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RETAIL DIP BUYING HITS RECORD
Retail traders bought a net $4.1B in US stocks by 12:30pm Monday — the biggest half-day buying spree ever, per JPMorgan. https://t.co/sOQj7pq6JQ
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RETAIL DIP BUYING HITS RECORD
Retail traders bought a net $4.1B in US stocks by 12:30pm Monday — the biggest half-day buying spree ever, per JPMorgan. https://t.co/sOQj7pq6JQ
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Wall St Engine
JPMORGAN RAISES $UBER PT TO $105 FROM $92 - OW
Analyst comments: "We spent time last week in Boston at the JPM TMC Conference with Uber CEO Dara Khosrowshahi, CFO Prashanth Mahendra-Rajah, and the Uber investor relations team. Management’s tone was upbeat, with Uber emphasizing that it is on track or ahead of its three-year targets through 2026, which include mid-to-high teens gross bookings growth, mid-30% to 40% EBITDA growth, and 90% EBITDA-to-free cash flow conversion. Uber continues to drive strong, profitable growth in its core business while investing in long-term growth opportunities.
Key topics of discussion included autonomous vehicle (AV) progress and early economics, mobility pricing trends and insurance, and delivery margins. Importantly, we expect the AV narrative for Uber to continue improving as the launch with Waymo in Austin demonstrates higher utilization and broader scope, with similar early progress anticipated soon in Atlanta.
While significant progress is still needed, we believe Uber is becoming an increasingly valuable partner to AV technology providers—as both a demand and utilization platform and as a fleet operator—as highlighted by its recent AI alliances. We reiterate our Overweight rating and raise our December 2025 price target to $105 (from $92 previously), based on 21.0x 2026E free cash flow of approximately $9.8 billion."
Analyst: Doug Anmuth
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JPMORGAN RAISES $UBER PT TO $105 FROM $92 - OW
Analyst comments: "We spent time last week in Boston at the JPM TMC Conference with Uber CEO Dara Khosrowshahi, CFO Prashanth Mahendra-Rajah, and the Uber investor relations team. Management’s tone was upbeat, with Uber emphasizing that it is on track or ahead of its three-year targets through 2026, which include mid-to-high teens gross bookings growth, mid-30% to 40% EBITDA growth, and 90% EBITDA-to-free cash flow conversion. Uber continues to drive strong, profitable growth in its core business while investing in long-term growth opportunities.
Key topics of discussion included autonomous vehicle (AV) progress and early economics, mobility pricing trends and insurance, and delivery margins. Importantly, we expect the AV narrative for Uber to continue improving as the launch with Waymo in Austin demonstrates higher utilization and broader scope, with similar early progress anticipated soon in Atlanta.
While significant progress is still needed, we believe Uber is becoming an increasingly valuable partner to AV technology providers—as both a demand and utilization platform and as a fleet operator—as highlighted by its recent AI alliances. We reiterate our Overweight rating and raise our December 2025 price target to $105 (from $92 previously), based on 21.0x 2026E free cash flow of approximately $9.8 billion."
Analyst: Doug Anmuth
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JPMorgan Reiterates Overweight Rating on $GEV, PT $460
Analyst comments: "With this note, we dive deep into GE Vernova’s Electrification segment, which we believe is likely the most underappreciated area of the GEV story. We provide an overview of each business line, including the important high-voltage direct current (HVDC) and transformer businesses. We also analyze the backlog conversion within the Electrification business, where we see potential upside to FY25 guidance and near-term consensus expectations.
Grid Solutions Positioned as the Fastest Growing Business within the GEV Portfolio. The grid solutions portfolio—including transformers, HVDC solutions, switchgears, circuit breakers, and other grid equipment—represents approximately 90% of the segment’s equipment backlog and has driven the bulk of the company’s backlog growth over the past two years (>3x year-end 2022 levels). With more excess capacity than competitors and historical underinvestment in the U.S. end-market, GE Vernova is uniquely positioned to gain market share and benefit from margin expansion in a rising price environment. While the high-margin profile of this backlog has yet to fully appear in financials, the company’s long-term guidance and backlog disclosures support optimism.
Greatest Beneficiary of GEV Being a Standalone Company. The Electrification segment has benefited most from GEV’s separation, with management noting that many potential customers still do not fully understand the segment's offerings—highlighting significant wallet share opportunities. Additionally, rising demand for gas equipment has enabled cross-selling of grid hardware and software solutions.
