At the annual shareholder meeting of Berkshire Hathaway (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BRK#NYSE">BRK</a>) on Saturday, Warren Buffett has voiced his criticism of the present administration&#8217;s trade policy, labeling the imposition of punitive tariffs on global trade as a severe mistake.



What Happened: During the session, Buffett expressed his discontent with the current aggressive trade policy, without directly mentioning President Donald Trump.



Addressing the gathering, Buffett <a href="https://www.youtube.com/watch?v=1LWBphTImy4">said</a>, emphasized, &#8220;Trade should not be a weapon,&#8221; and cautioned against provoking billions of people worldwide with punitive tariffs. 



"Trade should not be a weapon. The United States won. I mean, we have become an incredibly important country, starting from nothing 250 years ago There's not been anything like it," Buffett said. 



"It's a big mistake, in my view, when you have seven and a half billion people that don't like you very well, and you got 300 million that are crowing in some way about how well they've done &#8211; I don't think it's right, and I don't think it's wise," he added.



His remarks were made following the White House&#8217;s recent introduction of the highest import levies in decades, which has caused considerable market instability.



Also Read: <a href="https://www.benzinga.com/news/25/03/44211240/warren-buffett-on-debt-and-donald-trumps-money-moves-trump-never-went-right">Warren Buffett on Debt and Donald Trump&#8217;s Money Moves: Trump &#8216;Never Went Right&#8217;</a>



"I do think that the more prosperous the rest of the world becomes, it won't be at the our expense, the more prosperous we'll become, and the safer we'll feel, and your children will feel someday," Buffett said.



The esteemed investor also underscored the significance of global prosperity, asserting that a prosperous world would not come at the cost of the United States, but rather enhance its safety and prosperity.



In its first-quarter earnings report Berkshire Hathaway noted that tariffs and other geopolitical events have generated &#8220;considerable uncertainty&#8221; for the conglomerate. 



The company also disclosed that it has been operating defensively, selling stocks for 10 consecutive quarters, resulting in a record cash reserve of $347 billion at the end of March.



Why It Matters: Buffett&#8217;s comments come at a time when the world is grappling with the economic impacts of the current administration&#8217;s hardline trade policy. The policy has been marked by the imposition of high tariffs, leading to significant market volatility and uncertainty. 



This has prompted companies like Berkshire Hathaway to adopt a defensive stance, selling stocks and amassing cash reserves. Buffett&#8217;s criticism of the policy underscores the potential risks and challenges it poses to global trade and prosperity. 



His remarks serve as a reminder of the importance of maintaining a balanced and cooperative approach to global trade, for the benefit of all nations involved.



Read Next



<a href="https://www.benzinga.com/markets/25/04/44778463/warren-buffetts-wealth-grows-even-amid-tariff-war-and-global-market-turmoil">Warren Buffett&#8217;s Wealth Grows Even Amid Tariff War and Global Market Turmoil</a>

Earnings

News

Markets

Warren Buffett Warns Tariffs Could Backfire on Economy, Says, 'Trade Should Not Be A Weapon. It's A Big Mistake, I Don't Think It's Wise'

In the first quarter of&nbsp;2025,&nbsp;Berkshire Hathaway&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BRK#NYSE">BRK</a>) reported a significant drop in its operating earnings announced on Saturday. The company has raised concerns about the potential impact of tariffs on future profits.



What Happened: The conglomerate&#8217;s operating earnings, which include its&nbsp;fully owned insurance and railroad&nbsp;businesses, fell 14% to $9.64&nbsp;billion in&nbsp;the first three months of&nbsp;the year. This is a significant drop from the $11.22 billion reported in the first quarter of 2024.



According to the Berkshire <a href="https://www.berkshirehathaway.com/qtrly/1stqtr25.pdf">report</a>, the decline was largely&nbsp;driven by a 48.6% plunge&nbsp;in insurance-underwriting profit, which&nbsp;came in at $1.34 billion&nbsp;for the first quarter, down&nbsp;from $2.60 billion a year&nbsp;prior. Berkshire attributed this to the Southern California wildfires, which&nbsp;led to a $1.1 billion&nbsp;loss in Q1.



The company also suffered an approximate $713 million loss related to foreign exchange due to the dollar losing value in the first quarter. This is in stark contrast to the same period last year when it benefited from a $597 million forex gain.



"Our periodic operating results may be affected in future periods by impacts of ongoing macroeconomic and geopolitical events, as well as changes in industry or company-specific factors or events. The pace of changes in these events, including international trade policies and tariffs, has accelerated in 2025. Considerable uncertainty remains as to the ultimate outcome of these events," Berkshire said in the earnings report.



Also Read: <a href="https://www.benzinga.com/markets/25/04/45029509/warren-buffetts-top-stock-picks-now-come-with-a-15-income-bonus-through-this-fund">Warren Buffett&#8217;s Top Stock Picks Now Come With a 15% Income Bonus Through This Fund</a>



"The amount of investment gains, losses in any given quarter is usually meaningless and delivers figures for net earnings per share that can be extremely misleading to investors who have little or no knowledge of accounting rules," Berkshire's statement read.



Berkshire also expressed concerns over President Donald Trump&#8216;s tariffs and other geopolitical risks, stating that it&#8217;s unable to predict any potential impact from tariffs at this time. The company&#8217;s cash reserves also increased to a record $347 billion during the first quarter, up from around $334 billion at the end of 2024.



Why It Matters: The steep drop in Berkshire&#8217;s earnings is a cause for concern among investors, given the company&#8217;s wide-ranging portfolio of businesses. The decline in insurance-underwriting profit, in particular, highlights the risks associated with the company&#8217;s insurance operations.



The company&#8217;s concerns over tariffs and geopolitical risks also underscore the uncertainty facing global businesses. The increase in cash reserves, however, suggests that Berkshire is well-positioned to weather potential economic headwinds.



