Some on Wall Street are saying that this is a sign that expectations have been too lofty for artificial intelligence (AI) companies. However, evidence suggests that many investors had unrealistic hopes for Palantir, while many other AI stocks are better positioned than Palantir.

Palantir provides data-analysis tools and has built a platform that allows its customers to easily utilize AI.

Palantir’s Q1 Results

Palantir’s revenue from U.S. companies climbed 32% versus the same period a year earlier. However, that was down from the 70% year-over-year increase in the same category that the company had generated in Q4.

Meanwhile, the firm slightly increased its full-year sales guidance range to $2.677 billion – $2.689 billion from its prior outlook of $2.652 billion – $2.668 billion. As a result the midpoint of its guidance range rose to $2.68 billion. However, on average, analysts were expecting the company’s 2024 top line to come in at a slightly higher $2.71 billion.

For Q1, the company’s revenue came in at $608 million, versus analysts’ average estimate of $603 million. On the other hand, Palantir generated earnings per share of 8 cents, excluding some items. The latter figure aligned with analysts’ mean outlook heading into the print.

PLTR Stock: Is This the End of the AI Stocks Rally?

Palantir last year developed a platform that helps government agencies and companies easily integrate AI into their businesses Yet many other firms, such as Accenture (NYSE:ACN), Booz Allen (NYSE:BAH), IBM (NYSE:IBM) and C3.ai (NYSE:AI), are also assisting government agencies and/or private firms with that task.

Consequently, I’ve long viewed the exuberant enthusiasm that many on the Street have had towards Palantir as overdone. Further, heading into today, its forward price-earnings ratio was a very high 81 times, and its price/sales ratio was an extraordinarily elevated 26 times.

Conversely, firms that have developed AI chips and unique AI services for certain sectors tend to face much less competition than Palantir because they have created their products over the course of many years. And cloud-infrastructure giants such as Microsoft (NASDAQ:MSFT) have huge, existing customer bases to which they can sell AI products, while their valuations are much lower than Palantir’s.

Given these points, I don’t believe that today’s retreat by PLTR stock indicates that the rally of AI names has ended.

On the date of publication, Larry Ramer did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Larry began writing columns for Ïã¸ÛÁùºÏ²ÊÐþ»ú in 2015. Among his highly successful, contrarian picks have been SMCI, INTC, and MGM. You can reach him on Stocktwits at @larryramer.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post PLTR Stock Falls as Palantir Reports Slowing Sales. Is This the End? appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Apple recently canceled its plans to build an “Apple Car” but may still be interested in the space, according to trade magazine reports.

RIVN stock rose 9% overnight and is expected to open this morning at about $11 per share, its market capitalization rising to nearly $11 billion. Apple was up 1% overnight and is now worth about $2.8 trillion.

Apple of Its Eye

I recently suggested that Tesla (NASDAQ:TSLA) should fire CEO Elon Musk and buy Rivian. I know that’s not happening. In the article, I called TSLA a stock to sell.

But the Apple story reflects the impulse leading to my story, Rivian’s growing reputation in EV circles. It is now seen as a company that understands the business and can scale to meet its cost challenges.

Rivian’s R3 announcement turned the industry on its head. The R3 will be a mid-size car at a mid-sized car price when it’s built in 2026 or 2027. Meanwhile, Rivian faces the challenge of selling its $45,000 R2 in quantities sufficient to justify the cost of a new plant in Georgia.

An Apple connection would bring Rivian an improved user interface and entertainment system. It would also give Rivian a second deep-pocketed benefactor alongside Amazon (NASDAQ:AMZN). They got the company started five years ago with an order for 100,000 electric delivery vans.

A Rivian connection would offer Apple much less risk than building its own car. Success could lead it to purchase Rivian, at least in the minds of some Rivian shareholders.

RIVN Stock: What Happens Next?

It’s possible that nothing happens as a result of all this press coverage. But the story is still intriguing enough to put smiles on the faces of both companies’ shareholders.  

As of this writing, Dana Blankenhorn had a LONG position in AMZN and AAPL. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Dana Blankenhorn has been a financial and technology journalist since 1978. He is the author of Technology’s Big Bang: Yesterday, Today and Tomorrow with Moore’s Law, available at the Amazon Kindle store. Tweet him at @danablankenhorn, connect with him on Mastodon or subscribe to his Substack.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post RIVN Stock Alert: Is Rivian About to Partner With Apple? appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

According to its filing with the Securities and Exchange Commission (SEC), the company is expecting 432,528,740 shares of AGRI stock to be sold in this offering. It’s worth pointing out that this is a secondary offering from shareholders in AgriFORCE Growing.

That’s worth pointing out as it means AgriFORCE Growing won’t see any proceeds connected to this offering. The company notes the shareholders may choose to sell the shares over time and in private or public transactions.

What This Means for AGRI Stock

News of this stock sale has investors in the company unsettled. That’s because large transactions for AGRI shares could pull down the price of the company’s stock. On top of that, AgriFORCE Growing won’t even see any money from these sales.

This stock offering could also be hurting the morale of AGRI stockholders. The large number of shares being offered may suggest that the investors behind this offering are losing faith in the company’s business. Understandably, this would weigh on the price of AGRI shares.

AGRI stock is down 31.1% as of Tuesday morning, with some 916,000 shares traded. That’s still below its daily average trading volume of about 4.2 million shares.

There are more stock market stories worth reading about today!

We have all of them ready to go with our stock market coverage for Tuesday! That includes everything happening with shares of GreenPower Motor (NASDAQ:GP) stock, Energy Fuels (NYSEMKT:UUUU) stock and Esperion Therapeutics (NASDAQ:ESPR) stock. All of that info is good to go down below!

More Stock Market News for Tuesday

• Why Is GreenPower Motor (GP) Stock Down 36% Today?
• Trade of the Day: Buy Energy Fuels (UUUU) Stock Call Options
• Why Is Esperion Therapeutics (ESPR) Stock Up 13% Today?

On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, Ïã¸ÛÁùºÏ²ÊÐþ»ú does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that Ïã¸ÛÁùºÏ²ÊÐþ»ú.com’s writers disclose this fact and warn readers of the risks.

Read More: Penny Stocks — How to Profit Without Getting Scammed

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Why Is AgriFORCE Growing (AGRI) Stock Down 31% Today? appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

GreenPower Motor is selling 1.5 million shares of GP stock, each of which comes with one warrant. Those warrants can be exercised to acquire another share of the company’s stock.

The units in this public offering are being sold for $1.55, and the warrants have an exercise price of $1.82 per share. The warrants can be exercised immediately and will expire in three years.

Additionally, underwriters have a 45-day option to acquire another 5% of shares in the offering. Maxim Group LLC is the sole book-running manager for the public offering.

GreenPower Motor is expecting gross proceeds of $2.3 million from this offering. It will use this money for EV production, product development and general corporate purposes.

What This Means for GP Stock

A public offering increases the total number of outstanding shares on the market. That means it also dilutes the stakes of current shareholders. That’s one reason why GP stock is down today.

The other has to do with the price of the offering. At $1.55 per share, this is a significant discount from GP’s prior closing price of $1.82 per share. As such, it makes sense the stock would drop as a result of the offering.

GP stock is down 35.7% as of Tuesday morning, with more than 141,000 shares traded. The company’s daily average trading volume is about 46,000 shares.

Investors will want to stick around for more of the latest stock market stories.

We have all of the hottest stock market news available on Tuesday! A few examples include why shares of Esperion Therapeutics (NASDAQ:ESPR) and ReAlpha Tech (NASDAQ:AIRE) stock are up today, as well as the biggest pre-market stock movers this morning. All of that info is good to go at the links below!

More Tuesday Stock Market News

• Why Is Esperion Therapeutics (ESPR) Stock Up 13% Today?
• Why Is ReAlpha Tech (AIRE) Stock Up 51% Today?
• Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday

On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, Ïã¸ÛÁùºÏ²ÊÐþ»ú does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that Ïã¸ÛÁùºÏ²ÊÐþ»ú.com’s writers disclose this fact and warn readers of the risks.

Read More: Penny Stocks — How to Profit Without Getting Scammed

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Why Is GreenPower Motor (GP) Stock Down 36% Today? appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Based in Lakewood, Colorado, Energy Fuels focuses on the exploration and evaluation of uranium mineral properties in the U.S. That’s significant because of the latest political move. Last week, Congress moved to ban unirradiated low-enriched uranium (that is, uranium that has not been placed in a reactor) from Russia or a Russian entity.

This political action should bolster UUUU stock because of the focus toward domestic uranium production. The U.S. Energy Information Administration disclosed that nuclear power plants in this country import approximately 12% of their uranium from Russia. Again, it’s a classic supply and demand equation that bodes very well for Energy Fuels.

High-Risk Wager That Finally Looks Intriguing

To be clear, those who take a shot on UUUU stock will be taking a major risk.

Since the beginning of the year, Energy Fuels shares have declined almost 17%. In the past one-year period, they suffered a loss of almost 5%. Contrast that to Cameco (NYSE:CCJ), where shareholders enjoyed a nearly 85% lift in the past 52 weeks.

However, because the Russian uranium ban practically forces greater investment in domestic nuclear fuel production, UUUU stock can potentially have its moment in the spotlight.

Trade of the Day: Buy UUUU Stock Call Options

With the fundamentals pointing to the northbound direction, the trade of the day is simple: Buy UUUU stock, specifically its slightly out-the-money (OTM) call options. In particular, I’m intrigued by the 21 June 2024 $6 call.

Relative to other call options, the $6 June call features relatively high volume (401 contracts on Monday). Further, the premium is cheap, down at 33 cents when the market closed yesterday. The downside is that the bid-ask spread as represented by the midpoint price is steep at 15.6%. However, keep in mind that because Energy Fuels is a small-capitalization play, high spreads are usually the norm.

Finally, one other factor to consider regarding UUUU stock is the high short interest, which stands at 15.45% of its float. Also, the short ratio clocks in at 19.47 days to cover. That means that based on average trading volume, it will take the bears nearly 20 business days to fully unwind their position.

Here’s the thing. The act of covering a short position requires buying the target security. Panicked bears could spark a positive feedback loop. That could easily send UUUU stock rocketing to the moon.

At the very least, Energy Fuels should be on your watch list.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Trade of the Day: Buy Energy Fuels (UUUU) Stock Call Options appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

The good news from this earnings report includes Q1 revenue of $137.7 million. That’s well above the $83.89 million that Wall Street was expecting for the quarter. It also represents a year-over-year increase of 467% from $24.3 million.

Esperion Therapeutics also reported diluted earnings per share of 34 cents during the quarter. That’s a surprise profit compared to analysts’ EPS estimate of -1 cent. It’s also much better than the -79 cents per share reported in the same period of the year prior.

Sheldon Koenig, president and CEO of Esperion Therapeutics, said this about its earnings:

“We posted retail prescription equivalent growth of 43% year-over-year, generated our highest level of revenue yet, and ended the quarter with a cash balance that positions us to capitalize on our new label and deliver long term value growth.”

ESPR Stock Outlook

In its Q1 earnings report, Esperion Therapeutics provides limited guidance for the full year of 2024. That includes expected operating expenses ranging from $225 million to $245 million, including $20 million in non-cash expenses connected to stock compensation.

ESPR stock is up 12.8% as of Tuesday morning as some 7.8 million shares trade hands. That’s well above its daily average trading volume of about 6.1 million shares.

Investors will find more of the most recent stock market stories below!

We have all of the hottest stock market news ready to go on Tuesday! Among that is what has shares of ReAlpha Tech (NASDAQ:AIRE) stock up, the biggest pre-market stock movers this morning and more. All of that info is ready to go at the following links!

More Stock Market News for Tuesday

• Why Is ReAlpha Tech (AIRE) Stock Up 51% Today?
• Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday
• TSLA Stock Alert: A Third Round of Tesla Layoffs Just Hit Staff

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Why Is Esperion Therapeutics (ESPR) Stock Up 13% Today? appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

ReAlpha Tech is building out its artificial intelligence (AI) abilities with this acquisition. It brings on 43 experienced AI engineers as well as Naamche’s machine learning and data engineering capabilities.

ReAlpha Tech used a mix of cash and equity to acquire Naamche. It’s worth noting the two companies have worked together prior to this acquisition. Naamche was responsible for developing the real estate technology company’s Claire AI platform.

ReAlpha Tech CEO Giri Devanur said the following about the news.

“This transaction marks a milestone in our strategy to build and scale our capabilities for creating and delivering AI-powered real estate solutions. We are pleased to integrate Naamche’s talented team into our workforce and look forward to our collaboration to continue seeking real-estate focused product innovation.”

AIRE Stock Movement Today

Investors are excited about today’s news and that brings with it heavy trading of AIRE stock. This has more than 4 million shares of the stock changing hands as of this writing. That’s well above the company’s daily average trading volume of about 2.8 million shares.

AIRE stock is up 50.6% as of Tuesday morning. It’s worth noting that AIRE stock was down 55.9% year-to-date when markets closed yesterday.

We have all of the hottest stock market news ready to go on Tuesday!

With that comes our coverage of all the latest stock market stories for today! That includes the biggest pre-market stock movers this morning, the latest news on Tesla (NASDAQ:TSLA) layoffs and more. You can catch up on all of these matters below!

More Tuesday Stock Market News

• Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday
• TSLA Stock Alert: A Third Round of Tesla Layoffs Just Hit Staff
• NIO Stock Alert: Nio Preps to Unveil Mass Market Car This Month

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post Why Is ReAlpha Tech (AIRE) Stock Up 51% Today? appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

The three stocks were Steel Dynamics (NASDAQ:STLD), Targa Resources (NYSE:TRGP) and United Rentals (NYSE:URI). Their combined share prices were $509.37, so the total went over by $10. Today, they’re $909.74, a one-year gain of nearly 79%, 3.2 times the S&P 500.

Not too shabby. 

Encouraged by these results, I’ll try to repeat the performance. Given the gains achieved by stocks overall over the past year, it will be more challenging.

“Because price and value are two different things, I’m looking for cheap stocks with high potential. Therefore, I screened for stocks with low price-to-free-cash flow (P/FCF) and price-earnings-to-growth (PEG) ratios,” I wrote last May. 

As I did last year, I’ll select my three names from the index, and they’ll be three new names, not carryovers from last year. 

Tapestry (TPR)

Tapestry (NYSE:TPR) owns Coach, Kate Spade and Stuart Weitzman. According to Morningstar.com, Tapestry’s PEG ratio is 1.03, while its market capitalization of $9.0 billion is just 6.9 times its free cash flow of $1.30 billion.

The Federal Trade Commission has taken an unprecedented move, filing suit to block Tapestry’s $8.5 billion proposed takeover of Capri Holdings (NYSE:CPRI), the owner of Michael Kors, Versace and Jimmy Choo.

“With the goal to become a serial acquirer, Tapestry seeks to acquire Capri to further entrench its stronghold in the fashion industry,” said Henry Liu, Director of the FTC’s Bureau of Competition. “This deal threatens to deprive consumers of the competition for affordable handbags, while hourly workers stand to lose the benefits of higher wages and more favorable workplace conditions.”

It is strange that the FTC is worried about affordable handbags. It’s so odd that one of the wealthiest countries in the world doesn’t have a competitor to LVMH (OTCMKTS:LVMUY) and all the other luxury conglomerates in Europe and Asia. 

Whether or not the FTC is successful, TPR is undervalued and worth holding for the long haul.

Its $39.48 share price as of May 6 is 7.8% of $500.

Celanese (CE)

Celanese (NYSE:CE) is the world’s largest producer of acetic acid. Its high-performance engineered polymers serve various industries, including automotive, chemical additives, construction, consumer and industrial adhesives, medical and consumer electronics. 

Analysts aren’t very optimistic about Celanese stock. Of the 24 that cover it, only six rate it a Buy, with a $160 target price, a tiny bit below how much it currently trades. 

However, as PortfolioLabs.com points out, Celanese’s risk-adjusted returns are in the top 10% of U.S. stocks. Over the past 10 years, Celanese has had monthly returns of -20% or more on just two occasions out of 120. 

This past year, Celanese focused on maximizing cash flow to pay down debt and increase cash on the balance sheet. The company’s record free cash allowed it to pay down $995 million of its debt in 2023, add $297 million and reduce its net debt by $1.3 billion to $12.29 billion.

Its $157.17 share price as of May 6 is 32% of $500.

Corpay (CPAY)

In March, Corpay (NYSE:CPAY),a global corporate payments company, rebranded its corporate identity, changing its name from Fleetcor Technologies to Corpay. The move reflected its commitment to corporate payment solutions.

“Corpay’s suite of modern payment solutions help its customers better manage vehicle-related expenses (such as fueling and parking), travel expenses (e.g., hotel bookings) and payables (e.g., paying vendors). This results in customers saving time and ultimately spending less,” states its investor relations page.

Corpay has three businesses: Corporate Payments at 26% of revenue, Vehicle Payments at 53% and Lodging Payments at 14%. Others at 7%. 

In 2023, it generated $3.8 billion in revenue and $1.3 billion in adjusted net income. In the mid-term, it aims to grow organic revenue and adjusted net income by 10% and 17.5%, respectively. Since 2010, its compound annual growth rate for revenue and adjusted earnings per share has been 18% and 20%, respectively. 

It’s a big reason its shares have generated a CAGR of 21.4% since going public at $23 in December 2010. As of May 6, its $299.29 share price is 61% of $500.

Of the 20 analysts covering its stock, 15 rate it a Buy, with a $330 target price, more than 10% above its current share price. 

On the date of publication, Will Ashworth did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Will Ashworth has written about investments full-time since 2008. Publications where he’s appeared include Ïã¸ÛÁùºÏ²ÊÐþ»ú, The Motley Fool Canada, Investopedia, Kiplinger, and several others in both the U.S. and Canada. He particularly enjoys creating model portfolios that stand the test of time. He lives in Halifax, Nova Scotia.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post 3 Must-Own Stocks to Scoop Up if You Have $500 to Invest appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

• Catheter Precision, Inc. Common Stock reported earnings per share of -36 cents. This was above the analyst estimate for EPS of -42 cents.
• The company reported revenue of $82,000.
• This was 54.44% worse than the analyst estimate for revenue of $180,000.

Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post VTAK Stock Earnings: Catheter Precision, Inc. Common Stock Beats EPS, Misses Revenue for Q1 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

• Adtran reported earnings per share of -2 cents. This was above the analyst estimate for EPS of -11 cents.
• The company reported revenue of $226.17 million.
• This was 0.96% better than the analyst estimate for revenue of $224.02 million.

Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post ADTN Stock Earnings: Adtran Beats EPS, Beats Revenue for Q1 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

• UBS Gr reported earnings per share of 52 cents. This was above the analyst estimate for EPS of 24 cents.
• The company reported revenue of $12.74 billion.
• This was 10.77% better than the analyst estimate for revenue of $11.50 billion.

Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post UBS Stock Earnings: UBS Gr Beats EPS, Beats Revenue for Q1 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

In general, materials stocks can be attractive for investors seeking high dividend yields and inflation protection. Many well-established materials companies generate substantial free cash flow that they return to shareholders through consistent and growing dividends. The average dividend yield for the materials sector is around 2.5%, above the 1.5% yield for the S&P 500 index.

Materials stocks also tend to perform well during periods of rising inflation. As the prices of the commodities they produce increase, materials companies can expand their profit margins and cash flows. This makes them an effective hedge against inflation pressures. During the high inflation period of the 1970s, for example, the materials sector significantly outperformed the broader market.

So here are seven of the most undervalued materials stocks for investors to consider this month.

Undervalued Materials Stocks: United States Lime & Minerals (USLM)

United States Lime & Minerals (NASDAQ:USLM) stands out for strong fundamentals and impressive past performance. It has consistently passed numerous due diligence checks.

USLM reported substantial growth in its financial performance for 2023, with a revenue increase to $281.3 million, up 19% from the previous year. Net income also surged by 64% to $74.5 million, and EPS rose to $13.10 from $8.01 in 2022. The company attributes its enhanced profit margins, which grew to 27%, primarily to higher revenue generation.

USLM’s first quarter of 2024 reported a revenue increase to $71.7 million from $66.8 million in the same quarter the previous year, indicating a strong start to the year. The company maintains a positive outlook for 2024, driven by sustained demand for lime and limestone products across various market sectors. 

This then makes it one of those materials stocks to consider.

Boise Cascade Co (BCC)

Boise Cascade Co (NYSE:BCC) stands out for its solid financial performance and favorable analyst ratings. It has also demonstrated significant growth compared to its industry peers.

BCC concluded 2023 with strong financial results, reporting a fourth quarter net income of $97.5 million and an annual net income of $483.7 million. The annual revenue reached $6.8 billion, reflecting a robust performance throughout the year.

Looking ahead to 2024, BCC anticipates stable demand for its products, closely tied to trends in new residential construction and repair-and-remodeling activities. Industry forecasts suggest that U.S. housing starts in 2024 are expected to align with 2023’s levels, despite ongoing challenges like home affordability and economic uncertainty.

I believe that BCC then is undervalued relative to its revenue growth potential and also due to its expanding market presence.

Undervalued Materials Stocks: Vulcan Materials (VMC)

Vulcan Materials (NYSE:VMC) is a major producer of construction aggregates and other construction materials, noted for its operational efficiency and strong market position in the United States.

In the first quarter of 2024, VMC reported earnings that were below analyst expectations with an EPS of 80 cents, missing the consensus estimate by 11 cents, although it surpassed revenue forecasts with $1.55 billion for the quarter.

Further, VMC has outlined a robust outlook for 2024, indicating a continued focus on growth and operational efficiency. For the year, VMC projects an Adjusted EBITDA between $2.15 and $2.30 billion, with net earnings expected to range from $1.07 to $1.19 billion.

For the upcoming quarters of 2024, analyst consensus estimates suggest a progressive improvement in EPS, expecting 87 cents in Q2, increasing to $2.70 in Q3, and $2.03 in Q4. The full-year EPS consensus is pegged at $8.46.

Eagle Materials (EXP)

Eagle Materials (NYSE:EXP) manufactures and distributes cement, gypsum wallboard, recycled paperboard, and concrete and aggregates. The company has a reputation for quality products and a robust distribution network.

EXP has demonstrated a strong performance and strategic growth initiatives heading into 2024. The company recently announced plans for a new 500,000-ton slag cement facility in Texas, expected to start operations in the summer of 2024. This expansion is part of their strategy to meet the growing demand for cementitious materials in the Texas market.

Financially, Eagle Materials reported a quarterly EPS of $3.72 for Q3 2024, exceeding analyst expectations of $3.56. The company also saw a revenue of $558.83 million for the same quarter, surpassing the projected $537.23 million. Looking forward, EXP has forecasted its EPS for the upcoming quarters of 2024, with expectations of $3.88 in Q2 and $3.43 in Q3​.

Undervalued Materials Stocks: Alcoa Corporation (AA)

Alcoa Corporation (NYSE:AA) is a global leader in bauxite mining and alumina refining with significant initiatives in green technologies and low-carbon alumina production​.

The company has announced a robust technology roadmap, which includes the ASTRAEA technology for recycling aluminum scrap to higher purity levels and the “Refinery of the Future” project aiming for zero-carbon emissions in alumina refining. 

AA has set its production guidance for 2024, projecting alumina production to be between 9.8 and 10.0 million metric tons, with alumina shipments expected to range between 12.7 and 12.9 million metric tons.

Furthermore, Alcoa’s financial outlook for 2024 anticipates challenges, projecting a net loss. However, for 2025, the company is expected to see a positive turnaround with a substantial net income.

I feel that AA’s valuation has been discounted too harshly given that its fundamentals are set to increase. This then make it one of those undervalued materials stocks.

Superior Industries International (SUP)

Superior Industries International (NYSE:SUP) specializes in the design and manufacturing of aluminum wheels, benefiting from strong brand recognition in the luxury car market.

SUP has provided a comprehensive outlook for 2024 amidst various strategic adjustments and market challenges. For the full year 2024, Superior Industries projects net sales to be between $1.38 billion and $1.48 billion, with adjusted EBITDA expected to range from $155 million to $175 million.

The company anticipates some challenges in the first part of 2024, primarily due to inflation in labor and energy costs, which they plan to recover from customers. Additional costs are expected from the reorganization of various administrative and operational functions in Europe, which is projected to impact financial performance in the early part of the year.

In my opinion, these short-term headwinds are holding SUP back from being fairly valued, and it’s just a matter of time before its valuation reflects its fundamentals.

Vale S.A. (VALE)

Last on the list of undervalued materials stocks is Vale S.A. (NYSE:VALE). It’s one of the world’s largest iron ore miners, known for its cost efficiency and high-quality ore, with significant operations spanning the globe.

The company has set its production targets for 2024, indicating a focus on maintaining robust output levels across its core commodities. The company expects to produce between 310,000 to 320,000 metric tons of iron ore, 38,000 to 42,000 metric tons of pellets, 160,000 to 175,000 tons of nickel, and 320,000 to 355,000 tons of copper during the year.

Also, recent performance updates from the second quarter of 2023 highlight significant achievements, such as a 6% year-over-year increase in iron ore production and a 41% increase in copper production compared to the previous year, driven by the ramp-up of their Salobo III plant and improved operations at Sossego.

VALE is definitely on track to being an outperformer this year in my view, which then makes it one of those materials stocks to buy.

On the date of publication, Matthew Farley did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Matthew started writing coverage of the financial markets during the crypto boom of 2017 and was also a team member of several fintech startups. He then started writing about Australian and U.S. equities for various publications. His work has appeared in MarketBeat, FXStreet, Cryptoslate, Seeking Alpha, and the New Scientist magazine, among others.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post The 7 Most Undervalued Materials Stocks to Buy in May 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Moreover, the defense industry is heavily dependent on government contracts and budget allocations. And those can be highly unpredictable and subject to political shifts. Companies that rely heavily on a few key contracts or have a narrow product portfolio may be more vulnerable to changes in government priorities or spending cuts.

More specifically, some defense stocks have a mix of weakening fundamentals and overvalued natures. Let’s explore some of those that investors should sell this month.

RTX Corporation (RTX)

RTX Corporation (NYSE:RTX) is known for its aerospace and defense products. Quite recently, it faced a significant setback with a defect discovered in 1,200 of its jet engines. This issue requires grounding and inspection of the engines, which could impact the company’s financial performance and reputation.

Importantly, RTX did very well in its Q1 results. Also, the Raytheon defense division showed strong profit margin growth. However, the Collins Aerospace and Pratt & Whitney divisions experienced margin declines. This could be a concern, as these two divisions account for a significant portion of RTX’s revenue.

Some analysts’ commentary leans into RTX being currently overvalued. It trades at high multiples compared to both its historical averages as well as the median for its peer universe. So although a solid stock, a pullback may be needed, and it could be primed for a retracement.

The Boeing Company (BA)

The Boeing Company (NYSE:BA) has also experienced challenges. The company’s stock performance has been underwhelming compared to market expectations. Furthermore, BA has faced production issues and other operational difficulties.

Bad news has been abound for the stock, which is perhaps one of the most impactful media disasters of the last decade for a company. Also, last month, the Chief Executive Officer (CEO) indicated that there could be more bad news forthcoming.

During the earnings call, CEO Calhoun mentioned that 737 production will be “slow and lumpy” in Q2 as the company works through challenges over the next 60 days. Chief Financial Officer (CFO) Brian West also indicated that Boeing is slowing near-term production of the 787 Dreamliner. The company is planning to return to five per month later in the year. So, these production issues could impact the company’s performance.

Also, Northcoast Research cut its rating for BA stock to sell from neutral. It cites channel checks that point to a lower build rate for the 787 Dreamliner than Boeing’s claim of five per month. This discrepancy could indicate an underlying problem not yet shared with investors.

Lockheed Martin (LMT)

While traditionally a strong performer, Lockheed Martin (NYSE:LMT) has recently been subject to concerns over its valuation and the sustainability of its growth.

LMT stock has underperformed the S&P 500 in 2021 and 2023, despite outperforming in 2022. This inconsistent performance, especially during a period when many other stocks have provided better returns with less risk, may make LMT less attractive to some investors.

Additionally, despite strong revenue growth, Lockheed Martin’s consolidated operating margin declined by 170 basis points year-over-year (YOY) to 11.8% in Q1. Lower operating margins led to a decrease in earnings per share compared to the prior-year quarter.

Like RTX, I think that LMT is a great stock but its valuation is too rich due to its own success. Its high valuation makes it more vulnerable to market and systemic risks than others. Therefore, it should be worth waiting on the sidelines before considering adding LMT to one’s portfolio. And similar to RTX, it also trades at high valuation multiples to its historical performance. This prompts caution.

On the date of publication, Matthew Farley did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Matthew started writing coverage of the financial markets during the crypto boom of 2017 and was also a team member of several fintech startups. He then started writing about Australian and U.S. equities for various publications. His work has appeared in MarketBeat, FXStreet, Cryptoslate, Seeking Alpha, and the New Scientist magazine, among others.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post 3 Defense Stocks to Sell in May Before They Crash & Burn  appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Moving shares are earnings, public offerings, acquisition deals and more.

Let’s get into that news below!

Biggest Pre-Market Stock Movers: 10 Top Gainers

10 Top Losers

On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Analysts at LPL Financial found that from 1950 on, the S&P 500 returned just 1.8% on average. But whatever you do, don’t invest in September! That month is the worst for the index with a long-term average return of negative 0.7%. 

Of course, this is said facetiously. Investors should not be investing for a month or even six months. They should have a long-term mindset when buying stocks, aiming to hold them for three to five years at a minimum, though a decade or more is preferable. Or in the words of Warren Buffett, the best time to sell is never!

And that May-to-October investing bromide is really just for index investors. Stock pickers should look to buy shares whenever they offer discounts to their intrinsic value.

So even though it is May, the following three companies are some of the top stocks to invest $10,000 in today to enjoy long-lasting returns.

e.l.f. Beauty (ELF)

After nearly tripling in value last year and getting off to a rip-snorting start in 2024, cosmetics leader e.l.f. Beauty (NYSE:ELF) took a breather. Shares pulled back 27% from their all-time high in early March. The stock is still up 11% year-to-date (YTD). So, investors should view this as the pause that refreshes.

According to the recently released Taking Stock With Teens semi-annual survey, analysts at Piper Sandler say e.l.f. Beauty remains the No. 1 cosmetics brand in the country amongst female teens. The company widened its lead by 16 percentage points from last year and now commands a 38% share of the market. It is also one of the top 10 skincare brands and beauty destinations. 

In addition, the survey showed the beauty market is a high priority. The average spend of $339 rose to its highest level since the spring of 2018. Analysts forecast e.l.f. Beauty will grow earnings at a compounded annual growth rate (CAGR) of 35% for the next five years. And, they have a $206 per share consensus one-year price target on the stock, implying 28% growth still to come. Thus, e.l.f. Beauty stock looks like an unstoppable force no matter what month it is.

Hudson Technologies (HDSN)

Green refrigerant specialist Hudson Technologies (NASDAQ:HDSN) doesn’t seem quite as exciting as a fast-growing cosmetics stock. But don’t let appearances fool you. This is not putting lipstick on a pig. Significant tailwinds are behind this company even if its stock price doesn’t yet reflect them. In fact, it’s good they don’t show up yet because that gives investors plenty of time to get in ahead of the crowd.

Call it the Law of Unintended Consequences. In 1994, the Environmental Protection Agency (EPA) banned chlorofluorocarbons (CFCs), a widely used class of refrigerants that were supposedly eating a hole in the world’s ozone later (turns out the threat was greatly exaggerated). In their place, hydrofluorocarbons (HFCs), were developed. Now the government wants them banned, too. 

Four years ago the American Innovation and Manufacturing Act was passed, which phases out use of virgin HFCs. By 2038, they are to be reduced by 85%. These refrigerants are the sort used in home central air conditioning and car AC systems. 

Hudson Technologies is the biggest player in the green refrigerant market with a 35% share. As the law cuts into available supplies, demand for reclaimed refrigerants will grow. HDSN stock is down 40% from the highs it hit. But don’t expect it to last. Refrigerants are going to get scarce very quickly, making Hudson Technologies will be the main beneficiary.

LVMH Moet Hennessy Louis Vuitton (LVMUY)

The hand of the government is also behind the recent decline in the stock of luxury goods maker LVMH Moet Hennessy Louis Vuitton (OTCMKTS:LVMUY). Even the rich have their limits on how long they can maintain their spending in the face of rising inflation and high interest rates. 

Shares of the owner of Luis Vuitton, Dior, Tiffany and other prestigious high-fashion names saw its stock fall 13% following first-quarter earnings after growth rapidly pulled back in difficult economic conditions. Shares that had run up 17% higher to start the new year are now only up 3%.

Spending in the U.S., its largest market, fell from 8% growth to 2%, while the luxury house’s second biggest region Asia (minus Japan) went from a 14% gain last year to a 6% decline this year. Japan, though, went from strength to strength. Sales rose 34% last year and are up 32% so far in 2024.

Yet LVMH still has plenty of growth prospects ahead of it. The luxury goods house was going up against some difficult comparables from the year-ago period, which was its first post-pandemic-free quarter. It will likely have a few more tough comparisons to get through but should resume its growth trajectory once it laps them.

On the date of publication, Rich Duprey held a LONG position in LVMUY stock. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Rich Duprey has written about stocks and investing for the past 20 years. His articles have appeared on Nasdaq.com, The Motley Fool, and Yahoo! Finance, and he has been referenced by U.S. and international publications, including MarketWatch, Financial Times, Forbes, Fast Company, USA Today, Milwaukee Journal Sentinel, Cheddar News, The Boston Globe, L’Express, and numerous other news outlets.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post Maximize Your $10K: The 3 Top Stocks to Invest In Today appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

• Knife River Holding reported earnings per share of -84 cents. This was above the analyst estimate for EPS of -86 cents.
• The company reported revenue of $329.60 million.
• This was 9.51% better than the analyst estimate for revenue of $300.98 million.

Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post KNF Stock Earnings: Knife River Holding Beats EPS, Beats Revenue for Q1 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Secondly, the Drug Enforcement Administration will reportedly lessen cannabis restrictions. The change would enable pharmaceutical companies to sell and distribute medical marijuana in legal states. This should boost cannabis’ firms top and bottom lines. For investors who want to benefit from Washington’s move, here are three cannabis stocks to buy.

Aurora Cannabis (ACB)

Aurora Cannabis (NASDAQ:ACB) reportedly doesn’t have an official presence in the U.S. But the company should still be able to generate a great deal of revenue and profits by selling the marijuana that it grows in Canada to U.S. pharmaceutical firms.

What’s more, Aurora Cannabis is very well-positioned to benefit from Germany’s recent legalization of marijuana. That’s because Aurora is one of only three firms that can grow marijuana in the European country.

Aurora’s revenue rose 5.4% in its fiscal third quarter to 64.4 million Canadian dollars. Meanwhile its EBITDA came in at 4.3 million Canadian dollars, up from 3 million Canadian dollars during the same period a year earlier.

Canopy Growth (CGC)

Canopy Growth (NASDAQ:CGC) is taking steps to launch a new U.S.-based holding company that will acquire multiple firms within the American cannabis market. As a result, Canopy will be exceptionally well-positioned to benefit from the SAFER Banking Act and the government’s relaxation of restrictions on cannabis. Consequently, Cannabis is certainly one of the best cannabis stocks to buy.

In Canopy’s Q3, its revenue climbed 6% versus the same period a year earlier. Even more impressively, the revenue that it generated from cannabis outside of its Canadian home market soared 81% YOY to $10.5 million.

The firm’s price/sales ratio of 2.5 times is very attractive, given its huge, upcoming opportunities.

Tilray (TLRY)

In a statement to Barron’s, Tilray (NASDAQ:TLRY) CEO Irwin Simon wrote that Washington’s relaxation of restrictions on cannabis “paves the way for the establishment of a federally legal medical cannabis industry.” Simon added that ““We believe that we are well-positioned and ready to participate in the medical cannabis market in the U.S.”

Indeed, Tilray is one one of the largest medical cannabis businesses in both Canada and Europe. Its expertise in medical marijuana should cause it to benefit from the growth of the U.S. medical marijuana sector. The Biden administration’s reduced cannabis restrictions will enable drug companies to start selling cannabis for use by medical patients. As a result, drug companies will use their huge marketing power to promote medical marijuana, benefiting Tilray.

