In mid-week trading, income investors will want to watch the telecom sector. After SpaceX (SPCX) acquired low-band spectrum last week, Verizon Communications (VZ), AT&T (T), T-Mobile (TMUS), and Charter Communications (CHTR) fell. VZ stock bounced back somewhat on Tuesday. It gained 1.75% to close at $43.53.
In the chip sector, watch out for Applied Materials (AMAT). Shares lost 6.69% to continue a downtrend that started on Oct.6, when shares traded at $530. It closed at around $464. The stock fell for six straight trading sessions. The firm hosted its Investor Day on Oct. 13.
Applied said that AI will increase demand for bigger dies, more transistors, and more wiring layers. CEO Gary Dickerson said that the global buildout of AI infrastructure drove a “new era of growth for wafer fab equipment.”
AMAT stock fell alongside that of Micron (MU), SanDisk (SNDK), Western Digital (WDC), and Seagate (STX). Bellwether firms like Taiwan Semiconductor (TSM), however, pulled back but retained their uptrend for the year.
Johnson & Johnson (JNJ) fell by 5.73% to close at $248.61. The stock fell after the firm posted its quarterly results. The drug business grew by 7.7%, but the MedTech segment lagged, growing by 2.5%.
JNJ stock is an attractive holding for income investors. Its dividend yields 2.03%. But the stock trades at a premium, which caused it to pull back on Tuesday.
