JPMorgan Chase and 1-800-Flowers have been highlighted as Zacks Bull and Bear of the Day

For Immediate Release

Chicago, IL – October 22, 2025 – Zacks Equity Research shares JPMorgan Chase JPM as the Bull of the Day and 1-800-Flowers FLWS as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Palantir Technologies Inc. PLTR and BigBear.ai Holdings, Inc. BBAI.

Here is a synopsis of all four stocks:

Bull of the Day:

The momentum investing theory of buy high and sell higher is starting to look plausible for JPMorgan Chase stock as the bank leader currently sports a Zacks Rank #1 (Strong Buy) and lands the Bull of the Day.

Illustrating its ongoing dominance and leadership in the banking industry, JPMorgan was able to continue its impressive streak of surpassing quarterly expectations last Tuesday. More applaudable, JPMorgan has taken center stage regarding strategic investments that align with national security priorities and has positioned itself as a key player in shaping the future of the American economy through technology.

Trading just under $300 a share, JPM is up over +20% this year, but does offer a 6% discount from its 52-week high of $318, which it hit in late September.

JPM's "Security and Resilience Initiative"

Assisting the U.S. Government in a plan to ramp up domestic production of rare earth minerals that are critical for defense and tech industries, JPMorgan has launched a "Security and Resilience Initiative" in which it will deploy $1.5 trillion in financing over the next decade to support America's strategic manufacturing, technological innovation, and infrastructure. Notably, this will include $10 billion in direct equity and venture capital investments in U.S.-based companies.

This comes as China has long dominated the rare earth supply chain and has recently exercised tighter export restrictions for these essential commodities as part of its tariff retaliation against the U.S.

Strengthening its relationships with policymakers and regulators, JPMorgan stands to benefit by enhancing its long-term lending portfolio in high-growth markets that are likely to receive more government support and public interest.

EPS Revisions Rise After Strong Q3 Results

Regarding its short-term outlook, fiscal 2025 and FY26 earnings estimate revisions have continued to trend higher since JPMorgan's Q3 report. Seeing strength in investment banking, JPMorgan's trading revenue hit a record in Q3, boosting its top line 9% to $46.42 billion compared to $42.65 billion in the prior year quarter. Even better, net income reached $14.4 billion or $5.07 per share, a 16% increase from EPS of $4.37 in Q3 2024.

JPMorgan has now surpassed sales estimates for seven straight quarters and has exceeded earnings expectations for 13 consecutive quarters. Over the last four quarters, JPM has had an average sales and earnings surprise of 3.81% and 11.01% respectively.

Attributing to its strong buy rating is that FY25 and FY26 EPS estimates for JPM are up nearly 1% in the last seven days. In the last month, FY25 and FY26 EPS revisions have risen over 2% and are up more than 4% over the last quarter.

JPMorgan's annual earnings are now expected to be up over 1% this year and projected to rise another 4% in FY26 to $20.90 per share.

JPM's Strong Capital Efficiency Metrics

Outside of JPMorgan's operational efficiency, there have been strong indicators of efficient capital deployment, including a 17% ROE with return on tangible common equity (ROTCE) hitting 20%.

Indicative of a bank's financial strength and stability, JPMorgan's standardized and advanced Common Equity Tier 1 (CET1) ratios are currently above 14%. It's noteworthy that JPM posted the highest CET1 mark among the 22 largest U.S. banks in the Federal Reserve's 2025 stress test at 12.5%.

Bottom Line

Supportive of the in-depth details as to why JPM stock looks hot right now, the cherry on top is that the rising EPS revisions have magnified its reasonable forward P/E valuation of 15X. Plus, JPM is offering a generous 1.98% annual dividend of $1.50 per share, after increasing its yield by 20% so far this year. In addition to its strong buy rating, JPM stands out with an "A" Zacks Style Scores grade for Momentum.

Bear of the Day:

Short-sellers along with speculative traders looking to profit from a short squeeze may be watching 1-800-Flowers stock, which currently carries a Zacks Rank #5 (Strong Sell).

The specialty e-commerce provider has seen its stock plummet more than 40% in 2025 and has re-entered penny stock status at around $5 a share.

Unfortunately, those on the short squeeze side may be early as FLWS could be headed lower given 1-800 Flowers' diminishing outlook despite being known for its online niche in floral products and gifts.

High Short Interest for FLWS

Reflecting pessimism for 1-800 Flowers stock, the short interest in FLWS is above 50% as more than half of publicly traded shares are being borrowed and sold by investors who expect the stock price to decline.

Free-falling from a 52-week high of $9 a share, the technical analysis for FLWS reflects a very bearish outlook with limited short-term support levels. To that point, the 50-Day simple moving average (Green Line) for FLWS has been bearishly below its 200-Day SMA (Red Line) since Q3 of last year, with both support levels currently under $6 a share.

Increased Direct & Indirect Competitors

As a brief synopsis, specialty retail headwinds have added to 1-800 Flowers' deteriorating financial metrics. Opening the door to increased competition from large e-commerce giants, a more inflation-conscious consumer has sought out flower and gift offerings from Amazon, Walmart and Costco.

