Rebels Edge · Tue, May 12, 2026
Inflation SHOCK Hits Markets… But This Quantum Stock EXPLODED
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John and Pete Najarian discuss hotter-than-expected inflation, a broad market selloff, and a relatively modest rise in volatility. They review unusual call activity in QUBT and earnings-driven rallies in Vestis, Zebra Technologies, and Sea Limited, emphasizing profit-taking discipline and company execution. The episode concludes with NFL and NBA commentary.
- Reported CPI inflation rose to 3.8% year over year from 3.3%, potentially delaying interest-rate cuts.
- The VIX briefly reached 19 before easing into the upper 18s despite broad stock-market declines.
- QUBT's rally above $12 followed unusual buying of 3,500 January $12 calls roughly two weeks earlier; the hosts advocated taking profits and considering rolling positions.
- The hosts highlighted QUBT's approximately $7 million in revenue, acquisition contributions, and roughly $1.4 billion in cash.
- Vestis rose about 31% during the discussion, supported by strong quarterly results, robust margins, free cash flow, and debt reduction.
- Zebra Technologies climbed roughly 18% on the day as earnings and sales increased and management raised full-year guidance.
- Sea Limited gained about 11% as revenue grew 46% to more than $7 billion; the hosts noted an earnings miss and cautioned that its longer-term stock performance remained weak.
Full transcript
Welcome back to the Rebel's Edge. Pete Najarian and I will break down exactly what is going on with inflation. Um, whether or not it's just the gas shock or if it's more. And we have that, stocks, prediction market, not today,
but we've got just about everything else on today's Rebel's Edge.
>> [music] [music] >> Bang.
>> [laughter] >> Welcome back, Pete. What do you say?
>> We got some selling going on today, John. It's You know what? It's a little bit different. We've We've seen days where it's started not sort of negative and then pulls up right away, it feels like, but this one this one kind of doesn't feel the same.
>> No, it uh when that In fact, we'll dive right into macro, Pete. That inflation data that was uh more than expectations, 3.8% year-over-year, that's the consumer price index or CPI, up 3.8% again year-over-year.
Um, also up from March's figure, which indicated 3.3% year-over-year. So, um we're looking at people, I guess, thinking [snorts] probably even puts Warsh, Kevin Warsh, back a little bit for the next time he can consider stepping into that job as the Fed chair
and cutting rates.
>> Right. Yeah, absolutely, John. I mean, you know, specifically they just talked about the core was hotter.
Um, you know, people are are facing inflation. The one that's right in front of them every single day, of course, is gasoline, right? I mean, that's where where everybody looks. But it's far a farther reach than that, right? I mean, you know, there's so many different things that that is affecting from the you know, to the the big trucks that are going
down the road and everything else. I mean, there's there's so much to it and what they're transporting and how they're going to get there and their the cost for them and everything else. So, yeah, it's a it's a big deal and I think that's why there's this kind of focus on it right now.
>> Well, we can just run that clip from Land Man, Pete, where Tommy Norris is talking to his attorney and he's telling him everything from the tires we drive on to the roads we're driving on to the clothes you're wearing.
Um everything's part of crude oil. Yeah.
And it's true. It's true. I don't, you know, a lot of people probably don't know that polar fleece is all oil.
You know, you feel it and it feels so soft and everything, but nope, that's oil.
>> Yeah.
>> Almost everything that we use from, again, pills and so forth to artificial joints and so forth. Well, you can do some of them with Teflon, but an awful lot of them have oil-based background. Anyway, what do you got as far as
VIX today, Pete?
>> Yeah, you know, John, the VIX is up like you'd expect, obviously, but I think the reality is it's up a little bit less even than probably most of us would have expected because here it is it it it touched up at 19, pulled back a little bit into the upper 18s, and you know, it's it's sort of just hovering right
now, right there. So, it's interesting to see that you're not getting a bigger spike, quite frankly, because I look over at the NASDAQ, I look over at the Dow, and I look over specifically, obviously, the S&P. Um it's getting hit pretty good today. You and I were just talking about that before we came on. The markets are are getting hit and
it seems like it's got a little bit of an acceleration to that. So, I wouldn't be surprised at all if we maybe give ourselves a little bit more than just touching 19 and hanging close to 19, it might end up a little bit higher today if if this keeps up the way it has so far in the first hour and a half, 2 hours of the day.
