Investor's Business
William O'Neil was a legendary investor and founder of Investor's Business Daily. Born in Oklahoma during the Great Depression, he developed a strong work ethic and fascination with business and stocks. After serving in the Air Force, he began his brokerage career in California where he drew insights from traders such as Jesse Livermore, Gerald Loeb and Nicolas Darvas. He pioneered a more objective way to invest using computers and databases. O'Neil's data-driven focus led to several back-to-back winning trades, including Chrysler in 1962, discount department store Korvette, and Syntex. In 1963, he started his own firm William O'Neil Co. and launched a mutual fund that became the top-performing fund in the country within two years. He then set out to create a series of research products aimed at institutional investors.
94%
The Daily's Verdict
This author is known for its high journalistic standards. The author strives to maintain neutrality and transparency in its reporting, and avoids conflicts of interest. The author has a reputation for accuracy and rarely gets contradicted on major discrepancies in its reporting.
Bias
100%
Examples:
No current examples available.
Conflicts of Interest
100%
Examples:
No current examples available.
Contradictions
75%
Examples:
- Despite tech struggles, there were breakouts or stocks reclaiming buy points or flashing early entries in sectors such as housing/construction, industrial/aerospace, financial, energy, medicals and some software.
- Investors will also watch for numbers from Microsoft, Advanced Micro Devices and Starbucks after the closing bell.
- JPMorgan Chase, Wells Fargo, and Citigroup all increased their dividends after passing the annual stress tests.
- S&P 500 rose 0.4% by midday trading in New York
Deceptions
85%
Examples:
- Quarterly revenue totaled $25.5 billion, up 2% compared to the same quarter last year.
- Tesla reported quarterly revenue of $25.5 billion, up 2% compared to the same quarter last year.
- The CEOs of Google and Meta Platforms voiced concerns that tech companies might be spending too much on artificial intelligence.
Recent Articles
Federal Reserve Policy Meeting and Tech Giants' Earnings: A Week of Significant Developments in Finance
Broke On: Monday, 29 July 2024Two major events dominate the financial landscape this week: the Federal Reserve's policy meeting and earnings reports from tech giants Apple, Amazon, Meta Platforms (Facebook), and Microsoft. The Fed's potential rate cut decision and tech earnings could impact market sentiment. Four other companies - Merck, Pfizer, PayPal, Procter & Gamble - also release earnings reports with positive analyst expectations. Economic insights come from the Federal Reserve meeting and the official employment report. 
Tech Giants Earnings Report: AI Euphoria and Consumer Spending Concerns Hit US Stock Market
Broke On: Saturday, 27 July 2024The tech-led stock market rally, which had been pushing major indexes to new record highs since the beginning of 2023, experienced its worst day in over a year due to concerns about artificial intelligence and consumer spending in the US. Earnings reports from tech giants like Apple, Microsoft, Meta Platforms, and Amazon raised worries that profits may not continue at their current pace. The Federal Reserve is also expected to signal rate cuts during its meeting this week. Small caps rose strongly while large caps like Tesla and Google-parent Alphabet experienced declines following their earnings reports. 
Tesla's Q2 2024 Profits Plummet by 45%, Yet Optimism Persists for Future AI Projects
Broke On: Tuesday, 23 July 2024Tesla's Q2 2024 profits dropped 45% to $1.48 billion, while revenue grew only 2%, despite plans for affordable vehicles and AI advancements like robotaxis and humanoid robots. Elon Musk remains optimistic about production starting in H1 2025, but increasing competition, uncertain EV market, rising costs from AI projects, and lower average vehicle selling prices have put pressure on the company's bottom line. 
Nvidia Leads Tech Sell-Off: Markets Shift Away from Megacaps, Small-Caps Surge
Broke On: Friday, 19 July 2024Investors have rotated out of tech stocks and megacap companies like Nvidia (NVDA), resulting in a $417.3 billion market value loss for the company. This trend, driven by falling inflation and an improving earnings outlook, has led to a 7% surge in the Russell 2000 small-cap index. Smaller companies in sectors such as financials, energy, and real estate have particularly benefited from this shift. 
US Export Restrictions and Geopolitical Tensions Send Global Chip Stocks Plummeting: ASML, Nvidia, TSMC, and Tokyo Electron Affected
Broke On: Wednesday, 17 July 2024Global chip stocks plummeted on July 17, 2024, due to reports of tighter US export restrictions and escalating geopolitical tensions with China. The Biden administration is considering new regulations under the FDPR that could impact non-US companies like ASML and TSMC. Meanwhile, Trump's comments on Taiwan's defense have raised doubts about US commitment to defend the island if he returns to power. TSMC is expected to report a 30% rise in second-quarter profit due to soaring demand for advanced chips, but geopolitical tensions and potential export restrictions weighed on the sector. 
Dow Jones Surges Past Record Highs: Blue Chips Lead Market Rally Amid Fed Rate Cut Expectations and Strong Earnings
Broke On: Tuesday, 16 July 2024The Dow Jones Industrial Average set new record highs for three consecutive days in late August, with blue-chip stocks like UnitedHealth leading the way after strong earnings reports. The Federal Reserve's expected interest rate cuts and positive earnings from major companies contributed to the broader market rally, while some sectors saw declines. The S&P 500 and Nasdaq Composite also reached new intraday highs, with optimism surrounding artificial intelligence driving the momentum. 
Former President Trump Injured in Shooting Incident: Impact on Financial Markets and Potential Policy Changes
Broke On: Monday, 15 July 2024Former President Donald Trump was injured in a shooting incident at a campaign rally in Pennsylvania, resulting in one death and two injuries. The suspected shooter, Thomas Matthew Crooks, is deceased. Wall Street anticipates market volatility following the incident, with historical data suggesting an average 1.1% Dow Jones Industrial Average decrease on the first trading day after presidential assassination attempts. Bond traders eye potential rate cuts and inflation concerns under a second Trump presidency, while investment banks could benefit from lenient merger approval policies. Record-Breaking S&P 500: Tech Cuts Boost Earnings for 493 Companies Amid Market Breadth Concerns
Broke On: Saturday, 13 July 2024The S&P 500 index sets a new record close on July 12, 2024, with tech cuts driving earnings growth for most companies. Market breadth concerns arise as a few stocks dominate the rally. Upcoming earnings reports will determine if this trend continues or is short-lived. 
New Study Finds Diabetes Drug Ozempic May Prevent Cognitive Decline and Substance Misuse
Broke On: Friday, 12 July 2024New studies suggest Novo Nordisk's diabetes drug Ozempic (semaglutide) may prevent cognitive decline and reduce substance misuse risks. Researchers found a 48% lower dementia risk for patients on Ozempic compared to sitagliptin or glipizide, and a lower risk of cognitive deficits and nicotine dependence. Novo Nordisk plans further studies on Alzheimer's disease. Tesla Delays Robotaxi Launch: Focus Shifts from Model 2 to Autonomous Rideshare and AI Development
Broke On: Friday, 12 July 2024Tesla, led by Elon Musk, delays robotaxi service launch from August to October due to prototype building needs. Amidst focus on AI and autonomous driving technology, concerns over market enthusiasm and valuation arise.
