Nvidia inches higher than S&P 500, Nasdaq almost holds records

Live5 updates

• Thu Jun 6, 2024 6:33 AM MST

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  Shares stable now that Nvidia is a few centimeters higher

  U.S. stock prices were little changed Thursday morning after a tech-driven rally that sent the S&P 500 (^GSPC) and Nasdaq Composite (^IXIC) to records.

  Nvidia (NVDA) opened slightly higher after the AI ​​darling surpassed the $3 trillion market cap level in the previous session.

  On Thursday morning, the S&P 500 and the Dow Jones Industrial Average (^DJI) were hovering around the flat line. The Nasdaq rose about 0.1%.

  Investors have their eyes on the highly anticipated jobs report due Friday morning.

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  Thu Jun 6, 2024 5:55am MST

  The commercial PC market is recovering

  Two are a trend, in my books.

  Recent results from the major PC manufacturers indicate that the commercial PC market is finally rebounding.

  John Donovan of Loop Capital comes out with a note this morning that provides more insight into the emerging trend:

  “The more we delve into this sector, honestly, the news and updates become more and more exciting. All ingredients are present for a long-lasting and extended renewal cycle. Inputs include the completion of back-to-work doctrines, an extensive and extended renewal cycle. lack of upgrades since the pandemic (this also plays out on the consumer side to some extent), the rollover of Windows 10-11 – and this is leading to growing optimism ASPs, especially on the commercial side of the ledger, and the optimism seems realistic. Keep in mind that upgrading companies simply cannot take the ‘cheap route’ as AI innovations would make ‘just good enough solutions’ obsolete, we see. a roadmap to a level of “overbuying” in the near future.

  This is what CEO Enrique Lores of HP Inc. (HPQ) told me about this revival.

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  Thu Jun 6, 2024 4:44 AM MST

  A new face on Walmart’s board

  A meaningful new side job for one of the most popular CEOs in the fast food industry.

  Chipotle (CMG) CEO Brian Niccol has been officially elected to the board of directors of Walmart (WMT). He is now the fifth new independent director Walmart has brought on board since 2017, CEO Doug McMillon said Wednesday morning ahead of the shareholder vote.

  Niccol takes over the place of former board member Rob Walton (son of Walmart founder Sam Walton), who retired on Wednesday.

  This isn’t Niccol’s first rodeo as a board member outside Chipotle’s borders. He previously served on the boards of directors of KB Home (KBH) and Harley-Davidson (HOG).

  The addition of Niccol makes sense.

  Both Chipotle and Walmart have seen success in recent years as value-conscious consumers look for items they believe can boost their dollar. Niccol has also led digital ordering at Chipotle, while McMillon has led a digital renaissance at Walmart.

  While other food chains struggled to maintain traffic last quarter, Chipotle saw same-store sales rise 7%, thanks in part to Niccol’s efforts.

  A similar vibe at Walmart: U.S. same-store sales rose 3.9% year over year.

  The burrito chain’s shares are up nearly 38% this year, while Walmart’s shares are up more than 26%. It’s also worth noting that Walmart recently completed a 3-for-1 stock split, while Chipotle is awaiting shareholder approval for the 50-for-1 split.

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  Thu Jun 6, 2024 2:53 AM MST

  Hey, before you get excited about this Lululemon neighborhood

  The bears raided Lululemon (LULU) stock last night ahead of the earnings report, so I’m getting a 9% pre-market pop on the results that weren’t quite as brutal.

  But this wasn’t a typical Lululemon quarter by any means (strong double-digit growth at every division), and the positive reaction may be overstated.

  Worryingly, comparable sales in the US division remained unchanged from the previous year. The company called out misses from customers in colors, which is usually not a good sign of future demand. (I used to cover the stock as an analyst – believe me, this is not a good indicator.)

  “We advise investors to be sellers of any strength. The Lululemon brand and its fundamentals, in our view, have peaked and we expect cutthroat competition,” Jefferies analyst Randal Konik said in a client note this morning.

  Konik reiterated an underperform rating for the stock.

  It makes a lot of sense.

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  Thu Jun 6, 2024 2:44 AM MST

  Good for learning AI terminology

  If you’re going to invest in AI, it’s good practice to understand the jargon.

  And that also applies to the undersigned, who does not invest in AI, but writes much more about it than I thought ten years ago.

  Helpful insight into the topic of liquid cooling below in my chat with Antonio Neri, CEO of HPE (HPE) on Yahoo Finance Live. I think you’ll be hearing more about this given the power new AI chips are generating.

  I also found what Neri said about Nvidia (NVDA) interesting.