Stock Market Roller Coaster
The stock market has been on a roller coaster ride lately, with stocks making big moves both up and down.
Topics
Analyze Biggest Gains & Loses
Credit Suisse Navigates Volatile Markets
How Artificial Intelligence is Fueling NVIDIA’s Rise to the Top
Analyze Biggest Gains & Loses
FedEx Shares Soar 11.6% on Record Earnings & Strong Growth
Today, premarket trading saw some of the biggest market movers: FedEx Corporation (NYSE: FDX).
Shares of FedEx were up 11.6% after the company reported better-than-expected earnings
for its fiscal third quarter ended February 28th.
The Memphis-based package delivery giant posted total revenue of $17 billion for Q3 2021
compared to $14 billion in 2020’s same period – an increase driven
by higher demand from e-commerce customers due to global digitization.
In addition to solid sales growth, the operating income also increased significantly during this time frame –
rising from $1 million in Q3 2022 to over half a billion dollars ($531 million) this past quarter –
thanks largely due to cost-cutting measures taken by management as well as favorable fuel prices
that allowed them more flexibility when it comes pricing out their services.
This was further bolstered by record-high volumes seen
across all divisions including Express U S Domestic Ground Freight
& International Priority Express Services which helped contribute towards overall profits despite air cargo
being impacted negatively due to its reliance on passenger aircraft grounded during pandemic lockdowns around the world.
Overall, these results sent investors into buying mode pushing share prices upwards
before today the opening bell-ringing morning session is indicative of broader sentiment prevailing amongst traders right now
given the current economic climate where businesses need to be able to capitalize
on any kind of opportunity, they can get hold of while navigating through uncertain times ahead of us all!
Credit Suisse Navigates Volatile Markets
The Swiss banking giant Credit Suisse has had a tumultuous week on the stock market.
After its largest investor announced it would not provide additional funding,
Credit Suisse’s U.S.-traded shares were down 4.1% during premarket trading
and are now down almost 29% year to date.
To shore up liquidity, the bank announced Thursday that it would borrow up to 50 billion francs ($54 billion)
from the Swiss National Bank to maintain stability amidst current economic uncertainty
and other factors impacting global markets.
This move was met with some optimism as investors saw this as a sign of strength
for one of Europe’s largest banks despite current conditions in financial markets around the world;
However, concerns remain about how long these funds will last given the uncertain times
ahead for economies worldwide due to pandemic-related disruptions and beyond.
Moving forward, Credit Suisse faces many challenges
but is taking steps toward ensuring its continued success through strategic investments
such as borrowing from SNB while also pursuing cost-cutting measures throughout all divisions
including investment banking operations which have seen significant losses recently
due to their exposure across multiple asset classes affected by volatility stemming
from macroeconomic events like US/China trade tensions among others.
As we continue into 2023 with more unknown variables than ever
before facing financial institutions and banks worldwide,
only time will tell if these efforts pay off for Switzerland’s second-largest lender or not.
How Artificial Intelligence is Fueling NVIDIA’s Rise to the Top
Nvidia (NVDA) is one of the leading chip stocks in the market
and its shares have been on a tear lately. The stock gained more than 2%
before the bell following an upgrade to overweight by Morgan Stanley.
The Wall Street firm cited continued tailwinds from the growing push
toward artificial intelligence as one of their reasons for upgrading Nvidia’s stock rating.
AI technology has become increasingly important in recent years,
driving demand for Nvidia’s chipsets used to power AI applications
such as self-driving cars and facial recognition systems.
With this new wave of innovation, many investors are turning towards NVDA
to capitalize on these opportunities created by AI advancements.
Morgan Stanley believes that NVDA will continue to benefit from strong industry trends
over both near-term and long-term horizons which should lead them to further gains
with investor confidence continuing at elevated levels despite current market volatility causing an economic downturn.
They also point out that there could be upside potential if they can successfully execute
their growth strategies going forward into 2021, including expanding product lines
beyond gaming graphics cards which make up most of their sales today.
In addition, Morgan Stanley sees potential upside due to expected cost synergies resulting
from recently acquired Mellanox Technologies Ltd., a high-performance computing company
focused primarily on data centers. This acquisition strengthens NVIDIA’s position
within HPC markets while providing access to additional sources of revenue
outside the gaming sector where competition is becoming increasingly fierce between AMD & Intel Corp.
Overall, there is still plenty of room left to run when it comes
to invest in NVDA given the positive outlook offered
by analysts at Morgan Stanley along with other bullish sentiments surrounding chipmakers right now
making a great time to get involved if you haven’t already done so!
