extend process with existing lenders, as the S&P flags potential downgrade risk.
Kirkland & Ellis commits $500M to build proprietary AI platform: The world’s highest-grossing law firm is building a custom system fed by 250 lawyers, including 100 partners, rather than relying on high-flying tools.
BDC unrealized losses hit worst level since 2022: A Reuters analysis of 51 BDCs shows aggregate unrealized losses reaching 2.35% of NAV in Q1, with PIK income elevated at $477M. Fitch warns rising PIK exposure could pressure BDC dividends if cash earnings fall short.
Paramount preps $50B debt sale for Warner Bros. takeover: The package, tentatively $30B IG bonds, $12B high-yield bonds, and $7.5B loans, is one of the largest LBO financings ever. Warner Bros.’ $15B term loan B already drew $30B+ in orders, setting up favorable conditions as high-yield issuance hits a five-year high.
Rackspace stages comeback two years after LME: The Apollo-backed cloud firm’s debt surged from 50 to 80 cents after signing MoUs with AMD, Palantir, and Uniphore to build AI inference infrastructure. Creditors, including Apollo, Bracebridge, CastleKnight, and Hudson Bay, stand to benefit.
Shutterfly taps public high-yield markets for $1.875B refinancing: The Apollo-backed photo-sharing site is selling $1.15B in bonds at 12% yield, a $500M term loan priced at 96-97 and S+650, and a $225M second-lien, as it races to address a $2.7B debt pile with maturities starting next year.
CVC buys IFF’s food ingredients unit for $4.3B: IFF’s largest division, at $3.28B in revenue, had been written down after falling sales, making this the latest in a string of divestitures as IFF unwinds its 2021 DuPont nutrition merger. IFF retains a 10% stake, and the deal closes mid-2027.
Blackstone sells Seattle’s US Bank Center at a 54% loss: The 44-story tower was sold to Spear Street Capital for $280M, down from $607M paid in 2019. CBD office values are down 44% on average over five years, with Seattle among the hardest hit.
Dimon publicly attacks Coinbase’s Armstrong over crypto Clarity Act: JPMorgan’s CEO called Armstrong “full of sh-t” on Fox Business, vowing banks will not accept the bill’s current language allowing crypto exchanges to pay interest on stablecoins. Banks argue that it creates unregulated deposit-like products.
Anthropic halves its unauthorized platform list: After flagging eight firms as unauthorized to trade its shares, Anthropic cut the list down to four, including Open Door Partners, Unicorns Exchange, Pachamama, and Upmarket. The shift comes days after Anthropic raised $65B at a $965B valuation, surpassing OpenAI for the first time.
A24’s Backrooms breaks studio record with $81M opening weekend: The psychological thriller grossed $81M domestically and $118M worldwide, nearly 12x its sub-$10M production budget. Disney’s Mandalorian and Grogu fell 69% to $25M domestically this weekend, while Obsession held strong in its third weekend with $26.4M, pushing its worldwide total to $148M.
A leaked internal document reveals Disney plans to decommission the Hulu app once users transition, with development already frozen and resources diverted to Disney+. The consolidation is expected to be completed by year-end.
Universal Music Group rejects Bill Ackman’s €55.75B takeover bid: The board unanimously rebuffed Pershing Square’s cash-and-stock offer at €30.40/share, citing the bid as materially undervaluing the company. UMG is instead launching a buyback, selling half its Spotify stake, and moving its listing to New York.
Ex-Patriots coach Jerod Mayo joins private equity firm Fifth Down Capital: The former NFL head coach became managing director at the Massachusetts-based firm in February, a year after the Patriots fired him following a 4-13 season.

M&A Transactions💭

Taylor Morrison Home (NYS: TMHC), an American residential construction company, has reached a definitive agreement to be acquired for $8.5B by Berkshire Hathaway. The all-cash transaction represents approximately a 24% premium to latest stock price.

The Latin America Business of Zelestra (FRA: SPZ) was acquired for $1.1B by Promigas (BOG: PROMIGAS). Deutsche Bank advised on the sale.

Prevalon Energy, provider of energy storage services, has reached a definitive agreement to be acquired for $365.0M by Nextpower (NAS: NXT).

MW Components, manufacturer of precision components, was acquired for GBP 950.0M by Rosebank Industries. EV/EBITDA was 13.5x and EV/Revenue was 2.56x. Evercore Group, Robert W. Baird & Co., Investec, and Goldman Sachs advised on the sale.

Miss Mouth’s, manufacturer of household cleaning products, was acquired for $325.0M by Church & Dwight (NYS: CHD). EV/Revenue was 4.06x.

MaintainX, developer of a work order and procedure digitalization platform, has reached a definitive agreement to be acquired for $3.6B by Autodesk (NAS: ADSK).

Falcon Oil & Gas, an oil and gas company, was acquired for $172.0M by Tamboran Resources (NYS: TBN). Cavendish Financial advised on the sale.

CORMETECH, manufacturer of emissions control catalysts, has reached a definitive agreement to be acquired for $460.0M by Johnson Matthey (LON: JMAT). EV/EBITDA was 28.75x and EV/Revenue was 3.57x. Jefferies advised on the sale.

CIBC Caribbean Bank (TRN: CIBC), engaged in banking services, has reached a definitive agreement to be acquired for $1.794B by The Bank of N.T. Butterfield & Son (NYS: NTB). Houlihan Lokey and CIBC Capital Markets advised on the sale.

Caesars Entertainment (NAS: CZR), includes roughly 50 domestic gaming properties, has reached a definitive agreement to be acquired for $31.2B by Fertitta Entertainment. EV/EBITDA was 9.54x and EV/Revenue was 2.7x. PJT Partners advised on the sale.

