The latest Market Talks covering Technology, Media and Telecom. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

1542 ET - Some cybersecurity stocks are trading at lofty valuations following a Monday rally fueled by a sell-off in the chip sector and fears of AI cyberattacks, with names like Palo Alto Networks and CrowdStrike valued above their peak multiples in 2021. "We're definitely in a premium valuation territory," Jefferies analyst Joseph Gallo says in an interview, adding that inflecting fundamentals could support upward estimate revisions. "It's very clear that people are looking for momentum and inflection and durability, and that will ultimately justify valuations." The rally likely raises the bar for the next season of cybersecurity earnings, Gallo adds. (elias.schisgall@wsj.com)

1510 ET - Roblox used its annual developers conference to highlight expansion of its catalog to browser and App Store-based games, an offline playing option, and an AI game development tool for non-technical creators, Wedbush says in a note. The company needs to retain developers and show investors a path back toward accelerating growth, and its updates at the conference were a start, the analysts say. "Roblox has a substantial opportunity ahead and is laying the groundwork well," they write. "We need more evidence on the monetization side, and specifically on the timeline for these initiatives to show up in bookings, before turning more constructive." They keep a perform rating but raise their price target to $48 from $40. Wells Fargo and Bank of America also lift their price targets on the stock. Shares gain 11%.(elias.schisgall@wsj.com)

1425 ET - Unity Software and AppLovin both have ample room to grow, despite some investors' concerns that the companies will eat into each others' businesses, Morgan Stanley analysts say. The analysts think the mobile-app advertising market has enough room to support continued growth for both companies. The market is worth roughly $80 billion and currently has a conversion rate of roughly 1%, the analysts say. Improved targeting allows ad networks to get more conversions from the same number of impressions. That has helped AppLovin grow faster than the market, and Unity is now in the early stages of a similar journey, they say. (katherine.hamilton@wsj.com)

1315 ET - Policymakers need to get in the same room with AI company leaders this week to address the latter group's request for more industry oversight and slower development of the technology, Melius Research analysts say in a research note. Anthropic CEO Dario Amodei has called for national legislation requiring frontier-model testing, employee-level access for external evaluators and tighter controls for adversaries in China, they say. Some senators are drafting a bipartisan bill that could be introduced this week, which would likely try to impose a "duty of care" on frontier developers, the analysts say. That would give the government authority to block an unsafe model release and create a framework for labs to test for catastrophic cyber, biological and nuclear capability, they say. (dean.seal@wsj.com)

1247 ET - Among the takeaways from Anthropic CEO Dario Amodei's calls this weekend to slow AI development was confirmation that Recursive Self Improvement, self-improving AI models, are being deployed across the industry, Melius Research analysts say in a research note. Amodei warned that the acceleration of RSI introduces a spate of new risks. But the admission is also a huge catalyst for compute demand, the analysts say. RSI runs on inference with thousands of agents constantly writing code, launching experiments and reading results, they say. Slowing upfront model training doesn't stop that loop, and arguably just redirects compute budgets elsewhere, the analysts say. "The models RSI produces are better and cheaper per token and every price cut in the last two months has been met with more consumption," they say. (dean.seal@wsj.com)

1239 ET - Investors in the AI trade shouldn't get hysterical about top AI company leaders calling for a development slowdown and more guardrails for the industry, Melius Research analysts say in a research note. The top AI CEOs have been endorsing a slowdown for several years already, and most AI leaders have thought the space was bound for regulation anyway, they say. If anything, Anthropic and OpenAI are the companies that can benefit most from a regulatory framework that creates a predictable playing field for the most well-resourced and advanced companies, the analysts say. "It can be morally right and advantageous at the same time," they say. (dean.seal@wsj.com)

1225 ET - D.A. Davidson analyst Gil Luria accuses leading AI labs OpenAI and Anthropic of engaging in "coordinated cartel behavior" to consolidate their power and hobble competitors following their leaders' calls to slow the development of AI capabilities. The cybersecurity risk of AI improvement "is being exploited by an unholy alliance of Anthropic, OpenAI and degrowth politicians trying to scare citizens and governments into allowing them to seize more power," Luria writes in a note. "Anthropic and OpenAI are trying to pull the ladder and prevent competitors from catching up." Their goal, as Luria sees it, is to implement a regulatory framework on the labs' terms that disproportionately impacts smaller competitors with fewer compliance resources. (elias.schisgall@wsj.com)

1206 ET - Thomson Reuters' share price divergence creates opportunity, says TD Cowen's Vince Valentini. The analyst says in a report that TRI shares have been under pressure since July 2025, "declining approximately 54% from their all-time high despite consistently delivering strong operating results." He notes that guidance continues to trend higher, with management expecting organic revenue growth of 7.5%-8% in 2026, up from 7%-7.5% in 2025. Also, following 2Q, target outlook was raised 50 basis points to 8% "for the total company and to 9.5%-10.0% for the Big Three segments, from approximately 9.5% previously." With the shares down about 40% over the last 52 weeks at C$145.13, Valentini says "the current valuation increasingly understates the company's attractive long-term growth and margin outlook." (adriano.marchese@wsj.com)

1145 ET - Sam Altman has confirmed that OpenAI won't go public until next year, but that's been the sentiment for some time now, Neostellar Capital's Evan Schlossman says in a note. Altman's statements are tied to he and Elon Musk supporting Anthropic CEO Dario Amodei's call to slow down AI development over safety concerns. The company just raised $122 billion, showcasing how much demand they've still got in the private markets, Schlossman says. Clearly OpenAI isn't facing any pressure to run to the public markets, and will go public whenever its most advantageous to the business, he says. (dean.seal@wsj.com)

1137 ET - Leaders of the top AI companies in the U.S. are in rare agreement that they need to slow development of the technology, but a major slowdown is unlikely while China is in the race, Giuseppe Sette co-founder and president of investment research platform Reflexivity says in a note. Clearly something happened that was big enough to force a unified stance between Dario Amodei, Sam Altman and Elon Musk, Sette says. And it was probably stopped at the last minute before disaster struck, he adds. But any retracement in AI stocks from the truce between the U.S. leaders is "simply a buying opportunity," Sette says. (dean.seal@wsj.com)

1054 ET - The leading U.S. AI labs may agree to the first step of Anthropic CEO Dario Amodei's plan to "pace" the AI frontier, letting independent evaluators embed in the labs' research. But don't hold your breath for his ultimate goal of global coordination between both democratic and non-democratic countries, namely China, Truist analysts say in a note. "We view participation from Chinese labs as essential for adequate pacing," they say but add that they "do not expect material international alignment in the near future." Ultimately, the analysts don't think "US frontier labs will pause and allow Chinese labs to take the lead." (elias.schisgall@wsj.com)

0917 ET - Europe's most valuable company is on track to shed more than 33 billion euros of market value, as the selloff in AI-related stocks bites on European equities. Calls from leaders to slow down the development of the technology at frontier U.S. AI companies have spooked the market, Quilter Cheviot's Ben Barringer writes, leading to a selloff in companies across the semiconductor chip supply chain. ASML trades down around 6%, which--if held to the end of trade--translates to a fall in value of 33.6 billion euros. The stock would wipe out around six weeks of gains to trade at its lowest level since July 29. A 6% decline would be the stock's sharpest percentage fall since July 27.