Stock: WMT
Basic Information: Walmart Inc (WMT) is an American multinational retail corporation that operates a chain of hypermarkets, discount department stores, grocery stores, e-commerce platforms, and other services worldwide. It is one of the largest and most profitable companies in the world by revenue and market capitalization. It is listed on the New York Stock Exchange.
Technical analysis: WMT has been trading in an uptrend since March 2020, when it reached a low of $102.00. The stock has been supported by its 50-day and 200-day moving averages, as well as the $130 level. The stock is currently trading at $159.11, near its 52-week high of $160.94. The stock has a relative strength index (RSI) of 66, indicating that it is overbought and may be due for a pullback. The stock also has a MACD histogram that is decreasing, suggesting that the bullish momentum is fading. However, the stock remains above its MACD signal line, indicating that the uptrend is still intact. The stock may find support at its 50-day moving average ($152.63) or the $130 level, while it may face resistance at its 52-week high or the $170 level. Detailed Summary
Fundamental analysis: WMT has a solid financial performance, with revenue and earnings growing at single-digit rates in the past four quarters. In Q4 2023, the company reported revenue of $164.05 billion, up 7% year-over-year, and net income of $5.34 billion, up 12% year-over-year. The company’s revenue was driven by its US and international segments, as well as its e-commerce and membership businesses, while its earnings were boosted by its operating leverage and cost savings. The company’s earnings per share (EPS) was $1.87, beating the consensus estimate of $1.51.
The company’s revenue, however, missed the consensus estimate of $166.91 billion, due to the impact of the COVID-19 pandemic on its store traffic and supply chain disruptions. The company’s earnings forecast for Q2 2023 is EPS of $1.69, which is higher than the EPS of $1.56 in Q2 2022. The company’s estimated report date is August 17. Detailed Summary Outlook: WMT faces several challenges and opportunities in the near future. On one hand, the company has a strong competitive advantage in the retail industry, with its large scale, low prices, wide assortment, omnichannel capabilities, and loyal customer base.
The company also has a robust cash position of $17.74 billion as of January 31, 2023, which allows it to invest in innovation, expansion, and shareholder returns. On the other hand, the company faces regulatory risks from various countries where it operates, as well as increasing competition from online and offline rivals, such as Amazon (AMZN), Target (TGT), Costco (COST), and Alibaba (BABA). The company also faces uncertainty over its growth prospects amid the COVID-19 pandemic and the economic recovery in the US and abroad.
Educational prediction, is the stock most likely to hit, miss, or exceed expectation?: Based on the technical and fundamental analysis above, I would give an educational prediction that WMT is more likely to exceed expectation in Q2 2023, as its revenue and earnings may increase due to its resilient business model, diversified portfolio, and strategic initiatives.
Educational prediction of the stock’s price by end of the week: Based on the technical analysis above, I would give an educational prediction that WMT’s stock price may decline slightly by the end of the week, as it is overbought and may face profit-taking pressure. However, I would not expect a major correction unless the stock breaks below its 50-day or 200-day moving averages or the $130 level.
Stock: DOLE
Basic Information: Dole plc (DOLE) is a leading producer and marketer of fresh fruits and vegetables. The company operates in over 30 countries and serves more than 100 markets worldwide. Dole offers a wide range of products, including bananas, pineapples, berries, salads, fresh-cut vegetables, and packaged foods.
Technical analysis: DOLE has been trading in a downtrend since its initial public offering in July 2023. The stock has lost about 31% of its value since then, closing at $12.41 on August 16, 2023. The stock is below its 50-day and 200-day moving averages, indicating a bearish momentum. The relative strength index (RSI) is at 36, suggesting that the stock is oversold and may bounce back in the short term. However, the MACD histogram is negative and below the signal line, indicating a continuation of the downward pressure. The stock may face resistance at $13.50 and support at $11.50.
