Markets and Business News Review

8 of the Safest High-Yielding ETFs That Will Protect Your Portfolio

Ian Cooper — Tue, 15 Jul 2025 16:39:41 -0400

Key Points

With markets still volatile, keep your portfolio protected with high-yielding exchange-traded funds (ETFs).
The JPMorgan Equity Premium Income ETF generates income by combining some of the top blue-chip stocks.
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With markets still volatile, keep your portfolio protected with high-yielding exchange-traded funds.

Look at the Amplify CWP Enhanced Dividend Income ETF (NYSE ARCA: DIVO), for example.

With a yield of 4.73% and an expense ratio of 0.56%, the Amplify CWP Enhanced Dividend Income ETF holds large-cap companies that have a strong history of dividend growth. It also uses a covered call strategy on individual stocks to offer high total returns.

“DIVO seeks investment results that correspond generally to an existing strategy called the Enhanced Dividend Income Portfolio (EDIP),” as noted by AmplifyETFs.com. That strategy attempts to generate income through dividends and short-term covered calls in an effort to increase cash flow and consistent annual income. In addition, with that strategy, the EDIP holds blue-chip stocks from the S&P 500, the Dow 30 and the S&P 100.

There’s also the JPMorgan Nasdaq Equity Premium Equity Income ETF

With a yield of 11.2%, the JPMorgan Nasdaq Equity Premium Equity Income ETF (NASDAQ: JEPQ) generates income by selling options and by investing in U.S. large-cap growth stocks. All of which allows it to deliver a monthly income stream through options premiums and stock dividends. Even better, investors have also benefited from the ETF’s appreciation.

JEPQ has an expense ratio of 0.35% at the moment.

Invesco KBW High Dividend Yield Financial ETF

With an expense ratio of 0.35%, the Invesco KBW High Dividend Yield Financial ETF (NASDAQ: KBWD) has a 30-day yield of 12.1%. It just paid out a dividend of just over 14 cents on June 27 to shareholders of record as of June 23. Before that, it paid out a dividend of just over 14 cents on May 23 to shareholders of record as of May 19.

It’s able to pay such a solid dividend because it invests at least 90% of its assets in stocks with competitive dividend yields. Some of which include Orchid Island Capital, Invesco Mortgage Capital, ARMOUR Residential REIT, AGNC Investment, and Annaly Capital, to name just a few of its 42 active holdings.

VanEck Mortgage REIT Income ETF

There’s also the VanEck Mortgage REIT Income ETF (NYSEARCA: MORT).

With an expense ratio of 0.42%, the MORT ETF has a 30-day yield of 12.92%. It also just paid a quarterly dividend of just over 26 cents per share on July 7. Before that, it paid a dividend of just under 38 cents per share on April 4.

The MORT ETF replicates the price and yield performance of the MVIS US Mortgage REITs Index, which tracks to performance of the US mortgage real estate investment trusts. Plus, as noted by VanEck.com, “Yields from mortgage REITs have historically been higher than those of equity REITs and many income-oriented securities.”

Some of its 27 holdings include AGNC Investment, Annaly Capital, Starwood Property Trust, Blackstone Mortgage, Ladder Capital, and Apollo Commercial Real Estate.

JPMorgan Equity Premium Income ETF

The JPMorgan Equity Premium Income ETF (NYSE ARCA: JEPI) generates income by combining some of the top blue-chip stocks – Amazon, Mastercard, Nvidia – with options strategies.

All of which help produce hefty monthly income for investors. In fact, last checked, the JEPI ETF yields about 8.62%, which isn’t too shabby at all. With an expense ratio of 0.35%, the ETF holds 122 stocks, including Visa, Mastercard, Trane Technologies, Microsoft, Oracle, The Southern Company, and Nvidia, to name just a few.

Its last dividend of $0.39953 was paid on July 3. Before that, the JEPI ETP paid a dividend of $0.54001 on June 4.

We can also look at the iShares Core High Dividend ETF

With a yield of 3.32% and an expense ratio of 0.08%, the iShares Core High Dividend ETF (NYSE ARCA: HDV) tracks the investment results of an index composed of relatively high-dividend-paying U.S. equities. Some of its top holdings include Exxon Mobil, Chevron, and Johnson & Johnson.

Global X Super Dividend U.S. ETF

With a yield of 5.5%, the Global X Super Dividend U.S. ETF (NYSE ARCA: DIV) invests in some of the highest dividend-yielding stocks in the U.S. Some of those top holdings include Spire (SR), Kinder Morgan. (KMI), Omega Healthcare (OHI), Philip Morris (PM), Duke Energy (DUK), AT&T (T), and Dominion Energy (D), to name just a few.

Invesco S&P Small Cap High Dividend Low Volatility ETF

With a yield of 7.67%, the Invesco S&P Small Cap High Dividend Low Volatility ETF (BATS: XSHD) invests 90% of its total assets in the S&P Small Cap 600 Low Volatility High Dividend Index. Some of its top holdings include ARMOUR Residential, Two Harbors Investment, Ellington Financial, Innovative Industrial Properties, Ready Capital, and Cal-Maine Foods.

SPDR Blackstone High Income ETF

With a yield of 8.22%, the SPDR Blackstone High Income ETF (BATS: HYBL) invests in high-yield corporate bonds, senior loans, and debt tranches of US collateralized loan obligations, as noted by SSGA.com. It also uses an actively managed strategy that seeks to provide risk-adjusted total return and high current income, with less volatility than the general bond and loan segments over full market cycles.

The post 8 of the Safest High-Yielding ETFs That Will Protect Your Portfolio appeared first on 24/7 Wall St..

BlackRock inflows hit after big client withdraws $52bn

Tue, 15 Jul 2025 16:39:35 -0400

Shares fall despite market rally driving world’s largest asset manager to record $12.5tn in assets

France Proposes Cutting Two Public Holidays to Avert Budget Crisis

Liz Alderman — Tue, 15 Jul 2025 16:31:27 -0400

Drastic measures are necessary “before we are crushed by the debt,” the country’s prime minister warned.

Chief US audit regulator pushed out by Trump’s new SEC chair

Tue, 15 Jul 2025 16:28:23 -0400

Erica Williams told staff at the Public Company Accounting Oversight Board that Atkins asked her to resign

Even Grave Errors at Rehab Hospitals Go Unpenalized and Undisclosed

Jordan Rau and Irena Hwang — Tue, 15 Jul 2025 16:24:22 -0400

For-profit hospitals provide most inpatient physical therapy but tend to have worse readmission rates to general hospitals. Medicare doesn’t tell consumers about troubling inspections.

Elliott builds stake in Global Payments in wake of Worldpay deal

Tue, 15 Jul 2025 16:23:28 -0400

Payment processing group’s shares lag behind rivals after investors took umbrage at $24.2bn acquisition

Bank of England to find replacement for UK’s outdated payment system

Tue, 15 Jul 2025 16:00:01 -0400

BoE governor says revamping old infrastructure ‘must be a priority’ in his Mansion House speech

Cantor close to $4bn Spac deal with bitcoin pioneer

Tue, 15 Jul 2025 15:52:39 -0400

Brandon Lutnick in late-stage talks with Adam Back in latest move to use blank cheque vehicles to buy the cryptocurrency

Federal Prosecutors Close Inquiry Into Polymarket Betting Website

David Yaffe-Bellany and Natallie Rocha — Tue, 15 Jul 2025 15:16:33 -0400

The site became prominent last year when people bet on the outcome of the 2024 presidential election.

J.B. Hunt Earnings Live Coverage

Joel South — Tue, 15 Jul 2025 15:01:33 -0400

Live Updates

Live Coverage Updates appear automatically as they are published.

EPS Surprise And Stock Reaction

3:00 pm

This chart tracks how JBHT stock has historically responded to quarterly earnings surprises — pairing consensus EPS estimates with actual results and the corresponding two-day share price reaction. For investors, it offers a lens into how sensitive the stock is to earnings outcomes and whether management’s results tend to reset expectations or reinforce the existing trend.

Quarter	EPS Estimate	EPS Actual	Surprise	Surprise %	Stock Reaction
Q1 2025	1.14	1.17	+0.03	+2.19%	–5.35% (2 days)
Q4 2024	1.62	1.53	–0.09	–5.83%	–3.69% (2 days)
Q3 2024	1.39	1.49	+0.10	+7.21%	+3.98% (2 days)
Q2 2024	1.48	1.32	–0.16	–10.78%	–6.70% (2 days)

J.B. Hunt (NASDAQ: JBHT) is set to report Q2 2025 results with investors watching for signs of stabilization across freight demand, contract pricing, and intermodal profitability. Consensus calls for flat EPS of $1.32 on $2.93B in revenue, implying a -0.11% sales decline from a year ago. While management has downplayed the likelihood of a near-term volume rebound, execution around yield discipline, cost leverage in Dedicated, and brokerage automation remain central to the setup.

We’ll be updating this live blog the moment earnings are released, so stay on this page for updates and analysis after J.B. Hunt reports!

How Did J.B. Hunt Perform Last Quarter?

Let’s take a look at J.B. Hunt’s first quarter results, which were reported on April 15th:

• Adj. EPS: $1.17 ; DOWN -4% YoY
• Revenue: $2.92B ; DOWN -1% YoY
• Adj. Gross Margin: 6.1% ; DOWN -50 bps YoY
• Net Income: $117.7M ; DOWN -8% YoY

Q1’25 Outlook:
• Revenue: $3.00B ±5% (Est. $3.00B)
– The outlook reflects ongoing challenges in the market, including fluctuations in demand across various segments and the impact of rising operational costs.
– The company anticipates continued pressure on margins due to increased insurance and maintenance expenses, but expects to leverage operational efficiencies to stabilize revenue.

Q1 Segment Performance:
• Intermodal (JBI) Revenue: $1.47B ; UP +5% YoY
• Dedicated Contract Services (DCS) Revenue: $822M ; DOWN -4% YoY
• Integrated Capacity Solutions (ICS) Revenue: $268M ; DOWN -6% YoY
• Final Mile Services (FMS) Revenue: $201M ; DOWN -12% YoY
• Truckload (JBT) Revenue: $167M ; DOWN -7% YoY

Other Key Q1 Metrics:
• Adj. Operating Income: $178.7M ; DOWN -8% YoY
• Adj. Operating Expenses: $2.74B ; UP +1% YoY
• Free Cash Flow: $404.2M; DOWN -13% YoY
• Effective Tax Rate: 26.5% (vs. 28.7% YoY)
• Net Interest Expense: $18.6M; UP +19% YoY
• Cash and Cash Equivalents: $43M
• Total Debt: $1.58B; UP from $1.48B at December 31, 2024
• Share Repurchases: Approximately 1.4M shares for $234M; $650M remaining under authorization

CEO Commentary:
– John Roberts: “Despite the challenges we faced in the first quarter, we are committed to enhancing our operational efficiencies and maintaining our focus on customer service. Our intermodal segment continues to show resilience, and we are optimistic about our strategic initiatives moving forward.”

CFO Commentary:
– David Mee: “The increase in our net interest expense reflects our higher debt levels, but we are managing our costs effectively. We remain focused on improving our margins and driving profitability across all segments.”

Strategic Updates:
– The company is investing in technology and infrastructure to enhance service delivery and operational efficiency, particularly in the intermodal and dedicated contract services segments.

What Could Move the Stock

The following matrix outlines the key variables likely to drive JBHT’s stock reaction post-earnings — mapping where investor expectations currently stand, how likely each catalyst is to surprise, and the potential impact on shares if it does.

Catalyst

Market View

Surprise Potential

Stock Impact

Intermodal margin rebound

Not expected

Moderate

</article>
<article>
<h1>CPI Shows US Inflation Sped Up in June as Trump’s Tariffs Pushed Up Prices</h1>
<p>Colby Smith — Tue, 15 Jul 2025 14:46:34 -0400</p>
The Consumer Price Index rose 2.7 percent from a year earlier, as the global trade war started to bite.
</article>
<article>
<h1>Rising Inflation Underscores Risks in Trump’s New Tariff Threats</h1>
<p>Tony Romm and Colby Smith — Tue, 15 Jul 2025 14:44:15 -0400</p>
New data showing price increases last month could foreshadow even higher costs if the president imposes steep tariffs on Aug. 1.
</article>
<article>
<h1>Jamie Dimon Backs Jerome Powell Over Trump in Fed Fight</h1>
<p>Rob Copeland — Tue, 15 Jul 2025 14:37:09 -0400</p>
The C.E.O. of JPMorgan Chase, who has rarely taken on President Trump during his second term, wades into the argument over the Federal Reserve chair.
</article>
<article>
<h1>JPMorgan, Wells Fargo and Citi Report Solid Earnings Despite Trump Tariff Risks</h1>
<p>Rob Copeland and Stacy Cowley — Tue, 15 Jul 2025 14:26:44 -0400</p>
JPMorgan’s chief, Jamie Dimon, lauded the “resilient” U.S. economy as his bank reported bumper quarterly earnings.
</article>
<article>
<h1>Buffett’s Big Bet 2.0</h1>
<p>Tue, 15 Jul 2025 14:22:03 -0400</p>
Plus, Apollo on the march in Europe, a Dutch pension fund overhaul and Cézanne in Aix-en-Provence
</article>
<article>
<h1>3 Rock-Solid Dividend Stocks to Hold Forever for Safe Income</h1>
<p>Joey Frenette — Tue, 15 Jul 2025 14:10:04 -0400</p>
<p>It’s not the size of the dividend yield that matters most; it’s the quality of the dividend and the growth potential in company cash flows. This is especially true for long-term investors looking to stay aboard for more than a decade. Not only will the promised yield need to be delivered upon (opt for well-covered dividends that were built to survive even the harshest of corrections), but it would be nice to have that dividend grow significantly over some period of time. Indeed, inflation is still an issue, and ensuring frequent (dividend) raises is a must to stay ahead.</p>
<p>In this piece, we’ll check out three dividend stocks with secure payouts that are worth holding for a lifetime.</p>

<div id=

Key Points

Safe dividends, dividend growth, and value are what you’ll get from the following trio.
GS, CCI, and PEP are a trio of dividend (growth) stocks that look cheap enough to buy and hold for life.
Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; get started by clicking here.(Sponsor)

Goldman Sachs: 1.7% yield

First up, we have the dividend payer with the lowest yield but the most impressive growth prospects. Goldman Sachs (NYSE:GS) is an investment banking behemoth that’s really blasted off in recent years. After melting up from the Liberation Day lows, GS stock is now up over 115% in just two short years.

