Happy Thursday afternoon to everyone on The Street. Here's a snapshot of where markets ended the trading session, plus tomorrow's trade idea delivered to you today.

• 🟩 | US stocks ripped on Thursday driven higher by Nvidia’s better-than-expected quarterly results, which boosted the tech sector and overall market sentiment. The S&P 500, Nasdaq 100, and Dow Jones Industrial Average all closed at all-time highs.

• 📈 | One Notable Gainer: Moderna’s stock jumped 14% after beating fourth-quarter revenue expectations. Deferred revenue and cost cuts gave the vaccine maker a boost.

• 📉 | One Notable Decliner: Following a tough quarterly loss Sunnova shares sank 27%. The company announced it’s exploring asset sales and implementing cost-cutting measures.

• 🎂 | Tomorrow's Trade: Have Your Cake and Eat It Too. Scroll down for more.

Plus, this company is reducing crime by 46%, and their Autonomous Security Robots are gaining traction.

MARKET MOVERS

Nvidia, Lucid, & DoorDash

NVDA (+16%) Nvidia shares pop 16% after AI-fueled bumper earnings (CNBC)

LCID (-17%) Lucid’s stock drops as losses mount for the EV startup, lower 2024 guidance (MarketWatch)

RIVN (-26%) Rivian Lays Off 10% Of Workforce As Lucid Production Underwhelms. Elon Musk Expects Bankruptcies. (IBD)

ETSY (-8%) Etsy’s stock is dropping on earnings miss, slow start to fiscal year (MarketWatch)

DASH (+6%) It’s time to buy DoorDash after a post-earnings sell-off, Morgan Stanley says (CNBC Pro)

POWERED BY KNIGHTSCOPE

Short The Criminals: Knightscope’s Double Digit Growth and Momentum Could Mean A Safer World

It’s a strange world out there ladies and gentlemen. The aftermath of the pandemic has seen an increase in violence in certain areas of the country and internationally. Meanwhile, police violence and racial discrimination are escalating. With that said, there are companies aiming to solve this problem. 

Enter Knightscope: A pioneering public safety firm, Knightscope (NASDAQ: KSCP), introduced innovative AI and robotics, mitigating crime and human error in law enforcement. 

With notable successes in reducing crime by 46%, their Autonomous Security Robots are gaining traction. Recent contracts with major corporations and diverse industries showcase their impact.

The company is currently offering an investment opportunity for interested parties to buy bonds. This includes 10% interest, paid in cash annually, on up to a 5-year bond. This won’t last forever though. Click here to short the criminals.

OVERHEARD ON THE STREET

YF: The number of S&P 500 companies mentioning AI on earnings calls hit a record high. In fourth-quarter earnings calls, 36% of companies mentioned AI, per Goldman Sachs.

ForexLive: Hedge fund Doubleline's Jeffery Gundlach has said that the Federal Reserve may not cut rates at all this year, per BI.

CNBC: Reddit on Thursday filed to go public. The company said it had $804 million in annual sales for 2023, up 20% from the $666.7 million it brought in the previous year. The company said it has incurred net losses since its inception.

BBG: There were 635 US commercial real estate foreclosures in January, up 17% from the previous month and roughly twice as many as in January 2023, according to a report from Attom.

Reuters: Bankrupt crypto exchange FTX may sell its shares in artificial intelligence startup Anthropic, a U.S. judge ruled Thursday.

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TOMORROW’S TRADE IDEA, TODAY

Have Your Cake and Eat It Too

A Step Ahead

Even though Jeffery Gundlach is bearish, most of Wall Street is still optimistic that the Fed will cut rates in 2024. If and when this happens, bond and fixed-income rates will come back down to earth as well. This means investors will have to hunt for yield. But, how do you do that somewhat safely?

One option is dividend-paying stocks, according to Bank of America. The bank believes that investors, particularly retirees, could shift into these equities in the near future. 

Dividend stocks start to look more and more attractive when investors can no longer find the income they’re seeking in fixed-income securities.

Considering Other Factors

Rational Equity Armor Fund’s Brian Stutland is bullish on dividend-paying stocks as well. He has a checklist investors need to look for in potential dividend-paying stocks that could help them manage risk.

According to Stutland, the key to picking dividend stocks is finding companies that balance yield and growth potential. He urges investors to look for larger companies with high profit margins, stable earnings, low valuations, and a history of share buy-backs.

The Best of Both Worlds

With that framework in mind, Stutland is bullish on several stocks including Walmart (WMT), Target (TGT), Home Depot (HD), and Verizon (VZ).

These companies offer investors both income and growth. Stutland believes that economic cycles and consumer spending trends put them in a good spot. 

McDonald’s (MCD) and Coca-Cola (KO) also made the list. In the past, both companies have continued to pay dividends regardless of the overall economic situation. 

For investors who want to have their cake and eat it too, these stocks could fit the bill.

POWERED BY KNIGHTSCOPE

Short The Criminals: Knightscope’s Double Digit Growth and Momentum Could Mean A Safer World

It’s a strange world out there ladies and gentlemen. The aftermath of the pandemic has seen an increase in violence in certain areas of the country and internationally. Meanwhile, police violence and racial discrimination are escalating. With that said, there are companies aiming to solve this problem. 

Enter Knightscope: A pioneering public safety firm, Knightscope (NASDAQ: KSCP), introduced innovative AI and robotics, mitigating crime and human error in law enforcement. 

With notable successes in reducing crime by 46%, their Autonomous Security Robots are gaining traction. Recent contracts with major corporations and diverse industries showcase their impact.

The company is currently offering an investment opportunity for interested parties to buy bonds. This includes 10% interest, paid in cash annually, on up to a 5-year bond. This won’t last forever though. Click here to short the criminals.

ON OUR RADAR

Axios: Nearly 16% of U.S. millennials lived with their parents in 2022.

NYP: The typical U.S. household needed to pay $213 more a month in January to purchase the same goods and services it did one year ago because of still-high inflation, according to new calculations from Moody's Analytics chief economist Mark Zandi.

YF: This year’s average tax refund amount was $1,395 as of Feb. 2, down 28.9% from $1,963 for the same period last year, the IRS reported.

BI: Gen Z employees are unhappier at work than any other generation.

Axios: Engagement with political news and news generally is down considerably compared to the last presidential primary election cycle, as Americans continue to funnel their attention toward lighter topics, like sports and entertainment.

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