Manulife's US Unit Earns $254M as AI Tool Reaches 70% Automation

Manulife's US unit swung to profit with core earnings rising 5% to $254 million, fueled by the expansion of its Quick Quote AI underwriting tool. The platform now handles over 70% of preliminary underwriting assessments for John Hancock cases, up from nearly 50% earlier in year. On the group level, Manulife posted record core earnings of C$2.1 billion, though a shift in product mix trimmed new business value by 13%.

Tech stocks tied to AI infrastructure are drawing renewed interest after a recent market selloff. Dell Technologies reported record AI server revenue of $16.4 billion and carries a $95 billion backlog. Celestica posted Q3 revenue growth of 83% and expects another 90% increase next year, while Teradyne saw Q3 revenue jump 70% year over year. AXT reported Q3 revenue up 162% with a backlog exceeding $500 million.

Construction companies serving AI data center demand are also posting strong results. Comfort Systems USA reported a backlog of $17.8 billion as of September 30, up 89.8% from a year ago. Quanta Services is investing $500 to $700 million to double transformer manufacturing capacity to keep pace with infrastructure needs.

Intuit rolled out new AI-driven tools under its Intuit Intelligence platform, connecting small firms, mid-market businesses, and accountants on a shared data and AI layer for payroll, billing, tax, and cash management. The company now has 2.5 million monthly AI users and is introducing vertical-specific tools for midsize businesses, nonprofits, and manufacturers.

A&O Shearman committed $1.1 billion to AI over five years, requiring every practice to spend at least 3% of its time building specialist AI tools. The firm launched ContractMatrix, developed with Microsoft and Harvey, and first introduced generative AI in 2022. Managing partner Hervé Ekué said the push aims to improve service delivery to clients globally.

On the regulatory front, a Honda dealership faces a lawsuit over an AI-generated sales call that allegedly violated the Telephone Consumer Protection Act, with the plaintiff seeking class-action status. The case underscores rising concerns about AI robocalls in car sales. Meanwhile, Wall Street's fear gauge posted its biggest intraday jump in over 18 months as steep losses in chip and data center stocks triggered an unwind of the recent AI trade rally.

Alibaba's Taobao is recycling unexposed content through a system called URED, which resurfaces items that scored highly but were never shown to users. Over six months, the system has served tens of millions of daily users, producing a 3.47% rise in discovered categories and an 8.47% increase in content richness while adding under 1% latency with no model retraining.

Adani Enterprises and Jabil announced a proposed 50:50 joint venture to design and manufacture AI and data-center hardware in India, aiming to meet growing demand for digital infrastructure in the region. In a separate survey, Rootstock found that 77% of manufacturers plan to increase AI investment over the next 12 to 18 months, with 31% already deploying agentic AI and 73% preferring AI with human guardrails rather than fully autonomous systems.

Key Takeaways

<ul><li>Manulife's US unit earned $254 million in core earnings as its Quick Quote AI tool surpassed 70% automation for preliminary underwriting assessments.</li><li>Dell Technologies reported record AI server revenue of $16.4 billion and a $95 billion backlog, signaling strong demand for AI infrastructure.</li><li>Comfort Systems USA posted a $17.8 billion backlog as of September 30, up 89.8% year over year, driven by AI data center construction.</li><li>Intuit now has 2.5 million monthly AI users and is expanding its Intuit Intelligence platform with vertical-specific tools for businesses and accountants.</li><li>A&O Shearman committed $1.1 billion to AI over five years, launching ContractMatrix with Microsoft and Harvey.</li><li>A Honda dealership faces a class-action lawsuit over an AI-generated robocall that allegedly violated the Telephone Consumer Protection Act.</li><li>Wall Street's fear gauge had its biggest intraday jump in over 18 months as chip and data center stocks sold off sharply.</li><li>Alibaba's Taobao URED system boosted discovered categories by 3.47% and content richness by 8.47% while adding under 1% latency.</li><li>Adani Enterprises and Jabil announced a 50:50 joint venture to manufacture AI and data-center hardware in India.</li><li>77% of manufacturers plan to increase AI spending in the next 12 to 18 months, with 73% preferring AI with human guardrails.</li></ul>

Manulife US unit profits as AI underwriting grows

Manulife's US unit swung to profit with US core earnings up 5% to US$254 million. Its Quick Quote AI tool now handles over 70% of preliminary underwriting assessments, up from nearly 50% earlier in the year. However, a shift in product mix cut new business value by 13%. Group-wide, Manulife reported record core earnings of C$2.1 billion.

