Brew Markets – January 27, 2026

Episode: Corning Glass: Unlikely AI Winner & UnitedHealth in Critical Condition

Host: Ann Berry
Producer/Co-Host: John Cotton

Episode Overview

On today's Brew Markets, Ann Berry and John Cotton break down a wave of news across some of the biggest names in the market. The main themes include Corning’s emergence as an unexpected beneficiary from the AI-driven data center boom, UnitedHealth's ongoing turnaround struggles in the spotlight of government and market pressures, and rapid-fire coverage of American Airlines, UPS, Amazon, and General Motors. Throughout, Ann and John offer sharp commentary, colorful analogies, and accessible explanations for investors navigating these turbulent sectors.

Key Discussion Points & Insights

1. Corning: From Thomas Edison to Meta’s AI Ambitions

(00:32 – 04:05)

• Corning (GLW) Surges on Meta Deal:
  The 175-year-old glass manufacturer saw its shares jump 17% after announcing a multiyear deal with Meta, worth up to $6 billion in fiber optic cables for Meta’s expanding data centers.

  “The AI trade is touching corners of the market that have been far from glamorous until now... a 175-year-old glass company is getting an AI makeover. That's Corning...”
  — Ann Berry (00:54)

• Fiber Optics Crucial for the AI Era:
  Corning’s legacy in inventing low loss optical fiber (1973) is now powering the digital world. One optical fiber link can carry 150 terabits per second—enough for 30 million HD streams.

• Corning’s Historical Tech Partnerships:

  • Apple: Longstanding supplier since the first iPhone; recent $2.5B investment by Apple to expand US-based glass manufacturing.
  • Edison: Corning developed the original glass for Thomas Edison’s light bulb.

• Meta’s Compute Initiative:
  Meta plans $600B in US tech infrastructure spend over three years, forming the “Meta Compute” initiative to oversee global data centers and supply chains.

  “We’re going to keep watching these announcements because these really are the tangible signs of how Meta will actually execute on its spend...”
  — Ann Berry (03:46)

2. UnitedHealth Group: In Critical Condition

(04:49 – 10:55)

• A Painful Turnaround:
  UnitedHealth (UNH) has struggled to recover from a steep stock slump (~50% decline last summer), with former CEO Stephen Hemsley brought back following Andrew Witty’s resignation.

  “Turnarounds: They're hard. Public ones, even harder. And if the public company doing the turning is regulated, we are talking about rolling a rock up a hill.”
  — Ann Berry (04:49)

  “That's right. Shares plunged more than 50% and CEO Andrew Witty resigned. And that's when they brought back the OG, Stephen Hemsley.”
  — John Cotton (07:15)

• 2025 Performance Recap & 2026 Outlook:

  • Q4 revenue: $113B (up 12% YoY, in line but on low expectations)
  • Adjusted EPS: $2.11; guidance for 2026: $439B in revenue (nearly $15B below street expectations)
  • Major drags: Continuing fallout from a Change Healthcare cyberattack and restructuring expenses.

• Medicare Advantage & Policy Headwinds:
  UnitedHealth’s profitability hit as more seniors used costlier care—profits pressured further by Medicare Advantage rates staying flat in 2027 (contrary to Wall Street hopes of a 4–6% bump).

  “CMS announced that rates that could be charged for Medicare Advantage plans would essentially stay flat for 2027... Wall Street analysts had expected a rate increase between 4 and 6%... but again, the CMS saying not happening.”
  — Ann Berry (09:03)

• Regulatory Scrutiny Intensifies:

  • President Trump lambasts insurers for high prices:

    “...President Trump has called on insurers to lower their prices, referring to them as big, fat and rich on social media...”
    — John Cotton (08:22)

  • Senate hearings: Top insurance CEOs called to Capitol Hill, pressure to address affordability.
  • CMS (headed by Dr. Oz) cracking down on “questionable” practices.
  • Notable quote from Journal investigation coverage:

    “The Journal found an outsized share of insurer-driven diagnoses went to UnitedHealth. UnitedHealth has called the Journal's reporting ‘inaccurate and biased.’”
    — John Cotton (10:42)

• Market Impact:

  • UnitedHealth down 20% (about $60B in market cap lost today)
  • Humana: –20%, Elevance: –13%, CVS: –15%

3. Market Movers: American Airlines, UPS, Amazon & GM

(11:51 – 16:45)

a. American Airlines (AAL)

(12:17 – 14:10)

• Missed 2025 full-year estimates; $325M Q4 revenue hit from government shutdown.