Despite more than doubling in less than 24 months, the stock still looks as cheap as ever at 16.1 times forward price-to-earnings (P/E), especially considering the fundamental improvements across the board. With Goldman recently announcing the testing of its AI software engineer from a firm named Cognition, perhaps it’s Goldman (as well as the big banks), and not an AI developer itself, that stands to benefit most from the productivity gains to be had from applied AI and agents.

Indeed, the financial landscape is experiencing a technological shift, and Goldman is leading the charge. Either way, GS shares are cheap with plenty of momentum riding behind them and perhaps enough of an AI tailwind to keep gaining in the second half. As the growth marches higher, so too will the dividend.

Crown Castle: 4.2% yield

Crown Castle (NYSE:CCI) is a cell tower company that’s in recovery mode after shedding 60% of its value between 2021 and the very end of 2024. With a 4.2% yield, a much lower valuation, a more defensive cash flow stream, and some recent upgrades from Wall Street, perhaps it’s time to give the former market darling a second look.

Earlier this year, the firm inked a deal to sell its fiber business for $8.5 billion. Indeed, that cash will go a long way as the firm looks to ride out the rest of the industry storm.

Though I don’t foresee a swift bounce-back overnight, I do see great financial flexibility, margin expansion potential, and perhaps some generous dividend hikes as the firm’s fortunes look to improve down the stretch. If you’re a fan of the dividend and the 0.90 beta, perhaps now represents a good time to place a bet as the firm pulls the curtain on earnings later this month.

PepsiCo: 4.3% yield

PepsiCo (NASDAQ:PEP) stock is hated on Wall Street right now, down over 30% from its 2023 peak. Indeed, the drink and snack food firm is facing a lot of headwinds from multiple angles. But if you believe in the power of a great consumer-packaged goods brand, I think you have to stick with a stock amid its trying moment.

The stock has a generous 4.3% yield, a low 0.47 beta, and trades at a very reasonable 17.1 times forward P/E. If value and yield are what you seek, the blue chip delivers on both fronts. As much as “healthier” offerings are intriguing and all, I believe it’s the value proposition that will beckon consumers back.

Personally, I think any cost savings from its efforts (think automation) should be given back to consumers in the form of larger portion sizes after all the “shrinkflation” they’ve been through since the pandemic reopening.

Finally, with more than 50 years of annual dividend hikes, Pepsi is a dividend growth juggernaut to stick with, even if it lacks the catalysts to make a run for those prior highs.

The post 3 Rock-Solid Dividend Stocks to Hold Forever for Safe Income appeared first on 24/7 Wall St..

Trump Administration Will Limit Medicare Spending on Pricey Bandages

Sarah Kliff and Katie Thomas — Tue, 15 Jul 2025 14:05:31 -0400

In an about-face, the administration is cracking down on so-called skin substitutes, overused treatments that cost Medicare more than $10 billion last year.

This CEO Just Bought Millions More of His Company’s Stock

Ian Cooper — Tue, 15 Jul 2025 13:29:57 -0400

If an insider is putting their money where their mouth is, there’s a reason for it.

We also have to consider that it’s the insiders who know their company the best. So, if they’re buying, dig a bit deeper. Just don’t buy because a. CEO did. Do your due diligence to keep your capital protected before jumping in.

That being said, here are three recent insider buys we’ve been tracking.

Asana Inc.

Keep an eye on beaten-down shares of Asana (NYSE: ASAN).

CEO Dustin Moskovitz just bought another 225,000 shares on July 8. He paid an average cost of $14.60 per share for a total of $3,285,000. He also picked up about $6.86 million worth of stock in March and June, picking up 450,000 shares at an average price of $15.25 per share.

From his current role as CEO, Moskovitz will transition to chair of the board. Dan Rogers will become Asana’s new CEO on July 21.

“Under Moskovitz’s leadership, Asana has grown into a leading enterprise work management platform for human and AI coordination. With more than 170,000 customers, Asana is trusted by over 85% of Fortune 500 companies and generates over $700 million in annual revenue,” as noted in a company press release.

We also have to consider that a good deal of negativity has been priced into the stock. Plus, this is a company with very strong sales predictability and no debt. Granted, 9% year over year isn’t anything to write home about, but it’s still expanding. In addition, operational guidance was recently increased by 5% to 5.5%.

With the negativity priced in, a new CEO, a strong but oversold stock, and significant insider buying, Asana appears to be an impressive opportunity.

Match Group

Match Group (NASDAQ: MTCH) CEO Spencer Rascoff recently bought $2 million for 70,885 shares.

He paid an average price of $27.89 a share for 53,398 of them and an average price of $28.54 for 17,487. Rascoff already bought $2 million worth of shares at an average price of $34.41 on Feb. 6. He now owns 137,478 shares of Match.

And, as quoted by Barron’s, “100 days in as CEO and more confident than ever in our team and Match Group’s future. Friday, I purchased $2 million of stock of MTCH, in addition to the $2 million I bought last quarter. Energized by the responsibility and privilege of defining the future of connections for this category.”

Even better, the company declared a quarterly dividend of 19 cents per share, which is payable on July 18 to shareholders of record as of July 3.

Advanced Micro Devices

Advanced Micro Devices (NASDAQ: AMD) Executive Vice President and Chief Commercial Officer, Philip Guido, bought 8,800 shares of the stock for just under $1 million on May 20.

With AMD, we have to remember the company is exposed to a multi-billion-dollar addressable market for data center AI chips. In fact, according to company Chair and CEO Lisa Su, the addressable market for AI chips will reach $500 billion by 2028, which is up from her prior estimate for $400 billion by the time 2027 rolls around.

“This is roughly equivalent to the annual sales for the entire semiconductor industry in 2023. Su is optimistic about the long-term market size potential for AI chips, and believes that AI demand has exceeded the company’s expectations over the past year,” as noted by Barron’s.

Also, the company’s latest generation of AI chips, the MI300, is its fastest ramping product ever. Lisa Su added that AMD’s MI300X chip, which rivals dominant AI chipmaker Nvidia’s H100, is “the most advanced AI accelerator in the industry,” as noted by Time.com.

Plus, analysts at HSBC just upgraded AMD to a buy rating on potential AI revenue upside. The firm has a $200 price target, citing AMD’s successfully launched M2350 series.

Thor Industries

Thor Industries (NYSE: THO) co-founder and former CEO Peter Orthwein paid $256,200 on June 20 for 3,000 shares at an average price of $85.40 per share. The rebounding stock is now up to $92.42 and could potentially retest $102.50 near term.

Fueling more upside, the company re-authorized a $400 million share buyback program, which will expire on July 31, 2027. “As we look ahead, we will continue to be buyers of our stock as long as its price is disconnected with our long-term value proposition, underscoring our confidence in the strength of our company and the potential for future growth,” said Bob Martin President and CEO, as quoted in a company press release.

Thor Industries also just paid out a quarterly dividend of 50 cents per share, which was payable on July 15 to shareholders of record as of July 1.

The post This CEO Just Bought Millions More of His Company’s Stock appeared first on 24/7 Wall St..

Nvidia and Jane Street back Mira Murati’s AI start-up

Tue, 15 Jul 2025 13:02:16 -0400

Thinking Machines Lab valued at $12bn after raising $2bn in one of the largest ever initial funding rounds

Silicon Valley is creating plum jobs — for the fortunate few

Tue, 15 Jul 2025 12:51:27 -0400

The line between acquiring people and acquiring businesses has become ever fuzzier

American Retirees Face Unexpected Emotional Challenges: Tech Founder Reveals Key Lessons

Christian Drerup — Tue, 15 Jul 2025 12:43:18 -0400

Retirement is generally thought of as a relaxing chapter of life, but the golden years bring their fair share of difficulties. One Reddit user shared about their post-retirement experience after selling a tech startup. They opened up about life after retirement, sharing their honest thoughts. The Reddit user’s post highlights that financial freedom, while beneficial in many ways, is not the sole source of fulfillment.

A great deal of Americans these days are brushing off the old rules their parents followed and seeking to retire early. This is especially true of high earners in the tech community. However, data reveals that many early retirees experience emotional drawbacks, such as loss of identity and lack of purpose. The debate on Reddit is a great reminder that money does not guarantee happiness, and it certainly does not imply a healthy mental state. When looking to retire, emotional preparedness is just as crucial as financial stability.

This slideshow reveals three main lessons gleaned from this early retiree’s reflections: the importance of prioritizing mental health, a human need to connect socially, and the value of quality time with family. Learn several tips and insights for how to live the good life after you’ve thrown in the career towel.

Retirement: Not Always a Dream

Retirement can bring unexpected emotional challenges despite financial security
Many retirees discover that stress and dissatisfaction can persist after leaving the workforce.

Early Retirement Observations

A retired tech founder shares insights from 3.5 years out of work, including 2.5 years in the fatFIRE lifestyle
Despite financial success, key takeaways center around mental health, community, and family—not just money.

Lesson #1: Mental Health Matters Greatly

Walking away from a demanding startup didn’t bring the instant relief the Redditor expected.
After a year of stagnation, the Redditor sought therapy to address internal struggles and process complex emotions.

How to Apply Lesson #1

Don’t expect peace of mind to come automatically with retirement.
Consider therapy or counseling as a tool for post-retirement adjustment and personal growth.
Acknowledge that healing is often ongoing and non-linear.

Lesson #2: Value True Community

Losing daily contact with coworkers can feel like a major void.
The Redditor found meaning in reconnecting with pre-wealth friendships and making new connections outside work.

How to Apply Lesson #2

Nurture friendships that aren’t tied to your professional life.
Stay grounded by spending time with people who value you beyond your financial status.
Avoid using material possessions to fill emotional gaps.

Lesson #3: Go All-In with Family

The Redditor found deep satisfaction in spending more time with children.
This new role brought both joy and responsibility, along with a chance to grow as a parent.

How to Apply Lesson #3

Embrace your role at home but avoid using your children to replace lost work relationships.
Teach your kids the value of money and the importance of giving back.
Focus on legacy through humility, generosity, and intentional parenting.

The post American Retirees Face Unexpected Emotional Challenges: Tech Founder Reveals Key Lessons appeared first on 24/7 Wall St..

China Puts New Restrictions on E.V. Battery Manufacturing Technology

Keith Bradsher — Tue, 15 Jul 2025 11:55:22 -0400

Beijing will now require government licenses for any effort to transfer abroad the technologies crucial for producing inexpensive electric cars.

FTSE 100 hits 9,000 points for first time

Tue, 15 Jul 2025 11:53:17 -0400

UK stocks benefit from investors diversifying away from US

The Big Beautiful Bill….Tax Cuts and Investments in the Future of America

Randy Lazer — Tue, 15 Jul 2025 11:52:55 -0400

Key Points

The Big Beautiful Bill (BBB) provides average tax savings of $1850 to families earning annual incomes of $67,000-$119,000, per the Tax Policy Institute. No tax on tips or overtime, with no taxes for most social security income.
Plant, equipment, research, and related business expenditures are immediately deductible, providing great incentive for the $10-$15 trillion of investment commitments that should deliver an economic boom.
Although the Congressional Budget Office estimates the BBB would add $3.4 trillion to debt in 10 years, the Council of Economic Advisers projects $11 trillion of additional tax revenues that would lower the debt. Prediction, the CBO is way off!
The passage of the BBB provides stability, which is needed for trillions of dollars of investment to flow into the US. Had this bill not passed, the largest tax increase in history would have likely led to recession.
Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; get started by clicking here.(Sponsor)

The most important aspect of the passage of the Big Beautiful Bill (BBB), was preventing the 2017 tax cuts from expiring. Had the BBB failed, middle class families would have had to pay an additional $2100 per year in taxes, while small business would have dealt with a top tax rate of 43.4%. Of great significance, large capital expenses and research could not have been fully deducted immediately, which would have caused economic contraction.

With $37 trillion of debt, and annualized interest payments of $1.2 trillion, prior to the BBB, our country was on the precipice of financial disaster. Thankfully, with unprecedented investment spurring GDP growth, the US should realize great prosperity, and begin to pay down the debt in the years to come.

