On today’s episode of Free Lunch here at Zacks, Associate Stock Strategist Ben Rains looks at some global economic updates surrounding the coronavirus. We then discuss big Tesla (TSLA - Free Report) news, earnings results from the likes of Alibaba (BABA - Free Report) , and what to expect from Nvidia (NVDA - Free Report) . And the episode ends with why Perion Network Ltd (PERI - Free Report) is a Zacks Rank #1 (Strong Buy) stock right now.
News out of China showed that the number of new coronavirus infections reported skyrocketed in one day, which led to the firing of two top officials. This helped send the Dow, the S&P 500, and the Nasdaq down early Thursday, but they have tried to bounce back, after closing at new highs earlier in the week.
Alibaba’s quarterly report was strong, but BABA stock dipped after executives said that the virus might have a broader impact on the world’s second-largest economy. Still, the Chinese e-commerce giant’s quarterly sales surged 38% to top Wall Street estimates.
Meanwhile, Cisco (CSCO - Free Report) stock slipped on disappointing guidance. Applied Materials (AMAT - Free Report) , on the other hand, saw its stock jump after the semiconductor equipment firm beat our Q1 estimates.
Tesla continued its hot streak even though it fell premarket. The electric car maker faces a new SEC probe, as CEO Elon Musk and Tesla look to raise $2 billion through a new stock sale.
Looking ahead, Nvidia is set to report its Q4 fiscal 2020 results after the closing bell, with the high-flying semiconductor stock set to return to growth. Nvidia is expected to join industry heavyweights Intel (INTC - Free Report) and Taiwan Semiconductor Manufacturing Co. (TSM - Free Report) , who have already posted solid quarterly results and raised their outlooks, as part of a broader chip comeback.
The episode then closes with a look into why tech-based digital advertising firm Perion is a Zacks Rank #1 (Strong Buy) stock. PERI is currently trading under $10 per share and its outlook appears strong.
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