Large HVDC Pipeline Provides Visibility into Growth. HVDC offerings represent an estimated $7–8 billion of GEV’s backlog and show strong demand, especially in Europe. We expect HVDC to be a key long-term growth driver, though successful execution will be critical given the complexity of these projects and GEV’s relatively limited experience compared to peers.
Software Story Remains Intact but Requires Execution. At roughly 3% of GEV revenues, the Electrification software business has been less of a focus post-spin. However, if the company can gain traction among utility customers and meet its “rule of 40” targets, this could become a meaningful contributor to growth and margin expansion.
Potential Upside to FY25 Electrification. Our analysis, assuming an Electrification equipment backlog conversion rate of ~30% in FY25, indicates upside to both management’s guidance and consensus expectations. We view Electrification as the most likely segment to outperform FY25 targets, though we remain near the high end of guidance as we await more details on potential tariff impacts."
Analyst: Mark Strouse
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JPMorgan Reiterates Overweight Rating on $GEV, PT $460
Analyst comments: "With this note, we dive deep into GE Vernova’s Electrification segment, which we believe is likely the most underappreciated area of the GEV story. We provide an overview of each business line, including the important high-voltage direct current (HVDC) and transformer businesses. We also analyze the backlog conversion within the Electrification business, where we see potential upside to FY25 guidance and near-term consensus expectations.
Grid Solutions Positioned as the Fastest Growing Business within the GEV Portfolio. The grid solutions portfolio—including transformers, HVDC solutions, switchgears, circuit breakers, and other grid equipment—represents approximately 90% of the segment’s equipment backlog and has driven the bulk of the company’s backlog growth over the past two years (>3x year-end 2022 levels). With more excess capacity than competitors and historical underinvestment in the U.S. end-market, GE Vernova is uniquely positioned to gain market share and benefit from margin expansion in a rising price environment. While the high-margin profile of this backlog has yet to fully appear in financials, the company’s long-term guidance and backlog disclosures support optimism.
Greatest Beneficiary of GEV Being a Standalone Company. The Electrification segment has benefited most from GEV’s separation, with management noting that many potential customers still do not fully understand the segment's offerings—highlighting significant wallet share opportunities. Additionally, rising demand for gas equipment has enabled cross-selling of grid hardware and software solutions.
Large HVDC Pipeline Provides Visibility into Growth. HVDC offerings represent an estimated $7–8 billion of GEV’s backlog and show strong demand, especially in Europe. We expect HVDC to be a key long-term growth driver, though successful execution will be critical given the complexity of these projects and GEV’s relatively limited experience compared to peers.
Software Story Remains Intact but Requires Execution. At roughly 3% of GEV revenues, the Electrification software business has been less of a focus post-spin. However, if the company can gain traction among utility customers and meet its “rule of 40” targets, this could become a meaningful contributor to growth and margin expansion.
Potential Upside to FY25 Electrification. Our analysis, assuming an Electrification equipment backlog conversion rate of ~30% in FY25, indicates upside to both management’s guidance and consensus expectations. We view Electrification as the most likely segment to outperform FY25 targets, though we remain near the high end of guidance as we await more details on potential tariff impacts."
Analyst: Mark Strouse
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China’s iPhones & mobile phone exports to the US dropped 72% in April to just $688M — the lowest since 2011. Meanwhile, shipments of phone parts to India have surged, with Apple ramping up iPhone production outside China. https://t.co/iRMsxMbK8N
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China’s iPhones & mobile phone exports to the US dropped 72% in April to just $688M — the lowest since 2011. Meanwhile, shipments of phone parts to India have surged, with Apple ramping up iPhone production outside China. https://t.co/iRMsxMbK8N
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Wall St Engine
Citi's Atif Malik reiterated a Buy on $NVDA with a $150 price target, saying Huang’s Computex keynote reinforced NVDA’s push to expand Gen AI infrastructure. Citi points to key updates like NVLink Fusion, Isaac GR00T N1.5 for humanoid AI, and RTX PRO 6000 Blackwell servers as signs NVIDIA is widening its TAM. GB300 shipments start in Q3, which is in line with Citi’s ~1M unit forecast for 2025.
