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SasanSeifi|Can We Expect $80 or More?Hey there, ✌ NYSE:RDDT In the daily time frame, it can be observed that we have experienced an upward trend from the $50 mark, with the price currently moving within an ascending channel. At present, the price is situated at the midline of this channel. The outlook remains predominantly bullish, and it is expected that after a brief consolidation, the price could rise to the previous peak of $78. Furthermore, if the price breaks above the previous all-time high (ATH), we may witness further gains towards the targets of $80, $85, and even $90. To better understand the continuation of this upward trend, it will be crucial to observe how the price reacts to these anticipated levels. The potential trend is also illustrated in the accompanying chart. Key support levels for this bullish scenario are found between $65 and $60. If these supports are lost and the price stabilizes below them, the bullish analysis will lose its credibility. 💢 This is just my personal analysis, not financial advice. If you found this helpful, feel free to like and comment – I'd love to hear your thoughts! Happy trading! ✌😊
NYSE:RDDTLong
by SasanSeifi
AMD: New bullish wave to $197 has started.Advanced Micro Devices have entered a healthy bullish 1D technical outlook (RSI = 59.730, MACD = 0.360, ADX = 17.320) as the price crossed over the 1D MA200 today, with the 1D RSI above its MA since yesterday. Technically, it has started the 3rd bullish wave of the 3 month Channel Up. The two waves before this have risen by at least +31%, and that is our next target (TP = 197.00) for the next 2 months. ## If you like our free content follow our profile to get more daily ideas. ## ## Comments and likes are greatly appreciated. ##
NASDAQ:AMDLong
by InvestingScope
10
Uranium Energy Corporation (UEC) AnalysisCompany Overview: Uranium Energy Corporation AMEX:UEC is strategically positioned for growth with the restart of its in-situ recovery (ISR) uranium production at the Christensen Ranch project. This project commenced sending resin to the Irigaray Central Processing Plant in August 2024, marking a significant step in UEC’s operational ramp-up. Key Catalysts: Global Nuclear Energy Demand: The increasing demand for nuclear energy, propelled by partnerships with major technology firms like Google and Amazon, bolsters UEC’s market position. These collaborations highlight the role of nuclear energy in achieving sustainability and energy security amid growing global energy needs. Strategic Focus on North America: UEC's emphasis on North American uranium production aligns with recent U.S. and EU bans on Russian uranium, ensuring a reliable domestic supply. This local production capability enhances UEC's competitive advantage in the face of geopolitical challenges affecting the uranium market. Unhedged Strategy: UEC’s unhedged approach allows investors to benefit directly from rising uranium prices, which are currently hovering around $80/lb. This strategy positions UEC favorably to capitalize on the anticipated increase in uranium demand and prices in the coming years. Investment Outlook: Bullish Outlook: We are bullish on UEC above the $6.50-$7.00 range, as the resumption of production and the company’s strategic initiatives pave the way for significant growth opportunities. Upside Potential: Our target for UEC is set at $14.00-$15.00, driven by strong market fundamentals, the growing demand for nuclear energy, and UEC's proactive approach to domestic production. 🚀 UEC—Capitalizing on the Future of Clean Energy. #NuclearEnergy #UraniumMarket #CleanEnergyGrowth
AMEX:UECLong
by Richtv_official
NVIDIA at a Crossroads: Breakout to $150+ or a Dip to $138 Morning, trading family! Hope you’re all doing well. Let’s chat about NVDA—things are shaping up, and it feels like we’re at a bit of a crossroads. I’ve got a few scenarios in mind, so let’s walk through them together. Scenario 1: If we can break above this trendline, NVDA could gather some steam and make a nice run into the 150s. That would be a pretty strong move, and if momentum holds, we could keep cruising higher from there. Scenario 2: There’s also the chance we dip down into the 139-138 zone first. If buyers show up here, it might just be a little reset—kind of like taking a breath before pushing higher again. Scenario 3: If the market decides to break below 138, we could see a deeper pullback toward 136. It might feel like a bigger drop, but that could be the market giving us a better entry point before it starts building back up. The key here is not to get ahead of things—just let the market show us its hand. It’s all about staying patient and prepared. What do you guys think? Do we break up, or do we get a dip first? I’d love to hear your thoughts—drop a comment below and let’s talk it through. Mindbloome Trading/ Kris Trade What You See
NASDAQ:NVDA
by Mindbloome-Trading
SAP’s Cloud & AI MomentumSAP’s Cloud and AI Momentum: Why This Tech Giant Remains a Top Buy in 2024 SAP is a Germany based company specializing in enterprise application software It operates through three key segments: 1.Applications, Technology & Services: This segment focuses on selling software licenses, subscriptions to SAP’s cloud applications, and related services. It encompasses support services, various professional services, implementation services for SAP’s software products, and educational services to help customers effectively use SAP solutions 2.SAP Business Network:This segment includes SAP’s cloud-based collaborative business networks and related services. It covers cloud applications and professional and educational services related to the SAP Business Network. This segment also encompasses cloud offerings developed by SAP Ariba, SAP Fieldglass, and Concur, which facilitate supplier collaboration, workforce management, and expense management. 3.Customer Experience:This segment offers both on-premise and cloud-based products designed to manage front-office functions, focusing on customer experience management. It provides solutions that help businesses enhance and streamline interactions with customers. These segments enable SAP to offer a wide range of solutions, addressing enterprise needs from back-office functions to collaborative networks and customer-facing operations. SAP remains a top pick, with clear growth momentum that could accelerate further and potential for margin improvements. My buy rating remains unchanged. SAP reported its Q3 2024 earnings, showing a 10% year-over-year revenue increase in constant currency (CC) to €8.5 billion, maintaining the same growth momentum as Q2 2024. The highlight is the cloud segment’s revenue growth, reaching €4.35 billion, with a y/y CC growth rate accelerating from 25% in Q2 2024 to 27% in Q3 2024. This aligns well with my expectations, as the current cloud backlog (CCB) grew by 29% y/y CC, improving 100 basis points from Q2 2024. By product category, the Cloud ERP Suite showed 36% y/y CC growth, a 300bps sequential improvement. License revenue, though still declining, saw a slower drop from -27% in Q2 to -14% in Q3, and maintenance revenue declines also eased from -3% to -2%. This solid revenue performance contributed to a strong profit outcome, with adjusted EBIT beating estimates by approximately 9% at €2.24 billion, and a major free cash flow (FCF) beat of €1.25 billion, far surpassing the consensus of -€676 million. Given this strong performance, it wasn’t surprising that management raised guidance, which is certainly encouraging. They now forecast adjusted EBIT in the range of €7.8 to €8 billion, a €150 million increase at the midpoint, implying y/y growth of 20% to 23% CC, up from the previous 17% to 21%. Cloud and software revenue guidance also increased by €400 million at the midpoint, with a new range of €29.5 to €29.8 billion, reflecting 10% to 11% y/y CC growth versus the previous 8% to 10%. Additionally, adjusted FCF is now projected between €3.5 to €4 billion, compared to the prior €3.5 billion. I am confident that SAP can meet these targets for several reasons. First, the S/4HANA migration remains strong, as indicated by 29% y/y CC CCB growth and 36% y/y CC growth in the Cloud ERP Suite, which accounts for approximately 84% of total cloud revenue. Second, nearly one-third of deals signed in the quarter involved