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Zacks Market Edge Highlights: Exxon, The AES and American Express,

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For Immediate Release

Chicago, IL – May 12, 2026 – Zacks Market Edge is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. To listen to the podcast, click here:  https://www.zacks.com/stock/news/2919004/will-there-be-a-recession-in-2026

Will There Be a Recession in 2026?

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  • (1:00) - Breaking Down The Current State of The Stock Market
  • (26:30) - Where Should You Be Looking To Invest Right Now?
  • (47:00) - Episode Roundup: XOM, AES, AXP
  •                 Podcast@zacks.com

Every week, host and Zacks stock strategist, Tracey Ryniec, will be joined by guests to discuss the hottest investing topics in stocks, bonds, and ETFs and how it impacts your life.

This week, Tracey was joined by Zacks Chief Equity Strategist, John Blank, for another podcast episode examining the US economy and the odds of a recession.

Will there be a recession this year?

Tune into the podcast to find out what Tracey and John think about the possibility of an economic contraction.

Tracey and John, who is a PhD economist, discussed the employment situation, which is improving over 2025.

Will the Iran War be a factor on the US economy this year? Some retailers, and the housing industry, have seen consumers get more cautious because of the war. But the consumer remains resilient in the face of any of these shocks, including tariffs.

The Challenge Facing the Federal Reserve

The Federal Reserve is about to get a new Chairman after eight years of Jerome Powell. How will that impact monetary policy?

Inflation remains elevated over the Federal Reserve’s preferred level of 2%. And with gasoline, jet fuel, and other petrochemical products, like plastics, on the rise, it’s expected to remain elevated.

Will the Fed cut rates this year? Or will the Federal Reserve be forced to raise rates instead?

3 Stocks for Your Watch List Right Now

Warren Buffett is sitting on $400 billion in cash in the Berkshire equity portfolio. What does Warren know?

If you don’t want to chase the AI Revolution stocks, which are booming, here are some other stocks which you might want to include on a watch list.

1. Exxon Mobil Corp. (XOM - Free Report)

If you think oil is going to stay higher for longer, then investors should consider a big oil company like Exxon Mobil. Exxon Mobil is expected to grow earnings 63.8% this year on higher oil prices. The 2026 Zacks Consensus Estimate has jumped to $11.45 from $6.58 after the start of the Iran War in the last 90 days.

Shares of Exxon Mobil are up 20.1% year-to-date but it’s still cheap. It trades with a forward price-to-earnings (P/E) ratio of 12.8. A P/E ratio under 15 usually indicates value.

Exxon Mobil is also a dividend aristocrat with a long history of paying, and raising, its dividend. It is currently yielding 2.8%.

Exxon Mobil is a Zacks Rank #1 (Strong Buy) due to rising earnings estimates.

Should you buy an oil company stock like Exxon this summer?

2. The AES Corp. (AES - Free Report)

The AES Corporation is a Fortune 500 energy company. It will report first quarter 2026 earnings on May 13, 2026, after the close.

AES beat the Zacks Consensus Estimate on earnings last quarter by 30.7%. The Zacks Consensus for Q1 is looking for $0.50.

Shares of AES are flat year-to-date. It’s a value stock. AES trades with a forward P/E of 6.2. A P/E ratio under 10 usually means a company is extremely cheap.

AES pays a dividend, with a current yield of 4.9% to reward investors for their patience.

Should a utility like AES be on your watch list this year?

3. American Express Co. (AXP - Free Report)

American Express is one of Warren Buffett’s favorite companies. Berkshire Hathaway has owned shares of this global payments company since 1991.

American Express is expected to grow earnings by 14.4% this year and another 14.3% next year. Shares have fallen 14.6% year-to-date, however, and that has made them more attractive on a valuation basis. American Express now has a forward P/E of 18.1.

American Express pays a dividend, currently yielding 1.2%.

Is now the time to consider buying a financial company like American Express?

What Else Should You Know About the Outlook for the Economy in 2026?

Tune into this week’s podcast with Tracey and John to find out more.

[In full disclosure, John owns shares of AES in Zacks Large-Cap Trader portfolio.]

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