Breakfast News: The Way It’s Meant To Be
November 18, 2024
| Tuesday's Markets | |
|---|---|
| S&P 500 5,871 (-1.32%) |
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| Nasdaq 18,680 (-2.24%) |
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| Dow 43,445 (-0.7%) |
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| Bitcoin 91,386 (+3.46%) |
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Source: Image created by Jester AI.
1. Powering Advanced AI
First recommended by TMF co-founder David Gardner in 2005, Nvidia’s (NVDA -0.02%) Q3 earnings are due Wednesday. Forecasts show earnings of $0.74 per share, up 83% year over year. With the shares already up 188% in 12 months (and 86,907% since that 2005 Stock Advisor pick), the company’s future outlook could be key.
- Reports of overheating in some server configurations: The new Blackwell AI chips launch is not all plain sailing. Nvidia says it’s working on it.
- Potential increase in tariffs: Industry observers warn higher taxes on imported chips from Taiwan Semiconductor (TSM -2.03%) could hurt companies who use them, like Nvidia and Advanced Micro Devices (AMD -4.31%).
2. Next Up: Notable Earnings
Tuesday brings a Q4 update from Walmart (WMT 1.09%) after three quarters of earnings beats. Forecasts show slowing earnings, but still a strong outlook in a challenging year.
- Down 50% since 2020’s IPO: Snowflake (SNOW 1.38%) will post Q3 results on Wednesday, with a loss per share expected despite Q2 seeing revenue beating estimates.
- Analysts expect a return to growth in 2025: Revenue and earnings at Deere & Company (DE -0.79%) declined in Q3, with further drops expected for Q4 on Thursday.
3. Stock Rally Fades
Buoyant since the election, the stock market saw falls last week as Chair Jerome Powell made it clear the Federal Reserve is not in a rush to make further interest rate cuts.
- Down more than 2%: The S&P 500 gave up some of its 2024 gains, but it’s still up 23% year to date.
- Tech fall: The Nasdaq dipped further, down 3%. However, it’s risen 24% so far this year.
4. Are You Not Entertained?
Friday’s fight between Jake Paul and Mike Tyson brought in record views for Netflix (NFLX -0.48%), as 60 million households tuned in, with a peak of 65 million streams.
- “The boxing mega-event dominated social media”: Netflix said the popularity of the bout “even had our buffering systems on the ropes.”
- Cowboy Carter: Netflix heads to its first live NFL games at Christmas, with pop superstar Beyoncé lined up to provide the halftime entertainment for the Ravens-Texans match.
5. IPO Window Reopening
We’ve had a weak couple of years for IPOs, but that could be changing. Investment bank stocks have risen. The Destiny Tech100 (DXYZ -1.59%) fund, which invests in companies like SpaceX and OpenAI, has spiked 175% in the past month.
- Estimated valuation of around $14.6 billion: Klarna Group filed for IPO last week, planning to list on the New York exchange in the first half of 2025.
- “Looking into IPOs of our local assets”: Veon (VEON -1.28%) CEO Kaan Terzioglu says we could see a U.S. IPO for its Ukraine-based Kyivstar next year.
5. Food for Thought
What’s one private company you’d really like to go public so you could invest in it? Discuss with friends and family, or become a Motley Fool member to hear what your fellow Fools are saying!