>> All right. Well, um like I say, no prediction market today, folks. So, we're going to dive right into unusual activity in QUBT.
Because indeed, there was. Uh this is an integrated quantum optics and nano photonic technology company, folks. So, basically, they use integrated photonics um to help deliver quantum computing and reservoir computing and a whole bunch of things that probably
nobody really knows what they are unless they're an expert at it, Pete. But, a lot of people will come on TV and tell you they know all about it. Um but what we know is there was unusual activity in the calls. And when that happens,
uh we follow along. So, here it was the end of April. Um so, we are 12 days into the month of May right now. So, this was approximately 13 days ago. QUBT, they bought 3,500 of the January 12 calls. I remember when this one hit, Pete, I said, "Well,
January, they're giving you a time frame. They think over the long term, obviously January being fairly long term.
Uh and where Well, the stock was eight or nine bucks and they're picking the 12 strike. So, they're giving you the target price, they're giving you the the time frame, and so forth. And boy, it didn't take those uh six or eight seven months. It just took a quick bang.
>> Two weeks.
>> Yeah, there it is, Pete. So, a pretty nice trade. Those of you who have that one, um do a little celebrating, but don't forget to uh do a little profit taking.
>> Yeah, DDAs, as we like to call it, right? I I discipline dictates action.
You get that action, whether it happens in 2 weeks or, you know, 8 months. Uh, you know, either way you will you want to be able to jump on it when the opportunity is there, at least to some degree. But, the thing that just struck me, John, just in an amazing way is the fact when we look at what the revenue
was for the company. It was only up 5,900 plus year-over-year for revenue. I mean, that's just outrageous, right? 7 million. That's That's a number that I don't know if I recall seeing that in quite a long time or or if if I ever did, John, but they've been doing a lot with
acquisitions and because of that that's starting to pick up things and they've got some great liquidity right now. They still are sitting on about 1.4 billion in cash, so I would say this QBT has a shot to maybe even go a lot higher than where it is right now, but that doesn't mean that you shouldn't be disciplined because you
should. And then maybe hold on to something for anything more that could come from this. But, a great move and a really rapid move and this is a this is a company that is absolutely crushing it right now. They they really are and I'll tell you those acquisitions I've never seen something work that fast, that well as I am looking at this
one today.
>> Well, and Pete, what you said about this one in particular is uh your options right now, folks, cuz you have options. Um, your options are to take some money off the table for sure.
Um, if you bought those January options, I would definitely be doing that and I would consider rolling up.
>> Mhm.
>> In other words, when we talk about rolling up, folks, what we're talking about is it was an $8 stock. It has now exceeded $12. That was the target. If they haven't started to take positions off, if indeed the smart money is staying in there, Pete, >> Mhm.
>> what Pete and I do, folks, is we say, "Okay, let's roll up to the 12 strike.
Let's take everything off at that uh you know, for for the ones that we have, and let's buy something out there in time and roll it up. So, we again have more upside rather than just carrying something that's so deep in the money, Pete. It's like stock." >> Yeah.
>> Um so, that's the way I would play it, anyway.
>> Yeah, agreed.
>> Let's dive into Vestas Corp. Uh uniform providers, I guess kind of like Cintas, Pete. These guys provide uniforms for the workplace in the US and Canada. And uh second quarter results pretty darn good. Um
this uh stock was up over 20%. Well, right now, Pete, I show it up 31% >> Wow.
>> and still moving to the upside. So, revenue was uh fantastic. Margins uh remained very robust, so you can see why people would Both the shorts need to chase it up, and the longs are probably saying, "Run, baby, run."
>> Absolutely. Well, you were right, John.
I mean, I think the thing that struck me most was how strong the margins were.
