Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Investing.com -- Investors have had to assess a mix of earnings disappointments, capital raises, and shifting fortunes, with the week headlined by SpaceX's high-profile public market debut.

Here are Investing.com's stocks of the week:

SpaceX

There is only one place to start. SpaceX made its trading debut on Friday, drawing substantial investor attention given its dominant position in the launch and satellite internet markets.

The rush of investors to get in on the action reportedly caused service disruptions at brokerage Robinhood due to record-breaking traffic on the platform during trading in SpaceX shares following the IPO.

However, CFRA analyst Keith Snyder is less enthusiastic, initiating coverage of the stock with a Sell rating and a $115 price target, striking a cautious tone on valuation.

"This is due to the company's extremely ambitious growth strategy, elevated valuation expectations, and significant capital intensity," Snyder said, adding that the investment case requires investors to underwrite several difficult outcomes simultaneously.

Oracle

Oracle shares have slumped 20.6% this week, including an 8.5% drop on Thursday, after the company delivered a mixed fiscal fourth-quarter report.

Cloud infrastructure results came in line with expectations, while applications revenue landed slightly below Street estimates.

Baird analyst Rob Oliver reiterated an Outperform rating and a $215 price target, noting that fiscal 2027 revenue guidance was reiterated even as capital expenditure guidance came in above Street expectations, including additional financing needs.

"AI momentum remains healthy with four deals >$8B signed during the quarter," Oliver said, though he acknowledged that "moving parts around the FY'27 guide and Capex may weigh on shares."

Super Micro Computer

SMCI has tumbled 32.2% in the last week, including a 28% plunge on Wednesday, after the company announced financing transactions totaling up to $7 billion in potential gross proceeds.

The package includes a public offering of 45.5 million common shares at $27.50 apiece and 75 million depositary shares tied to new mandatory convertible preferred stock.

The company said proceeds would help fund component purchases tied to roughly $39 billion in AI server orders received from more than 20 customers in recent weeks, with additional funds earmarked for debt repayment and general corporate purposes.

Intel

Intel has rallied 18.9% over the past week, boosted by a report from The Information that indicated Google and Nvidia are exploring the chipmaker as an alternative manufacturing partner.

Story Continues

According to the report, Google has ordered more than three million tensor processing units from Intel for production in 2028, while Nvidia is evaluating whether Intel's process technology could produce a chip combining four GPUs into a single package.

Marvell Technology

Marvell shares have slipped 4.5% over the week, even after jumping more than 9% on Monday, as gains were pared despite news the chipmaker will be added to the S&P 500 before the June 22 open.

The week also saw the company announce a leadership change, with Dan Durn set to become CFO effective June 15, succeeding longtime finance chief Willem Meintjes. Durn is joining the company from Adobe.

Meanwhile, B. Riley analyst Craig Ellis raised his price target on Marvell this week to $345 from $240 while maintaining a Buy rating, citing a deepening Nvidia partnership, a broader ownership base from index inclusion, and confidence in the incoming CFO.

Related articles

Investing.com’s stocks of the week

JPMorgan outlines ten strategic themes that could shape the outlook for 2026

As Claude disrupts stock market, Anthropic researcher warns ’world is in peril’

View Comments

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Western Digital Corporation WDC has emerged as one of the strongest performers in the technology sector, with its stock delivering an impressive 185% year-to-date gain, outpacing the Zacks Computer & Technology sector’s and the S&P 500’s growth of 13.1% and 6.3%, respectively. The stock has, however, fallen short of the Zacks Computer-Storage Devices industry’s surge of 241.2%. WDC’s jump reflects renewed investor confidence in the data storage giant following major strategic changes, improving industry fundamentals and growing demand for AI infrastructure.Zacks Investment Research

Image Source: Zacks Investment Research

WDC operates in the highly competitive and booming storage market, where it competes with HDD stalwarts like Seagate Technology Holdings plc STX as well as storage specialists like Super Micro Computer SMCI and NetApp, Inc. NTAP. STX, SMCI and NTAP have grown 196.3%, 0.1% and 50%, respectively, in the same time frame.