• 2026 outlook is optimistic (projecting 7–10% revenue growth for Q1), but stock down 5%+ due to skepticism over shutdown risks and fallout from Winter Storm Fern.

  “American Airlines stock down more than 5% at various points today as a result.”
  — Ann Berry (14:05)

  “Winter Storm Fern apparently amounted to the largest operational disruption the airline has ever seen from weather, which is quite a profound statement of its scale.”
  — Ann Berry (13:58)

b. UPS

• Announced another 30,000 jobs cut in 2026, after shedding 48,000 in 2025; major cost savings from restructuring and automation.

• Shares up 2.5%; efforts to adjust after declining Amazon shipment volumes.

  “UPS said it has so far delivered about $3.5 billion in savings tied to its restructuring...”
  — John Cotton (14:28)

c. Amazon (AMZN) & Grocery Wars

• Sunsetting Amazon Go/Amazon Fresh physical stores and rebranding/converting some to Whole Foods.

• Launching a 230,000 sq. ft. supercenter near Chicago to directly compete with Walmart in physical retail—a big move amid ongoing changes in grocery/retail landscape.

  “Amazon announced its next chess move today — it’s sunsetting Amazon Go and Amazon Fresh physical stores, converting some of those locations into Whole Foods Markets.”
  — Ann Berry (14:53) “This makes a lot of sense to me...I never understood the difference between the different brands.”
  — John Cotton (15:45)

d. General Motors (GM)

• Stock up 10% to all-time highs after beating earnings estimates, raising dividend by 20%, and announcing a $6B buyback.
• EV segment remains loss-making, but full-size trucks drive profits consecutively for six years.
• GM stock up ~50% YoY.

Notable Quotes & Memorable Moments

• On Corning’s Transformation:

  “Data center players would want a lot of it to help in supplying connectivity demand that drove up Corning share price over 80% in 2025.”
  — Ann Berry (01:51)

• On the Market’s Skepticism:

  “The market isn’t quite buying the optimism.”
  — Ann Berry re: American Airlines (12:52)

• On the Scale of Winter Storm Fern:

  “Winter Storm Fern apparently amounted to the largest operational disruption the airline has ever seen from weather, which is quite a profound statement of its scale.”
  — Ann Berry (13:58)

• On Insurance Policies and Scrutiny:

  “There is a growing hostility against the health care insurance sector coming from the federal government.”
  — John Cotton (08:22)

• On Amazon’s Grocery Strategy:

  “This makes a lot of sense to me to get the branding all in one channel.”
  — John Cotton (15:45)

Timestamps for Key Segments

• Corning and Meta Deal/Ai Impact: 00:32 – 04:05
• UnitedHealth Group Earnings and Medicare Policy: 04:49 – 10:55
• Market Close & Headlines: 11:51 – 16:45
  • American Airlines: 12:17 – 14:10
  • UPS: 14:10 – 14:53
  • Amazon: 14:53 – 15:42
  • General Motors: 15:42 – 16:45

Episode Tone & Language

Ann Berry’s tone mixes urgency with clear, slightly playful analogies (“rolling a rock up a hill”, “putting on another pot of coffee”), making dense financial topics highly accessible. Both Ann and John interject with quips, firsthand anecdotes (Ann's airport broadcast), and an open approach to market uncertainty.

Summary for Non-Listeners

This episode provides a sharp rundown of how legacy companies like Corning find renewed relevance in serving the “unglamorous” but essential needs of AI and data center infrastructure, while mega-cap healthcare names like UnitedHealth contend with existential public and policy pressures. Broader market coverage links industry upheaval in airlines, logistics, retail, and autos back to investor sentiment and changing business models. If you want to understand how AI, weather, regulation, and consumer habits are shaking up the stock market giants, this Brew Markets episode is a concise, insightful listen.