The S&P 500’s Biggest Movers on Wednesday
14 hr 32 min ago
Decliners:
Super Micro Computer (SMCI) shares led losses on the S&P 500, plunging 8.9%. Wednesday’s drop extended losses earlier in the week after Goldman Sachs analysts downgraded Supermicro stock to “sell” from “neutral,” noting that increased competition in the AI server market could restrain gross margins.
Shares of cloud networking specialist Arista Networks (ANET) also fell as AI and chip stocks faltered, with shares down 6.1%. Nvidia (NVDA) stock slipped 5.7%, leading losses on the Dow, amid concerns about additional constraints on AI chip sales in China. Shares of Vistra (VST), a utility that has drawn attention for its opportunity to power AI data centers, dropped 5.9%.
Moderna (MRNA) stock declined 7% after reports that the U.S. would discontinue funding for Gavi, the Vaccine Alliance, a global partnership aimed at improving the availability of immunizations in developing countries. Shares of other vaccine manufacturers also lost ground.
Following five straight positive trading sessions, Tesla (TSLA) shares fell 5.6% Wednesday, threatening the EV maker’s rebound from a prolonged slump. The stock had gained more than 27% in the week leading up to Wednesday’s session, boosted by the potential for watered-down tariffs and several endorsements.
Gainers:
Cintas (CTAS) shares logged the S&P 500’s top daily performance, surging 5.8% after the supplier of uniforms and other products for the workplace reported better-than-expected sales and profits. The company highlighted recent acquisitions as a driver of revenue growth but indicated that it will step away from its proposed takeover of fellow uniform and facility service provider UniFirst (UNF), citing an inability to agree on key terms.
Payroll processor Paychex (PAYX) also received a boost from its quarterly earnings report, with shares gaining 4.2% on Wednesday. Although the uncertain economic environment weighed on demand for the company’s human capital management services, contributing to lower-than-expected quarterly sales figures, stringent cost-control measures helped Paychex exceed profit forecasts.
Discount retailer Dollar Tree (DLTR) announced a deal to sell its Family Dollar brand to the private equity firms Brigade Capital Management and Macellum Capital Management for $1 billion. The company expects the sale to close later in the second quarter and to generate net proceeds of around $800 million. Dollar Tree shares added 3.1%.
-Michael Bromberg
These Food and Drink Stocks Could See Double-Digit Gains, Says Wells Fargo
15 hr 5 min ago
Wells Fargo kicked off coverage of two quick-service food and drink chains, Dutch Bros and Wingstop, with “buy” ratings Wednesday.
Dutch Bros (BROS), a cafe chain known for its drive-throughs, has a “disruptive strategy” and could be poised for “durable growth,” Wells Fargo analysts said. They gave the stock an $80 price target—slightly below the roughly $83 consensus target compiled by Visible Alpha and 14% above where the shares closed Tuesday.
Wells Fargo analysts are among several research teams that assessed Dutch Bros ahead of its scheduled investor conference on Thursday, and highlight the potential of the company’s plans to expand food offerings and mobile ordering. These initiatives could contribute to a 10% bump in the year ahead to average unit volume—or the typical sales generated at each store, Wells Fargo said.
“(Dutch Bros) business is (about) 90% drive-up today, and the concept consistently struggles with long lines during peak demand periods (aka morning & afternoon coffee rushes),” the analysts said, adding that recently added mobile ordering “has the potential to be a meaningful throughput unlock.”
Dutch Bros shares have more than doubled in value over the past year as the coffee company moved into new markets and opened its 1,000th store.
By contrast, Wingstop (WING) shares are down about 40% over the same period. However, Wells Fargo suggested its slide could offer investors an opportunity for “premium growth.” The company’s stock has slumped in recent months as a downbeat 2025 outlook and softer sales weighed on the stock, but Wells Fargo analysts said the chicken wing chain has strong potential.
The analysts gave Wingstop a $270 price target—nearly 23% above Tuesday’s closing price, but below the roughly $321 consensus target from Visible Alpha.
Wingstop operates its shops more efficiently than other quick-service restaurants and knows how to gain market share with limited-time offerings, Wells Fargo said. It also has the opportunity to expand, especially internationally, the analysts said.
