vzphotos/iStock Editorial via Getty Images Introduction Micron Technology, Inc. ( MU ) has increasingly moved to the forefront of Wall Street attention as the memory maker benefits from surging demand for memory used in AI systems. The stock price speaks for itself, as Micron has been one of the market’s strongest performers in recent weeks and has significantly outpaced the broader market ( SPX )...
vzphotos/iStock Editorial via Getty Images Introduction Micron Technology, Inc. ( MU ) has increasingly moved to the forefront of Wall Street attention as the memory maker benefits from surging demand for memory used in AI systems. The stock price speaks for itself, as Micron has been one of the market’s strongest performers in recent weeks and has significantly outpaced the broader market ( SPX ). Data by YCharts Micron’s business is centered on DRAM, NAND, and high-bandwidth memory, or HBM, which are critical components for AI servers, data centers, PCs, smartphones, and a wide range of industrial and automotive applications. What matters most right now is that AI infrastructure has sharply increased demand for advanced memory, while supply has remained tight. In January, Reuters reported that memory-chip prices in some segments had more than doubled from the prior year as AI infrastructure demand created a global supply crunch and manufacturers redirected capacity toward HBM. Micron is and will likely remain cyclical. However, the traditional definition of cyclicality no longer fully applies. The current upcycle appears longer, stronger, and more structurally supported than in the past, driven by AI-related demand, tighter industry supply, and a growing share of longer-term customer agreements. At the same time, Micron still does not look expensive, but that apparent cheapness depends largely on forward earnings estimates. Why Micron might be undervalued Let's briefly have a look at Micron's latest quarterly financials , only briefly, as others have covered this part already. It still also feeds my own thesis, as calling it a blowout quarter is an understatement. Revenue beat estimates by $4.35B, reaching $23.86B, and adjusted EPS came in at $12.2, $3.23 more than expected. SA Margin expansion is terrific, on both a GAAP and a non-GAAP basis, and for both gross and operating margins, indicating that top-line growth leads to an accelerating bottom-line expansion. ...
vzphotos/iStock Editorial via Getty Images Introduction Micron Technology, Inc. ( MU ) has increasingly moved to the forefront of Wall Street attention as the memory maker benefits from surging demand for memory used in AI systems. The stock price speaks for itself, as Micron has been one of the market’s strongest performers in recent weeks and has significantly outpaced the broader market ( SPX )...
vzphotos/iStock Editorial via Getty Images Introduction Micron Technology, Inc. ( MU ) has increasingly moved to the forefront of Wall Street attention as the memory maker benefits from surging demand for memory used in AI systems. The stock price speaks for itself, as Micron has been one of the market’s strongest performers in recent weeks and has significantly outpaced the broader market ( SPX ). Data by YCharts Micron’s business is centered on DRAM, NAND, and high-bandwidth memory, or HBM, which are critical components for AI servers, data centers, PCs, smartphones, and a wide range of industrial and automotive applications. What matters most right now is that AI infrastructure has sharply increased demand for advanced memory, while supply has remained tight. In January, Reuters reported that memory-chip prices in some segments had more than doubled from the prior year as AI infrastructure demand created a global supply crunch and manufacturers redirected capacity toward HBM. Micron is and will likely remain cyclical. However, the traditional definition of cyclicality no longer fully applies. The current upcycle appears longer, stronger, and more structurally supported than in the past, driven by AI-related demand, tighter industry supply, and a growing share of longer-term customer agreements. At the same time, Micron still does not look expensive, but that apparent cheapness depends largely on forward earnings estimates. Why Micron might be undervalued Let's briefly have a look at Micron's latest quarterly financials , only briefly, as others have covered this part already. It still also feeds my own thesis, as calling it a blowout quarter is an understatement. Revenue beat estimates by $4.35B, reaching $23.86B, and adjusted EPS came in at $12.2, $3.23 more than expected. SA Margin expansion is terrific, on both a GAAP and a non-GAAP basis, and for both gross and operating margins, indicating that top-line growth leads to an accelerating bottom-line expansion. ...
US natural gas futures fell for a second day as weather forecasts shifted milder, indicating lower demand for the heating and power-plant fuel, and as falling oil prices caused financial outflows from baskets of energy futures contracts. Traders sold off oil contracts following comments by US President Donald Trump that he was in talks to end the war in Iran, pulling down US gas futures despite th...