WDC boasts a 52-week high of $602.5. The key question for investors now is whether Western Digital's remarkable rally can continue or if much of the good news has already been priced into the stock.

Let’s uncover.

WDC’s Long-Term Growth Drivers Remain Strong

AI is creating unprecedented demand for data storage solutions. Western Digital's enterprise HDD products are increasingly benefiting from this trend. Cloud providers, hyperscalers and data center operators continue expanding storage infrastructure to support AI workloads. The world continues to generate data at an extraordinary pace. From streaming services and social media to autonomous vehicles and AI applications, global data volumes are expanding rapidly. Storage remains a critical component of the digital economy. As organizations accumulate more information, demand for reliable and cost-effective storage solutions should continue growing. WD’s broad portfolio positions it to capitalize on these trends across consumer, enterprise and cloud markets.

Western Digital continues to strengthen its competitive position through advanced storage technologies, including next-generation HAMR drives capable of exceeding 100TB. The company is currently qualifying 44TB HAMR and 40TB ePMR drives, with volume production expected in the second half of fiscal 2026. The adoption of its UltraSMR technology by major customers is helping to meet the growing demand for hyperscale storage, while innovations such as high-bandwidth drives and dual-pivot technology are enhancing performance for AI workloads.

At the same time, Western Digital is benefiting from a favorable pricing environment. Pricing per terabyte increased 8–9% in the fiscal third quarter, with high-single-digit growth expected through late fiscal 2026, supported by higher-capacity products, improved total cost of ownership, and long-term customer agreements extending into fiscal 2028 and fiscal 2029. WDC is also driving margin expansion through cost efficiencies and a richer product mix. The cost per exabyte declined approximately 10% year over year, driven by higher-density drives, broader adoption of UltraSMR, and ongoing supply-chain optimization. These initiatives are expected to support continued profitability improvements, with gross margins projected at 51–52% in the fiscal fourth quarter and further gains anticipated over the long term.

Story Continues

Western Digital is advancing its HAMR and ePMR technology roadmaps while accelerating the adoption of higher-capacity and UltraSMR drives. To support future growth, it is strengthening its HAMR development capabilities through strategic IP and talent acquisitions, while expanding UltraSMR adoption through new JBOD platforms developed with software ecosystem partners. The company also benefits from strong customer commitments, with firm purchase orders from its top seven customers secured through 2026 and multi-year agreements with key customers extending into 2027 and 2028, providing solid visibility into future demand.

WDC Strengthens Investor Appeal With SNDK-Driven Cash Returns

One of the most important developments has been the company's strategic restructuring. Western Digital separated its flash memory business into Sandisk SNDK from its HDD operations, allowing investors to better evaluate each segment independently. The move has sharpened management's focus and simplified its business model. Investors often reward companies that streamline operations because it can unlock shareholder value and improve capital allocation decisions.

During the fiscal third quarter, WDC significantly improved its balance sheet by selling 5.8 million SanDisk shares, using the proceeds to reduce debt by $3.1 billion. This move left just $1.6 billion in convertible debt outstanding. With $2 billion in cash and cash equivalents, the company ended the quarter with a net cash position of $450 million, reflecting a notably stronger financial footing. In February 2026, its board authorized an additional $4 billion for share repurchases, with about $484 million remaining under the previous authorization.

The company also announced a 20% increase in its quarterly dividend, raising it to 15 cents per share. This move indicates management’s belief in the durability of cash flows and long-term business stability. In addition to dividends, the company is leveraging strong free cash flow to bolster its balance sheet—another positive signal for long-term investors. During the quarter, WDC repurchased roughly 2.9 million shares for $752 million and paid $43 million in dividends. Since launching the capital return program in the fourth quarter of fiscal 2025, it has returned a total of $2.2 billion to shareholders through buybacks and dividends.Zacks Investment Research

Image Source: Zacks Investment Research

Despite WDC’s massive rally, investors should recognize several risks. Periods of strong demand often lead to increased production, which can eventually create oversupply conditions. When supply exceeds demand, pricing pressure can rapidly reduce profitability. Investors should expect earnings volatility even during long-term growth periods. It also faces high customer concentration risk, as losing a major customer or order could adversely impact its financial performance. Further, it remains exposed to macroeconomic uncertainty, tariffs and global trade tensions, which may cause demand fluctuations across its enterprise, distribution and retail markets. Additionally, the industry's rapid shift toward higher-capacity drives to support AI-driven storage demand is increasing manufacturing complexity and production lead times.

