Alphabet Inc. and Google CEO Sundar Pichai speaks during the inauguration of a Google Artificial Intelligence (AI) hub in Paris on February 15, 2024.
Alain Jocard | AFP | Getty Images
My top 10 things to watch Friday, April 25
1. Alphabet reported better-than-expected first quarter growth, blew it away on Youtube and search and there seems to be no cannibalization at all. Extraordinary quarter and shares trade at just 16.6 times forward earnings. Several Wall Street firms, including JPMorgan and Goldman Sachs, raised their price targets. Shares bounced 4%.
2. Intel CEO Lip-Bu Tan delivers a King Henry V speech to the team. Band of brothers, and so the turn begins. The chipmaker is still raising cash and cutting costs though, as there seems to be quite a bit of dross. No nonsense approach on customers, execution, team. Intel reported first-quarter earnings on Thursday that beat on the top and bottom lines, but issued disappointing guidance. Shares are down more than 7%.
3. T-Mobile shares fell more than 5% despite reporting a great quarter Thursday, beating both sales and earnings estimates. But great isn’t enough anymore for this one. Fact of life.
4. Apple aims to import most of the iPhones it sells in the United States from India by the end of 2026, Bloomberg reports. That means doubling its annual iPhone output in India to more than 80 million units.
5. Morgan Stanley cut its price target on Nvidia to $160 from $162, and says limited supply of Blackwell chips is capping near-term estimates.
6. Meta has laid off employees in its Reality Labs division that is tasked with developing virtual reality, augmented reality and related wearable devices, CNBC reports. Shares of the Facebook and Instagram parent rose 3%.
7. HSBC upgraded Trane Technologies to a buy from hold, citing limited risk from tariffs and the economic cycle, plus attractive long-term growth. This is a very good data center stock and maybe the data center really is coming back as a theme.
8. RBC says to take advantage of the collapse in Procter & Gamble stock, upgrading it to a buy from hold. The firm said the company’s revised guidance is using assumptions that are achievable. However, Wells Fargo, Citi and TD Cowen all lowered their price targets. This is a very hard stock to own as there are too many moving parts.
9. Wells Fargo raised its price target on Dover to $180 from $170 but kept its hold rating. But I think this is the industrial stock to buy as there is so much upside and optionality. CEO Rich Tobin knows what has to be done. Yes, we were expecting a bit more strength from the company’s quarterly results Thursday, but are pleased to see bookings remain in positive territory and margins are expanding.
10. Wells Fargo said growth at Bristol Myers is slowing and took its price target to $53 from $62. This is a complicated situation for the Club, which owns the stock. We also lowered our price target, despite the drugmaker’s beat and raise on Thursday. Upside for schizophrenia treatment Cobenfy is in question after this week’s failed trial.
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