Market Overview
Today, the stock market continued its upward trend from last Friday. The S&P 500 rose by 1.0% to close at 5,130, marking its highest level since April 11. The Nasdaq Composite and Russell 2000 both increased by 1.2%, while the Dow Jones Industrial Average saw a more modest gain of 0.5%. The market maintained a narrow range for most of the day, but a surge in buying activity in the last 30 minutes led to new intraday highs for both the S&P 500 and Nasdaq Composite.
Sector and Stock Performance
The gains were broad-based, with the equal-weighted S&P 500 closing up by 0.8%. Notable contributions came from the mega cap and semiconductor sectors. The Vanguard Mega Cap Growth ETF (MGK, Financial) advanced by 1.4%, and the PHLX Semiconductor Index (SOX) increased by 2.2%. Significant stock movers included Meta Platforms (META, Financial), which climbed by 3.0%, NVIDIA (NVDA, Financial) by 3.8%, Microsoft (MSFT, Financial) by 1.7%, Amazon.com (AMZN, Financial) by 1.3%, and Eli Lilly (LLY, Financial) by 4.3%. These stocks, which constitute nearly 20% of the S&P 500, also helped push the information technology and communication services sectors up by 1.5% and 1.4%, respectively.
Market Influences
The tranquility in the Treasury markets also supported the positive market sentiment. The yield on the 10-year note decreased slightly by one basis point to 4.49%, while the 2-year note yield edged up by one basis point to 4.82%. Additionally, there were no significant U.S. economic reports released today. Investors are looking forward to the March Consumer Credit report, scheduled for release tomorrow at 3:00 p.m. ET.
Global Markets and Commodities
Internationally, European markets saw gains with the DAX up by 1.0% and the CAC increasing by 0.5%. Asian markets were mixed; the Shanghai index rose by 1.2%, and the Hang Seng by 0.6%. In commodities, crude oil prices slightly increased by $0.36 to $78.41, while gold and silver prices rose to $2331.10 and $27.60, respectively. Natural gas prices remained unchanged.
Year-to-Date Performance
Year-to-date, the Nasdaq Composite has risen by 8.9%, the S&P 500 by 8.6%, the S&P Midcap 400 by 6.8%, the Dow Jones Industrial Average by 3.1%, and the Russell 2000 by 1.7%.
Guru Stock Picks
Private Capital has made the following transactions:
- Add in PWFL by 18.67%
Tweedy Browne has made the following transactions:
Today's News
Palantir Technologies (PLTR, Financial) reported a solid first quarter with non-GAAP EPS of $0.08 and a revenue increase of 20.8% year-over-year to $634.33M, surpassing expectations. The company also raised its full-year revenue forecast to between $2.677B and $2.689B, a slight increase from previous estimates. This positive outlook reflects strong growth in both U.S. commercial and government sectors.
Lucid Group (LCID, Financial) experienced a notable day in the market with a 10.59% jump in its stock price, despite mixed quarterly results. The electric vehicle maker reported a GAAP EPS loss of $0.30, missing estimates, and a revenue of $172.74M, which also fell short. However, the company remains on track for its annual production targets, having raised significant capital to bolster its liquidity.
Vertex Pharmaceuticals (VRTX, Financial) outperformed expectations with a Q1 Non-GAAP EPS of $4.76, beating estimates by $0.70, and a revenue increase of 13.5% to $2.69B. The company reaffirmed its full-year revenue guidance, indicating strong ongoing demand for its key products.
Realty Income (O, Financial) reported a robust first quarter with FFO of $1.05, slightly above expectations, and a significant 33.4% increase in revenue to $1.26B. The company updated its full-year guidance, reflecting steady growth and operational efficiency across its real estate portfolio.
Axon Enterprise (AXON, Financial) announced strong first-quarter results and an acquisition of Dedrone, expected to close in the second half of 2024. The company's revenue grew by 34.3% to $460.74M, and it raised its full-year revenue and adjusted EBITDA guidance, signaling confidence in sustained growth.
Hims & Hers Health (HIMS, Financial) also exceeded quarterly expectations with a GAAP EPS of $0.05 and a 45.8% increase in revenue to $278.2M. The company's forward-looking statements were optimistic, projecting higher revenues and adjusted EBITDA margins for the upcoming quarters.
Simon Property Group (SPG, Financial) reported a successful quarter with FFO of $3.56, surpassing estimates significantly, and a revenue boost of 6.7% to $1.44B. The company highlighted improved operational metrics, including increased occupancy and retailer sales per square foot.
Medical Properties Trust (MPW, Financial) faced challenges as its largest tenant filed for Chapter 11, causing an 8% drop in its stock. Despite this setback, the company is working on providing substantial debtor-in-possession financing to support its tenant's restructuring efforts.
Sterling Infrastructure, Inc. (STRL, Financial) announced a positive first quarter with a 9.1% increase in revenue to $440.4M and significant improvements in net income and EBITDA, reflecting robust operational performance and efficient management.
Enovix (ENVX, Financial) saw a downturn as it announced layoffs at its California factory, part of a broader cost-reduction strategy. Despite recent operational improvements, the stock fell by 3% following the news.
Nikola (NKLA, Financial) is anticipated to release its first-quarter earnings soon, with analysts expecting a narrower loss compared to the previous year. The company continues to face significant challenges and scrutiny regarding its business model and market strategy.
Boeing (BA, Financial) is under a new federal investigation concerning potential falsifications in its 787 Dreamliner inspections. This news caused a slight decline in its stock, adding to the ongoing scrutiny over its manufacturing practices.
GuruFocus Stock Analysis
- 5 Low-Debt Stocks for the 'Higher for Longer' Era by John Dorfman
- PGM Prices Are Not Helping Sibanye Stillwater by Fun Trading
- Apple May Require a Gradual Strategic Shift to Maintain Growth by Oliver Rodzianko
