onsemi’s (NASDAQ: ON) stock price corrected significantly over the last year, setting up today's opportunity. Today's opportunity is a rebound in an oversold name with a solid outlook for long-term growth. The chart action confirms support; the analysts are leading the market, and the Q1 results are better than expected, so this rebound could have legs. The company faces headwinds in 2024, but Q1 results indicate that conditions are better than feared, and a pivot back to growth is expected at the end of the year. onsemi’s end-markets are normalizing, and AI is driving the long-term outlook: onsemi isn’t an AI juggernaut but well-positioned to benefit from the demands higher-computing power will put on the entire tech ecosystem. .
Equity markets began the week on uncertain footing, wobbling at the previous week's close and advancing a slim 0.3% on Monday. The move reveals a hopeful market focused on earnings yet harboring doubt about the FOMC and inflation. The FOMC is meeting this week and is expected to unveil its next policy statement on Wednesday. The fear is that the next move in interest may not come until later in the year. Last week's PCE price index did not give any reason to cut rates, leaving the door open for inflation to accelerate.
The S&P 500 is poised to move higher and may advance regardless of changes in the FOMC outlook. Earnings are still solid and may return the market to retest all-time highs. The risk is that all-time highs may provide an attractive exit for investors fearful of what the 2nd half will bring. The S&P 500 will be capped at all-time highs with the risk of another, larger price correction in this scenario.
onsemi’s (NASDAQ: ON) stock price corrected significantly over the last year, setting up today's opportunity. Today's opportunity is a rebound in an oversold name with a solid outlook for long-term growth. The chart action confirms support; the analysts are leading the market, and the Q1 results are better than expected, so this rebound could have legs. The company faces headwinds in 2024, but Q1 results indicate that conditions are better than feared, and a pivot back to growth is expected at the end of the year. onsemi’s end-markets are normalizing, and AI is driving the long-term outlook: onsemi isn’t an AI juggernaut but well-positioned to benefit from the demands higher-computing power will put on the entire tech ecosystem.
It's an under-the-radar stock reshaping a projected $109 billion industry - And, I believe, has far more potential than the AI stocks most investors are focused on in the days ahead.
It's not easy to break into the U.S. airline industry, which is dominated by four big carriers and a sprinkling of other niche players, but that didn't scare away Andrew Levy.Neither did a pandemic that briefly caused air travel to plummet more than 90%.In April 2021, while COVID-19 still raged and billions of dollars from taxpayers were propping up big airlines, Levy launched Avelo Airlines with flights between Burbank, California, and Las Vegas. The airline saves money by flying older Boeing 737 jets that can be bought at relatively low prices. It operates out of less-crowded and less-costly...
SoFi Technologies Inc. (NASDAQ: SOFI) posted solid first quarter numbers and raised its full-year 2024 guidance. But you wouldn't know that by looking at SOFI stock. After its quarterly earnings report, the fintech company's stock is down 8.3% in early trading. What immediately comes to mind is the 18% short interest on SOFI stock. It's already down 23% in 2024, so it wouldn't take much for short sellers to get the upper hand. That appears to be part of what's happening here. Despite what was otherwise a strong report, SoFi did guide for lower revenue in the coming quarter, and sellers are latching on to the words "transitional year" that were used in the report.
Some of the world's wildest action in financial markets is roiling around the Japanese yen.The value of Japan's currency has tumbled so much that for a moment on Monday it took 160 yen to equal $1. A few years ago, it took closer to 100 yen to make a U.S. dollar. The yen has been so weak that it's back to where it was in 1990, shortly after Japan's famous "bubble economy" burst. After it briefly touched the 160 yen level in overnight hours for traders in New York, the value of a dollar quickly shifted back to 156 yen by midday Monday on the East Coast. Such sudden moves can happen in the foreign-exchange market, which can be notoriously volatile.
The price action in Chipotle Mexican Grill (NYSE: CMG) has been smoking hot, and it is not over yet. The 1100% gain posted since 2017 is the tip of the iceberg for this fast-growing, fast-casual restaurant that is gaining leverage and on the brink of an international expansion. You might say that the ballistic rise in share prices and high 58X earnings price multiple are reasons to fear a correction, and you would be right, but there is a caveat. The company’s growth plans include doubling the North American business and expanding into international markets: international markets could outpace the North American segment over time, doubling the business again.
Samsung Electronics on Tuesday reported a 10-fold increase in operating profit for the last quarter as the expansion of artificial intelligence technologies drives a rebound in the markets for computer memory chips
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