Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) plans to launch its robotaxis in Austin, Texas in June, according <a href="https://www.benzinga.com/topic/elon-musk">to CEO Elon Musk</a>.



What To Know: Musk, in an interview aired on Tuesday&#8217;s edition of CNBC&#8217;s &#8220;Power Lunch,&#8221; explained that the robotaxi rollout will start small and ramp up to hundreds of thousands of vehicles as soon as next year.



&#8220;We want to be very careful with the first introduction of unsupervised full self-driving, meaning the car&#8217;s driving around with no one in it,&#8221; Musk said.



Musk expects about 10 vehicles on the roads in the first week, about 1,000 driverless vehicles on the roads within a few months, and hundreds of thousands of vehicles capable of unsupervised full self-driving on the roads by the end of next year, &#8220;if not over a million.&#8221;



When CNBC&#8217;s David Faber asked why Musk is so confident, the CEO said Tesla vehicles are already driving themselves 24/7 with drivers in them, and the company has seen &#8220;essentially no interventions.&#8221;



Musk said that the company expects to unveil a business model for full self-driving similar to Uber Technologies Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UBER#NYSE">UBER</a>) and Airbnb Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ABNB#NASDAQ">ABNB</a>), where Tesla owners can rent out their vehicles when they aren&#8217;t using them.



&#8220;It&#8217;s a way for Tesla owners to earn revenue. Instead of having your car sit in the parking lot, your car could be earning money,&#8221; Musk said. &#8220;These things happen slowly, but then all at once.&#8221;



See Also: <a href="https://www.benzinga.com/markets/25/05/45516240/tesla-cfo-vaibhav-taneja-receives-record-139-million-pay-surpassing-most-ceos-even-as-elon-musk-faces-compensation-lawsuit">Tesla CFO Vaibhav Taneja Receives Record $139 Million Pay, Surpassing Most CEOs</a>



Why It Matters: Tesla bears have raised concerns about the company&#8217;s first-quarter performance, pointing to a&nbsp;9% year-over-year decrease in sales as automotive revenue dropped 20%. 



Musk also told CNBC that the company has seen a &#8220;major rebound in demand&#8221; since the first quarter.



Production numbers were also well below those of the same period last year, but shares moved higher following the report as Musk announced plans to reduce time spent working on government initiatives and provided optimistic commentary around full self-driving and the company&#8217;s humanoid Optimus bots. Musk reiterated that vision on Tuesday.



&#8220;Really the only things that matter long term are autonomy and Optimus. Those overwhelmingly dominate the future financial success of the company,&#8221; Musk said.



Tesla has not provided an exact date for its robotaxi launch in Austin. 



Musk's visionary rhetoric is often scrutinized due to <a href="https://www.benzinga.com/analyst-ratings/analyst-color/23/12/36039263/did-tesla-overpromise-and-underdeliver-with-the-cybertruck">overpromising and underdelivering</a> on ambitious projects, especially regarding Tesla robotaxis.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">This is why it's possible for Tesla to have a million robotaxis by end of 2020 if we upgrade existing HW2 fleet of ~500k &amp; make at least ~500k FSD cars&mdash; Kekius Maximus (@elonmusk) <a href="https://twitter.com/elonmusk/status/1148070210412265473?ref_src=twsrc%5Etfw">July 8, 2019</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



TSLA Price Action: Tesla shares were well off their highs for the session, but still up about 0.45% at $343.58 at the time of publication Tuesday. Tesla&#8217;s stock has gained approximately 44% over the past month, according to <a href="http://pro.benzinga.com">Benzinga Pro</a>.



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/25/05/45520017/why-morgan-stanley-remains-bullish-on-tesla">Why Morgan Stanley Remains Bullish On Tesla</a></li>



<li><a href="https://www.benzinga.com/news/25/05/45519469/tesla-stock-rises-after-musk-reaffirms-leadership-and-business-rebound">Tesla Stock Rises After Musk Reaffirms Leadership And Business Rebound</a></li>
</ul>



Photo: courtesy of Tesla.

News

Tech

ABNB

TSLA

UBER

Elon Musk Expects Tesla Robotaxi Launch For June: 'These Things Happen Slowly, Then All At Once'

Palo Alto Networks Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PANW#NASDAQ">PANW</a>) reported third-quarter financial results for fiscal 2025 after the market close on Tuesday. Here&#8217;s a rundown of the <a href="https://www.benzinga.com/pressreleases/25/05/n45529278/palo-alto-networks-reports-fiscal-third-quarter-2025-financial-results">cybersecurity company&#8217;s report</a>.



Q3 Earnings: Palo Alto reported third-quarter revenue of $2.29 billion, beating the&nbsp;<a href="http://benzinga.com/quote/PANW/earnings" target="_blank" rel="noreferrer noopener">consensus estimate</a>&nbsp;of $2.28 billion. The company reported third-quarter adjusted earnings of 80 cents per share, beating analyst estimates of 77 cents per share, according to <a href="http://pro.benzinga.com/" target="_blank" rel="noreferrer noopener">Benzinga Pro</a>.



Total revenue was up 15% year-over-year and remaining performance obligations grew 19% year-over-year to $13.5 billion. The cybersecurity company said next-generation security annual recurring revenue increased 34% year-over-year to $5.1 billion.



Palo Alto ended the quarter with approximately $2.38 billion in cash and cash equivalents.



&#8220;In&nbsp;Q3, we continued to make progress on our platformization strategy and achieved an important milestone in crossing&nbsp;$5 billion&nbsp;in Next-Gen Security ARR,&#8221; said&nbsp;Nikesh Arora, chairman and CEO of Palo Alto Networks. &#8220;Our scale and platform breadth makes us a leading consolidator of choice in cybersecurity.&#8221;



Guidance:&nbsp;Palo Alto expects fiscal fourth-quarter revenue to be in the range of $2.49 billion to $2.51 billion versus estimates of $2.5 billion. The company expects fourth-quarter adjusted earnings to be between 87 cents and 89 cents per share versus estimates of 86 cents per share.



Palo Alto also raised its full-year 2025 guidance. The company now expects full-year revenue of $9.17 billion to $9.19 billion, up from prior guidance of $9.14 billion to $9.19 billion. The company now anticipates full-year adjusted earnings of $3.26 to $3.28 per share, up from prior guidance of $3.18 to $3.24 per share, per&nbsp;<a href="http://pro.benzinga.com/" target="_blank" rel="noreferrer noopener">Benzinga Pro</a>. Analysts are forecasting full-year revenue of $9.17 billion and full-year adjusted earnings of $3.22 per share.



Palo Alto executives will further discuss the company&#8217;s quarterly performance on a conference call with investors and analysts at 4:30 p.m. ET.



PANW Price Action: <a href="https://www.benzinga.com/quote/PANW" target="_blank" rel="noreferrer noopener">Palo Alto shares</a> were up approximately 6.5% year-to-date heading into the report. The stock was down 3.81% after hours, trading at $187.09 at the time of publication Tuesday, according to <a href="http://pro.benzinga.com/" target="_blank" rel="noreferrer noopener">Benzinga Pro</a>.



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/05/45526658/palo-alto-networks-is-a-top-ai-driven-cybersecurity-play-analyst">Palo Alto Networks Is A Top AI-Driven Cybersecurity Play: Analyst</a></li>



<li><a href="https://www.benzinga.com/trading-ideas/movers/25/05/45501031/crowdstrike-announces-integration-in-nvidia-enterprise-ai-factory">CrowdStrike Announces Integration In Nvidia Enterprise AI Factory</a></li>
</ul>



Photo: Shutterstock.

Earnings

Guidance

Movers

PANW

Palo Alto Reports Q3 Earnings, Raises FY25 Guidance, Shares Slide

I got into the investment business on a steady diet of Graham and Whitman. But that was the 1980s and early 1990s – the golden age of dealmakers and junk bonds, leveraged buyouts and greenmail. 



Long before the players became gentlemanly private equity titans and activist investors, they were raiders, vultures, and even, in one famous book about the RJR deal, barbarians.



Legendary fortunes were made, reputations created and shattered.



All of these high-return, high-flying strategies shared a common thread. Leveraged buyouts, distressed investing and risk arb were all just variations on the value investing theme.



The private equity giants of today are still doing this. Thanks to their quarterly filings, you can copy their investment approach—a strategy that has beaten the markets 4-to-1 since 2001.



Even the creation of the junk bond market was based on Michael Milken&#8217;s studies on the returns from buying undervalued lower-rated bonds, a strategy founded on basic value investing principles.



The big winners in all these strategies took value investing and added debt.



It was like adding nitro to the tank of a stock car. If you could control the vehicle at high speed through the corners, there was no race you couldn&#8217;t win.



Although the golden age of risk arb and the smaller investors&#8217; ability to compete in distressed debt are all behind us, we can still use the combination of debt and value investing to beat the index by a wide margin.



When the 13F filings come out every quarter, most of the short-attention-spans in the market today head for the same filings at the same time.



Warren, Cathie, Stanley, Tepper and Seth still get all the attention.



I may get around to those at some point, but one of the first places I turn is to the leading private equity firms.



Firms like Apollo Global Management (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/APO#NYSE">APO</a>), Blackstone (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BX#NYSE">BX</a>) and KKR (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KKR#NYSE">KKR</a>) still use basic principles of value investing along with a healthy dose of debt to drive massive returns for themselves and their investors.



What most people do not realize is that these firms also have large public securities portfolios, and stealing their ideas has created some massive market-beating opportunities.



If you had bought shares of Mr. Cooper (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/COOP#NASDAQ">COOP</a>) when it first appeared in KKR&#8217;s public portfolio in 2018, you could have made almost ten times your money.



Buying shares of AppLovin (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/APP#NASDAQ">APP</a>) when KKR first revealed its position would have resulted in gains of almost seven times your initial cost.



DoorDash (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/DASH#NASDAQ">DASH</a>) would have delivered gains of 3x in just a few years.



Owning the firm&#8217;s top ten holdings since 2001 would have beaten the market by a 4-to-1 margin.



I do not care what the media darling investors bought last quarter. Tell me what the profit pirates at KKR own, and I can create an opportunity to score massive gains.



The current top ten holdings for KKR are:



BrightSpring Health Services (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BTSG#NASDAQ">BTSG</a>) provides home and community-based health services to complex patients, positioning itself in a niche with long-term demographic tailwinds. The company is newly public and pursuing scale through both organic growth and targeted acquisitions in behavioral and specialty pharmacy segments.



Henry Schein (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/HSIC#NASDAQ">HSIC</a>) is a global distributor of dental and medical supplies primarily serving small- and mid-sized practices. The company generates stable cash flow and has a long history of disciplined capital deployment, though growth is modest and sensitive to procedure volume trends.



BrightView (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BV#NYSE">BV</a>) is the largest commercial landscaping services provider in the U.S., with recurring maintenance revenue making up the majority of its business. Under new leadership, the firm is undergoing a restructuring push to improve margins and reduce debt after years of underperformance.



KKR Real Estate Finance Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KREF#NYSE">KREF</a>) is a commercial mortgage REIT focused on senior loans backed by institutional-grade real estate, primarily in urban markets. It offers a high dividend yield but remains exposed to office market weakness and refinancing risk in a higher-rate environment.



Madison Square Garden Sports (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MSGS#NYSE">MSGS</a>) owns marquee sports franchises, including the New York Knicks and Rangers, offering investors a rare asset-backed play on professional sports. Valuation is driven more by franchise appreciation than earnings power, making it a long-duration, event-driven asset.



Norwegian Cruise Line (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/NCLH#NYSE">NCLH</a>) is a leading cruise operator with a strong focus on premium and upscale offerings across its brand portfolio. The company is rebounding from pandemic-era disruptions, though it still carries significant leverage and remains sensitive to fuel and labor costs.



Bausch Health (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BHC#NYSE">BHC</a>) is a diversified specialty pharmaceutical company with exposure to eye health, dermatology, and branded generics. However, the company is still burdened by high legacy debt. While it&#8217;s pursuing a turnaround strategy and asset divestitures, legal overhangs and weak cash flow remain headwinds.