Read Next



<a href="https://www.benzinga.com/markets/25/03/44067982/heres-how-warren-buffett-made-billions-from-an-industry-he-didnt-understand">Here&#8217;s How Warren Buffett Made Billions From An Industry He Didn&#8217;t Understand</a>

Equities

Berkshire Hathaway's Q1 2025 Earnings Plunge Amid Tariff Concerns, Operating Profit Fell 14%, Cash Hit A Record

Each week,&nbsp;Benzinga&#8217;s Stock Whisper Index&nbsp;uses a combination of proprietary data and pattern recognition to showcase five stocks that are just under the&nbsp;<a href="https://www.benzinga.com/topic/stock-whisper-index" target="_blank" rel="noreferrer noopener">surface and deserve attention</a>.



Investors are constantly on the hunt for undervalued, under-followed and emerging stocks. With countless methods available to retail traders, the challenge often lies in sifting through the abundance of information to uncover new opportunities and understand why certain stocks should be of interest.



Read Also: <a href="https://www.benzinga.com/trading-ideas/25/05/45171636/exclusive-aprils-20-most-searched-tickers-on-benzinga-pro-where-do-tesla-apple-palantir-nvidia-stocks-rank" target="_blank" rel="noreferrer noopener">EXCLUSIVE: April&#8217;s 20 Most-Searched Tickers On Benzinga Pro — Where Do Tesla, Apple, Palantir, Nvidia Stocks Rank?</a>



Here's a look at the Benzinga Stock Whisper Index for the week ending May 2:



 Wheaton Precious Metals (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WPM#NYSE">WPM</a>): Precious metal and <a href="https://www.benzinga.com/government/regulations/25/04/44903750/gold-price-soars-to-record-highs-eyes-best-2-month-rally-since-2011-on-blockbuster-etf-buying">gold stocks</a> continue to see increase interest from Benzinga readers and this week's article highlights Wheaton Precious Metals. The company's stock is near 52-week highs, but could head higher with continued record highs for gold and upcoming financial results from the company. Analysts expect the company to report first-quarter earnings per share of 50 cents on May 8. The company has beaten analyst estimates for earnings per share in four of the last five quarters. Analysts expect the company to report quarterly revenue of $436.5 million, up from $296.8 million in last year's first quarter. The company has missed analyst estimates for revenue in three straight quarters and seven of the last 10 quarters overall. A turnaround in revenue and another beat in earnings per share could strengthen the bullish case for the stock. Several analysts have upgraded the <a href="https://www.benzinga.com/quote/WPM/analyst-ratings">stock&#8217;s price targets</a> ahead of earnings.



Wheaton Precious Metals shares were down slightly on the week, as seen on the <a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0502">Benzinga Pro chart </a>below, while shares are up over 50% in the last year.



<figure class="wp-block-image size-full"><a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0502"><img loading="lazy" decoding="async" width="1001" height="501" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173903/Screenshot-393.png" alt="" class="wp-image-900087" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173903/Screenshot-393.png 1001w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173903/Screenshot-393-300x150.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173903/Screenshot-393-768x384.png 768w" sizes="(max-width: 1001px) 100vw, 1001px" /></a></figure>



Duke Energy Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DUK#NYSE">DUK</a>): The utility company saw increased interest from investors during the week, which could be related to the company's size, its industry or its dividend yield. The interest is also likely coming with the company set to report first-quarter financial results on May 6. Analysts expect the company to report earnings per share of $1.61, up from $1.44 in last year's first quarter. The company has missed earnings per share estimates in six of the last 10 quarters. Analysts expect the company to report revenue of $8.06 billion, up from $7.67 billion in last year's first quarter. The company has beaten analyst estimates for revenue in four straight quarters and eight of the last 10 quarters overall. With the stock trading near 52-week highs, investors will likely be expecting a double beat and not a mixed quarter like many of the previous ones have been.



<figure class="wp-block-image size-full"><a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0502"><img loading="lazy" decoding="async" width="993" height="508" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173918/Screenshot-394.png" alt="" class="wp-image-900088" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173918/Screenshot-394.png 993w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173918/Screenshot-394-300x153.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173918/Screenshot-394-768x393.png 768w" sizes="(max-width: 993px) 100vw, 993px" /></a></figure>



Nutanix Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NTNX#NASDAQ">NTNX</a>): The software company continues to see strong interest from readers and after several weeks of consideration as a stock to highlight makes this week's list. The company is scheduled to report third-quarter financial results on May 28, which is several weeks away. The company has beaten analyst estimates for earnings per share and revenue in each of the last eight straight quarters. Investors may be paying attention ahead of the financial results in a company that has shown impressive growth.



"During our second quarter we delivered outperformance across our guided metrics. Our results are benefitting from the strength of the Nutanix Cloud Platform," Nutanix CEO Rajiv Ramaswami <a href="https://ir.nutanix.com/news-releases/news-release-details/nutanix-reports-second-quarter-fiscal-2025-financial-results">said </a>after second-quarter results.



The CEO said the company was working on delivering sustainable, profitable growth and also highlighted a new revolving credit facility and the issuance of convertible notes to help with future growth.



<figure class="wp-block-image size-full"><a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0502"><img loading="lazy" decoding="async" width="995" height="508" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173932/Screenshot-395.png" alt="" class="wp-image-900089" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173932/Screenshot-395.png 995w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173932/Screenshot-395-300x153.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173932/Screenshot-395-768x392.png 768w" sizes="(max-width: 995px) 100vw, 995px" /></a></figure>



MercadoLibre Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MELI#NASDAQ">MELI</a>): The Latin American e-commerce giant saw increased interest during the week, which could be related to comments made by the company's CEO. MercadoLibre CEO Marcos Galperin said Latin America companies could be winners in a U.S.-China trade war. Galperin said Mexico and other countries could benefit, comments that could make the e-commerce company more attractive to investors. MercadoLibre is set to report first-quarter financial results on May 7. Analysts expect the company to report first-quarter earnings per share of $8.30, up from $6.78 in last year's first quarter. The company has beaten analyst estimates for earnings per share in three of the last four quarters and eight of the last 10 quarters overall. Analyst expect the company to report quarterly revenue of $5.51 billion, up from $4.33 billion in last year's first quarter. The company has beaten analyst estimates for revenue in more than 10 straight quarters. Another strong quarter could see shares continue to trade near 52-week highs.