AI, highlighting increased demand for embedded AI solutions. This reinforces my previous view that AI adoption is driving SAP’s cloud migration efforts, as customers must utilize the cloud to fully leverage these AI capabilities. Notably, SAP is moving to the “expand” phase of its strategy by adding generative AI (GenAI) capabilities. With SAP introducing more AI features, the company is well-positioned to continue capitalizing on this growth driver. For example, its AI-based assistant, Joule, now offers collaborative agent capabilities, allowing it to manage multiple AI agents for complex tasks—resulting in significant productivity gains. Additionally, the Knowledge Graph, a part of SAP’s GenAI suite, connects language and data to help users navigate SAP systems more efficiently. SAP has over 100 GenAI use cases and has added more than 500 skills to Joule so far, suggesting substantial growth potential. AI adoption remains robust, as evidenced by AI’s central role in SAP’s sales strategy. Around 20% of deals now include premium AI features, and all ERP and LoB deals involve discussions around AI, signaling that AI is a key growth driver for SAP, especially considering that AI integration was minimal a few years ago. I reaffirm my model assumptions and see continued attractive upside potential, even after SAP’s strong year-to-date share price rally. SAP is increasingly likely to achieve 10% growth for FY24, with further acceleration expected in FY25/26, driven by strong cloud migration and rising AI demand. Management’s upward revision of FY24 adjusted EBIT indicates that earnings margins will improve. Year-to-date, the adjusted earnings margin stands at around 21.1%, making my full-year target of 21.5% feasible. As growth accelerates and SAP completes its restructuring (which impacts 9,000 to 10,000 positions as announced in January 2024), margins should rise to the mid-20% range. I’ve added 300 basis points based on trends from FY22 to FY24. Additionally, with no visible slowdown in growth momentum, I expect the market to continue valuing SAP at a premium, at 36x forward PE compared to the three-year average of 23x. The macroeconomic environment poses risks, especially if supply chain challenges persist or interest rates rise. Political uncertainties, such as the upcoming U.S. election, could lead to reduced business investment, impacting corporate IT budgets and SAP’s sales. Additionally, if SAP’s S/4HANA and cloud products underperform, or if there are delays in product development or launches, investor expectations may be disappointed, particularly regarding S/4HANA. To conclude, I maintain my buy rating on SAP. The company’s strong Q3 2024 performance and revised guidance have reinforced my positive view. The accelerating growth in cloud revenue, driven by solid S/4 HANA migration and increased AI adoption, is highly encouraging. While macro risks remain, SAP’s robust fundamentals and favorable growth outlook support a buy rating.
NYSE:SAPLong
by moonypto
Tesla’s Autonomous AmbitionsMusk’s Vision vs. Reality: Tesla’s Path to Revolutionizing Transportation Tesla recently experienced its best trading day since 2013, with the stock soaring 23% following the release of its Q3 earnings report. While the financial results were solid, investors are largely drawn to Elon Musk’s ambitious vision for autonomy a vision that presents significant challenges but holds substantial potential Tesla’s rebound in deliveries, higher profit margins, and an unexpected forecast projecting 20% to 30% sales growth for next year reinvigorated investor confidence after a somewhat muted response to the October 10th 'We, Robot' event The event showcased new products like the highly anticipated Cybercab (robotaxi) and Optimus (a humanoid robot) Despite the excitement, the presentation lacked detailed information, causing Tesla’s stock to decline by nearly 10% the following day Despite being over 20 years old, the investment appeal of Tesla is still driven more by its future potential than its current state. Musk envisions mass-producing autonomous vehicles and robots, aspiring to make Tesla the largest company globally. Traditional valuation models based on recent performance can’t fully capture this long term vision Tesla’s journey can’t be understood in isolation Just three days after the 'We, Robot' event, SpaceX successfully launched its Starship spacecraft for the fifth time. The SpaceX “chopsticks” system successfully caught the Super Heavy booster after liftoff a crucial step toward making the booster completely reusable. This breakthrough could transform space travel by significantly reducing turnaround times and reshaping cost structures. Elon Musk, at the helm of both Tesla and SpaceX, has a talent for transforming bold ideas into reality. SpaceX’s success in making rockets reusable has drastically reduced the cost of space travel, demonstrating that affordability can drive broader adoption. This strategy mirrors Tesla’s vision for autonomous vehicles: by creating self-driving cars like the Cybercab, Tesla aims to reshape transportation with similar cost-efficiency principles. However, as with any disruptive technology, the range of possible outcomes is vast. A balanced perspective considers Musk’s track record while acknowledging that his timelines can often be highly optimistic. In 2021, Benedict Evans described Musk as “a bullshitter who delivers.” Whether Tesla’s vision for full autonomy will come to fruition remains uncertain, and fully autonomous fleets could still be years away. Nonetheless, Musk’s accomplishments with SpaceX add weight to Tesla’s ambitions, granting him credibility in the eyes of many. The question remains: Will Musk’s ambitious autonomy vision fully take shape? Today’s highlights: - Tesla Q3 FY24 Results - Key takeaways from the 'We, Robot' event - Notable quotes from the earnings call - Insights on Waymo, Uber, and the future of ridesharing Tesla Q3 FY24 Overview Tesla’s revenue is primarily generated from three segments 1. Automotive (80% of revenue): This includes the sale of electric vehicles, such as models S, 3, X, Y, and the Cybertruck. 2. Services and Other (11% of revenue): This segment encompasses vehicle services, the Supercharger network, and sales of automotive parts and accessories. 3.Energy Generation and Storage (9% of revenue): Revenue from solar products and energy storage solutions like the Solar Roof and Powerwall. Key Metrics for Q3 FY24: -Production: 470,000 vehicles produced (+9% YoY, +14% QoQ). -Deliveries: 463,000 vehicles delivered (+6% YoY, +4% QoQ), which was slightly below analysts’ expectations of 464,000 and fell short of the Q4 2023 record of 484,000 deliveries. Despite price cuts over the last two years, Tesla’s auto sales growth has leveled off. Financial Highlights: -Revenue: $25.2 billion, an 8% YoY increase but fell short of expectations by $0.5 billion. -Gross Margin: 20% (+2 percentage points QoQ and YoY). -Operating Margin: 11% (+5 percentage points QoQ, +3 percentage points YoY). -Adjusted EPS: $0.72, beating estimates by $0.12. Gross Margin Insights: -Automotive Gross Margin: 17% (excluding regulatory credits), up from 15% in Q2 and 16% a year earlier. The cost per vehicle dropped to an all-time low of $35,100. Notably, the Cybertruck achieved a positive gross margin for the first time. The automotive segment included $326 million in software revenue. -Services and Other Gross Margin: Reached 9%, marking the 10th consecutive quarter of positive margins and a new record high. -Energy Generation and Storage Gross Margin: The highest margin segment at 31%, also hitting a record high. Overall, while Tesla faced some delivery shortfalls and plateauing auto sales, it managed to improve profitability across its segments, with key milestones in cost reductions and positive trends in gross margins. Tesla’s Margins and Cash Flow Performance Tesla’s industry-leading margins are driven by three major advantages: 1.Economies of Scale: Achieved through its expansive gigafactories. 2.Direct-to-Consumer Sales**: Tesla sells directly online and through its showrooms, bypassing traditional dealership networks. 