Yet, why is there be a gap of up to $14.4 trillion of tax revenue from what the Congressional Budget Office (CBO) projected, to the estimate from the Council of Economic Advisers? The answer; the CBO is almost always wrong!

Income tax revenue from Trump’s 2017 tax cuts, produced an additional $2.6 trillion in 5 years. This, despite the CBO told us the tax cuts would cost $1.5 trillion over 10 years.

Thus, how could the CBO be off by trillions of dollars? Well, their flawed modeling does not allow for increased employment, GDP growth, and income tax revenues from tax cuts, nor decreased payments of governmental assistance for those who now have new or better jobs. Also, we anticipate productivity gains from AI, as Goldman Sachs projects 0.4% of added GDP, or $1.2 trillion.

For the BBB, the CBO projected GDP growth to be 1.8%. However, Director of the National Economic Council, Kevin Hassett, stated GDP growth would likely be in the vicinity of 4%, noting of $10 trillion of investment commitments, along with zero tariffs on businesses that manufacture products in the US. Additionally, when interest rates are finally lowered, this will generate significant income with real estate and capital investment.

Some major components of the BBB provide funding for the “Golden Dome”, to protect from nuclear attack, the border wall, and for the prioritized deportation of criminal illegal aliens. Medicaid cuts apply to those who are able bodied, and choose not to even look for a job or volunteer. This workfare was highly successful under the Clinton administration.

Although there are $1.6 trillion of spending cuts over 10 years from the BBB, we should have cut $1.6 trillion per year. In 2019, the budget was $4.45 trillion, yet in 2021 we spent $6.8 trillion, 50% more than prior to the Pandemic. Biden delivered $7.8 trillion of budget deficits, while national debt is currently at $37.1 trillion, with annualized interest payments of $1.2 trillion. This is not sustainable for funding government programs, and risks default.

However, the future is exceedingly bright given the stability of the passage of tax cuts in the BBB. $3 trillion of investment commitments have been procured for AI, while auto manufacturers and others are building plants in the US instead of Mexico. Domestic production avoids tariffs, while having a low tax rate, effectively in the vicinity of 15%, which spurs global investment in America.

What should be some solid growth stocks to hold for the long term? I’ll keep you in suspense, as in my next article, I will cite specific companies that would hopefully provide great returns over the exciting years to come. There could be some volatility with tariffs and the process of procuring better trade deals, so consider that with respect to investments in the coming weeks.

The post The Big Beautiful Bill….Tax Cuts and Investments in the Future of America appeared first on 24/7 Wall St..

Responsible Credit Card Users Reap More Financial Benefits Than Debit-Only Spenders

Christian Drerup — Tue, 15 Jul 2025 11:46:34 -0400

Credit cards can save you in an emergency, but they can also lead to copious amounts of debt. However, many financially savvy people say the real problem isn’t the credit card itself, but how individuals choose to use them. When used responsibly and intentionally, credit cards can offer strong financial benefits. A recent Reddit poster argued that choosing debit cards over credit cards might seem financially smart but could actually be a costly mistake.

Knowing how to use credit wisely is more important today than ever, with the average credit card APR hitting record highs. Data reveals that Americans who are using credit cards wisely are reaping several benefits, including earning cash back and improving their credit scores. Smart credit card users can make significant progress toward financial goals, while receiving perks like purchase protection.

This slideshow will cover the hidden value associated with credit cards. It covers the top benefits of credit card usage: building credit, having purchase protection, and gaining rewards. We’ll discuss why you might want to hold onto this powerful piece of plastic and how it can be advantageous over debit cards. If you’re thinking of solely using debit cards in an effort to avoid debt, learn the many ways responsible credit card users can benefit.

Why Credit Cards Matter

Credit cards have a bad reputation due to widespread debt problems in the U.S.
Many people avoid credit cards because they fear falling into debt.

Credit Card vs. Debit Card: A Misunderstood Debate

Credit cards aren’t inherently bad—it’s how people use them that causes financial trouble
A Reddit user highlights that choosing debit over credit can be a financial mistake.

Benefit #1: You Can Build Credit

Using credit cards responsibly helps build a strong credit history
Your credit score improves when you pay on time, use only a small portion of your credit, and maintain long-standing accounts.

How to Apply Benefit #1

Always pay off your balance in full each month to avoid interest
Keep your credit utilization low—aim for under 30% of your available credit
Avoid closing old credit cards in good standing to maintain credit length.

Benefit #2: You Get Built-In Protection

Credit cards offer purchase protection and dispute options that debit cards usually don’t
If a product is faulty or a charge is fraudulent, you have support from the credit card company.

How to Apply Benefit #2

Use credit cards for major purchases or online transactions
Check your card’s terms to understand your protection rights
Contact your issuer immediately if there’s an issue with a charge.

Benefit #3: Earn Financial Rewards

Many credit cards offer cash back or points on everyday purchases
Using a rewards card can earn you a percentage back on things like groceries and gas.

How to Apply Benefit #3

Choose a credit card with rewards tailored to your spending habits
Use your card for regular expenses to accumulate rewards, then pay off in full
Track promotions for bonus cash back categories to maximize earnings.

Final Tip: Use Credit Cards Wisely (or Not at All)

To avoid interest and debt, monitor your spending and pay your balance on time
Stick to a rule of never carrying a balance to enjoy all the benefits without the downsides.

The post Responsible Credit Card Users Reap More Financial Benefits Than Debit-Only Spenders appeared first on 24/7 Wall St..

BigBear.ai (BBAI): Is a $21 Stock Price Wishful Thinking or Future Reality?

Rich Duprey — Tue, 15 Jul 2025 11:46:02 -0400

Key Points in This Article:

BigBear.ai’s (BBAI) financial instability, with restated losses and high cash burn, undermines its growth potential.
Heavy reliance on a few government contracts creates revenue volatility and limits scalability.
Intense competition from high-margin, high-growth players like Palantir Technologies and SoundHound AI makes a 3X stock increase by 2028 unlikely.
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Riding the AI Revolution

The artificial intelligence (AI) sector has been a hotbed of investor enthusiasm since OpenAI’s ChatGPT debuted in 2022, driving a surge in AI-related stocks. With analysts projecting the AI market to grow from $279 billion in 2024 to $1.8 trillion by 2030 at a 35.9% compound annual growth rate, companies like Nvidia (NASDAQ:NVDA) have soared, with its market cap exceeding $4 trillion.

However, not all AI stocks are created equal. BigBear.ai Holdings (NASDAQ:BBAI), a $2 billion AI shop focused on decision intelligence for defense, manufacturing, and healthcare, has sparked debate about its potential to triple in value over three years. Currently trading around $6.80 per share — down 33% from its February high, but almost 500% above its low — can BBAI stock achieve a $21 share price by 2028?

Financial Struggles Raise Red Flags

BigBear.ai’s financial performance paints a concerning picture. In 2024, the company reported revenue of $158.2 million, a modest 6% increase from the prior year, with Wall Street forecasting $168 million for 2025.

More troubling, BBAI announced in March that it would restate its financials for 2022, 2023, and 2024 due to inaccuracies. Pre-tax losses for 2023 and 2024 are expected to rise, including a jump from $257 million to $296 million in 2024.

Cash flow issues are equally alarming, with operating cash burn tripling to $38 million in 2024 from $18 million in 2023. which is critical for staying competitive in the fast-evolving AI landscape.

The company’s gross margin of 28% in 2024, while improved, lags far behind competitors like Palantir Technologies (NASDAQ:PLTR), which boasts 80% margins. This gap underscores BBAI’s struggle to scale efficiently, particularly as it pivots from lower-margin government contracts to commercial markets.

With adjusted EBITDA losses of $7 million in the first quarter compared to $1.6 million a year ago, BigBear.ai lacks the profitability of larger players, raising doubts about its ability to sustain growth.

Reliance on Government Contracts Adds Risk

BigBear.ai’s business model heavily depends on government contracts, such as the $165 million U.S. Army GFIM-OE deal secured in last year’s fourth quarter and a recent Federal Aviation Administration ITIPSS contract with Concept Solutions.

However, this reliance creates revenue volatility, as CEO Mandy Long noted, with government caution toward AI adoption delaying contracts and impacting cash flows. In 2024, four clients accounted for 52% of revenue, highlighting concentration risk. The loss of a single client, which contributed 19% of revenue in 2022, but was terminated by 2024, illustrates this vulnerability. While BBAI replaced that client, the precarious balance of its revenue stream makes consistent growth uncertain.

Competitive Pressures Limit Upside

The competitive landscape further dims BBAI’s prospects. Palantir, valued at $354 billion, dominates decision intelligence, with 30% annual sales growth projected through 2026 and NATO contracts bolstering its credibility.

Emerging players like SoundHound AI (NASDAQ:SOUN), with 101% revenue growth in the fourth quarter of 2024 and a 151% hike in Q1, also outpace BBAI’s sluggish 5% year-over-year growth in Q1.

BBAI’s niche focus on defense and logistics lacks the broad applicability of its competitors, which limits its market share potential in a sector where scalability is key. Additionally, over 27% of BBAI’s float is sold short, signaling market skepticism about its future.

Key Takeaways

At 12.7 times sales, BBAI’s valuation appears reasonable compared to software peers trading between 10 and 20 times sales. However, its service-heavy model results in lower margins than pure software companies, making this multiple less attractive.

Even if revenue doubled, BBAI would need significant margin improvements to justify a $21 share price, which would imply a market cap of roughly $6.1 billion. With analysts projecting only 6% revenue growth for 2025 and 12% for the year after, achieving this would require major contract wins and operational improvements — both very doubtful given current trends.

The post BigBear.ai (BBAI): Is a $21 Stock Price Wishful Thinking or Future Reality? appeared first on 24/7 Wall St..

The Economy Has Been Resilient. The New Round of Tariffs May Hit Harder.

Colby Smith and Tony Romm — Tue, 15 Jul 2025 11:44:55 -0400

The economy’s resilience so far to President Trump’s global trade war risks emboldening him and unleashing the sort of economic devastation that economists have long feared.

How to Turn $500K into $40,000 in Annual Passive Income Without Losing Sleep

David Moadel — Tue, 15 Jul 2025 11:17:39 -0400

Key Points

The QDVO ETF offers a high annual yield and exposure to famous large-cap stocks.
Meanwhile, the RSPA ETF is widely diversified but also pays big dividends.
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If you’ve managed to save up $500,000 to invest in stocks and exchange traded funds (ETFs), pat yourself on the back. You’re in a great position to earn tens of thousands of dollars in worry-free income each and every year.

Two passive income powerhouses are particularly well-suited for investors seeking relatively safe dividends/distributions. With these two high-yield funds, you could generate $40,000 per year from a half-a-million-dollar account. So, let’s look at a pair of ETFs that could help you grow your fortune while you sleep soundly at night.

QDVO: Tech Exposure, Decent Diversification

It might sound risky to take $500,000 and equally divide it among just two funds. However, this plan can make sense if the two funds provide good diversification across well-known stocks.

The first ETF that fits this description is the Amplify CWP Growth & Income ETF (NYSEARCA:QDVO). This ETF generates income from dividends and premium payments from writing/selling call options.

Since the Amplify CWP Growth & Income ETF includes 42 stocks in its holdings, you’ll achieve diversification with just this one fund. Plus, you’ll get portfolio exposure to highly established technology giants like Microsoft (NASDAQ:MSFT), NVIDIA (NASDAQ:NVDA), Amazon (NASDAQ:AMZN), and Apple (NASDAQ:AAPL).

While the Amplify CWP Growth & Income ETF emphasizes large-cap technology stocks, it also includes non-tech names such as Visa (NYSE:V), Home Depot (NYSE:HD), Costco Wholesale (NASDAQ:COST), and RTX/Raytheon Technologies (NYSE:RTX). Consequently, your $500,000 portfolio won’t be too tech-heavy with the QDVO ETF.

An added bonus of the Amplify CWP Growth & Income ETF is that it pays out its dividends/distributions on a monthly basis. Hence, there’s no need to wait three full months to start seeing the cash show up in your account.

Getting down to the nitty-gritty, the Amplify CWP Growth & Income ETF offers an annual distribution rate of 9.87%, but also deducts 0.55% worth of operating expenses. This means that QDVO’s expected annualized net yield for investors would be 9.87% – 0.55%, or 9.32%.

RSPA: High Yield, Hundreds of Famous Names

Even though the the Amplify CWP Growth & Income ETF has plenty of benefits, you don’t have to pour an entire $500,000 account into one fund. Instead, you could allocate $250,000 toward QDVO and the remaining $250,000 into the Invesco S&P 500 Equal Weight Income Advantage ETF (NYSEARCA:RSPA).

Generally based on the S&P 500 index, the Invesco S&P 500 Equal Weight Income Advantage ETF has 524 stocks in its holdings. Moreover, it’s not too heavily allocated toward technology or any other sector, as the RSPA ETF places roughly equal weighting on each stock.

Within the Invesco S&P 500 Equal Weight Income Advantage ETF you’ll find technology luminaries like Microsoft, Apple, and Micron Technology (NASDAQ:MU). Yet, you’ll also discover non-technology-focused firms such as PepsiCo (NASDAQ:PEP), Walmart (NYSE:WMT), Chevron (NYSE:CVX), and Bank of America (NYSE:BAC).