-Sarina Trangle
Vertiv Stock Tumbles as Barclays Analysts Cut Price Target
16 hr 2 min ago
Shares of Vertiv Holdings (VRT) slumped more than 10% Wednesday after Barclays analysts cut their price target for the maker of cooling systems for artificial intelligence (AI) data centers.
In a note previewing first-quarter results for a range of multi-industry companies, the analysts on Wednesday maintained their “equal weight” rating for Vertiv, but cut their price target to $100 from $111 previously.
That price target is well below the $139.17 analyst consensus compiled by Visible Alpha. Barclays analysts also have the lowest price target and the lone “hold” or equivalent rating, with the 11 other analysts tracked rating it as a “buy.”
The analysts said that Vertiv “looks well-placed for superior top- and bottom-line growth in 2025, due to its high Datacenter exposure.” However, they added the stock “remains vulnerable to any hint of cooling hyperscaler (capital expenditures)” in 2026 and beyond.
They wrote that commentary about AI spending “is likely to become more muted amidst uncertain demand and very large capacity/supply increases,” citing recent remarks from Alibaba Group (BABA) Chairman Joe Tsai, who recently warned of a “bubble” forming in data-center construction.
Vertiv shares were down 11% intraday Wednesday, almost 50% below their record closing high of $153.49 on Jan. 23.
-Aaron McDade
Chewy Stock Rises After Results Top Estimates
16 hr 43 min ago
Chewy (CHWY) shares advanced after the online pet supplies provider posted better-than-anticipated results as its customer base expanded.
The retailer reported fourth-quarter adjusted earnings per share (EPS) of $0.28, with revenue increasing 15% year-over-year to $3.25 billion. Both exceeded Visible Alpha forecasts.
CEO Sumit Singh said sales growth and profitability came in above the high end of the company’s expectations in both the quarter and full year. Singh explained that the performance “was underpinned by strong active customer growth, and compelling Autoship customer loyalty.”
Chewy’s active customers rose 2% to 20.5 million, and net sales per active customer was 4% higher to $578. Sales to those who had products shipped automatically jumped 21% to $2.62 billion, and made up more than 80% of total sales. That compared to 76% the previous year.
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Shares of Chewy, which were up 1.6% in recent trading have skyrocketed more than 120% in the last 12 months.
-Bill McColl
Watch These UPS Price Levels After Stock Hits a Five-Year Low
17 hr 18 min ago
United Parcel Service (UPS) shares were gaining ground Wednesday after falling yesterday to their lowest level in nearly five years.
Shares in the logistics firm have remained under pressure since disappointing investors in January with weaker-than-expected fourth quarter results, announcing at the time it was significantly reducing its volumes with e-commerce titan Amazon (AMZN).
UPS shares, which closed Tuesday at their lowest level since June 2020, have lost about a quarter of their value over the past 12 months amid weakening delivery demand and concerns of increasing competition with key rival FedEx (FDX). The stock was up about 1% at $111 on Wednesday afternoon.
Since setting their record high in February 2022, UPS shares have traded within a falling wedge, a chart pattern that can signal a bullish reversal upon an upside breakout.
Source: TradingView.com.
However, in the short term, the stock appears more likely to break down, with the price recently declining to the formation’s lower trendline on increasing volume. What’s more, the relative strength index (RSI) continues to move lower toward oversold levels, confirming the stock’s weakening price momentum.
A decisive breakdown below the falling wedge pattern’s lower trendline could see the shares initially drop to around $101. This level would likely provide support near the prominent March 2018 swing low and Covid-era 2020 rebound high.
Selling below this area could trigger a drop to lower support at the $90 level. Investors may seek to accumulate shares in this location close to a trendline that connects the December 2018 trough and a series of prices situated just above the Covid selloff low.
During upswings in the stock, investors should monitor how the price reacts around the $125 area. This region on the chart may provide overhead resistance near a horizontal line that links multiple peaks and troughs on the chart extending all the way back to December 2017.
Finally, a breakout above the falling wedge pattern’s upper trendline may see UPS shares climb to the $160 level. Investors who have purchased the stock at a lower price could look to lock in profits near a series of comparable price points on the chart from August 2020 to March last year.