<figure class="wp-block-image size-full"><a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0502"><img loading="lazy" decoding="async" width="993" height="499" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173947/Screenshot-396.png" alt="" class="wp-image-900090" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173947/Screenshot-396.png 993w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173947/Screenshot-396-300x151.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02173947/Screenshot-396-768x386.png 768w" sizes="(max-width: 993px) 100vw, 993px" /></a></figure>



Cheniere Energy (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LNG#NYSE">LNG</a>): The natural gas company saw strong interest from readers during the week, which comes as analysts have provided mixed commentary ahead of first-quarter financial results. Some analysts raised price targets, while others lowered<a href="https://www.benzinga.com/quote/LNG/analyst-ratings"> their price targets</a> ahead of Q1 results set for May 8. Analysts expect the company to report earnings per share of $2.70 versus $2.13 in last year's first quarter. The company has beaten analyst estimates for earnings per share in three straight quarters and eight of the last 10 quarters overall. Analysts expect the company to report quarterly revenue of $4.91 billion, up from $4.25 billion in last year's first quarter. The company has beaten analyst estimates in seven of the last 10 quarters overall. Another strong quarter and investors looking for energy stocks that could benefit from the current White House administration could make the stock a winner.



<figure class="wp-block-image size-full"><a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0502"><img loading="lazy" decoding="async" width="997" height="505" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02174000/Screenshot-397.png" alt="" class="wp-image-900091" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02174000/Screenshot-397.png 997w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02174000/Screenshot-397-300x152.png 300w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/02174000/Screenshot-397-768x389.png 768w" sizes="(max-width: 997px) 100vw, 997px" /></a></figure>



Stay tuned for next week&#8217;s report, and follow Benzinga Pro for all the latest headlines and <a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0502" target="_blank" rel="noreferrer noopener">top market-moving stories here.</a>



Read the latest Stock Whisper Index reports here:



<ul>
<li><a href="https://www.benzinga.com/markets/commodities/25/04/44651693/benzingas-stock-whisper-index-5-stocks-investors-secretly-monitor-but-dont-talk-about-yet" target="_blank" rel="noreferrer noopener">April 4</a></li>



<li><a href="https://www.benzinga.com/trading-ideas/25/04/44883576/benzingas-stock-whisper-index-5-stocks-investors-secretly-monitor-but-dont-talk-about-yet-61" target="_blank" rel="noreferrer noopener">April 18</a></li>



<li><a href="https://www.benzinga.com/trading-ideas/25/04/45029510/benzingas-stock-whisper-index-5-stocks-investors-secretly-monitor-but-dont-talk-about-yet-62">April 25 </a></li>
</ul>



Read Next:



<ul>
<li><a href="https://www.benzinga.com/etfs/broad-u-s-equity-etfs/25/01/43041374/exclusive-how-high-will-sp-500-go-under-donald-trump-in-2025-readers-are-optimistic-26-say-this" target="_blank" rel="noreferrer noopener">EXCLUSIVE: How High Will S&amp;P 500 Go Under Donald Trump In 2025? Readers Are Optimistic, 26% Say This…</a></li>
</ul>

Exclusives

Trading Ideas

MELI

NTNX

Benzinga's 'Stock Whisper' Index: 5 Stocks Investors Secretly Monitor But Don't Talk About Yet

Wall Street extended its rally this week, fully erasing the losses suffered after the Trump administration's <a href="https://www.benzinga.com/economics/macro-economic-events/25/05/45172683/wall-street-eyes-9th-straight-day-of-gains-apple-falls-as-chinese-sales-disappoint-whats-driving-markets-friday">tariff announcement on April 2. </a>



Investor sentiment was buoyed by encouraging developments in trade negotiations and, most importantly, a stronger-than-expected start to earnings season.



Corporate America showed resilience in the face of trade headwinds. Mega-cap tech giants —including Microsoft Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NYSE">MSFT</a>), Meta Platforms Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>), Apple Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>), and Amazon.com Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) — all surpassed Wall Street estimates, with Microsoft logging its best weekly performance in years.



The S&amp;P 500 posted its second consecutive weekly gain, marking its longest winning streak since May 2024.



Top individual performers included Arista Networks Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ANET#NYSE">ANET</a>) and Carrier Global Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CARR#NYSE">CARR</a>), both soaring roughly 20% for the week. On the downside, Becton, Dickinson and Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BDX#NYSE">BDX</a>) tumbled 20%, making it the worst performer.



Michigan-based automaker General Motors Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GM#NYSE">GM</a>) topped earnings forecasts yet withdrew guidance for the year amid "massive <a href="https://www.benzinga.com/news/earnings/25/05/45150325/gm-cut-its-2025-forecast-on-tariffs-but-core-business-holds-up-says-goldman-sachs">uncertainty&#8221; over tariffs.</a>



From a sector perspective, industrials and technology led the charge, while energy stocks lagged as crude oil prices slumped. Oil marked its second-worst week of the year, falling to $58 per barrel after Saudi Arabia signaled its readiness to cope with lower prices, stoking speculation that OPEC+ may boost output further in the coming months.



President Donald Trump's threat to impose secondary sanctions on nations buying Iranian oil failed to stabilize crude <a href="https://www.benzinga.com/government/regulations/25/05/45149446/oil-prices-soar-after-trump-threatens-sanctions-on-iranian-crude-buyers-is-china-on-top-of-the-list">prices, which continued to slide</a>.



Macroeconomic data painted a mixed picture. First-quarter gross domestic product shrank by 0.3%, missing forecasts of a 0.4% rise, largely due to a surge in imports.



