Storage Chip Upgrades, Healthcare Stocks Slide & CART Delivers Earnings Win

Chip Industry - The chip sector is experiencing a rally, with positive developments noted by analysts, particularly for companies like Sandis, Western Digital, and Seagate [2][6] - Loop Capital has raised its price targets for Western Digital to $250 and Seagate to $190, anticipating growth in hard disk drive demand by 2026 [2] - Barclays has increased its price target for Sandis from $39 to $220, citing better visibility driving growth durability, while also raising Palo Alto's target to $230 from $215 [3] - Seagate's price target at Loop Capital has been raised to $465 from $350, with a buy rating maintained, as demand for higher capacity drives is expected to increase [4] - Sandis is raising NAND flash chip prices by 50% for November, indicating a tighter supply-demand dynamic in the memory market [5] - The supply side is constrained, particularly due to high demand from AI data centers, limiting manufacturers' ability to ramp up production [6] Health Insurance Sector - Health insurance stocks are under pressure, particularly Centine and United Health, following comments from former President Trump regarding federal funding for healthcare [9][11] - Trump proposed reallocating funds from insurance companies under the Affordable Care Act directly to the public, which has negatively impacted health insurers [10][11] - The pressure on health insurers is compounded by the ongoing government shutdown discussions, with potential implications for subsidies that benefit these companies [12] Earnings Reports - Cart's stock is facing pressure after missing both revenue and earnings expectations, with adjusted EPS at $0.42 against a forecast of $0.50 and revenue at $852 million versus an expected $934 million [13] - Despite the revenue miss, orders climbed 14% year-over-year, driven by grocery and restaurant delivery demand, although average order value fell [14] - For the holiday quarter, Cart projects gross transaction value between $9.45 billion and $9.6 billion [14]