The stock market rallied on Thursday as NVIDIA (NVDA) posted blockbuster quarterly results after a 265% rise in revenue. S&P 500 hit a new record high as it jumped 2.1% to 5,087. Meanwhile, NASDAQ accelerated 3.0% to 16,042. According to news, the last time that NASDAQ recorded above 3% growth and hit a record high was in March 2000.
Tweet of the Day
Chief Executive Officer Nikesh Arora said customers were facing “spending fatigue” in cybersecurity.
“This is new,” he said. Customers are finding that adding incremental products “is not necessarily driving a better security outcome for them.”
— Ophir Gottlieb (@OphirGottlieb) February 20, 2024
Chart of the Day
Here is the ten-year chart of Apple (AAPL) as of February 6, 2024, when the stock was at $189.
Apple’s Vision Pro is a new visual headset that allows the user to access the internet visually. It was launched earlier this month and are available in Apple Stores for customers in the US. The Vision Pro needs to become a catalyst for the company, otherwise the stock might be hanging around this $190 level for the next two years.
AAPL stock has a P/E of 29 this quarter. That’s a little high as the stock had a median P/E of 26 in 2022 and 2023. Meanwhile, profits are expected to climb just 7% this year and 9% next year. Vision Pro is $3500 versus the Meta Quest 3 at $499 for the 128GB and $650 for the 512GB. As such, the Vision Pro really needs to outperform the Quest to make it worthy of the added cost. However, David Sharek, Founder of School of Hard Stocks, doesn’t envision it happening.
AAPL is part of the Conservative Growth Portfolio.