And you know, it's it's really tough. I We know the environment. We know everything about all these different variables or whatever that are out there. So, for them to be able to execute the way they have, John, has been pretty unbelievable. Their free cash flow, also something that I think was really impressive. They paid down some of their debt. That's always a good thing to be able to do if you can afford
to do that. So, this is a company like you said. I mean, it it it jumped up there. I mean, up what, 25% or more or whatever it might be right now, but um they are absolutely doing things right.
And and the demand for what they've offering is is getting getting hit pretty strong with that. So, um this is a company that's that's doing everything, it seems, right right now.
Very much like Quantum, where you really can't poke poke a hole anywhere in this one. This was a This is really great on as how is they're executing right now.
>> Right? Well, um we've got one that I bet most of you could guess if I just told you the name, you'd know what the company does probably. Um Zebra Technologies, Z B R A. Now, what looks an awful lot like zebra stripes were the original uh predecessor, if you will, Pete, to QR codes.
>> Mhm.
>> They just had a bunch of bars, you know, straight up and down bars, some a little thicker than others, right next to each other. No human being knew what it meant, of course, but it was set up for a barcode reader. And that's what Zebra does. So, now with QR codes and all, we're all used to just picking up our
phones and scanning the QR codes. Well, Zebra has those automated solutions and so forth that scan that and then instantly can tell, you know, the store, for instance, how many fewer uh organic yogurts they have, or how many
fewer uh t-shirts they may have, or whatever. In other words, it doesn't just scan it and tell you something, it actually goes right into the ordering process and so forth. So, it's pretty damn valuable tech, and it's moved up from 10% to 15% right now, Pete. I show it up 18% year-to-date.
>> How many times >> Today. I'm sorry, not year-to-date.
Today.
>> How many times have we sat here, John, and and seen a graph that looks a lot like this? I would say a lot, especially during this earning season, right? I mean, it's We have seen so many just amazing spikes. It's just absolutely crazy, and this is just another one. I mean, when you take a look at some of the the numbers, the fundamentals of the
what they are, their earnings were up 80 18% year over year, their sales were up 14% year over year. Everywhere you they raised uh their full year guidance to a pretty substantial level from where they had predicted before. The demand for everything that they're doing is getting higher and higher. So, again, this is
one of those names where it it seems crazy, but it makes sense that the stock would make this kind of a move because of the fact that they couldn't really do a whole lot more than what they did. I mean, they've got the right demand, they've got the execution is doing an amazing job, and uh you take a look at Zebra, this is this is amazing. I mean, it's really, really
impressive what they were able to put up there. And obviously, when you raise the guidance going further out, that's even more impressive that they're they're looking for even more than that what they just put up just now.
>> Well, then, Pete, let's dive into Sea Limited.
Um and Sea Limited, folks, S E, is a consumer internet company. They basically have subsidiaries and so forth that do e-commerce, digital financial services, and so forth, all through this
Sea Limited. And it's up 11% today.
Um why is that? Well, revenue jumped 46% year-on-year to over $7 billion. So, quite frankly, that is blowing numbers away when you can do that. And the stock, like I say, is reflecting that.
It's up 11%. But uh all their major business lines, Pete, were showing double-digit increases. And that's something that if you have multiple business business lines and you can do that, people are going to reward you for it.
>> Absolutely. And And you know what?
Again, that chart said it everything that we'd seen in the previous chart and the previous chart and the previous chart. I mean, it's it's it's amazing how big of beats that we are seeing here, John. I mean, this one How about this? And you you mentioned it already, but the digital financial services part of the the game
for these guys, their revenue grew 57.8% year-over-year. I mean, these numbers are just absolutely incredible. So, when you look at the chart, you say, "Well, you know, a little overdone or something like that." And I would say, "Well, based upon what they were able to put up, uh I don't know that that's the case." You know, the only mistake that
they had, if you want to call it a mistake, is their their earnings did miss. The revenue was just like John talked about, 7 billion plus, but uh the earnings they did fall a little bit short, but I think that going forward, um everything that we're seeing going on right now, I would say that they are in
a in a great position to continue on to where they are right now, which is absolutely crushing it. And they uh they will they will certainly be um one of the stocks that just about everybody is going to be talking about, I think, today because, you know, it's just that interesting side of things. And coming out of where they are in the the part of
the world where they are, this is just one of those names that enough not enough people probably know about it, but I think they're going to start knowing more and more about Sea Limited than they did, John, because they are crushing it.
