Market Momentum Shifts, But These 3 Stocks Are Built to Last

Group 1: Market Overview - The market momentum shifted in late February, with the S&P 500 beginning to sell off due to increased uncertainty related to Trump's tariffs and policy changes, alongside a growing risk of recession [1] - Investors are advised to focus on blue chip companies with strong fundamentals, which include organic business growth, demand for products and services, and healthy margins [1] Group 2: Oracle's Performance - Oracle's FQ3 results showed continued growth in key segments, despite being below consensus forecasts, with an outlook for acceleration in 2025 and 2026 [2] - The cloud infrastructure segment experienced double-digit growth, driven by increasing demand from hyperscalers like Google, Amazon, and Microsoft [2] - Oracle plans to double its capacity by year-end and continue expanding its data center operations, positioning itself to gain market share in the cloud [2] Group 3: Financial Health of Oracle - Oracle reported positive cash flow, a growing cash balance, and a significant increase in shareholder equity, which nearly doubled [3] - The company's debt ratio improved from 8x to 5x equity, enhancing its financial outlook, which includes a 25% increase in dividend distribution for F2026 [3] - Analysts maintain a bullish rating on Oracle, forecasting at least an 18% upside from the March 11th lows [3] Group 4: Costco's Performance - Costco's FQ2 earnings report was below analysts' forecasts, but the company is outperforming peers with a 9% growth and increasing market share [4] - Costco is on track to reach a cash balance of $18 billion by the end of next year, which historically leads to substantial special dividends [4] Group 5: AutoZone's Growth - AutoZone's FQ2 results were slightly below estimates, but the company achieved a revenue growth of 2.3% while maintaining solid margins [7] - Share repurchases are a key driver of AutoZone's stock price, with a reduction of about 3.2% in share count for the quarter and 3.9% for the year [8] - Analysts are raising price targets for AutoZone, with a consensus estimate forecasting a low-single-digit increase from critical support levels, reflecting a 22% increase over the last year [8]