The stock market opened the week steady. S&P 500 declined 0.1% to 5,022, while NASDAQ was down 0.3% to 15,943.
Investors await the latest Consumer Price Index on Tuesday that will give insights on how cool inflation currently is. In addition, the said figure may dictate the timing and pace of interest rate cuts this year.
Tweet of the Day
Is Databricks beating $SNOW when it comes to AI use cases and workloads? The percentage of jobs mentioning both AI and Databricks has grown more than 2x since 2022, much faster than $SNOW pic.twitter.com/dnkAx125iN
— Weng (@AznWeng) February 8, 2024
Chart of the Day
Here is the one-year chart of Sherwin-Williams (SHW) as of January 30, 2024, when the stock was at $308.
Sherwin-Williams is going through a slow growth period in terms of sales and profits. Last quarter, the company delivered -4% profit growth on just 4 sales growth. Furthermore, next quarter, profits are expected to rise just 8% on 1% revenue growth. The stock, however, is considered hot. David Sharek, Founder of School of Hard Stocks, assumes that it is because investors anticipate interest rates simmering down in 2024. Housing sales have been slow due to higher rates. Lower rates could provide a better backdrop for housing sales, which would likely help paint sales as well.
SHW is part of the Conservative Growth Portfolio. The stock seems fairly valued here.