>> Well, and while you're 100% right, they seem to have turned things around, Pete, but boy, October September October last year it was damn near a $200 stock. It's less than half of that now. Now, is it on the lows? No, but
um in fact, it's fairly above those lows. It's like the lows might have been like 75 bucks or so, Pete, but with it at 94 today, that's pretty thin gruel when you look at a $200 target, not just target, a
$200 print last October September October time frame. So, they're doing things right. Um Um, I would say, you know, let's see if they can put two good quarters back-to-back here um because that's not a an attractive
looking chart when you go back a full year. Short term, yes. Full year, not so much.
>> Mhm.
Absolutely.
>> Well, we do have a video for you, folks.
>> [laughter] >> I love these videos.
>> Yeah, and uh it's not the uh fat kid running down the field. Um, it is instead an athlete that the uh was in such uh high regard at the uh Minnesota Vikings that our father, late in life, thought he could beat him in a
footrace.
>> [laughter] >> He used to tell Pete and I, "Yep, I'm training. I'm going to race Adrian Peterson. I think I can beat him." >> You know, his confidence level was so strong, too, John. That was the best part about it was he would sit there and he had no smirk or anything. He's like, "I think I can take him." >> [laughter]
>> That's great.
>> This is a uh 90-year-old transplant surgeon looking at one of the best running backs to ever play and he's going, "I think I can take him." >> [laughter] >> He's got a lot of >> Well, let's let's give the video a little look and listen.
>> What in the Adrian Peterson is [music] that? What was that?
>> [laughter] >> Look at the cuts. Excuse me. Excuse me.
Adrian Peterson's son stole his whole flow.
>> He looks like the dad.
>> [laughter] >> He just does that quick little shuffle move.
>> part. He is now primarily a wide receiver and he's even [music] better at that position. He is 14 years old and he's already making plays like that.
6'1" 175 and and the route running already looks crisp. Look at him dust that defensive back. And by the way, if you want to stay updated in the football world, make sure you're following I I have sworn I was just drafting Adrian Peterson in fantasy football and now his son looks like the next Jamar Chase. He
has received an offer from the University of Miami at age 14. He might end up being a 6'5 running back receiver hybrid. I just can't believe after how good he looked at running back, he goes, "Let me try out receiver." And he might be even [laughter] better there. This is a future star [music] in the making.
What in the Adrian Peterson?
What in the Adrian Peterson?
>> You know, and Adrian Peterson is is a great guy, John, and that's part of the reason Dad knew him, you know, because he was curious about a lot of things and Dad, of course, being one of the biggest Viking fans I've ever seen in my life. I mean, you know, I don't know how many times you and I would be in the car going to a Viking game, you know, way
back in the day and we were just holding on for our dear lives on the way out to the stadium because there's no way he was going to miss the opening kickoff.
>> No.
>> [laughter] >> No.
>> But a huge fan of Adrian Peterson. I am.
I think the guy's one of the best running backs, like you said, John, that I've ever seen. I mean, size, strength, speed, all of the stuff that you'd ever want and just a special guy and now you look at his kid and his kid is like, "All right, well, he's mini me." You know, he ain't that mini, but he's mini me.
He's He's going to be a baller wherever he goes and I'm I'm still thinking there's a chance for my Golden Gophers to get him. Um, as long as we're on the football side of things, John, why don't we jump onto the football side of the two topics that we're going to talk about today?
What I wanted to say was this, of all the guys out there, you know, whether they're drafted or undrafted, but who do you like the very most and who do you want to see? Who are you the most excited to watch play? And I'm going to let you go first on this one because I really like your choice, but
so who is it, John, that you you can't wait for the NFL season to kick off because of this guy?