Favorable Estimate Revision Trend for WDC

WDC’s estimate revisions are on an upward trajectory currently. The Zacks Consensus Estimate for WDC’s earnings for fiscal 2026 has been revised north 12% to $10.02 over the past 60 days, while the same for fiscal 2027 has gone up 23.9% to $17.62.Zacks Investment Research

Image Source: Zacks Investment Research

Valuation Has Expanded

Going by the price/earnings ratio, the company’s shares currently trade at 30 forward earnings compared with 12.86 for the industry.Zacks Investment Research

Image Source: Zacks Investment Research

In comparison, the forward 12-month price/earnings multiple for STX, SMCI and NTAP are 32.74X, 10.9X and 22.25X, respectively.

Is More Growth on the Horizon for WDC Stock?

Western Digital sits at the intersection of several powerful secular trends, including AI adoption, cloud computing expansion and explosive global data growth. These trends are unlikely to disappear anytime soon and could provide years of demand support. The company's strategic restructuring, exposure to AI-driven infrastructure spending and recovery in storage markets have created a compelling growth narrative.

While risks related to industry cyclicality and competition remain, Western Digital appears well-positioned to benefit from the long-term explosion in global data creation. For investors with a long-term perspective, the stock may still offer attractive upside potential, although future gains are likely to be driven by operational execution rather than multiple expansion alone. In short, WD's rally may not be over, but the next phase will likely require sustained earnings growth and continued participation in the AI-driven data infrastructure boom.

Displaying a Zacks Rank #1 (Strong Buy) at present, WDC stands out as an attractive investment candidate. You can see the complete list of today’s Zacks #1 Rank stocks here.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

NetApp, Inc. (NTAP) : Free Stock Analysis Report

Western Digital Corporation (WDC) : Free Stock Analysis Report

Seagate Technology Holdings PLC (STX) : Free Stock Analysis Report

Sandisk Corporation (SNDK) : Free Stock Analysis Report

Super Micro Computer, Inc. (SMCI) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

View Comments

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

(Bloomberg) -- Retail traders' infatuation with high-flying computer memory and storage companies is fading now that the next big thing — SpaceX's initial public offering — is on the way.

Most Read from Bloomberg

House Republican Says Hegseth's D-Day Remarks 'Inappropriate' Xbox Plans Significant Layoffs as New CEO Plans Overhaul US Strikes Iran in Trump Escalation Over Stalled Peace Talks Tech Stocks Sink as Oil Jumps on US-Iran Jitters: Markets Wrap Oracle Falls After Data Center Costs Overshadow AI Growth

The do-it-yourself crowd has been paring its exposure in semiconductor stocks and refraining from buying dips elsewhere, according to data compiled by Vanda Research Ltd. While the sellers may be merely ditching AI-linked stocks after big gains, some analysts see it as a sign the group is gathering dry powder for SpaceX's public debut.

Few companies have generated as much euphoria ahead of their IPOs as SpaceX, and retail traders, many of whom are die-hard fans of Elon Musk, want a piece of it. Whether ditching AI winners for a rocket company that's yet to turn a profit turns out to be a winning bet remains to be seen. Regardless, most analysts agree that the setup as a recipe for more price swings ahead.

"Selling existing stocks, tech and non-tech, could lead to issues and volatility down the line through the rest of the year," Douglas Beath, global equity strategist at Wells Fargo Investment Institute, said by phone. The offering plus two other upcoming mega IPOs, as well as huge stock sales from existing tech companies, are likely to fan volatility at a time when household stock exposure is sitting near a record, he added.