On top of this, an abundance of direct floral competitors have continued to emerge, including Teleflora, ProFlowers, and UrbanStems, among others.

1-800 Flowers' Declining Financial Metrics

Facing substantial drops in both revenue and profit margins, 1-800 Flowers hasn't been profitable since its fiscal year 2022, posting a net loss of $200 million or -$0.82 per share in its most recent FY25.

Hopes of positive EPS in FY26 or FY27 have also subsided as revisions are down over the last 60 days to projections of -$0.62 and -$0.18, respectively.

This paints the picture as to why FLWS could float lower with there being no meaningful top-line expansion to give the benefit of the doubt to a company that has been public since 1999.

1-800 Fowers' Cash Crunch

Not to prolong the conversation of a clear downtrend in FLWS, but what makes the compressed top and bottom line figures more concerning is that 1-800 Flowers appears to be in a cash crunch.

Reporting negative free cash flow in the last twelve months (-$68 million), it's noteworthy that 1-800 Flowers now has less than $50 million in cash & equivalents with more than $130 million in long-term debt.

Bottom Line

Investors who are looking at 1-800 Flowers' "cheap" stock price as a bargain may want to think again. While FLWS could eventually be a candidate for a short squeeze, it may keep falling for now as 1-800 Flowers doesn't appear to be in a position to cover short-term debt obligations without liquidating assets or seeking additional financing.

Correlating with such, 1-800 Flowers has undergone a leadership change and is reevaluating its strategy to adapt to shifting consumer expectations and competitive pressures.

Additional content:

Go Big with Palantir or Bet Small with BigBear.ai?

Palantir Technologies Inc. and BigBear.ai Holdings, Inc. are both capitalizing on the growing artificial intelligence (AI) software solution market, with both stocks gaining more than 300% in the past year. Therefore, let's see how one should allocate funds between Palantir and BigBear.ai to maximize returns while minimizing risks.

Palantir Reports a Phenomenal Q2, Raises Guidance

Palantir's CEO, Alex Karp, must be over the moon after the company posted a stellar second-quarter performance. Palantir's revenues in the U.S. business increased 68% year over year, with commercial and government revenues growing 93% and 53%, respectively, according to investors.palantir.com.

Even more impressive was Palantir's ability to secure 157 deals in the second quarter, each worth at least $1 million, with 66 deals valued at a minimum of $5 million. Additionally, the total contract value closed at a record $2.27 billion, representing a 140% year-over-year increase. This suggests that Palantir's Artificial Intelligence Platform (AIP) has gained significant popularity in commercial and government sectors.

Furthermore, Palantir is optimistic about increasing business from existing clients and expects net income to improve throughout the year. The company has also raised its full-year 2025 revenue guidance to $4.142-$4.150 billion, with third-quarter revenues projected between $1.083 and $1.087 billion.

BigBear.ai Posts Dismal Q2 and Continues to Be Unprofitable

Unlike Palantir, BigBear.ai's second-quarter performance was disappointing. This is primarily due to a sharp decline in revenues, as its products failed to make an impression on the U.S. government, including the Army. Revenues for the quarter totaled $32.5 million, down 18% from $39.8 million in the same period last year, according to ir.bigbear.ai.

BigBear.ai's revenue growth has been weakening for several quarters, and now management expects full-year revenues to be between $125 million and $140 million, down from the prior forecast of $160 million to $180 million. This revision was mainly due to delays in contract approvals by the U.S. government.

BigBear.ai had a backlog of $380 million as of June 30, 2025. However, only 4% of this sizable backlog is secured and authorized, per SEC filings. Most contracts are with the U.S. government, which could lead to lengthy and complicated approval processes.

Finally, BigBear.ai incurred losses in the second quarter due to increased research and development expenses and low gross margins. The company reported a non-GAAP adjusted EBITDA loss of $8.5 million, significantly higher than the $3.7 million loss a year earlier.

Here's How to Trade Palantir & BigBear.ai Stock Now

Perceptive investors may choose to invest heavily in Palantir stock, given its strong growth prospects. Palantir's management has raised both revenue and income forecasts, driven by increasing demand for its AIP platform.

Moreover, Palantir's forward price-to-sales (P/S) ratio is 103.27, far above the Internet - Software industry's 6.28. This high valuation suggests that investors have high expectations for Palantir's future growth.

However, the same cannot be said for BigBear.ai stock. Unlike Palantir, BigBear.ai is struggling to build a strong customer base, while its dependency on government contracts hinders growth. Its business remains unprofitable, raising concerns about the long-term sustainability of its business model.

But its recent partnership with the U.S. Navy and deployment of its advanced passenger processing solution at the Nashville International Airport and an expanding AI software platform market may improve its prospects in the near future. As a result, investors may allocate a small portion of their portfolio to BigBear.ai stock.

For now, both Palantir and BigBear.ai stock has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here.

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