On today’s episode of Full Court Finance here at Zacks, Ben Rains takes a look at Monday’s stock market rally. The episode then dives into what to expect from both Nvidia NVDA and Alibaba’s BABA quarterly earnings results that are due out this week to help investors decide if either stock might worth buying.
U.S. stocks surged Monday after Moderna MRNA said that it has had positive results from early human tests of its coronavirus vaccine. Meanwhile, economies around the world are starting to slowly reopen. Plus, Wall Street might be even more sure of its ‘don’t fight the Fed’ mode after Federal Reserve Chairman Jerome Powell’s interview on 60 Minutes Sunday.
Despite the positivity, the overall earnings picture for the S&P 500 appears rough, and it’s set to get much worse in second quarter. That said, big-tech has proven its strength so far, highlighted by the likes of Facebook FB, Netflix NFLX, Microsoft MSFT, and many others.
With this in mind, Nvidia’s outlook remains strong as the GPU giant expands within gaming and cloud computing. NVDA shares have been on fire in 2020 and they hit a hew 52-week high on Monday. Nvidia is currently a Zacks Rank #2 (Buy) ahead of its quarterly earnings release that is due out after the closing bell on Thursday, May 21.
Meanwhile, Alibaba stock has lagged the market recently, with Wall Street worried that the coronavirus will hurt the Chinese e-commerce giant in the near-term. That said, BABA is also a Zacks Rank #2 (Buy) ahead of Friday’s earnings release, and the company looks poised to grow for years to come as it expands its portfolio.
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Microsoft Corporation (MSFT) : Free Stock Analysis Report
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