Hence, you can massively diversify your portfolio with the Invesco S&P 500 Equal Weight Income Advantage ETF and sleep all night long worry-free. Furthermore, there’s an added benefit with this fund because, like QDVO, RSPA pays out its distributions every month.

The annual distribution rate for the Invesco S&P 500 Equal Weight Income Advantage ETF is 9.13%, which is quite impressive. When we subtract the operating fees of 0.29% per year, the RSPA ETF should provide an expected net annual yield of 9.13% – 0.29%, or 8.84%.

Getting $40,000 Each Year From Two ETFs

Now, let’s do the math with these two terrific funds. For extra-wide diversification, you could put $250,000 into the Amplify CWP Growth & Income ETF and another $250,000 into the Invesco S&P 500 Equal Weight Income Advantage ETF.

Then, your average expected net annual yield would be (9.32% + 8.84%) / 2, or 9.08%. Actually, your yield could be even higher if you reinvest the cash distributions every month, but let’s keep it simple and assume a 9.08% yield for now.

After one year, assuming the two funds don’t reduce their distribution rates, you could expect to receive cash distributions totaling $500,000 x 9.08%, or $45,400. This allows some room for error, as it easily beats your goal of earning $40,000 in dividends/distributions.

Of course, you should monitor the share prices of the two ETFs and not only the distribution rates. After all, you’ll want to see some share-price appreciation to further build your $500,000 nest egg.

There’s no need to lose sleep over this issue, though, since the QDVO and RSPA ETFs should gain value over the long run. These two funds hold a variety of blue-chip stocks so you can rest easy while collecting $40,000 in cash every 12 months.

The post How to Turn $500K into $40,000 in Annual Passive Income Without Losing Sleep appeared first on 24/7 Wall St..

Live Updates on Wells Fargo (NYSE: WFC) and BlackRock (NYSE: BLK) Earnings

Eric Bleeker — Tue, 15 Jul 2025 11:14:13 -0400

Live Updates

Live Coverage Has Ended

Why is Wells Fargo Down?

11:09 am by Eric Bleeker

Wells Fargo beat estimates but its shares are down about 5% in early trading. Let’s look at some reasons the stock is down despite this earnings beat:

The company lowered expectations for its net interest income. Previously the company had guided to 1 to 3% growth in 2025, but now says it expects interest income to be “roughly in line” with 2024.
The stock has also performed strongly in 2025. Shares were up more than 18% headed into today, so taking a breather isn’t unusual.

We’ll continue monitoring what Wall Street has to say about Wells Fargo as the day progresses.

BLK slid about 0.45% around 10:41 AM as volume spiked over 170% in that minute.

11:00 am by Eric Bleeker

BlackRock just saw a significant volume spike at 10:41 a.m. ET. Its slide has accelerated since and the stock is now down 6.9% as of 11:01 a.m. ET.

Major Outflow Weights on BlackRock Stock

10:32 am by Eric Bleeker

Like Wells Fargo, BlackRock also reported solid earnings but is seeing its stock drop in early trading. One area that investors are watching is the company noting a $52 billion outflow from a major client. This led to a significant reduction in quarterly inflows (dropping the total down to $68 billion) and could be weighing on the stock this morning despite its solid EPS beat.

Earnings season kicked off this morning with a group of powerful financial companies. Wells Fargo (NYSE: WFC), and BlackRock (NYSE: BLK) each reported earnings before the bell.

As of 10:00 a.m., both stocks were down.

Wells Fargo: Down 4.5%
BlackRock: Down 6.4%

The morning has generally been unkind to stocks in the financial space. JPMorgan (NYSE: JPM) also reported earnings and is down about .6%. Citigroup (NYSE: C) is the lone bright spot in the financial space this morning, up 1.4%.

We’ve compiled the main need-to-know information about each company’s earnings below and will be updating this live article with earnings analysis throughout the morning.

Wells Fargo Q2’25 Earnings Highlights:

• Adj. EPS: $1.60 ; UP +20% YoY
• Revenue: $20.822B ; UP +1% YoY
• Net Income: $5.494B ; UP +12% YoY

Q2’25 Outlook:
– The company is focused on maintaining consistent revenue growth driven by fee-based income and managing expenses effectively.
– Continued investment in business segments is expected to support organic growth.

Q2 Segment Performance:
• Consumer Banking and Lending Revenue: $9.228B ; UP +2% YoY
• Commercial Banking Revenue: $2.933B ; DOWN -6% YoY
• Corporate and Investment Banking Revenue: $4.673B ; DOWN -3% YoY
• Wealth and Investment Management Revenue: $3.898B ; UP +1% YoY

Other Key Q2 Metrics:
• Adj. Operating Expenses: $13.379B ; UP +1% YoY
• Effective Tax Rate: 14.2% (vs. 20.3% YoY)
• Net Interest Income: $11.708B ; DOWN -2% YoY
• Noninterest Income: $9.114B ; UP +4% YoY
• Provision for Credit Losses: $1.005B ; UP +8% YoY
• Noninterest Expense: $13.379B ; UP +1% YoY
• Return on Equity (ROE): 12.8% (vs. 11.5% YoY)
• Return on Average Tangible Common Equity (ROTCE): 15.2% (vs. 13.7% YoY)
• Net Loan Charge-offs: $997M; DOWN -23% YoY
• Total Nonaccrual Loans: $7.757B; DOWN -8% YoY
• Total Nonperforming Assets: $7.964B; DOWN -8% YoY

CEO Commentary:
– Charlie Scharf: “Our second quarter results reflect the progress we are making to consistently produce stronger financial results with net income and diluted earnings per share up from both the first quarter and a year ago. Our efforts to increase fee-based income drove revenue growth and both net interest income and noninterest income grew from the first quarter. We are investing in our businesses but remain focused on expense management. While there continue to be risks as we look forward, activity levels have remained consistent and our strong credit performance continues to point to the strength of our commercial and consumer customers’ financial position.”

Strategic Updates:
– The lifting of the asset cap in the second quarter marked a pivotal milestone in Wells Fargo’s ongoing transformation, allowing for more aggressive growth strategies to serve consumers, businesses, and communities. The company has also terminated thirteen consent orders since 2019, including seven this year alone, indicating significant progress in regulatory compliance and operational strength.

Analyst Estimates:
– EPS Estimate: $1.41
– Analyst Price Target: $82.72
– Analyst Ratings: 6 Strong Buy, 11 Buy, 7 Hold, 0 Sell

BlackRock Q2’25 Earnings Highlights:

• Adj. EPS: $12.05 ; UP +16% YoY
• Revenue: $5.423B (Est. $10.81) ; UP +13% YoY
• Adj. Operating Income: $2.099B ; UP +12% YoY
• Net Income: $1.593B ; UP +7% YoY
• Diluted EPS: $10.19 ; UP +2% YoY

Q2 Segment Performance:
• Equity Revenue: $1.908B ; UP +6.6% YoY
• Fixed Income Revenue: $0.853B ; UP +5.7% YoY
• Alternatives Revenue: $0.656B ; UP +71.7% YoY
• Cash Management Revenue: $0.304B ; UP +23.0% YoY

Other Key Q2 Metrics:
• Adj. Operating Expenses: $3.692B ; UP +22.9% YoY
• Effective Tax Rate: 26.9% (vs. 24.2% YoY)
• Total AUM: $12.528T; UP +18% YoY
• Total Net Flows: $67.737B; DOWN -17% YoY
• Share Repurchases: $375M

CEO Commentary:
– Laurence D. Fink: “For many years, BlackRock has worked to serve the ambitions of each and every client around the world – from the largest asset owners to individuals just getting their start with investing. We design and deliver strategies and products that fit their unique long-term needs and aspirations. We deliver in the way that best serves each client, whether it’s through whole portfolio solutions, opportunistic investments, or customized models and SMAs. Our expanding client relationships are resonating in higher, more diversified organic base fee growth. We generated 6% organic base fee growth for the second quarter and the first half of 2025, and 7% over the last twelve months.”

CFO Commentary:
– Martin S. Small: “Our financial results reflect the strength of our diversified business model and the successful integration of our recent acquisitions. The growth in our technology services and subscription revenue is particularly encouraging, as it demonstrates our commitment to innovation and client service.”

Strategic Updates:
– Closed acquisition of HPS Investment Partners on July 1st, adding $165 billion of client AUM and $118 billion of fee-paying AUM.
– Surpassed fundraising target for GIP’s fifth flagship, raising $25.2 billion, marking the largest-ever client capital raise in a private infrastructure fund.
– Development of a custom target date fund glidepath that strategically allocates across public and private markets.

Analyst Estimates:
– EPS Estimate: $10.81
– Analyst Price Target: $1069.96
– Analyst Ratings: 7 Strong Buy, 9 Buy, 1 Hold, 0 Sell

The post Live Updates on Wells Fargo (NYSE: WFC) and BlackRock (NYSE: BLK) Earnings appeared first on 24/7 Wall St..

Mamdani Prepares to Meet With New York City’s Wary Business Leaders

Lauren Hirsch and Emma G. Fitzsimmons — Tue, 15 Jul 2025 10:48:11 -0400

On Tuesday, Zohran Mamdani, a democratic socialist running for mayor, will meet with the who’s who of the corporate world as he prepares for the general election.

Wall Street Price Prediction: Tesla’s Share Price Forecast for 2025

Joel South — Tue, 15 Jul 2025 10:39:27 -0400

After soaring in 2023 and 2024, shares of Tesla (NASDAQ:TSLA) were battered throughout Q1 2025. And while the stock performed marginally better in Q2, the largest U.S. EV-maker slid into Q3. However, over the past five days, the stock is up 6.56%, trimming its year-to-date loss to 16.44%. But since hitting its all-time high on Dec. 17, TSLA has fallen nearly 34%. Shareholders are hoping that the launch of Tesla’s Robotaxi can help the stock, which has seen increased volatility in the wake of abysmal Q1 earnings and an ongoing spat with the Trump administration.

Over the past decade, Tesla has suffered incredible losses that have shocked investors who had grown accustomed to the stock’s rapid appreciation over the past decade. The company’s meteoric rise has practically minted millionaires who jumped on the Musk bandwagon in the early goings. That’s certainly a move that’s come with some baggage and volatility along the way. But overall, it’s clear that Musk’s visionary status has rewarded shareholders since Tesla’s IPO on June 29, 2010.

In early July, Goldman Sachs raised its price target on TSLA to $315 from $285, but maintained a “Neutral” rating after Tesla reported preliminary Q2 vehicle deliveries of about 384,000, which was down 13% year-over-year. Also in July, Mizuho lowered its price target on Tesla to $375 from $390 citing weakness in North America EV sales and Tesla’s headwinds in Europe. In late June, Benchmark analyst Mickey Legg raised the firm’s price target on Tesla to $475 from $350, maintaining its “Buy” following the successful launch of Robotaxi. The firm believes the rollout demonstrates “a controlled and safety-first approach,” according to the analyst, who argues that winning over regulators and public opinion is “paramount and will allow a rapid scale up if achieved.”

The company continues to see sales decline in the U.S. and abroad, resulting in a series of downgrades. Also in early June, Guggenheim said the company’s fundamentals “continue to deteriorate at an alarming rate,” with “soft” Q2 delivery trends. Guggenheim reiterates a “Sell” rating on the shares with a $175 price target.

24/7 Wall St. conducted analysis to provide more clarity. Let’s dive into whether the recent drop in Tesla’s stock price can be expected to continue, or if this is a top growth name that can rebound to new all-time highs and resume its march higher.

Key Points

Tesla deliverables are down year-over-year, and it continues facing headwinds in the U.S. and European markets.
As CEO Elon Musk’s feud with President Trump continues, the stock has seen heightened volatility.
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Key Drivers of Tesla’s Stock Performance

1. Core EV Business: Tesla’s most important business line is unsurprisingly the company’s auto business. With sales of the company’s EVs down on a year-over-year basis, and margins also declining from historically high levels following the onset of the pandemic, investors will continue to assess the company’s future prospects in proportion to how the company’s core revenue and earnings driver is performing.

2. Autonomous Driving (FSD), Robotics and More: Tesla’s value can be ascribed to what many long-term investors view as a call option on some other key growth categories CEO Elon Musk continues to work on. Aside from the company’s core electric vehicle offering, Tesla’s energy business, its FSD platform, humanoid robotics endeavors, AI verticals, and other growth categories make this stock unique in terms of the breadth and number of potential catalysts investors can look to for future growth. Of course, the extent to which these endeavors deliver boosted margins (or increased CapEx) remains to be seen.

3. Macro and Political Environment: Like it or not, Tesla CEO Elon Musk has cozied up to president Trump in a big way. This move is one that’s been broadly cheered by the overall market, at least out of the gate. Tesla stock soared following Donald Trump’s election victory, though Tesla has since given up its gains since this pivotal event, and has trended lower for seven straight weeks following the election. We’ll have to see if the Trump administration brings forward the sort of regulatory environment so many investors had hoped for in 2025 and in the years to come.

What Wall Street Thinks

Tesla’s stock price outlook for 2025 varies widely among analysts, reflecting uncertainties in production, market conditions, and EV advancements. Analyst price targets span a very wide range, with the most bearish analyst putting forward a $19.05 price target, and the most bullish suggesting this stock could head to $500 per share.