The price/book ratio of Tilray is a tiny 0.50.

On the date of publication, Larry Ramer held a long position in ACB. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Larry began writing columns for Ïã¸ÛÁùºÏ²ÊÐþ»ú in 2015. Among his highly successful, contrarian picks have been SMCI, INTC, and MGM. You can reach him on Stocktwits at @larryramer.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Cashing In on Cannabis: 3 Stocks Primed to Surge on Federal Reforms appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Given the current market dynamics, investors may want to consider the following AI stocks to sell.

Arm Holdings (ARM)

Arm Holdings (NASDAQ:ARM) is one of the AI stocks to sell after gaining massively following its relatively recent initial public offering (IPO) last September. However, much hype for the software and chip architecture developer seems driven by AI speculation rather than company financials, as its bottom line has been aligned with pre-IPO performance. Its stock price more than tripled after going public but has since declined to trade just over 50% above IPO. Such large swings are not going unnoticed, especially considering the spike ensued after reporting a 50% EPS drop over the prior year.

The British company will report its earnings on Wednesday, May 8, an important indicator for the entire market given its affiliation with major AI players Nvidia (NASDAQ:NVDA), Microsoft (NASDAQ:MSFT), and Amazon (NASDAQ:AMZN). Analysts forecast EPS of $0.16 per American Depositary Shares, lower than last year’s $0.29 reported for the last quarter of 2023.

Airship AI Holdings (AISP)

As the adage goes, what goes up must come down. Airship AI Holdings (NASDAQ:AISP), a company that provides AI solutions for surveillance platforms, has seen its stock price increase nearly 300% so far this year. However, much of the gains came after a strong earnings report for last year, where the company turned into profitability after reporting a profit of $0.80 per share compared to a loss of -$0.04 in the prior year.

Nonetheless, it did not come in the form of cash, as revenue decreased over the same period, making a good addition to a list of AI stocks to sell. Rather, it stemmed from an improved valuation following several large contracts the company received from the U.S. government.

Unless Airship AI can repeat its stellar performance and start converting orders into actual payments and cash available for distribution to shareholders, investors looking for AI stocks to sell may end up disappointed by poor earnings and exit or short-sell the stock. As such, sustained growth will be key to justifying the current valuation.

SoundHound AI (SOUN)

Soundhound AI (NASDAQ:SOUN) is the third out of the three AI stocks to sell on this list. The company provides AI solutions for voiceovers and has a sizable addressable market as companies look to automate interaction through natural voice bots. Potential applications include drive-through ordering and recent applications in healthcare services. However, entering new markets can take time, and investors seeking immediate returns may grow disappointed even if long-term shareholders remain satisfied. This could result in a short-term pullback for the company’s stock price when it reports earnings on Thursday, May 9.

Analyst consensus estimates see earnings increasing 25% year-over-year (YOY) but remaining at a loss of -$0.09 per share, alongside revenue growth of 51% to $10.1 million. While praiseworthy for many companies, these figures in the AI industry may not justify the stock price doubling since the start of the year. Considering both short-term expectations and long-term potential, SoundHound AI could be among the top AI stocks to sell.

On the date of publication, Stavros Tousios did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Stavros Tousios, MBA, is the founder and chief analyst at Markets Untold. With expertise in FX, macros, equity analysis, and investment advisory, Stavros delivers investors strategic guidance and valuable insights.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post Avoid the AI Fallout: 3 Stocks to Unload Amid the SMCI Shockwave appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

With billions in cash, Buffett faces a two-pronged dilemma. First, the company or stock he invests in must be liquid and large enough to handle massive purchase orders without unduly influencing the stock itself. Likewise, any investment’s projected returns must be significantly higher for the risk assumed than most retail investors realize, considering higher rates today mean that he can collect 5% or more risk-free on those billions.

These fairly rigid guiding principles mean Buffett is cut off from some of the most lucrative value investment sectors today: small-caps and micro-cap value stocks. Deploying his cash into any of them would send per-share pricing flying at the quantity he’d need to make it worth buying. That’s why you’ll never see Buffett buying value stocks below $10 billion in market capitalization.

But luckily, those rules don’t apply to you. Instead, buying these value stocks could set you up to be the next Warren Buffett, considering each has significant upside potential that often goes overlooked. While not all of them are small-caps, together they represent a solid blend of value stock sectors, types and sizes to round out a portfolio.

Intuitive Surgical (ISRG)

Intuitive Surgical (NASDAQ:ISRG) is on the higher side of the value stock market cap spectrum. It’s also unique in that it blends value and growth through merging advanced technology, robotics, and the constant evolution of healthcare. A stable provider of high-end, specialized medical equipment, Intuitive Surgical is a component stock in both the S&P 500 and Nasdaq-100 indices. Unlike competitors focused on traditional medical hardware, Intuitive Surgical revolutionizes surgical procedures, enhancing both provider efficiency and patient outcomes.

The company has been expanding aggressively globally, especially as the global healthcare sector rebounds and adapts to post-pandemic rhythms. Its latest quarterly earnings report showed a 16% year-over-year (YoY) increase in its robotic surgery system global usage and a 14% rise in new system installations. With an 11% increase in sales and net income rising to $545 million from $355 million, Intuitive Surgical solidifies its standing as a top MedTech stock for long-term investment.

This year, Intuitive Surgical is poised to introduce a next-generation da Vinci platform, as CEO Gary Guthart announced. The new model will boast “10,000 times the processing power” of current models, significantly enhancing data analysis, sensing technology and digital and analytical capabilities.

Value Stocks to Buy: Titan Machinery (TITN)

Small-cap agriculture and construction equipment value stocks like Titan Machinery (NASDAQ:TITN) might not enjoy the same level of recognition as larger counterparts, such as Deere & Co (NYSE:DE), but its robust fundamentals speak volumes. Titan Machinery recently released its fourth quarter and year-end reports, surpassing expectations with a 25% annual sales increase and nearly a 10% rise in yearly earnings despite rising supply chain and fuel costs.

Yet, no matter these strong fundamentals, Titan Machinery appears significantly undervalued, trading at just 0.19x sales, 4.6x earnings and 0.80x book value. That undervaluation seems particularly stark given the company’s 79% income growth over three years. With a conservative outlook for 2025, projecting single-digit gains across its segments and a slight dip in year-end earnings, surpassing these modest forecasts could lead to a surge in Titan’s stock value. At current prices, this small-cap value stock is an easy buy.

Iridium Communications (IRDM)

Growth stock investor Cathie Wood includes Iridium Communications (NASDAQ:IRDM) in several funds, but that doesn’t detract from its underlying value stock status. Despite a 50% drop over the past year, this decline offers an ideal buying opportunity for those interested in adding this small-cap value stock to their portfolios.

The stock’s recent downturn stemmed primarily from Iridium’s November 2023 decision to terminate its joint venture with Qualcomm (NASDAQ:QCOM). The original plan was to leverage Qualcomm’s expertise in cell-centric semiconductors to develop chips enabling standard cell phones to connect to Iridium’s low-earth orbit satellite array. However, ending this partnership appeared to sideline Iridium in the fast-evolving space-based telecom market.

Nevertheless, Iridium is intensifying its efforts to meld its satellite constellations with consumer smartphones. The strategic shift could enhance the stock’s value, establishing Iridium as a more prominent player in the specialized telecom industry. Rather than adapting cell phones to match their satellite capabilities, Iridium is modifying its satellite protocols to accommodate existing devices. That strategy should expand Iridium’s total addressable market, paving the way for further growth for this space-focused value stock.

Value Stocks to Buy: SharkNinja (SN)

SharkNinja (NYSE:SN), a diverse appliance manufacturer across multiple consumer segments, including ice cream makers and vacuums, is a unique consumer discretionary value play despite going overlooked by most investors. Since its market debut during the difficult summer of last year, SharkNinja’s stock outperformed most, climbing 130% post-listing in under a year, even outstripping the S&P 500’s end-of-year bull run.

The company’s appeal lies not just in its short-term market resilience but also in its robust operational fundamentals, which promise substantial growth. The company has maintained a in sales since 2008, with no slowdown anticipated soon.

Investors eyeing SharkNinja should consider buying in before its May 9th earnings report. Following subdued annual guidance after the fourth-quarter report, which projected fairly flat sales for the early part of 2024, even a slight revenue increase could propel the stock upward.

Garrett Motion (GTX)

Garrett Motion (NASDAQ:GTX) is a dual-pronged value stock, trading at low multiples — just 8x forward earnings and 0.5x sales — and operating as an overlooked player in the increasingly unloved green tech and sustainable driving sectors. This industrial manufacturer produces various automotive parts that enhance emission reduction and support zero-emission technology, including alternative fuel engines and turbochargers for gasoline and diesel vehicles.

While pure-EV companies face challenges due to dwindling consumer interest, as demonstrated by the surge in hybrid and gasoline vehicle sales compared to electric counterparts, Garrett Motion offers a viable alternative for investors keen on sustainability but realistic about the slow pace of global EV adoption.

The recent dip in Garrett Motion’s stock followed a lackluster earnings report that noted a 6% quarterly sales drop. However, annual sales remained stable, and the company’s margins and free cash flow stayed robust. This value stock suffers from a market fixation on flashy growth opportunities. But, as economic dynamics shift away from mega-caps currently dominating market trends, small-cap value stocks like Garrett Motion will begin gaining traction.

Value Stocks to Buy: Sirius XM (SIRI)

Of course, using Warren Buffett’s value stocks as inspiration doesn’t mean you can’t dip into the same well. A Warren Buffett endorsement remains a strong signal for those scouting for dependable value stocks, and recently, he has been actively buying Sirius XM (NASDAQ:SIRI). Despite a general trend of selling rather than buying at Berkshire Hathaway, Sirius XM remains an exception.

Buffett values Sirius XM for potential corporate restructuring and as a robust value investment. Trading at low multiples, Sirius XM boasts steady, reliable sales. The company has consistently maintained EBITDA margins of around 30% for the last four years and has generated over $1 billion in free cash flow during this period. Additionally, Sirius XM offers an attractive 3.46% dividend yield with a 33% payout ratio, showcasing efficient cash management and supporting reinvestment alongside growth.

With Sirius XM’s price nearing penny stock levels, investors looking for a turnaround have a prime opportunity to build a significant position at a low cost.

Lithium Americas (LAAC)

One of Buffett’s least favorite value stock prospects is anything dealing in commodities. But Lithium Americas (NYSE:LAAC) is an easy exception to the rule, considering its current valuation and market potential. That’s despite the recently sluggish lithium market. The demand for lithium, driven primarily by advances in battery technology and shifts towards renewable energy, is projected to surge more than 30% annually through 2030. Over the past year, though, Lithium Americas encountered slow demand and a massive oversupply, which depressed spot prices. But demand is accelerating, and analysts are now predicting an undersupply that could elevate spot prices, benefiting Lithium Americas.

Adding to this optimistic outlook, Argentina’s new president, Javier Milei, has been a bullish influence on the region’s lithium mining prospects, aiming to reduce operational barriers. His discussions with Elon Musk underscore lithium’s pivotal role in electric vehicle production, further encouraging regional investors.

With the stock trading below its book value and at a lower price-to-forward earnings ratio than in recent years, Lithium Americas is positioned as an attractive commodity-centric value stock, ready to capitalize on the anticipated market adjustments and economic developments.

On the date of publication, Jeremy Flint held no positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Jeremy Flint, an MBA graduate and skilled finance writer, excels in content strategy for wealth managers and investment funds. Passionate about simplifying complex market concepts, he focuses on fixed-income investing, alternative investments, economic analysis, and the oil, gas, and utilities sectors. Jeremy’s work can also be found at www.jeremyflint.work.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post 7 Timeless Value Stocks to Build Wealth Like Warren Buffett appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

We now have the the rise of powerful rivals in the large language model (LLM) scene. Some of the most capable LLMs are backed by massive technology sector heavyweights. Anthropic AI and its Claude model have been a hot place in which companies want to invest.

And though retail investors can’t bet on the firm through public markets yet, the firms that have taken a stake are worth a look. This is especially true if they decide to embed some Claude AI features into their applications, similar to what Microsoft (NASDAQ:MSFT) has done with ChatGPT.

Now that Microsoft has such a big stake in OpenAI, all eyes are on the next best invention within the private markets. For now, it seems to be Anthropic, a relatively small AI firm behind Claude that was founded by siblings Dario and Daniela Amodei.

Let’s explore three mega-cap Anthropic investors that are becoming difficult to ignore. They are gearing up to power forward with their AI strategies to meet (and perhaps exceed down the line) that of Microsoft.

Amazon (AMZN)

Recently, Amazon (NASDAQ:AMZN) increased its stake in the company by $2.75 billion back in March 2024, bringing its total stake to $4 billion.

With its robust Bedrock AI service and the recently revealed Amazon Q AI-powered assistant, Amazon stands out as one of the more magnificent AI plays of the Magnificent Seven right now. When it comes to Amazon Web Services (AWS), the company wants to allocate a massive 80% chunk of its Global Summit event to be all about generative AI. Amazon isn’t simply content with catching up on AI. It wants to pull full steam ahead.

However, at 52.1x trailing price-to-earnings, AMZN stock will not come cheap, as it plans to invest heavily in the future of AI.

Salesforce (CRM)

Salesforce (NYSE:CRM) has a relatively small stake in Anthropic through its Generative AI fund. At this juncture, it’s the amount of the stake is unclear. However, the fact that it’s an early investor is notable.

The stake represents a portion of the $500 million being set aside for investment in “responsible generative AI” companies. Other holdings within the AI fund include Canada’s Cohere and Hearth.AI. Indeed, it’s a fund full of disruptive potential.

Apart from the fund, which I think Salesforce should increase the budget for (again), Salesforce has also been organically innovating on AI. With AI Copilot for Sales, Einstein Copilot, and Slack AI, Salesforce is a serious frontrunner.

After pulling back around 14% from its recent high, investors may be able to snag CRM stock at a discount relative to its growth.

Alphabet (GOOG, GOOGL)

Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) is another established mega-cap tech titan that’s hopped aboard the Anthropic AI bandwagon. Reportedly, the firm has a $2.55 billion stake in the Claude-owner after its latest $2 billion investment. Indeed, Google seems to be clashing with Amazon for a larger piece of the red-hot private AI innovator.

Like Amazon, Alphabet has its own AI innovations and language models. With Gemini, Google already has one of the more popular models. As it integrates it with its suite of applications, chances are that Gemini could be the AI model to beat.

Therefore, Google’s Anthropic bet seems to be a smart way to grab a bigger slice of the LLM market. Indeed, Gemini and Claude are rivals that can both excel as the AI boom heats up. Also, if Gemini falls flat and Claude thrives, Google’s Claude bet can act as a hedge. Either way, Alphabet stock looks way too cheap, given its impressive one-two combo.

On the date of publication, Joey Frenette held shares of Alphabet (Class C), Amazon, Microsoft, and Salesforce. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Joey Frenette is a seasoned investment writer specializing in technology and consumer stocks. Contributing to the Motley Fool Canada, TipRanks, and Barchart, Joey excels in spotting mispriced stocks with long-term growth potential in a fast-paced market.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post 3 AI Titans Betting Big on Anthropic’s Claude appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

In addition, the recent approval of a spot Bitcoin ETF by the SEC shows that the institutional money is ready to play the crypto space. We can expect to see more developments this year which will further increase the legitimacy of crypto as a viable digital asset class, which is especially important after the FTX scandal.

Under these circumstances, Bitcoin becomes a no-brainer asset to hold for profiting from the halving event. However, we will profile two altcoins, which will benefit indirectly from the halving. The first one, much like Bitcoin, can get a boost if a much-needed regulatory nod is given. The final pick capitalizes on rapid transaction speeds, aligning with evolving market demands.

Bitcoin (BTC-USD)

The biggest beneficiaries of the fourth Bitcoin halving are Bitcoin investors, making BTC one of the top cryptos to buy despite gaining 120% in a year. Halving events increase Bitcoin value by slowing new Bitcoin creation, historically leading to a bull run in the price of BTC and, by extension, the broader crypto space.

Apart from the halving, the other factor helping increase Bitcoin’s momentum is mainstream adoption, such as the SEC approving spot bitcoin exchange-traded funds in January. Such developments give BTC an unprecedented level of legitimacy.

The momentum is showing no signs of stopping. For instance, more and more pension funds are considering Bitcoin as an investment.

What’s more, the BOB (Build on Bitcoin) project successfully started its mainnet for Bitcoin DeFi, locking up more than $300 million in value.

Finally, major analysts remain bullish on Bitcoin, thanks to the halving event and reduced regulatory uncertainty. Standard Chartered projects Bitcoin will probably surpass $100,000 thanks to institutional adoption and demand for the cryptocurrency. Matrixport is even more bullish because of historical trends surrounding the halving and is projecting $125,000 by the end of 2024. Blockware Solutions is the most bullish, predicting Bitcoin could reach $400,000 after the halving event.

Ethereum (ETH-USD)

For the first time in almost two years, Ethereum‘s (ETH-USD) price recently went over $3,000. This rise is mostly due to people waiting for the approval of an Ethereum exchange-traded fund (ETF), which could bring in a lot more investors and make the market more liquid.

Franklin Templeton (NYSE:BEN), VanEck (NASDAQ:DAPP), and BlackRock (NYSE:BLK) have submitted their paperwork to the SEC for respective spot Ethereum ETFs. The deadline for application decisions is May 23.

After successfully launching a spot Bitcoin ETF earlier this year, BlackRock is optimistic that the Ethereum ETF will get the go-ahead. Ethereum staking was also included in Fidelity’s application. Thanks to the BlackRock application, investors and market observers believe the matter is of when, not if when it comes to the Ethereum ETF.

Shifting gears, the Dencun upgrade is helping Ethereum grow by leveraging cheaper Layer 2 transactions, data blobs, and Proto-Danksharding. The latest upgrade is part of the development plan for ETH, the next part of which is the Prague-Electra, or Pectra, update.

Two potential enhancements as a result of the upgrade are the EVM Object Format (EOF) and the ability for transaction records to terminate; specifics are being worked out. The upgrade is scheduled to be released in two parts, with separate features for the processing layer (Prague) and decision layer (Electra) of the Ethereum blockchain.

