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MarketBeat Week in Review – 10/7 - 10/11

Equities delivered another winning week, but it wasn’t without its challenges. The latest readings on consumer and producer inflation were slightly above expectations, which has changed expectations for future rate cuts, as the Federal Reserve will likely take a more measured approach. Investors were also considering the higher-than-expected number of jobless claims for the week.  

Investors hope to gain more clarity on the economy as earnings season begins. They will also be watching whether the technology trade is continuing, particularly as it relates to artificial intelligence (AI). They’ll also pay close attention to companies in consumer-facing businesses to gauge the health of the consumer heading into the holiday season. 

All of this is happening within less than a month before the presidential election. Will October live up to its reputation of being one of the worst for stocks? Or will it lead the way for a potential year-end rally? Those questions have yet to be answered, but you can count on the MarketBeat team of analysts to keep on top of the stocks and stories that are moving the market. Here are some of the most popular stories from this week.  

 Articles by Jea Yu 

It may be difficult to believe, but artificial intelligence (AI) is still in its early days. This week, Jea Yu offered some encouragement to investors who may have missed the initial run-up. Yu highlights three AI stocks that analysts believe will be among the leading names as the AI infrastructure continues to be built. 

As we head into the last quarter of the year, investors hoping for a year-end rally are looking for stocks that are going to outperform the broader market. Yu analyzes three growth stocks that are likely to benefit from seasonal trends to reward investors. 

One specific stock investors may want to watch for a year-end rally is Walmart Inc. (NYSE: WMT). As Yu analyzes, the company is the nation’s largest importer, which has been a tailwind with a strong dollar and higher interest rates. Plus, the company is making strides to gain market share in China which recently announced stimulus efforts of its own.  

Articles by Thomas Hughes 

Momentum trading is a strategy of buying stocks that are on the rise with the idea that they’ll continue to do so. But as Thomas Hughes writes, this is about more than playing a hunch, buying momentum stocks is about finding stocks that have multiple catalysts including strong fundamentals like the three momentum stocks Hughes analyzed this week.  

NVIDIA Corp. (NASDAQ: NVDA) continues to be a favorite among retail investors. This week, Hughes highlights several reasons, including bullish analyst sentiment, for why these investors are likely to continue buying NVDA stock for the rest of 2024 and into 2025. 

Hughes also explains why the recent chart action for Exxon Mobil Co. (NYSE: XOM) suggests that the stock is about ready to breakout of a multi-year consolidation. The company’s 2024 acquisition of Pioneer Natural Resources has strengthened the company’s balance sheet and sets it up for multiple years of revenue and earnings growth.  

Articles by Sam Quirke 

Apple Inc. (NASDAQ: AAPL) may not dictate the fortunes of the entire market as it once did, but it’s still a closely followed stock. As Quirke notes, the issue for investors right now isn’t the floor as much as the ceiling. With that in mind, Quirke gives investors two reasons to consider buying AAPL and one reason they may want to stay away.   

Quirke was also analyzing Netflix Inc. (NASDAQ: NFLX). This is another one of the FAANG stocks that continues to outperform the market. While the company will always have naysayers, Quirke explains why NFLX stock is likely to move higher even while at all-time highs.  

Carnival Corp. (NYSE: CCL) is another momentum stock that may have higher highs in the future. The stock is back over all-time highs after the company posted a strong earnings report highlighted by record operating performance. Analysts and investors are taking note, and Quirke highlights why CCL stock is likely to cruise even higher.  

Articles by Chris Markoch 

Investors frequently trade on the news. This week, Chris Markoch highlighted three stocks making headlines for different reasons. Markoch explains the reason for the news and why investors may want to buy or sell the news on these three stocks

Income-oriented investors may be on the hunt for undervalued dividend stocks. This week, Markoch gave investors three undervalued dividend stocks set up for growth in 2025.  

And Palantir Technologies Inc. (NYSE: PLTR) continues to make new highs. This week, the stock closed at over $43 per share. That has analysts weighing in on whether to hold or sell. Markoch explains the current state of PLTR stock to help you decide if you want to take profit.  

Articles by Ryan Hasson 

Ryan Hasson had stock picks for every style of investor this week. If you’re the type of investor who likes to buy stocks on dips, Hasson highlights three stocks that are undervalued based on their relative strength indicator (RSI) reading. However, each of these stocks gives investors a reason to own the stock beyond this technical metric. 

If you’re a momentum investor, Hasson analyzes two defense stocks that are trading near their 52-week highs. This is normally a time for investors to consider taking some profits, but Hasson makes a case for why you may or may not want to chase them higher. 

And if you’re an income-oriented investor, Hasson analyzed three of the top income ETFs that are excellent solutions for long-term reliability and the ability to maximize your passive income.  

Articles by Gabriel Osorio-Mazilli 

Politicians may hate stock buybacks (or so they say) but many investors love them. This week Gabriel Osorio-Mazilli explained why stock buybacks are better than dividends and three companies that have recently approved stock buyback programs that add to the growth prospects for their sectors. 

We’re a couple of weeks away from receiving earnings for the mega-cap technology stocks. However, Osorio-Mazilli does some of your work for you by analyzing three tech stocks that are worth their high premium due to strong growth and bullish price action. 

Osorio-Mazilli also chimed in on Delta Air Lines Inc. (NYSE: DAL), which is always one of the first companies to report earnings. The company missed on earnings, a byproduct of the CrowdStrike outage. That’s normally a reason to sell, but analysts believe that there may be a reason to buy.  

Articles by Leo Miller 

Chip stocks are cyclical stocks in the middle of a super cycle due to the increased demand for chips that can support AI applications. But Leo Miller points out that some of these companies provide additional income for investors in the form of dividends. This week, Miller highlights three dividend-paying chip stocks that income-seeking investors won’t want to miss.  

One of the companies that will be using these chips extensively is Meta Platforms Inc. (NASDAQ: META). Two products that will be using these high-performance chips, headsets and glasses, were among the new products the company debuted at its Connect event. Miller explains that the company may be years away from the payoff, but in the meantime, the stock is benefiting from strong advertising revenue.  

And with GLP-1 drugs sharply in focus, Leo Miller wrote about Skye Bioscience Inc. (NASDAQ: SKYE) and its efforts to break into this space. This is a tiny company, but that’s where the growth may come from. Miller explains both the opportunities and obstacles investors should be aware of.  

Articles by Nathan Reiff 

Many analysts are predicting that small-cap stocks may lead a year-end rally. If you believe this, you’ll want to read Nathan Reiff’s article about three small-cap stocks ready to deliver significant growth.  

Reiff also highlighted four ETFs that give investors access to the chip sector. These funds can be an excellent way to generate growth and income during a multi-year growth cycle.  

Finally, investors comfortable with international exposure may want to consider Nu Holdings Ltd. (NYSE: NU). Reiff explains why the company’s recent strong performance may be the beginning of a longer trend now that the stock has drawn the attention of Warren Buffett.  

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