Wednesday’s stock sentiment will hinge on the technology sector. After a euphoric multi-year run-up, AMD, Nvidia (NVDA), and SMCI’s direction will decide where Nasdaq (QQQ) ends up next.
Nvidia reports results tomorrow after markets close. 38 analysts raised their EPS revisions in the last 90 days. Not one analyst lowered it. The EPS GAAP estimate for Nvidia is $4.22 on revenue of $20.55 billion. AMD, which is behind Nvidia technologically on PC graphics cards and AI server systems, will follow NVDA’s stock direction.
EV Stocks Fall
On Sunday, Albemarle (ALB), a top lithium producer, slashed 203 demand, citing slower EV adoption. The miner said that the shift to EVs in the U.S. and Europe is slower than management expected. This is not new information, since lithium carbonate prices fell to a three-year low at the time of writing.
Tesla (TSLA) slashed prices to respond to the weak demand. In China, Tesla auto registrations from Feb. 5 – 18 were only 8,200 vehicles. Li Auto sold 7,000 units, far more than Nio (1,500 units) and Xpeng (XPEV) at 1,000 units.
Lucid (LCID) slashed prices of its EV recently as did Fisker (FSR). Consider avoiding all EV stocks for now.