Solana (SOL-USD)

By gaining 582% in one year, Solana (SOL-USD) has made a big return from around $13 to trade for over $154. In January, the total value locked (TVL) on its DeFi ecosystem was only $210 million. By March, it had grown to over $4 billion.

The recent news that Ellipsis Labs raised $20 million to build the Phoenix decentralized market on the Solana network builds on the narrative that it’s the go-to platform for developers thanks to its speed of 2,700 transactions per second and fee per transaction of $0.00025, it’s one of the best cryptos to buy.

Solana is also quickly expanding its network by working with big companies and projects to connect them. Google Cloud has added Solana to its Web3 infrastructure to offer node-hosting services, making it easier for users to run the network and providing more options.

Meanwhile, Audius, a decentralized music streaming platform, lender Marginfi, staking optimization-focused Marinade Finance, and liquidity layer and lending protocol Kamino are all working on Solana to improve their services.

Thanks to its link to Chainlink (LINK-USD), Solana can also use real-time data from decentralized oracles.

These developments and relationships are essential to Solana’s growth, helping it go past XRP (XRP-USD) to become the fifth-largest cryptocurrency, making it one of the top cryptos to buy after the fourth halving.

On the date of publication, Faizan Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Faizan Farooque is a contributing author for Ïã¸ÛÁùºÏ²ÊÐþ»ú.com and numerous other financial sites. Faizan has several years of experience in analyzing the stock market and was a former data journalist at S&P Global Market Intelligence. His passion is to help the average investor make more informed decisions regarding their portfolio.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post 3 Cryptos to Buy Now That the April Bitcoin Halving Is Over appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

• Hallador Energy reported earnings per share of -5 cents. This was above the analyst estimate for EPS of -18 cents.
• The company reported revenue of $109.67 million.
• This was 10.40% worse than the analyst estimate for revenue of $122.40 million.

Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post HNRG Stock Earnings: Hallador Energy Beats EPS, Misses Revenue for Q1 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

• Kosmos Energy reported earnings per share of 21 cents. This was above the analyst estimate for EPS of 14 cents.
• The company reported revenue of $419.14 million.
• This was 0.97% better than the analyst estimate for revenue of $415.10 million.

Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post KOS Stock Earnings: Kosmos Energy Beats EPS, Beats Revenue for Q1 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

• AudioCodes reported earnings per share of 17 cents. This was below the analyst estimate for EPS of 23 cents.
• The company reported revenue of $60.08 million.
• This was 3.80% worse than the analyst estimate for revenue of $62.45 million.

Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post AUDC Stock Earnings: AudioCodes Misses EPS, Misses Revenue for Q1 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

• BP reported earnings per share of 97 cents. This was below the analyst estimate for EPS of $1.00.
• The company reported revenue of $48.88 billion.
• This was 11.86% worse than the analyst estimate for revenue of $55.46 billion.

Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings is a project that leverages data from TradeSmith to automate coverage of quarterly earnings reports. Ïã¸ÛÁùºÏ²ÊÐþ»ú Earnings distills key takeaways including earnings per share and revenue, as well as how a company stacks up to analyst estimates. These articles are published without human intervention, allowing us to inform our readers of the latest figures as quickly as possible. To report any concerns or inaccuracies, please contact us at editor@investorplace.com.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post BP Stock Earnings: BP Misses EPS, Misses Revenue for Q1 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Since last May, shares in the Japan-based global automaker have rallied by nearly 72%. These gains have handily beat those of other top-performing automotive stocks, like General Motors (NYSE:GM) and Stellantis (NYSE:STLA).

More strikingly, while TM is up by high double digits over the past year, during this same time frame shares in Tesla (NASDAQ:TSLA) are up by just 12.8%, and that’s only after TSLA’s latest supercharged rally that sparked a beginning of a rebound for the headwind-ladened EV maker.

Yet while you may regret not grabbing some Toyota shares twelve months ago, it’s not too late. Even after this big run-up, shares remain a strong opportunity.

A Closer Look at Toyota Motor Stock

Make no mistake. It’s not hope and hype that have driven TM stock’s outsized price performance. Nor has it been because of the market overreacting to what can be only moderately positive operating performance.

Rather, the convincing performance of Toyota Motor stock is a reasonable response to stellar fiscal results. For instance, for the nine months ending Dec. 31, 2023, Toyota (in Japanese yen terms) reported a 23.9% jump in sales, as well as earnings growth of over 102%.

Yes, a weakening yen has played a role in this. However, even when accounting for a declining yen, in dollar terms this still represents a fantastic level of growth for the automobile manufacturer.

A larger reason Toyota has performed so well has to do with the resurging popularity of gas-electric and plug-in hybrid vehicles relative to battery electric vehicles.

While initially seen as a risky move, this has instead proven to be a shrewd move for Toyota. It’s been a key factor in its strong growth in recent quarters, and this growth has not slowed down. As the New York Times reported in March, Toyota’s hybrid sales were up 83% during January and February.

Still on a Smooth Path to Higher Prices

Investors have not gone overboard reacting to Toyota’s recent growth. Still, one can counter that growth may be on the verge of slowing down.

After all, forecasts call for earnings growth not only to slow down, but for the bottom to decline from $22.68 to $22.18 per share during the fiscal year ending March 31, 2025.

Not only that, Toyota continues to be cautious in its planned EV production ramp-up. However, much suggests that these forecasts are conservative, and concerns about Toyota’s slow EV rollout are overblown.

As my Ïã¸ÛÁùºÏ²ÊÐþ»ú colleague Josh Enomoto recently argued, the popularity of hybrids among mileage and climate-conscious car buyers is likely to continue.

This strong hybrid sales growth could help prevent Toyota from experiencing the same sort of slump that competing automakers are experiencing. The key issues that have negatively affected EV demand, like low vehicle range and affordability, are still far away from being resolved.

This points to Toyota’s cautious approach being a wise move rather than one that will prove shortsighted down the road. Still reasonably-priced at around 10.3 times forward earnings, further growth could keep Toyota Motor stock on a smooth path to higher prices.

The Verdict: Come Along for the Ride

While I’m bullish on TM, it’s not as if I assume that another more than 75% move higher is in the cards for the automaker’s shares.

However, a moderate boost to earnings this fiscal year could produce stellar returns for this stock relative to the broad market. Besides the possibility of further gains on the table, TM’s semiannual dividend could also provide a boost for total returns.

Last year Toyota paid out dividends totaling around $4.50 per share. This represents about a 1.91% yield. While Toyota’s dividend is variable, another strong year could produce similarly-sized payouts.

Later this week, Toyota will release its full year fiscal 2023 results. You may want to wait until then to gather additional details on the company and its future prospects. That said, if earnings and updates prove promising, and the stock remains at reasonable prices, consider Toyota Motor stock still worth buying.

On the date of publication, Thomas Niel did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Thomas Niel, contributor for Ïã¸ÛÁùºÏ²ÊÐþ»ú.com, has been writing single-stock analysis for web-based publications since 2016.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Buckle Up for Toyota Stock’s Next Leg Up: Why TM Shows No Signs of Slowing appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

While the continued spending on everything from clothing and groceries to new vehicles and travel is good news for the economy, the data is starting to show some behavioral changes among people. Businesses report that consumers are seeking out cheaper generic alternatives to their name brand products, and the latest Bank of America (NYSE:BAC) credit card data shows that lower-income spending is outpacing spending by more affluent Americans as the wealthy tighten their purse strings.

Should consumer spending falter in coming months, it would be bad news for the economy and could roil the stock market. Here are three consumer staples stocks to sell in May before they crash and burn.

Consumer Staples Stocks to Sell: Unilever (UL)

British consumer goods company Unilever (NYSE:UL) is the company behind consumer products ranging from Dove soap and Axe body spray to Degree deodorant and Vaseline. The company also makes some limited food items such as Hellman’s mayonnaise and Knorr bullion cubes. Unilever and its stock have struggled mightily for many years now with the share price down 14% over the last five years. This has led to the decision to spin-off Unilever’s ice cream unit that includes brands such as Ben & Jerry’s and Magnum.

The company said that the separation of its ice cream division, arguably its most popular business unit, is part of a broad restructuring that will see the company cut 7,500 jobs and achieve cost savings of more than $850 million. Going forward, Unilever will be restructured into four business units: beauty and wellbeing, personal care, home care, and nutrition. Management says that its ice cream unit, which generated $8.57 billion in revenue in 2023, will perform better as a standalone business. Analysts seem skeptical.

Walgreens Boots Alliance (WBA)

Retail pharmacy chain Walgreens Boots Alliance’s (NASDAQ:WBA) latest earnings report contained some encouraging signs. But the company is by no means out of the woods. This is, after all, a company that was kicked out of the Dow Jones Industrial Average for the subpar performance of its stock. Year-to-date, WBA stock is down 33%. The company’s share price today is 66% lower than five years ago. Walgreens most recently lowered its profit outlook for the year as it grapples with a “challenging economy.”

Walgreens has struggled with slumping demand for Covid-19 medications, low pharmacy reimbursement rates, and a failed push into healthcare services. New CEO Tim Wentworth has undertaken an aggressive cost reduction program, announcing in January that he was cutting the dividend payment by nearly 50%.The question is: will it be enough to turn Walgreens around. WBA stock was removed from the Dow Jones Industrial Average earlier this year and replaced by e-commerce giant Amazon (NASDAQ:AMZN).

Procter & Gamble (PG)

Procter & Gamble (NYSE:PG) continues to struggle as consumers switch to lower priced generic versions of its products, a move being taken in response to the company raising prices. PG stock recently fell after the company behind Tide laundry detergent and Gillette razor blades reported mixed first-quarter financial results that showed its sales missed Wall Street’s target. Management has said repeatedly that price increases prompted by inflation are pushing consumers to cheaper generic products.

In its Q1 print, Procter & Gamble announced EPS of $1.52 versus analysts forecasts of $1.41. Revenue totaled $20.2 billion, which was below forecasts of $20.41 billion. Sales were up a slight 1% from a year earlier. The company reported overall flat sales volumes for Q1, while the average prices across its product categories rose 3%. Company executives warn that challenges may persist if inflation remains sticky, requiring continued price hikes.

PG stock is up 5% over the last 12 months, missing out on most of the bull market.

On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Joel Baglole has been a business journalist for 20 years. He spent five years as a staff reporter at The Wall Street Journal, and has also written for The Washington Post and Toronto Star newspapers, as well as financial websites such as The Motley Fool and Investopedia.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post 3 Consumer Staples Stocks to Sell in May Before They Crash & Burn appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

I have focused on precious metals, commodities and the energy sector to identify undervalued blue-chip ideas. The reason is impending rate cuts in the next few quarters. In general, expansionary policies translate into the flow of funds into risky asset classes. Commodities and energy prices tend to trend higher. At the same time, the gold trend has been bullish, and potential rate cuts would imply a further upside.

I have discussed quality undervalued blue-chip stocks trading at a valuation gap with this policy view. These ideas’ total returns will likely be robust in the next 12 to 18 months.

Newmont Corporation (NEM)

For year-to-date, gold has trended higher by almost 12%. Newmont (NYSE:NEM) stock has remained sideways for the same period. This is a good opportunity to accumulate the gold miner with a bullish outlook for the precious metal.

For the first quarter of 2024, GDP growth in the United States weakened to 1.6%. Even with relatively stubborn inflation, it’s likely that the first-rate cut is coming before the end of 2024. This positions gold for further upside.

Specific to Newmont, the first positive is an investment grade balance sheet. The company ended Q1 2024 with a cash buffer of $2.7 billion. Further, operating cash flow for the quarter was $776 million. With gold trending higher, OCF will likely swell, and Newmont will be positioned to increase dividends.

From a long-term perspective, Newmont ended 2023 with 136 million ounces of gold. This provides clear production and cash flow visibility for the coming years. NEM stock, therefore, looks attractive at a forward price-earnings ratio of 17.4.

Occidental Petroleum (OXY)

Occidental Petroleum (NYSE:OXY) stock was red-hot when Warren Buffett was mopping up the company’s shares. However, with macroeconomic headwinds and weakness in oil, OXY stock has remained subdued. This is a good buying opportunity, with the blue-chip stock looking undervalued.

An important point is that expansionary monetary policies are coming relatively soon. It’s likely to have a positive impact on energy prices. This is a key catalyst for OXY stock to trend higher in the next few quarters.

The first point that’s worth highlighting is the cash flow potential. For 2023, Occidental reported operating cash flow of $5.5 billion. With robust cash flows and an investment-grade balance sheet, Occidental has high flexibility for dividends, share repurchases, and aggressive capital investments.

The second positive is that Occidental ended 2023 with reserves of four billion barrels of oil equivalent. Last year, the company reported a robust reserves replacement ratio of 137%. The asset base provides steady production growth visibility. OXY stock is likely to go ballistic if this is coupled with higher oil trends.

Vale (VALE)

In general, the cyclical nature of business makes investors avoid industrial commodities. However, if the timing is right, commodity stocks can quickly deliver multibagger returns. Vale (NYSE:VALE) is among the most undervalued industrial commodity stocks to buy for healthy returns.

To put things into perspective, VALE stock trades at a forward price-earnings ratio of 7. Further, the stock offers a dividend yield of 8.7%. It’s worth noting that iron ore has been trending higher in the recent past. Further, the potential expansionary policies will likely support the upside in commodities. I am, therefore, bullish on a big rally for VALE from oversold levels.

It’s worth noting that for Q1 2024, Vale reported the highest iron ore production since 2019. At the same time, copper and nickel production increased on a year-on-year basis. Further, Vale reported EBITDA and free cash flow of $3.5 billion and $2 billion for the quarter.

With an annual FCF potential of $8 billion, Vale is positioned to sustain dividends. Additionally, a strong balance sheet and healthy cash buffer provide flexibility to invest in boosting the production of energy transition metals like copper and nickel.

On the date of publication, Faisal Humayun did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Faisal Humayun is a senior research analyst with 12 years of industry experience in the field of credit research, equity research and financial modeling. Faisal has authored over 1,500 stock specific articles with focus on the technology, energy and commodities sector.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post 3 Ignored Blue-Chip Stocks to Buy Before They Turn Red-Hot appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

As Barron’s reported on May 3, Gelsinger last week bought up $250,000 worth of INTC stock in the open market. Yet while it’s always a good thing when a CEO increases their personal economic exposure to the company they run, I wouldn’t view this headwind as a reason to go bullish.

Although INTC has declined in recent weeks, there’s still little to suggest that going contrarian today could prove to be a profitable move. As I’ll explain below, it’s going to take time for this or any “buy the dip” purchase to pay off. Meanwhile, before a comeback happens, shares could first sink down to even lower price levels.

Intel Stock: Pulling Back for Two Good Reasons

After zooming higher during the fall and winter, peaking at a 52-week high of $51.28, INTC has since tumbled by nearly 40%. The reasons for this sharp drop in price are twofold. First, Intel’s big bet on becoming a major chip foundry has become a far less certain catalyst for a companywide turnaround.

During 2023, the foundry unit produced operating losses totaling $7 billion. Not only that, the unit may be several years away from hitting break-even levels of profitability. It may not be until the start of the next decade that Intel’s foundry becomes a significant profit center for the overall company.

Second, excitement about Intel’s potential to capitalize on the AI chip trend has cooled down as well. Intel may have beat forecasts in its latest quarterly earnings release, but guidance for the coming quarters was lackluster.

Walking back AI-related growth expectations, analysts at both B of A and Goldman Sachs have lowered their respective price targets for Intel stock.

Gelsinger’s recent insider buy may suggest that these issues are now priced-in, yet it may be too early to declare that the dust is actually settling. Additional material downside may still lie ahead.

How Low Could INTC Go?

As Ïã¸ÛÁùºÏ²ÊÐþ»ú’s Thomas Niel has pointed out, the issue with Intel stock is not only that the company’s turnaround is clearly taking longer than previously anticipated. The issue is that, despite these questionable and uncertain turnaround chances, INTC trades at a high valuation, in anticipation of this turnaround.

At current prices, this stock’s forward price-to-earnings ratio comes in at nearly 28. Yes, this represents a discount to the valuation of Intel’s key peers. Sell side consensus still calls for earnings to rise by nearly 75% next year.

However, these forecasts range widely. Furthermore, following the aforementioned weak guidance, other analysts may follow Goldman and B of A’s lead, and walk back their expectations as well.

In short, any way you slice it, Intel should not be pricing in a comeback as if it’s happening tomorrow. Over the next few months, there’s a strong likelihood that the market will come to this conclusion.

At the very least, this may be sufficient to push Intel shares back down to the stock’s 52-week low of $26.86 per share. Perhaps, to even lower prices, like the low-$20s per share. It all depends on what subsequent results and updates to guidance reveal.

Bottom Line: Stick With the Proven AI Chip Winners

Investors that are bullish on the impact of the generative artificial intelligence growth trend on chip demand have many stronger options out there to buy for exposure to this trend.

These better buys are proven winners, while Intel remains largely a “work in progress” in terms of where it stands as an AI contender. Add in the uncertainty surrounding its risky foundry wager, and there’s still too much at play that could drive a retesting of lows (or worse) rather than a rapid move back to price levels hit earlier this year.

Don’t get me wrong. At some point, Intel stock could again become cheap enough where the risks are outweighed by the possible rewards. However, until this happens, sticking with the proven AI chip winners is the better move.

Intel stock earns a D rating in Portfolio Grader.

On the date of publication, neither Louis Navellier nor the Ïã¸ÛÁùºÏ²ÊÐþ»ú Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Insider Buying Isn’t Enough: Why Intel Stock’s Comeback Remains Uncertain appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Besides, an expert on Wall Street recognizes the opportunity as short-term stock traders worry excessively about SoFi Technologies. It’s a gift from the market when a solid business SoFi Technologies is underappreciated, so grab some cheap shares before they’re not cheap anymore.

SoFi Stock Tumbles Despite Earnings Beat

SoFi Technologies disclosed its first-quarter 2024 financial results on April 29. SoFi stock tumbled 10% that day, followed by an additional 3.8% share-price decline the next day.

Yet, SoFi Technologies’s results were actually quite good. The company celebrated its second consecutive quarter of GAAP profitability in Q1 of 2024.