FS KKR (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FSK#NYSE">FSK</a>) is one of the largest business development companies, focused on senior secured lending to middle-market companies with an emphasis on downside protection. It offers a double-digit yield and strong sponsor backing, though credit quality and NAV stability require close monitoring.



Crescent Energy (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/CSGY#NYSE">CSGY</a>) is a cash-generating E&amp;P company with a private equity-backed structure and a focus on acquiring and optimizing mature, low-decline assets. The firm maintains a disciplined capital return framework and hedging strategy, making it a defensive upstream play with yield upside.



BridgeBio Pharma (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/BBIO#NASDAQ">BBIO</a>) is a commercial-stage biopharmaceutical company developing treatments for genetic diseases and cancers with clear genetic drivers. Its lead drug, Attruby (acoramidis), approved in late 2024 for transthyretin amyloid cardiomyopathy, significantly outperformed sales expectations in its first full quarter, positioning the company as a strong competitor in the cardiomyopathy treatment market.



<h2 class="wp-block-heading">Turn Market Mayhem Into Profit Signals This Memorial Day</h2>



Get real-time portfolio alerts, daily stock ideas, and a suite of pro-grade tools — all in one elite membership. For a limited time, you can access Benzinga Edge at 60% off. Secure Your 60% Memorial Day Discount <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-memorial-day-special/?utm_campaign=mdw-sale&amp;utm_adType=sponsorad&amp;utm_ad=RD052025/?el=ResearchDaily&amp;he={{email}}&amp;adt_ei={{email}}&amp;utm_medium=newsletter">HERE</a>.



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.



Photo: Shutterstock

Opinion

Trading Ideas

BBIO

BTSG

COOP

DASH

HSIC

KREF

MSGS

NCLH

CSGY

The Smart Money Is Buying These 10 Stocks

Bitcoin is testing the $106,000 level on Tuesday, while Ethereum, XRP and Dogecoin continue to show signs of weakness.



<figure class="wp-block-table"><table class="has-fixed-layout"><tbody><tr><td>Cryptocurrency</td><td>Price&nbsp;&nbsp;&nbsp;</td><td>Gains +/-</td></tr><tr><td>Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>)</td><td>&nbsp;$106,003.37</td><td>+0.95%</td></tr><tr><td>Ethereum (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/eth/usd">ETH</a>)</td><td>&nbsp;$2,468.88</td><td>-1.2%</td></tr><tr><td>Solana (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/sol/usd">SOL</a>)</td><td>&nbsp;$165.96</td><td>+0.4%</td></tr><tr><td>XRP (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/xrp/usd">XRP</a>)</td><td>&nbsp;$2.33</td><td>-1.8%</td></tr><tr><td>Dogecoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/doge/usd">DOGE</a>)</td><td>&nbsp;$0.2202</td><td>-1.5%</td></tr><tr><td>Shiba Inu (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/shib/usd">SHIB</a>)</td><td>&nbsp;$0.00001425</td><td>-1.3%</td></tr></tbody></table></figure>



Notable Statistics:



<ul class="wp-block-list">
<li>IntoTheBlock data shows large transaction volume increasing by 62.5% and daily active addresses up by 16.5%. Transactions greater than $100,000 are up from 7,945 to 11,221 in a single day. Exchanges netflows surged by 5,227.5%.</li>



<li>Coinglass data reports 68,648 traders were liquidated in the past 24 hours for $192.88 million.</li>
</ul>



Notable Developments:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/cryptocurrency/25/05/45510057/senate-crypto-bill-passes-key-vote-genius-act-moves-toward-final-passage">Senate Crypto Bill Passes Key Vote, GENIUS Act Moves Toward Final Passage</a></li>



<li><a href="https://www.benzinga.com/general/market-summary/25/05/45515900/mstrs-new-bitcoin-accounting-standard-to-drive-financial-swings-make-earnings-volatile-says-expert-after-lawsuit-hits-strategy">MSTR&#8217;s New Bitcoin Accounting Standard To Drive &#8216;Financial Swings,&#8217; Make Earnings &#8216;Volatile,&#8217; Says Expert After Lawsuit Hits Strategy</a></li>



<li><a href="https://www.benzinga.com/markets/cryptocurrency/25/05/45517785/bitcoin-to-hit-500000-by-2028-standard-chartered-says-as-etfs-buy-667m-on-monday">Bitcoin To Hit $500,000 By 2028, Standard Chartered Says, As ETFs Buy $667M On Monday</a></li>



<li><a href="https://www.benzinga.com/markets/cryptocurrency/25/05/45522456/genesis-accuses-dcg-barry-silbert-of-fraud-seeks-1-2b-in-crypto-transfers-made-during-insolvency">Genesis Accuses DCG, Barry Silbert Of Fraud, Seeks $1.2B In Crypto Transfers Made During Insolvency (UPDATED)</a></li>
</ul>



Top Gainers:



<figure class="wp-block-table"><table class="has-fixed-layout"><tbody><tr><td>Cryptocurrency</td><td>Price&nbsp;&nbsp;&nbsp;</td><td>Gains +/-</td></tr><tr><td>Pendle (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/">PENDLE</a>)</td><td>&nbsp;$4.36</td><td>+8.5%</td></tr><tr><td>Aave (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/aave/usd">AAVE</a>)</td><td>&nbsp;$255.82</td><td>+7.9%</td></tr><tr><td>Curve DAO Token (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/crv/usd">CRV</a>)</td><td>&nbsp;$0.7006</td><td>+5.3%</td></tr></tbody></table></figure>



Trader Notes: Analyst Kevin believes a clean break above $106,800 would confirm the next leg up toward $116,000, but until then, he warns it's still a &#8220;wait and see&#8221; environment.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Break 106.8K cleanly on <a href="https://twitter.com/hashtag/BTC?src=hash&amp;ref_src=twsrc%5Etfw">#BTC</a> and I&#39;ll see you at 116K until then we wait and see. <a href="https://t.co/mRBYF0SIps">pic.twitter.com/mRBYF0SIps</a>&mdash; Kevin (@Kev_Capital_TA) <a href="https://twitter.com/Kev_Capital_TA/status/1924885672915091746?ref_src=twsrc%5Etfw">May 20, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Meanwhile, Michael van de Poppe <a href="https://x.com/CryptoMichNL/status/1924795741186256968">sees</a> familiar patterns forming, noting Bitcoin's current stagnation mirrors the all-time high consolidations of 2017 and 2021, periods that preceded explosive upside moves. 



He suggests this could be the calm before the storm in the ongoing bull cycle. 



Quinten Francois offered a strategic note: "Buy in May and go away (for 5 months)," hinting that patient long-term positioning now could pay off by Q4.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Buy in May and go away (for 5 months) <a href="https://t.co/cGmfWts7Kl">https://t.co/cGmfWts7Kl</a>&mdash; Quinten &#x7C; 048.eth (@QuintenFrancois) <a href="https://twitter.com/QuintenFrancois/status/1924901312891596940?ref_src=twsrc%5Etfw">May 20, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Jelle, another trader, <a href="https://x.com/CryptoJelleNL/status/1924790562009346526">said</a> Bitcoin is nearing a new phase of price discovery. Staying disciplined, he trimmed 2% of his position as per plan but maintains strong exposure for what he expects to be a smooth final leg of the bull run. "Gains are secured. Now, we ride."



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/cryptocurrency/25/05/45525006/bitcoin-is-about-to-make-a-golden-cross-what-happens-next">Bitcoin Is About To Make A Golden Cross: What Happens Next?</a></li>
</ul>



Image: Shutterstock

Cryptocurrency

$AAVE

$BTC

$CRV

$DOGE

$ETH

$PENDLE

$SHIB

$SOL

$XRP

Bitcoin Taps $106,000 As Ethereum, XRP, Dogecoin Struggle

Target Corporation (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TGT#NYSE">TGT</a>) could provide a gauge for consumer spending and the impact of tariffs when the company reports its first-quarter financial results before the market opens<a href="https://www.benzinga.com/earnings"> Wednesday.</a>



Here are the earnings estimates, what analysts are saying ahead of the report and key items to watch.



Earnings Estimates: Analysts expect Target to report first-quarter revenue of $24.32 billion, down from $24.53 billion in last year's first quarter, according to data<a href="https://www.benzinga.com/pro/register?utm_adType=bzprocontent&amp;utm_campaign=14daytrial&amp;utm_ad=0520"> from Benzinga Pro.</a>



The company beat analyst estimates for revenue in the fourth quarter and has beaten analyst estimates in seven of the last 10 quarters.



Analysts expect the company to report first-quarter earnings per share of $1.65, down from $2.03 in last year's first quarter. The company beat analyst estimates in the fourth quarter and has beaten them in seven of the last 10 quarters overall.



Read Also: <a href="https://www.benzinga.com/news/earnings/25/05/45516206/target-how-to-earn-500-a-month-from-stock-ahead-of-q1-earnings">How To Earn $500 A Month From Target Stock Ahead Of Q1 Earnings</a>



What Analysts Are Saying: Analysts have been lowering their price targets ahead of the quarterly financial results.



Telsey Advisory Group analyst Joseph Feldman reiterated an Outperform rating on Target and lowered the price target from $145 to $130 <a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/05/45474952/analyst-lowers-target-q1-forecast-amid-spending-slump-rising-consumer-tariffs">ahead of the report.</a>



The analyst said Target&#8217;s quarterly report could show weaker consumer spending, particularly in areas like general merchandise and discretionary items.



Feldman also cautioned about rising costs due to promotions, increased labor costs, higher-tech investments, and the impact of tariffs.



The analyst said Target gets around 50% of its cost of goods sold from within the United States, with around 30% from China. Target could use items like vendor negotiations, sourcing diversification and price increases to offset the tariff impact, he said.



Here are other recent <a href="https://www.benzinga.com/quote/TGT/analyst-ratings">analyst ratings on Target</a> and their price targets:



<ul class="wp-block-list">
<li>Barclays: Maintained Equal-Weight rating, lowered price target from $140 to $102</li>



<li>Citigroup: Maintained Neutral rating, increased price target from $95 to $97</li>



<li>Piper Sandler: Maintained Neutral rating, lowered price target from $124 to $105</li>



<li>Bernstein: Downgraded stock from Market Perform to Underperform, lowered price target from $97 to $82</li>



<li>JPMorgan: Maintained Neutral rating, lowered price target from $120 to $95</li>
</ul>



Key Items to Watch: Tariffs remain one of the key items investors and analysts will be watching in Target's report and commentary. The report comes days after retail peer Walmart Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WMT#NYSE">WMT</a>)<a href="https://www.benzinga.com/news/earnings/25/05/45436534/walmart-doesnt-alter-annual-outlook-yet-ceo-says-all-tariffs-create-cost-pressures-but-china-has-biggest-impact"> reported earnings per share</a> that beat analyst estimates and sales that missed estimates.



Walmart said that price increases were coming soon to offset the impact of tariffs, a comment <a href="https://www.benzinga.com/markets/25/05/45484675/trumps-tariff-challenge-amid-rising-price-concerns-president-tells-walmart-to-eat-the-tariffs">that upset</a> President Donald Trump.



Target was one of several companies whose CEOs <a href="https://www.benzinga.com/25/04/44920573/ceos-of-walmart-target-home-depot-meet-trump-to-push-back-on-tariffs-impacting-consumer-prices">met with Trump</a> to discuss the tariff impacts and potential for empty shelves for consumers.



After Walmart was pressured for its comments about increasing prices to offset tariffs, Target could be faced with the tough choice of upsetting Trump by raising prices or finding other ways to offset costs.



Target reported sales down 3.1% in the fourth quarter, with comparable sales up 1.5%. Based on a Placer.ai report, the company could be in for another down sales quarter.



The report said Target visits were down 4.1% in the first quarter, compared to a 2.4% drop for Walmart. Both figures are based on a year-over-year basis. Target&#8217;s visits were up 3.5% year-over-year in January, with declines of 9.1% and 6.5% in February and March.



In April, Target visits were down 3.3% year-over-year, compared to a 4.5% gain for Walmart.



The company trailed Walmart's year-over-year performance in each of the months except for January.