3.Low Marketing Costs: Tesla spends very little on advertising compared to traditional automakers. While Tesla expects its margins to expand over time due to growth in its non-automotive segments and software sales, its automotive margins have been pressured by price cuts in the last two years to sustain demand. Cash Flow Highlights: -Operating Cash Flow**: Increased by 89%, reaching $6.3 billion -Free Cash Flow**: Jumped by 223%, hitting $2.7 billion These cash flow figures stood out in the quarterly report, demonstrating Tesla’s ability to fund its ambitious plans for autonomy despite heavy investments in AI. Guidance 1.FY24 Improvement: Tesla now expects slight growth in vehicle deliveries for FY24 (previous guidance indicated “notably lower” growth), implying a record-setting Q4 to make up for a weaker first half. Energy storage deployment is projected to more than double. 2.FY25 Outlook Surprise: During the earnings call, Musk forecasted 20% to 30% delivery growth in FY25, surpassing market expectations. A new, more affordable model is anticipated to launch in the first half of FY25, potentially easing investor concerns about competition. 3.New Product Strategy: The upcoming affordable vehicles in 2025 will be based on Tesla’s existing platform, indicating less dramatic cost reductions than previously suggested. However, the Robotaxi will bring a fresh manufacturing strategy. Key Takeaways 1.Volumes Rebounded: After a 7% decline in deliveries during the first half of 2024, volumes recovered in Q3. Prices have stabilized, and Tesla’s focus on reducing unit costs contributed to improved automotive gross margins. Management’s priorities remain on unit volume and maintaining low inventory levels. 2.More than Just EVs: Non-automotive segments, such as Energy and Services, accounted for 20% of Tesla’s revenue this quarter, up from 16% a year ago. Likewise, these segments contributed about 20% of Tesla’s gross margin, nearly double from the previous year. As these segments grow, their impact on Tesla’s profitability will become increasingly significant. 3.Operating Margin Gains: Improved by 3 percentage points year-over-year: -Negative Impact: Price cuts, mainly due to financing incentives. -Positive Impact**: Lower costs per vehicle, growth in non-auto segments, FSD revenue, increased deliveries, and higher regulatory credit revenue. 4.Free Cash Flow Surge: Doubled sequentially to $2.7 billion. Capital expenditures increased by 43% to $3.5 billion, largely driven by investments in AI infrastructure. Tesla plans to spend over $10 billion on AI this year. 5.Strong Balance Sheet: Tesla maintains a net cash position of nearly $30 billion, which management believes provides ample liquidity to support its product roadmap and sustain positive cash flow margins. We, Robot’ Event Takeaways Key insights from the recent announcements include: - Cybercab (Robotaxi): Tesla introduced the much-awaited Cybercab, a sleek two-seater, but key technical details—such as sensor configurations and processing capabilities—were notably absent. Musk’s decision to forgo lidar technology, a feature commonly used by competitors like Waymo, could potentially raise regulatory concerns about safety and compliance. 1.Optimus (Humanoid Robot): While the Optimus robots were a hit at the event, performing tasks like serving drinks and dancing, this entertaining display overshadowed the reality of how far the technology is from practical use. Reports indicated that the robots were primarily operated by humans, raising questions about their actual autonomous capabilities and readiness for industrial applications. 2.Robovan: A surprise announcement was the debut of the Robovan, a versatile vehicle intended for both mass transit and cargo transport. Its stylish Art Deco-inspired design drew attention, but like the Cybercab, it lacked concrete details or technical insights to convince analysts that the product is close to entering production. The presentation didn’t provide enough information to quell investor skepticism about its feasibility. 3. Full Self-Driving (FSD) Progress: Elon Musk projected that Tesla’s FSD technology would achieve full autonomy by 2026, with the Cybercab and current models (like the Model 3 and Model Y) spearheading this effort in Texas and California. However, Musk’s history of ambitious FSD promises has been met with ongoing skepticism, and this presentation did little to change that. No new safety data or significant updates were provided to address reliability concerns, leaving regulatory and safety issues unresolved. Tesla still faces significant challenges in proving its FSD capabilities are ready for public use without human oversight and in obtaining regulatory approval at both federal and state levels. 4.Market Reaction: Analysts expressed mixed feelings about the event. While some found the futuristic concepts inspiring, others noted the lack of substantial progress and the vague nature of Musk’s promises. This left investors questioning how close Tesla truly is to achieving its autonomy and robotics goals. For many, the event leaned more towards spectacle than solid evidence of progress. Shareholder Deck Updates 1.Supercharger Network: Tesla’s Supercharger Network received widespread industry support, with most automakers now adopting Tesla’s North American Charging Standard (NACS). This acceptance is likely to boost Tesla’s Services segment and improve its margins in the long term. The number of Supercharger stations increased by 20% year-over-year to 6,706. Tesla also rehired some of the nearly 500 Supercharger team members who had been laid off earlier in the year, indicating renewed focus on this segment. 2.Market Share: Tesla’s market share remained steady in North America and Europe on a sequential basis, but saw a noticeable improvement in China, signaling stronger competitiveness in the region. These details paint a picture of a company with promising ambitions but facing significant challenges in bringing its bold visions to reality. Investors will be watching closely for concrete progress and clearer timelines moving forward. Key Updates from the Earnings Call Full Self-Driving (FSD) Progress - Tesla has surpassed 2 billion miles driven using its FSD (supervised) technology, which forms a core part of the company’s data advantage. This milestone underpins Tesla’s long-term autonomy thesis. Additionally, Tesla launched **FSD version 12.5** and introduced the Actually Smart Summon feature, enabling vehicles to autonomously drive to their owners in parking lots. AI Training Capacity - Musk shared that Tesla expects to have **nearly 90,000 H100 clusters dedicated to AI training** by the end of the year, enhancing the company’s machine learning capabilities. Energy Storage Deployments - Tesla deployed **6.9 GWh of energy storage** in Q3, although this fell short of the record 9.4 GWh achieved in Q2. The 40 GWh Megafactory in Lathrop is ramping up production, reaching 200 Megapacks in a single week. The **Shanghai Megafactory** is set to start shipping Megapacks in Q1 2025 with a run rate of 20 GWh. Tesla noted that energy deployments are inherently lumpy due to factors such as customer readiness and geographic order locations. Key Quotes from the Earnings Call Elon on the Cybercab: - “I do feel confident of Cybercab reaching volume production in ‘26. We’re aiming for at least 2 million units a year, maybe 4 million ultimately.” Musk envisions the Cybercab becoming a global, high-volume autonomous vehicle service. However, achieving this scale requires overcoming two major challenges: delivering level 5 autonomy at a competitive cost and navigating regulatory approval across regions with varying laws, road conditions, and weather considerations. - Musk also dismissed the notion of a regular low-cost model, stating, “I think having a regular $ 25,000 model* is pointless.” He emphasized focusing on the Cybercab as a generational leap forward. Musk on FSD: - “Our internal estimate is **Q2 of next year** to be safer than human and then to continue with rapid improvements thereafter.” He expressed confidence that full autonomy could be achieved in 2025 with existing vehicle models, although regulatory hurdles and safety standards remain significant barriers. On Tesla’s Ridesharing App - Tesla is already testing a *ridesharing capability* in the Bay Area for employees, with safety drivers currently in place. Musk anticipates launching the service for the public in California and Texas next year, pending regulatory approval. He added, “**I’d be shocked if we don’t get approval next year**,” but acknowledged that regulatory timelines are out of Tesla’s control. Musk on Optimus: - “We’re the only company that really has all of the ingredients necessary to scale humanoid robots.” He believes that the *Optimus robot* could become the “most valuable product ever made,” owing to Tesla’s combined AI and manufacturing advantages. However, the product remains at an early development stage and will likely take years to fully commercialize. On Tesla’s Valuation: - Musk reiterated his bold prediction: “Tesla will become the most valuable company in the world and probably by a long shot” He argued that Tesla’s strategic focus on future advancements in energy, transport, robotics, and AI sets it apart from competitors who are only targeting short-term trends. Waymo, Uber, and Rideshare Future There are two distinct paths to achieving full autonomy 1.Waymo’s Approach: Waymo focuses on highly structured, geo-fenced environments with extensive pre-mapping and sensor-based systems like lidar to ensure safety. 