Yet, inflation and employment data provided a more positive outlook. Nonfarm payrolls rose by 177,000 in April, beating the 130,000 consensus and <a href="https://www.benzinga.com/economics/macro-economic-events/25/05/45164558/us-adds-177000-jobs-in-april-topping-forecasts-as-economy-navigates-tariff-impact">underscoring labor market strength.</a>



Meanwhile, Personal <a href="https://www.benzinga.com/25/04/45102421/feds-key-inflation-gauge-cools-before-tariffs-hit-auto-outlays-spike-as-consumers-front-run-price-impacts">Consumption </a><a href="https://www.benzinga.com/25/04/45102421/feds-key-inflation-gauge-cools-before-tariffs-hit-auto-outlays-spike-as-consumers-front-run-price-impacts" target="_blank" rel="noopener">Expenditure inflation cooled</a>: annual price gains slowed from 2.7% in February to 2.3% in March. Core PCE, the Federal Reserve's preferred inflation gauge, eased to 2.6% year over year, aligning with expectations and down from 3%.



Looking ahead, markets will focus on the Federal Reserve's two-day policy meeting starting Tuesday. While no rate change is anticipated, Chair Jerome Powell's Wednesday press conference will be closely watched, especially after renewed calls from President Trump <a href="https://www.benzinga.com/economics/macro-economic-events/25/05/45166673/trump-pressures-fed-after-solid-jobs-cooling-inflation-lower-rates-now">to cut interest rates.</a>



Read now: 



<ul>
<li><a href="https://www.benzinga.com/25/05/45173740/5-great-income-buys-for-the-coming-downturn">5 Great Income Buys For The Coming Downturn</a></li>
</ul>



Photo: Shutterstock

Government

Large Cap

Macro Economic Events

Regulations

Broad U.S. Equity ETFs

Commodities

Economics

Federal Reserve

Tech

ETFs

AAPL

AMZN

ANET

CARR

MSFT

Wall Street Fully Recoups Tariff-Led Losses, Economy Contracts In First Quarter Yet April Payrolls Remain Strong: This Week In Markets

Benzinga examined the prospects for <a href="http://www.benzinga.com/trading-ideas" target="_blank" rel="noreferrer noopener">many investors' favorite stocks</a> over the last week — here's a look at some of our top stories.



U.S. markets rebounded this week, fully recovering losses incurred since President Donald Trump's April 2 tariff escalation. The S&amp;P 500, Dow Jones and Nasdaq each rose by more than 1.3%, with Friday marking the S&amp;P 500's ninth consecutive daily gain — the longest streak since 2004.



The rally was fueled by a stronger-than-expected April jobs report, with 177,000 jobs added, surpassing forecasts of 135,000. Unemployment remained at 4.2%, and sectors like healthcare and transportation led job growth. However, Q1 GDP contracted by 0.3%, the largest drop since 2022, largely due to a surge in imports ahead of tariff implementations.



Corporate earnings contributed to market optimism. Amazon (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) and Microsoft (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) exceeded Wall Street estimates, with Microsoft posting its best weekly performance in years. Despite these gains, concerns linger about the long-term economic impact of tariffs, as businesses face uncertainty and potential cost increases.



Benzinga provides daily reports on the stocks most popular with investors. Here are a few of this past week's most bullish and bearish posts that are worth another look.



The Bulls



<a href="https://www.benzinga.com/general/biotech/25/05/45136276/mounjaro-maker-eli-lilly-clocks-45-jump-in-q1-revenue-cuts-2025-profit-outlook-but-not-due-to-tariffs">"Mounjaro maker Eli Lilly clocks 45% jump in Q1 revenue, cuts 2025 profit outlook but not due to tariffs"</a>, by Vandana Singh, reports that Eli Lilly and Co. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LLY#NYSE">LLY</a>) posted a 45% year-over-year revenue increase to $12.73 billion in Q1 2025, driven by strong sales of Mounjaro and Zepbound, but lowered its 2025 EPS forecast to $20.78-$22.28 due to a $1.57 billion charge related to acquired in-process R&amp;D, clarifying that the guidance does not account for potential future tariff changes.



<a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/05/45137383/microsoft-rallies-after-crushing-q3-earnings-goldman-sachs-lifts-target-to-480">"Microsoft rallies after crushing Q3 earnings, Goldman Sachs lifts target to $480"</a>, by Piero Cingari, reports that Microsoft Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) beat Q3 estimates with $70.07 billion in revenue and $3.46 EPS, driven by a 35% surge in Azure revenue — 16 points of which came from AI services — prompting Goldman Sachs analyst Kash Rangan to raise the price target to $480.



<a href="https://www.benzinga.com/news/earnings/25/04/45038400/plug-power-rallies-as-new-financing-cost-cuts-boost-confidence-in-turnaround-plan">"Plug Power rallies as new financing, cost cuts boost confidence in turnaround plan"</a>, by Anusuya Lahiri, reports that Plug Power Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PLUG#NASDAQ">PLUG</a>) shares rose after the company secured a $525 million debt facility and implemented cost-cutting measures expected to yield over $200 million in annual savings, signaling progress toward profitability.



For additional bullish calls of the past week, check out the following:



<a href="https://www.benzinga.com/trading-ideas/movers/25/04/45120603/amazon-stock-is-rising-after-the-bell-whats-driving-the-action">Amazon Stock Is Rising After The Bell: What's Driving The Action?</a>



<a href="https://www.benzinga.com/news/earnings/25/04/45120458/bloom-energy-reports-better-than-expected-q1-results-details">Bloom Energy Reports Better-Than-Expected Q1 Results: Details</a>



<a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/04/45066479/rare-bullish-signal-just-flashed-on-wall-street-will-it-power-sp-500-to-6000">Rare Bullish Signal Just Flashed On Wall Street: Will It Power S&amp;P 500 To 6,000?</a>



The Bears



<a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/05/45175831/apple-stock-faces-tariff-related-headwinds-4-analysts-break-down-q2-results-whats-next">"Apple stock faces tariff-related headwinds: 4 analysts break down Q2 results, what's next"</a>, by Chris Katje, reports that Apple Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) exceeded Q2 expectations with $95.4 billion in revenue and $1.65 EPS, but analysts from Needham, Goldman Sachs and Bank of America warn that escalating U.S.-China tariffs — projected to cost Apple $900 million in the June quarter — pose ongoing risks to product margins and earnings.