Target's previous guidance called for <a href="https://www.benzinga.com/25/03/44106754/targets-q4-earnings-beat-estimates-warns-consumer-uncertainty-impact-in-q1-profits">full-year sales growth</a> of 1% with comparable sales flat. The company warned that the first quarter could experience year-over-year profit challenges due to tariffs, the timing of expenses and consumer uncertainty.



Investors and analysts will be watching to see if Target maintains its full-year guidance or pulls back due to a weak quarter and/or more uncertainty ahead.



TGT Price Action: Target stock was up 0.3% to $98.29 on Tuesday, versus a 52-week trading range of $87.35 to $167.40. However, it is down 28% year-to-date in 2025 and over 37% in the last year.



Read Next: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/markets/25/05/45342977/trumps-tariffs-reportedly-push-walmart-and-target-toy-suppliers-to-the-brink-of-closure-if-nothing-changes-well-be-crippled">Trump&#8217;s Tariffs Reportedly Push Walmart And Target Toy Suppliers To The Brink Of Closure: &#8216;If Nothing Changes, We&#8217;ll Be Crippled&#8217;</a></li>
</ul>



Photo: Shutterstock

Analyst Color

Previews

Reiteration

Analyst Ratings

Target Q1 Earnings Preview: Will The Company Blame Tariffs, Price Increases After Trump Scolded Walmart?

Elon Musk does not follow. He builds, and others orbit.



This is not about fanfare. It is about historical cycles, timing, and the alignment of power, capital, and attention. My best stock pick for 2025 is Tesla (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>), because no other public company sits at the center of so many converging forces, artificial intelligence, energy independence, global mobility, and social engineering. I am also betting on the eventual IPO of X, Musk's media platform, which will stoke speculative capital and narrative momentum around all of his holdings. But Tesla will lead. Because it is already built, already producing, and already positioned.



Tesla will dominate this cycle not just because of Musk's name, but because of what Tesla now represents. It is no longer a car company. It is a machine-learning engine that happens to sell vehicles, solar arrays, home batteries, humanoid robots, and, soon enough, autonomous software. It is the operating system of physical civilization. Wall Street has not caught up yet. But markets are shaped by attention, and attention will shift.



Tesla will be the beneficiary of three unstoppable waves in 2025: capital realignment, public desperation for direction, and Musk's calculated media conquest.



The Capital Wave When rates drop, and they will, the money will return to tech first. It always does. Throughout modern financial history, capital seeks growth the moment the cost of holding money declines. In 2023 and 2024, the Federal Reserve held rates elevated to tame inflation and slow down excess speculation. What it also did was trap trillions of dollars on the sidelines, waiting. As inflation continues to cool into the second half of 2025, institutions will be forced to redeploy. There are only a few names with the scale, vision, and volatility profile that large capital craves. Tesla tops that list.



Historically, we have seen similar patterns. In the early 2010s, capital chased Facebook, Google, and Amazon, because they were building digital monopolies. From 2019 to 2021, the same capital chased Tesla because it finally proved it could produce cars at scale while delivering growth numbers that broke valuation models. When rates fell, Tesla ran from $90 to $400 pre-split. The market understood where the force was, even if the balance sheets did not fully justify it.



It is about direction. Tesla has direction. Investors want velocity. Musk delivers that.



The Cultural Wave Beyond capital, there is a vacuum forming. The average person no longer believes in media, politics, or even education. They are looking for a signal to follow. Musk has filled that role. He does not posture. He executes. He builds rockets. He fights on social media. He takes positions. This creates resentment, but also loyalty.



In 2022 and 2023, the cultural elite attempted to dismantle Musk's influence. He responded by owning Twitter, now X, and transforming it into the free speech epicenter of digital conversation. People laughed. Now governments post policy updates on X first. News outlets pay to remain visible. Political movements rise or fall by his reply. It is not just a platform anymore. It is a nervous system for the new power class.



In 2025, I expect Musk to bring X public. Not because he needs the money, but because he understands narrative. The IPO will be a spectacle. It will draw attention, and that attention will spill over into Tesla, because the public cannot, and will not, separate Elon's personal momentum from his public companies.



This happened before. When Musk tweeted about Dogecoin in 2021, the token went vertical. Not because of fundamentals, but because of presence. When he hosted SNL, ratings spiked. When he sells flame-throwers or perfumes, they sell out in hours. Whether it is serious engineering or satire, he captures the collective gaze. Tesla stock will move because the crowd follows energy.



The Engineering Wave Technologically, Tesla is years ahead. Not in design, but in data.



While legacy carmakers struggle to pivot to electric, Tesla is quietly amassing a global neural net from real-world driving. Their Full Self Driving (FSD) software is not just an idea. It is deployed. Every mile driven trains the algorithm. And Tesla does not pay users for that data, they pay Tesla. It is the most efficient data acquisition model in history.



Other automakers outsource their vision systems. Tesla owns theirs. Others rely on partnerships for battery systems. Tesla controls theirs. Others are just now realizing that vertical integration matters. Tesla proved it years ago. While competitors drown in supply chain confusion and regulatory compliance, Tesla scales with precision. The results are obvious, but the implications are greater. This is not about electric vehicles. This is about who owns the interface between machine and motion.



On top of that, Tesla's energy division is quietly expanding. Battery storage installations are rising. Powerwall adoption is climbing. As power grids strain and blackout warnings rise, Tesla becomes not just a car company, but a home infrastructure brand. This will not just protect margins, it will multiply them.



In short, Tesla is building the infrastructure backbone of the future, and the market has not priced that in.



The Counter-Narrative and Why It Will Fail Critics say the stock is overpriced. They point to price-to-earnings ratios, debt levels, and production hiccups. But this is not a value stock. It is not trying to be. Tesla is priced for a future that does not exist yet. That is the point.



Amazon was ridiculed in 2003 for trading at 3,000 times earnings. But it owned the rails of ecommerce. Netflix was mocked in 2010 for shifting to streaming. But it owned the distribution. Tesla is doing the same with AI-driven mobility and energy. The valuation is not wrong. The lens is.



This is not an endorsement of reckless optimism. This is an assessment of reality. Valuations are elastic. Markets reward acceleration and innovation when the environment favors it. In 2025, the conditions will align. Low rates, public fatigue, and technological hunger will drive Tesla forward.



The bears will remain stuck in spreadsheets. The winners will be the ones watching behavior.



Final Position I am buying Tesla now because I understand what Musk is doing. It is not a gamble. It is a force.



Tesla will surge not because of an ad campaign or quarterly surprise, but because it is the only public stock that functions like a movement. When the X IPO hits, when FSD goes wide, when capital returns to tech, there will be a revaluation.



By the time Wall Street catches up, it will be too late.



That is why <a href="https://www.benzinga.com/quote/TSLA">TSLA </a>is my top stock pick for 2025.



I am not investing based on hope.



I am investing because I understand attention, timing, and force.



#TSLA #X #ElonMusk #ArtificialIntelligence #ElectricVehicles #Leadership #StockMarket #Capital #Energy #Technology

Equities

Markets

Why Tesla Is My Top Stock Pick For 2025: The Year of Elon Musk… Again

U.S. stocks pulled back Tuesday morning as Wall Street recalibrated expectations on growth and inflation amid rising fiscal risks tied to President Donald <a href="https://www.benzinga.com/topic/donald-trump">Trump's sweeping tax proposal.</a>



The S&amp;P 500 declined 0.4% to 5,935, potentially ending its six-day rally, while tech shares showed parallel losses. Small-cap equities held their ground, with the Russell 2000 trading flat.



Tensions are mounting in the U.S. House of Representatives, where lawmakers are locked in heated debates over Trump's proposed "One Big Beautiful Bill." The bill seeks to extend 2017 tax cuts, expand exemptions and overhaul federal spending, effectively tying tax relief to a reshaping of government priorities.



Trump has personally urged GOP lawmakers to back the bill, which he considers central to his second-term agenda.



&#8220;Alternative to not passing tax bill is massive tax hikes,&#8221; Trump said on Tuesday. 



Markets responded swiftly to the possibility of higher long-term government borrowing. The yield on the 30-year Treasury note rose seven basis points to 4.98%, a level not seen since March. As a result, the iShares 20+ Year Treasury Bond ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TLT#NASDAQ">TLT</a>) fell 0.9%.



Despite rising yields, gold rallied sharply by 1.8% to $3,280 per ounce, reversing nearly all of last week's losses. The safe-haven demand may reflect investor concern over mounting deficits and inflationary spillovers.



In energy markets, Henry Hub natural gas prices spiked over 9% to $3.39 per million British thermal units. Traders are betting on a demand rebound in case of an early summer heatwave, which could sharply increase air conditioning usage.



Meanwhile, Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) eased 0.4% to $105,000. 



<h1 class="wp-block-heading">Tuesday&#8217;s Performance In Major U.S., Indices, ETFs</h1>



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Major Indices</td><td>Price</td><td>1-day chg. %</td></tr><tr><td>Russell 2000</td><td>2,103.06</td><td>-0.1 %</td></tr><tr><td>Dow Jones</td><td>42,669.90</td><td>-0.3%</td></tr><tr><td>S&amp;P 500</td><td>5,943.01</td><td>-0.3%</td></tr><tr><td>Nasdaq 100</td><td>21,364.43</td><td>-0.4%</td></tr></tbody></table><figcaption class="wp-element-caption">Updated by 12:20 p.m. ET</figcaption></figure>



According to&nbsp;<a href="https://www.benzinga.com/pro/?utm_source=BZprocontent&amp;t=be2bearmibe3na1">Benzinga Pro</a>&nbsp;data:



<ul class="wp-block-list">
<li>The&nbsp;SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) edged 0.4% down to $592.44.</li>



<li>The&nbsp;SPDR Dow Jones Industrial Average&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/DIA#NYSE">DIA</a>) eased 0.3% to $426.57.</li>



<li>The tech-heavy&nbsp;Invesco QQQ Trust Series&nbsp;(NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>)&nbsp;fell 0.5% to $519.28.</li>



<li>The&nbsp;iShares Russell 2000 ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/IWM#NYSE">IWM</a>) inched 0.11% up to $209.20.</li>



<li>The&nbsp;Utilities&nbsp;Select Sector SPDR Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLY#NYSE">XLY</a>) was down 0.032%; the&nbsp;Real Estate&nbsp;Select Sector SPDR Fund&nbsp;(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/XLRE#NYSE">XLRE</a>) lagged, down 0.8%.</li>
</ul>



<h1 class="wp-block-heading">Tuesday&#8217;s Stock Movers</h1>



<ul class="wp-block-list">
<li>Microsoft Corp. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NYSE">MSFT</a>) slipped 0.5%, even as <a href="https://www.benzinga.com/analyst-ratings/analyst-color/25/05/45519467/microsofts-4-trillion-moment-is-now-in-sight-goldman-sachs">Goldman Sachs lifted</a> its price target from $480 to $550.</li>



<li>Amer Sports Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/AS#NYSE">AS</a>) soared 17% in reaction to quarterly earnings. </li>



<li>Home Depot Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HD#NYSE">HD</a>) inched 0.5% after marginally missing Street&#8217;s estimates. </li>



<li>Stocks slated to report earnings after the close include Palo Alto Networks Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PANW#NASDAQ">PANW</a>) and Keysight Technologies Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/KEYS#NYSE">KEYS</a>) Read Now: • <a href="https://www.benzinga.com/25/05/45517783/magnificent-7-stun-the-street-with-the-best-earnings-beat-since-2021">Magnificent 7 Stun The Street With Best Earnings Beat Since 2021</a> Photo: Shutterstock<a href="https://www.benzinga.com/25/05/45517783/magnificent-7-stun-the-street-with-the-best-earnings-beat-since-2021"> </a> </li>
</ul>

Government

Large Cap

Regulations

Broad U.S. Equity ETFs

ETFs

KEYS

MSFT

XLRE

Wall Street Falls As 30-Year Treasury Flirts With 5% Yield: What's Driving Markets Tuesday?

Cryptocurrency analyst Benjamin Cowen says Bitcoin's (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) soon-to-form golden cross could act as a local market peak rather than a signal of <a href="https://www.benzinga.com/money/bitcoin-price-prediction">a sustained rally</a>.



