Investors who want to harvest the volatility from the momentum in semiconductor stocks but are too afraid of other options. Qualcomm (QCOM) and Micron (MU), up by 17% and 32% in the last week, respectively, are examples of stocks that cautious traders might avoid.
In the tech sector, consider Marvell (MRVL) instead. Its market capitalization is not $1T, like that of Micron. Its quarterly results should give traders plenty of volatility today.
Zscaler (ZS) lost 31% to close at $127.28 on Wednesday. The price is now at levels not seen since early April. Markets wiped out the monthly rally despite the firm posting strong metrics in the third quarter. However, the outlook for FY 2027 caused markets to panic.
ZS stock could win back investor confidence if the firm reports new logo growth.
AppLovin (APP) is on a breakout. After adding 9.93% to close at $565.31, Morgan Stanley’s bullish report set a $720 price target. APP stock’s catalyst is an improvement in converting conversion rates with ads. Assuming the rate is 1%, the firm has lots of room to improve its efficiency.
In China, PDD (PDD) lost 10.22% yesterday. The downtrend broke down into an accelerated selling moment on strong volume. In Q1, revenue grew by 16.8% Y/Y to $15.4 billion, missing expectations. Restructuring efforts that started earlier this year will hurt profitability. For example, it is improving safety, compliance, and social responsibility.
