Advanced Micro Devices (AMD) is leading the stock this week closer to a buy point as AMD shares surge 37% so far this year.The giant of cloud computing Arista Networks (ANET) is on pause as it looks to artificial intelligence to drive growth. Lattice Semiconductor, Scorpio Tankers and SPS Commerce also make the list with support as earnings season is in full swing.
X
All of the stocks on this week’s list are retreating or finding support at the 10-week moving averages. A bullish rebound from the 10-week line could offer a buying opportunity. However, a significant break below the 10-week line would be a big sell signal.
The market is confirmed to be trending upwards and investors should increase their exposure moderately. However, an unexpected loss of revenue can dampen momentum, so we need to remain cautious.
AMD Stocks
Semiconductor manufacturer Advanced Micro Devices (AMD) was Thursday’s IBD Stock Of The Day.
The Santa Clara, Calif.-based chip leader bounced back solid gains from its March 15 breakout from flat base. AMD’s stock price is back near the buy point at 89.04, 10-week and 50-day It is trending at the moving average line of.
Early entry is possible if the current downtrend can be broken.
AMD will report earnings on May 2nd. Analysts surveyed by FactSet expect AMD’s earnings to halve to 56 cents per share, down 16% to $5.31 billion. That would mark the third straight quarter of accelerated profit decline. intel Competing with AMD in some areas (INTC) will report on Thursday.
Analysts Predict AMD and Rivals NVIDIA (NVDA) can benefit from the AI boom when developing hardware. On April 10th, KeyBanc analyst John Vinh said, “While cloud demand is slowing, a mix of AI server projects is benefiting his Nvidia and AMD.” I’m here.
The AMD stock has a near-perfect 98 overall rating out of the best possible 99. A composite rating combines a number of technical indicators into one easy-to-read score. AMD stock has a strong 93 RS rating and 80 EPS rating.
ANET Stock
Cloud networking giant Arista Networks boasts tech giants meta platform (meta) and microsoft (MSFT) to its customers. ANET’s stock is up 28% so far this year as artificial intelligence becomes the hottest investment topic with the arrival of ChatGPT and OpenAI. Arista management believes AI will increase network traffic as customers look to embed the technology.
Analysts expect revenue to surge nearly 50% to $1.3 billion and earnings to jump 60.7% to $1.35 a share in the May 1 quarter. Both Microsoft and Meta will report next week. Their guidance and spending plans could be key for ANET stock.
ANET’s share price has fallen in three of the past four weeks after breaking through the cup base on February 17. The stock is trading just above its 10-week moving average of 153.97. For the stock to become viable, it needs to register a strong rally, potentially clearing Tuesday’s high of 165.75. Arista Networks could build a new foundation.
Arista leads the computer networking group according to IBD Stock Checkup. The ANET Stock has an overall rating of 99. It has a 96 RS rating, and its relative strength is off recent highs. His EPS rating for Arista is 98.
LSCC stock
another chip manufacturer, lattice semiconductor (LSCC) is ranked on the IBD 50, Leaderboard and Tech Leaders list of Top Performing Stocks.
LSCC’s share briefly dipped below its 10-week and 50-day moving averages on Friday, but ended the week above those levels. This is after a more than 50% rise after breaking out of the Handled Cup base on Jan. 24. Stocks may form a flat base in another week. A breakout of the week’s high of 96.17 could give investors an early entry.
Analysts expect Lattice to report 35% EPS jumping to 50 cents per share on May 1 earnings, growing 19.6% to $180 million. Following the company’s fourth-quarter earnings growth, Lattice led earnings from $175 million to $185 million.
Lattice Semiconductor leads the Elec-Semiconductor fabless group, according to IBD Stock Checkup.
The LSCC stock has an overall rating of 99 and an EPS rating of 99. The relative strength line is the highest with a 97 RS rating.
STNGStock
monaco base scorpio tanker (STNG) is a global shipper of oil and petroleum. At the end of the year he had one of the world’s largest tanker fleets with 113 vessels, and last week he bought six more vessels.
The company has averaged 192% revenue growth over the past four quarters, and after posting a loss in 2021, has posted significant revenue growth over the last three quarters.
Scorpio Tankers reports May 2nd earnings. Analysts expect EPS to surge to his $3.26 compared to last year’s adjusted loss of 27 cents. Earnings increased 125% to $387 million.
STNG stocks regained the 50-day line on April 17th, showing an aggressive entry, but finished the week below that level. According to MarketSmith, the stock is consolidated at 64.30 buy points. STNG stock can forge handles in days. Technically, it’s already holding the wheel on the weekly chart, offering a low entry at 62.
The STNG stock has an overall rating of 94, an RS rating of 97 and an EPS rating of 78.
SPSCStock
Supply chain management software provider SPS Commerce (SPSC) provides cloud-based solutions for retailers and logistics companies. SPSC shares are up nearly 19% so far this year after breaking out of cup base in early February.
The company also reported accelerating profit and revenue growth in the last two quarters. However, analysts expect the trend to continue as SPS Commerce announced 5.5% earnings growth on Wednesday in its first-quarter results, at 58 cents per share. . Earnings growth is also expected to slow to 17% growth for him as analysts forecast sales of $124 million.
SPSC stock has been supporting around the 21-day exponential moving average and the 10-week line for the past few weeks. It is currently trading on a flat basis with a buy point of 157.56 as shown by MarketSmith. An early potential entry point is around 154, where we see a lot of resistance. Investors should refrain from opening positions before profits are made.
According to IBD Stock Checkup, SPSC shares lead the group of computer software specialists. SPS Commerce shows positive signs across the board. The SPSC stock has an overall rating of 99, an EPS rating of 98 and an RS rating of 90.
Follow Harrison Miller on Twitter for stock news and updates. @IBD_Harrison
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