2.Tesla’s Approach: Tesla aims to develop a generalized self-driving system that works with computer vision and AI, relying on its fleet’s extensive data advantage and scaling software improvements. However, Tesla’s reluctance to use lidar technology and regulatory challenges could hinder its timeline for achieving level 5 autonomy. These differing strategies highlight the varied paths to delivering a future of autonomous transportation, with each approach facing unique technical and regulatory hurdles. Levels of Autonomy - Tesla's FSD (Supervised): Tesla’s Full Self-Driving system remains at **Level 2**, meaning it still requires driver supervision to operate. In contrast, **Waymo** operates at **Level 4** in certain cities, where its vehicles can drive without human intervention, albeit under specific conditions. -Jumping Levels: Musk’s vision for the Cybercab aims to skip from Level 2 to **Level 5 autonomy**, which implies no need for human input at all—a huge leap. Technology Approach -Tesla’s Strategy: Tesla relies on a **camera and AI-only approach**, focusing on software and data scalability rather than expensive hardware. Musk’s bet is that advanced software can eventually solve all driving scenarios. - Waymo’s Strategy: Waymo uses a **hardware-intensive model** with a combination of LiDAR, radar, and cameras**, providing highly precise navigation. However, the reliance on multiple sensors leads to higher production costs per vehicle, around **$200,000** each. Scaling Challenges -Waymo’s Limitation: The high cost of Waymo's vehicles has hindered its ability to scale quickly, while Tesla plans to leverage its extensive fleet data to improve its autonomous systems over time. -Tesla’s Repeated Delays: Despite its aspirations, Tesla’s full autonomy timeline has faced numerous delays. Scaling quickly while achieving robust and safe autonomy remains a significant challenge for the company. Safety and Regulation -Waymo’s Approach: Waymo has built trust with regulators by deploying vehicles cautiously in select cities and prioritizing safety, but its operations remain limited geographically. -Tesla’s Regulatory Hurdles: The Cybercab’s design lacks traditional controls like steering wheels and pedals, raising concerns about regulatory approval. These changes could face substantial scrutiny, particularly if safety standards require features Tesla’s design omits. Tesla and Uber: Competitors or Partners? -Potential Partnership: Uber CEO Dara Khosrowshahi found the Cybercab vision "pretty compelling" and didn’t dismiss the possibility of a collaboration. Uber already partners with Waymo to offer autonomous rides in cities like **Phoenix, Atlanta, and Austin**. Khosrowshahi’s openness to partnership means there’s potential for Tesla's Cybercab fleet owners to list their vehicles on Uber to boost earnings. -Hybrid Model: By leveraging Uber’s vast network, Tesla could quickly gain scale in local markets, especially given Uber’s capability to serve diverse customer needs. This could lead to a hybrid model where Tesla’s autonomous vehicles are available on Uber alongside other options. Regulatory Challenges: An Obstacle to Elon’s Vision ? -Waymo’s Critique: Former Waymo CEO John Krafcik criticized the Cybercab, highlighting its impracticality for a large-scale robotaxi business. Waymo’s approach focuses on accessibility and safety with taller vehicles and high-mounted sensors, whereas Tesla’s design was light on crucial technical details. -Possible Lidar Mandate: Krafcik also noted that if regulators eventually require LiDAR technology for safety compliance, Tesla’s camera-only approach could face a significant setback. Regulatory decisions are beyond Tesla’s control and could fundamentally reshape its autonomy strategy. -Musk’s Political Maneuvering: Musk’s political activities and controversies could complicate Tesla’s regulatory relations. Building strong connections with regulators is critical, given their power to greenlight or halt the Cybercab’s deployment. Final Thoughts The coming years will be pivotal for Tesla as it strives to overcome both techno logical and regulatory challenges. The success of Tesla’s autonomy plans hinges not just on its technological progress but also on its ability to navigate complex and varied regulatory frameworks worldwide. Whether Musk’s bold vision for full autonomy becomes a realityor remains a distant dream will depend on a combination of innovative breakthroughs and the company’s capacity to gain and maintain regulatory approval. Are you Moonish on Tesla or not?
NASDAQ:TSLALong
by moonypto
Genus Power Infra: Bullish Breakout – Buy now for higher targets🔍 Technical Analysis: NSE:GENUSPOWER (NSE: GENUSPOWER) 1️⃣ Overview: 📈 Current Market Price (CMP): ₹430.15 (+2.26%) 🗓️ Date & Time: As of 15:25 (UTC+5:30) 🕹️ Chart Analysis: Daily (1D) 2️⃣ Technical Indicators Overview: 📊 Moving Averages: 🟢 50-Day EMA: ₹399.89, currently acting as a support zone. 🔵 200-Day EMA: ₹332.71, indicating the longer-term trend remains positive. 📦 Volume Profile: Strong demand visible between ₹360-₹380, suggesting robust buying interest at lower levels. 📈 MACD: Bullish crossover with the MACD line above the signal line, implying momentum is still positive. MACD Line: 3.76 Signal Line: 1.04 Histogram: 📈 Positive, indicating rising momentum. 📉 Williams %R (14): At -5.59, signaling overbought conditions, which might result in a short-term pullback. 💹 Stochastic RSI (14, 3): At 100, indicating strong bullish momentum, though caution is advised as overbought zones can precede minor corrections. 🟣 Parabolic SAR: Positioned below the price, supporting the ongoing uptrend. 3️⃣ Fibonacci Retracement Levels: The stock is retracing from the swing high of ₹451.55 to the swing low of ₹351.05. 📐 38.2% Retracement: ₹399.30 – Strong support. 📐 50% Retracement: ₹414.05 – Intermediate resistance. 📐 61.8% Retracement: ₹428.80 – Currently breached, signaling bullish strength. 📐 78.6% Retracement: ₹442.80 – Next resistance level to watch . 4️⃣ Rationale for Buy: 🚀 Breakout above 61.8% Fibonacci Level: The breach above ₹428.80 indicates a potential continuation of the upward move. 🔥 Bullish Momentum: MACD crossover, Stochastic RSI in overbought territory, and Parabolic SAR below the price all point to a continuation of the bullish trend. 📈 Volume Surge: Increased volume activity supports the bullish move, suggesting robust buying interest. 📦 Demand Zone: The significant demand between ₹360-₹380 acts as a strong base, providing a good risk-reward opportunity for entry. 5️⃣ Recommendation: 🔔 Action: Buy 🎯 Target 1: ₹442.80 (78.6% Fibonacci Level) 🎯 Target 2: ₹451.55 (Recent Swing High) 🛑 Stop Loss: ₹414.05 (50% Fibonacci Level) to protect against downside risk. 6️⃣ Risk Management: 📥 Entry Strategy: Consider entering near the current price or on minor pullbacks towards the 61.8% retracement level (₹428.80). ⚖️ Risk-to-Reward Ratio: The trade setup offers a favorable risk-to-reward ratio of at least 1:2 based on defined targets and stop-loss levels. ⚠️ Disclaimer: This analysis is based on technical indicators and market patterns and is intended for educational purposes. Market conditions may change, and this is not investment advice. Please conduct your own research or consult a financial advisor before making trading decisions. #GenusPower 🚀 #TechnicalAnalysis 📊 #StockMarket 📈 #FibonacciLevels 📐 #SwingTrading 💹 #MACD 🔵 #StochasticRSI 💠 #VolumeProfile 📦 #BuyRecommendation 🛒 #IndianStocks 🇮🇳 #NSE 📉 #FinogentSolutions 💼
