After enjoying strong rallies in the final week of February, two prominent Chinese electric vehicle (EV) makers experienced sharp and unexpected stock market drops on March 3.Specifically, both Nio (NYSE: NIO) and Li Auto (NASDAQ: LI) surged 12.18% at the end of last month from $4.27 on February 25 to $4.79 on February 27 and 24.89% from $26.36 on February 24 to $32.92 on February 26, only to collapse 4.32% and 9.73% on Monday morning.NIO and LI stock 24-hour price charts. Source: GoogleLooking at the lates ...

Core Viewpoint - Palantir (NASDAQ: PLTR) is gaining investor confidence following positive endorsements from Wall Street, particularly regarding its role as a key contractor for the Department of Defense [1][3]. Financial Performance - For the three months ended May 31, 2024, Palantir reported net sales of $5.03 billion, up from $3.60 billion in the same period of 2023, representing an increase of approximately 39.6% [2]. - The cost of goods sold was $2.58 billion, compared to $1.83 billion in 2023, leading to a gross profit of $2.45 billion, up from $1.78 billion [2]. - Operating income was $238.30 million, a significant improvement from a loss of $91.62 million in the previous year [2]. - Net income for the period was $330.84 million, compared to $53.41 million in 2023, indicating a substantial year-over-year increase [2]. Analyst Ratings and Market Sentiment - Wedbush Securities has reiterated its 'Outperform' rating for Palantir, maintaining a price target of $120, citing the company's leadership in AI and strong traction in both federal and commercial sectors [3][5]. - Analyst Dan Ives views the recent sell-off as a buying opportunity, emphasizing Palantir's potential to reach a trillion-dollar market cap as AI adoption accelerates [4][5]. - Concerns over high valuation persist, with Jefferies' Brent Thill setting a target of $60, indicating a more cautious outlook compared to Wedbush [8][9]. Strategic Positioning - Palantir is positioned to benefit from the U.S. Department of Defense's focus on efficiency and AI-driven technologies, with high-priority contracts expected to remain unaffected by potential budget cuts [6][7]. - The company's involvement in critical military projects is anticipated to support ongoing contract growth, particularly under the Trump administration's increased AI investments [6][8].

By adopting the right investment strategy, the stock market offers numerous opportunities for building wealth, especially when the right equities are involved.Now, with the current decade at its midpoint, certain companies are emerging as prime investment opportunities. Backed by strong fundamentals, these entities are poised to deliver high returns over the next five years, potentially elevating investors to millionaire status.With that in mind, Finbold has identified two stocks that can potentially turn i ...

Core Viewpoint - Google experienced its worst performance in nearly three years, with a stock price drop of approximately 16% in February, despite a modest earnings per share (EPS) beat and overall revenues falling below consensus estimates [1][2] Financial Performance - Google Cloud revenue did not meet expectations, and the company announced capital expenditures (CapEx) of $75 billion for 2025, significantly higher than the estimated $59 billion [2] - As of the latest update, GOOGL shares were priced at $171.81, reflecting a 9.24% decline since the beginning of the year [2] Analyst Reactions - Following the earnings call, many Wall Street firms revised their outlook on Google stock, primarily lowering price targets, yet most analysts maintained 'Buy' or 'Overweight' ratings [4] - Morgan Stanley and JPMorgan set 12-month price forecasts of $210 and $220, indicating potential surges of 22.22% and 28.04%, respectively [5] - Bank of America analyst Justin Post raised his price target from $210 to $225, citing healthy search engine traffic and revenue growth, unaffected by rising competition from AI platforms [6] Valuation Metrics - GOOGL is currently trading at a trailing price to earnings (PE) of 21.17 and a forward PE of 19, making it the most affordable stock among the Magnificent 7, with Meta following at a forward PE of 26.41 [8] - Despite concerns over high capital expenditures, analysts still view GOOGL as having the most attractive valuation among the Magnificent 7, with expectations to outperform the S&P 500 through 2025 [9]