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Citi's Atif Malik reiterated a Buy on $NVDA with a $150 price target, saying Huang’s Computex keynote reinforced NVDA’s push to expand Gen AI infrastructure. Citi points to key updates like NVLink Fusion, Isaac GR00T N1.5 for humanoid AI, and RTX PRO 6000 Blackwell servers as signs NVIDIA is widening its TAM. GB300 shipments start in Q3, which is in line with Citi’s ~1M unit forecast for 2025.
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Evercore ISI reiterates Outperform on $DELL with a $120 PT after Day 1 of Dell World. Analyst Amit Daryanani says Dell is set to benefit as 85% of enterprises plan to shift Gen AI workloads on-prem over the next 2 years. With new Blackwell-powered servers, AI PCs, and managed services, DELL is positioning as a full-stack AI partner for enterprise customers.
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Evercore ISI reiterates Outperform on $DELL with a $120 PT after Day 1 of Dell World. Analyst Amit Daryanani says Dell is set to benefit as 85% of enterprises plan to shift Gen AI workloads on-prem over the next 2 years. With new Blackwell-powered servers, AI PCs, and managed services, DELL is positioning as a full-stack AI partner for enterprise customers.
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Wolfe Research Lowers $UNH PT to $390 from $501; 'We See a Path to Recovery'
Analyst comments: "We are confident UnitedHealth Group can recover margins in its $190 billion Medicare Advantage segment, which would add $4.94 to EPS versus our 2025 estimate of $21.75. We view signs of stabilization or improvement at Optum Health as the key swing factor for stock performance going forward.
We See a Path to Recovery – Reiterate Outperform. The past five weeks have been unprecedented for UNH in both operational and stock performance terms. While it will take time for earnings and investor sentiment to recover, we are confident in a recovery path for the Medicare Advantage segment. Our 2026 estimate of $26.00 assumes no improvement at the OptumCare capitated physician group, as improved coding and bids are expected to be offset by the final year of the V28 phase-in.
For now, our year-end 2025 price target of $390 is based on a 15x multiple, representing a 30% discount to the S&P 500 based on our 2026 estimate—implying 23% upside."
Analyst: Justin Lake
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Wolfe Research Lowers $UNH PT to $390 from $501; 'We See a Path to Recovery'
Analyst comments: "We are confident UnitedHealth Group can recover margins in its $190 billion Medicare Advantage segment, which would add $4.94 to EPS versus our 2025 estimate of $21.75. We view signs of stabilization or improvement at Optum Health as the key swing factor for stock performance going forward.
We See a Path to Recovery – Reiterate Outperform. The past five weeks have been unprecedented for UNH in both operational and stock performance terms. While it will take time for earnings and investor sentiment to recover, we are confident in a recovery path for the Medicare Advantage segment. Our 2026 estimate of $26.00 assumes no improvement at the OptumCare capitated physician group, as improved coding and bids are expected to be offset by the final year of the V28 phase-in.
For now, our year-end 2025 price target of $390 is based on a 15x multiple, representing a 30% discount to the S&P 500 based on our 2026 estimate—implying 23% upside."
Analyst: Justin Lake
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Wells Fargo sticks with Overweight on $AMD and $120 PT after Sanmina agrees to buy ZT Systems' manufacturing ops for ~$3B—below their $3.5B+ expectation. AMD keeps the engineering side, gaining a strategic NPI partner for rack-scale AI. This lines up with AMD’s MI400 series push in 2026, aiming for high-performance GPU clusters. More clarity expected at AMD’s June 12 AI event.
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Wells Fargo sticks with Overweight on $AMD and $120 PT after Sanmina agrees to buy ZT Systems' manufacturing ops for ~$3B—below their $3.5B+ expectation. AMD keeps the engineering side, gaining a strategic NPI partner for rack-scale AI. This lines up with AMD’s MI400 series push in 2026, aiming for high-performance GPU clusters. More clarity expected at AMD’s June 12 AI event.