NSE:GENUSPOWERLong
by finogent
DGKC potential Buy setupReasons for bullish bias: - Price gave a bullish closing above the weekly support level - Price bounced from fib golden pocket - Price gave downward trendline breakout - AB = CD pattern can be seen, if price give resistance (also TP1) breakout, then next target can be considered at point D(approx. 105) - Overall a bullish trend on daily - Bullish divergence Here are the recommended trading levels: Buy 1: 87.03 (CMP) Buy 2: 81.5 Stop Loss Level: 72.04 Take Profit Level 1: 96.5 Take Profit Level 2: Open Happy Trading
PSX:DGKCLong
by TradeWithParas
Zebra Technologies (ZBRA) AnalysisCompany Overview: Zebra Technologies NASDAQ:ZBRA is making significant strides in AI integration within its enterprise asset intelligence and data capture services. The company is positioning itself as a leader in AI-driven innovation, with broad applications across multiple sectors. CEO Bill Burns has emphasized the strong rebound in enterprise mobile computing, reflecting sustained demand for Zebra’s innovative solutions. Key Catalysts: AI Integration: The use of AI in enterprise solutions is key to Zebra’s growth strategy. By enhancing its asset intelligence and data capture services, Zebra is positioned to lead in industries such as logistics, retail, and healthcare. AI can drive operational efficiency and improve decision-making for its clients, increasing demand for its advanced technologies. Strong Enterprise Demand: The rebound in enterprise mobile computing across verticals signals long-term demand for Zebra's mobile and automation solutions, further solidifying its market leadership. Productivity and Cost Savings Plan: Zebra’s 2024 Productivity Plan and Voluntary Retirement Plan aim to achieve $120 million in annualized savings, which should lead to improved profitability. These cost-saving measures could enhance both gross margins and operational efficiency, providing additional capital for strategic investments in technology. Investment Outlook: Bullish Outlook: We are bullish on ZBRA above $340.00-$345.00, with the integration of AI in its services, coupled with cost-saving initiatives, positioning the company for sustained growth. Upside Potential: Our upside target is $500.00-$510.00, driven by increased AI adoption, strong demand in mobile computing, and the financial benefits from its productivity and cost-reduction efforts. 🚀 ZBRA—Leading the Future with AI and Enterprise Intelligence. #AIInnovation #MobileComputing #CostEfficiency
NASDAQ:ZBRALong
by Richtv_official
VISA: 2 year Channel Up seeks the next bullish wave.Visa is on a neutral 1D technical outlook (RSI = 53.426, MACD = 2.190, ADX = 43.132) and just above neutrality levels on 1W (RSI = 56.042) as despite being supported by the 1W MA50, it has been rejected twice on the R1 level. That would have been concerning on any other occasion but this time it's not as we consider this similar to the November 2022 R1 pullback, which after being contained by the 1W MA50, it reversed to the 1.382 Fibonacci extension. The 1W RSI trading above its MA for 2 months now, is also similar to October-November 2022. Consequently, we turn bullish again, aiming for the 1.382 Fib (TP = 305.00). See how our prior idea has worked out: ## If you like our free content follow our profile to get more daily ideas. ## ## Comments and likes are greatly appreciated. ##
NYSE:VLong
by InvestingScope
2
TATACOMM: Ascending Channel Breakdown & Critical Support LevelsPattern Identified: The stock is trading within an ascending channel (parallel trendlines) that has been in formation since early 2021. Recently, it appears to be approaching the l ower support of the channel , signaling potential risks of a breakdown if selling pressure continues. Key Technical Observations: Channel Breakdown Threat: The price has been trending within an upward-sloping channel. However, it recently fell sharply from the upper boundary of the channel and is now testing the lower boundary. A confirmed breakdown below the lower trendline could trigger a further downtrend. Critical Support Levels: The ₹1,783 level has held strong as an immediate support zone. If broken, the next support lies at ₹1,693 , a significant historical level from previous price action. A break below ₹1,693 could lead to a deeper correction, potentially targeting the ₹1,500-1,400 zone. Resistance Levels: If the stock manages to bounce, it will face overhead resistance at: ₹1,873 (previous resistance) ₹2,000 (psychological barrier) ₹2,200 (channel top) Moving Averages: The stock is currently hovering near its 20-week EMA , which aligns with the lower channel support. It is also far above its 200-week EMA , indicating long-term uptrend strength, though the current pullback should be monitored closely. Volume and RSI: Volume spiked during recent sell-offs, suggesting a significant distribution phase. The RSI (Relative Strength Index) is nearing oversold territory, which might lead to a short-term bounce. However, a lower RSI could indicate bearish momentum persisting. Outlook: A channel breakdown may indicate a trend reversal, with the possibility of a deeper correction towards ₹1,500 if key support levels don’t hold. Traders should watch for a confirmed breakdown or a bounce off the lower channel to time potential trades. Conclusion: The stock is at a pivotal point, testing the lower boundary of its ascending channel. A decisive move below the ₹1,783 support could accelerate the downside, whereas a successful defense might offer a good risk-reward for a bounce. Investors should closely monitor price action and volume for signs of confirmation.
NSE:TATACOMM
by AngshumanSaikia
Bharat Electronics Ltd: Key Support Zone and Potential Breakout Technical Overview Descending Triangle Pattern: The price action appears to be forming a descending triangle, which is typically considered a bearish continuation pattern. The triangle's resistance line is a downward-sloping trendline connecting the series of lower highs, and the support is horizontal around the 270-265 INR level. Support and Resistance: Immediate Resistance: The first resistance is at 289.60 INR, as indicated by the horizontal line. Major Resistance: Above this, significant resistance exists around 312.70 INR and 340.25 INR. Support Zone: The highlighted yellow area between 265-270 INR indicates strong support. The price has tested this zone multiple times without breaking down, suggesting that it is a key area to watch for either a bounce or a breakdown. Moving Averages: 50-Day Moving Average: The price is currently close to the 50-day moving average. A breakout or breakdown from this average could provide a signal for further price movement. 200-Day Moving Average: The 200-day moving average is trending upwards and acts as long-term support. It's a key indicator for identifying the overall trend, which remains bullish in the long term. RSI (Relative Strength Index): The RSI is showing a bullish divergence. Even though the price has made a lower low, the RSI has formed a higher low, signaling a potential reversal or bounce from the current levels. Volume: There is a noticeable drop in volume over the recent sessions, suggesting that traders are waiting for a decisive move. If the price breaks either the support or resistance lines, a spike in volume will likely confirm the direction of the move. Target Price: Bullish Target: If the price breaks above the descending triangle and crosses the resistance at 289.60 INR, the next target could be 312.70 INR, with a long-term target around 340.25 INR. Bearish Target: A breakdown below 265 INR could lead to further declines, with the next significant support level around 240 INR. Conclusion: The stock is currently trading near a critical support zone in a descending triangle pattern. Given the bullish divergence in the RSI, there's potential for a bounce. However, traders should wait for a breakout above the 289.60 INR level for bullish confirmation or a breakdown below 265 INR for bearish continuation. Risk/Reward Tip: Use stop-loss strategies close to support and resistance levels to manage risk effectively, as either scenario (breakout or breakdown) can lead to significant moves.
