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NEWS
AI Names Need A New Catalyst

Source: Tenor.com

U.S. stocks had a volatile day amid Trump’s tariff talks and mixed earnings results, with investors anxiously awaiting Nvidia’s results. Those hoping for a major move were disappointed, with a third straight earnings beat failing to spark momentum. With that finished, the next catalyst will likely be Friday’s inflation print. 👀 

Today’s issue covers Nvidia’s lackluster post-earnings move, Applovin’s 50% weekly decline, Trump’s latest tariff moves, and more from the day. 📰

Here’s the S&P 500 heatmap. 3 of 11 sectors closed green, with technology (+1.09%) leading and consumer staples (-1.91%) lagging.

Source: Finviz.com

And here are the closing prices: 

EARNINGS
Nvidia Scores Again, But Crowd Unimpressed 😐️ 

The chipmaker leading the artificial intelligence (AI) revolution delivered another earnings and revenue beat paired with strong guidance, but for the third straight quarter, the bulls could not get any momentum going. 

Earnings per share of $0.89 on revenues of $39.33 billion topped the $0.84 and $38.05 billion expected. First-quarter revenue guidance of $43 billion (+_2%) implies YoY growth of 65%, topping estimates. 📊 

Management expects “a significant ramp” of Blackwell sales during the first quarter, though newer data center products that are more complicated and expensive has put some pressure on gross margins.

Ultimately Nvidia’s growth is slowing due to its size, but investors are focused mostly on how quickly the company can ship Blackwell chips this year. Management seems optimistic about these chips’ prospects. “Blackwell sales were led by large cloud service provider which represented 50% of our Data Center revenue.” 👍️ 

As for DeepSeek AI and the risks of more efficient models reducing the need for chips, CFO Colette Kress said, “Long-thinking, reasoning AI can require 100 times more compute per task compared to one shot inferences…” Additionally, management is optimistic about automotive and robotics being significant growth categories. 🤖 

The company has a $0.01, which had some investors questioning why it’s returning cash to shareholders rather than investing in growth, especially since it bought back $33.7 billion in shares during fiscal 2025.

With shares essentially flat after the bell and sitting at the same level as last June, the majority of the Stocktwits community remains optimistic. Roughly 77% of 8,200+ poll respondents are either adding shares or staying long after earnings. 🐂 

Source: Stocktwits

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Soon, Pacaso will become a globally known brand – which means the current $2.70/share price won’t last long. Lock in your stake before tomorrow, 2/27.*

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COMPANY NEWS
AppLovin Hit By Short Seller Reports 😨 

The mobile advertising company has fallen sharply over the last few weeks. That pain continued today after short sellers Fuzzy Panda Research and Culper Research questioned the validity of the company’s strong fourth-quarter results.

In the report, they allege that AppLovin is “pulling every trick in the book,” including replicating Meta Platforms’ ad targeting strategy and creating ads that violate the terms of Google and Apple’s app stores. 😵‍💫 

Shares are down 50% over the last week as growth stocks take a beating in the latest market selloff. The stock was up more than 700% in 2024 and was a top performer in the sector, benefiting from the AI and online advertising industry tailwinds.

The Stocktwits community remains ‘extremely bullish’ on the stock despite the report, though an ongoing poll suggests at least 40% of the 1,200+ respondents see these reports as having a “significant and lasting impact.” Time will tell. 😬 

Source: Stocktwits

STOCKS
Other Noteworthy Pops & Drops 📋️ 

NRG Energy ($NRG +12%): The power company’s earnings more than doubled expectations, with it also announcing a major project with GE Vernova Inc. and Kiewit Corp. to build four natural gas plants exceeding five gigawatts in capacity.

EMCOR Group ($EME +9%): The industrial company posted upbeat fourth-quarter earnings and a strong outlook for 2025.

Sempra Energy ($SRE +3%): Goldman and UBS both downgraded the utility following weak fourth-quarter earnings and 2025 guidance.

STMicroelectronics NV ($STM -16%): Bloomberg reported that the Italian government seeks to replace CEO Jean-Mar Chery due to what officials describe as “insufficient” performance amid mounting industry challenges.

Golden Ocean Group ($GOGL +4%): The dry bulk shipping company’s fourth-quarter earnings topped estimates despite revenue falling 17% YoY.

American Airlines ($AAL +1%): Redburn Atlantic upgraded the stock from ‘Neutral’ to ‘Buy’ and raised its price target from $18 to $24, citing a “Goldilocks period” for the U.S. airline industry.

Janus International ($JBI +13%): The access control technologies and building product solutions provider reported stronger-than-expected fourth-quarter results despite difficult market conditions in 2024.

POLICY
Trump Tariffs Lift Domestic Miners ⛏️ 

Domestic metals and mining stocks caught a bid today on reports that President Donald Trump directed his administration to consider tariffs on copper.

White House trade adviser Peter Navarro portrayed the move as an effort to stop China’s build out of its copper sector and to address a broader national security vulnerability. With America running a trade surplus with copper, this is an area of significant focus for the administration. 🚢 

In addition, Trump separately removed exemptions from his 2018 tariffs on steel and aluminum, helping to bolster U.S.-based stocks in the industry.

As for Europe, Trump is planning to hit goods made in the European Union with tariffs of 25%, claiming the bloc was created to “screw the United States.” He said it will be announced very soon and will target cars and “all other things.” 🌍️ 

European automotive stocks like Stellantis fell on the news, and both industries will remain in the spotlight until more clarity is provided. 🧐 

PRESENTED BY STOCKTWITS
CMT Lunch Hour: Brian Shannon (@alphatrends) 🧑‍🏫 

Pro trader and Stocktwits user Brian Shannon is back to discuss current market trends, individual stock requests from the Stocktwits community, overall market sentiment, and emerging trends in the stock and crypto markets.

WHAT’S ON DECK
Tomorrow’s Top Things 📋

Economic data: Durable Goods Orders (8:30 am ET), GDP Growth Rate (8:30 am ET), Initial/Continuing Jobless Claims (8:30 am ET), Fed Barr Speech (10:00 am ET), Pending Home Sales (10:00 am ET), Fed Bowman Speech (11:45 am ET), Fed Hammack Speech (1:15 pm ET), Fed Harker Speech (3:15 pm ET), Fed Goolsbee Speech (10:15 pm ET). 📊

Pre-Market Earnings: Novavax ($NVAX), Cronos Group ($CRON), Norwegian Cruise Line ($NCLH), PENN Entertainment ($PENN), Altimmune ($ALT), Vistra ($VST). 🛏️

After-Hour Earnings: Clover Health (CLOV), Rocket Companies ($RKT), Globalstar ($GSAT), SoundHound AI ($SOUN), Rocket Lab USA ($RKLB), Opendoor Technologies ($OPEN), Sunrun ($RUN), Dell Technologies ($DELL), Bloom Energy ($BE). 🎧

P.S. You can listen to all of these earnings calls and more straight from the Stocktwits app or website. You’ll find them on the calendar page and individual symbol pages once they’re set to begin! We’ll see you there. 👍

Links That Don’t Suck 🌐

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🤑 GM raises quarterly dividend, initiates $6 billion stock buyback

💊 What Eli Lilly’s $27B investment in US manufacturing means for GLP-1s

🥚 Egg prices could jump 41% this year, USDA says, as Trump’s bird flu plan is unveiled

◀️ Oil major BP to slash renewable spending and double down on fossil fuels in strategy reset

📰 Washington Post owner Jeff Bezos says opinion pages will defend free market and ‘personal liberties’

*3rd Party Ad. Not an offer or recommendation by Stocktwits. See disclosure here.

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