US natural gas futures fell for a second day as weather forecasts shifted milder, indicating lower demand for the heating and power-plant fuel, and as falling oil prices caused financial outflows from baskets of energy futures contracts. Traders sold off oil contracts following comments by US President Donald Trump that he was in talks to end the war in Iran, pulling down US gas futures despite the US gas market being largely insulated from overseas energy markets in the short run. “While the end of the war remains far from certain, the breather may be sufficient to allow near-term, war-derived support for natural gas to ebb, Eli Rubin , senior energy analyst at EBW Analytics Group said in a Monday note to clients. Futures for April delivery -16c, or -5.1%, to $2.935/mmbtu on Nymex, as of 8:49am ET Weather: Forecasts shifted warmer, with above-average temperatures expected across the western two-thirds of the US through April 1: Commodity Weather Group See WHUT for a map of latest 6-10 day weather forecast: NOAA Click here for two-week temperature forecasts for the U.S. Daily BNEF Gas Data: Lower-48 dry gas production on Monday ~112.4 bcf/day, or +4.3% y/y Lower-48 total gas demand on Monday ~81.5 bcf/day, or +7.4% y/y Dry gas exports to Mexico on Monday ~6.3 bcf/day, or +6.4% w/w Estimated gas flows to LNG export terminals on Monday ~19.9 bcf/day, or -1.8% w/w Gas Market News: European Gas Resumes Gains as US and Iran Trade Hormuz Threats Global LNG Exports Fall to Six-Month Low on Middle East Conflict European Gas Next Winter-Summer Spread Tops €15/MWh: BNEF Chart Oil Tumbles as Trump Claims Talks on Ending Middle East Conflict
JHVEPhoto PepsiCo ( PEP ) is aggressively rolling out AI initiatives broadly across its China operations to boost efficiency, capacity, and localization across the value chain. The food and beverage giant said the company is now deploying AI "across its operations in China and beyond" rather than in isolated pilots, positioning AI as a core part of its digital transformation and growth strategy in...
JHVEPhoto PepsiCo ( PEP ) is aggressively rolling out AI initiatives broadly across its China operations to boost efficiency, capacity, and localization across the value chain. The food and beverage giant said the company is now deploying AI "across its operations in China and beyond" rather than in isolated pilots, positioning AI as a core part of its digital transformation and growth strategy in the country, not just a cost-cutting lever. Notably, PepsiCo ( PEP ) is applying AI to precision agriculture to optimize crop yields and quality for locally sourced ingredients, while also using AI in manufacturing and supply chain management to enhance plant efficiency and expand capacity without a proportional increase in headcount, even as it continues hiring with new plant openings in China. The company is also using AI-driven consumer and market analytics to better understand local behavior and preferences, enabling more tailored products and marketing for Chinese consumers. On a strategic level, PepsiCo ( PEP ) has a goal to target local sourcing, with roughly 95% of ingredients in Asia Pacific sourced locally, and AI is helping to manage supply chain risk and cost pressures along the way. The AI implementation is also supporting a shift toward more premium, nutrient-dense, lower-sugar, and lower-sodium products that fit Chinese culinary traditions and respond to intense local competition. The China-focused moves tie into PepsiCo's ( PEP ) global AI push, including a multi-year collaboration with Siemens and NVIDIA to use AI and digital twins to redesign plants and supply chains, with early pilots already showing higher throughput and lower capex. Shares of PepsiCo ( PEP ) are up 1.8% in premarket trading to $152.70 vs. the 52-week range of $127.60 to $171.48. The dividend yield for new buyers of the stock is 3.8%. More on Pepsico PepsiCo: Improving, But Core Problems Remain Sell Options On PepsiCo For A 10%+ Yield PepsiCo: Shares Pop In Early 2026, Valuation Is Stil...
This article first appeared on GuruFocus. For most of the past three years, the S&P 500 (SPY) index has moved closely with the Magnificent Seven Nvidia (NASDAQ:NVDA), Apple (NASDAQ:AAPL), Microsoft (NASDAQ:MSFT), Alphabet (NASDAQ:GOOG), Amazon (NASDAQ:AMZN), Meta (NASDAQ:META) and Tesla (NASDAQ:TSLA). That relationship turned negative on Feb. 23, when the correlation between the group and the equa...