SoFi generated quarterly adjusted net revenue of $580.65 million, easily beating the analysts’ consensus estimate of $555 million.

SoFi Technologies posted earnings of 2 cents per share, while analysts had only expected 1 cent per share. That’s not a bad start to a “transitional year,” wouldn’t you agree?

However, as often happens, investors disregarded SoFi Technologies’ actual results and instead obsessed over the company’s forward guidance. For the current quarter, SoFi expects to generate adjusted net revenue in the range of $555 million to $565 million. The midpoint of that range is $560 million, and Wall Street called for $581 million.

Be Rational When Others Are Fearful

It’s important to observe that not all of SoFi Technologies’ future guidance points are disappointing.

For one thing, SoFi lifted its full-year 2024 adjusted net revenue forecast from $2.365 billion to $2.405 billion previously, to $2.39 billion to $2.43 billion currently. Analysts, meanwhile, predicted $2.376 billion in full-year revenue.

In addition, SoFi Technologies raised its full-year 2024 earnings guidance range from 7 cents to 8 cents previously, to 8 cents to 9 cents currently. This new range looks favorable, considering Wall Street called for 8 cents.

I’m impressed with Mizuho Securities analyst Dan Dolev, who is taking a “longer-term perspective” instead of panicking as SoFi stock sells off. Dolev reiterated Mizuho’s “buy” rating and $12 price target on the stock.

That’s quite optimistic, and I’m only looking for the SoFi share price to reach $10. Yet, I appreciate Dolev’s audacious stance on SoFi Technologies. Mizuho’s recent report on SoFi is appropriately titled “Overrated Fears + Underrated Accomplishments = Buying Opportunity.”

I agree 100% with that title. SoFi Technologies’ accomplishments can be seen in the company’s actual, Street-beating quarterly results. Plus, two consecutive quarters of GAAP profitability is nothing to sneeze at.

SoFi Stock: Aim for $12, but at Least Hit $10

The worry warts panic-sold their SoFi Technologies shares based on the company’s disappointing current-quarter revenue guidance. They totally overlooked SoFi’s solid first-quarter results and fairly optimistic full-year outlook.

Therefore, I concur with Dolev’s assessment. There’s definitely a buying opportunity here, and SoFi stock could eventually hit Dolev’s $12 price target.

I’m not aiming as high, though, but I expect the stock to reach $10 at least. So, feel free to add some SoFi Technologies shares to your portfolio before the market comes to its senses.

On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

David Moadel has provided compelling content – and crossed the occasional line – on behalf of Motley Fool, Crush the Street, Market Realist, TalkMarkets, TipRanks, Benzinga, and (of course) Ïã¸ÛÁùºÏ²ÊÐþ»ú.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post SoFi Stock: How Long Until $10? Not Long! appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

We are currently seeing some unease with the market, though the recent recovery has allowed investors to take a breather and assess the situation. It would be wise to exercise caution, as the tide could turn again. Seasoned Wall Street players know that the market’s mood can shift on a dime.

It’s a good idea to move away some of your gains from red-hot tech stocks into stable dividend picks for now. That’s because a downturn could still happen, and the broader market will likely outperform these software and AI winners during the next re-alignment. Consider adding these recession-proof dividend stocks.

Essential Utilities (WTRG)

Essential Utilities (NYSE:WTRG) provides many states with drinking water and wastewater treatment infrastructure and services. Of course, the first thing you’d notice while glancing over this company’s stock is that it has underperformed quite a big recently. Essential Utilities’ stock has been down around 27% since the start of 2022 due to lagging financials.

Moreover, its recent results have not been so stellar either. The company posted revenues of $612.07 million for the quarter ended March 2024, which was an 18.4% miss. However, it outperformed the EPS front by 27%. The cash flow has remained strong, and I expect the stock to bounce back in the coming months.

Revenue came in lower due to meager natural gas prices. However, this is not a long-term issue, as natural gas prices are unlikely to stay low forever. In my opinion, the recent weakness in the stock looks like a good buying opportunity. But even then, the company has excellent cash flow and has a 3.2% dividend yield, with a 3-year dividend growth rate of 7%. Plus, the stock is very cheap compared to its historical valuations, so it is unlikely to tumble more even if a downturn does happen.

Republic Services (RSG)

Republic Services (NYSE:RSG) is also very recession-proof. It is a waste disposal company and one of the stickiest businesses. Recession or not, people need their waste taken care of, and you can see how stable the company is when you look at its stock chart. This may be a boring business, but the growth and performance aren’t boring.

The stock has delivered 121% gains over the past five years and is up 12.5% year-to-date. Moreover, we will likely see low-double-digit annual EPS growth on average in the coming years, along with mid-single-digit sales growth. Thus, Republic Services will continue delivering capital gains and dividends in the coming years. The dividend yield of 1.13% may not be as juicy, but you are getting a lot of safety and stability here, along with the stock outperforming Waste Management (NYSE:WM) by 26% in the past five years.

Canadian National Railway (CNI)

Canadian National Railway (NYSE:CNI) is pretty similar to Union Pacific (NYSE:UNP), which I think is similar in safety. Still, the Canadian National Railway wins by a hair here since it has less competition. The stock has been very stable and consistent over the years, and we are also looking at mid-single-digit top-line growth in the years ahead, along with low-double-digit EPS growth.

The company faced challenges in the first quarter, including weak demand in certain sectors and margin pressures from inflation. However, there are no long-term issues here to worry about. Its net margin of nearly 33% beats 93% of peers in the transportation industry. Plus, the dividend yield of 2%, along with a CAD 4 billion buyback plan, makes it worthwhile to hold it through the storm.

On the date of publication, Omor Ibne Ehsan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Omor Ibne Ehsan is a writer at Ïã¸ÛÁùºÏ²ÊÐþ»ú. He is a self-taught investor with a focus on growth and cyclical stocks that have strong fundamentals, value, and long-term potential. He also has an interest in high-risk, high-reward investments such as cryptocurrencies and penny stocks. You can follow him on LinkedIn.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post 3 Unstoppable Dividend Stocks Built to Withstand a Recession appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Short Seller Report: SOUN’s AI product is not unique

Once generative AI came to the mainstream in 2023, the company launched SoundHound Chat AI, which integrates with knowledge domains. It pulls real-time data like weather, sports, stocks, flight status and restaurants create an AI-powered voice assistant experience. Moreover, when Nvidia (NASDAQ:NVDA) revealed it had a stake in the company, AI investors quickly added SOUN shares to their portfolio.

However, a pretty damning report from short seller Capybara Research has underscored why they may have made a mistake. Like all short seller reports, not every single allegation is necessarily 100% true, but many are grounded in thorough research and should be taken seriously. Capybara Research claimed “The Houndify product uses commodity speech recognition to search a manually programmed knowledge graph.” This basically means the algorithms undergirding the Houndify platform are nothing special and could easily be replicated by other companies.

Moreover, the report says SoundHound’s product is not fundamentally different from speech-recognition products already rolled out by tech giants including Amazon (NASDAQ:AMZN), Apple (NASDAQ:AAPL) and Google.

No real pathway to profitability

SoundHound’s year-over-year revenue growth has already started to stall since the macroeconomic environment became pretty unstable. According to Koyfin, SoundHound delivered solid double-digit revenue growth in 2023 but this was below that of prior years.

As the short seller report highlighted, SoundHound has lost some major customers that the company admitted were crucial to the business. These customers include Mercedes-Benz (OTCMKTS:MBGYY), Netflix (NASDAQ:NFLX) and Deutsche Telekom (OTCMKTS:DTEGY). The loss of top customers coupled with the company’s product not being so unique, could make profitability difficult for SoundHound.

Valuation has become pretty rich

The rally that catapulted U.S. equities to frothier valuations in first quarter ended abruptly in the second quarter. The Nasdaq and S&P 500 posted their worst losses at the end of April with the former falling 2.4% while the latter fell 2.6%. Still, U.S.-listed stocks overall remain expensive and at risk of more volatility as a result.

This gets us to a stock like SoundHound AI. The company has seen its share price more than double since the start of the year. The company is trading at 23x forward sales, which is quite high for a sales multiple. Of course, because the company is not yet profitable, so the EBITDA and price-to-earnings multiples are out of whack already.

Fears of higher for longer interest rates will continue playing a major role in market volatility. That potentially jeopardizes current SOUN shareholders.

On the date of publication, Tyrik Torres did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Tyrik Torres has been studying and participating in financial markets since he was in college, and he has particular passion for helping people understand complex systems. His areas of expertise are semiconductor and enterprise software equities. He has work experience in both investing (public and private markets) and investment banking.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Caution! Why SoundHound AI Stock May Be All Bark and No Bite. appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

It’s not that the underlying enterprise is irrelevant. From a marketing standpoint, Rivian EVs may be some of the most gorgeous vehicles out there. Further, management is busy wheeling and dealing, attempting to please both consumers and shareholders. Unfortunately, the headwinds associated with the space may be too much for Rivian stock.

Yes, the ongoing price war presents a major dilemma, not just for RIVN but for the entire pure-play EV industry. However, what should really concern prospective investors is the rise of the hybrid vehicle. Combining battery and combustion-based propulsion, hybrids offer much of the efficiency of plug-in EVs with the infrastructural compatibility of traditional hydrocarbon-powered vehicles.

Looking at the available data, hybrids are what the consumer wants right now. With that being the case, I’m not optimistic about Rivian stock.

Good News May Not be Good Enough for Rivian Stock

No investment is perfectly good or bad and the same applies to Rivian stock. While I’m not enthused about its prospects, it has more to do with the harsh realities of the EV environment. Certainly, I can respect the efforts that management has forwarded.

Most recently, the EV manufacturer disclosed last week it received $827 million in an incentive package from the Illinois government to expand operations at its Normal facility. This is the same plant that manufactures electric-powered delivery vans for Amazon (NASDAQ:AMZN), which is Rivian’s largest investor.

Further, Rivian will also be producing a more modestly priced SUV called the R2. This was unveiled in March and takes aim at Tesla (NASDAQ:TSLA), specifically its Model Y. On the surface, these and other developments appear incredibly lucrative for Rivian stock.

However, news items such as the R2, which is projected for release in 2026 with a starting price of $45,000, represent previously digested information. The issue is that Rivian stock suffered a loss of more than 52% since the beginning of the year. If the market doesn’t believe in the underlying positive implications, it’s tough to wager on RIVN.

To be sure, the Amazon relationship is a huge one. Nevertheless, shareholders may need to wait for a while before Rivian is consistently profitable. That’s likely not what investors want to hear in the current economic environment.

Hybrids Impose a Longstanding Headwind

One risk factor in being directly bearish on Rivian stock is that the company will release its first-quarter earnings report on May 7. Given that other EV companies have released surprisingly robust delivery figures, anything can happen. To add to the narrative, RIVN could be the target of a short squeeze.

As the kids like to say, you don’t want to fool around because you’ll find out. Nevertheless, I think it’s fair to question the longer-term viability of Rivian stock. In particular, the EV maker may suffer longstanding competition from hybrids.

As CNN pointed out, Toyota (NYSE:TM) has been crushing its rivals, including EV giant Tesla, with its hybrids. Last year, the company sold 11.2 million vehicles. That was more than any other automaker. Not only that, a third of the tally were hybrids. With fewer than 1% of Toyota sales being allocated to plug-in EVs, the message is clear: consumers want hybrids.

It’s not a surprising development since about two-thirds of U.S. housing units have a garage or carport. That leaves quite a few folks who require public charging infrastructure if they make the switch to “pure” EVs. Hybrids don’t require that commitment.

Moreover, the batteries that go into hybrids after the 2015 model year have proven resilient and reliable. So, once drivers acquire such hybrids, they’re less likely to switch platforms because of reliability issues. As well, the current economic situation means that hybrid drivers will likely hold onto their vehicles for as long as possible.

RIVN May Be Too Niche of an Investment

In fairness to Rivian stock, the underlying directive to compete with the Tesla Model Y is noteworthy. The problem, though, is that Tesla commands enormous social cachet. People readily know who the CEO of Tesla is. I’d bet not too many folks can name Rivian’s head executive.

In other words, people want to buy Tesla because the company forged a highly desirable brand. For the ultra-rich consumers, they may prefer the premium label offerings of Lucid (NASDAQ:LCID). And for many, many middle-income drivers, they have overwhelmingly opened their wallets for Toyota hybrids.

That leaves Rivian competing for a niche consumer group; basically, drivers who want a Tesla alternative but don’t want to pay Lucid prices and who also haven’t been attracted to the myriad offerings presented by legacy automakers. That’s a tough sell, which is why I’m sitting on the sidelines.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Hybrid Headache: Why Rivian Stock May Sputter Amid This New Headwind appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Even if you don’t own individual shares of these corporations, you probably have exposure to them in a fund. Any fund that tracks the S&P 500 or the Nasdaq 100 will have sizable positions in each Magnificent Seven stock. It’s possible to outperform major indices by picking the best Magnificent Seven stocks. These are three candidates to keep on your radar.

Alphabet (GOOG, GOOGL)

Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) is up by 21% year-to-date and has soared by 184% over the past five years. It started the year strong with 15% year-over-year revenue growth in Q1 2024. Net income jumped to $23.7 billion, up by 57% year-over-year. 

Cost-cutting measures and revenue growth have paid off for the company’s profit margins. Alphabet’s improved finances prompted the corporation to issue its first quarterly dividend of $0.20 per share. Google Cloud continues to outpace advertising growth, representing more than 10% of the company’s total revenue. Alphabet generated $9.57 billion in cloud revenue compared to $80.54 billion in total revenue.

The tech giant has a vast lead in the advertising industry and continues to gain market share in the cloud computing industry. Alphabet’s Other Bets segment also exhibited strong growth. Promising business segments can emerge from Other Bets in the future, adding more diversification to the company’s business model. For now, artificial intelligence is Alphabet’s biggest opportunity for additional growth.

Meta Platforms (META)

After a recent pullback, Meta Platforms (NASDAQ:META) suddenly looks quite attractive. The stock trades at a 22 forward P/E ratio and a 1.07 PEG ratio. The advertising giant beat Alphabet to the punch by announcing a dividend before the end of 2023. However, the corporation delivered solid numbers to kick off 2024.

Q1 2024 revenue was 27% higher than the same period last year. Net income surged by 117% year-over-year to strengthen the company’s profit margins further. Advertising is Meta Platforms’ main area of strength. The company isn’t well diversified yet but invests in artificial intelligence and artificial reality to increase shareholder value. 

These investments can generate losses for multiple years, but Meta Platforms has the financial strength to grow these business segments. The core business — social media platforms — continues to grow. Family daily active users reached 3.24 billion, a 7% year-over-year increase. Meta Platforms achieved these results while trimming its headcount by 10% year-over-year. 

Amazon (AMZN)

Amazon (NASDAQ:AMZN) also had a strong start. Revenue increased by 13% year-over-year in Q1 2024, with a notable 17% year-over-year jump for AWS revenue. Artificial intelligence has reaccelerated AWS’ growth rate and can lead to more gains for patient shareholders. The North American and international segment sales both achieved double-digit growth rates.

The e-commerce giant set another record for speed for Prime customers while lowering its service costs. Advertising was also an area of strength that grew by 24% year-over-year. Amazon has a history of outperforming the market. It’s up 23% year-to-date and has gained 88% over the past five years.

Analysts are feeling bullish about Amazon and believe that the rally can continue. It has a “Strong Buy” rating from 40 analysts and an average price target with a 19% upside. After Amazon’s impressive earnings report, analysts have been rushing to raise their price targets. The highest price target of $245 per share suggests a 32% upside from current levels.

On this date of publication, Marc Guberti held long positions in GOOG and AMZN. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Marc Guberti is a finance freelance writer at Ïã¸ÛÁùºÏ²ÊÐþ»ú.com who hosts the Breakthrough Success Podcast. He has contributed to several publications, including the U.S. News & World Report, Benzinga, and Joy Wallet.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post The 3 Best Magnificent 7 Stocks to Buy in May 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

In other words, long-term BTC HODL-ers don’t need to subscribe to old-fashioned ideas like “Sell in May and go away.” After all, Bitcoin is meant for forward-looking investors, not backward-facing worry warts. So, I invite you to stay in May, before the buying opportunity goes away.

Jobs Report Jump-Starts Bitcoin

BTC definitely needed a jump-start when it sank to $56,713 a few weeks ago. A Bitcoin-price rebound commenced, however, after the U.S. Bureau of Labor Statistics released its jobs report for the month of April.

The U.S. economy added just 175,000 non-farm jobs in April, far below economists’ forecast of 240,000 jobs. The 3.9% unemployment rate for April was higher than economists’ prediction of 3.8%.

Risk assets, including the tech-heavy Nasdaq stock index and Bitcoin, jumped after the release of the April jobs report. That’s because a cooling labor market means that inflation may slow down in the coming months, potentially prompting the Federal Reserve to finally cut interest rates.

All of this makes the idea of “sell in May” seasonality seem irrelevant. There wasn’t an interest-rate cut in the May Federal Reserve meeting, but this doesn’t mean there can’t be rate cuts later this year. BTC is highly sensitive to central-bank policy changes, but that’s not necessarily a bad thing for Bitcoin HODL-ers in 2024.

More Spot BTC ETFs – but Not in America

Earlier this year, the U.S. Securities and Exchange Commission finally approved some spot Bitcoin exchange-traded funds. This was a watershed event for Bitcoin, and for cryptocurrency and the blockchain in general.

Now, the phenomenon is spreading beyond the U.S. Indeed, not long ago, three spot Bitcoin exchange-traded funds launched on Hong Kong’s exchange. The companies providing the ETFs are China AMC, Harvest and Bosera.

Unlike the U.S. debut of spot Bitcoin ETFs, the similar event in Hong Kong might not be front-page news in America. Yet, it’s still an event of significance for the global cryptocurrency market.

Ultimately, it’s a sign that the mainstreaming of BTC is going global. So, keep your eyes peeled for further developments as the world’s regulators and policymakers gradually ease their restrictions on Bitcoin-related assets.

The Smart Money Will HODL in May

Instead of using a bearish “sell in May” strategy, I encourage Bitcoin investors to keep their eyes on the prize. BTC could rally sharply in the second half of 2024 if the Federal Reserve cuts interest rates one or more times.

