After HP Inc. (HPQ) posted weak results, Dell Technologies posted weak Q3 revenue. Its revenue fell by 9.8% Y/Y to $22.3 billion. A Citi analyst thinks that Dell’s weak results are bad news for Intel (INTC) and AMD (AMD).
Weak PC sales will hurt Intel more. Dell represents 19% of Intel’s net revenue as of 2022. Intel’s unimpressive 14000 series CPUs are the potential reason.
In the cosmetics sector, Ulta Beauty (ULTA) posted revenue rising by 8.3% Y/Y to $2.49 billion. It expects net sales of $11.10B to $11.15 billion. Consumers may have weaker incomes but will still buy Ulta products whenever they can. Treat beauty care as recession-proof.
Last week, UiPath (PATH) rose by 26.72% after posting third-quarter results that beat expectations. The automation firm reported higher free cash flow. Its portfolio diversification, which includes Process, Task, and Communication Mining, has tremendous growth potential.
UiPath may thrive in the core robotic process automation (“RPA”) and non-RPA solutions. Momentum investors may bet on PATH stock rising further. However, generative AI (or GenAI) is a headwind. Shares are now priced as if the growth momentum will continue.
UiPath could disappoint investors if one or more of its biggest customers delay renewals or purchases.
At least one actively managed ETF may benefit from the PATH stock rebound: Ark Innovation Fund (ARKK).
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