What Happened: In his update published on YouTube on May 19, Cowen <a href="https://www.youtube.com/watch?v=V3AHyJn1c9k">noted</a> "We're going to have a golden cross within the next few days," highlighting that the gap between the 50-day and 200-day SMAs has narrowed from $1,600 to just $600, signaling imminent crossover.



While 2023 and 2024 golden crosses led to immediate upside, earlier market cycles often saw a pattern where Bitcoin &#8220;rallied into the golden cross and then dumped right after it,&#8221; Cowen highlighted.



Cowen warns that earlier cycles—such as 2019 and 2020—show Bitcoin often rallies into a golden cross, only to sell off shortly afterward. "If Bitcoin fails to set a higher high around or after the golden cross, we could repeat 2024's pattern of lower highs and lower lows," Cowen said.



He added that Q3 is often a seasonally weak period for Bitcoin, making the timing of this golden cross particularly critical.



Also Read: <a href="https://www.benzinga.com/markets/cryptocurrency/25/05/45503054/jack-dorsey-backs-renaming-bitcoins-smallest-unit-bits-calls-satoshi-confusing">Jack Dorsey Backs Renaming Bitcoin&#8217;s Smallest Unit &#8216;Bits,&#8217; Calls &#8216;Satoshi&#8217; Confusing</a>



What's Next: Cowen identifies $90,000 to $93,000 as critical support. This zone aligns with several technical markers &#8211; the 20-week simple moving average and 21-week exponential moving average (bull market support band) and the 50-day and 200-day SMAs.



For investors worried about downside risk, Cowen still favors Bitcoin over altcoins, noting BTC is currently trading just 2% below its all-time high, while altcoins remain 23–24% off their peaks. 



He emphasized that Bitcoin provides the best risk-reward profile: "Bitcoin gives you exposure to the upside while minimizing downside risk."



He also pointed out that Bitcoin dominance tends to rise during sideways or bearish conditions, seen clearly in summer consolidations of both 2023 and 2024 and expects that pattern to hold if the market enters another cooling phase.



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/25/05/45519909/bitcoin-vs-ethereum-try-btc-eth-why-smart-money-bets-on-both">Bitcoin Vs. Ethereum? Try BTC + ETH &#8211; Why Smart Money Bets On Both</a></li>
</ul>



Image: Shutterstock

Bitcoin Is About To Make A Golden Cross: What Happens Next?

The Magnificent Seven – minus Nvidia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVDA#NASDAQ">NVDA</a>), which is due to report earnings this week – delivered a stunning earnings beat in the first quarter of 2025, surpassing timid Street expectations and sending a clear message: the foundations of <a href="https://www.benzinga.com/tech">Big Tech's dominance remain firm.</a>



The six tech giants that have reported so far delivered an average EPS growth of 28% year over year — nearly three times the 9% pace seen across the rest of the S&amp;P 500.



They didn't just grow, they blew past expectations. Consensus estimates were exceeded by 16%, marking the most significant earnings surprise since the second quarter of 2021, when the group beat forecasts by 27%.



<h3 class="wp-block-heading">Big Tech Just Delivered Its Best Quarter In Four Years</h3>



Alphabet Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/GOOGL#NASDAQ">GOOGL</a>) and Amazon.com Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AMZN#NASDAQ">AMZN</a>) were standouts. Alphabet delivered 48.7% EPS growth and beat expectations by nearly 39%. Amazon posted a 62.2% earnings jump, crushing its EPS estimate by over 16%.



Meta Platforms Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>) followed with 36.5% growth, while Microsoft Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/MSFT#NASDAQ">MSFT</a>) delivered 17.7%. Apple Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AAPL#NASDAQ">AAPL</a>) showed more modest growth of 7.8% but still edged out its target.



The laggard was Tesla Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>), whose EPS fell 40% year-over-year, missing the mark by over 34%. 



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td></td><td>Reported EPS (Past Quarter)</td><td>YoY % growth</td><td>Expected EPS</td><td>Surprise (%)</td></tr><tr><td>Apple Inc.</td><td>$1.65</td><td>+7.8%</td><td>$1.627</td><td>1.4%</td></tr><tr><td>Microsoft Corp.</td><td>$3.46</td><td>+17.7%</td><td>$3.22</td><td>7.4%</td></tr><tr><td>Amazon.com Inc.</td><td>$1.59</td><td>+62.2%</td><td>$1.36</td><td>16.4%</td></tr><tr><td>Meta Platforms Inc.</td><td>$6.43</td><td>+36.5%</td><td>$5.2</td><td>22.8%</td></tr><tr><td>Alphabet Inc.</td><td>$2.81</td><td>+48.7%</td><td>$2.02</td><td>38.8%</td></tr><tr><td>Tesla Inc.</td><td>$0.27</td><td>-40%</td><td>$0.41</td><td>-34.1%</td></tr></tbody></table></figure>



<h3 class="wp-block-heading">MAGS ETF Rebounds, But Remains Underwater in 2025</h3>



The Roundhill Magnificent Seven ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/MAGS#NYSE">MAGS</a>), a tracker of these tech titans, has surged 34% from its April 7 lows, outpacing the SPDR S&amp;P 500 ETF Trust's (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) 23% gain and Invesco QQQ Trust's (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>) 29% rally over the same period.



However, MAGS ETF remains 5% lower year-to-date. According to Dave Mazza, CEO at Roundhill Investments, this year&#8217;s drawdown reflected "increasing skepticism around valuations, sector concentration, and the growing impact of global trade disruptions." 



"These companies aren't speculative bets on future adoption," the expert noted. "They are the infrastructure of the real economy and, in some cases, staples within global consumers' lives."



Unlike previous cycles of concentrated market leadership, such as the Dot-Com boom, today&#8217;s leaders are not speculative growth stories but entrenched players in AI, cloud and automation.



Mazza highlighted that institutional flows into MAGS "remain relatively resilient," indicating long-term conviction hasn&#8217;t fully eroded.



All Eyes On Nvidia: The Final Piece Of The Puzzle



All eyes now turn to Nvidia, set to report earnings on May 28. 



Analysts expect EPS of $0.88, up 43% from the same quarter last year. Revenue estimates stand at $43.2 billion, which would represent a staggering 66% year-over-year increase. 



If those numbers hold, Nvidia could reinforce the Magnificent Seven's bullish narrative — and potentially lift the elite group of tech stocks into positive territory for the year.



Read now: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/25/05/45513498/us-stock-futures-dip-after-sp-500s-six-day-streak-quick-recoveries-tend-to-see-stocks-rally-more-over-the-next-3-12-months-says-expert-citing-historical-data">US Stocks Likely To Open Lower After S&amp;P 500&#8217;s Six-Day Streak: &#8216;Quick Recoveries Tend To See Stocks Rally More Over The Next 3-12 Months,&#8217; Says Expert </a></li>
</ul>



Photo: Shutterstock

Specialty ETFs

AAPL

AMZN

GOOGL

MAGS

NVDA

Magnificent 7 Stun The Street With Best Earnings Beat Since 2021

The term ‘short squeeze' entered retail investors' vocabulary in January 2021 when GameStop (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/GME#NYSE">GME</a>) went parabolic following a coordinated effort by traders on Reddit. Short sellers had attempted to profit from GameStop&#8217;s demise by borrowing shares from their broker and immediately selling on the open market.



The selling and the company&#8217;s lagging business would drive the price down, so the short sellers were hoping to buy the shares back later for less and pocket the difference. Instead, Reddit traders and a stronger-than-expected business pushed the price up. This sent short-sellers scrambling to buy shares back and close out their positions, causing the stock to go up even faster.



These &#8220;short squeezes&#8221; often peter out as quickly as they materialize, but profits can be exponential for those who find entry points before the catalyst.



Now that markets have recovered from April&#8217;s tariff drama, let&#8217;s take a look at some still-downbeat stocks primed for a short squeeze.



Here are five stocks with huge potential for a short squeeze run-up.



Each stock on this list has a minimum Benzinga Edge Growth Score of 96, short interest over 15% (meaning at least 15% of the float is sold short), and a potential catalyst on the horizon that could spark the fire.



<h2 class="wp-block-heading">Abercrombie and Fitch Co.</h2>



<ul class="wp-block-list">
<li>Benzinga Edge Growth Score: 99.21</li>



<li>Short Interest: 20.93%</li>



<li>Catalyst: Tariff reductions, technical breakout</li>
</ul>



Abercrombie and Fitch (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ANF#NYSE">ANF</a>) made our list earlier as a stock to watch in March when the Relative Strength Index (RSI) dropped below 30, triggering an Oversold signal. But then Liberation Day happened, and stocks plunged, especially those exposed to Chinese manufacturing like ANF. However, now that the harshest tariffs have been rolled back and the odds of a recession are dropping, apparel stocks could be primed for a comeback, and Abercrombie is still flashing bullish technical signals. The stock has been down over 40% year-to-date (YTD) but up 13% in the last 30 days.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXejWYySmB76KdXbLy8Wl853VRDSFevBoRd5EuSYBht6xZ0Zj9F9Q-_tJHFu0G2iAsCCE-AfK5yhgYnf-akDyuWTue0Td7G2w-YRpqQjBddKmfcpeKO9YYzMZEkMi4B83ge2xu2UaA?key=BlRnkVoXsDLlwLJ4ABsedQ" alt=""/></figure>



The stock recently saw its 14-day exponential moving average (EMA) cross the 21-day EMA, indicating short-term bullish momentum. ANF's price has struggled to break above this level since President Trump announced his reciprocal tariffs, but now the breakout has occurred, and the RSI is still cooperating by staying below 70. ANF shares trade at just 7.5 times earnings, and the company still has some of the best margins in the apparel business. It also reports earnings on May 28, so a potential short-squeeze catalyst awaits.



<h2 class="wp-block-heading">Applied Digital Corp.</h2>



<ul class="wp-block-list">
<li>Benzinga Edge Growth Score: 98.02</li>



<li>Short Interest: 30.54%</li>



<li>Catalyst: Cryptocurrency bull market, technical breakout</li>
</ul>



Applied Digital (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/APLD#NASDAQ">APLD</a>) is an artificial intelligence "picks and shovels" play that focuses on hosting data centers and cloud services for AI, crypto mining, and high-performance computing firms. The company has a $1.27 billion market cap and has grown its annual revenue each year since it went public, but it has yet to reach profitability.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXddq6O1E7WnluYE4PqT4qiKYFlngbgG4yHQ1G_--mBJ0_I3V3tP0-NWseewbSTcspxErVjeZh6eK9V6rrqvQ5hKJYzBJVHj_7Ctlf3di85QFKX_cE9cZPxQocsc2rcVXJC-1wL6mg?key=BlRnkVoXsDLlwLJ4ABsedQ" alt=""/></figure>



Of course, we aren't worried about the path to profitability when hunting short squeezes, and APLD shares have some bullish technical signals to go along with over 30% short interest. The stock dipped following a revenue miss on the April 14 earnings report, but shares have been shrugging off the bad report and moving higher. Like ANF, the stock chart shows the 14-day EMA crossing the 21-day EMA, with the price hugging the 14-day EMA as support. Analysts are still bullish on the stock, with Needham, Cantor Fitzgerald, and HC Wainwright defending their Buy ratings following earnings. The average price target between these three is $9, indicating a potential upside of over 55%.



