Latest news with #QQQ
Globe and Mail
16 hours ago
- Business
- Globe and Mail
2 Top Bargain Stocks Ready for a Bull Run
The tech sector has been a market-beating beast in recent years. Tech-heavy exchange-traded funds (ETFs) like the Vanguard Information Technology ETF (NYSEMKT: VGT) and the Invesco QQQ Trust (NASDAQ: QQQ) have delivered annual returns of more than 21% over the last three years. Broad market trackers like the Vanguard S&P 500 ETF (NYSEMKT: VOO) only gained 15.5% per year over the same period. Yes, that's a fantastic return from a historic perspective, but the tech sector offered even stronger gains. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More » The technology boom has been driven by artificial intelligence (AI) news, starting with the public release of ChatGPT in November 2022. Many leaders in the AI market have soared sky-high, adding fuel to the tech sector's market performance fires, but also making those market darlings a bit expensive. Fortunately, the market-moving forces left a few top-notch companies behind. I still see several tech stocks with a combination of bright business prospects and modest stock prices. Let's check out a couple of underappreciated bargain-bin tech stocks. This dynamic duo looks ready for a fresh bull run. 1. Criteo Digital advertising has been a troubled sector since the first signs of an inflation crisis in 2021. Paris-based commerce media specialist Criteo (NASDAQ: CRTO) provides purchase-inspiring ad services to global brands. This focus placed the Parisian company in the epicenter of the inflation-based slowdown -- why invest in lavish marketing campaigns when consumers are pinching pennies and tightening belts? Criteo's revenues have indeed slumped since then, and so has the stock price. You know what's surging in recent quarters, though? That would be Criteo's free cash flows: CRTO Free Cash Flow data by YCharts The cash profits took a temporary dip, but came back stronger, with trailing cash flows reaching an all-time high in May's Q1 2025 report. But Criteo's stock price is down more than 30% in the last quarter, and the shares are trading at the bargain-bin valuation of 11.3 times earnings and 6.6 times free cash flow. I'm not saying the digital ad market is roaring back to life in the spring of 2025. The political climate may result in another inflation spike, and advertisers are already reducing their ad-spot spending right now. Hence, Criteo's undervalued stock may see more volatility and weakness in the coming months. However, I think the market makers have underestimated Criteo's ability to turn cash profits in a soft market. The Criteo shares you buy at a discount in this downswing should return to more reasonable valuation ratios someday. At the same time, the company's robust cash generation makes it less vulnerable to short-term financial challenges. You can buy Criteo stock with confidence while it's cheap. This one is poised for great long-term returns, and patience is the greatest Wall Street virtue of them all. 2. Hewlett Packard Enterprise My next recommendation is more of a household name. Hewlett Packard Enterprise (NYSE: HPE) has been around (in some form) since 1939. As the data center and cloud computing operator of the old HP business, HP Enterprise (aka HPE) plays a serious part in the AI boom. Indeed, seven out of the 10 most powerful supercomputers today were built by HP Enterprise. Only Chinese rival Lenovo has more systems in the top 500 than HP Enterprise, and nobody can match the total number-crunching performance of this company's ultra-powerful systems. Any company or organization that needs a top-performance system for their AI training and operations is likely to check out HP Enterprise's catalog first. So I'm talking about an AI powerhouse here. Yet, the stock price has dropped 16% lower year to date while smaller system builders Super Micro Computers (NASDAQ: SMCI) and Dell (NYSE: DELL) are up by 41% and down by just 1%, respectively. Trading at 8.9 times earnings and 14.3 times free cash flow, HP Enterprise looks downright cheap next to these challengers. HP Enterprise's stock could double or triple in price and still be affordable next to Supermicro or Dell. This could be a great value play on the hardware side of the AI boom. Should you invest $1,000 in Criteo right now? Before you buy stock in Criteo, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Criteo 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 $653,389!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $830,492!* Now, it's worth noting Stock Advisor 's total average return is982% — a market-crushing outperformance compared to171%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 May 19, 2025
Business Insider
2 days ago
- Business
- Business Insider
Nasdaq 100 Index Today: QQQ Drops as U.S.-China Tensions Escalate, Core PCE Falls
