Weekly Market Review: 8/7 – 8/11

Key Points

  • The markets experienced volatility due to unclear inflation readings.
  • The long-term outlook for inflation depends on oil prices.
  • Upcoming reports on the retail and manufacturing sectors will provide insight into the health of the consumer.

The markets had a volatile week as inflation readings failed to provide clarity for investors. The long-term outlook for inflation will be influenced by oil prices, which were on the rise. If the employment outlook remains strong, demand will support oil prices in the $80 range and potentially even higher.

Investors will be closely watching the upcoming reports on the retail and manufacturing sectors, as they will provide valuable insights into the health of the consumer. It’s important to pay attention not only to the numbers reported by companies but also to their guidance, which can impact market trends.

Updates based on Data and Reports

Here are some updates based on data and reports from this week:

Stocks Driving the Russell 2000 Small-Cap Index

Jea Yu explains why three top performers in the Russell 2000 small-cap index still have room for growth. The index has been lagging behind the broader market, but institutional investors may become interested in its potential.

Upwork Leveraging Demand for AI Talent

Upwork, Inc. is capitalizing on the demand for AI talent in the gig economy. This company is experiencing strong growth.

Value Stocks with Strong Fundamentals

Yu discusses two stocks that saw their earnings estimates double but experienced a drop in their stock prices. This presents an opportunity for value investors to buy these companies at a discount.

Rivian Automotive Meeting Production Estimates

Rivian Automotive, Inc. has been meeting and exceeding production estimates in the EV sector. This positive performance may lead to a resurgence in RIVN stock.

Plug Power Delivering on Its Promise

Plug Power, Inc. is starting to deliver on its promise, and analysts are optimistic about its long-term outlook. However, retail investors should have patience as the company’s major projects become fully operational.

Mixed Earnings for The Wendy’s Company

The Wendy’s Company reported mixed earnings, but it offers a high-yield dividend that is expected to be supported by margin expansion.

Alternative EV Stocks to Tesla

Sam Quirke provides two alternative EV stocks to consider apart from Tesla. One offers safety and consistent returns, while the other carries more risk but may provide higher rewards.

Inflation-Proof Stocks

Chris Markoch recommends three stocks that can withstand inflation fluctuations and provide profits for investors.

Stocks with Insider Buying

Markoch emphasizes the importance of insider buying as a reliable indicator. He highlights three stocks that have seen heavy insider buying and may be solid investment options.

Caution and Potential for Royal Caribbean Cruises

Royal Caribbean Cruises Ltd. has seen significant growth this year, but caution is advised. The stock has the potential for future success if the company achieves its goal of returning to profitability.

Pharmaceutical Industry and AI Interest

Stalter explores the interest in a pharmaceutical company after its report on an expanded label for its weight-loss drug, reflecting the industry’s fascination with AI technology.

Opportunities in the Energy Sector

With the surge in oil prices, investors are eyeing energy stocks. Hasson identifies three energy stocks that present opportunities for profit as money flows into the sector.

Recession-Ready Stocks

As recession fears resurface, investors are turning to defensive stocks. Hasson provides three stocks that can help make portfolios recession-ready.

Growth Potential in the Tech Sector

Hasson highlights two tech giants that still offer growth potential despite the recent downturn in the tech sector.

Winning Sectors in Inflationary Times

Osorio-Mazilli identifies machinery stocks as potential winners in times of inflation and rising interest rates. The cost of money makes these “boring” stocks attractive for avoiding losses.

Margins Expansion in the Apparel Industry

Osorio-Mazilli mentions three popular apparel stocks that could experience margin expansion due to falling commodity prices.

Reevaluation of 3M, Inc.

Osorio-Mazilli suggests that value-oriented investors take a fresh look at 3M, Inc. now that the company has resolved its legal issues.

New Findings

Here are some new findings to consider:

Investing Beyond the Russell 2000 ETF

MarketBeat provides an alternative to the iShares Russell 2000 ETF, offering five stocks that top analysts are recommending to buy now. These stocks have performed well and are favored by experts.

Importance of Insider Buying

While insider selling is often seen as a sell signal, MarketBeat emphasizes that insider buying is a more reliable indicator of stocks to consider buying.

Focus on Stocks That Withstand Inflation

MarketBeat suggests three stocks that can generate profits regardless of inflation fluctuations, providing a measure of stability for investors.

Please note that the article content is for informational purposes only and does not constitute financial advice. Always do your own research before making any investment decisions.

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