<h2 class="wp-block-heading">Airship AI Holdings Inc.</h2>



<ul class="wp-block-list">
<li>Benzinga Edge Growth Score: 97.70</li>



<li>Short Interest: 71.66%</li>



<li>Catalyst: Earnings</li>
</ul>



Airship AI (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/AISP#NASDAQ">AISP</a>) is a small-cap firm offering data management solutions to clients using AI platforms. AISP has some of the classic hallmarks of a short squeeze: a tiny market cap, a thinly traded float that was massively sold short, and a potential catalyst unfolding.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXe3fT9KA-hbPQshVpStWY8CP7fKa-MsD1FWMxAt_hlfOs_TsHiD5gJOx--vC5F0ACC-P9eCYQgKrrpZQwooQHTrMIJMsxvuXh5W0M9T6WwK9PnZseecx1yBlbnmSYmQT6eKzxpe1Q?key=BlRnkVoXsDLlwLJ4ABsedQ" alt=""/></figure>



AISP has over 71% short interest, the highest on our list by more than 40%. When stocks are shorted to this level, there's usually a good reason, and a parabolic GameStop-esque rally isn't in the cards. However, AISP reported a 25% revenue surprise to the upside during its May 15 earnings report, sending the stock up 4% in after-hours trading. It was the third straight quarter the company had increased revenue, and it&#8217;s now trading above its 50-day and 200-day simple moving averages (SMAs) for the first time since February.



<h2 class="wp-block-heading">NuScale Power Corp.&nbsp;</h2>



<ul class="wp-block-list">
<li>Benzinga Edge Growth Score: 96.87</li>



<li>Short Interest: 18.98%</li>



<li>Catalyst: Earnings, technical breakout</li>
</ul>



Nuclear power has been grabbing lots of headlines lately as Google <a href="https://www.benzinga.com/content/45335750/google-is-betting-big-on-nuclear-reactors-should-you">reached an agreement</a> to open three nuclear sites to power AI data centers. The AI energy boom will require alternative sources, and nuclear power is quickly becoming a revitalized choice. Companies like NuScale (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SMR#NYSE">SMR</a>), which operates the only approved small module reactors (SMRs), could benefit most from this change of heart.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdVzU12PzgkXxgIuWJjv6nKvtZT6vLI5BtMEKiN9bdhh_MTQyn7Fm88PZjpD348wAL6i-odpJTl-dhTILDqpY8ld8xOHk_q_c4i2B9w2ofx27Vm2kVcHpyPUeoibcxZIeaSKP3W?key=BlRnkVoXsDLlwLJ4ABsedQ" alt=""/></figure>



NuScale has a pair of catalysts working in its favor: its partnership with AI data center provider Standard Power and a blowout earnings report. On May 12, NuScale reported a top and bottom-line earnings beat, including a 289% revenue surprise to the upside. The company also beat analysts&#8217; EPS estimates by 26%, and the stock is now up 37% in the last five sessions. The breakout above the 50-day and 200-day SMAs indicates more potential upside ahead, especially if the 50-day heads back over the 200-day SMA and triggers a Golden Cross.



<h2 class="wp-block-heading">Reservoir Media Inc.</h2>



<ul class="wp-block-list">
<li>Benzinga Edge Growth Score: 98.07</li>



<li>Short Interest: 18.09%</li>



<li>Catalyst: Earnings, technical breakout</li>
</ul>



Reservoir Media  (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/RSVR#NASDAQ">RSVR</a>) is a small-cap music media firm that records and publishes material from various independent artists. The company both signs new artists and acquires existing music catalogs. RSVR reports earnings on May 28, and technical indicators are signaling bullish activity under the surface.



<figure class="wp-block-image"><img decoding="async" src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXc6HMYkcOP1aGE3xb3MQ1ji1v0peaF8vdNFXpFO4pdsRLkLhCFkY4FxJHQPUpoc7UDTaY8KhadzOexz49da-mick4EHPF_0RuFXqswEa1723EzSqvYksF_JDANodmFqXFryEMDVfQ?key=BlRnkVoXsDLlwLJ4ABsedQ" alt=""/></figure>



RSVR has been declining since February but recently began poking its head above the 14-day and 21-day EMAs, indicating a potential support level is forming. As of this writing, shares are trading above both EMAs with the RSI well below the oversold threshold of 70. With earnings coming up, RSVR is the type of small-cap stock with high short interest that could surge higher with an upside surprise. Analysts thinly cover the stock, but B. Riley Securities did imbue a Buy rating with a $12.50 price target back on Halloween, which is nearly 70% higher than current prices. 



<h2 class="wp-block-heading">Unlock Hidden-Gem Stock Picks — 60% Off for Memorial Day</h2>



Edge members get five hidden-gem stock picks every Friday from our ‘Whisper Index.' It flagged Uber, MicroStrategy, Coinbase… all before major runs. Want the next 5 &#8211; at a special Memorial Day discount? Unlock the Weekly ‘Whisper Index' <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-memorial-day-special/?utm_campaign=mdw-sale&amp;utm_adType=sponsorad&amp;utm_ad=RD052025/?el=ResearchDaily&amp;he={{email}}&amp;adt_ei={{email}}&amp;utm_medium=newsletter">HERE</a> at 60% off



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.



Photo: Shutterstock

AISP

APLD

RSVR

5 Stocks About To Short Squeeze As Market Rebounds

Home Depot Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HD#NYSE">HD</a>) traded higher Tuesday after reporting <a target="_blank" href="https://www.benzinga.com/pressreleases/25/05/n45513138/the-home-depot-announces-first-quarter-fiscal-2025-results-reaffirms-fiscal-2025-guidance" rel="noreferrer noopener">first-quarter 2025 results</a> and reaffirming its full-year outlook.



Sales rose 9.4% year over year to $39.86 billion, topping the $39.33 billion consensus. Adjusted earnings per share fell 3% to $3.56, <a target="_blank" href="https://www.benzinga.com/earnings" rel="noreferrer noopener">missing the $3.60 estimate</a>.



Overall comparable sales declined 0.3%, with U.S. comps gained 0.2% year-over-year. Foreign exchange weighed on total comp sales by about 70 basis points. Customer transactions grew 2.1%.



Home Depot did not explicitly mention tariffs in its first-quarter press release, but updated its forward-looking statement compared to the fourth quarter by expanding risks to include "tariffs, trade policy changes or restrictions, or international trade disputes" and supply chain diversification in multiple clauses.



Also Read: <a target="_blank" href="https://www.benzinga.com/analyst-ratings/analyst-color/25/05/45503211/home-depot-q1-earnings-preview-tariffs-mortgage-comments-how-consumers-are-changing-their-spending-habits" rel="noreferrer noopener">Home Depot Q1 Earnings Preview: Tariffs, Mortgage Comments, How Consumers Are ‘Changing Their Spending Habits'</a>



Gross profit rose 8.3% year over year to $13.46 billion, with a margin of 33.8%, down 37 basis points.



Operating income increased 1.1% to $5.13 billion, while the operating margin fell to 12.9%, down 107 basis points. The adjusted operating margin declined to 13.2% from 14.1% a year earlier.



Operating expenses increased 13.2% year over year to $8.33 billion.



"Our first quarter results were in line with our expectations as we saw continued customer engagement across smaller projects and in our spring events," commented Ted Decker, chair, president, and CEO.



Operating cash flow for the quarter totaled $4.33 billion, down from $5.50 billion a year earlier. As of May 4, the company held $1.369 billion in cash and equivalents.



At the end of the quarter, HD operated 2,350 retail stores and over 790 branches across the U.S., Canada, and Mexico.



Home Depot reaffirmed it forecast of total sales growth of 2.8% year-over-year, reaching $163.98 billion, below the consensus of $164.17 billion.



Comparable sales are expected to rise approximately 1%, with an adjusted operating margin of around 13.4%.



The company anticipates adjusted earnings per share will decline about 2% to $14.94, lower than the $14.99 consensus estimate.



Price Action: HD shares are trading higher by 0.95% at $383 at the last check Tuesday.



Also Read:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/25/05/45404626/walmart-target-home-depot-ceos-tell-trump-prices-will-rise-shelves-will-be-empty-if-tariffs-persist" target="_blank" rel="noreferrer noopener">Walmart, Target, Home Depot CEOs Tell Trump Prices Will Rise — ‘Shelves Will Be Empty' If Tariffs Persist</a></li>
</ul>



Photo via Shutterstock

Home Depot Flags Tariff And Supply Chain Risks In Risk Statement But Does Not Revise Outlook

Tesla Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/TSLA#NASDAQ">TSLA</a>) stock edged higher by as much as 3.5% to $354.15 early Tuesday morning after CEO Elon Musk, speaking at the Qatar Economic Forum, said he remains committed to leading the company for the next five years.



What Else: Investors welcomed the announcement, viewing it as a sign of stability during a period of uncertainty for the electric vehicle maker. Musk also claimed Tesla has &#8220;already turned around&#8221; following a <a href="https://www.benzinga.com/news/earnings/25/04/44937440/tesla-q1-misses-estimates-as-tariff-pressures-weigh-on-outlook-lower-cost-evs-still-on-track">difficult first quarter</a> marked by falling revenue, lower deliveries and missed earnings estimates. 



Despite these challenges, Musk's renewed leadership pledge and optimism suggest confidence in Tesla&#8217;s upcoming product roadmap, including affordable models in 2025 and the <a href="https://www.benzinga.com/topic/cybercab">Cybercab</a> in 2026.



The market likely interpreted the comments as a vote of confidence in Tesla's long-term strategy amid a volatile macroeconomic landscape.



Read Also: <a href="https://www.benzinga.com/25/05/45513708/tesla-new-vehicle-registrations-surge-in-china-gary-black-says-it-should-provide-investors-some-relief">Tesla New Vehicle Registrations Surge In China, Gary Black Says It Should Provide Investors Some Relief</a>



<h2 class="wp-block-heading">How To Buy TSLA Stock</h2>



Besides going to a brokerage platform to purchase a share &#8211; or fractional share &#8211; of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument. 



For example, in Tesla&#8217;s case, it is in the Consumer Discretionary sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.



According to data from&nbsp;<a href="https://benzinga.grsm.io/register174">Benzinga Pro</a>, TSLA has a 52-week high of $488.54 and a 52-week low of $167.41.

Tesla Stock Rises After Musk Reaffirms Leadership And Business Rebound

D-Wave Quantum Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/QBTS#NYSE">QBTS</a>) shares are ripping higher in early trading Tuesday after the company announced the general availability of its <a href="https://www.benzinga.com/pressreleases/25/05/b45514131/d-wave-announces-general-availability-of-advantage2-quantum-computer-its-most-advanced-and-perform">most advanced quantum computer</a>.



What Happened: Quantum computing company D-Wave announced the availability of its commercial-grade Advantage2 system, built to address real-world use cases in optimization, materials simulation and AI.



The company said customers can now access the Advantage2 system through its D-Wave&#8217;s Leap real-time quantum cloud service. Currently available in more than 40 countries, the system offers sub-second response times and SOC 2 Type 2 compliance to meet enterprise needs and security requirements. Advantage2 is also available for hyperscalers to purchase for on-premises ownership. 



&#8220;Today marks a significant milestone not just for D-Wave, but for the quantum computing industry as a whole, as we bring to market our sixth-generation quantum computer, a system so powerful that it can solve hard problems outside the reach of one of the world&#8217;s largest exascale GPU-based classical supercomputers,&#8221; said Alan Baratz, CEO of D-Wave. 



&#8220;It&#8217;s an engineering marvel, with substantial technical advancements that highlight D-Wave&#8217;s progress in scaling quantum technology to meet industry demands for growing computational processing power while maintaining energy efficiency.&#8221;



D-Wave said its latest quantum processor offers several advantages versus the prior generation, including increased qubit connectivity, higher energy scale and greater coherence. The system also enables coherent quantum annealing at scale and hybrid solver integration.



Related Link: <a href="https://www.benzinga.com/etfs/sector-etfs/25/05/45503887/quantum-vs-ai-nvidias-next-big-bet-could-supercharge-these-2-etfs">Quantum Vs AI: Nvidia&#8217;s Next Big Bet Could Supercharge These 2 ETFs</a>



<h3 class="wp-block-heading">How To Buy QBTS Stock</h3>



By now you're likely curious about how to participate in the market for D-Wave Quantum &#8211; be it to purchase shares, or even attempt to bet against the company.



Buying shares is typically done through a brokerage account. You can find a list of <a href="https://www.benzinga.com/money/best-stock-trading-platforms">possible trading platforms here.</a> Many will allow you to buy &#8220;fractional shares,&#8221; which allows you to own portions of stock without buying an entire share.



In the case of D-Wave Quantum, which is trading at $13.15 as of publishing time, $100 would buy you 7.6 shares of stock.