<a href="https://www.benzinga.com/news/earnings/25/04/45084597/starbucks-misses-q2-earnings-estimates-ceo-says-optimism-has-turned-into-confidence-i-see-more-opportunity-than-i-imagined">"Starbucks Misses Q2 Earnings Estimates, CEO Says Optimism Has Turned Into Confidence: ‘I See More Opportunity Than I Imagined'"</a>, by Adam Eckert, reports that Starbucks Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/SBUX#NASDAQ">SBUX</a>) posted Q2 revenue of $8.76 billion and adjusted EPS of 41 cents — both below analyst expectations — while CEO Brian Niccol expressed confidence in the company's "Back to Starbucks" turnaround plan, highlighting operational improvements and customer experience enhancements.



<a href="https://www.benzinga.com/news/earnings/25/04/45106948/norwegian-cruise-line-tumbles-after-earnings-miss-still-confident-in-2025-guidance">"Norwegian Cruise Line Tumbles After Earnings Miss, Still Confident In 2025 Guidance"</a>, by Akanksha Bakshi, reports that Norwegian Cruise Line Holdings Ltd. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NCLH#NYSE">NCLH</a>) shares fell after the company missed Q1 2025 revenue and earnings estimates, citing a 2.9% revenue decline to $2.13 billion and adjusted EPS of $0.07, but reaffirmed its full-year guidance of $2.05 EPS and $2.72 billion in adjusted EBITDA, despite softening forward bookings amid macroeconomic headwinds.



For more bearish takes, be sure to see these posts:



<a href="https://www.benzinga.com/news/earnings/25/05/45152870/bigbear-ai-shares-slide-after-worse-than-expected-q1-report">BigBear.ai Shares Slide After Worse-Than-Expected Q1 Report</a>



<a href="https://www.benzinga.com/trading-ideas/technicals/25/04/45072193/stock-of-the-day-abbvies-rally-looks-stretched-could-a-reversal-be-next">Stock Of The Day: AbbVie's Rally Looks Stretched — Could A Reversal Be Next?</a>



<a href="https://www.benzinga.com/25/04/45086922/whats-going-on-with-restaurant-chain-owner-brinkers-stock-today">Why Did Chili's Restaurant Parent Brinker International Stock Tumble On Tuesday?</a>



Keep up with all the latest breaking news and trading ideas by following <a href="https://twitter.com/Benzinga" target="_blank" rel="noreferrer noopener">Benzinga</a><a href="http://twitter.com/Benzinga" target="_blank" rel="noreferrer noopener"> on X</a>.



Image created using artificial intelligence via Midjourney.

ABBV

BBAI

NCLH

PLUG

SBUX

Benzinga Bulls And Bears: Lilly, Microsoft, Starbucks — And Markets Fully Recover Tariff Chaos Losses

A historic divergence is unfolding across asset classes, with gold surging to its best presidential-term start since Gerald Ford while U.S. stocks post their worst performance since the same era, and Bank of America's chief strategist Michael Hartnett says investors are increasingly betting on policy shifts to rescue the market <a href="https://www.benzinga.com/news/econ-s">from soft macroeconomic headwinds.</a>



In a note shared Friday, Hartnett outlined how the "second 100 days" of Donald Trump's 2025 presidency could bring a pivot toward lower tariffs, lower rates and lower taxes — a bullish trifecta for risk assets.



That shift, he said, could revive appetite for equities, even as recession signals persist in the economic data.



Just a week ago, Hartnett said a sustainable bull market would need three things: lower Treasury yields under 4%, consistent earnings growth above 5%, and a meaningful U.S.-China tariff rollback. His strategy remained: "Stay BIG, sell rips" — favoring bonds, international stocks and gold while fading rallies in U.S. equities.



<h3 class="wp-block-heading">Best Start For Gold In Nearly 50 Years</h3>



Gold is the standout performer year to date, up 22%, marking its best opening 100 days since the Ford administration. 



In contrast, the S&amp;P 500 is down 0.3%, its worst kickoff since the 1970s, while the U.S. dollar has tumbled 7.6%, logging its steepest slide since the Nixon era.



Notably, gold – as tracked by the SPDR Gold Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GLD#NYSE">GLD</a>) – logged its fifth straight month of outperformance versus stocks in April, notching both the longest streak since 2009 and the strongest since 2011. 



Read more: <a href="https://www.benzinga.com/economics/macro-economic-events/25/05/45154011/gold-leaves-sp-500-in-the-dust-with-biggest-outperformance-in-14-years">Gold Leaves S&amp;P 500 In The Dust With Biggest Outperformance In 14 Years</a>



Hartnett attributed the initial market moves to headline-grabbing developments like artificial intelligence excitement, crypto speculation, NATO tensions and "Liberation Day" trades. 



Yet, these trades are now "unwinding significantly," he said, as attention shifts to potential Trump-era economic policies in the pipeline.



<h3 class="wp-block-heading">Lower Yields, Weaker Dollar Cushion ‘Soft' Macro Data</h3>



Treasury yields are reflecting expectations of easier monetary policy. The 2-year Treasury yield has fallen 70 basis points since Trump&#8217;s Inauguration Day, oil is down 20%, and the U.S. dollar is weakening. 



These moves, combined with strong capital expenditures in AI — tracking at $320 billion for 2025 — are helping to cushion the blow from deteriorating economic indicators.



Soft macro data is still troubling: GDP forecasts for 2026 have dropped to 1.5% from 2%, oil has plunged 56% since the Russia-Ukraine shock and 17% since "Liberation Day," and consumer sentiment remains weak. 



Yet, Hartnett said as long as the U.S. labor market holds up — with no significant cracks in payrolls — recession fears may be premature.



April employment growth soared by 177,000, according to official statistics released Friday, topping estimates of 130,000. 



Now Read: 



<ul>
<li><a href="https://www.benzinga.com/economics/macro-economic-events/25/05/45166673/trump-cheers-falling-inflation-traders-pare-bets-on-fed-easing-after-jobs-report-the-fed-should-lower-its-rate">Trump Pressures Fed After Solid Jobs, Cooling Inflation: &#8216;Lower Its Rate!&#8217; (CORRECTED)</a></li>
</ul>



Image: Shutterstock

Econ #s

Forget The Stock Market's Tariff Turmoil. Trump's Next 100 Days Could Bring A Bullish Trifecta That Reignites Demand, Expert Says

In a move that critics say could damage the future of American clean energy, Elon Musk is reportedly overseeing the dismantling of the Department of Energy&#8217;s Loan Programs Office—the very agency that helped launch Tesla (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) to the level where it is now with a $465 million loan back in 2010.



