Hot or Not, Stock Market Edition: 10/02/2026

Happy Friday. Here's what the Zen Ratings are backing and bailing on today:

• Hot: Asset manager Franklin Templeton (BEN) has insiders putting money in; oil and gas producer Ecopetrol (EC) is building real momentum
• Not: Drone and defense tech player Ondas Holdings (ONDS) is grounded at the bottom of its industry; e-commerce operator Coupang (CPNG) can't deliver for shareholders

P.S. For 5 more hot stocks to watch this month, check this out. 

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🔥 HOT: Colombian oil and gas producer Ecopetrol (EC) has two fresh catalysts working at once: new leadership and a $1.2 billion expansion into Brazil. The company recently named a new CEO and took control of Brava Energia, giving it a real growth avenue beyond its existing asset base. For investors, that adds a strategic reset to a stock that already has strong price momentum and a relatively cheap valuation.

Shares have nearly doubled from their 52-week low and still trade below their high, while valuation remains modest compared with industry peers. (See more metrics here.)

EC was just upgraded to a Zen Rating of B, a Buy recommendation. Looking at the underlying Component Grades, Momentum earns an A, while Sentiment and Artificial Intelligence receive B grades. That mix says the market is rewarding the story, analysts are warming to it, and the model sees supportive underlying patterns. Bottom line: new leadership, a major Brazilian expansion, and exceptional momentum give Ecopetrol a clear catalyst-backed case for further upside.

🥶 NOT: South Korean e-commerce giant Coupang (CPNG) is dealing with a nasty combination of weaker profitability, rising leverage, and outside political pressure. The latest quarter missed on earnings and revenue, the company has swung back into losses, and a U.S.-South Korea trade dispute tied to Coupang adds another layer of uncertainty for investors.

Shares are down nearly 60% from their 52-week high and sit close to their low, but the ratings suggest the drop alone has not made the stock attractive.

CPNG has a Zen Rating of F, a Strong Sell recommendation. Momentum earns an F, while Value, Growth, and Sentiment receive D grades. That mix points to a stock with a collapsing trend, weakening growth, poor investor confidence, and a valuation that still looks rich despite the selloff. Safety, Financials, and Artificial Intelligence sit at C, but there is not enough strength there to offset the broader weakness. Bottom line: Coupang may still have long-term scale, but investors are being asked to look past deteriorating fundamentals before the business has earned that confidence.

🔥 HOT: Asset manager Franklin Templeton (BEN) is showing signs of a real turnaround, and insiders are putting their own money behind it. The CEO, CFO, and president all made sizable open-market purchases in July, while assets under management have been rising, alternatives are expanding, and margins are improving faster than expected. For investors, the setup is attractive because the business is getting stronger while the stock still offers a reasonable valuation and a dividend above 4%.

Shares are up more than 50% from their 52-week low but remain below their high, while analysts expect earnings to grow at a strong double-digit pace. (See forecasts here.)

BEN has a Zen Rating of B, a Buy recommendation. Looking at the underlying Component Grades, Safety earns an A, while Growth, Sentiment, and Artificial Intelligence receive B grades. That mix suggests a relatively stable business with improving earnings and growing investor confidence. Value, Momentum, and Financials sit at C, so this is more of a steady turnaround than a screaming bargain. Bottom line: heavy insider buying, improving margins, and a strong Safety grade make Franklin Templeton one of the cleaner recovery stories in asset management.

🥶 NOT: Drone and counter-UAS company Ondas Holdings (ONDS) is spending aggressively to build a defense technology platform, but the latest catalyst went the wrong way. The company missed out on the Pentagon’s latest Drone Dominance round even after buying three defense businesses, while projected cash burn continues to rise sharply. Insiders have also been consistent sellers.

Shares are down roughly 50% from their 52-week high, and Ondas ranks last in its industry despite operating in a sector that is otherwise holding up well. 

ONDS has a Zen Rating of F, a Strong Sell recommendation. The weakness is widespread: Growth, Sentiment, and Safety all earn F grades, while Value, Momentum, Financials, and Artificial Intelligence receive D grades. (For defense stocks that look better, click here.) Bottom line: the defense story may be compelling, but the failed Pentagon bid and broad weakness across the ratings give investors little reason to step in yet.

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