This article first appeared on GuruFocus. For most of the past three years, the S&P 500 (SPY) index has moved closely with the Magnificent Seven Nvidia (NASDAQ:NVDA), Apple (NASDAQ:AAPL), Microsoft (NASDAQ:MSFT), Alphabet (NASDAQ:GOOG), Amazon (NASDAQ:AMZN), Meta (NASDAQ:META) and Tesla (NASDAQ:TSLA). That relationship turned negative on Feb. 23, when the correlation between the group and the equal-weighted S&P 500 slipped below zero, signaling a divergence that has continued to deepen. The break comes as geopolitical tensions, including the war in Iran, ripple through markets and push oil prices higher. It also follows a stretch where Big Tech lagged, with the Magnificent Seven index declining 7.3% from late October through February, while the equal-weighted S&P 500 advanced 8.9%, led by cyclical sectors. More recently, the dynamic appears to be shifting again. While the broader market has come under pressure, the decline in Big Tech has been comparatively smaller, suggesting some relative resilience. At the same time, valuations have reset, with the Magnificent Seven now trading below 25 times estimated earnings, down from nearly 33 times in October and beneath its longer-term average. Strategists point to this reset, alongside signs that capital flows may be rotating back toward US equities, as a potential setup for renewed leadership, particularly given the group's significant weight in the S&P 500. There are still key risks that could temper that view. Nvidia, the largest component, has traded sideways in recent months after an extended rally, with investors questioning whether growth expectations tied to AI demand are becoming stretched. Meanwhile, heavy spending on AI infrastructure is weighing on free cash flow for major hyperscalers such as Amazon, Microsoft, Alphabet and Meta, with combined figures projected to fall sharply this year compared with prior periods. Even so, earnings for the Magnificent Seven are still expected to grow faster than the rest of ...
The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was up 1.7%, and the actively tra Upgrade to read this MT Newswires article and get so much more. A Silver or Gold subscription plan is required to access premium news articles.
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JHVEPhoto/iStock Editorial via Getty Images Super Micro Computer ( SMCI ) shares plunged 33% to close at $20.53 on March 20, confirming a sharp technical breakdown with the price falling below key support levels. The selloff followed news that three individuals linked to the company, including a co-founder, were charged with assisting in the smuggling of at least $2.5B worth of AI technology to Ch...
JHVEPhoto/iStock Editorial via Getty Images Super Micro Computer ( SMCI ) shares plunged 33% to close at $20.53 on March 20, confirming a sharp technical breakdown with the price falling below key support levels. The selloff followed news that three individuals linked to the company, including a co-founder, were charged with assisting in the smuggling of at least $2.5B worth of AI technology to China, triggering a sharp negative sentiment shift. Separately, Super Micro Computer ( SMCI ) said in a filing Friday that co-founder Yih-Shyan Liaw has resigned from its board, effective immediately, after being arrested by the U.S. Justice Department on charges related to the alleged smuggling of billions of dollars worth of AI chips to China. Super Micro's momentum appears heavily skewed to the downside , with the 14-day RSI around 24, signaling oversold conditions and persistent selling pressure. Trend indicators remain firmly bearish, with the stock trading below all major levels, including the 50-day moving average, highlighting a fully aligned downtrend. Short interest, meanwhile, stands at approximately 14.7%, pointing to elevated bearish positioning and the potential for volatility. Super Micro ( SMCI ) shares were down -0.88% premarket on Monday, before turning slightly positive (+0.24%). More on Super Micro Computer Super Micro: Ignore Bad Optics Super Micro: Another Perfect Storm Super Micro: From Undervalued To Uninvestable Super Micro Computer options: bulls ambushed, bears scramble Super Micro crashes after Chinese smuggling allegations; analyst calls it a 'train wreck'
By Toby Sterling AMSTERDAM, March 22 (Reuters) - Nebius closed a $4.34 billion convertible debt funding round on Monday, with a company executive saying that the European AI infrastructure firm is now "well-funded" to meet its 2026 capital spending plans of $16 billion to 20 billion. The financing caps a month in which Nebius sold $2 billion of share warrants to Nvidia and sealed a deal worth u...
By Toby Sterling AMSTERDAM, March 22 (Reuters) - Nebius closed a $4.34 billion convertible debt funding round on Monday, with a company executive saying that the European AI infrastructure firm is now "well-funded" to meet its 2026 capital spending plans of $16 billion to 20 billion. The financing caps a month in which Nebius sold $2 billion of share warrants to Nvidia and sealed a deal worth up to $27 billion to supply Facebook-owner Meta with data center capacity, underscoring investor appetite for AI infrastructure. Chief Communications Officer Tom Blackwell said the company will keep expanding and may strike additional deals like the Meta contract, which followed a $17.3 billion supply deal with Microsoft in September. "We'll continue to consider these types of deals as we go, just because if they're structured in the right way, they can be a very efficient source of capital," he said. STRATEGIC FOCUS ON AI CLOUD Blackwell said the big contract wins were not only a validation of its expertise, but also a way to fund a business that will sustain it in years beyond the current AI demand frenzy - offering AI cloud services to firms on top of the physical infrastructure it provides. He rejected the idea that Nebius is expanding too quickly and will be left vulnerable in a downturn. "As long as enterprise AI adoption does continue to increase... the need for what we're doing is going to make sense," he said. Nebius plans to fund 60% of growth from customer prepayments - largely Microsoft and Meta - and 40% through a mix of equity and debt, Blackwell said. On March 10, the firm sold $2 billion in share warrants to Nvidia at a share price of $94.94. Monday's convertible bond offering was increased amid strong demand, Blackwell said. It featured a rate of 2.63% for notes due in 2033, with conversion at roughly 90% above the company's closing stock price Friday of $117.62. "We've managed to achieve a significant amount of funding while really minimizi...
