Saturday, April 13, 2024

🌎 The Weekly Wrap-Up for 4/13/2024

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MarketBeat Weekly Wrapup
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April 13th, 2024
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The Weekly Wrapup

Many stories were moving the markets this week, but the general move was lower. The latest readings on inflation showed that, by almost every measure, prices are increasing at a higher rate than in the prior year.  

Some say that's a sign of a healthy economy. But the market is not the economy, and equity investors are now rethinking the valuations on stocks with the prospect of fewer, and later, rate cuts for the remainder of the year. 

And as the week ended, several of the major banks kicked off a new quarter of earnings. The reports were mostly positive, but JPMorgan Chase (NYSE: JPM) cited sluggish growth as higher interest rates mean they have to pay more interest on customer deposits.  

Investors will receive more data on retail sales and housing start next week. The MarketBeat analysts will be ready to cover it all. Here are some of our most popular stories from this week.  

Articles by Jea Yu 

Jea Yu wrote this week, "Nothing strikes more fear in the hearts of stock market bears than two simple words: short squeeze." A short squeeze requires the right combination of factors coming together. That's the case with three stocks with high short interest, which Yu points out may be just one catalyst away from a short squeeze.  

Investors looking for a sweet deal of another kind may want to look at Krispy Kreme Inc. (NASDAQ: DNUT). The company with the iconic doughnuts surged after announcing a partnership with McDonald's Corp. (NYSE: MCD). The stock may have gotten ahead of itself and is pulling back into a more attractive range that Yu believes creates an opportunity for investors looking to bite into DNUT stock.  

For options traders, Yu explains the pros and cons of using call debit spreads. Yu explains what a call debit spread is and how to use that strategy (with examples) to help maximize your profits.  

Articles by Thomas Hughes 

One of the more recognizable technical indicators for investors is the golden cross. Even if they don't know its name, they recognize it as a bullish pattern. This week, Thomas Hughes defines the golden cross pattern and highlights four stocks that are showing this pattern and could be ready for a bullish move higher. 

A less obvious, but sometimes predictive, indicator occurs when company insiders buy shares of their company's stock. MarketBeat has a tool that lets you see what stocks CEOs purchase. And Hughes analyzes the five stocks with the most significant CEO buying in the first quarter of 2024 and what it could mean for their prospects the rest of the year. 

Delta Air Lines Inc. (NYSE: DAL) was one of the first stocks to report earnings and delivered record results. The stock has been one of the best-performing airline stocks and is set up for future gains, but investors have been disappointed in the past. Hughes analyzes whether this report will be the catalyst for the stock to move higher.  

Articles by Sam Quirke 

Apple Inc. (NASDAQ; AAPL) has been one of the worst performers among technology stocks and the broader market in general in 2024. Sam Quirke doesn't deny that the company has some headwinds to overcome. However, he makes the case that AAPL stock looks undervalued at this point and may be ready to make a sharp move higher. 

Investors who were caught up in the Nvidia hype may have missed out on the recent surge in Micron Technology Inc. (NASDAQ: MU). But Quirke explains why you still have a chance to buy MU stock, as demand for its memory chips makes it one of the must-own stocks for the second quarter

Articles by Chris Markoch 

Constellation Brands Inc. (NASDAQ: STZ) came out of the gates swinging this earnings season. The continued strength in beer sales, specifically its Modelo brand, led to a double beat and bullish guidance for 2024. Chris Markoch explains why that means investors can expect STZ stock to continue to move higher. 

Markoch also wrote about what the acquisition of Shockwave Medical Inc. (NASDAQ: SWAV) could mean for Johnson & Johnson (NYSE: JNJ). The stock has been in a downtrend as it is now a stand-alone company free of its consumer health products. But access to Shockwave's proprietary technology may be the jolt the stock needs.   

Articles by Ryan Hasson 

The rise in oil prices was one of the key reasons why inflation continues to grow at a hotter-than-normal rate. The supply-and-demand concerns are only likely to intensify in the next quarter, and Ryan Hasson helps get you prepared with three energy stocks that can help you capture these gains.  

Precious metals are also showing strong demand, which is driving up the price of gold and, more recently, silver. This week, Hasson outlines four equity options that can give you exposure to silver if you're not comfortable buying the physical metal. 

Hasson also wrote about the recent pullback in the semiconductor sector. This is a significant correction for many stocks that were more than a little frothy. However, the short-term outlook remains bullish, and Hasson analyzes what that may mean for five of the top semiconductor stocks.  

Articles by Gabriel Osorio-Mazilli 

The biggest issue investors are considering is when or if, the Federal Reserve will cut interest rates. Markets hate uncertainty. And a lack of clarity on rates, among other things, is causing the volatility index (the VIX) to spike higher. This week, Gabriel Osorio-Mazilli analyzes three low-beta consumer staples stocks that could be just what your portfolio needs. 

But let's say the Federal Reserve does cut rates. That may make fixed-income investments less attractive. That's why you may want to consider dividend stocks with an attractive yield. Osorio-Mazilli offers up three dividend stocks that are good candidates to outperform lower savings rates

And if none of those dividend stocks are what you're looking for, maybe Wendy's Co. (NASDAQ: WEN) is more appetizing. The company offers investors double-digit upside and a dividend yield that outpaces bond yields, which could attract investors looking for growth and value.  

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