>> And I can't believe he wasn't drafted, Pete.
>> Me neither. But, the Chicago Bears, da Bears, picked this kid up out of Wyoming, and it is indeed the Vanilla Gorilla.
>> [laughter] >> And why do they call him the Vanilla Gorilla? Well, number one, he's pretty white.
>> Yeah.
>> And number two, he wears this black eye makeup all the way, you know, not eye >> Like WWE style eye makeup.
>> Yeah. Just like John Randall, just like a couple other guys that like splash it all over their face. He has it literally, Pete, like this. And when you look at him through the football helmet, he looks like a Vanilla Gorilla.
I mean, he is a beast. He's like 6'4" and 300. And just, you know, has an engine. He just goes. And again, I'm surprised that we were able to get him in in free agency. But, I'll take this kid, and I'll make you a bet, Pete. I
bet he makes the team.
>> Well, and I'll say this, John. I I'm very impressed with why or what the the Bears have done over the last year and a half, right? New coach, get themselves into a great position, you know, with the playoffs and all the rest of it.
They've got a lot of pieces to the puzzle. They probably still needed a few.
I think this guy makes the team. I think he's going to be one of these kind of guys that, you know, three years from now everybody everybody's going to be saying, "You know, this kid came out of Wyoming, but he's a freak show." >> [laughter] >> Cuz he loves the game, and he shows it by how he plays it on the field. And it's it's amazing. So, it's just another notch now for the Chicago Bears on what
they did in the draft, what they did in free agency, and what they did now in this side of things or whatever for the guys who haven't been drafted, because wow, that's that's really really awesome. All right, John.
I think for me, it's going to be Jeremiah Love, which is kind of an easy one to say. But, here's why.
Jeremiah Love, I think, is one of the better running backs I've seen in a while. As a matter of fact, I would even say that he is at least comparable to the previous year's Heisman Trophy winner who's playing with Las Vegas.
In a lot of ways, he's a little bit different shape, but he's faster. I mean, his speed is something that not enough people really fully recognize, I don't think. And when you watch that kid play, he's pretty special. And I would I think what might end up being pretty cool is I look at the quarterback room at Arizona. They got nobody except for one
guy potentially this year who I really, really like, Carson Beck. Now, you could say, "Well, he's already too old." Well, okay, yeah, he played six years of college football, so he's a little bit older. He's played in a gazillion games already. He's been in multiple championship games. All the things that go in his resume. But, you know what?
Arizona, with him moving in at quarterback probably mid-season, in my opinion, and then having a running back like that, because a running back can set up the quarterback better than anything there is. And I think the the other couple quarterbacks they have, they're just getting a little bit too long in the tooth. They're a little bit too old. They've been hanging on too long. And they're journeymen that are
usually a backup quarterback. I don't think these guys are starters. So, I think Jeremiah Love also brings in Carson Beck, and the whole thing turns into a much better offense than that we what we've seen. So, I think that could be pretty cool.
>> John, could we >> The last thing we can hit is this, the NBA.
I mean, I'll tell you what. I know you had a smirk on your face. I had a smirk on my face, too, because Oklahoma City is just that good. And you know what? All year long, you just wait on the Lakers. And the fact that, yeah, I mean, these guys swept the Lakers 4-0, right?
>> [laughter] >> And and they did that in their previous match, too. So, these guys haven't lost yet in the playoffs. It gives them a little bit extra time in between, and all the rest of the things that go along with that when you actually can sweep it. I'll tell you what, John. Um they swept the Suns, they swept the Lakers, they've they're they're a scoring
machine.
Uh SGA only dropped another 35 points or whatever it was. So, you know, he's he's really struggling along. I love what we're seeing in the NBA right now and what what the what I mean by that is how about the Knicks? They did the same damn thing, right? So, at least the second time they did the sweep and
I think it's amazing. I I I can't wait for it. I I don't know even if it matters who ends up being in the championship game against the other because the fans are starting to really embrace, I think, the NBA right now and really like what they're seeing. So, this could be a lot of fun, John, as we get into
the last couple weeks of the NBA season and sooner or later we'll be able to put a crown on somebody, but I'll tell you what, the the the way that the Knicks took care of the Sixers was absolutely impressive. I think that final game was what? 144 to 114 or something like that.