(RTTNews) - Following the nosedive seen in the previous session, stocks are likely to show a strong move back to the upside in early trading on Monday. The major index futures are currently pointing to a sharply higher open for the markets, with the S&P 500 futures up by 2.0 percent. Traders may look to pick up stocks at reduced levels following the recent slump, which dragged the Nasdaq and the S...
(RTTNews) - Following the nosedive seen in the previous session, stocks are likely to show a strong move back to the upside in early trading on Monday. The major index futures are currently pointing to a sharply higher open for the markets, with the S&P 500 futures up by 2.0 percent. Traders may look to pick up stocks at reduced levels following the recent slump, which dragged the Nasdaq and the S&P 500 down to their lowest closing levels in over six months. Buying interest is likely to be generated in reaction to President Donald Trump backing down from his threats to "obliterate" Iran's power plants unless they fully reopen the Strait of Hormuz. In a post on Truth Social, Trump said the U.S. and Iran have had "very good and productive conversations regarding a complete and total resolution of our hostilities in the Middle East." Trump said he has subsequently instructed the War Department to postpone all military strikes and Iran's power plants and energy infrastructure for a five-day period. The president previously threated to "obliterate" Iran's power plants of they didn't reopen the Strait of Hormuz within 48 hours and claimed he wasn't interested in a deal with Iran. Iran warned it would strike energy and water infrastructure across the Gulf in retaliation if Trump followed through with his threat. While the price of crude oil has plummeted in reaction to Trump's latest claims, a report from Iran's official Fars news agency denied Tehran was engaged in any direct negotiations with the U.S. nor through intermediaries. Extending the slump seen over the two previous sessions, stocks moved sharply lower during trading on Friday. With the extended nosedive, the Nasdaq and the S&P 500 plunged to their lowest closing levels in over six months. The Dow and the Nasdaq dipped into contraction territory, reflecting a 10 percent plunge from their latest highs, before regaining some ground going into the end the day. The tech-heavy Nasdaq led the way lower, plummeting 443...
Empery Digital ( EMPD ) on Monday said that it has agreed to raise about $25 million through a registered direct offering to an existing institutional investor. The company will sell about 4.64 million shares, or pre-funded warrants, along with an equal number of accompanying warrants at a combined price of $5.39 per unit, representing 103% of net asset value at signing. The warrants will have an ...
Empery Digital ( EMPD ) on Monday said that it has agreed to raise about $25 million through a registered direct offering to an existing institutional investor. The company will sell about 4.64 million shares, or pre-funded warrants, along with an equal number of accompanying warrants at a combined price of $5.39 per unit, representing 103% of net asset value at signing. The warrants will have an exercise price of $6.27 per share and expire four years after issuance. The offering is expected to close on or about March 24, subject to customary conditions. Empery Digital said it plans to use the proceeds, along with cash on hand, to reduce outstanding debt by about $40 million, including repaying a $50 million repo facility. The company also said it has repurchased about 22.4 million shares under its $200 million buyback program as of March 20. Separately, Empery Digital said it sold 63 bitcoin during the week ended March 20 for about $4.6 million in gross proceeds and currently holds 3,439 bitcoin in its treasury. EMPD -3.27% premarket to $4.13. Source: Press Release More on Volcon Empery Digital repurchased 15.40M shares under $200M buyback program Financial information for Volcon
Most of us have heard the dictum "the trend is your friend." And this is undeniably the key to success when it comes to short-term investing or trading. But it isn't easy to ensure the sustainability of a trend and profit from it. Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ...