Non-professional traders have sold individual stocks for three consecutive days through Wednesday, in the first such occurrence since March 2020, according to data compiled by Vanda, which tracks retail investor flows. Selling has been concentrated in chipmakers and recent AI winners, the data show.

"Evidence so far is that retail may be saving some dry power for these upcoming IPOs," said Viraj Patel, global macro strategist at Vanda. "At this point in the calendar year, we would normally expect slightly stronger activity than what we're currently seeing — and so something seems to be holding retail back."

On Monday, retail traders pulled the most cash from individual stocks since November 2023, Vanda's data show. The next day, when technology names led a rout in the S&P 500 Index, retail investors were again sitting on the sidelines.

Selling Recent Winners

Story Continues

A recent drop in retail favorite Micron Technology Inc. may be evidence of individual investors "selling flows in recent winners and levered products" to invest in SpaceX, Greg Boutle, US head of equity derivative strategy at BNP Paribas, said on Friday.

To be sure, other factors could be at play, including a sense of fatigue over the AI hype in the market and worries that it will not deliver the promised seismic changes to the economy.

Space-related stocks is one group that's bucked the risk-off trend, with data from Vanda showing the highest appetite among retail traders since 2024.

Patel is far from alone in seeing investors scale back stock exposure ahead of the record-setting SpaceX IPO, and the potential for more selling ahead of the next big deals this year, including from Anthropic and Sam Altman's OpenAI.

"Investors will have to free up capital from all of their public company holdings, especially in technology and including the largest ones, in order to fund their investments in these IPOs," Gil Luria, head of technology research at DA Davidson & Co., said in a Bloomberg TV interview.

Micron was among the worst performers in the S&P 500 during Tuesday's selloff in technology stocks, alongside names like Super Micro Computer Inc., Qualcomm Inc. and Advanced Micro Devices Inc. Selling pressure continued on Wednesday, when Micron lost 4.7%, Qualcomm shed 6.9% and Broadcom Inc. fell 5.1%.

'Some Indigestion'

To Beath, retail investors' selling ahead of an IPO is unlikely to spark a sustained drop in US equities, or mark a near-term top. However, he said that retail traders "make up a good chunk" of the so-called fast money and may exude significant influence in the short run.

Stocks make up nearly 35% of US households' total financial assets, an all-time high, which suggests amateur investors may "sell existing holdings to fund these new positions," Beath said. The setup may "cause some indigestion" for the market, he added.

Retail investor participation has slipped to start the year, to be sure, in a development that JPMorgan Chase & Co. analysts pinned on a long-term downtrend since the peak of the so-called meme mania in early 2021. Retail investors accounted for 17% of US equity volume in the first quarter 2026, down from nearly 21% a year earlier, data compiled by Bloomberg Intelligence show.

Still, those investors are expected to participate in the SpaceX IPO at higher levels than in previous deals as the company has made more shares available to individual investors. Fidelity lowered the threshold its customers needed to have in retail brokerage accounts to just $2,000 to participate in the deal. The firm said it did so because SpaceX is reserving up to 30% of the offering for individual investors.

Vanda's Patel said it's not a question of whether retail investors are going to buy into the SpaceX deal, but how they would do it — either by adding new positions or more aggressive selling of recent winners in chips and other AI proxies.

"Last week's selloff and a short-term peak in the AI narrative has seen retail use this opportunity to take profit and sell winners," he said.

Most Read from Bloomberg Businessweek

SpaceX IPO Demands Trust in Musk's Entangled Empire Chinese Diners Will Wait Five Hours for This Conveyor-Belt Sushi The Latest Snack Innovations Are Basically Just Creamsicles and Chex Mix India's Oldest Insurgency Has Been Defeated. Will Peace Unlock Investment? Football Clubs Try Training a Body Part They've Ignored: The Brain

©2026 Bloomberg L.P.

View Comments

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Wall Street is reeling after a brutal two-session selloff, but some of the worst performers from that stretch are leading the market higher.