Thus, there’s not really a true idea of where this stock is headed. And when investors think about the fact that many of these analyst projections are outdated, doing the math on where this stock could be headed over the course of the next year isn’t as easy as it seems.

It’s worth noting that analysts remain largely bullish on the stock, though. However, given how far Tesla has fallen from its peak, even if the company can hit this target over the next year, it’ll still have a ways to go to make it to a new all-time high. The thing about Tesla and other high-growth stocks is that I find analysts are often chasing the returns these stocks provide. Thus, I think it’s best for most investors to steer clear of using analyst price targets as anything other than guardrails. Indeed, Tesla is one company I think is worth doing one’s own DCF analysis on and coming to one’s own price target.

Tesla’s 2025 Outlook

As we move through 2025, analyst opinions on where Tesla could be headed do vary. Overall, Tesla’s stock performance in 2025 is expected to be shaped by production output, market trends and advancements in EV and battery technology. Analysts project a 17.5% revenue increase to $117.2 billion, driven by growing demand and energy sector expansion. Tesla’s 2025 deliveries are forecasted at 1.95 million units by Barclays, below Bloomberg’s consensus of 2.08 million and Tesla’s earlier estimates.

Despite a 62.5% stock surge in 2024, an $80 billion market value drop raised concerns. Musk remains optimistic, expecting a 20-30% delivery increase, though management later emphasized a “return to growth.”

To add, competition from Waymo and declining registrations in Germany, France and California present challenges. Tesla’s push into AI and autonomous driving, including plans for a Robotaxi launch, could be a game-changer, but the company recently saw its share of the EV market slip below 50% in California.

To compound matters, the stock is losing favorability among the smart money. Institutional holdings for TSLA are down t0 48.74%.

Tesla Stock 2025 Price Target

Based on Wall Street analysts’ estimates, the median one-year price target for shares of TSLA is $293.38, which implies 7.43% potential upside from its current price. Of the 35 analysts covering Tesla, the stock currently receives a consensus “Hold” rating, with 13 analysts rating it a “Buy,” 13 rating it a “Hold” and nine rating it a “Sell.”

On the other hand, 24/7 Wall St.‘s 12-month price target for Tesla is bullish at $352.99, which represents potential upside of 11.37% from the current share price. Those figures are based on the company seeing projected revenue growth climb from $112.091 billion in 2025 to $297.430 billion in 2030, alongside normalized EPS growth of $2.85 in 2025 to $11.61 in 2030.

The post Wall Street Price Prediction: Tesla’s Share Price Forecast for 2025 appeared first on 24/7 Wall St..

The Future of Weather Prediction Is Here. Maybe.

Tim Fernholz and Jason Henry — Tue, 15 Jul 2025 10:31:33 -0400

Thanks to A.I., companies like WindBorne hope to usher in a golden age of forecasting. But they rely in part on government data — and the agency that provides it is in turmoil.

Rivian (NASDAQ: RIVN) Price Prediction and Forecast 2025-2030 for July 15

Joel South — Tue, 15 Jul 2025 10:30:24 -0400

Shares of Rivian Automotive (NASDAQ:RIVN) lost 3.50% over the past five trading sessions, compounding the stock’s one-month loss to 7.78%. Its year-to-date loss now stands at 4.23%. Over the past year, RIVN has fallen by 27.49%.

This week, Guggenheim analyst Ronald Jewsikow downgraded Rivian to Neutral from Buy. On June 2, it was reported that Rivian was eyeing a new debt deal as expected vehicle deliveries slumped. The U.S.-based EV maker announced plans to offer $1.25 billion in senior secure green notes due 2031 in a private offering. The EV maker plans to use those funds, as well as cash on hand, to redeem $1.25 billion of outstanding senior secured notes due in 2026.

In April, it was reported that Rivian has entered the e-bike market with a $111.13 million investment. While the company’s focus on expanding its product line is admirable, Rivian still faces pressure from President Trump’s tariffs, even if those headwinds have been delayed by the 90-day pause announcement. The largest institutional holder of RIVN remains Amazon (NASDAQ:AMZN), with 158,363,834 shares. The company reported full-year earnings in late February, announcing a negative gross profit of $1.2 billion compared to negative $2 billion in 2023, alongside record gross profits in Q4.

The EV company IPO’ed in November 2021 and immediately made a splash with its stock price skyrocketing to $180 in just its first week of trading. The cash infusion was a much-needed lifeline for Rivian, with $3.7 billion in operating expenses in 2021 and only delivering 920 vehicles. The company also had backers in Amazon and Ford (NYSE:F), who held 260 million shares of Rivian collectively at IPO. But as the COVID-19 lockdown investing frenzy died out, it left an SUV-sized hole in Rivian’s stock price, with the stock currently trading more than 85% lower than its post-IPO and all-time high.

24/7 Wall St. aims to provide readers with our assumptions about the stock prospects going forward, what growth we see in Rivian for the next several years, and what our best estimates are for Rivian’s stock price each year through 2030.

Key Points

Key growth drivers include cost reduction in EV components and increased production capacity, targeting profitability by 2027.
Rivian aims to cut material costs by 45% with the introduction of its Gen 2 platform by 2026.
If you’re looking for a megatrend with massive potential, make sure to grab a complimentary copy of our “The Next NVIDIA” report. The report includes a complete industry map of AI investments that includes many small caps.

Rivian vs. Tesla: The Early Years

The following is a table of Rivian’s revenues, operating income and share price for the first few years as a public company. Here’s a table summarizing performance in share price, revenues, and profits (net income) from 2014 to 2018.

Year	Share Price	Revenues	Net Income
2021	$50.24	$55.0 million	($4.22 billion)
2022	$19.30	$1.658.0 billion	($6.856 billion)
2023	$10.70	$4.434.0 billion	($5.739 billion)
2024	$13.25	$4.997.0 billion	($4.689 billion)

Now let’s take a look at Tesla (NASDAQ:TSLA) in the first few years it manufactured and sold the Model S (the official launch of the Model S was June 22, 2012).

Year	Share Price	Revenues	Net Income
2011	$2.24	$204.2 million	($2.45 million)
2012	$2.25	$413.3 million	($3.96 million)
2013	$16.87	$2.013 billion	($74 million)
2014	$13.81	$3.198 billion	($294 million)

While revenue growth for both firms after launching their first mass-market vehicles is similar, Tesla’s net income was much more favorable. Tesla CEO Elon Musk has always been a proponent of word-of-mouth marketing and a hawkish approach to minimizing product costs, allowing his company to stay afloat while moving to new lines of automobiles.

The biggest question facing Rivian investors today is, can they lower costs, and when will positive net income be realized?

Key Drivers of Rivian’s Stock Performance

1. EV Technology and Cost Curves: Rivian’s next generation (G2) R1 vehicles are designed for performance upgrades while at the same time reducing component costs. For example, the number of electronic components will be reduced by 60%, over 60 parts will be eliminated, the compact motor will be redesigned, and close to 2000 connections or welds will be removed. These changes alone are expected to drop materials costs by 20% and speed up the assembly line by 30%. Looking into the back half of 2026, Rivian sees a material cost reduction of 45% for the R2 line of vehicles. Rivian is also investing in enhanced advanced driver assistance systems with improved cameras, radar, and NVIDIA-powered computing power, creating highway assist and 360-degree visibility.

2. Electric Vehicle Demand and Incentives: Rivian is currently delivering around 13 thousand vehicles per quarter, which is above analyst estimates, and producing 9 thousand new G2 vehicles per quarter, which keeps it on pace to produce 57,000 units in 2024. The total plant capacity is 215,000 vehicles with expansion plans of 400,000 additional vehicles in Georgia.

3. Management’s Path to Profits: Rivian also expects profitability from the R1 platform through premium configurations and scale benefits. The company targets positive adjusted EBITDA by 2027, with long-term goals of 25% gross margin, high teens adjusted EBITDA margin, and 10% FCF margin.

- Material Cost Reduction: The introduction of the Gen 2 platform and commercial cost downs are expected to reduce material costs by ~20%.
- Fixed Cost Reduction: Improved labor and overhead costs, reduced depreciation, and lower LCNRV charges due to a 30% increase in production line rate and design changes.
- Increased Revenue From Credits: Strong demand for regulatory credits, with over $200 million contracted for FY24.

Rivian (RIVN) Stock vs. Tesla Stock: Why Rivian Receives Different Treatment

Taking a historic look at pricing Rivian stock would start by comparing the sales multiples Tesla received in 2012 to 2015 when the Model S scaled. Tesla was feeling the weight of expansion and keeping its debt load manageable and the market-priced Tesla stock was close to 10x sales.

While Rivian is in a similar situation, albeit with more debt and higher expanses, the market is only valuing the stock at under 3 times sales. Let’s take a look at why that is the case.

Market Position and Brand Recognition:
- Tesla: By 2011-2015, Tesla had already established itself as a leading innovator in the electric vehicle (EV) market, with significant brand recognition and a first-mover advantage.
- Rivian: Rivian is relatively new to the market and still building its brand and market position.
Production and Sales Volumes:
- Tesla: From 2011 to 2015, Tesla ramped up production and sales, particularly with the Model S, which gained popularity and market traction.
- Rivian: Rivian is still in the early stages of production, with limited sales volumes compared to Tesla’s growth phase.
Investor Expectations and Sentiment:
- Tesla: Investors had high expectations for Tesla’s future growth and disruptive potential in the auto industry, leading to higher valuation multiples.
- Rivian: While Rivian has potential, it has not yet demonstrated the same level of market disruption or growth trajectory that Tesla did during its comparable early years.
Competitive Landscape:
- Tesla: Had fewer direct competitors in the EV space during its early years, allowing for a larger market share and higher investor confidence.
- Rivian: Faces more competition from established automakers entering the EV market and other new entrants, impacting its relative valuation.

Rivian(RIVN) Stock Forecast Through 2030

Year	Revenue*	Shares Outstanding	P/S Est.
2025	$5.374	1.131 B	2.5x
2026	$7.489	1.131 B	2.2x
2027	$11.800	1.131 B	2.0x
2028	$20.931	1.131 B	1.8x
2029	$28.948	1.131 B	1.6x
2030	$36.236	1.131 B	1.4x

*Revenue in $billions

Rivian (RIVN) Stock Prediction in 2025

According to Wall Street analysts, the current median one-year price target for Rivian’s stock is $14.72, which represents potential upside of 30.41% from today’s share price. Of the 25 analysts covering RIVN, the stock is a consensus “Hold,” with seven analysts providing a “Buy” rating, 15 providing a “Hold” rating and three providing a “Sell” rating.

However, 24/7 Wall St.’s 12-month price target for Rivian stock is $11.88, which represents potential downside of 6.38% from today’s share price.

Rivian (RIVN) Stock Forecast 2o25–2030

By the end of 2030, we estimate Rivian’s stock price to be $44.85 per share. Our estimated price target for RIVN represents 253.42% potential upside from where shares are currently trading.

Year	Price Target	%Change From Current Price
2025	$11.88	-6.38%
2026	$14.57	14.81%
2027	$20.87	64.46%
2028	$33.31	162.49%
2029	$40.95	222.69%
2030	$44.85	253.42%

The post Rivian (NASDAQ: RIVN) Price Prediction and Forecast 2025-2030 for July 15 appeared first on 24/7 Wall St..

A Quiet Shift in D.C. Could Detonate the Next Bitcoin ETF Rally

Ian Cooper — Tue, 15 Jul 2025 10:28:09 -0400

Key Points

There’s the CLARITY Act, which could provide a framework for the digital assets industry.
There’s also the Anti-CBDC Surveillance State Act, which would keep the U.S. Federal Reserve from issuing a digital U.S. dollar.
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Three major bills could send Bitcoin-related exchange-traded funds (ETFs) screaming higher.

That includes:

The Digital Asset Market Clarity Act of 2025 (CLARITY Act)

There’s the CLARITY Act, which could provide a framework for the digital assets industry, including defining the roles of the Securities and Exchange Commission and the Commodity Futures Trading Commission (CFTC). It’s expected to be voted on this week.

The GENIUS Act of 2025

There’s the GENIUS Act, the long-awaited regulatory framework for stablecoins.

The bill, passed by the Senate on June 17, 2025, establishes a framework for issuing and exchanging stablecoins, focusing on consumer protection and market stability. It’s also expected to be voted on this week.

“Ultimately, the GENIUS Act could make stablecoins more mainstream by bolstering trust in the currency and encouraging more competition in the market,” added CNBC.

In addition, as noted by House Committee on Financial Services Chairman French Hill, as quoted by the United States House Committee on Financial Services:

“Our CLARITY Act which sets up the rules of the road for what’s a commodity, what’s a security, how to use digital assets, how to store them, how to custody them; these are the rules that will protect consumers, will limit access to our market and our investors from [those] outside of the United States trying to influence the crypto markets. We have none of that today. What we’ve had is a mismatch of rules by enforcement in the Biden Administration.”

The Anti-CBDC Surveillance State Act

There’s also the Anti-CBDC Surveillance State Act, which would keep the U.S. Federal Reserve from issuing a digital U.S. dollar.

Here are just a few of the top ETFs benefiting from Bitcoin’s swing higher.