If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to &#8220;go short&#8221; a share of stock by lending you the shares to sell. The process of shorting a <a href="https://www.benzinga.com/money/how-to-short-a-stock">stock can be found at this resource.</a> Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading &#8211; either way it allows you to profit off of the share price decline.



QBTS Price Action: <a href="http://benzinga.com/quote/qbts">D-Wave Quantum shares</a> are up nearly 975% over a one-year period. The quantum stock was up 19.5% at $15.73 at the time of publication Tuesday, according to <a href="http://pro.benzinga.com">Benzinga Pro</a>.



Photo: courtesy of D-Wave Quantum.

QBTS

D-Wave Quantum Stock Is Surging Tuesday: Here's Why

A former senior U.S. diplomat&nbsp;has called for urgent direct talks between U.S. President Donald Trump and Chinese President Xi Jinping before the 90-day trade truce ends.



What Happened: Michael McFaul, the former U.S. ambassador to Russia during the Obama Administration, expressed his concerns about the absence of communication between the two leaders. Despite Trump&#8217;s second term being four months old, he and Xi have not yet had a direct dialogue, <a href="https://www.scmp.com/news/china/diplomacy/article/3310934/trump-xi-direct-talks-needed-soon-clock-ticks-trade-truce-ex-us-diplomat?module=top_story&amp;pgtype=homepage">reported</a> the South China Morning Post.



"I think more engagement at the highest levels is the first step towards a better [US-China] bilateral relationship," stated McFaul.



McFaul painted a grim picture of this situation, calling it &#8220;horrible&#8221; at an event at the Chongyang Institute for Financial Studies at Renmin University in Beijing. He stressed the importance of high-level engagement and government-to-government dialogue, including a visit from U.S. Secretary of State Marco Rubio to China.



&#8220;It&nbsp;is especially important that President&nbsp;Trump meets with Xi Jinping,&#8221; McFaul stated, emphasizing the urgency after Trump&nbsp;expressed a willingness to visit&nbsp;China for talks.



McFaul cautioned that the lack of engagement could lead to misconceptions and assumptions of ill intent between the two nations, advocating for a return to more active engagement to avoid worst-case scenarios.



SEE ALSO: <a href="https://benzinga.com/trading-ideas/movers/25/05/45510197/bitcoin-ethereum-dogecoin-rally-as-senate-advances-key-crypto-bill-analyst-says-btc-could-touch-a-fresh-all-time-high-in-coming-days" target="_blank" rel="noreferrer noopener">Bitcoin, Ethereum, Dogecoin Rally As Senate Advances Key Crypto Bill: Analyst Says BTC Could Touch A Fresh All-Time High In Coming Days</a>



Why It Matters: This call for direct talks comes in the wake of Trump&#8217;s recent&nbsp;<a href="https://www.benzinga.com/25/05/45481159/donald-trump-offers-to-visit-xi-jinping-in-beijing-calls-uschina-ties-important-after-striking-temporary-trade-truce">offer to visit China</a>&nbsp;to meet with Xi Jinping, emphasizing the importance of US-China relations. 



Furthermore, Treasury Secretary Scott Bessent has recently <a href="https://www.benzinga.com/markets/25/05/45510198/scott-bessent-says-us-will-continue-trading-with-china-while-strategically-reshoring-semiconductors-steel-and-pharmaceuticals-to-protect-national-security">clarified </a>that the U.S. will &#8216;continue trading with China&#8217; while reshoring critical supply chains.



The last known telephonic conversation between the two leaders was on January 17, before Trump&#8217;s inauguration, with Beijing rejecting subsequent claims of further talks by the Trump administration. 



Notably, in the same event, Wu Xiaoqiu, dean of Renmin University's National Academy of Financial Research, cautioned that Washington should be careful with its rhetoric in managing international relations. Referring to Trump's claim in a Fox interview that he believed "China would have broken apart" without the tariff pause, Wu said, "Such statements do not help improve China-U.S. relations, including future economic and trade relations.



<ul class="wp-block-list">
<li>READ MORE:&nbsp;<a href="https://benzinga.com/25/05/45509721/elizabeth-warren-urges-congress-to-vote-against-genius-act-citing-potential-for-trumps-corruptionanthony-scaramuc" target="_blank" rel="noreferrer noopener">Elizabeth Warren Urges Congress To Vote Against Crypto Bill, Saying It Turbocharges Trump Corruption — Anthony Scaramucci Warns Democrats Against &#8216;Political Suicide&#8217;</a></li>
</ul>



Image via Shutterstock



Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Former US Diplomat Calls For Urgent Trump-Xi Jinping Talks As Trade Truce Deadline Nears, Slams 'Horrible' Lack Of US-China Contact

&#8220;Shark Tank&#8221; investor Kevin O&#8217;Leary rejected President Donald Trump&#8217;s suggestion that retailers should absorb the costs of tariffs rather than passing them onto consumers, highlighting growing tensions between the administration and major retailers over trade policy implementation.



What Happened: O&#8217;Leary directly challenged Trump&#8217;s demand that retailers like Walmart should bear the financial burden of tariffs. &#8220;This idea that the president says, &#8216;Listen, retailers, eat the tariffs.&#8217; That&#8217;s not going to happen,&#8221; O&#8217;Leary said in an <a href="https://thehill.com/business/5308558-kevin-oleary-on-trump-walmart-retailers-tariffs/">interview</a> on NewsNation&#8217;s &#8220;The Hill.&#8221;



The investor predicted that the cost increases would be shared between consumers and retailers, though he noted the uncertainty around specific tariff rates pending future negotiations. &#8220;There&#8217;s going to be some distribution of the pain between increased prices, and retailers will take some of the hit, but it really depends what the hit is,&#8221; he continued. &#8220;We don&#8217;t know. Is it 10%? 20%? 25%? What is it? Nobody knows.&#8221;



O&#8217;Leary characterized the situation as &#8220;jawboning between the retailer and Trump,&#8221; suggesting that &#8220;we&#8217;re at the beginning of a negotiation.&#8221;



See Also: <a href="https://www.benzinga.com/government/regulations/25/05/45511929/coinbase-ceo-brian-armstrong-hails-huge-win-as-genius-act-advances-with-bipartisan-senate-support">Coinbase CEO Brian Armstrong Hails &#8216;Huge Win&#8217; As GENIUS Act Advances With Bipartisan Senate Support</a>



Why It Matters: The comments came after Walmart Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/WMT#NYSE">WMT</a>) announced plans to raise prices on imported goods, prompting <a href="https://www.benzinga.com/markets/25/05/45484675/trumps-tariff-challenge-amid-rising-price-concerns-president-tells-walmart-to-eat-the-tariffs">Trump to respond on Truth Social</a>: &#8220;Walmart should stop trying to blame Tariffs as the reason for raising prices throughout the chain. Walmart made billions of dollars last year, far more than expected.&#8221; Trump added, &#8220;Between Walmart and China, they should, as is said, &#8216;eat the tariffs,&#8217; and not charge valued customers anything.&#8221;



The clash represents a significant shift in O&#8217;Leary&#8217;s stance, as he previously advocated for even more aggressive trade actions against China. In April, <a href="https://www.benzinga.com/25/05/45443149/enough-is-enough-kevin-oleary-pushes-for-400-tariffs-in-cnn-debate-with-ross-gerber-get-ready-for-the-fight-of-your-life">O&#8217;Leary demanded a 400% tariff on Chinese imports</a> during a CNN appearance, saying, &#8220;Let&#8217;s just level the playing field. The [Chinese] government cheats, steals, robs, and does not play by any rules. I don&#8217;t think 125% is enough—400%!&#8221;



Economic indicators suggest mounting costs from the trade conflict. According to a Yale Budget Lab study tariffs implemented in 2025 have <a href="https://www.benzinga.com/25/05/45443149/enough-is-enough-kevin-oleary-pushes-for-400-tariffs-in-cnn-debate-with-ross-gerber-get-ready-for-the-fight-of-your-life">already led to a 2.3% spike in consumer prices</a>—amounting to an average $3,800 loss per household. Additionally, U.S. GDP shrank by 0.3% in the first quarter.



Read Also:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/tech/25/05/45511920/cathie-wood-says-brand-damage-has-happened-for-tesla-but-believes-it-isnt-long-term-tesla-will-have-a-lock">Cathie Wood Says Brand Damage Has Happened For Tesla But Believes It Isn&#8217;t Long-Term: &#8216;Tesla&#8230;Will Have A Lock…&#8217;</a></li>
</ul>



Disclaimer:&nbsp;This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.



Image Via Shutterstock

Macro Economic Events

Politics

Retail Sales

Economics

Kevin O'Leary Pushes Back On Trump's Call For Retailers To 'Eat The Tariffs': 'That's Not Going To Happen' — Warns Of Shared Pain As Walmart Raises Prices

U.S. stock futures were slightly lower on Tuesday after ending largely flat on Monday. Futures of major benchmark indices were trading lower in premarket.



The S&amp;P 500 index recorded its <a href="https://www.benzinga.com/25/05/45511478/dow-surges-over-100-points-despite-moodys-us-downgrade-investor-sentiment-decreases-fear-greed-index-remains-in-greed-zone">sixth session of advance</a> by ending marginally higher, shrugging off the <a href="https://www.benzinga.com/news/econ-s/25/05/45479078/moodys-downgrades-us-credit-rating-over-debt-deficit-concerns">Moody&#8217;s downgrade</a> from the weekend.



Experts were assessing the impact of President Donald Trump&#8216;s tax cuts via the proposed &#8216;<a href="https://www.benzinga.com/government/regulations/25/05/45506863/trumps-big-beautiful-bill-advances-heres-who-wins-and-loses">Big, Beautiful Bill</a>,&#8217; as Moody&#8217;s also highlighted the impact of the tax cuts from 2017, and underscored it as a key reason for its decision to downgrade the U.S. credit rating from Aaa to Aa1 on May 16, 2025.



Meanwhile, the 10-year Treasury bond yielded 4.45% and the two-year bond was at 3.96%. The CME Group's FedWatch <a href="https://www.cmegroup.com/markets/interest-rates/cme-fedwatch-tool.html">tool</a>&#8216;s projections show markets pricing a 91.4% likelihood of the Federal Reserve keeping the current interest rates unchanged in its June meeting. 



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Futures</td><td>Change (+/-)</td></tr><tr><td>Dow Jones</td><td>-0.20%</td></tr><tr><td>S&amp;P 500</td><td>-0.37%</td></tr><tr><td>Nasdaq 100</td><td>-0.45%</td></tr><tr><td>Russell 2000</td><td>-0.36%</td></tr></tbody></table></figure>



The SPDR S&amp;P 500 ETF Trust (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/SPY#NYSE">SPY</a>) and Invesco QQQ Trust ETF (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QQQ#NASDAQ">QQQ</a>), which track the S&amp;P 500 index and Nasdaq 100 index, respectively, fell in premarket on Tuesday. The SPY was down 0.29% to $593.14, while the QQQ declined 0.39% to $519.99, according to <a href="https://pro.benzinga.com/dashboard">Benzinga Pro </a>data.



Cues From Last Session:



Healthcare, consumer staples, and industrials led the S&amp;P 500&#8217;s Monday gains as U.S. stocks mostly climbed, with the Dow Jones adding over 100 points.



However, energy and consumer discretionary stocks bucked the upward trend, closing lower.



This positive momentum followed a strong prior week where the S&amp;P 500 rose 5.3%, the Dow increased 3.4%, and the Nasdaq Composite surged 7.2%.



Despite Moody&#8217;s downgrading U.S. sovereign credit from Aaa to Aa1, investors showed limited concern. Notably, UnitedHealth Group Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UNH#NYSE">UNH</a>) shares jumped over 8% on Monday, extending Friday&#8217;s 6% surge, after executives purchased shares during a recent dip.



Novavax Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVAX#NASDAQ">NVAX</a>) also soared 15% following FDA approval for its Nuvaxovid COVID-19 vaccine for high-risk individuals.



On the economic front, the CB Leading Index saw a 1% monthly decline in April.