Core Insights - Nvidia's CEO Jensen Huang's insider trading activities have raised concerns among investors, coinciding with significant stock growth driven by the company's AI advancements [1][2] - Following the completion of Huang's selling plan, Nvidia's stock price experienced a short-term spike, indicating potential bullish sentiment among investors [2] - Nvidia's stock has shown considerable volatility, with notable highs and lows influenced by revenue performance and market conditions [3][6] Stock Performance - Between June 14 and September 13, 2024, Huang sold 6 million shares for approximately $713 million, which unsettled some investors [1] - After Huang's last sale on September 13, Nvidia's stock rose by 4.8%, closing at $124.80, with potential gains for investors who entered the market at that time [2][4] - The stock reached highs above $150 during this period, offering substantial returns for well-timed investors [3][4] Financial Performance - Nvidia reported a revenue of $39.33 billion for the fourth quarter, with data center sales accounting for 91% of total revenue, reflecting a 93% year-over-year increase [6] - Despite a projected slowdown in growth, Q1 2025 guidance anticipates a 65% year-over-year increase, down from 262% the previous year [6] Analyst Perspectives - Analysts maintain a long-term bullish outlook on Nvidia, with several new 'Buy' ratings issued following the earnings report [9] - BofA Securities raised its price target to $200, citing Nvidia's AI dominance and significant revenue growth [9] - Some analysts express caution, suggesting that while near-term strength exists, the risk-reward balance may not be favorable due to high expectations [11]

Core Viewpoint - Nvidia's stock has shown significant volatility despite strong Q4 earnings, with concerns about a potential sustained correction in the near future [1][12]. Financial Performance - Nvidia reported Q4 revenue of $39.33 billion, with a year-over-year increase driven by its AI data center business, which constitutes 91% of total sales [12]. - Data center revenue reached $35.6 billion, marking a 93% year-over-year growth, primarily due to demand for Hopper and next-gen Blackwell AI chips [13]. - Q1 2025 guidance indicates a projected 65% year-over-year growth, a decrease from the previous year's 262% growth [13]. Stock Price Analysis - Nvidia's stock closed at $124.80 at the end of February, up 3.87%, but has seen a nearly 9% decline on a weekly basis [2]. - The stock ended below the 200-day moving average, a bearish signal, marking the second occurrence since January 2023 [3]. - Analysts have indicated that the stock may be in "implosion mode," with a breakdown of its rising trend line and falling below key moving averages [5]. Technical Indicators - The volume profile suggests weaker support below current levels, with potential trading in the range of $90 to $95 [6]. - Analysts have noted increasing selling pressure and a lack of strong support levels, which could lead to a decline to around $25 [9]. Analyst Outlook - Despite the bearish technical outlook, some analysts maintain a bullish perspective, suggesting that Nvidia's stock may rebound after a potential drop, presenting a buying opportunity [8]. - Wall Street analysts have issued seven new buy ratings following the earnings report, with price targets indicating significant upside potential, including a street-high target of $220 from Rosenblatt [17]. Future Prospects - Nvidia's aggressive $33.7 billion share buyback program supports a bullish outlook, with a focus on the upcoming Blackwell chip rollout and competition from custom AI chips [14]. - The company's Blackwell architecture is expected to enhance AI reasoning capabilities, positioning Nvidia favorably in the evolving tech landscape [15].

Group 1: Market Overview - The stock market is currently experiencing volatility, with major equities facing notable sell-offs, presenting potential buying opportunities but not all stocks are ideal for investment due to valuation concerns [1] Group 2: VeriSign (NASDAQ: VRSN) - VeriSign is showing signs of overvaluation, trading at $237.88 with a P/E ratio of 29.73, which is high given its modest EPS growth of +1.12% [2][3] - The company's revenue growth over the past three years has been modest at 5.7% CAGR, and billings have only increased by 4.5% year-over-year on average over the last four quarters, indicating struggles with customer acquisition and retention [3] - VeriSign reported $1.56 billion in revenue for 2024, a 4.3% increase from 2023, with operating income rising to $1.06 billion [4] - The company experienced a 2.1% year-over-year decline in .com/.net registrations in the last quarter of 2024, which could signal headwinds for future growth [4] - Despite these fundamentals, high-profile investors like Warren Buffett have shown interest in VeriSign, with the stock up over 15% year-to-date [5] Group 3: Visa (NYSE: V) - Visa is also considered overvalued, with a P/E ratio of 37.05, despite reporting positive EPS growth of 14.45% [7] - The company faces challenges such as rising operating expenses, which increased by 11.7% in 2023 and 10.8% in 2024, and client incentives that reduced revenue by 19.4% and 11.9% year-over-year [8] - Visa is dealing with legal challenges, including a U.S. antitrust lawsuit and potential fee caps in the U.K., which could disrupt its market position [9] - Some analysts maintain an optimistic outlook for Visa, with TD Cowen raising the price target to $382 and BMO Capital Markets reaffirming an 'Outperform' rating with a $370 target [10] - As of the latest trading session, Visa was valued at $362.71, reflecting a 15% year-to-date growth [11]