In addition, spot Bitcoin ETFs are now available in the U.S. and Hong Kong. Clearly, it’s an international phenomenon now, and there’s room for more countries to approve Bitcoin-related assets.

Consequently, HODL-ers around the world should continue to buy and hold Bitcoin in May and throughout the year.

On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

David Moadel has provided compelling content – and crossed the occasional line – on behalf of Motley Fool, Crush the Street, Market Realist, TalkMarkets, TipRanks, Benzinga, and (of course) Ïã¸ÛÁùºÏ²ÊÐþ»ú.com. He also serves as the chief analyst and market researcher for Portfolio Wealth Global and hosts the popular financial YouTube channel Looking at the Markets.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post Should Bitcoin HODL-ers ‘Sell in May and Go Away’? No Way! appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Certainly, some people are only invested in Microsoft because a fund manager told them to do that. Maybe they’re just seeking AI exposure, which is understandable. Microsoft is investing in other areas, including renewables. You probably didn’t expect that, so continue reading to get the complete picture about Microsoft.

Microsoft to Spend Billions on Asia Tech

If you’re not a fan of “pay today for growth tomorrow,” then the following three news items about Microsoft might bother you. As it turns out, Microsoft plans to spend billions of dollars on technology in several Asian regions.

First, Microsoft will invest $2.2 billion during the next four years on cloud-computing and AI infrastructure in Malaysia. Along with that, Microsoft will work with Malaysia’s government to establish a national AI center.

Similarly, Microsoft plans to invest invest $1.7 billion in Indonesia during the next four years. Just like in Malaysia, Microsoft’s objective in Indonesia is to build new cloud and AI infrastructure there.

Microsoft will establish a data center in Thailand. The purpose of this data center will be to address the demand in Thailand for cloud and AI services. This will certainly involve a substantial financial outlay, as Microsoft CEO Satya Nadella stated that the company would commit to training approximately 100,000 people in Thailand in AI.

Microsoft Delves Deeply Into Renewables

There’s a good chance that you didn’t know Microsoft is going on a tech-spending spree in several Asian regions. And now, here’s another thing you probably didn’t know. Interestingly, Microsoft is making a major investment in renewables (i.e., renewable energy sources).

Here’s the lowdown on this surprising story. Reportedly, Microsoft agreed to purchase more than 10.5 gigawatts of renewable-energy projects from Brookfield Asset Management (NYSE:BAM) and its affiliate, Brookfield Renewable.

This is a five-year agreement (2026 to 2030) that reportedly supports over $10 billion worth of future developments in developing renewable energy capacity. The types of energy sources that Microsoft will focus on in this arrangement will include wind power and solar power.

Why would Microsoft agree to potentially spend billions of dollars on this? While Microsoft certainly isn’t a renewable-energy business, as MarketWatch pointed out, the company seeks to have all of its electricity consumption matched by zero carbon energy purchases by 2030.”

Bear in mind, Microsoft is going all in on AI technology, and this will require a great deal of energy use. Thus, Microsoft is willing to invest in renewables as regulators may strongly regulate carbon usage in the coming years.

Microsoft Stock: Know What You’re Buying

We’ve discussed Microsoft’s third-quarter fiscal 2024 results and won’t deny that those results are impressive. Microsoft’s earnings performance is the front-page news that people are already well aware of.

At the same time, most investors probably don’t know what Microsoft is spending billions of dollars on. We’re talking about Microsoft pouring billions of dollars into far-away regions of the world. Plus, the company is delving deeply into renewables with a five-year agreement.

The point here isn’t to dissuade you from owning Microsoft stock if that’s what you want to do. Just understand what you’re exposing your portfolio to, and don’t only read the front-page headlines.

If you’re not fully on board with Microsoft’s major investments, you can simply reduce your position in the stock.

On the date of publication, Louis Navellier had a long position in MSFT. Louis Navellier did not have (either directly or indirectly) any other positions in the securities mentioned in this article.

The Ïã¸ÛÁùºÏ²ÊÐþ»ú Research Staff member primarily responsible for this article did not hold (either directly or indirectly) any positions in the securities mentioned in this article.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Billion-Dollar Bets: Will These Surprise Moves Supercharge or Sink Microsoft Stock? appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Traders are seemingly concerned that high inflation readings may cause the Federal Reserve to forgo previously anticipated interest rate cuts. At the same time, economic data is starting to cool off, suggesting that the so-called economic soft landing may be in doubt. This indicates that a more bearish scenario such as stagflation may come to the forefront.

All else equal, growth stocks prefer a lower interest rate environment with greater access to capital to fund expansion efforts. Thus, this recent macroeconomic twist is not particularly favorable for the category. It remains to be seen how growth stocks will fare, and the upcoming presidential election adds another question mark to the mix.

In any case, for investors looking to trim their exposure, the following three names that are strong standouts as growth stocks to sell. All three of these growth stocks have rallied more than 50% year-to-date and seem dramatically overvalued and are at risk of a major correction.

MicroStrategy (MSTR)

MicroStrategy (NASDAQ:MSTR) is a long-running software company. In recent years, however, it has primarily transitioned to being a Bitcoin (BTC-USD) holding operation.

Its CEO, Michael Saylor, is an extremely outspoken bull on bitcoin and cryptocurrency. He has levered up MicroStrategy’s balance sheet, issuing debt to buy Bitcoins.

During times when the price of Bitcoin is going up, this leads to tremendous gains for MicroStrategy shareholders. However, this levered strategy could lose a tremendous sum of value on even a moderate pullback in Bitcoin. In the event that Bitcoin really tanked, MicroStrategy could find itself underwater — holding more debt than it has in Bitcoin on its balance sheet.

Recently, Bitcoin rallied and MicroStrategy shares went to the stratosphere. However, cryptocurrency has pulled back from the highs and the macroeconomic environment is turning more challenging. Risk is more elevated in MicroStrategy going forward, and notably, Mr. Saylor has been aggressively reducing his position in MSTR stock.

On top of that, the company just released a terrible earnings report, with the company losing more than $8/share in a single quarter while revenues missed expectations. This highlights that MicroStrategy’s core operations have stagnated and why MSTR makes the list for growth stocks to sell.

Vital Farms (VITL)

Vital Farms (NASDAQ:VITL) is part of the better-for-you food movement.

Other players in the space such as Beyond Meat (NASDAQ:BYND) and Oatly (NASDAQ:OTLY) have seen their share prices collapse. Vital Farms has done just the opposite, however, with its shares doubling since February.

The company produces naturally raised eggs which consumers perceive to have better taste and health benefits, and also have more humane practices in how Vital Farms’ animals are raised.

Consumers have proven that they’re willing to pay a premium for these higher quality eggs. However, there tends to be limits to how far these sorts of alternative foods companies can run up. As I mentioned, other predecessors like Beyond Meat have fared poorly as long-term investments.

With the recent rally, Vital Farms is trading at 50 times trailing earnings. Even with a superior product, at the end of the day Vital Farms is still selling eggs.

There’s not a significant competitive moat here; certainly, other producers can deliver higher-quality eggs to market as well if the consumer demand is there. At this valuation and after an 80% rally, investors should be extremely skeptical of VITL stock.

Wingstop (WING)

Wingstop (NASDAQ:WING) is another sizzling growth company that is also, improbably enough, in the chicken business. The fast casual restaurant chain sells mountains of chicken wings and related products every year.

Wingstop pandemic growth was due to its focus on delivery and not investing as heavily in its on-premise restaurant locations. That ended up being ideal for the pandemic-era market conditions. It also positions Wingstop well for the current consumer focus on delivery and in-app ordering.

At some point enough is enough. Wingstop has gone up 450% over the past five years and shares are already up 51% year-to-date. This is simply unbelieveable for a restaurant chain regardless of how strong the restaurant concept may be.

Restaurant profits tend to be limited as food and labor make up a large portion of overall revenues. It generally isn’t a sound investment strategy to pay software-type valuation multiples for low-margin consumer discretionary businesses.

Wingstop is now up to more than 110 times forward earnings. This is a simply outlandish figure for a restaurant chain.

Just look at some other recent highflyers such a Starbucks (NASDAQ:SBUX) that are now seeing their share prices plunge since growth slowed down.

I’m not necessarily forecasting that Wingstop’s growth spurt is about to end. But at this sort of valuation, any sort of reversion to the mean or issues with slowing consumer spending or changes in customer behavior or preferences could cause Wingstop shares to plummet.

On the date of publication, Ian Bezek did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Ian Bezek has written more than 1,000 articles for Ïã¸ÛÁùºÏ²ÊÐþ»ú.com and Seeking Alpha. He also worked as a Junior Analyst for Kerrisdale Capital, a $300 million New York City-based hedge fund. You can reach him on Twitter at @irbezek.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post 3 Growth Stocks to Sell in May Before They Crash & Burn appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

So, let’s explore a few REIT options that meet that can provide investors with potential upside.

NewLake Capital Partners (NLCP)

NewLake Capital Partners (OTCMKTS:NLCP) is a triple-net lease industrial REIT. It provides real estate for legally operating cannabis companies. It owns roughly 31 properties, including cultivation and dispensary facilities.

Over this past year, NLCP’s share price has begun to spike again. That follows a substantial drop-off from its IPO in August 2021 and following into early 2023. Over the last six months, share price has risen by 57%. This is primarily due to growing revenue, a dividend yield increase and the fact that it collected 100% of total rent within the last quarter.

Further, NewLake Capital’s annual dividend yield is 8.24%. The most recent quarterly distribution to investors was 41 cents per share on April 15. Also, the firm has been experiencing dividend growth for the last two years.

On March 11, NLCP reported earnings for Q4 of 2023, in which it stated that revenue increased by 7% and net income rose by 4% compared to the previous year.

NewLake Capital is growing fairly rapidly, especially over the last several months. NLCP is a much greater financial position than a couple of years ago. And with consistent growth, this could be an income generation and share price appreciation stock that should excite investors.

Rithm Capital (RITM)

Rithm Capital (NYSE:RITM) is a mortgage REIT primarily composed of mortgage servicing rights and mortgage loan origination. In addition, it performs asset management services.

Over this past year, its share price has risen by 47%, primarily due to consistent revenue growth.

On April 30, Rithm Capital reported earnings for the first quarter of 2024, stating that total revenue increased by 94% compared to Q4 2023. A net loss of $67 million was reported for the fourth quarter of 2023. However, for the first quarter of 2024, it increased to a net income of $287 million.

RITM offers investors a dividend yield of approximately 8.83% on an annual basis. The most recent quarterly distribution was 25 cents, which was distributed to investors on April 26.

Its overall revenue increased massively from the previous quarter, primarily due to an increase in net servicing earnings. That had increased by $16 million to $554 million quarter-over-quarter (QOQ). Finally, the company offers investors strong growth metrics within the mortgage servicing industry as well as a solid dividend yield.

VICI Properties (VICI)

VICI Properties (NYSE:VICI) is an experiential REIT that owns and operates an extensive portfolio of gaming and entertainment locations. Most notable is VICI’s prime real estate on the Las Vegas Strip via the MGM Grand, Caesar’s Palace Las Vegas and The Venetian Resort.

On May 1, VICI announced earnings for Q1of 2024. Total revenue increased by 8% and net income rose by 14% year-over-year (YOY). VICI reiterated its growth projection for the remainder of 2024, expecting Adjusted Funds From Operations (AFFO) to be within the range of $2.3 billion to $2.4 billion.

Over the past year, its share price has decreased by 10%, even following decent earnings growth and increased investment in The Las Vegas Strip.

Also, VICI Properties offer a robust dividend yield of 5.76% on an annual basis, with five consecutive years of dividend appreciation. Its most recent distribution was 42 cents per share, paid to investors on April 4.

VICI Properties could be a solid value buy within the REIT industry with potential upside for investors. But, with a solid dividend yield and strategic reinvestment in its properties, it’s a great addition to a portfolio focused on income generation.

As of this writing, Noah Bolton held a LONG position in RITM. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Noah has about a year of freelance writing experience. He’s worked with Investopedia dealing with topics such as the stock market and financial news.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Dividend Dynamos: 3 REITs Offering Unbeatable Income Streams appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

The first company is a shining light in biotechnology due to its innovative cell therapy platform. It shows great potential for treating autoimmune disorders such as refractory lupus nephritis. Similarly, the second one takes advantage of the energy sector’s volatility by maximizing cash flow. It does this through solid financial methods and high operating leverage. Meanwhile, the third company dominates the cannabis business with solid sales growth and increased profitability.

In the long term, there is certainly high potency. The first one promises to cure many autoimmune ailments, the second one has a record-breaking performance based on solid market rates, and the third has a sharp increase in sales and gross profit margins in the cannabis sector. These companies offer profitable prospects for investors eager to enter new areas and exhibit durability in the face of market changes. These are the next major movers that Wall Street is keeping an eye on.

Nkarta (NKTX)

The refractory lupus nephritis (LN) patients treated by Nkarta’s (NASDAQ:NKTX) NKX019 reflect progressive outcomes. This clinical achievement highlights the therapeutic potential of the company’s patented cell therapy technology.

Additionally, the company focuses on massive demand in autoimmune illnesses, with the planned initiation of a clinical trial in refractory LN patients. Moreover, the assessment of NKX019’s efficacy against B cells derived from patients suffering from autoimmune disorders underscores its relevance in various medical conditions. Certainly, NKX019 is a progressive option for additional research in autoimmune illnesses (other than LN).

Further, there are positive clinical results from Nkarta’s Phase 1 study of NKX019 in patients with r/r non-Hodgkin lymphoma (NHL). This highlights the long-term efficacy and durability of its cell treatment strategy for hematologic malignancies. The therapeutic promise of NKX019 in NHL is validated by the excellent complete response rate in patients receiving NKX019 monotherapy. 

Finally, the positive re-treatment results prove NKX019’s therapeutic efficacy and promise for long-term disease control. These are observed in patients who relapsed after receiving their first therapy. Overall, these results uphold NKX019’s ongoing development in NHL and solidify Nkarta’s leadership in cell therapy.

Teekay Tankers (TNK)

High operating leverage helps Teekay Tankers (NYSE:TNK) with high spot rates for its tankers. The company generates around $2.5 of yearly free cash flow (FCF) per share for every $5K rise in tanker rates beyond its FCF breakeven point of $16K per day. This leverage enhances the company’s growth potential, enabling it to take advantage of favorable market circumstances and create substantial cash flow.

Moreover, with an adjusted net income of $500.5 million, or $14.65 per share, Teekay Tankers broke all previous records in 2023 and more than doubled its impressive 2022 results. This solid boost demonstrates the company’s fundamental capacity to capitalize on advantageous market conditions and derive a bottom line.

Further, initiatives are being taken to enhance the company’s financial standing and lessen its debt load. For instance, Teekay Tankers plans to repurchase eight boats for $137 million under sale-leaseback terms. This brings the total number of vessels repurchased since March 2023 to 27, with a total value of $501 million. Overall, these efforts aim to boost flexibility and resilience by reducing cash breakeven rates and achieving zero total debt outstanding.

SNDL (SNDL)

The performance of SNDL (NASDAQ:SNDL) in 2023 reflects solid gross profit margins and top-line growth, which provides a solid basis for the company’s potential for rapid expansion. The company’s net sales increased considerably by 28% year-over-year (YoY) from the prior year to $909 million. This indicates that SNDL may boost its market share and profit from the spiking demand for booze and cannabis goods.

To dive further, SNDL’s top-line growth trajectory is especially vital when focusing on Q1 2023 performance. The year started with a spectacular over 1,000% YoY revenue boost in Q1, which showcased SNDL’s capacity to seize market opportunities and generate significant top-line growth.

In addition, SNDL’s gross profit margins increased to a record high in 2023, reaching $190 million, or 21% of sales. In 2022, they were $140 million, or 20% of sales. Thus, SNDL’s improved operational edge and cost-control techniques resulted in increased profitability. Overall, through a strategic focus on top-line growth and cost structure optimization, SNDL has effectively fortified its financial standing and set itself up for swift progress.

On the date of publication, Yiannis Zourmpanos did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Yiannis Zourmpanos is the founder of Yiazou Capital Research, a stock-market research platform designed to elevate the due diligence process through in-depth business analysis.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Opportunity Alert: 3 Undiscovered Stocks About to Explode on Wall Street’s Radar appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

We are in the earnings season, and things can change rapidly during this crucial period. As we have seen recently, Wall Street is not content with big companies merely beating estimates. Many firms now carry exceptionally high valuations, and the market also expects exceptional performance from these companies, quarter after quarter. Underperformance by these big companies could end up dragging down the entire market.

That said, quite a few penny stocks are trading at relatively cheaper valuations, with huge upside potential. In my view, these stocks could deliver multibagger returns in the coming years. They have a more attractive risk-reward profile compared to many of the top stocks right now. The potential rewards are substantial if one can stomach the risks. Let’s take a closer look!

AWARE (AWRE)

Aware (NASDAQ:AWRE) is a biometrics company. Its products are mostly used for biometric identification of users. Aware’s software has been used in hundreds of deployments and is in daily operation on many thousands of workstations, servers and mobile devices globally. The company claims to have provided software solutions to the FBI and numerous financial services companies. However, it is still a very small company with a market capitalization of just $39 million as of writing. I see significant room for expansion ahead in the coming years with the data boom.

AWRE stock has been trading sideways for the past year and a half, so there is an established floor here, which provides a lot of safety from downside risk. Recurring revenue is 71% of the company’s total revenue, so that’s another layer of safety.

Moreover, the upside potential here could be massive, as the biometric-as-a-service market is expected to grow from $4.7 billion in 2024 to $36.6 billion in 2031 with a 29.3% CAGR. The company grew revenue at just 3% YOY in Q1. However, it expects around 23% recurring revenue growth and double-digit total revenue growth for the year. The biometrics market is still accelerating its momentum, so I have high hopes going forward.

Data Storage (DTST)

I have written about this company many times before, and it is one I think could follow in the footsteps of SMCI if it delivers good growth in the coming quarters. The stock may be slightly above or below $5 by the time you read this, so I apologize for any discrepancy between the title and DTST’s price!