<h2 class="wp-block-heading">The Loan That Helped Spark Tesla&#8217;s Rise</h2>



Fifteen years ago, Musk&#8217;s electric vehicle startup was far from the powerhouse it is today. With little private financing available, Tesla turned to the federal government. The Department of Energy issued the loan to help Tesla secure a factory in Fremont, California and start producing the Model S.



Don't Miss:



<ul>
<li>Inspired by Uber and Airbnb &#8211; Deloitte's fastest-growing software company is transforming 7 billion smartphones into income-generating assets &#8211; <a href="https://www.benzinga.com/money/mode-mobile-2">with $1,000 you can invest at just $0.26/share!</a></li>



<li>Hasbro, MGM, and Skechers trust this AI marketing firm — <a href="https://www.benzinga.com/money/rad-intel">invest pre-IPO from $0.60 per share now</a>.</li>
</ul>



By 2013, <a href="https://www.benzinga.com/personal-finance/25/04/44658827/elon-musk-paid-off-teslas-465-million-government-loan-9-years-early-with-interest-penalties-and-a-message-to-taxpayers-i-hope-we-did-you-proud">Tesla repaid the loan in full</a>, nine years ahead of schedule, including interest and a prepayment penalty. At the time, Musk <a href="https://x.com/ThomasSowell/status/1907788632267645294">said</a>, &#8220;Since we had the ability to do it and the stock markets were good, let&#8217;s pay it back with interest and a thank you note, by the way. I said, &#8216;really appreciate it. Thank you.'&#8221; In a public statement, Musk added, &#8220;I hope we did you proud.&#8221;



<h2 class="wp-block-heading">Musk&#8217;s Government Cuts Now Target The LPO</h2>



Fast-forward to 2025: Musk, as a leader in President Donald Trump&#8217;s Department of Government Efficiency, is presiding over sweeping cuts to the Department of Energy. <a href="https://www.latitudemedia.com/news/the-end-of-doe-as-we-know-it/">Latitude Media</a> reports that more than 1,200 DOE employees have already accepted deferred resignation offers.&nbsp;



Staff describe the environment as &#8220;demoralizing&#8221; and &#8220;a hostile takeover,&#8221; with an internal motto to &#8220;keep cutting &#8217;til the screaming starts.&#8221;



Trending: Donald Trump Just Announced a $500 Billion AI Infrastructure Deal — <a href="https://www.benzinga.com/money/seize-a-share-while-you-still-can-in-the-2-trillion-entertainment-market-with-elf-labs-at-just-2-25-share">Here's How You Can Invest in the Entertainment Market's Next Big Disruptor for Just $998</a>



The LPO, which had flourished under previous administrations by backing high-risk, high-reward energy projects, has been especially hard hit. Around half its federal workforce has reportedly resigned. Major loan recipients like Kore Power and Aspen Aerogels (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ASPN#NYSE">ASPN</a>) have scrapped plans for new battery and manufacturing plants, citing frozen loans and uncertain support, according to Latitude Media.&nbsp;



<h2 class="wp-block-heading">Billions In Government Support Over Two Decades</h2>



While Musk has become a vocal critic of federal subsidies, his companies have significantly benefited from government funding. A <a href="https://www.washingtonpost.com/technology/interactive/2025/elon-musk-business-government-contracts-funding/">Washington Post</a> analysis found that Tesla, SpaceX, and Musk&#8217;s other ventures have received at least <a href="https://www.benzinga.com/news/25/03/44079465/report-says-elon-musks-businesses-have-been-awarded-38-billion-in-government-contracts-since-2003-heres-what-taxpayers-are-funding">$38 billion in government contracts</a>, subsidies, loans, and tax credits since 2003.



Much of that funding came recently, with $6.3 billion awarded in 2024 alone. SpaceX received early support from NASA and the Department of Defense, and Tesla's profitability was heavily boosted by selling regulatory credits, without which Tesla would have reported a $700 million loss in 2020 instead of an $862 million profit, according to the Washington Post&#8217;s <a href="https://www.washingtonpost.com/technology/interactive/2025/elon-musk-business-government-contracts-funding/">analysis</a> of Securities and Exchange Commission filings.



See Also: <a href="https://www.benzinga.com/money/elon-musk-told-the-u-n-if-they-could-show-a-plan-for-ending-world-hunger-hed-donate-6-billion-i-will-sell-tesla-stock-right-now-and-do-it">Elon Musk Told The U.N. If They Could Show A Plan For Ending World Hunger He'd Donate $6 Billion – ‘I Will Sell Tesla Stock Right Now And Do It'</a>



<h2 class="wp-block-heading">The Future of DOE&#8217;s Clean Energy Efforts Looks Grim</h2>



With the LPO in disarray and further cuts looming across offices like the Grid Deployment Office and the Office of Clean Energy Demonstrations, the DOE&#8217;s ability to support renewable energy and innovative technology projects is now uncertain.



&#8220;Our fear is they will just shut things down because…there are no bodies to manage this,&#8221; one DOE employee told Latitude Media. Even projects with bipartisan support could falter without enough staff to administer them.



Musk&#8217;s pivot—from an entrepreneur who once thanked taxpayers for their support to a government official slashing the very programs that helped him—has left many industry insiders stunned.