Fundamental analysis: DOLE reported better-than-expected earnings for the third quarter of 2023, with EPS of $0.14 beating the Zacks Consensus Estimate of $0.09 by 55.56%. However, revenue declined by 1.5% year-over-year to $2.27 billion, missing the Zacks Consensus Estimate by $35 million. The company attributed the revenue decline to lower pricing and volume in its fresh fruits segment, partially offset by higher sales in its fresh vegetables segment. The company also faced higher costs related to labor, transportation, and raw materials due to inflationary pressures and supply chain disruptions. The company expects these challenges to persist in the fourth quarter and beyond. For the full year of 2023, the company expects EPS of $0.37 to $0.47 and revenue of $8.6 billion to $8.8 billion.
Outlook: DOLE faces a competitive and volatile market for fresh produce, as well as rising costs and operational challenges due to the pandemic and other factors. The company is investing in innovation, sustainability, and digital transformation to enhance its product portfolio and customer experience. The company also plans to leverage its global scale and diversified business model to capture growth opportunities in emerging markets and new channels. However, the stock may remain under pressure until the company shows signs of improving its profitability and revenue growth.
Educational prediction: Based on the current analyst estimates and the company’s guidance, DOLE is likely to hit its EPS expectation for the fourth quarter of 2023, but may miss its revenue expectation slightly.
Educational prediction of the stock’s price by end of the week: Based on the technical and fundamental analysis, DOLE may rebound slightly from its oversold condition in the short term, but may face resistance at $13.50. The stock may trade in a range of $11.50 to $13.50 by the end of the week, depending on the market sentiment and any news or events that may affect the company or the industry.
Stock: BILI
Basic Information: Bilibili Inc. (BILI) is a leading online entertainment platform in China that provides video content, live broadcasting, mobile games, e-commerce, and other services to young generations. The company has over 237 million monthly active users and over 86 million daily active users as of June 30, 2023.
Technical analysis: BILI has been trading in an uptrend since March 2023, when it reached a low of $62.02. The stock has gained about 81% since then, closing at $112.38 on August 16, 2023. The stock is above its 50-day and 200-day moving averages, indicating a bullish momentum. The RSI is at 64, suggesting that the stock is near overbought territory and may face some profit-taking in the near term. However, the MACD histogram is positive and above the signal line, indicating a strong upward trend. The stock may face resistance at $120 and support at $100.
Fundamental analysis: BILI reported better-than-expected earnings for the second quarter of 2023, with EPS of -$0.41 beating the Zacks Consensus Estimate of -$0.48 by 14.58%. However, revenue increased by 26% year-over-year to $733 million, missing the Zacks Consensus Estimate by $17 million. The revenue growth was driven by higher user engagement and monetization across its platform segments, especially mobile games and value-added services. The company also increased its spending on content creation, marketing, technology development, and talent acquisition to expand its user base and enhance its competitive edge. The company expects revenue for the third quarter of 2023 to be between $780 million and $810 million, representing a year-over-year growth of 19% to 23%.
Outlook: BILI has a loyal and growing user base that is attracted by its diverse and high-quality content offerings and its interactive and immersive community. The company is also exploring new growth avenues such as e-sports, online education, cloud computing, and overseas expansion. The company faces competition from other online entertainment platforms in China, such as Tencent Video, iQiyi, and Youku, as well as regulatory risks and uncertainties in the Chinese market. The stock may continue to benefit from its strong revenue growth and earnings improvement, but may also experience volatility due to market fluctuations and external factors.
Educational prediction: Based on the current analyst estimates and the company’s guidance, BILI is likely to hit its EPS and revenue expectations for the third quarter of 2023.
Educational prediction of the stock’s price by end of the week: Based on the technical and fundamental analysis, BILI may continue its uptrend in the short term, but may face some resistance at $120. The stock may trade in a range of $100 to $120 by the end of the week, depending on the market sentiment and any news or events that may affect the company or the industry.