Core Insights - AMD stock has experienced a decline of 17.40% since the beginning of the year, with a significant drop of 10.7% following its Q4 and FY 2024 earnings call on February 4, where data center revenue fell short of expectations [1][2]. Financial Performance - AMD reported a double beat in its earnings call, with both earnings per share (EPS) and revenues exceeding consensus estimates, although data center revenue was notably below forecasts [1]. - The stock price decreased to $99.57 by February 28, marking an 8.61% decline over the last week and falling below the $100 psychological level [2]. Analyst Sentiment - Despite recent struggles, a majority of analysts maintain a positive outlook on AMD, with 25 out of 35 analysts issuing a 'Buy' rating, while only 11 rated it as 'Hold' and 1 as 'Sell' [3][4]. - The average price target for AMD shares is currently $147.88, indicating a potential upside of 47.76%, with the highest forecast at $225 suggesting a 124.82% upside [5]. Price Target Adjustments - The average 12-month price target has decreased from $160.39 to $147.88, but the projected upside has increased from 37.11% to 47.76% [6]. - The lowest price target of $110 still represents a potential rally of 9.91% [6]. Valuation Metrics - The forward price-to-earnings (PE) ratio for AMD has dropped from 22.73 to 19.51, indicating a potentially attractive value play [7].

Core Viewpoint - Nvidia reported strong fiscal fourth-quarter earnings, surpassing revenue and EPS expectations, but faced a significant sell-off due to a weaker-than-expected gross margin forecast [1][2][4]. Financial Performance - Nvidia posted $39.33 billion in revenue and an adjusted EPS of $0.89, exceeding analyst expectations of $38.05 billion and $0.84 EPS [1]. - The company guided for $43 billion in revenue for the first quarter, surpassing the $42.3 billion expected by analysts [1]. Market Reaction - Following the earnings report, Nvidia's stock experienced an 8.5% decline, erasing nearly $250 billion from its market cap and pushing it below the $3 trillion mark [2]. - As of the latest update, NVDA shares were trading at $120.15, reflecting a 13% decline since the start of the year [3]. Gross Margin Concerns - The primary trigger for the stock sell-off was Nvidia's first-quarter gross margin forecast of 71%, which fell short of Wall Street's expectation of 72.1% [4]. - CFO Colette Kress indicated that gross margins would remain in the low 70s during the initial ramp-up of Blackwell, with expectations to return to the mid-70s later in the fiscal year [5][6]. Analyst Sentiment - Despite the sell-off, analysts remain optimistic about Nvidia's long-term growth, citing strong AI demand and rapid adoption of Blackwell GPUs [6][7]. - BofA Securities reiterated a 'Buy' rating and raised its price target to $200, emphasizing Nvidia's leadership in AI despite challenges [7]. - Piper Sandler maintained an 'Overweight' rating with a $175 price target, highlighting overwhelming demand for Blackwell AI chips [10]. Revenue Growth and Future Outlook - Blackwell contributed $11 billion in data center revenue in Q4, indicating strong demand that may keep the company sold out through 2025 [10]. - Analysts expect margins to rebound to the mid-70% range by year-end, with continued confidence in Nvidia's long-term growth prospects [11][12]. - Morgan Stanley described Nvidia's growth as 'remarkable' despite transitional challenges, noting that Hopper still accounted for two-thirds of data center revenue [13][14].

Core Viewpoint - Salesforce reported weaker-than-expected quarterly revenue and issued a subdued forecast for fiscal 2026, leading to a nearly 5% decline in stock price during pre-market trading [1][3]. Financial Performance - Salesforce's adjusted EPS was $2.78, surpassing the $2.61 estimate, but revenue was $9.99 billion, falling short of the $10.04 billion consensus [3]. - For Q1 2026, Salesforce projected revenue between $9.71 billion and $9.76 billion, missing Wall Street's expectation of $9.9 billion [4]. - The full-year revenue forecast of $40.5 billion to $40.9 billion also came in below analysts' estimates of $41.35 billion [4]. AI Platform Adoption - Salesforce's AI platform, Agentforce, has secured over 3,000 paid deals and facilitated 380,000 customer interactions since its launch in October [7]. - Despite early traction, Agentforce's revenue contribution in fiscal 2026 is expected to be modest, with a more significant impact projected for fiscal 2027 [8]. - CFO Amy Weaver indicated that the adoption cycle is still early, with customer deployments ramping up gradually [8][9]. Analyst Reactions - Following the earnings release, analysts lowered their price targets on Salesforce stock due to mixed results and weaker guidance [10]. - Bernstein analyst Mark Moerdler maintained an 'Underperform' rating and reduced the price target from $286 to $243, citing concerns over the company's maturity in a competitive market [10]. - Stifel analyst Parker Lane retained a 'Buy' rating while lowering the price target from $425 to $375, suggesting that the market overreacted to short-term guidance [11].