Strong secular tailwinds and several sizable opportunities will continue behind the current market downdraft.The Nasdaq Composite (^IXIC -4.20%) has been riding high for more than two years now, as waning inflation, the prospect of lower interest rates, and the emergence of artificial intelligence (AI) helped fuel its impressive gains. In fact, since the bull market began in late 2022, the tech-centric index climbed as much as 95% before the recent market swoon.Since its peak in December, however, the Nasda ...

Core Viewpoint - The Nasdaq Composite index is currently in correction territory, down 13% from its recent high, creating potential buying opportunities for long-term investors in quality companies [1]. Group 1: Advanced Micro Devices (AMD) - AMD operates in the data center GPU space, competing primarily with Nvidia, but also has significant business in desktop and laptop processors, gaming chips, and embedded applications [3][4]. - AMD's data center revenue nearly doubled year-over-year in 2024, with adjusted EPS growth of 25% and an expected 30% revenue growth in Q1 2025 [5]. - The data center industry is projected to grow by 140% by 2030, and AMD's stock is trading at about 21 times forward earnings, indicating a potential investment opportunity [6]. Group 2: PayPal - PayPal's stock has dropped significantly following a disappointing earnings report, now trading at less than 14 times expected 2025 EPS, presenting a long-term investment opportunity [7]. - The company has undergone leadership changes focused on efficiency, with recent EPS growth reflecting these improvements, and new initiatives like an advertising platform launched in mid-October [8][9]. - PayPal generates approximately $6 billion in annual free cash flow, primarily used for share buybacks, indicating strong cash generation capabilities [10].

Core Viewpoint - The current market conditions present a buying opportunity for SoundHound AI as its stock has declined significantly, making it more reasonably priced for long-term investors [2][12]. Company Overview - SoundHound AI has been an innovator in artificial intelligence since 2006, with its song-identification application leading to a substantial audio data repository and user satisfaction [3]. - The company has transitioned from song identification to a general-purpose voice assistant, finding applications in various business operations such as drive-thru ordering and in-car infotainment [4]. Market Position and Strategy - Management positions SoundHound AI as a market leader with value for advertisers, e-commerce merchants, app developers, and technology product creators, drawing inspiration from major tech companies like Alphabet, Amazon, Apple, and Microsoft [5][6]. - Although comparisons to these tech giants are ambitious, SoundHound AI is seen as at the beginning of a potentially lucrative growth trajectory [6]. Stock Performance and Valuation - The stock has experienced volatility, including a peak price of $24.23 per share due to speculative trading and short-selling activities, but has since retreated to single-digit territory [8][9]. - The price-to-sales ratio has decreased from 110.5 in late December to 40.6, indicating a more favorable valuation despite ongoing negative profits [10]. - The company has a backlog of $1.2 billion in multiyear contracts, which, under conservative assumptions, translates to a valuation of approximately 11 times annual contract values [11]. Growth Potential - Recent financial reports indicate that SoundHound AI's revenue more than doubled in the last quarter, supporting the company's sales growth promises and long-term market opportunity [11][12].

It's official. The stock market has gone negative for the year. After starting 2025 with a robust rally, the S&P 500, as tracked by the SPDR S&P 500 ETF Trust NYSEARCA: SPY, is down 1.73%, and the Nasdaq-100, as tracked by the Invesco QQQ NASDAQ: QQQ is down 3.8% year-to-date (YTD) as of February 28, 2025. The descent has been led by the collapse of the computer and technology sector, which the iShares U.S. Technology ETF can track NYSEARCA: IYW, which is down 6.54% YTD as of February 28, 2025. If the Magni ...

HOUSTON, March 10, 2025 (GLOBE NEWSWIRE) -- Plus Therapeutics, Inc. (Nasdaq: PSTV) (the “Company” or “Plus Therapeutics”), a clinical-stage pharmaceutical company developing targeted radiotherapeutics with advanced platform technologies for central nervous system cancers, today announced that on March 7, 2025 the Company received confirmation from Nasdaq that the Company has regained compliance with Nasdaq’s minimum stockholders’ equity requirement. The Company’s common stock will continue to be listed and ...

The Nasdaq has been a surefire winner over the past two years, soaring in the double digits annually. Investors were optimistic about the potential for a lower interest rate environment ahead and the fact that such a backdrop could benefit high-growth companies. Declining rates makes it easier for them to borrow to expand -- and offer potential customers more buying power. All of this has fueled revenue growth, and investors have particularly favored companies in the hot areas of artificial intelligence and ...