Read Next:



<ul>
<li>BlackRock is calling 2025 the year of alternative assets. <a href="https://www.benzinga.com/money/masterworks">One firm from NYC has quietly built a group of 60,000+ investors who have all joined in on an alt asset class previously exclusive to billionaires like Bezos and Gates.</a></li>



<li>Shark Tank's Kevin O'Leary called Missing Ring his biggest mistake — Don't repeat history—<a href="https://www.benzinga.com/money/big-tech-has-spent-billions-acquiring-ai-smart-home-startups-one-company-stands-to-benefit-and-has-already-made-10-million">invest in RYSE at just $1.90/share.</a></li>
</ul>



Image: Shutterstock

ASPN

TSLA

'Keep Cutting 'Til The Screaming Starts'—Elon Musk Reportedly Shutting Down The Government Loan Office That Helped Tesla With $465 Million

Reddit, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/RDDT#NYSE">RDDT</a>) reported strong revenue and user growth in its better-than-expect Q1 report released Thursday. Executives offered more color and insight into future growth on the company's earnings <a href="https://www.benzinga.com/trading-ideas/movers/25/05/45176569/reddits-ad-strategy-is-clicking-say-analystsstrong-q1-sets-stage-for-profitable-growth-in-2025">call with analysts. </a>



Q1 Details: Reddit beat analysts' expectations on the top and bottom lines <a href="https://www.benzinga.com/general/social-media/25/05/45151798/reddit-stock-soars-after-better-than-expected-q1-daily-active-uniques-up-31-ad-revenue-up-61-and-more">with earnings</a> of 13 cents per share and revenue of $392.36 million, which beat the analyst consensus estimate of $370.01. 



Read Next: <a href="https://www.benzinga.com/news/management/25/05/45140155/musk-shifts-focus-back-to-tesla-says-doge-will-endure-without-him-is-buddha-needed-for-buddhism?utm_source=articleShare">Musk Shifts Focus Back To Tesla, Says DOGE Will Endure Without Him: &#8216;Is Buddha Needed For Buddhism?&#8217;</a>



DAUs: The social platform also saw user growth of 31% year-over-year with 108.1 million daily active uniques.&nbsp;



Reddit CEO Steve Huffman said on the earnings call that Reddit had 400 million weekly active uniques in Q1, but does expect growth to be "bumpy" in the near term due to changes in Google's search ecosystem. Huffman added that DAU growth for April averaged in the high teens. 



However, the CEO expressed optimism for growth over the longer term.&nbsp;



"We believe we're in great shape over the medium and longer term. Look, ultimately, we drive growth when we make improvements to the product, which is where our focus is. So things like onboarding, search, machine translation, they all drive growth over the long term," Huffman told analysts.&nbsp;



Revenue: Reddit's ad revenue increased 61% year-over-year to $358.6 million, and other revenue increased 66% year-over-year to $33.7 million in the first quarter.&nbsp;



CFO Drew Vollero said on the earnings call that strength in ad impressions was the primary revenue driver, along with growth across various verticals and international markets. 



"Additionally, the increase in ad pricing from our investments in performance and targeting contributed to higher returns for advertisers," Vollero added.&nbsp;



Guidance: The CFO guided second-quarter revenue in the range of $410 million to $430 million, representing growth of&nbsp;46% to 53% year-over-year.&nbsp;



"We are confident in our ability to deliver strong growth in Q2 and beyond, given the positive momentum and investments we're making across product and sales,&#8221; Vollero said.&nbsp;



Read Next:&nbsp;



<ul>
<li><a href="https://www.benzinga.com/news/management/25/04/45084982/sofi-brings-crypto-back-after-trump-policy-changes?utm_source=articleShare">SoFi Brings Crypto Back After Trump Policy Changes&nbsp;</a></li>
</ul>



Photo: Shutterstock

Social Media

Management

Movers

General

RDDT

Reddit Executives See 'Strong Growth In Q2 And Beyond'

The market rally continued into May as companies like Microsoft (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) and Meta Platforms (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) reported blowout <a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/05/45137383/microsoft-rallies-after-crushing-q3-earnings-goldman-sachs-lifts-target-to-480">Q1 earnings</a>. But while stocks reclaimed their pre-Liberation Day highs, sour sentiment and uncertainty continue to bleed into <a href="https://www.benzinga.com/economics/macro-economic-events/25/05/45139383/us-manufacturing-activity-contracts-in-april-as-tariffs-push-input-prices-toward-3-year-highs">survey data</a>.



Investors caught between the market rebound and declining sentiment may prefer to park their cash in sectors where product demand and market sentiment are less volatile, such as consumer staples.



Consumer staples stocks are resilient during downturns due to their focus on essential goods that people need regardless of economic conditions. This protects these firms from drastic revenue declines. Many also possess pricing power, allowing them to pass tariff costs to consumers without significant pushback.



Today, we'll look at five companies in the consumer staples space that offer strong dividends and high growth potential.



<h2 class="wp-block-heading">Interparfums Inc.&nbsp;</h2>



If your significant other has a favorite scent, there's a good chance Interparfums (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IPAR#NYSE">IPAR</a>) had a hand in making it. The France-based fragrance firm makes colognes and perfumes for brands like Donna Karan, Kate Spade, Coach, Guess, Montblanc, Ferragamo, and more. Interparfums reported $1.45 billion in sales over the past 12 months and currently has a market capitalization of over $3.5 billion.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXfOkma81-NTsApMIrtB1h37fir3zuZonotn9P4VHmyeGtE9VkFeAKehONFUln4YuZ3eEFsDWEkpsK-glcgCjLmhdKCSYWwewM3Xgs2btvofHcoxyD_gn_NDoNkxFinGPg0vfidy?key=T5If8DzUP6CFypYMGIowJsn4" alt=""/></figure>



IPAR currently yields 2.93% with a dividend payout ratio (DPR) of 63%, meaning that 63% of profits are allocated to dividend payments. Over 60% of profits going to a dividend may sound high, but consumer staples aren't growth-oriented firms and often return substantial chunks of earnings to shareholders. IPAR recently raised its quarterly dividend payout from $0.75 per share to $0.80 and reported 64% gross margins in the most recent earnings report. These figures indicate a strong dividend and the ability to absorb short-term tariff pressures. Additionally, the daily stock chart shows evidence of a trend reversal after a 22% decline in the preceding three months. IPAR has a high Benzinga Edge Quality score of 91.01 and reports its 2025 Q1 earnings on May 5.



