Week Ending August 11, 2023: $177.79 -$4.20 (-2.3%)
Aug 11, 2023 16:19:12 GMT -8
Dave, hrace, and 1 more like this
Post by CdnPhoto on Aug 11, 2023 16:19:12 GMT -8
Yuck.
Glad this week was over. We carried the post earnings drop through the week. RSI currently stands at 29.61 based on finviz.com/quote.ashx?t=AAPL&p=d.
Barrons has:
Tech Pullback Will Be Short-Lived, Analyst Says. AI Will Drive Nvidia, Microsoft, Apple.
Dan Ives is the constant AAPL Bull. Let's hope he continues to be correct.
Glad this week was over. We carried the post earnings drop through the week. RSI currently stands at 29.61 based on finviz.com/quote.ashx?t=AAPL&p=d.
Barrons has:
Tech Pullback Will Be Short-Lived, Analyst Says. AI Will Drive Nvidia, Microsoft, Apple.
The tech-heavy Nasdaq Composite’s recent gains have been limited, with only two positive days in August. Wedbush analyst Daniel Ives sees a big bounce soon.
Although eking out a small gain on Thursday, the Nasdaq, down 4.35% over the last 14 days, was on pace for its largest two-week decline of the year on Friday. It will also be the first time the index has fallen on consecutive weeks this year. The index, down 4.6% for the month, is pressured partly due to rising Treasury yields. The latest earnings from Apple (ticker: AAPL), as well as known software names including Palantir Technologies (PLTR) and Datadog (DDOG) have failed to impress investors. It doesn’t help that August is historically the second worst month for the index.
“We expect pullback to be short-lived,” Ives said, in a note on Friday, still firmly sticking with his bullish call that tech stocks could see a boost of 12% to 15% in the second half of the year. He first made the call in June, revising his forecast of a 10% to 12% gain.
Ives has long been a tech bull and has even predicted Apple AAPL +0.03% to hit $4 trillion market capitalization by 2025. The company presently sits at $2.8 trillion.
The analyst’s optimism about the Nasdaq stems from his view that artificial intelligence isn’t a hype cycle and spending on AI tools will ramp up slowly, with companies allocating $800 billion to the area incrementally over the next decade.
“Rome was not built in a day, and neither will the AI ecosystem—but lets be clear, this build out is unlike anything we have seen since the internet in 1995,” he said. Ives expects the tech market to rage for the next 12 to 18 months.
The winners? He picks Nvidia (NVDA), which leads the market for semiconductors used for AI applications. Ives rates the company’s stock at Outperform with a $490 target price, implying a roughly 20% gain from Friday’s value.
Other picks include Microsoft (MSFT), the investor in OpenAI—the developer of AI sensation ChatGPT, and Apple, which he expects to build an AI-driven app store. He rates stocks of both companies Outperform, with a $400 and $230 target price, respectively.
Although eking out a small gain on Thursday, the Nasdaq, down 4.35% over the last 14 days, was on pace for its largest two-week decline of the year on Friday. It will also be the first time the index has fallen on consecutive weeks this year. The index, down 4.6% for the month, is pressured partly due to rising Treasury yields. The latest earnings from Apple (ticker: AAPL), as well as known software names including Palantir Technologies (PLTR) and Datadog (DDOG) have failed to impress investors. It doesn’t help that August is historically the second worst month for the index.
“We expect pullback to be short-lived,” Ives said, in a note on Friday, still firmly sticking with his bullish call that tech stocks could see a boost of 12% to 15% in the second half of the year. He first made the call in June, revising his forecast of a 10% to 12% gain.
Ives has long been a tech bull and has even predicted Apple AAPL +0.03% to hit $4 trillion market capitalization by 2025. The company presently sits at $2.8 trillion.
The analyst’s optimism about the Nasdaq stems from his view that artificial intelligence isn’t a hype cycle and spending on AI tools will ramp up slowly, with companies allocating $800 billion to the area incrementally over the next decade.
“Rome was not built in a day, and neither will the AI ecosystem—but lets be clear, this build out is unlike anything we have seen since the internet in 1995,” he said. Ives expects the tech market to rage for the next 12 to 18 months.
The winners? He picks Nvidia (NVDA), which leads the market for semiconductors used for AI applications. Ives rates the company’s stock at Outperform with a $490 target price, implying a roughly 20% gain from Friday’s value.
Other picks include Microsoft (MSFT), the investor in OpenAI—the developer of AI sensation ChatGPT, and Apple, which he expects to build an AI-driven app store. He rates stocks of both companies Outperform, with a $400 and $230 target price, respectively.
Dan Ives is the constant AAPL Bull. Let's hope he continues to be correct.