Stock: GAMB
Basic Information: Gambling.com Group Limited (GAMB) is an online media company that provides information, comparison, and reviews of online gambling websites and services. The company operates in over 20 markets and has over 100 employees. The company was founded in 2006 and is headquartered in Dublin, Ireland. Detailed
Technical analysis: GAMB has been trading in a volatile range since its initial public offering in July 2023. The stock has fluctuated between $6.62 and $13.20, closing at $12.65 on August 16, 2023. The stock is above its 50-day and 200-day moving averages, indicating a bullish momentum. The relative strength index (RSI) is at 59, suggesting that the stock is neither overbought nor oversold. However, the MACD histogram is negative and below the signal line, indicating a possible reversal of the upward trend. The stock may face resistance at $13.20 and support at $10.
Fundamental analysis: GAMB reported better-than-expected earnings for the first quarter of 2023, with EPS of $0.20 beating the Zacks Consensus Estimate of $0.17 by 17.65%. However, revenue declined by 9% year-over-year to $26.69 million, missing the Zacks Consensus Estimate by $10,000. The revenue decline was due to lower organic growth and unfavorable currency exchange rates. The company also incurred higher operating expenses related to its IPO and expansion plans. The company expects revenue for the second quarter of 2023 to be between $27 million and $28 million, representing a year-over-year growth of 1% to 5%.
Outlook: GAMB operates in a fast-growing and competitive online gambling industry, which is expected to reach $127 billion by 2027. The company benefits from its diversified portfolio of websites, brands, and markets, as well as its strong relationships with leading online gambling operators. The company also has opportunities to expand into new geographies and segments, such as sports betting and e-sports. However, the company faces challenges such as regulatory uncertainties, intense competition, and cyber risks. The stock may reflect the company’s growth potential and earnings improvement, but may also experience volatility due to market fluctuations and external factors.
Educational prediction: Based on the current analyst estimates and the company’s guidance, GAMB is likely to hit its EPS expectation for the second quarter of 2023, but may miss its revenue expectation slightly.
Educational prediction of the stock’s price by end of the week: Based on the technical and fundamental analysis, GAMB may trade in a narrow range in the short term, but may break out of the resistance level of $13.20 if it delivers a positive earnings surprise or provides an optimistic outlook. The stock may trade in a range of $10 to $14 by the end of the week, depending on the market sentiment and any news or events that may affect the company or the industry.
Stock: ROSS
Basic Information: Ross Stores, Inc. (ROSS) is a leading off-price retailer of apparel and home fashion products in the United States. The company operates two brands: Ross Dress for Less®, which offers name brand and designer merchandise at 20% to 60% off department and specialty store regular prices; and dd’s DISCOUNTS®, which offers a more moderately-priced assortment at 20% to 70% off moderate department and discount store regular prices. The company operates over 2,000 stores across 41 states, the District of Columbia, and Guam.
Technical analysis: ROSS has been trading in an uptrend since March 2023, when it reached a low of $88.31. The stock has gained about 30% since then, closing at $114.12 on August 16, 2023. The stock is above its 50-day and 200-day moving averages, indicating a bullish momentum. The RSI is at 64, suggesting that the stock is near overbought territory and may face some profit-taking in the near term. However, the MACD histogram is positive and above the signal line, indicating a strong upward trend. The stock may face resistance at $120 and support at $105.
Fundamental analysis: ROSS reported better-than-expected earnings for the second quarter of 2023, with EPS of $1.39 beating the Zacks Consensus Estimate of $1.15 by 20.87%. However, revenue increased by only 3% year-over-year to $4.72 billion, missing the Zacks Consensus Estimate by $10 million. The revenue growth was driven by higher comparable store sales, partially offset by lower store traffic and average basket size. The company also faced higher costs related to labor, freight, and occupancy due to inflationary pressures and supply chain disruptions. The company expects EPS for the third quarter of 2023 to be between $0.90 and $1.00 and revenue to be between $4.2 billion and $4.3 billion.
