HAPPY WEDNESDAY TO THE STREET
Nvidia (NVDA) is back to flexing. The chipmaker hit a fresh record high after Bank of America (BAC) and Wells Fargo (WFC) both lifted their price targets ahead of next Wednesday's earnings.
As we all know, high expectations going into Nvidia earnings always pay off…
🟩 | The S&P 500 rose to a fresh record today, as big tech gains buttressed the index from another hotter-than-hoped inflation print.
📈 | One Notable Gainer: Nebius (NBIS) surged more than 15% after Q1 revenue jumped 684% on rising AI cloud demand.
📉 | One Notable Decliner: Wix (WIX) plunged some 30% after adjusted Q1 earnings missed consensus by nearly half.
— Brooks & Cas
MARKET SNAPSHOT
S&P 500 Heatmap. Credit: Unusual Whales
WHAT WILL TRUMP SAY DURING THE BILATERAL WITH CHINA?
President Trump just touched down in Beijing with Elon Musk and Jensen Huang in tow, and prediction markets are pricing the soundtrack.
Will the bilateral with Xi feature oil, tariffs, or AI? Right now it's basically a coin flip across all three. (Smart money may be on "all of the above.")
Market Movers
ECHOSTAR, BIRKENSTOCK, ALIBABA
📉 | Birkenstock (BIRK) fell after missing on both lines and blaming Middle East war pressure on EMEA.
📈 | Alibaba (BABA) climbed after its cloud unit posted 38% Q1 revenue growth.
📉 | Resideo Technologies (REZI) plunged after guiding current-quarter earnings and revenue below consensus.
📈 | Akamai Technologies (AKAM) rose after Bank of America upgraded the stock to Buy and lifted its target to $175.
Tomorrow's Trade Idea, Today
IS ZBRA EARNING ITS STRIPES?
Stock Spotlight
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Scanning Higher
Little-known barcode-and-RFID specialist Zebra Technologies popped yesterday after a Q1 beat drove its best single session in a year.
KeyBanc analyst Ken Newman thinks the Zebra is just beginning to gallop.
The Conservative Case
Newman sees three tailwinds lining up: a rebound in short-cycle demand, sharper cost execution, and a management team with a well-earned reputation for guiding conservatively.
Lingering concerns around memory costs and retail IT capex budgets, in his read, are already baked into the multiple. That leaves room for expansion in line with Industrial Tech peers.
Herd Mentality
The broader Street is mostly along for the ride. Of the 20 analysts covering Zebra, 13 carry a Buy or Strong Buy rating, while seven sit at Hold.
Shares are flat year to date, lagging the broader tape. But if KeyBanc is right, ZBRA is earning its stripes.
Do you own any shares of Zebra Technologies (ZBRA)?
OVERHEARD ON THE STREET
🏛️ | Kevin Warsh won Senate confirmation as the next Fed chair in a 54-45 vote, set to take over for Jerome Powell this Friday.
Before Jan 2027: 27%
Before Jul 2026: 63%
📈 | US producer prices jumped 6% year-over-year in April, the biggest gain in over three years, as the Iran war pushed energy costs sharply higher.
💼 | Microsoft (MSFT)-owned LinkedIn will cut 5% of its 17,500-person workforce as part of a broader reorg.
🏈 | Netflix (NFLX) inked a four-year deal for three more NFL games, including a Thanksgiving Eve matchup and an opening-week international fixture.
🎓 | Princeton voted to require proctoring in all in-person exams starting this summer, reversing its 1893 honor code over AI cheating concerns.
TUESDAY’S POLL RESULTS
Do you own any shares of Lowe's (LOW)?
▇▇▇▇▇▇ 🐂 Yup, I’m holding
▇▇▇▇▇▇ 🐻 Nope, not interested
▇▇▇▇▇▇ 👀 No, but I’m interested
And, in response, you said:
🐂 Yup, I’m holding — “Purchased it for the dividend. People doing home improvements.”
🐻 Nope, not interested — “I have had very little success in relying on the consumer to come through.”
👀 No, but I’m interested — “Liabilities to assets out of proportion, as well as I feel it is overpriced right now.”
