In light of interest rates staying above 5%, investors need only avoid busted biotechnology and electric vehicle stocks. Markets avoid companies that post quarterly losses and must raise capital amid tight monetary policy conditions.
The biotech stocks to avoid include Pacific Biosciences (PACB) and Intellia Therapeutics (NTLA). Tesla (TSLA), which posts results on April 23, is a speculative trade.
Rivian (RIVN) is still looking to find a bottom after trading at an all-time low of $8.32. Investors should also avoid lithium mining firms like Albemarle (ALB). Short-sellers have 14.6 million shares short.
Momentum traders may buy Super Micro Computer (SMCI) today. Shares gained 10.6% on Tuesday when an analyst at Loop Capital set the highest price target on Wall Street. Citing strong AI server positioning, the firm has a $1,500 price target.
Apple (AAPL) might catch a strong bid today despite its downtrend firmly in place.
Health plan provider UnitedHealth Group (UNH) is a buy after gaining 5.22%. The firm posted revenue growing by 8.6% Y/Y to $99.8 billion. It earned $6.91 a share (adjusted). It will earn $17.60 - $18.20 in 2024, after adjusting for the impact of the cyberattack.
In the airline sector, consider United Airlines (UAL). It posted a $124 million loss, due to grounding all Boeing (BA) planes for three weeks in January.