Continue Reading

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Casey's General Stores Inc.'s (CASY) shares soared 20.3% after posting fourth-quarter fiscal 2026 adjusted earnings of $4.37 per share, beating the Zacks Consensus Estimate of $3.36 per share. Shares of Super Micro Computer Inc. (SMCI) plunged 28% following the company's decision to raise $7 billion in equity-related deals to cover the purchase costs of hardware components. Cracker Barrel Old Country Store Inc.'s (CBRL) shares jumped 22.6% after the company raised its full-year revenues and earnings guidance. Shares of Starbucks Corp. (SBUX) rose 1.4% after its CEO Brian Niccol said that the company is likely to double its store count of 22,000 outside the United States.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Cracker Barrel Old Country Store, Inc. (CBRL) : Free Stock Analysis Report

Starbucks Corporation (SBUX) : Free Stock Analysis Report

Super Micro Computer, Inc. (SMCI) : Free Stock Analysis Report

Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

View Comments

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Der US-Aktienmarkt zeigt sich angesichts von Inflationsbedenken und einer steigenden VIX-Spitze zurückhaltend. Die S&P 500-Futures fallen um etwa 0,8% und die Nasdaq-100-Futures um etwa 1,1%. Die Hauptursache sind die neuesten Signale über Inflation und Zinssätze. Der Mai-Konsumpreisindex wird auf 4,2% im Vergleich zum Vorjahr erwartet, was bedeutet, dass der Lebensstandard immer noch schneller steigt als das Ziel des Federal Reserve von 2%. Gleichzeitig hat sich die US-Ölreserven um 9,1 Millionen Barrel verringert, was den Druck auf Energiepreise erhöht. Die Frage für Investoren ist, ob diese Inflationszeichen die Zinssätze weiterhin erhöhen werden, was wachstumsorientierte Unternehmen und Teile des Immobiliensektors unter stärkerer Beobachtung stellen würde.

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Die meisten asiatischen Aktien fielen am gestrigen Tag, nachdem sich die US-amerikanischen Märkte erneut durch den Verkauf von künstlicher Intelligenz (AI)-Aktien stark verschlechtert hatten. Die U.S.-Futures stiegen hingegen und der Ölpreis erhöhte sich um mehr als 1 Dollar pro Barrel.

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

In the latest close session, Super Micro Computer (SMCI) was down 27.97% at $29.27. The stock's performance was behind the S&P 500's daily loss of 1.62%. At the same time, the Dow lost 1.87%, and the tech-heavy Nasdaq lost 1.98%.

The stock of server technology company has risen by 23.94% in the past month, leading the Computer and Technology sector's loss of 0.74% and the S&P 500's loss of 0.03%.

Investors will be eagerly watching for the performance of Super Micro Computer in its upcoming earnings disclosure. In that report, analysts expect Super Micro Computer to post earnings of $0.7 per share. This would mark year-over-year growth of 70.73%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $11.71 billion, up 103.47% from the year-ago period.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.56 per share and a revenue of $39.67 billion, representing changes of +24.27% and +80.55%, respectively, from the prior year.

Investors should also pay attention to any latest changes in analyst estimates for Super Micro Computer. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Super Micro Computer presently features a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Super Micro Computer has a Forward P/E ratio of 15.85 right now. This signifies a discount in comparison to the average Forward P/E of 22.01 for its industry.

Meanwhile, SMCI's PEG ratio is currently 0.56. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Computer- Storage Devices industry had an average PEG ratio of 1.65.

The Computer- Storage Devices industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 20, placing it within the top 9% of over 250 industries.

Story Continues

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Super Micro Computer, Inc. (SMCI) : Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

View Comments

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Yahoo Finance Senior Autos Reporter Pras Subramanian and Market Domination host Josh Lipton take a closer look at some of Wednesday's trending tickers and stories.

Transportation stocks are plunging as Amazon (AMZN) expands its truckload offerings.

Super Micro Computer (SMCI) stock is under pressure due to the company's latest artificial intelligence (AI) plans.