NSE:BELLong
by AngshumanSaikia
WE GOT A 5/5 TRADE SETUP ON MBLY. LARGE MOVE INCOMING! NASDAQ:MBLY 🖐️WE GOT A 5/5 TRADE SETUP ON MOBILEYE. My trading strategy consists of 5 Indicators: 1.) A clear and clean Charting pattern setup. ✔️For this chart that is a symmetrical pattern. 2.) A Volume Gap to fill and strong buying area. ✔️ Clearly sitting on a large "Volume shelf" - JW 3.) The MACD up trending. Crossing Zero line=Bullish ✔️ We are indeed up trending and a Zero line crossing is imminent for this chart. 4.) Stochastic rising and making higher lows. ✔️ Up trending and just crossed the middle RSI band. Higher lows are being made on this chart. 5.) Weekly Stochastic Up Trend. Most bullish once it crosses up through lower band or down through upper band. ✔️ Clearly had a red through yellow flip and are up trending on this charts stochastic heading toward Lower band. Bonus: We are staying above the 50MA and about to have the 25MA cross upward through the 50MA as well (BULLISH Signal). Finally, I've been following this stock for awhile now and every market open we get a massive amount of short volume in order to try and drive down the stock and get the 20% of shareholders who aren't NASDAQ:INTC to sell them their shares for them to cover at lower prices. I hope you enjoyed it! Like ❤️ Follow 🤳 Share 🔂 NASDAQ:QQQ AMEX:SPY AMEX:IWM NASDAQ:TSLA NASDAQ:ENPH NASDAQ:SBUX NYSE:MCD #Stock #stocks #Stockmarket #EarningsReport #TradingTips #investing #investingideas
NASDAQ:MBLYLong
by RonnieV29
18
ZensarTec Ready to Rally! Waiting for Targets to Fire!Technical Analysis: ZensarTec on the 15-minute timeframe is poised for a long trade after a solid entry signal. The price is currently moving upward, following the support from the Risological Dotted Trendline, confirming the strength in momentum. Key Levels: Entry: 680.00 Stop Loss (SL): 658.20 Target 1 (TP1): 706.90 (Next target) Target 2 (TP2): 750.50 Target 3 (TP3): 794.05 Target 4 (TP4): 821.00 Observations: The price has recently shown signs of strength, bouncing off the Risological Dotted Trendline and gaining bullish momentum. With volume support, the price is likely to hit the initial target of TP1 soon, potentially leading to a cascade of target completions. ZensarTec is gearing up for an upward breakout as it tests its first target. Watch for TP1 to confirm and the possibility of higher targets being hit as bullish momentum builds. Stay tuned for a strong price movement ahead!
NSE:ZENSARTECHLong
by ProfitsNinja
BlueStarCo Soars from 747.95 to 1926: All Targets Reached!BlueStarCo has shown a remarkable bullish run since entering at 747.95 on 6th September 2023. The price has not only reached all take profit targets but also surged far beyond expectations, currently trading at 1926. Key Levels: Entry: 747.95 – This marked the point where the bullish momentum took hold. Stop-Loss (SL): 724.85 – Positioned below the entry to minimize downside risk. Take Profit 1 (TP1): 776.55 – Reached early in the trade, confirming a strong start. Take Profit 2 (TP2): 822.80 – Hit as the upward momentum continued. Take Profit 3 (TP3): 869.10 – Met, indicating strong sustained buying pressure. Take Profit 4 (TP4): 897.65 – Final target hit, followed by a significant price surge beyond all targets. Trend Analysis: The price action has been well-supported by the Risological dotted trendline, confirming a consistent uptrend. The continuous rise from the entry point shows no signs of reversal, with the current price sitting at 1926, nearly doubling the initial entry value. Traders who held on to this trade have seen tremendous returns, and further gains are still possible as the momentum remains strong.
NSE:BLUESTARCOLong
by ProfitsNinja
JPM: Overbought on 1M. Buying becomes risky now.JP Morgan is almost overbought on its 1M technical outlook (RSI = 69.452, MACD = 20.800, ADX = 54.049), trading very close to the top of the 12 year Channel Up. Being overbought on the wider/ longest timeframe available, indicates trend exhastion and a potential bearish reversal. Basically, we continue to use the same pattern that helped us get a strong buy last time and this time it shows that the last two times the 1M RSI was this overbought, the stock pulled back to at least the 0.236 Fibonacci level. Consequently we expect a lengthy but relatively controlled correction to start in the coming candles to test the 0.236 Fib and approach the 1M MA50 (TP = 187.00). See how our prior idea has worked out: ## If you like our free content follow our profile to get more daily ideas. ## ## Comments and likes are greatly appreciated. ##
NYSE:JPMShort
by InvestingScope
Sweetgreen (SG) AnalysisCompany Overview: Sweetgreen NYSE:SG is strategically expanding its footprint, with four new restaurant openings in Q2 2024, including a significant location in New Hampshire. This move underscores Sweetgreen's focus on untapped markets, aimed at driving revenue growth and geographic diversification. Key Catalysts: Expansion into New Markets: Opening in new locations, particularly in New Hampshire, demonstrates Sweetgreen’s plan to broaden its market presence, catering to new customer bases, which could meaningfully contribute to its overall growth trajectory. Infinite Kitchen Concept: The successful implementation of the Infinite Kitchen at Penn Plaza is a game-changer. This innovative concept, which reduces wait times to under 3 minutes while improving operational efficiency, enhances the customer experience. As this model is scaled across more locations, Sweetgreen stands to gain from higher margins and enhanced customer satisfaction, potentially leading to stronger unit economics. Operational Efficiency: The Infinite Kitchen rollout improves labor productivity and reduces operational bottlenecks, allowing Sweetgreen to serve more customers in less time. This could be instrumental in improving both top-line growth and profit margins. Investment Outlook: Bullish Outlook: We remain bullish on SG above $33.00-$34.00, with the company's ability to innovate through its Infinite Kitchen model and its focus on entering new markets. Upside Potential: Our upside target for SG is $62.00-$64.00, driven by operational improvements, increased restaurant count, and scalability of its efficient kitchen model, which should bolster profitability and revenue growth. 🚀 SG—Innovating in Food Service with Efficiency and Expansion. #RestaurantGrowth #OperationalExcellence #Scalability
NYSE:SGLong
by Richtv_official
SoFi Technologies (SOFI) AnalysisCompany Overview: SoFi Technologies NASDAQ:SOFI has been on an impressive growth trajectory, with its member base increasing by over 40% year-over-year to reach 8.8 million as of Q2 2024. This significant expansion underscores SoFi's ability to not only acquire new members but also retain and cross-sell to its user base, positioning the company as a major player in the fintech space. Key Catalysts: Product Mix Shift: The strategic shift from a reliance on lending products to a broader array of financial services products—which now outpace lending offerings—boosts margins and improves the lifetime value of SoFi’s customers. This diversification strengthens the company's business model by lowering its dependence on traditional loans. Earnings Momentum: SoFi has consistently outperformed earnings expectations, evidenced by 11 upward revisions in the last 90 days. This signals strong financial management and operational efficiency, which is expected to drive further investor confidence. Growing Member Base: SoFi's ability to grow its member base at a 40% annual rate is a clear sign of the company’s competitive advantage in the fintech space, particularly through the seamless cross-selling of products across its ecosystem. Investment Outlook: Bullish Outlook: We are bullish on SOFI above $9.00-$10.00, as the company’s ability to grow its member base and shift to higher-margin products sets the stage for sustained growth and stock appreciation. Upside Potential: Our upside target for SOFI is $15.00-$16.00, driven by strong earnings performance, a diversified product mix, and expanding membership, all of which contribute to improving financial metrics and stock valuation. 🚀 SOFI—Fintech Leader on a High-Growth Path. #Fintech #FinancialServices #EarningsOutperformance
NASDAQ:SOFILong
by Richtv_official
