Facebook Among The Top Trending Stocks Rated Attractive This Week

Facebook Among The Top Trending Stocks Rated Attractive This Week

On Wednesday last week, everything was looking rosy for investors. Stocks were hitting new highs, and short sellers were getting squeezed by the day. However, it all changed on Thursday when technology shares finally showed some cracks in their strength, pulling back significantly, and followed through Friday with a volatile session. All good things must come to an end, and given the rally off the coronavirus lows made in late March, 2020, it would appear a decent time for a pullback. The Labor Department did give some good news on Friday with the monthly jobs report for August coming in much better than expected, especially when looking at the unemployment rate that hit 8.4%, much lower than expected.  The deep learning algorithms at Q.ai have used Artificial Intelligence (“AI”) technology and rated some Trending Stocks this week.

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Top Buy

Verizon Communications Inc (VZ)

Only one Top Buy this week as rated by our AI systems, and that company is Verizon Communications Inc. Our deep learning algorithms have identified factor scores of C in Technical, B in Growth, A in Momentum Volatility, and A in Quality Value for the stock that is up 2.34% on the year. The company is now primarily a wireless business (70% of revenue and nearly all operating income). It serves about 89 million postpaid and 4 million prepaid phone customers and connects another 24 million data devices, like tablets, via its nationwide network, making it the largest U.S. wireless carrier. As for the financials, revenue grew by 2.93% over the last three fiscal years to $131868.0M in the last fiscal, which compares to $126034.0M three years ago. Operating Income grew by 7.98% over the last three fiscal years to $31521.0M in the last fiscal, compared to $28673.0M three years ago. EPS was $4.65 in the last fiscal year, which compares to $7.36 three years ago. ROE was 33.67% in the last year, versus 88.91% three years ago. Forward 12M Revenue is expected to grow by 1.64% and the stock is trading with a Forward 12M P/E of 12.5.

Attractive

There were 4 attractive rated stocks in the Trending Stocks this week, more details below.

Microsoft Corp (MSFT), Netflix Inc (NFLX)

The first two companies to be covered that are Attractive rated by our AI systems are Microsoft Corp and Netflix Inc. The two conglomerates have had extremely strong years, gaining 34.44% for Microsoft Stock and 56.47% for Netflix. Our AI systems have identified factor scores of D in Technical, C in Growth, A in Momentum Volatility, and A in Quality Value, for Microsoft, whereas they have rated D in Technical, A in Growth, B in Momentum Volatility, C in Quality Value for Netflix. Microsoft’s financials are as follows: Revenue was $143015.0M in the last fiscal year, which compares to $110360.0M three years ago. Operating Income was $52959.0M in the last fiscal year, versus $35058.0M three years ago. EPS was $5.76 in the last fiscal year, which compares to $2.13 three years ago. ROE was 40.14% in the last year, which compares to 19.45% three years ago. The stock is trading with a Forward 12M P/E of 33.23. Netflix financials are as follows: Revenue grew by 12.26% in the last fiscal year to $20156.45M, a growth of 93.52% over the last three fiscal years from $11692.71M three years ago. Operating Income grew by 44.18% in the last fiscal year to $2604.25M, a growth of 347.72% over the last three fiscal years from $838.68M three years ago. EPS grew by 43.38% in the last fiscal year to $4.13, a growth of 373.73% over the last three fiscal years from $1.25 three years ago. ROE was 29.12% in the last year, compared to 17.85% three years ago. Forward 12M Revenue is expected to grow by 8.65% and the stock is trading with a Forward 12M P/E of 67.62.

Advanced Micro Devices (AMD), Intel Corp (INTC)

Two chipmakers make the Attractive rated list this week in Advanced Micro Devices and Intel Corp. They have AI-based factor scores of C in Technical, A in Growth, C in Momentum Volatility, and C in Quality Value for the former, whereas the latter scored C in Technical, C in Growth, B in Momentum Volatility, and C in Quality Value. The stocks have gone in opposite directions this year, with a gain of 67.03% and a loss of 16.25%, respectively. Advanced Micro Devices financials are as follows: Revenue grew by 13.59% in the last fiscal year to $6731.0M, a growth of 45.55% over the last three fiscal years from $5253.0M three years ago. Operating Income grew by 40.1% in the last fiscal year to $631.0M, a growth of 596.06% over the last three fiscal years from $127.0M three years ago. EPS grew by 71.22% in the last fiscal year to $0.3, and shrank by -1581.89% over the last three fiscal years from $(0.03) three years ago. ROE was 16.66% in the last year, which compares to (6.52%) three years ago. Forward 12M Revenue is expected to grow by 13.88% and the stock is trading with a Forward 12M P/E of 58.11. As for Intel, their financials are as follows: Revenue grew by 9.71% in the last fiscal year to $71956.0M, a growth of 25.8% over the last three fiscal years from $62761.0M three years ago. Operating Income grew by 17.53% in the last fiscal year to $22428.0M, a growth of 42.99% over the last three fiscal years from $18434.0M three years ago. EPS grew by 15.57% in the last fiscal year to $4.71, a growth of 173.53% over the last three fiscal years from $1.99 three years ago. ROE was 27.68% in the last year, which compares to 14.2% three years ago. The stock is trading with a Forward 12M P/E of 11.56.