-Timothy Smith
GameStop Pops as Bitcoin Now Part of Investment Strategy
18 hr 30 min ago
GameStop (GME) shares soared Wednesday, a day after the retailer released fourth-quarter results and announced the addition of bitcoin (BTCUSD) to its corporate investment policy.
The confirmation that bitcoin will be part of GameStop’s strategy followed a report last month that the retailer may be considering investing in the cryptocurrency. A picture posted to GameStop CEO Ryan Cohen’s social media—also last month—of himself with Michael Saylor, the co-founder of Strategy (MSTR), also sparked speculation as Strategy (formerly known as MicroStrategy) is the largest corporate holder of Bitcoin.
GameStop shares were up 16% in recent trading, putting them up nearly 90% over the last 12 months.
“We presume this means that the company intends to invest in Bitcoin,” Wedbush analysts said in a note following the announcement.
The analysts lifted their price target to $11.50 from $10 with an “underperform” rating, still expecting shares to lose well over half their value. They said that GameStop has proved them wrong by approaching breaking even on an operating basis, recording an operating loss under $10 million in each of the last two fiscal years.
GameStop reported declining revenue in the fourth quarter, while profits rose year-over-year as the retailer has closed stores and looked to cut costs.
“While it is arguable that the Q4 results are not sustainable, we did not expect GameStop to even approach operating breakeven ever again. We were wrong, and it is clear that the company’s operations have some value, albeit not as great as its share price suggests,” the analysts wrote.
-Aaron McDade
Tesla Shares Pare Gains After 5-Day Winning Run
18 hr 52 min ago
Tesla (TSLA) shares fell Wednesday, threatening the EV maker’s rebound from a prolonged slump.
Tesla shares, recently down more than 4%, rose more than 27% in the five sessions leading up to today’s. The climb marked their best stretch of that length since investors bid up the stock in the wake of Trump’s November election victory.
Before beginning to rally last week, Tesla’s shares were down more than 50% from their all-time highs set in December, with much of that decline coming throughout February and early March. Tesla’s sales in key markets, like Europe, have slumped this year despite rising demand for electric vehicles. Tesla cars and dealerships have been targeted by vandals upset with CEO Elon Musk’s political influence. And ardent bulls have publicly worried that Musk is stretched too thin by his corporate and government work.
Tesla CEO Elon Musk speaks during a cabinet meeting at the White House on Tuesday.
Win McNamee / Getty Images
But the price of Tesla’s stock at times appears to have little connection to the health of its EV business, a disconnect that was apparent Wednesday when William Blair analysts cut their full-year vehicle sales estimate by more than 10% while maintaining their outperform rating on the stock.
“Despite the correction in the auto business near term, we remain positive on the faster-than-expected ramp of the Megapack business and ride-sharing rolling out this year,” the analysts wrote. (Megapack is Tesla’s industrial-scale energy storage product.)
Trading Tesla stock, the analysts said, has often “been a function of momentum.” For that reason, they argue the stock’s significant pullback is a reason for optimism in and of itself. “We believe expectations are near a bottom, and as they reset, shares will bottom and momentum will rebound,” the analysts wrote.
Read the full article here.
-Colin Laidley
China Energy Rules Could Hurt Nvidia Business, FT Reports
19 hr 30 min ago
Nvidia’s (NVDA) sales in China could reportedly take a hit if Beijing implements energy efficiency rules more strictly.
The National Development and Reform Commission, China’s top economic planner, is advising Chinese groups to use chips that meet stricter requirements in new data centers and when expanding existing facilities, the Financial Times reported. The rule, introduced last year, could threaten Nvidia’s sales of its best-selling H20 chip, which is less powerful than Nvidia’s latest chips and tailored to meet U.S. export restrictions, the report said.
The H20 chip doesn’t currently meet the commission’s new rules, the report said, citing documents the FT reviewed and people with knowledge of the matter.
Nvidia CEO Jensen Huang speaking at the company’s GTC event in San Jose, California, on March 18, 2025.
Andrej Sokolow/ Picture Alliance / Getty Images
“Our products provide superb energy efficiency and value in every market we serve,” an Nvidia spokesperson said in a statement to Investopedia. “As technology moves rapidly, export control policy should be adjusted to allow U.S. firms to offer the most energy efficient products possible, while still achieving the Administration’s national security goals.”