Data Storage (NASDAQ:DTST) is a data recovery and data center business. The stock is also down around 30% from its peak, but I think if the rally restarts from here, we could see Data Storage Corp deliver multibagger gains. The company is still small and has a market cap of just $35 million.

The growth here hasn’t been stellar, but I expect it to accelerate going forward due to the data boom. Revenue hit a record $25 million in 2023, up 5% year-over-year. Gross profit margin increased to 38.4% from 33.9%. Moreover, net income was $382,000 compared to a $4.4 million loss in 2022. The company also had $12.7 million in cash and marketable securities — not too shabby for a company of this size.

What makes me really bullish is that the company has been generating a lot of cash flow recently.

Plus, the remaining contract value here was $26.7 million as of Q4, with over $8 million in outstanding proposals for new contracts. That is quite a big amount for a company of this size, and its international expansion efforts have been underway, which can drive a new wave of growth.

Applied Digital (APLD)

Applied Digital (NASDAQ:APLD) is mainly a blockchain stock. However, this isn’t your typical crypto-mining company. It operates in a unique niche. What Applied Digital does is it rents out its data centers to crypto mining companies.

The Bitcoin (BTC-USD) halving happened recently, and I believe this is a great time to buy APLD before we see any breakout. Many crypto mining companies are expanding their mining operations, as the halving essentially halved all their rewards from Bitcoin mining. As such, these crypto-mining companies would have to mine with twice as much power for the same amount of BTC in rewards. Thus, this only means more business for Applied Digital. The company is primed to profit from the industry’s increasing scale and demand for computing power.

Moreover, this company is quickly shifting towards high-performance computing and AI. Diversification is key in today’s rapidly evolving tech landscape. Analysts expect revenue to rise from $151 million to $505 million from 2024 to 2026, along with EPS nearing breakeven levels by 2026.

If these projections prove accurate, Applied Digital could be on the cusp of a major growth phase.

On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, Ïã¸ÛÁùºÏ²ÊÐþ»ú does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that Ïã¸ÛÁùºÏ²ÊÐþ»ú.com’s writers disclose this fact and warn readers of the risks.

Read More: Penny Stocks — How to Profit Without Getting Scammed

On the date of publication, Omor Ibne Ehsan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Omor Ibne Ehsan is a writer at Ïã¸ÛÁùºÏ²ÊÐþ»ú. He is a self-taught investor with a focus on growth and cyclical stocks that have strong fundamentals, value, and long-term potential. He also has an interest in high-risk, high-reward investments such as cryptocurrencies and penny stocks. You can follow him on LinkedIn.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post 3 Under-$5 Penny Stocks That Could Make You Millions appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

However, a combination of strategic pivots, improving financials, and a still growing global streaming market suggest Netflix could be ready for a significant rebound. While predicting stock prices next move is highly uncertain, there are sound reasons to believe Netflix stock could double in value by 2030.

Cost Cutting and Password Sharing

In 2023, Netflix stock heavily focused on cost optimization in order to accelerate their growth potential. A major initiative has been cracking down on widespread password sharing. While this move may cause short-term churn, it’s ultimately designed to convert unpaid viewers to subscribers. 

This savvy business move is backed by their new ad-tier supported membership plan. Those viewers who shared accounts now can gain access to the service at a cheaper price point. While not ideal, it would not differ from listening to podcasts or YouTube advertisements. 

Alongside this, Netflix is streamlining its operations and cutting costs where possible. This push for efficiency will be crucial to improving profit margins in the coming years.

Operating Margin Expansion

Netflix’s focus on cost control is directly aimed at expanding operating margins. In FY23, their operation margin expanded by 300 bps to 21%, ahead of their guidance of 20%. 

Historically, Netflix stock has invested heavily in content creation and expansion, sometimes at the expense of short-term profits. Now, the company’s priorities are shifting toward a more sustainable model where profitability gets equal footing.

This is clear in their latest Q1 FY24 results, with operating margin up 700 bps from the year prior. Management has raised their FY24 operating margin guidance to 25%.

Netflix Stock: All the Stars are Aligning

Netflix stock Q1 FY24 results were a positive signal, demonstrating the early success of their initiatives. All the stars are aligning, leaving the company with significant tail winds for growth over the next few years. 

Their net ad-supported tier continues to boost global subscribers, which is growing in the high double digits quarter over quarter.

With management forecasting strong subscription growth and margin expansion in 2024, this could just be the start of Netflix’s journey to double in value by 2030.

On the date of publication, Terel Miles did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Terel Miles is a contributing writer at Ïã¸ÛÁùºÏ²ÊÐþ»ú.com, with more than seven years of experience investing in the financial markets.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Why Netflix Stock is on Track to Double by 2030 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

However, investors should still use caution. This unexpected good fortune of the leading Chinese EV company just might be as good as it gets.

A Surprising U-Turn for Nio Stock

This is quite a turnaround. While Nio had been mostly increasing deliveries each month by double-digit rates year-over-year (except in February, when they plunged 33%), the EV maker was expecting slower growth for the months ahead.

Even after introducing its new 2024 models at the beginning of March, Nio said it was “prudently” revising its deliveries estimate for the second quarter downward. It cut its outlook from a range of 31,000 to 33,000 vehicles back to 30,000 deliveries.

The move suggested the market was continuing to slow down and the new models were not gaining any traction yet with buyers.

But Nio stock suddenly hit the accelerator in April. It delivered more than half of the entire expected total for the coming quarter in just one month. Either May and June will be horrible months for sales or management completely misjudged demand, and not by just a little.

Despite this amazing uptake by consumers, management hasn’t updated its outlook for the quarter yet. That would be the prudent thing to do.

Cheaper Luxury

Nio has eight models of cars now split between SUVs (the ES8, ES7, ES6, EC7 and EC6) and sedans (the ET7, ET5 and ET5 Touring).

It announced in January it would begin delivering the 2024 models starting in March, and in February began accepting customer orders on everything except the ET7, which it would take orders on beginning in April. A new model, the ET9, will launch in the first quarter of 2025.

While it is selling more SUVs versus sedans in 2024 — 26,626 to 19,047 — the percentage of sedans sold is starting to creep higher. In January, 37% of the vehicles sold were sedans; in April, they totaled 43.5%. So even though it has more SUV models available, consumers are increasingly choosing the sedans.

The two platforms could eventually reach parity, which in theory could cut into Nio’s profit margins as they carry lower price tags.

An EV Outlier

Nio’s results confound what everyone else in the market is experiencing. BYD (OTCMKTS:BYDDY) saw a 49% increase in new-energy vehicles, with battery-electrics rising 29% and plug-in hybrids jumping 69%.

Li Auto (NYSE:LI) saw deliveries creep barely higher, rising 0.4% year-over-year while Xpeng (NYSE:XPEV) did better with a 33% gain.

It is definitely odd that a month after Nio management was hunkering down with an outlook for slower sales, consumers dramatically reversed course and embraced its higher priced cars more so than anyone else.

Nio and BYD are premium EV makers compared to the more affordable models for Li, Xpeng or even Tesla (NASDAQ:TSLA).

Moreover, the South China Morning Post notes that a price war has broken out amongst EV manufacturers, who not only have cut the prices on their cars but are offering additional discounts as well.

Nio, on the other hand, stands alone in keeping the prices of its cars unchanged.

I’m not saying Nio is lying about its numbers, but this could be a one-off event for the month, or maybe for even a quarter. The thing is, investors shouldn’t get too excited about this bit of good luck so soon after everything was looking so gloomy.

On the date of publication, Rich Duprey did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Rich Duprey has written about stocks and investing for the past 20 years. His articles have appeared on Nasdaq.com, The Motley Fool, and Yahoo! Finance, and he has been referenced by U.S. and international publications, including MarketWatch, Financial Times, Forbes, Fast Company, USA Today, Milwaukee Journal Sentinel, Cheddar News, The Boston Globe, L’Express, and numerous other news outlets.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Is This As Good As It Gets for Nio Stock? appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

And under the bill, the Federal Reserve would have the authority to regulate stablecoins. As a result, if it passes the Fed is likely to make life difficult for stablecoin issuers. They could force many of them to fold. Since investors often use interest income from stablecoins to purchase cryptos, the demise of a high number of stablecoin issuers is likely to put downward pressure on crypto prices. Here are three crypto stocks to sell to avoid being hurt by Congress’ looming crypto crackdown.

Coinbase (COIN)

Last quarter, Coinbase’s (NASDAQ:COIN) direct revenue from stablecoins came in at $197.3 million out of its total sales of $1.59 billion. However, the company also had interest and finance fee income of $66.7 million. And custodial fee revenue of $32.3 million. I think there’s a high probability that a large portion or all of these latter two revenue sources were also related to stablecoins. Given these points, the firm is likely to take a large, direct revenue hit if Congress passes the stablecoin bill.

Additionally, investment bank TD Cowen has written that bank secrecy crypto controls will probably be included in the stablecoin bill. I interpret TD Cowen’s statement to mean that the law would place such restrictions on all cryptos, not just stablecoins.

In light of these points, if the bill becomes law, I predict that trading volumes on Coinbase’s exchange will sink sharply. That’s because money launderers and other criminals will stop using cryptocurrencies in order to avoid the crypto controls that will likely be included in the bill.

Given all of these points, I view Coinbase as one of the top crypto stocks to sell.

MicroStrategy (MSTR)

According to one source, MicroStrategy (NASDAQ:MSTR) owned 214,000 Bitcoin (BTC-USD) as of May 1. Its total cost associated with those Bitcoin is reportedly over $7.5 billion. As I’ve noted above, the stablecoin legislation which I expect Congress to pass will likely force many stablecoins to shut down. This will deprie many Bitcoin buyers of an important income source.

What’s more, the bill also will probably force Bitcoin purchasers to comply with anti-money laundering and bank secrecy laws. Consequently, I expect many bitcoin users to sell the crypto rather than reveal their identities to the government. That selling, in turn, would put tremendous, downward pressure on MSTR stock, due to MicroStrategy’s huge bitcoin holdings.

Also boding badly for MSTR stock is the fact that, in the last three months, company insiders have bought no shares of the name, while they have sold 362,000 shares.

Marathon Digital (MARA)

Marathon (NASDAQ:MARA) focuses on mining Bitcoin, and it owned 17,631 BTC as of May 3. As a consequence, the firm’s top and bottom-lines, will be undermined by the potential stablecoin-regulation law.

Additionally, as a result of the Bitcoin halving, the number of Bitcoins that Marathon earns through mining has been cut by 50%. Consequently, the company’s top and bottom lines are likely to sink going forward.

Many prognosticators expected the halving to greatly boost Bitcoin prices. Such a phenomenon would have helped to cut Marathon’s losses from the halving by enabling it to unload the Bitcoins that it mines for higher prices.

But since the halving on April 19, Bitcoin prices are little changed. I believe that worries about the looming stablecoin bill are a big reason why the anticipated rally hasn’t materialized.

On the date of publication, Larry Ramer held a short position and put options on COIN. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Larry began writing columns for Ïã¸ÛÁùºÏ²ÊÐþ»ú in 2015. Among his highly successful, contrarian picks have been SMCI, INTC, and MGM. You can reach him on Stocktwits at @larryramer.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post 3 Crypto Stocks to Sell Before Congress Strikes appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

As it stands now, current tax guidelines, aimed at making it cheaper to produce hydrogen, are far too strict.

For example, according to the American Clean Power Association, the current rule “fails to acknowledge the market realities of new technology deployment. Specifically, imposing an hourly matching provision too early for first-wave green hydrogen projects will discourage a significant majority of clean power companies from investing in green hydrogen manufacturing and facilities. ACP is encouraged to see that the Treasury Department has specifically requested comment on the adequacy of the transition schedule. The proposed timeline is a fundamental obstacle to the commercialization of green hydrogen in the U.S.”

Poor earnings, sky-high interest rates and subsidy delays have also been weighing the industry down. However, with the weakness, there is opportunity in beaten-down names.

Linde (LIN)

Over the last few days, shares of Linde (NASDAQ:LIN) gapped from about $440 to $415. However, after catching support dating back to February, and becoming over-extended on RSI, MACD, and Williams’ %R, LIN is attempting to pivot higher. From its last traded price of around $423, I’d like to see it initially refill its bearish gap at around $440.

Granted, the stock fell on mixed first quarter earnings, but there’s a lot to like here. For one, its earnings per share (EPS) of $3.75 came in better than estimates for $3.42. Unfortunately, its operating cash flow of $1.95 billion did miss expectations for $2.46 billion. Moving forward, the company also expects to see second quarter EPS within a range of $3.70 to $3.80, which is 1% below expectations. 

With a good chunk of negativity priced in, I’d use weakness as an opportunity. Helping, the company just declared a quarterly dividend of $1.39 per share, which is payable on Jun. 18 to shareholders of record, as of Jun. 4. Linde is also one of the best hydrogen stocks to buy.

Air Products and Chemicals (APD)

The last time I mentioned Air Products and Chemicals (NYSE:APD), I said, “I’d still like to see APD refill its bearish gap around $260 initially. From there, it could easily test $272 as the hydrogen story gains momentum. Plus, as we wait for the stock to recover more lost ground, we can collect its dividend of $1.77, which is payable on May 13 to shareholders as of April 1.”

That was on Mar. 18, as APD traded at about $230. And while it hasn’t refilled that gap just yet, it did ramp up to $245.87. Plus, as we continue to wait for it to refill that bearish gap at around $260, we can collect its current yield of 2.88%.

In addition, while earnings and guidance were mixed, it appears most of the negativity has been priced into the rebounding stock. In its second quarter, the company posted EPS of $2.85, which beat by 15 cents. Revenues of $2.93 billion — down 8.4% year over year — did miss by $130 million. Moving forward, full-year fiscal 2024 adjusted EPS of $12.20 to $12.50 is below estimates of $12.31.  Also, third quarter, EPS of $3 to $3.05 is also below estimates for $3.30.

Again, though, all of the negativity appears to have been priced in.

Global X Hydrogen ETF (HYDR)

Even the oversold exchange-traded fund (ETF), the Global X Hydrogen ETF (NASDAQ:HYDR), is pivoting from oversold conditions. In fact, after catching support at $4.85, it’s now up to $5.53. From here, I’d like to see it retest $5.85 and eventually $6.40.

With an expense ratio of 0.5%, the ETF invests in some of thebest hydrogen stocks to buy that are involved with hydrogen production, and the development and manufacturing of hydrogen fuel cells. Some of its top holdings include Bloom Energy (NYSE:BE), Plug Power (NASDAQ:PLUG) Ballard Power (NASDAQ:BLDP), ITM Power (OTCMKTS:ITMPF) and Ceres Power (OTCMKTS:CPWHF).

While its chart is nothing to write home about, give it time. With a good deal of excitement in hydrogen, HYDR could easily bounce higher again.

What’s nice about an ETF like HYDR is that it offers solid exposure to multiple hydrogen names at a low cost. For example, if I wanted to buy 100 shares of HYDR, it would cost me about $552. If I were to buy just one of the ETF’s holdings such as Linde, for example, it would cost me closer to $42,360. I’d rather pay $552 for greater exposure.

On the date of publication, Ian Cooper did not hold (directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Ian Cooper, a contributor to Ïã¸ÛÁùºÏ²ÊÐþ»ú.com, has been analyzing stocks and options for web-based advisories since 1999.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post The 3 Best Hydrogen Stocks to Buy in May 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

Dire financial situations, lack of profitability and a lack of innovation, among other reasons, should be red flags in any company. These three renewable energy companies display just that and investors would do good for themselves by selling them.

Plug Power (PLUG)

Plug Power (NASDAQ:PLUG) provides hydrogen and fuel cell products worldwide. It provides multiple types of fuel cells, such as GenDrive and GenSure, among others. Established in 1997, PLUG hasn’t been profitable for the past decade.

PLUG stock missed earnings per share (EPS) targets by 64 cents in the fourth quarter. It also has a profit margin of -153.57%. This dire financial state is due to a simple fact: hydrogen-based cars don’t work. Fossil fuel companies are advocating for hydrogen production as a by-product of burning fossil fuels. After this, the greenhouse gas emissions would be stored underground. However, using renewable energy from sources such as wind, solar or hydropower is much more efficient and sustainable.

Over the long run, PLUG has hedged its bets in a sector that will fail to give the returns investors want. It is one renewable energy stock that investors should sell off.

JinkoSolar (JKS)

JinkoSolar (NYSE:JKS) produces photovoltaic (solar panels) products. The company offers solar modules, silicon wafers, solar cells, recovered silicon materials and silicon ingots.

JKS stock’s quarterly earnings growth has decreased by 22.70%, with an operating margin of -1.47%. Yahoo! Finance has given JKS stock a “Hold” rating, with multiple banks such as Goldman Sachs and Roth giving the stock “Sell” or “Neutral” positions.

JKS stock was supposed to earn $2.54 per share in Q4 2023. However, according to the Motley Fool, it only earned 2 cents per share. Even though there was a 76% increase in output, revenue only grew by 9%. Additionally, the gross margin dropped 6.8% to 12.5%.

Rapidly dropping margins indicate that this company is in a bad state for future growth and that other companies might be able to capitalize on the growing market. Thus, JKS stock should be one of the top renewable energy stocks to sell.

Sunrun (RUN)

Sunrun (NYSE:RUN) designs, develops, installs, sells, owns and maintains residential solar energy systems in the U.S. It also sells solar energy systems and products, such as panels and racking, and solar leads generated to customers.

RUN stock’s quarterly revenue growth decreased by 15.20%, which is present along with an operating margin of -38.24%. RUN’s profit margin is -71.00%, which certainly raises a lot of red flags about the profitability of RUN stock. It has missed its earnings estimate by $4.72 in Q3 2023 and $1.31 in Q4 2023.

The value of RUN stock has decreased by 38.85% over the past year. Additionally, they currently have an operating cash flow deficit of $820.74 million, further indicating financial weakness. In a capital-intensive sector such as solar panels, bad financials are an indicator of future failure. Thus, RUN stock should also be one of the renewable energy stocks you sell.

On the date of publication, Achintya Pasricha did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Achintya Pasricha is a self-taught investor who has recently started to publish articles on a freelance basis.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post 3 Renewable Energy Stocks to Sell in May Before They Crash & Burn appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

There is a way to make this right. The idea springs from the $47 billion in stock Musk wants from Tesla’s board. They can do something much better with that money.