penny 1. **Rounding Bottoms** 🔵 The stock shows a series of **rounding bottoms** (marked on the chart), indicating a slow but steady shift from bearish to bullish sentiment. This pattern is like a **U-shape** 🏺, where the price slowly bottoms out and starts to rise again. The concept of **higher highs (HH)** ⬆️ rounding bottoms shows that each new bottom forms at a higher level than the previous one, reflecting growing strength in the stock. 2. **Volume Contraction** 📉 **Whenever stock forms a rounding bottom, volume contracts** 🛑. This is visible in the early stages of these rounded formations, where the volume bars shrink. Contraction often hints that **weak hands** are exiting the stock and strong hands are accumulating quietly. 3. **Volume Expansion on Breakout** 📈 As soon as the stock moves up**, you can see the **volume build** as well. This signals a breakout from the rounding bottom pattern as **new buyers** rush in with increasing enthusiasm 🔥. 4. **Multiple Rounding Patterns** 🔄 The stock exhibits multiple rounding patterns, and each is followed by a **rise** ⬆️ in price. This shows the stock moves in cycles, consolidating for some time before **breaking out** again. 5. **Recent Move and Strong Push** 💥 The most recent move in October 2024 is dramatic. The stock surged from around ₹180 to ₹207, a significant gain of about **16.64%** 📊, suggesting bullish momentum is accelerating 🚀. Look at the **volume spike** 🔊 accompanying the price surge—this confirms strong institutional or retail interest in the stock during this period. 6. **Key Takeaway: Patience Pays** ⌛ **Higher highs in rounding bottoms** indicate that the stock is slowly but consistently gaining strength. Though these formations take time to develop, they are often followed by strong upward movements 🏁. Extra tip: When you spot **volume contraction** during a rounded bottom, it could signal a potential **entry point** before a breakout. The expansion in volume later confirms a **strong uptrend**.
NSE:PENINDLong
by investigationofchart
What America Does with Its Money ? 🇺🇸 Decoding America's Spending: A Deep Dive into Government Finances This topic has been on the horizon for a while, and I think many new traders will be pleased to see it so LFG Just like a business, the government has its own financial records : 💰 Money comes in (primarily from taxes) 💸 Money goes out (to fund a variety of programs) With an expected gross domestic product (GDP) of nearly $29 trillion in 2024, the US remains the world’s largest economy, surpassing China’s $18.5 trillion. However, the US government isn’t exactly profitable. In fact, it’s been consistently running a growing deficit, raising concerns about its long-term financial stability. As a general election approaches, it's more important than ever to understand how the US generates and spends its money. So, let’s dive into the details Here’s a quick overview: - Revenue: A deep dive into taxes - Spending: Powering the nation - Bottom Line: Operating costs & the deficit - National Debt: A mounting challenge - The Future: America's financial outlook 1. Revenue: A Deep Dive into Taxes The US government operates on an enormous scale, and like any large organization, it requires a consistent stream of income to stay functional. However, unlike businesses that sell products or services, the government generates revenue primarily through taxes and fees In fiscal year 2023, the federal government collected an astounding $4.4 trillion So, where does all of this money come from? Let’s take a closer look: 👥 Individual Income Taxes:Nearly 50% of the government’s total revenue comes from individuals. Every time you receive a paycheck, a portion is automatically sent to Uncle Sam. This also includes taxes on capital gains from investments. 🏦 Social Security and Medicare Taxes: About 36% of revenue is generated from these taxes, which support programs like Social Security and Medicare for retirees and older adults. It’s a system where current workers help fund benefits for those who have already retired. 🏢 Corporate Income Taxes:Around 10% of the total revenue comes from businesses, which contribute a portion of their profits to the federal government. This is reflected in the income tax provisions that companies report. 🧩 Other Revenue:The remaining ~4% is sourced from various channels such as excise taxes (extra charges on goods like alcohol and tobacco), estate taxes, customs duties, and even fees collected from national park visits. 2. Spending: Powering the Nation Now that we’ve seen how money flows into the US Treasury, it’s time to explore the exciting part figuring out how it’s spent. The US government faces the enormous responsibility of keeping the country functioning, covering everything from national defense to healthcare and infrastructure. And that demands a massive amount of spending In fiscal year 2023, the federal government's net cost was $7.9 trillion, which is almost as large as the combined GDP of Germany and Japan the world’s third and fourth largest economies! -Outlays vs. Net Cost:In FY23, total outlays (the actual cash spent) reached $6.1 trillion. Outlays refer to the cash disbursements, while the net cost also includes accrual-based accounting adjustments, such as changes in the future value of federal employee retirement benefits. Who’s Deciding Where the Money Goes So, how does the government determine how to allocate all this money? It’s a balancing act involving both the President and Congress: -The President’s Proposal: The President begins the process by proposing a budget, outlining spending priorities based on requests from federal agencies. Think of it as a wish list—with a lot of extra zeros. -House and Senate Role:Next, the House and Senate Budget Committees take over. They review the President’s proposal, make adjustments, and ultimately create the final spending bills. This process involves hearings, debates, and a fair amount of political negotiation. Types of Spending -Mandatory Spending:These are legally required expenses, like Social Security and Medicare, which make up a significant portion of the budget. These costs rise over time, particularly as the population ages -Discretionary Spending:This is the part of the budget where the President and Congress decide how much to allocate to areas like defense, education, and more. In FY23, discretionary spending accounted for roughly 28% of total outlays, and it involves a yearly struggle as various departments compete for funding. -Supplemental Spending: In cases of emergency, Congress can pass additional funding outside the normal budget cycle, as it did for the COVID-19 pandemic in 2020. Where the Money Goes Now, let's dive deeper into the specific areas where all that spending is directed: -🏥 Healthcare Heavyweight:The Department of Health and Human Services commands the largest portion of spending, making up 22% of the net cost. This reflects the huge outlays for healthcare programs like Medicare and Medicaid. -👵 Social Safety Net:Programs like Veterans Affairs and the Social Security Administration also require significant funding, together accounting for 18% of the budget. This demonstrates the high priority placed on supporting veterans and retirees. -🫡 Defense and Security:The Department of Defense, tasked with ensuring national security, takes up 13% of government spending! -💸 The Interest Burden: A growing share of the budget is going toward paying interest on the national debt, consuming 9% of total spending. In FY23, government outlays represented 22% of the US economy (GDP). Over the past decade, this figure has remained slightly above 20%, excluding the exceptional impact of the COVID-19 pandemic. 3. Bottom Line: Operating Cost & Deficit When government expenditures exceed its revenue, a budget deficit occurs In FY23, the U.S. government recorded a $1.7 trillion deficit (revenue minus outlays). Here’s a breakdown of two key financial terms: -Net Operating Cost:This includes all costs incurred by the government, even if the payments haven’t been made yet. In FY23, the net operating cost was $3.4 trillion -Budget Deficit:This is a narrower measure, focusing only on the cash difference between revenue and outlays. As mentioned, the FY23 budget deficit stood at $1.7 trillion Both of these financial measures reveal a government consistently spending beyond its means—a pattern that has persisted for decades. In fact, over the past 50 years, the U.S. federal budget has only seen a surplus four times, with the most recent one occurring in 2001. 