I mean, unbelievable. Unbelievable how good the Knicks are playing as well.
>> Yeah, and Pete, uh as uh I shared with Jared, um we got Bronny James and uh LeBron James and the first father-son duo to play, I believe, in the NBA together. Obviously, sons have played, you know, Calvin Hill and
his son and blah blah blah.
Uh he was pro football, but his son made it, you know, through Duke and was a fabulous basketball player. But, these guys played together. So, that's something.
But, they're also the first father-son duo to be swept.
And [laughter] I'd just like to highlight that for any of the people that still refer to this clown as a goat. He was really good when he was young. You know what he's done since he's been with the Lakers, Pete?
You know how many championship rings he's got as a Laker? One. And that was the COVID ring when they all had to play in Orlando for like a month. You remember that? Yeah. It's the only ring he's won out there as a champion as an NBA championship. So, he has done
for that franchise.
And if anybody wants to think that somebody who plays at that level is a goat, you can have him. [laughter] You can pay him all the money you want and have him, but the Lakers will fill that stadium no matter what, Pete. I mean, they'd really have to drop down into, you know, the
drags to even have a few empty seats.
But, they'll still be sold out. Just people might not come, but nobody's giving up that seat cuz you can't get it back. Um so, I I think, you know, that he is a joke at this stage in his career.
Sorry.
>> if Does he step away? I wonder if he if if he's finally done it.
>> Should've done it a few years ago.
>> [laughter] >> You're going to get some haters on you, man.
>> [laughter] >> When you when you're taking those flops, Pete, when you're JUST LIKE, "OH!" YOU KNOW, AND FLYING ALL OVER THE PLACE OR IF somebody even gets close to him, HE'S LIKE, "OH MY GOD! OH!" YOU KNOW, IT'S LIKE DUDE, YOU have destroyed your legacy.
And okay. Okay. Um you know, some people played too long. Um I don't think Brady played too long, Pete. He got a Super Bowl in his second-to-last season. And then in his last season, they just didn't have enough gas in the tank. I think he could have still brought him there if they had enough players. But,
yeah, he was still winning. This guy, like I say, Pete, you folks challenge me. One ring, and it was the one that they played in Orlando, which when all the teams that made the thing, you know, they cut the season short and then they all played in Orlando in the dome or
whatever they called it down there, the freaking corona dome. Dome.
>> Something like that. Yeah, that was terrible. God, I'm I'm trying to forget all that, man.
>> I never even watched I never even watched those games until they actually put fans in the stands, Pete. With the fake fans in the stands, you know, those cutouts that they put in the stands.
Total joke. Now, that's not on LeBron.
That's not his fault. But, that's the time he won with a bunch of fake fans in the stands.
>> That's the commissioner. That's the commissioner who was okay with these guys doing, you know, their their management and everything else. So, yeah, I put that right on him.
>> [laughter] >> Yeah, me too.
Well, we got another Rebel's Edge tomorrow, Pete.
>> Cool.
>> Um, I got kicked off of NewsNation yesterday with Connell McShane because of the hantavirus.
Because some guy went on there for like 15 minutes and kept thanking all of his colleagues until the 15 minutes was up.
And I'm like, "And you didn't have time to let me tell you about, you know, the stocks you should be watching or whatever." >> Right.
>> But, I will be flying down to Necker Island after the show tomorrow, Pete.
Uh, to be with Richard Branson and a whole bunch of entrepreneurs. So, um, I'm flattered to be invited down and that should be fun. So, I'll I'll fill you guys in on it tomorrow. What time we shooting tomorrow, Pete?
>> I think we're going to hit it right at 1:00 p.m., Johnny, Eastern Time. We're going to get after it. Giddy up, baby.
>> Bang.
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