The market rally to close the week was brought to you by the letter "A." Two Dow components, Apple and Amgen, accounted for about 50% of the gains in the NYSE as markets opened over 400 points higher on Friday. Investors are also bullish as a weaker-than-expected jobs report reignites hope that the Federal Reserve may cut interest rates earlier than expected.
For one day, at least, investors are looking past the weak guidance from many companies that show consumer spending is slowing. Next week, a full week of earnings starts with Palantir Technologies, Inc. (NYSE: PLTR) on Monday. Bulls and bears closely watch the enigmatic tech company; its earnings report will move the markets.
You can count on MarketBeat to stay on top of the stocks and stories moving the market. Here are some of the top articles our subscribers were viewing this week.
Articles by Jea Yu
With the summer travel season rapidly approaching, investors may believe it's a good opportunity to get into hotel stocks. If you're among them, Jea Yu explained why you may want to consider Hilton Worldwide Holdings Inc. (NYSE: HLT). Like many major hotel chains, Hilton shows why an asset light model works for investors.
The medical device sector had a rough first quarter, but Boston Scientific Co. (NYSE: BSX) delivered a strong earnings report that showed revenue growth in both of its core business units. The report and guidance show why it may be the best option for investors in a competitive sector.
Yu also analyzed the strong earnings report from Seagate Technology Holdings plc (NASDAQ: STX), which is seeing a surge in demand for its hard disk drives (HDDs) as data storage demand increases for cloud computing companies.
Articles by Thomas Hughes
Chipotle Mexican Grill Inc. (NYSE: CMG) surprised investors by announcing a 50-for-1 stock split. However, Thomas Hughes explains that Chipotle's latest earnings report shows why it has plenty of growth drivers that will send the stock higher both before and after the split.
Hughes also wrote about two semiconductor stocks that had difficult first quarters but may give investors a reason for optimism. In the case of onsemi (NASDAQ: ON), quarterly earnings weren't spectacular, but they were still better than expected, which is generating a rally in the oversold stock.
NXP Semiconductors N.V. (NASDAQ: NXPI) delivered a weak first quarter report. However, analysts seem to be shrugging off the report and bidding the stock higher on optimism that the company's soft-landing approach will work.
Articles by Sam Quirke
This Sam Quirke wrote about two stocks that investors love to debate. Tesla Inc. (NASDAQ: TSLA) is out of favor among investors, and not without reason. However, Quirke explains why the recent rally in Tesla stock after its disappointing earnings report hints that investors may now see TSLA stock at these levels as an irresistible buy.
Meta Platforms Inc. (NASDAQ: META) moved lower despite a strong earnings report as investors got nervous about the company's proposed capex spend. Buying the dip is not always the best strategy in these cases, but Quirke gave investors three reasons why the dip in META stock may be a great buying opportunity.
Turning his attention to the broader market, Quirke used a classic technical indicator, the Relative Strength Indicator (RSI), to highlight three oversold large-cap stocks that could be ready to rebound.
Articles by Chris Markoch
Apple Inc. (NASDAQ: AAPL) surprised investors with a $110 billion share buyback program, and the stock shot up 6%. Chris Markoch wrote about the hotly awaited report and why it shows Apple's strengths and weaknesses ahead of its Worldwide Developer Conference in June.
A different story was evident with SoFi Technologies Inc. (NASDAQ: SOFI). The fintech company reported solid earnings this week, but the stock moved sharply lower. Markoch explained why the bulls and the bears may both be getting it wrong when it comes to SOFI stock.
For many years, AbbVie Inc. (NYSE: ABBV) has been a good example of a sleep-at-night stock. Markoch writes that, although the company faces biosimilar competition for Humira, analysts are bidding ABBV stock higher as they believe that the company's current and future drugs will more than offset that loss.
Articles by Ryan Hasson
A big story from this week that may not be getting enough attention is that the U.S. Department of Justice (DOJ) will accept the DEA's recommendation to approve the rescheduling of marijuana as a lower-risk drug. The announcement could be a huge catalyst for cannabis stocks, which have been in a years-long bear market. But it comes with limitations. Hasson explains what the legislation may mean for some three of the top cannabis and marijuana stocks.
Hasson also explained why strong performance from some aerospace and defense stocks is the key reason the industrial sector outperformed in the first quarter. With plenty of geopolitical turmoil to act as fuel, Hasson makes the case why there's still room for these stocks to move higher.
A similarly strong setup could emerge with financial stocks. Hasson pointed out a rare technical signal with the leading sector ETF that, based on the outlook for some of the leading components of the ETF, is likely a bullish signal for finance stocks.
Articles by Gabriel Osorio-Mazilli
McDonald's Corp. (NYSE: MCD) turned in a clunker of an earnings report suggesting that America's appetite for fast food was pinched by either inflation, GLP-1 drugs, or both. But then explain what happened with Shake Shack Inc. (NYSE: SHAK), which moved higher after a mixed earnings report. Gabriel Osorio-Mazilli took up that challenge and helped investors understand why analysts were bullish about the company heading into earnings and perhaps why you should be, too.
As Federal Reserve chair Jerome Powell noted this week, inflation isn't coming down as fast as hoped. But as corporate earnings show, consumers are still spending on the must-haves. That's one reason why Osorio-Mazilli wrote about three consumer staples stocks that you should have on your second quarter watch list.
Osorio-Mazilli also wrote about Zillow Group Inc. (NASDAQ: Z), which went down sharply after a weak earnings report. With much of the news in the housing market being bad, it's easy to overlook what could be reasons to take a chance on Z stock at depressed levels. Osorio-Mazilli explains what those drivers may be to give you a complete picture of the stock.