ProShares Bitcoin Strategy ETF

If you believe the value of Bitcoin will push higher, you can invest in the ProShares Bitcoin Strategy ETF (NYSE ARCA: BITO). With an expense ratio of 0.95%, the ETF tracks the performance of spot Bitcoin, according to ProShares.com.

As noted by Money, “Like all crypto ETFs, part of the allure of BITO is that investors don’t need to deal with cryptocurrency wallets and private keys but can instead invest through a broker they already use.”

Since Bitcoin bottomed out at around $75,000 in April, the digital currency ran to a recent high of $119,958. Going along for the ride, the BITO ETF ran from about $15 to $23.05.

YieldMax Bitcoin Option Income Strategy ETF

With an expense ratio of 0.99% and a yield of 1.54%, the YieldMax Bitcoin Option Income Strategy ETF (NYSE ARCA: YBIT) does not invest directly in Bitcoin.

Instead, it will 0generate current income via a synthetic covered call strategy on one or more select U.S.-listed Bitcoin ETPs – a category of investment vehicle that is generally backed by an asset such as gold, a commodity, or a crypto token.

The best part – you don’t need to know much about options to buy the YBIT. Just invest, wait for the ETF to appreciate with Bitcoin, collect your dividends, and repeat.

Again, since Bitcoin bottomed out at around $75,000 in April, the digital currency ran to a recent high of $119,958. Going along for the ride, the YBIT ran from about $7.50 to $10.92.

ARK 21Shares Bitcoin ETF

We can also take a look at the ARK21 Shares Bitcoin ETF (BATS: ARKB).

With an expense ratio of 0.21%, the ETF provides exposure to Bitcoin, which is kept in cold storage by one of the largest crypto custodians, offering greater protection than custody options available to individual investors.

Not to sound like a broken record, since Bitcoin bottomed out at around $75,000 in April, the digital currency ran to a recent high of $119,958. Going along for the ride, the ARKB ETF ran from about $26 to $39.87.

You can also trade Bitcoin-related stocks, such as:

MicroStrategy

The key reason MicroStrategy (NASDAQ: MSTR) runs higher with Bitcoin is that the company now holds 597,325 Bitcoin. That multiplied by Bitcoin’s current valuation of about $121,000, is worth $71.6 billion. On that catalyst alone, as long as you believe Bitcoin will rally even more, shares of MicroStrategy are a solid bet, especially if MSTR buys even more Bitcoin.

MARA Holdings

Bitcoin mining stock MARA Holdings (NASDAQ: MARA) is also getting a sizeable boost from the Bitcoin rally. While recent MARA earnings were nothing to write home about, Bitcoin’s latest rally should serve as a massive growth catalyst moving forward.

Riot Platforms

Bitcoin mining stock, Riot Platforms (NASDAQ: RIOT) is also seeing a boost with the Bitcoin rally. Helping, RIOT just produced 450 BTC in June, which was down 12% month over month, but 76% higher year over year. The company now holds 19,273 BTC as of the end of June. In May, RIOT produced 514 BTC, up 11% month over month and up 139% year over year. RIOT now holds 19,225 BTC.

The post A Quiet Shift in D.C. Could Detonate the Next Bitcoin ETF Rally appeared first on 24/7 Wall St..

Could IonQ Be the Nvidia of Quantum Computing?

Joey Frenette — Tue, 15 Jul 2025 10:27:38 -0400

Nvidia (NASDAQ:NVDA) stock’s profound generational rise to the very top of the market has made a lot of everyday investors a lot of money. And while there may still be ample upside to be had from current levels (many analysts still think the name is a great buy right here, as they hike their price targets), it’s becoming tougher to chase the name now that it’s a $4 trillion behemoth. Indeed, it’s become a more obvious AI tech play and one that may not be in for the same magnitude of transformative gains that it had posted in the previous decade.

Key Points

IonQ’s CEO had some bold things to say about his firm and its position in the fast-growing quantum market.
The company’s approach to advancing quantum computing and networking makes for quite the interesting quantum pure-play.
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While it’s very difficult to pin down what the next Nvidia could be, I do think that investors who can spot winners from the emerging quantum computing market could have the potential to do extraordinarily well. And while the gains from a quantum winner may or may not compare to those posted by Nvidia in recent years, I do think that those who do spot a firm that has what it takes to gain share in quantum may wish to consider hanging onto their long-term positions, rather than jumping out at a perceived top.

Indeed, Nvidia is a name that’s continued to find a way higher despite the bearish calls of some and even in the face of big-name short-sellers.

Can IonQ really become a force in quantum?

Of course, the visionary genius behind Nvidia, Jensen Huang, is a major reason why his firm enjoyed such a meteoric rise. Without an exceptional top boss and management team, it’s tough to seize a market opportunity, no matter how large. In any case, IonQ (NASDAQ:IONQ) may be perceived as an early winner in quantum with all the tools to become a heavy hitter as the next big tech trend looks to take off over the coming years and decades.

Like the great Jensen Huang, IonQ’s CEO, Niccolo de Masi, has a bold vision of the future of tech. He thinks his firm could become “the Nvidia of quantum computing.” That’s a bold statement, to say the least. And while it’s a statement that’s sure to draw significant attention from retail traders, especially those with their sights set on the next big technological boom, I do think that only time will tell if IonQ has what it takes to take a page out of the Nvidia playbook.

For now, some of the right growth levers seem to be in place. There’s a massive, emerging technological market, and there’s a profoundly ambitious top boss who’s fully focused on growth. That said, with a number of firms looking to innovate on the front of quantum computing, including some much larger rivals in International Business Machines (NYSE:IBM), it certainly won’t be easy to rise up and become a leader in a market with a timeline that’s still hazed in uncertainty.

The race to useful quantum is on.

In any case, the race towards fault-tolerant, useful quantum computers is on. And IonQ is one of the intriguing horses to bet on, especially on recent strength. The company’s recent collaborations (think drug-discovery) and acquisitions are very encouraging, not just for IonQ but for the quantum timeline as a whole.

With the stock nearing prior all-time highs again, the price of admission may seem to be getting a tad lofty. But some analysts (like those with price targets north of $50) still see upside to be had from current levels, especially as the company aims to innovate not just in quantum computing but quantum networking.

Such a unique approach, I think, makes IonQ one of the most interesting hyper-growth plays on the market right now. Though I have no idea if IonQ will become an “Nvidia of quantum computing,” I think there’s no denying the excitement factor surrounding the name. Personally, I’m in no rush to load up on the name, especially after more than quadrupling in just a year. The 212 times price-to-sales (P/S) multiple (that’s sales, not earnings) may also set the stage for amplified volatility in the second half.

The post Could IonQ Be the Nvidia of Quantum Computing? appeared first on 24/7 Wall St..

Can Broadcom Hit a $2 Trillion Market Cap by 2027?

Rich Duprey — Tue, 15 Jul 2025 10:23:15 -0400

Key Points in This Article:

For Broadcom (AVGO) to achieve a $2 trillion market cap by 2026, it requires a 55% stock price surge, driven by $20 billion to $30 billion in AI revenue and earnings of $8 to $10 per share.
VMware synergies and potential acquisitions could boost profitability, but a high P/E and narrow hyperscale reliance pose risks.
By 2027, $75 billion in revenue and AI dominance make $2 trillion achievable, cementing Broadcom as a top AI growth stock.
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From Smartphone Chips to AI Powerhouse

Broadcom (NASDAQ:AVGO) has undergone a remarkable transformation, evolving from a key supplier of smartphone chipsets to a titan in the AI revolution, commanding a $1.3 trillion market cap.

Once integral to Apple (NASDAQ:AAPL) iPhone production, Broadcom now drives AI infrastructure with custom accelerators and networking chips for hyperscalers like Google, Meta Platforms (NASDAQ:META), OpenAI, and Apple.

Its 2023 acquisition of VMware supercharged its infrastructure software portfolio, diversifying revenue and fueling a valuation surge. Over the past-two-and-half years, AVGO stock has skyrocketed from a $233 billion market cap to its current lofty valuation — a 463% cumulative return — propelled by soaring demand for AI chips and a proven track record of strategic acquisitions.

As the AI boom reshapes global markets, investors are captivated by a bold question: can Broadcom climb another $700 billion to join the exclusive $2 trillion market cap club by the end of 2026?

Fueling Growth with AI Dominance

Broadcom’s AI business is the cornerstone of its $2 trillion ambition. In the second quarter, AI revenue surged 46% year-over-year to $4.4 billion, with projections of $12.2 billion for the full year. CEO Hock Tan envisions a $60 billion to $90 billion AI chip market by 2027, with Broadcom potentially capturing up to 70% — equating to $42 billion to $63 billion in annual AI sales.

To reach $2 trillion, Broadcom’s stock price must climb from $275 to approximately $426, a 55% increase with 4.7 billion shares outstanding. A forward P/E ratio of 30, fairly aligned with its current 33x, supports this target if earnings reach $8 to $10 per share by 2026, up from $6.62 per share projected for FY2025.

A $10 billion stock buyback program could further boost EPS, enhancing stock price growth and investor confidence.

Financial Strength and Strategic Acquisitions

Broadcom’s financial performance is a beacon of strength. Q2 results delivered $15 billion in revenue, up 20% from a year ago, with adjusted earnings of $1.58 per share surpassing estimates.

Analysts forecast 21% revenue growth to $62.7 billion in 2025, with EPS rising 22% to $6.62 per share. Sustaining this trajectory, potentially hitting $75 billion in revenue by the start of 2027, could justify a premium valuation.

The VMware acquisition, driving a 44% surge in infrastructure software revenue to $6.6 billion, remains a key growth driver. Further integration or a new accretive acquisition, mirroring past successes like LSI or CyOptics, could amplify profitability and market enthusiasm, pushing Broadcom closer to the $2 trillion mark.

Navigating a Competitive Landscape

Significant challenges remain, though. Broadcom’s forward P/E exceeds the S&P 500‘s information technology sector’s 29 average, though not by much, signaling a slightly premium valuation that still demands near-perfect execution.

Dependence on a few hyperscale clients heightens risk, as does cyclicality in the chip industry. Geopolitical tensions, particularly following Nvidia’s recent success in resuming H20 chip sales to China, could intensify competition and disrupt growth.

Broadcom must navigate these hurdles to maintain its upward trajectory.

Joining an Exclusive $2 Trillion Club

A $2 trillion market cap would place Broadcom in an elite group, currently led by Nvidia, which surpassed $4 trillion just last week, and Apple and Microsoft (NASDAQ:MSFT), both of which stand north of $3 trillion. Amazon (NASDAQ:AMZN) and Alphabet (NASDAQ:GOOG)(NASDAQ:GOOGL) have also achieved a $2 trillion valuation.

This exclusive club reflects unparalleled market dominance and investor confidence in AI-driven growth. For Broadcom to join, it must leverage its AI and software strengths to outpace competitors and sustain its valuation premium, a feat only a handful of tech giants have achieved.

Key Takeaways

Reaching a $2 trillion market cap by the end of 2026 is possible but unlikely in just 18 months, requiring a 55% stock price surge and exceptional earnings growth. While recent history suggests it is doable, extending the timeline to 2027 makes the goal more achievable. Broadcom’s AI revenue could then approach $20 billion to $30 billion annually, bolstered by VMware synergies and potential acquisitions, while accounting for any AI spending pause.

Whether hitting $2 trillion in 18 months, two years, or beyond, Broadcom’s robust AI portfolio and financial strength make AVGO a must-own growth stock for investors betting on the AI revolution.

The post Can Broadcom Hit a $2 Trillion Market Cap by 2027? appeared first on 24/7 Wall St..

Investors pile into US tech stocks at fastest pace in 16 years

Tue, 15 Jul 2025 10:23:06 -0400

Bank of America survey shows renewed appetite for ‘Magnificent Seven’ despite lingering concerns over US dollar

NVIDIA (NASDAQ: NVDA) Price Prediction and Forecast 2025-2030 for July 15

Joel South — Tue, 15 Jul 2025 10:22:55 -0400

Shares of NVIDIA Corp. (NASDAQ:NVDA) gained 6.07% over the past five trading sessions as it builds on momentum after becoming the first-ever publicly traded company to hit a $4 trillion market cap. That achievement came just one month after surpassing both Apple Inc. (NASDAQ:AAPL) and Microsoft Corp. (NASDAQ:MSFT) in market cap. The stock reached an all-time high on the news.

From a financials perspective, the company has tailwinds. When NVIDIA reported Q1 earnings earlier this year, it announced revenue of $44.1 billion up 12% from Q4 2024 and up 69% year-over-year. Revenue from its data center business segment was $39.1 billion, up 10% from Q4 2024 and up 73% year-over-year. The company also had EPS of 96 cents, beating analysts’ expectations for 93 cents.

Over the past few years, AI has consistently fueled the largest gains for the market. And one company in particular is at the vanguard: NVIDIA. The company is the premier manufacturer of components critical to the surge in AI; namely, semiconductors, microchips, and graphics processing units (GPUs). As a result, the Santa Clara, Calif.-based company has seen its stock skyrocket in the recent past. Over the past five years, shares have gained more than 1,409%, and since going public, NVIDIA’s stock is up a preposterous 395,500%.

Despite those mind-boggling gains, analysts still expect significant upside potential in the medium and long term. 24/7 Wall St. has performed analysis to provide prospective investors and current shareholders with an idea of where NVIDIA’s stock might be headed over the course of the next five years.