<figure class="wp-block-table is-style-stripes"><table class="has-fixed-layout"><tbody><tr><td>Index</td><td>Performance (+/-)</td><td>Value</td></tr><tr><td>Nasdaq Composite</td><td>0.023%</td><td>19,215.46</td></tr><tr><td>S&amp;P 500</td><td>0.088%</td><td>5,963.60</td></tr><tr><td>Dow Jones</td><td>0.32%</td><td>42,792.07</td></tr><tr><td>Russell 2000</td><td>-0.42%</td><td>2,104.43</td></tr></tbody></table></figure>



Insights From Analysts:



As the S&amp;P 500 index recovered and it was just 2.99% lower than its all-time high of 6,147.43 points, Subu Trade shares data in an X post suggesting that the index tends to rally for 2-12 months after notching such &#8220;quick recoveries.&#8221;



Last time the S&amp;P 500 recovered from -18% to -3% within 50 days, it returned 20.43% on average after one year and 4.86% after three months.



Also, the data shows that the index was higher than 100% of the time after nine months and a year.



&#8220;These quick recoveries tend to see stocks rally more over the next 3-12 months. Momentum is strong,&#8221; the X post stated.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">The S&amp;P 500 is now -3% below its all-time high. Last month it was -18% below its all-time high. These quick recoveries tend to see stocks rally more over the next 3-12 months. Momentum is strong. <a href="https://t.co/rYzFp9IhSQ">pic.twitter.com/rYzFp9IhSQ</a>&mdash; Subu Trade (@SubuTrade) <a href="https://twitter.com/SubuTrade/status/1924556261581787515?ref_src=twsrc%5Etfw">May 19, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Meanwhile, analysts at BlackRock <a href="https://www.benzinga.com/general/market-summary/25/05/45512310/blackrock-bets-on-inflation-goes-overweight-inflation-linked-bonds-amid-us-fiscal-sustainability-challenge-heres-a-list-of-etfs-investors-can-consider">bet on rising inflation</a> by being "overweight" on the inflation-linked bonds. 



This strategic shift is to mitigate risks stemming from "persistent inflation pressure" and growing concerns over the sustainability of U.S. government finances.



The note also highlighted how the U.S. debt sustainability relies on large and steady funding by foreign investors.



"The downgrade reinforces the U.S. fiscal sustainability challenge that we've long flagged, especially persistent U.S. budget deficits at a time when higher interest rates are boosting debt servicing costs. If these dynamics dent the confidence of foreign bond holders, rising term premium could push up bond yields and debt servicing costs even more," explained BlackRock in its note.



As a result, BlackRock&#8217;s current strategy now anticipates higher term premiums for U.S. Treasuries and ongoing inflation.



"That&#8217;s why our starting point also includes our expectation of rising term premium for U.S. Treasuries and persistent inflation pressure. We go overweight inflation-linked bonds and neutral global investment grade credit given wider spreads," the note stated.



Even though U.S. assets are still core to their portfolios, BlackRock&#8217;s shift into inflation-linked bonds highlights their proactive approach to counter looming fiscal and inflationary challenges.



See Also:<a href="https://www.benzinga.com/money/how-to-trade-futures"> How to Trade Futures</a>



Upcoming Economic Data



Here&#8217;s what investors will keep an eye on Tuesday:



<ul class="wp-block-list">
<li>Richmond Fed President Tom Barkin will speak at 9:00 a.m. ET.</li>



<li>Boston Fed President Susan Collins will participate in the &#8216;Fed Listens&#8217; event at 9:30 a.m. ET.</li>



<li>St. Louis Fed President Alberto Musalem will speak at 1:00 p.m., and Federal Reserve Governor Adriana Kugler will speak at 5:00 p.m. ET.</li>
</ul>



Stocks In Focus:



<ul class="wp-block-list">
<li>Home Depot Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HD#NYSE">HD</a>) was 0.36% higher in premarket on Tuesday as analysts expect it to report quarterly earnings of $3.60 per share on revenue of $39.33, before the opening bell.</li>



<li>Toll Brothers Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TOL#NYSE">TOL</a>) was up 0.75% as Wall Street expects it to report earnings after the closing bell. It is expected to post earnings of $2.83 per share on revenue of $2.48 billion.</li>



<li>Palo Alto Networks Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PANW#NASDAQ">PANW</a>) was 0.026% above the flatline as analysts expect it to report quarterly earnings of 77 cents per share on revenue of $2.28 billion, after the closing bell.</li>



<li>Ekso Bionics Holdings Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/EKSO#NASDAQ">EKSO</a>) dropped 19.34% after announcing a 1-for-15 reverse stock split.</li>



<li>8&#215;8 Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/EGHT#NASDAQ">EGHT</a>) jumped 5% and posted in-line earnings for the fourth quarter on Monday.</li>



<li>DigiAsia Corp. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/FAAS#NASDAQ">FAAS</a>) fell 15.56% after announcing that it will allocate up to 50% of net profits for Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>) acquisition as part of a new strategic treasury reserve. The company also aims to raise upto $100 million to establish its initial BTC holdings and plans to generate yield through regulated institutional lending and staking.</li>



<li>Lyra Therapeutics Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/LYRA#NASDAQ">LYRA</a>) dropped 20.21% after announcing a reverse stock split, at 1-for-50, effective from May 27, 2025.</li>



<li>Yalla Group Ltd. ADR (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/YALA#NYSE">YALA</a>) slumped 9.08% after the first quarter showed an 8% year-over-year decline in paying users to 11.8 million.</li>



<li>ASP Isotopes Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/ASPI#NASDAQ">ASPI</a>) zoomed 14.49% after announcing multiple deals with TerraPower involving financial support and future HALEU supply.</li>
</ul>



Commodities, Gold, And Global Equity Markets:



Crude oil futures were trading lower in the early New York session by 0.19% to hover around $62.02 per barrel.



Gold Spot US Dollar rose 0.24% to hover around $3,238.07 per ounce. Its last record high stood at $3,500.33 per ounce. The U.S. Dollar Index spot was lower by 0.22% at the 100.2010 level.



Asian markets ended higher on Tuesday except South Korea's Kospi and India's S&amp;P BSE Sensex index. Australia's ASX 200, Japan's Nikkei 225, Hong Kong's Hang Seng, and China&#8217;s CSI 300 indices advanced. European markets were higher in early trade.



Read Next:



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/25/05/45510990/federal-reserve-should-do-nothing-at-all-about-the-rising-yields-says-craig-shapiro-let-the-bond-vigilantes-eat">Federal Reserve Should Do &#8216;Nothing At All&#8217; About The Rising Yields, Says Craig Shapiro: &#8216;Let The Bond Vigilantes Eat&#8217; </a></li>
</ul>



Photo courtesy: Shutterstock

Market Summary

Futures

Pre-Market Outlook

ASPI

EGHT

EKSO

FAAS

LYRA

NVAX

YALA

US Stocks Likely To Open Lower After S&P 500's Six-Day Streak: 'Quick Recoveries Tend To See Stocks Rally More Over The Next 3-12 Months,' Says Expert

The CNN Money Fear and Greed index showed some decline in the overall market sentiment, while the index remained in the &#8220;Greed&#8221; zone on Monday.



U.S. stocks settled mostly higher on Monday, with the Dow Jones index gaining more than 100 points during the session. Major indices recorded gains last week. For the week, the S&amp;P 500 gained 5.3%, while the Dow added 3.4%. The Nasdaq Composite was the standout performer, surging 7.2% last week.



Investors showed limited concern after <a href="https://www.benzinga.com/news/econ-s/25/05/45479078/moodys-downgrades-us-credit-rating-over-debt-deficit-concerns">Moody&#8217;s downgraded U.S. sovereign credit</a> from Aaa to Aa1, effectively stripping the world&#8217;s largest economy of its last top-tier credit rating.



UnitedHealth Group Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UNH#NYSE">UNH</a>) shares jumped more than 8% on Monday, extending Friday&#8217;s 6% surge, after several company executives bought shares during the recent selloff. Novavax Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/NVAX#NASDAQ">NVAX</a>) surged 15% after the FDA approved its Nuvaxovid COVID-19 vaccine for high-risk individuals, including seniors over 65 and those aged 12–64 with underlying health conditions.



On the economic data front, the CB Leading Index fell 1% month-over-month in April.



Most sectors on the S&amp;P 500 closed on a positive note, with health care, consumer staples, and industrials stocks recording the biggest gains on Monday. However, energy and consumer discretionary stocks bucked the overall market trend, closing the session lower.



The Dow Jones closed higher by around 137 points to 42,792.07 on Monday. The S&amp;P 500 gained 0.09% to 5,963.60, while the Nasdaq Composite rose 0.02% to 19,215.46 during Monday's session.



Investors are awaiting earnings results from The Home Depot, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/HD#NYSE">HD</a>), Toll Brothers Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TOL#NYSE">TOL</a>), and Palo Alto Networks Inc. (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/PANW#NASDAQ">PANW</a>) today.



What is CNN Business Fear &amp; Greed Index?



At a current reading of 69.6, the index remained in the &#8220;Greed&#8221; zone on Monday, versus a prior reading of 70.4.



The Fear &amp; Greed Index is a measure of the current market sentiment. It is based on the premise that higher fear exerts pressure on stock prices, while higher greed has the opposite effect. The index is calculated based on seven equal-weighted indicators. The index ranges from 0 to 100, where 0 represents maximum fear and 100 signals maximum greediness.



Read Next:<a href="https://www.benzinga.com/tech/25/05/45492092/jim-cramer-was-skeptical-of-rocket-lab-now-says-its-actually-a-decent-story"> </a>



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/tech/25/05/45492092/jim-cramer-was-skeptical-of-rocket-lab-now-says-its-actually-a-decent-story">Jim Cramer Was &#8216;Skeptical&#8217; Of Rocket Lab, Now Says &#8216;It&#8217;s Actually A Decent Story&#8217;</a></li>
</ul>



Photo courtesy: Shutterstock

Dow Surges Over 100 Points Despite Moody's US Downgrade: Fear Index Remains In 'Greed' Zone

Leading cryptocurrencies rose Monday amid the <a href="https://www.benzinga.com/markets/cryptocurrency/25/05/45510057/senate-crypto-bill-passes-key-vote-genius-act-moves-toward-final-passage">advancement of a stablecoin legislation</a> in the Senate.



<figure class="wp-block-table"><table class="has-fixed-layout"><tbody><tr><td>Cryptocurrency</td><td>Gains +/-</td><td>Price (Recorded at 10:30 p.m. ET)</td></tr><tr><td>Bitcoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/btc/usd">BTC</a>)</td><td>+1.41%</td><td>$106,510.09</td></tr><tr><td>Ethereum (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/eth/usd">ETH</a>) &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>+6.81%</td><td>$2,579.90</td></tr><tr><td>Dogecoin (CRYPTO: <a class="ticker" href="https://www.benzinga.com/quote/doge/usd">DOGE</a>)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</td><td>+2.14%</td><td>$0.2291</td></tr></tbody></table></figure>



What Happened: Bitcoin recaptured $106,000 after tapping liquidity and bouncing off the support around $102,000.



Ethereum fought off the Sunday correction, surging over 7% to reclaim the mid-$2,500s. The second-largest cryptocurrency's market dominance once again rose above 9%.



These moves coincided with the Senate&#8217;s vote to advance the GENIUS Act, often known as the stablecoin bill, opening the door for its final passage.



Nearly $300 million was liquidated from the cryptocurrency market in the last 24 hours, with over $150 million in bullish bets getting erased.



Bitcoin's Open Interest rose 5.92% in the last 24 hours, while funds locked in Ethereum's derivatives spiked by over 8%.&nbsp;



Interestingly, over 57% of top traders on Binance with an open BTC position were short on the apex cryptocurrency.



The "Greed" sentiment prevailed in the market, according to the Crypto Fear and Greed Index, indicating strong buying demand.



