Live Markets: S&P, AMZN Rise, Mag 7 a Mixed Bag
Key Points
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The S&P 500 is attempting to lead the markets higher with all eyes on corporate earnings.
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Tesla stock is down nearly 4% as the single-worst performer in the Magnificent 7 bunch today.
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Amazon’s quarterly revenue is predicted to surpass that of Walmart.
The analyst who called NVIDIA in 2010 just named his top 10 AI stocks. Get them here FREE.
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'Under-the-Radar' AI Play
Citron Research has come out touting Teladoc Health (Nasdaq: TDOC) as an “under-the-radar” AI stock. With this week’s acquisition of Catapult Health, Teladoc Health is “doubling down on preventive care and virtual health,” per Citron. The research firm went on to suggest that the market continues to treat TDOC like a “pandemic relic,” while behind the scenes it’s evolving into a “cash-generating machine.”
While not an obvious AI play, Teladoc Health harnesses the technology for cost cutting, better care and margin expansion, strategies that are clearly working as the company is profitable. While telehealth might not be as popular as it was during the pandemic, Citron Research contends that Teladoc Health could be on the radar of a bigger company like CVS (NYSE: CVS | CVS Price Prediction) or even Amazon as a potential acquisition target. Perhaps Amazon execs will address any M&A plans on today’s earnings call.
Teladoc Health stock has shot up 7% in response to the shout out by Citron.
Financials Fly and Project Stargate Advances
The markets are holding onto fractional gains for the day, which isn’t too shabby considering headwinds like tariffs and DeepSeek’s competitive threat to AI leaders.
After suffering an outage last night, OpenAI has revealed that Texas will be homebase for Project Stargate as developers break ground in the city of Abilene. Microsoft (Nasdaq: MSFT) stock is up almost 1% in response given its partnership with OpenAI. Other partners in the project include Nvidia and Oracle (NYSE: ORCL). Stargate has earmarked as much as $500 billion to help U.S. stay ahead of China in the AI era.
Here are some of the stocks making moves:
Financial stocks are up after the Fed revealed that it would require less stringent stress tests from the banks in 2025, even providing a quasi cheat cheat to help them prepare. In response,
- Citigroup (NYSE: C) stock led the sector higher with a 3% gain
- Goldman Sachs (NYSE: GS), Morgan Stanley (NYSE: MS) and BofA (NYSE: BAC) are each up 1.5%.
Semiconductor stock Skyworks Solutions (Nasdaq: SWKS) is one of the worst performers of the day, shaving nearly 25% off of its value after Apple revealed it would no longer rely exclusively on the semiconductor supplier for its iPhones and is now reportedly expanding its supply chain to include Broadcom (Nasdaq: AVGO).
The big story in the markets today is earnings. The S&P 500 is attempting to lead the markets higher today on Corporate America’s latest earnings round. Meanwhile, tariff fears appear to be on the back burner for now. The Dow Jones Industrial Average and Nasdaq are trying to follow the S&P’s lead. Most sectors of the economy are in the green, including financials, consumer staples and information technology, while healthcare and energy stocks are lagging.
While Amazon (Nasdaq: AMZN) reports after the bell today, the stock is up 1.4% in anticipation of revenue that could surpass that of big-box retailer Walmart (NYSE: WMT). Among the Magnificent 7 stocks, Tesla (Nasdaq: TSLA) is down nearly 4% in mid-morning trading as investors weigh the implications of a possible trade war. Ford (NYSE: F) is reportedly closer to a decision on partnering with Tesla’s FSD system.
Dow Jones Industrial Average: Down 107.32 (-0.24%)
S&P 500: Up 4.75 (+0.08%)
Nasdaq Composite: Up 3.16 (+0.04%)
Magnificent 7 a Mixed Bag
Amazon reports quarterly earnings after the closing bell. Wall Street is looking for the company to report Q4 revenue of $187.2 billion compared with Walmart’s Q4 revenue estimate of $178.7 billion.
Meta (Nasdaq: META) is continuing its winning streak and is up 1.1% on the day as the stock nears its 52-week high level.
Google parent Alphabet (Nasdaq: GOOGL) is extending its losing streak even though its massive AI-capex spending plan is buoying Nvidia (Nasdaq: NVDA) stock, which is up 1.5% on the day.
Apple (Nasdaq: AAPL) stock is lower but investors are touting the company’s reputation as a buyback stock. Apple has repurchased $673 billion of shares over the past decade while shareholders also collect dividend checks.
Market Movers
Cantor Fitzgerald has started coverage on AST SpaceMobile (Nasdaq: ASTS) with an “overweight” rating and $30 price target attached. Among the catalysts is “emerging defense opportunities.”
Eli Lilly (NYSE: LLY) stock is up nearly 4% on the heels of its Q4 earnings. The drugmaker’s results were mixed but robust demand for its weight-loss and diabetes drugs are bullish catalysts today.
Honeywell (NYSE: HON) is caving to pressure from activist investors and will split into three separate entities, each of which will trade separately. The stock is sinking 6% in response.
Costco (Nasdaq: COST) stock has reached a new all-time high this morning to $1,063 per share but has since pulled back slightly from those levels.
Gaming platform Roblox (NYSE: RBLX) stock is sinking 13% due to disappointing Q4 bookings and daily active user results.
Gerelyn Terzo is the author of dividend investing handbook "Dividend Investing Strategies: How to Have Your Cake & Eat It Too." A veteran financial journalist, she covers agri-finance for outlets like Global AgInvesting and the broader stock market and personal finance for 24/7 Wall Street. She began at CNBC and later helped launch Fox Business in New York. Gerelyn currently resides in Woodland Park, Colorado and dabbles in nature photography as a hobby.
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