DraftKings' (DKNG) trading volume saw a boost from prediction markets activity.

Video Transcript

00:02 Josh Lipton

It's time to cover some of today's trending tickers brought to you by CBO. We're watching transport stocks, Super Microcomputer, and Draft Kings.

00:10 Josh Lipton

Joining me now got Yahoo Finance's Pras Suma. All right,

00:13 Josh Lipton

topic one, Pras. Amazon keeps moving deeper into logistics. expanding its less than truckload offering. Trucking companies sinking in today's trade. Now, Bloomberg did note, listen, these stocks they'd rallied hard, valuations were stretched.

00:30 Josh Lipton

So there were some other variables here we have to consider, but they did site Morgan Stanley as saying, you know what? Amazon, Morgan Stanley saying, could grab share even without best-in service initially. What do you make of it?

00:41 Pras Submaranian

So I I think that first part of your analysis is correct, right? I think it's really about the Dow Jones Transport were surging, right? up five days in a row, right? Uh up a lot. So you have these people, these companies that people were owning shares in these trucking companies like Old Dominion, FedEx Freight, etc.

00:52 Pras Submaranian

They're taking some gains here, right? And it helps that Amazon is doing this move, right?

00:56 Pras Submaranian

So it's a it's a subset of the trucking business that some of these uh companies operate in. Um the reason why this analyst talks about how it's it could actually have a sub standard service and still take some share. and they're going to cut on price. But I think the analysis is that people who use these specialized shippers will continue to do so and maybe they might try Amazon, but for the most part, you know, they're going to stick with their shippers they normally use. But but hey, Amazon's Amazon. like they they disrupt everything they get into. So you can't necessarily count them out there. So I think that maybe there is some some some reason for some selling in this in this space.

1:19 Josh Lipton

Yeah. If Amazon succeeds, does it mean cheaper shipping and faster delivery for Josh Lipton. That's that's the main question, Chris. That's what we're asking.

1:28 Josh Lipton

All right, super microcomputer under pressure. That's after announcing plans to raise about $7 billion. This one's interesting. So here's here's what happens. They announced a $7 billion equity raise uh to fund $39 billion of AI server orders.

1:41 Josh Lipton

Now, some might say, they look at that and say, hey, that that reinforces the bull case for this mega AI infrastructure build out. that sounds good like good news. Team at Bernstein, I I thought this was an interesting note. They throw a yellow flag here.

1:55 Josh Lipton

They do a little digging, right? They tell their clients this. They say, these orders are not firm commitments and are all subject to cancellation. They they say they caught the the company saying that in the filing. So Bernstein's analysis to their clients was, hold on.

2:08 Josh Lipton

While 39 billion in AI server orders sounds massive, they say we struggle to understand how real those orders really are.

2:16 Josh Lipton

They rate super micro market perform. So they're on the sidelines for a while.

2:20 Pras Submaranian

So you said you said yellow flag. I think you want to say yellow card and a red card here with World Cup coming up tomorrow, right? But hey,

2:26 Pras Submaranian

when Google sells, sells Google sells stock, investors say, Daddy likes, right? They want more.

2:33 Pras Submaranian

when Super Micro does, they say, no thanks. No. Daddy no likey. Massive delusion. Not likey, right? So Super Micro shares up 40%, right?

2:41 Josh Lipton

before today's move. Come on.

2:43 Pras Submaranian

you see what's going on here, right? People want to lock in some gains.

2:47 Josh Lipton

again, like the truckers

2:48 Pras Submaranian

argument we're saying here. But in this case, how is super micro any different than like let's say Dell that's had a monster runup.

2:54 Josh Lipton

Well, this is what Bernstein is getting at is how really orders are. That was their point.

2:58 Pras Submaranian

Maybe that's about maybe that's a little bit what you saw today.

3:00 Josh Lipton

Well, how the orders are sort of hey, uh

3:02 Pras Submaranian

well, let's say we're

3:03 Josh Lipton

that they're not firm commitments. That was Bernstein's point. That's the differentiation.