Key Points

- NVIDIA’s track record of strong earnings suggests an ability to remain at the forefront of its industry, as competitors fight for the leftovers.
- Between NVIDIA’s client list of Magnificent Seven companies and the burgeoning trend in AI, growth in both revenue and net income is projected to continue its steep climb.
- If you’re looking for a megatrend with massive potential, make sure to grab a complimentary copy of our “The Next NVIDIA” report. This report breaks down AI stocks with 10x potential and will give you a huge leg up on profiting from this massive sea change.

NVIDIA’s Recent Stock Success

Unless you have been living under a rock, chances are you have caught wind of the very well-documented and rather exponential surge in NVIDIA’s share price since 2022. But before 2022’s price-per-share explosion, it was steadily appreciating as it underwent a series of stock splits.a

Year	Share Price*	Revenue**	Net Income**
2014	$0.51	$4.130	$0.588
2015	$0.82	$4.681	$0.800
2016	$2.67	$5.010	$0.929
2017	$4.88	$6.910	$1.851
2018	$3.24	$9.714	$3.085
2019	$5.98	$11.716	$4.143
2020	$13.06	$10.918	$3.580
2021	$29.64	$16.675	$6.277
2022	$14.61	$26.914	$11.259
2023	$49.52	$26.974	$8.366
2024	$134.29	$60.974	$29.76

*Post-split adjusted basis
**Revenue and net income in $billions

Over the course of the last decade, NVIDIA’s revenue grew by more than 553% while its net income increased by just over 1,323%. The company experienced a slight contraction in revenue and net income in 2020 due to the COVID-19 pandemic, but it rebounded soundly the following year and has continued to steadily grow both metrics since. Meanwhile, shares were able to increase by 9,610% from 2014 to 2023.

As the AI lynchpin and Magnificent Seven mainstay looks forward to the second half of the decade, 24/7 Wall St. has identified three key drivers that are likely to impact its growth metrics and stock performance through 2030.

Key Drivers of NVIDIA’s Stock Performance

1. Stronghold on the GPU Industry: No one makes GPUs like Nvidia makes GPUs, and the industry demanding them is well aware of that. While semiconductor competitors like Advanced Micro Devices Inc. (NASDAQ:AMD) and Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM) do command some attention in their respective corners of the market, simply comparing the three companies’ market caps demonstrates the discrepancies between NVIDIA and, well, every other company. While Advanced Micro Devices and Taiwan Semiconductor Manufacturing have respectable market caps of $194.67 billion and $861.41 billion, respectively, those are dwarfed by NVIDIA’s $3.34 trillion.

2. Demand From Unrivaled Tech Customers: The company’s primary clientele are the other members of the Magnificent Seven, which are leading the way forward in the AI revolution. In fact, only four Big Tech rival companies — Alphabet Inc. (NASDAQ:GOOGL), Amazon.com Inc. (NASDAQ:AMZN), Meta Platforms Inc. (NASDAQ:META), and Microsoft — account for 40% of NVIDIA’s revenue as they vie with one another to become the front runner of the transition to generative AI.

3. The AI Trend Is Just Getting Started: According to Grand View Research, AI’s market size was $196.63 billion in 2023. But as large as that seems, it pales in comparison to where it is headed. From 2024 to 2030, the AI market is expected to grow at an astounding compound annual growth rate (CAGR) of 36.6%, with “continuous research and innovation directed by tech giants that are driving adoption of advanced technologies in industry verticals, such as automotive, healthcare, retail, finance, and manufacturing,” according to Grand View Research’s report.

NVIDIA (NVDA) Price Prediction in 2025

The current consensus median one-year price target for NVIDIA, according to Wall Street analysts, is $176.76, which represents 3.39% potential upside over the next 12 months based on today’s share price. Of the 41 analysts covering NVIDIA, the stock receives a consensus “Strong Buy” rating, with 36 analysts rating the stock a “Buy,” four rating it a “Hold” and one rating it a “Sell.”

24/7 Wall St.‘s year-end forecast for NVIDIA is $147.70, or potential downside of 13.60% based on a projected EPS of $2.75 and a price-to-earnings (P/E) ratio of 50, with a best-case scenario of $192.50 per share and a worst-case scenario of $82.50 per share.

NVIDIA (NVDA) Stock Forecast Through 2030

Year	Revenue*	Net Income*	EPS
2025	$121.255	$68.392	$2.75
2026	$168.151	$95.246	$3.83
2027	$193.852	$108.182	$4.44
2028	$225.462	$130.155	$5.28
2029	$236.498	$152.001	$6.16
2030	$265.522	$175.412	$7.24

*Revenue and net income in $billions

NVIDIA Stock Price Target 2025–2030

By the conclusion of 2030, 24/7 Wall St. estimates that NVIDIA’s stock will be trading for $241.23, good for a 41.10% increase over today’s share price, based on an EPS of $7.24 and a P/E ratio of 50. Our high-end price target is $506.80 based on an EPS of $7.24 and a P/E ratio of 70. Meanwhile, our low-end price target is $217.20 based on an EPS of $7.24 and a P/E ratio of 30.

Year	Price Target	%Change From Current Price
2025	$147.70	-13.60%
2026	$171.06	0.05%
2027	$200.57	17.31%
2028	$230.55	34.85%
2029	$222.95	30.41%
2030	$241.23	41.10%

The post NVIDIA (NASDAQ: NVDA) Price Prediction and Forecast 2025-2030 for July 15 appeared first on 24/7 Wall St..

Nvidia Says U.S. Has Lifted Restrictions on A.I. Chip Sales to China

Tripp Mickle — Tue, 15 Jul 2025 10:17:02 -0400

The Silicon Valley chip giant said the Trump administration, which had shut down its sales to China three months ago, had assured it that licenses for the sales would now be granted.

Lumen Technologies (NYSE: LUMN) Stock Price Prediction and Forecast 2025-2030 (July 2025)

Joel South — Tue, 15 Jul 2025 10:15:30 -0400

Concerns about the prospects for Lumen Technologies Inc. (NYSE: LUMN) have lingered. However, its fourth-quarter and first-quarter results suggested a positive shift in its financial health due to a focus on strengthening its balance sheet and improving liquidity by reducing debt. The global telecommunications company has also focused on improving customer satisfaction. However, it still faces challenges with declining revenue and with free cash flow.

24/7 Wall St. Key Points:

Lumen Technologies Inc. (NYSE: LUMN) net income losses have been enormous, but there is a different story emerging that could suggest a turnaround of the company’s income statement.
The company’s P/E ratio was in negative territory for years, but the shift toward auxiliary AI services may right the ship.
24/7 Wall St. sees solid upside potential by the end of the decade.
If you’re looking for a megatrend with massive potential, make sure to grab a complimentary copy of our “The Next NVIDIA” report. It breaks down AI stocks with 10x potential and provides a huge leg up in profiting from this sea change.

The Louisiana-based company has been around a long time, so it was a surprise to some that the stock was at risk of being delisted from the New York Stock Exchange when in 2023, its price per share briefly dipped under $1.00. Those struggles continued into 2024, but by mid-summer, the stock surged when demand for its high-speed fiber-network solutions began to grow. The company secured deals with Microsoft Corp. (NASDAQ: MSFT) and other leading tech companies that are requiring increased connectivity between their data centers because of the explosive growth of artificial intelligence (AI).

More recently, Lumen partnered with IBM to unlock scalable AI for businesses, as well as with Google Cloud to provide advanced cloud and network solutions to meet the growing demands of AI workloads. Lumen strengthened its financial position and freed up capital for long-term growth by refinancing its term loans, as well as selling off its fiber-to-the-home business to AT&T.

24/7 Wall St. has performed analysis to determine if the company is fundamentally flawed, or if AI demand and strategic partnerships will be enough to see its stock continue on its bull run.

Lumen’s Recent Success

From July 1, 2024, to September 30, 2024, the shares went on a tear. The stock, which was trading at just $1.11 at the start of the third quarter of 2024, surged 540% by the end of the third quarter. That was quite the reversal, given how the stock has slid 91.8% since hitting its all-time high of $49.45 on June 1, 2007. But market drivers are far different today than they were then, and with the emphasis on AI development, Lumen stock is struggling to hold on to that bounce after falling 60.2% over the past five years.

Year	Share Price	Revenue*	Net Income*
2014	$39.70	$18.031	$0.851
2015	$25.87	$17.900	$0.795
2016	$24.12	$17.470	$0.744
2017	$16.99	$17.656	$0.356
2018	$14.90	$23.433	$0.964
2019	$13.42	$22.401	$5.157
2020	$9.75	$20.712	$1.351
2021	$12.55	$19.687	$2.019
2022	$5.22	$17.478	$1.713
2023	$1.83	$14.557	$7.334
2024	$5.31	$13.108	−$0.550

*Revenue and net income in $billions

Over the past decade, Lumen’s revenue decreased by more than 19%, while net income gained by over 761.8%. As the company battled through its dated infrastructure and a significant debt load, shares fell significantly from $39.70 in 2014 to $1.83 in 2023. However, Lumen has been able to better balance its books, with total assets and total liabilities nearly aligned in 2023 to the tune of $34.02 billion and $33.57 billion, respectively.

Three Key Drivers of Lumen Stock Performance

As the 56-year-old tech company looks forward to the rest of the decade, 24/7 Wall St. has identified three key drivers that are likely to have a positive impact on Lumen Technologies’ growth metrics and stock performance through 2030.

1. Strategic Partnerships With Tech Giants: The aforementioned strategic partnerships with Microsoft, the second-largest publicly traded company by market cap at $3.096 trillion, and Corning with its $36.16 billion market cap, should position Lumen for increased revenues and earnings for the foreseeable future. The partnership, announced in early August 2024, will result in Lumen more than doubling its total intercity network miles in order to unlock the next phases and capabilities of AI for cloud data centers (like Microsoft’s), enterprises and public agencies. According to the company’s press release, Lumen expects the deal with Microsoft to improve its cash flow by more than $20 million over the next 12 months.

2. Debt Restructuring: In March 2024, the company announced it had successfully extended its debt maturities, closing an approximately $1 billion revolving credit line maturing in June 2028 and completing the private placement of $1.325 billion due in November 2029. These efforts should free up funds and allow the company to address capital expenditures that will enable it to address the demands of the previously discussed strategic partnerships with Microsoft and Corning.

3. Insider Activity: While insider trading is never an absolute indication of growth, following the money can suggest what company executives’ sentiment is. And over the past 12 months, Lumen Technologies’ insiders have been doing far more buying than they have been selling. In fact, inside buyers have purchased a total of 12,924,936 million shares versus insider sellers offloading just 2,913,990. Put differently, the leadership at Lumen has out-purchased sellers by more than 343% over the past year.

How Lumen’s Next Five Years Could Play Out

Analysts currently have a consensus median one-year price target for Lumen stock of $5.01, which represents almost 12% upside potential over the next 12 months from the current price. Of 13 analysts covering the stock, only five recommend buying shares.

By the end of 2025, 24/7 Wall St.’s forecast for Lumen shares is lower at $3.34, which represents downside potential of over 17%, based on an annualized EPS of −$0.46.

However, beginning in 2027 and continuing through 2030, we expect Lumen to post positive EPS, growing from $0.05 to $0.59, based on revenue growth from $12.369 billion in 2027 to $13.070 billion in 2030.

Year	Revenue*	EPS
2025	$12.407	−$0.46
2026	$12.229	−$0.26
2027	$12.369	$0.05
2028	$12.473	$0.39
2029	$12.862	$0.38
2030	$13.070	$0.69

*Revenue in $billions

By the conclusion of 2030, 24/7 Wall St. estimates that Lumen Technologies stock will be trading for $8.04 per share. Here is how it gets there:

Year	Price Target	Potential Upside
2025	$3.34	−25.4%
2026	$4.21	−6.0%
2027	$5.58	24.6%
2028	$6.52	45.5%
2029	$6.41	43.1%
2030	$8.04	79.5%

Four Sizzling Stocks Rated Buy and Trading Under $10 That Everyone Knows

The post Lumen Technologies (NYSE: LUMN) Stock Price Prediction and Forecast 2025-2030 (July 2025) appeared first on 24/7 Wall St..

Reeves to reform UK bank ringfence rules in financial services overhaul

Tue, 15 Jul 2025 10:10:21 -0400

Chancellor announces ‘Leeds reforms’ to try and drum up more investment

PBS and NPR’s Last-Ditch Fight to Save Funding

Benjamin Mullin — Tue, 15 Jul 2025 10:08:19 -0400

As a vote to cut more than $500 million per year in federal funding nears, stations are making their pitches to lawmakers, listeners and “Viewers Like You.”

Nvidia and AMD Stocks Soar as Trump Administration Lifts A.I. Chip Sale Restrictions

Tue, 15 Jul 2025 09:43:44 -0400

The tech giants said they can resume selling high-end semiconductors to China, in what appears to be a major about-face for the Trump administration.

China’s Economy Grows Steadily Despite Trump’s Tariffs

Keith Bradsher — Tue, 15 Jul 2025 09:32:31 -0400

Official figures showed modest growth in the second quarter as exports shifted to other countries and Beijing invested in manufacturing and infrastructure.