The Nasdaq 100 (NDX) is taking a hit on Friday despite the core personal consumption expenditures (PCE) index showing a monthly drop and coming in line with the consensus estimate. That's due to rising tensions between the U.S. and China as the two sides work to settle a trade deal. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Aprils Core PCE tallied in at 2.5% year-over-year, falling from 2.7% in March. Core PCE is the Fed's preferred gauge for inflation and strips out volatile food and energy prices from the regular PCE index. The index represents the prices that consumers spend on goods and services. Despite the easing core PCE, tensions are rising between the U.S. and China. This morning, President Trump said that China has 'TOTALLY VIOLATED ITS AGREEMENT WITH US' in a heated Truth Social post. In response, the world's second-largest economy pressed the U.S. to stop its ' discriminatory restrictions ' on trade and end unfair export practices on the semiconductor industry, among others. Afterwards, Bloomberg reported that the U.S. was planning on targeting subsidiaries of Chinese companies included in the Entity List with sanctions. The restrictions could arrive as early as next month with further sanctions likely to follow, said sources familiar with the situation. The Nasdaq 100 is down by 0.99% at the time of writing. Which Stocks are Moving the Nasdaq 100? A quick look at TipRank's Nasdaq 100 Heatmap will show the specific stocks responsible for the index's decline today. The Magnificent 7 isn't having a magnificent Friday with losses led by Nvidia (NVDA) at -3.54%. The semiconductor leader is likely falling given the escalation in U.S.-China tensions. Other chip companies, like Broadcom (AVGO), Advanced Micro Devices (AMD), and Arm Holdings (ARM) are also in the red. Rising tensions are likely the culprit behind the drop in Tesla (TSLA) and Apple (AAPL) as well given that both companies have a major presence in China. On the other hand, Costco (COST) is up by nearly 4% after the wholesaler reported its fiscal third quarter earnings. QQQ Stock Moves Lower with the Nasdaq 100 The Invesco QQQ Trust (QQQ) is an exchange-traded fund (ETF) designed to track the movement of the Nasdaq 100. As a result, QQQ is falling in correlation with the Nasdaq 100 today. Still, Wall Street believes that QQQ stock has room to run. During the past three months, analysts have issued an average QQQ price target of $575.58 for the stocks within the index, implying upside of 11.74% from current prices. The 102 stocks in QQQ carry 86 buy ratings, 16 hold ratings, and zero sell ratings.
CNBC
3 days ago
- Business
- CNBC
An options trade for playing a potential move to record levels in the Nasdaq-100
The month of May added to the remarkable V-shaped comeback equity rally in the wake of "liberation day." As I expect June to be another positive month in U.S. equities, I want to remain bullish as the bears seem to weaken on a daily basis. After a nearly 25% bounce off the April lows, I see more upside and an all-time high retest coming. I am defining my risk by using options on the Nasdaq-100 ETF (QQQ) to participate in this bullish move. May caught many bearish traders by surprise. Analysts continue to have to reconfigure their 2025 end-of-year price targets. The S & P 500 and Dow Jones Industrial Average popped 6% and 3.8%, respectively, in May. The higher beta Nasdaq-100 (QQQ) surged 9% this month, on track for its best month since November 2023. The continuous neck-snapping moves for investors trying to monitor tariffs on a 24/7 basis, feels more like watching Forrest Gump in one of his fast-paced ping-pong matches. President Donald Trump said this morning China violated its preliminary trade deal splashing out one of his social media posts after Treasury Secretary Scott Bessent said U.S.-China trade talks "are a bit stalled." U.S. equites turned lower after Trump's post to start trading for the last day of the month. I remain optimistic that we will find a deal with China but, as expected, it will not be a straight-line path for negotiations between our economies. Additional fuel into the bullish thesis: Inflation rate slipped to 2.1% in April, lower and cooler than expected, per the latest reading of the Fed's preferred inflation gauge (PCE). Markets have been grappling to determine if tariff policy has been inflationary or even possibly deflationary (demand dampened). Earnings season resiliency, cooler-than-expected inflationary data, coupled with my optimism on overall trade tariffs being resolved this Summer, markets seem poised to push higher and test the nerve of the under-invested. I am using the 200-day moving average down around $497 to help me establish what level I am selling puts at to finance the upside calls I am buying. $540 is the level I would like to see QQQs retest. The trade: Selling a risk reversal Sold the QQQ June 27 $500 puts for $6.25 Bought the QQQ June 27 $525 calls for $8.00 This debit spread costs $1.75 or $175 per one lot spread This trade was executed when QQQs was roughly trading $516 DISCLOSURES: Kilburg owns the spread above and is long QQQ. All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL'S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer.