Core Viewpoint - The recent Nasdaq correction presents an opportunity for investors to consider historically cheap and well-diversified AI stocks, rather than focusing solely on high-profile companies like Nvidia and Palantir Technologies [1][5]. Group 1: Market Context - The Nasdaq Composite officially entered correction territory, sitting 10% below its all-time high of 20,173.89 as of March 6, 2024 [2]. - AI stocks have been particularly hard-hit during this correction, reflecting a broader market trend where stocks can move in both directions [2][4]. Group 2: AI Market Potential - The global addressable market for AI technology is estimated to reach $15.7 trillion by the end of the decade, indicating significant growth potential for various businesses [3]. Group 3: Investment Opportunities - **Amazon (AMZN)**: - Amazon's growth is primarily driven by its cloud service platform, AWS, which has an annual revenue run-rate of $115 billion as of the end of 2024 [7]. - Amazon's stock is currently valued at 12 times forward-year cash flow, which is 43% below its five-year average [9]. - **Alphabet (GOOGL)**: - Alphabet's long-term growth is also tied to its cloud service, Google Cloud, which accounted for 11% of cloud-service spending in Q4 2024 [11]. - The company's forward P/E ratio of 17 is approximately 26% below its five-year average, and it has $95.7 billion in cash and equivalents [13]. - **Baidu (BIDU)**: - Baidu has maintained a significant market share in China's internet search, with a 50% to 85% share over the past decade [15]. - The stock is currently valued at about 8 times forward-year earnings, and the company holds over $19 billion in cash and equivalents [17]. - **Meta Platforms (META)**: - Meta generates nearly 98% of its net sales from advertising, with a strong user base of 3.35 billion daily active users [19]. - The company has a forward P/E ratio below 22, which is attractive given its double-digit sales and profit growth rates [21].

Market Overview - The Nasdaq Composite has experienced a rough start to the year, dropping approximately 3.8% year-to-date and about 7.5% from its all-time high, nearing a technical correction of 10% [1] Advanced Micro Devices (AMD) - AMD's stock has seen a 55% decline over the past year due to struggles in its gaming and embedded segments, along with a forecasted sequential revenue decline [3][4] - Despite the downturn, AMD's data center segment is showing signs of recovery, with revenue growth in Q4 2024 increasing by 24% to $7.7 billion, up from just 9% growth in Q2 [5] - The decline in AMD's embedded segment has lessened, with a yearly revenue drop of 41% in Q2 reducing to 13% in Q4 [6] - AMD's valuation metrics are becoming attractive, with a forward P/E ratio of 22, suggesting that the current 55% discount in its stock may not last long [7] Broadcom - Broadcom's stock has recently fallen by 27%, presenting a buying opportunity for long-term investors [8][9] - The company is well-positioned to benefit from the growth of artificial intelligence, with an estimated AI-related revenue opportunity of $60 billion to $90 billion by 2027, up from $12.2 billion in 2024 [10] - Broadcom's diverse business model, with 42% of its 2024 revenue coming from software, helps mitigate the cyclical nature of the semiconductor industry [11] - The recent decline has lowered Broadcom's PEG ratio to 1.7, indicating it is reasonably priced for high-quality stocks [12] Amazon - Amazon's stock is viewed as appealing during market volatility, with a recent decline attributed to poor economic data and concerns over tariffs and AI stocks [14][15] - Historically, Amazon has recovered from significant pullbacks, with a $10,000 investment at the start of 2023 now worth over $24,000 despite recent sell-offs [17] - Amazon's fundamentals remain strong, with a well-managed and diversified business model across e-commerce, cloud services, and advertising [18]

Super Micro Computer (SMCI) investors got good news last month after learning that the tech company, which has been mired in controversy in recent months, was able to file its quarterly and annual financials on time, satisfying the Nasdaq exchange. By doing so, it alleviates fears around the accuracy of its financials and it means the stock isn't at risk of being delisted anytime soon.Now that the financials are filed, is it safe to once again buy shares of the company? Let's take a closer look at Supermicr ...

Nasdaq (NDAQ) shares are trading at a discount to the Zacks Securities and Exchanges industry. Its price-to-earnings of 23.4X is higher than the industry average of 24.12X.With a capitalization of $43.8 billion, Nasdaq has been successful in maximizing opportunities as a technology and analytics provider and growing core marketplace business. Its focus on market technology and information services helps businesses explore vast opportunities that are in line with its developmental strategies.Image Source: Za ...