To The Moon

Confirmed Profit Turnarounds & Earnings Beats

Niu Technologies (NASDAQ: NIU)

Q2 2025 Results: Reported revenue of RMB 1,255.7 million (+33.5% YoY) and a net profit of RMB 5.9 million, reversing a net loss of RMB 24.9 million in Q2 2024.

Key Metrics:

E-scooter volume jumped 36.7% YoY, with China sales up 53.6%; international sales declined 35.5%.

Gross margin improved from 17.0% to 20.1%.

Guidance for Q3 forecasts revenue growth of 40%–60% YoY.

Market Reaction: Shares jumped approximately 6% on the announcement, despite some earlier references to a 30% surge.

Summary: Niu’s domestic focus, operational efficiency, and strong guidance underscore a robust turnaround. It warrants close attention, particularly against macroeconomic variables and international recovery.

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Other Noteworthy Earnings Beats & Profitability Shifts

Sea Ltd. (SE): Delivered Q2 earnings of $0.65/share (up from $0.14 YoY). Revenue rose 38% to $5.26B—its strongest quarter since early 2022. Shares climbed ~19%. Analysts forecast EPS of $3.59 for 2025 and $5.42 for 2026.

AppLovin (APP): Reported a 153% YoY increase in EPS ($2.28) and 77% revenue growth. Stock rose ~12%; outlook remains bullish.

TJX Companies (T.J. Maxx parent): Beat estimates with $1.10/share (vs. $1.01 expected) and same-store sales up 4%. Raised full-year guidance; shares rose ~5%.

Broader Market: Across the S&P 500, 83% of companies exceeded profit forecasts in early reporting, with average beats of 8.3% (earnings) and 2.6% (sales).

Recovery Signals from Other Sectors

Rolls-Royce: Reported a 50% increase in underlying operating profit, raised annual guidance, and achieved a record high share price following its turnaround efforts.

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Hidden Gems & Further Watchlist Suggestions

While some companies like DASH, OKTA, NTNX, TMDX, TOST, and RELY were mentioned as past high-growth turnarounds, current confirmation for their Q2 results remains limited. They may still warrant individual follow-up.

Additional Leads:

Dollar Tree (DLTR): Noted by analysts for potential future turnaround—worth monitoring.

UK "Dashing Dozen" Stocks: A collection of profitable, dividend-paying growth firms (e.g., Games Workshop, RELX, Rolls-Royce) have consistently outperformed and may offer diversification and resilience.

Earnings PERFORMERS (“talent” with strong fundamentals): 20 S&P 500 companies stood out for improvements in revenue per share and margins—but deeper individual research is required.

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Summary Table

Stock / Sector Key Highlights

Niu Technologies Turned profitable; strong domestic growth; improved margins; positive Q3 outlook.

Sea Ltd. (SE) Massive revenue/EPS growth, strong forward estimates.

AppLovin (APP) Substantial earnings/revenue beat, sustained investor interest.

TJX Companies Earnings and same-store sales beat; raised guidance & strong margin control.

Rolls-Royce Structurally turned around; guidance raised; share price at record highs.

Broader S&P 500 trend High beat rates; margin strength across sectors (but cautious forward commentary).

Emerging Watchlist UK “Dashing Dozen”; Dollar Tree; and others—potential post-turnaround plays.

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Recommendation

High conviction: Niu Technologies, Sea Ltd., AppLovin, TJX, Rolls-Royce.

Broader exposure: Consider screeners for growth, margin improvement, and EPS ratings (e.g., IBD’s EPS Score).

Regional diversification: Explore UK “Dashing Dozen” for profitable long-term growth; assess ADRs within China and SEA.