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Wolfspeed Put Options Surge Before Report on Bankruptcy Plans

Wolfspeed Put Options Surge Before Report on Bankruptcy Plans

Bloomberg20-05-2025
Traders ramped up bearish bets Tuesday on Wolfspeed Inc., before the Wall Street Journal reported after regular market hours that the ailing chip component maker is preparing to file for bankruptcy protection within weeks.
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Key Points Costco's massive scale gives it leverage over its vendors to obtain favorable pricing. The warehouse club operator's membership model drives customer loyalty. Investors are clearly enamored with the stock, as indicated by the current valuation. 10 stocks we like better than Costco Wholesale › Costco Wholesale (NASDAQ: COST) proves that investors don't need to own businesses at the cutting edge of technology to score huge wins. In the past five years, shares of this warehouse club operator have produced a total return of 216% (as of Aug. 14), beating the market by a wide margin. Despite this strong performance, this top retail stock trades 9% off its record from February of this year. Is Costco an obvious buy right now? Hard to disrupt With fiscal 2025 Q3 (ended May 11) net sales of $62 billion, Costco is the world's third largest retailer. Selling high-quality merchandise at extremely low prices has made it a fan favorite. What's more, operating a membership model helps drive incredibly valued customer loyalty, while at the same time bringing in a recurring revenue source. Costco should still be thriving well into the future. That's because it's a business that's hard to disrupt. The company possesses a tremendous cost advantage, which allows it to purchase its inventory from suppliers at favorable prices. These savings are constantly passed to customers, encouraging them to increase their spending over time, thus reinforcing the cost advantage. Steep valuation However, the market is fully aware of Costco's merits. The stock has performed exceptionally well historically, helping the company get to a $433 billion market capitalization. But the valuation has clearly gotten stretched. Investors can buy shares at a price-to-earnings ratio of 55.3. This is close to the most expensive level in the last 25 years. Costco is a great business that investors should keep on their watch lists. However, the current valuation is expensive, so the stock is far from being an obvious buying opportunity right now. Should you buy stock in Costco Wholesale right now? Before you buy stock in Costco Wholesale, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Costco Wholesale wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $668,155!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,106,071!* Now, it's worth noting Stock Advisor's total average return is 1,070% — a market-crushing outperformance compared to 184% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of August 13, 2025 Neil Patel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Costco Wholesale. The Motley Fool has a disclosure policy. Is Costco Stock an Obvious Buy Right Now? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

I'm 39, nearly $60,000 in debt and have nothing saved for retirement — and I don't know what to tackle first
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2 Top Artificial Intelligence (AI) Stocks That Could Crush the Nasdaq
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Key Points Sovereign AI systems is a $50 billion per year opportunity, which could benefit AI chip leader Nvidia. The success of Meta Platforms' Ray-Ban smart glasses shows it is more than just an advertising business. 10 stocks we like better than Nvidia › Sticking with industry leaders is all an investor needs to do to run circles around the market indexes. The Nasdaq Composite has returned 26% over the past 12 months, but leading stocks like Nvidia (NASDAQ: NVDA) and Meta Platforms (NASDAQ: META) have doubled that return. As artificial intelligence (AI) sweeps across the global economy, here's why these stocks are poised to deliver strong growth to help you beat the market. 1. Nvidia Nvidia's explosive growth led by demand for its high-powered data center chips for AI workloads has fueled the stock higher in 2025. Investors who missed the rally shouldn't feel like it's too late. 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The profits from its advertising revenue allow the company to take calculated bets on things like smart glasses, which help bolster Meta's brand as it works to integrate its AI technology into the lives of its customers. Meta is aiming to be its users' everyday superintelligence agent, and this would unlock more growth opportunities over the long term. Given Meta's profitable advertising business and how AI is benefiting its growth, investors appear to be rerating the stock with its forward P/E potentially heading into the 30s. The stock should continue to grow in value with earnings putting it on track to outperform the Nasdaq over the next five years. Should you buy stock in Nvidia right now? Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Nvidia wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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The Motley Fool has a disclosure policy. 2 Top Artificial Intelligence (AI) Stocks That Could Crush the Nasdaq was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

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