M&A and Tesla Stock

With $47 billion in stock, Tesla could buy Rivian (NASDAQ:RIVN). They could buy it two times over.

Rivian makes a good product. Rivian has a good truck. It knows how to scale, and it understands vertical integration. Rivian CEO R.J. Scaringe is a car guy who knows the car business

Anyone who wants to be making electric vehicles in the next few years needs to sell them at mid-market prices. I have been saying this for years. The first step is making a $25,000 car. BYD (OTCMKTS:BYDDF) is doing it. Nio (NYSE:NIO), will too. It’s a requirement for staying in the market.

Rivian is ready for this. Scaringe is now betting his company on the R3, a scaled-down design that will bring its SUVs and trucks inside that $25,000 price point.

All About the Batteries

The $25,000 price point is just the first step toward making EVs ubiquitous by 2030. An EV is just a battery on wheels. The cost is in the battery. Everything above the wheels is just a topping, like icing on a cupcake.

Once upon a time, Musk understood this. In 2020, he called batteries “the gating factor” for EVs. He was right. The company’s 2020 “Battery Day” should have been the start of its run to the top.

Scaringe understands this. Rivian’s Georgia plant will be supplied by a battery plant just up US 441 in Commerce. That won’t be its only option. The new Rivian plant will be surrounded by battery manufacturers, all of which will need customers.

Scaringe sees competition among Korean suppliers giving him the vertical integration Rivian needs to compete. What’s needed to compete are designs and marketing that win in the U.S. market. Rivian has that.

Fire Musk

Musk is no longer a car guy, if he ever was.

Tesla’s layoffs are designed to pivot the company into robots and artificial intelligence. Musk sees Tesla’s balance sheet as a piggy bank. He sees the factories and production Tesla has already established as old news, and he’s bored.

The turning point for me was Musk’s purchase of Twitter. What you or I think of Musk’s politics is not the point. Media is not Tesla’s business. Microsoft (NASDAQ:MSFT) learned that and jettisoned MSNBC decades ago. Walt Disney (NYSE:DIS) learned that and made peace with Florida.

The Bottom Line on Tesla Stock

Tesla’s shareholders should reject Musk’s proposed pay package. Tesla’s board should fire Elon Musk.

Firing Musk would bring half of the American car buying market back to Tesla’s side. Buying Rivian would bring the other half, along with the only strategy that makes sense.

Free Elon Musk. Let him play with his satellites and his rockets and his robots and his artificial brains. Don’t let him use Tesla as his piggy bank. Save the company.

Tesla is a car company. It should be led by a car guy. R.J. Scaringe is a car guy. Tesla should be led by Scaringe. Tesla should buy Rivian.

As of this writing, Dana Blankenhorn had a LONG position in MSFT. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Dana Blankenhorn has been a financial and technology journalist since 1978. He is the author of Technology’s Big Bang: Yesterday, Today and Tomorrow with Moore’s Law, available at the Amazon Kindle store. Tweet him at @danablankenhorn, connect with him on Mastodon or subscribe to his Substack.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post Elon’s Ego Trip: Why Tesla Stock Needs to Ditch Its Distracted CEO and Acquire Rivian Instead appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

These three blue-chip stocks have excellent dividend yields and extremely stable growth. They are currently priced below their total valuation, offering investors a unique opportunity to capitalize on their development for less. 

Let’s learn more about these stocks’ rock-solid business models, target markets that provide constant demand, and enticing history of growing payouts, which make them the best undervalued blue-chip stocks to buy this month.

Realty Income (O)

Realty Income (NYSE:O) is the pinnacle of a solid Real Estate Investment Trust (REIT) that investors can buy for guaranteed dividends, reflecting a high percentage of the company’s income. Dividend and blue chip investors can enjoy the consistent flow of monthly dividends from Realty Income. 

Realty has proven its ability to support its resilient business model, raising its dividend for over 30 years straight and currently sitting at a 5.56% dividend yield. The company maintains such solid showings, focusing primarily on retail properties that perform well even in the worst economic conditions. 

What makes this stock particularly attractive right now is the effect of inflation on its price. While Realty still demonstrates upward growth, it has been slowed by high rates. The pressure inflation puts on tenants buying Realty’s properties can create this short-term stoppage, but historically, REITs have been more resilient than other business types.

Investors should get their hands on Realty Income at a lower price than anticipated. As an inflation-resistant, high dividend, financially sound blue chip stock, few others can compare to Realty’s long-term hold value. 

Coca-Cola (KO)

Blue chip stocks consist of some of the most well-known companies in existence today, and Coca-Cola (NYSE:KO) is no exception. Coca-Cola is the largest company in the beverage industry, with a wide range of products and a market cap of $267.82 billion. 

Coca-Cola trades at a P/E ratio of 23.11, higher than some of the other blue-chip stocks available. However, considering the decades of consistent dividend growth and financial gain, the valuation is still not unreasonable. In fact, from a historical perspective, Coca-Cola is one of the most proven dividend stocks of all time.

For over 50 years, Coca-Cola has continuously increased its dividends. Considering the economic ups and downs the world has seen throughout that time, an objective view of Coca-Cola’s numbers demonstrates why it ranks high even within blue chip stocks. The risk is almost as low as can be in trading, and the reward only ever increases.

Investors need not look further for a fantastic blue-chip stock to buy now and enjoy almost certain growth over the next few years. 

Altria Group (MO)

Altria Group (NYSE:MO) is a steadily growing tobacco products company responsible for sales of the popular cigarette brand Marlboro. While some investors may not be interested in a company of its nature, there is no denying the dividend and growth potential Altria holds as a blue-chip stock.

Over the last 10 years, dividend payments have increased at an astonishing rate of 7.51%, and the dividend yield currently sits at 8.99%. While some might be concerned about the long-term holding power of the tobacco and smoking industry, Altria is making efforts to ensure future success.

The smoking market is shrinking as more and more consumers shift their preferences toward smokeless products. However, Altria is ensuring its position at the forefront of this change, creating and leading smokers to its own smoke-free product platforms. 

Altria’s stock is one of the cheapest blue chip stocks, as many investors have turned their back on its prospects. The undervaluation calls for attention alone. However, Altria has also recently begun a $2.4 billion accelerated share repurchase program after selling off its shares in Anheiser-Busch. 

The move is almost certain to create upward momentum for Altria, and the company’s impressive dividend history and low valuation make it an excellent buy.

On the date of publication, Joel Lim did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Joel Lim is a finance freelance writer who writes content for several companies like LTSE and Realtor, along with financial publications, including Mises Institute and Foundation for Economic Education.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post The 3 Most Undervalued Blue-Chip Stocks to Buy in May 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

AMD stock fell despite exceeding Wall Street estimates and raising guidance, as investors desired stronger growth. The initial reaction ignores AMD’s impressive growth in AI microchips. Despite the recent dip, AMD stock is up nearly 440% in the last five years, including a 68% increase in the past 12 months.

A Strong Print

AMD stock fell on news that the company narrowly beat Wall Street forecasts for this year’s first three months and provided in-line guidance.

The chip designer announced earnings per share of 62 cents compared to 61 cents that was the consensus expectation among analysts. Revenue in Q1 totaled $5.47 billion versus $5.46 billion that was forecast. Sales rose only 2% from a year earlier.

While the headline numbers may have been a bit uninspiring, a deeper dive into the numbers reveals some exciting data points.

AMD reported that revenue at its Data Center unit grew 80% year over year to $2.3 billion due to robust sales of its new MI300 series AI chips. The company said it has sold more than $1 billion of the AI chips since they launched late last year.

At the same time, AMD’s core business making processors for personal computers reported $1.4 billion in Q1 sales, an 85% annual increase. The growth shows that the PC sales slump is over.

The only weakness at the company was in its video game segment, which saw chip sales drop 48% to $922 million as global sales of video game consoles declines.

While the Q1 results were strong, the forward guidance provided by AMD was even better. Management again revised up their forecast for AI chip sales this year, pegging them at $4 billion, up from $3.5 billion only a few months ago.

Last fall, AMD was predicting $2 billion of AI chip sales in 2024. On their earnings call with analysts and media, executives said that they are already working on new AI chips and successors to the current generation of processors that have only been available for about six months.

Unfair Comparisons

AMD stock often gets dinged because it is unfairly compared to rival chipmaker Nvidia (NASDAQ:NVDA). Nvidia, which controls between 75% and 80% of the global market for AI chips, has experienced parabolic growth over the past two years. Its share price is up 2,000% in the last five years.

Investors need to keep in mind that AMD is a different company than Nvidia. Until recently, the company primarily supplied chips and semiconductors to video game and PC manufacturers. It has pivoted to focus on AI chips.

The switch to AI chips has been impressive, with AMD putting out excellent technology that is helping to win it market share.

The company’s AI chips are being gobbled up by PC makers such as Dell Technologies (NYSE:DELL) and HP (NYSE:HPQ), which plan to incorporate them into next generation laptops and computers.

At the same time, AI leaders such as Meta Platforms (NASDAQ:META) and Microsoft (NASDAQ:MSFT) have placed billion dollar orders to purchase the MI300X series chips.

Bullish analysts expect that AMD’s share of the AI chip market will reach as much as 25% by the end of this year as the company gains ground on Nvidia and takes market share from Intel (NASDAQ:INTC).

Controlling a quarter of the market for AI chips would be a huge business for AMD. The growth of the company’s AI chip business is the reason 34 professional analysts currently rate AMD stock a “strong buy” with a median price target that is nearly 30% higher than current levels.

Buy AMD Stock

The stock of Advanced Micro Devices is not likely to be down for long, especially as its AI chip business continues to grow at an accelerated rate.

While the company continues to beat Wall Street’s forecast for its earnings, a closer look at the numbers reveals explosive growth in its AI business. As it gains a larger share of the AI chip market, AMD’s growth is likely to explode in coming years, rewarding shareholders.

That the share price is currently 28% lower than where analysts think it should be is another reason to buy AMD stock.

On the date of publication, Joel Baglole held long positions in NVDA and MSFT. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Joel Baglole has been a business journalist for 20 years. He spent five years as a staff reporter at The Wall Street Journal, and has also written for The Washington Post and Toronto Star newspapers, as well as financial websites such as The Motley Fool and Investopedia.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• It doesn’t matter if you have $500 or $5 million. Do this now.

The post Buy The Dip In AMD Stock Before The Chipmaker Skyrockets appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

To be sure, the EV sector represents a major consumer of the critical metal. However, myriad other industries also utilize the commodity. They include consumer electronics, medical devices, aerospace and industrial applications, to name but a few. So, over the long run, lithium should make a recovery.

Factor in the possible recovery of the EV ecosystem down the line along with geopolitical considerations and the sector becomes even more enticing, especially at these levels. With that, below are a few lithium stocks to buy.

Albemarle (ALB)

Headquartered in Charlotte, North Carolina, Albemarle (NYSE:ALB) develops, manufactures and markets engineered specialty chemicals worldwide. It’s one of the top lithium stocks to buy, although it must be said that it’s seen better days. Since the start of the year, ALB lost almost 13% of equity value. In the past 52 weeks, it’s down 27%.

With the fallout in the EV sector, it’s been difficult for investors to trust Albemarle. Notably, analysts are projecting fiscal 2024 earnings per share to land at $3.88. That’s well off last year’s print of $22.25. Even the high-side target calls for only $15.50. Still, fiscal 2025 could see a recovery, the blue-sky target calling for $26.86.

On the top line, fiscal 2024 sales might slip to $5.98 billion. Again, that’s startingly low compared to 2023’s haul of $9.62 billion. However, the most optimistic fiscal 2025 target calls for sales of $11.02 billion.

Bottom line: for patient investors, ALB could be one heck of a deal. Therefore, speculators may consider it one of the lithium stocks to buy.

Sociedad Química y Minera (SQM)

One of the most popular ideas among lithium stocks to buy, Chile’s Sociedad Química y Minera (NYSE:SQM) routinely comes up as a key player in the broader EV landscape. According to its corporate profile, SQM produces and distributes specialty plant nutrients, iodine derivatives, lithium derivatives, potassium chloride and sulfate, industrial chemicals and other products and services.

On paper, the company is an absolute beast. Its three-year revenue growth rate stands at 65.5%, beating out 97.49% of its peers. Its net margin clocks in at 26.73%, above 96.54% of the competition. It also trades at only 12.03X forward earnings, which is conspicuously undervalued. What gives?

Unfortunately, fiscal 2024 projections aren’t great, with EPS possibly landing at $4.26 on revenue of $5.25 billion. Last year, the results stood at earnings of $7.05 on sales of $7.47 billion. However, the most bullish analysts see a recovery in fiscal 2025, with EPS forecasted to hit $7.43 on revenue of $8.61 billion.

While waiting for this narrative to pan out, investors can enjoy the massive forward yield of 10.54%.

Sigma Lithium (SGML)

At this juncture, betting on lithium stocks to buy is risky because of the fallout in the EV sector. However, if you’re not satisfied with mere baseline speculation, then you have Sigma Lithium (NASDAQ:SGML) to consider. Based in Sao Paulo, Brazil, Sigma engages in the exploration and development of lithium deposits in its home market.

To be upfront, the crux of the SGML argument is based on interpretation of price chart data. It’s a volatile idea. Since the start of the year, shares fell more than 47%. In the past 52 weeks, they’re down almost 54%. At the same time, there’s some momentum building recently. In the past 30 days, SGML returned slightly over 16%.

Is that enough to justify an investment? It’s very tough to say considering that Sigma only recently posted revenue ($96 million in the third quarter last year). If you’re going to bet on it, it would be a sentiment play.

That said, analysts rate shares a unanimous strong buy with a $30.94 price target, implying almost 94% upside potential.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post The 3 Best Lithium Stocks to Buy in May 2024 appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.

The first one’s remarkable revenue growth, driven by its data center business, exemplifies this industry’s enormous potential. The need for high-performance computing solutions is growing as the globe shifts to data-driven decision-making and AI integration across industries. It is creating opportunities for businesses that can provide sharp technology.

For the second, the impressive rise in the data center market highlights the changing competitive landscape. With developments in big data analytics, cloud computing and machine learning, the company’s sharp solutions aim to meet the growing demands of a data-driven society.

Finally, the third one continues to develop steadily despite market complexity, emphasizing the timeless value of basic technology. Notwithstanding challenges, the company’s strategic investments and emphasis on key business areas position it as a cornerstone of stability in a cutthroat market. 

Nvidia (NVDA)

Nvidia‘s (NASDAQ:NVDA) top-line has witnessed extraordinary expansion, with revenue during its fiscal fourth quarter, reaching $22.1 billion. This is up 22% from the previous quarter and a massive 265% year-over-year (YoY) gain. This rapid growth trajectory highlights Nvidia’s solid market position and capacity to edge into new possibilities in the AI and computing industries.

Moreover, Nvidia’s data center business expanded rapidly and was mainly responsible for the company’s revenue increase. Revenue from data centers hit $18.4 billion, up a startling 409% YoY and 27% sequentially. Nvidia’s position in various areas, including gaming, pro visualization, automotive and healthcare, drives the company’s revenue growth. Each business division adds to the organization’s total income, supporting and stabilizing its growth trajectory.

Finally, Nvidia’s data center revenue growth continued to be robust in all other markets despite obstacles in the Chinese market brought on by government export control measures. In summary, sovereign AI projects outside of China and the U.S. are receiving more demand for Nvidia’s products. 

Advanced Micro Devices (AMD)

Advanced Micro Devices (NASDAQ:AMD) data center division sales are up 80% YoY, hitting a record $2.3 billion in Q1 2024. Not surprisingly, there is solid demand for AMD’s data center products, especially its Instinct MI300X GPUs and 4th Gen EPYC CPUs.

Moreover, the significant expansion results from AMD’s effective market share gain and penetration in the data center market. This has established the business as a solid rival to major players in the sector. Moreover, the $2.3 billion sales amount highlights the noteworthy contribution of the data center division to AMD’s total financial outcome.

Additionally, the data center segment’s operating income surged to $541 million during the same time last year, a stunning leap from $148 million. Furthermore, operational income increased from 11% to 23% of revenue in the preceding year. The significant increase in operating income indicates AMD’s enhanced profitability and operational edge in the data center business.

Overall, despite large expenditures on marketing and research to capitalize on AI’s potential, AMD raised operational income by more than threefold. 

Intel (INTC)

With $12.7 billion in revenue during Q1 2024, Intel (NASDAQ:INTC) outperformed its prior year by 9%. This expansion demonstrates the ability to profit even in a highly competitive industry. The company’s primary source of income, Intel Products, reported $11.9 billion in revenue for Q1, a solid 17% increase YoY. Strong lead in the client business, data center and artificial intelligence divisions was the main driver of this expansion. Thus, Intel’s supremacy in this area is evident from the over 30% YoY increase in the client business alone.

In addition, a 5% YoY gain in Intel’s data center and AI business was driven by higher Xeon average selling prices (ASPs) and more demand from enterprise clients. Even with certain difficulties in markets like Altera and Mobileye (NASDAQ:MBLY), Intel’s total revenue base is still solid and has room to develop across a wide range of product lines.

Finally, Intel aims to lower production costs and increase efficiency through its strategic initiatives. These include investing in cutting-edge technologies like high numerical aperture (NA) extreme ultraviolet lithography. Because of volume changes toward leading production nodes with a competitive cost structure and improved operational efficiency throughout, Intel predicts profit growth beyond 2024.

As of this writing, Yiannis Zourmpanos held long positions in NVDA, AMD and INTC. The opinions expressed in this article are those of the writer, subject to the Ïã¸ÛÁùºÏ²ÊÐþ»ú.com Publishing Guidelines.

Yiannis Zourmpanos is the founder of Yiazou Capital Research, a stock-market research platform designed to elevate the due diligence process through in-depth business analysis.

More From Ïã¸ÛÁùºÏ²ÊÐþ»ú

• The #1 AI Investment Might Be This Company You’ve Never Heard Of
• Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
• Legendary Investor Predicts: “Forget A.I. THIS Technology Is the Future”

The post Market Movers: 3 Stocks Destined to Dominate the Next Decade appeared first on Ïã¸ÛÁùºÏ²ÊÐþ»ú.