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$HD | Home Depot Q1 Earnings Highlights
🔹 Revenue: $39.86B (Est. $39.27B) 🟢; +9.4% YoY
🔹 Adj EPS: $3.56 (Est. $3.59) 🔴; -3.0% YoY
🔹 S.S.S: -0.3% (Est. -0.2%) 🔴
🔸 Not raising prices because of tariffs
FY26 Guide:
🔹 Comparable Sales Growth: About +1.0% (Est. +1.15%) 🔴
🔹 Revenue Growth: About +2.8%
🔹 Operating Margin: ~13.0%
🔹 Adjusted Operating Margin: ~13.4%
🔹 Gross Margin: ~33.4%
🔹 Tax Rate: ~24.5%
🔹 Net Interest Expense: ~$2.2B
🔹 Adjusted EPS: Expected to decline ~2% from FY2024 ($15.24)
🔹 GAAP EPS: Expected to decline ~3% from FY2024 ($14.91)
🔹 Capital Expenditures: ~2.5% of total sales
🔹 New Store Openings: ~13
Q1 Comparable Sales:
🔹 U.S. Comp Sales: +0.2% (Est. -0.16%) 🟢
🔹 Total Comp Sales: -0.3% (Est. -0.2%) 🔴
🔹 FX impact: ~70bps negative to total comp sales
Other Key Q1 Metrics:
🔹 Adj OI: $5.27B; UP +2.7% YoY
🔹 Adj OM: 13.2% (Est. 13.3%) 🔴
🔹 Gross Margin: 33.8%
🔹 Customer Transactions: 394.8M; UP +2.1% YoY
🔹 Average Ticket Size: $90.71 (Flat YoY)
Strategic and Operational Updates:
🔸 Continued customer engagement in smaller projects and seasonal spring events
🔸 SRS acquisition contributed to amortization expense and long-term growth opportunities
🔸 2,350 total retail stores across the U.S., Canada, and Mexico
🔸 Workforce strength: Over 470,000 associates
🔸 Inventory levels: $25.76B vs. $22.42B YoY
CEO Ted Decker's Commentary:
🔸 "Our first quarter results were in line with expectations. We saw solid customer engagement and feel confident about store readiness and product assortment for the spring season."
🔸 CFO: Will not raise prices because of tariffs; More than half of what the company sells comes from the U.S.; We’ve seen the great level of customer engagement that we saw in April continue into the first few weeks of May
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$HD | Home Depot Q1 Earnings Highlights
🔹 Revenue: $39.86B (Est. $39.27B) 🟢; +9.4% YoY
🔹 Adj EPS: $3.56 (Est. $3.59) 🔴; -3.0% YoY
🔹 S.S.S: -0.3% (Est. -0.2%) 🔴
🔸 Not raising prices because of tariffs
FY26 Guide:
🔹 Comparable Sales Growth: About +1.0% (Est. +1.15%) 🔴
🔹 Revenue Growth: About +2.8%
🔹 Operating Margin: ~13.0%
🔹 Adjusted Operating Margin: ~13.4%
🔹 Gross Margin: ~33.4%
🔹 Tax Rate: ~24.5%
🔹 Net Interest Expense: ~$2.2B
🔹 Adjusted EPS: Expected to decline ~2% from FY2024 ($15.24)
🔹 GAAP EPS: Expected to decline ~3% from FY2024 ($14.91)
🔹 Capital Expenditures: ~2.5% of total sales
🔹 New Store Openings: ~13
Q1 Comparable Sales:
🔹 U.S. Comp Sales: +0.2% (Est. -0.16%) 🟢
🔹 Total Comp Sales: -0.3% (Est. -0.2%) 🔴
🔹 FX impact: ~70bps negative to total comp sales
Other Key Q1 Metrics:
🔹 Adj OI: $5.27B; UP +2.7% YoY
🔹 Adj OM: 13.2% (Est. 13.3%) 🔴
🔹 Gross Margin: 33.8%
🔹 Customer Transactions: 394.8M; UP +2.1% YoY
🔹 Average Ticket Size: $90.71 (Flat YoY)
Strategic and Operational Updates:
🔸 Continued customer engagement in smaller projects and seasonal spring events
🔸 SRS acquisition contributed to amortization expense and long-term growth opportunities
🔸 2,350 total retail stores across the U.S., Canada, and Mexico
🔸 Workforce strength: Over 470,000 associates
🔸 Inventory levels: $25.76B vs. $22.42B YoY
CEO Ted Decker's Commentary:
🔸 "Our first quarter results were in line with expectations. We saw solid customer engagement and feel confident about store readiness and product assortment for the spring season."
🔸 CFO: Will not raise prices because of tariffs; More than half of what the company sells comes from the U.S.; We’ve seen the great level of customer engagement that we saw in April continue into the first few weeks of May
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