American Woodmark (NAS: AMWD), manufactures and distributes cabinets, was acquired for $3.6B by MasterBrand (NYS: MBC). EV/EBITDA was 35.15x and EV/Revenue was 2.36x. Jefferies advised on the sale.

Soda Fragrance, manufacturer of aroma chemicals, has reached a definitive agreement to be acquired for JPY 41.0B by Samyang Holdings (KRX: 000070).

The Food Ingredients Business of International Flavors & Fragrance has entered into a definitive agreement to be acquired for $3.87B by CVC Capital Partners. The transaction values the company at $4.3B. EV/EBITDA was 10.0x and EV/Revenue was 1.39x. Bank of America and J.P. Morgan advised on the sale.

Fletcher Construction, provider of construction services, was acquired for $315.6M by VINCI Construction Holding. Jefferies advised on the sale.

Private Placement Transactions💭

Corgi, developer of an AI-powered insurance platform, raised $106.0M of Series B1 venture funding led by TCV at a pre-money valuation of $2.49B. This comes just 3 weeks after raising a $160mm Series B at a $1.3B valuation.

Sun PhuQuoc Airways, operator of an airline company, received $228.0M of financing from an undisclosed corporation.

Moffett AI, developer of sparse computing-based AI chips, raised CNY 1.0B of Series D venture funding from Shenzhen Capital Group, SJ Jiacheng Investment Management, and Shanghai Stonehill Technology.

Cognition, developer of an AI software, raised $1.0B o Series D venture funding led by 8VC, Lux Capital, and General Catalyst at a pre-money valuation of $25.0B.

Xynova, manufacturer off robotic components, raised CNY 1.0B of Series A venture funding led by Ideal Investment, CITIC Securities Investment Company, and China Capital Management.

Verdo, developer of smart mobility platform, raised $200.0M of Series A venture funding led by undisclosed investors.

Garner, developer of a healthcare data analytics platform, raised $100.0M of Series E venture funding led by Index Ventures at a pre-money valuation of $2.64B.

Furiosa, developer of AI inference co-processors, raised KRW 800.0B of venture funding from The National Growth Fund and other undisclosed investors.

Fonoa, developer of tax automation and compliance software, raised $110.0M of Series C venture funding led by Headline.

Wonderful, developer of AI software, raised $165.0M of Series B venture funding eld by Insight Partners at a pre-money valuation of $1.85B.

Restructuring Updates💭

Trinseo plc (chemicals manufacturer)

Type: Chapter 11
Debt: ~$2B debt reduction targeted through restructuring
What happened: Trinseo filed Chapter 11 in Houston with support from a majority of lenders after prolonged pressure from weak industrial demand, geopolitical disruptions, and rising operating costs. The restructuring includes $158M DIP financing and a $450M rights offering.
Scale signal: Global chemicals producer with annual sales previously exceeding $3B and operations across plastics, latex binders, and engineered materials.

First Brands Group

Type: Chapter 11 / potential liquidation
Debt: More than $10B debt under restructuring; additional ~$286M tariff-related claims asserted by the U.S. government.
What happened: Restructuring deteriorated further as the DOJ accused the company of tariff fraud while the U.S. Trustee continued pushing for trustee-led liquidation or dismissal of the Chapter 11 case.
Scale signal: One of the largest distressed automotive suppliers in North America with OEM and aftermarket exposure.

Del Monte Foods

Type: Chapter 11 wind-down / asset sale process
Debt: Assets and liabilities each reported above $1B.
What happened: Del Monte advanced its amended wind-down plan and confirmation process while pursuing a ~$509M sale strategy and resolving DIP financing disputes.
Scale signal: National food manufacturer with 10,000–25,000 creditors and one of the largest active consumer-products bankruptcies.

Restructuring Rumors💭

Brightline

Type: Potential restructuring / Chapter 11 risk
Debt: ~$5.5B
What happened: Additional creditor groups hired restructuring advisers while negotiations continued during bond-payment grace periods. Credit ratings remain under pressure despite record ridership growth.
Scale signal: One of the largest infrastructure-linked distress situations in North America.

QVC Group

Type: Chapter 11 restructuring conflict
Debt: ~$6.6B entering restructuring, reduced toward ~$1.3B under plan.
What happened: Preferred shareholders formally challenged the restructuring plan, arguing that parent-company assets are being diverted to subsidiary creditors and that equity holders are being unfairly wiped out.
Scale signal: One of the largest retail/media restructurings of 2026 involving QVC, HSN, and Cornerstone Brands.

Saks Global (Saks Fifth Avenue / Neiman Marcus / Bergdorf Goodman)

Type: Ongoing Chapter 11 restructuring stress
Debt: ~$4B+ restructuring burden.
What happened: The company moved closer to confirmation and emergence, but continued store rationalization, vendor negotiations, and asset-sale discussions remain active. Industry speculation around Bergdorf Goodman ownership and further footprint reductions persists.
Scale signal: One of the largest active luxury retail restructurings globally.

Odds of the Day 🍒

Polymarket traders are pricing in a 56% chance of Claude Mythos getting released by the end of July:

Download Polymarket to trade on events like this.

Housekeeping Items:

Our Weekly Poll:

How are we doing?

Tell us how we're doing and any feedback you have

Going Great

Going Well

Going Okay

Going Poorly

Finance Jobs: Looking for a job in Finance? Join Buyside Hub to access the Job Board for free.

Upgrade to the WSR Investing Club: Receive high-conviction stock research & analysis to help you cut through the noise.

Upgrade

Recruit for Investment Banking: High Yield Harry and a group of Investment Bankers put together a 248 page deck for those recruiting for Investment Banking - sign up for free here to learn more about our decks.

Join beehiiv: Looking to start your own newsletter? Join beehiiv through us and you’ll get 30 days free and 3 months of a 20% discount.