The small mining company that won backing from the Pentagon — and Apple

Tue, 15 Jul 2025 09:30:03 -0400

MP Materials secured investment as Donald Trump sought to counter China and take a new approach to national defence

Stock Market Live July 15: Today’s S&P 500 (VOO) Rise Is No Surprise

Joel South — Tue, 15 Jul 2025 09:29:18 -0400

This article will be updated throughout the day, so check back often for more daily updates.

The U.S. Bureau of Labor Statistics reported Tuesday morning that the consumer price index rose 0.3% in June, which is exactly what economists had predicted would happen. The monthly increase puts the annual inflation rate at 2.7% currently — also in line with expectations.

“Core” inflation (which excludes food and energy costs, both of which rose in June) was both better and worse, up only 0.2% for the month of June, but tracking for 2.9% annual inflation. Again, however, this is all exactly as economists had predicted.

The Vanguard S&P 500 ETF (NYSEMKT: VOO) is pretty pleased with the news, and up 0.5% premarket.

Earnings

Earnings are starting to come in fast and furious with multiple big bank S&P 500 component companies reporting Q2 results.

Wells Fargo (NYSE: WFC) reported $1.60 per share in profit, $0.20 better than expected.

Citigroup (NYSE: C) reported $1.96 per share in Q2 profits, $0.35 better than expected.

JPMorgan Chase (NYSE: JPM) reported $4.96 per share, $0.48 better than expected.

In each case, revenue also exceeded expectations.

Analyst Calls

Outside of banking, S&P 500 component company Otis Worldwide (NYSE: OTIS) gets an upgrade to overweight from J.P. Morgan with a $109 price target. And fellow component company Zimmer Biomet (NYSE: ZBH) is similarly upgraded to buy by Roth/MKM, with a $135 price target.

The post Stock Market Live July 15: Today’s S&P 500 (VOO) Rise Is No Surprise appeared first on 24/7 Wall St..

Citigroup Earnings Live: Stock Surging After Earnings Beat on EPS and Revenue

Joel South — Tue, 15 Jul 2025 09:23:34 -0400

Live Updates

Live Coverage
Updates appear automatically as they are published.

Citi up 1.84% heading into the market open

9:20 am

CitiGroup (NYSE: C) share are up 2.10% pre-market after earnings beat expectations, with adjusted EPS up 29% year over year increase and 8% jump in revenue. Analysts expected adj. EPS of $1.63 on $20.83 billion in revenue.

Citigroup Q2’25 Earnings Highlights:

• Adj. EPS: $1.96 ; UP +29% YoY
• Revenue: $21.7B; UP +8% YoY
• Net Income: $4.0B; UP +25% YoY

Q2’25 Outlook:

– Citigroup continues to focus on improving performance across its interconnected businesses, aiming for sustainable growth despite macroeconomic challenges. The company is committed to driving higher returns and taking market share.

Q2 Segment Performance:
• Services Revenue: $5.1B; UP +8% YoY
• Markets Revenue: $5.9B; UP +16% YoY
• Banking Revenue: $1.9B; UP +18% YoY
• Wealth Revenue: $2.2B; UP +20% YoY
• U.S. Personal Banking Revenue: $5.1B; UP +6% YoY
• All Other Revenue: $1.7B; DOWN -14% YoY

Other Key Q2 Metrics:
• Adj. Operating Expenses: $13.6B; UP +2% YoY
• Effective Tax Rate: 23% (vs. 24% YoY)
• Book Value per Share: $106.94; UP +7% YoY
• Tangible Book Value per Share: $94.16; UP +8% YoY
• CET1 Capital Ratio: 13.5%
• Supplementary Leverage Ratio: 5.5%
• Total Allowance for Credit Losses: $23.7B

CEO Commentary:
– Jane Fraser: “We reported another very good quarter and continue to demonstrate that our strong results are sustainable through different environments. We’re improving the performance of each of our businesses to take share and drive higher returns. With revenue up 8%, Services continues to show why this high-return business is our crown jewel. Markets had its best second quarter performance since 2020 with a record second quarter for Equities. Banking revenues were up 18% and we continue to be at the center of some of the most significant transactions. Wealth revenues were up 20% with solid growth across all three lines of business. In U.S. Personal Banking, we saw good growth in Branded Cards while Retail Banking benefited from higher deposit spreads. We returned $3 billion in capital during the quarter, including $2 billion in share repurchases as part of our $20 billion repurchase plan. I’m particularly pleased that the momentum across our franchise includes the Transformation, as we streamline processes, drive automation and deploy AI. As I’ve said, next year’s 10-11% ROTCE target is a waypoint, not a destination. The actions we’ve taken have set up Citi to succeed long term, drive returns above that level and continue to create value for shareholders.”

Strategic Updates:
– Citigroup is focusing on its transformation initiatives, including streamlining processes and deploying AI to enhance operational efficiency and drive growth across its business segments. The company is also committed to returning capital to shareholders through dividends and share repurchases.

The post Citigroup Earnings Live: Stock Surging After Earnings Beat on EPS and Revenue appeared first on 24/7 Wall St..

JPMorgan Chase (NYSE: JPM) Live Earnings Coverage: Stock Flat After Upbeat Earnings

Eric Bleeker — Tue, 15 Jul 2025 09:05:44 -0400

Live Updates

Live Coverage Updates appear automatically as they are published.

Stock down .50% before the market opens

9:04 am by Eric Bleeker

JPMorgan (NYSE: JPM) shares are down .5% in premarket trading after reporting earnings that generally topped Wall Street’s expectations. Revenue came in above estimates while earnings of $5.24 were also above estimates provided to S&P Capital IQ.

Comparisons to last year are difficult as the company reported a large gain on corporate tax benefit of $774 million.

JPMorgan Q2’25 Earnings Highlights

• Adj. EPS: $5.24 (Down 17% YoY)
• Managed Revenue: $45.7B (Est. $44.44B) ; DOWN -10% YoY
• Net Income: $15.0B ; DOWN -17% YoY

Q2’25 Outlook:
• Revenue: $45.0B ±2% (Est. N/A)
– The outlook reflects ongoing economic resilience, but potential risks from tariffs, trade uncertainty, and geopolitical conditions remain.
– Continued focus on client support and strategic investments in technology and services.

Q2 Segment Performance:
• Consumer & Community Banking (CCB) Revenue: $18.8B (Est. N/A) ; UP +6% YoY
• Commercial & Investment Bank (CIB) Revenue: $19.5B (Est. N/A) ; UP +9% YoY
• Asset & Wealth Management (AWM) Revenue: $5.8B (Est. N/A) ; UP +10% YoY
• Corporate Revenue: $1.5B (Est. N/A) ; DOWN -85% YoY

Other Key Q2 Metrics:
• Adj. Operating Income: $22.1B (Est. N/A) ; DOWN -10% YoY
• Adj. Operating Expenses: $23.8B (Est. N/A) ; UP +1% YoY
• Book Value per Share: $122.51; UP +10% YoY
• Tangible Book Value per Share: $103.40; UP +11% YoY
• CET1 Ratio: 15.0%
• Total Loss-Absorbing Capacity: $560B
• Average Loans: $1.4T; UP +5% YoY
• Average Deposits: $1.5T; UP +6% YoY
• Credit Costs: $2.8B; UP +14% YoY
• Net Charge-Offs: $2.4B; UP +8% YoY

CEO Commentary:
– Jamie Dimon: “We reported another quarter of strong results, generating net income of $15.0 billion or net income of $14.2 billion excluding a significant item. Each of the lines of business performed well. In the CIB, Markets revenue rose to $8.9 billion, and we supported clients as they navigated volatile market conditions at the beginning of the quarter. Meanwhile, IB activity started slow but gained momentum as market sentiment improved, and IB fees were up 7% for the quarter. In CCB, we added approximately 500,000 net new checking accounts, which drove sequential growth in checking account balances. In Card, we launched a refreshed Sapphire Reserve along with a new Sapphire Reserve for Business, with positive early reactions and strong new card acquisitions. Finally, in AWM, asset management fees rose 10%, and we saw continued client asset net inflows of $80 billion, with client assets crossing over $6.4 trillion.”

Strategic Updates:
– Announced an increase in the common dividend for the second time this year, resulting in a 20% cumulative increase compared with the fourth quarter of 2024.
– Repurchased $7 billion of common stock, maintaining a strong capital position with a CET1 ratio of 15.0%.

The post JPMorgan Chase (NYSE: JPM) Live Earnings Coverage: Stock Flat After Upbeat Earnings appeared first on 24/7 Wall St..

Crypto is top money laundering threat, warns new EU watchdog

Tue, 15 Jul 2025 09:00:08 -0400

AMLA chair says Europe’s digital currencies market will be its clear priority

Nvidia’s $5 Billion Boost: White House Greenlights H20 Sales to China

Rich Duprey — Tue, 15 Jul 2025 08:38:45 -0400

Key Points in This Article:

Nvidia (NVDA) said it secured U.S. approval to resume H20 chip sales to China, potentially recovering $5 billion in lost revenue this year and boosting its stock price.
NVDA also introduced its new RTX PRO GPU, which is compliant with U.S. regulations and targets China’s industrial AI needs, enhancing Nvidia’s market strategy.
Despite national security concerns, the potential financial gain strengthens Nvidia’s trajectory to a $5 trillion valuation and beyond.

A Pivotal Decision for Nvidia

Nvidia (NASDAQ:NVDA) announced it had secured U.S. government approval to resume sales of its H20 artificial intelligence (AI) chips to China, which could propel the chipmaker’s financial trajectory forward on its path to a potential $20 trillion market valuation.

This shocking reversal of earlier Trump-era export restrictions has ignited a surge in Nvidia’s stock and promises a multi-billion-dollar revenue boost, reinforcing its dominance in the global AI semiconductor market.

Overcoming Regulatory Hurdles

The H20 GPU, engineered to comply with U.S. export controls, was Nvidia’s answer to restrictions limiting China’s access to advanced AI technologies. However, tightened regulations in April halted H20 sales, leading to a $5.5 billion inventory write-off and an estimated $15 billion in lost sales.

Chinese tech giants that rely on H20 chips for AI applications such as cloud computing and smart logistics felt the impact. Nvidia’s fiscal 2026 first-quarter results bore the brunt, with second-quarter revenue projections slashed, mostly from an $8 billion hit from lost China sales.

The reversal in export restrictions that allows Nvidia to restart H20 shipments, with licenses expected soon, marks a critical turning point, enabling Nvidia to reclaim a significant share of China’s lucrative AI market.

A Financial Windfall

The financial implications are staggering. Analysts estimate that resuming H20 sales could recover $4.5 billion to $5.5 billion in lost revenue this year, with potential for billions more in 2026. Nvidia’s stock is up 4.5% in premarket trading today, hitting $171 per share and reflecting investor optimism about the company’s renewed access to China.

It is creating a tailwind in the broader AI semiconductor sector with Advanced Micro Devices (NASDAQ:AMD), Broadcom (NASDAQ:AVGO), and Marvell Technology (NASDAQ:MRVL) stock all gaining premarket.

Market indices are also in the green this morning, indicating wider enthusiasm for the development, despite President Trump indicating new, higher tariffs on the European Union and Mexico that will go into effect on Aug. 1.

Vey-Sern Ling of Union Bancaire Privee told Bloomberg, “Nvidia’s H20 sales resumption is a massive win, not just for its bottom line but for the entire AI supply chain and Chinese tech platforms.”

Dual Strategic Pathway

Nvidia also introduced the RTX PRO GPU, a new U.S.-compliant chip tailored for China’s industrial AI needs, such as digital twin applications. Although the chipmaker didn’t detail specs of the new GPU, this processor — built on the Blackwell architecture — complements the H20, offering a less powerful but versatile alternative that CEO Jensen Huang said “is ideal for digital twin AI for smart factories and logistics.”

The dual strategy of H20 and RTX PRO chips positions Nvidia to capture diverse market segments, potentially adding billions to its revenue stream. Early estimates suggest Chinese firms are placing substantial orders, signaling robust demand for Nvidia’s AI solutions.

Balancing Opportunity and Scrutiny

Yet the decision has sparked debate among U.S. lawmakers, with some raising national security concerns about China accessing H20 chips, even if less advanced than Nvidia’s Blackwell processors. Critics argue these chips could enhance China’s AI capabilities, posing strategic risks.

Yet Nvidia’s introduction of the RTX PRO and its adherence to regulatory requirements reflect a careful balancing act to mitigate these concerns while capitalizing on market opportunities.

The chipmaker’s ability to navigate this complex landscape underscores its strategic foresight and growing diplomatic prowess.

A Financial Catalyst for Nvidia’s Future

The resumption of H20 sales is a financial game-changer for Nvidia, reinforcing its position as the world’s leading AI chipmaker. With deliveries of H20 and RTX PRO GPUs set to begin soon, Nvidia is poised to recover lost ground and drive significant growth.

The financial boost could propel the company closer to a $5 trillion valuation sooner than previously thought after just crossing the $4 trillion threshold. It also cements its role as the foundational stock of the AI revolution.

As Chinese tech giants ramp up orders, Nvidia’s renewed access to this critical market sets the stage for a transformative chapter in its global dominance. The far-reaching implications for the AI ecosystem indicate NVDA remains a must-own stock in your portfolio.

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