<h2 class="wp-block-heading">J.M. Smucker Co.&nbsp;</h2>



If you have young children, you've likely familiarized yourself with Uncrustables, the prepackaged sandwich treats sweeping elementary school cafeterias and Little League baseball diamonds. Uncrustables come from food giant J.M. Smucker Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SJM#NYSE">SJM</a>), famous for its peanut butter and jelly. It also owns popular brands like Hostess, Folgers, Cafe Bustelo, Meow Mix, and Milk-Bone.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcfrFUcx03Ik9f-jz_NciLyClXb1QDzsyELB_8T3zP7J9oXcuZ_tqnL_xfxZiMvvPC_ZsbwE6YusYAxvg3Wbnjppa2-fgAPYGMifVnETbjn_JRNMOqGLfkunUwWFAocf55mDd3NJQ?key=T5If8DzUP6CFypYMGIowJsn4" alt=""/></figure>



SJM's dividend payout rate is beyond 100% this quarter due to a one-time impairment charge that affected earnings, but this charge blurs an otherwise sturdy dividend. SJM currently yields 3.72%, and the forward DPR based on 2026 estimates is just 41%. The company is also a Dividend Aristocrat, meaning it has increased its annual payout for at least 25 consecutive years (SJM has been raising its payout for 27 years now). SJM reported 36% gross margins in its most recent conference call, and the chart shows a potential Golden Cross forming as the 50-day moving average converges with the 200-day moving average.



<h2 class="wp-block-heading">United Breweries Co.&nbsp;</h2>



United Breweries Company (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CCU#NYSE">CCU</a>) is a Chilean-based wine and spirits manufacturer known as Compañía Cervecerias Unidas in South America (hence the CCU stock ticker). The company operates primarily in South America, producing alcoholic and non-alcoholic beverages under its own name and through popular brands such as Heineken, Guinness, Pepsi, and Keurig. CCU doesn't need to worry about tariffs, as the company doesn't export to the United States. However, U.S. investors can still earn income from its durable dividend.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXc6QuCfT64RbCmD6Za-lXtzz7EKsSt2aKYpZnAV8nXs3c5AlZkMZoVImhyJcZ6-kR-qmTpyf1Sl47cf5xxFniaipnXDTLKQDXR29mHNDQRZqteElswwRxjn0HtXy8c5BXPvXq0CFQ?key=T5If8DzUP6CFypYMGIowJsn4" alt=""/></figure>



CCU's stock has a dividend yield of 3% with an amenable 28% DPR, indicating a resilient payout. The company also has strong margins for a food and beverage maker, with 45% gross margins in its most recent earnings report. Benzinga Edge rates the stock 99.42 in Quality and 92.45 in Value, the highest figures for any company on our list today. The daily chart is also a thing of beauty, with the price firmly above the 50-day and 200-day simple moving averages (SMAs) and the Relative Strength Index (RSI) still well below the overbought threshold of 70.



<h2 class="wp-block-heading">Diageo plc ADR&nbsp;</h2>



It's been a rough road lately for the English alcohol behemoth Diageo (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DEO#NYSE">DEO</a>), which counts Johnny Walker, Crown Royal, Don Julio, Ketel One, Bailey's, and Smirnoff among its most popular brands. DEO stock was a top performer following the COVID crash in 2020, going from a March 2020 low of $102 to $222 by the first week of 2022.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXd6xmvco1-VofOa0YmRHYSHbswarzBdZ6C7-zRP77odB6DOHn-bGM41tVQSH23appZSVfPpFGkmmN49Mwom0xyO9bgfeb5Bs9Bv_xHhX18j5k87Hmup6xU717y4lBW4CJbxQojL?key=T5If8DzUP6CFypYMGIowJsn4" alt=""/></figure>



The stock has returned to that 2020 low, but this could finally be a turning point for the beleaguered beverage maker. The chart above shows a distinct long-term double bottom; the stock bounced off that level almost immediately. DEO shares have returned 7% over the last month, and fundamentals indicate that more gains could be ahead. The company posted gross margins of 60% in its most recent earnings release, and the stock yields 3.7% with a DPR of just 46%. Analysts rate the stock as a consensus Buy with an average price target of $180, indicating tremendous upside potential from current levels. Optimism could finally be sinking in at Diageo after a 50% haircut over the last two-plus years.



<h2 class="wp-block-heading">Strategic Education Inc.&nbsp;</h2>



Strategic Education (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/STRA#NASDAQ">STRA</a>) operates private colleges and universities, such as Strayer, Capella, and Torrens, and offers online post-secondary educational programs. STRA shares saw a massive uptick during the pandemic as online education gained market share, but they dropped to multi-year lows in 2022 amidst declining revenue and shrinking margins.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdu1he7ZzwaHdzCJgxkVgpZ5vx4ZBR0A3ldQSCehzjbjpGoqoRz2WUqt3oKhnFAteEO5EUyF-lP5VXj9Pt7XrIIfGMoodp6NkBUVWNjL3gI-FikEWm-X7dNS-m80xpep1CP5C9D3g?key=T5If8DzUP6CFypYMGIowJsn4" alt=""/></figure>



STRA shares could be approaching a multi-year support level, as shown in the chart above. This fact, along with a safe dividend, makes this an attractive stock for income investors. The dividend yield is 2.94% with a 51% DPR, and the company has grown revenue for four consecutive quarters. Additionally, profit margins are back above 9% for the first time since the pandemic, with 47% gross margins, and the stock trades at just 17 times earnings.



<h2 class="wp-block-heading">Markets Are Whipsawing—Here's How to Find Trades Inside It</h2>



Massive Dow swings. Tech whiplash. Every CPI print is rattling the market. Chris Capre is going live Sunday, May 4 at 1 PM ET to break down how to time high-probability trades with his proven 0–5 day momentum system. Register <a href="https://events2.benzinga.com/chris-capre-webinar-sun-may4-2025-registration/?">HERE</a> to join the session.



Editorial content from our Expert contributors is intended to be information for the general public and not individualized investment advice. Editors/contributors are presenting their individual opinions and strategies, which are neither expressly nor impliedly approved or endorsed by Benzinga.



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