3:07 Josh Lipton

maybe look at that chart. Uh that could be what you're saying.

3:10 Pras Submaranian

I mean you can say that about a lot of these.

3:11 Josh Lipton

and and the dilution.

3:13 Pras Submaranian

I mean that's what spooks folks.

3:15 Pras Submaranian

Uh you know, I I I I think Super Micro not a name like Dell obviously, but operating in the same space here. It's only the server stuff. So yeah, I I I I get it. I get it. We're both revenue jumped over 100% last quarter. I get it. It's time to take some money off the table. Um but yeah, it's for stuff. You can apply that across the board in the space, right? So

3:30 Josh Lipton

Last one. DraftKings. Now this was interesting. Making news reports that annualized consumer trading volume on DraftKings predictions, that rose 24% month over month to 1.3 billion.

3:42 Josh Lipton

Total volume increases 34% to 3.1 billion. I have had analysts on the show who cover this space price and they say, you know what, in the prediction markets, it's the sports books that are going to win. It's DraftKings, it's Flutter, FanDuel. They got the experience, they got the balance sheet. They know their customers, they know Proce Moranian. They're going to be winners here.

3:58 Pras Submaranian

Yeah, I mean it's just they know how to navigate the the space with, you know, right, there's federal laws right now that that that allow prediction markets uh that, you know, sort of supersede stuff like state gambling laws, right? So the state state by state can can can can ban or approve sports gambling, but they can't really effectively affect or change prediction markets, right?

4:18 Pras Submaranian

Now, what happens if that change is a new administration? Well, guess who's knows how to deal how to deal with that. It's the DraftKings, the flutter of the world. This is their space. This is a nobrainer for them to get into prediction markets, right? Makes total sense to me. Um yeah, like I said, they they can navigate it like better than anybody. And and the concern was that they were going to lose market because the prediction markets would take over sports. Now they're in it too.

4:42 Josh Lipton

So it's all kind of level playing field. Both say they have plenty of advantages of their own. We'll find out. Pros, thank you, buddy.

View Comments

Haftungsausschluss: Der Text wurde mit Hilfe einer KI zusammengefasst und übersetzt. Für Aussagen aus dem Originaltext wird keine Haftung übernommen!

Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in Broadcom Inc (Symbol: AVGO), where a total of 260,678 contracts have traded so far, representing approximately 26.1 million underlying shares. That amounts to about 89% of AVGO's average daily trading volume over the past month of 29.3 million shares. Especially high volume was seen for the $400 strike call option expiring June 10, 2026, with 9,980 contracts trading so far today, representing approximately 998,000 underlying shares of AVGO. Below is a chart showing AVGO's trailing twelve month trading history, with the $400 strike highlighted in orange:

Super Micro Computer Inc (Symbol: SMCI) options are showing a volume of 367,950 contracts thus far today. That number of contracts represents approximately 36.8 million underlying shares, working out to a sizeable 87.3% of SMCI's average daily trading volume over the past month, of 42.1 million shares. Particularly high volume was seen for the $44.50 strike call option expiring June 12, 2026, with 18,516 contracts trading so far today, representing approximately 1.9 million underlying shares of SMCI. Below is a chart showing SMCI's trailing twelve month trading history, with the $44.50 strike highlighted in orange:

And 3M Co (Symbol: MMM) options are showing a volume of 25,449 contracts thus far today. That number of contracts represents approximately 2.5 million underlying shares, working out to a sizeable 66.1% of MMM's average daily trading volume over the past month, of 3.9 million shares. Particularly high volume was seen for the $157.50 strike put option expiring June 12, 2026, with 7,730 contracts trading so far today, representing approximately 773,000 underlying shares of MMM. Below is a chart showing MMM's trailing twelve month trading history, with the $157.50 strike highlighted in orange:

For the various different available expirations for AVGO options, SMCI options, or MMM options, visit StockOptionsChannel.com.

Today's Most Active Call & Put Options of the S&P 500 »

Further AVGO Research:

AVGO market cap historyAVGO YTD ReturnCarl Icahn Stock Picks

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.