Neutral

There were 4 Neutral-rated stocks by our AI systems, more details below.

Nvidia Corp (NVDA), Qualcomm Inc (QCOM)

Another pair of chipmakers on the Trending Stocks this week in Nvidia Corp and Qualcomm Inc. These two, however, are Neutral rated by our AI systems with factor scores of D in Technical, A in Growth, D in Momentum Volatility, and C in Quality Value for Nvidia Corp, and C in Technical, C in Growth, C in Momentum Volatility, and C in Quality Value for Qualcomm Inc. Both stocks have done admirably this year, with the former gaining 110.74%, and the latter gaining 33.47%. As for the financials, Nvidia is as follows: Revenue grew by 19.66% in the last fiscal year to $10918.0M, a growth of 34.5% over the last three fiscal years from $9714.0M. Operating Income grew by 31.1% in the last fiscal year to $2846.0M, a growth of 16.23% over the last three fiscal years from $3210.0M three years ago. EPS grew by 20.44% in the last fiscal year to $4.52, a growth of 12.94% over the last three fiscal years from $4.82 three years ago. ROE was 25.95% in the last year, which compares to 46.05% three years ago. Forward 12M Revenue is expected to grow by 11.2% and the stock is trading with a Forward 12M P/E of 50.55. As for Qualcomm, the financials are as follows: EPS grew by 43.59% over the last three fiscal years to $3.59 in the last fiscal, which compares to $1.64 three years ago. Revenue was $24273.0M in the last fiscal year, which compares to $22258.0M three years ago. Operating Income was $8081.0M in the last fiscal year, versus $4582.0M three years ago. ROE was 153.46% in the last year, which compares to 7.82% three years ago. Forward 12M Revenue is expected to grow by 24.9% and the stock is trading with a Forward 12M P/E of 20.09.

Facebook Inc (FB), Morgan Stanley (MS)

The final two Neutral rated stocks this week were social media giant Facebook Inc, and financial conglomerate Morgan Stanley. Our AI systems have assigned factor scores of F in Technical, B in Growth, B in Momentum Volatility, and B in Quality Value for Facebook, whereas Morgan Stanley received B in Technical, D in Growth, C in Momentum Volatility, and D in Quality Value. The stocks have both been in the positive this year, with Facebook gaining 34.77%, and Morgan Stanley gaining 3.56% for the year so far. For Facebook, revenue was $70697.0M in the last fiscal year, which compares to $40653.0M three years ago. Operating Income was $23986.0M in the last fiscal year, which compares to $20203.0M three years ago. EPS was $6.43 in the last fiscal year, versus $5.39 three years ago. ROE was 19.96% in the last year, which compares to 23.86% three years ago. Forward 12M Revenue is expected to grow by 11.03% and the stock is trading with a Forward 12M P/E of 32.05. For Morgan Stanley, revenue was $41419.0M in the last fiscal year, which compares to $37945.0M three years ago. Operating Income was $13842.0M in the last fiscal year, compared to $12788.0M three years ago. EPS was $5.19 in the last fiscal year, which compares to $3.07 three years ago. ROE was 11.26% in the last year, which compares to 8.01% three years ago. The stock is trading with a Forward 12M P/E of 11.38.

Top Short

Salesforce.com Inc (CRM)

We have one Top Short this week, which as been a consistent Top Short since spiking higher in the last few weeks, in Salesforce.com Inc. AI-based factor scores have been identified as F in Technical, D in Growth, D in Momentum Volatility, and C in Quality Value for the enterprise computing and solutions company. The stock is now up 52.52% for the year, providing short sellers with an excellent entry point. Revenue was $17098.0M in the last fiscal year, which compares to $10540.0M three years ago. Operating Income was $503.0M in the last fiscal year, which compares to $454.0M three years ago. EPS was $0.15 in the last fiscal year, compared to $0.49 three years ago. ROE was 0.51% in the last year, versus 4.03% three years ago. Forward 12M Revenue is expected to grow by 7.64% and the stock is trading with a Forward 12M P/E of 76.44.

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