Happy Tuesday afternoon to everyone on The Street. 

Before we dive in, we have a big announcement. The Street Sheet is getting a facelift!

Our redesign will harken back to classic Wall Street, while rooting us squarely in the moment, true to our historically informed and uniquely modern product: Equity research for the everyday investor.

The new design will go live in 6 days, on Monday, 5/5. We can’t wait to enter our next era. Thank you for coming along for the ride.

Now, back to our usual programming.

• 🟩 | US stocks rose today, keeping the S&P 500’s winning streak alive for a sixth session, on rising hopes for international trade deals.

• 📈 | One Notable Gainer: Shares of Hims & Hers $HIMS ( ▲ 25.32% ) took off after Novo Nordisk $NVO ( ▲ 4.2% ) opened its weight-loss drug Wegovy to telehealth providers.

• 📉 | One Notable Decliner: Spotify’s $SPOT ( ▼ 3.0% ) stock slipped after the music streamer “wrapped” a weak quarter.

MARKET MOVERS

Deutsche Bank, General Motors, Pfizer

$DB ( ▲ 4.33% ) Deutsche Bank reports highest profit in 14 years (FT)

$GM ( ▼ 1.04% ) General Motors beats Wall Street estimates, reassesses full-year guidance amid auto tariffs (CNBC)

$PFE ( ▲ 3.38% ) Pfizer Expands Cost-Cutting Measures, Reaffirms Outlook (WSJ)

$REGN ( ▼ 7.36% ) Regeneron's first-quarter results miss on lower Eylea demand (Reuters)

$LEG ( ▲ 31.29% ) Why Leggett & Platt Shares Are Trading Higher By Around 15% (BZ)

OVERHEARD ON THE STREET

CNBC: Amazon $AMZN ( ▼ 0.17% )  will not display tariff costs on low-cost items after President Trump called its CEO Jeff Bezos to complain.

WSJ: Trump plans to ease the impact of his new 25% automotive tariffs by exempting automakers from overlapping duties on parts.

AP: US job openings fell to 7.2 million in March — the lowest since September — amid trade war uncertainty.

CNN: The US economy likely experienced its weakest quarter since the pandemic, per economists’ GDP estimates.

BI: UPS $UPS ( ▼ 0.48% ) will cut 20,000 jobs and close 73 facilities amid a steep drop in Amazon $AMZN ( ▼ 0.17% ) deliveries and tariff impacts.

TOMORROW’S TRADE IDEA, TODAY

Trade War Growth Play: Oxymoron or Opportunity?

Checking Both Boxes

The terms “trade war” and “growth play” don’t exactly go hand-in-hand. Most investors are currently on the lookout for defensive stocks to weather the storm, not those with the potential to propel portfolios back toward recent highs.

But two of America’s biggest banks believe they’ve found the rare stock that checks both boxes — and there’s a good chance you’ve never heard of it.

Managing Tariff Pressures

Both Goldman Sachs $GS ( ▲ 0.58% ) and Bank of America $BAC ( ▲ 0.63% ) hold a bullish outlook on Hesai Group $HSAI ( ▲ 16.86% ) . The company produces lidar sensors for autonomous vehicles. The banks’ analysts believe its strong market position and superior technology will result in growth, despite global trade tensions.

Hesai’s management has gone to great lengths to dispel concerns over US trade exposure. It projects that less than 10% of revenue will come from the US in 2025. Additionally, the company is committed to absorbing some of the costs of tariffs, assuring clients that it will split the new costs 50/50. 

Beyond the US

There is also hope that lidar products will face a lower tariff than other auto parts, and that US-China relations may begin to ease as the nations work toward a trade deal.

However, even if trade disputes continue to intensify, Goldman believes Hesai’s earnings outlook remains strong due to its competitive products and high demand in non-US markets. 

Analyst Tina Hou says name recognition among automakers and consumers will continue to grow, and BofA expects lower pricing to result in accelerated adoption. 

The vast majority of analysts covering the stock give it a Buy or Strong Buy rating. In other words, there may still be growth plays out there, even in this economy.

ON OUR RADAR

WSJ: Canadian Prime Minister Mark Carney won the office on the promise of decoupling Canada’s economy from Trump’s US.

Fortune: The stock market dropped nearly 8% in President Trump’s first 100 days, one of the worst starts for a US president in nearly a century.

AP: US consumer confidence dropped for the fifth consecutive month, reaching its lowest level since the pandemic.

Reuters: Meta Platforms $META ( ▲ 0.96% ) launched a new standalone app for its Meta AI assistant.

CNBC: GOP lawmakers unveiled a plan to overhaul the student loan system, including reducing available repayment plan options.

MONDAY’S POLL RESULTS

Which stock do you think will outperform over the next 12 months?

🟨🟨⬜⬜⬜⬜ Block (XYZ)

🟩🟩🟩🟩🟩🟩 Microsoft (MSFT)

🟨🟨⬜⬜⬜⬜ Roblox (RBLX)

And, in response, you said:

• Microsoft (MSFT) — “It’s the best of the three.”

• Roblox (RBLX) — “I think RBLX big gainer after earnings. A great option in a tariff-laden environment.”

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