The Dow Jones Industrial Average ended the day on a high note as stocks rose. Tesla (TSLA) CEO Elon Musk mocked a lawyer on Twitter as the stock jumped amid record earnings. Leaderboard arrow United Rentals (URI) was a big money winner. Microsoft (MSFT) It was better than the big ones however bed bath behind (BBBY) collapsed.
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Meanwhile, among the stocks that passed the buy points, were three noteworthy names. Plains GP (PAGP), Arcelor Mittal (MT) And Bulletgroup (PHM) all entries tested.
Stocks were boosted by the latest GDP data. The Commerce Department reported that fourth-quarter gross domestic product slowed to 2.9% annual growth, above the expected 2.7% versus annual growth. Third quarter growth of 3.2%. The PCE price deflation rate came in significantly lower than consensus, up 2.1% vs. The consensus estimate is 2.6% higher.
Nasdaq lights up, lowercase letters delayed
The Nasdaq was the strongest of the major indexes, rising 1.8%. China stock binduodu (PDD) outperformed, jumping 8.5%.
The S&P 500 added 1.1%. Seagate technology (STX) was strong, hovering 10.9% on earnings.
S&P 500 index Almost all sectors were positive. Energy and consumer appreciation were the top performers, while consumer goods were the only losers.
Small caps lagged, but Russell 2000 posted a 0.7% gain.
Growth stocks also jumped, with the Innovator IBD 50 ETF (fifty) ending up 1.4%.
Dow Jones today: Microsoft shines
The Dow Jones Industrial Average reversed higher, jumping 206 points, or 0.6%.
sales force (CRMThe best-performing Dow Jones index ended the day up 5.7%.
Microsoft stock also had a good session, up 3.1%. This allowed it to regain the main 50-day moving average, MarketSmith’s analysis appears.
ibm (ibm) had the hardest time as it fell by 4.5%. merck (Mrk) droop 1.6%.
Tesla Stock Flying Elon Musk, the cynical lawyer
Tesla rose Thursday afternoon after the company reported record profits late Wednesday. It ended the day up 11%.
The stock rallied through its 50-day moving average, which would be a very strong buy point given that the stock remains below the 200-day line.
TSLA stock was boosted after earnings jumped 40% to $1.19 a share while revenue grew 37% to $24.32 billion. Earnings beat estimates, though sales missed some estimates.
Analysts were mixed on the results, but investors reacted positively to Musk’s statement during the earnings call that the company is seeing its “strongest year-to-date orders” in the company’s history. It expects to deliver about 1.8 million vehicles this year.
The company’s positive results seemed to have put the CEO of the company in a good mood as he had a joke on the account of a legal discount.
“I changed my name to Mr. Tweet, and now Twitter won’t let me change it again,” Musk tweeted.
He made the mistake of referring to attorney Nicholas Porritt, who represents shareholders suing him over his 2018 tweets about making Tesla private. He mistakenly called Musk “Mr. Tweet” during the trial on Monday.
BBBY shares are drowning in debt worries
Shares of Bed Bath & Beyond crashed after the company warned it did not have enough cash to pay its debts.
Trading was halted briefly after the company said it had defaulted on its credit line c. B. Morgan Chase (JPM).
The company said in a new securities filing that it lacks “sufficient resources to repay the amounts under the credit facilities, and this will lead the company to consider all strategic alternatives, including restructuring its debts under the US Bankruptcy Law.”
The company owes $550 million under an asset-backed loan with JPMorgan and another $375 million to a Sixth Street lender. It also owes about $1.2 billion in unsecured bonds.
The company warned in its filing that it had “concluded that there is significant doubt about the company’s ability to continue as a going concern for the next 12 months.”
BBBY, which became popular as a side by side meme stock AMC Entertainment (AMC) And Jim Stop (GME) ended the session down by 22.2%.
Leaderboard stock flexes muscles on earnings
Another stock that rose in terms of earnings was Leaderboard United Rentals, which rose in quarterly results.
URI built on early gains, rising 10.1%, moving further out of buy territory. It has extended beyond the buy point of 368.04.
The stock was boosted after the company reported earnings and began paying a quarterly dividend of $1.48 per share. It also announced plans to buy back $1 billion worth of shares this year.
Quarterly earnings rose 32% to $9.74 per share. Revenue rose 19% to $3.3 billion.
United Rentals also raised revenue guidance for 2023. URI now sees revenue from $13.7 billion to $14.2 billion, the midpoint slightly above the consensus of $13.46 billion.
Chevron Bobs amidst buybacks; XOM entry passes
Chevron stock rose in above-average volume. It ended the day 4.9% higher but held below a flat entry level of 189.78.
Stocks jumped after Chevron announced a $75 billion share buyback. The company also said it would increase its dividend by 9 cents, to $1.51 per share. Chevron is preparing to release its latest earnings report on Friday morning.
its great competitor Exxon Mobil (xom) rose by 4%, jumping into buy territory above the flat entry level of 114.76. But Exxon is a risky buy because the company is preparing to publish its earnings on Tuesday.
The approach highlighted by Investor in Business Daily is Using options as a strategy to reduce risk around profits. It’s a way to take advantage of the upside potential of a stock moving around earnings, while minimizing downside risk.
Futures: Tesla Leads March On Big Test, Intel Takes A Late Dive; Inflation report due
Energy stocks between breakouts
The Plains GP Powertrain broke off the pedestal of the Cup with an entry of 13.51. The volume was poor, however.
Through its subsidiary Plains All American Pipeline, it operates in two divisions, crude oil and natural gas liquids. Analysts expect annual EPS to explode 458% to $1.73 in fiscal 2022 and grow another 38% to $2.38 in 2023.
Arrow appeared in MarketDiem newsletter today.
ArcelorMittal cleared a cup handle buy point at 31.82, its best bid on the weekly chart. The relative strength line looks great.
Big Money has been acquiring steel stocks recently, with a collector/distribution rating of A-.
Homebuilders have been strong lately, and Bolt tested the Cup entry with a handle of 52.38. RS line is at its highest level.
Earnings are due in the next five days, however, and you would be wise to keep an eye on this stock rather than take action now.
Please follow Michael Larkin on Twitter at @employee For further analysis of growth stocks.
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