U.S. Stocks to Watch: Nvidia, Tesla, Walmart, UnitedHealth, Super Micro, and More

Tiger Newspress
19 May

Stock futures were falling and Treasury yields rose Monday after the U.S. government lost its last top credit rating as Moody’s Ratings downgraded U.S. debt, citing successive administrations’ failures to deal with large deficits and rising interest costs.

The S&P 500 was starting the week on a five-session winning streak, while the Dow Jones Industrial Average was kicking off Monday in positive territory after rising Friday and 3.4% last week.

These stocks were poised to make moves Monday:

NVIDIA declined 3.4%. CEO Jensen Huang announced Monday at the Computex trade show in Taiwan the company would be opening its artificial-intelligence server platform to rival chip makers such as Qualcomm and Marvell Technology. Nvidia also said it would be working with iPhone manufacturer Foxconn to build an AI factory supercomputer in Taiwan.

Tesla Motors was down 4.2% in premarket trading. Investors will be monitoring a weekly sales update from China. Recent sales data from the electric-vehicle maker has been disappointing. U.S. sales in April fell about 13% after declining 9% in the first quarter. Sales last month in key European markets, including France, Germany, and the United Kingdom, fell about 49% from a year earlier after dropping about 45% in the first quarter.

Wal-Mart fell 2%. U.S. President Donald Trump criticized the world’s largest retailer Saturday, saying the company should “STOP trying to blame Tariffs as the reason for raising prices throughout the chain.” Walmart last week said the Trump administration’s tariffs would lead to price increases. The president, in a post on his Truth Social platform, said Walmart should “EAT THE TARIFFS,” and not charge valued customers ANYTHING.” A company spokesman told Barron’s that Walmart would “keep prices as low as we can for as long as we can given the reality of small retail margins.”

UnitedHealth was up 3% in premarket trading after shares of the giant health insurer rose 6.4% on Friday and snapped an eight-session losing streak. However, UnitedHealth declined 23.3% last week after the company’s CEO stepped down, its suspended its 2025 outlook, and a report from The Wall Street Journal said the Justice Department was investigating the company for possible criminal Medicare fraud.

Shares of SUPER MICRO COMPUTER INC dropped 4% in premarket trading. It closed Friday at $46.15, up 5%, but remains down 61% from its all-time closing high of $118.81 on March 13, 2024. The maker of artificial-intelligence servers rose 44% last week.

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