Top Gainers (24-Hours)



<figure class="wp-block-table"><table class="has-fixed-layout"><tbody><tr><td>Cryptocurrency</td><td>Gains +/-</td><td>Price (Recorded at 10:30 p.m. ET)</td></tr><tr><td>Aave (AAVE)</td><td>+19.41%</td><td>$265.34</td></tr><tr><td>Curve DAO Token (CRV)</td><td>+9.53%</td><td>$0.7403</td></tr><tr><td>Pendle (PENDLE)</td><td>+8.91%</td><td>$4.43</td></tr></tbody></table></figure>



The global cryptocurrency market capitalization stood at $3.35 trillion, following a marginal dip of 0.08% in the last 24 hours.



Stocks began the new trading week on a high. The Dow Jones Industrial Average rose 137.33 points, or 0.32%, to end at 42,792.07. The S&amp;P 500 recorded its sixth consecutive day of gains, closing 0.09% higher at 5,963.60. The tech-focused Nasdaq Composite eked out a gain of 0.02% to end at 19,215.46.



Bond yields rose after <a href="https://www.benzinga.com/markets/25/05/45484954/treasury-secretary-bessent-addresses-moodys-downgrade-and-tariff-impact-n-walmart">Moody's downgraded the U.S. long-term credit rating</a>, with the 30-year Treasury yields<a href="https://www.benzinga.com/economics/macro-economic-events/25/05/45500872/30-year-treasury-yields-hit-5-what-that-means-for-stocks"> spiking</a> to 5%—a level unseen since October 2023—while the benchmark 10-year yield topped 4.5%.



See More: <a href="https://www.benzinga.com/money/best-crypto-scanners">Best Cryptocurrency Scanners</a>



Analyst Notes: In a note to Benzinga, Arthur Azizov, founder and investor of B2 Ventures, said that Bitcoin bulls were now in control, with strong support at $102,000 and robust resistance around $106,000.



"If buyers manage to push through this range, especially with the return of the Coinbase premium, which hints at renewed U.S. demand, then a new ATH could be set within a week or slightly more," Azizov said.&nbsp;



He added that BTC has the ingredients to break through $108,000 and test the $110,000 level, where a psychological resistance may arise.



Cryptocurrency analyst and trader Michaël van de Poppe weighed in on the "typical" Sunday rally and subsequent retrace on Monday.



"Now, that move is over and Bitcoin is back at $105,000, ready to test the all-time high in the coming 1-2 weeks. Altcoins to outperform," Van De Poppe predicted.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Typical weekend move on <a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a>. Sweeping the high for liquidity and reversing back downwards. Now, that move is over and Bitcoin is back at $105,000 ready to test the all-time high in the coming 1-2 weeks.<a href="https://twitter.com/hashtag/Altcoins?src=hash&amp;ref_src=twsrc%5Etfw">#Altcoins</a> to outperform.&mdash; Michaël van de Poppe (@CryptoMichNL) <a href="https://twitter.com/CryptoMichNL/status/1924529234976112737?ref_src=twsrc%5Etfw">May 19, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Photo Courtesy: alfernec on Shutterstock.com



Read Next:&nbsp;&nbsp;&nbsp;&nbsp;



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/25/05/45509721/elizabeth-warren-urges-congress-to-vote-against-genius-act-citing-potential-for-trumps-corruptionanthony-scaramucci-warns-democrats-against-political-suicide">Elizabeth Warren Urges Congress To Vote Against Crypto Bill, Saying It Turbocharges Trump Corruption — Anthony Scaramucci Warns Democrats Against &#8216;Political Suicide&#8217;</a></li>
</ul>

Bitcoin, Ethereum, Dogecoin Rally As Senate Advances Key Crypto Bill: Analyst Says BTC Could Touch A Fresh All-Time High In Coming Days

On Monday, Cathie Wood-led Ark Invest made significant trades involving Taiwan Semiconductor Manufacturing Co Ltd (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/TSM#NYSE">TSM</a>) and Meta Platforms Inc (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/META#NASDAQ">META</a>).



The TSMC Trade saw Ark Invest making substantial purchases of the Taiwan-based chip giant&#8217;s shares. The Ark Innovation ETF (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/ARKK#NYSE">ARKK</a>) and ARK Next Generation Internet ETF (BATS:<a class="ticker" href="https://www.benzinga.com/stock/ARKW#BATS">ARKW</a>) collectively acquired 197,776 shares. This move comes as TSMC collaborates with <a href="https://www.benzinga.com/25/05/45487650/nvidia-tsmc-and-apple-supplier-foxconn-partner-to-develop-taiwan-ai-supercomputer">Nvidia and Foxconn</a> to develop a powerful AI supercomputer in Taiwan. The partnership aims to enhance AI computing infrastructure in Asia, potentially boosting TSMC&#8217;s technological edge. 



However, TSMC&#8217;s Arizona factory has <a href="https://www.benzinga.com/markets/asia/25/04/44932342/taiwan-semiconductors-arizona-factory-faces-441-million-loss-amid-supply-chain-labor-cost-challenges">faced challenges</a>, incurring a $441 million loss due to supply chain and labor cost issues. On Monday, TSMC shares ended the day 0.4% lower at $193.50 in New York. Ark&#8217;s trade was valued at $3.83 million.



The Meta Platforms Trade involved Ark Invest reducing its holdings in the Mark Zuckerberg-led social media behemoth. The ARKK and ARKW ETFs sold a total of 101,251 shares. This decision coincides with Meta&#8217;s ongoing legal battles, including a plea to dismiss an <a href="https://www.benzinga.com/tech/25/05/45485147/meta-pleads-with-judge-to-dismiss-ftcs-antitrust-case-in-high-stakes-trial">FTC antitrust case</a>. The case could significantly impact Meta&#8217;s market dominance. Despite these challenges, Meta has ambitious plans to <a href="https://www.benzinga.com/markets/25/05/45160454/mark-zuckerbergs-meta-targets-1-4-trillion-revenue-from-generative-ai-by-2035-court-filing-reveals">generate up to $1.4 trillion in revenue</a> from generative AI products by 2035. Meta shares ended the day at $640.43. Ark&#8217;s Meta sale was estimated to be worth $6.5 million.



Other Key Trades:



<ul class="wp-block-list">
<li>ARKW sold 5,988 shares of Jack Dorsey-led Block Inc. (XYZ)</li>



<li>ARKW bought 106,061 shares of GitLab Inc. (GTLB).</li>



<li>ARKW sold 57,013 shares of CoreWeave Inc. (CRWV).</li>



<li>ARKW bought 90,233 shares of Nextdoor Holdings Inc (KIND).</li>



<li>ARKX bought 16,057 shares of Blade Air Mobility Inc. (BLDE).</li>
</ul>



Taiwan Semiconductor has a Momentum in the 82nd percentile and a Value in the 51st percentile, according to Benzinga Edge Stock Rankings. Does Nvidia rank better in terms of Value? <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound">Find out here.</a>



<figure class="wp-block-image size-full"><a href="https://www.benzinga.com/premium/ideas/benzinga-edge-2#:~:text=Turn%20Market%20Chaos,when%20markets%20rebound"><img loading="lazy" decoding="async" width="444" height="282" src="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/19214521/Screenshot-2025-05-20-at-10.44.48.png" alt="" class="wp-image-920505" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/19214521/Screenshot-2025-05-20-at-10.44.48.png 444w,https://editorial-assets.benzinga.com/wp-content/uploads/2025/05/19214521/Screenshot-2025-05-20-at-10.44.48-300x191.png 300w" sizes="(max-width: 444px) 100vw, 444px" /></a></figure>



Photo Courtesy: ChrisStock82 on Shutterstock.com



Read Next: 



<ul class="wp-block-list">
<li><a href="https://benzinga.com/25/05/45486985/peter-schiff-slams-trumps-tariff-logic-higher-prices-are-necessary-to-shrink-trade-deficit" target="_blank" rel="noreferrer noopener">Peter Schiff Slams Trump&#8217;s &#8216;Eat The Tariffs&#8217; Message To Walmart: He Might As Well Ask It To Eat &#8216;Rent, Wages, Insurance&#8230;&#8217;</a></li>
</ul>



This story was generated using <a href="https://www.benzinga.com/author/benzinga-neuro">Benzinga Neuro</a> and edited by <a href="https://www.benzinga.com/author/shivdeep-dhaliwal" target="_blank" rel="noreferrer noopener">Shivdeep Dhaliwal</a>

ARKK

ARKW

Cathie Wood's Monday Moves: Ark Bets On Nvidia-Supplier TSMC, Sells $6.5 Million Of Mark Zuckerberg's Meta Shares

Treasury Secretary Scott Bessent made fresh clarifications on the country&#8217;s evolving trade posture, particularly in relation to China, and the reshoring of critical supply chains.



What Happened: On Sunday, Bessent posted a video clip on X from his recent appearance on CNN's State of the Union with Jake Tapper. The segment focused on U.S.-China trade relations and Bessent's comments on the administration's push to reshore key industries linked to national security.



See Also: <a href="https://www.benzinga.com/25/05/45509854/he-made-this-mess-schumer-slams-trump-over-rising-prices-says-walmarts-transparency-exposes-economic-reality-of-tariffs">Chuck Schumer Slams Trump Over Rising Prices, Says Walmart&#8217;s Transparency Exposes &#8216;Economic Reality&#8217; of Tariffs: &#8216;He Made This Mess&#8217;</a>



&#8220;Our goal is not to decouple from China, but to open markets and restore balance,&#8221; Bessent writes alongside the video excerpt. &#8220;We'll continue trading with China, especially in non-strategic goods, and at lower tariff levels,&#8221; he says.



In the clip, Bessent highlighted the administration's focus on restoring domestic production in industries deemed vital to national security. &#8220;During COVID, we realized that we had some very strategic shortfalls, whether it was medicines, semiconductors, steel,&#8221; he said. &#8220;Those are the industries we're working to bring back.&#8221;



Bessent reiterates in the video that they &#8220;don't want to decouple with China," and that &#8220;President [Donald] Trump actually wants to open up China for business.&#8221;



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="500" data-dnt="true">Our goal is not to decouple from China, but to open markets and restore balance. We'll continue trading with China, especially in non-strategic goods, and at lower tariff levels. At the same time, we're focused on reshoring critical industries like medicine, semiconductors, and… <a href="https://t.co/iutsNwQXnT">pic.twitter.com/iutsNwQXnT</a>&mdash; Treasury Secretary Scott Bessent (@SecScottBessent) <a href="https://twitter.com/SecScottBessent/status/1924113999224078402?ref_src=twsrc%5Etfw">May 18, 2025</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



Why It Matters: This comes just a week after a <a href="https://www.benzinga.com/government/regulations/25/05/45345994/us-china-tariff-truce-will-alleviate-worst-fears-but-prevent-falling-yields-keeping-economy-under-pressure-says-craig-shapiro">truce was reached</a> between the two countries in Geneva, when tariffs were rolled back to 30% from 145%.



During the interview, Bessent nonetheless <a href="https://www.benzinga.com/markets/25/05/45486508/scott-bessent-signals-liberation-day-2-0-coming-if-countries-dont-sign-trade-deals-president-trump-has-put-them-on-notice">issued a fresh warning</a> to America&#8217;s biggest trading partners, saying that tariffs could soon snap back to their &#8220;reciprocal&#8221; levels seen during &#8220;Liberation Day,&#8221; if they fail to negotiate in good faith.



While speaking with Jake Tapper on Sunday, Bessent downplayed the Moody&#8217;s <a href="https://www.benzinga.com/markets/25/05/45484954/treasury-secretary-bessent-addresses-moodys-downgrade-and-tariff-impact-n-walmart">downgrading of U.S. Government debt</a>, calling it a &#8220;lagging indicator.&#8221;



Photo Courtesy: Maxim Elramsisy On Shutterstock.com



Read More: 



<ul class="wp-block-list">
<li><a href="https://www.benzinga.com/government/regulations/25/05/45506863/trumps-big-beautiful-bill-advances-heres-who-wins-and-loses">Trump&#8217;s &#8216;Big Beautiful Bill&#8217; Advances: Here&#8217;s Who Wins And Loses</a></li>
</ul>

Scott Bessent Says US Will 'Continue Trading With China' While Strategically Reshoring Semiconductors, Steel, and Pharmaceuticals To Protect National Security

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