China represents one of the biggest markets for Nvidia, whose computer chips have helped fueled the world’s artificial intelligence boom.
Nvidia shares were down more than 5% in recent trading, pushing their year-to-date decline to 15%.
-Nisha Gopalan
Cintas Stock Jumps After Strong Earnings, Guidance
20 hr 32 min ago
Shares of Cintas (CTAS) surged Wednesday morning as the provider of uniforms and other workplace products reported better-than-expected results and raised its profit guidance as it benefited from expansion.
The company posted third-quarter fiscal 2025 earnings per share (EPS) of $1.13, while analysts surveyed by Visible Alpha expected $1.06. Revenue rose more than 8% year-over-year to $2.61 billion, also above forecasts.
Cintas noted that revenue growth in the quarter “was positively impacted by 0.9% due to acquisitions,” although it was negatively impacted by 0.4% because of foreign currency exchange rate fluctuations.
One acquisition that the company won’t be making is its proposed $5.3 billion purchase of rival UniFirst (UNF) that was announced in January. On Monday, Cintas said it had terminated discussions with UniFirst after failing to agree on “key transaction terms.”
The company now sees full-year EPS in the range of $4.36 to $4.40, up from its earlier outlook of $4.28 to $4.34.
Cintas shares were up 8% in recent trading and were among the biggest gainers in the S&P 500. The stock has gained 32% over the past 12 months
-Bill McColl
Dollar Tree Stock Rises After Deal to Sell Family Dollar Brand
20 hr 59 min ago
Dollar Tree (DLTR) shares rose in early trading Wednesday after the discount retailer said it has reached a deal to sell its Family Dollar brand to a pair of private-equity firms for $1 billion.
Dollar Tree said it will sell Family Dollar to Brigade Capital Management and Macellum Capital Management, with the deal “anticipated to close later in the second quarter,” it said. In its quarterly earnings report also released Wednesday morning, Dollar Tree estimated the deal would generate just over $800 million in net proceeds.
Dollar Tree acquired Family Dollar in 2014 for just over $9 billion.
Last March, Dollar Tree announced plans to close roughly 1,000 underperforming stores, and in June said it was launching a review of whether it should sell or spin off the Family Dollar brand.
Excluding Family Dollar’s results, the discount retailer reported adjusted earnings per share (EPS) of $2.11 on revenue of $5.0 billion, while same-store sales rose by 2%. For 2025, Dollar Tree expects sales of $18.5 billion to $19.1 billion, with same-store sales growth of 3% to 5% and adjusted EPS of $5.00 to $5.50.
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Dollar Tree shares were up nearly 5% in recent trading but are down 45% over the past 12 months.
Carvana Levels to Watch as Stock Riding 5-Day Winning Streak
21 hr 39 min ago
Carvana (CVNA) shares were losing ground in early trading Wednesday after surging yesterday following an upgrade from Morgan Stanley.
Analysts at the investment bank said that recent selling in the shares provides an opportunity for investors to gain exposure to a leader in auto retail and fleet fulfillment, adding that the company has the potential to become the Amazon (AMZN) of auto retail.
Coming into Wednesday’s session, Carvana shares had finished higher for five straight days, gaining 33% over that period. The stock is still down 24% from its record high set last month, but it remains 150% higher than its year-ago level, boosted by the company’s improved profitability and efforts to reduce costs.
Source: TradingView.com.
Buyers recently emerged just below the 200-day moving average, with the price closing back above the closely followed indicator last Friday. In another win for the bulls, recent buying has coincided with the relative strength index (RSI) reclaiming the 50 threshold, signaling improving positive price momentum.
Investors should watch crucial overhead areas on Carvana’s chart around $265 and $365, while also monitoring key support levels near $165 and $130.
Carvana shares were down more than 3% this morning at around $214.
-Timothy Smith
Major Stock Index Futures Hovering Near Unchanged
22 hr 47 min ago
Futures tied to the Dow Jones Industrial Average were up 0.1%.
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S&P 500 futures were down 0.1%.
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Nasdaq 100 futures slipped 0.2%.
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