Outlook: ROSS has a loyal and value-conscious customer base that is attracted by its wide selection of merchandise and significant discounts. The company also has a flexible and efficient business model that allows it to adapt to changing market conditions and consumer preferences. The company is also expanding its store network and enhancing its online presence to capture more market share.
However, the company faces competition from other off-price retailers, such as TJX Companies and Burlington Stores, as well as online platforms, such as Amazon and Walmart. The company also faces challenges such as uncertain consumer spending, inventory management, and margin pressure. The stock may continue to benefit from its strong earnings growth and cash flow generation, but may also experience volatility due to market fluctuations and external factors.
Educational prediction: Based on the current analyst estimates and the company’s guidance4, ROSS is likely to hit its EPS expectation for the third quarter of 2023, but may miss its revenue expectation slightly.
Educational prediction of the stock’s price by end of the week: Based on the technical and fundamental analysis, ROSS may continue its uptrend in the short term, but may face some resistance at $120. The stock may trade in a range of $105 to $120 by the end of the week, depending on the market sentiment and any news or events that may affect the company or the industry.
Stock: KEYS
Basic Information: Keysight Technologies, Inc. (KEYS) is a leading provider of electronic design and test solutions for various industries, such as communications, aerospace, defense, automotive, energy, semiconductor, and education. The company offers hardware, software, services, and solutions that enable customers to accelerate innovation and optimize performance. The company was founded in 2014 as a spin-off from Agilent Technologies and is headquartered in Santa Rosa, California. Detailed
Technical analysis: KEYS has been trading in a sideways pattern since February 2023, when it reached a high of $155.50. The stock has oscillated between $130 and $160, closing at $157.52 on August 16, 2023. The stock is above its 50-day and 200-day moving averages, indicating a bullish momentum. The RSI is at 60, suggesting that the stock is neither overbought nor oversold. However, the MACD histogram is negative and below the signal line, indicating a possible loss of momentum. The stock may face resistance at $160 and support at $145.
Fundamental analysis: KEYS reported better-than-expected earnings for the second quarter of 20236, with EPS of $2.12 beating the Zacks Consensus Estimate of $1.94 by 9.28%. However, revenue increased by only 1% year-over-year to $1.39 billion, missing the Zacks Consensus Estimate by $10 million. The revenue growth was driven by higher demand for its solutions in the communications segment, especially for 5G testing and deployment. The company also benefited from its diversified customer base across various end markets and geographies. The company expects EPS for the third quarter of 2023 to be between $2.02 and $2.08 and revenue to be between $1.42 billion and $1.46 billion.
Outlook: KEYS operates in a large and growing electronic design and test market that is expected to reach $18 billion by 2024. The company has a strong competitive position in this market due to its broad portfolio of solutions, its focus on innovation and R&D, its strategic partnerships and acquisitions, and its global presence and scale. The company also has opportunities to expand into new domains such as artificial intelligence (AI), cloud computing, quantum computing, automotive electrification, and cybersecurity. However, the company faces challenges such as cyclicality in some of its end markets, pricing pressure from competitors, supply chain disruptions due to the pandemic and other factors, and regulatory risks in some regions. The stock may reflect the company’s growth potential and earnings improvement, but may also experience volatility due to market fluctuations and external factors.
Educational prediction: Based on the current analyst estimates and the company’s guidance, KEYS is likely to hit its EPS expectation for the third quarter of 2023, but may exceed its revenue expectation slightly.
Educational prediction of the stock’s price by end of the week: Based on the technical and fundamental analysis, KEYS may trade in a sideways pattern in the short term, but may break out of the resistance level of $160 if it delivers a positive earnings surprise or provides an optimistic outlook. The stock may trade in a range of $145 to $165 by the end of the week, depending on the market sentiment and any news or events that may affect the company or the industry.
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