Yahoo
3 days ago
- Business
- Yahoo
QQQ Jumps After NVDA Beats on Top and Bottom Lines
Nvidia Corp. (NVDA), the second-largest holding in both the SPDR S&P 500 ETF Trust (SPY) and Invesco QQQ Trust (QQQ), reported fiscal first-quarter earnings after the bell on Wednesday that beat analyst expectations, sending shares higher. Shares of the chip giant were last trading up by 4.5%, pulling QQQ higher by 0.6%. The chip giant posted adjusted earnings per share of $0.96, ahead of the $0.93 consensus estimate. Revenue came in at $44.1 billion, also topping the $43.3 billion estimate. The stock fluctuated as investors digested Nvidia's second-quarter revenue guidance of $45 billion, that was slightly below the $45.2 billion estimate. That figure includes a notable drag from Nvidia's AI chip for the Chinese market, the H20, which is now facing export restrictions. In its CFO commentary, Nvidia disclosed that first-quarter revenue was reduced by about $2.5 billion due to U.S. export restrictions impacting shipments to China. The pain worsens in the second quarter, where management expects a revenue hit of roughly $8 billion tied to the H20 restrictions. Despite the China drag, Nvidia's data center segment remains dominant, with revenue of $39.1 billion in the first quarter, making up the bulk of the company's revenues.'NVIDIA is putting digestion fears fully to rest, showing acceleration of the business other than the China headwinds around growth drivers that seem durable. Everything should get better from here,' said analysts at Morgan Stanley. Meanwhile, analysts at Citi said they "expect NVDA stock to break its range-bound trend since mid-last year and likely make a fresh 52 week high."625 U.S.-listed ETFs hold Nvidia stock, according to ETF Stock Holdings tool. The VanEck Semiconductor ETF (SMH) is one of the largest holders of the stock, with a 21% position. It was last trading up by around 1%. Editor's note: This article has been updated to include commentary from analysts and additional | © Copyright 2025 All rights reserved
Yahoo
3 days ago
- Business
- Yahoo
Stock ETFs Volatile as Court Strikes Down Trump's Tariffs
Stock ETFs seesawed Wednesday after a federal court struck down a major chunk of President Donald Trump's tariff agenda, raising fresh uncertainty about the future of U.S. trade policy. The SPDR S&P 500 ETF Trust (SPY) and the Invesco QQQ Trust (QQQ) initially jumped on the news. SPY climbed nearly 1% at its intraday high, while QQQ rallied as much as 1.5%. But those gains evaporated by midday as investors processed the implications of the ruling and the likelihood that the administration would pursue other avenues to restore tariffs. Late Wednesday, a three-judge panel from the U.S. Court of International Trade unanimously ruled that several of Trump's sweeping tariff orders exceeded his authority under the International Emergency Economic Powers Act (IEEPA), a 1977 law that allows the president to regulate commerce in response to national emergencies. Specifically, the court invalidated a series of executive orders that imposed tariffs on Canadian, Mexican and Chinese imports—tariffs that had been justified as responses to emergencies like drug trafficking and trade deficits. The ruling also blocked a set of "reciprocal" tariffs targeting dozens of U.S. trading partners, which were slated to go into effect in July unless trade deals were reached. In its opinion, the court concluded that IEEPA does not grant the president unlimited power to impose tariffs. While the ruling doesn't affect tariffs imposed under other statutes—such as Section 232 of the Trade Expansion Act, which allows for duties on national security grounds—it does curb the use of emergency powers for broad trade restrictions. The Trump administration quickly signaled it would appeal the decision and indicated that it might turn to other authorities to reimpose similar tariffs. 'There are so many different authorities the administration can reach into to put it back together,' said Michael Zezas, head of fixed income and thematic research at Morgan Stanley, on Bloomberg TV. Peter Navarro, a top White House trade advisor, also indicated that other mechanisms remain available, though many are slower and more cumbersome than IEEPA. The back-and-forth left investors unsure how to interpret the ruling. While the court decision marked a temporary legal win for importers and trade groups challenging Trump's tariff regime, it didn't signal the end of tariff threats more broadly. As investors recalibrated their expectations about what the latest court ruling means for the economy, stock ETFs gave up their early gains. Both SPY and QQQ briefly turned negative before rebounding to trade modestly higher. For now, markets are waiting to see how the administration responds. Trump's tariff agenda, a cornerstone of his economic platform, is unlikely to disappear without a | © Copyright 2025 All rights reserved Sign in to access your portfolio