Most of us have heard the dictum "the trend is your friend." And this is undeniably the key to success when it comes to short-term investing or trading. But it isn't easy to ensure the sustainability of a trend and profit from it. Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ensure that there are enough factors -- such as sound fundamentals, positive earnings estimate revisions, etc. -- that could keep the momentum in the stock going. Our "Recent Price Strength" screen, which is created on a unique short-term trading strategy, could be pretty useful in this regard. This predefined screen makes it really easy to shortlist the stocks that have enough fundamental strength to maintain their recent uptrend. Also, the screen passes only the stocks that are trading in the upper portion of their 52-week high-low range, which is usually an indicator of bullishness. There are several stocks that passed through the screen and Eton Pharmaceuticals, Inc. (ETON) is one of them. Here are the key reasons why this stock is a solid choice for "trend" investing. A solid price increase over a period of 12 weeks reflects investors' continued willingness to pay more for the potential upside in a stock. ETON is quite a good fit in this regard, gaining 32.6% over this period. However, it's not enough to look at the price change for around three months, as it doesn't reflect any trend reversal that might have happened in a shorter time frame. It's important for a potential winner to maintain the price trend. A price increase of 24.5% over the past four weeks ensures that the trend is still in place for the stock of this company. Moreover, ETON is currently trading at 94.3% of its 52-week High-Low Range, hinting that it can be on the verge of a breakout. Looking at the fundamentals, the stock currently carries a Zacks Rank #1 (Strong Buy), which means it is in the top 5...
While "the trend is your friend" when it comes to short-term investing or trading, timing entries into the trend is a key determinant of success. And increasing the odds of success by making sure the sustainability of a trend isn't easy. Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's import...
While "the trend is your friend" when it comes to short-term investing or trading, timing entries into the trend is a key determinant of success. And increasing the odds of success by making sure the sustainability of a trend isn't easy. Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ensure that there are enough factors -- such as sound fundamentals, positive earnings estimate revisions, etc. -- that could keep the momentum in the stock going. Our "Recent Price Strength" screen, which is created on a unique short-term trading strategy, could be pretty useful in this regard. This predefined screen makes it really easy to shortlist the stocks that have enough fundamental strength to maintain their recent uptrend. Also, the screen passes only the stocks that are trading in the upper portion of their 52-week high-low range, which is usually an indicator of bullishness. BrightSpring Health Services, Inc. (BTSG) is one of the several suitable candidates that passed through the screen. Here are the key reasons why it could be a profitable bet for "trend" investors. A solid price increase over a period of 12 weeks reflects investors' continued willingness to pay more for the potential upside in a stock. BTSG is quite a good fit in this regard, gaining 9.2% over this period. However, it's not enough to look at the price change for around three months, as it doesn't reflect any trend reversal that might have happened in a shorter time frame. It's important for a potential winner to maintain the price trend. A price increase of 0.4% over the past four weeks ensures that the trend is still in place for the stock of this company. Moreover, BTSG is currently trading at 87.6% of its 52-week High-Low Range, hinting that it can be on the verge of a breakout. Looking at the fundamentals, the stock currently carries a Zacks Rank #1 (Strong Buy), which means it is i...
Quarterly financial reports play a vital role on Wall Street, as they help investors see how a company has performed and what might be coming down the road in the near-term. And out of all of the metrics and results to consider, earnings is one of the most important. We know earnings results are vital, but how a company performs compared to bottom line expectations can be even more important when ...
Quarterly financial reports play a vital role on Wall Street, as they help investors see how a company has performed and what might be coming down the road in the near-term. And out of all of the metrics and results to consider, earnings is one of the most important. We know earnings results are vital, but how a company performs compared to bottom line expectations can be even more important when it comes to stock prices, especially in the near-term. This means that investors might want to take advantage of these earnings surprises. The ability to identify stocks that are likely to top quarterly earnings expectations can be profitable, but it's no simple task. Here at Zacks, our Earnings ESP filter helps make things easier. The Zacks Earnings ESP, Explained The Zacks Earnings ESP is more formally known as the Expected Surprise Prediction, and it aims to grab the inside track on the latest analyst estimate revisions ahead of a company's report. The idea is relatively intuitive as a newer projection might be based on more complete information. The core of the ESP model is comparing the Most Accurate Estimate to the Zacks Consensus Estimate, where the resulting percentage difference between the two equals the Expected Surprise Prediction. The Zacks Rank is also factored into the ESP metric to better help find companies that appear poised to top their next bottom-line consensus estimate, which will hopefully help lift the stock price. Bringing together a positive earnings ESP alongside a Zacks Rank #3 (Hold) or better has helped stocks report a positive earnings surprise 70% of the time. Furthermore, by using these parameters, investors have seen 28.3% annual returns on average, according to our 10 year backtest. Most stocks, about 60%, fall into the #3 (Hold) category, and they are expected to perform in-line with the broader market. Stocks with a #2 (Buy) and #1 (Strong Buy) rating, or the top 15% and top 5% of stocks, respectively, should outperform the market, with ...