4. National Debt: A Mounting Challenge So, how does the government continue operating despite being in the red? It borrows money, mainly by issuing Treasury bonds, bills, and other securities. This borrowing adds to the national debt, which has grown into a major concern for the country’s economic outlook. As of September 2024, the national debt has reached a staggering $36 trillion. To put that in perspective, it's as if every person in the US owes over $100,000! Every time the government spends more than it earns, the shortfall is added to the national debt, which, in turn, increases the interest payments that need to be made in the future. Why the Debt Keeps Growing ? Several factors contribute to the relentless increase of the national debt: -Persistent Deficits:For decades, the government has continuously spent more than it collects in revenue, leading to ongoing debt accumulation. -Wars and Economic Crises: Significant events such as wars (like those in Iraq and Afghanistan) and economic crises (including the 2008 recession and the COVID-19 pandemic) often necessitate large government expenditures, further escalating the debt. -Tax Cuts and Spending Increases: Policy decisions that either reduce government revenue (through tax cuts) or increase spending (by introducing new programs or expanding existing ones) also play a role in growing the debt. The national debt presents a complicated issue without straightforward solutions. It requires balancing essential funding for programs and services while ensuring the nation’s long-term financial health. 5. The Future: America’s Finances The road ahead is filled with challenges. The national debt continues to rise, with a debt-to-GDP ratio surpassing 100%, raising concerns about the nation's long-term economic stability and ability to fulfill financial commitments. According to the Department of the Treasury, the current fiscal trajectory is unsustainable. Projections based on existing policies show a persistent gap between expected revenue and spending. Without substantial policy reforms, the national debt is likely to keep increasing. Several factors will influence the future of America’s finances: -Economic Growth: A strong economy generates higher tax revenues, making it easier to manage the debt. Conversely, slower growth could worsen the deficit and increase the debt burden. -Interest Rates:Rising interest rates would elevate the cost of servicing the national debt, redirecting funds from other vital programs. -Inflation: Excessive government debt can contribute to inflation, diminishing the purchasing power of individuals and businesses. -Political Polarization: The significant partisan divide in U.S. politics complicates consensus-building on fiscal policy and the implementation of long-term solutions to address the debt. -Demographic Shifts: An aging population increases pressure on entitlement programs like Social Security and Medicare, leading to higher government spending and potentially widening the deficit. To tackle the challenges of growing debt and deficits, a combination of strategies is needed: -Controlling Spending:Identifying areas for budget cuts or finding more efficient methods to deliver government services. -Increasing Revenue:Exploring avenues for raising revenue through tax reforms or other means. -Fostering Economic Growth:Implementing policies that promote sustainable long-term economic growth and boost tax revenues. -Encouraging Bipartisan Cooperation:Seeking common ground across party lines to implement lasting fiscal reforms. The future of America’s finances remains uncertain, but one thing is clear: addressing the national debt and ensuring the nation’s long-term fiscal health will require tough decisions and a commitment to responsible financial management. What Can Be Done? It’s easy to feel overwhelmed by the scale of these challenges, but meaningful change often starts with informed citizens. As we head into a new election cycle, understanding how the US government manages its finances is more crucial than ever. So, what do you think should be America’s financial priorities? Should policymakers concentrate on cutting spending, raising taxes, or fostering economic growth?
TVC:DXYEducation
by moonypto
2
Advanced Micro Devices | AMD Team RED is READY As with any competitor, a quarterly earnings report from a peer can provide great insight into the market. For Advanced Micro Devices, the Q2'23 earnings report from Intel provides great views on the surging demand for AI chips and a rebound in PC demand crucial for AMD The most immediate signal from Intel beating Q2'23 estimates and guiding up for Q3 is the rebound in PC demand. Most importantly, the inventory correction appears over with OEMs no longer digesting chip inventory.Back in Q3'22, AMD shocked the market by cutting PC revenue estimates by $1 billion. The company quickly went from $2 billion in quarterly CPU sales for PCs to less than $1 billion. Intel still reported Q2 Client Computing revenue was down 12% YoY to $6.8 billion, but the number was up $1.0 billion sequentially. The chip giant guided up Q3 revenue to $13.4 billion, up $0.5 billion sequentially.In Q1'23, AMD reported that client revenues had fallen further to only $739 million. AMD CPU revenues are now far over $1 billion per quarter below the peak levels providing substantial upside potential when the PC market normalizes. Intel discussed a mixed picture for their business in the near term due to AI. The chip giant is seeing a wallet share shift from the sever CPU spend towards AI chips.The move is both good and bad for AMD. The company has the MI300 AI GPU chip hitting the market in Q4 providing a strong competitor to the booming demand for the H100 from Nvidia, but the chip isn't out on the market yet. In the near term, AMD may see some suppressed data center demand while heading into 2024. Ultimately, the company should see upside from AI demand for the MI300 along with the Alveo AI accelerator.On the Q2'23 earnings call, Intel CEO Pat Gelsinger suggested the AI pipeline for 2024 had surged to $1 billion: In my formal remarks, we said we now have over $1 billion of pipeline, 6x in the last quarter. Going back a few months, Morgan Stanley had estimated the AI potential for AMD was only $400 million with upside potential to $1.2 billion. The Intel forecasts would suggest the AI potential for AMD is far higher next year when the MI300 is in full-scale production. Nvidia guided up current quarter sales estimates by 50% to over $11 billion. The company suggested data center sales would reach $7+ billion in the quarter. AMD has only seen data center sales reach $1.3 billion in quarterly sales leaving a huge gap from Nvidia. Even Intel still hit $4.0 billion in data center sales during Q2'23, though the amount is down nearly 20% form 2022 levels due in part to losing market share to AMD. The big issue for AMD is whether data center sales growth stalls causing a miss to 2H sales targets while booming AI demand ultimately boosts sales starting in Q1'24, or maybe Q4. The chip company peaked at quarterly sales of $6.6 billion back Q2'22 and the current quarterly analyst estimates aren't very aggressive. A rebound in PC demand to more normalized levels places AMD back at the Q4'23 revenue target of $6.5 billion alone. A PC rebound to normal digestion ($2 billion quarterly run rate) along with higher data center or AI demand leads to vastly higher revenues in 2024. The current analysts aren't even factoring in much growth in the Q2'24 revenue estimate of $6.76 billion. The amount is just 4% upside from Q2'22 despite potentially surging demand from AMD entering the AI GPU space. AMD is set to report earrings after the close on August 1. Investors should focus less on the Q2 numbers or even Q3 guidance and focus more on a return to more normalized revenue levels plus the upside from AI.Our view has long held that AMD has the earnings potential of $5 to $6 and the AI opportunity is all upside to this view. The key investor takeaway is that AMD is still $50 below all time highs while Nvidia has soared over $100 above the late 2021 highs. Investors should use the current weakness in AMD to load up on the stock while leaving some capital to buy any weakness following Q2 earnings due to the potential for near term disappointment leading to long term opportunities.
NASDAQ:AMDLong
by moonypto
12