Manulife US profits on AI scaling and product changes

Manulife's US division saw core earnings rise 5% to US$254 million, driven by favorable life insurance results. The company's Quick Quote tool now automates more than 70% of preliminary assessments for John Hancock cases. Product mix changes reduced new business value by 13% and new business CSM by 20%. Manulife also closed Comvest Credit Partners VII at US$5.4 billion.

4 strong buy AI stocks during tech selloff

Four AI technology stocks are being recommended as strong buys after a recent market selloff. Celestica reported Q3 revenue growth of 83% and expects revenue to grow 90% next year. Dell Technologies reported record AI server revenue of $16.4 billion with a $95 billion backlog. Teradyne saw Q3 revenue jump 70% year over year. AXT reported Q3 revenue up 162% with a backlog exceeding $500 million.

3 AI construction stocks show strong Q3 results

Three AI-led construction companies are recommended as promising investments after strong Q3 earnings. Comfort Systems USA reported backlog of $17.8 billion as of September 30, up 89.8% from a year ago. Quanta Services is investing $500 to $700 million to double transformer manufacturing capacity. Sterling Infrastructure also posted solid results. All three benefit from growing AI data center construction demand.

Intuit unveils new AI tools for accounting

Intuit announced new AI-driven features across its platform targeting businesses and accountants. The Intuit Intelligence rollout connects small firms, mid market businesses, and accountants on one data and AI layer for payroll, billing, tax, and cash management. The company currently has 2.5 million monthly AI users. New vertical specific tools are being introduced for midsize businesses, nonprofits, and manufacturers.

Honda dealership sued over AI robocall

A Honda dealership is facing a lawsuit over an AI-generated sales call. The call was made to a cell phone and allegedly violated the Telephone Consumer Protection Act. The lawsuit seeks class-action status. The case highlights growing concerns about AI robocalls in car sales.

A&O Shearman commits $1.1bn to AI tools

A&O Shearman plans to invest $1.1bn in AI over five years. Every practice must spend at least 3% of its time building specialist AI tools. The firm launched an AI contract tool called ContractMatrix with Microsoft and Harvey. Managing partner Hervé Ekué said AI will help serve clients globally. The firm first rolled out generative AI in 2022.

Wall Street fear gauge jumps as AI trade stumbles

Wall Street's main fear gauge had its biggest intraday jump in over 18 months on Thursday. Steep losses in chip and data center stocks dragged down major indexes. Analysts said the selling may reflect an unwind of the previous AI trade rally. The market anxiety rose sharply in a single day.

Could the AI data center boom become a bubble?

Experts are examining whether the AI data center boom could turn into a bubble. Energy prices, interest rates and investment decisions may shape the economic impact. An expert explained the potential financial risks tied to the rapid growth of data centers. The situation raises concerns about overinvestment.

Taobao recycles unexposed items for discovery

Alibaba's Taobao uses a system called URED to recommend new content in its feed. The system recycles items that scored highly but were never shown to users. It has served tens of millions of daily users for over six months. Online tests showed a 3.47% rise in discovered categories and an 8.47% increase in content richness. The system adds under 1% latency with no model retraining.

Adani and Jabil plan joint venture for AI hardware in India

Adani Enterprises and Jabil announced a proposed 50:50 joint venture to design and manufacture AI and data-center hardware in India. The partnership aims to meet India's growing demand for digital infrastructure. The venture is expected to create a strong market presence and generate substantial revenue for both companies.

Rootstock survey shows 77% of manufacturers to boost AI spending

A Rootstock survey found that 77% of manufacturers plan to increase AI investment over the next 12 to 18 months. Agentic AI is gaining traction, with 31% of respondents already deploying it. The survey also found that 73% prefer AI with human guardrails rather than fully autonomous systems.