US stocks in focus: Nvidia, Snowflake, E.L.F. Beauty, American Eagle
Nvidia becomes the first chipmaker to boast a $1 trillion valuation
PremiumOn the Wall Street, stock markets closed mixed on Tuesday amid worries over whether the US Congress will pass a debt ceiling deal.
The S&P 500 gained 0.15 points to finish flat at 4,205.6. The Dow Jones Industrial Average fell 50.49 points, or 0.15%, at 33,042.85. The Nasdaq composite rose 41.74 points, or 0.32% at 13,017.43.
Here are four US stocks in focus -
Nvidia
Nvidia Corp on Tuesday became the first chipmaker to boast a $1 trillion valuation after its stock rose to a record high as it anticipates a surge in demand for its AI chips. The chipmaker has risen more than 31% in the last three sessions including Tuesday’s.
Nvidia closed at $401.11, 2.99% up, after paring gains, on the NYSE. It ended the session with market cap of about $991 billion.
Snowflake
Snowflake Inc’s stock looks pricey relative to its near-term growth. The cloud-based data warehousing company reported better-than-expected earnings for the first quarter. The company expects its slowdown to continue throughout the rest of the year. For the first quarter of fiscal 2024, which ended on April 30, its revenue rose 48% year over year to $624 million and exceeded analysts' expectations by $15 million.
Snowflake on Tuesday climbed 5.76% at $158.65 on the NYSE.
E.L.F. Beauty
Last week, the Oakland, California-based E.L.F Beauty said its net sales for the fourth quarter soared 78% to $187.4 million, driven by strength across the beauty chain's retail and e-commerce channels. For the full year 2023, the company’s net sales skyrocketed 48% to $578.8 million.
Its net income for the fourth quarter totalled $16.2 million, and reached $61.5 million for the full year ending March 31.
Shares of E.L.F Beauty on Tuesday rose 3.60% at $104.93 on the NYSE.
American Eagle Outfitters
In an earnings report last week, American Eagle Outfitters (AEO) cut its full-year revenue forecast, as demand for non-essentials, including apparel, slows down due to high inflation.
AEO is facing economic headwinds, which could slow demand and potentially contract margins.
In a post-earnings call, American Eagle CFO Michael Mathias said that the environment for discretionary spending remains volatile. “Over the last several weeks, business has slowed from the first quarter."
Shares of American Eagle Outfitters gained 0.74% at $10.83 on the NYSE on Tuesday.
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